BOARD OF DIRECTORS MEETING, HeatherRidge Umbrella Association (HUA), October 28, 2008

These minutes have not yet been approved by the HUA Board.  Any corrections, additions, or deletions  will be made at the next regular HUA Board meeting prior to official approval.

President Carol Marker called the meeting to order at 7:00 pm.  Present:  Todd Campbell, Sam Dent, Rick Francisco, Paul Kelly, Carol Marker, and Jim Petkus.  Gordon Lind, Patrick Perry and Jim Servis were absent. 

SEPTEMBER 23, 2008 MINUTES:  Todd Campbell made a motion to receive and accept  the September 23, 2008 minutes as amended, seconded by Paul Kelly.  At vote, all aye, motion carried.

PRESIDENT’S REMARKS:  Carol Marker noted there will be an Executive Session after the regular meeting.

TREASURER’S REMARKS:  Paul Kelly gave the Treasurer’s Report and detail.  Sam Dent made a motion, seconded by Rick Francisco, to receive and accept the Treasurer’s Report.  At vote, all aye, motion carried.

 

PRELIMINARY Treasurer's Report for September 30, 2008
UMBRELLA CASH POSITION	Totals 8/31/08	Operating 9/30/08	Reserves 9/30/08	Totals 9/30/2008	Change from Prev. Month
	$355,696.81	$54,586.86	$317,728.02	$372,314.88	$16,618.07
UMBRELLA OPERATING INCOME & EXPENSES	Actual	Budget	Current Month Difference	Actual YTD	Year-to-Date Budget YTD	Difference YTD
INCOME	$119,041.15	$118,950.69	$90.46	$1,074,605.63	$1,070,556.21	$4,049.42
Landscape	$56,439.59	$49,180.62	($7,258.97)	$517,720.95	$496,363.08	($21,357.87)
Security	$19,306.38	$21,708.58	$2,402.20	$178,212.05	$202,103.25	$23,891.20
Administration	$31,985.12	$31,727.78	($257.34)	$178,917.91	$176,328.23	($2,589.68)
Maintenance	$21,250.83	$21,231.17	($19.66)	$200,346.29	$195,834.88	($4,511.41)
Total Expenses	$128,981.92	$123,848.15	($5,133.77)	$1,075,197.20	$1,070,629.44	($4,567.76)
INCOME (LOSS)	($9,940.77)	($4,897.46)	($5,043.31)	($591.57)	($73.23)	($518.34)
CRF CASH POSITION	Totals 8/31/08	Operating 9/30/08	Reserves 9/30/08	Totals 9/30/2008	Change from Prev. Month
CRF	$18,453.52	$6,227.03	$7,593.73	$13,820.76	($4,632.76)
CRF-Clubhouse	$17,329.04	$6,819.17	$0.00	$6,819.17	($10,509.87)
Golf	$244,577.46	$109,067.54	$6,698.16	$115,765.70	($128,811.76)
TOTALS	$280,360.02	$122,113.74	$14,291.89	$136,405.63	($143,954.39)
CRF & CLUBHOUSE OPER INCOME & EXPENSES	Actual	Budget	Current Month Difference	Actual YTD	Year-to-Date Budget YTD	Difference YTD
INCOME	$9,709.08	$13,537.90	($3,828.82)	$110,948.75	$114,341.10	($3,392.35)
EXPENSES	$11,909.61	$14,416.44	$2,506.83	$94,385.44	$106,131.42	$11,745.98
INCOME (LOSS)	($2,200.53)	($878.54)	($1,321.99)	$16,563.31	$8,209.68	$8,353.63
CBRC CASH POSITION	Totals 8/31/08	Operating 9/30/08	Reserves 9/30/08	Totals 9/30/2008	Change from Prev. Month
	$69,579.34	$17,640.31	$42,628.84	$60,269.15	($9,310.19)
CBRC  OPERATING INCOME & EXPENSES	Actual	Budget	Current Month Difference	Actual YTD	Year-to-Date Budget YTD	Difference YTD
INCOME	$2,671.66	$2,569.68	$101.98	$24,587.23	$23,127.12	$1,460.11
EXPENSES	$4,121.59	$2,526.53	($1,595.06)	$31,128.21	$22,461.02	($8,667.19)
INCOME (LOSS)	($1,449.93)	$43.15	($1,493.08)	($6,540.98)	$666.10	($7,207.08)
HHRC CASH POSITION	Totals 8/31/08	Operating 9/30/08	Reserves 9/30/08	Totals 9/30/2008	Change from Prev. Month
	$39,810.02	$4343.05	$36,402.50	$40,745.55	$935.53
HHRC  OPERATING INCOME & EXPENSES	Actual	Budget	Current Month Difference	Actual YTD	Year-to-Date Budget YTD	Difference YTD
INCOME	$3,638.32	$3,624.83	$13.49	$33,249.28	$33,133.47	$115.81
EXPENSES	$5,546.29	$3,634.15	($1,912.14)	$36,539.39	$32,558.60	($3,980.79)
INCOME (LOSS)	($1,907.97)	($9.32)	($1,898.65)	($3,290.11)	$574.87	($3,864.98)
SBCRC CASH POSITION	Totals 8/31/08	Operating 9/30/08	Reserves 9/30/08	Totals 9/30/2008	Change from Prev. Month
	$34,788.42	$12,241.21	$21,958.54	$34,199.75	($588.67)
SBCRC  OPERATING INCOME & EXPENSES	Actual	Budget	Current Month Difference	Actual YTD	Year-to-Date Budget YTD	Difference YTD
EXPENSES	$1,732.44	$1,710.42	$22.02	$15,666.32	$15,393.78	$272.54
INCOME (LOSS)	$2,937.93	$1,960.40	($977.53)	$20,495.48	$15,564.42	($4,931.06)
INCOME (LOSS)	($1,205.49)	($249.98)	($955.51)	($4,829.16)	($170.64)	($4,658.52)

