Lake DPP Extension

This is the original May 3 DPP Letter  (Go to the updated DPP Letter)

The Extension of our lake Declaration of Protective Provisions (DPP):  What is it and why should we care?

By Greg Colbert, ELRA President

We care because the DPP is what allows us to collect funds for lake clean-up, insurance, the security boat and other activities to help keep our lake safe and healthy.

When land developers initially create new housing areas, such as the various subdivision phases that were built during the 60s and 70s around Enchanted Lake, the developers often create documents called protective covenants or protective provisions to set certain standards for how properties are to be used and maintained.   These are often valuable in that they provide confidence among home buyers that the properties that they are purchasing will be used and maintained in a reasonable fashion consistent with protecting the value of the neighborhood.  In the case of the developments around the lake, a set of protective provisions were created by the developers in cooperation with Kamehameha Schools (then Bishop Estate) setting out broad guidelines regarding use and care of the lake.  The original DPP was augmented by various amendments over time to include new lot numbers as more of the lake area was developed.

In 1987, the original declarations were further supplemented with an additional document that further set out expectations for the continuance of the DPP as the fee interest in the lots were sold by Kamehameha Schools.  The DPP and this 1987 supplement were then referenced in each one of our fee simple deeds.  The 1987 declaration further strengthened language surrounding the ability to collect ‘general assessments to provide for the care, maintenance and operation of Enchanted Lake’.

The original 1962 DPP is set to expire on December 31, 2016.  Its expiration would also result in the expiration of the supplement that provides for the general assessments.  These assessments are what allow us to pay for lake clean-up, insurance, the security boat and other maintenance activities.  The DPP, however, contains a provision, that it may be extended with the concurrence of two thirds of the lakeside owners.  Kamehameha Schools (the original declarant) has offered to provide an extension that we as lakeside owners can vote to offer concurrence.  Control of the DPP would be more formally passed to us as the lakeside owners and we would control future amendments subject to some form of majority concurrence vote.

The ELRA believes that this extension and some clarifying language set out by KS to provide for the continued governance of the DPP by the lakeside owners is vital to our lakeside community.  Via this mechanism, we can set forth longer term sustainability prospects for the lake and more clearly provide for a secure lake future.  A healthy lake also translates to continued high property values.

The ELRA over the past few years has focused significant effort toward resolving the lawsuit against some hillside developers and the related run-off that resulted in algae blooms with midge fly infestations so prevalent just a few short years ago.  If you note how good the lake water looks now relative to the run-off laden water that supported the algae blooms, you can appreciate the significant work of the ELRA and can recognize the value of funding to be provided through the lawsuit in order to support further mitigation and lake management efforts.

Continued longer term funding for these important lake management efforts, however, cannot and should not depend on money from litigation.  We need our own sustainability plan.  The extension of the DPP is very important in providing that capability.

We will hold an informational meeting in late June to answer questions and begin the voting process. We will also use the June meeting to further explain the settlement agreement which was confirmed by the court on April 28, 2016.  We look forward to seeing you there.

The original 1962 DPP and the key 1987 Supplement are available for your review below:

The Original 1962 DPP | The 1987 Supplement

The key assessment language in the 1987 supplement is contained on Liber 21156 – Page 262 of the recorded document.

DPP Meeting: June 29, 7pm Enchanted Lake Elementary School

The draft DPP extension document will be placed on this website when it ready from the attorneys.  That is expected in June or July.

We look forward to your attendance at the June meeting and for your input as well.  Thank you.

Lots eligible for DPP extension vote

Click on the image above for a larger version.

Click on the image above for a larger version.