By Maggie Beamguard
The Seven Lakes Landowners Association (SLLA) will put forward a 2025/2026 operating budget for a vote by landowners that includes a $100 dues increase.
The recommendation follows three months of financial review and input from the community during three open board meetings.
In a statement to the Seven Lakes Insider, SLLA President Heather Guild and Treasurer Amber Johnson shared more about the anticipated financial needs of the community and the calculus behind the recommendation. “The increase will fund the 2025/2026 operating budget and ensures SLLA reserve accounts are sufficiently funded for capital projects like the $2.2 million Sequoia Dam bottom for which construction is expected to begin in late 2025.
“Membership approval of the $100 increase will raise the annual assessment to $1,400 for the upcoming fiscal year and all future years until the membership approves another dues change. Importantly, the recommendation provides pool, yard debris transfer station, stables, and office hours at the same level as fiscal year 2024/2025, continues a high standard of maintenance and repair of all SLLA buildings and grounds and reinstates funding for July 4, 2025 fireworks.”
The annual fireworks were among the compromises made when last year’s dues increase failed to pass. They were slated to be canceled in order to balance the budget. A grassroots effort led by resident Kameron Randall raised enough funds through donations to allow the show to take place.
Unlike Seven Lakes West, SLLA does not fall under the state’s Planned Community Act, which means that the approval of any budget increase requires only a majority of those homeowners who actually vote. Under the Planned Community Act, unreturned resident ballots are essentially counted as “yes” votes, which makes it a little easier to obtain a majority on any dues increase.
The majority of landowners who voted last year voted down the board’s recommended increase for 2024/2025. A modest 4.1 percent dues increase of $50 was approved for 2023/2024.
“Please keep in mind the last dues increase was in 2023,” read the statement. “Over the past 2 years inflation has risen by more than 7 percent and has negatively impacted all costs associated with keeping over 50 acres of common area, 7 lakes and dams, 15 buildings, 26 miles of roads, and favorite amenities like the pool, tennis and pickleball courts, stables, and yard debris transfer station in very good condition.
“Over the past two years, the Board community management team have successfully negotiated long-term service contracts to our benefit and secured lower cost bids for one-off projects without compromising quality.
“Those initiatives will continue. However, moving forward, on their own these efforts will not make up the difference between the cost of maintaining everything the SLLA has to offer and the 3-4 percent annual inflation trend that shows no slowing down.”
Guild and Johnson also highlight the value amenities add to the community. “Over the past five years the SLLA has become one of the most desirable neighborhoods in the Sandhills because it has taken care of and in many cases improved its amenities and infrastructure in meaningful ways. With more amenities than any other HOA in the area, the SLLA has become a community beyond retirees and second homeowners as it has welcomed an estimated 40 percent rise in young families and working professionals. There is something for everybody in this community which is one of its charms and a primary reason home values have increased between 70 percent-100 percent since 2020.”
With expensive and necessary dam projects in the works, the board hopes that residents will consider the benefits of investing in the community and vote for the increase.
“It is critical for the SLLA membership to approve the $100 dues increase so the Board and property management team can continue to protect and enhance our beautiful, active, and welcoming community,” Guild and Johnson write.
“In addition to the NC State mandated Sequoia Dam bottom drain project estimated at $2.2 million, over the next fiscal year we have a necessary $125,000 repair to the Big J toe drain, a $500,000 repair to the Longleaf main spillway drain, and $100,000 to resurface and replace 8 skimmers for the pool.”
“With a 50-year-old infrastructure, these repairs are part of normal maintenance and must be completed. If they are not, and the ‘can is kicked down the road,’ the cost to make these repairs will triple as conditions worsen. Thirty percent of dues goes toward the SLLA reserves funds to cover expenses such as these. If the dues remain static, the reserve funds will not be adequate to cover the costs, and the work will not get done.”
