IRONOAKS ASSOCIATION
ANNUAL MEETING MINUTES
JUNE 6, 2007

Directors present: Duane Pontek, President, Judith Weaver, Vice President/Secretary, Bob Deken, Treasurer, and members Wayne Divoky and Chuck Sloan.

The meeting was called to order at approximately 6:35 PM and was held in the Oakwood Clubhouse ballroom.

Explanation of Ballot Measures & Voting Procedure – Judith Weaver
Voting must be done by paper ballot and ballots are available for those who have not filled one out. The ballots will be tallied and the results given at the end of this meeting.

President’s Comments – Duane Pontek
When transition from developer control was moved forward the Transition Team, most of who are the present Board members, had only six months to prepare. Progress is being made taking the Association from developer control the homeowner control. The following reports will show what progress has been made in the last year.

Treasurer’s Report – Bob Deken
Mr. Deken gave the report that is attached to the minutes. The year-end audit should be finalized within the next three weeks. It will be placed in the library. Also in the library is the June 2006 audit report that the Board has accepted. Some assets such as restaurants and pools had been previously omitted from the financial statement. This has been corrected. The financial health of the Association is good. The HOA is managing to the budget.

Vice President/Secretary – Judith Weaver
Some of the Board activities that have been accomplished in the last 11 months are:

Adopted the name IronOaks at Sun Lakes, a new logo, and new membership cards
continued transition negotiations
election of Board officers
Mr. Divoky is point person on all properties-related issues
Mr. Sloan has revised the Committee charters and created a mission and vision statement
ratified the contract with the General Manager
contracted with a CPA firm to do the balance sheet audit, year-end audit, and tax returns
ratified the AAM management services contract
purchased a point of sales system
hired outside counsel, Ekmark & Ekmark
had the reserve study completed and established an asset reserve policy
approved an employee manual
hired a payroll processing company, AmCheck
established a banking relationship with Wells Fargo

The Board also established the following policies: Gratuity, Capitalization, Purchase Authority, Pot Luck, Memorial, Vendor Access, Investment, and Collection. The Board filed the appropriate paperwork with the Secretary of State, changed signatories for investment accounts, rescinded the transfer of drainage areas passed by the RCI controlled Board, rejected the transfer of Unit 45C because of common area issues, and reviewed all corporate documents; most of which have been revised.

Forms for registration of associate members and for requesting exceptions for the associate fee and for requesting an appeal for citations issued by Patrol have been approved. A preventative maintenance contract is in place for HVAC. Roads maintenance is on schedule and a survey of the property has been completed. There is a new landscape maintenance company.

Internal financial controls are getting reviewed, a lock box system is in place for efficient dues payment, and the AAM contract has been refined and reduced by $5.15/household/year. Property tax filing has been cleaned up and as a result the HOA has received in excess of $14,000 in refunds.

The Board approved the purchase of new restaurant equipment, clubhouse chairs, and defibrillators. They approved the operating and reserve budgets for the fiscal year.  The Board reviewed and approved job descriptions and salary ranges for all employees in addition to establishing merit and cost of living parameters.

This is a list of the key items. Ms. Weaver thanked the staff and committees for their support in making running the Association a team effort.

Current Legislation – Amanda Shaw, President, Associated Asset Management
Three new bills effecting homeowners associations have been signed into law. They will go into effect 90 days after the end of the legislative session.

HB2503 deals with the use of cautionary signs where children may be playing.
HB2254 adds to a bill already in effect concerning allowing certain vehicles to park overnight on the street or in the driveway. The vehicles are for employees of public service and public safety corporations. This year telecommunications companies have been added.
SB1062 states that For Sale signs cannot be prohibited providing the size is not bigger than 18”X24” and the rider is no bigger than 6”X24”. Signs can be, but do not have to be, professionally made.
There is one bill still in caucus in the Senate that deals with foreclosure. The house must be sold for fair market value and any remaining balance be remitted to the homeowner.   

 Construction Defects – Wayne Divoky
The defects list was begun by the Transition Team. The list was born out of the need to contact RCI with the things that the HOA felt needed to be corrected and that fell to the developer as his responsibility to fix. Currently there are 86 items on the list. Negotiations are ongoing; some items have been agreed to, others dropped, and some RCI will just not do. There are five big issues that are not yet resolved:

Complete enclosure of the community.
10-year warranty on sewer repairs should problems occur with sewer line at the Oakwood Clubhouse.
Repairs completed at the Riggs Road waterfall.
Additional floor drains that are connected to the sanitary sewers installed in the Oakwood kitchen.
Provide additional space for office use and for a maintenance office and storage.

Fifty-one percent of the items identified have either been corrected or are agreed to be corrected. Mr. Divoky thanked Ron Kotnik, Facilities Manager, and Mike Kozak, Properties Committee Chair, for their help in the negotiation process.

Management Controls – Chuck Sloan
To prevent each new Board from having to reinvent policies and procedures and staff personnel from continually searching for guidance to handle routine matters, this Board needs to put in place the infrastructure that will be critical to the successful operation of the community in the future. Some things were started before transition such as finding employee benefits and creating an employee manual.
A comprehensive list of services and functions that the Board could manage internally was identified, and these tasks were segregated from those functions that an outside service could logically and realistically provide. The Committee structures and charters were brought up-to-date in order to clarify the roles and responsibilities of the Committees. Sound documented procedures had to be put in place to help manage the staff effectively. Policy resolutions, government documents, and financial controls had to be approved by the Board. A permanent documentation structure is being set up to better enable the Association to be organized and track all these procedures, practices, and resolutions. This document management procedure will simplify the operations for the Board and staff and make it easier for future leaders to amend the practices as necessary. This will be a critical part of the success of the community and a key legacy of this current Board.

Committee Reports – Committee Chairpersons
These reports are attached as a part of these minutes.

Ballot Results – Judith Weaver
All of the ballot issues were approved. The first issue, the approval of minutes from the 2006 annual meeting, was approved by 908 votes, disapproved by 15, and 5 people abstained. The second issue, approval of the standing committee consisting of board members in office at the time of the annual meeting to approve the minutes, was approved by 836 votes, disapproved by 90 votes, and had 2 abstaining. The last issue, approval of the Amended and Restated Articles of Incorporation, was approved by 891 votes, disapproved by 29, and had 8 abstaining. There were 928 votes cast.

There was no further business; the meeting was adjourned at 8:00 PM.

Recorded and transcribed by
Karen Jorgensen