Proposed Board Meeting
Minutes
I. CALL TO ORDER:
Board President Steve Bryant called
the meeting to order at
·
Invocation led by Director Al Isaac
·
Pledge of Allegiance led by President Steve Bryant
II. AUDIT REPORT:
Jolene Compton, Weinlander Fitzhugh, reports our audit as
clean and compliments the office on their ongoing efforts to comply with the
firms recommendations.
III. ADDITIONS TO AGENDA:
Director Brian Heiden adds Board Meeting Times to the
agenda and 1st Vice President Marty Perkins adds 1st Bank.
IV. APPROVAL OF MINUTES:
1st Vice President
Marty Perkins (1) motions to approve the minutes with an amendment that Director
Brian Heiden’s absence from the October meeting was due to attending his
Grandmother’s funeral, seconded by Director Al Isaac, motion carried.
V. INCOME STATEMENT:
Assistant Treasurer, Elaine Carrasco, reports income for
October at $9,115.69, total expense of $35,020.36 and Cash on hand
VI. PRESIDENT’S REPORT:
President Steve Bryant explains that there is an awful
lot on the agenda and begs to keep order, comments will be allowed at the
appropriate time. There is an issue on the agenda that involves budget and some of us have a concern and it is my thought
that we need to take an appropriate look at our budget, our expenditures and
income. At this point
it is our job is to keep a close eye on this, the way the economy is. Our
budget is based on 1026 members paying assessments, when, in fact, we have
never had over 900 pay in any year.
Closest calculations are 862, give or take a few. That comes to 324K, the budget is at 385K, when in reality we will be
lucky to collect the 324K. In the
2008-09 budget we also added 25K for collection of
back assessments, equaling 410K and we are budgeted to spend 446K. That will leave us with -0- in the bank, by
year’s end. If we were to take our 446K budget and divide it by 864 paying
members, the assessments would have to be $516.00 per lot to meet
expenditures. In the unlikely event we collect more than the 25K in back assessments we
expect, those funds should be set aside for emergencies. Taking into
consideration the economy, I do not think increasing assessments should be a
consideration. That would only worsen
the options of collection. So the only option is to
cut the budget. It will be unpopular with some but is essential to secure the
financial stability of our organization.
It will be the board’s duty to base the 09-10 budget
on facts, not estimates, so we are not faced with this problem again.
VII. MANAGER’S REPORT:
Manager Gail White explains how time sheets are then
entered into a program on the computer named Intuit, that
is another step in recording employee pay.
Doug does not have 795 days coming, he has one week. Gail reports that Carlton Co. is bonded always have been.
Health insurance is in the process of transition as a
result of the executive session in April. Gail goes on to explain what she had proposed
to the previous board and this change on her insurance will
result in a savings of $1,038.76/monthly. Gail tells everyone about Enterprise
Community, pamphlets and information are available in the office. Priscilla is doing good, she is still in a
care facility, but is improving.
VIII. PAYABLES:
(3)Motion to pay the bills by Director Al
Isaac, seconded by 2nd Vice President Brian
Kozlowski, motion carried. Discussion on gravel and sand prices between
VIII. COMMITTEE REPORTS:
Dennis Karlson reports EPC had 2
tree removal permits, 1 permit for a roof, 1 permit for a garage addition. Also, one shed is
still on a lot, as are 12 units. Fred
will have a tally after this weekend as some units
will be removed at that time.
Fred Witchell reports that 79 units should be paying in
storage, 20 are paid but haven’t been moved from
storage for the season and 12 owners he is unable to contact. We have 86 units
in campground also which should generate $8,600.00 Director Linda McNeil asks
if storage is paid for in advance. If they do not pay
in advance they should not be able to store. Fred explains that this program have only
been in effect for 3 years. We need to
do work on our storage program. Sharon Bridges suggests that the office handle
storage fee so that Fred is not the middle man. Sharon
Bridges is appointed liaison to campground committee.
Budget Committee person, Dorothy Napela thanks the board
for allowing her to serve as Chair on the Budget Committee reports that she
presented a budget report to the board and they will be available to all
members in the office. Dorothy was asked to review the budget now to prepare for the future
and make some possible budget reductions. Dorothy explains her background.
Dorothy reports that 118 members owe over $1000, 187 owe between $375 and
$1000. Twenty-six percent are delinquent.
