Sunland North/Sunland Division 17 Owners Association
Board Meeting Minutes
January 10, 2024, The Gathering Place
Call to Order
President Gerry Hatler called the meeting to order at 2:30 PM.
Verification of Quorum
In attendance were board members Gerry Hatler, Mark Anderson, and Betty Gwaltney; board members Lawrence Charters and Warren Husman were absent.
Approval of Agenda
The proposed agenda had been provided to Board members in advance of the meeting. Gerry added under New Business the discussion of the estimate received for the scheduled application of beauty bark this winter. Betty moved to approve the revised agenda, the motion was seconded and approved.
Review and Approval of December Board Meeting Minutes
Draft minutes from the previous meeting had been distributed to board members in advance. Betty moved to approve the minutes, the motion was seconded and approved.
Old Business
Bid for brush removal
Board members continued discussion of an earlier unsolicited bid to remove brush between Division 17 Open Space and Sequim-Dungeness, with input from Natural Habitat Coordinator Sarah Miller and audience members. Pros and cons were noted. The Board decided to not take any action.
Back Flow Valves Update
Warren Husman, the board lead for this issue, was not present and had not sent an update.
Governing Document review
The Board has been working with a legal firm to review and update the Division 17 governing documents, and Gerry reported that a few additional edits still need to be incorporated. The draft revised documents will be posted on the Sunland North website for Owner review. Owners will be asked to vote on the revised document(s) at this year’s annual meeting. Adoption requires approval by 60% of all owners, and Gerry noted that extra outreach will be needed to ensure sufficient participation.
Correct Date for 2024 Annual Meeting is September 11, 2024:
Gerry clarified that this year’s annual meeting will be held September 11, 2024, not September 18, as stated at the December Board meeting.
New Business
New Owner Welcome Packet
Welcome Committee chair Kay Hatler reported that she had been working, with the help of Betty Gwaltney, to revise the Sunland North new owner welcome packet, with an emphasis on (a) streamlining the amount of material, (b) focusing on what new owners need to know right away, and (c) emphasizing the Website as a source for additional information. Two forms will be included, one to collect the Owner’s contact information and the other the Volunteer form. The revised materials have been provided to Board members for their review.
Ratify disbursement for roof repairs on Blakely
Outside the meeting the Board had approved two invoices for emergency roof repair of a unit on Blakely totaling $15,435, which per the bylaws exceeds the amount allowable without a Board vote. Mark moved to ratify the disbursement, the motion was seconded and approved.
Beauty Bark estimate
Traditional Board planning is to have beauty bark re-applied throughout the HOA every three years, and the annual budget earmarks a portion of each year’s Reserve contributions for this purpose. Gerry reported that the estimate provided by our landscape maintenance contractor was $43,655 plus tax. Gerry explained this service is outside our regular contract and is provided on a “time and materials” basis, which means it could be lower or higher depending on what ends up being actually required; that higher costs were not unexpected, given increased labor and material costs in the economy; and that the contractor proposed doing a portion of the work and revising the estimate, based on experience up to that point. Tom Steffen later provided additional input (see Landscape Coordinator report).
Officer Reports
President – Gerry Hatler
Gerry reported he had installed a new, solar-powered light on the Sunland North entrance sign.
Vice President – Mark Anderson
Nothing to report.
Secretary – Lawrence Charters
Absent, no report received.
Treasurer – Betty Gwaltney
- Monthly Expense Report:
- Operating expenses for Dec 2023 $27,927and total year to date operating expenses $338,888 This is $26,862 UNDER year to date for Operational expenses.
