Frequently Asked Questions

In discussions about the people of Keowee Key, you will come across the terms Community, Member, Membership, and Owner. While the KKPOA Bylaws establish specific legal distinctions among these terms, for the sake of clarity in these FAQs and the information provided on this website, we have simplified the differentiation between these terms.  

• “Community” refers to the residential development of Keowee Key as a whole.
• “Membership” is used when describing the collective property owners in KK. There is one Membership per lot.
• “Owner” is most often used when referring to the voting member of a lot. Although a lot may be owned jointly by more than one person, there is only one vote per lot, and approximately 1,870 voters.
• “Member” is everyone with KKPOA Membership privileges and is subject to the terms and conditions of the Association’s governing documents. There are approximately 3,000 Members of KKPOA. 

The term “Owner” will be used throughout when referring to an issue that is decided or affected by voting, and “Member” will be used when referencing the 3,000 individuals who belong to KKPOA.

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The Keowee Key Property Owners Association (KKPOA) is one of the largest in the country. We benefit financially with nearly 1,870 households sharing costs and revenues. Our Members can enjoy the use of first-class amenities and services with no added fee to join, and the monthly assessments and fees for services are lower than other private clubs with similar amenities.

Successfully managing a community of this size, ensuring financial stability, and protecting property values requires effective collaboration between professional managers, capable Directors, and engaged Members. It also requires adhering to rigorous, high-level governance and financial management practices. The following contribute to KKPOA’s solid financial footing.

• Consistently high Member participation in voting establishes the framework for electing accomplished leaders, implementing community renovations, and forward-thinking strategic initiatives.
• Prudent financial planning, long-range strategic planning, and well-developed financial and business processes provide stability and predictability.
• Financial review and oversight across multiple areas (committees, management team, Board, outside auditors) provide the means to quickly identify issues before they become unfavorable to the community.
• Dedicated reserves fund facility and equipment purchases, service community debt, help defray costs for catastrophic events and level out major operating expenses.
• Sound investment practices generate earnings on reserve cash.
• Member volunteers dedicate their time to serve on the Board of Directors and nearly twenty committees to supply high-level expertise and workers at no cost, helping shape consequential decisions, practices, and results.
• Disciplined construction management practices ensure that Member expectations are met within the approved budget.

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While the elected Board of Directors has the specific responsibility for managing community affairs, our Owners have the vital role of approving the annual budget and assessments proposed by the Board. To provide sufficient information for reasonable decisions, important financial information is regularly reported through various means including presentations at Board meetings, community forums, commentary in the monthly Scuttlebutt, informational eblasts and content found on the KKPOA website. [Click Here] for an archive of recent forum videos. Below is the most significant financial information and where to access it:

• The five-year Strategic Plan, developed with input from the KKPOA Membership, Committees, Management, and Board, is the foundation for the annual plan and budget and is posted on the website. [Click Here].
• A review of the proposed annual KKPOA Budget is presented at a community forum during the annual budget process. This includes schedules of planned capital expenditures, projected revenues and expenses by category, and proposed fees for services. The presentation is recorded, and the video is posted on the KKPOA website shortly after the meeting. A Vote Package, with an extensive financial narrative is mailed to all property owners. [Click Here].
• Summary quarterly financial results as specified in the Bylaws are reviewed during regular Board meetings and published in Scuttlebutt.  
• Various financial reports developed by the Finance Committee to advise the Board are presented at Board meetings and posted on the website. This includes an annual Reserves Adequacy Report. [Click Here].
• The Fees, Assessments, and Reserves Policies and Procedures (FARPP) is a governance document that specifies KKPOA financial management practices.  Amendments to financial policies are presented during Board meetings.  [Click Here]
• As directed in the Bylaws the summary results of the Annual Audit for the previous year are reported at the Annual Meeting of Owners, which all Members are asked to attend. The Independent Auditors Report includes the Audit letter to the Board of Directors, the Balance Sheet, Income Statement, Statement of Cash Flow, Debt and Reserve Balances and other notable accounting practices. For the video presentation [Click Here], and for the most recent audit [Click Here]. Members can receive a mailed copy of the Audit Summary upon request.
• If you would like to learn more, or your question was not answered in these FAQs, contact our Community General Manager (CGM), Kevin McCracken ([email protected]), or the Board of Directors ([email protected]) for any help needed.

