Aida and the upcoming Board meeting

[Lisa Vargas]

As many of you have likely heard, Aida was fired from the sales office yesterday, for purported low sales numbers.  The commentary from hundreds of you was absolute outrage.  I encourage anyone that can to attend the board meeting next Saturday and voice your concern about Aida and many other issues.  I am not able to attend the board meeting as I will be at Cascadas.  Here are a few questions that I have after reviewing the structure of the new company created and reviewing the budget:

I am not able to attend the meeting as I will be at Cascadas for my usual week. I hope that some of you will attend, and ask some of these tough questions: At the end of 2017/beginning of 2018, the developer phased out of Cascadas and her remaining approximately 20% of inventory was transferred over and now owned by the Association.

1. New Organization Created to Handle Timeshare Sales on Behalf of the Association :

Mauricio at TPI stated that the current Association is a not for profit organization and since the sale of timeshares is a for profit transaction, a for profit company had to be created. Thus, an organization titled Cascadas Vacations, Inc. was created. This corporation is a Delaware corporation, doing business in California. Mark Giddings is this new corporation's CEO, CFO and President and Larry Greenberg is the Secretary.

There are a lot of green squares on the sales grid sheet, which now represent villas that are owned by the Association. So, when each of those villas sells, after sales commission, expenses of sale, IVA tax, etc., a good portion of each sale should result in a sum of profit going into Cascadas Vacations, Inc.

QUESTION: Where/how is that money then transferred to the Association?

Looking at the 2018 Approved Budget (copy attached), in 2017, the Association anticipated income from "Sales Commission - CDR" of $40,000. In 2018, the amount if ZERO.

QUESTIONS: Where is the anticipated profit/income from the sale of the now Association owned villas in 2018? What amount of sales is anticipated in 2018? What is the anticipated income to the Association in 2018 from the sale of villas? What amount of money is anticipated from the rental of owner villas? Where are these income line items on the budget.

QUESTIONS: Since the new organization Cascadas Vacations, Inc. is a wholly owned subsidiary of the Association (all the owners), are the records and books available to view by each interested owner? Will an accounting of the profits and expenses of this new organization be made available to the owners? Why not?

2. New IVA Tax

Several owners have been scolded and harassed for listing their villas for sale/rent and not collecting the 16% Mexican tax (IVA tax). Owners have inquired about this "new" tax and have been told that this new tax is required now that the Association is not an American company, but now a Mexican company? This clearly is misinformation because the Association has always been an American company and the new sales department is also an American company.

QUESTIONS: What is the "new" tax? Why weren't the owners told about it before 2018?

QUESTION: On the 2018 budget, the expense for IVA expense shows $392,069 in 2017 and decreases to $255,404 in 2018. Why the large decrease?

3. New Board and Meetings

Cascadas owners are electing a new board this year. In the past, the developer had the right to vote for each of the developer owned villas (green squares).

QUESTION: Now that the "Association" owns the unsold inventory, who gets to cast a vote for board members for each of those unsold villas?

4. Restaurant and Store at Front

QUESTION: Who owns the restaurant at Cascadas and the store at the front near the lobby?

QUESTION: Who is RemiMar? Why is this unknown company running the restaurant and the store? My information shows that RemiMar is owned by AJ Jackson, a prior owner of Trading Places.

QUESTION: On the 2018 budget, it shows rent from RemiMar of $86,250 in 2017 and ZERO in 2018. RemiMar is also included on a different line item under "Mexico Revenue/RemiMar/Util Reimb." The amount of this item for 2017 was $35,752 and in 2018 increases to $158,036. Why the large increase?

QUESTION: Why doesn't the resort itself manage and run the restaurant and the store?

5. Other Budget Questions:

a. The 2018 budget shows a line item for "GM Invoicing" under Wage and Salaries. In 2017 this amount is zero, in 2018, it is $96,016. What position are we now paying almost $100,000 for?

b. The 2018 budget shows a line item for "Bonus Week Booking Fee." In 2017 it was zero, and in 2018, it is $143,000. What is this category and where does this money come from?

c. What categories of income fall under "Other Income?"

[Welcome to Club Cascadas De Baja]

Lisa,   

You have raised some very interesting questions however owners have no say so over decisions made by unnamed decision makers. The Gidding family is scattering like quail when it comes to  unit ownership thus transferring financial liabilities to membership.  . It's your money and their pockets, they make the self serving changes with little input or regard for the members. .The more confusing the budget gets the less understanding of whats really going on here is understood. Sales are declining (recent firings) as membership dues increase without any recourse.   The big question,  where's all the money going and to who?  

On Wednesday, June 13, 2018 at 4:59:28 PM UTC-7, Lisa Vargas wrote:, 

[doug cekander]

Can one of our board members please answer the items listed below, from Lisa?  Not liking what I am reading.

Thanks
Doug Cekander

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From: Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com>
Sent: Thursday, June 14, 2018 6:58:06 AM
To: Welcome to Club Cascadas De Baja
Subject: Re: Aida and the upcoming Board meeting

 

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[Suzanne]

We haven’t sent in our ballot yet.  The timing of these issues will definitely impact the way we vote.  Any others?  

Suzanne

[Wayne Hammer]

This WILL impact our vote as well. The Aida controversy is a subtitle to real intent ... then believe or not the chair issue puts the exclamation point on that sensitive issue.  Your vote will send your message ... one way or the other.  WCH

[Kellie Howard]

I for one am Furious. There will be no more sales coming from myself, my family or my friends and I'm going to let everyone in the sales office know such. The reason,  besides the fact that I love Cascadas that we purchased is because Aida was personal and no pressure. I cannot believe that they think that this is a great move.

[Jeff Stokes]

The Time share business is a tough business.  You have to look people in the eye and say buying a timeshare is a good investment where in reality you are selling a prepaid vacation.  

