JANUARY 11, 2007


BOARD MEMBERS PRESENT: Joyce Dunn Davis, Presiding; Monty Craig; Bill Harniman; Nancy Harthausen; Mike Mundy.


Treasurer. Bill Harniman reported that he has completed transfer of the 2005 excess of revenue over expenditures into the CSPOA Reserve Fund and has closed the one small checking account that had been sitting idle for some years and moved those funds into the CSPOA account with Security Savings & Loan.

Bill has called the POA auditors twice to request that they begin the 2006 annual audit by late January or early February so that it can be completed during the first quarter of 2007 instead of in the summer as has occurred in previous years. The firm, Milligan & Cheers, told Bill that Brad Cheers (the partner who has done the CSPOA audit in the past) has left the firm, so this year our audit will be performed by a company from Raleigh that subcontracts with Milligan & Cheers. Bill Harniman further reported that the CSPOA Audit and Finance Committee chair (Maslin Kain) is preparing a year-end report to be presented to the members at the Board Annual Meeting on February 3.

Bill has been attempting to resolve a discussion with the CS Villas that has gone unconcluded over several years. The issue concerns responsibility for the cost of updated security lights that were installed there by BEMC and added to the Villas’ monthly electric bill. In 1983 the CSPOA Board agreed in writing to pay the monthly electric bill for the Villas security lights, which is normally well under $50 per month. The cost has been included in the CSPOA electric bill since then. Several years ago the Villas had BEMC upgrade the lights and BEMC increased the Villas’ monthly electric bill to allow them to pay the cost of the upgrade over time, resulting in a significant increase in the CSPOA monthly bill. When this problem arose, something over a year ago, the CSPOA stopped paying the Villas’ monthly bill and began attempting to recover from the Villas the excess amount that had already been paid. The Board authorized Bill Harniman to resolve this problem by determining the exact cost of the upgraded light installation, deducting from that amount the normal monthly charges that have not been paid, and informing the Villas that the difference between those two amounts is what the Villas owe the CSPOA. The CSPOA 2007 budget includes funds to pay the normal monthly bill and such payments will be resumed starting with the January 2007 bill.

Architectural Control Committee
. Monty Craig reported that ACC work is continuing smoothly under the leadership of Stuart Henderson. He noted that some members have continued to telephone either him or the POA office to file complaints, but they are always instructed that complaints must be filed in writing and include the complainant’s name. The Board discussed complaints from neighbors of a home that is being seriously neglected by the owner, who apparently is living somewhere locally but not using or returning to his home in Carolina Shores. The CSPOA had the yard cleaned up several months ago and billed the owner, but the owner has not responded or done any maintenance since then. The ACC called in the Town of Carolina Shores Building Inspector to examine some structural and safety issues that are evident on the house because of neglect, which resulted in the Town sending a letter to the owner. The Board agreed that it is time for the CSPOA to begin legal action against the home owner and requested that the Monty contact the CSPOA attorney for instructions on how the CSPOA can do this in light of the fact that the owner does not respond to regular or registered mail. The CSPOA further instructed that before we begin legal action the ACC should talk with the County and the Town to explore whether there is a way for them to cooperate with us on any legal actions concerning unpaid debts.


Facilities Management.

