MEMBER ADVOCATING POINT OF VIEW

We do have Choices.

BYLAWS Section 9.02.  Limitations on Powers. This section, as presently written, has a limitation of one-year contracts on certain contracts approved by our Board of Directors.

 There is an amendment on the 2024 ballot for the Board of Directors election which will ask the members to increase this contract limitation to 4 years.  The sales pitch by the staff and the Board of Directors is trying to make us believe by extending the length of the contract this will give the association the opportunity to save money. I am sure in some cases this is a fact but there's other items that need to be considered when the actual contract is being consummated.

This would restrict future Boards if a better choice of contractor is received, or the decision that was made was found to be not as presented.

Several examples have been given. One of the recent past examples is the change in Security Service company which has as an annual savings of $88,000 for the year of 2024. The savings came about because we had a one-year limitation with our previous contractor. If we had signed a multiple-year contract with the previous contractor, we would not have been able to make the savings, but we would have had to abide by the previous contract.  Just remember we were told by staff just a year ago that it was a great contract.

Another example is the change in landscape company requirements that projects savings of $174,000 for the 2024 budget year. That came about because the Association made changes to our requirements that reduced the costs. If we had not had this negotiation and we had been bound by multiple year contract, we would not have gotten the savings.

A more recent example is the one that happened this last month regarding parts purchase for the IT switch replacement agreement. They had a multiple selection of service contract length. The one-year contract service contract was for $1600.  A three-year service agreement total cost was $4475. This additional cost must be paid upfront when you sign the three-year service agreement. The $100 savings is reduced when all items such as interest lost and ability to get out of an unfavorable contract are taken into consideration.   

Pat Kightlinger