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Answers to most financial questions can be found in these FAQs or on the Financial Communication Page of the KKPOA website. Inquiries can also be sent to the Board of Directors ([email protected]) or Community General Manager Kevin McCracken ([email protected]). They are happy to help.

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[Click Here] to find all financial definitions in the Fees, Assessments, and Reserves Policies and Procedures (FARPP).

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[Click Here] for a video detailing how the KKPOA is managed.

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If you have questions about the charges on your monthly KKPOA bill, or want to see the detail behind the charges, you can view your statement and receipts on the Keowee Key website. Login to the KK website at https://www.keoweekeysc.com/. Once you login, click the down arrow on the Member’s name in the top right corner of the page. In the drop-down box click on ‘My Statements’. This will take you to the page where you can view all your statements. To get more details, click on any statement date or dollar amount and it will bring up the charges on that statement. Expenses such as fuel purchased for boating, Club and Bistro charges, golf access fees, pro shop purchases and sweeps redeemed, monthly operating and capital assessments, and any other costs charged to your member number will be listed. If you want to see a receipt for any of the charges, click on the Receipt number listed in bold. It will bring up a copy of the paper receipt. Buttons at the top of the website allow you to pay your bill online, print a copy, or contact accounting if you have questions or want to dispute a charge.

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Keowee Key’s exceptional amenities, affordable assessments, and financial soundness are a direct result of robust Owner participation in community votes. Participating in the process is an opportunity to assess whether the budget or other proposed actions align with the Strategic Plan, which includes protecting community property values and preserving the Keowee Key lifestyle.

The voting structure, as defined in the Bylaws, emphasizes the critical importance of voting. First, while individual Members are not responsible for community management or oversight, Owners do have the important responsibility of electing a Board of Directors to fill these roles. Voting for Directors who have the ability and collaborative skills to proficiently govern a community of this complexity is the most important contribution an Owner can make toward keeping the quality, affordability, and financial stability you’ve come to expect.

Second, for most matters requiring Owner approval the Bylaws set the minimum required participants (quorum) at only 10% of eligible voters, with a simple majority determining the outcome. Therefore, each vote carries significant weight in shaping the direction and decisions of our community. Through high voter participation, we can collectively play a vital role in ensuring the continued prosperity of Keowee Key. To learn more about the voting process [Click Here].

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Line-item approval is impractical given the size of our community and our diverse amenities, departments, and services. Individually voting on select pieces of the Budget would also contradict SAS (Single Amenity Support), our core financial model where all Owners contribute to all amenities, regardless of personal usage. The Bylaws provide the Owners with the power to approve the annual Operating and Capital Plans and Budgets, and Major Capital expenditures, and not particular line items.

After considering input solicited from Members and Committees, each year our elected Board of Directors sets objectives and parameters for the upcoming year’s Budget. Our management team then constructs the Budget within these parameters, ensuring the cost-effective achievement of the objectives. This is followed by a thorough Finance Committee review before it is sent to the Board. Following the Bylaws, the Board decides on the contents of the final version, aligning its decisions with the Strategic Plan and its responsibility to safeguard property values and our desired lifestyle.

Before its adoption, Members are invited to attend a community forum to discuss the proposed budget. The questions and feedback received in this session are considered in completing the final version, which the Board sends to the Owners to seek their vote of approval. 

The Member’s role is to evaluate the reasonableness of the Budget, considering current economic conditions and its ability to meet community expectations. As a note, although line-item approval isn't required by the Bylaws, Members do vote on any Major Projects or capital asset purchases costing $200,000 or more—a conservative threshold for a multi-million-dollar budget.

