May 2018 Board Minutes – Sunland North

SUNLAND DIVISION 17 OWNERS ASSOCIATION

Board of Directors Monthly Meeting

Wednesday, May 8, 2018

Location: Sunland’s “The Gathering Place,” Ground Floor Meeting Room

Call to Order

The May meeting of the Sunland Division 17 Owners Association Board of Directors was called to order by President Gary Fortmann at 2:30 p.m. and confirmed a quorum with all members of the board present: Gary Fortmann (president) John Lewis (vice president), Jim Jones (treasurer), David Walp (secretary) and Mike Johnson (member-at- large). There were 24 homeowners plus 5 board members in attendance.

Review/Approval of Board meeting Minutes

The draft April 11, 2018 board meeting minutes were amended to correct the moss control plan in place with implementation starting 5/15/2018 subject to weather conditions. The amended minutes were unanimously accepted. Secretary was directed to post the final minutes.

A notice regarding the claim (lawsuit) read by Gary Fortmann is included here for the record and the secretary was directed to distribute to owners via email.

“A lawsuit has been filed against Sunland Div. 17 and Sunland Div. 17 Board Members Gary Fortmann and John Lewis. …Our insurance carrier has provided counsel to defend against these claims. Since this matter is now in litigation, it is subject to executive session and nothing further will be said so as not to jeopardize our legal and factual positions.”

Old Business

Insurance Renewal – Insurance Committee coordinator Lindsay Busch reported the 2018- 2019 annual premiums were mailed on May 8, 2018 for the coverage period May 1, 2018 through 30 April 2019. Community Association Underwriters renewed our master insurance policy at a 25% increase. The renewal premium is $64,826, which is $13,167 more than expiring We have received an electronic copy of the policy from CAU, but have not yet received the paper copy. We have the new certificate of insurance up on the website, and have received the 2 page coverage summary from CAU, it is not yet up on the website but should be shortly.

Raccoon damage

The CAU policy does not cover damage by insects or animals. Item #4 on the coverage summary form reads: No coverage is provided for wear and tear, deterioration, damage by insects or animals, settling or cracking of foundation, walls, basements or roofs. There is no coverage for damage caused by continuous or repeated leakage or seepage from appliances or plumbing. This includes, but is not limited to, leaking from around the shower, bathtub, toilet or sink. These events are properly classified as maintenance items.”

“Originally Conveyed Appliances”

The fire loss resulted in clarification of this phrase from the CAU coverage summary under Key information regarding the association’s insurance policy

“2. Improvements and betterments and upgrades made at the expense of the current or previous owner are covered. This would include, but is not limited to, upgraded carpeting, cabinets and originally conveyed appliances. “

CAU has interpreted this language to include the appliances that were provided by the builder to the original owners, including stoves and dishwashers. Not covered are refrigerators and washers and dryers, so be sure to include the replacement cost of these items in the personal property limits of your individual condominium owner’s insurance policy.

Secretary directed to inform owners via email or USPS for owners without email about the coverage update and the premium increase per household of $104 per year, or $26 per quarter.

Annual Owner Meeting planning – As previously discussed, September 12, 2018 is set as both the September monthly BOD meeting and the Annual Owner meeting. The meeting is set for 2:30 PM on September 12, 2018 in the Sunland Golf and Country Club Secretary to coordinate securing the deposit of $100 from the treasurer.

New Business

Discontinue SWD assessment payment– Treasurer Jim Jones discussed the cost of paying the Sunland Water District assessments for water and sewer services at 191 and 201 Cascadia The board previously decided to pay the cost for services during the reconstruction /restoration. The owners of those properties have delayed the start of restoration since the second quarter of the the billing year. Jim Jones made a motion that the board cease paying the water and sewer assessments effective the 3^rd quarter of the billing cycle (due 1 April 2018). Mike Johnson seconded the motion and the board unanimously approved the motion.
Certificate of deposit maturing in May – Jim Jones made a motion proposing that the maturing CD at First Federal should be rolled over into the new version of the CD at the same David Walp seconded the motion and the board unanimously approved the motion. .
2019 Budget development – Jim Jones recommended that working meetings for the budget not be scheduled until after the June board meeting. Jim has started the development of the draft budget.
Architectural Control Committee report on SLOA ACC – Cindy Rhodes reported that a meeting between Division 17 ACC and the SLOA ACC has Division 17 ACC presented our process and procedures including forms and current ongoing reviews. SLOA concurs with Division 17 process and approves the continued implementation. All Division 17 owners desiring to make changes to exterior or interior configurations are required to submit a request for change approval to the Division 17 ACC. After review by Divison 17, approved requests are forwarded to the SLOA ACC for concurrence. SLOA ACC will not process any Division 17 requests until review and approval/denial by Division 17 ACC. John Lewis requested the ACC Committee to document the agreement with SLOA into a Memorandum of Understanding with a copy sent to SLOA.
Discuss / review possibility of establishing Property Management versus current Exterior maintenance model – This item was proposed by a current owner to start a conversation among owners for the potential use of Property Management Services. After some discussions, the board accepted a proposal by John Lewis to set up some planning working groups to include the following subjects:
1. Encouraging member participation
2. Governance Document review to update as required
3. Reserves planning
4. Irrigation system
5. Assessments from SWD for home versus irrigation
6. Exterior maintenance model

OFFICER, COMMITTEE, AND COORDINATOR 2015-16 SUMMARIES

President – (Gary Fortmann) nothing additional to report.
Secretary- (David Walp) If anyone has any updated owner information forms please forward to me so I can add them to the master hardcopy file. Our community continues to grow with 128 units of the planned 139 units occupied. There are five homes for sale/under construction in the Mount Baker area which leaves only six more units to complete build-out of the final phase in our development.

