Date: July 12, 2022
Time Location: 7 PM via Zoom
Those in attendance: Ken Schiewetz, Gary Mesick, Anne Mesick
Those absent: Larry Barlow
President: Ken Schiewetz
Ken called the meeting to order at 7:01 PM.
Ken reported that we are waiting for the attorneys to send final wording for the settlement.
Vice President: Vacant
Eric Leonheart, stating reasons both personal and professional, has resigned as the vice president.
Treasurer: Gary Mesick
As of July 1, the community had $36216.53 in its Operating Fund (Checking) and $27181.96 in its Reserve Fund (Savings). One homeowner has not paid 2022 dues, one has not paid 2021 dues (fines and interest charges are in effect for both), and one homeowner is paying in installments. One homeowner has paid 2023 dues. All other homeowners are paid in full through this year.
Operating Budget: The community is running about $15000 under budget. About $4700 is from Reserve payments that are being held pending settlement of the lawsuit (to exist the risk of a special assessment), so we expect this to be deposited in Reserve at some point this year. $3300 is cost under runs with the pool operations. The remaining $7000 is the difference between the insurance premium ($9000) and the sum of the budgeted amount ($3600) plus the insurance claims settlement ($12300).
Reserve: The community has transferred the water damage insurance claim amount of $3278.69 to Reserve, as those repairs are a Reserve item, and these insurance claim funds will mitigate the impact of repairs on the Reserve fund balance. The community is retaining the legal fees insurance claim reimbursement in Operating funds to reduce the risk of a special assessment until the lawsuit is settled. In June from Reserves, the community has spent $1718.77 to replace the existing wiring in the pool house, $1134.03 for to replace existing plumbing in the pool house, and $3110 in additional maintenance work to upgrade the pool house. Looking ahead, the only large expenses anticipated in the Reserve Study over the next five years are replacement of the perimeter chain-link fence, refurbishment of the entrance monuments, and replacement/repair of the pool house siding, allowing ample opportunity to replenish the Reserve during these years.
Secretary: Anne Mesick
No issue.
At Large: Larry Barlow
No issue.
Maintenance/Pool: Vacant
Rod’s report was given by Anne Mesick.
Rod Martinez has resigned from the board.
The pool house repair and upgrade is nearly complete as of this report. The insulation needs to be put in the attic, and the contractor will be doing some final finishing detail work.
There is a leak in the west pool skimmer that is causing water loss to the pool. The pool maintenance company will make a temporary repair that should work through the end of the swim season. Arrangements will need to be made to make a permanent repair in the off season.
Lisa Martinez has volunteered to take on the responsibilities of operating the pool, but will not be on the board.
Architecture: Vacant
Lisa’s report was given by Anne Mesick.
Lisa Martinez has resigned from the board.
At the present time there are three ongoing architectural issues to be monitored.
Recreation Hospitality: Anne Mesick
No issue.
New Business:
Thank you to Eric Leonheart for the hours of service given to the community and for serving as Vice President for the past several months.
We would also like to thank Rod and Lisa Martinez for the hours of dedicated service provided to the community since volunteering to serve on the board for many years. We are thankful that Lisa is continuing, as a non-board member to oversee the swimming pool.
Volunteers are the lifeblood of our community. A special thank you to those volunteers dedicated to keeping the pool safely running during the season: they include: Makoto Sugiuchi, Nancy Kreuger, Kay Gomez, Robin Man, Ruth and Neal Tripp and Anna Himichuk.
A friendly reminder to all: when hosting guests at the pool, you must accompany and stay with them while they use the facility.
Anne delivered a welcome packet to the new residents of the neighborhood, Blake Greene and Vrinda Zaveri. Blake and Vrinda live where Don and Claire Dayton used to live. Don and Clair lived in the neighborhood since 1976, we wish them all the best in their new home.
We ask for your patience when making requests of the board at this time because we are short of members. Ken Schiewetz will be back from vacation at the end of the month and will address the vacant positions at that time. If you, or if you know of someone you think would be good on the board ( please ask them first) submit your name or theirs) to Ken Schiewetz. We are always in need of volunteers to fill vacant board and committee positions.
There being no other business, Ken called the meeting to a close at 7:10 PM.
Respectfully Submitted,
Anne Mesick
Secretary
Here is the finance report from the month of May:
As of June 1, the community had $40407.36 in its Operating Fund (Checking) and $36202.57 in its Reserve Fund (Savings). One homeowner has not paid 2022 dues, one has not paid 2021 dues (fines and interest charges are in effect for both), and two homeowners are paying in installments. One homeowner has paid 2023 dues. All other homeowners are paid in full through this year. The community has received payment for its two insurance claims: legal fees pertaining to the lawsuit ($9022.42 paid and future legal fees assumed by the insurance company) and the water damage at the pool ($3278.69). This is shown as a credit (ie income, not expense) to “insurance” in the budget report.
Operating Budget: The community is running about $11500 under budget. About $600 is from various cost underruns to date (legal fees are exceeding budget, and other items are under budget, for a net of the $600 underrun). An additional $4000 of this is because the community has not yet made its budgeted transfer to the Reserve ($4000 each quarter), as it is keeping those funds available until the lawsuit is settled (to reduce the risk of a special assessment). The remaining $6900 is the difference between the insurance premium ($9000) and the sum of the budgeted amount ($3600) plus the insurance claims settlement ($12300). The community has transferred the water damage insurance claim amount of $3278.69 to Reserve (after June 1, so not reflected in this month’s report), as those repairs are a Reserve item, and these insurance claim funds will mitigate the impact of repairs on the Reserve fund balance. The community is retaining the legal fees insurance claim reimbursement in Operating funds to further reduce the risk of a special assessment until the lawsuit is settled.
The community grounds landscaping company has informed us that they are increasing their monthly fee from $150 to $250. Our new insurance premium has increased from $3600 a year to $9000, reflecting the increased risk our community represents due to the two claims made this past year. Water usage is over budget, due to the leak in January (this was substantially mitigated through negotiation with Lakehaven, but not entirely).
Reserve: This winter’s water damage at the pool has resulted in a large outlay from the Reserve. The Reserve Study anticipated $1043 to replace gravel in the parking lot for 2022, and $9638 to refurbish the pool house in 2023. Both of these items have been addressed in repairing this winter’s water damage at the pool. With the addition of the $3278.69 insurance claim, that makes a total of $12916.69 allocated for repairs at the pool due to the water damage. To date, the community has spent over $17500, with the total expected to exceed $21000. The $8000 over the Reserve Study estimate will be covered by the Reserve funds. This work will not only repair the water damage, but will provide all new plumbing and wiring in the pool house, as well as completing the periodic upgrade, as planned for in the Reserve Study. Looking ahead, the only large expenses anticipated in the Reserve Study over the next five years are replacement of the perimeter fence, refurbishment of the entrance monuments, and replacement/repair of the pool house siding, allowing ample opportunity to replenish the Reserve. Still, these expenses do increase the financial risk to the community.