Post by Poor Richard on May 19, 2022 20:29:31 GMT -7
17 Million Dollars in Assets - NOT Recorded on GLA Financial Statements
For many years GLA Director Tim Brockett has requested primary financial documents so he could verify Glastonbury Landowner Association (GLA) Financial reports. His requests were routinely ignored. Brockett recently analyzed the GLA 2021 End of year reports which you may download here. When Brockett studied the Balance Sheet he noticed that none of the lands the GLA owned were listed in the Assets section as Fixed Assets. On the GLA Balance Sheet, just furniture is listed under Fixed Assets. Land or property that the GLA owned could not be found anywhere.
Further investigation found that the GLA pays yearly property taxes on four parcels of land:
1) 14 acres that the GLA sand storage Quonset hut is located on.
2) 20 acres that the Soccer fields are on.
3) 149 acres of forest and grazing land in the upper corner of High South Glastonbury known as parcel SG-96.
4) 64 acres of agricultural land in High South known as parcel SG-102.
The Soccer Fields are not really owned by the GLA because the deed has a Church Universal and Triumphant (CUT) reversionary clause in it. So we will leave that 20 acres out of the next calculation.
The other three parcels total 227 acres that are owned by the GLA. Property values have steadily increased in Glastonbury over the past few years. Currently agricultural and forested land without any improvements is fetching $75,000.00 per acre. In High South, the value is even higher. Sticking with $75,000.00 per acre and multiplying that by 227 acres provides a 2022 market value of $17,025,000.00. The total equity listed on the December 31, 2021, GLA Balance Sheet is just $267,176.28. But the net worth of all GLA assets at current market value is over 17 million dollars.
Brockett asked Treasurer John McAlister why property owned by the GLA was not included on the GLA Balance Sheet. McAlister replied:
If the GLA was dissolved the current assets at market value are worth over 17 million dollars. If the GLA owned land was sold and the money divided equally between North and South Glastonbury there would be more than enough to pave every platted road in the community. There would still be enough to set aside a few million for a perpetual road maintenance fund. It should even be possible to reduce or even eliminate yearly assessments. Paved roads would greatly increase property values. In 2001 property values shot up 50% when the first roads were paved in Glastonbury. Dissolution could provide tremendous financial benefits to all Glastonbury landowners. Was this known all along by the Dissolution litigants that included John McAlister? 213 acres of the GLA owned land are in South Glastonbury. At $75,000.00 per acre the total South Glastonbury GLA owned land market value is $15,975,000.00 or almost 16 million dollars.
2) 20 acres that the Soccer fields are on.
3) 149 acres of forest and grazing land in the upper corner of High South Glastonbury known as parcel SG-96.
4) 64 acres of agricultural land in High South known as parcel SG-102.
The Soccer Fields are not really owned by the GLA because the deed has a Church Universal and Triumphant (CUT) reversionary clause in it. So we will leave that 20 acres out of the next calculation.
The other three parcels total 227 acres that are owned by the GLA. Property values have steadily increased in Glastonbury over the past few years. Currently agricultural and forested land without any improvements is fetching $75,000.00 per acre. In High South, the value is even higher. Sticking with $75,000.00 per acre and multiplying that by 227 acres provides a 2022 market value of $17,025,000.00. The total equity listed on the December 31, 2021, GLA Balance Sheet is just $267,176.28. But the net worth of all GLA assets at current market value is over 17 million dollars.
Brockett asked Treasurer John McAlister why property owned by the GLA was not included on the GLA Balance Sheet. McAlister replied:
This property has been in GLA’s hands since the mid to late 1990s. I cannot vouch for decisions made by prior financial managers, however, I can tell you that there has been no compelling event that would cause this property to be “marked to market value” now. The GLA is not seeking a loan and does not require collateral. The GLA currently has a very strong cash position. If at some time in the future, the Board decides to liquidate some or all of the real assets of the organization, then the true value of the land can be assessed as it is put on the market.
If the GLA was dissolved the current assets at market value are worth over 17 million dollars. If the GLA owned land was sold and the money divided equally between North and South Glastonbury there would be more than enough to pave every platted road in the community. There would still be enough to set aside a few million for a perpetual road maintenance fund. It should even be possible to reduce or even eliminate yearly assessments. Paved roads would greatly increase property values. In 2001 property values shot up 50% when the first roads were paved in Glastonbury. Dissolution could provide tremendous financial benefits to all Glastonbury landowners. Was this known all along by the Dissolution litigants that included John McAlister? 213 acres of the GLA owned land are in South Glastonbury. At $75,000.00 per acre the total South Glastonbury GLA owned land market value is $15,975,000.00 or almost 16 million dollars.
Dissolution would provide tremendous benefits to ALL landowners. Simply dividing the GLA into two communities would concentrate the vast majority of land assets in South Glastonbury and leave North Glastonbury relatively impoverished.
The true value of GLA assets would have remained hidden were it not for the analytical ability of one director who insisted on verifying GLA financial statements. What else is hidden or missing in GLA Financial Statements? We will not know until invoices and bank statements are made available to all directors and landowners.
The true value of GLA assets would have remained hidden were it not for the analytical ability of one director who insisted on verifying GLA financial statements. What else is hidden or missing in GLA Financial Statements? We will not know until invoices and bank statements are made available to all directors and landowners.
