At the annual meeting of the Lakes at Waterstone Home Owners Association, held in the cafeteria at Sunrise Elementary School on Wednesday evening, March 23, 2010, the President Jack Pennella, the First Vice President Mae Revis, the Second Vice President Scott Brooks (attending by phone), the Treasurer Greg Plagmann, and the Recording Secretary Kim Cheatham were all in attendance as well as the Property Manager Steve Schnitzer.
The meeting was called to order at 7 pm. Proof of meeting notice was provided by the property manager, Steve Schnitzer. President Jack Pennella made a motion to approve the meeting minutes from the 2-23-2010 meeting. Greg Plagmann seconded the motion. Jack Pennella, Greg Plagmann, First Vice President Mae Revis, and Recording Secretary Kim Cheatham voted to approve the minutes.
The Treasurer’s Report was provided by Greg Plagmann. The 2009 CPA Financial Report was provided to those in attendance. We were required by law to get a CPA audit based on the 2008 financials having annual expenditures over $400,000. Our budget was for $308,000, but expenditures during the time when the builder was in control of the HOA exceeded $400,000. The cost of the audit was about $5000. Next year the cost should be reduced to approximately $3500 since our expenditures will be lower. From the 2009 CPA Audit…
Our cash available for expenditures was $24,141. That includes $2,671 in reserves. That number would be $54,366 if we didn’t have so much bad debt. We have made allowances for the coming year (2010) for $17,742 in bad debt. There will be losses because the debt is over one year old and banks can only be required to pay for one year. We have implemented a procedure for pursuing bad debt. The result is that we have gone from 12 homeowners with bad debt at the attorney to 11. Some problems with short term debt due to people sending in checks $4 short of the amount of their assessments. Those problems will be rectified. Our expenditures were under budget by over $5000 last year. We expect to spend it in the coming year when replacing freeze damaged plants, though.
Financial Report for February 2010 Delinquincies are down from 12 to 11. Our expenditures for the year (January to February) are under budget this year by $2351. We have $44,801 in reserve and operating cash. We are adding to the reserve $769.84 per month. The reserve is now up to $4,206.79. 3 budget items were over what we expected. We are spending $5 more a month than we expected for cable. President Jack Pennella reminded people that we have line items in our budget for 2010 for things that we do not have yet, like the pool and the amenity center. Also we are already funding the reserves.
President Jack Pennella provided a Turnover Agreement update stating that it is still important to the HOA board members even though the construction of the amenity center is not dependent upon it. We’ve had great communication with Land Management who has been updating us usually within two days. We went to the city to verify information from Land Management and it was verified.
There are problems with the irrigation system due to a subcontractor breaking the irrigation lines. The problem is being worked.
Open Forum Bob Bloch thanked the board and the property manager for the way that business has been conducted.
Joe DePinto inquired about the ‘shooting in the back’ and the jet engine watering the orange grove at all hours of the day and night.
Steve Schnitzer will investigate the proper police authority that should be contacted by home owners when shooting occurs in the groves.
Richie Naclerio expressed concern about the amount of trash he’s been having to pick up. Other homeowners added that they think the trash is being left by the landscaping crews.
Dan Maxey inquired about the status of the camera system at the front gate. The explanation is that it is part of the turnover agreement and it needs to get ‘done’. We have the proposal and we are working on it. Others inquired about the type of gate to be installed. Different parties explained that our investigation of an iron gate indicated liability issues and added maintenance costs that we are not interested in. Comments were made about uselessness of a video feed if there is nobody to watch it. Scott Adair explained that with the security system, the feed could be viewed by homeowners from their homes. Dan added that people can view the feed from anywhere they can get an internet connection.
Joanne Masuret inquired about the changing of the sprinkler heads. The explanation is that they are working on it. There were problems with the system, defects in installation; it is being worked.
Olga Gonzalez inquired about security measures at locations other than the front gate. The explanation is that we will have water on our East, South, and West boundaries with plants on the North boundaries. Near the amenity center, we will have a chain link fence in addition to plants to beautify it. These are items that fall under the subject of the turnover agreement.
Carlos Fernandez thanked the board for keeping the absentee homeowners informed.
Scott Adair made an announcement that the community now has a message board just for community members. He explained that it has a recipe exchange and a book exchange, it is secure and encrypted. He offered to send anyone links to the message board who wishes to participate. (Thanks Scott!)
Annual Election Steve Schnitzer asked for nominations from the floor for the two open board positions. After a brief explanation that candidates are not running for a specific position, but just for a seat on the board, no nominations were made from the floor. Because only two community members submitted an Intent to Serve for the board election, and because there were two open seats, the two candidates were appointed to the board.
Sue Sheppard introduced herself and gave an impressive biographical synopsis of her relevant experience and accomplishments. Mae Revis thanked everyone for allowing her to serve the community over the past year as the First Vice President of the HOA board. All applauded her contributions. Mae stated that she may decide to serve again in the future. Again, the room erupted in applause.
At 8pm, the meeting was adjourned.
