Annual Meeting Minutes 11-09-10

November 14, 2010

Highland Park Homeowner's Association

Minutes of November 9, 2010 Annual Meeting (2010-5)

Board Members Present

Fritz Wurster, President

Jerry Day, Vice-President

Maggie Plummer, Secretary

List of 17 homeowners present is on file with the Secretary.

The meeting was held at the White River Library.  The meeting began at 7:05 p.m. and adjourned at 8:40 p.m.

Budget

Fritz handed out copies of the proposed 2011 Annual Budget.  This budget differed from the one distributed with the Annual Meeting Notice. It contained an additional $1700 in Snow Removal expense.  The subject was raised regarding the amount the Association is paying Dennis O’Toole for keeping the Association’s books; Don Davis mentioned that $85 was the amount discussed at the 2008 Annual Meeting when it was announced that Denny would not run for office again. Maggie Plummer commented that there was never a number discussed at that meeting.  Fritz Wurster mentioned that he believes $250 per month is reasonable given the amount of work Denny does, including paying the bills, keeping the books, collecting the dues, including numerous mailings to residents and keeping a list of residents up to date. Fritz suggested that other offers would be entertained if received. 

Don Davis inquired as to what the Association is paying for the lake maintenance and the reasons.  Fritz explained the various covenants covering the lake and the history of the dispute as to who pays for front lake expenses.  Don Davis asked about the homeowners' liability because the Association pays for lake maintenance.  The Board did not know the specifics of our coverage.  Jerry Day offered to obtain a copy of our insurance policy, find out what coverage the Association has and get the information out to residents. Maggie Plummer explained to Don she felt the ponds were storm water retention ponds and a utility.  She read the covenants that outline who pays for lake maintenance.  Several residents discussed what would happen if the lakes were not maintained, both from a property value standpoint (decline) and from a watershed standpoint (dirty water discharged downstream).  Norm Thoeming also mentioned the outlet pipe that runs along his property and discharges into Auburn Branch Creek and its need for maintenance. Someone asked about the Miscellaneous category and Electricity category under lake Maintenance.  The Board will get clarifications on these categories and why the amounts fluctuate the way they do. 

Don Davis pointed out that 2011 Budgeted expenses exceed Budgeted income and wanted to know about a dues increase.  Fritz pointed out that income had been down the last two years because of the number of foreclosed properties where no dues can be collected.  It should be noted that in all but one case when a foreclosed home is fixed up and remarketed and sold, the title companies have been diligent in collecting delinquent dues for the Association. It is also more expensive to try to collect delinquent dues than the amount of dues we are trying to collect.  We do make an exception if the resident refuses to pay as opposed to being unable to pay.

Don Davis complained about the amount we are paying for landscape maintenance. Fritz explained that the Association has employed various entities who stated they could provide all the services we required.  In every case, when an entity was selected that did primarily mowing or was a small company, the results were not what we wanted or contracted for.  Brickman has provided services to the Association for the prior two years at least (at the same cost) and just submitted a contract for an additional two years also at the same cost and has provided superior service.

The Budget was voted on as presented and passed with two dissenting votes.

White River Citizens United (WRCU)

John Griffin had asked the Board if he could give a presentation at the Annual Meeting on the current work that WRCU is doing on behalf of White River Township.  He discussed the formation of the group 5 yr. ago to fight the Walmart store proposed for Olive Branch and 135.  WRCU needs money to continue their work and they obtain this from individuals and homeowner associations.  John went on to explain WRCU's opposition to the Bargersville water rate increase.  The group feels that White River citizens have no representation in the rate increase since we can't vote on Bargersville issues and the utility is no longer under IURC.  The utility is building a new treatment plant which will enable them to serve Trafalgar and Brown County.  WRCU feels White River Township citizens are paying for this.  Right now WRCU has no standing on this issue per the courts.

Board Member Vote

Joan Gutzwiller indicated her interest in serving on the Board.  A vote was taken on the three current members and the new member, and the candidates were elected to the Board.

Subsequent Events

Jerry Day obtained a copy of our insurance coverage.  The Association has
$1,000,000 in general liability coverage for the first occurrence and up to $2,000,000 for  subsequent events.  This includes anything within the Association including liability because of the ponds.  It also covers Errors and Omissions of the Board.  This coverage is in line with Article XIII of the Covenants which states minimum requirements for the Association. The Board will discuss whether theses amounts should be increased.  The Board is trying to obtain a PDF file of our policy that would allow it to be posted on the website.

 Homeowners should discuss this coverage with their own insurance agent and determine whether they should carry any loss assessment coverage or increase their own liability umbrella.