Closed	90 Mount Bake Dr	2017	$	Apr/May 2018	2	2	1833	$429,900	McCabe
Closed	121 Mount Baker Dr	2017	$	Apr/May 2018	2	2	2000	$	Rozanski
Closed	260 Mount Baker Dr	2017	$	Apr/May 2018	2	2	1638	$	Stratton&Jones
For Sale	160 Cascadia Loop	2006	$		2	2	2040	$	Lockett
Pending	190 Cascadia Loop	2006	$		2	2	2084	$350,000	Gorby

Please support our community – consider volunteering to be a candidate for the committee coordinator/chair positions for the Exterior Maintenance Committee.. Per report from Fritz Field, there are no current candidates for the three open board positions at the Annual Owner Meeting in September 2018.

Treasurer – (Jim Jones) March Treasurer report
- Monthly Operating Expense Report: The April, 2018 Expense report shows our total Operating expenses for the month were $11,318 which includes $1,964 in fire related legal We also had a Reserve expense of $2,026 for the deposit for the concrete repair of a patio so our total expenses for the month were $13,344. Our total YTD expenses were $54,300 which is $59,963 below Budget due to timing of our insurance premium payment, the greenbelt mowing, legal fees, and less minor maintenance than planned during the first four months because of the weather. At the end of April our Operating Funds totaled $155,186, and our Reserve Funds totaled $288,370.
- Fire Trust Fund: As shown in the Fire Trust Fund Summary report, we earned $113.45 in bank interest during April. At the end of the month the Fire Trust Fund balance was $528,488.
- Reserve Study: I purchased the Do-It-Yourself Reserve Study software from Association Reserves at a cost of $349. I expect to get underway with this study in May.
- Financial Review: I have contacted Duane Wolfe, who has conducted our recent Financial Reviews, to inquire about performing our 2017 Financial Review. He has agreed and will be sending me the engagement letter for me to sign in the very near future. The firm of Burwell & Wolfe closed last year, and all of their staff are now with Garnero, Smith, Hurd, and Miller.
- Correspondence: I sent letters of introduction to three new owners since our April meeting.
Vice president – (John Lewis,) John Lewis combined his comments as vice president and temporary acting Exterior Maintenance & John recognized the efforts ofMmike Johnson and the volunteers that performed the semiannual exterior inspections of the Division 17 homes with a big Thank You. Painting program is ready to begin weather permitting in mid-June. The moss treatment program is also ready to start in mid-May. John has decided to discontinue his role as temporary acting Exterior Maintenance Coordinator effective immediately. John will continue to support the work of the committee as a committee member only.
Member at Large – (Mike Johnson) Mike wants the record to show that the board and he personally thank John for his efforts to create, update and formalize the processes for inspection, moss treatment, painting during his tenure as coordinator.

Peninsula Urban Forestry is running behind on delivery of the assessment due to the unanticipated size of the tree population in Sunland North. The assessment is expected to be delivered by 11 May 2018.

BERM – Jim Jones and numerous owners on Mt Baker Drive helped to prepare a list to send to Estes detailing the owner wants relative to landscaping. Mike Johnson made a motion to have the board authorize reimbursing 50% of cost for berm landscaping changes requested by the owners, up to a maximum of $1,000. Jim Jones seconded the motion. During discussion, the question of whether owners had considered maintenance cost in the requested landscape changes reuested (maintenance was considered) further discussion revealed that implementation of the landscape agreement letter previously issued from Estes could not be verified. The board voted 4 to1 to table the motion. Owner Randy Woodson volunteered to provide a copy of his home warranty from Estes builder to aid in determining who has liability and the extent of the liability.

Raccoon problem – Roger Briggs reported on the problem if a raccoon infestation at his unit 241 Mt. Baker Drive. Haven Trapping (under contract to SLOA) discovered that in unit 241 and 251 decorative columns were open between the ground and the attic providing access to the raccoons. The raccoons have been trapped and removed. Roger wanted to know if the work to fix the open access was covered by his home warranty. The Estes representative, Mike Lickman, present at the meeting promised to look into the issue and follow up with Mike Johnson

Insurance Committee – (Lindsay Busch) Lindsay told the board that she would like someone to replace her as the Insurance Committee coordinator.
Architecture Control Committee – (Susan Hamman) Susan reported that requests for installation of a screen door and a propane fireplace were approved.
Developed Landscape – (Valerie holland) Jann Hale reported that there are infestations of ‘Horse Tail” appearing. An estimate needs to be solicited from lanscaper to eradicate the infestations.
Exterior Maintenance & Inspection – (TBD) Report give along with vice presaident As of 30 April 2018 John Lewis will cease acting as the Exterior Maintenance Coordinator. John requested that references to him in that role be removed from records and from the website.
Greenbelt – (Tom Steffen) The first mowing of the greenspace was completed early May.
Newsletter – (Kay Hatler) Nothing reported.
Welcome Committee – (Atrie O’Kelly) nothing reported.
Website – (Barbara Brooner) Barbara reported that maintenance actions were completed. She indicated that she will verify that references for Exterior Maintenance Committee Chair have been revised to remove John.
Sunland Water District – (Ken Niblett) Ken reported that Water District’s third reading was completed to augment the database.