2013 DELEGATE

ORIENTATION

Enhancing property values and creat ing qual i ty of l i fe through

recreat ion, community events , and leadership.

HRCA Mission Statement

Vision

Building a lifestyle you want to live

Flowchart

Board of Directors

Ad HocBackcountry Planning

Areas Committee

DRC, Finance, CRC, Tribunal

CEO/GM

Architectural Committee

Delegates

Directors

Christina Caputo,

Vice President

Craig Ziesman,

Vice PresidentJeff Suntken,

Treasurer

Brock Norris,

Secretary

Scott Lemmon,

President

Governing Documents

• Community Declaration (CC&R’s)

• Covenants, Conditions, and Restrictions• Recorded against every Privately Owned Site• Contract between Owner and the HRCA

• Supplemental Declaration

• Articles of Incorporation

• Bylaws

Terms

• Duty: Binding legal obligation

• Power: Ability to accomplish objective

• Liability: Corporate and/or personal

Directors Visionary Statementsand Objectives

Provide first class recreational amenities and programming

• Provide events and venues that enhance our community lifestyle

• Seek new, innovative programs and events

• Recognize and promote opportunities for volunteerism

Build the Backcountry Wilderness Area to be the heart of Highlands Ranch

• Create and implement a master plan for the Backcountry Wilderness Area

• Evaluate and implement recreational activities, programming and potential partnerships

Foster development that drives sustainable economic growth and supports our mission

• Identify and advance economic opportunities that enhance Highlands Ranch and are in the best interest

of our residents

• Lead community stakeholders to ensure an appropriate balance of commercial, residential, recreational

and open space development

Define our distinct Highlands Ranch community lifestyle

• Identify and implement high profile experiences that strengthen the community

• Promote the brand that attracts businesses and residents

Community Declaration

• Section 2.20 and 2.21 define Delegate and District Delegate

• Section 4.4 Establishment of Delegate District

• Section 4.6 Voting Rights of Delegates

• Section 4.7 Delegates Representing Members Entitled to Recreation Centers

Bylaws

• Section 5 address Delegates in General• Voting• Qualifications• Term of Office• Removal• Resignation• Vacancies

• Section 6 Meetings of Delegates

What is a Delegate?

• Delegate shall mean the natural person selected by

members within a Delegate District to represent such

Delegate District and to cast votes on behalf of

members within the Delegate District as provided in

the Community Declaration

Delegate Duties and Powers

• Delegates cast votes to represent the Members of the district, one vote per privately owned site

• Delegates may vote by proxy

• Attendance at the monthly Delegate Meeting and Board of Directors meeting is necessary for the Delegate to adequately represent the District and understand the issues before the community

• The regular Delegate Meetings provide oversight for expenditures for the HRCA recreational facilities

Delegate Duties and Powers

• The President and Secretary of the HRCA (Board of Directors) preside over meetings of Delegates pursuant to the Bylaws

• Meetings of Delegates may be called to approve increases in Common Assessments above the allowable amount

• The Annual Meeting of Delegates is set for the Delegates to elect candidates to the Board of Directors

• The Delegates have authority to amend the bylaws of the HRCA with conditions, but not to amend the Community Declaration

Delegate Duties and Powers

•Rules and regulations for the use /operation of the Recreation Facilities

•Propose increases and/or reductions for the Recreation Function Common Assessments (RFCA’s) necessary for the operation of the Recreation Center

•Propose improvements to the Recreation Facilities

•Propose recommendations to improve operating systems for the members

Delegate Map

HRCA Committees

Architectural Committee (AC)

• Reviews exterior property improvements

• Promulgates rules

• Reviews variance request

• Non-compliance notices

HRCA Tribunal

• Hearing procedure and recommendation to the HRCA Board of Directors

• Section X Community Declaration

• Section XII Bylaws

Development Review Committee (DRC)

• Notify all Delegates of DRC Agenda projects in Highlands Ranch or adjacent area

• Referral Agency

• No Authority

Finance Committee

• $21.73M budget for 2012

• 9 members

• Monthly financial review

• Budget review

Organizational Chart

Responsibilities

Peggy Zack,

Deputy General Manager

Risk Management

• Goal: to reduce exposure for HRCA, HRCSF, and HRCAA

• Comprehensive coverage: Property, Liability, Directors & Officers/Employment Practices, Professional Liability for Property Management, Workers Compensation

• Assist Sub-Associations in Risk Management

Departments Managed

• Human Resources

- Linda Dorre, HR and Payroll Functions

• Finance

- Harry Daughters, Assessments, Accounting, Budgeting,

Investment Management

• Community Relations

- Jamie Noebel, Communications, Media Relations,

Events

• Property Management

Property Management Services (Brian Sheppelman)