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Every month, Members receive a Keowee Key Member Statement, which includes charges for the Operating and Capital Assessments. These Assessments plus Fees for services are the primary revenue sources in the Operating and Capital Budgets.
 
The Operating Assessment funds the Operating Budget (the net amount of expenses less revenues) needed to manage the community. These funds can only be used for Operating Expenses. Members vote on this assessment as part of the annual Budget.

The Capital Assessment is solely dedicated to funding the three capital reserves created to acquire or replace assets costing $5,000 or more (New Non-Major, Capital Replacement, and Major Projects). The KKPOA Bylaws stipulate that this assessment is annually recurring and indexed to inflation. No additional vote is required.

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The Capital Assessment funds three capital reserve accounts reserves created to acquire or replace assets costing $5,000 or more. To ensure that the capital reserves are properly funded, and the ability to purchase or replace assets is protected, the Bylaws require the assessment to be adjusted annually based on inflation. The factor used to determine the adjustment is the percentage change from September to September of the Consumer Price Index for Urban Consumers following the not-seasonally adjusted methodology. To get information on the CPI-U South region [Click Here].

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KKPOA adheres to a stringent construction management methodology designed to complete major projects in line with Member expectations. This approach proved highly effective during community renovations carried out between 2018 and 2021. Several projects, with a combined value exceeding $15,000,000, were successfully completed within the approved budget. [Click Here] for a comprehensive overview of the entire process.

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There are many governing documents used to responsibly manage our community. For the financial piece, a detailed document called Fees, Assessments and Reserves Policies and Procedures (FARPP) serves this purpose. It documents all financial administrative practices prescribed in the Bylaws or adopted by the Board through the years. It also lays out the Finance Committee’s role in financial oversight. Major topics include Financial Plans, Reserves and Investment Oversight, and Fee and Pricing Administration. [Click Here] to Review FARPP.

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The Affordable Assessments Plan is how we refer to the framework that supports responsible financial management, enabling KKPOA to sustain its operations, maintain the desired quality of amenities and services, and preserve the overall value of the community.

The Plan uses a variety of reserves to proactively prepare for costly needs that may arise in the future, such as infrastructure repairs, facility upgrades, or community enhancements. This approach allows for financial stability and minimizes the impact on individual Members by avoiding sudden and unaffordable assessment spikes.

Reserves have now been established for new and replacement capital investments, debt repayment, Road and Forestry Management Plans, operating expenses for catastrophic events, and infrequently occurring high dollar operating expenditures. All are funded through affordable annual assessments or have cash on hand for their purposes.
The Plan’s guiding principles include:

• Accumulating funds in reserves when expenditures are lower than average so that cash is available when higher expenses would cause an assessment spike.
• Indexing the Capital Assessment to inflation to protect the purchasing power of the Capital Reserves, and to promote the predictability of Capital Assessment increases.
• Ensuring that both current and future Owners pay their fair share of facility and amenity costs.
• Matching the term of loans to the life of the asset they fund.

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The Finance Committee is made up of fellow Members selected to serve based on relevant accounting, financial management, or business expertise. Its subcommittee, the Reserves Oversight Committee (ROC), regularly monitors all KKPOA reserves. Its responsibilities are spelled out in FARPP. [Click Here]

Annually, ROC reports on the adequacy of each reserve to the Board. If any reserve is over or underfunded, the Board may rebalance between funds, and report the results to the Members. The report is published on the KKPOA website.

Reserve targets are determined using the following methods:

• Operating Contingency Reserve: An analysis of prior experience.
• New Non-Major Capital: The initial allocation and assessment were based on historical analysis. From that point forward, the then-current reserve balance sets the spending parameters for annual new capital spending.
• Capital Replacement Reserve: Future replacement costs of more than 500 assets listed in the Replacement Inventory are estimated annually by management with the assistance of an independent Reserve Consulting firm. Every three to five years the firm also conducts an on-site inspection of the inventory.
• Major Projects Reserve: Annually, a proprietary model aids ROC with evaluating debt service requirements and funding capacity for future projects.
• Operating Reserve: Forecasted need.
• Road Management Reserve: Forecasted need
• Forestry Reserve: Forecasted need

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The New Owner Capital Assessment (NOCA) is a one-time fee paid by a buyer every time a Keowee Key property is sold, regardless of whether it is a house, a condo, or an undeveloped lot. The current NOCA rates can be found in the community Directory and on the KKPOA website. 

