Draft Hidden Harbor Owners’ Assoc., Inc.
Minutes of the 2006 Annual Meeting
held Saturday, September 9, 2006, in the onsite clubhouse.
1. Call to order:
The meeting was called to order by President, Ed Ciecirski at 2:00 P.M. Additional Board members in attendance were as follows: Directors Frank Carotenuto and Sam Bovalino. Director Richard Marquis was in attendance via speaker phone. Richard Kleinhans was out of town and unable to attend. Dolores Lawler was ill and also not able to attend. Karen Auth, from Reconcilable Differences, Inc., was also in attendance.
Certification of Proxies and Establishment of a Quorum of Members for Annual Meeting:
Mary Ann Bovalino, who assisted in the signing in of all attendees, noted there were 13 units represented in person and 38 units represented by proxy establishing 51 in attendance, exceeding the majority requirement of 43 units necessary to establish a quorum for the meeting.
Reading and Approval of Minutes, Annual Meeting 2005, held September 10, 2005:
Ed Ciecirski read aloud the minutes from last year’s annual meeting. Frank Carotenuto motioned to approve the minutes. Sam Bovalino seconded the motion. All were in favor.
Ed Ciecirski summarized the Association’s good fortunes for the year which included surviving the 2005 hurricane season relatively unscathed, the hope this year will be the same and the successful re-roof of all buildings and re-coatings of all flat roofs thanks to the efforts of Woodington and Winebarger to identify and follow-through on behalf of the Association with a full warranty replacement from Owens Corning. Owens Corning provides a 25 year manufacturer warranty on their shingle and Woodington & Winebarger provide a 5 year warranty against leaks. In addition, the tennis courts were resurfaced and the palms were just trimmed. He also noted the new Board is expected to vote at their first Board of Directors meeting on the resurfacing of the asphalt area north of building 1. He remarked that some of the challenges ahead will include the rising cost for insurance, increases in cable service charges and the need to find a full time replacement for onsite maintenance. A meeting to begin to discussions with Brighthouse on their upgrade proposal will be held Monday, September 11th, in the clubhouse, at 10:30AM. Owners are welcome to attend. Ed recognized the mail box project and the ceilings for the stairway landings as two major projects the Board is hoping a full time maintenance person can assist with. In addition, the Board will look into getting started with painting at least one of buildings next year if the budget allows. Ed closed by saying he found serving on the Board both rewarding yet challenging at times. He wished the new Board of Directors success in the year ahead and offered his support.
Open Forum - Comments & Discussion:
Ed Ciecirski opened the floor for comments or discussion from attendees. There were several topics brought forward and they are summarized below.
An owner asked how much effort would be required to install the mail boxes. Frank Carotenuto informed the owner that the Association would be hiring a new maintenance person who will start on Monday, September 18th, if the Board approves. His name is Mike McLaughlin. Mike was specifically asked about his ability to perform this work and he responded positively to the task. Hopefully, the Association can start Mike on this project after his orientation.
There was a lengthy discussion about why the Association no longer cleaned out the condensate lines. Karen Auth informed the owners that the Board thought it was the owner’s responsibility to maintain their own in unit condensate lines. She further remarked that at the August meeting, the Board addressed the maintenance ownership issue again, due to a recent problem found with one of the condensate lines in Building 1, and approved seeking an Attorney opinion on the matter. The Board is waiting for a response from the Attorney. Owners were notified earlier in the year, in the minutes, of the need to properly maintain the A/C condensate line that runs from their A/C unit to the A/C condensate line in the wall.
An owner asked how the new Board planned on handling the keys to the units. It was noted that since a break- in of the clubhouse, prior Boards were asked to hold the keys. The new Board did not yet have an opinion on the matter. Frank Carotenuto took possession of the keys and would hold them until a decision by the new Board was made. Karen Auth mentioned the keys should be stored in a double locked environment. Several people objected to maintenance having access to the keys unless the individual was background checked. Karen Auth acknowledged having done the background check and the employee will be bonded. Sam Bovalino remarked Florida Statute does grant the Association the right to hold keys to all units in order to perform required maintenance and in the event of an emergency. It was noted for the new Board that Brighthouse Cable requires access to the storage rooms to perform repairs when needed and pest control also requires access to perform interior service when the owner is not home. It was suggested that owners who call Brighthouse for service contact the Management Company ahead of time so that arrangements can be made to open the storage room door on the scheduled date of service.
Eva Massenak informed the Board of her resignation from the Landscaping Committee. The Board will need to find a new Chairperson for this committee.
As the Treasurer was unable to attend the meeting, Karen Auth was asked to provide the financial report. As the bank statements were not due until the 10th of the month, Karen gave the same report as was noted in the minutes of the August 22, 2006 meeting, noting that a slight overage in the budget could be attributed to the non purchase of the new mailboxes because there was no help available to install them and the palm tree trimming expense that had not cleared the bank. She also noted that she and the Treasurer had begun estimating the year end actuals and they appear to track close to what was budgeted. As mentioned in the August minutes, insurance premiums are anticipated to, at a minimum double, over last year’s premiums, and Brighthouse Cable is proposing a monthly increase to $28.95, plus tax per unit per month to upgrade cable service to all of the buildings. The Association’s current contract with Brighthouse comes up for renewal in February of next year. On a positive note, the 2005-2006 Board approved an increase in replacement cost value for the buildings for insurance purposes this year. It is believed this value will come close to the appraised value when received and should lessen the burden somewhat. The appraiser is scheduled to be onsite around October 3, 2006 to collect data for the appraisal.
Presentation of the 2006-07 Board Members:
Ed introduced Frank Carotenuto, Richard Marquis and Sam Bovalino as the new 2006-07 Board of Directors. It was noted that Kenneth Lewis also volunteered to serve but he did not submit his intentions form until after the closing date. The new Board intends to appoint Mr. Lewis to the Board at their first Board of Directors meeting.
Ed Ciecirski mentioned several items also brought forward during the August 22nd meeting as unfinished items. Management reported working with the Department of Transportation on the possible addition of a new light on the FP&L pole located in the entrance island. If doable, the Association may be able to remove the existing light located in front of building 1 that is badly corroding and difficult to maintain without a lift. The pool deck repairs were also underway. Unless already previously cited in these minutes, there were no additional updates to report since the August 22, 2006 Board meeting.