• 21 Homeowner’s Associations

• Three Full-Time Property Managers

• Quality - Professional People

- Higher Levels of Service

• Timely – Efficient Follow-through

• Reduce Costs

Properties

• Bradford Hills

• Brownstones

• Coventry Ridge

• Falcon Hills

• Falcon Hills South

• Gleneagles Village

• Gold Peak

• Golf Club

• Highland Walk (3)

• HighWoods

• Indigo Hills

• Remington Bluffs

• Silver Mesa

• Spaces

• Stonebury

• Timberline Ridge

• Turnbury / Birkdale

• Weatherstone

• Westridge Knolls

Accounting and Finance

Harry Daughters, Financial Controller

Overview of Accounting Functions

• Financial Reporting• Accrual Basis• Balance Sheet and Income Statement

• Quarterly assessment billing and collections

• Accounts payable & Cash Disbursements

• Data Base Management• Rec Trac – Recreation Programs• Solomon – Accounting System• FRX – Reporting

• Banking and Investments

• Sub Association – Financials for 22 Associations

• Budget Process

• Audit and Tax Preparation

Financial Statements

Revenues• Assessments• Recreation Operations & Programs• Sub-Association Management• Community Events

Expenses• Administrative • Facility Operations• Program Expenses

Transfers

• Bonds and Interest Payable• Reserve Funds

Finance Committee

• Ten Committee Members• Treasurer Serves as Chair on Finance Committee• Background and Experience

• From Banking, Consulting, Telecommunications, CPA, Financial Analyst, Defense and Government

• Participation • Monthly meetings – 350 Hours

• Budget Process meetings – 250 Hours• Audit Review – 50 Hours

Finance Committee Role

• Monthly review of HRCA Financial Statements

• Balance Sheet Variance From Prior Month

• Admin and Recreation Income Statement Variances

• Negative variances in excess of 10% and $2,500

• Positive variances in excess of 25% and $5,000

• Program Analysis

•Review of Recreation Programs

•Variance of Actual Results Compared to Budget

• Investments

Finance Committee Role

• Quarterly Review

• Sub-Association P & L

• HR Backcountry

• HR Cultural Affairs Association

• HR Community Scholarship Fund

• HRCA Capital / Reserves Expenditures

• Annual Review

• Budget process

• Audit review

• Tax returns

Budgets

• Budget Message and Assumptions

• Operating Budgets• Administrative• Backcountry• Recreation

• Capital & Reserve Budgets

• Cash Flow Projections by Fund

Budget Process

• June - BWS Planning Session

• June to August - Draft Budget PreparedOver 250 Hours of Staff/Supervisor Time

• August to October - Finance Committee Review7 meetings to Review HRCA, HRCAA & HRCSFMeetings are open to board, delegates and homeowners

• October - Board Review with Finance CommitteePresentation to Delegates

• November - Board of Directors Adopts Budget

Combined Balance Sheet

• Balance Sheet as of 12/31/2012

• Administrative Funds $ 2,464,000

• Recreation Funds $ 6,435,000

• Backcountry Funds $ 426,000

• OSCA Fund $ 2,208,000

• Debt Service & Plant Fund $38,635,000

• Total Funds $50,168,000

Administrative Fund

FYE 2012 Administrative Income Statement

Revenues $ 3,071,300

Less: Operating Expenses $ 2,957,400

Net Operating Income $ 113,900

Less: Transfers• Capital & Reserves $ 41,900

Net Operating Profit $ 72,000

Recreation Fund

FYE 2012 Recreation Income Statement

Revenues $ 18,498,400

Less: Operating Expenses $ 13,302,600

Net Operating Income $ 5,195,800

Less: Transfers

•Bonds $ 3,584,100

•Capital & Reserves $ 755,200

•Backcountry transfer $ 185,000

•Total Transfers $ 4,524,300

Net Operating Loss $ 671,500

HRCA Human Resources

Linda Dorré,

Human Resources Manager

Employee Resources as of 4/12/2013

• 820 Employees

• Summer Seasonal Employees 100 - 125

• 110 Full-Time Employees

Recruitment & Selection

• Attracting and choosing the best candidates

• Decentralized hiring by supervisory staff responsible for specific functions

• 73% of HRCA employees Live in Highlands Ranch

Employee Benefits andCompensation

• 110 Benefited employees

• Utilize Broker (CoBiz) for annual benefit renewal for health, dental, life, STD & LTD

• Compensation – participate in MSEC compensation focus groups and surveys utilizing compiled results

