| LAKE MOOVALYA
KEYS, INC.
Board of Directors
Regular Meeting
APRIL 14, 2008
CALL TO ORDER
President Chuck Baker called the regular meeting of the Lake Moovalya Keys Board of Directors to order at 6:05 p.m.
PRESENT
President: Chuck Baker
Vice President: Jack Sweeney
Board Members: Gary Svider, William (Squeak) Kossnar, Larry St. George, Laura Lancaster, Brandon Johnson, Al McPherson & Blane Coon
ABSENT
Secretary/Treasurer: Chris Chambers
Board Members: Joe Maxwell
OTHERS PRESENT
Guests: Gary & Becky Anslyn (lot 113), Rob Troxler (lot 160)
General Manager: Cheryl Shockley
Business Manager/Recording Secretary: Sue Thomson
Legal Counsel: John C. Churchill (6:10 p.m.)
INTRODUCTIONS
Mr. Baker welcomed the new Board members. Mr. Chambers is absent due to a race, and Mr. Maxwell’s continuing absence due to educational training will be discussed later. Mr. Baker said new board members Ms. Lancaster, Mr. Coon and Mr. McPherson are familiar with Board meetings, as they have attended many in the past, but if any of the new members have any questions that arise during the course of the meeting, please ask.
MINUTES
Mr. Kossnar said he was absent, not present, at the last Board meeting. Mr. Sweeney moved to approve the Minutes of the Regular Meeting of March 10, 2008, as corrected by Mr. Kossnar. Mr. Sweeney asked if the negative Accounts Receivable represents prepaid dues, and Ms. Thomson confirmed that is what it is. The motion was seconded and carried unanimously.
FINANCIAL REPORTS
Mr. Baker reviewed the Balance Sheet by stating, for the benefit of the new members, that the Association has six bank accounts. On the Profit & Loss Statement, he said monthly fluctuations in income are typical due to quarterly billings, but everything equalizes when viewed by the quarter. Mr. Sweeney moved to approve the March 2008 Balance Sheet and Profit & Loss. The motion was seconded and carried unanimously.
BOOKKEEPER REPORT
Ms. Thomson reviewed the ballot results with Mr. Churchill after the March 29 annual meeting, due to a close race on two of the ballot propositions. Mr. Churchill confirmed with Ms. Thomson the 2/3 ballot-counting regulation, which resulted in the failure of the 10-person-maximum-limit proposition for short-term rentals. Ms. Thomson said she would be drafting a new rules document, for review by Mr. Churchill, which will encompass all rules, old and new.
Ballot results and information on the evacuation drill on May 14 were posted on the website’s Special Notices section.
Corporate income tax returns were timely filed with a tax obligation of $2,123. Second quarter dues statements went out a few days late due to a postage meter failure, necessitating a delay and the use of postage stamps. Late fees were assessed to 10 delinquent lots owners.
Lot 10 was re-assessed a new lot clean up fine in the amount of $500.
Additional bills were presented for approval, which include $202.50 to Advanced Plumbing for jetting a drain line near the south ramp in November, and John Churchill’s March legal bill for $832.50. Mr. Kossnar moved to approve the March Prepaid Bills and Bills for Approval. The motion was seconded and carried unanimously.
GENERAL MANAGER’S REPORT
Ms. Shockley reported a quiet Easter holiday. The owners of lot 227 on Riverside Drive reported trespassing on their dock by folks who parked their boat on the owners’ dock, crossing back and forth on their property to make a beer run at Circle K. The owner told them to leave, but the trespasser refused and was belligerent to the owner. Ms. Shockley witnessed this. The owner tried to lock them out on the way back, but they found their way back to their boat. The owner took photos and noted the call numbers of the boat. She then called the Sheriff’s Office who later found the trespassers at Roadrunner, and an arrest was made for trespassing and disturbing the peace.
Buckskin Sanitary is getting ready to shut off the sewer at lot 169 due to non-payment. The homeowner has been notified, and Mike Dyer will do the blue stake. Mr. Sweeney requested that Ms. Shockley inform the rental agent when the sewer is shut off.
Mr. Baker got a call on March 29 after the annual meeting, about bad behavior by a husband of one of the owners of lot 139. They had three boats, two of which were docked at lots 140 and 141.