There being no further business to discuss, Sam Bovalino motioned to adjourn the meeting. Frank Carotenuto seconded the motion. All were in favor. The meeting adjourned at 3:00PM.
Karen M. Auth, LCAM #28323, Reconcilable Differences, Inc.
Board of Directors, Hidden Harbor Owners Association, Inc.
Minutes of the Organizational & Board of Directors Meeting of the
Hidden Harbor Board of Directors
Held Immediately After The Annual Meeting
On September 9, 2006
Call to Order:
Sam Bovalino called the meeting to order at 3:06PM. Richard Marquis motioned to nominate Frank Carotenuto for the President position. Frank declined the nomination. Frank in turn motioned to nominate Richard Marquis for the President position. Richard Marquis accepted the nomination. Sam Bovalino seconded the motion. All were in favor. Frank Carotenuto motioned to nominate Sam Bovalino to the position of Treasurer/Secretary. Sam accepted the nomination. Richard Marquis seconded the motion. All were in favor.
Appointment of new Board Members:
Sam Bovalino motioned to appoint Kenneth Lewis to the Board, as a Director. Richard Marquis seconded the motion. All were in favor. Frank Carotenuto motioned to appoint Barbara Ursin to the Board, as a Director. Sam Bovalino seconded the motion. All were in favor.
Discussion of Asphalt Resurfacing - Building 1:
Frank Carotenuto noted that JRS responded positively to all outstanding inquiries regarding their proposal. The proposals received were believed equitable when comparing square footage of asphalt to be installed. As the Association has worked with JRS in the past and they worked well with the Association, Frank motioned to approve the bid from JRS Asphalt, for $14, 275 dollars, on the condition that a Board member, he volunteered, walk the property with JRS before the job begins. Sam Bovalino seconded the motion. All were in favor.
Approval of the minutes to the August 22, 2006 Board of Directors meeting:
Frank asked if all Board members had approved the minutes to the last Board meeting. Hearing a positive response from all, Frank motioned to approve the minutes from the August 22, 2006 Board meeting. Sam Bovalino seconded the motion. All were in favor.
Status of Maintenance Position:
Frank informed Board members of the status of the recent interviews for a new maintenance person and his recommendation to hire Mike McLaughlin to replace Steve Collins as onsite maintenance. A total of 6 persons were interviewed for the position. Mr. McLaughlin is currently performing maintenance for a Baptist Church complex which is larger than Hidden Harbor. He does both inside and outside maintenance for the church. He is currently making $13.50 per hour but is willing to start at $12.00 per hour if the Board is willing to consider increasing his salary to $13.00 per hour, after a 90 day probation period, and another .50 per hour at completion of him receiving his certification in pool operations. Frank Carotenuto motioned to approve the hiring of Mike McLaughin under the conditions cited above. Barbara Ursin seconded the motion. All were in favor.
Schedule Next Meeting:
As some of the new Board members would not be onsite until after the first week of November and considering the next meeting would include a discussion of the budget, the next meeting was scheduled for November 6, 2006, at 6:30PM. Karen Auth reminded Board members that there will need to be an additional budget meeting for owner input also during the month of November.
Before adjourning the meeting, owner in unit 507 asked how to get in touch with the Board. The Board requested owners contact the Management Office of Reconcilable Differences, Inc., if they have an issue or concern. Management took an action item to mail an owner’s list to this owner.
With no further business to discuss, Frank Carotenuto motioned to adjourn the meeting at 3:25PM. Sam Bovalino seconded the motion. All were in favor.
Karen M. Auth, LCAM #28323, Reconcilable Differences, Inc.
Board of Directors, Hidden Harbor Owner’s Association Inc.
Hidden Harbor Condominium Assoc., Inc.
Minutes of the Board of Directors Meeting
Held August 22, 2006, at the Hidden Harbor Clubhouse
Call to Order & Establishment of a Quorum of Directors
Board President, Ed Ciecirski called the meeting to order at 5:30 p.m. Treasurer, Richard Kleinhans and Directors, Dolores Lawler and Frank Caratenuto were also in attendance. Directors Richard Marquis and Sam Bovalino were also present via conference call establishing a quorum of Directors required to conduct the meeting. There were 4 units represented at the meeting. Karen Auth of Reconcilable Differences was also in attendance.
2) Approval of Minutes of the April 5, 2006 Special Members Meeting
Ed Ciecirski requested a motion to approve the minutes from the April 5th, 2006 Special Members meeting. Richard Kleinhans motioned to approve the minutes. Frank Caratenuto seconded the motion. All were in favor.
3) Financial Report
Richard Kleinhans reported that the Association is running approximately $1800 under budget which can be attributed to the palm tree trimming expense that has been paid but has not cleared the bank and that the purchase of the mailboxes has been limited to those needed for building 1 only. No additional mailboxes will be ordered until a maintenance person is available to install them. Richard also mentioned the Board has been trying to keep costs down as higher insurance premiums and higher cable costs are anticipated next year. Frank motioned to accept the Financial Report as given. Dolores Lawler seconded the motion. All were in favor.
4) Unfinished Business
a. Building 1 Street Light: Management reported that the street light has been repaired but efforts to get (3) electrical contractors to bid on a replacement light have been less than successful. Only one contractor chose to respond to the request for proposal. Currently Management is investigating the option of having FPL add a second light to the existing pole located in the entrance island. This would require approval from the City of Cape Canaveral Public Works Division. Management has asked them to investigate this issue. Frank Caratenuto motioned to table this item until the outcome of a decision by Public Woks is known. Richard Kleinhans seconded the motion all were in favor.
b. Status of concerns from Property Manager of Publix Shopping Plaza:
Ed Ciecirski read aloud the letter just received from Inland Management in response to the Association’s requests and asked that the letter be filed with the minutes to the meeting. In Summary, Inland Management does not agree that they should be held responsible for prior owner’s actions. They will however try to assist if we can provide photographic evidence of the property prior to the development of the new shopping center to substantiate the Association’s concerns. Richard Kleinhans motioned to table this item until Richard Marquis can investigate whether he has any photographs of the property. Frank Caratenuto seconded the motion. All were in favor.
