Poted By CotoBlogzz
Jerry Storage, General Manager
Third Laguna Hills Mutual
Directors
United Laguna Hills Mutual
Directors
Fifty(Towers) Directors
Golden Rain Foundation Directors
Homeowners
Re: Change in the Structure and Management Contract of LeisureWorld/
Laguna Woods Village .
Leisure World Laguna Hills
built in 1964 -1982 is the largest non-profit
Senior
Citizens Common Interest Development in the United State of America
with 18,000 to 20,000 residences.
Professional Community
Management, Inc. (PCM) the managing agent
of Leisure World/ Laguna Woods Village
is
one
of the
largest
Managing
Agents
of
Common
Interest
Developments
in the
U.S.A. PCM
has
been
the managing
agent in Leisure World Laguna Woods,
Ca. since 1964. Professional Community Management, Inc. a
for
profitcorporation
was a
Spin
Off,
at the request of the
Federal Housing Administration (HUD),
from the
non-profit
corporation
of
Leisure World Foundation which sponsored, merchandised and
administered
Leisure World Laguna Hills from
1964 to 1972 when PCM was incorporated
and became the for profit Managing Agent.
Professional Community Management, Inc. (PCM) knows
Leisure World/
Laguna Woods Villages governing documents (Original Trust, Articles of
Incorporations, Declarations (CC&R's), Regulatory Agreements and Bylaws).
PCM has written and administered these documents to the homeowners of
Leisure World/Laguna Woods
Village for over 46 years and yet PCM continues
to state GRF and United Mutual
have NO CC&R's WHY?
GRF and PCM has sold Common Area Land (San Sebastian and El Toro Water
District) against California's Davis Stirling Act #1359 and Leisure
World/Laguna Woods Village CC&R's, Article VI.
Golden Rain Foundation set aside
Five (5) Million Dollars to demolish and build a 17,863 square-foot Village Green
Golf Starter Building without the Vote or Approval of the homeowners, who pay the
bills. To date the total cost of this
building has not been given to the
homeowners. The
"88"
CC&R's,
Article IV,
Section 8
states: "The
Mutualsmay, with the
approval
of the Architectural Control
Committee, construct new
improvements
or
additions
to the
Common
Area
or
Demolish existing improvements, provided that in the case of any improvement, addition or
demolition involving a total expenditure in excess of Five Percent (5%)
of the Gross Expenses of the Mutuals for the year in which such
improvements, additions or demolition isContemplated, the written consent or Vote of at least
fifty-one percent (51%) of the Owners in the Project or Related Projects as
to
the maximum total cost therefore shall first be
obtained."
The changing of the Guard, the Management Contract and the Structure
of Leisure World/Laguna Woods Village
is a
must. Golden Rain
Foundation (GRF)
has taken over the leadership of this community under the advice of PCM, this
is wrong. GRF is the Trustee of the Trust which holds all the money. assets and
land in Trust for the Mutuals (Third, United and Fifty). The Mutuals are the
Trustors of the Trust.
The Mutuals pay GRF to manage, operate and maintain
the Common Area Facilities(Clubhouses,
Golf Course, Buses, Stables and ect.) . GRF
as Trustee SHALL follow the Terms of the Trust which they have neglected to do.
The Cost Plus Contract PCM has with each of the four
corporations of
Leisure World Laguna Woods where
the homeowners pay all of PCM's Costs is obscene.
The homeowners pay allof PCM's
1,000 employees wages and benefit packages( Health Insurance, Unemployment
Insurance, Social Security, Pensions, 401-K and etc.) plus all of
PCM's office expenses and housing of their employees. This has been going
on for 46 years. No wonder this senior citizens homeowners association
has a $95,000,000 Budget, larger than surrounding cities. The costs of
the
Cost
Plus
Contract
increases
each year are staggering. There
is no incentive
for PCM to cut cost and there are a
number of PCM employees retiring each year
which as long as PCM is the Managing
Agent this community pays their
Pensions.
This
Common
InterestDevelopment
can no longer afford PCM and certainly
not
a Cost Plus Contract.
Wake UP!! Leisure World/ Laguna
Woods, as well as the whole Country,
is in a financial mess. PCM and
the four boards (GRF, Third, United & Fifty)
had better get realistic. If you
do not understand
Budgets,
Economic
and
Finances
you have a large source of people in
the community who could help you. Ask
and you
shall
receive. Don't continue to
Vote
for
something you do not understand
or agree with. Each Mutual and
GRF have their own Attorney's, they should give
you the
correct
information
you need under the
law
to
perform your fiduciary duties.
Sincerely yours,
Noni and Corkey Eley
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