A board meeting vignette – Palm trees more important than lawsuits – Click “News” tab above
2023 was an interesting year for KA Board followers. Some highlights:
1. The lawsuit over the Board unlawfully filing new deed restrictions in 2017 granting itself extensive authority over KA has entered its fourth year. Though then President Dave Foster and Secretary Deborah Kahanek personally attested on the filing that they had “satisfied all requirements of law for amending the original restrictions…,” it flew in the face of both Texas law and the governing documents.
Upon legal challenge, with new President Lynn Powers on the witness stand, the Association convinced the Court to require that all owners be individually sued for the Board’s actions. The Texas Supreme Court unanimously rejected that bizarre ploy on 5-12-23.
Today, six and a half years after the unlawful filing, with untold tens of thousands of dollars in legal fees down the drain, and facing an inevitable loss, current President Myatt Hancock and the Board remain intransigent, using other people’s money to continue the fight.
2. The lawsuit over the Board’s violating both Texas law and the Bylaws in the August 2022 election to amend the Bylaws to allow electronic meetings and voting is in its second year. Same board, same president, same source of funds.
3. Undeterred by legal challenges to its usurpation of authority and unlawful acts, the Board dished up more of the same last November. Inviting another lawsuit, President Myatt Hancock filed without notice a “Violation Enforcement Policy” that:
a. Falsely claims the Board has sweeping enforcement authority over KA that includes, but isn’t limited to, “Property Maintenance, Vehicle Storage and Prohibitions, Landscape Maintenance, Exterior Improvements, Nuisance Violations, Leases and Property Use.”
b. Sets an enforcement schedule that starts with a $35 fine for any violation not resolved within 10 days of notice, rapidly escalates to $100 every 10 days, and ends with referral to “the attorney,” who “will pursue all available [legal] action…”
c. Says the Board may change the policy, which was filed without notice, without notice.
4. In a transparent Hail Mary attempt to get around the deed restriction lawsuit, Myatt Hancock and the Board, with the exception of Forrest Word, schemed to get owners to agree to allow a super-minority, 13%, to change the deed restrictions.
They set an election for Unit IV to approve the change, to be followed in turn by the other Units. As usual they solicited proxies, no doubt hoping unsuspecting owners would submit them under the assumption that the Board was acting in good faith. Unit IV didn’t fall for it. After counting the responses, the Board called the election off.
5. The “Board of Directors” sent owners a letter complaining that opposition to the actions of its “conscientious volunteer” members, who “have distinguished themselves in their business and civic communities,” had now spread from “disgruntled”owners to one of their own, board member Forrest Word.
Mr. Word’s failing? He didn’t march in lockstep with his conscientious and distinguished fellows. He didn’t support either the unlawful Bylaws amendment election or the asking of owners to turn their property rights over to 13% of their neighbors.
The pseudonanonomously signed letter urged owners “to contact any of us and we will be glad to give you the straight facts.” It gave no Board member names or contact information. The last line on the email version reads: IMPORTANT NOTE: This email is not monitored. Do not reply.
2024 is shaping up to be just as interesting:
1. The Board changed pool access from a one-time $25 pool fob purchase to a $50 one year pool fob rental, renewed annually at $39 plus tax and mandatory credit card fee.
2. President Hancock announced at the 1/15/24 board meeting that Brink Brinkerhoff and Deborah Kahanek were resigning, effective immediately. Both are three-term staunch advocates of the Board’s arrogating power over owners and the island.
Why might the two, who’ve spent so many years as directors on a mission, simultaneously resign less than six weeks before the annual meeting? I believe there’s two reasons. First, because it triggers a bylaws clause allowing the Board to pick their replacements, without an owner vote, at the next board meeting. So, in February the owners will be allowed to vote on two positions at the annual meeting and the Board will directly appoint two positions at their board meeting. Two for you, two for the Board.
I believe the second reason is to avoid blowback from both the scheme and their selections by timing it with the annual meeting and keeping owners in the dark. Who might the Board pick? I’m betting on the aforementioned past presidents Dave Foster and Lynn Powers.
And the beat goes on.