Dorothy says our expense budget is out of whack
with what we intend on collecting. Dorothy feels we will be in trouble next
year if we don’t collect on back dues or find another
way to increase revenue. Dorothy
questions line items and how they are entered. Dorothy
ask Arnie Overbeke if he wanted to read his
letter. Arnie states he does not; he
just wants the membership to know that he resigned from the budget committee.
Further details of Dorothy’s reports are available in the office.
Debby Gerish, activities committee reports that there
will be a luncheon for Gary Farnham at the clubhouse on Wednesday, November 12,
immediately after the service, anyone wishing to bring a dish to pass would be greatly appreciated. Halloween party was a success with a hay ride and cookie decorating; children were given a treat
bag. Debby thanks anyone who
participated… we really appreciate it. Activities committee meeting today at
Mary Cox, communications committee, asks if you have an
article to be in the Birch Bark, it must be in by this Wednesday November 12th.
Bobby Pelfrey, security, reports that in October, we had
a bench burned at
IX. COMMENTS (AGENDA ITEMS ONLY):
Comments are available at the office. Dennis Karlson
submits his resignation from the Financial Committee.
X. OLD BUSINESS:
No old business at this time.
XI. NEW BUSINESS:
Budget cuts: (3) A motion by 2nd Vice
President Brian Kozlowski to table the budget cuts until such time and as soon
as possible the board meets in work discussion to discuss these issues as we
have only just received this document and have not had sufficient time to
discuss amongst ourselves the best avenue to pursue to control our costs, with
a second by Director Al Isaac. Director Sharon Bridges
would like to amend the motion to include specific timelines and as to a
specific date. Director Al Isaac agrees
with Director Bridges to amend the motion.
2nd Vice President as having
provided the motion, states that he cannot amend with specific times and dates
without discussion from other board members. President Steve Bryant believes
that time is of the essence and these cuts no matter what they are need to be implemented. 2nd Vice President Brian Kozlowski suggests tabling,
getting a meal, and then returning to meet.
The Secretary reads the original motion to table by 2nd
Vice President Brian Kozlowski. Call of the question results in Director Linda
McNeil, nay, Director Sharon Bridges, aye, 1st Vice President Marty
Perkins, nay, President Steve Bryant, nay, 2nd Vice President Brian
Kozlowski, aye, Director Brian Heiden, nay, and
Director Al Isaac, aye. Motion fails.
(4) Director Linda McNeil
motions to accept the financial advisory recommendations to make all required
budget cuts effective December 1, 2008 with the exception of the final
recommendation which is to terminate the manager’s contract and honor the 6
month severance package effective immediately…a second by 1st Vice
President Marty Perkins. 2nd
Vice President Brian Kozlowski asks for clarification on the second part. He
asks if it is the intent of the motion to terminate the manager. Director Linda McNeil states yes it is and
according to the lawyers paper we received she is entitled to severance
pay. A discussion as to how much money
the association will actually save and whether or not these cuts open us up for
a law suit entails.
Director Al Isaac asks what dollar amount we actually need to save. There is a lengthy discussion as to how much
money we actually need to cut to be within a safe range in our finances. Director Linda McNeil amends her motion to
accept the financials recommendation to review all budget cuts effective Dec 1st,
except for the last recommendation which is to terminate the managers contract
without cause and honor the 6 month severance pay effective immediately,
seconded by 1st Vice President Marty Perkins. Roll call on
the motion: Director Linda McNeil, aye, Director Sharon Bridges, nay, 1st
Vice President Marty Perkins, aye, 2nd Vice President Brian
Kozlowski, nay, Director Brian Heiden, aye, Director Al Isaac, nay, and President Steve Bryant, nay. Motion Fails. (5)
Motion by Director Al Isaac for the budget committee to meet with the board, as
early as possibly convenience to look over the budget and the packet of budget
cuts, a second by 2nd Vice President
Kozlowski. Al Isaac amends his motion cut the budget now. After much discussion. (6) Motion to adjourn by 1st
Vice President Marty Perkins, seconded by Director Sharon Bridges, roll call
results in 3aye, 4 nays, motion failed.
XII. AJOURNMENT:
(7) Motion by 2nd
Vice President Brian Kozlowski to adjourn, seconded by Director Sharon Bridges.
All in favor, motion carried. Meeting adourned at
Respectfully yours,
Elaine J. Carrasco
Secretary