c. Landscaping Issues: Several landscaping issues were discussed. Ed Ciecirski re-read the minutes from the last meeting where he had informed owners personal planting in the common areas is not permissible by individual unit owners. This property belongs to the Association, not individual unit owners, according to Florida Statute and the governing documents of the Association. With that said, the following landscaping decisions were made:
i) Building 1 plant removal & relocation to the east end of building 1:
Frank Caratenuto motioned to give existing owners, involved in the personal planting, 90 days from the date of the meeting to remove their plants or the Association will have the landscaper remove them and re-plant sod. Owner’s wishing to donate their plantings to the Association may do so by contacting the Management Office. Ed Ciecirski seconded the motion. All were in favor.
ii)Approval to remove Norfolk Pines Removal: The Landscaping Committee Chairperson had requested the Board consider removing the Norfolk pines from the two islands located on the south side of the property to avoid damage to the lights located near these trees should a bad storm or hurricane hit the area. Richard Kleinhans motioned NOT to remove the Norfolk pines. Dolores Lawler seconded the motion. All were in favor.
iii) Approval to add trees between buildings 4 & 6 and 1 & 3 for privacy:
There was a general feeling among Board members that adding trees to these areas for privacy would prompt other owners to make similar requests. It was also felt that additional trees could introduce additional maintenance expenses for the Association. After some discussion, Frank Caratenuto motioned NOT to add any additional trees in these areas. Dolores seconded the motion. All were in favor.
iv) Approval to remove Jatropha tree (Bldg 2) and Ficus tree near irrigation pump: Dolores commented that she had checked the area where the jatropha tree was located and it is located right in front of a window, is nearly as tall as the roof and was planted too close to the building. The Ficus tree is growing over the main water line and irrigation lines for the Association. Sam Bovalino motioned to have both of these trees removed. Richard Kleinhans seconded the motion. All were in favor. It was noted that with the current irrigation problems, both areas should be marked showing where the existing irrigation lines are running, prior to any tree removal.
v) Approval of new hedging or flora plantings at the end of building 4 (between buildings 4 & 5) and other areas where foliage is absent: Richard Kleinhans motioned to table this item for future budget considerations due to existing budget constraints. Frank seconded the motion. All were in favor.
d. Status of Tennis Court Resurfacing: Management reported this project as having been completed. New nets and a new ratchet for one of the courts were also purchased as well as a new lock for the court gate. Owner amenity keys should open the gate. Management noted that the tennis court signs need to be either re-stenciled or replaced.
e. Status of Storage Room Door Repair/Replacements: Thanks to the efforts of Richard Marquis and onsite maintenance, several storage room doors have been replaced and repairs and/or painting has been completed on other doors where needed.
f. Status of Palm Tree Trimming: Management reported the trimming of the palms has been completed.
g. Status of the Re-roofing effort: Management reported this job as completed with the exception of a few punch list items. The Roofer has asked that we with-hold any further payment until these items are completed. The Association has received a letter from the City of Cape Canaveral advising that sheathing, dry-in and final inspections were successfully completed on all roofs. Mr. Pennito discovered that his dryer vent had fallen away from the roof vent during the replacement. It has since been repaired. The Board recommended that all owners of top floor units inspect their attics to ensure their dryer vent is secured. If an owner believes they have a problem with their vent not being secured, please contact the Management Office. If you are not a year round resident, it is highly recommended that you have a friend or family member to complete this inspection for you.
h. Status of Mailbox replacement effort: Management reported that the Association has purchased replacement mailboxes for Building 1. A unit owner in building 1 installed one of the new boxes and produced instructions on how to complete the installation. Regretfully, with the reduction in onsite maintenance hours, there is not sufficient time to do project work. A couple of Board members felt that when the seasonal residents come down this winter, it may be possible to get some of these owners to volunteer to install some of the mailboxes. This item was tabled until volunteers can be found to install the mailboxes or the Association finds a full time maintenance person.
i. Status of Replacement of onsite maintenance personnel. (Alternate services-Janitorial): Ed Ciecirski reported both Management and the Board were still looking to hire a replacement for Steve Collins. Steve submitted his resignation in July and is currently only working 15 hours a week. Management reported they have interviewed 6 people thus far. Several Board members have been involved in the interview process as well. Those candidates with general contractor experience are requiring $15 per hour to start. Management recently submitted a job ad that will run in Home Town news for the next two weeks. Ed commented that advertising in Home Town News was significantly cheaper than advertising in the Florida Today. Management also has a job ad running with Brevard Job Link, at no cost to the Association. Management asked for Board members interested in being part of the pre-screening/interview process. Frank Caratenuto and owner Barbara Ursin volunteered to be a part of this activity. Management asked whether the Board would consider hiring a janitorial service and contracting out the project type work. The general feeling from the Board was to continue actively seeking a full time replacement for Steve Collins.
5) New Business:
a. Insurance (New Agent)/Appraisal Requirement: Richard Kleinhans reported that State Farm, the Association’s existing carrier for all insurance except flood, has notified the Association they will not be renewing next year. The Association will be seeking another agent for handling next year’s renewal. The Board is considering Ranew Insurance and Statewide Insurance. Statewide Insurance currently handles the flood policies for the Association. Management reported that Statewide Insurance was able to provide some preliminary figures for budget consideration this year. They estimated an increase from approximately $49K to $113K for the master policy next year. This is just a preliminary estimate. This rate includes a 5% hurricane deductible. Last year’s wind policy included a 3% hurricane deductible. Richard Kleinhans believed the Association could use reserves to collect the 2% deductible if it would result in a reduction in the insurance premium. Management also noted that Citizens Insurance is now requiring current appraisals on all properties they insure. Frank Caratenuto motioned to accept the proposal from Jolliceur Appraisal for $2,000 dollars. Richard Kleinhans seconded the motion. All were in favor.
