FOUR WINDS BEACH RESORT CONDOMINIUM ASSOCIATION, INC.

BOARD OF DIRECTOR’S MEETING/TELECONFERENCE

MAY 24, 2007

 

A meeting of the Board of Directors of the Four Winds Beach Resort Condominium Association, Inc. was held at 10:00 AM, on May 24, 2007 at the resort.  Present were Vice President Pat Webb, Secretary Paul Erickson, Treasurer John Tanner, General Manager Nancy Yoder, Assistant Manager Larry Claypool, Four Winds Realtor Kathleen Rhodes and Four Winds owners John Kaichen and Gerry Schroeder.  Attending by phone were President Joe Walsh, Directors Bill Cunningham, Shirley Schilla and Jay Walters, and owner Ron Schilla.   

 

FINANCIAL BUSINESS:

Prior Motion to Move Interest from Reserves to Operating

Property Tax Excess Allocation

President Walsh called the meeting to order, and roll of the Board members and owners present was called.  Treasurer Tanner explained that in discussions with the Four Winds Auditor, Loton Williams, he had been convinced that, rather than using the Reserve Interest to supplement the resort’s Operating funds, this interest should be left in the Reserve accounts.  Furthermore, he had been persuaded that it was proper and advisable to move interest earned on and extra funds for Property Taxes into Operating Income.  As a result of this, Treasurer Tanner moved that his motion of February 6^th, 2007, moving Reserve Interest into Operating be rescinded, and that any money in the Property Taxes Payable account over the actual money collected for that purpose be moved into Operating as recommended by the auditor, with the understanding that every year, after paying the Property Tax, any further excess funds or interest earned will be moved into Operating.  Secretary Erickson seconded the motion, which then carried unanimously.

 

2006 Audit & Management Letter

Nancy Yoder explained that the Management Letter had been mailed to the Directors along with a letter from herself addressing each of the issues raised by the auditor.  She said that she would be happy to answer any questions about either letter.  Director Schilla asked for and received an explanation for the reconciliation of the money due from Rental Escrow to Operating.  President Walsh and Director Schilla voiced general approval over the quality of the Audit.  In an effort to better address several items brought to light during the Audit, Treasurer Tanner moved that Four Winds upgrade the QuickBooks software on both back office computers and get the full phone support package, provided that the total cost was $800 or less.  He also explained that the Budget Committee, Nancy and Larry intended to send out a questionnaire for the Directors to return in regard to setting up the 2008 Budget.  Vice President Webb seconded the motion, and, after discussion, the motion passed with all Directors voting aye except Director Walters, who voted nay.

 

Director Schilla asked about the signers on the checking accounts.  After discussion, Director Walters moved that, following the recommendation of the Auditor, Larry Claypool be removed from the checking account signers’ list, and that Vice President Webb and Director Cunningham be added.  Both Secretary Erickson and Director Schilla seconded the motion, which then passed unanimously.

 

Insurance for 2007/2008

Nancy went over the breakdown of the annual insurance costs broken down by coverage and answered various questions from the Board.  The possibilities of self-insuring and creating a fund to cover larger deductibles were discussed. 

 

2006 Audit & Management Letter (continued)

Director Walters reintroduced discussion of the Management Letter, specifically the recommendation to simplify the Reserve Account listing in the General Ledger.  Treasurer Tanner explained that he was still not in favor of any such simplification.  After discussion, primarily between Director Walters and Treasurer Tanner, it was decided to have Loton Williams present and on the agenda for the September meeting. 

 

UNFINISHED BUSINESS:

Increase for Sunshine Cleaning

Director Schilla pointed out, and Treasurer Tanner corroborated, that Sunshine Cleaning had not saved any appreciable money in the Unit Supplies line item.  The Board decided that it was premature, at this point and under these circumstances, to give Sunshine any additional money.  The Board then discussed the contract increase being asked for by Sunshine cleaning for the September meeting.  Nancy was directed to have bids from Sunshine and other cleaning companies out to the Board members by August 15^th.

 

NEW BUSINESS:

Guest List

In response to Director Schilla’s inquiry, President Walsh explained that, in compliance with the Association’s Attorney’s letter in this regard, a weekly guest list was being posted in the lobby display case.  Director Schilla indicated that this was an acceptable solution to the problem.

 

The Next Meeting Dates

Following Director Walter’s inquiry, Treasurer Tanner suggested splitting the two days scheduled for meetings so that there was a day to regroup between them (instead of meeting on Tues. & Wed., meeting on Tues. & Thurs.).  After discussion, it was decided to schedule meetings for Tuesday, Wednesday and Thursday (September 11-13, 2007), with the intention to cancel Wednesday’s if feasible.  Director Cunningham made the motion to this effect, which was seconded by Director Schilla and carried unanimously.

 

ADJOURNMENT:

President Walsh asked for a motion to adjourn.  The motion to adjourn was made by Director Cunningham and seconded by Director Schilla.  The motion then carried unanimously.  The next scheduled meeting of the Four Winds Condominium Association Board of Directors is the Budget Workshop, September 11, 12 & 13, 2007.

 

Respectfully submitted,

Larry Claypool

For Paul Erickson

5/24/07