MINUTES OF THE JUNE BOARD OF DIRECTORS MEETING

SECTOR 2A AT SNOHOMISH CASCACD ASSOCIATION

7 PM TUESDAY JUNE 2, 2009

CALL TO ORDER / APPROVAL OF MINUTES

1. Bill Steenis called the meeting to order at 7:07pm. Present were Bill Steenis, Steve Yandl, Allen Kerr, Cheryl Carson and Joyce Bowen.

2. Steve Yandl presented the Minutes of the annual meeting held in May. Joyce Bowen moved to approve the Minutes, Steve Yandl seconded and the motion passed 5 – 0.

ELECTION RESULTS

1. Steve Yandl summarized election results for new Board of Directors. In total, 110 ballots (45% of the membership) returned ballots.

1.1. Joyce Bowen 101

1.2. Cheryl Carlson 97

1.3. Trina Coleman 97

1.4. Allen Kerr 98

1.5. Duane Oord 95

1.6. Bill Steenis 99

1.7. Steve Yandl 102

1.8. Write in votes

1.8.1. Dennis Bask 1

1.8.2. Holly Blume 1

1.8.3. Ryan Blume 2

2. After discussion of Officer Positions, including willingness to serve, Steve Yandl made the motion to retain the same officers from the previous year. Joyce Bowen seconded. The motion carried 5 – 0.

3. After discussion, it was agreed that Allen Kerr would continue as neighborhood watch chairman, Joyce Bowen would continue as ACC chairwoman, Cheryl Carlson would continue as maintenance committee chairwoman (with Steve Yandl as the only committee member) and Bill Steenis would continue to handle ‘Yard of Merit’. Allen and Joyce will provide names of committee members as they obtain commitments from members to serve.

TREASURER’S REPORT

1. Steve Yandl explained that on the finance reports provided by the bookkeeper and posted on our web page, several homeowners appear to owe for 2009 assessments when they do not. It appears that the errors are all situations where two owners with different last names are in the records and actual payments for the members had been received but posted against the account of only one of the names. Yandl will check to confirm that is the case.

2. Steve Yandl gave a summary of our current financial status. The operational reserve (money market account) has $23,686. The long term reserve has $68,338. Operational funds are $52,342 reduced to $45,377 after subtracting outstanding checks. We anticipate insurance claim payments from Verizon and Snohomish County for a total of $1,900 and a small balance that remains due from one homeowner for 2009 assessment. We’re fairly certain of anticipated expenses through the end of the year totaling $32,160 leaving us $15,117 to handle unanticipated expenses (before needing to pull from reserves). We’re guessing we’ll have at least $6,000 in expenses for sprinkler and fence repairs. We also anticipate $6,000 or more in additional attorney fees to handle the ongoing conflicts over unapproved rentals. If we don’t experience a lot of vandalism or the need to replace more locking mailboxes, we should finish 2009 in good financial condition.

MAINTENANCE

1. Cheryl Carlson reported on activities of the Maintenance Committee. We discussed handling of graffiti, specifically some new graffiti that had appeared on the electric transformer case below the boat park. Allen Kerr summarized why it is crucial that we document incidents with digital pictures and report to the police to keep them informed and then quickly remove graffiti once those steps have been taken.

2. We discussed the need to replace corroded galvanized garbage can inserts for the two wood surround trash receptacles at the boat park to allow the collector to remove full bags in a safe and sanitary way. Cheryl will handle that task.

3. Cheryl will also acquire two chains and padlocks to secure a small section of galvanized fencing at the NE detention pond where a short section of fence can now be used as a sort of gate to the pond.

4. We discussed getting Brian Skinner to complete the bark/mulching of beds along Snohomish Cascade Drive if our financial pictures stays healthy.

ARCHITECTURAL CONTROL COMMITTEE REPORT

1. Joyce Bowen reports that she has gotten five letters sent to members in the previous month. They were mostly paint project requests and one request to construct a pergola.

2. There have been a few boats/trailers/rec vehicles reported as improperly parked. There may be explanations for some (they may have been temporary during driveway projects etc.). Joyce will check them all out.

3. Based on observations of moving trucks, changes in the upkeep of certain houses and yards, we had a discussion on ways we could determine if a member was trying to rent out their property and keep it from the Association. Procedures were discussed that would allow us to catch some, if not all, of these situations (if any exist).

4. Allen Kerr reminded the group that the new ACC rules were shortly becoming binding and enforceable. Steve Yandl will incorporate the posting of the new rules in the ‘Rules and Procedures of the Architectural Control Committee Document’ when that occurs.

YARD OF MERIT

1. Bill Steenis reported that it was a better month than last with a larger contingent of winners.

2. Cheryl Carlson agreed to distribute signs for the month.

OLD BUSINESS – RENTALS

1. Fines as of meeting date

1.1. Aaron and Shellie Guimont $39,300

1.2. Steve, Om, Shiv Sharma, Ross and Donna Gillum $38,400

1.3. Jason and Angela Warner $4,200

1.3.1. After discussion, Board wants lien to be recorded to protect interests. Bill Steenis made the motion to record the lien, Cheryl Carlson seconded and motion passed 5 – 0.

1.3.2. Steve Yandl will check with our attorney to see if copies of the recorded lien should be sent to homeowner’s attorney in addition to their California address.

2. We discussed the fact that two of the three properties with unapproved rentals were now listed for sale and the advise given to us by our attorney in handling our fines/liens, if and when an offer comes in.

NEIGHBORHOOD WATCH PROGRAM

1. Allen Kerr distributed some informative brochures on graffiti, provided by the Sheriff’s office at one of the many meetings he attends.

2. Allen summarized materials he presented in the most recent newsletter. In particular, he pointed out that in our specific area, gangs were not at the stage where they engage in turf wars but when we get to that point the typical pattern is that a gang initially stakes out parks and similar public areas as their turf.

3. Allen recapped some of the area activities by gangs including Crips and Bloods (mature and established, moved up from South), Russian gangs (use kids ‘fund raising’ to scope out home situation and not afraid to use home invasion tactics) and the very violent Mexican gangs.

NEW BUSINESS – COMPUTER AND ALL-IN-ONE PRINTER FAX COPIER SCANNER

1. Bill Steenis pointed out that Steve Yandl was in need of a new computer and a new fax, copier, scanner to have something more dependable on hand. Most of the business done on these items are HOA property management type duties for which there is no compensation in our HOA. Joyce Bowen made the motion to authorize Steve Yandl to purchase those items with HOA funds for an amount to not exceed $1500. Bill Steenis seconded and the motion passed 4 – 0 (Yandl abstained).

NEW BUSINESS – SIGNATURE CARD

2. Since Directors and Officers stayed the same, there isn’t a need to create a new signature cards at CityBank. However, Allen Kerr started on the Board after the existing card was made up and isn’t currently able to sign checks. Steve Yandl moved that add Allen to the signature card. Joyce Bowen seconded and the motion passed 5 – 0.

MEETING ADJOURNED AT 8:35PM