The Promontory at Soda Creek, Quarterly Meeting Minutes, May 9, 2023
Board members present: Angie Mays, Gretchen Stubenvoll, Chris Jenkins, Beth Hilquist, Dan Fesenmeyer, Cindy Middleton
Six of the six board members were present. Per section 6.6 of the Amended Bylaws, this constitutes a majority of the board for a quorum.
Other owners present: Chan & Rita Pollock, Bruce Bernstein, Dave Evans, Roxanne Smith
The meeting was called to order at 6:30pm at Tuscany Tavern.
Agenda was approved by voice vote with no objection.
Minutes from prior meeting: The minutes from the prior board meeting (February 9, 2023) were reviewed by Chris. Meeting minutes were approved by voice vote without objection.
The minutes from a virtual meeting by email on March 25, 2023 were reviewed by Gretchen. Meeting minutes were approved by voice vote without objection.
Gretchen gave a recap of activity since the last HOA board meeting. On February 21 via virtual meeting by email, the entire HOA membership voted to apply 2022 excess income of $3598 to 2023 operating expenses. On March 6 the HOA 2022 Tax Returns were filed (Federal tax due $77, CO tax due $11). On March 25 via virtual meeting by email, the HOA Board approved the 2023 budget. As of April 30, the HOA had Accounts Receivable of $7780 in 1-2Q dues payments. As of May 8, there was an AR balance of $4234. People are not paying their dues on time. It was discussed that some homeowners may not be receiving their invoices by email. This is likely due to the updated invoice software being used by Valentine Seevers. Gretchen will reach out to homeowners and Valentine Seevers to resolve this problem. As of May 9, the HOA checking account has a balance of $14,470.10 the savings account has a balance of $59,791.45 and the CD has a balance of $54,816.26 (total reserve amount of $114,607.73). Gretchen recommended that the HOA move a portion of the savings into a high yield savings account or money market account, currently earning 3.85% at USBank for amounts above $25,000. The CD is currently earning 1.09% and expires August 8. It is expected that it can be renewed in the 4 plus percentage rate range, depending on time horizon.
UPDATE ON LEGAL REVIEW OF HOA OPERATING DOCUMENTS
Gretchen reported on the legal review of the HOA operating documents. On March 2, HOA Attorney Elina Gilbert reviewed the current governance documents (Amended and Restated Articles of Incorporation, Amended and Restated Declaration (Covenants) and Amended and Restated Bylaws) in view of current CO law. She concluded that the Amended and Restated Articles of Incorporation are fine as drafted, the Amended and Restated Declaration (Covenants) have various sections that are no longer enforceable, and the Amended and Restated Bylaws have one section that is no longer enforceable. That said, she is not recommending any amendments to these documents and this project would be expensive. Also, the HOA is missing two of nine required policies (ADR Policy and Reserve Study Policy) and four of the nine required HOA policies need to be rewritten (Collection Policy, Enforcement Policy, Conduct of Meetings Policy, and Inspection of Records Policy). The remaining three of nine required policies are fine as written (Adoption of Policies Policy, Conflict of interest Policy and Investment Reserves Policy). Elina has provided the six new/rewritten policies, which Gretchen is currently reviewing and will present to the HOA Board for approval at the next board meeting. Finally, the Solar Panel policy has been revised from REQUIRING a homeowner to sign a maintenance and indemnity agreement protecting the HOA, to stating that the HOA MAY require such a maintenance and indemnity agreement. This revised policy will be presented at the next HOA Board for approval.
2023 Tax Resolution: Under Colorado tax law, HOA yearly net income is taxable to the HOA unless HOA members approve a tax resolution to rollover this amount into the next year’s operating expenses or reserves. Based on HOA projects planned for 2024, Gretchen Stubenvoll made a motion to rollover any 2023 net income into 2024 HOA operating expenses. Angie Mays seconded this motion, which then was unanimously approved by the HOA members present at the meeting.
Fire mitigation: Angie reported that Phase 1A is complete. Phase 1B begins May 11th.
Dumpsters: We will get quotes from other companies besides Waste Management.
Garage Sale: June 10th is the neighborhood garage sale, and the dumpsters will be here June 15-19. Cindy reported that we need a volunteer to support advertising the garage sale.
Landscaping provider service change: Roxanne noted that A Sanchez is our new vendor. This change was discussed, as well as a discussion about irrigation. The board agreed that we need to discuss our current landscaping maintenance.
Neighborhood signage update: Angie discussed this issue via correspondence from Bob Cappaert.
Roads: Dan reported that crack filling will happen this year. It’s in our budget and on the calendar.
2023 Tax Resolution & Covenants bylaws update: These items were presented by Gretchen and noted above Treasurer’s report.
Elections: Cindy Middleton is not running for re-election and her tenure with the board has ended. The board thanked her for three years of service. We now have a vacancy on the board. Cindy added that we need somebody to do “socials” for the upcoming year. Angie, Chris, and Gretchen agreed to continue in their same roles for another year.
ARC: No submissions
New business: Dave Evans requested that the snow removal vendor clear snow from the mailbox area. This issue was discussed.
The next meeting will be August 9th, 7:00pm at the Stubenvoll residence. The meeting was adjourned at 8:00pm.
Submitted by: Chris Jenkins, Board Secretary
Approved: August 9, 2023