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Other news from this meeting

Deer Creek Hills plans, picnic discussed

Gate policy approved

Laptop computers funded

Emergency cable repairs approved

Joint Security Committee meetings open to public

New committee members


 

RMA wants legal advice on challenging three development issues

Expanded Sunday, May 29, 2005
First published Monday, May 23, 2005

The Rancho Murieta Association board of directors will seek legal opinions that could result in overturning agreements negotiated by previous RMA boards and possibly lead to litigation.

The Rancho Murieta Development Concerned Citizens Committee, which opposes current plans for development on the North, asked the board last month to direct RMA legal counsel Berding & Weil LLP to produce legal opinions on four issues:

  • The validity of the Letter Agreement, which outlined the settlement terms of a 1996 lawsuit between the RMA and the Pension Trust Fund of the Operating Engineers.
  • The legality of the Mutual Benefit Agreement, which is the final settlement of the lawsuit. The MBA, a plan for the final development of Murieta North, was signed by the RMA and the PTF and recorded last year.
  • The question of whether the county can require new development to annex to the RMA. The RMDCCC maintains that the county has this authority.
  • Whether the county’s low-income housing ordinance is applicable to Rancho Murieta.

When the directors considered the matter this month, several RMDCCC members were among the six people who addressed the board in support of obtaining and acting on the opinions.

The board unanimously agreed to send all but the affordable housing issue on to counsel for review. The board opted to wait for the outcome of a lawsuit challenging the ordinance that was filed against the county in March by a home developers’ organization, the Building Industry Association of Superior California.

With the exception of Director Dick Cox, most of the directors approved the legal opinion requests with little comment.

Cox said, “I believe we now have a majority on this board that is working, trying to work in the interests of this community. … We will do what we can do to make things happen in this community the way this community wants them. That’s my personal opinion. It’s also my opinion as a board member.”

While previous boards were “absolutely smitten” with legal representation that had ties to developers, the association’s current counsel sues developers, he said. The audience of about a dozen applauded his remarks.

When Director Pamela Haines said that it could cost a lot of money to pursue the annexation issue with the county, Cox responded, “The community doesn’t object to us spending that money.”

President Paul Gumbinger pointed out that, at this point, “not much money” was being spent.

During the public comments, former RMA President Dorothy Nordeen spoke about the association’s requirements for annexation, explaining that the CC&Rs adopted by the community in 1996 were amended in 1998 to make annexation on the North possible through a vote of the board instead of requiring the 60 percent vote of the membership set forth in the CC&Rs. Board approval of annexation is predicated on a developer’s compliance with the governing documents.

Although Nordeen said the 1996 CC&Rs, which are in effect today, were intended to “bring the community together,” there are important differences with regard to development on the North and South. Under the governing documents, the South developer can retain architectural control of his development and build production homes, but still annex through a vote of the board.

For the North developer to annex, compliance with the governing documents comes down to building custom homes instead of production homes or being able to get 60 percent of the membership to accept the development plan.

Murieta Holdings developers have maintained the development they propose can’t annex because RMA members wouldn’t approve a plan with production homes. Instead, a new association was formed for the development they propose and its CC&Rs were drafted to mirror the RMA’s.

Under the terms of the MBA, new subdivisions will pay the RMA an assessment equivalent to RMA dues through their homeowners association. The MBA allows for the possibility that the two master associations could eventually merge.

RMDCCC members say it is within the county’s power to require annexation on the RMA’s terms.

RMDCCC member Janis Eckard spoke several times at the meeting, maintaining there are grounds for “nullifying the MBA.” She characterized previous boards as violating their fiduciary responsibilities by approving the MBA.

“We are putting the board on notice that if you do not find the means of voiding the MBA that the (RMDCCC) will be forced to take legal action,” said Eckard.

She also brought up issues related to the environmental impact report for the Residences of Murieta Hills and the Retreat projects proposed for Murieta North. Gumbinger said the issues would be discussed at a special RMA board meeting dealing with the EIR, which takes place Thursday, May 26, at 7 p.m. at the RMA Building.