b. Pool deck repairs/Pool Service Contract: Management reported with the absence of a full time maintenance person the Board has contracted with a pool service company. This will ensure the Association’s compliance to both Florida Statute and Health Department requirements for adequate pool maintenance. This contract, $440 per month, was absorbed within the existing budget due to the reduction in salary requirements for the existing maintenance person. Management asked Board members to review the contract proposals for the deck repairs required to get the pool lights fixed. Water is still leaking from the pool deck in the area where the junction box for the pool lights is located. Two of the pool lights have been out for some time. The pool contractor must open the deck and try to extract the wires from below deck. The pool contractor is estimating that only a minimum amount of deck repair will be needed but cannot be sure until they open the area up to work on it. Board members reviewed the proposals received to date. Dolores Lawler motioned to accept the proposals from Price Rite and Sunkraft Electric at a price not to exceed $2,700 dollars. Richard Kleinhans seconded the motion. All were in favor.
c. Engineering drawings for truss repair: Management reported the City of Cape Canaveral required engineering drawings and engineering inspections of the truss repairs in units 708 and 712 or they would not issue a final inspection on the roof. The cost for engineering services was $1,000 dollars. Dolores Lawler motioned to approve the Engineering services contract. Frank Caratenuto seconded the motion. All were in favor. Management accompanied the City and the Engineering contractor on these inspections.
d. Pool Main Drain Repairs: Management reported the main drain grate for the pool fell apart when onsite maintenance was vacuuming the pool. Viewed as a major safety concern for residents and a cause to shut down the pool, an emergency repair was needed to the main drain grate. Sam Bovalino motion to approve the emergency repair to the main drain grate as proposed for $902 dollars. Richard Marquis seconded the motion. All were in favor.
e. Building 1 Asphalt Resurfacing: The Board reviewed the proposals received to date. There were several outstanding questions on one of the contractor proposals. Richard Marquis motioned to table this decision until the outstanding questions could be responded to by the contractor. Richard Kleinhans seconded this motion. All were in favor. The majority of Board members were in agreement that if necessary, an emergency Board member meeting could be held when all outstanding questions were answered. The Board did not want to delay decision making any longer than was necessary.
f. Pre-emergent treatment in October (Weed Control): Management reported the weed control contractor has recommended the Association apply a pre-emergent weed control treatment in October. The cost for this treatment is $900 dollars. This pre-emergent will assist in reducing a significant number of weeds on property. Richard Kleinhans motioned to accept the proposal for the pre-emergent treatment. Dolores Lawler seconded the motion. All were in favor. All Board members believed the Association should give this new contractor a fair try at weed control. The Landscaping Chairperson, present at the meeting, concurred with the Board’s recommendation.
g. New numbers for the buildings: Management reported the building numbers on several of the buildings are falling apart. They had previously been made with foam and the foam is deteriorating. A couple of the companies contacted for proposals no longer make foam numbers. The current proposal seeks $42.50 for the purchase of lifetime warranty numbers for the buildings. The Board requested this item be tabled until more bids could be received and other options considered. Options suggested included reducing the quantity of numbers on each building or stenciling and painting the numbers on the buildings.
h. Proposal for Water & Mold Remediation Services: Management stated that at a recent Space Coast Condominium Association meeting, Attorney Gary Poliakoff recommended Association’s consider entering into contracts with suppliers of services that would be needed post a hurricane hitting the area. Management presented a proposal from a water and mold remediation contractor. The proposal required no financial commitment on the part of the Association and the Association could choose another contractor if they so desired. Frank Caratenuto motioned to accept the contract, amended to require a response time from the contractor within 24 to 48 hours but no less than 48 hours. Richard Kleinhans seconded the motion.
i. Brighthouse cable upgrade: Ed Ciecirski read aloud the proposal received by Brighthouse. The cost for cable services will increase from approximately $15 per month to approximately $30 dollars per month with the upgrade. Brighthouse has proposed a 10 year contract with a 5% annual increase cap. This contract includes Brighthouse owning and maintaining the home run lines they install. Currently the Association owns these lines. Upgrading the cable lines will allow for owners to purchase high speed internet and other cable services. Ed indicated the Board has a fiduciary responsibility to get the best deal at the lowest price for the owners. Several options were discussed. Management stated Brighthouse is receptive to a counter proposal. Richard Kleinhans suggested enlisting help from a consultant specializing in these type contracts. Other suggestions included pursuing an upgrade bid from an independent company and satellite services. Sam Bovalino noted that our neighbors at Costa Del Sol just completed an upgrade with Brighthouse. He will find out what they are paying for this new service. Management asked for volunteers to look at alternatives to the Brighthouse proposal and to meet with Brighthouse to discuss the upgrade. Ed Ciecirski and Sam Bovalino volunteered to support this effort. Management noted the existing Brighthouse contract expires in early 2007. Based on the low cost the Association is paying for service, Brighthouse would not guarantee a renewal at the existing rates. In addition, funding for upgrade projects with Brighthouse will cease in October.
j. Status of Fire Marshall Notice of Violation: Management referred Board Members to a recent Notice of Violation from the Fire Marshall regarding the use of open flame grills on condominium balconies. The Board has sought a legal opinion on the enforcement of National Fire Protections Agency Code (NFPA) 1, 10.11.7 cited by the city. The Attorney recommended the Board assist in getting this information out to the owners at Hidden Harbor but also stated the governing documents of the Association require unit owners to comply with local city ordinances. A notice has been posted on all Association bulletin boards. Management asked the Board whether they felt the Attorney should respond to the Fire Marshall noting owners not the Association has compliance responsibility. The Board did not feel an Attorney letter was required.
k. A/C Condensation Cleanouts - Responsibility: Management stated this item was added to the agenda at the request of Richard Kleinhans. A recent problem with a condensation line in Building 1 resulted in the problem being found in the condensation line buried outside the unit. The Association repaired this line after the owners proved the problem to be outside of their unit. Richard Kleinhans believed a legal opinion should be sought on who is responsible for maintenance of the A/C condensation line. Richard Kleinhans motioned to seek an Attorney opinion on this item. Dolores Lawler seconded the motion. All were in favor.