[kelly bull-tomer]

At the risk of sounding unsympathetic, I feel like there are a lot of assumptions being made regarding the circumstances around Aida's departure from Cascadas.  The very fact that she was purportedly asked to leave in the middle of the work day without being allowed to cancel her scheduled appointments does not sound like "business as usual" particularly when the issue is simply poor sales numbers.  Perhaps there is more to this story than we know or than we will ever know considering the confidentiality around employee/employer relations and actions.  

I am sad that Aida will no longer be a Cascadas, she was an endearing, hard-working professional and friend and will be greatly missed.

On Thu, Jun 14, 2018 at 8:28 AM, Kellie Howard <howard.k...@gmail.com> wrote:

I for one am Furious. There will be no more sales coming from myself, my family or my friends and I'm going to let everyone in the sales office know such. The reason,  besides the fact that I love Cascadas that we purchased is because Aida was personal and no pressure. I cannot believe that they think that this is a great move.

On Thu, Jun 14, 2018, 8:22 AM Wayne Hammer <hamm...@comcast.net> wrote:

This WILL impact our vote as well. The Aida controversy is a subtitle to real intent ... then believe or not the chair issue puts the exclamation point on that sensitive issue.  Your vote will send your message ... one way or the other.  WCH

On June 14, 2018 at 9:11 AM Suzanne <suzb...@mac.com> wrote:

We haven’t sent in our ballot yet.  The timing of these issues will definitely impact the way we vote.  Any others?  

Suzanne

On Jun 14, 2018, at 6:13 AM, doug cekander < djbce...@hotmail.com> wrote:

Can one of our board members please answer the items listed below, from Lisa?  Not liking what I am reading.

Thanks
Doug Cekander

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[Lisa Vargas]

Larry:

We are all looking for the facts.   However, when the sales office pitches a "family" and "welcome home" there is obviously emotion involved.  All of us didn't buy a timeshare, we bought a membership in a private club, where we were promised it would be different.  We are all like a family, until recently.  Think back to the many years and ways we are all a family.  A huge hurricane hit Cabo several years ago and many many owners raised money to be given to the staff.  Many of us owners have relationships with the staff.  By the way, the sales office was recently told they cannot fraternize or associate with any members outside of the resort.  Why?

The tactics and attitudes of Dave and Rory in the sales office are absurd.  Members are being sought out and brought to the sales office to be chastised for listing their villas for sale or for rent privately as "it takes away from money to the Association."  Yet, I have asked everyone (including Mauricio) what those actual numbers are (i.e., the facts) and have been shut down and told that sales number cannot be revealed. 

Yet, you, as a Board member (your wife) has a villa listed for sale on Facebook privately.  Are you being chastised by Dave and Rory for listing your villa for sale privately?  I doubt it.  Why are you trying to sell your villa privately, outside of the sales office and take money away from the Association? 

Of course there is emotion involved, because there are no facts being presented.  The firing of Aida is just one example of the cut throat way that the sales office is changing Cascadas.  It will always be a beautiful relaxing place that we all love to call "home," but the desire to bring everyone we know and encourage them to buy so that they too can experience the "family" environment, is changing. 

Hurricane, now tropical storm Bud will spare Cascadas and Cabo, but the hurricane that has been created by Dave and Rory in the sales office will not go away. 

So you are running for re election to the board, what is going to be done about these issues? 

I will be at Cascadas next week for one of my regular weeks, and am bringing 14 friends with me.  I have no desire to sit in the office with Mauricio or anyone else to be fed a line of bullshit and take away from what joy I have left at Cascadas. 

If someone, anyone, wants to answer my questions, and also tell me why other sales agents, with less seniority were not let go from Cascadas, or another position found for Aida, like bonus weeks (which are now being handled by a sales agent who doesn't even living in Cabo), then they can communicate with me via email.  I refuse to allow these very upsetting circumstances to ruin my vacation.  But don't think for a minute that this is going to blow over and go away.

When the new board is elected next week, they will all be brought into the loop by the hundreds of owners that are outraged by this recent conduct.

Lisa Vargas

On Wednesday, June 13, 2018, 8:51:19 PM PDT, Larry Greenberg <larrygr...@earthlink.net> wrote:

Lisa,

 

I wish I were there to answer your questions about CVI. There are good answers to all of them, and the Board has been very careful to look out for the best interests of the Members. The Giddings Company (CDR) transferred 1130 units to the Club on 31 December per their long-standing agreement with the Club. Most of what you have noted in your questions is due to changing how revenues are booked and how expenses including taxes are paid. The Member’s chief benefit from operating CVI is that over $900,000 of maintenance fees on the 1130 unsold units is paid rather having to raise members’  fees. The Club is also expecting a dividend from CVI in 2019 based on 2018 profits.

 

Accounting for all these differences has been a significant effort but let me assure you that the Members’ interest has been the overwhelming consideration.

 

Please take the opportunity to go over your questions with our COO, Mauricio Quezada, who office is in the Las Palmas building while you are there. It sounds like Hurricane, now Tropical Storm, Bud will spare Cascadas and its guests.

 

As for your concern about Aida, Mauricio can also help inform you. My wife and I have known her since 1998 and are good friends of hers, so I too am disturbed by what has transpired. I will be talking with CVI management at our Board meetings next week to gain understanding of why it was necessary.

 

I hope that facts rather than emotions will determine all further discourse on these subjects.

 

Larry

 

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[Barbara Pence]

Larry’s answer to Lisa was reassuring but it wasn’t very understandable.  She asked a lot of questions and he just gave a couple of pieces of information that to him covered all of her questions, but I’m afraid I wasn’t very enlightened.  It’s fine for those few of us at the Club itself to try to sit down with the COO Mauricio, but ALL of us need clear answers.  Perhaps Larry could prevail on Mauricio to respond to all of us his responses to each of Lisa’s questions.  If the answers all truly make sense and are positive for the association, as Larry suggests, that might quiet things down before the board meeting.

