Member Meeting

July 6. 2011

From member Lee Weller:

Hello Members & Volunteers,

We will have a kick-off gathering on the patio at the Ranch House on Friday, July 8, from 6:30 to 8:30 PM.  If it rains on Friday, the gathering will be on Saturday, July 9.

 Live music!  Bring your own chairs & drinks as well as snacks to share.  I have plenty of plates and napkins for the snacks.  There will be dancing, celebrating, telling stories about the Ranch House, Golf Course, or the Community.  Just a get together to start things off. 

See you there,

Lee

After last Monday’s Coalition Membership Emergency meeting, the advisory board (Core Action Team) met to develop and review a course of action.  It was decided that the best approach was to go ahead with the initial plans for the restaurant, albeit broadening the fund raising efforts through the development of a CD secured loan fund with the local bank to handle the down-payment of $100k. 

Also decided was to develop a special golf task force whose job it would be to come up with a plan for the golf course (use and financing).  A separate membership program will be established for those people interested in just the golf course as a golf course – separate and apart from the Ranch House Restaurant.  Although under the same Coalition umbrella,  for now, it is geared towards golfers and corporations. 

Additionally, the lack of maintenance of the golf course and the lake is a big problem for the people owning property in Lake Montezuma.  Suggested was a voluntary assessment of $50.00 per year instituted by LMPOA to its members under a Lake Montezuma Beautification Program.  This fund can contribute to the maintenance of the golf course and the lake as people in the area will need to take a little responsibility for keeping it maintained to a level of safety.  LMPOA will be working on this over the next few weeks. 

The CAT team voted to immediately engage legal counsel, Tony Cullum, to complete the negotiations and commence the necessary paper work to solidify the lease purchase.  A new membership brochure outlining the membership level is being published for general distribution. See DRAFT Brochure...

After carefully scrutinizing details, members of the Ranch House Coalition unanimously agreed on Monday to continue negotiations on a lease-purchase offer from the owners for the Ranch House Restaurant and golf course.

RANCH HOUSE COALITION MEMBERSHIP EMERGENCY MEETING

MONDAY NOVEMBER 15^{TH -} 9:00 A.M.

BEAVER CREEK ADULT CENTER – LAKE MONTEZUMA

During the past weeks Kala Pearson and Seth Williams, facilitated by John Mackler, have revisited the original offer made by the Coalition for a lease purchase agreement for the Ranch House Restaurant and the golf course.  We have developed a proposal that may be acceptable to all parties that needs the membership’s immediate ratification in order to move forward. 

 Below are the main points of the proposal.

·         Proposal covers RANCH HOUSE RESTAURANT PROPERTY including all out-buildings and the GOLF COURSE ACRES

·         Lease for 5 years AS IS

·         $100,000.00 Down Payment

·         $3,000.00 per month rent, plus Taxes, Insurance, Utilities

·         4 month grace period before lease payment

·         1^st Option to Purchase

·         Improvements at COALITION Leasee Expense

·         Coalition Leasee has full water rights

·         BCL&W Leasor has option to sell property during 5 year period

·         $100,000 down payment would go toward purchase or if property was sold to third party it would be refunded to lease

·         If property is sold to 3^rd party – BCL&W Leasor would reimburse COALITION Leasee $200,000 for improvements

·         Purchase price set at $1,200,000.  Optional owner carry of the note at 7% interest

·         If COALITION Leasee wishes to only purchase Ranch House building, pro shop building, rest room building and equipment yard and building the price would be $500,000

·         Clause in the lease agreement to be canceled before 5 years with 60 day notice

·         Clause in the lease agreement that COALITION Leasee can sub-lease the restaurant and/or the golf course during the lease period

·         Lease signing and down payment by January 1, 2011

If this offer is agreed to by the members of the Coalition, we will need to have all hands on deck to raise the necessary capital for the down payment within the next 45 days through memberships, fundraising events and private investments. All pledges must be collected and additional membership and community investors recruited during this time period.

Additional capital for renovation will also need to be raised during this period and shortly thereafter.  The original figure calculated for renovation of the restaurant only back in June was $130,000.  A plan and projection for the golf course will need to be developed. 

 If you cannot make this meeting, please email your comments, concerns and vote to MEMBER@RANCHHOUSECOALITION.COM

Thank you for your continued support and interest.

RHC General Membership Meeting - September 22, 2010

DISCUSSION:

Condemnation – County should consider eminent domain

·         Cash flow plan

·         Business plan

·         Professional help

·         Review of sales

·         Market survey

·         How is sustainable

·         Zoning, water rights, endangered species

·         Budget & operation, structure, staffing

If consultant hired - need to set specification – minimum of what we want

Need current appraisal – bank will need to order appraisal

Donation of time & labor should be considered in plan

Advertising and marketing needed for course

Check U of A Extension, NAU, other area resources for help – agricultural, historic

Request appraisal of properties from County

BCLW Attorney will receive offer packet and present to owners – must be cash deal, don not want to carry

DIRECTION REVIEW

Finance options being considered include:

·         Creation of a special improvement district for purchase and maintenance or just maintenance

·         Explanation of ad valorum tax VS assessment

·         Elements of creating a district

Combination of private financing, bank loans and/or the issuance of a private bond for purchasing and small CID for maintenance. 

·         Private bond – doesn’t need collateral – needs cash flow to pay debt

·         Developers in area – contribute to improve their assets

·         Bank loan – 80% government backed (USDA)

·         Volunteer barn-raising – restoration

·         CID = for maintenance

OUTCOME:

One group will be visiting with those who made financial pledges of support of almost $30,000 to begin collecting those pledges. (MaryAnn to head up with letter and contact committee)

A second group will begin gathering information so an educated estimate can be made of how much it will cost to resurrect and maintain the golf course, should the group successfully acquire the property. (Richard Eiting – to head up using NAU contacts & students)

A third group will begin sending out letters to all 5,000-plus homes in the Beaver Creek community to give everyone an update on the status of the golf course, explain the options for purchasing and maintaining the property, to solicit support and get a feel for how the community feels.  (Merrily and Walt to head up – they were not present but follow-up needed on exactly what the letter would contain /  the group mentioned that someone at the Sept. 15^th meeting volunteered to pay the postage for the mailing)

Cheri Daniels will coordinate the writing of proposals and business plan.  All options will need to have this to present for financing.

Next meeting will be scheduled after letters are ready for mailing.