The revenue NOCA generates is applied to the Capital Replacement Reserve (CRR), which is a primary funding source for replacing existing assets. The CRR is also funded by a portion of the Capital Assessment that Members pay each month. NOCA contributions provide a significant share of CRR funding, which helps ensure funds are available to replace assets past their useful lives with minimal impact on assessments.

KKPOA Bylaws allow (but do not require) the Board to adjust NOCA for inflation or additions to the community’s physical assets such as improvements to amenities like the Golf Course and Club. Periodic adjustments are necessary to ensure that both current and future Members appropriately contribute their fair share over time toward the replacement of these assets.

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The Forestry and Road Management Plans serve as long-term maintenance programs for Keowee Key’s forested properties and 33 miles of roads. Year-to-year variability in program needs and costs can lead to undesirable spikes in the Operating Assessment. Therefore, the funding plans are designed to adequately support maintenance while minimizing and easing the impact on assessments. 

The Operating Reserve, which includes any annual Operating Surplus (revenues exceeding expenses), along with proceeds from KKPOA lot sales, will support the Forestry Reserve during the first three years of the Forestry Plan. During this period the plan gradually builds the reserve to a level sufficient for ongoing maintenance through a few small increases to the Operating Assessment.

The Road Management Plan extends and enhances the existing annual road maintenance program. An amount equal to the 2022 Operating Assessment allocation for road maintenance, along with allocations from the Operating Reserve, will fund 95% of the Road Management Reserve. To build this reserve to a level adequate to avoid future assessment spikes a very few, if any, small Operating Assessment increases may be required.

Each year, funding needs for these reserves will be evaluated as part of the KKPOA budget and submitted for Owner approval. For more information on the initial funding plans [Click Here].

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We are fortunate to live in a community with such a wide range of amenities. Although we may use the term broadly, the Bylaws are very specific that amenities are “facilities or activities that provide recreation, enjoyment, comfort, and convenience for all Members.” Some activities many of us refer to as amenities are more accurately described as optional member services.

Although not everyone can use certain amenities simultaneously, such as tennis or golf, all Members have an equal opportunity to reserve a court or book a tee time. On the other hand, services like gas sales at the marina, meals at the club, dry storage spaces, boat slips, golf bag storage, Handyman services, or home garbage pickup are optional and intended for personal use or consumption. Once a member purchases gas or rents a marina slip, those specific resources are no longer available to others. Differentiating between amenities and services is important because they are priced differently.

The payment structure for each is guided by well-considered governance policies, including the Bylaws, Protective Covenants, and Fees, Assessments and Reserves Policies and Procedures (FARPP). A fundamental principle of FARPP is the single amenity support (SAS), where all Members contribute to funding amenities that are available to everyone, such as the golf course, the FRC, leisure trails, and the Club.

FARPP includes two guidelines, or "guardrails," for establishing fees for services that are not fully supported by SAS. First, the fees must cover direct costs plus a defined markup, which sets the lower fee limit. Second, the fees paid by Members must be at or below market rates, establishing the upper fee limit.

Adhering to these guardrails helps ensure that:

1. Assessments do not subsidize services that are not available to all Members.
2. Providing the service helps support affordable assessments.
3. Members using the service enjoy a competitively priced experience.

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Borrowing money is the conventional way to acquire assets that are cost-prohibitive or are needed sooner than funds can reasonably be accumulated to purchase them outright. For example, a household might borrow money to buy a home, a corporation to purchase an office building, or a utility to build a power plant.

