FAQ's
Q&A
Q. I saw people removing items from the premises. Is that permitted?
A. All questions in that regard should be directed towards the receiver.
Q. Have any decisions been made regarding use?
A. HHSD has not been able to have any serious planning in regards to use or future use.
No plans have been made by HHSD
Q. What is receivership?
A. It’s an alternative process to bankruptcy. It is estimated to last 30-60 days.
Q. Don’t you need the golf course property to release effluent from the system? Where do they go if the course closes?
A. The effluent (Class A Reclaimed Water) is still being distributed on the property.
HHSD still owns the property.
Golf operations are suspended currently.
Q. Is there any information on the situation with the golf operations I can obtain on the internet?
A. https://rtcreceivers.com This link is posted on our website www.holmesharborwsd.com
Q. I purchased a punch card/membership, now what?
A. This should be addressed by contacting the liable parties of HHGC LLC or the Receiver
Q. What about the flagsticks, markers, flags and cups?
A. We have a claim with the receiver that those materials belong to HHSD.
For Safety and maintenance purposes HHSD has filled the greens cups with sand.
Q. I can see the case number but I can’t get the court’s internet to accept it.
A. This is a King County case number 26-2-17265-0 SEA
Q. Are you still distributing water to the property?
A. Yes. Class A Reclaimed water distribution is business as usual and in compliance with permit conditions.
Q. Who is maintaining the property?
A. HHSD has permission from the receiver. HHSD is meeting their permit requirements for maintaining and irrigating the property. HHSD is also working on preservation of the greens.
Q. Why is my drinking water discolored or leaving stains in my sinks or toilets?
A. These are water quality conditions that have nothing to do with HHSD.
Q. Why did HHSD close the course?
A. The Receiver closed Golf Operations.
Q. Why did it take so long to discover the terms of the lease?
A. The most essential element of this question is that it was discovered. HHSD experienced a turnover of a legacy employee and a board President that was directly involved with the agreement along with the COVID era and its uncertainty of mandates and declarations. When it was discovered, the Board took the necessary action to correct the oversight.
Q. Wasn’t Kevin Hanchett one of the original owners of the Golf Course?
A. Yes. HHGC LLC chose the receiver. HHSD has no influence over that process.
Q. How much are the legal fees for HHSD?
A. HHSD is estimating that this case will be in the $200k range
Q. Who is Holmes Harbor Golf Course LLC?
A. HHGC LLC was/is owned by Paul Lavin
Q. Who owns the land?
A. Holmes Harbor Sewer District
Q. Are the assets in receivership more than the debt owed by HHGC LLC?
A. No, we do not believe they are anywhere near what is owed.
Q. Who is reviewing the appropriateness for the legal fees?
A. A Judge will ultimately review the fees in regards to the case. The receiver also has some obligation.
Q. How many homes are in the District?
A. HHSD has 470 connections currently. There are approximately 200 homes ON the course.
Q. What is the plan for trespassing and events like 4th of July?
A. There isn’t a plan. We are not an entity of enforcement; we would have to initiate a call to 9-1-1 if there was something happening against the posted rules.
Q. Are there plans to develop the property as homes/condos/etc?
A. The property is used to dispose of 100% of our stored Class A reclaimed water. We do not believe that it can be developed without considering other options for disposal. Anything suggested would likely be cost prohibitive.
Q. Is the SAO audit information available?
A. Yes. Available on the HHSD website and also the State Auditor’s Office. It is referred to as an accountability audit
Q. Why is more information not shared in the meeting minutes?
A. Meeting minutes are not transcripts. They try to capture as much subjective information as possible. HHSD is looking into some AI tech that might be useful.
Q. Are you considering a Par 3 course?
A. HHSD will consider all options. Whatever is decided will need to offer financial stability.
Q. Are there other Special purpose districts that operate a golf course?
A. Yes there are. HHSD would also consider their experiences.
Q. What was the cost of mowing the Golf Course for HHGC LLC?
A. HHSD’s fully burdened rate for mowing was $75,000.00 annually.
This is wages, Insurance, Retirement, equipment, maintenance and fuel.
Q What is the estimated cost for just mowing the property?
A. Mowing just the property to meet DOE permit requirements is $12,000 annually.