Reinvest in AV

There will be a meeting on April 11, 2017 at Floral Valley beginning at 7 pm. We encourage you to attend. The AV Board will be getting feedback and answering questions from members about the proposal. Click on the image below to enlarge image.

April Issue_graphics

Comparison Survey Chart of Area Lake Communities March 2017

Apple Valley Property Owners Association Board Proposes Increase to Assessments – March 2017
Click here to read Proposed Addition to Article V, Section 3


Capital Projects 2000-2015 Overview – January 2017
Click here to view GRAPH

Apple Valley Fact Sheet:
The Association currently owns 62 parcels recorded in Knox County in the planned community of Apple Valley that has to be maintained:
Acres- 827
Acres of Lake- 511
Shoreline- 9.25 miles
Acres Mowed- 316
Acres to Snow Plow- 6.68
Buildings- 33
Building Sq.Ft.-  77,692
Concrete Sq.Ft.- 11,004
Asphalt Sq.Ft.- 291,310
Fence- 3,560 ft
Swimming Pools- 2
Swimming Pools Sq.Ft.- 17,324
Beaches- 3
Playgrounds- 5
Marina- 1
Docks- 231
Boat Tie Ups- 66
Launch Ramps- 4
Bennett Park/Lake- 1
Dog Park- 1
Campground-  1
Campground sites- 177

Method, Findings, and Key Recommendations of the Long Range Plan – December 2016
On December 9, 2014 the Apple Valley Board of Directors approved a resolution establishing a “Long Range Planning Task Force” to prepare a 5-year update for the plan as mandated by the Association Bylaws. The following information is a brief overview of the findings and recommendations of the LRP task force.

The Long Range Planning Task Force (LRP) sought out Property Owner input through two public sessions; a survey, and multiple informal one on ones.  Input from committees and POA staff was also very helpful. As a group, the LRP consolidated this information into categories, into issues and developed recommendations. The LRP prioritized recommendations based on perceived impact and the related costs. The following findings are a high level view.  The following recommendations include those the LRP believe to be the most critical based on these findings.

• Apple Valley is a mature community with a unique and desirable ambiance. Property Owners choose Apple Valley for the lake, country atmosphere, treed lots, low cost, amenities and the attractive appearance of our development. Maintaining these strengths is viewed by Property Owners as the top priority for the POA.
• The lake is clearly our primary asset and our biggest draw but there are concerns about lake overcrowding and safety. While water quality does not appear to be an issue currently, maintaining high water quality is important to the majority of residents.
• The population of Apple Valley has grown at a steady pace and is nearing or has reached the desirable maximum. Continued growth threatens to undermine some of our strengths and adds to the load on our amenities and lake.  Data indicates that much of the growth is coming from younger families who are likely to use the amenities more frequently. Growth also places more strain on POA staff and finances with no additional revenue to offset.
• The assessment structure presents significant financial challenges going forward. Operating costs are now close to total revenues, impeding the POA’s need to fund the reserve study and could lead to an inability to maintain the lake, amenities, etc.

Key Recommendations:
• The revenue structure must be changed to ensure the long term financial health of   Apple Valley. The alternative is to cut back on services and maintenance, both of which are Property Owner priorities. The Board should pursue by-law changes to allow assessment increases and/or implement other revenue generating changes.
We recognize this is a complex issue and that the Board already has assigned a task force to evaluate and recommend solutions. As this is the most critical issue facing the POA for the long term health of Apple Valley, we suggest a plan be in place by the end of fiscal year 2016.
• Property Owners do not, as a whole, understand the challenging financial situation the POA faces. The Board should use all available communication channels to increase Property Owners’ awareness of the challenges and of the incredible “deal” we are getting by comparison to other lake communities.
This is a low cost, high impact item that ties directly with the above item. As such, we suggest it begin immediately and continue, at minimum, through the resolution of the revenue issue.
• We understand that the Reserve Study funds are intended for maintaining and replacing (like for like) current POA assets.  Our continuing to under fund the Reserve and using these monies for operations flies in the face of the property owners’ priority that we must maintain what we have. We suggest the board protect the Reserve Study funds  by establishing  a separate  budget category  or financing  mechanism for
new/improved amenities. New amenities or improvements to current amenities should not be undertaken unless there is a clear funding path separate from Reserve Study funds.
We suggest this be immediately implemented for financing of the outdoor pool, all significant amenity improvements and for new amenities.
• There must be a financial priority to continue to fund the Reserve Finds as the study requires. Under funding the Reserve to  make short  term financial  ends  meet,  flies in the face  of  Property Owners’  priority  related to  maintaining what we have.
We suggest this be implemented concurrently with the revenue issue resolution.
A copy of the complete report is available at the Association’s Administrative office and the AVPOA website
The Board President in July 2015 appointed a committee to review the financial needs and obligations for the next 30 years to maintain the quality of life and amenities for Apple Valley property owners. The committee has been diligently reviewing the Long Range Plan, the Reserve Study and other tools available to the committee to determine the financial resources the Association  will need to maintain this great community.


