RELAC Customers To Vote On Removing Air-Conditioning Mandate: RA Board

RESTON, VA — Reston Association Board by written vote approved a referendum to allow RELAC customers to vote on whether or not to repeal Section VI.2(b)(15) on Air-Conditioning Units from the Reston Deed.

Patch obtained an exclusive copy of the referendum that board members approved over the weekend after receiving a motion for unanimous written consent. The full text of the referendum can be found below.

The referendum establishes the schedule and procedure of the vote, which will only affect approximately 900 or so households that rely on the RELAC system to cool their homes during the summer months.

There will be two public hearings held on Feb. 5 and 12 for RELAC customers to provide feedback and learn more about what the referendum entails.

Reston Lake Anne Air-Conditioning Corporation cooling system notified its customers on Dec. 11 that the 2023 cooling season was the last year the company would be providing its services. The next cooling season begins in April.

In a letter sent to RELAC's 900 0r so residential and commercial customers, the company said that the decision to stop providing services was that electrical costs have increased 20 percent over the last 10 years. In addition, the company said it would be impossible to secure a loan to cover the more than $400,000 needed to install a new chiller without raising the tariff.

The RA Board's referendum is separate from an effort by some RELAC customers to establish a co-op to run the cooling service.

Acting as the steering committee's represenative, Simon McKeown signed a memorandum of understanding on Dec. 28 with Reston RELAC LLC, and RELAC to establish the foundation for a carefully structured community-owned entity to manage the chilled-water service for the 2024 cooling season.

Once its established, the co-op would be governed by the rules and regulations set down in the adopted agreement. Shareholders will elect board members, who will oversee the management of the co-op.

Patch reached out to McKeown for comment about the RA Board's referendum. Here is his full response:

"The RA's decision to call a Referendum is most welcome and plays a crucial role in our RELAC Water Cooling Cooperative Initiative. It achieves what we have been seeking. I am pleased that the community is properly equipped with the power to decide, as we are entitled. Our community, not a biased few make the call. This prevents members from suffering if the rules are repealed. Our survey showed that 72% of respondents are very interested or interested in exploring the Coop model.

"We're turning now to focus our campaign on informing the community about the Coop — The Coop can provide uninterrupted service, and continuous operation by fixing, improving and adequately maintaining the system. We aim for affordable, sustainable management, with significant upgrades.

"We want to avoid the unilateral introduction of unsightly, costly air conditioning units where unnecessary, that could disrupt our peaceful homes and environment, as well as pocketbooks. We understand that the community wants to know more about RELAC repair costs. We will have our engineer's report published soon along with pricing, and we are currently consulting with Dominion to evaluate capacity information, which we'll share ahead of the Referendum.

"The Coop initiative is strictly a volunteer effort, not funded by HVAC industry interests. We urge our community not to make hasty, expensive decisions until we present the full co-op plan, with town halls scheduled for next week. We also encourage everyone to participate in the Referendum. We respect and uphold Robert Simon's dream for Reston. Live. Work. Play. This is an incredibly unique community with wonderful people and resources, let’s not mess it up."

Below is the approved schedule for the conduct of the Member proposed referendum to repeal Section VI.2(b)(15) on Air-Conditioning Units from the Reston Deed.

January 17, 2024:

• The Board establishes a referendum schedule, which shall include: 1) hearing and notification dates; 2) the method by which Category A Members shall vote; and 3) the record eligibility date.
• The Board appoints Intelliscan as the independent counting agent to receive and tabulate the results of the Air-conditioning Unit Covenant referendum.

January 19, 2024, 5 pm

• Record Eligibility Date - As per the Virginia Non-Stock Corporation Act §13.1-844, this is a date set by the Board to determine which Members are entitled to vote in an election. Such record date may not be for more than seventy days before the end of the voting period.

January 24, 2024

• Notice of Public Hearings on proposed Air-conditioning Unit Covenant Referendum Question published in local news/media outlets, posted in the Association’s website, and publicized in RA’s electronic newsletter RA News. (Dates of Newspaper Publication 1/24 and 1/31).
• Staff sends direct mail post card about the hearing to the Category A Members subject to Reston Deed Section VI.2(b)(15).

February 5, 2024

• During a Special meeting, the Board conducts first hearing on the proposed referendum question.

February 12, 2024

• During a Special Meeting meeting, the Board conducts the second hearing and, based on the comments received during the first and second hearings, vote to approve or modify the proposed referendum question.

February 16, 2024

• Ballots mailed to Category A Members subject to Reston Deed Section VI.2(b)(15).

March 8, 2024, 5 pm

• Deadline for Ballot Return.

March 13, 2024

• Special Meeting of the Board of Directors — Air-conditioning Unit Covenant Referendum Results Announced by Board President.