Quote:
Originally Posted by Advogado
I think you may not be clear on the fact that the bonds under IRS examination are not the infrastructure bonds attached to our houses. The bonds under examination were all issued by the Center Districts. The Center Districts used the proceeds of most of the bonds to pay the Developer (at what the IRS alleges were artificially inflated prices) for the amenity facilities.
Therefore, contrary to your post, Villagers cannot be directly assessed for the costs involved here. This is because the Center Districts can only tax within their boundaries, which do not include residents and cannot raise the amenity fees in excess of the CPI. Instead, the risk to Villagers is that IF the IRS investigation results in the Center Districts incurring huge costs, the Center Districts may not be financially able to continue to furnish the amenities to us. For a more detailed explanation, go to the POA website: http://poa4us.org/bulletins_files/bulletin200908.pdf
For accurate information, forget most of what you read in the Daily Sun and VHA Bulletin and look to either the POA Bulletin or to publications outside The Villages.
A final point regarding the concern expressed by some posters that the IRS actions here are politically motivated-- because of the Developer's large donations to the Republican party: The IRS investigation was begun under the Bush administration-- which, while it indicates nonpartisanship, is an indication of how long the investigation has dragged on.
While my above explanation is a simplified one, I hope it clarifies a little bit this complicated situation. |
I think Advogado's post is very helpful. Agree that the POA has the best info on this complicated topic. Some other points:
- I'm aware of when the lawsuit started but it's difficult for me to conclude the ruling is completely objective ... the IRS needs to go after the money hence that's what they'll usually do.
- Regarding lawsuits, I think the lawyers who issued the ruling will be the more likely initial lawsuit targets
- The ultimate risk to us, the residents, would be any negative impact to the amenities and thus the lifestyle, and therefore the value of our homes. OTOH, the Developer has a vested interest in keeping values and sales high so that's a good thing. Maybe this becomes a cost of doing business for him?
in the meantime, we wait and see how this whole thing evolves.