Angel Fire Resort is the owner of the Amenities. The Property Owners pay an annual assessment to the resort to defray the cost of constructing, maintaining, improving, repairing and operating the Amenities and have rights to use the Amenities upon payment of their annual assessments. AAFPO has a Board of Directors that represent the Property Owners rights to the Amenities.
In December 1993, the Association (now AAFPO) filed a lawsuit against Angel Fire Corporation seeking a declaratory judgment in reference to the Amenities and the rights of the members of the Association. Every Property Owner and his or her spouse and dependent children shall have the right to use the Amenities upon the payment of the annual assessment.
The Amended Joint Plan or Reorganization provides property owners with a negative easement (a vested property right for the use of the Amenities) on existing Amenities legally recorded and confirmed by the Bankruptcy Court.
The resort and AAFPO have adopted rules and regulations relating to the use of the Amenities by the Property Owners.
The Amenities shall be used for recreational purposes only. The Resort cannot change the specific recreational use of an Amenity without the consent of AAFPO. There shall be no residential or commercial construction on the property on which an Amenity is located which is inconsistent with its use and which does not improve, enhance or continue the use of the property consistent with the Amenity.
The original seven Amenities identified in 1995 are as follows:
- Ski Mountain
- RV Park & Stables & Petting Zoo
- Olympic Park (tennis courts, basketball court, playground, etc)
- Greenbelts /Trails
- Monte Verde Lake
- Country Club and facilities area
- Golf Course
AAFPO & the resort will agree to a fair and reasonable minimum golf usage schedule but never less than 55% for Property Owners’ use with equal portions of weekends and weekdays included in the Property Owners’ usage throughout the golf season.
Angel Fire Resort shall have the right, but not the obligation, to bring additional Amenities to the Property Owners. New Amenities will not be a mandatory of the current Annual Assessment structure. Property Owners will not automatically have rights to use “New” Amenities. The Resort will negotiate with the AAFPO Board in determining the new Amenities and the most fair and reasonable manner to pay for them. New Amenities can be added with a partnership on both sides. As of November 2020, no new Amenities have been added in 25 years.
In addition to the annual assessment, the Resort may levy a special assessment for capital improvements to the Amenities against the Property Owners with consent of the AAFPO board. All increases related to capital improvements will be allocated to the members based upon their usage of the Amenities (2020 – 9% ski mountain & 62% Golf) relative too usage by others including the general public. No special assessment increase will be assessed until the capital improvement is fully in service.
The definition of a “capital improvement” to an existing Amenity should include an expenditure that would do any of the following:
- Increase the capacity of use of an existing Amenity
- Provide an additional service to those using the Amenities
- Increase the quality or the experience of those using the Amenities while following a generally accepted accounting definition of a capital expenditure.
The annual amenities budget provided to AAFPO each year shall include an AAFPO discretionary account which shall be $100,000 or 5% of the collected assessment dues, whichever is greater. $20,000 or 1% of the amenities budget (out of the 5% listed above), whichever is greater, shall be used for administrative expenses. At the end of the fiscal year, the resort & AAFPO by agreement between them can adjust the amount out of the next year’s discretionary account which may be used to dray AAFPO expenses, such adjustment not to go below $20,000 or 1% of the collected annual assessments, whichever is greater. Such consideration of adjustment shall be guided by the intention to cover the AAFPO’s ordinary and reasonable operating expenses.
The remaining 4% of the discretionary account shall be used for improvement, maintenance or construction of any Amenity or Amenity related project as designated by the AAFPO Board in its sole discretion.
Spending of the Annual Assessment by the Resort:
Each year, Angel Fire Resort shall prepare an annual amenities budget prior to the Annual Assessment being spent showing the AAFPO board how the resort will break out the Annual Assessment proportionally by amenity and showing that sufficient funds remain on hand to fund the operation of each Amenity. The Resort must place the Annual Assessment funds in a separate segregated account to be held in trust for the Property Owners by the Resort. AAFPO will have veto power over the annual budget of any portion of the Annual Assessment contemplated by the Resort to be used for other than the Amenities, prior to those sums being spent.
All amounts received for Annual Assessments that were past due on the effective date shall be used for capital improvements or maintenance of the existing Amenities, in a manner determined by the Resort. The Resort should provide AAFPO with an accounting of how said collected late dues were actually spent.
Angel Fire Resort Rules and Regulations: Click Here
Amenities Monthly Budget: