A History of Sandy Harbor
By Cliff Hatfield
September 1948
Construction of a concrete and earth-fill structure called Wirtz Dam was begun in September 1948.
11 April 1951
A.X. and Bertha Schroeter sold a right of way from their large ranch to LCRA for $10.  This right of way was to become an easement to be purposely flooded by the waters of the Colorado and Llano Rivers to create what would be called Lake Granite Shoals.  These tracts of land were situated in the Elijah Mercer Survey No. 1 and the Levi Mercer Survey No. 2. 
The dam spillway was planned to be situated 825 feet above the mean sea level as determined by United States Geological Survey Bench Marks.  Land below the 825 foot contour elevation consisted of 434.31 acres of the Schroeter ranch.  This flooded land was shown on a map marked as “Exhibit A”.
May 1951
Deliberate impoundment of water to create Lake Granite Shoals began.  The lake reservoir, at its normal operating elevation of 825 feet, now has a capacity of 138,500 acre-feet and a surface area of 6,200 acres.
Lake Granite Shoals (now Lake Lyndon B. Johnson) is a reservoir formed by Wirtz Dam (at 30°33' N, 98°20'W) on the Colorado River four miles west of Marble Falls in Burnet and Llano counties. The project is owned and operated by the Lower Colorado River Authority and is used primarily for generating hydroelectric power. It is one of six such operations on the Colorado River; the other five are Lake Buchanan, Inks Lake, Lake Marble Falls, Lake Travis, and Lake Austin. Lake LBJ is the second project downstream from Lake Buchanan and generates power using the controlled discharge of water from the Buchanan electrical generating plant together with the added flow of the Llano River.
Under normal conditions the water level fluctuates over a small range because the power plant operation is coordinated with the inflow. Water from this reservoir is released to Lake Marble Falls for use at the Max Starcke Dam electrical generating plant. Except during floods, the only water released is through the turbines for the generation of power. The drainage area of the lake is 36,290 square miles, of which 11,900 are noncontributing. However, the river flow is determined by the controlled discharge of the Lake Buchanan and Inks Lake plants upstream on the Colorado River, plus the entire unregulated flow from the Llano River. The power plant contains two 22,500-kilowatt generating units with auxiliary equipment for connecting to the transmission system. Considerable residential and recreational development has occurred along the lakeshore; including our own Sandy Harbor.
November 1951
Wirtz Dam was officially completed.
17 October 1957
The Sandy Harbor Development Company (A Texas Corporation chaired by W. C. Cook) purchased 153.91 acres out of the Levi Mercer survey number 2.  Of this 153.91 acres, 40.15 acres were platted into lots and blocks and the new development was dedicated SANDY HARBOR, SECTION ONE.
The Sandy Harbor Development Company then platted a further tract of 15.69 acres in the Levi Mercer Survey No. 2 into lots and blocks.  These platted 15.59 acres were shown on a map marked “Exhibit A” and the land was dedicated SANDY HARBOR, SECTION TWO.
This also marked the beginning of the Sandy Harbor Restrictions.  Note that “Exhibit A” now refers to both SECTION 1 and SECTION 2.
1 October 1958
The Sandy Harbor Development Company acquired a further 53.04 acres shown on a survey by deed.  This brought Sandy Harbor’s total area to 206.95 acres. 
12 February 1959
The Sandy Harbor Development Company paid off a promissory note to W. C. Cook for the part of SANDY HARBOR called SECTION ONE.  
The Sandy Harbor Development Company developed another 49.69 acres (of the 206.95 acres) out of the Levi Mercer Survey No. 2, by platting it into lots and blocks and dedicated it SANDY HARBOR, SECTION THREE. 
“Exhibit A” now includes what we know as SECTION ONE, TWO, and THREE.
19 September 1964
Business partners Reuben Senterfitt, Herbert Clark, Jr., and Harry Shapiro of S-C-S Company purchased two contiguous tracts of land consisting of 70.93 acres out of the Levi Mercer Survey No. 2. 
