Costs Rising for SLLA Lake Project

Seven Lakes Landowners Association faces $2.3-2.4 million bill for state-mandated bottom drain retrofit

Published on Feb. 25, 2026

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The Seven Lakes Landowners Association in North Carolina is facing a significant increase in costs for a state-mandated bottom drain project on Lake Sequoia. What began as a straightforward engineering requirement has evolved into a lengthy and expensive process, with cost estimates now reaching $2.3-2.4 million, up from an initial estimate of around $900,000. The association is seeking a $200 annual dues increase to cover the project costs and other infrastructure needs.

Why it matters

The bottom drain project is a state-mandated requirement stemming from dam safety rules enacted in 1978, which the 1974-constructed Lake Sequoia must now comply with. The project's escalating costs and potential for a significant lake drawdown raise concerns about the community's long-term sustainability and property values.

The details

In 2019, the North Carolina Department of Environmental Quality (NCDEQ) notified the Seven Lakes Landowners Association that it must install a proper bottom drain. After years of permit applications, engineering revisions, and discussions with the state, the project was finally approved in February 2026. The association is now seeking contractor proposals, with the project likely requiring multiple vendors. Discussions with the state have ranged from a 3-foot to a 20-foot lake drawdown, with the state indicating it will not require the more drastic 20-foot drop. A 10-foot drop could take 4 or more years to refill, while a 3-foot drop is expected to refill within 12-18 months.

  • In 2019, NCDEQ notified SLLA that a bottom drain mechanism was required.
  • From 2020-2022, permit applications could not be submitted due to Covid restrictions.
  • In December 2024, the original permit application was submitted, proposing a 2-3 foot lake drop.
  • In April 2025, after Hurricane Helene, NCDEQ notified SLLA that a 20-foot drop may be required.
  • In February 2026, NCDEQ approved the permit.

The players

North Carolina Department of Environmental Quality (NCDEQ)

The state agency that notified the Seven Lakes Landowners Association of the requirement to install a proper bottom drain on Lake Sequoia, stemming from dam safety rules enacted in 1978.

Seven Lakes Landowners Association (SLLA)

The homeowners association responsible for managing and maintaining the community's infrastructure, including Lake Sequoia and the state-mandated bottom drain project.

Amber Johnson

The SLLA treasurer, who believes a prolonged and significant drawdown could negatively impact property values across the community.

Grimes Engineering

The association's engineer, who will provide oversight for the bottom drain project but will not perform the construction itself.

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What they’re saying

“The biggest risk to this community is sustainability. Sustainability is funded through reserves — to be able to have necessary funds available to address capital projects whether that's repairs, replacement or improvements.”

— Amber Johnson, SLLA Treasurer (thesevenlakesinsider.com)

“I am very hopeful that we can cross the last hurdle and get this underway.”

— Amber Johnson, SLLA Treasurer (thesevenlakesinsider.com)

What’s next

The SLLA board is recommending a $200 annual dues increase for the next fiscal year to cover the costs of the bottom drain project and other infrastructure needs. Homeowners will vote on the proposed dues increase at an upcoming meeting.

The takeaway

The escalating costs and logistical challenges of the state-mandated bottom drain project on Lake Sequoia highlight the financial pressures facing the Seven Lakes Landowners Association. The community's long-term sustainability and property values are at risk, underscoring the importance of proactive infrastructure planning and funding for aging HOA communities.