MANAGEMENT REPORT:  A Management Report was submitted in writing and was available to the audience. 

Bob Marcus noted that the preliminary budget cover sheet figures were revised.  The budget figures for the cost of salt for the winter have risen over 100%, and the stipulations by the suppliers that the amount ordered would be committed to purchase, led to this increase.  (See the notice on page 14.)  In discussion and responding to the salt issue, Carol Marker noted that we have ordered for an “average” winter.  The Maintenance and Landscape Departments are considering all public works salt supplementation or usage standards and recommendations.  During the management report, it was discussed that residents who have steps and/or porches need to have their own personal supply of an ice-melting product and a small shovel to insure their own private entranceway is safe, HUA does not have the stock or labor force to keep over 700 personal entries clear.  There was discussion of using sand or mixing sand with salt, but there are wash-away issues into the water and sewer drainage areas to consider.  The preliminary audit report was received with a list of items that must be responded to before the audit can be finalized.  The HUA Board will hold a preliminary audit conference after the Mark Cantey Auditors submit the then revised audit report.  The change of keys and lock systems at the Hidden Hills Condo (HHC) buildings was discussed.  Security issues are primary and the changes were made without notification or consultation of the Security Department.  The ultimate solution will be a key card system similar to those of the recreation centers that eliminate metal keys and allow instant access changes and audit trails.  Bob Marcus will follow up with the HHC Board and the HHC management company.  It may be necessary to determine the HUA responsibility in regard to the Declarations with a legal opinion.  Jim Petkus made a motion to receive and accept the Management Report, seconded by Todd Campbell.  At vote, all aye, motion carried.  The Management Report follows these minutes in the HeatherRidge Happenings.

STANDING COMMITTEE REPORTS:

Architecture and Maintenance Committee.  No formal report or motion required. 

Audit Committee:  Preliminary audit report was issued, including a list of issues that will be answered by Bob Marcus and other HUA Board members.  A preliminary audit conference will be scheduled when those issues are answered and the revised audit is submitted to the HUA Board by Mark Cantey Auditors. 

Finance Committee:  Paul Kelly gave the Financial Report and recapped the minutes of the September and October meetings.  The golf contract issue of getting two check signatures will be handled by getting a check register from Golf Visions.  The process of transferring monies to the CRF reserve account will be developed.  Jim Petkus made a motion to receive and accept the Finance Committee minutes of September 29, 2008, seconded by Sam Dent.  At vote, all aye, motion carried.  Information for Finance Committee meetings that did not have formal minutes included bad debt and loss of assessment income due to foreclosures.  It changes on a daily basis and the 2009 Budget reflects a higher estimate than previous years.  The meeting on the Golf Budget will be held Monday, November 3, 2008 at the HUA office at 5:15 pm.  Carol Marker noted that many associations do not have yearly audits, but use the second year as a “review” that saves considerably on the ever-escalating cost for a full audit.  HUA may ask for that to be included in the final audit report as a recommendation.

Golf and Tennis Committee:  Rick Francisco noted that adverse rainy weather in September had kept golf carts off the course and lowered the number of rounds played.  Paul Kelly made a motion to receive and accept the Golf and Tennis Committee Report, seconded by Todd Campbell.  At vote, all aye, motion carried.

Landscape Committee:  Report distributed to HUA Board.  There was discussion of the architectural/landscape approval process and that lawn ornaments are not allowed to be placed on common property.  Todd Campbell made a motion to receive and accept the Landscape Committee Report, seconded by Sam Dent.  At vote, all aye, motion carried.

Ponds Committee:  No formal report or motion required. 

Recreational Activities Committee (RAC):  No formal report or motion required.  Sam Dent noted the upcoming social events scheduled at the CRF in the next two months.

Security Committee:  No formal report or motion required. 

Tax, Legislation, Law, Contracts, Insurance and Special Issues (TLLCISI):  No formal report or motion required.

Welcoming Committee:  The regular meeting was held October 14 and two residents attended.  The list of new residents was available for the audience.  The next meeting will be held January 13, 2009.