S-C-S Company immediately developed the 70.93 acres by platting it into lots and dedicating it SANDY HARBOR, SECTION 4, with its own restrictions.  Section 4 happened to include the Sandy Harbor Water Plant which S-C-S Company sold to Joe Ragsdale of San Saba, Texas for $16,000 ($2,000 down payment plus a 6% note in the amount of $14,000).
S-C-S Company began to offer Sandy Harbor, Section 4 lots through a real estate agent.  Some 324 lots were offered for sale for as little as $195 to $495 at rates of $10 down and $10 per month.  The Sandy Harbor community believed that such sales would threaten the community and its limited resources due to uncontrolled and unregulated overpopulation. 
22 April 1965
The reservoir, formerly known as Granite Shoals Lake, was renamed for President Lyndon B. Johnson "in gratitude for his work as United States Congressman and Senator toward the development of the project."
20 April 1966
The Sandy Harbor community, through committee action,  began negotiations with S-C-S Company for the purpose of purchasing the remaining unsold lots and all rights of the original developers.  All improved property owners were asked to buy stock in a corporation to be called SANDY HARBOR CONSTRUCTION, Inc. and to loan money to the same for the purpose of purchasing the Sandy Harbor subdivision from S-C-S Company.  In response, 28 property owners loaned $19,170 and purchased 426 shares of stock at $5 par value on the basis of 90% loan and 10% stock.  All loans were secured by notes paying 6% interest.  A charter was issued by the state of Texas officially establishing SANDY HARBOR CONSTRUCTION, Inc.
30 April 1966
Sandy Harbor Association, Incorporated, what we know as the Property Owners’ Association (POA), adopted its BY-LAWS.
21 May 1966
SANDY HARBOR CONSTRUCTION, Inc. contracted to purchase the Sandy Harbor subdivision from S-C-S Company.  Because SANDY HARBOR CONSTRUCTION, Inc. had no means to create income (other than an occasional lot sale), it delegated to the POA the authority to collect an annual $10 assessment on each lot.  Waterfront property in Section 1 was exempt from this assessment in accordance with the original restrictions, but those owners voluntarily paid the assessment in order to increase the income of SANDY HARBOR CONSTRUCTION, Inc.
Entrance road from Texas 71 (now County Road 311) and streets inside the Sandy Harbor subdivision were paved using funds provided by SANDY HARBOR CONSTRUCTION, Inc.
The management of the Sandy Harbor Water Plant proved to be inadequate.  In fact, potable water was not available at all for a time.  To remedy this intolerable situation, SANDY HARBOR CONSTRUCTION, Inc. voted to purchase the Sandy Harbor Water Plant from Joe Ragsdale in order to improve service and quality.  Funding for this endeavor was provided by Sandy Harbor citizen Melvin Winters.  The plant was purchased for an equity payment of $1200 and assumption of a note with S-C-S Company in the amount of $12,000.
5 January 1972
Sandy Harbor citizen Alton Griffin purchased the water plant intending it to be a supplemental source of income.      
15 June 1973
“Exhibit A” now consists of SANDY HARBOR, SECTIONS ONE, TWO, THREE, and FOUR.  The same Property Restrictions were made to apply to all four sections, with one amendment:  Minimum Square Footage (inside floor area) was increased from 750 square feet to 850 square feet.
15 September 1973
A plan approved in April of 1973 by SANDY HARBOR CONSTRUCTION, Inc. stockholders to liquidate the outstanding notes was completed.  This liquidation plan provided for the exchange on notes and accrued interest for certain designated lots in Section 4.  Incidentally, most of those lots were not served by the Sandy Harbor water system at that time.  Some efforts to provide water to Section 4 were being planned, but rising costs for maintenance and water quality testing soon proved to be more than one individual could cope with, and SANDY HARBOR CONSTRUCTION, Inc. purchased the Sandy Harbor Water Plant.