As a not-for-profit corporation, KKPOA does the same thing. Throughout its existence, KKPOA has responsibly used long-term loans, combined with savings from reserves, to acquire, build and update Keowee Key’s high-value amenities and infrastructure, such as our Fitness and Racquet Center, Clubhouse, Golf Course, Northside Marina Complex, and Administration Building.

Using loans as a source of funding helps avoid the need for large, one-time assessments paid by current Owners to fund long-term assets. Instead, the cost of an asset is spread over time, so both current and future Owners contribute to affordable payments. Having the ability to act sooner rather than later also protects our purchasing power from inflationary pressures and allows Members to enjoy improvements and benefit from increased property values more quickly.

The following illustrates the power of combining debt and reserves to fund Major Projects. The $14MM community renovation plan approved in 2017 did not require an increase in assessments. $3MM had already been saved in reserves for capital replacements that were included in the plan.  Existing monthly assessments that were servicing maturing debts were repurposed to create a Major Projects Reserve, which among other uses, funded the debt service for a new $11 million long-term loan with affordable payments. By contrast, the alternative option would have been a one-time, special assessment of nearly $6 000 per Owner. The responsible combination of debt and reserves has proven to be an effective and beneficial financial tool.

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Every month, the KKPOA Member Statement includes charges for the Operating and Capital Assessments. Only 10% of the total assessments are required to service our debt. The Capital Assessment funds three capital reserves created to acquire or replace assets costing $5,000 or more (New Non-Major, Capital Replacement, and Major Projects). Payments for loans are drawn from the Major Projects Reserve, which also covers professional fees such as for architects, and occasional equity contributions required by a bank for larger loans.

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Our debt is structured to be affordable and avoid large assessment spikes. Therefore, major projects are typically funded with fixed-rate, long-term debt with equal monthly payments. Loan terms prior to 2017 ranged from 3-15 years. In 2017 the Board negotiated a below-market interest rate and a 22-year term loan for extensive community renovations. This combination of rate and term provided the low monthly payment that allowed us to go ahead with the projects without an assessment increase, aside from the required annual inflation adjustment.

As was described in the 2017 Loan Vote Package [Click Here] the lender conditioned these favorable terms on an interest rate review at the 12-year mark. In 2029 the existing 4.14% interest rate will be subject to renegotiation based on prevailing rates. We cannot predict whether interest rates will be lower or higher at that time.  Nevertheless, if the loan rate adjusts upward, the reserve, which is funded by an inflation-indexed assessment, is forecasted to build to an adequate level to service the debt with no impact on assessments.

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Debt is a beneficial financial tool that allows KKPOA to deliver exceptional amenities and facilities at an affordable price. Evaluating whether the level of debt is reasonable involves consideration of several factors:

• Options: determining if there are practical alternatives to taking on debt such as saving enough within a reasonable timeframe to pay cash instead, or whether Owners are willing to pay a special assessment. In 2017 the Board considered various funding strategies for the 2018 community renovations before deciding to secure an $11 million loan. Opting for cash payments would have required a special assessment of nearly $6,000, with the current Owners bearing the entire cost of the project. Phasing the renovations and special assessments over time was not a sensible choice due to rapidly rising construction costs. The Board believed that borrowing at a historically low-interest rate, locking in the lowest construction price possible, and securing repayment terms that did not require an assessment increase was the fiscally responsible approach.
• Availability of Debt on Reasonable Terms: assessing the willingness of banks to lend on reasonable commercial terms is a good indicator of whether KKPOA is overleveraged.
• Affordability: evaluating whether the size of the loan payments will cause a financial strain. The cost of repaying KKPOA debt is distributed among approximately 1,870 Owners. As of 2023, each Owner contributes $40.60 per month, which is only 10% of the total monthly assessment, a modest amount for our Members to enjoy the first-class amenities of Keowee Key.
• Emergency Savings: assessing the ability to handle unexpected expenses. By June of 2023 KKPOA had accumulated approximately $6.5 million in reserves, serving as a savings account for various funding needs. These reserves supply a reasonable cushion for emergencies.
• Reliability of Income Stream: gauging the stability of KKPOA's revenues available to pay the debt. The Capital Assessment generates a consistent and reliable income stream to service the debt, and KKPOA revenues more than exceed the lender's coverage requirements. Carefully considering this stable income stream relative to debt service ensures that KKPOA can consistently meet financial obligations and potentially increase borrowing if necessary.

