Jette Meadows HOA Community Update
Great Pine Hill Road RID – Financial Analysis & Board Update
Dear Jette Meadows Homeowners,
Over the past several months, the Board has carefully evaluated the long-term cost of maintaining Great Pine Hill Road and South Rim as gravel roads versus completing a chip seal project through Lake County’s Rural Improvement District (RID) program.
Our objective has been simple: to make the most financially responsible decision for the Association while continuing to maintain the remaining private roads within Jette Meadows.
This financial analysis is being provided so that every homeowner can review the information the Board used in evaluating the RID. We encourage all members to review the information, ask questions, and attend the upcoming community information meeting.
Prelim Questions and Answers
Question: Will I be assessed a special assessment because of this project?
Answer: No
Question: Why Great Pine Hill?
Answer: It was less money overall, leaving us more money for other roads.
Question: Once the RID loan is paid off, will Lake Co still control the district.
Answer: No
Why the Board Chose the RID
The Board completed a detailed financial analysis comparing continued gravel maintenance with chip sealing.
Properly maintaining Great Pine Hill and/or South Rim as gravel roads will require recurring expenses for:
- Grading and compaction
- Dust control
- Gravel replacement
- Ongoing repairs
While chip sealing requires a larger initial investment, it significantly reduces annual maintenance costs for many years.
The most recent quote we obtained about getting our private roads up to date on the maintenance – scrape, water truck, roller and more gravel came to $35,500.00 – this does not include the very much needed dust abatement which would seal the gravel roads.
Unfortunately, the HOA does not have the financial resources to chip seal every private road at once. The Board therefore had to prioritize the project that provides the greatest long-term financial benefit while remaining financially responsible to the Association.
Current Financial Position
Based on the Association’s current financial statements:
- Annual HOA Revenue: $31,617
- Current Cash & Savings: $35,686
- Less Estimated November RID Payment: ($5,500)
- Projected Beginning Cash Balance: $30,186
Estimated Annual Operating Budget
The following budget illustrates the Association’s projected annual operating costs after implementation of the RID.
| Annual Budget | Amount |
| HOA Revenue | $31,617 |
| RID Loan Payment | ($10,221) |
| HOA share of Snow Removal | ($5,000) |
| HOA share of Additional Gravel Road Maintenance | ($6,000) |
| Insurance | ($2,036) |
| Website | ($683) |
| Office, Accounting, Postage & Administrative Expenses | ($1,910) |
| Projected Annual Operating Surplus | $5,766 |
Budget Assumptions:
The snow removal and gravel road maintenance amounts shown above represent only the HOA’s estimated 50% share of those expenses for the road sections maintained jointly with adjacent homeowners. The remaining 50% of these costs is expected to be reimbursed by the benefiting homeowners in accordance with the HOA’s road maintenance policy. These projections assume those reimbursements continue as they have historically.
This projection demonstrates that the HOA can continue to:
- Fund the annual RID payment.
- Budget for annual snow removal.
- Continue maintaining the remaining gravel roads.
- Meet normal operating expenses.
- Maintain a positive annual operating surplus.
Six-Year Cash Reserve Projection
| Year | Projected Cash Balance |
| Current (after November RID payment) | $30,186 |
| Year 1 | $35,953 |
| Year 2 | $41,719 |
| Year 3 | $47,486 |
| Year 4 | $53,252 |
| Year 5 | $59,019 |
| Year 6 (RID Paid Off) | $75,007 |
Looking Ahead
Once the five-year RID loan has been paid in full:
- The annual $10,221 RID payment is eliminated.
- The HOA retains the benefits of the improved roadway.
- Annual cash flow improves significantly.
- Additional funds become available for future road maintenance and other community priorities.
Investing in the Future of Our Community
The Board recognizes that every private road within Jette Meadows requires ongoing maintenance, and we remain committed to maintaining all HOA roads.
This project was selected because it represents the most financially responsible investment the Association can make today. By reducing recurring maintenance costs on Great Pine Hill Road, the HOA will be better positioned to preserve its financial resources while continuing to maintain the remaining gravel roads.
The Board’s responsibility is to make prudent financial decisions that protect the long-term interests of the Association. Based on the financial analysis, we believe this project supports that responsibility.
Important Notes Regarding These Projections
The financial projections presented above are based on the following assumptions:
- Current annual HOA assessments remain at their present level.
- No special assessments are included or assumed in these projections.
