Meeting Minutes from August 15, 2017

Country Ridge HOA Meeting

Minutes from August 15^th, 2017 at 7:00pm

Board Members Present: Paul Bachtel, Rob Wozniak, Pat Zellers, Dale Zea, Sharon Landis

Attendees:  John Torosino (Treasurer), Holly Wozniak (Secretary), Mark Landis, Craig Daugherty, Bill Rosengrant and Tom Sadler

1)      Paul asked for the motion to call the meeting to order @7:01pm.  Rob made motion. Seconded by Pat.                        

2)      Roll Call-All Present

3)      Holly read last meeting minutes. Paul approved minutes. Update LED Lights in July meeting minutes.

4)      Treasurer Report:

Expense- $1628.53

Income- $25,749.34 (Marketing: $35.00)

Savings- $62,243.97

Petty Cash- $20.62

 

HOA Delinquent Fees-

108-Forclosed, bank will pay 6mths                                 155- 4 months (Letter sent)

163- 2 months                                                                   164- 15 ½ months (Filed Bankruptcy)

169- 2 months                                                                   179- 10 months

205- 33 months (lien filed)                                               211- 10 months (deceased)

 

205-John wrote Pat a check to have the filed papers served.

155- John sent letter.

164-Filed Bankruptcy. Work through the attorney to go through the process to submit.

211-Homeowner is deceased. He was the original home owner and the house is paid off. HOA board is researching the next step.

 

5)      Old and Open Issues

A.     Paul contacted Gray’s Concrete to set up a time to get some of the concrete work done. Gray’s Concrete is booked till October. In October, the HOA Board is looking to start the concrete work. Paul will email for a date.

 

B.      Second Walk-Throughs will take place. Holly made a list of 2016 and 2017 infractions to compare which homeowners have the same infractions for 2 years. Paul gave the date Sunday, August 20^th.

 

C.      The HOA attorney emailed back with answers to increasing the fees. At the annual meeting, the HOA board will be talking about the increase of fees. Prior to the meeting, John, Rob and Bill will make a budget for the HOA by making itemized list for expenses.  

 

-          Actual response from attorney:

First, the bylaws state that 1/10^th of the votes of each class of membership shall constitute a quorum unless a quorum is defined elsewhere in the Declaration or Bylaws Quorum is defined elsewhere: Section 4.05 of the Declaration defines quorum differently than the bylaws. 4.05 speaks to quorums specific to votes held under the Annual and New Owner Assessment Sections 4.03 and 4.04, which is what is applicable here. As such, a quorum for a vote to increase assessments above 5% must be 51% of those eligible to vote.

 

The exact language in the Second Amendment to the Declaration Section 4.03 states, “the maximum annual assessment may be increased above 5% by a vote of 2/3 of each class of members who are voting in person or by proxy, at a meeting duly  called for this purpose.” This is not the clearest of statements, however, the underlined part means a quorum, i.e. the vote must achieve 2/3s of 51% of membership to be successful.

 

Further, if the HOA advertises a meeting for increasing assessments above 5% and less than a quorum of 51% of the members appears, a new meeting may be called subject to all notice requirements. If at the new meeting, 25.5% of the voting membership appears and are voting, there is a quorum.

 

In the Declaration, it states that there are 2 classes (A and B). A members are all unit owners besides the original Declarant. Each unit owner is a member, but there can only be one vote per unit. Fortunately, Class B members no longer exist because they converted to Class A on April 9, 2006 according to the Declaration, so we only have to worry about one Class.

 

The way these provisions work together is somewhat confusing, so please feel free to call me for further clarification on this if you need it.

 

As a side note, a majority of Directors is a quorum for Director-only votes. I’m not familiar with how many Directors you have, but essentially this means more than half. So, for example, if its 10 Directors, you need 6 Directors to have a quorum.

 

Regarding your second question, $600.00 was the maximum for that period of time after the sale of the first unit until January 1 of the following year. The 5% increases can go above $600. Keep in mind that increases in assessments must be tied to the permissible uses for assessment funds as I outlined in my previous email.

 

 

D.     Paul stated for the record on the meeting minutes, that this is not about getting rid of Craig. It’s about placing Craig on a budget to help the HOA budget take care of other areas within the community. Paul and Bill got a couple of quotes from other lawn care services.  Craig came to the HOA board meeting to explain his services in the community.

Craig are                   $1, 125 a cut/bag/side edge/surface cleaned/spraying/other services

Jared Enfields-          $450 per cut/no bag/side edge/surface cleaned      

Zelgers-                       $625 per cut/no bag/side edge/surface cleaned

                                       (Both do not offer spraying and other services)

Paul asked Craig for his recommendations and to give quotes for his services to draft a contract with Craig.

In the annual meeting we will discuss with home owners about the lawn care. Craig will attend the Annual meeting.

6) New Business-

A.     Architectural Committee-

139-Remove 2 front bushes and 1 back bush

B.      Emails received-

Email from HOA Attorney answering questions.

Gray’s Concrete emailed.

125-Called Paul with questions about lawn care and various questions.

6)      Topics, Questions and Concerns

No new Topics, Questions and Concerns

 

7)      Set Meeting- Next meeting September 12^th at 7:00pm. Location: House 141  

 

8)      Motion to adjourned-Paul motioned meeting to end at 8:37pm. Motion made by Sharon. Seconded by Pat.

 

Minutes respectfully submitted by Holly Wozniak