Kathy Stirrat and Dan Capano are crusading against what they call "self-dealing" among some Birchwood Lakes board members.

Story and photos by Susan Koomar

Pike County Press Correspondent

DELAWARE TOWNSHIP – Landlords plus rental units equal noise, trash, speeding and other quality of life problems in Birchwood Lakes, say two former board members.

Kathy Stirrat and Dan Capano are crusading against what they call a conflict of interest jeopardizing their community. They have formed Members for a Better Birchwood Lakes (MBBL) and detail their complaints on a Web site at www.mbbpa.net.

“It’s not just about the renters or landlords. It’s about the board not doing what they should,” said Capano, who owns a construction consulting firm in New York.

A proposed surcharge on landlords – double the annual membership dues of $785 – was approved by residents by a 122 to 63 vote. But Stirrat and Capano say the nine-member board of directors  – they claim there are a majority five members who have rental interests – reversed a bylaws change “on a technicality.” Board president Chas Ritson disagrees that landlords have “hijacked” the board; Ritson said he knows for sure of three, not five, board members with rental interests.

“I personally do not feel that (MBBL) is a legitimate group. It’s a handful of people who are very disgruntled,” he said.

Ritson favors the 100 percent landlord surcharge. But the board’s lawyer found Ritson acted incorrectly by disqualifying two landlord board members from voting on the surcharge hike last December. The board approved the hike and ballots were sent to residents, who overwhelmingly supported the move. But Ritson said the by-laws change was repealed because the initial board vote was invalid. Birchwood Lakes continues to levy a 50 percent surcharge on landlords.

The ex-board members have started a petition drive to demand that the board honor the vote of residents. They have also filed a motion in Pike County court to compel the board to release audiotapes of meetings and an opinion by the board’s lawyer regarding conflict of interest relating to landlord board members. Attorney David Horvath said landlords who serve on the board do not have a conflict of interest voting on the surcharge.

“We cannot get audio tapes of an open meeting? That’s an outrage,” said Capano, who also questions Horvath’s opinion on the landlord board members.

Ritson said he is abiding by the opinion of the board’s attorney that residents are entitled to copies of official written minutes, not audiotapes.

Stirrat and Capano both resigned before their terms were complete. They said politics and animosity made it impossible for them to be effective as board members. Capano charged that board discussions including him were not accurately recorded in meeting minutes.

“They have corporate records that were falsified,” he said.

Ritson countered that minutes must record motions and decisions, but need not be a comprehensive account of discussions.

Many rules infractions in Birchwood Lakes are the result of renters, said board member Caroline Martin. But she said residents who disapprove of board decisions should run for a board seat.

“I hate to see the friction between the groups,” said Martin. “I think if (Stirrat and Capano) are not happy with people on the board they should get a group together and have competition. If you want to do better and think you can do better, get people to run for the board.”

The MBBL website includes a form inviting residents to name their top five concerns and indicate whether they would consider serving on a committee or running for the board. Stirrat and Capano said they tried to get candidates for the last board election, but residents are disgusted and apathetic.

Board members Martin and Ritson said there has been no outcry from residents over the surcharge issue.

Capano stressed he wants to hold board members accountable and prevent “self-dealing” – acting in their own financial interests. The board, Capano and Stirrat allege, is neglecting the need for a new office and maintenance facility, as well as road improvements. Ritson said Capano, as capital projects committee chairman, had influence over these issues before he resigned.

“My ultimate goal is to make (the board members) live up to their fiduciary responsibility and purge the board of special interests. If we don’t stop this now it’s only going to get worse,” Capano said.

Ritson responded, “There is nothing being done incorrectly.”

Birchwood Lakes has 860 houses and 1,200 lots on which dues are assessed. The development encompasses 400 acres.