- Interest income YTD: $18,200
- Total Funds on hand:
Operating Accounts $45,433
Reserve Accounts $ 884,385
TOTAL $ 929,818
- Reserve Contribution: $110,000
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- Purchased $75,000 9 month CD at Kitsap CU matures 09/19/24 earns 4.4%
- Moved $35,000 from 1st Fed Checking to WaFed Checking (Reserve acct) for purchase of new CD in Feb when 18-19 month CD matures (current value $77,859)
- This brings our Reserves up to 30% funded
- Income Tax for 2023 –
- Total Taxable income $17,242
- Total Tax Due $ 5,143
- Prepaid Tax $ 6,000
- Tax Credit for 2024 $ 857
- New Owners – 2 in December
Betty summarized the year-end budget numbers, finishing the 2023 year with total HOA operating expenditures of $338,888 and a contribution of $186,000 to Reserves. The HOA earned an unprecedented $18,200 in interest income through active management of the accounts holding our Reserves. Betty explained a year-end adjustment to correct savings in the Reserves to fund the beauty bark application this year, with the total HOA Reserves currently standing at $884,385. She said this brings us up to 30% of recommended Reserves being fully funded, an improvement from the previously estimated 26%. Gerry noted our comparatively strong Reserves balance, stating there is at least one other Sunland division that reportedly has no Reserves.
Member-at-Large – Warren Husman
Absent, no report received.
Committee Reports
Architectural Control – Eric Mahnerd
Not present, no report received.
Insurance – Susan Hamman
Susan sent a message to the Board that she would not be able to attend, and sent this report:
Around mid to the end of January is the time when the CAU insurance renewal process starts for Division 17. I will let the Board know as soon as I’ve received that information from CAU.
Developed Landscape – Tom Steffen
Regarding bark application, Tom noted the current estimate is higher than when done three years ago; and that application of bigger bark “nuggets” might last longer, but they are more expensive and harder to apply, so not necessarily a cost-savings. Beauty bark application is expected to start as soon as this month (January), during what is otherwise a less-busy workload for the crew. Tom said the SWD (Sunland Water District) has identified 4 designated irrigation lines that had to be turned off because of leaks, even while they are not operating; the repair of these and any subsequent leaks will be a currently unknown expense. He is in continuing discussions with our contractor about managing what turns out to be 92 flowering plum/cherry trees lining our streets that are becoming problematic. Tom said it turns out topping is not an option, because it promotes even more growth. He said that what is needed is trimming the interiors, and the time required could range from 10 minutes to 2 hours per tree, depending on the complexity.
Exterior Maintenance – Mike Johnson
Mike reported he did a walk-around through the neighborhood and added 25-30 new items to the BaseCamp (maintenance database) “to-do” list. He has identified preventive work for the fascia on gabled roofs and continuing issues with unit “chimney chases” (fake chimneys).
Natural Habitat – Sarah Miller
Sarah reported that, especially following the recent storm, she will likely need a work party of volunteers to pick up fallen branches. There’s a proposal to relocate some of the small Douglas Fir trees growing in one of the Div 17 detention ponds to fill one or more gaps in the trees along Woodcock, in the Mt. Baker area, and volunteers would be needed to transplant those trees at an appropriate time (i.e., not in freezing weather), and to water them for a few years. She is also concerned that the 58 evergreen trees along Woodcock need to be trimmed of dead branches, etc., near the bases, which she estimates would require a couple of people with small chainsaws, several additional volunteers, and the transport of twenty or so truckloads of trimmed branches, at an estimated $30 per load.
Welcome Committee – Kay Hatler
Kay had already reported on work to revise the New Owner packet; it was also reported that we have three new owners (2 from December and 1 moving in, in January), and that new owner visits by the Welcome Committee will start up again soon.
Communications and Outreach – Kathy Gross
Both Kathy and Lawrence were not present, and no report was received; but Gerry noted that the online quarterly newsletter posted earlier in January had 135 “page views,” which seems to indicate that owners are indeed reading the newsletter.
Other
Betty advised the board and committee members wanting to submit invoices for payment to factor in that she would be less consistently available over the next 4-5 weeks.
Adjournment
The meeting was adjourned at 3:30 PM.
Meeting notes by Barbara Brooner, with the thanks of the Board.