LAKE MOOVALYA KEYS, INC.
Board of Directors
Regular Meeting
APRIL 4, 2011

CALL TO ORDER
President Jack Sweeney called the regular meeting of the Lake Moovalya Keys Board of Directors to order at 6:02pm.

PRESENT
President:  Jack Sweeney
Vice President:  Chuck Baker
Secretary/Treasurer:  Laura Lancaster (By Phone)
Board Members:  Blane Coon, Ryan Shubin, Joe Price, Gary Svider, Christie May, Chris Chambers and William “Squeak” Kossnar
           
ABSENT
Board Members:  Rob Troxler

OTHERS PRESENT
Guests:  Carla Faulkner (David Plunkett Realty), Rich Ferber and Girlfriend Erin (Boat Rental Business Lot 220) and Mark Nicholls Lot 169 and Kit Furnell Lot 16
General Manager:  Cheryl Shockley
Legal Counsel:  John C. Churchill
           
INTRODUCTIONS

CALL TO THE PUBLIC
No one present when President Jack Sweeney asked.

MINUTES
Joe Price moved to approve the Minutes of the Regular Meeting of March 7, 2011.  Discussion:  Christie May asked what order the Minutes were recorded in Ms. Shockley said that Mr. Sweeney had forgot the “Call to Public” at the beginning of the meeting and called it later when after Mr. Ferguson had arrived, but that she keeps the same format the minutes are in when she types them up.  The motion was seconded and carried unanimously.

FINANCIAL REPORTS
Joe Price made a motion to approve the March 2011 Bookkeeper’s Report, Prepaid Bills and Bills for Approval for March 2011.  Discussion:  Mr. Chambers asked about Churchill’s fees regarding the Grybowski issue, Mr. Sweeney explained that the original amount owed by the Grybowski’s was only $350 in fines, the remainder amount owing are Churchill’s legal fees and by the time gets to court it is bound to be higher.  Mr. Kossnar asked about Churchill’s fee of $422.  Mr. Churchill said he did not have that information with him.  Ms. Shockley suggested that if the Board had a question with the Bookkeeper’s report that they ask Sue directly and bring it to the meeting or email her so she can get the answer before the meeting.  The motion was seconded and carried unanimously.

Joe Price made a motion to approve the March 2011 Balance Sheet.  The motion was seconded and carried unanimously.

Chuck Baker made a motion to approve the March 2011 Profit and Loss Statement.  The motion was seconded and carried unanimously.

BOOKKEEPER REPORT
3/30/11

Income tax returns were filed on March 15, with a combined tax liability of $400 paid on all interest earned.

Delinquent dues’ accounts and status are listed on the enclosed spreadsheet.    Lots 173 and 238 (Tweedy and Maxwell) still have not paid and should be turned over for collection, as their “Final” letters went out last month. 

17 late fees were assessed for delinquent 1st quarter dues.

I reviewed the annual meeting documents Cheryl ran by me, and I photocopied everything that went into the owner packets from my printer to save outsourcing costs.

Citations issued:  Lot 33 white line citation (rental).

GENERAL MANAGER’S REPORT
Mr. Baker made a motion to approve the March General Manager’s Report.  The motion was seconded and carried unanimously.

Mr. Baker asked what was happening with Lot 17, Tamme.  Mr. Sweeney responded that the Mr. Tamme has asked the Association to pay for the street where it collapsed due to improper installation of the sewer lateral by his contractor at the time the sewer was installed.  Mr. Sweeney said that Mr. Tamme asked for an amount that was two and half times the amount that his contractor quoted him to fix the street portion of the collapse but at this time the work still was not complete because Tamme had decided to take his contractors advise and remove the dirt from under his driveway and compact it correctly because it was not done correctly when the job was done originally and this is why the street and the driveway collapsed.  Mr. Tamme has threatened to sue the Association is we don’t pay for the street repair, but Mr. Sweeney explained that it was not the responsibility of the Association and the collapse occurred because the sewer lateral was not installed correctly in the first place.  Mr. Sweeney said that he told Mr. Tamme that if he did not repair our street the Association would sue him.

Mr. Price asked how does the Association get out of the responsibility of the sewer laterals that are not properly installed and when these contractors try and patch the streets and don’t do them right.  Mr. Sweeney said that the Association needed to put Buckskin Sanitation District on notice that the job their contractor did on the Haney lateral and street repair was not acceptable, the street was already sinking. 

Mr. Svider told the Board that Buckskin Sanitation District was aware that there was a problem with the street patches on Yaqui and that the contractor was going to redo the patch and repair it correctly.

Ms. Furnell asked if there was an official determination on what caused the street and driveway to collapse at lot 17.  Mr. Sweeney said that there was a soils engineer taking samples but nothing had been determined to his knowledge.  Ms. Furnell said that before the collapse there was water on the street were the collapse occurred.

Ms. Shockley said she was still having gate issues.  Mr. Sweeney said that he would call Technical Support and go over with them the problems that are occurring and try to get it resolved and if that did not work, he would take it out and have them send a new unit.

COMMITTEE REPORTS
None

OLD BUSINESS
Mr. Baker said he had spoken with Cathy of T&C Sealcoat and she was asking if the Association had decided on if they wanted any work done to the streets.  Mr. Sweeney said that it was voted on to wait till 2012 to seal coat the streets again.  Ms. Shockley said she was still waiting for T&C to fix the burnout patches on Apache Loop and that T&C was pushing for the Association to do both a crack fill and seal coat this year and suggested that it was more cost effective to do both and not just do a crack fill like the Board wanted done this year.  Ms. Shockley said she had received an email from Peter Becker 8779 Papago Loop and he was concerned with the cracks on his street and that they seemed to be getting larger.

