Reflection Lake Community,
This was presented at our annual meeting from the current RWA board and several members have requested it be sent out to the whole community. This provides a good timeline of what has happened with the Water Association. We hope it gives you a better understanding. Here it is:
In September of 2022 the East side water members and owners had the third election since September of 2021 to replace the RWA board of directors. In March of 2022 an election was held legally by the owners to remove and replace for cause the then current RWA board. This election was certified by their own attorney, paid for by the members, and they were advised by their attorney to step down and turn over all assets to the newly elected board. The attorney Mike Connelly was then removed by them and nothing was turned over. After that Powers and Weeks were the only members of the RWA board. They held no meetings, broke bylaws and seemingly deemed the RWA their possession. It was uninsured. Powers is still contesting the RLCA election of 2020 as if the owners have no say in who leads their board! Rather than start another years long lawsuit, the RWA members/owners held one more election in September of 2022. This time Susan Weeks and Jim Powers turned over some books and property but the laptop paid for by the members/owners was wiped clean and was unusable and corrupted. Jim Powers refused to step down. He was relieved of his treasurer duties at the first board meeting. He then froze the bank account and the Watson Management account saying he did not recognize the new board. At the next meeting he was officially removed from the RWA board. Banner Bank was not about to sue him again since he did the same thing to the RLCA and is still appealing that one. Jim Powers told our new treasurer he withdrew the approximately $65,000 of the RWA members money and said he was keeping it at his house. He has not contested any of our elections and it is beyond time for him to surrender the RWA funds.
With this merger of the RWA into the RLCA he will be remanded to turn over this money to the RWA owners. In November 2022 the new board opened a new bank account with Washington Trust and started fresh. Watson released what funds they were holding to us and Wayne Moore and myself (Charlie Bennett) became governing agents for RWA with the Secretary of State. The new RWA board has adhered to the bylaws and used corporate resolutions. We hired a level 4 water operator and we take nothing for ourselves. Our operator is qualified at the highest level and can do all hookups, backflows, and upgrades. In fact he was the teacher of Stevens PUD’s manager. He charges us $500 per month. The old RWA board was paying a level 1 operator and Susan Weeks $900 monthly plus all water board members were getting $50 in water, the secretary $200 a month, and a manager $600 per year. None of them were certified to do repairs or hookups. These payments were against the bylaws. We have a very simple and good water system. The water just flows right into the cistern, there is no well!! Currently the actual cost per household is less than $58 per month. When we get our reserve account back, we will look into lowering the rates (perhaps when Powers gives our $65,000 back, if it even exists still?) Powers and Weeks sent letters to the owners in 2021 announcing that some members would be paying 700,800, even 900 dollars per month for wate. Outrageous!!
We will also be looking to access state grants from the bi-partisan infrastructure bill passed in 2021. We were offered up to $2 million for the entire lake community but could not apply due to the Lee/Powers et al. lawsuit. The water system now has $7 million dollars in liability insurance ($5 million with the water operator and $2 million in case of a main break etc) and even terrorism insurance. This is all paid for by the users. (We were the first in WA state to buy this policy.) And for the first time, with this merger, we have an indemnity agreement with the West side members assuring that only the East side users will be assessed for repairs or damages. This has all been certified by attorneys and the Secretary of State. Presented by the RWA Board I Ymig
Yht add that any member at any time can offer a vote to the entire community to give away our private water system to a private/for profit PUD. But as the manager of Stevens PUD asked, why would you do that?? Last year he was with me at the state conference in October as well as Fire Chief Neckels from FD 4. They both received grants this spring as we would have but for the lawsuits against this community. Our water committee is strong, unified and dedicated to this community!
Charlie Bennett
In the coming weeks and months the Board of Directors will sit down with the current water system committee members and work up a management contract. This contract will include policies for the management of the water system. No RLCA general funds will be commingled with water system funds(separate bank accounts), all operating expenses will only be paid for by water system users, the water system will maintain liability insurance, etc.
Hopefully in the coming months the bylaws committee can work these policies into bylaws amendments, along with the other proposals.
Regards,
Joe Kokinda
RLCA President