6) Owner Input:
a. Unit 607, balcony drainage problem: Management reported having received a certified letter from the owner in unit 607 requesting resolution to his balcony flooding problem. Onsite maintenance has made the necessary repairs and a certified response was sent to the owner.
b. Unit 201, Electrical repair reimbursement requested: Ed Ciecirski read aloud the request from the owner for reimbursement for electrical repairs made to her unit. It was believed but not proven that either onsite maintenance or existing lawn maintenance personnel may have been responsible for the damage. Frank Caratenuto motioned to approve the reimbursement of the $171 dollars requested by the owner. Dolores Lawler seconded the motion. All were in favor.
c. Unit 710 request regarding certified letters received by Board:
Ed Ciecirski acknowledged receipt of several letters from the unit owner in #710. Ed stated that Florida Statute does not require these letters to be read aloud at Board meetings. He did however request that a copy of these letters be filed with the minutes of the meeting.
7. Adjournment: With no further business to discuss, Richard Kleinhans motioned to adjourn the meeting. Frank Caratenuto seconded the motion. All were in favor. The meeting was adjourned at 8:12PM.
Karen M. Auth, LCAM #28323, Reconcilable Differences, Inc.
Board of Directors, Hidden Harbor Owners’ Association, Inc.
Hidden Harbor Condominium Assoc., Inc.
Minutes of the Special Members Meeting
Held April 5, 2006, at the Hidden Harbor Clubhouse
1) Call to Order & Establishment of a Quorum of Directors & Members:
Board President, Ed Ciecirski called the meeting to order at 6:30 p.m. Treasurer, Richard Kleinhans and Directors, Dolores Lawler, Richard Marquis and Sam Bovalino were also present establishing a quorum of Directors required to conduct the meeting. There were 25 units represented in person and 30 units represented by proxy establishing a quorum for the special members meeting. Michelle Dugan and Karen Auth of Reconcilable Differences were also in attendance. Director, Frank Caratenuto had previously reported he would be unable to attend the meeting.
2) Approval of Minutes of January 25, 2006 Meeting:
Ed Ciecirski requested a motion to approve the minutes from the last Board of Directors meeting. Sam motioned to approve the minutes from the January 25, 2006 meeting. Richard Kleinhans seconded the motion. All were in favor.
3) Financial Report
Richard Kleinhans reported that the Association is running approximately $8,000 dollar ahead of the projected budget as of March 31, 2006. Administrative costs are within budget. We will have a slight problem with utilities; especially electricity due to increased costs from the provider. We may also run slightly under budget ($1,900) in the area of insurance if the Board decides to increase the replacement cost value to $85 per square foot. Richard Marquis motioned to approve the financial reported as stated. Sam Bovalino seconded the motion. All were in favor. The CPA has completed the Review of the 2005 Financials and it is available to any owner, at no charge, upon receipt of a written request to Reconcilable Differences, Inc.
4) Unfinished Business
a. Building 1 Street Light. Board members reviewed and discussed the proposal received from SunKraft electric for replacing the bulb and ballast in the street light outside Building 1 and for installing a shorter fiberglass light pole to a height the Association could maintain going forward. It is expected the ballast as well as the bulb will need to be replaced. Dolores motioned to approve the immediate repair of the light, replacing bulb and ballast. Richard Kleinhans seconded the motion. All were in favor. Management was asked to seek an alternate bid from Steve Reardon, All County Electric, for the cost to install a shorter pole.
b. Status of concerns from Property Manager of Publix Shopping Plaza. Management reported having met with the Property Manager in early February and reviewed with her the outstanding issues expressed by the Association. The Property has been sold several times since initial construction. The Property Manager was surprised to learn of all of the issues. She agreed to follow-up for with her upper management to see what action if any could be taken to address the Association’s concerns. There has been no response to our issues to date. Ed asked Management to escalate the issue within the Property Management Company. We must get answers for the owners of Hidden Harbor.
c. Pool cover & associated liability: Management reported having received the names of several owners willing to volunteer to assist with the pool cover but it being this late in the season it was felt that covering the pool was no longer necessary. Board members agreed. Next year the Association will seek volunteers to assist with covering the pool during the months of January and February.
d. Landscape - Building 1 plant relocation: Ed informed owners that personal planting in the common areas is not permissible according to Florida Statute and the documents governing the Association. What is planted in common areas becomes the property of the Association. There was much discussion around this issue but there was no change in the Board’s position. The Board sought council on this issue from the Landscaping Chairperson. The Chairpersons’ response was a recommendation that owners interested in the landscaping of the property should volunteer to be on the landscaping committee. Only one non unit owner came forward. All landscaping recommendations to the common area should be submitted to the landscaping committee. The Landscaping Committee must present their recommendations to the Board for approval prior to making any changes. Before closing this topic, the Landscaping Chairperson requested the Board consider cutting down two Norfolk pines that have grown too close to one of the lights and will eventually damage the lights. Ed stated the Board would consider this request and it will be a discussion item at the next meeting. One unit owner objected strongly to the removal of this tree.
e. Tennis court resurfacing: Management reported that the best estimate received from the contractor for resurfacing of the tennis courts is mid May. There was much owner discussion about how few people use the courts. Others stated that if the courts were in good condition they would use them. All, however, seemed to feel that allowing children to bike and skate on the courts is not acceptable and Management took an action item to have a new lock installed on the tennis court gate that would open with the pool gate key.
f. Storage room door replacements: Richard Marquis stated that Steve Collins, along with a helper, has completed the installation of 4 new storage room doors for less than $400 dollars, including supplies and labor. Steve has initiated repairs to the remaining storage room doors and will continue until all needed repairs are complete. (We used a subcontractor and Steve was his helper.)
5) Results of Limited Proxy Vote:
Management reported receiving 31 votes for the installation of the USPS mailboxes to be maintained by the post office and 24 votes in favor of keeping the existing mailboxes and replacing them as the budget allows. As a majority vote (43 votes) was needed to approve this change this material alteration did not pass. Richard Marquis cited new information both he and owner Darin Thom had found which may allow for the Association to purchase and install new mailboxes at a lesser price than previously known. Further research would be required to ensure the structural integrity of the stairways would not be impacted by the installation.