    The Aida issue is something else.  I think we would all appreciate hearing from Larry what he learns.

   Barbara Pence

Sent from my iPhone

[Cindy Luis]

I agree with Kelly.  I think a lot of rumors and emotions are flying around and we don’t have all the facts.  I plan to attend the board meeting next week to (hopefully) get the facts and express my opinion about these issues. I encourage as many owners as possible to attend as well.  

-Cindy Luis (owner since 1989)

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[Julie Tizzano]

Thank you Lisa for addressing all this. 

I am sitting at Los Cabos airport just leaving and I will be at the meeting next week to bring up these concerns 

I am a long time member also since 1990 and have brought printed items for Aida for the humane society for years 

Julie Tizzano 

Weeks 18 19 23 24

Sent from my Verizon 4G LTE smartphone

[Kim D Curtsinger]

I would like to thank Lisa Vargas & Daniel Minnis for conveying what I believe is the feelings & thoughts of the majority of our members. You have a great way of putting it in writing. Stay strong Aida 💕

Thank you 

On Jun 14, 2018, at 9:23 AM, 'Lisa Vargas' via Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com> wrote:

Larry:

We are all looking for the facts.   However, when the sales office pitches a "family" and "welcome home" there is obviously emotion involved.  All of us didn't buy a timeshare, we bought a membership in a private club, where we were promised it would be different.  We are all like a family, until recently.  Think back to the many years and ways we are all a family.  A huge hurricane hit Cabo several years ago and many many owners raised money to be given to the staff.  Many of us owners have relationships with the staff.  By the way, the sales office was recently told they cannot fraternize or associate with any members outside of the resort.  Why?

The tactics and attitudes of Dave and Rory in the sales office are absurd.  Members are being sought out and brought to the sales office to be chastised for listing their villas for sale or for rent privately as "it takes away from money to the Association."  Yet, I have asked everyone (including Mauricio) what those actual numbers are (i.e., the facts) and have been shut down and told that sales number cannot be revealed. 

Yet, you, as a Board member (your wife) has a villa listed for sale on Facebook privately.  Are you being chastised by Dave and Rory for listing your villa for sale privately?  I doubt it.  Why are you trying to sell your villa privately, outside of the sales office and take money away from the Association? 

Of course there is emotion involved, because there are no facts being presented.  The firing of Aida is just one example of the cut throat way that the sales office is changing Cascadas.  It will always be a beautiful relaxing place that we all love to call "home," but the desire to bring everyone we know and encourage them to buy so that they too can experience the "family" environment, is changing. 

Hurricane, now tropical storm Bud will spare Cascadas and Cabo, but the hurricane that has been created by Dave and Rory in the sales office will not go away. 

So you are running for re election to the board, what is going to be done about these issues? 

I will be at Cascadas next week for one of my regular weeks, and am bringing 14 friends with me.  I have no desire to sit in the office with Mauricio or anyone else to be fed a line of bullshit and take away from what joy I have left at Cascadas. 

If someone, anyone, wants to answer my questions, and also tell me why other sales agents, with less seniority were not let go from Cascadas, or another position found for Aida, like bonus weeks (which are now being handled by a sales agent who doesn't even living in Cabo), then they can communicate with me via email.  I refuse to allow these very upsetting circumstances to ruin my vacation.  But don't think for a minute that this is going to blow over and go away.

When the new board is elected next week, they will all be brought into the loop by the hundreds of owners that are outraged by this recent conduct.

Lisa Vargas

On Wednesday, June 13, 2018, 8:51:19 PM PDT, Larry Greenberg <larrygr...@earthlink.net> wrote:

Lisa,

 

I wish I were there to answer your questions about CVI. There are good answers to all of them, and the Board has been very careful to look out for the best interests of the Members. The Giddings Company (CDR) transferred 1130 units to the Club on 31 December per their long-standing agreement with the Club. Most of what you have noted in your questions is due to changing how revenues are booked and how expenses including taxes are paid. The Member’s chief benefit from operating CVI is that over $900,000 of maintenance fees on the 1130 unsold units is paid rather having to raise members’  fees. The Club is also expecting a dividend from CVI in 2019 based on 2018 profits

 

Accounting for all these differences has been a significant effort but let me assure you that the Members’ interest has been the overwhelming consideration.

 

Please take the opportunity to go over your questions with our COO, Mauricio Quezada, who office is in the Las Palmas building while you are there. It sounds like Hurricane, now Tropical Storm, Bud will spare Cascadas and its guests.

 

As for your concern about Aida, Mauricio can also help inform you. My wife and I have known her since 1998 and are good friends of hers, so I too am disturbed by what has transpired. I will be talking with CVI management at our Board meetings next week to gain understanding of why it was necessary.

 

I hope that facts rather than emotions will determine all further discourse on these subjects.

 

Larry

 

From: 'Lisa Vargas' via Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com>
Sent: Wednesday, June 13, 2018 4:59 PM
To: Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com>
Subject: Aida and the upcoming Board meeting

 

As many of you have likely heard, Aida was fired from the sales office yesterday, for purported low sales numbers.  The commentary from hundreds of you was absolute outrage.  I encourage anyone that can to attend the board meeting next Saturday and voice your concern about Aida and many other issues.  I am not able to attend the board meeting as I will be at Cascadas.  Here are a few questions that I have after reviewing the structure of the new company created and reviewing the budget:

 

I am not able to attend the meeting as I will be at Cascadas for my usual week. I hope that some of you will attend, and ask some of these tough questions: At the end of 2017/beginning of 2018, the developer phased out of Cascadas and her remaining approximately 20% of inventory was transferred over and now owned by the Association.

