The management company provided an email in December 2024 confirming Lot 70 is not required to pay the monthly assessment.
The reason provided by Community Management Specialists for Lot 70 not paying dues is: “since it was not completed with the original phase it is not part of the HOA.”
We do not agree with that explanation because Lot 70 was one of the five original lots included when the CCRs were first recorded with the Jefferson County Clerk and Recorder on April 5, 2000.
The controlling legal document of the HOA is the Declaration of Covenants, Conditions and Restrictions often referred to as the CCRs. Exhibit A of the CCRs lists lots that were excluded from the HOA but could be added (annexed) at a later date.
When the HOA was created, 5 lots were included but the 65 lots that were listed in Exhibit A were excluded.
Because ‘All of Block 1’ was included, the five included lots do not need to be listed. The included lots are 3, 4, 61, 62 and 70.
Please notice that lot 70 was not one of the excluded lot numbers listed in Exhibit A because it is included as one of the five original lots.
The management company explanation only applies to those lots that were specifically excluded in Exhibit A of the CCRs. Until those lots were annexed into the HOA, they did not have to pay the monthly assessments.
Lot 70 was always included as a member of the HOA by the language of Exhibit A shown below which includes ‘All of Block 1’ except the specifically listed excluded lots.
Lot 70 was one of the five original included lots that were not excluded in Exhibit A.
Because lot 70 has always been a member of the HOA and does not need to be annexed, it should have been paying dues from the start of the HOA back in 2000.

Exhibit A shows which lots were not included on Day 1.
Here is a more detailed explanation why Lot 70 is a member of the HOA and should be paying the monthly assessment.
There are 70 lots on the plat map.
‘Block 1’ is the overall area of the plat map which consists of HOA common area including roads, walkways, landscaping, etc. and the 70 private lots.
Six of those lots (25-30) are in Thraemoor II. They were never annexed into the HOA because development rights had expired under the HOA CCRs.
Upon a request by the developer of the six lots to annex the lots, the board decided to call a vote of HOA members. So the story goes.
No minutes of any such meeting have ever been provided by anyone nor has a date for such a meeting been provided by anyone. The HOA has refused to provide meeting minutes or even a date while claiming they do exist but can only be viewed by an HOA member. Apparently, based on the vote at this secret meeting, the board decided against annexing the six lots and decided against ever giving the developer or owners of the six lots any further details of the secret meeting.
(As per CCIOA CRS 38-33.3-209(5) page 47, it appears the board may have authority to approve annexation of any of the six lots upon request of any lot owner at any time in the past or the future without calling a member vote.)
Without those six lots, that leaves 64 lots in the HOA.
How do we know that?
- By looking at the plat map, we can verify there are 70 lots included in Block 1.
- Then by looking at Exhibit A from page 39 in the CCRs, we can verify which lots were always EXCLUDED from the HOA from day 1.
- The lots that were EXCLUDED and required annexation are specified as: 1, 2, 5 through 60, and 63 through 69.
- The five lots that were NOT excluded were automatically included in the HOA from day 1 without requiring annexation.
- The five lots that were included from day 1 are 3, 4, 61, 62 and 70.
- Notice that Lot 70 is INCLUDED because it was not excluded in Exhibit A and therefore does not need to be annexed.
- All excluded lots other than lots 25-30 have since been annexed into the HOA following Article 14 of the CCRs.
- Five original lots plus 59 annexed lots equals 64 total lots in the HOA.
- Per Article 5, even the Declarant was obligated to pay HOA monthly assessments on lots.
- There is no exemption in the CCRs from paying monthly dues just because the lot is vacant.
Therefore, 64 lots should be paying monthly dues but only 63 lots have been paying dues for the last 20+ years. The annual budget specifically states it is based on only 63 units. Likewise with the Reserve Study.
Although Lot 70 is still undeveloped, it was included from day 1 according to Exhibit A because it was not listed as an excluded lot and it is within Block 1.
Therefore, Lot 70 should also have been paying dues for the last 20+ years but has not paid dues as confirmed by the management company and budget.
There is no exemption in the CCRs from paying dues simply because a lot is not developed.
Allowing any property in an HOA to escape from paying dues is extremely unfair to the other owners and can be damaging to the finances of the HOA.
Regardless of whether Lot 70 is ever developed, it is part of the HOA because the CCRs including Exhibit A say it is.
When a property in an HOA is sold to a new owner, the management company is supposed to provide a statement for the final settlement sheet of any HOA fees that are in arrears. It appears the management company over time may not have done that.
Since Lot 70 is part of the HOA based on the official CCRs that were recorded with the Jefferson County Clerk on April 5, 2000, it should have been paying dues. And late fees and interest.
Why has Lot 70 never paid dues? It is an open question.
If Lot 70 were required to pay back dues plus interest and late fees, that could significantly improve the severely underfunded HOA Reserve Fund. The amount due from over the last 25 years or so including late fees and interest could be hundreds of thousands of dollars. Although, it may not be possible to collect money owed that far back.
Recommendations
Homeowners need to pay much closer attention to what the HOA is doing with HOA finances and to assuring whoever is elected to the HOA board are the best qualified persons for the job.
Homeowners should attend monthly HOA meetings and read the CCRs and other documents. Homeowners should seek professional advice if necessary. Qualified homeowners should also volunteer to serve on the board. If necessary, any unqualified board members can be recalled rather than waiting for the next board election.
NOTE: The six non-HOA homes rely on the HOA to maintain the common areas and preserve property values. These six non-HOA owners are impacted due to any deferred maintenance and lost property value. These six homes also pay to maintain the common areas. Therefore, it is their business to be concerned with lot 70 not paying a fair share of expenses.