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Barefoot Resort


LEAD, SD 57754
(605) 584-1577  |  (800) 424-022
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2013 Annual Home Owners Association Meeting


900 Miners Avenue
Lead, SD 57754



The annual meeting of the members of the Barefoot Resort Association, INC was held on

Saturday, March 3, 2012 at Days Inn, 900 Miners Avenue, Lead, South Dakota 57754.


The annual meeting of the Home Owners Association was held on Saturday February 23rd, 2013 at the Days Inn in Lead, SD. due to the overwhelming response of owners who attended the meeting. (President) Reginald Martin called the meeting to order at 1:00 pm. Reggie opened by introducing himself, and the other Board Members that were present.

Board Members Present:

Reginald Martin                  President

Gopal Vyas                       Secretary | Treasurer

Michael Ryan                     Board Member

James Swenson                Board Member

Board Member Absent:

Dr. Lucio Margallo

Resort Team Members Present
Introduced by Reggie

Renee Larson

Julie Shoop                     Head of Housekeeping

Frances Iverson               Head of Maintenance


Randy Smith was not introduced as being a staff member at this time. 

Roll call was taken, however it was determined there were 63 owners in attendance. 

There were no minutes from 2012 Meeting read due to the fact the two Board Members that represent CMM (the Developers) did not feel this was a legal meeting. Mike Ryan at this time reminded Reggie the meeting was discussed at the resort in Mid-November with Reggie, Gopal, Jim, Mike and Randy all present.

At this time someone brought up the fact that in order to do any voting there had to be a quorum. Reggie and Gopal said there could not be a quorum because there were not enough owners present to do so. Mike Ryan read the voting procedures from the owners hand book. According to the hand book, the HOA's did have enough votes with the Proxy's (319) that had been signed and returned to the resort along with the owners present to have a quorum. This discussion got very heated by both parties, the Developers and the Owners. At the conclusion of this discussion an agreement was reached that the HOA's did in fact have a quorum.

Open Forum


Reggie opened the meeting by saying He and Gopal were the developers and therefore in control of the resort. They are the ones who decide when there is to be a meeting held and where. At this time Reggie had brought up the letter that was sent out about the annual meeting saying he and Gopal were quite upset at the fact they were not included on the Proxy to be one of the contact people, their names should have been on there, with them being the Developers. Mike told Reggie and Gopal their names were not on the Proxy's because Mike and Jim are the one's representing the HOA's individual timeshare estate ownership in Barefoot Resort. 

Reggie then went on to discuss the fact they were not happy with the way things are being handled at the resort. Gopal then stepped up to say that someone at the resort is undermining the way they want the resort ran. Saying they are not getting reports and procedures have changed with the General Manager now on property. Jerry Moore (BOA Member) asked who are you saying is running the resort wrong? 

Reggie pointed at Randy Smith the General Manager. Owners in attendance did not know who Randy was. There were several owners wanting to know who the General Manager was. At this point Reggie did introduce Randy as the acting General Manager. Reggie then proceeded to say they hired Randy to sell timeshares at the resort, however Randy had not gotten his license as of yet so there can be no sales done. 

Daryl Johnson (HOA Member) stated the Management should be the HOA's, so why don't we fire him. Reggie's response was "yes" we should. 

Amanda Allen (HOA Member) asked Randy Smith why he was not up defending himself. Randy Smith stated he had not been invited up; at that time Amanda Allen invited Randy Smith up. 

Jerry Osborn (HOA Member) asked where everyone falls into place. Reggie explained that Gopal, Reggie and Lucio are the developers or CMM and are also the management company CMM which manages the resort for the HOA. 

Less Mead (HOA Member) wanted to know what was really going on because he could sense tension in the room. At that time Jim Swenson (Board Member) stated that they had a board meeting in Mitchell with all Board Members present along with Randy Smith to discuss things that were going on at the resort and any changes they could make. Jim stated that Reggie did not want to listen to suggestions made at this meeting. 

Then Jerry Moore (HOA Member) asked who cares who manages it, where is our money. Reggie stated that the maintenance fees do not support the resort. Gopal stated that the developers do support the resort and that they have had to pay subsidies out of their own pockets to keep the resort running up to $218,000 last year. And again Jerry Moore asked "where is the money". 

Mark Burke asked if the developers were responsible for all of the unsold units and Reggie said yes. It was also asked if the developer's maintenance fees were paid up to date. At this time Reggie said no they were not paid up to date. Another owner asked if they were trying to get out of paying their maintenance fees. Reggie responded by stating our maintenance fees are paid. Mike Ryan (Board Member) stated that they are delinquent in the maintenance fees for CMM. 

Vie Uttke (HOA Member) wanted to know if the money is in the bank from the maintenance fees or if they have a reserve like the law states that they should. Reggie responded that yes the money is in the bank and that any money they take out, they replace. 

Denny Finken (HOA Member) asked why the RCI rating since he first owned his unit has been dropped from one of the highest RCI rating to not being rated at all. 

Jeff (HOA Member) wanted to applaud someone for bringing all of this to the owner's attention and stated that we need to have a good plan, where are we going, what is the plan. 

