Sustainable Development of Forestlands Project

Lakehills Subdivision

PUD / Tax Map / Aerial Photo

History

In the early 70’s, a group of forward thinking investors purchased a large tract of land (second growth forest) zoned FU (forest use) with the idea of forming a development with a large central park-like “common” area. The land was rezoned RR5 or rural residential with one home on 5 acres of property (this is common in our county rural areas). Twenty-five one acre lots were surveyed bordering approximately a 100 acre tract we call the common. In essence, each five acre plot donated four acres to the common use.

Unfortunately, the developers went bankrupt in the 80’s leaving the development encumbered by the debt held by the bank. In 1994, a few of the homeowners revived the plan and amended it to create a selective harvest of the common area and sell the remaining lots in order to clear the title from the bank. Some of the lots were folded into the common area, and designated for clear cut harvest, while other areas were selectively thinned, and other areas (near homes) were reserved as old growth forest. The plan was devised with the assistance of a professional forester and input from the Oregon Department of Forestry, Department of Fish and Wildlife, and the Lakehills Homeowners Association Board.

In 1996 the plan was successfully implemented paying off the bank and providing just over 120 acres of common area. We have approximately 4 ½ miles of groomed trails through the common which supports a diverse ecosystem of wildlife and flora. We manage the area in several zones. The (approximately 15 acres) which was clear cut was replanted with a variety of seedlings for future harvest. 5000 Douglas Fir trees (the dominant species) were planted along with 2000 Western Red Cedars, 1000 California Redwoods, and 1000 Pine Trees, were distributed throughout the common. The HOA Board manages the common and is elected from among the property owners to serve a 3 year term. There are five Board members headed by the President who is elected by and from the Board.

Selective harvests have continued every few years for view enhancement, fire protection, forest health, and cleanup after storms. Revenue from harvests has been applied to the Association treasury to replace or offset dues used to fund a tractor to maintain trails, pay for insurance, taxes, and generally support the organization. Our 120 acres nets an average annual revenue of about $6000. We set up our Homeowners Association as a corporation for taxing purposes and have the ability to distribute profits in the form of dividends if we choose, though we have so far only used the profits for land improvements and equipment purchases. We found it highly beneficial to consult with a tax attorney prior to our first harvest and it would have been even better if we had done so when forming our HOA.

Our community of 20 homeowners (plus two owners of lots pending development), have a wide range of opinions on managing the forest resources of the common. It was important for our Board to develop a plan of how the common and private areas would be managed and governed by a strong set of bylaws and policies. These bylaws are an agreement between property owners that attach to the property as CC&R’s. New owners understand prior to purchase what to expect and appreciate how our resources are managed. All homes and private areas are governed by an Architecture Review Committee and must meet established criteria (including requirement that all homes be built on location with full foundation, no mobiles or manufactured homes).

The average home sells for between $300,000 and $400,000 and no home has been on the market for more than 3 months. There are clear financial advantages to our HOA both in providing a desirable community and maintaining property values.

“Buy in” to forest management becomes a much easier sell to people once they have lived here a year or so. The growth rate of the trees and density of the forest here in the northwest makes it essential to provide periodic thinning to maintain fire control and provide enough open space to enjoy the forest area. Without care, the forest area would become an impenetrable obstacle that no one would enjoy. Fir trees grow an average of 3 feet per year providing a harvestable tree every 25 to 30 years (less for highbred trees or those used for fiber) . A comparison between virgin forest areas and our managed areas is convincing enough to provide support for continued active management. To keep the mess and disruption to homeowners at a minimum, we plan our harvest activities for one specific time each year and limit it to no more than two weeks. Anyone truly bothered by the noise or activity usually plans their vacation for those weeks and leaves the area.

Our standards of harvest and clean up removal are outlined in our plan for each specific zone. Most debris has been piled and burned, though we have purchased a commercial chipper to take care of the debris near homes and use the chips to enhance trails. This is only the second year of its operation, but it is becoming the most popular method of debris disposal.

Another valuable resource to us has been the Oregon Small Woodlands Association. They provide access to insurance, legal advise, taxing issues, as well as resources for managing and harvesting our timber (www.oswa.org)

-Steve Strain
President, Lakehills Homeowners Association
24544 Lakehills Drive, Junction City, OR 97448-9557