[This article has been changed to reflect the fact that Treasurer Denny Galford recused himself from the SLLA Board's vote on an amended agreement with Seven Lakes Country Club.]

SLLA LogoIn August of 2007, the Presidents of the Seven Lakes Landowners Association [SLLA] and Seven Lakes Country Club [SLCC] signed an agreement that ensured the Club's golf course would never be carved up into residential building lots.

On February 15 of this year, the Club filed with the Moore County Register of Deeds a Declaration, or set of Covenants, that would, in fact, allow the golf course to be converted into residential building lots.

The obvious question is: "How did this happen?"


Why Country Club Covenants?

When the news broke, in late 2006, that Seven Lakes Country Club was considering the sale of its old driving range for residential development, it sent shock waves through the community, which had never imagined that the five-acre expanse of grass beside the South Gate would ever be anything but green.

After considerable public debate and private negotiation, SLLA President Don Truesdell announced in August 2007 that the Association and the Club had approved and signed an agreement that would allow the development of the old range, subject to the covenants of Seven Lakes South, and would preserve forever the remainder of the Club's property as a golf course.

In the first clause of the five-point agreement, the SLLA granted the Club the right "to establish its own covenants limiting the use of all Country Club property to the operations of the golf course and country club." Association Attorney Hunter Stovall was granted the right to review the covenants "to insure compliance with this requirement."

It appears those covenants were written not long after the agreement was signed, but they were put to the side as the Club and Association joined forces to repel a lawsuit filed to overturn the agreement. After winning that suit, as an economic downturn cooled the real estate market and dashed the Club's hopes of selling the old driving range, neither Board apparently had much interest in dusting off the proposed covenants and finalizing the other four points of the 2007 agreement.

Read more: Club's Covenants Fail to Protect Golf Course

The Foxfire Village Council deferred any decision about whether to accept 156.37 acres of donated land along Woodland Circle, during its Tuesday, February 8 meeting, in order to allow additional time for a legal review of and report on the property.

The large tract was offered to Foxfire Village earlier in the month by McKean Brothers Nominee Trust, following the Council’s adoption of the $1.9 million Woodland Circle assessment roll, on which McKean’s property was assigned the lion’s share of expenses: a $1.4 million assessment.

Mayor George Erickson reported that the Village’s attorney has recommended that the Council accept the gift, because the alternative, foreclosure, would take both time and money. However, a formal check for liens on the property was incomplete and action was tabled.

In addition, Councilman John Eltschlager suggested that an environmental impact study should be conducted prior to approval. Presently, it is known that 34 acres of the 156 acre tract are delineated as wetlands.

 

Read more: Council wants more data on land donation

Moore County Logo After hearing four hours of testimony from the proponents and opponents of MHK Ventures’ request for Planned Unit Development-Hamlet [PUD-H] rezoning for the proposed Pine Forest Golf Club, the Moore County Board of Commissioners decided to suspend a quasi-judicial public hearings until their March 1 meeting. After all public hearing testimony is reviewed, the Planning Department is expected to bring its recommendations to the Board’s March 15 regular meeting.

Concern that Pine Forest might threaten the headwaters of Nick’s Creek headwaters was raised by opponents of the rezoning request during the initial January 18 Public hearing on the matter and continued to be a primary topic of discussion during the hearing Tuesday night. Commissioner Larry Caddell, a former Mayor of Carthage, which depends on Nick's Creek for its water supply, has withdrawn from consideration of Pine Forest, because he felt he could not rule impartially rule on the rezoning due to his intimate knowledge of and history with the creek.

At the January 18 hearing a number of Pine Forest opponents argued that the developer could legally take water from Nick’s Creek if it were needed to irrigate golf courses or common areas, and the County’s hands would be tied on the matter.