By considering other options, the availability of reasonable terms, the affordability factor, the presence of emergency funds, and the stability of the repayment source, we can be assured that KKPOA's debt level is reasonable, financially prudent, and within our means.

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The Finance Committee regularly monitors KKPOA reserves, debt, and interest rates. If there is an opportunity to reduce debt or interest expenses, the Committee will bring it to the Board's attention. For example, if there is undesignated surplus cash available in the Major Projects Reserve, (the reserve that pays the debt) prepayment of loans may be considered, depending on conditions at the time. However, the Bylaws prevent diverting surplus operating funds for non-operating purposes such as debt payments. To do so would require a community vote.

There are certain considerations when making a prepayment decision for a term loan. Partial prepayment does not change the monthly payment amount, but retires the loan sooner. Full prepayment eliminates the payment entirely, but those funds are then permanently diverted from other potential uses.
Two recent examples illustrate different outcomes:

• In 2022, KKUS was able to pay off an outstanding long-term loan with the expiration of a loan condition that precluded prepayment, and Reserve funds that were earning less than the loan rate were available. This action resulted in an immediate reduction in utility bills for Members.
• In contrast, KKPOA's current loans are set at historically low interest rates.  Currently, Major Projects Reserve funds not designated for loan payments are pegged for forecasted needs and unavailable for prepayments. Using the Operating Reserve (where the Operating Surplus accumulates) to prepay debt requires Member approval.  Currently, there is no sound financial justification for an unscheduled payment because the surplus funds are invested in Certificates of Deposit (CDs) that yield higher interest rates than the loan itself. These earnings are used to offset assessments.

In summary, the Finance Committee evaluates opportunities for debt reduction and prepayment, considering the financial benefits. If favorable conditions arise a recommendation will be made to the Board, and Owner approval sought as needed.

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By design Keowee Key’s amenities do not generate profits because KKPOA operates as a not-for-profit property owners association. The monthly assessments from Members contribute to the Single Amenity Support (SAS) model, which funds all amenities including the Club. The monthly assessments are supplemented by user fees that pay for different services. Under this framework, the Club is expected to cover its variable costs, such as preparing and serving food and beverages.

The Club works within a private club business model. The facilities provide meeting and event spaces for an extensive variety of member functions at no charge, along with the food and beverage operation. The Club also earns revenue to help underwrite the monthly assessment by catering a limited number of profitable weddings and events for outside organizations. Pricing and fees vary for each function and are outlined in the Fees Assessment and Reserves Policies and Procedures (FARPP).

Regarding the Bistro, bar, and dining room: the business model of a private club differs from that of a public restaurant.  A club exists for its Members and guests, who expect quality food at a reasonable cost and the ability to linger and socialize.  As a result, the ability to earn more revenue by turning tables is less than a restaurant, which draws from a larger population base and turns its tables more often, therefore producing more revenue per table.

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KKPOA is dedicated to supporting Keowee Key property values and enhancing the lifestyle experiences of our Members. The Keowee Key Marketing Department is a critical and highly cost-effective tool for achieving these goals.

Background:
Most large-scale developments like ours, with thousands of properties and residents, and an engaged property owner’s association, employ professionals to handle marketing and Member relations. Before 2015, these functions were dispersed among various staff members lacking specialized marketing expertise. However, following years of sluggish home sales and diminished property values, a task force of knowledgeable Members conducted an in-depth study, and strongly advocated establishing a professionally managed in-house marketing department.

In response our Owners approved a cost-effective budget that funded one professional marketing generalist and a strategic marketing program. This investment amounts to less than 2% of KKPOA's total annual expenses.

