July 2022 Board Minutes

Note: While Washington State health officials are permitting meetings, please note it is recommended that unvaccinated folks avoid such meetings, and everyone should wear a mask and socially distance when in such gatherings to protect others. Clallam County is once again in the High-Risk category for COVID-19 infections. https://www.clallam.net/coronavirus/

Monthly Board Meeting of Sunland Division 17 Owners Association

Wednesday, July 13, 2:30 p.m. – 4:30 p.m., The Gathering Place, 135 Fairway Drive

Call to Order

President Gerry Hatler called the meeting to order at 2:30 p.m.

Verification of Quorum

The President, Secretary, and Treasurer were present, and constituted a quorum.

Review and approval of minutes

Minutes of the June 16, 2022, meeting were approved as submitted.

Old Business

Approve Annual Meeting Documents

Susan Hamman, 2022 Board Recruitment Chair, submitted the following report:

There are three open positions on the Sunland North Board this year. Ellen Valway and Dianne Bresnahan contacted a number of unit owners to ask if they would consider running for the board. Two communiques were also sent out to all unit owners. Out of 139 units, one new owner volunteered to run, Warren Husman. The recruitment committee extends their thanks to Mr. Husman.

Betty Gwaltney (two years on the Board) and Lawrence Charters (four years on the Board) have agreed to run again for the open board positions. We extend our thanks to them for their continued dedication to our community. Mike Johnson will be leaving the board after six years of service; thank you, Mike!

Secretary Lawrence Charters submitted a number of documents, to be approved by the Board and included in the member packet mailed to all Division 17 members prior to the Annual Membership Meeting in September. The documents included:

2022 Candidate statements.

  • An explanation of the difference between a financial records review and a financial audit.
  • A narrative overview of the 2023 Annual Budget and Assessment.
  • A cover sheet explaining documents included in the packet and instructions on how to deal with them.
  • A draft agenda for the Annual Membership Meeting.
  • A proxy designation form.
  • A revised Owner Contact form.
  • The 2023 Budget summary draft.
  • The 2022 Mail-in ballot and quorum form.

The Board approved all documents except the President’s letter, which will be reviewed by the Board once it has been drafted.

Architectural Control Committee Chair

Michael Johnson is still serving as the acting ACC chair. Gerry discussed the job with a potential recruit for the position, and hopes to have a new chair soon.

External Maintenance Chair

Michael Johnson is still acting as the External Maintenance chair. Gerry will ask Mike if he is interested in formally assuming the position of chair.

Authorization to proceed with CD, at Washington Fed and Sound Bank

Treasurer Betty Gwaltney briefly reviewed her quest to invest the Association’s reserve funds in certificates of deposit that paid more than the current low savings account rates. The Board authorized Betty to move forward with the purchase of CDs at Sound Community Bank. Betty noted that the IRS has sent us an EIN (Employer Identification Number) confirmation letter.

Unauthorized construction after ACC review

Michael Johnson was absent, and could not provide an update on the situation. Gerry will ask him for an update.

New Business

Website status

Secretary Lawrence Charters sent Board members a lengthy message about continuing problems with the Association website. The vendor that rents the Association server space for the site also was the original developer of the site, and the design caused website corruption a number of times until Lawrence rebuilt the site and removed several pieces of insecure software. However, the developer caused a website outage again last week when they made an administrative change that locked visitors out of the site.

These continuing issues, plus a notice posted on the vendor’s site indicating they are reducing operations, prompted Lawrence to recommend the Association move to a new hosting provider. Lawrence offered two possible choices, and the Board voted for Lawrence to proceed with moving the site to Bluehost.com. This could take several weeks, and owners will be notified of any disruptions.

Cascadia Rising / Washington Shakeout / Emergency Preparedness preparation

Several community groups, ranging from churches to the fire department to service organizations, are working to expand neighborhood emergency resilience. As part of this effort, they have divided Sunland North into four “pods,” and are attempting to contact every home and provide them information on what to do in case of an earthquake or other regional disaster. As part of the effort, the group is posting signs notifying neighborhoods of the activity.

Sunland North’s rules and regulations prohibit such signs, but the Board, in an email vote, granted a waiver for the exercise. At the July meeting, the Board ratified its previous waiver action.

Proposed Budget for 2023

Betty provided an overview of the 2023 budget, explaining the various factors that went into the budget, including increases in costs of goods and services, labor, equipment, utilities, insurance, and almost everything else.

A discussion, prompted by a question from the floor, questioned the advisability of extending the painting cycle to 15 years. This measure was suggested as a way of flattening year-to-year costs. The Board will ask the relevant committees to reexamine the painting interval.

The Board approved the proposed budget for 2023, and will place the budget before the membership for approval.

Financial Review Report

Betty reported that we are still awaiting the results of the study.