OLD BUSINESS
Mr. Baker reported that the Annual Meeting went well, but that attendance was down from previous years, with 119 out of 251 owners casting votes. The maximum-occupancy rule did not pass, so now we will have to deal with the single-family regulation found in the CC&R’s. Ms. Lancaster said that she and Kathy Northcutt and Robert Gory Realty are still promoting a maximum 10 people for their rentals. Mr. Baker hoped that the rental owners will comply anyway with a 10-person maximum. Hopefully the situation goes smoothly this season, but if it doesn’t, he will revive a campaign to pass the rule again next year. Mr. Sweeney commented that the rentals have been going better simply by that fact, and things are improving. He said he thought some probably voted against the proposition just for the sake of not passing another rule. Mr. Baker said word needs to get out to the renters.
Mr. Anslyn commented on Mr. Baker’s earlier report on his neighbors across from him acting up, and why did no one call the Sheriff’s Office; someone needs to take responsibility for owners acting up. It’s not fair to those rental owners who are trying to comply, and someone should have called the police on those owners. Mr. St. George stated that whoever makes the call to the police needs to be willing to be a witness/victim, and that’s what the police will tell you. If the neighbors who were trespassed against were not home at the time, it’s hard to report the trespass. Mr. Baker said that the owner of lot 140 did not give the owners of lot 139 permission to use his dock. Mr. Baker also said the owner of lot 140 wants to move out of the neighborhood and has made an offer on another house because of them. Ms. Shockley confirmed that no permission was given to the owners of lot 139 to use their neighbors’ docks. Mr. Baker asked Ms. Lancaster to talk to them, because they are ruining it for the others. Ms. Lancaster said the two wives are the owners of that property. Mr. Sweeney said that if we have a problem with just one renter, we need to deal with just that owner, and not generalize against all rental owners.
Ms. Shockley stated she is still shopping for a new digital camera/recorder.
Mr. Sweeney reported on the status of the lot 120 construction. He went to the site today, and the garage/driveway is getting ready to go in. The owners got their engineering on the existing slab for a two-story structure, and the plans are the same ones as previously submitted and approved. Mr. Sweeney said he would shoot the height this week and check the setback when the footprint is set out. Mr. Baker asked Mr. Churchill if we should try to stop them from further construction due to the owners’ non-compliance with providing us with the survey report, as he was told to do. Mr. Churchill said that if they were required to do so, we could file an injunction. Mr. Kossnar said that although the pins were there when the survey was done, one of them was moved. Mr. Sweeney, going back to the beginning, said that after the lot sale occurred, a pin was moved after the property was re-surveyed, but the engineer is still certifying that’s the property line. We didn’t get a copy of the survey. Mr. Baker asked Mr. Churchill how we enforce the owner’s requirement to submit the survey report. Ms. Thomson was asked to provide Mr. Churchill with documentation regarding her reminder to the owner about submitting the survey report, and Mr. Churchill will prepare a demand letter. She will also gather for Mr. Churchill the excerpt from the Minutes regarding the survey requirement. Ms. Shockley reported that one of the workers at the lot 120 construction project was taunting her on one of the bridges. Mr. Svider asked if a cease-and-desist letter should be sent, but Mr. Baker said it takes maybe a week to get it before a judge. Mr. Kossnar said the first survey marker by the tree was moved about 5’. Mr. Sweeney said the forms for the driveway/garage need to be set before he can measure for the setback.
Concerning the north property boundary by the HOA entrance, Mr. Sweeney said that rather than pay Lemme to do the work, we need to hire a surveyor from Lake Havasu City. He hasn’t heard anything further from the neighbor in a couple of months. Ms. Lancaster said the adjacent property owner told Bob Gory that he is willing to put up $80,000 to $100,000 towards a new entrance.
Ms. Shockley reported on her findings about holiday security service. She said Webb can’t do it. CSW is getting together a proposal. La Paz County Sheriff’s Office can do it for $32.50 an hour, with a uniformed officer and a patrol car parked at the gate. Ms. Shockley said she would work the gate Friday afternoon, Memorial Day weekend, to check people in, and the Sheriff can take over at night, with the hours of 7 p.m. to 3 a.m. being the peak hours of need. Mr. Baker said we can make that decision later, and he asked Ms. Shockley to find out if the Sheriff’s Office can man it 24 hours. Ms. Shockley was asked to get the proposal for the May holiday together.