Marketing’s contributions to safeguarding our property values:
A pipeline of interested buyers is needed:
Due to our demographics and size, the resale of between 150 and 180 properties annually is needed to avoid a backlog that negatively affects prices. Marketing ensures a steady influx of interested buyers from across the country. These buyers typically conduct thorough research comparing various communities before ultimately purchasing property in Keowee Key. The Marketing Director ensures effective and consistent community promotion and adapts strategies to accommodate changing market conditions.

While local realtors focus on marketing and selling individual properties, our marketing efforts focus on showcasing the community's location, lifestyle, amenities, value, and financial stability. Strategies such as attending national and regional trade shows, managing Discovery Packages (an initiative that has accounted for 13% of our home sales), providing realtors with leads and community updates, maintaining an impressive website, utilizing effective online strategies, handling phone, email, and in-person interactions, and providing informational materials and more, all help potential buyers gain insight into our community’s unique characteristics. This focus on attracting buyers facilitates faster property sales at more appealing prices, thereby safeguarding property values.

Property sales support the Capital Replacement Reserve:
The New Owner Capital Assessment (NOCA), charged when a Keowee Key property changes hands, serves as a reliable, partial funding source for the Capital Replacement Reserve. This fund is dedicated to ensuring Keowee Key facilities and equipment are well maintained, which ultimately protects community property values. NOCA also helps minimize the financial burden for current Owners, making capital assessments more affordable. The pipeline of buyers fostered by the efforts of Marketing ensures a continuous stream of NOCA collections.

Steady referrals result from Member satisfaction:
Member referrals play a crucial role in safeguarding property values with a substantial contribution to the potential buyer pool. Positive experiences motivate our Members to encourage family and friends to join our community. In addition to our beautiful lake and favored amenities, our social and educational activities support an exceptional community environment. As the liaison for community relations, the Marketing Director regularly organizes community-wide events and activities that reinforce our Members’ decision to own property in Keowee Key.

Celebratory events such as the year-long 50^th Anniversary, grand openings of amenities, and recognition programs for volunteers and long-time residents are complemented by frequent social and educational activities such as Dinner Theatre, Boating Day, the Speaker Series, Lunch-N-Learns and Keowee Key Day with the Greenville Drive. This diverse range of events is designed to appeal to a wide array of Members and is continually expanding.

An attractive brand increases value:
Marketing plays a significant role in elevating Keowee Key's brand and image. The Marketing Director's expertise influences the professional look of our communications, signage, interior design, and external website. These positive upgrades have significantly increased the community’s desirability and property values.

Conclusion:
The investment in the Keowee Key Marketing Department has been instrumental in raising awareness of the community, enhancing its image, and providing exceptional member experiences. Alongside broader market conditions, these efforts have effectively contributed to increased sales, the elevation of property values, and a thriving community environment. For more in-depth analysis [CLICK HERE].

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KKPOA Boards have considered this possibility over the years and have elected to manage the community in-house. This choice is rooted in the association’s commitment to prioritizing member satisfaction and providing first-class amenities while keeping assessment affordable.  One of the primary concerns with outsourcing is the profit motive of a third-party provider. An outside management company would be motivated to maximize their fees, rather than prioritizing the needs and preferences of our Members. By keeping community management in-house, KKPOA can ensure that staff members are aligned with the organization's service culture and are responsive to the community.

Certain functions, such as security, janitorial services, and payroll processing, are currently outsourced. KKPOA continuously evaluates opportunities to enhance operational efficiency and effectiveness and remains open to outsourcing more functions if it is determined to be cost-effective and beneficial to our Members. This approach enables KKPOA to strike the balance between cost savings and maintaining a high level of service and member satisfaction.

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Yes, KKPOA earns revenue from the long-term relationship. The proceeds are used to reduce both the Operating and Capital Assessments paid by our Members.

In 2002, the only options available in Keowee Key to access a TV signal were an antenna or a satellite dish. To get cable, Members approved a 15-year contract with Charter Communications (now Spectrum), granting it easements to install their cabling and equipment. The contract was limited to the easement, for which KKPOA received no compensation. Buying services from the company for TV, internet, and/or phone is/was up to individual Members and outside of the contractual arrangements between KKPOA and the company.

