Thomas Homeowners Association 2009 Annual Meeting

August 24, 2009

The meeting was called to order at 8pm by Jan Sieger.

  1. Registration
  2. 8 homeowners present
  3. 1 representative from ACT Management
  4. 9 proxies documented
  1. Roll Call
  2. 15 of 24 homeowners were represented either by attendance or by proxy.
  3. Quorum for annual meeting declared.
  1. Mailing of the annual meeting notice 8/4/09 complied with the 21 day notice called for in Thomas Section by-laws.
  1. Discussion topics and member concerns from the section’s July 27, 2009 informational meeting were reviewed.
  2. A list of questions submitted to ACT management following the meeting is attached.
  3. Diane Henning’s responses (red font on attachment)were discussed.
  1. Motion moved and 2nd to accept the minutes from the July 21, 2008 annual meeting.
  1. Current Thomas section Board member introductions were made. Continuing members include Jan Sieger, Brenda Jefferson, Linda Atkinson and Mike Johnson.
  1. Interested section homeowners were invited to fill the open Thomas board position last held by Mike Bragge. Due to evening work, classes and partial out-of-state residence, three Thomas section homeowners agreed to share the 5th board member role. They are:
  2. Mary Meisinger205 Dejon
  3. Jack Lindau203 Dejon
  4. Amber Dowdell135 Bordeaux
  1. Election of Section board officers
  2. After board member discussion, the slate of officers for 2009-2010 was presented as follows;

President – Janice Sieger

Co-Vice President – Mary Meisinger

Co-Vice President - Amber Dowdell

Secretary - Brenda Jefferson

Treasurer - Michael Johnson

Member at Large - Jack Lindau

Member at Large - Linda Atkinson

  1. Motion to vote the slate as a white ballot, seconded and passed
  2. Members switched the section meeting date to 3rd Wednesday of the month, 7 PM at clubhouse
  1. Review of YTD Budget vs. Actual spending
  2. Income statements from ACT indicate the section showed a net income of approx $6,000 at the end of June, shrinking to net income of $3,756 at the end of July.
  3. There was discussion on how the electric bill from Xcel for common area garage and walk lighting is charged back to our section.
  4. Line item 4420-Common Area Bldg showed an expense of $2934.25 paid in July. When asked for detail on this item, Diane Henning indicated it was probably for deck washing and staining, but she would need to check into it at her office. ACT Mgmt take away: Will provide invoices to support check #117. When asked why ACT would schedule deck washing and staining in the section when it was not included in the annual budget for 2008-9, Diane replied that some Comfac board members suggested that deck washing would be a good way to demonstrate to Sundown homeowners what their association was doing for them. No Thomas board members knew about the plans for deck work, and estimates for the expense for this activity were never presented to the Thomas board. Homeowners also commented they need more than one day notice of the scheduled work, in order to clear decks and avoid use for 24 hours after the staining. We were advised to view the Sundown website to know what is going on in regard to deck repair and schedule.
  5. Section by-laws state all expense estimates over $1000 must be approved by Thomas section board membersbefore payment, and all checks must be signed by section board president and treasurer.
    ACT’s management contract with Sundown also states that any item of repair or replacement shall not exceed the sum of $500.00 unless specifically authorized by the Board of Directors by separate writing or by budget approved by the Board of Directors of the Association.
    e. Board members are left in an awkward position of inability to explain to homeowners how section monies are being spent when bylaws and contracts are not followed, and expenses are reported only after they are paid.
  6. Association fees for Thomas section for coming year
  7. Board members and homeowners learned at the special meeting in July that financial statements from an independent CPA’s audit of Thomas Homeowners Association books in 2007 and review in 2008 showed the amount of uncollected dues was $5,916 for the year ending August 31, 2008. This information, along with a 3% increase in HOA dues at the start of the current year, led to homeowners directing the Thomas board to set a budget without a dues increase for the coming year, with strict attention to holding down expenses.
  8. The Thomas board on August 17 worked out a section budget reflecting $48,800 income, and expenses of $35,418.24 for Comfac fees, $360 for office expense, $1320 for electricity (garage and sidewalk lighting), $750 for landscaping, $4,000 for common area buildings, $500 for garage doors, $5,750 for insurance premiums, and no transfer of interest or income to a reserve replacement account for the section in the coming year.In summary, from Sept 09 to Aug 2010, 75% of monthly homeowner dues will go to the Comfac budget, 25% stays within the section.
  9. This 2009-2010 Thomas section budget was received by Sec. Brenda Jefferson at the annual meeting, to be filed with minutes. Motion was made, seconded and passed to distribute “no dues increase” budget to all Thomas homeowners. This budget is in replacement of the proposed budget mailed by ACT with the annual meeting notice.
  1. Bremer Bank (checking)
  2. Act Mgmt take away: Signature cards must be onfile with Bremer Bank for board officers Jan Sieger (President) and Michael Johnson (Treasurer) to comply with both ACT contract and section bylaws.
  3. ACT income statements show “bank charges” against the section account of approximately $20 a month. Diane Henning stated this is for automatic payments of dues, and that she often gets this fee canceled toward the end of the year.
  4. Money Market investment options

1.Can leave section savings of $65,000 in money market account with Bremer Bank

2.Earns approx $800 interest per year

3.Diane Henning proposed moving some of the funds to higher interest short term certificates of deposit