 

Riparian rights at issue

At Tuesday night’s meeting the Planning Department offered a definition of "riparian rights," which allow a landowner to make “reasonable use” of water adjacent to his property as long as it does not “injure” the rights of downstream riparian owners. Chairman Nick Picerno asked if Lake Auman in Seven Lakes, which is the headwaters of Drowning Creek, was similar in nature to Nick’s Creek and Carthage. Public Works Director Dennis Brobst could not confirm any similarities, but did say that during a drought a “minimal release” of water is required, as outlined in a permit for Lake Auman.

Read more: Pine Forest Hearing Continued to March

SLLA LogoAfter months of negotiations -- and with a real estate developer waiting in the wings -- the Seven Lakes Landowners Association [SLLA] Board of Directors on Monday approved an amended agreement with Seven Lakes Country Club [SLCC] concerning future development of the old driving range. The action was taken during a Special Open Meeting that preceded the February 14 Board Work Session.

Originally executed in July 2007, the agreement was put back on the table for discussion last Summer when the Club wanted clearer language regarding the relationship between the Association and any future developer of the old range. The fifth bullet point of the original document restricted future development of the property to no more than fourteen homes and committed the Association to "work with the developer in an open, efficient and cooperative fashion."

After several months of slow progress and multiple conferences with attorneys on both sides, key Board members representing the Club and Association met in January 2011 and reached a compromise, SLLA President Randy Zielsdorf explained during Monday's special meeting.

The result was an amended fifth bullet point that no longer specifies a maximum number of homes that may be built on the driving range but, instead, relies on a combination of Moore County ordinances and South Side covenants to limit the density of any subdivision. While the SLLA continues, in the amended agreement, to pledge to work with the developer in an open and cooperative manner, it also promises that the developer will be subject to the same decision-making criteria as any other home or lot owner, as applied by the Architectural Review Board [ARB].

 

Read more: SLLA, Club ink new deal on driving range

SLLA LogoA spirited debate on the proposed contract to outsource landscape maintenance dominated the Monday, February 14 Work Session of the Seven Lakes Landowners Association [SLLA] Board.

Opening the table to discussion, Zielsdorf said he welcomed discussion and understood the concern over the proposed $146,000 annual cost of the maintenance contract -- but, he added, the proposed expenditure was within the current budget.

“There is not one Board member here that would vote for something that would cause a dues increase,” Zielsdorf said.

But that appeared to be the only point that the entire Board could agree on when it came to outsourcing landscape maintenance.

 

Finance unanimously opposed to outsourcing

“I want to emphasize that we are not talking about just $146,000." Treasurer Denny Galford said, "We are talking about a maintenance department with a total expenditure of $347,000, which is 25 percent of the income we receive each year.”

“This is not a revenue or cost neutral thing," Galford continued. "We’re not talking spending the same amount for outsourcing or [maintaining] an in-house plan.”

Using a comparison spreadsheet and poker chips and tennis balls as props to illustrate the differences in costs and percentage of work hours between the two plans, Galford explained that the Association would actually be losing $59,000 worth of labor by outsourcing landscape maintenance. In addition, he noted, by maintaining the department in-house the Association has more opportunity to adjust costs as needed.

“Talis recommends outsourcing based on monetary and non-monetary reasons," Galford said, "but I don’t believe they have reviewed everything."

According to the Treasurer, an independent review by each member of the Finance Committee of all pertinent documents had yielded the same verdict: in-house staffing is less costly than outsourcing. Specific documents reviewed included the Talis Management Group contract; various cost studies and maintenance department analysis prepared by Don Truesdell, Bob Darr, and Bud Shaver; and bids for outsourced mowing solicited in 2009.

Read more: SLLA Board debates outsourcing maintenance

SLWLA Logo

[Update (2/14/11) — The Seven Lakes West Landowners Association has posted a map and further details about the recommended changes to the Lake Auman ski area on the community's website. Click here to download a copy.]

[This article has been corrected to reflect the fact that the proposed distance between shoreline and ski area is 125 yards, not 125 feet, as we originally reported. The correction is highlighted in the story below. The Times regrets the error.]

