Only recently, the Realtors have expressed concerns related to the issues below. The 2023 Board of Trustees have not made any modifications to Ordinance 7 approved by the 2022 Board of Trustees. Please review and read the responses provided below.
Protection of Property Values and Property Rights – The Realtors Concerns
In a recent conversation with a leader of the Incline Realtors, the expressed desire was to have beautifully maintained and improved venues throughout the District, a dedicated dog park and summer activities at Diamond Peak. Also expressed, was the importance of the $6M annually brought into our community by Short Term Rentals.
The following IVIGD concerns were raised with information provided for your consideration:
- Concerns related to rumors that the board expects or has a long-term strategy for each venue to be financially self-sufficient or “privatized”. The board, at no time, has ever stated these to be goals or a long-term strategy. The “model” has, and remains to be, that collectively the Community Services venues including Diamond Peak, the golf courses, tennis center and the recreation center, are budgeted and managed as a group of venues. At all Community Services venues, rates are charged for their use. If these charges don’t cover the collective costs, the Recreation Fee (subsidy) is assessed to parcel owners to cover the deficiency. There has never been board discussion or direction given to make each venue self-sufficient or to sell any venue or property as part of a “privatization” plan. On a yearly basis, each venue manager recommends to the board pricing adjustments based on the costs for operating their business.
- Concerns regarding the delayed issuance of recreation picture and punch cards for properties held in LLC’s or corporations. The changes to Ordinance 7 were approved by the prior board in May of 2022. There was confusion with the implementation of the LLC and corporate ordinance required agent assignments. The misunderstanding wasn’t discovered until late May of this year, a year after the ordinance changes went into effect. Due to this delay, staff and legal counsel determined it was best to request a review and recommendations from special legal counsel to ensure the ordinance and its implementation were correct. This delayed card issuance by roughly one week. The issue has been resolved.
- Concerns about the reduction in the value of punch cards. You decide, is this a problem or a value to parcel owners with a $325 reduction in fees on their Washoe County property tax bill? Below is the recent history of the fees:
- 2020-2021
- The total fee was $830 ($330 for the Recreation Fee and $500 for the Beach Fee)
- Punch Card value of 1/5th of $830, or $166 (for parcels with beach access)
- The Beach Fee was increased to fund operations and the Burnt Cedar Pool replacement. The Recreation Fee was reduced because funds were not needed. Rather than complete elimination at this time, the board decided to reduce is slowly and assess the situation in the following year.
- 2021-2022
- The total fee was $780 ($100 for the Recreation Fee and $680 for the Beach Fee)
- Punch Card value of 1/5th of $780, or $156 (for parcels with beach access)
- The Beach Fee was again increased to fund operations and the Burnt Cedar Pool replacement while also reducing the Recreation Fee due to lack of needed funds.
- 2022-2023
- The total fee was $780 ($330 for the Recreation Fee and $450 for the Beach Fee)
- Punch Card value of 1/5th of $780, or $156 (for parcels with beach access)
- The Beach Fee was reduced due to the completion of the Burnt Cedar Pool.
- 2023-2024
- The total fee is $455 ($0 for the Recreation Fee and $455 for the Beach Fee)
- Punch Card value of 1/5th of $455, or $91 (for parcels with beach access)
- The Beach Fee increased only slightly due to the already build up fund balance and the projected costs of the capital improvements. The Beach Fee funds are targeted for the Incline Beach House and improvements to beach ingress/egress. The Recreation Fee was eliminated due to lack of financial need.
- As you can see, the District has been reducing the Recreation Fee collected from parcel owners beginning in 2020. This began slowly and was done to address the overcollection of fees resulting in a buildup of over $12M in excess fund balance. This approach still resulted in a continued build up of excess fund balance. Additionally, per Nevada Revised Statutes (NRS) the District can not collect more than funds required, so the board determined there was no need to collect from parcel owners this fiscal year, resulting in $325 in the parcel owner’s pockets.
- 2020-2021
If there are other concerns or questions, please reach out to the IVGID Board of Trustees for answers. Their email addresses are below: