MINUTES

Representing MAY Management Services Andy Macfarlane, Property Manager;  Debby Powers, taking the minutes.

Alan Smith, of the Insurance Committee and Susan Taylor of the landscape Committee were also present.

Quorum and Call to Order
A quorum was established and President Ed Bender called the meeting to order at 6:00 p.m.

APPROVAL OF MINUTES
There were several corrections noted on the May 10, 2005 minutes. Luana Quick moved to approve the May 10, 2005 Board of Directors Meeting Minutes as corrected. The motion was seconded and carried.

FINANCIAL REPORT
Ed Bender reported that the Association is now $1,470.31 under its expected year-to-date budget. There was discussion as to whether the $4,365 insurance claim was adjudicated. Andy Macfarlane stated the accountant told him it was put in the April financials, but the Board members didn’t see where this was noted. Andy Macfarlane will check with the accountant.

The delinquency report was reviewed. Ed Bender reported that he got a request form an owner who had paid her assessment check on time in January, but it somehow got lost in the system. The owner accumulated late fees and collection fees and is asking that these fees be waived. In the current financials it showed these fees removed, with the exception of $1.57. The Board members unanimously agreed to waive this $1.57 from account #21029 and Ed Bender stated the Board had agreed in the past to write off any amounts less than $2.00.

The rest of the delinquencies were reviewed, noting that that they have all received attorney letters, two are in the process of having money judgments placed, and two have a lien in progress. Mr. Macfarlane also reported that the first mortgage lender for account #1230 has stepped in on foreclosure and the mortgage company will have priority over the Association.

Angela Diaz was concerned that irrigation inspections are not being performed. Mr. Macfarlane explained that they are, but he added that you can’t expect the entire irrigation system to stay perfect for a month. Mrs. Diaz stated that she reported a problem with the irrigation system over a month ago and it still isn’t repaired. Mr. Macfarlane explained that they are having to replace some items that are over ten years old, and he thinks maybe some of the repairs should be coming out of reserves. It was decided that the Board can go back and reevaluate this after they find if the $4,365 is already credited to the account. Tommy Reinheimer stated that there is $2,800 in the reserves for pump replacement. Andy Macfarlane explained that the landscaper has replaced pumps. He believes they were at Wood Mill Trace and the South Entrance, but he will check for sure with the landscaper.

Tommy Reinheimer moved to accept the financial report. The motion was seconded and carried.

Insurance Committee Presentation - Alan Smith explained that the current insurance company will be dropping the Association for coverage so the Insurance Committee sought other quotes. Mr. Smith reviewed the quotes and he recommended to change to a $10,000 deductible and add a $3,000,000 to $5,000,000 umbrella policy. He also suggested adding crime coverage at a cost of about $600. There is currently $185,000 insurance coverage for the club house and it was recommended this amount be reduced. The basketball court and soccer field are covered for $110,000 and the insurance agent questioned if this was needed. The Board members felt this could be dropped. Discussion was held and after discussion, Ed Bender moved to accept quote #2 with a $10,000 deductible, eliminating insurance for the soccer field, insuring the club house for $150,000, adding crime insurance, keeping the D & O coverage the same and reducing the umbrella policy to $5,000,000. The motion was seconded and carried. Mr. Bender stated to get the revised quote and if it isn’t any more than an additional $1,400, go ahead with the policy. The date for the insurance expiration is June 25th.

Reserve Study – Harry Riddle reviewed the Reserve Study and felt there was way too much detail in it and that it was cumbersome for Board members to review. Tommy Reinheimer offered to design a simpler version that could be updated and once he gets something the Board members approve, it could be turned over to MAY Management to keep it updated each month.

MANAGEMENT REPORT
Andy Macfarlane explained that there will be additional expenses for fences. Luana Quick stated there is $35,000 in the Reserves for painting the perimeter fence. She stated that the Board had previously agreed that some of this money can be used to take down fences where it has been agreed upon, and put some landscaping in where the fences were removed. It is unknown at this time how much it will cost for fence removal. Luana Quick suggested taking this out of the Operating Account, then making an adjustment later. She reviewed on the community map the areas where fences would be removed and the areas where the fences will need to be maintained. Ed Bender stated he had received numerous emails from the Board members and was confused on how this is being handled. He suggested one Board member handle it, and Luana Quick replied that she has been handling it. The Board members were in agreement that if a fence is along a common area, they would like to have the fence removed and a natural area with plants. Areas that abut up to houses, a fence will still have to be maintained. Ed Bender asked that the project be continued and in the fall, the Board members will look at what needs to be planted.

Angela Diaz also reported that the stump needs to be ground down where the palm tree was removed.

Ed Bender reported that a resident has placed something on the website about a group of people using the tot lot that don’t live here. He stated that 50% of this group does live in Sawmill Lakes. Mr. Bender gave a little history of email responses regarding the playground and the pool. One person asked that the pool be fixed, but didn’t state what they felt needed fixing. Andy Macfarlane stated that some of the concrete is rough on the top of the side of the pool, and a black mold is starting to form there. Rick Arsenault will be treating it.

Mr. Bender brought up the mulch at the playground, and stated it was replaced three years ago. Andy Macfarlane stated that they use cypress chips and TNT gave an estimate of 57 cubic yards at a cost of $2,280. He also got a bid from Mulch Masters at $2,704. Tommy Reinheimer stated that according to the Reserve Study, the mulch should have a five year life and not need replacing until 2007. He suggested just adding about 10 yards and rake it out evenly. Angela Diaz added that he should spray herbicide before he puts new mulch down. It was also noted that the irrigation doesn’t seem to be draining properly at the playground.

Mr. Macfarlane reported that TNT has a new foreman for Sawmill Lakes and he seems very responsive.

Mr. Macfarlane had asked for bids on repainting the entrance sign. Two contractors backed out, but he is meeting someone else tomorrow. Angela Diaz stated that the sign is in poor shape. Tommy Reinheimer stated there is $900 for sign renovation in 2005 in the Reserve Study. Luana Quick suggested that the Board just have it repainted and try to make it hold on for a while. It was noted that in 2007 there is $19,000 allocated for entrance signs in the Reserve Study.

Andy Macfarlane stated that a resident will be sent to a hearing of the Covenant Enforcement Committee, for parking his boat overnight in his driveway. Bill Kerr will be holding a seminar for the Covenant Enforcement Committee.

Andy Macfarlane reviewed a bid for pressure washing the curbs, sidewalks, pool deck and clubhouse at a cost of $3,150. He also suggested the roof of the clubhouse be cleaned. Ed Bender suggested a vendor who will clean roofs for $65. He will pass this information on to all the Board members.

UNFINISHED BUSINESS
Dog Issues – Ed Bender discussed another dog issue. Andy Macfarlane has sent a letter and he will also contact Animal Control as the dog is running loose.

Discussion was held about the Covenant Enforcement meeting regarding the dog issue on Mill View Way North. The dog owner attended the meeting with four neighbors who were in support of him. The resident who complained did not attend the meeting. He told Mr. Riddle that he only opens his mail once a week and he didn’t learn of the hearing until after it was held. Mr. Riddle stated that this owner is now selling his house.
Discussion was held. The Board members agreed they learned from this incident and in the future when someone lodges this type of a complaint, it should be referred right to Covenant Enforcement and the Board shouldn’t try to handle it. The Board members all agreed that the Covenant Enforcement Committee is heading in the right direction and in the future a case such as this will not be heard or tried at the Board level.

Harry Riddle reported a problem with another dog who is not on a leash and runs right up to people.

Resident Request – Ed Bender received a letter from a resident at 728 Lakestone Circle who is having a problem with a stain above her garage door. She says she has tried to clean it, but can’t get it off. She has noticed this at another residence and asked if it is from vandalism or paint balls. Luana Quick stated that she knew of another resident who had a discolored spot over the garage door and in this case it was a defect in the original paint and the resident had to repaint the house.

Street Signs – Tommy Reinheimer reported that there is $13,000 allocated in 2007 instead of this year in the Reserve Study for signs. He explained that this money could be put toward replacement of signs using a more durable longer lasting signs, but that would commit the community to changing over to all those signs eventually. The Board members were in agreement that this is a good plan. Angela Diaz and Andy Macfarlane will review the signage and determine how many of the signs can be replaced for $13,000. It was agreed that if there is money left over from the fence project, that could be used for signs, and if not, the assessments may be increased next year to finish the sign project.

COMMITTEE REPORTS

Finance/Insurance – Previously reported at beginning of meeting.

Landscape Committee – Angela Diaz and Susan Taylor presented a landscape plan, but added that the Committee wasn’t in favor of the plan the Landscape Architect designed. The Committee then came up with a proposal of what they believed would look well using plants that wouldn’t die off in the winter at the front entrance. They described what plants would be cleared out and what would be planted in their place. The proposal would cost $3,100 and the Committee has $2,900 in their budget. The Board members approved the expense and it was noted that debris removal would not be included in the $3,100. A work crew of neighbors will be organized and this will be placed on the website. Angela Diaz moved to approve the above proposal and also to put the Landscape Contract out to bid. Luana Quick seconded the motion and it was unanimously carried.

Angela Diaz prepared a statement of work regarding the Landscape Contract. Andy Macfarlane noted that the scope of work for the landscapers has increased so more than likely the cost of the Landscape Contract will also increase. In particular, mulching of natural areas could increase the cost up to $15,000. It was noted that they would change this to putting in pine straw once a year. Andy Macfarlane and Angela Diaz will determine and designate specific natural areas to receive pine straw.

ARC - A written ARC report was included in the meeting packet noting the items that have been approved.
Andy Macfarlane reported that Tobe’ Budner brought an issue to him about house color approval and the Board discussed this a couple months ago. He explained that ARC was previously at a stale mate and now have voted to let the colors remain as they are. Luana Quick asked of ARC would keep the colors toned down a little.

Angela Diaz stated she needs to see the covenants regarding mailboxes before she can proceed with preparing a letter to the community regarding the negligent condition of the mail boxes. Andy Macfarlane will give her the specifications in the covenants.

Mr. Macfarlane also reported there was an owner who removed five pine trees without approval. The issue was reviewed by the Board and approval for removal of trees was granted.

Covenant Enforcement - Previously covered.

Civic Affairs Committee – Hal Hitch was not present to report, but he sent an email to all the Board members with updates. Ed Bender reported on the St. Johns County Vision Group and he stated he will share a map with the other Board members showing the approved road changes and what has been funded.

Communications- The scheduled work day for the landscape project will be noted on the board.

Luana Quick also explained that she is preparing a “Statement of Policy” to pass on to future Board for continuity.

Community Affairs – There will be a 4th of July parade.

Nominating Committee – Ed Bender will ask Bill Kerr to head up the Nominating Committee again this year.

Safety & Security Committee – A parking issue with a resident who was having a party was discussed. Cars should not be parked on common grass areas.

Harry Riddle presented a copy of the Sawgrass Players Club citations. The Board members reviewed the citation and discussed the possibility of using these citations. Angela Diaz asked if the SJSO deputy would issues these, and it was explained that they only issue SJSO tickets. Debby Powers explained that the Players Club has the right to fine for these items as it is written into their documents. She also explained that they have a 24 hour a day security staff who issues the citations. Tommy Reinheimer read from a community guide book regarding the right to enforce these issues. Harry Riddle suggested the tickets could be given out as a warning. Mr. Bender suggested that three warning tickets could be issued, then the person would be sent to Covenant Enforcement. It was noted that someone would have to track all that. Luana Quick asked Andy Macfarlane to check to see if a resident owes money to the Association if that can be placed on the person’s credit report. The citation issue will be discussed further at the next meeting.

O. M. & W – Howard Wallenstein was not present to report.

NEW BUSINESS
Card Key System for Pool – Angela Diaz obtained a verbal proposal at $1,400 for a card key system at the pool was presented. Andy Macfarlane suggested the vendor be asked how much additional cards would cost. Angela Diaz will get a formal quote before the next meeting, along with further information and a brochure if available.

PUBLIC COMMENT

None.
Next Meeting – The next meeting will be held on Tuesday July 12th.

ADJOURNMENT
With no further business to discuss, Harry Riddle moved to adjourn the meeting. The motion was seconded and the meeting was adjourned at 8:35 p.m.

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Ed Bender, President