- Annual operating revenues and normal operating expenses remain generally consistent with current financial statements.
- The HOA’s budget includes approximately $5,000 annually for its 50% share of snow removal costs on the applicable road sections.
- The HOA’s budget includes approximately $6,000 annually for its 50% share of gravel road maintenance on the applicable road sections. The remaining 50% is expected to be reimbursed by the benefiting homeowners.
- Actual results may vary depending on weather conditions, inflation, material costs, and other unforeseen expenses.
The Great Pine Hill RID replaces future gravel maintenance obligations on that road. The snow removal and gravel maintenance amounts shown in this analysis relate to the remaining road sections for which the HOA continues to have maintenance responsibilities.
These projections are intended to demonstrate the Board’s financial planning assumptions and show how the Association can responsibly fund the RID while continuing to maintain the community’s roads and financial stability.
Community Information Meeting
The Jette Meadows HOA Board invites all homeowners to attend an informational community meeting to review the financial analysis and discuss the proposed Great Pine Hill Road Rural Improvement District (RID).
This meeting is being held solely to provide information, answer questions, and discuss the Board’s financial analysis.
This is NOT:
- An Annual Membership Meeting
- A Regular or Special Meeting of the Board of Directors
- A Membership Vote
- A Special Assessment Meeting
- A Public Hearing
No official HOA business will be conducted, no motions will be considered, and no votes will be taken.
The purpose of this meeting is simply to provide homeowners with an opportunity to review the financial information, ask questions, and better understand the Board’s analysis before the County Commissioners’ public hearing on the proposed RID.
📅 Friday
🕠 5:30 PM
📍North Lake County Public Library – 2 First Avenue East, Polson MT 59860
We encourage all homeowners to attend, ask questions, and participate in an open and respectful discussion.
Questions?
The Board welcomes homeowner questions and encourages everyone to attend the informational meeting. Copies of the financial analysis, road cost comparisons, and supporting information will be available for review.
If you are unable to attend the meeting, we encourage you to contact the Board with any questions or concerns. We are happy to answer questions by email or phone and want to ensure every homeowner has an opportunity to understand the financial analysis and the proposed project.
Please feel free to reach out to any Board member, or email us at jmlapolsonmt@gmail.com or call HOA President Terri Bolin 406-871-4942.
Our goal is not simply to improve one road—it is to make responsible financial decisions today that strengthen the Association’s ability to maintain all of our private roads for years to come.
Thank you for your continued involvement and support of Jette Meadows.
Sincerely,
Jette Meadows HOA Board of Directors
More Questions and Answers
Great Pine Hill Road Rural Improvement District (RID)
1. Why is the Board proposing to chip seal Great Pine Hill Road?
After reviewing multiple options, the Board determined that chip sealing Great Pine Hill Road represents the most financially responsible long-term investment currently available to the Association.
Although the initial investment is greater than continuing gravel maintenance, a chip-sealed roadway significantly reduces recurring maintenance costs over time while providing a more durable driving surface.
The Board also determined that financing the project through Lake County’s Rural Improvement District (RID) program allows the Association to spread the cost over five years while maintaining healthy cash reserves. The proposal assumes a five-year loan at approximately 4.4% interest, resulting in an estimated annual payment of approximately $10,221.
2. Why was Great Pine Hill selected instead of South Rim Road?
The Board evaluated both Great Pine Hill and South Rim using current contractor estimates and a detailed financial analysis. Factors considered included:
- The cost to restore each road.
- Projected long-term gravel maintenance costs.
- Chip seal construction costs.
- Financing options through the Lake County Rural Improvement District (RID) program.
- The Association’s current financial position and available financial resources.
- The Board’s ability to continue maintaining the remaining private roads.
- The physical characteristics and topography of each road.
Current contractor estimates show:
| Great Pine Hill | South Rim | |
| Gravel Restoration | $17,963 | $20,356 |
| Chip Seal Project | $45,800 | $46,000 |
| Estimated 10-Year Gravel Maintenance | $90,626 | $85,213 |
These estimates are based on current contractor quotes and do not include future inflation or increases in material costs.
In addition to the financial analysis, the Board considered the unique topography of Great Pine Hill. The road contains steep grades and a sharp hairpin curve, making it one of the more challenging roads in the community to maintain as a gravel surface.