OLD BUSINESS: 

Outside Literature Distribution Boxes for the HeatherRidge Happenings.  It is noted that residential delivery is critical as advertisers are assured that the newsletter reaches all homes and neighborhoods.  Paul Kelly made a motion to install literature distribution boxes, eight at the cost of approximately $30 each, in the StoneyBrook mail center areas of the courts for the next four months, seconded by Sam Dent.  The effectiveness of the system will be evaluated and a recommendation provided to the HUA Board at the April 2009 meeting.  The motion was amended to include the single box in the HighPointe area by Todd Campbell and seconded by Sam Dent.  At vote, five aye, one nay, motion carried.

Cost for Recreation Center Security Systems.  Before the May 2009 pool openings, the Hidden Hills (HH), Cabana pool (CP) and the Covered Bridge (CB) recreation center and pool areas must be fitted with the keycard security system and keycards must be in production.  The original costs were based on 2006 estimates and technology, there have been extensive changes in both areas.  A modem was used in the prototype StoneyBrook/Cambridge (SBC) system as it was a lower-cost technology, but it was fraught with communication problems.  DSL is the preferred communication protocol, but it incurs higher recurring costs.  Both HH and CB recreation centers and the CP area have been assessed, the equipment recommendations were provided in the HUA Board packet.  The vendor has submitted a monthly maintenance proposal of $250 that encompasses all three neighborhood recreation center areas after installation of all keycard security systems.  Any motions regarding the proposals will be initiated separately by neighborhood.

     There was considerable discussion on the pro’s and con’s of the full or reduced system packages with cost and security being prime considerations.  The existing 2006 estimates for HH and CB neighborhoods will be impacted and budgets may need to be reworked.  Todd Campbell moved to suspend the rules to allow a representative of the HHTH Board to speak.  The estimates now presented nearly double the estimated amounts the neighborhood committee has been working with, and the reserve accounts should not be counted on to absorb the differences.

     Paul Kelly made a motion to approve the $7,850 expense for the installation of the Security System at the Covered Bridge Recreation Center and Pool area as originally proposed by LaMarco, seconded by Sam Dent.  Much discussion followed.  At vote, all opposed, motion failed.

     Todd Campbell made a motion to table the decision and to return the project to the HH and CB neighborhood committees for reconsideration and recommendation back to HUA within three weeks of this meeting.  Seconded by Paul Kelly, at vote, all aye, motion carried.  Bob Marcus will detail the project expenses and the capital and monthly expenses for each Neighborhood Committee in a letter to the Covered Bridge and Hidden Hills Neighborhood Chairpersons.

     The item will be added to the November 25, 2008 agenda and Bob Marcus will meet with the Security Department and each of the neighborhood committee chairpersons to discuss the options.  These discussions will also consider the $250 monthly maintenance fee and the additional DSL costs.

Internal Communications Among HUA Departments.  The system as it exists is completely functional and change would cause great initial and monthly recurring expenses.  The suggestion is withdrawn.

Approval of HeatherRidge Food Drive.  HUA is considering a food drive the months of November and December to assist the local Warren Township Food Bank with donations during the holiday season and these hard economic times.  Todd Campbell made a motion that HeatherRidge hold a food drive, with collection at the HUA office Monday – Friday (9 to 5).  It was further moved that the RAC consider incorporating collection of non-perishable and paper products at their social events during those months.  Seconded by Paul Kelly.  At vote, all aye, motion carried.

NEW BUSINESS:

Bench Donation Program.  The original “memorial bench program” that was suggested and implemented did not prove to be workable.  It is suggested that there could be a bench donation program that would provide a park-type bench (like the ones installed at the StoneyBrook playground area) at the approximately $600 for installation and purchase.  Landscape and Security departments will have input into positioning the benches and there are several other guidelines that will be met as noted in the recommendation memo.  Jim Petkus made a motion to initiate a bench donation program as stated in the packet handout, seconded by Todd Campbell.  At vote, all aye, motion carried.

Carol Marker responded to the September meeting suggestion that the security deposit for the picnic grove be lowered.  After consultation with HUA Departments, there is a small building and a large grill in the area that are of value, necessitating the $250 security deposit.  It is not recommended to lower the security deposit.

OPEN DISCUSSION FOR HOMEOWNERS:

Elaine Stein of Covered Bridge condominium neighborhood asked if there could be a donation system toward purchasing a bench.  That can be done, but it is best done by individuals or perhaps residential associations rather than under the purview of the HUA.  She further noted that the CRF blinds could be closed during the hours the CRF is closed to reduce the heating costs.  This suggestion will be considered.

Ann Richter of the Hidden Hills townhome neighborhood asked the HUA Board to be aware that the elevated $250,000 deposit insurance will end in December 2009 and that should be a consideration in HUA accounts.  She also said that it was important not to deplete the neighborhood committee reserve accounts for the recreation center areas as there are other capital projects that may be funded from those reserves.

Paul Kelly made a motion to adjourn the meeting, seconded by Todd Campbell; at vote, all aye, motion carried.

Adjournment at 8:50 pm.                                                                                      Next Meeting – Tuesday, November 25, 2008