NEWBERRY STATION HOMEOWNERS ASSOCIATION

BOARD OF DIRECTORS MEETING

November 24, 2009

I. Call to Order

A. The meeting was called to order at 6:10

B. Roster

Board Attendees                     Brandon Farlander

                        Michael Miller

                                                John Saulsbery

                                                David Simcic

                                                Todd Austin

Management                                                                          Brandi Langeneck, Community Manager

II. Approval Of Minutes

Mr. Farlander moved to accept the minutes of the October 2009 meeting. Mr. Miller seconded the motion. Passed unanimously.

III. Community Forum

One resident reported that she was nearly abducted on Cinder Bed Road not far from our community (a man tried to break into her car). 

More than a dozen residents attended the meeting to express concern about pending increases in the monthly fee (having seen the fee, every year for the past several years, rise at the maximum 10% that (per the Covenants) the Board may approve on its own authority.  

IV. Snow Removal Contract

Mr. Farlander moved to renew the contract with LCB, Inc. Mr. Simcic seconded the motion. Passed unanimously.

V. Stop Signs

Mr. Farlander announced that he would measure the stop signs to determine whether or not they are match the size of the signs on public streets.  If the signs match, then the Board will pursue the option of merely elevating the height of the signs to match the height of signs on public streets.

VI. Towing Contract

Ms. Langeneck is soliciting offers from several towing contractors (A-1 and Nowell) to replace Dominion Towing.  One of the residents in attendance complained that Dominion trucks have not been seen in months, despite cars often parked in fire lanes.

VII.   Clubhouse Renovation

Ms. Langeneck reported that work is underway to repair water damage from the breakdown in the plumbing under the sink in the clubhouse.  She said that insurance will pay for the repairs but not to redo the plumbing.  However, at the request of the Board, she will ask the plumbers to determine whether the plumbing meets current Code and whether or not the plumbing is exempt from complying with Code by virtue of a grandfather clause in the Code.  If the plumbing does not conform to Code, the question is whether the insurance ought to cover a complete overhaul of the plumbing (to avoid future problems akin to the problems that resulted in the water damage).

VIII.   2010 Budget

Ms. Langeneck presented two alternative budgets; one predicated on a Special Assessment to completely pay for reconstruction of the roads; the second predicated on a 10% increase in monthly assessments to partially pay for said reconstruction.

The Board dismissed the first alternative.  Mr. Miller moved to approve the budget with the 10% increase, with the proviso that the Board would revisit the Budget if the Association succeeds in obtaining a loan to pay for the road reconstruction. Mr. Simcic seconded the motion.

Discussion. 

Ms. Langeneck reported that only one bank is still considering our request for a loan – the other banks have rejected our request.  Mr. Miller stressed that Cardinal Management should continue to contact banks – especially smaller banks, and that he would prefer to accompany Cardinal Management’s representatives when they meet with representatives of the banks to make our case.

Mr. Austin and Mr. Saulsbery, along with several of the residents in attendance, asked that the Board do more to cut costs versus raising the monthly assessments.  The Board accepted one cost cutting measure — Cardinal Management will henceforth email Board members with the packet for each meeting rather than continuing to print and distribute the packets by hand. Mr. Farlander noted that the major expenses of the Association, other than Reserve funding, are for contracts and that the HOA does compete those contracts. He invited members of the community to help us identify other potential offerors for future solicitations.

Mr. Saulsbery said that, as an alternative to relying on contractors, that the community should consider doing more through volunteerism, such as having volunteers plant flowers and trees rather than paying our landscaping contractor extra to do that.

Mr. Simcic noted that the lion’s share of the increase would be dedicated to reserve funding  — amounting to $47 of the proposed $129 monthly assessment in the 2010 budget (with the 10% increase).  Mr. Miller stressed that, even if we cut the budget elsewhere, any savings would need to go to the Reserve Fund anyways, given the daunting challenge of financing the $470,000 for road construction and $50,000 for retaining walls entirely out of monthly assessments – if we cannot obtain loans.

Mr. Saulsbery expressed strong concern that the Board might fail to reduce the monthly assessments once the roads and walls are rebuilt. 

Vote. 

Mr. Farlander, Mr. Miller, and Mr. Simcic voted for the motion.  Mr. Austin voted against the motion.  Mr. Saulsbery abstained.

IX.  Next Meeting — January 6, 2010.