By Deborah Goonan, Independent American Communities Blog
Private dam owners, most them in homeowners associations, will deal with the fallout of South Carolina’s early October floods for months and years to come. To their surprise, they are now learning that their lake views are more of a liability than an asset. They did not know, until very recently, that dam repair costs hundreds of thousands, if not millions of dollars.
The state Department of Health and Environmental Control (DHEC) has ordered 75 dam owners to lower lake levels. If owners want their lake back, they will have to come up with huge amounts of money to make necessary repairs.
FEMA won’t help, because these are private dams.
Insurance companies do not cover damages caused by dam failure.
Congress is unlikely to approve federal funds, especially since elected officials from South Carolina voted against disaster relief for northern states affected by Hurricane Sandy of 2012.
It’s a stark reminder that in an Association-Governed Residential Community, your home is collateral for all financial obligations and liabilities of the HOA.
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