September 2021 Board Meeting
Minutes 9/11/21
The Cypress HOA Board of Directors Meeting
1:00 P.M.-3:00 P.M.
Call Meeting to Order:
President Bell called the meeting to order at 1:00 P.M.
Attending:
Stephen Bell (President), Keith Schmode (Secretary), Bill Keith (Treasurer), Stacy Graves (Community Manager), Todd Miller (Legal Counsel)
Approval of the August 11th, 2021 Board Minutes
The minutes were approved as submitted by Secretary Schmode
Legal Counsel Report: Todd Miller
Four major issues were reported on and discussed in Counsel Miller’s report.
Status of the Jim Johnson (Majestic resident) stop lift kit on dock A
Majestic water leak resulting in a significant water bill for The Cypress
The HOA Board’s authority to levy fines for violations
Easement agreement for Captiva Drive
Jim Johnson (Majestic resident) has consulted with an attorney. Todd Miller will seek clarification on who is actually representing him. The Board recapped all of the steps which have been taken to get information from Johnson on his plan to remove the stop lift and replace it with a lift that is in compliance. Seeing no progress to resolve this issue the Board asked legal counsel to prepare a demand letter to Johnson stating that in the absence of his remediation plans, and our approval of those plans, we will begin fining him.
The Majestic irrigation water leak has resulted in a very large water bill for The Cypress. Todd Miller will discuss this bill with Majestic’s legal counsel (Todd Billy) to seek all or partial relief on the bill. The local Sewer and Water District has given The Cypress some relief on the bill but will not reduce it any further. At some point it was discussed that The Cypress will need to run our own water line along Captiva Drive. The Cypress water line currently runs under the parking lot of Majestic and was set up that way by the previous Developer in anticipation of future developments on the property. A sub-meter will need to be installed at Majestic to insure The Cypress is not getting billed for their water use including the irrigation leak on their property. The Board will ask the Finance Committee to establish a line item in the reserve fund for the installation of a direct water line to The Cypress. This will not be done immediately but will be a priority as the unit reserve fund increases.
There was discussion regarding the Boards ability to assess fines under the Master Declaration since it requires that all disputes go to arbitration. After research and receiving the current and correct Declaration specifically written for The Cypress legal counsel concluded that the Board does have the authority to assess fines for violations and is not bound to arbitration. The Board will review a proposed Violations and Fines procedure at their next meeting.
The Developer’s attorney (Todd Billy) prepared an Easement Agreement for Captiva Drive. The Board had several questions and concerns regarding the propose Agreement. After considerable discussion the Board instructed Todd Miller to prepare an Easement Agreement for presentation to the Developers.
Financial Report/Information/Action:
The Board appointed Dr. Bill Keith Treasurer by unanimous vote.
Treasurer Keith recommended that Profit and Loss Statements as well as an Actual to Budget report for the past quarter and past quarter from the previous year be reviewed at each meeting. Treasurer Keith has established accounting protocols as well as checks and balances for all HOA bank accounts. The Board has established fraud protection for all HOA bank accounts. All Board members now have access to the QuickBooks accounting system.
Once the HOA’s violations and fines procedure/policy has been passed at the next Board meeting there will be fines assessed to owners for late quarterly payments.
The employee Health Savings Accounts are up to date. Contributions to those accounts will be made on the last Friday of the month.
The Developers have submitted a “true up” i.e. what is owed to the HOA and what the Developers should be reimbursed for. The Board accepted their accounting and they will begin quarterly payments on unfinished units retroactive to July 1st, 2021.
Treasurer Keith will work with the Finance Committee to appoint a new Chair since he has joined the Board as a Director.
Community Managers Report:
All slips on the docks have now been grounded by Bennet Electric. The Fire Marshall has inspected the docks and violations letters will go out soon. Our annual dock fee to Ameren is $4,100 . In the near future Ameren will also be requiring a structural engineer report which will be an additional expense
Two cables snapped on Dock B. Horseshoe Bend responded very quickly and replaced the cables. They indicated that cables generally need to be replaced every 7 years and also suggested that cables be inspected by divers. Stacy G has engaged divers from Atlantis Dock to inspect the cables. The inspection is no charge but in the event repairs are needed they would like us to use their company.
Recent elevator repairs were covered on our maintenance agreement with Schindler. The control panels on 10th floor will need to be cleaned due to construction on the penthouses. The Developers will pay for the cleaning. Schindler has indicated that the brakes on the elevators will last another 3 to five years. When they do need to be replaced the cost will be in the $24K range for each elevator.
An owner asked if the elevators could rest on floor five as opposed to P2. potentially reducing wait time for the upper floors. Stacy G researched the request with Schindler. They do not recommend this since the elevators are currently set to rest where the last person gets off versus P2. It was explained, for example. If someone gets off on floor three the elevator will remain on floor 3 until someone pushes a button for it to go to another floor. Schindler explained that two major factors contribute to wait time. 1. Most people are used to having more than one elevator at their disposal at any given time as opposed to the situation at The Cypress where there is only one 2. Each push of a button adds 20 seconds wait time.
The lift station was inspected and a leak was discovered. It has been repaired. The station does have two pumps which will be a future expense when one or both go out.
Stacy G. reported that we may need to purchase a couple more deicers to be prepared for winter weather. A rail will be installed on the pool in the off season. It was recommended to purchase a pool chlorinator at a cost of $300. Approval was given. Heat for the pool goes off October 1st and the pool closes November 1st.
The landscaper will be moving some plants in the off season to mitigate issues with bees around the pool.
Stacy G is researching and working with our gate company to increase the code capacity so more remotes controls can be added.
Old Business
Covered in reports from Legal Counsel, Finance and the Community Manager
New Business:
Focus for the remainder of this year will be 1. Passage of a violations and fines procedure 2. Development of a new chart of accounts 3. Establish a budget to be presented to the finance committee and ultimately to owners at the May annual meeting.
It was suggested that we may need another Defibrillator (AED) at The Cypress. After discussion regarding the need for owner education and other concerns it was decided not purchase another one at this time.
Adjournment:
The meeting was adjourned at 3:30 P.M.
Next Meeting
Wednesday October 13th 2:30 P.M.
Respectfully submitted
H. Keith Schmode HOA Secretary