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Solera Diamond Valley View November 2021

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SOLERA DIAMOND VALLEY | NOVEMBER 2021 3 "We (Board of Directors SDV Association) are informed of a potentially significant issue concerning the Association's common area clubhouse, the Mountain View Lodge. Last month the Association investigated softened/ damaged drywall surrounding three of The Lodge's windows. The drywall surrounding two of the windows was removed so that the source of the damage could be ascertained. "This matter needs to be fully investigated by Pulte. We are requesting that Pulte perform that investigation as soon as possible, inform us as to the results of its investigation, and advise as to what repairs Pulte will perform." The above excerpts are from the letter sent to Pulte on Sept. 6, 2017, the start of our four- year legal process. At that time, Pulte ignored our request and the litigation procedure was started. In March of 2018, we contacted our attorneys to determine our options. After some research, they put us in touch with Dick & Coglianese, Defect Construction Attorneys, in November 2018. Over the next four months the Board contracted with Jon Wayne Construction to have a forensic study done on the entire Lodge. This was performed in March 2019, at a cost of $15,762 to the Association. The completed study was given to Marcon Forensic for final analysis and submitted to the SDV Board in a 423-page report. A preliminary repair cost analysis was put together by Dick & Coglianese. The Building Envelope Assessment Report resulted in projected costs of $1,239,092 to the Association to repair The Lodge. The negotiations began in earnest with Pulte and its subcontractors. The first settlement was reached in January, 2020, with two of the subcontractors. Over the next 18 months we reached final agreements with 12 companies, resulting in the Association receiving a total of $895,000. The two biggest settlements were from Plaza Glass at $400,000 and Pulte at $375,000. It is significant to note some of the companies that participated in the building of our Lodge are no longer in business. Our litigation fee to our attorneys was $171,433, paid from our reserves. This cost was paid back to the reserves when we received the settlement check of $895,000, resulting in a final cash settlement of $723,567 to cover the cost to repair our Lodge. The Board has fulfilled the initial requirement of Civil Code 6100 by informing the community of final status of the settlement. Our next step is to get a good faith estimate on what the initial cost will be. We have performed a walk through with a company, and are awaiting their analysis and cost. If the Board agrees with their analysis, we will hire them as our contractor. This should be accomplished by the time of this printing. The Board and all of the SDV residents owe a deep sense of gratitude to the Board members of 2017 for acknowledging the severity of the problem and taking those aggressive steps with Pulte. As we enter the fall season the Board of Directors is diligently working for you. With the weather starting to cool, our Landscaping vendor will now begin planting many new trees that have been missing along with bushes and grass. Waiting till the fall provides a better chance of survival. It is great to see the increase of Lodge activities that many of you are enjoying. I know that Sam and the Recreation Committee have many more planned for this fall and winter so — stay tuned. Remember with COVID-19 to abide by the guidelines established and to think of your fellow community members that you might also be protecting. I have found that some of the incidents involving theft and vandalism to homeowner's property within the community are not being reported to the police. Please make a report every time. By having it documented it is put into the police computer system which can trigger additional patrols by the police through our community. A contact that I have been given stated that the main police officer on at night will increase his patrols through the community. One of the projects that the Board of Directors has as a priority is the refurbishment of the ballroom furniture. The past Ad Hoc Design Committee is still in place and management is contacting the members to see if they wish to continue. I would like to encourage anyone else who is interested to complete a volunteer form and submit it to the office. At the Board meeting two months ago, it was announced that the litigation for the fixing of the construction defects of The Lodge is now complete. As of this writing the BOD is selecting a project manager who will review the completed forensic analysis, prioritize the projects listed and provide this information to the BOD for approval. The project manager will then recommend vendors to the BOD to select to complete the projects. As new information comes about, we will keep you informed. Message from the Board By Robert Vise, SDV Board Member Construction Defect Litigation By Ralph Grider, SDV Board Member

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