COTTONWOOD PALO VERDE AT SUN LAKES BOARD OF DIRECTORS MEETING MINUTES May 26, 2010 Directors present: Gloria Combs, Rich Featherstone, Paul Graebke, Nancy Pannebecker, Mel Rasmussen and Kathy Skrei Also present: Steve Nolan, General Manager Not present: Richard Hawkes President Nancy Pannebecker called the meeting to order at 3:00p.m. in the Phoenix Room. At this time Ms. Pannebecker recommended the April 28, 2010 minutes be amended to add to page 5, under Capital Reserve Replacement Fund Requests, paragraph 3, page 5, sentence 2, This is not a total replacement of the cart paths, but rather a portion of them. This is to repair and widen the paths so that they are the recommended 7 feet wide at Palo Verde and 8 feet wide at Cottonwood. Gloria Combs made a motion, seconded by Rich Featherstone, to approve the April 28, 2010 minutes as amended. Motion carried unanimously. PRESIDENT S MESSAGE: Nancy Pannebecker stated that the Board meeting is being recorded for accuracy in reporting the minutes. There were two Executive Sessions in May. One was the quarterly review of the budget and the other was employee performance reviews. There was an error in the dues letter sent to PV residents. It read $707.00 to PV residents but should have been $632.00. The correction will be announced in The Flyer and a revised statement was sent. There was discussion on the amount of homeowners affected and sending out a revised statement. The Bylaws Vote Information session was attended by approximately ten homeowners. Ms. Pannebecker thanked those who attended and thanked Jerry House and the Election Committee for their efforts. Vote counting will be at Palo Verde. TREASURER'S REPORT Rich Featherstone gave the April 28, 2010 un-audited financial report which is available in the Resource Center. Another report showing the Special Assessment expenses will be put in The Flyer shortly. Mel Rasmussen made a motion, seconded by Paul Graebke, to approve the April 28, 2010 financial summary as presented. Motion carried unanimously. 1
COMMITTEE REPORTS: Architectural Compliance Committee: Sheldon Biales reported that this committee processed 70 permits (one denied) during the month of May with 44 for follow-up and a total of 56, ongoing follow-up. This committee has two recommendations: 1) for the Board to approve changes to Board Policy 6-08 (Storage of Landscaping and Construction Materials in the Streets) which is on today s agenda and they would like to add to the agenda in First Readings, ACC Guideline #25 Rubbish and Debris Containers. They would like to add Pods to this guideline. Audit & Finance Committee: Milt Smith reported on behalf of Fred Haubold that this committee has been working with Mike Garver to review year to date financials, replacing the current accounting firm, utility savings. This committee has no recommendations for the Board at this time. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Communications Committee: Julie Mooney reported that this committee met on May 5, 2010. Subscribers to email are 1,426. The CWPV Magazine has been mailed. The historical project is now named The Chronicles. Thank you to Melaine and Chuck for all the good reporting and photographs they have taken all year on the renovation and other projects. Next meeting is June 2, at 7:00 a.m. in the Ceramics Room. This committee has no recommendations for the Board at this time. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Election Committee: Jerry House reported that this committee met to discuss vote counting procedures. This committee has two items on the agenda for Board approval: the Voting Counting Procedures and amended version of Article 11-01 (Voting Policies and Guidelines). Vote counters are needed for the upcoming vote, Wednesday, June 15, 8:30 a.m. at Palo Verde. Those interested can call Liz Hall, Jerry House or the Administration Office. Thank you to Gary to offer PV for vote counting. Next meeting is Thursday, June 10. Complete Minutes of this committee s meetings are available for viewing in the Resource Center. Facilities & Grounds Committee: Terry Hamper reported this committee met on May 4, 2010. They discussed the drainage project, west of the driving range and held elections to replace two committee members. This committee has one recommendation for the Board to approve the appointment of Linda Severs and Robert Ricketts to the Facilities & Grounds 2
Committee. Next meeting is Tuesday, June 1 at 10:00 a.m. in the Phoenix Room. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Food & Beverage Committee: Dick Nelsen reported that this committee met on May 6, 2010. This committee discussed plans for liquor & wine storage room, design for the back bar, retractable cords which have been installed for the planters in the lounge, mini blinds for the exterior service window, which are now installed. They are awaiting final cost on fireplace changes. This committee had a tour of Cottonwood progress conducted by Paul Graebke. Luau attendance was down. Dress code was discussed. This committee has one recommendation for the Board to approve an architect be consulted and plans drafted for the extension of the storage room behind the Palo Verde clubhouse. Next meeting is June 3, at 9:00 a.m. