Annual Meeting of the Tillicum Condominium Homeowner s Association

Transcription

1 465 Winslow Way E, # 317 Bainbridge Island, WA WASHINGTON STATE UBI: Annual Meeting of the Tillicum Condominium Homeowner s Association Thursday, July 11 th, 2013 at 7:00 p.m. M E E T I N G A G E N D A CALL TO ORDER 19:07 1. CALLING OF THE ROLL / ESTABLISHMENT OF QUOROM President Scott Kuznicki PRESENT Vice President Craig Clark PRESENT Secretary VACANT Treasurer Scott Anderson* EXCUSED, BY PROXY Member-at-Large Peter Brachvogel ABSENT Attendees Mark Nolan* Theresa Gravell Craig Clark Virginia Adams Paul Danilchik Andrew Woehr Constance Swanlund* Constance Swanlund* Richard Karl Constance Swanlund* Bea Dixon Ted Wiles * INDICATES ATTENDANCE BY SIGNED PROXY With 15 votes accounted for at this meeting, a quorum was declared to be established by the President and official business can be legally conducted. 2. ADOPTION OF MINUTES Annual Meeting of the Tillicum Homeowner s Association Wednesday, March 21 st, 2012 Minutes were read as recorded. Thursday, July 11 th, 2013 PAGE 1 OF 7

2 ADOPTION OF MINUTES (CONTINUED) MOTION from the floor, by Mr. Kuznicki, supported by Mr. Karl Adopt the Minutes as presented. MOTION PASSED, unanimously no abstentions 3. PRESIDENT S REPORT... Mr. Scott Kuznicki Board Chairman We continue to make progress toward implementation of our strategic goals, which were outlined in a letter to all owners with the announcement of this meeting. There is a need for increased communication regarding Board activities and actions, as well as with owners concerning needs throughout the building (such as water usage, trash etiquette, and enforcement of house rules). Our capital improvement plan deserves the attention of the Association membership, as it is the primary way of preserving the value and marketability of this property. 4. PROPERTY & ADMINISTRATION REPORT... Jim Laughlin Property Manager Jim Laughlin has assumed all of the duties of property management from Linda Laughlin. In the past year, we have made several changes to contracts for property maintenance. Most notably, we have hired a new landscaping service and noted improvements already. In Calendar Year 2012, approximately $11,969 was spent on maintenance activities. Our water bill has increased dramatically; please help us cut water usage by monitoring older toilets and replacing flapper valves and non-low-flow models. A comment period was opened from the floor. It was determined that it would be appropriate for bulletins to be issued regarding the following items: Cleaning of decks and sweeping of third-level decks Pet messes not being removed by owners Toilets and water usage Inappropriate use of trash and recycling receptacles Pet clean-up stations were suggested. The Property Manager will investigate the possibility of installing one and report to the Board on the cost. Thursday, July 11 th, 2013 PAGE 2 OF 7

3 5. FINANCIAL REPORT... Mr. Scott Anderson Treasurer The operating fund posted a net gain in 2012 of approximately $8,600 Outstanding debt was $4,500, held on the line of credit Year-ending cash position was $10,433 Only two owners are more than 90 days overdue Back-owed dues of $9,000 and $7,500 are being pursued Financial Condition as of June 30th, 2013 Line of credit is paid in full Operating Fund balance is approximately $16,000 Reserves of $21,877 have been retained for emergency repairs Currently, we are in the process of auditing our financial management system. In April, the Board discussed and approved expenditures for an accountant to assist in ensuring that our financial management system provides accurate reporting of dues payments. 6. STRATEGIC AND CAPITAL PLANS STATUS REPORT Our strategic plan consists of three elements: Improve marketability of units Reduce legal and commercial risks Reduce long-term maintenance costs by means of an aggressive and comprehensive capital improvement plan We have made progress on these three issues in the following areas: Changed our operating name ( doing business as ) to Winslow Creek Condominium Homes, in order to better indicate that the building consists of privately-held units Conducted a thorough review and revision of all of our operating documents Pursued delinquent accounts, assessing all legal remedies for collection Developed a Capital Projects List, ranking system, and management system to ensure ongoing progress in addressing building maintenance and repair needs Conducting scoping activities for building preservation needs and developed a comprehensive capital improvement plan and associated financing plan QUESTION: Where can Association members view the Capital Projects List? The Capital Projects List is a spreadsheet developed by Mr. Kuznicki and used in Board meetings for over a year. It can be made available online by means of our web site. Thursday, July 11 th, 2013 PAGE 3 OF 7