1. New Organization Created to Handle Timeshare Sales on Behalf of the Association :

Mauricio at TPI stated that the current Association is a not for profit organization and since the sale of timeshares is a for profit transaction, a for profit company had to be created. Thus, an organization titled Cascadas Vacations, Inc. was created. This corporation is a Delaware corporation, doing business in California. Mark Giddings is this new corporation's CEO, CFO and President and Larry Greenberg is the Secretary

There are a lot of green squares on the sales grid sheet, which now represent villas that are owned by the Association. So, when each of those villas sells, after sales commission, expenses of sale, IVA tax, etc., a good portion of each sale should result in a sum of profit going into Cascadas Vacations, Inc.

QUESTION: Where/how is that money then transferred to the Association?

Looking at the 2018 Approved Budget (copy attached), in 2017, the Association anticipated income from "Sales Commission - CDR" of $40,000. In 2018, the amount if ZERO.

QUESTIONS: Where is the anticipated profit/income from the sale of the now Association owned villas in 2018? What amount of sales is anticipated in 2018? What is the anticipated income to the Association in 2018 from the sale of villas? What amount of money is anticipated from the rental of owner villas? Where are these income line items on the budget.

QUESTIONS: Since the new organization Cascadas Vacations, Inc. is a wholly owned subsidiary of the Association (all the owners), are the records and books available to view by each interested owner? Will an accounting of the profits and expenses of this new organization be made available to the owners? Why not?

2. New IVA Tax

Several owners have been scolded and harassed for listing their villas for sale/rent and not collecting the 16% Mexican tax (IVA tax). Owners have inquired about this "new" tax and have been told that this new tax is required now that the Association is not an American company, but now a Mexican company? This clearly is misinformation because the Association has always been an American company and the new sales department is also an American company.

QUESTIONS: What is the "new" tax? Why weren't the owners told about it before 2018?

QUESTION: On the 2018 budget, the expense for IVA expense shows $392,069 in 2017 and decreases to $255,404 in 2018. Why the large decrease?

3. New Board and Meetings

Cascadas owners are electing a new board this year. In the past, the developer had the right to vote for each of the developer owned villas (green squares).

QUESTION: Now that the "Association" owns the unsold inventory, who gets to cast a vote for board members for each of those unsold villas?

4. Restaurant and Store at Front

QUESTION: Who owns the restaurant at Cascadas and the store at the front near the lobby?

QUESTION: Who is RemiMar? Why is this unknown company running the restaurant and the store? My information shows that RemiMar is owned by AJ Jackson, a prior owner of Trading Places.

QUESTION: On the 2018 budget, it shows rent from RemiMar of $86,250 in 2017 and ZERO in 2018. RemiMar is also included on a different line item under "Mexico Revenue/RemiMar/Util Reimb." The amount of this item for 2017 was $35,752 and in 2018 increases to $158,036. Why the large increase?

QUESTION: Why doesn't the resort itself manage and run the restaurant and the store?

5. Other Budget Questions:

a. The 2018 budget shows a line item for "GM Invoicing" under Wage and Salaries. In 2017 this amount is zero, in 2018, it is $96,016. What position are we now paying almost $100,000 for?

b. The 2018 budget shows a line item for "Bonus Week Booking Fee." In 2017 it was zero, and in 2018, it is $143,000. What is this category and where does this money come from?

c. What categories of income fall under "Other Income?"

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[denn...@aol.com]

Hi To All, I am running for the Board and like you I was shocked at both the firing of Aida and the new chairs.  1st the chairs, frankly they look like something you would see at a Motel 6.  As I recall several if not all the leather/wood tables and chairs were refurbished just a few years ago, so my 1st question is why did we waste the money on new chairs ?  Next why would you replace them, they are part of the charm and warmth of the club.  If it can be done the board should stop the purchase of any more chairs and tables until this can be talked about at the board meeting on the 23rd (I will be there to address this issue).  Another question, why does the board make such major decisions without asking members opinions?  As a manager of a huge facility I know sometimes decisions need to be made quickly making input not practical, but I don't think buying ugly chairs falls into that category, the members should have been asked for their opinion. To achieve better communications as a board member I would ask that we form a group of interested members into a panel to divide up the members by initials of last name.  Am example would be a member of this group takes initials A to C, the next one D to F and so on.  This will make communications easier but also effective and give each member an opportunity to voice their opinion. Next Aida, she has been a valued employee for decades, I understand managements rights to deal with their employees but, the fact that we are more like a family than just a simple timeshare should be taken into account especially with Aida's history with all of us and the club.  There are privacy rights for employee/employer actions, I will try to contact Aida and if she waves these rights than we can find out more.  My name is Buck Dodson, maybe to late to effect the voting but we really need better treatment/communications from our board.

-----Original Message-----
From: 'Lisa Vargas' via Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com>

To: Larry Greenberg <larrygr...@earthlink.net>
Cc: 'Mauricio Quezada' <Mauricio...@Tradingplaces.com>; Welcome To Club Cascadas De Baja <club-casca...@googlegroups.com>
Sent: Thu, Jun 14, 2018 9:23 am
Subject: Re: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

[Barbara Pence]

For anyone who did not receive Larry Greenberg’s response to Lisa Vargas, you will find it in the stream of communications below.  It is the third email.

Sent from my iPhone

Begin forwarded message:

[Larry Greenberg]

Barbara and everyone,

 

The Board has prepared an Owner’s Information Guide that is going to be distributed electronically very soon. It explains a lot about the transition from the Giddings and about the creation and operations of CVI. It also discusses the ongoing renovations. While it explains the motivations for how things are done, there are numerous details in budgets and plans that evolve as operations continue. There are numerous tradeoffs that are considered in preparing these plans that are beyond the scope of a simple reply. I truly believe that the Board takes all members concerns and desires into consideration and has the Membership as its highest priority.

 

The Board has a meeting next week the day before the Annual Meeting, and the many comments of the members will undoubtedly be discussed. Personally, I follow all the social media concerning the club and welcome all the positive suggestions. I choose to reply only on occasion when I think it will significantly improve the discourse.