4.Act Mgmt take away: Will forward rates and terms of CDs for section board to review

  1. Status of roof repair or replacement: inspections are not done for Thomas Section, will be completed within the next 30 days according to Diane Henning.
  1. Status of deck cleaning:
  2. Homeowners need more than 24 hour advance notice when their deck is being cleaned and stained.
  3. ACT management intends to power wash and stain/waterproof each deck in the association. Brenda Jefferson stated her front deck was just done with the concrete and foundation repair last year, and her back deck is too unstable for treatment, it would likely collapse.
  4. Act Mgmt take away: a schedule will be posted on the web site so homeowners will know about when their deck will be cleaned
  1. Processing Work Orders in Thomas section
  2. Requested status of work order for 171 Bordeaux

1.What work is included

2.Act Mgmt take away: will contact homeowner

  1. 203 Dejon - Deck/porch supports rotted and failing, homeowner discussed with Diane Henning numerous times this summer, was promised work would be completed in August, is still undone.

Homeowner Jack Lindau brought recent pictures to annual meeting, indicates concern for safety of his children if the porch roof collapses.

  1. 253 Dejon - Tree limbs
  2. Act Mgmt take away – Is stump removal on the work order list?
  1. Resident Directory
  2. Jan Sieger compiled a current list of section residents (by property address) for purposes of the annual meeting and reports, will ask residents how much personal info they want to include in a section directory. As per Diane Henning, Comfac will not publish a complete Sundown directory.
  1. Sundown Website
  2. Recently expanded
  3. 2009 meeting minutes and budget will be posted
  1. Meeting was adjourned at 9:49pm.

Minutes respectfully submitted by Brenda Jefferson, Thomas Section Board secretary.

Questions from Homeowners

Thomas Section

Meeting Date:7-27-09

  1. Spring walk around work
  2. What is the schedule?

I am most often at Sundown at least twice a week. This is beyond the Contract language but I find it is necessary to meet with Homeowners face to face as well monitor work that is in process by the Vendors. The list of work items are given to the appropriate vendors and scheduled out from there. Notice to the Owner is given when necessary or entrance is needed.

  1. Can we get more than 1 days notice?

If you have a specific time or day, just ask I will try to accommodate as best I can. This item was noted under my Management Report at the COMFAC Board Meeting with no response from Thomas Section. With that in mind, I have not finished it due to other scheduling and personal issues that have taken me out of town.

  1. Who is responsible for external upkeep if additions were made by previous owners and there is no paper trail?

There may be some files or minutes from the previous Administration to help in that area. Is there a specific item you want me to research? Also, there are some Homeowners who may know that history.

  1. We need a copy of Diane’s walk around list

You will have a detailed chart as soon as I am able to finish.

  1. Why are past due association fees being written off?
  2. $5600 written off for Thomas 2007-2008
  3. What notification is given to the section board?

It appears in the detail of the Treasurers report with a description as well going to the President regarding a foreclosure.

  1. Status of work to be done:
  2. Dead treesb. Trees with dead branches
  1. Tree debris after storms

Items “a” and “b” are under COMFAC and being scheduled according to funds as available. If you recall from previous Minutes, there was an expenditure of $14k last fall and winter for the purpose pruning. Item “c” is addressed by the current Vendor as needed and will include other assistance if needed.

  1. Can we get a liaison in each section to monitor the grounds crew?

Homeowners call me with any specific issues and are addressed via email to the vendor. Not knowing exactly what you have in mind, are you thinking about have one or two people who will be the focal point of communication to me rather than Homeowner’s calling? The President has been the liaison in the past. Homeowners are not to give directions to the vendors.

  1. The Thomas Board wants to resume receiving the monthly general ledger report.

This report currently is sent to the Treasurer – Michael Johnson. If additional copies are needed, I can email them or send hard copies as requested.

  1. Why aren’t homeowners notified when they have over paid and are ahead on their monthly association fees?

There is one person who at closing was credited by the Seller for additional monies paying forward for the monthly fee. Others pay ahead due to their personal finances, vacations or monthly income schedules.

  1. How can we establish better/more communication with Act Mgmt?

I have offered to come to your Board Meetings to discuss a roof schedule, transfer some of the MM funds put into an interest bearing CD and was told “No” each time. I am willing to meet with you to set up the process for doing any of these items or assist as I do with the other Sections with their needs.

  1. Can we resume creating and distributing the section address book?

At this time, it was determined by COMFAC that a directory not published. As to the Thomas Board, I would be glad to give information as it stands for your Section. I usually distribute these to the COMFAC Board and Representatives at the September or October Meeting. There are several sales in process and some are on hold due to contingency, but that will be the case for sometime as the Economy is changing.

  1. What happened to the funds from the sale of the ground keeper’s truck?

The truck was sold and funds were deposited in the General Operating Fund of COMFAC. Initially it was going to be donated, but I was able to find a buyer for the truck.

  1. Why is another fee increase being proposed? We increased last year.

The increase is due increased costs. In order to keep up with the care of the property and proposed insurance costs of as much as 30%, and continue to put money in the Reserve Replacement Account, it seemed that 3% was a reasonable amount which is inclusive of the COMFAC amount. I offered to give you other Budget options but I was told “No”.