'What have they done with the money?' | Settlement money paid to HOA following 2016 tornado damage still sits in general fund

CHARLOTTE, N.C. — Homeowners in Avenues at Ayrsley’s phase one neighborhood said their homeowners association received payments in 2021 and 2022 related to a tornado, and claim the money is still sitting in the HOA’s general fund, which is currently tapped for the entire community, not just the homes that were affected.

The south Charlotte neighborhood has grown substantially since the tornado hit in late 2016, adding phases two and three. 

One of the phase one homeowners, Tonya McClendon, purchased her townhome in July of 2017. She explained her realtor informed her back then of the pending settlement with the general contractor that did the roof repairs.

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Court documents obtained by WCNC Charlotte show in 2019, the Avenues at Ayrsley Homeowners Association filed a complaint against the general contractor for shoddy work. 

Only recently, McClendon said she just learned her HOA received a settlement following that complaint in the amount for $57,837.50 in 2022. 

Prior to that, income statements showed the same HOA also received an amount for $42,321.45 in 2021, entered into operating income as “insurance reimbursement.”

“I inquired a couple of months ago, via email, and I had other concerns, and their response to me was, they haven’t decided what they’re gonna do with the money,” McClendon told WCNC Charlotte anchor and reporter Jane Monreal.

Curtis Lewis is the former HOA secretary at Avenues at Ayrsley. He moved out of his home over a year ago.

“What have they done with the money?” he asked, adding, “I thought this matter was resolved, as far as phase one residents been notified of the settlement and how the settlement was being distributed. Now, it was shocking that residents were not made aware of it.”

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A third homeowner and former HOA board member, who asked to remain anonymous, confirmed with WCNC Charlotte the two amounts, totaling over $100,000, were collected on behalf of only phase one homeowners due to the tornado. He believed those monies should have been put into a separate account. He added that the plan was to discuss how to distribute the money back to homeowners, since some had more extensive damage than others.

In the meantime, income statements from November of 2022, show expenses — totaling in the tens of thousands of dollars for items like, bad debt, plumbing repairs and attorney fees — were getting paid from the now-shared general fund.

McClendon said, at the very least, homeowners are owed an update.

“We’ve asked for a townhall meeting to have a discussion,” McClendon said. “We have not had a townhall meeting in two years.”

WCNC Charlotte reached out to the property management company, CAMS. The representative for Avenues at Ayrsley did not have a comment to share with WCNC Charlotte.

The HOA’s attorney said they’re still trying to work it out with the current board.

Editor’s Note: Story was updated on November 27 to make correction of homeowner’s name and position. Curtis Lewis was originally scripted as Lopez, and is a former board secretary, not president.

Contact Jane Monreal at jmonreal@wcnc.com and follow her on Facebook, X and Instagram. 

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