6) New Business:
a. Insurance (Property and Flood): Richard Kleinhans reported that the Association’s current insurance policies have a replacement cost value of $80 dollars per square foot. Inquiries to several builders revealed the estimated replacement cost to be between $90 and $110 dollars. The insurance cost to increase to a value of $90 per square foot would be an additional $16,000 dollars. Richard Kleinhans motioned to increase insurance policies to at least $85 per square foot. Dolores Lawler seconded the motion. All were in favor.
b. Pool light/electrical repairs: Management reported that there is one pool light that is not operating properly. The current junction box has wiring that has been sitting in water for a considerable length of time. The pool contractor believes that to get the light functioning properly will require the purchase of a new junction box that will be installed above ground and management believes this is a safety issue. One owner stated that it is very dark in that area without the extra light. The Board requested that Management obtain another bid for the electrical work.
c. Fence Repair: Management reported that Mr. Joe Maya from Costa Del Sol had asked the Board to consider paying $200 toward the cost of fixing the remaining fence line at A1A, between the properties. The estimated cost for materials was approximately $300 dollar but Costa Del Sol would provide the labor to make the repairs. In the interest of being good neighbors the Board proposed two options; ask Costa Del Sol if they would object to having the fence removed; if they objected, the Board agreed to pay the $200 and to have them do the repairs. Sam agreed to discuss these two options with Joe Maya and advise of the outcome.
7. Owner Input:
a. Unit 115, balcony flooding and water retention in driveway: Richard Kleinhans reported there has been a history of balcony problems in other units as well as unit 115. He believed the solution provided for one unit, in the past, had been to dig a ditch around the porch and put rocks in it for draining. He further believed that if the Association makes repairs to Unit 115, the Association should also fix the problem in other units. Ed asked that the minutes reflect an action by first floor owners, to report balcony flooding problems to Management for investigation. Regarding the water retention problem in the driveway, the Board is aware and has budgeted funds for the replacement of the driveway area in question. Management will begin gathering bids for this repair work. Richard Kleinhans cautioned that care must be taken in the replacement of this driveway area to avoid potential flooding in other areas of the property.
b. Roof Repairs: Management reported that some of the shingles on the roofs are lifting up. The roofer inspected the problem on Building 7 and agreed to send some men out to make the needed repairs to all roofs. The Unit owner in 710 and the roofer concurred on how this work would be done. When the roofers came to make the repairs the owners in Unit 710 believed the repairs were not being done as agreed, and in light of this conflict, left without finishing the repairs. A discussion ensued. The Board believed the roofer to have the expertise needed to make the necessary repairs and would be accountable for honoring the warranty. Another unit owner remarked that she understood Florida Law states that the Association’s existing warranty on the roof would be nullified if we have another roofer make the repairs and believed that we would probably get better service from the roofers if we behaved amicably toward them. Yet another owner was told by the roofers themselves that we would probably be getting new roofs. Management reported that the roofer is looking into a possible warranty concern with the shingles. Management agreed to follow-up with the roofer within one week, giving the contractor time to investigate the warranty concern.
Ed asked for other owner input. Unit owner in 108 asked for the status on the response to his letter sent to the Board c/o Reconcilable Differences, in September of 2005. Management responded it was their understanding that a Board member had already provided him with a verbal response. Management took an action item to obtain a response for this owner. Another owner wanted the Board to consider changing the percentage share each unit contributes toward the expenses of the Association to the same percentage for all versus the higher percentage for the 3 bedroom units. The Board responded that this cannot be done without 100% approval of all owners and all lien holders of the property and that would not be attainable.
With no further business to discuss, the meeting was adjourned at 8:37p.m.
Karen M. Auth, LCAM #28323
Community Association Manager
Spring is the right time of year to get your A/C unit checked, especially the cleaning of your A/C condensate line. This is an owner responsibility.
If you are currently renting your unit, it is a mandatory requirement of your governing documents that you submit a copy of the leasing agreement within 10 days of the execution of the lease to the Association. Please send a copy to the Management Office Today!
First floor unit owners should contact the Management Office if your balcony is flooding during heavy rains.
Hidden Harbor Condominium Assoc., Inc.
Minutes of the Board of Directors Meeting
Held January 25, 2006, at the Hidden Harbor Clubhouse
7) Call to Order & Establishment of a Quorum of Directors:
Board President, Ed Ciecirski called the meeting to order at 6:30 p.m. Directors Dolores Lawler, Frank Caretenuto and Richard Marquis were also present establishing a quorum of Directors. Richard Kleinhans arrived later in the meeting. Managers Michelle Dugan and Karen Auth of Reconcilable Differences were in attendance and owners representing sixteen units were present.
8) Approval of Minutes of November 29, 2005 Budget Meeting:
Ed Ciecirski read aloud the minutes from the last Board meeting. Frank Caretenuto motioned to approve the minutes of the November 29, 2005 meeting. Richard Marquis seconded the motion. All were in favor.
9) Appointment of New Board Member - Mr. Sam Bovalino:
Ed recognized Sam Bovalino, owner of Unit 106, as having expressed an interest in volunteering to serve on the Board. Ed made a motion to appoint Mr. Bovalino to the Board. Richard M. seconded the motion. All were in favor. Sam gave a brief history of his background, primarily in Accounting, and mentioned that he was from Syracuse, NY. He currently resides at Hidden Harbor six months out of the year but is hoping to begin staying longer next year.
10) Financial Report:
Treasurer, Richard Kleinhans, reported that the Association ended the year with a gain of $3,398 dollars. There remains one bill outstanding of approximately $500 dollars and another potential expense of approximately $600 dollars. He expects the actual gain to be around $2,400 dollars which will go into working capital to pay for operational expenses in 2006. The insurance expense had come in at less than budgeted but we are running a little over in long term maintenance expenses. We incurred a significant expense with the renewal of our termite bond this year. Every 5 years we are required to retreat in order to maintain our bond and we had an unexpected irrigation repair expense. Dolores motioned to approve the financial report as given. Frank seconded. All were in favor.
a) CPA Bid for 2005 Review:
Richard stated Florida Statute requires that the Association have a Review of all financial records of 2005, by a CPA. The cost for the review was estimated to be between $1,200 and $1,550 dollars and is in the budget. Richard Kleinhans motioned to approve the expense associated with having a CPA perform a review of the financial records for 2005, but noted that this is a line item in the budget for 2006. Richard Marquis seconded the motion. All were in favor.