Employee Relations

• Maintain employer-employee relationships

• Preventing and resolving problems

• Correcting poor performance & employee misconduct

• Ongoing training

• Personnel policies & procedures manual

• Employee relations committee

Payroll

• Bi-weekly payroll, 26 pay periods per year

• 4/12/2013 – 820 employees in payroll

- 29% of employees between ages of 15-19

- 21% of employees are 50 and older

• Green Initiative - offer direct deposit and employee self-service

Highlands Ranch Community Scholarship Fund

• Established 2003

• 501(c)3 Designation

• $1,000 scholarships benefitting graduating seniors

in Highlands Ranch

• Funded by donations, corporate sponsorships &

fund raising events

• $167,000 awarded since inception

Community Relations

Jamie Noebel,

Community Relations

Manager

HRCA Mission Statement

Enhancing property values and creating

quality of life through recreation,

community events,and leadership.

It’s All Right Here!

Community Relations

• Media Relations

• Newsletter, Activity Guide, e-Me email blast

• Communication to Members

• Community Partners/Sponsors

• Community Events

• Cultural Affairs Association

• General Manager, Deputy General Manager, and Community Relations Manager are authorized to speak on behalf of the HRCA

• Weekly correspondence with-Highlands Ranch Herald-Highlands Ranch Your Hub

• Program and event media releases and advisories

• Annual clipping file of all media stories

Media Relations

Publications - Communications

• HRCA News monthly newsletter

• (27,000 mailed plus 3271 emailed)

• Activity Guide – 3 times per year

• (26,395 mailed plus 2876 emailed)

• Web Site - HRCAonline.org

• E-me: Meanwhile Back @ the Ranch

• Email blast to 29,958

• Volunteer Update – Delegate, BOD, and Committee info

• Email blast to 158 volunteers

• Annual Community Calendar

• “Click It!” Highlands Ranch online directory

• Welcome Booklet – Info given to new residents

• Web calendar of events & programs

• Event/Weather Line: 303-471-8888

Community Partners

CURRENT PARTNERS

• Alphagraphics • Bellco Credit Union • Cherry Hills Community

Church • Children’s Hospital• Corner Bakery Cafe • Culligan Water • Grace Presbyterian Church• Littleton Adventist Hospital• M4 Roofing & Gutters• Metro District • Nicolo’s Pizza• Noodles and Company• One Clear Choice Garage

Doors• OnPoint Urgent Care

• Pacific Dental (Redstone)• Pro Disposal• Rothgerber Johnson & Lyons• Sam’s Club• Schomp Honda• Shea Homes• Sky Ridge Medical Center• Groove Automotive• Tattered Cover Book Store• Wells Fargo• Whole Foods• Wind Crest

Annual Sponsor Benefits:

• Marketing in the facilities

• Advertising in the Activity Guide

• Logo recognition on flyers,

Newsletter and Activity Guide

• Participation in Events

• $127,500 Sponsorship Revenue

Community Events

Ranch Hand Volunteers

88 volunteers

Incentive Program

Assisting with events

Training and orientation twice a year

971 Total Volunteer Hours

Over 54,372 attendees at HRCA Events

• Beverage Tastings

• Rodeo on the Ranch

• Taste of Highlands Ranch

• Easter Egg Hunt

• Carnival/Circus

• Farmers’, Street, & Winter Markets

• 4th of July Parade & Celebration

• Trick or Treat Street

• Hometown Holiday

• Recycling events

• Doggie Splash

• Touch-a-Truck

• Father/Daughter Sweetheart Ball

• Home Improvement Expo

• Craft and Gift Shows

• Paranormal Party

• Film in the Park

• And more!

226 Volunteer Hours to Service Programs

Cultural Affairs

AssociationThe Highlands Ranch Cultural Affairs Association (CAA) is a 501(C) 3

organization, formed in 2001, to address the need for a cultural foundation

in the rapidly growing community of Highlands Ranch. The CAA provides a

central organization from which educational, artistic, musical, theatrical, and

dance events are provided to the residents of Highlands Ranch and

surrounding communities.

• $217,550 budget for 2013

• Art Encounters – Public Art Program

• SCFD Funding Grant

• $80,000 budget for 2013

Over 30 Cultural Programs = 34,476 attendeesWinter Cultural Series Highlands Ranch Days

Hooked on Fishing Kid’s and Ladies’ Fishing on the Fly

Summer Concert Series Murder Mystery Theater

Jazz at the Mansion End-of-Summer Concert

Oktoberfest Culture on the Green Series

Chinese New Year Showtime at Southridge Series

Classic Car Show

Ken Joseph,

Operations and Programs Manager

Operations and Programs

Common Features

- Indoor/Outdoor Pools (19 bodies of water)

- Running Tracks

- Gyms

- Fitness/Dance Studios

- Weights

- Exercise Machines (300+)

Facilities

Recreation Center at Northridge

62,685 Sq. Ft.

