Crossville Chronicle, Crossville, TN

Tansi Smoke Signals

February 28, 2012

POA board holds community meeting

Kerr: Get re-involved and let's move forward

(Continued)

Timeshare Negotiations

The POA has been negotiating with the timeshare organizations at Hiawatha Manor and Hiawatha Manor West regarding dues payments. Previously, the POA received $55 per time share week, for about $200,000 a year in POA income. The timeshare organization has offered $15 per paid week, so the POA would receive nothing for those timeshare weeks where the members have not paid their dues. That would bring the POA's timeshare income down to about $51,000, board member Chris Burke reported.

The POA has sent a counter offer, asking for $27.50 per unit, per week, regardless if that week has been paid. That would bring in about $177,320. If a deal is not reached, Kerr said the POA would stop extending benefits to those facilities. In addition, timeshares add about $50,000 in golf fees.

Timeshare dues allow timeshare members to use all Lake Tansi POA amenities during their stay and pay member rates at the golf course. There have been complaints regarding the condition of the indoor pool at Hiawatha Recreation Center, as well as complaints about those staying at the Hiawatha Manor West having to drive to the pool. Overall, complaints deal with deteriorating amenities.

"That's the pot calling the kettle black," Kerr said.

Kerr, who is a member of the Hiawatha Manor Timeshares, noted his dues had increased by $15 prior to the offer of $15 by the timeshare organization.

"If they pull out, it will be a significant loss," Kerr said.

He noted that the timeshares would have experienced catastrophic loss had the POA not helped extend sewer service to the condos.

Kerr said, "If they choose to withdraw, there will be difficult restrictions on them. Other things we do will come to a halt unless they pay for those services."

Cahill said, "If they want to keep the amenities, they'll have to pay more. We've got to get everyone paying or we'll go down the tubes."

Someone asked how the POA planned to make up the lost revenue if the timeshares stop paying. Kerr said there will be fees for timeshare guests to use amenities if the association quits the POA.

"And those will be healthy fees," he said.

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Tansi Smoke Signals
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