- New Signs. Mike Mundy reported that the replacement of the gate and entrance signs has been delayed somewhat because he has not yet got an answer from the owner of the golf course on whether he would be willing to replace the entrance sign that faces Country Club Road in order to keep all the signage uniform. Bill Harniman has been in touch with him but has not been able to get a firm answer yet. The Board agreed to instruct the sign company to proceed with the rest of the work. Mike has received a bid from Coffey Grounds, the CSPOA landscaping contractor, for replacement of landscaping around the new Gate signs. The Board authorized Mike accept the Coffey Grounds contract as long as it states that the new landscaping will be uniform in design, will be done with shrubs and plants that will not grow tall enough to block the visibility of the signs, and the complete job will cost less than $2,000. Several of the signs that are not currently located in the best spot for driver visibility will be moved slightly. The Town of Carolina Shores Building inspector has confirmed that the Town does not object to this as long as the CSPOA complies with the State of North Carolina right-of-way on Country Club Road. Mike has talked with BEMC about installing lights at the Thomasboro Road entrance to the community. BEMC will do the job at a cost of $35.00 per light and about $1.50 per foot to run their lines up to the light. The total cost should be about $75. The Board authorized Mike to start the work. In talking with BEMC, Mike learned that they do free repairs on any security lights they install. In the past, the CSPOA has paid a local electrician to do these repairs at significant and unnecessary cost.
- Landscaping at Gate 6. The area at Gate 6 where the landscaping was damaged and never repaired by one of the local utility companies will be redone by Coffey Grounds at a cost of $750. There are no records in CSPOA files of when this occurred and which company did it, so we will have to pay the cost ourselves.
- Coffey Grounds 2007 Contract. The Board voted to accept the 2007 grounds maintenance proposal from Coffey Grounds at a cost of $2375 per month. This represents only a $500 increase from 2006, despite the addition of a number of tasks.
- Tennis Court Bleachers. The volunteers who are building and installing a small “bleacher” area at the Tennis Courts (to replace worn and rusted furniture currently there) expect to finish the task in the next few weeks. Mike Mundy has arranged for Coffey Grounds to take all the replaced items, along with damaged/unusable pool furniture, to the County dump.
- Keys. The padlock on the tennis court gate has broken and will need to be replaced. This will cause all the keys currently in use by members to be out of date. The Board agreed that it is important to keep the tennis courts locked. It will be necessary to change the pool pass system within a year because the company that provides the passes is no longer supporting that system and will not be selling additional blank passes. and requested that Mike Mundy look into changing the lock systems on the clubhouse, pool, and tennis courts to something that could all be access by a single key or pass.
- Clubhouse Gutters. The downspouts on the clubhouse gutters are in poor condition and in some cases are bent in a way that blocks the flow of water off the roof. The Facilities Management Committee recommended that the gutters be removed. The Board agreed and authorized Mike Mundy to locate an appropriate contractor and get a cost on removing the gutters and repairing/painting any damage left where the gutters are removed.
- Telephone & Cable Costs. Mike Mundy reported he has been examining the entire CSPOA clubhouse telephone and cable service and costs and has determined that we are paying for two different companies to provide email services. He recommended and the Board approved bundling all CSPOA internet services (including Broadband access) together in our account with Basic Internet (operated by Vaughn MacEntee) at a lower cost than we currently pay to ATMC. In addition, the CSPOA is paying for multiple phone lines that are seldom used. He is going to reduce the number of phone lines and explore how to make more effective use of the office phone system. If he is able to complete all the changes he proposes to make the CSPOA could save up to $150 per month on the telephone bill.
- Clubhouse Storage Areas. Joyce Davis reported that she has begun working with CSPOA clubs to clean out the kitchen and meeting room cabinets and reduce the amount of duplicated storage of supplies. She recommended that the CSPOA begin providing coffee and tea supplies for use of all groups in order to eliminate the many cabinets full of half-used supplies currently reserved by various clubs. The Board agreed. In addition, Mike Devereaux has been hired to install permanent shelving in the meeting room storage closet. Clubs will be asked to store their supplies in marked plastic containers on the shelves. The CSPOA will place extra cartons of the paper goods, cups, and plastic ware (currently provided for use of clubs) in that storage cabinet in order to ensure that clubs have easy access. Currently these items are stored in the locked office storage area and are difficult for clubs to access when needed.
- Replacement of Large Tables. Mike Mundy will move the three old, heavy long tables currently kept in the clubhouse over to the storage shed by the tennis courts so that members will be able to borrow the tables for personal use when needed. Joyce Davis will purchase three new and lighter large folding tables for the clubhouse.

Nominating Committee. Nancy Harthausen reported that the nominating committee has completed the process of recruiting candidates for the Board election, which included having each candidate complete the same questionnaire, introducing all of the candidates in the monthly Bulletin, hosting a Candidate Forum, and redesigning and mailing the 2007 election ballots. In accordance with the CSPOA By-Laws, no ballots will be opened or counted until the morning of the Annual Meeting and Election (February 3). The committee has documented the entire process used this year, including suggestions for additional improvements in the next election, and this information will be in the CSPOA files and provided to the new Board. Nancy noted that the incoming Board should immediately appoint a new Nominating Committee for 2007. The Board agreed and decided that the current committee members would be asked to continue in 2007, with the incoming Board taking responsibility for recruiting additional members or replacing any who are unable to continue.

Update of POA Records.

Human Resources. Nancy Harthausen and Joyce Davis conducted year-end performance reviews with the two POA office staff members (Vicki Samuels and Suellen Bennett). These reviews and the pay increases given to the two employees have been documented in the POA files. In addition, Nancy documented the current POA human resources policies on paid holidays, paid vacation time, and salary increases and presented this information to the Board. The existing (but not documented) vacation policy provides for one week of paid vacation after six months of employment and two weeks after 18 months of employment, all based on the hire-date of the employee. The Board voted unanimously to modify this policy to be based on a calendar year that begins on January 1; and to modify the policy to be five days of paid vacation on January 1st of the next year after an employee completes one year of employment and 10 days of paid vacation to begin on January 1st of the next year after the employee completes two years of employment. Each five days of paid vacation is to be equal to the number of hours of work the employee normally does in a five day work week. The Board further voted that Vicki Samuels and Suellen Bennett would continue to be covered under the old vacation policy (six months and 18 months of employment) since those were the terms under which they were hired. Future employees will be covered by the new policy. Nancy Harthausen will prepare a memo to Vicki and Suellen explaining this.
Deed of Restrictions. Nancy Harthausen is in the process of creating a “merged” copy of the Carolina Shores Deed of Restrictions (last modified in 2000) and all related Board Resolutions passed since the DofR was originally created. The goal is to produce a document that will provide complete information on each restriction and the Board policies and procedures that are used to implement it. The Board asked Nancy to continue working on this project after she leaves the Board so that it can be completed ASAP.

There being no further business, the meeting was adjourned.