To: Eagle Pointe Community
From: Betsy Larson, PSA president
Date: October 16, 2019
RE: Update on Cohoat and O’Neal contract
On October 12, the Pointe Service Association Executive Committee received a proposed budget from Cohoat and O’Neal, which included the Sahm’s food and beverage component. After careful review, the Committee determined the proposed budget terms were unacceptable.
The Committee’s biggest concerns were with the Sahm’s component. We believe the management fee was too high, the catering component was undervalued, and the overall partnership with Sahm’s is not as beneficial from a risk-reward standpoint.
While many board members continue to believe that the PSA should get out of the golf management business and turn things over to a consultant/management team, the budget and arrangement in its current form are not acceptable. It’s important to understand that we are still in the early stages of negotiations and have not “abandoned ship” or have any plans to take a completely different route.
As planned, we will have our Quarterly Meeting on Saturday, October 19th at 9:00 at the Eagle’s Nest. However, it would be premature to share information regarding the contract with the community at that time. The PSA board will not have a private meeting regarding the proposed contract after the Quarterly Meeting and there will not be a PSA board vote. The PSA board will conduct its usual business in al closed-door session after the Quarterly Meeting.
Whether we partner with an outside management team or continue as we currently operate, we still need to determine how we cover potential future losses. Glenn Adams and his team are still working with banks and other financial institutions to bring us viable options. I don’t have any updates since our last meeting.
Please feel free to reach out to me or any of the Executive Committee or PSA board members if you have questions.