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Golf Committee: Dick Johnson reported on behalf of Bob Keltz this committee met on May 6, 2010. They discussed misters and heaters at CW & PV. At this time it is not needed at PV. They are requesting the management purchase a mister system for CW. This committee has no recommendations for the Board at this time. Complete minutes of this committee s meetings are available for viewing in the Resource Center. At this time, Nancy Pannebecker mentioned that PV already has misters. Recreation Committee: Maureen Norris reported on behalf of Gary Bross that this committee met in May. They discussed the racquetball courts. This committee has no recommendations for the Board at this time. Next meeting is June 7 at 1:30 in the Phoenix Room. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Safety, Security & Access Committee: Al Cote reported that this committee met in May. They received a letter from a homeowner regarding the tunnel, which they turned over to the Board and Mr. Nolan. Next meeting will be June 1 at 8:30 in the Phoenix Room. This committee has no recommendations for the Board at this time. Complete minutes of this committee s meetings are available for viewing in the Resource Center. Clubhouse Renovation: Milt Smith reported that there were 31 workers on the CW site. The new storage area, canopy, is almost complete, patio floor is complete but they are not happy with it, most kitchen equipment is in place, bar is near completion, in the Grill finalizing electrical. In the old Café, the wallboard is up and some painting going on. It was asked that the Board and Management to keep visitors out of the construction. At this time, Nancy Pannebecker asked what the team is not happy with. Milt responded that it was the coating on the patio floor. Ms. Pannebecker stated that every week a notice is put in The Flyer for people to stay out of the construction area. Steve Nolan responded that he will send Patrol in the mornings and periodically to keep people out of the area. There was further discussion about this issue. Ms. Pannebecker suggested that in the near future there need to be an audit of all of the change orders to review if items have been approved by the Board. Mike Garver stated that he has started this process. There was further discussion about this issue. Task Force for Monuments & Entrances: Barbara reported they met on May 12, 2010. The sign on E.J. Robson should be completed in two weeks. They continue to work on projects they had in their portfolio and will present them to the Board in June for their review. It is nearing the time to look at the signage for the CW Lounge and Grill and where it should be placed as their options are limited. As it is part of the contract with Bill Thompson it should be taken care of now. Paul Graebke stated that there may be power in the CW breezeway for two signs. They will look on the plans and locate them. Mr. Graebke will review this with Bill Thompson. 3
MANAGEMENT REPORT: Steve Nolan reported: The New wall on Cottonwood hole #18 is being installed. The stone work began today. Blazing Glazing Glass, (the same company that installed the Palo Verde doors and windows) should start tomorrow on the San Tan Ballroom doors and windows. Parking lot walls at Cottonwood are stuccoed and painted. PV Pool was acid washed and repairs made (2Days). Michigan Gate guardhouse was stuccoed and painted. Back stairs next to Phoenix Room repainted. Sundance Room dance floor removed and will replace. Gym equipment has been moved to make room for the new Elliptical machine. There were many nice comments about this machine. Special thanks to the Sun Lakes Women s Association. Concrete was repaired at CW and Palo Verde tennis Courts. Palo Verde Spa was drained and tiles repaired. Thanks to Jim and his staff for all of their hard work. IT person, Brian Mastin is upgrading our email software. You will soon notice a big difference this Friday with new graphics. This program will allow management to provide additional information to the homeowners. We are currently working on a Tuesday email newsletter that should be up soon. Please read The Flyer and check out our website for the most current information. At this time it was asked about the status of the new windows at CW Grill area. Mike Garver responded that they are awaiting a third bid. In addition, Chandler Glass has been contacted as a fourth vendor. DIRECTORS COMMENTS: Mel Rasmussen: Thanked Jim Miller. He has proven to be very proactive and doing a great job. Thanked Steve for Jim as an addition to our staff. Gloria Combs: Talked about her very nice experience with our pro shop regarding spending her chits at the golf shop. She expressed how helpful the staff was. She encouraged everyone to check them out for their golfing needs. Richard Featherstone: Thanked Steve Nolan for correcting his report regarding the amount of the donation of $2,800.00 from The Sun Lakes Women s Association toward the elliptical machine. The $1,841.00 was the remainder paid out of our funds. Paul Graebke: None. Kathy Skrei: Thanked Jerry House and Election Committee for the vote presentation. It was just unfortunate that not many attended. Anyone who attended had their questions answered. CAPITAL RESERVE REPLACEMENT FUND REQUESTS: Rich