October 2023 Email Newsletter

Greetings from the Board – October 2023

October 14, 2023 No Comments

*Ted Dann, VCA* Treasurer
**Vistoso Golf Casitas**

2024 Budget process

This month’s article is written by Ted Dann, Vistoso Community Association (VCA) Treasurer

The budget process is the way we plan the financial performance of the VCA for the upcoming year. First Service Residential (FSR) Management and the Board of Directors are actively engaged in formulating our Budget for 2024, so now is a good time to provide members a sense of what goes into the budget process.

The Basic Components of the 2024 VCA budget include:

Operating Income include:

Residential assessments which constitute 70% of Income.
Commercial dues are calculated by the number of net acres occupied and constitute 25% of Income.
Interest on investments, fees, fines, and builder assessments all of which constitute 5% of Income.
Reserve Funding is an offset to Income and consumes 25% of Income.

Operations Expenses include:

Administrative expenses include management fees and salaries, legal fees, office lease, financial services, insurance, and other fees, constituting 33% of expenses.
Utility expenses include water/sewer, electricity, and telecommunications, constituting 10% of expenses.
Landscaping, maintenance, monitoring and repair of common areas and parks, all of which constitute 58% of expenses.

Reserve Funding:

The 2023 Reserve Study is available on the VCA website. It identifies virtually all common assets and estimates depreciation and timing of replacement or repair over time, going out 30 years. The replacement timeline is an important input into the budget process. In any given year the VCA Reserve Fund contribution from Operating Funds is based on what is indicated as necessary and prudent in the Reserve Study. The main value of the Reserve Study is the replacement timeline and a calculation of how well funded VCA’s Reserve Fund is, expressed as a percentage of fully funded. From the percentage fully funded flows a probability of the need for a Special Assessment. In VCA’s case this probability is relatively low. Examples of budgeted Reserve Fund spending for 2024 include granite replacement, monument refurbishment, drainage, irrigation replacement, asphalt seal coating, play structure repairs and replacements.
In addition to budgeted Reserve spending, from time-to-time unbudgeted Reserve spending must occur. The Reserve Study is updated periodically as needed to address funding requirements to support unexpected or unbudgeted Reserve Fund expenditures.

What to Expect
The 2024 VCA Budget process began in late summer with an initial draft prepared by the FSR Management team. That draft was reviewed and analyzed by the me and the Finance Committee. Once preliminary approval is given by the Finance Committee, the budget was reviewed by Board of Directors at the October 9th Budget Review Workshop that was open to membership for comment. The Budget, at this stage is still in draft form and a revised draft was resubmitted to the Finance Committee for a second review. The Finance Committee will meet on October 17th to review, revise if needed, and approve the Budget for submission to the Board of Directors for adoption at the regularly scheduled October 26th General Board meeting which is also open to the membership.

The monitoring of VCA financial performance throughout the budget year is performed by FSR management and is monitored by the Finance Committee and your Board of Directors monthly. The results of that review are reported to VCA membership in the form of a monthly Treasurer’s Report, and inclusion of VCA’s full financial statements in the monthly General Board meeting materials. The goal is to keep the VCA in a strong financial position through 2024 and beyond. Once the final 2024 budget is approved members will be updated.

Snapshot – October 2023

October 14, 2023 No Comments

Barbara Daoust

General Manager

First Service Residential

In case you missed the September 28, 2023 Board of Directors meeting, below is a “snapshot” of the General Manager’s report to the community. The entire report is in the September 2023 Board of Directors Meeting Minutes – Click Here to download the PDF.

RVB Street Lights
Chris Monrad from Monrad Engineering will be meeting with the board on Wednesday, September 20 to discuss his report identifying the conditions of the current lights and providing recommendations and estimates for either replacing or removing the existing fixtures and poles. Today’s cost estimate to replace the existing fixtures would be about $635,000 and the removal & abandonment costs would be $250,000. The board is encouraging resident feedback on this issue and is planning to survey the community on this topic.

Entryway Re-Landscape Proposal
The relandscaping project for the entryways at Big Wash Overlook Place and Scenic Overlook Place started on September 18.

Entryway Monuments
The Landscape & Parks Committee has met with three contractors (AAA Landscape, All Terrain Landscape Creations, and BrightView) to discuss the refurbishing of the entrance monuments located on RVB & Tangerine Rd and RVB & Oracle Rd. The committee is still working on the details of the project and once completed will be providing a recommendation to the board.

Capital Projects
Irrigation – Proposals are currently being solicited to repair approximately 2,100 linear feet of irrigation line along Innovation Drive between Rancho Vistoso Blvd. & Tangerine Rd. and about 2,300 linear feet on Desert Fairway Dr. between La Canada Dr. and Hidden Springs Dr. After completion of the project the landscape in these locations will be assessed and if necessary, replaced with drought resistant shrubs.

Erosion Projects

Big View Ct. Channel – A meeting took place with John Spider, Town of Oro Valley Engineer, John Wise from WLB and VCA representatives to discuss this project. Since there was a preliminary approval on the plan to repair the channel, John Wise will submit a proposal to complete the designs for final approval.
27 Mile – Total Maintenance Erosion Control has submitted a proposal to clear out the vegetation to start work for this project. AAA Landscape has also been asked to submit a bid.
Bridal Veil – The completion of the Bridal Veil plans is expected the week of October 23, 2023, from Bogardus Engineering.

Builder Transitions

The Town of Oro Valley is still holding the bond and has not accepted the west side of Moore Loop Road across from Valley Vista neighborhood. The town has directed Pulte to maintain the curb strip along this location. Pulte has contracted with AAA Landscape to have this work completed. Improvements in this area should be seen within the next week.
Also, the Town of Oro Valley is holding the bond on the common area landscaping for Valley Vista. Pulte has received a list of items to resolve for the release of this bond.
The Town of Oro Valley is also holding the bond on the Moore Loop Park. Mattamy Homes has addressed the drainage issue but still needs to replace some trees and clean up the sod area. They have agreed to extend the railing along the sidewalk near the playground area.

E-Statement Promotion
For the months of October, November and December 2023 VCA will be holding a drawing for members that are participating in the E-Statement program. Three lucky winners will receive a $100 gift card. For more information on how to sign up for E-Statements please go to the association’s website https://ranchovistosohoa.com or contact the office either at [email protected] or call 520-354-2729.

Community Events

The Fall Yard Sale is scheduled on Saturday, October 14 from 7:00 AM until 2:00 PM. If you reside in a Sub-Association, please contact your management agent to confirm that the gates for your community will be open for this event.
On Saturday, October 21, 2023, from 8:00 AM until 11:00 AM the VCA will be having a Fall Festival at Moore Loop Park. Come dressed in your Halloween best for this event. Prizes will be given for the best costumes. Police, Fire, AAA Landscape, VCA Board members and FSR management team will be present. Beverages and snacks will be provided. This event is sponsored by AAA Landscape.