11) Unfinished Business:
a) Balcony wall responsibility & Enclosures (Legal Opinion)
Ed read aloud the opinion received from the Attorney with regard to balcony wall responsibility. In summary, according to the documents nothing is allowed on the balcony walls. They are considered a limited common element. The documents do provide specifications for the hanging of certain types of flags. Management didn’t see how this ruling could be enforced after so many persons have hung things on the walls and suggested the Board consider an amendment to the documents that would specify items on walls that would be permissible. Frank Caretenuto volunteered to put some wording together for the proposed amendment and would report at the next meeting. A discussion ensued regarding carpet being allowed on the balconies of the 2nd floor units. Both Board members and unit owners responded that owners have been told in the past that carpet is not allowed on the balconies of the 2nd floor units.
With regard to enclosures: Management asked the Board to consider Dolores Lawler’s request to remove the entire screen from her balcony. Her screen was damaged during the 2004 hurricanes and cannot be replaced without considerable expense because the addition of the sliding glass door is blocking access to the screen. She would have to incur the expense to remove both shutters and sliding glass doors to allow access to repair the screen. Dolores had thought that because the screen was damaged by the hurricane and the Association paid, one time only as a courtesy to owners, to have the screens replaced, the Association should incur the expense or allow her to remove her screen. Ed Ciecirski commented that he would take this request under advisement but was concerned about the long term liability of the Association should the Board grant her request. In this instance, the owner has placed an obstacle in the way which prevented the Association from making the repair. According to the governing documents and the opinion from the Attorney, enclosures are the responsibility of the unit owner. Management did inform Dolores that she was aware of a contractor who would remove her enclosure and reinstall it in a manner so that screening could be replaced from the outside, at an estimated cost of $600 dollars.
b) Landscape Architect recommendations:
Management gave this report, on behalf of Eva Massanek-Chair of the Landscaping Committee, as she was unable to attend the meeting. Eva wanted all Board members to know that she had no intention of spending the $2000 dollars recommended by the Landscape Architect but did want the Board to see the improvements recommended. Eva paid for the cost of the architect personally. The Committee intends to meet in a couple of weeks to decide on what they will be able to accomplish. A unit owner asked if these Committee meetings were open to the owners. Several owners had heard that some of the plants they had paid for and planted near their units were going to be removed. Ed responded that all owners were welcome to attend the Landscaping Committee meetings and management would ensure that notices were posted on all bulletin boards. A unit owner asked if something could be done to trim the oleanders located at the end of Costa Del Sol property and where Hidden Harbor property begins, near the dumpster. Management took an action item to discuss this with the current landscaper.
c) Request for “Dog Pick-up Supplies” Station
Management stated that this was an old item that had never been addressed at the meeting. It was a suggestion brought forward by Eva. She shared with the Board the catalog of related material and the estimated cost of $400 for this item. A discussion ensued. Comments heard included; anything added to the property would take away from the appearance of the property, the pick up bags can be pulled by children and could end up all over the property, adding the pick up stations will probably not change the behavior of those owners who currently don’t pick up after their pets. There was general agreement amongst Board members not to purchase the dog pick-up supplies station.
d) Publix Negotiations: Management reported that there was supposed to be a meeting with the Property Manager of the neighboring plaza this month but has yet to hear from them regarding the date and time of the meeting. Items for discussion will include fixing the concrete at the dumpster, steps from Hidden Harbor to the plaza, paying for the wall around the dumpsters and taking care of the landscaping on the south side of the wall dividing the property as it is very difficult for our landscaper to care for this. A unit owner suggested we be cautious about asking them to maintain what is obviously our property. If done over the long term we may end up forfeiting our right to that property and they may have legal grounds to take it. The owner strongly recommended any agreement be made in writing to ensure this does not happen. Another owner suggested Management discuss the fact that they removed all of the heads from our irrigation system, which at one time watered the oleanders, when they built the plaza. Management did state that Hartmann Irrigation installed today a new irrigation line along A1A that will greatly enhance our ability to maintain the grass, trees and foliage out front. It was recommended that Management ensure the new line is pressure tested. She stated that it was tested today and no water pressure problems were found.
12) New Business/Manager’s Report:
a) Outgoing Post Box supplied by USPS:
Management reported that getting a commitment from the USPS has been very time consuming. Thus far they believe they will be able to install a small outgoing mailbox but it will not be one of the big blue boxes that could be placed at an entrance/exit to the property as we had hoped. We are still in discussions with them. An owner raised the concern that the current mailboxes are too small. Mail and magazines are crushed and torn. The Board responded that the new mailboxes planned by the Association are not much larger than the old boxes. A discussion ensued about getting a recommendation from the USPS on a replacement mailbox system. Their boxes would be bigger, even if a little less convenient for the owners, and would be maintained by the USPS at no cost to the Association. Ed stated that this type of change would be considered a material alteration and would require a vote of the owners. Dolores motioned to utilize a limited proxy ballot to obtain a vote on this alteration by the membership. Ed seconded the motion. Ed Ciecirski agreed to meet with the postmaster to obtain their recommendations so more information can be given to owners before they vote. The costs to replace the existing mailboxes along with the costs required to close in the area where the old mailboxes were, would be included in the limited proxy. Management suggested the Board also consider adding the balcony amendment change and the vinyl siding change to the limited proxy.