Projects – November 2016
Many of these projects are in phases, they will occur 2 or 3 times over the 30 years. If a project is scheduled for a certain year, it could be postponed if the repairs or replacements are not warrantied.
2015 Reserve Study
• The 2015 Reserve Study was performed by Reserve Advisors, Inc. from Milwaukee, Wisconsin.
• Reserve Advisors, Inc. conducted the previous studies in 1999, 2003, 2007, and 2010.
• The Inspection date for this study was October 20, 2015. There were 135 Reserve Components.
• The study was divided into the following areas; Administration, Beaches, Bennett Park, Camper Village, Clubhouse, Floral Valley, Equipment, Lake, Marina and Property Site Elements.
• The Reserve Study considers the age, size, overall conditions and complexity of the property.
• As Apple Valley matures, the Association will need increased funds for Capital Projects – Repair and Replacement.
• In 2016, the Association budgeted $330,000.00 for the Reserve Contribution.
• We recommend the Association budget stable contributions of $530,000.00 per year from 2017 through 2023.
• To fund the Reserve Study for the next 30 years the Association will need 19 million dollars ($19,000,000.00).
2016 Major Projects –
• Outdoor Pool – $840,000 (in progress)
• Floral Valley – New Shingles – $93,000.00 (deferred to 2017)
• Dehumidification System – $212,000 (in progress)
• Gates for Dam – $133,900.00 (completed)
2017  Major Projects –
• Clubhouse Restroom Renovations – $63,654.00
• Floral Valley Asphalt Replacement – $206,955.00
• Marina Asphalt Replacement – $95,000.00
Future Projects Over the next 30 years –
• Beaches – Asphalt Replacements – $429,245.00
• Camper Village – Electrical Upgrades – $351,007.00
• Floral Valley – Restroom Renovations  – $243,855.00
• Marina – Boat Docks – Floating – Phased – $654,083.00
• Lake – Dredging – $1,215,134.00

Long Range Plan – October 2016
The Long Range Plan was developed by a Task Force reporting to the Board. A previous report was issued in 2010. The current Plan was completed in early 2016. The Task Force sought out Property Owner input through two public sessions, a survey, and multiple informal one on ones. Input from committees and POA staff was helpful. They conducted a rigorous SWOT analysis (Strengths, Weaknesses, Opportunities and Threats). They consolidated this information into categories and developed recommendations. They prioritized the recommendations based on perceived impact and the related costs. While the complete Plan is too detailed to include here, the key findings and recommendations are listed below. Interested property owners are encouraged to review the complete Plan at their convenience by contacting the front office. The full plan will also be posted on our website at

Key Findings:
• Priority on maintaining the positives:
– Lake
– Amenities
– Atmosphere
– Private Properties
• Housing growth is a threat
• Revenue is a major weakness/threat

Key recommendations:
• Revenue increase
– Communication with Property Owners
• Reserve Funding and separation
• Growth containment strategies
• Out-bound committee/task force
– Governments and other influences
• Compliance and by-laws (private properties)
• Floral Valley plan

Reserve Study September 2016
The Reserve Study is conducted approximately every five years by a separate company called Reserve Advisors from Milwaukee, Wisconsin.  The most recent study was completed in 2015.  The previous study was in 2010.  The goal of the Reserve Study is to help plan, anticipate and maintain funding reserves for replacement and improvement of our current amenities above an adequate, not excessive threshold.  A partial list of the 135 components that are included in the analysis is below.  In short, the Reserve Study shows that AVPOA will require continued diligence to maintain and replace existing amenities over the next 30 years. While the complete study is too detailed to include here, interested property owners are encouraged to review the complete study at their convenience by contacting the AVPOA Office.

Partial List of Amenities Included in the Reserve Study
• Lake – Drainage, dam/spillway, boat launches
• Beaches – Buildings, retaining walls, docks and parking lots
• Floral Valley – Buildings, parking lots, roads, green space and recreation equipment
• Club House – Pool, building, parking lots, recreation equipment
• Bennett Park – Drainage, roadways and buildings
• Administration Building – Parking lots, signage, mechanical, infrastructure
• Marina – Buildings, fencing, roadways, parking lots, docks, drainage
• Campers Village – Utilities (Water/sewer & electric), buildings, roadways
• Total Acres – 827
• Total Buildings – 33
• Total Asphalt – 291,000 square feet
• Total Fencing – 2560 feet