• Special Features• Tennis Pavilion• Racquetball Courts • Gym• Saunas

• Major Programs

• Tennis/ Racquetball/ Aerobics

• Competitive Swimming - Swim Meets

Recreation Center at Southridge

72,000 Sq. Ft.

Special Features

• Auditorium

• Commercial Kitchen

• Senior Lounge

• Pottery Studio

• Pools – Kid’s Play Area

• Current Channel – Log Walk

• Fitness Pool

Major Programs

• Volleyball - Martial Arts - Theater - Pottery - Art - Cooking

Recreation Center at Eastridge

85,000 Sq. Ft.

Special Features

• Children’s (Frog) Pool

• Indoor Outdoor Water Slides

• Steam Room

• Climbing Wall

• Sand Volleyball Courts - Outdoor

Major Programs

• Swim Lessons – Basketball - Dance

• Children’s Programs – Pre-School – Day Camp

Recreation Center at Westridge

72,000 Sq. Ft.

Special Features

• Indoor Synthetic Turf

• Spin Cycle Studio

• Batting Cages

• Pitching Structure

• Outdoor Children’s (Whale) Pool

Major Programs

• Soccer – Lacrosse - Flag Football

• Spin Cycling Classes

• Martial Arts

• Children’s Programs - Pre-School

Facility Management

• Recreation Property - 35 Acres

• Facilities - 6.6 Acres (330,000 Sq. Ft.)

• Open 17 Hrs./Day - 7 Days/Wk. - 361 Days/Yr.

• 5000 + Visits/Day

• Janitorial

• Membership - (New Residents)

• Registration - (Programs & Events)

• Customer Service - Member Relations

Operations Management

Energy Conservation

• Lighting Retrofits - CFL’S - LED Building Sign (NR)

• Motion Sensors - Solar Panels - Thermal Equalizers

Operating Fund - Reserve Fund - Fiscal Management

• Action Items - Expense Control - Reserve Study

• Capital/Reserve Project Mgt.

Safety

• Minimize Injuries - Trend Analysis - Safety Culture

• Worker’s Comp. Experience Modification Factor -- 0.80

• Healthy Living Culture - Exercise Contest

Security

• CCTV Cameras - Enhancement - DCSO

Training

• New Hires - Policies - Safety/OSHA - Software

$4.6 Million Business Function

• Aquatics Department

• Youth and Adult and Education Department

• Sports and Fitness Department

Programs Management

Aquatics Management(Diane Ball)

Supervisor

(2) Coordinators

• Group - Private Swim Lessons

• Coached Aquatics - Swim Teams

• Diving / Scuba / Snorkeling / Infant Swimming

• Birthday Parties

Supervisor

(4) Coordinators

• Children’s – Youth - Teen

• Ballet – Crafts - Classes

• Day Camps

• Preschools

• Adult Art and Education Classes

Youth Services(Meredith Parker)

Supervisor

(5) Coordinators

• Fitness

• Martial Arts

• Sports Leagues - Camps

• Tennis

• Race Series

• Therapeutic Recreation

Sports & Fitness

(Chris Lucas)

• Facilities

• Maintenance Services

Assistant Operations Manager

(Mark Gunther)

Maintenance Services

(Steve Lang)

• Preventative Maintenance

• HVAC - Plumbing - Electrical

• Pools - Pumps - Motors

• Boilers

• Light Construction

• Painting - Dry Wall - Tile

• Cardio Machines

• Landscaping - Fences

• Snow Removal

• Events - Set-up - Tear-down

Backcountry Wilderness Area

Mark Giebel,

Backcountry Wilderness

Area Supervisor

Mission

To provide visitors with unprecedented

opportunities to enjoy nature near where

they live, while protecting and

conserving natural, cultural,

archeological, and historical resources

for the enjoyment of future generations.

Development Plan

Backcountry Wilderness Area(OSCA Plan)

Backcountry Area Map

Important Dates

1988 • OSCA Agreement, Set aside the 8,200 acres

1996• Wildcat Regional Park Agreement

1997• Shea Homes purchases Highlands Ranch from Mission Viejo

More Important Dates

June 2000• Douglas County approved the Highlands Ranch OSCA plan

which outlined allowed uses in certain sections of the property, basically a zoning document for OSCA

2002• HRCA Management Plan completed

June 2002• Strategic Planning Committee presents recommendations

to the Board

More Important Dates

January 2006 • Shea Homes and the HRCA complete the early conveyance of two parcels.• 811 acres and 63 acres for a total of 874 acres.• OSCA officially becomes known as The Backcountry Wilderness Area of

Highlands Ranch.