Management stated that it was the opinion of two roofing contractors and a painting contractor that much of the water intrusion into the units after Hurricane Wilma could be attributed to small hairline cracks in the building. She estimated it would cost around $60,000 dollars to repaint the buildings and there is only $13K in reserves, so the Association will need to heavily fund painting reserves next year. An owner asked if the persons who gave this opinion had a personal interest at stake. Both Management and Ed Ciecirski stated that anyone who submits a proposal for work on the property has a personal interest and hopes to be awarded the bid. Management added that we would ask a paint manufacturer, like MAB, to write up a set of specifications for the job. They would then give the specifications to known and reputable contractors to bid. These bids are then presented to the Board for their consideration.
c) Pool Cover & Associated Liability:
Management stated that onsite maintenance is not able to single-handedly put this cover on and off each day. In addition, he does not work on Thursdays and the pool is open until 10:00 p.m. long after the end of his work day. The Board needs to decide if covering the pool is necessary or not and if so how it is going to happen. The cover helps to retain the heat in the pool overnight. Since the heating system is solar driven, there is no increase in cost if the pool is left uncovered. The gates must be locked when the pool is covered. Ed commented that unless we change the times the pool is open we must honor those hours. Several owners stated that this used to be done by volunteers from the community. It was suggested that Management post notices in the clubhouse and on the bulletin boards seeking volunteers to help with covering and uncovering the pool each day. Management agreed to do so.
d) Signs at Clubhouse Parking Lot and Entrance:
Management presented the proofs and costs for replacing the clubhouse parking and slow speed signs on property that were looking pretty bad. Richard Kleinhans stated that Management has received letters about individual unit owners utilizing the clubhouse parking area for personal parking on a regular basis. A significant number of owners at the meeting could not believe that anyone would make an issue of this. The individuals who park there only park one vehicle, always remove their vehicle if there is a clubhouse function and it provides relief for those individuals in building six and seven where parking is at a premium. Several suggestions were offered, e.g. change the documents to allow for parking; reassign this space to the current owners who use them, etc. Ed reminded owners that changing the governing documents is no small undertaking and since all of the Board members are volunteers and some still work; taking on this initiative requires a great deal of time and it must be done legally so there is a cost involved. He recognized that the documents were created back in the 1970’s and may be a little antiquated. The decisions to purchase new signs and to address the clubhouse parking concern were tabled.
e) Fertilization/outside pest control quotes:
Management presented a proposal from Pearce Power Spraying for lawn and shrub fertilization and pest control. This company is willing to work with the Association on whatever service they would like them to deliver. Historically Black’s Spray Service has not been getting the job done and they are not very responsive to callbacks. Management would like the Board to consider giving Pearce Power Spraying the contract for weed and pest control for the lawn and shrubs. Currently onsite maintenance does the fertilization for the shrubs and the landscaping company does the fertilization for the lawn. Pearce Power Spraying would charge $295 per month vs. $220 dollars currently paid to Blacks Spray Service. Richard K. motioned to accept the proposal from Pearce Power Spraying for weed and pest control for the lawn and shrubs. Richard M. seconded the motion. All were in favor.
f) Brighthouse cable upgrade:
Ed remarked that he brought this issue to the agenda because Brighthouse offers an internet service but only with the upgraded cable service. Management reported that Brighthouse will not upgrade the existing cable service because the rate the Association is paying under the current contract is so low. The existing contract with Brighthouse expires next year. They are willing to upgrade only if the Association agrees to an increase to $25 dollars per unit per month, a ten year contract and a 10% maximum increase per year. Owners commended members of the Board who negotiated such a reduced rate in the last contract. It was remarked that at the time satellite service was a viable option and it gave the Association some leverage with Brighthouse. To switch to Satellite service now would require replacement of all cable lines including those in each unit. Brighthouse agreed to maintain existing in-house wires under the current contract. Management recommended she schedule a meeting in the summer to begin discussions with Brighthouse.
g) Loaning out Association Equipment:
Management has received several requests asking for use of Association equipment. Ed called everyone’s attention to a lawsuit that occurred in 2003 in which the Association’s Attorney recommended a settlement in lieu of going to court. There was general agreement that loaning out of Association equipment would leave the Association open to liability. Sam motioned not to loan out Association equipment to owners. Dolores seconded. All were in favor.
Before opening the discussion for owner input, Ed asked if any of the Board members had items to discuss. Richard Marquis mentioned that the very tall light located in the front of the property is no longer working. He has tested to ensure there is power to the light. The last time it went out, a replacement bulb was installed by the contractor hired to do the palm tree trimming. It is too tall for the Association to maintain on a regular basis. He believes it may need a new ballast. He suggested that a professional be called in to make the repairs or if possible the pole be shortened to allow for ongoing maintenance by the Association. Management estimated the cost to have an electrician come out with one of their trucks and make the repairs would be around $275 dollars. Dolores remarked that we need the light because it is very dark in that area and it is a safety issue. Ed commented that if it is a safety issue it must be taken care of. Management agreed to contact an electrician.
Management stated that she has received an owner inquiry with regard to cleaning the walkways. She wanted it known that this is a maintenance item and onsite maintenance will be cleaning the walkways on a weekly basis. She also noted that any owner, who through their own negligence is messing up the walkways, will be held responsible for cleaning them or will be charged by the Association for the cleaning.
13) Owner Forum:
A unit owner remarked that when Bell South came out and dug up the lawn they damaged some of the asphalt in the process. Instead of repairing the asphalt they just filled in the area with dirt. As the dirt settles it is causing further cracks in the asphalt. Management stated that she has met with the Bell South Construction Manager and they have agreed to make all needed repairs at no cost to the Association. Management agreed to follow-up with Bell South until all repairs are made.
A unit owner asked if the Association was still maintaining a log of who goes into units and why. He stated that sometime last summer someone entered his unit and turned the A/C down to 72 degrees causing a significant increase in his electric bill. Ed remarked that he is the only Board member in possession of the keys and was not aware of anyone accessing the units. Management asked for unit numbers of those in question. They were given as 305 and 107. Current Management was not aware of any entry to those units either. Management suggested that owner identify a date when the increase in electrical use was noted and we could ask prior Board members. Current management keeps a log of all unit entry and why and would contact the owner in advance of entry.
Several owners have sited dogs running loose on the property. Management acknowledged receipt of two reports; one a unit owner and one a tenant. They will be sent letters.
14) Set Date For Next Meeting:
It was decided that the next meeting would be scheduled when the proposal from the USPS was available for consideration. A ballot proxy and agenda will be mailed to all owners for that meeting.
With no further business to discuss, the meeting was adjourned at 8:37 p.m.
Karen M. Auth, LCAM #28323
Community Association Manager
Reconcilable Differences, Inc.
(Prepared January 26, 2006)