High Bonanza Community Access, Inc.
A Utah Non-Profit Corporation
Business Plan
July 2020
Table of Contents
II. Identification of Need 3
III. Proposal of Service 3
IV. Operational Funding 4
V. Management & Organization 5
VI. Future Goals 5
VI. Financial Review & Projections 5
Executive Summary
High Bonanza Community Access, Inc. (HBCA) is a Utah nonprofit corporation located in Wasatch County, Utah. HBCA’s primary mission is to provide consistent snowplowing and road maintenance services in a financially transparent manner for the benefit of all Brighton Estate’s property owners and their guests. HBCA will operate as an independent organization that is unaffiliated with any property owner’s association and it is governed by a volunteer-based Board of Directors comprised of current Brighton Estates property owners.
Identification of Need
Brighton Estates is a high-elevation residential development located in Wasatch county. Given the nature of the winter climate in the area, winter access via Park City on SR-224 is, and has historically been, the only viable route for property owners.The State and County roads used to access Brighton Estates during the winter season are secured by UDOT and Wasatch County permits. Only authorized vehicles and their assignees that have signed waivers are allowed to drive the plowed section of road past the gate located on SR-224. Access through the gate is contingent upon property owners purchasing keys and signing waivers through the private plow operation, thereby funding the plow operation for each winter. Property owners have relied on this plowing operation for over ten years as an absolutely essential service for the safe access of the entire Brighton Estates subdivision and its surrounding private property owners.
Brighton Estates currently has two separate property owner’s associations (POAs), both of which are voluntary and do not require property owners to join. Historically, plowing operations have been performed under the purview of one of these two POAs, but without receiving any funding from the POAs and instead requiring outside donations generated (through gate access key sales) from property owners to fund its operations. This arrangement does not allow plowing operations to be provided in an independent and financially transparent fashion. Many Brighton Estates property owners feel that these services are of benefit to all, regardless of POA membership (or lack thereof), and should therefore be performed by an independent entity that can ensure ongoing quality of service, independence and financial transparency.
Proposal of Service
Winter road plowing services to provide access to Brighton Estates is permitted by the Utah Department of Transportation (UDOT) on an annual basis, and Wasatch County permits plowing and grants property owners the wintertime use of parking areas located along the roadway. Pursuant to these agreements, HBCA would provide, as its core service, the snow plowing equipment and staffing necessary during the winter months to clear approximately 1.5 miles of SR-224 traveling over Empire Pass originating from the gate located on SR-224 (the “Red Gate”) and terminating at the junction between Guardsman Pass, Empire Pass and Pine Canyon Roads (the “Y”) where said parking areas are located.
This plowing program is guided by HBCA’s Board of Directors, many of whom have provided Brighton Estates with plow operations support and expertise for many years. Plowing services and equipment maintenance and repair will be completed by personnel employed as “Agents” of HBCA, many of whom are Brighton Estates property owners with prior experience in the plowing program. Additionally, and as funding allows, HBCA intends to provide a summertime road maintenance program. (We refer to these two services collectively as the Program.)
Summertime road maintenance projects, as budget permits, would be focused on improving road surface quality within the Brighton Estates neighborhoods, which would likely include water runoff erosion mitigation and road base application to provide smoother and more durable road surfaces.
Operational Funding
HBCA does not receive funding from either of the two Brighton Estates POAs, outside government agency or municipal entity. Therefore, HBCA requires grassroots funding in order to operate the Program, which includes:
The purchase and maintenance of snowplow and road service equipment;
The hiring of Employee-Agents to perform the work required of the Program;
The day-to-day operational expenses necessary to facilitate the Program;
Historically, the plowing program has generated its operational funding through the sale of access keys that allow the holder entry through the Red Gate and onto SR-224 to-and-from the Y, for which plowing services are provided.
HBCA has reviewed past years’ operational expenses and identified what it believes to be the baseline funding requirements needed to operate the Program (see attached financial review and projections for full details), which are as follows:
Gross Operational Expenses: $34,000 to $36,000
Equipment purchase debt service: $5,000
Equipment maintenance, repair and fuel: $6,000
Reserve fund contribution for future expenses: $6,000
Resources and labor costs: $13,000
Licensing, permitting, insurance, legal, accounting and other fees: $2,500
Day-to-day operational expenses (website hosting, postage and mailing, etc): $1,500
Funding for the Program will come from three main sources:
Key Sales: HBCA sells keys that allow purchasers to unlock the Red Gate and utilize plowed access to-and-from the Y in the winter months;
Donations: HBCA encourages and accepts financial and in-kind donations from Brighton Estates property owners, property owner’s associations, and private individuals;
Fundraisers: HBCA will from time-to-time host fundraisers;
Based on an average of prior years’ income, HBCA expects to generate approximately $36,000 to $45,000 from the sale of Red Gate access keys, which will comprise its primary source of funding. Unless it significantly exceeds these forecasts, HBCA will likely be break-even to a small net asset in the first years of operation, primarily to the new and additional expense of needing to purchase the equipment necessary to run the Program. Additional donations from property owners, as well as sales of HBCA gear and other fundraising activities will support HBCA’s fiscal strength.
All proceeds from the above funding activities will be spent solely on the Program. Any funds not utilized on an annual basis will be set aside for future equipment purchase, equipment maintenance and repair, staffing needs, and increased scope of operations. Staffing for plowing operations and road maintenance is provided by non-employee sub-contractors who are paid hourly for their services.
Management & Organization
HBCA’s Board of Directors is guided by five uncompensated, volunteer Director positions, each of which serve a two-year term, and vacant positions are filled by a Board of Directors election. HBCA’s inaugural Board of Director positions are staffed by long-time Brighton Estate’s plowing program volunteers and other experienced and qualified volunteers that will assist in the delivery of HBCA’s stated mission.
President: Matthew Meinhold. Resident, property owner, prior plow operation experience
Vice President: JP Gendron. Resident, property owner, prior plow operation experience
Operations Manager: Ray Bloxham. Resident, property owner, prior plow operation experience
Secretary: Cassidy Doucette. Resident,property owner
Treasurer: Jason Hendrickson. Seasonal resident, property owner
In addition to the Board of Directors, HBCA enlists the help, support and expertise of uncompensated volunteers whose roles and participation may change as deemed necessary to further HBCA’s mission. Volunteers do not retain voting rights and do not guide HBCA policy, but rather they provide expert insight and guidance to help HBCA’s Board of Directors make informed decisions. Initial volunteers are as follows:
Equipment & Logistics: Tom Ghelli. Residential rental tenant, prior plow operation experience.
Financial Planning and Review: Brad Biedermann. Resident, property owner.
Future Goals
Upon the successful funding and delivery of HBCA’s core wintertime plowing and subsequent summertime road maintenance operations, HBCA hopes to increase the scope of its services to include:
Inter-neighborhood road grooming services in the winter;
Expanded road maintenance services;
General community access improvements;