20 July 1981
Sandy Harbor Construction, Incorporated donated Lot 66 in SECTION FOUR of SANDY HARBOR to SANDY HARBOR VOLUNTEER FIRE DEPARTMENT, Incorporated.  Lot 66 was to be used by the Sandy Harbor Volunteer Fire Department, Inc. for the construction of a building to house fire fighting equipment to enhance the safety of all Sandy Harbor citizens in Sections 1 through 4.  The original Fire House was constructed using money and materiel donations and community volunteer labor.  
All Restrictive Covenants for lot 66 were also released at this time. 
6 May 1985
Share holding members of Sandy Harbor Construction, Inc passed an amendment to the Restrictions Covenant that allowed dropping the 10 foot setback provision on each side of a lot in those cases where adjacent lots are owned by the same person or persons, provided that the 10 foot setback on the side of each lot shall only be removed on that side of the lot which adjoins another lot owned by the same person or persons. 
May 1995
Much of the month of May, an upper trough/low pressure area remained over the inter-mountain area of the West. The upper divergence, cool air at upper levels, and jet stream produced instability and storms over the Central Plains.
By 27 May, the cool air mass/upper low began to migrate eastward across the Central Plains to central Missouri by 7 AM of the 30th. The low dragged a cool front that pushed through Texas to offshore by 7 AM of the 29th.
The 7 AM daily weather maps show an upper trough well northwest of the surface front, with the trough axis extending from the Texas Panhandle southward to the Del Rio area. Pronounced diffluence was evident ahead of the trough in central Texas. The heavy rain of the evening of the 29th was associated with the passage of this trough. Central Texas was unstable the night of 28/29 and also 29/30.
The heavy rain began in the evening hours of the 28th when northwest Webb County received generally 5 in. of rain, extending southward into Mexico. A 12-ft crest on the Rio Grande in Mexico put 4 ft of water in lowest areas of the U.S. Customs parking lot.
Intense thunderstorms formed to the west in Mason County and drifted slowly west to east across Llano and Gillespie Counties. Between 8 and 11:30 PM of the 29th, the thunderstorms would drop generally 4.5 to 5.5 in. of rain over the Sandy, Crabapple, and Walnut Creek drainages. The maximum was 8.00 in. at Oxford. Sandy and Crabapple Creeks flow west-southwest to east-northeast. As the thunderstorms generated flood waves down these creeks, their movement west to east caused intense rain on and ahead of the flood waves as they moved down Sandy, Crabapple, and Walnut Creeks, exacerbating the crests.
Another factor was the uniform heavy rain over all the drainages. All the drainages received over 3 in., and nearly all the drainage received over 4 in. in nearly 3 hrs. The Sandy Creek near Kingsland gage at Hwy 71 crested at 31.50 ft (127,400 cfs) at 12:15 AM of the 30th.
Downstream, is Sandy Harbor, at the confluence of Walnut and Sandy Creeks, where Lake LBJ normal elevation backs into the area. Very large flood waves down Walnut and Sandy Creeks were confluent at Sandy Harbor, putting water to the roofs of several homes by shortly after midnight of the 30th. One couple was trapped in their home and stood on their dining room table to escape the water. The flood reversed and began falling 6 in. from their ceiling.
Homes were flooded and businesses destroyed the whole way to Sunrise Beach at the mouth of Lake LBJ, 2 mi below Sandy Harbor. An extensive marina at Lake LBJ was washed away and destroyed, as well as a large floating restaurant.

27 May 1998
Sandy Harbor Association, Incorporated (Also known as the POA) amended its BY-LAWS to increase the property fees paid by its members.
21 November 2001
As of this date Restrictions for Sandy Harbor were identified and known to be filed as:
Restrictions for Sections 1 and 2 are established through Subdivider Deeds on each particular lot sale. 
