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Minutes of the
 Whitley Bay Condominium Association, Inc.
 Board Meeting

 WEDNESDAY, NOVEMBER 16, 2016


Member Meeting: 
The meeting was called to order at 7 pm. The meeting was properly noticed at least 14 days in advance, by mailing the details and posting the agendas. Forty-six suites were represented in person or by proxy. Over 40 owners attended.

Retrofitting Update: Whitley Bay has fire sprinklers in units and the rec room, but not in stairwells and walkways. Just in case the fire laws change in the future, the association attorney recommended having owners “opt-out” of any future retrofitting. The ballot was mailed to owners in September, and the final vote is fifty-five (55) yes votes and zero no votes, so the Fire Sprinkler Retrofitting Opt-Out Vote passed by a majority. The attorney will write up the document, board members will sign, and the attorney will record the vote. We will then send a copy of that recorded document to each owner and post it on the website. 

Owner Questions about Budget: Forty-two (42) owners voted to partially fund reserves, and four (4) voted to fully fund, meaning the owners prefer that the monthly fee will increase $10, to $630 per suite per /month. Stan reminded the audience that this means a lower fee each month, but there might have to be a special assessment for future repairs or replacement. 

Results on Financial Reporting Vote: There was one vote to have an audit and forty-four votes to have a CPA review of the 2016 financials. This majority vote will save several thousand dollars in 2017. 

Hurricane Damage Update: Stan said a lot of tile was lost, a lot of broken pieces are still not able to be removed, and therefore, some areas are dangerous, so are roped off. Three professionals have looked at the roof, and all have said that all tile must be removed and a complete re-roof done. Our maintenance people patched over 75 holes in the foam roof from flying tiles. There was also some stucco and landscaping lost. Also, power was off for about 30 hours and boiler electronics on the roof were damaged. 

Residents asked about the pool area. Stan said the marina had some roof damage, and there were some nicks and gouges in the deck, but our easement requires the condo to pay a set amount and not all repairs on the building. Slip owners may use our pool, which the association pays all costs to maintain, but we just pay a percentage of their building maintenance. 

Adjournment: The members’ meeting adjourned after the update. 


Board Meeting: 

Call to Order: Stan Bowers called the meeting to order at 7:20 pm. Over forty owners attended. Agenda was posted more 14 days in advance, and all owners were mailed a copy of the proposed budget.

Establish Quorum of Directors: Board members in attendance: President Stan Bowers, Treasurer Bob Schrader, Secretary Terry Yates, and Directors Richard Isom and Margherita Ramsay. Michelle Davis represented Reconcilable Differences. 

Approval of Minutes from September 21, 2016: 
Bob motioned to approve these minutes as written and posted on the website. Margarita seconded, all in favor. 

Financial Report: Bob reported that through October, the association is almost exactly on budget. The building is getting older and we had $4K in elevator maintenance and $3500 on garage door repairs. 2 

Vote to Waive Full Funding of Reserves: Bob motioned to accept the majority owner vote and waive fully-funded reserves in 2017. Richard seconded, all in favor. 

Vote on Financial Reporting: Bob motioned to have a CPA Review of the 2016 financial records. Richard seconded, all in favor. 
Final Approval of 2017 Budget: Margherita motioned to approve the $10 per month increase to $630 per suite per month for 2017. Bob seconded, all in favor. 

Final Approval to Opt Out: Bob motioned to have the attorney record the final vote of 55 to zero to opt annual out of retrofitting the building for more fire sprinklers. Richard seconded, all in favor. 

Set Annual Meeting Date: The Annual Meeting will be held February 16, 2017. The first notice will go out in December, asking for volunteers to serve on the board. 

Discussion and Wording Approval for Policies and Procedures Manual: Electric vehicles are now being housed at Whitley Bay. We asked that they purchase a “Kill-A-Watt” meter to measure actual power used. Unfortunately, a resident purchased the meter and it blew up because the meter did not support a 50-amp push. We will need to find a meter that works better, and add those details to the manual. Wording to be used: Owners with electric vehicles will be required to purchase a meter to accurately record their vehicle’s electric usage. This meter will be read by maintenance personnel on a quarterly basis, or more often if necessary, so that the electric vehicle owner can reimburse the association for the actual kilowatts used to charge their electric vehicle. 

Discussion of Possible Material Alteration Regarding Damaged Tile: Stan had already mentioned that the tile on the roofs must be removed and replaced. They have cracked, broken, and the joints aren’t secure. There has been a lot of discussion about replacing the terra cotta tile with stone-coated metal barrel tile, to cut down on weight, be guaranteed in a 150MPH wind and last 50 years. Price seems to be comparable, but it is a material alteration. Owners would have to vote on this. Some asked to see a sample, so this will be brought in, after more research is done and costs are received. 

Discussion about Possible Special Hurricane Assessment: As has been mentioned on more than one occasion, the hurricane deductible on the building is approximately $640,000. It has been verbally estimated that this is close to the cost to re-tile and re-roof the building. Divided by the 64 residents, this means close to $10,000 per suite. There are roof reserves available, but they are nowhere near the amount needed to re-roof. There was discussion about hiring a public adjuster, and manager recommended the board have a structural engineer look at the roof. He can write up bidding specifications, oversee the needed work and guarantee that it will work. The board was willing to meet with an engineer to see what he recommends, as well as interview a couple public adjusters. 

Set Next Meeting: When the board has more information on roofing costs and needs, a meeting will be set. 

Adjournment: There being no further business, the meeting adjourned at 8:17 pm. 

Respectfully submitted, 
Michelle Davis 
Michelle Davis, CMCA, AMS, CAM 
Community Association Manager, Reconcilable Differences