When the contract expired in 2017, the Board engaged a consultant experienced in negotiating cable agreements. The goal was to obtain a new contract that included compensation for the easements. Our consultant approached AT&T and they had no interest. In 2018, the community voted (by a remarkably high margin of 96%) to authorize the Board to negotiate a new contract with Spectrum. Working with the consultant, management and the Board successfully negotiated a new long-term contract that now generates significant positive cash flow to KKPOA. So, Members benefit from a reduction in assessments as well as access to services.

Note: Due to competitive concerns by Spectrum, the contract requires that the contract amount must remain confidential. Disclosure of the payment amount would be a breach of the contract and will result in the forfeiture of future revenue; thus, the actual amount has not been published to the Membership.

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The Finance Committee is one of three permanent Governance committees defined in the KKPOA Bylaws, along with the Nominating Committee and the Committee for Architectural Review and Environment (CARE). Over the years various KKPOA Boards appointed additional committees such as Boating, Club Advisory, Golf, FRC, and Firewise. Unlike these other committees, which were formed to address specific areas, the Finance Committee has a broad scope of responsibility. It advises the Board and Management on a variety of financial matters Including budgets, fees, reserves, investments, and capital expenditures.

There are three key differences in how the Finance Committee operates when compared to other committees. First, per the Bylaws, the Finance Committee elects its own Chairperson, while most other committees have chairs appointed by the KKPOA Board. Second, the Bylaws specify the qualifications to serve, the terms of service and the specific responsibilities of its members. Third, due to its advisory role, all Finance Committee members are obligated to sign a confidentiality agreement. This practice is to ensure that the Committee’s conclusions and recommendations are initially communicated with the Board and CGM, who are the designated recipients of its advice. For the Finance Committee Charter [Click Here].

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The Finance Committee is made up of five to seven fellow Members who are in good standing, and have relevant accounting, financial or business expertise. Committee members serve a two-year term and may be reappointed to additional terms as outlined in the Bylaws.

Each year the Committee assesses the number of upcoming vacancies and skills most beneficial to achieving a well-rounded committee with diverse, but relevant backgrounds.  Potential committee members are recruited through a variety of channels including e-blasts and referrals. Interested community members submit a Committee Candidate Form describing their background and expertise. [Click Here] to access the form.

The Committee reviews the candidate applications against the skill sets they are looking for and interviews potential candidates using a common interview template. After all potential candidates have been interviewed, the Chairperson, with input from the rest of the Committee, selects the candidate(s) that best fits the Committee’s current needs. A recommendation to appoint the selected candidate(s) is sent to the KKPOA Board for consideration and approval consideration.

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KKPOA Bylaws specify that the Board has ultimate responsibility for managing the financial affairs of the Association. The Finance Committee serves in an advisory capacity to the Board, supporting it with analysis and recommendations to assist with financial management decisions.

To maintain community trust, responsible financial management requires exact reporting, particularly regarding KKPOA's fiscal condition. It is imperative that the Committee's conclusions are fact-based and conveyed accurately. For this reason, confidentiality is important during the multi-step process of evaluating financial matters.

Only Finance Committee Members, together with senior management who have related responsibilities, may attend Finance Committee meetings. This includes the appointed committee members, CGM, Board Treasurer, and Finance Director. As needed, representatives from other committees or staff may be invited to attend part of a meeting to supply pertinent information.

To develop its recommendations, the Committee’s meetings involve analyzing research, exploring various hypotheses, evaluating financial data and reviewing preliminary reports. Confidentiality ensures that the Committee’s conclusions are first shared with the Board or CGM for whom the information is prepared. As a commitment to this principle, all Committee members sign a confidentiality agreement. Similarly, meeting minutes are confidential and provided to the Board for their information. Finance Committee reports concerning important matters such as the adequacy of KKPOA reserves and changes to financial policies are presented in regular Board meetings and posted on the KKPOA website.

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