Prepare to be amazed as you witness leadership’s scrambling to cover their tracks after being called out for disregarding the governing documents of the Association. (1) Too many more examples of this level of contempt for the rule of law might ultimately result in a precedent declaring the entire governing structure of Big Canoe moot and unenforceable. In fact, keep this defense in mind for the next time you receive one of those foolish AECD citations.
Without shame . . .
Apparently emboldened after escaping consequences from last summer’s election debacle, our leadership is now dancing circles around the Georgia non-profit code section 14-3-1601 that requires written minutes of all board meetings and actions.
Precisely, after voting 7-0 in the January board meeting to name two directors and a current employee (contrary to Board policies 300.1 and 300.4 in effect at that time) along with four property owners to the new planning committee, the minutes of that meeting and vote have been falsified to omit the approval of the two directors and employee. (2) (3) https://www.youtube.com/watch?v=c2LYs2efHlA at time stamp 57:15
Note: As an example of further impropriety, accurate minutes of the meeting would have also shown that with the unanimous vote, the two directors actually voted to affirm themselves on the committee.
Unfortunately, it does not appear that this omission was an oversight as the January 29th board minutes were later approved 7-0 in a closed session meeting on February 9th. (4)
And even though the January vote violated the Association’s governing documents as so prominently noted in this site’s previous post, (1) https://bcmatters.org/backstage/ the permanent written record of the January 29th meeting should not have been doctored and falsified.
Keep in mind, the purpose of meeting minutes is to memorialize what actually took place, not what should or should not have taken place.
One can only hope that immediate measures will be taken to accurately reflect the action taken.
Note: Let’s also hope that minutes from the closed door meetings are not similarly doctored or falsified.
Now moving forward to the February 26th open board meeting . . .
Interestingly, the exiting POA President addressed the need to “clean up” several board procedures before his final exit by stating that the procedures were old and outdated. (5a) https://www.youtube.com/watch?v=Y1tahh5PdY4 at time stamp 31:00.
However, given that the board’s disregard for procedures 300.1 and 300.4 were specifically referenced in this site’s previous post, it is apparent that leadership continues to react to the facts posted in this blog, and the decision to now change those procedures after the fact is an attempt to justify or validate their previous actions.
After voting 7-0 to revise the procedures, directors and employees can now serve as members of any board committee with the exception of the election committee (which is protected in the Association bylaws). Previously these individuals could only act in liaison or advisory positions. Thus, as a compensated employee of the Association, the Director of Operations now serves as the Chairman of the newly organized Planning Committee.
And without getting too far into the debate regarding the wisdom of these changes to procedures, one might certainly ponder the other consequences of this change. For example, will the Director of Finance likewise be named as a member and Chairman of the Finance, Risk and Audit Committee? And could the AECD enforcer often seen cruising the neighborhoods in search of violations be named as a member and even Chairman of the AECC? Shudder the thought.
And yet, these future appointments are entirely possible and will be in accordance with our governing documents given the 2025 Board of Director’s rash and scurried revisions of long held policies and procedures.
The Chimneys – back in the news again . . .
Just as in so many previous years, the community once again learned of the write-off of Association assets after the initial presentation of the previous year end financial results. While speaking to the community at the podium and seeking approval of the board to write off the Chimneys building as an asset, the Director of Finance included a slide titled Chimneys Building Accounting Treatment (6) containing information that appears to be inaccurate.
Specifically, the details disclosed on the slide could not possibly be true if previous responses to this writer’s 2023 questions on the subject via Ask the POA were accurate.
Note: According to the 2022 audited financial statements prepared by Mauldin & Jenkins, a loss was recorded totaling $386,406 pertaining to the Chimneys damage.
Further, a component of the book value of the asset included $121,956 in remodeling fees that have not ever been previously disclosed or evident on any of the posted financial documents. An Ask the POA ticket has been submitted to determine where and how these dollars were being carried on the Association books.
Goodbye kitty . . .
Prior to obtaining the 7-0 vote approving the write-off of the Chimneys, the Director of Finance concluded her discussion by falsely assuring the board and the community that the insurance proceeds received for the damage remained in the Capital Fund. (5b) https://www.youtube.com/watch?v=Y1tahh5PdY4 at time stamp 38:08.
This statement is irrefutably false and should be recognized as such.
Instead, those proceeds were consumed long ago by other Association expenditures. As noted in a previous post on this site, (7) https://bcmatters.org/on-and-on insurance proceeds totaling $474k were eventually transferred to the Capital Fund in November 2023. And during a January 2024 Q&A session, the now exiting POA President assured a property owner that the insurance funds were “sitting in that little kitty – when it’s time to use it for the right purpose”. (8) And yet, by July 2024, the balance in the Capital Fund had plunged to only $96k. (9)
Clearly, the insurance funds did not remain in the Capital Fund.
They were spent.
Note: The current $4 million balance in the Capital Fund does not even fully account for the $1.7 million ERTC payment and approximately $5 million from the Wells Fargo credit line drawn against prior capital expenditures to be retained for upcoming Lake Petit dam expenses. Obviously, many of those dollars have been spent as well.
Out of sight . . .