Reserve Study Results

Betty reported on the results of the Reserve Study. Due to factors beyond the Association’s immediate control (global increases in costs of goods and services, global increased insurance claims, etc.), the Reserve Study placed Sunland North’s funding in the High-Risk category. The Executive Summary will be posted on the website. (Posted here.)

Volunteers to assemble voter packets

Lawrence stated that volunteers will meet in a member’s garage to take boxes of envelopes, labels, stamps, and photocopied member packets and assemble them for mailing by the first week of August. Contact secretary@sunlandnorth.org if you would like to volunteer.

Call for Board nominations from the floor

There were no additional nominations from the floor for the Board election.

Officer, Committee, and Coordinator Reports

President Update — Gerry Hatler

Gerry thanked the Board Recruitment Committee for their work.

Gerry stated that the replacement sign at the Woodcock entrance has been completed. The cost of the sign was $1065. Eric Mahnerd and other volunteers are working on cleaning up the area.

Secretary Update — Lawrence Charters

The July newsletter was sent out. There were several nice comments about the newsletter. Lawrence noted that, for long-time residents, some of the topics may not be “news,” but with an over 20% turnover in residents over the past two years, the information was “news” to many residents.

Treasurer Update — Betty Gwaltney

Monthly Expense Report: The Final June 2022 monthly expense report shows our total operating expenses for the month were $ 22,976 which brings our total year-to-date operating expenses to $200,883. This is $14,143 under budget year-to-date.

Total Funds on hand:
Operating Accounts $ 164,198
Reserve Accounts    $ 617,361
TOTAL          $ 781,560

June 2022 Financial Status Corrected
June 2022 Financial Status Corrected

At the March 9 Board meeting, the Board authorized investing in certificates of deposit (CDs) paying a higher rate of return than our existing savings account. A number of obstacles slowed this effort, including the insistence that Sunland North produced an EIN (Employer Identification Number) letter from the IRS. Betty stated that the Association has finally received the EIN letter.

CD’s available locally now at higher interest rate:

Sound Bank – 2.27% for 13 months
WAFD Bank – 13 month .85%
First Federal – 13 month 1.50%
First Federal – 30 month+ rate bump 2.0% new money
First Security – 21 month 1.75%
First Security – 30 month 2.15%
First Security – 48 month 2.45%

This topic was also covered under Old Business.

Betty noted that two new owner letters were sent in May.

The financial review is in process; all required information has been submitted

The Reserve Study has been completed; the Executive Summary will be posted on the website.

Vice President — Shirley Legg

Shirley submitted a written report:

Regarding the long-term landscape planning committee, Dave Walp has agreed to be a member of this committee. If anyone has possible suggestions for another person to join Dave, Tom, and me, please let me know.

The tree survey has been completed and we should have a report sometime next week.

Board Member at Large — Mike Johnson

No report.

Architectural Control Committee — Mike Johnson, acting

No report.

Insurance Committee — Susan Hamman

Nothing to report.

Developed Landscape — Tom Steffen

Tom provided a written and spoken report: After a cool and wet spring, it is nice to have warmer and drier conditions in Sunland North. Things are going well with our professional contractor and his crews, even though we are a couple of weeks behind wrapping up fertilizer and weed control applications and the beginning of summer pruning.

I’ve been spending approximately two and three days a week on various issues concerning irrigation; removing or transplanting bushes and trees; digging out stumps, and making house calls to listen to concerns unique to individual owners.

Thanks to Curt and Kathy Gross, Elaine Mae Starz-Brown, Paul West (and his two-man crew), a renter on Blakely, and Dave Walp, we have completed a partial restoration (only front of the building) of a Phase One property on Blakely.

The following is a brief list of items that the professionals have attended to:

Two trees were removed (another tree will be removed in two weeks).
Backflow Preventer Device replaced.
The escallonia hedges continue to show signs of life. After consulting several times with our contractor and a few owners, no decision has been reached about what to do next; finding enough time, personnel, and the most efficient equipment are the issues.

Exterior Maintenance and Inspection — Mike Johnson, acting

No report.

Natural Habitat — Sarah Miller

No report.

Communications and Outreach — Kathy Gross

Nothing much to report other than a couple of emails received from residents at the “information” account.

Kathy wrote that Tom Steffen should be thanked again for all of the work he does for the neighborhood.

Lawrence mentioned that there will be a Sunland North Happy Hour on July 21, at the cabana. While this is not an official Sunland North function, it is an opportunity to be neighborly.

Sunland Water District Update — Tom Hamman

Nothing to report. Tom has recommended this be removed as a regular reporting item and move to an “as needed” report.

Homeowner Comment Period

Question: did the water district ever come back with a report on possible problems between trees and water lines? This was mentioned after an issue last year in which tree roots compromised a water line.

Gerry said that he was not sure, but would check.

Adjournment

Gerry adjourned the meeting at 3:39 p.m.