The ski area at Lake Auman may be expanded by as much as fifteen percent -- mainly at the north end of the lake and along the dam -- if a recommendation from the Proposed Buoy and Boating Rules Revisions Committee is approved by the Seven Lakes West Landowners Association [SLWLA] Board of Directors.

The twelve-member volunteer committee is recommending five changes to the current buoy and boating regulations; Paul Kirst presented the panel's report during the Board's Tuesday, February 8 work session.

The first recommendation is to enlarge the ski area by fifteen percent, placing buoys a minimum of 125 feet yards from all residential shoreline properties.

MapThe second change would widen the no-wake zone to include the entire area from the shore to the ski area. Kirst explained that this would create a larger area that would be safe for swimmers. The committee defined the no-wake zone as "producing no appreciable wake, with a maximum speed of five miles per hour."

The third proposed change would move the buoys guarding Johnson Point closer to the docks -- from the current 239 yards to 150 yards -- which would decrease the time it takes for boaters to get out to the large cove. The committee predicts that the increase in boat speed closer to the docks will not increase the size of wakes in this area.

The area between Johnson Point and the new ski area will be known as a “transitional speed area” in which boats that are within 125 feet of the shoreline would be limited to no wake and a speed of 5 mph max. Since the new buoy location is narrower, it could be marked with two buoys rather than the three that are currently in place. The committee also suggested adding two additional buoys near Johnson Point to protect an area where land juts out into the transitional area.

The final recommendation is for novice skiers to be allowed to start their runs at the bulkhead of the northeast side of the island before merging with traffic in the ski area. A sign on the bulkhead would mark the start location.

Responding to Kirst's presentation, Board members asked for clarification about whether the boat or the skier needs to remain within the designated buoys. Infrastructure Director John Goodman said he feared that placing buoys so close to the shore may not allow enough room for boats to safely make some turns. Kirst said he would take those concerns back to the committee to be reviewed.

Vice President John Hoffman, who presided at the meeting in the absence of President Ron Shepard, asked that the committee finalize its report and present it at the Board's February 22 meeting, with a possible Board vote on the recommendations at the March 8 Work Session. Information about the proposal and a map showing changes to the ski area will be posted for review on the Seven Lakes West website.

Read more: Larger Ski Area Recommended for Lake Auman

Foxfire LogoFoxfire Village may well wind up with 156 acres of undeveloped land, rather than $1.4 million it needs to pay for the recently completed Woodland Circle Extension project.

Quietly reading from a letter addressed to the Village Council during a Tuesday, February 1 public hearing on the project assesment, Mayor George Erickson reported that John McKeon’s legal trust has offered to give the Village its 156 acres rather than pay its $1.4 milion share of the cost.

In January, McKeon notified the Council, through his attorney, that it was not economically appropriate for him to pay the assessment using the methodology the Council had selected for allocating the cost of the project among affected property owners.

The Council’s plan called for assessing owners based on the total acreage they owned, rather than on a their proprtionate share of actual road frontage.

McKeon asked the Council to reconsider the methodology; however, the Council expressed concern that reversing course on the already approved preliminary assessment could completely negate the original petition that allowed the project to move forward.

Foxfire Village attorney Michael Brough explained that McKeon’s offer to donate the land would, in effect, provide a shorter and quicker process to reach where the Council would eventually end up if the landowner failed to pay his share: foreclosure.

 

Read more: Foxfire may get 156 acres, not $1.4 million

SLLA Logo“Education is crucial to keeping waterways safe,” Sgt. Mark Dutton of NC Wildlife Resources Commission told residents during a special presentation at the North Clubhouse on Wednesday, January 26.

Dutton and fellow Wildlife Officer Gary Caulk attended this hour long ‘meet and greet’ at the invitation of Seven Lakes Landowners Association [SLLA] Directors Bruce Keyser, Jr. and Chuck Mims, who are spearheading efforts to increase safe boating through education, improved rules and possible enforcement by the state agency.

“Our primary objective is to assist you and make your lakes a safe place for recreation,” explained Dutton. “Does that come with a price? Yes. Let’s not sugarcoat it, but you need to ask yourself some hard questions.”