As for those questionable remodeling fees shown on the Chimneys Building Accounting Treatment slide, a previous post on this site noted that $41k had been wasted in architectural and engineering fees for the canceled postal facility project. Although questions from this writer asked management why these fees had not been expensed, management continued to carry them in the work in progress totals on the capital reports. Further, in subsequent years following those questions, the outstanding fees have been hidden from view on the capital reports as the column totals exceed the itemized projects by $41k. (10) https://bcmatters.org/the-charade/ The deception continues with the posted 2025 year end capital report.
This writer will leave it up to the reader to ascertain the purpose of that deception.
Note: However, as of the March 2nd posting of the January capital reports, it now appears that the $41k may have finally been written off without any mention from management. Yet another Ask the POA ticket has been submitted to determine when and how these expenses were removed from the books.
In an extended stay . . .
Relying on Georgia Code Section 14-3-805 (d), both the POA President and POA Secretary remained on the board beyond the term specified in the Association bylaws. (11) Specifically that code section states that “Despite the expiration of a director’s term, the director continues to serve until the director’s successor is elected, designated, or appointed and qualifies, or until there is a decrease in the number of directors”. That is a gray area obviously subject to interpretation.
Regardless, it seems that the board has now disregarded that same language by extending the President and Secretary’s stay on the board beyond the completion of the second general election. Rather than either delaying a vote to a future date or stepping aside to allow the two incoming directors to vote that were actually confirmed earlier that day in the Mauldin & Jenkins letter, the two exiting directors voted on four policy and procedure changes; one write off of an Association asset; approval of charter and members of a new committee (Black Bear Project); and the approval of an $8 million plus contract for replacement of the Lake Petit Dam spillway (prior to obtaining the final approval of plans from Georgia Safe Dams.)
One might seriously question, are any of these votes even valid?
Or should a new vote be taken as a demonstration of the Board’s compliance with Georgia Code 14-3-805 (d)?
Granted a new vote including the two newly elected directors might very well yield the same conclusion. However, this is a particularly important question given that the votes not only included procedural revisions of governing documents the previous board had chosen to ignore but also the approval of the $8 million contract. Details matter.
In other news . . .
By the way, the Association now has a total of 26 registered or pending trademark applications. Each application costs a minimum of $350, attorney fees to complete the process and additional attorney fees to defend.
However, with so many other unaddressed subjects such as the trademark agreement with the developer, other write-offs and write-downs of Association assets, sale of Association property without board approval; additional legal fees, and January financial results in general, this discussion will be expanded in part two of this post.
But for now, please don’t shoot the messenger . . .
These facts are the actions of management and your board – not the opinions of this writer.
. . . . .
Should you believe the information found in these posts is important, please continue to share with your friends and neighbors wherever possible. As for those who wish to see part two of this post, please subscribe for an email notification or check back frequently. And as always, feel free to contact me directly at thepcrosses@gmail.com for questions or further discussion. Meanwhile, take care and thank you for your readership.
Patricia Cross
10438 Big Canoe
References:
1) “Backstage”, February 11th, 2026, bcmatters.org, https://bcmatters.org/backstage/
2) Board Meeting Minutes, January 29th, 2026 (POAwebsite>login>meetings>Minutes>2026>January29th)
3) Big Canoe POA board meeting, January 29th, 2026, video on youtube at: a) 57:15 https://www.youtube.com/watch?v=c2LYs2efHlA
4) Special Board Meeting Minutes, February 9th, 2026 (POAwebsite>login>meetings>Minutes>2026>February9th)
5) Big Canoe POA board meeting, February 26th, 2026, video on youtube at: a) 31:00; b) 38:08 https://www.youtube.com/watch?v=Y1tahh5PdY4
6) Chimneys Building Accounting Treatment
7) “On and on”, August 14th, 2024, bcmatters.org, https://bcmatters.org/on-and-on
8) Big Canoe POA Board meeting, January 25th, 2024, video on Youtube at 1:17:00 https://www.youtube.com/watch?v=O8EeqiaNK1Q
9) July 2024 Financial Package, Balance Sheet, pg. 2; (POAwebsite>login>POA>financials>2023>December)
10) “The Charade”, May 9th, 2025, bcmatters.org, https://bcmatters.org/the-charade/
Respect due to the author. Following your blog, it appears that you function as a Big Canoe ethics committee. It is impressive. Hopefully, you receive respectful thank you actions as you bring attention. It is difficult that assume that the repeated infractions are innocent. Hopefully your effort positively impacts the community .
I always read your articles three times to fully grasp all the intricate & detailed information you provide Patricia. It seems like the list of infractions keeps on growing. I knew Big Canoe would change when we bought our house 25 years ago, but I never envisioned this. To the (thankfully) outgoing POA President I had to laugh when he told a hapless homeowner that the insurance funds would “stay in the little kitty till we needed them”. Well Mr. Stewart, you forgot to feed the kitty and it died. But why worry, you can duck out & let the next person sort out the mess. Thanks pal. Much respect & appreciation to you, Patricia.
People and boards make mistakes. That’s understandable. But for our POA board, GM and Senior Staff to consistently make inappropriate decisions and choices, and then give a spin to their actions makes no sense. Where is the accountability? The Big Canoe population is a smart bunch. They see thru spin and excuses.