 

I hope to see many of you at the Annual Meeting,

 

Larry

 

From: club-casca...@googlegroups.com <club-casca...@googlegroups.com> On Behalf Of Barbara Pence
Sent: Thursday, June 14, 2018 9:44 AM
To: Lisa Vargas <lisava...@yahoo.com>
Cc: Larry Greenberg <larrygr...@earthlink.net>; Mauricio Quezada <Mauricio...@Tradingplaces.com>; Welcome To Club Cascadas De Baja <club-casca...@googlegroups.com>
Subject: Re: Aida and the upcoming Board meeting (Current Board Member response and my reply)

 

Larry’s answer to Lisa was reassuring but it wasn’t very understandable.  She asked a lot of questions and he just gave a couple of pieces of information that to him covered all of her questions, but I’m afraid I wasn’t very enlightened.  It’s fine for those few of us at the Club itself to try to sit down with the COO Mauricio, but ALL of us need clear answers.  Perhaps Larry could prevail on Mauricio to respond to all of us his responses to each of Lisa’s questions.  If the answers all truly make sense and are positive for the association, as Larry suggests, that might quiet things down before the board meeting.

[Mike Fagan]

On Wednesday, June 13, 2018 at 4:59:28 PM UTC-7, Lisa Vargas wrote:

[Kimberly Beach]

I fell like one of the things we need to do quickly is limit the authority of this board.  The board is our representative.  They are charged with carrying out the wishes of the membership, not endorsing actions suggested by others.  

We have already seen poor decisions such as key employee terminations and replacement of equipment - without consulting us - the OWNERS.   

Perhaps the transition was too much for them, or they lost site of their role.  I am not sure,  

Bur for those of you attending the meeting, I suggest a motion to require the board to call for a membership vote on all transactions costing more than $5000 US and for any key employee decisions. 

This may cause things to take a bit longer, but I would feel better knowing that a majority of us feel the action is appropriate.  

(And of course, we need to eliminate those board members who are not listening to us - Either now or in the future when their term is expired.)

I do not believe terminating Aida was good for any of us.  No matter why it was done.- And I want her back.  

[denn...@aol.com]

Larry, although I appreciate that you are the only board member that has replied, your response falls short.  All I have asked and all I have wanted was communications from the board to members.  We are all involved in this club and the beauty/family feelings we all get. But it is hard to understand what trade offs you are talking about when it comes to new chairs or the schedule for refurbishing Villas.  I think anyone reading these messages on this sight can easily see how frustrated members are.  The Arroyo looks like a boarder town and yet nothing is done or communicated what is trying to be done.  I stand by my statements, I will give an answer not just a rambling.  You may not always like my answer but it will be the truth and it will be from the heart.  Bottom line the board has done a piss pour job communicating with the members, also I would like to know what Pat Giddings thinks of these new chairs ?  Buck

-----Original Message-----
From: Larry Greenberg <larrygr...@earthlink.net>
To: 'Barbara Pence' <barbarap...@att.net>; 'Lisa Vargas' <lisava...@yahoo.com>
Cc: 'Mauricio Quezada' <Mauricio...@Tradingplaces.com>; 'Welcome To Club Cascadas De Baja' <club-casca...@googlegroups.com>
Sent: Thu, Jun 14, 2018 10:34 am
Subject: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

Barbara and everyone,

 

The Board has prepared an Owner’s Information Guide that is going to be distributed electronically very soon. It explains a lot about the transition from the Giddings and about the creation and operations of CVI. It also discusses the ongoing renovations. While it explains the motivations for how things are done, there are numerous details in budgets and plans that evolve as operations continue. There are numerous tradeoffs that are considered in preparing these plans that are beyond the scope of a simple reply. I truly believe that the Board takes all members concerns and desires into consideration and has the Membership as its highest priority.

 

The Board has a meeting next week the day before the Annual Meeting, and the many comments of the members will undoubtedly be discussed. Personally, I follow all the social media concerning the club and welcome all the positive suggestions. I choose to reply only on occasion when I think it will significantly improve the discourse.

 

I hope to see many of you at the Annual Meeting,

 

Larry

 

[Barbara Burnell Syrdal]

Where and when is the annual meeting. We want to go! Barb and Phil Syrdal

Sent from my iPhone

On Jun 14, 2018, at 12:13 PM, denndods via Welcome to Club Cascadas De Baja <club-casca...@googlegroups.com> wrote:

[Lisa Vargas]

Saturday, June 23, 2018,at 10:00 a.m.(Pacific Time) at the Wyndham Irvine/ Orange County

Airport Hotelat 17941 Von Karman Ave.,in the city of Irvine, California.

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[denn...@aol.com]

Hi Barbara, the meeting is June 23 at Wyndham Irvine, 17941 Von Karman Ave, Irvine, Ca.  Hotel number (949) 863,1999.  Hope to see you there Buck Dodson

-----Original Message-----
From: Barbara Burnell Syrdal <bbsy...@gmail.com>
To: denndods <denn...@aol.com>
Cc: larrygreenberg <larrygr...@earthlink.net>; barbarapence5735 <barbarap...@att.net>; lisavargas619 <lisava...@yahoo.com>; Mauricio.Quezada <Mauricio...@Tradingplaces.com>; club-cascadas-de-baja <club-casca...@googlegroups.com>
Sent: Thu, Jun 14, 2018 12:15 pm
Subject: Re: Aida and the upcoming Board meeting (Current Board Member response and my reply)

Where and when is the annual meeting. We want to go! Barb and Phil Syrdal

Sent from my iPhone

On Jun 14, 2018, at 12:13 PM, denndods via Welcome to Club Cascadas De Baja <club-cascadas-de-ba...@googlegroups.com> wrote:

[sjbr...@earthlink.net]

We're 6 months into the Legacy.  A "Guide" should have been available well before January, or at least right when the Legacy started.  A day late and a dollar short in my opinion.  John Bramer

-----Original Message-----
From: Larry Greenberg
Sent: Jun 14, 2018 1:33 PM
To: 'Barbara Pence' , 'Lisa Vargas'
Cc: 'Mauricio Quezada' , 'Welcome To Club Cascadas De Baja'
Subject: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

Barbara and everyone,

 

The Board has prepared an Owner’s Information Guide that is going to be distributed electronically very soon. It explains a lot about the transition from the Giddings and about the creation and operations of CVI. It also discusses the ongoing renovations. While it explains the motivations for how things are done, there are numerous details in budgets and plans that evolve as operations continue. There are numerous tradeoffs that are considered in preparing these plans that are beyond the scope of a simple reply. I truly believe that the Board takes all members concerns and desires into consideration and has the Membership as its highest priority.