Restrictions for Section 3 are recorded in Volume 91, Page 185, Llano County Deed Records, Llano County, Texas
Restrictions for Section 4 are recorded in Volume 134, Page 384,  Llano County Deed Records, Llano County, Texas
An amended set of restrictions for all lots is recorded in Volume 190, Page 237, Llano County Deed Records, Llano County, Texas
July 2002
On 4 July 2002, heavy rains again visited Texas and Sandy and Walnut creeks again rose to high levels. 
By 7 July 2002, the water came to within an inch of several waterfront homes before receding. 
27 January 2003
Because of steadily rising maintenance and water quality testing costs, SANDY HARBOR CONSTRUCTION, Inc. sold the Sandy Harbor Water Plant to the LCRA.             
SANDY HARBOR CONSTRUCTION, Inc. sold all remaining unsold lots in SANDY HARBOR, SECTION ONE, TWO, THREE, and FOUR to Sandy Harbor Association, Inc. for the sum of $10.  SANDY HARBOR CONSTRUCTION, Inc. was subsequently dismantled and dissolved.
9 January 2003
Sandy Harbor Association, Inc. amended its BY-LAWS.  This amendment sets the property fees at the level we now pay.
November 2005
Sandy Harbor POA appointed a committee to determine whether the current restrictions should be modified and, if so, to what extent.  This was done because it was believed that a legal window to do so would open in 2007. 
May 2006
The Sandy Harbor POA Restrictions Committee notified all residents and property owners that none of the restrictions could be modified, changed, or added.  The 2007 window of opportunity would only permit releasing one or more restrictions.  This meant that Sandy Harbor could not change, modify, or add any restrictions EVER.  Fortunately, the Texas Legislature passed a law in 2005 (Statute 211.004 of the Texas Code) that would allow communities such as Sandy Harbor to add a method for changing, adding, or modifying property restrictions.  To utilize the statute, Sandy Harbor could not be inside the extraterritorial jurisdiction of any city, and the community was partly inside the ETJs of Sunrise Beach and Horseshoe Bay. 
A new POA Board of Directors was selected and the POA had a new officers.  Cliff Hatfield was elected President, Don Copple (Vice-President), Sandy Pitts (Treasurer), and Alta Kilgore (Secretary).     
June 2006
Because of some resignations, some new Board Members were selected by the Board of Directors.  Linda Yarbrough was elected Vice-President.
On 8 June 2006, Cliff Hatfield (President of the POA) and Franklin Yarbrough (Chairman of the Restrictions Committee) met with Horseshoe Bay’s Mayor Lambert and several members of their city government to discuss a release from Horseshoe Bay’s ETJ. 
On 15 June 2006, Cliff Hatfield and Franklin Yarbrough met with Sunrise Beach’s Mayor Pat Frain to discuss a release from that city’s ETJ.  Mayor Frain was non-committal at this point.
On 20 June 2006, Cliff and Franklin attended a City Council meeting at Horseshoe Bay and received an official release from that city’s ETJ.    
On 22 June 2006, the BEACON published an article about Sandy Harbor’s release from the Horseshoe Bay ETJ.  
On 28 June 2006, Franklin Yarbrough visited Mayor Frain in Sunrise Beach and was informed that, on advice from the city lawyer, Sandy Harbor would not be released.  At that time the Mayor was asked about a Conditional or temporary release for their councilor to consider.
July 2006
On 21 July 2006, Mayor Frain of Sunrise Beach notified the President of the POA that Sandy Harbor would not be released from the Sunrise Beach ETJ.
August 2006
On 17 August 2006, POA President Cliff Hatfield attended an open City Council Meeting at Sunrise Beach and was permitted to speak at this forum.  At the end of the allotted 30 minutes, Mayor Frain and her city council voted unanimously to release Sandy Harbor from their ETJ.
November 2006
On 10 November 2006, Sandy Harbor Property Owners conducted an official vote to add amend our restrictions so that additions, changes, corrections or modifications could be made.  The amendment passed with an 85.2% approval.
On 14 November 2006, the President of the POA certified the passage of the amendment and caused a document to that effect to be filed in the Llano County records.