Garden Homes
March 22, 2006
Members present: Liz Rutherford (chairman), Larry Rutherford, Rich Baker, Hilde McNeil
The meeting was called to order at 7 pm and adjourned just before 9 pm.
1. Hilde McNeil asked about planning process for future reserves as the wood restoration and repair project gets underway. Larry Rutherford explained that PAO will be evaluating each building and preparing a full report which should be very informative as we go forward. Hilde asked for increased communication between the Board, the Maintenance Committee and the Budget Committee so that a realistic Reserve Study can be produced. Hilde expressed concern that already we are being told that our units should be painted every four to fi ve years going forward, and we need to be budgeting for that and other big ticket items so that hopefully we don't have to resort to another special assessment in another few years.
2. A discussion ensued about ways the Association might be able to retrieve expenses attributable to homeowner neglect. Questions were raised about an long-abandoned unit on Cool Brook that needs extensive repairs.
3. Larry Rutherford suggested that periodic mandatory inspections, and inspections prior to the close of escrow might help alleviate future maintenance expenses for the Association. Increased educational efforts were also discussed, as well as the need for increased homeowners' participation in the reporting of needed repairs to our exteriors and common areas. Ways to educate homeowners were explored, including the resurrection of a "welcoming committee," which would provide new homeowners with an information packet and summary of their responsibilities as residents (dues, maintenance and repair issues, etc...)—as well as those of the association itself. New residents would be asked to sign for the packet, acknowledging its receipt. Hilde said she would ask the Communication Committee to consider taking on this responsibility.
4. Liz Rutherford asked for a volunteer to ask realtor Harrison Long (who is a member of the Master Association) to gather information from other associations that would be helpful to the Budget Committee as we look at future dues increases. It was decided the information we hope to gather would include current monthly dues and what they cover, number of units in the association, year built, materials (i.e wood vs. stucco)—and median selling price per unit. Hilde volunteered to contact Mr. Long. There was a discussion about how much we can and need to continue increasing dues in order to adequately fund reserves and provide improved ongoing maintenance for our aging community. The need for increased homeowner education and understanding of the budgeting process was stressed.
5. Liz asked Hilde to prepare a paragraph for the Communications Committee to post online reminding homeowners about the approved annual budget for fi scal year March 1, 2006 to February 28, 2007 that was recently mailed to them. It was also decided to urge homeowners with experience, knowledge and time to contact Liz to volunteer for the Budget Committee. The committee is in particular need of more active members who can assume some of the chairman's responsibilities.
6. Liz asked Hilde to update the plan for the investment of reserve funds. Larry explained that Roger Longenbach of Optimum had been on leave and that is why the investment plan had not gone forward.
7. Liz presented the most recent balance sheet for the fiscal year ending February 28, 2006, as well as a list of questions she posed to Optimum regarding the financial statements. Hilde asked when exactly earthquake insurance will be added to our master policy in 2007.
8. It was decided that the committee should continue to meet during the spring months, in part to keep abreast of the costs of the Scenario D restoration and painting project, and the expected revelations by PAO regarding future repair recommendations. In this way, it was felt we will be better informed as we prepare next year's budget and revise the Reserves Study.
The next meeting of the Budget Committee will be held Wednesday, April 19, 2007 at the at the Turtle Rock Community Center.
Committee members are urged to bring the following items to future meetings: the Approved Budget Fiscal Year March 1, 2006 to February 28, 2007, the Reserve Analysis Draft and the July 20, 2006 PAO Project D Reconstruction Costs spreadsheet that was presented last year at the Town Hall meetings.