Steep grades can contribute to:
- Gravel migration downhill
- Washboarding
- Surface erosion
- Increased maintenance requirements
- Reduced effectiveness of dust control applications
A chip-sealed surface provides a more stable roadway by reducing loose gravel, minimizing surface deterioration, and lowering long-term maintenance requirements associated with steep terrain.
While the Board’s decision was based primarily on long-term financial responsibility, the road’s steep topography and tight hairpin curve were additional considerations supporting the selection of Great Pine Hill as the Association’s first chip seal project.
After considering all of these factors—not just a single cost comparison—the Board concluded that Great Pine Hill represented the most practical and financially responsible first project.
The selection of Great Pine Hill should not be interpreted as one road being more important than another. Rather, it reflects the Board’s responsibility to prioritize projects based on financial analysis, engineering considerations, and the Association’s available resources. As future funding allows, the Board will continue evaluating maintenance and improvement opportunities for all HOA roads.
3. Why not chip seal both Great Pine Hill and South Rim at the same time?
The Board evaluated that option as part of its analysis.
Current contractor estimates indicate that chip sealing both roads would require an initial investment of approximately $91,800, which exceeds what the Board believes is financially prudent for the Association at this time.
By completing one project first, the Association can reduce recurring maintenance costs on Great Pine Hill while preserving sufficient financial resources to continue maintaining the remaining private roads.
4. Will this increase HOA dues?
The financial projections included in the newsletter are based on the current annual HOA assessment.
The projections do not assume any increase in annual HOA dues.
As with any homeowners association, future Boards will continue to prepare annual budgets and evaluate the Association’s financial needs each year.
5. Will there be a special assessment?
The financial analysis provided by the Board does not include or assume a special assessment.
The proposed project would be financed through the Lake County Rural Improvement District (RID) program, and the Board’s financial projections demonstrate that, based on current assumptions, the annual RID payment can be incorporated into the HOA’s operating budget without a special assessment.
6. Why not simply continue maintaining Great Pine Hill as a gravel road?
Maintaining a gravel road requires recurring expenditures, including:
- Road grading and compaction
- Gravel restoration
- Dust control applications
- Snow removal
- Ongoing repairs
Based on the Board’s analysis, Great Pine Hill would continue to require substantial annual maintenance expenditures if it remained a gravel road.
A chip-sealed roadway is expected to require only minimal maintenance during its service life, primarily limited to crack sealing and occasional pothole repairs.
Reducing these recurring maintenance costs is one of the primary reasons the Board believes the project is a sound long-term financial investment.
7. Will the HOA still maintain the other roads?
Yes.
The Board remains committed to maintaining all HOA roads.
The financial projections included in the newsletter continue to budget for:
- Snow removal
- Gravel road maintenance
- Insurance
- Administrative expenses
- Website expenses
- Normal HOA operating costs
The projected snow removal and gravel maintenance expenses represent only the HOA’s estimated 50% share of costs for the applicable road sections maintained jointly with adjacent homeowners.
The remaining 50% of those costs is expected to be reimbursed by the benefiting homeowners, consistent with the Association’s current road maintenance practices.
8. Why use a Rural Improvement District (RID)?
The RID provides a financing mechanism that allows the Association to spread the cost of the project over five years rather than paying the full amount upfront.
This approach allows the HOA to preserve cash reserves while investing in long-term infrastructure that is expected to reduce recurring maintenance costs.
9. How did the Board make this decision?
The Board based its decision on:
- Current contractor estimates
- Gravel restoration costs
- Dust control costs
- Chip seal construction costs
- Ten-year maintenance projections
- Available financing options
- The Association’s operating budget
- Current cash reserves
- The physical characteristics of the roadway
- Long-term financial stewardship of the Association
The Board believes it has a fiduciary responsibility to evaluate projects using objective financial information while balancing the long-term maintenance needs of the entire community.
10. Can homeowners ask questions or provide input?
Absolutely.
The Board encourages every homeowner to attend the upcoming informational meeting to review the financial analysis, ask questions, and provide feedback.
If you are unable to attend, we encourage you to contact the Board by email or phone. We are happy to answer questions and discuss the financial analysis so every homeowner has the opportunity to understand the proposal before the County Commissioners’ public hearing.
This Q&A is intended to provide homeowners with the information the Board used in evaluating the proposed Great Pine Hill Road RID. The Board welcomes constructive questions and encourages all homeowners to review the information and participate in the discussion as we continue working toward the long-term financial health and sustainability of the Jette Meadows community.