 

The Board has a meeting next week the day before the Annual Meeting, and the many comments of the members will undoubtedly be discussed. Personally, I follow all the social media concerning the club and welcome all the positive suggestions. I choose to reply only on occasion when I think it will significantly improve the discourse.

 

I hope to see many of you at the Annual Meeting,

 

Larry

 

From: club-casca...@googlegroups.com <club-casca...@googlegroups.com> On Behalf Of Barbara Pence
Sent: Thursday, June 14, 2018 9:44 AM
To: Lisa Vargas <lisava...@yahoo.com>

Cc: Larry Greenberg <larrygr...@earthlink.net>; Mauricio Quezada <Mauricio...@Tradingplaces.com>; Welcome To Club Cascadas De Baja <club-casca...@googlegroups.com>
Subject: Re: Aida and the upcoming Board meeting (Current Board Member response and my reply)

 

Larry’s answer to Lisa was reassuring but it wasn’t very understandable.  She asked a lot of questions and he just gave a couple of pieces of information that to him covered all of her questions, but I’m afraid I wasn’t very enlightened.  It’s fine for those few of us at the Club itself to try to sit down with the COO Mauricio, but ALL of us need clear answers.  Perhaps Larry could prevail on Mauricio to respond to all of us his responses to each of Lisa’s questions.  If the answers all truly make sense and are positive for the association, as Larry suggests, that might quiet things down before the board meeting.

    The Aida issue is something else.  I think we would all appreciate hearing from Larry what he learns.

   Barbara Pence

Sent from my iPhone

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[Kellie Howard]

I spoke with Aida today.  There is NOTHING to the story more than low sales #'s.  She takes FULL responsibility for the reason she was terminated.

As for the way it was handled...crappy and humiliating.  She is heartbroken.  WE HAVE LOST A VALUABLE ASSET!!

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[Lisa Vargas]

Answer to my questions from Mauricio at TPI in blue:

1. New Organization Created to Handle Timeshare Sales on Behalf of the Association :

Mauricio at TPI stated that the current Association is a not for profit organization and since the sale of timeshares is a for profit transaction, a for profit company had to be created. Thus, an organization titled Cascadas Vacations, Inc. was created. This corporation is a Delaware corporation, doing business in California. Mark Giddings is this new corporation's CEO, CFO and President and Larry Greenberg is the Secretary.

There are a lot of green squares on the sales grid sheet, which now represent villas that are owned by the Association. So, when each of those villas sells, after sales commission, expenses of sale, IVA tax, etc., a good portion of each sale should result in a sum of profit going into Cascadas Vacations, Inc.

QUESTION: Where/how is that money then transferred to the Association? THE FIRST AND MOST IMPORTANT ITEM IS THAT THE PROCEEDS FROM THE SALES OPERATION SUBSIDIZES THE CLUB'S BUDGET. HOW? THE CLUB HAS 5,650 POTENTIAL MEMBERSHIPS, FROM WHICH ROUGHLY 20% ARE UNSOLD AND THE BUDGET IS BASED ON RECEIVING 100% OF THE MAINTENANCE DUES TO BALANCE THE BUDGET TO ZERO. SALES MAKES UP FOR THE MAINTENANCE FEE ON THE UNSOLD INVENTORY, WHICH IS SOMEWHERE AROUND A MILLION. THE SALES OFFICE ALSO PAYS A LEASE TO THE ASSOCIATION AND MAKES CERTAIN EXPENSES ON ITS BEHALF. SHOULD THERE STILL BE A SURPLUS, IT CAN BE TRANSFERED BACK TO THE ASSOCIATION THE FOLLOWING YEAR AS A DIVIDEND.

Looking at the 2018 Approved Budget (copy attached), in 2017, the Association anticipated income from "Sales Commission - CDR" of $40,000. In 2018, the amount if ZERO. CORRECT, A SMALL PERCENTAGE WAS PAID BY THE DEVELOPER TO THE ASSOCIATION ON "FRESH SALES". SINCE THE ASSOCIATION NOW RUNS THE SALES OPERATION THROUGH ITS SUBSIDIARY, THIS LINE ITEM NO LONGER EXISTS

QUESTIONS: Where is the anticipated profit/income from the sale of the now Association owned villas in 2018? What amount of sales is anticipated in 2018? What is the anticipated income to the Association in 2018 from the sale of villas? What amount of money is anticipated from the rental of owner villas? Where are these income line items on the budget. WHILE CVI IS A WHOLLY OWNED SUBSIDIARY, IT HAS ITS OWN BUDGET FOR INCOME AND EXPENSES AND PAYS ITS TAXES ACCORDINGLY. IT ISN'T PART OF THE ASSOCIATION'S BUDGET. YOUR BOARD OF DIRECTORS AND THE THREE DEVELOPER SEATS CURRENTLY CONSTITUTE THE CVI BOARD. UPON THE NEW BOARD BEING ELECTED, THE CVI BOARD WILL BE UPDATED ACCORDINGLY. TPI IS HIRED TO HANDLE THE ACCOUNTING AND BOOKKEEPING OF CVI, WHICH IS PAID DIRECTLY BY CVI AND PROVIDES MONTHLY FINANCIALS AND DETAILED REPORTS TO THE BOARD.