4 7. PROJECTS REPORT Decks 215/315 $ 5,942 SHARED COST (50% HOA) Deck supports replaced $ 3,597 Fence Painting $ 1,520 QUESTION: Has the 50% share been paid? This can be investigated and reported to the membership. It is believed the cost share obligations have been completed. 8. OLD BUSINESS 8.1. Updates to Articles of Incorporation and Bylaws The Board and Property Manager have worked for over three years to revise our governing documents. This process was conducted in consultation with an attorney. The process concluded with an independent review by another attorney. The documents were sent to the Association, made available in numerous forms, for review prior to this meeting and in conjunction with meeting materials. MOTION from the floor, by Mr. Clark, supported by Ms. Adams Approve the revised Amended Declaration of the Tillicum Condominium Homeowner s Assocation, as presented to the Association in the Announcement of the Annual Meeting MOTION from the floor, by Mr. Clark, supported by Ms. Dixon Approve the revised Bylaws of the Tillicum Condominium Homeowner s Association, as presented to the Association in the Announcement of the Annual Meeting Delinquent Accounts Policy The Delinquent Accounts Policy can be established by Association, pursuant to Section 16.8 of the updated Amended Declaration. Regardless, the Association may recover delinquent amounts with interest, under Washington State Law. Thursday, July 11 th, 2013 PAGE 4 OF 7

5 8.3. Name Change for the Property COMPLETED per Association Direction in 2012; we will be registered to do business as Winslow Creek Condominium Homes. All checks should still be made out to Tillicum Condominium Homeowner s Association. 9. NEW BUSINESS The President and Property Manager presented the Board-approved and recommended Capital Repair and Preservation Program. Decisions concerning this program will impact every item of New Business, excepting elections. The program consists of four main elements: Replacement of the mezzanine serving all second-floor units, including supporting structure and decking materials. Replacement of the mezzanine approach walkway ( ramp ) from Winslow Way to the mezzanine. Replacement of three glue-laminated beams supporting the building Installation of a concrete shear wall, to provide lateral stability during an earthquake The estimated cost of the work is $250,000, including preliminary and final engineering design, permits, engineering support, and construction materials and labor. All work requires the preparation of engineering drawings and approval by appropriate jurisdictions. Our property manager, Jim Laughlin, will serve as general contractor and construction manager, under the supervision of the Board of Directors Board Recommendation of Dues Increase for Funding of Critical Repair and Preservation Program MOTION from the floor, by Mr. Clark, supported by Mr. Karl Authorize the Board of Directors to implement a dues increase of up to 23%, within the next six calendar months, to fund the Capital Repair and Preservation Program. Discussion concerned the need for transparency, accountability, and accessibility with regard to those charged with oversight of these activities. The Board agreed to monthly communications of financial information statements and improved financial transparency, aided by the audit improvements. Thursday, July 11 th, 2013 PAGE 5 OF 7

6 9.2. Board Recommendation of Financing for Critical Repair and Preservation Program An increase in dues of up to 23% will provide for the funding necessary to secure a competitive commercial loan for up to $275,000. Should engineering and construction bids come in at less than what is anticipated, the dues increase can also be less than approved. The Board will make this determination based on our financing needs. MOTION from the floor, supported by Mr. Wiles Authorize the Board of Directors to procure financing for up to $275,000, to implement the Capital Repair and Preservation Program, pending an investigation into insurance participation. Amendment by Maureen Nolan (in italics), that the Board would investigate the possibility of insurance participation in aspects of the repair and preservation program. Amendment accepted by membership Authorization for Board to Implement the Critical Repair and Preservation Program Overwhelming view of membership: FIX THIS! Some of the problems, in particular, the mezzanine floor failures and railing condition, are potential safety hazards that also detract from the appearance of the property. MOTION from the floor, supported by Ms. Dixon Authorize the Board of Directors to execute this program, and initiate and execute contracts necessary to fulfill the Critical Repair and Preservation Program. The Board shall involve the owners and conduct an open forum and project meeting prior to beginning construction activities, with special communications during the course of construction. Amendment by Theresa Gravell (in italics), that the Board would provide for community input on the proposed design and any changes being made to the building, such that all owners remain aware of ongoing activities, impacts, risks, and costs. Amendment accepted by membership. Thursday, July 11 th, 2013 PAGE 6 OF 7

7 9.4. Approval of 2014 Operating Budget The 2014 Operating Budget was presented for approval. The Annual Operating Budget will include an anticipated increase in dues remittances of $22,000. This facilitates the monthly payment of the commercial loan for construction activities. We will continue to make progress on our current Capital Projects List and we expect to continue to make monthly contributions to reserves. The Critical Repair and Preservation Program is an extra-budgetary activity that will not impact our daily operations and maintenance activities. MOTION the floor, with support Approve the 2014 Operating Budget, as presented, with the stipulation that downward adjustments in revenue are acceptable if the dues increase is less than 23% on account of a construction program that comes in under budget. Additionally, any additional monies collected above expenses for the daily operations and the Critical Repair and Preservation Program are to be set aside in reserves for future capital expenditures Election of Board of Directors The following candidates were put forward as nominees for the Board of Directors: Scott Kuznicki Scott Anderson Craig Clark Peter Brachvogel Theresa Gravell MOTION from the floor, with support Accept the slate of candidates, and elect all candidates as presented. MEETING ADJOURNMENT MINUTES PREPARED BY Mr. Scott O. Kuznicki, President Thursday, July 11 th, 2013 PAGE 7 OF 7