Resident Don Sams said the Letter Agreement and the MBA were the result of “secret negotiations.”

The Letter Agreement was signed in 1997 and outlines the terms of settlement of a 1996 lawsuit between the Pension Trust Fund of the Operating Engineers and the RMA. The MBA is the final settlement of the lawsuit and defines terms for the development of the remaining PTF property in Murieta North.

In the RMA’s June 1997 newsletter, Nordeen, then the president of the RMA, wrote that the decision to settle the lawsuit was unanimous, although the board split 5-2 on the terms of the settlement. Then-RMA Director John Merchant (now the president of the Community Services District) wrote in the same newsletter, “We insisted on early title to insure that the property will be owned (controlled) by us and that the parcel locations are pre-established. … If a new developer does not annex to our association, RMA is guaranteed access to park locations that are owned by RMA inside other association areas…”

When the MBA recorded last year, the RMA received title to the Stonehouse, Clementia, Calero, and Murieta Parkway park sites. The association is now in the process of preparing a site plan for improvements to the North Gate that will be paid for with $1.4 million of developer money under the terms of the MBA. The RMA will retain ownership of the gate.

Deer Creek Hills plans, picnic discussed

The board approved the Sacramento Valley Conservancy’s plans to hold a picnic at Lake Clementia Amphitheater on June 12. Aimee Rutledge, executive director of the conservancy, extended an invitation to Rancho Murieta residents, and said she would provide a list to the RMA of the 20 to 30 non-residents who would be attending as guests of the conservancy.

The conservancy bought Deer Creek Hills, the 4,000 acres of land that adjoins Rancho Murieta on the north and east, to preserve it from development two years ago. A master plan for the management of the site is now underway. A draft version is expected to be released late this summer.

“We’re looking to better inform people about the Sacramento Valley Conservancy and its mission,” Rutledge said. The group wants to consider potential opportunities to preserve open space near Deer Creek Hills, “and possibly along the border of Deer Creek Hills and Rancho Murieta,” she told the directors. “We’re really excited about establishing a good relationship with people in Rancho Murieta.…”

Access to Deer Creek Hills is now limited to docent-led tours in late winter and through the spring. The last scheduled tour is May 28. “There could be more public access in the future,” if there is sufficient security and if it doesn’t interfere with the grazing operation, Rutledge said.

The conservancy may look into the feasibility of working with landowners to close the unpaved parts of Latrobe and/or Michigan Bar roads to general vehicular traffic, as has been suggested at some of the workshops for the Deer Creek Hills master plan, although Rutledge added, “None of this is in any way final.”

The unpaved portion of Latrobe Road that’s behind Lake Calero has been a problem area for Rancho Murieta residents who have reported the sound of gunfire to Security on numerous occasions. The area has been the scene of target-shooting and late-night parties and a dumping ground for abandoned or stolen cars.

Rutledge said the conservancy has worked to clean up the area. She credited resident Roger Brandt, a Deer Creek Hills docent, with leading the effort.

Gate policy approved

The board adopted a gate policy that requires gate officers to hand out passes to construction workers and mandates different color barcodes for Murieta Village, non-resident Country Club members and Villas residents (the Villas does not belong to the RMA). See policy here.

Laptop computers funded

The board approved spending up to $17,000 to purchase laptop computers for the board and three staff members as a start toward a paperless future. The move is expected to save the association $5,000 a year and reduce the amount of time the staff now spends preparing board packets.

A contract for increased computer security services was also approved as a related expense.

Emergency cable repairs approved

The board approved the expenditure of $7,600 to cover the cost of emergency cable repairs to correct reception and signal leakage problems. The Villas will be billed about $1,000 of that amount for its share of the repairs.

Joint Security Committee meetings open to public

The board redid last month’s vote on the restructuring of the Joint Security Committee and decided the meetings between RMA and CSD directors will be open to the public.

New committee members

Alternate Don Sams was selected to replace Jack Copeland on the Compliance Committee and alternate Donna McLeod will take Joe Ramage’s place on the Finance Committee.



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