Minutes December 17, 2017

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Board of Directors Meeting

Guest Forum: none

Call to Order: Dempsey called the meeting to order at 9:30 am at the Scenic Estates Clubhouse

Board Members Present: Leslie Dempsey, Doug Cash, Jeff Smith, Tim Slater

Board Members Absent: Don McCuiston

Staff Members Present: Allison Cash, Isaac Colgan, Kevin Southworth

Voting Status: All board members present are in good standing. Quorum present? Yes    

Changes to the Agenda: none    

Approval of Minutes                    

  • Cash moved to approve the October 15, 2017 Board of Directors Meeting minutes. Smith seconded. Slater abstained. Passed.
  • Cash moved to approve the November 19, 2017 Board of Directors Meeting minutes with the correction of specifying that when the beaver at the reservoir is caught, it will be relocated to Tim Slater’s off-island property.  Slater seconded. Passed.

Reports

  • President 
    Dempsey reported that all the new WECU accounts are opened with the signers Cash, Smith and Dempsey. An opening deposit of $10,000 was made to one account via transfer from Key Bank to WECU.  On line bill pay is in process of being transferred from Key Bank to WECU.

    Discussion check scanning software options. With single feed CX30, possibly less likely to have errors and much more affordable.  We do not process enough checks to justify price of multi-check scanner.  Cash motioned to approve purchase of Digital Check CX30 inkjet for estimated price of $369 + tax and shipping. Smith seconded. Dempsey noted to include purchase of toner, cartridges, etc. in purchase. Passed.

    Dempsey stated that $45,000 needs to be transferred from Operations account into (newly opened) WECU Unallocated Reserves Savings Account. Cash motioned to approve transfer of $45,000 from Key Bank Operations Account to WECU Unallocated Reserve Account. Slater seconded. Passed.

    Dempsey asked for a review of Policy 7 Statement C.  Water Readiness to Serve (RTS) Fee and D. Water Usage.  The statements will be updated as follows: 

    C. Water Readiness to Serve (RTS) Fee: All members with a water connection are charged an annual water hook-up, or RTS fee, based on the lowest tier of water usage (zero gallons per month).  This RTS fee will cover the period of January 1 to December 31 of each year and will be billed on a prorated basis with each supplemental water usage invoice.  This means that LISE will invoice for RTS even if there is no water usage during any particular period.  

    D. Water Usage: Supplemental invoices reflecting water usage including the prorated RTS rate will be issued every 2 months and will be due and payable within 30 days following the date of invoice.

    Slater moved to approve the proposed changes to Policy 7 C & D pertaining to Water Readiness to Serve fee and Water Usage as proposed and amended. Cash seconded. Passed

    Review Results of Policy statement audit by Colgan. Part 1-6 of Governing Documents are updated in Word and on the website. Part 7 needs to be transferred from PDF to Word document. Page 8: Readiness to Serve updated with language from 12/17/2017 BOD meeting. Add statement to end of Preamble: Any inconsistencies in wording or intent reflected in this policy and the underlying action approved by the Board on a particular subject or matter addressed herein, the Board’s actual action and intent as reflected in approved Board meeting minutes shall control. Cash motioned to approve changes based on the audit of Part 7 policy statements with Slater’s amended wording.  Slater seconded.  Passed.

    Three water shut-offs and 28 accounts sent to attorney for liens. Total collected from October letters and lien notices $44,671.97.

    Phone meeting with Julie Harkness Tuesday to clarify Oct and Nov month end closing and clean up any discrepancies. Julie would like to have laptop brought in, rather than remote access. Dempsey to update in January on conversation with Julie.

    AGM member approved BOD stipend to begin with January 2018 meeting attendance. $60.42 credited to one lot. Slater would like to decline credit.    
  • Treasurer:
    Review of November YTD Profit & Loss: Collected income very close to our budget. Expenses in most categories below what we have budgeted for.  

    Discussion of transferring funds from reserves for Maintenance Building garage door replacement. Upon final invoice, move total amount from reserves as motion indicated in November 2017 BOD meeting.  

    Review of 2018 member invoice formats (monthly & annual) and cover letter. By end of Feb., email newsletter explaining how we will use email addresses to communicate with members. Cash mentioned contact info sheet should be included with welcome letter to new members.

    Slater updated on discussion with attorney about whether LISE can condition future water service on a new owner (after tax or bank foreclosure) to pay off the balance owing to LISE at the time of the foreclosure.  He was told that when property gets foreclosed upon, the lien is wiped out and therefore, the property is off limits from collection efforts including requiring the new owners to pay off the debt in order to obtain water service. LISECC can pursue the former owners that incurred the debt in small claims court.
  • Operations/Water:  
    Cash reviewed the Operations Report, which included a DNR visit, installation of the new BBQ, and the status of the beaver trap. Members appreciate patching potholes and clearing/cleaning roads. Discussion of boat launch ramp and how to better support it.

    Southworth updated on broken pipe and pressure reducer control valve that needs to be replaced immediately.  Will need to utilize outside company for parts and labor to fix leak.
  • Communications/Planning:
    LICA has made printed copies of LICA Phone Directory Listing to be included in coupon book mailing. Mailing would be a benefit to LISE community, as it would give members the most complete LICA phone directory. Slater motioned to include LICA form in coupon book mailing. Cash seconded. Passed.

Member Communications

  • Account #20008: Request to refund Late Fees and Finance Charges. Allison to email and let her know that the board has looked at her letter, but needs more time to consider her request and will respond in January.  
  • Account #60035 & 60036:  Leslie to draft letter to member. 
  • Account #90044: Request to forgive Late Fees and Finance Charges.  Allison to email and let him know that it the board has considered his letter, but we need more time and will respond in January.  

Old Business

  • Account #40007: Provided Unsigned agreement for Account # 40008 split. Slater spoke to LISE attorney and his recommendation is that when it is divided equally, it makes sense to split dues accordingly. Billing should reflect ownership proportionately. Request that owner provides copy of signed document after recorded with the county.  
  • Smart phones for staff: Verizon quote would eliminate land line and add new lines for an additional $40/month. Slater motioned for Dempsey and Cash to work with staff to make most satisfactory decision regarding phones. Smith seconded. Passed.
  • Internet is up and running at maintenance shop for surveillance camera. Slater motioned for Kevin to work with Cash and Don to implement most appropriate surveillance camera system. Cash seconded. Passed.

The next board meeting is scheduled for January 21, 2018 at 9:30 am.

Meeting adjourned at 12:15 pm.

Slater motioned for 10-15 minute executive session to discuss personnel matters and additional attorney communication. Cash seconded. Passed.

Meeting adjourned at 12:26 pm.