Another owner asked if there was a profit and loss statement. Randy Smith had copies made and handed them out to everyone. This was not truly a profit and loss statement it wanted to close the meeting and reconvene in a few weeks when they were prepared. Some owners stated that they knew the meeting was going to take place and in the owners handbook it states that the meeting must be held within the first 60 days of each year so again why were you not prepared. None of the owners liked the idea of postponing or reconvening the meeting because they wanted to know what would change in a couple weeks. 

In Reggie's opinion they need more money as a special assessment to get the units back to the condition they should be in. He also stated that what the owners should really be concerned about is the $168,000 in maintenance fees that are delinquent from other owners. Reggie informed everyone that when units get sold they go back to the HOA not to CMM. 

At this time Randy Smith came forward to share some of his background and told the owners that he was recruited by an owner at Barefoot and was hired by Reggie and Gopal August 1, 2012 and explained to the owners that they have had at least five managers in the last two years and that Barefoot is at the lowest standard in RCI ratings and that we need to stop band-aiding the resort and get it back to a better standard and something the owners can be proud of, was an income statement and a balance sheet. Once these were handed out Reggie, Brad Chapman (HOA Member) asked Randy point blank if he was the one to take this to the next level. Randy responded yes; Reggie responded no. Randy then explained how things could change. 

Vie Uttke suggested that the HOA and the Developers should each have a lawyer representing them. At this time Vie introduced Gary Jenson an attorney that a group of people talked to about the circumstances at the resort. Vie made a motion to hire Gary Jenson and it was seconded by Daryl Johnson. John Schmeltzer (HOA Member) said what no discussion. All in favor 62; and opposed 1. It was then discussed what a lawyer would do for them and Dale Donate (HOA Member) said that we would like to hear from Gary Jenson so Gary spoke about himself and told everyone that his agenda was to find out what the problems at the resort are and then move forward in getting them resolved. Gary did ask Gopal and Reggie if they had representation. Reggie and Gopal stated that they do but have not yet retained them. Gary asked who it was and they stated Vance Goldhammer. At that time Gary asked does he know he is your lawyer. 

The question was asked where all of the financial records for the resort are, Reggie stated that they were at his office in Mitchell. It was brought up again by the developers on wanting to get rid of Randy Smith and Denny Finken responded by saying if someone is being proactive to get the resort back on track why would you get rid of them. Reggie said because no one knows him and Randy does not send correspondence to Mitchell as requested. Denny then said why if there have been no sales in the past five or six years are you blaming Randy for not having his licenses to sell at this time. 

Jeff Busk (HOA Member) asked if the HOA Members would pay for the lawyer. Someone said yes.


Dave Black (HOA Member) asked how the HOA Members go about implementing ideas for change and then Lenard Iverson (HOA Member) also asked what directions are we giving to the lawyer. Someone suggested that they needed to form a committee to gather necessary information to give to the lawyer. Then it was asked whether they needed a lawyer or an accountant, Randy said they needed both but stated that there would be a full audit. 

Someone asked why they can't get along and work things out together. 

Someone then asked how to read the financial information that was handed out and after looking at them they were still confused on whether CMM was responsible for maintenance fees on unsold units. 

Amanda Allen (HOA Owner) asked if there was a report that showed CMM being delinquent on it. Randy explained there is a document called an aging report that shows all owners balance due from present up to 121 days past due. Randy also said he would love to give everyone a copy to show what CMM owed, unfortunately he cannot do this because it lists all owners and that is confidential Amanda wanted to know why they wanted Randy gone. 

Jim McKenney (HOA Member) asked how much the lawyer was going to charge per hour. Gary responded $200 an hour. Pam Verke asked if two weeks was feasible to reconvene, Gary responded no. Jim Swenson stated he was going to put a sheet of paper out and anyone that wanted to be on the review committee could sign up. David Black (HOA Member) stated that the by-laws in the owner's handbook had expired in 2007 and he wanted to know if they are still good. Randy Smith explained at that time that it needed to be updated and approved by the state of South Dakota. Mike and Randy explained that since HOA have a controlling number of inventories, they can fire the managing company CMM and the HOA's can hire their own management company. 

Several times throughout the meeting the question was asked of Reggie and Gopal if they had indeed paid their maintenance fees on the CMM units and Reggie reiterated that yes they have paid their maintenance fees when in fact earlier in the meeting he stated that they do not need to pay their maintenance fees. Jim McKenney asked CMM if they were unable to manage the resort or work it out and Reggie responded that they would take care of their responsibilities because they would like to get things sorted out. 

Jim McKenney wanted to know if the lawyers were going to look at the legal and financial status of the resort. Denny Finken asked where the money was and asked Reggie if his unit was as bad as the cabin. 

The Vista driveway was discussed including the loss of parking spaces, the fact that they did not get a building permit for it and the danger for anyone having to use that driveway.

The special assessment was brought up again and at that time Randy stated that just because there is a special assessment does not mean things will get done; for instance, last year's special assessment.



A motion was made by Reggie Martin, seconded by Jerry Osborn, and the meeting adjourned.

Original Document Typed and Presented By:

              Renee Larson


Submitted by:




Submitted by;


By: ______________

Gopal Vyas

Secretary | Treasurer

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