Sunland Division 17 Owners Association
October 10, 2018 2:30 PM
Location: The Gathering Place
Call to order
The meeting was called to order at 2:30 p.m. by Board President Gary Fortmann.
Verification of quorum
All Board members were in attendance: President Gary Fortmann, Secretary Lawrence Charters, Treasurer Jim Jones, Vice President John Lewis, Member-at-Large Mike Johnson.
Approval of minutes
The minutes from the September Sunland Division 17 Owners Association Annual Meeting were approved and will be posted on the website.
Old business
Budget shortfall and special assessment for 2018
At the September annual meeting, a vote was conducted on a special assessment for 2018 to cover a shortfall due to higher than anticipated insurance premiums. There were 73 votes to approve the assessment, 6 opposed, and 4 ballots not marked. Because of changes to Washington State law, it was not clear if this met the standards for approval, as there appeared to be a conflict between Division 17 CC&Rs (Covenants, Conditions and Restrictions) and the newly revised law. The Board said it would review the law and report on the matter at the October meeting.
After reviewing the matter and examining the law, the Treasurer offered this motion:
Based on the fact that the vote conducted at the Sunland Division 17 Owners’ Association annual meeting held on September 12, 2018 concerning approving a special assessment of $140 per unit for 2018 resulted in 73 votes in favor and 6 against; and that RCW 64.90 which is an update of 64.38 became effective July 1, 2018; and that 64.90.80 states that for preexisting common interest communities, to protect the public interest 64.90.095 and 64.90.525 supersede existing provisions of our governing documents while any other inconsistencies with our governing documents that complied with 64.38 do not apply; and that 64.90.525 establishes that a special assessment is approved unless a majority of the votes cast reject the special assessment; I therefore move that the Board of Directors approve the special assessment of $140 per unit for 2018 subject to confirmation by our attorney that our interpretation of RCW 64.90 is correct.
The motion was seconded and discussed. An amendment by John Lewis to postpone the motion pending a legal interpretation failed for want of a second. The motion passed with four members in favor and one opposed.
The Treasurer offered a second motion:
Furthermore, if our attorney confirms that our interpretation of RCW 64.90 is correct which enables the Board to approve the special assessment, I move that once we have the attorney’s confirmation that we proceed with sending the invoices to the unit owners of record on that date with a due date for final payment no later than December 15, 2018.
The motion passed unanimously.
New business
Sunland North communications
The Secretary outlined a number of suggestions for improving communication in Division 17, including standardizing “corporate” email addresses, making some structural changes to the Sunland North website (https://sunlandnorthownersassociation.com/), and more closely coordinating the newsletter, the website, and Board communications. The Board endorsed the idea, and the Secretary will work with the website coordinator, Barbara Brooner, and newsletter editor, Kay Hatler, to explore ideas and report back to the Board.
Sunland North survey
The Secretary worked with the website coordinator on a Sunland North survey to help guide Board priorities and goals. The Board agreed to a demonstration of the survey at the November Board meeting.
Officer, Committee and Coordinator reports
President:
As covered at the September annual meeting, the Court issued an opinion finding the Division 17 CC&Rs to be valid, and that the Division 17 Board acted expeditiously and in accord with the CC&Rs. The judge also dismissed Gary Fortmann and John Lewis from litigation. The Association is waiting for the parties to sign off on building permits. The Association attorney has sent a letter to the complainants with deadlines for signing required documents.
Secretary:
The Secretary stated he was learning his role and hadn’t much else to offer.
Treasurer:
Monthly Expense Report: The preliminary September 2018 Expense report shows our total expenses for the month were $15,290 which brings our YTD total expenses to $255,462. Operating Expenses are $18,332 higher than Budget due primarily to our 2018/2019 insurance, landscaping, and legal expenses all being higher than planned which is partially offset by lower than planned minor maintenance expenses. At the end of September our Operating Funds totaled $32,541, and our Reserve Funds totaled $289,966.
Fire Trust Fund: As shown in the Fire Trust Fund Summary report, we deposited a check from CAU for $15,734.47 which is reimbursement for expenses incurred outside the CAU restoration cost estimate. We also made our first progress payment to Belfor in the amount of $34,679.22, and we earned $158.31 in bank interest during September. At the end of the month the Fire Trust Fund balance was $510,346.
Vice President:
Kathy and Eric Manhard were acknowledged and congratulated for their work in placing a mini-library and reading bench in Mt. Baker, next to the mail boxes. They were also thanked for the beautification and restoration of the Sunland North sign and surrounding garden at the front entrance.
Member-at large:
On October 13 at 10 a.m., interested residents are meeting at Mike Johnson’s garage to create teams to assess the condition of roofs in Sunland North, looking for moss and debris that could cause damage. No ladder climbing is involved.: Oct. 13, 10am, meeting in his garage to get together to create teams to assess condition of moss on roofs. No ladder climbing involved.
Insurance Committee:
Donna Carson cautioned that it has been a bad year for the insurance industry, and we should not expect insurance premiums to go down.
Architectural Control Committee:
Gerry Hatler said that five exterior change requests came in during September. The ACC has also approved requests to replace mailboxes with locking mailboxes.
Developed Landscape:
Eric Mahnerd said most of the trimming has been completed for fall. Sprinkler systems have been turned off. They are working on coming up with a standardized way of submitting requests electronically. He thanked Valarie Hall for many years of service handling landscaping.
Open space:
No report.
Newsletter:
The third quarter newsletter was published and distributed. Newsletters are also posted on the website, https://sunlandnorthownersassociation.com/newsletters/
Welcome committee:
Artie O’Kelley announced that Leah Prince will start as new chair of the committee beginning next month.
Website coordinator:
Filling in for Barbara Brooner, the Secretary reported that the website has been updated with a security certificate (protecting both the site and visitors from ill-mannered folk), and a search function has been added.
Sunland water district:
Ken Niblett said the electric bicycle used by Sunland Water District turned out to be less than a perfect fit for intended use by the meter reader. Factors were inclement weather, battery issues, inability to transport repair tools, etc. Alternative options will be evaluated. There have been eight (8) meter readings to date. Data is still being compiled and evaluated. At this time there are no plans to convert to billing by consumption in calendar year 2019. If a homeowner suspects a water consumption problem, they can contact the SWD office for a meter reading comparison. Ken reminded all residents to disconnect all hoses from external spigots before a freeze to preclude any broken pipes.
The SWD Board of Commissioners approved the 2019 budget. There were no rate increases in 2017 or 2018. The rate for 2019 will increase by 7.5 percent. That equates to $1,251.00 annual or $312.75 quarterly. Division 17 is still looking for a volunteer to take Ken’s place, as October will be his last month. The SWD Board & Manager meet once monthly at 9:00 A.M. on the second Tuesday of each month.
Homeowner comments
The holiday party is scheduled for December 6, to be held at the casino. Details and a flyer will follow.
David Walp, former District 17 Secretary and newly elected to the Sunland Owners Association (SLOA) Board, is looking for input on things that SLOA should address.
Several homeowners expressed concern about an email message sent out by the SLOA office that exposed the private email addresses of hundreds of residents.
Meeting adjourned 4 p.m. The next meeting is Wednesday, November 7, 2:30 p.m., at The Gathering Place, 135 Fairway Drive.