“Do you want to maintain the quality of life of the place you invested in? Do you want to maintain a safe recreation atmosphere? You need to ask yourself what you’re tying to accomplish,” he said.

Of particular concern in the last year has been an uptick in reports of impaired and reckless boating on Lake Sequoia, the community’s largest lake and, arguably, most important asset.

“We have not taken these concerns lightly and we are looking at ways to curb past problems and prevent future ones,” said Director Keyser. “We want whatever we do to be a positive for the community.”

A first step towards that goal is a Boating Education Course for children and adults scheduled for Sunday, April 10, starting at 1:30 pm in the North Clubhouse. There is no fee to attend, but space is limited to thirty participants.

To register, please contact the SLLA office or visit the NCWRC website for more information on other available classes.


Read more: Wildlife officers explain state’s role on private lakes

Moore County LogoSeven Lakes could be rolled into the moribund Northwest Moore Water District if all the stars align in a creative approach to providing both Seven Lakes and Robbins ratepayers with more, less expensive water.

Public Utilities Director Dennis Brobst sketched out the concept for the Board of Commissioners during their Tuesday, February 1 regular meeting. The Northwest Moore District was created in 2004, on the heels of the county’s successful use of the independent East Moore Water District to extend its water system to residents in the eastern end of the county. Northwest Moore residents voted to borrow up to $16 million to pay to extend water lines and other infrastructure needed to bring county water to the area surrounding water.

But, in the end, not enough homes signed up for county water to make the project viable. That leaves the county with $16 million of borrowing authority that is set to expire in May.

Brobst suggested extending the Northwest Moore Water District to include both Robbins, assuming the town council approves, and Seven Lakes, which has a large enough installed base of water customers to make the District viable. The enlarged District could then borrow the $16 million already approved and use that to build a new water treatment plant in Robbins and pay for a water line to carry water from Robbins to Seven Lakes, where it would join the county system.

The estimated cost of the water line is $3.6 million, Brobst told the Commissioners; a 1.5 million gallon per day treatment plant would likely cost $6-10 million. Brobst noted that the existing Robbins water plant had been out of service for long enough that any attempt to bring it back online would have to meet the same state standards as building a new plant. In either case, the water plant would be fed by the existing reservoir and water intake owned by the Town of Robbins.

 

Read more: Seven Lakes Could Join NW Moore Water District

Moore County Logo

[This report has been updated since its first posting on February 1. The updated paragraphs appear in boldface type.]

The developer of the Dormie Club — and would-be developer of Pine Forest — has failed to meet the job-creation goals called for in a $500,000 grant that helped bring Moore County water to the upscale golf course development under construction off NC Highway 73. But the state agency that provided the funds is more interested in seeing the promised jobs created than in recouping the cash.

The North Carolina Rural Center grant that paid more than one-quarter of the cost of bringing water down NC Highway 73 from Eastwood was predicated on a simple formula: $10,000 per job. Dormie Club developer MHK Ventures, Inc. pledged to create 50 full-time jobs within a year after the project was complete. The deadline was December 31, and the job count stood at 15, not 50, according to Walter J. MacKey, Jr., a principal in MHK.

Responding to a Rural Center request for information on the number of jobs created, MacKey, in a letter to engineering firm Hobbs-Upchurch and Associates, said the development of Dormie Club had “been slowed down by construction delays, the recession, and bad weather.”

While the Dormie Club golf course is substantially complete, the club is operating out of a temporary clubhouse, and no residential properties have been developed. MacKey’s letter indicated another seven employees would be added in March, bringing the job total to twenty-two.

The 13,000 square-foot permanent clubhouse is expected to be finished by mid-2013, and the club will be fully operational by year-end 2013, Mackey writes, at which time it will be able to meet its commitment to provide 50 full-time jobs. The developer notes that his Thistle Golf Club project in Sunset Beach was completed in 2010 and now employs more than 50.

Read more: Dormie Club Misses Job Creation Target

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