SUMMERHOUSE RENTALS, INC.
Minutes of Board of Directors Meeting
June 18, 2010
President Bob Wheeler called the meeting to order at 3:00 p.m.
Board members present were Bob Wheeler, Karen Lindsey, Don Coker, Anne Zickus and Sherry Millard. Also present were Keith Jones, Dianna Domitz and several owners.
Anne Zickus moved that the reading of the minutes of the April 16, 2010 be waived and that they be accepted as presented. The motion was seconded by Don Coker and passed.
Officer's Reports:
President - Bob Wheeler presented the following three items:
1. The first is a reminder that item 4 of the Statement of Philosophy reads as follows: SRI shall ... "Operate with the goal of achieving profitable income and returning that profit to the Association in the form of a dividend that can be used to effectively reduce the maintenance fees of all 256 Summerhouse owners."
2. Our Rental Handbook requires that the SRI board review rental rates twice a year, at the April meeting and the December meeting. To that end, at our February 19, 2010 meeting, Pat Coker agreed to chair the Policies and Rates Committee. Due to the new rate structure having been implemented in December 2009, the April review was postponed until after we have had a chance to experience the Summer rental season. The next review is scheduled for December 2010. Until that time, any comments, suggestions or concerns regarding rental rates will be referred to this committee for further study and consideration.
3. At our April 2009 meeting, the issue of owners setting their own discounted rates was discussed in depth. this issue was revisited by the Policy and Rates Committee when the new rate structure was developed in December 2009. At that time it was determined that the policy in the handbook is quite clear and no change should be made. All rentals made through the office will be at the published rate schedule and the standard compensation fee will be collected in accordance with those policies outlined on page 4 of the SRI Rental Handbook.
Based on item two, Bob passed the email from Bill Chenevert regarding rate policies to Pat Coker, Policies and Rates Committee chairman.
Vice President - None
Secretary - None
Treasurer - (Complete report attached.) Don Coker reported the year to date income through May 2010 is about $177,100 or 97.9% of the year to date budget of $181,000. The year to date expense is about $149,500 or 94.9% of the year to date budget of $157.600. The net income of $54,300 is 109% of the $49,600 budget. Processing fees collected are $3,000 above fees collected and rental income is $4,000 under budget. Gross rental income through May is $888,000 versus a target of $1,850,000, leaving $962,000 to go. Rental bookings as of June 16, 2010 for the year are $731,000. Bookings are running ahead of where we usually are. We may have to stretch to make our plan but it is within reach if we continue to introduce marketing plans to drive revenue and continue to manage expenses.
Anne Zickus brought up the fact that the telephone expense is running almost $200 above budget each month. Bob Wheeler asked Dianna Domitz to look into reducing the telephone expense by looking at other long distance plans. (Action Item.)
Bob Wheeler accepted the report and it will be filed for audit.
Rental Manager's Report: (Complete report attached.) Dianna Domitz reported that June and July reservations are ahead of last year's numbers. Website promotions are proving to be the most effective and three day rentals are popular.
One of our winter guests, Jerry Lein, offered to create the website dealing with updates on guests, comments and everything to do with the snowbirds. Keith Jones said this would be a link at the bottom of the home page where our owners' link is located.
Dianna reported that she has the yearly calendar on her computer with the Appreciation Dinner for the snowbird volunteers noted. The open houses will be added when the dates are set.
Eileen Redbud is now including a copy of work orders with charges to the owners with their statements so they can see what repairs were made.
Pat Day has been hired as a part time reservationist and Susan Wilson has been hired to do laundry and check units when needed. Marie Exantus will be doing laundry part time as needed.
No action has been taken on the letter from guest Allyson McFauls asking that re-booking be done by numbered weeks instead of dates. Dianna is not sure how this method could be implemented. There have been no other recommendations of a better way to re-book a year in advance. At this point we will keep the same system and continue to offer guests the option of re-booking a different week after they leave. If anyone has a suggestion, please let Dianna know.
A thousand pens, with our logo, website and 800 number on them, have been ordered and will be here within the week. We are continuing to hand out tote bags. They are very popular.
Sherry Millard asked why the Summerhouse Rental Report has started including owners and owners' guests when reporting the number of reservations. This is not an accurate count of reservations with income. This was included because occupancy percentages include owners and their guests. Dianna said she was not able to back out the owners and their guests from the occupancy percentage column.
Sherry Millard commented that her unit was not ready when she arrived. The air conditioner was not turned down, the blinds were not open, ceiling fans were not on, the wrong linens were on the bed and there was mildew on the refrigerator door along with other cleaning issues. She was concerned because the cleaner had not done the job correctly, the checker had not noted what needed to be corrected and the unit had not be checked prior to check in. She was concerned because so many of the checks had failed and was glad a guest was not checking into her unit. It was decided that complaints about housekeeping should go to the Rental Manager. Bob Wheeler asked that it be included in the newsletter that any owner that has a problem with housekeeping should contact the Rental Manager directly in writing. Dianna will then address the issue with housekeeping. If Dianna cannot resolve the conflict then she should bring it to the attention of the board. (Action item.)
New Business: None.
Action Items: The yearly calendar, snowbird website and work orders were all addressed in the rental manager's report.
Bob Wheeler presented pictures for the proposed pavilion to go over the picnic tables. Bob will get the dimensions and Keith Jones will get estimates to build them. (Action item.)
Communications/Correspondence: An email was received from Jack and LuAnne Criswell, owners of units #101 and #111, complementing Summerhouse on how great the complex and grounds looked, how well the cleaning staff had done on the deep cleans, and how friendly and helpful the rental staff was to their guests.
Announcements: None.
The next meeting will be Friday, August 20th at 3:00 p.m.
Don Coker moved that the meeting be adjourned. The motion was seconded by Keith Jones and passed. The meeting was adjourned at 3:52 p.m.
Sherry Millard
Secretary