The Lauren Condominium Association

MINUTES OF THE LAUREN BOARD OF DIRECTORS MEETING JANUARY 19, 2010  

The meeting was called to order at 7:12 p.m. by Roger Hirschland. Present were other board members Barrett Witkin, Elizabeth VanderPutten, and John Filice; and property manager Walter Krolman. Board Member Dwight Clark joined the meeting at 7:45 p.m.  

READING, MODIFICATION, ACCEPTANCE OF MINUTES OF THE MEETING OF DECEMBER 15, 2009  

The Board approved the December minutes as a true record of that meeting.  

BOARD DISCUSSION OF TREASURER’S REPORT      

The Board commented on reported differences between income and expenses. The Board will discuss changes to the presentation of the Lauren budget, the Simmons report, and the discussion of the financial statements in the minutes.  

The Board requested that the status of the 2009 audit be secured, as well as the expected date of delivery.  

See the Treasurer’s Report below
                                     
ACTION ITEMS 

Owner and Resident Notification Policy  

Except in emergencies, notification will be made five working days in advance of any action that will affect owners and residents.       

COMMITTEE REPORTS

Decorating Committee Progress Report

The sample for the hallway signs arrived and was approved by the Board.

The board discussed the design for the elevators. The estimated completion date is March 2010.

The Board commended Cacho and the staff on the repainting of the laundry room and for their excellent work during the recent snowstorm.

REVIEW AND DISCUSSION ITEMS

Smoking in units

The Board again requests that all owners who rent units include a non-smoking clause in their leases. The Board has received a number of complaints about smoke in the hallways that is emanating from a unit on the fifth floor. The smoke is also affecting units on the sixth floor. 

Driveway Safety

The driveway safety flashing light has arrived and will be installed shortly.

Laundry Equipment—Status of Malfunctioning Card Reader

The malfunctioning laundry card reader will be repaired shortly.

Hot Water Heaters

The new hot water heaters apparently were not capable of providing sufficient hot water during very cold weather at times of peak usage. The Board asked that building engineer Jack McNabb give options for either a fourth heater or a larger holding tank and provide quotes for both.

In-Unit Renovation

Unit 304

The Board commended the owners of apartment 304 on the care with which they are protecting the hallways during the construction.

Current Requests for Renovations

Units 112 and 113 pending submission of appropriate materials for approval by the Board.

New Business        

None

NEXT REGULAR BOARD MEETING

The next regular Board meeting is scheduled for February 16, 2010. As usual, the Board encourages and invites owners to attend the monthly meetings.  

ADJOURNMENT  

The meeting adjourned at 8:30.  

RESPECTFULLY SUBMITTED  

Elizabeth A. VanderPutten, Secretary  

TREASURER’S REPORT:  Year Ending December 2009

A.      Total Owners Equity / Net Cash Available

Total owners equity / Net cash available at the end of December 2009 was $ 1,043,326.89  

1.      Fund Balances as of the end of December 2009

a.      Operating cash balance as of the end of December 2009: $ 39,847.79  

b.      Reserve Funds:

c.      Unrestricted capital reserves:                   $    696,394.61

d.      HVAC dedicated replacement reserve 
fund booked balance:                                $    321,211.00     

Total Reserves         $ 1,017,605.61 

Note 1 re Reserve Funds:
Monthly reserve contributions total $ 17,247  into respective reserve accounts as follows 

·         General Reserves for 2009 = $11,950  per month

·         Restricted HVAC Reserves for 2009 = $5,297   per month

Note 2 re Reserve Funds:
The HVAC reserve fund includes an additional subsidy transfer of $42,376  from the general reserves as of January 1, 2009.

The HVAC reserve fund will include an additional subsidy transfer of $21,972 from the general reserves on January 1, 2010.

B. Year-to-date operations, through the end of December 2009:  

Explanation of expenses and income differences:  

Note ^\1 The $454,827 income overage is from the withdrawals from reserves used to pay for capital expenditures. The item was inadvertently left out of the Lauren 2009 budget.

Note ^\2 The boiler installation costs were higher than anticipated.

Note ^\3 The overage in Other Expenditures includes the $10,000 deductible in our insurance claim for losses from Koger, and $3,658.62 in unpaid bills from 2008. The remainder was for a claim for damages to a unit that our insurance company declined to cover.  

C.  Other Treasurer Reports  

2.      Laundry Income: 

a.      December coin deposits                                                 $ 1,712.25

b.   December “Net” Credit Card Income:                             $ 1,176.32

Total laundry income December 2009                   $ 2,888.57  

3.      2009 Audit:  Pending  

4.      CD Activity with Smith Barney  

·         Smith Barney has been successfully conducting electronic transfers of our monthly reserve contributions to the respective reserve accounts…General Reserves & Restricted HVAC Reserves.

·         Treasurer and Property Manager have reviewed the monthly Smith Barney statement of account for The Lauren Condominium reserves and have determined it to be accurate. Interested owners are free to request a copy from our Property Manager in writing. CD purchases / activity during the month are reflected in the monthly statement. 

·         Smith Barney has recommended a “laddering” of CD investments that will allow access for needed capital expenditures as they arise.  

·         The Treasurer and Property Manager discuss the following with Smith Barney on a regular basis:  a) Current money market funds; b) CD Maturing Dates d) Non Smith Barney CDs to be moved into our Smith Barney account.

·         Remaining CD’s to be transferred to Smith Barney upon maturity:

·   Principal Bank: Matures 2/8/10 (4.89%)       $ 74,389.98 @ Maturity will = $ 82,207.27.     We have set in motion for Joe Morris (Former Treasurer / Signatory) to make contact on February 8, 2010 to initiate an “electronic” transfer directly to our “Reserve” account with Smith Barney  

·         WA First Bank: Matures 7/24/10 (5.25%) $ 77,735.79  

4          Capital Expenditures          

·         Boilers and Hot Water Heaters: $261,898, which has been paid in full from our Reserve Account.  

·         Interiors: $245,832…Includes Contractor fees for actual construction regarding Hallways and Common Area Renovation, designer's fees / expenses, and estimated signage….$220,535 has been paid to date from Reserve Account with Balance Due Pending completion of renovations.  

- END OF TREASURER’S REPORT -