Bayside Homeowners Association (BHOA) Annual General Membership Meeting Saturday, August 12, 2017 9:30 a.m. 11:30 a.m. Lakeside Community Center, Long Neck, DE 19966 MINUTES ATTENDEES: BHOA Board of Directors Michael Eisenhauer Joseph Woody Cain, Jr. Kathleen Bonner Michael Bonner Thomas Krehnbrink Louise Cain President Vice President/Membership Chair Secretary Treasurer Director Director Guest Chief Steven Harris, Pot Nets Department of Public Safety Bayside Community Members (Listed on Sign-in Sheets) 1. CALL TO ORDER/WELCOME/PLEDGE OF ALLEGIANCE/MOMENT OF SILENCE (President) 2. OPENING REMARKS by Michael Eisenhauer, BHOA President BHOA Operations Mr. Eisenhauer tried to alleviate confusion by explaining how the BHOA operates, specifically informing members of the audience that dues must be paid by Bayside leaseholders in order for them to be eligible to participate in today s meeting. Paying annual dues affords Bayside leaseholders eligibility to become members of the BHOA Board of Directors, serve on committees, vote in elections, and attend and participate in all regular and annual meetings. Mr. Eisenhauer emphasized that all Bayside leaseholders are included should a Right of First Offer process begin, meaning that, if the Tunnell Companies were to put Pot Nets Bayside up for sale, Bayside leaseholders would have the right to make an offer on the community first. BHOA dues are not required for eligibility under the Right of First Offer. 1
Mr. Eisenhauer explained that only affected Bayside leaseholders can take part in the Rent Justification process, meaning that only Bayside leaseholders whose leases are up in 2018, may be eligible for a possible rent reduction under the law. All affected leaseholders will be contacted by the Tunnell Companies in October. Additionally, even if there is only one leaseholder who elects to have the BHOA represent him/her in the Rent Justification process, the entirety of the affected leaseholders would be represented. BHOA dues are not required for eligibility under Rent Justification. NOTE: Any leaseholder is entitled to have someone other than the BHOA represent him/her in the Rent Justification process; however, he/she would be responsible for paying the RTA (Relocation Authority) $250.00 and his/her hearing and findings would be separate from the BHOA s hearing and findings. 3. INTRODUCTION OF GUESTS (President) Master Corporal Rickey Hargis, Delaware State Police, Sussex County, Troop 7, Community Outreach Officer, was unable to attend today s meeting because of a scheduling conflict; however, Corporal Hargis has offered to engage with the BHOA through the Bayside Breeze newsletter, and at future meetings, when/if warranted. Greg Sutton, Executive Director, RTA, was unable to attend today s meeting citing the following: (1) limited staff, (2) RTA makes presentations in each of the counties annually, and (3) RTA does not get involved with HOAs because the RTA has no authority regarding HOA operations or internal activities. The BHOA will follow up on dates, times, and places of annual RTA meetings. They will be posted on the BHOA website and emailed to Bayside leaseholders, who have provided their emails to the BHOA. Chief Steven Harris, Pot Nets Department of Public Safety, attended today s meeting and gave an extensive presentation on the department and public safety issues in the Bayside Community. His complete presentation will be posted on the BHOA website and emailed to Bayside leaseholders, who have provided their emails to the BHOA. 4. INTRODUCTION OF BHOA BOARD OF DIRECTORS/WEBMASTER Michael Eisenhauer, BHOA President Members of the Board of Directors were introduced: Joe Woody Cain, Vice President & Membership Chair Kathleen Bonner, Secretary Michael Bonner, Treasurer Tom Krehnbrink, Director Louise Cain, Director The membership was advised that John Matyjewicz, a former Bayside leaseholder, has volunteered to work, free of charge, with the BHOA to get its website (www.bayside-hoa.com) and email account (info@bayside-hoa.com) operational again. Mr. Matyjewicz has agreed to maintain the website and email account, as directed by the BHOA. 2
5. SECRETARY S REPORT/PRESENTATION Kathleen Bonner, BHOA Secretary July 31, 2017 Meeting Minutes: MOTION MOTION: Accept July 31, 2017 Meeting Minutes, as distributed. Bayside Breeze Newsletter The following information was reported to the BHOA membership in attendance: Summer Issue was distributed via email on July 18, 2017 and via mass mailing on July 24, 2017. Fall Issue will be distributed in October 2017 and will be available on the BHOA Website and emailed to BHOA members, who have provided their emails. Mass Mailings are cost prohibitive at this time. BHOA is looking for businesses to advertise in the newsletter to help defray the costs of the newsletter. Members were asked to pass the word! It was suggested that Bayside leaseholders be able to advertise their homes for sale for a fee. One attendee asked the cost and was told $25, which would be the same as the regular business advertisement fee. Discussion Re: Leaseholder Status One attendee asked how the BHOA was ensuring leaseholder status and the BHOA Secretary tried to explain that the BHOA had a form letter that could be used to authorize Robert Tunnell, III, or his representative, Lincoln Davis, to provide leaseholder status to the Bayside Homeowners Association (BHOA). Any Bayside leaseholder, who is not listed, as such, on the Sussex County Tax Rolls, can complete and sign the form and submit it to Mr. Tunnell or Mr. Davis. The authorization form will be posted on the BHOA website. Also, it can be requested by contacting the BHOA Secretary. NOTE: The BHOA cautions all BHOA leaseholders to work directly and only with the BHOA regarding any matters related to their Bayside leaseholder status. 3
