Stonebridge Condominium Association

2016 Annual Association Meeting Minutes

Date: September 14th, 2016

Location: Stonebridge Condominiums Pool Courtyard

Call to Order 6:30 PM

Roll Call

-Eugene Lillge, Board President, introduced himself and the other board members present. Nikki Kenyatta, Mary Myers, and Jay Bruner were all in attendance. Steve Swieciak was absent. Jay conducted the majority of the meeting.

Proof of Notice

-Notice was mailed to owners on August 19, 2016.

Treasurer’s Report

-Financial Report for Past 12 Months

  • Miscellaneous income is really $24000 out of expense accounts for reserve fund. Financial situation improved by 135K. Budget last year called for 110K to reserve. More than met goals for this year. Will spend some of that money this year from 5-year budget plan.
  • R&M and Supplies a wash. Snow Removal low but does not include to the end of the year. Lawn care and maintenance somewhat high. G&E low due to warm winter. Insurance elevated but next year the association should save. Lump sum payment will lower costs. Management fees include extra month due to dates. Few less collections this year. Miscellaneous and Postage a little high. Reserve fund contribution will increase another major part of $135K to reserve. 309K+ on account which is near the goal of the association. Long-term projects include 125K in roof replacements. 220K by the end of next year.
  • Questions?
  • Which roofs? Two of the larger buildings. No map available at meeting. (Mail information out)

-2017 Proposed Annual Budget

  • Basically the same. Income projected at the same. Little differences in Supplies, Insurance, and Legal fees. Still looking to put budgeted amount to reserve. Goal of putting away 110K
  • Question: What’s SBCA Reserve MM? The reserve fund which will be added to from the reserve. We’re ahead of five year projection.
  • Question: Increase in condo fees? No. Why we set the budget as we did for 2016. Hope to avoid additional increases in years to come.
  • Those favor in adopting budget? All in favor except one.
  • Concerns regarding Lawn Care and R&M—reduction in services and quality of lawn care. Board will interview lawn care companies this winter and pursue new options for lawn care in 2017. If full association is unhappy, alternatives can be explored. Question raised regarding mowing and frequency. It was raised that more mowing/shorter grass will inhibit more weeds. It was reminded the association voted years ago to go with non-herbicide treatments for children/pet concerns. About half raised hands when asked if they were unhappy with the landscaping. Several owners voiced displeasure with weeding, trimming, etc. Gene reminded owners to communicate any time they feel unsatisified. Owners were reminded of outlets to contact Stonebridge and Bruner. Website: or

-Delinquencies

  • Two of the most delinquent owners had bankruptcies and the association hopes to collect now that they have been discharged. Foreclosures are pending. As many services as possible are cut off from delinquent owners. Silver lining is the amounts have been steady.

Elections

No members up for election. Gene has 2 years, Nikki has 1, Jay is still on the board to represent the developer, Mary is the secretary/active person from Movin’ Out, Steve has 1 year open. Positions will be open next year. Please consider running if interested. Not entirely time consuming. Most work done via email with only a couple of meetings per year.

Unfinished Business

-Conversion Status

  • Down to two units to sell—the old office condos. Offers are in place on both. Expect both to close near the end of the year if not before. Association will move forward on its own without developer.
  • Owner in audience commended the developer for sticking through the economic downturn with only two now to sell. Others had walked. Values are rebounding and we are seeing a lot of resales. Jay feels future is bright—a lot more than two or three years ago. Once developer sells off, it will even playing field.

-Sealing and Striping

  • Delayed this year. Interest in getting one more year out of it. Rolling the projected expense into next year, as soon as weather permits. May or June. Project is an inconvenience so cooperation in moving cars is appreciated.

New Business

-Insurance Decree

  • Lately, associations are experiencing negligent water usage damaging adjoining units. There have been some substantial claims for damages. Every condo association maintains high deductible to keep premiums affordable. Typically $10K. Anyone negligent with water usage, association is unable to collect any insurance proceeds. Jay discussed with insurance agent and attorney. Insurers point to condo docs to claim association is responsible. Both agent and attorney advised enacting a decree putting a negligent owner on the hook. Not yet put in place as the board wanted to first run it by the association. The first 10K in expenses would be covered by negligent owner. Two important things:
  • Owners should make sure they have a policy in place.
  • Owners should provide their agents with copies of the condominium documents.
  • Would be adoption by the board by decree. Is fair to the rest of the owners. Minutes and additional information will include the formal decree to be adopted by board and become part of the condominium board. Will not go into effect until everyone has a copy of the document and is given a month to put things in advance.
  • Question: What if an owner doesn’t have insurance? They would still be responsible. If they’re insured, the association’s agency will subrogate the claim.
  • Question: Do docs require insurance? They do however not everyone complies. Next notice will include request for proof of insurance. Typically lenders require insurance. It’s believed very few are uninsured.
  • Question: Some lenders ask for more proof of insurance and responsibilities. What are they looking for? Owners are advised to have their agents contact the association’s agent. Information going out with minutes will include contact information for the association’s insurance agent.
  • Question: Will owners who rent be responsible for tenant negligence? Yes. Investor owners should actually have two policies—one for landlord, one for owner.

-Stonebridge Office

  • Office has moved. Hours will be Tuesday afternoons, 12-4. Reminder that maintenance staff is available Tuesdays and Thursdays. New office is in the pool hallway. Old building will be closed down from now on but drop box remains for the time being.

Adjournment

-Motion to adjourn @ 7:18, motion to 2nd. Adjourned.