Ms. Shockley reported that she went to the Health Department today regarding the condition of the structure on lot 10. They took her report, and an inspection and a hearing will be set.
Mr. Churchill reported that he has the lien information for delinquent lots 146 and 169, and his final demand letter, with a copy of the lien to be filed, will be sent to the owners. If the owners don’t pay, the liens will be filed.
Mr. Baker asked for input from the Board concerning Mr. Maxwell’s ability to stay on the Board, in light of the fact that he has missed at least five meetings, plus the annual meeting, during the past year. It’s at the discretion of the Board whether or not they want to keep a Board member on when he/she has missed three meetings during a one-year period. Mr. Sweeney said we could remove him after his next absence. He also said he would talk to Mr. Maxwell about this and find out when his school plans will end. Mr. Baker said he is concerned about quorum issues relative to Mr. Maxwell’s continued absence.
Mr. Svider asked Mr. Churchill about the proposition failure and the 2/3’s rule. Mr. Churchill said that 2/3’s of those voting either by absentee ballot or regular ballot, for each proposition is the method of calculation. Mr. Svider asked about the difference between the 2/3’s rule at an annual meeting versus a special meeting, and Mr. Churchill said it depends on the purpose of the meeting. He said in 2004 when the special meeting was called for the purpose of voting on rules, proxies were legal. Proxies are now illegal, and absentee ballots have been utilized in their place. He also said there are specific requirements for passage of ballot issues at an annual meeting.
Mr. Baker asked Ms. Lancaster about the lawsuit status brought by five of the rental owners on the mandatory $1,000 security deposit. She said her husband has one more plaintiff to talk to, and then he will come to the next meeting to make a presentation.
NEW BUSINESS
Mr. Sweeney presented plans for the construction of a separate garage at 8740 Navajo Lane (lot 253, which is a lot and a half). Mr. Sweeney said he can’t find anything that would preclude the owner from building a detached garage. There is plenty of room, and the plans do not violate any Association or County setback requirements, and he recommended plan approval. Mr. Sweeney moved to approve the construction plan for a separate garage at lot 253 as presented. Mr. Kossnar seconded the motion, and the motion carried.
Ms. Thomson announced that due to health concerns she will have to scale back her work load for the Association. She proposed that Ms. Shockley take over all non-financial tasks, with Ms. Thomson retaining only the bookkeeping tasks. She spoke with Ms. Shockley about it this morning, and Ms. Shockley said she would be willing to take on the extra responsibility. Ms. Thomson and Ms. Shockley both agreed to an appropriate compensation adjustment, and it was proposed to the Board. Mr. Baker said he met with Ms. Shockley today about it, and they went over the list of split duties Ms. Thomson prepared and distributed this morning. Ms. Shockley told Mr. Baker she could do the job. Mr. Baker recommended that the Board give it a try, as Ms. Shockley is qualified, she is currently in a position to take on more work, and she works well with Ms. Thomson who will guide her during the transition period. Mr. Baker said the two agreed to a 50/50 break up in Ms. Thomson’s monthly fee, so this proposal doesn’t cost the Association anything more. Mr. Svider said he thought the non-bookkeeping list encompassed more than what Ms. Shockley agree to, financially. Mr. Sweeney suggested reviewing this in two or three months, then re-evaluate pay.
Mr. Svider said he would like to see an agenda be used for monthly Board meetings.
ELECTION OF OFFICERS
Mr. Baker said he would not serve as President. Mr. Sweeney was nominated for President, which he declined. He said he would agree to Vice President, but not President. Mr. McPherson was nominated. Mr. Baker said he would help whoever is President. Mr. Kossnar was nominated for President, which he declined. Mr. McPherson said he was extremely reluctant to be President, as he is not here all the time and doesn’t know as many people, and he thus declined. Mr. St. George nominated Ms. Lancaster for President. Mr. Svider nominated himself for President.
After a show of hands, the following were elected:
President Gary Svider
Vice President Jack Sweeney
Secretary/Treasurer Chuck Baker
The next meeting date was set for May 5, 2008.
ADJOURNMENT
The meeting adjourned at 7:18 p.m.
Submitted by Recording Secretary, Sue Thomson
APPROVED BY BOARD OF DIRECTORS ON MAY 5, 2008 |