Homeowners Association Member Services The BHOA recently subscribed to the Homeowners Association Member Services organization, which will help with keeping the BHOA informed about relevant HOArelated topics in Delaware. It also provides guides and operational forms for use. Long Neck Strong Meeting Re: Crime, May 16, 2017 Answers to questions went public in a June 2017 issue of the Sussex County Post. The BHOA had typed copies of the questions and answers for review at today s meeting. This document will be posted on the BHOA website and emailed to members, who have provided their email addresses to the BHOA. 6. TREASURER S REPORT Michael Bonner, BHOA Treasurer Treasurer s Report of August 12, 2018: MOTION Balance July 31, 2017 $4,901.68 Expenditures* -$170.97 Deposits (Membership Dues/Donations) +$200.00 Balance August 12, 2017 $4,930.71 *One member accidentally overpaid dues and was reimbursed $100. Other expenditures included a book of stamps and purchases made from Staples for today s meeting. MOTION: Accept Treasurer s Report, as presented. 7. PRESIDENT S REPORT Michael Eisenhauer, BHOA President No Report Submitted 8. VICE PRESIDENT S REPORT Joseph Woody Cain, Jr., BHOA Vice President No Report Submitted 9. MEMBERSHIP CHAIR S REPORT Joseph Woody Cain, Jr., BHOA Membership Chair To date, there are 52+ dues paying members for 2017. 4
OLD BUSINESS 1. BHOA 2017 Meeting Dates Confirmation (Secretary) The following BHOA Regular Board Meeting dates were confirmed: Tuesday, September 13, 2017, 6:30 p.m., Lakeside Community Center Tuesday, December 13, 2017, 6:30 p.m., Lakeside Community Center 2. BHOA Board of Directors/Committees (President) The membership was advised that the BHOA is in need of volunteers for the following positions and committees: Positions: Committees Directors Bylaws Committee Chair Audit Committee Chair Nominations Chair Elections Chair DE Manufactured HOA Liaison Bylaws Audit Nominations Elections A Volunteer Form was available at today s meeting. It will be posted on the BHOA website and distributed via email. v NOTE: There will be an Account Audit once an Audit Committee is formed and chaired. There will be a Bylaws Review once a Bylaws Committee is formed and chaired. Elections will be held in accordance with the BHOA Bylaws once a Nominations Committee and an Elections Committee have been formed and chaired. 5
NEW BUSINESS 1. AGENDA TOPICS Board Negotiated Programs for Leaseholders to Rent their Homes and/or Boat Slips This topic was presented to the membership by the BHOA President; however, no motion was made to raise the topic with Tunnell Companies. Increase BHOA Dues to $20/year in 2018 This topic was presented to the membership by the BHOA President. A motion was made, but it was not seconded; therefore, no action can be taken at this time. v NOTE: The topic of increasing BHOA dues cannot be raised again until the 2018 General Membership Meeting, or until the membership calls for a Question. 2018 Rent Increases w/additional Charges for Capital Improvements In October 2017, affected Bayside leaseholders* will be receiving their Tunnell rent increase letters, which will include, but may not be limited to, rent increases and additional charges for capital improvements. Tunnell will also be providing the BHOA with a list of the affected Bayside leaseholders in order for the BHOA to begin its review with respect to the Rent Justification process. The BHOA will be filing an application for arbitration immediately following the distribution of Tunnell s rent increase letters. The BHOA only has 30 days to file for arbitration, and, on behalf of affected Bayside leaseholders, it cannot afford to allow the 30 days to lapse because negotiations with Tunnell were not productive or timely. If any affected Bayside leaseholder wants to challenge his/her rent increase, or any additional charges for 2018, he/she must contact the BHOA. * Affected Bayside leaseholders refers to those leaseholders whose leases expire in 2018. 2. TOPICS RAISED BY BHOA MEMBERS PRIOR TO TODAY S MEETING Adults Only Swim Times in Bayside Adults Only Whirl Pool Spa Extra Security Parking Congestion/Speeding Issues These topics were presented to the membership by the BHOA President; however, no motions were made to address them with Tunnell Companies. 6
3. QUESTIONS RAISED BY BHOA MEMBERS AT TODAY S MEETING What are dues used for? Is there going to be a new Bayside Community Center built? Why don t we have a say regarding capital improvements? Can Delaware State Police monitor Paradise Grill traffic coming in and out of Bayside on Friday and Saturday nights? Why can t residents get Pot Nets cards anymore? What about storm water drainage and lot flooding issues? Why can t we get a 15% discount at Paradise Grill, like we do at Baywood? These topics were discussed during today s meeting; however, no motions were made to address them with Tunnell Companies. 4. SUPERIOR COURT CASE REGARDING PARADISE GRILL MOTION: The BHOA will follow through with the current Superior Court case regarding Paradise Grill and Tunnell s lease violation with the understanding of pro se representation, meaning that the BHOA does not require an attorney or any financial investment. 5. MOTION TO ADJOURN 7