July 2006• Wildcat Mountain Trails open

May 2009• Remainder of Backcountry is conveyed to the HRCA• Total of 7,254 acres

August 2009• Highlands Point Trail System Opens• HRCA Now has over 11 miles of trails

Promote

Protect

What:- Habitat, Wildlife, History, Culture

Why:- Few places left along the Front Range- Large, contiguous area- An island in sea of development

How:- Planning

- Trails, activities, development- Limit access to parts- Habitat improvement, maintenance, etc.

Programs

• To provide diverse, experiential activities in the outdoors to connect people to nature

• Through our diverse offerings we hope to be a vehicle that encourages as many people as possible to enjoy the wonders of nature and the outdoors

Backcountry Wilderness AreaPrograms Offered

• Full Day Youth Camps• Archery Lessons• Hayrides• History• Mother’s Day• Father’s Day• Star Gazing• Picnic• Horseback Rides

• Nature Hikes• Vehicle Tours• B-Day Parties• Elk Bugling• Elk Hunting• Cattle Branding Party• Haunted Forest• Elk Banquet

Backcountry Wilderness Area Revenue

• Revenue Generated By the Year:

• 2009: $29,000

• 2010: $29,000

• 2011: $49,000

• 2012: $82,000

• 2013: $100,000 (projected)

Backcountry Wilderness Area -Volunteers

• Over 300 Trail Patrol Volunteers

• Love In Action 300-400 Volunteers

• Scout Groups- 10-20 Eagle Scout Projects This Year- Other Projects as They Come Up

Enhancing and Maintaining Property Values

Mike Bailey,

Community Improvements Services Supervisor

Community Improvement Service

• The Department Has Three (3) Areas of Emphasis:

- Architectural Residential: Residential Improvement

Review

- Commercial: Commercial Improvement and Signage

Review

- Compliance: Covenant Guideline Enforcement in

Both Commercial and Residential Settings and Legal

Follow-Up

The following explains how to obtain an approval. Call (303) 471-8821 if you need assistance.

Architectural Submittal Process

Approval Letter Sent

Denial Letter Sent Compliance Noted by Association

File Closed

Completion Inspection Done

Follow-Up At One Year or Upon Receipt of Completion Notice. Resubmittal Required

If Not Completed Within One Year

Appeal May Be Filed Within 20 Days After Committee’s Decision

Re-Submit Revised Plan

Property Owner Prepares & Submits Improvement for Architectural Review

Community Improvement ServicesReviews Submittal

Verification that Information is Complete

Architectural Committee Reviewof Submittal

Request for Further Information From Homeowner

Noncompliance Flowchart

RE-INSPECTION – NOTICE OF COMPLIANT TO THE

DIRECTORS

RE-INSPECTION BOARD DECISION

1ST STANDARD NONCOMPLIANCE LETTER

AFTER INSPECTION

RE-INSPECTION – 2ND

STANDARD NONCOMPLIANCELETTER

Timeframe Examples

• Trash Container

• Unsightly Material

• General Landscape

• Recreational Vehicle

• Commercial Vehicle/Trailer

• Put away on day of pickup - 3 day review

• Removal of items - standard 5 day review

• Repair or Maintenance - 5-14 day review

• 72 hour rule - 72 hours in 7 day period

• Submit and/or Remove - 5 day review

Protocol

• Complaint calls from members = 60%

Staff initiated action = 40%

• All complaints verified by staff prior to action

• 1,400 letters per month in summer

200 letters per month in winter

• Board Members should refrain from discussing all compliance issues with staff or members as they may be brought before the Board for a decision at a later date

• Architectural Committee - Review of residential improvements

• Design Review Committee - Review of Commercial Development, Zoning, Development Guide Revisions

• Commercial Review Committee - Review signage and minor amendments to SIP

• Tribunal – Hearing Process

Committees

Other Highlands Ranch EntitiesResponsibilities

Douglas County Government

• Law Enforcement

•Roads and Street Maintenance

•Zoning

•Traffic Light Control

Highlands Ranch Metro District

•Arterial Landscape Maintenance

•Parks, Outdoor Sports & Recreation Programs

•HRMD Trails Construction & Maintenance

Littleton Fire Rescue

•Fire & Emergency Services

Centennial Water andSanitation District

• Water and Waste Water

• Water Budgets

• Watering Restrictions