Featherstone made a motion, seconded by Paul Graebke, to approve removal & replacement of 440 feet of damaged Driving Range fence. The damaged fence is on the south side of the driving range. Management recommended low bid of $7,788.00 from Empire Fence (includes tax, 2-yr warranty parts & labor). ($2,000.00 will be funded by Capital Improvement.) Motion carried unanimously. Kathy Skrei made a motion, seconded by Gloria Combs, to approve Lake #20 recirculaton pump connection. Management recommended sole source bid of $8,759.85 from Advanced Pump & Control due to compatibility. There was discussion as to if there were any recourse to the person who initially installed it and did not complete the job. Since it has been so many years there is probably no recourse. Motion carried unanimously. Mel Rasmussen made a motion, seconded by Gloria Combs, to approve changes (NTE $3,000.00) for the removal and replacement of the retaining wall at CW Hole #18. Board approved amount $35,905.00. Since then there were problems with the rebar, etc. Mike 4
Garver explained the problems that are being corrected. There was discussion regarding if there would be the same problems with the other bridge. It was discussed how it would not be problem. Motion carried unanimously. PV GATE RESERVE FUND: None. CAPITAL IMPROVEMENT FUND REQUESTS: $2,000.00 will be used for the aforementioned Driving Range fence. SPECIAL ASSESSMENT REQUESTS: Paul Graebke made a motion, seconded by Gloria Combs, to approve relocation of CW Bar and Grill TV s at a cost of $4,514.93. Due to necessary design changes to the race track bar, it is required that a majority of the TV s that have already been wired need to be relocated to provide for unobstructed viewing. The first quote sent to the Board for approval was $6,413.29 and was revised to $4,514.93. There was discussion regarding the cost. There was much discussion regarding what led to the necessary changes. Motion carried unanimously. Paul Graebke made a motion, seconded by Mel Rasmussen to approve CW #23 A Wet Station and an additional POS station in the Grill area, four wine cooler enclosures as well as storage in the bar area. NTE $27,767.00. There was much discussion regarding the PV system still not operational. The adjustments were made at their cost. Motion carried unanimously. Paul Graebke made a motion, seconded by Gloria Combs to approve CW #58 Modifications to the Grill area that included removal of one pilaster and one partition wall, demo the existing west wall covering from 9.5 feet to 16 feet above floor and install plywood and drywall. Fir out the south wall and drywall entire wall. Cost NTE $20,000.00. Motion carried unanimously. Gloria Combs made a motion, seconded by Rich Featherstone to approve CW #60 Locate existing fire line using in pipe camera and consulting with fire department to provide temporary fire protection until HOA completed the fire loop system. Cost NTE $4,133.69. Motion carried unanimously. Paul Graebke made a motion, seconded by Mel Rasmussen, to approve CW #80 All electrical revisions thru approx. 5/1/10. Cost NTE $100,000.00. There was much discussion regarding the electrical revisions and cost. Mike Garver stated that there were several items on the list that he is questioning whether or not they should be paid by the HOA. It was suggested that we table this item at present. Paul Graebke stated that they cannot pay until this is approved. Motion carried. Nancy Pannebecker went on record as opposed. OLD BUSINESS: None. NEW BUSINESS: Paul Graebke made a motion, seconded by Kathy Skrei, to approve the appointments of Linda Severs and Robert Ricketts to the Facilities & Grounds Committee. Motion carried unanimously. Rich Featherstone made a motion, seconded by Paul Graebke to approve Food & Beverage Committee s recommendation that an architect be consulted and plans drafted for the extension of the storage room behind the Palo Verde clubhouse. There was discussion about a question Richard Nelsen asked about what could be done with the items that need to be stored in the interim. Steve Nolan stated that management is working on enclosing the ramada at the tennis courts. Motion carried unanimously. Kathy Skrei made a motion, seconded by Gloria Combs, to approve the vote counting procedures for the Bylaws Vote. Motion carried unanimously. 5
Rich Featherstone made a motion, seconded by Gloria Combs, to approve the revised Board Policy 11-01 (Voting Policies and Guidelines). There was discussion. Motion carried unanimously. Rich Featherstone made a motion, seconded by Kathy Skrei to approve changes to Board Policy 6-08 (Storage of Landscaping and construction materials in the Street). There was discussion. It was requested that the policy be divided into 2 sections, A & B to clarify the difference between CW & PV. The ARS and resolution should be moved under B heading and bolded. Motion carried with the aforementioned amendments. FIRST READINGS: The following was added to the agenda and will be in First Readings, available at the Resource Center: A. Approve revisions to ACC Guideline # 25 Rubbish and Debris Containers. HOMEOWNER COMMENTS: Sheldon Biales Question regarding the repair of walkway at PV. The meeting adjourned at 4:42 p.m. Respectfully submitted, Richard Hawkes, Secretary 6