Mr. Baker said he was just concerned that he did not want to lose the Associations streets, they are in good shape now and the reason why is because the Board has kept up the maintenance by having them seal coated every two years.

Mr. Baker asked that Sunland Asphalt be called and asked to come down and evaluate our streets again and ask for a quote to fill the cracks.  He also asked that Sunland give a recommendation on when to do the cracks, now or in the summer time.  Mr. Baker said he was concerned with Monsoon rains getting in the cracks and doing damage.

NEW BUSINESS
Mr. Chambers asked about the disclaimer that Mr. Churchill recommended be put at the bottom of the ballot.  Ms. Shockley stated that Mr. Churchill had made a suggestion to put a disclaimer on the ballot after the height issue, but after discussing it with Mr. Sweeney, it was decided to put the issue of the disclaimer on the ballot be voted on by the Board, by email.  Ms. Shockley said she changed the wording to reflect both issues, not just the height and she put the disclaimer on the bottom of the ballot, she explained the reasoning being that the Board was not unanimous on either propositions being on the ballot and that the whole Association should decide for themselves which way to vote.

Ms. May said she was confused on how things go out to the Board and how these types of issues are handled. 

She stated that she had the original email that Ms. Shockley had sent out asking for the Boards vote by email on the disclaimer being on the ballot and that there were some Board members missing from the email request. Ms. Shockley said at the time she sent out the email she did not have the correct emails for all the Board members because of a computer glitch in her Outlook Express and that she hand delivered the ballot with the disclaimer to Joe Price and Chris Chambers and that Mr. Sweeney had spoken with Blane Coon about the disclaimer and vote.  Ms. Shockley said that she got the emails she was missing and emailed them separately from the original email sent out, with a read receipt request.  Ms. Shockley informed Jack that the vote was deadlocked but that she had not heard from Chris Chambers, Rob Troxler, Blane Coon or Gary Svider or Joe Price.  Ms. May said she took offense from an email she received from Ms. Shockley that the disclaimer was not going to be on the ballot and then she received her ballot and the disclaimer was on it.  Ms. Shockley responded that at that time the vote was tied, so she thought it was not going to be on the ballot that’s why she had sent her the email saying it wasn’t but after further discuss with Mr. Sweeney, he advised her to hold out for the weekend to see if any of the other Board would respond.  Ms. Shockley stated that she then received a call from Chris Chambers and Blane Coon and she had personally spoken to Joe Price, but she still had no response from Mr. Troxler or Mr. Svider.

Mr. Coon said that not all the Board members read their emails at the same time and that when he finally heard from Jack he responded to Ms. Shockley as he was advised to do.  Mr. Sweeney told Ms. May that he did not see the exchange of these emails being any different in the future.  Ms. May said that if your sending something out for a vote the final outcome should be relayed to the whole Board.  Mr. Sweeney explained that it was his decision to go ahead with the final count of 5 in favor of the disclaimer being put on the ballot and 4 opposed and that he waited as long as he could for the other members to vote, but that Ms. Shockley had a deadline and by Sunday he had advised her to go with the disclaimer on the ballot and that he as President of the Board of Directors made the decision to send out the ballot as is and that he takes full responsibility with doing so and it you have a problem with it take it up with him.

Mr. Chambers asked Mr. Churchill for future reference it was legal to poll the Board on a matter like this.  Mr. Churchill responded “Yes”.

ANNUAL MEETING REVIEW
Mr. Sweeney said that he was going to give Rich Ferber two minutes to rebut the email from Mr. Ferguson because he was late getting to the meeting and missed the Call to the Public.  Mr. Price asked why we were doing this, the issue is was already on the ballot and it was up to the members of the Association to vote on.

Mr. Ferber said that after seeing the letter from Mr. Ferguson, he was not happy with a lot of it but that he emailed Ken and they talked about it and he admitted that there were some misunderstandings in it.  Mr. Ferber said that he just wished that the letter had not been distributed by a certain Board member.

Ms. Furnell said that if in fact that if there were some things in the email that were not true that she thought the fair thing to do was for Mr. Ferguson to issue a retraction and that she hoped that the outcome of the vote was not based on the email that was sent out.

Mr. Sweeney stated that Kit Furnell wanted to run for the Board and that she was a write in candidate.

Mr. Baker suggested that ballots not be taken at the beginning of the meeting that there are some issues that need to be discussed and that there is a write in candidate and those attending should know these things before they cast their votes.

Ms. May said that she was still bothered about the email from Mr. Ferguson and what concerned her was that the email from Mr. Ferguson was sent to other homeowners and to Squeak and that Squeak was distributing around the Association.  Mr. Sweeney said that the Board could not control what was sent out by homeowners and if she didn’t know now where Squeak stood on this issue, then she should know now.  Ms. May was also concerned from a legal stance, Mr. Sweeney replied that if Squeak had in fact received this email from Mr. Ferguson and he in turn sent it out to other homeowners it was a homeowner not as a Board member. 

Mr. Kossnar said that he did not write the email and it was not him opinion, it was someone else’s all he did was forward it as he was asked to do.  Mr. Sweeney said all Mr. Kossnar did was forward someone’s email; he did not do anything wrong as far as he was concerned.

Mr. Sweeney stated that the two minute time limit had gone over for discussing this matter any further and he adjourned the meeting.

ADJOURNMENT
The meeting adjourned at 6:54pm
Submitted by Recording Secretary, Cheryl Shockley
APPROVED BY THE BOARD OF DIRECTORS, MAY 2, 2011