QUESTIONS: Since the new organization Cascadas Vacations, Inc. is a wholly owned subsidiary of the Association (all the owners), are the records and books available to view by each interested owner? Will an accounting of the profits and expenses of this new organization be made available to the owners? Why not? THIS WILL BE DISCUSSED AT THE UPCOMING BOARD MEETING NEXT WEEK THE DAY BEFORE THE ANNUAL MEETING, I WILL PROVIDE YOU WITH AN ANSWER SHORTLY AFTER AND THIS TIES IN WITH YOUR PREVIOUS QUESTION TOO.

2. New IVA Tax

Several owners have been scolded and harassed for listing their villas for sale/rent and not collecting the 16% Mexican tax (IVA tax). Owners have inquired about this "new" tax and have been told that this new tax is required now that the Association is not an American company, but now a Mexican company? This clearly is misinformation because the Association has always been an American company and the new sales department is also an American company.

QUESTIONS: What is the "new" tax? Why weren't the owners told about it before 2018? IVA TAX ISN'T NEW AND YOU PAY FOR IT BASICALLY FOR ANY SERVICE OR PRODUCT IN MEXICO, WHETHER YOU EAT AT THE RESTAURANT, BUY CLOTHES AT THE MINIMARKET, PURCHASE A UNIT, TAKE A WHALEWATCHING TOUR, ETC. CVI IS OBLIGATED TO REPORT AND PAY IVA TAX TO "SAT" (MEXICO'S EQUIVALENT TO THE IRS) OR WE'D BE AT FAULT AND IT CARRIES LOTS OF LIABILITY. I CAN'T SPEAK FOR BEFORE, BUT THIS IS WHAT WE HAVE TO DO NOW, NO MATTER WHERE THE FUNDS ARE COLLECTED OR WHERE THE TRANSACTION TAKES PLACE

QUESTION: On the 2018 budget, the expense for IVA expense shows $392,069 in 2017 and decreases to $255,404 in 2018. Why the large decrease? IVA IS PROPORTIONAL TO THE EXPENSES. PAYROLL IS NOT SUBJECT TO IVA, NOR ARE US EXPENSES OR THE RESERVE FUND

3. New Board and Meetings

Cascadas owners are electing a new board this year. In the past, the developer had the right to vote for each of the developer owned villas (green squares).

QUESTION: Now that the "Association" owns the unsold inventory, who gets to cast a vote for board members for each of those unsold villas? NO ONE, THE UNSOLD INVENTORY IS ONLY UTILIZED FOR QUORUM PURPOSES DURING ELECTIONS

4. Restaurant and Store at Front

QUESTION: Who owns the restaurant at Cascadas and the store at the front near the lobby? THE RETAIL CENTERS AND RESTAURANT HAVE OPERATED UNDER A LEASE FOR MANY, MANY, MANY YEARS

QUESTION: Who is RemiMar? Why is this unknown company running the restaurant and the store? My information shows that RemiMar is owned by AJ Jackson, a prior owner of Trading Places. NOT UNKNOWN, IT'S THE SAME COMPANY WHO HAS OPERATED FOR MANY YEARS. IF I MAY, THEY ARE A STORY OF SUCCESS AND INDUCED POSITIVE CHANGE TO TURN IT INTO WHAT IT IS TODAY

QUESTION: On the 2018 budget, it shows rent from RemiMar of $86,250 in 2017 and ZERO in 2018. RemiMar is also included on a different line item under "Mexico Revenue/RemiMar/Util Reimb." The amount of this item for 2017 was $35,752 and in 2018 increases to $158,036. Why the large increase? THE ASSOCIATION USED TO RECEIVE LESS DUE TO WITHHOLDING TAX BY BOOKING THE LEASE PAYMENT AS US REVENUE, IT IS NOW PAID IN MEXICO, MAXIMIZING THE BENEFIT TO THE CLUB

QUESTION: Why doesn't the resort itself manage and run the restaurant and the store? ONGOING DISCUSSION

5. Other Budget Questions:

a. The 2018 budget shows a line item for "GM Invoicing" under Wage and Salaries. In 2017 this amount is zero, in 2018, it is $96,016. What position are we now paying almost $100,000 for? THIS IS NOT ONLY THE GENERAL MANAGER'S SALARY, ALL COSTS ASSOCIATED TO THE POSITION SUCH AS HEALTH INSURANCE AND BENEFITS ARE BUNDLED INTO THIS LINE ITEM

b. The 2018 budget shows a line item for "Bonus Week Booking Fee." In 2017 it was zero, and in 2018, it is $143,000. What is this category and where does this money come from? THESE ARE THE BOOKING FEES FOR BONUS WEEKS FROM THE SALES OFFICE, THIS ITEM WAS MOVED INTO THE CVI BUDGET LAST NOVEMBER

c. What categories of income fall under "Other Income?" DAMAGED ITEMS, LAUNDRY SERVICES, LOST KEYS, CURRENCY EXCHANGE, ETC. 

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This electronic mail message is intended exclusively for the individual or entity to which it is addressed. This message, together with any attachment, may contain confidential and privileged information. Any views, opinions or conclusions expressed in this message are those of the individual sender and do not necessarily reflect the views of ILG, Inc., Interval International, and their affiliates. Any unauthorized review, use, printing, copying, retention, disclosure or distribution is strictly prohibited. If you have received this message in error, please immediately advise the sender by replying to this email and delete all copies of this message. Thank you

[Larry Greenberg]

Mauricio Quezada no longer works for TPI. He works for the Club as COO and as COO of CVI, the Clubs sales subsidiary.

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[sjbr...@earthlink.net]

FYI to all, since Larry only responded to me. John

-----Forwarded Message-----
From: Larry Greenberg
Sent: Jun 14, 2018 6:38 PM
To: sjbr...@earthlink.net
Subject: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

John,

 

The Owner’s Guide has been in preparation for some time, even before we knew when Turnover would occur. Legacy refers to the extension beyond 2017; Turnover refers to when the Giddings would give the club the unsold 20% of the Legacy. It only became known midway through 2017 that Turnover would coincide with the start of the Legacy on 1 January. That forced a rewrite of the Guide, which is going to be released very soon.

 

I agree that we need to work on better communications and appreciate your interest.

 

Larry

 

From: club-casca...@googlegroups.com <club-casca...@googlegroups.com> On Behalf Of sjbr...@earthlink.net
Sent: Thursday, June 14, 2018 3:15 PM
To: Larry Greenberg <larrygr...@earthlink.net>; 'Barbara Pence' <barbarap...@att.net>; 'Lisa Vargas' <lisava...@yahoo.com>
Cc: 'Mauricio Quezada' <Mauricio...@Tradingplaces.com>; 'Welcome To Club Cascadas De Baja' <club-casca...@googlegroups.com>
Subject: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

 

We're 6 months into the Legacy.  A "Guide" should have been available well before January, or at least right when the Legacy started.  A day late and a dollar short in my opinion.  John Bramer

-----Original Message-----
From: Larry Greenberg
Sent: Jun 14, 2018 1:33 PM
To: 'Barbara Pence' , 'Lisa Vargas'
Cc: 'Mauricio Quezada' , 'Welcome To Club Cascadas De Baja'
Subject: RE: Aida and the upcoming Board meeting (Current Board Member response and my reply)

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[Rosemary]

Lisa and Barbara,

You have been very involved for quite awhile and share a lot of my points of view. Who are you supporting for Board positions?  My private email is: rosemar...@aol.com 

 

On Wednesday, June 13, 2018 at 4:59:28 PM UTC-7, Lisa Vargas wrote:

As many of you have likely heard, Aida was fired from the sales office yesterday, for purported low sales numbers.  The commentary from hundreds of you was absolute outrage.  I encourage anyone that can to attend the board meeting next Saturday and voice your concern about Aida and many other issues.  I am not able to attend the board meeting as I will be at Cascadas.  Here are a few questions that I have after reviewing the structure of the new company created and reviewing the budget:

I am not able to attend the meeting as I will be at Cascadas for my usual week. I hope that some of you will attend, and ask some of these tough questions: At the end of 2017/beginning of 2018, the developer phased out of Cascadas and her remaining a

pproximately 20% of inventory was transferred over and now owned by the Association.

1. New Organization Created to Handle Timeshare Sales on Behalf of the Association :

Mauricio at TPI stated that the current Association is a not for profit organization and since the sale of timeshares is a for profit transaction, a for profit company had to be created. Thus, an organization titled Cascadas Vacations, Inc. was created. This corporation is a Delaware corporation, doing business in California. Mark Giddings is this new corporation's CEO, CFO and President and Larry Greenberg is the Secretary.

There are a lot of green squares on the sales grid sheet, which now represent villas that are owned by the Association. So, when each of those villas sells, after sales commission, expenses of sale, IVA tax, etc., a good portion of each sale should result in a sum of profit going into Cascadas Vacations, Inc.

QUESTION: Where/how is that money then transferred to the Association?

Looking at the 2018 Approved Budget (copy attached), in 2017, the Association anticipated income from "Sales Commission - CDR" of $40,000. In 2018, the amount if ZERO.

QUESTIONS: Where is the anticipated profit/income from the sale of the now Association owned villas in 2018? What amount of sales is anticipated in 2018? What is the anticipated income to the Association in 2018 from the sale of villas? What amount of money is anticipated from the rental of owner villas? Where are these income line items on the budget.

QUESTIONS: Since the new organization Cascadas Vacations, Inc. is a wholly owned subsidiary of the Association (all the owners), are the records and books available to view by each interested owner? Will an accounting of the profits and expenses of this new organization be made available to the owners? Why not?

2. New IVA Tax

Several owners have been scolded and harassed for listing their villas for sale/rent and not collecting the 16% Mexican tax (IVA tax). Owners have inquired about this "new" tax and have been told that this new tax is required now that the Association is not an American company, but now a Mexican company? This clearly is misinformation because the Association has always been an American company and the new sales department is also an American company.

QUESTIONS: What is the "new" tax? Why weren't the owners told about it before 2018?

QUESTION: On the 2018 budget, the expense for IVA expense shows $392,069 in 2017 and decreases to $255,404 in 2018. Why the large decrease?

3. New Board and Meetings

Cascadas owners are electing a new board this year. In the past, the developer had the right to vote for each of the developer owned villas (green squares).

QUESTION: Now that the "Association" owns the unsold inventory, who gets to cast a vote for board members for each of those unsold villas?

4. Restaurant and Store at Front

QUESTION: Who owns the restaurant at Cascadas and the store at the front near the lobby?

QUESTION: Who is RemiMar? Why is this unknown company running the restaurant and the store? My information shows that RemiMar is owned by AJ Jackson, a prior owner of Trading Places.

QUESTION: On the 2018 budget, it shows rent from RemiMar of $86,250 in 2017 and ZERO in 2018. RemiMar is also included on a different line item under "Mexico Revenue/RemiMar/Util Reimb." The amount of this item for 2017 was $35,752 and in 2018 increases to $158,036. Why the large increase?

QUESTION: Why doesn't the resort itself manage and run the restaurant and the store?

5. Other Budget Questions:

a. The 2018 budget shows a line item for "GM Invoicing" under Wage and Salaries. In 2017 this amount is zero, in 2018, it is $96,016. What position are we now paying almost $100,000 for?

b. The 2018 budget shows a line item for "Bonus Week Booking Fee." In 2017 it was zero, and in 2018, it is $143,000. What is this category and where does this money come from?