CAROLINA SHORES PROPERTY OWNERS ASSOCIATION
BOARD OF DIRECTORS MEETING
Monday, March 16, 2009
Minutes of the Meeting

Board Members Present: Linda Pennington, Dave Jones, Jan Knorr, Pete Gulliver, Al Franklin, and Joyce Dunn

Board Member Absent: Kerry Jarrell

Guests: Bill Cox- 2 Mashie Ct., Cathy Gulliver

REQUEST FOR FEE REDUCTION FROM CSPOA MEMBER
Bill Cox (2 Mashie Ct.) presented a request that the Board reduce the fee it charges to Carolina Shores residents who rent the POA picnic area for private events. After discussion, Al Franklin moved that the Board permanently reduce the rental fee to $50 (non-refundable) and require an additional $50 security deposit that is refundable if the picnic area rules are followed and the area is completely cleaned up. Dave Jones seconded the motion and it passed unanimously.

ACC HEARING: 29 GATE 6, OWNER NOT PRESENT.

Motion made by Linda Pennington, seconded by Pete Gulliver of $150 fine for multiple violations of illegal vehicle parking at residence and a $50 fine for every day (each infraction) of continued illegal vehicle parking after notification to owner of fine imposed. Vote: 5 Approved, 1 Nay
(History: a letter was sent to owner regarding two years of unpaid dues. A second letter was sent to the owner regarding multiple infractions for illegal vehicle parked at residence. Another letter was sent to the owner notifying of the Board hearing to be held regarding infraction of illegal vehicles and pending fines. As required by NC law, all of the letters were mailed to the address on file at the POA. All of the letters were returned undelivered.)


LIAISON TO THE TOWN OF CAROLINA SHORES (Pete Gulliver & Kerry Jarrell).
Board Liaisons to the Town Pete Gulliver and Kerry Jarrell attended the March Town Board of Commissioners Meeting. Pete Gulliver also attended the Town Meeting Workshop - Handouts presented at meeting, on file. Pete reported that part of a property on Pinebark & Oakbark Court, currently owned by a resident is under consideration by the Town to pursue acquiring for a right of way/staging area in the event of a natural disaster. The area would be gated and used only for natural disaster/emergency uses. Another section of that area was discussed as compost area for yard waste by the Town. No action will be taken by the POA Board at this time. Pete Gulliver has told the property owner that the POA would like the opportunity to discuss this with them prior to any decision they may make about selling the property to the Town.

REPORTS FROM BOARD COMMITTEES

TREASURER'S REPORT
Audit and Finance Committee Chair Cathy Gulliver requested the following:
1. Formal Approval of CSPOA 2009 Budget. After discussion: Dave Jones moved that the budget be approved, Jan Knorr seconded. All approved.

2. Formal appointment of the Audit and Finance Committee for 2009/2010. Members to be: Maslin Kain, Cathy Gulliver, Nancy Harthausen and new member, Kathy Edwards. After discussion: Al Franklin moved that the committee be approved, Dave Jones seconded. All Approved

3. Approval of Cathy Gulliver as Chair of Audit and Finance Committee. This had been approved in the February Board meeting.

Cathy Gulliver presented the results of the 2008 Audit and the Performance Letter received from the auditor. The auditor was well pleased with the thoroughness and accuracy of the CSPOA's 2008 budget and financial record keeping.

A Budget Workshop to review 2009 line items was scheduled for Monday. March 23, at 7 pm. All board members agreed to attend.

The Committee will begin work on the 2010 budget and have provided the Board a draft schedule for budget preparation. Per NC State Community Home Owners laws, the budget will be presented for member approval prior to final adoption in late 2009.

Dave Jones asked that the CSPOA Board officially transfer $21,553 (the amount of funds left at the close of the 2008 books) to the CSPOA Reserve Account in order to complete the budget commitment of $36,553 for 2008. Resolution made by Al Franklin, seconded by Pete Gulliver. All approved. In 2009, the Board must transfer $4600/quarter to the Reserve Account. Dave Jones motioned to proceed with the first quarter allocation, seconded by Pete Gulliver. All Approved.

Dave Jones requested that the Board consider changing its accounting method from the "accrual" method to a "cash reporting" method. He reported that the CSPOA Auditor does not see any problem with making this change, but such a change would require Board approval. After discussion it was the decision of the Board to table this vote until the Budget Workshop so more questions could be asked of the Audit and Finance Committee. Board members will review January and February budgets and an email vote will be taken following the Budget Workshop.

FACILITY MAINTENANCE COMMITTEE (Pete Gulliver, Liaison)
Grounds Maintenance

Pete Gulliver provided the first report from Verity (attached) regarding the grounds maintenance. The 2009 contract is for "mow and blow" only and does not cover the cost of purchasing materials to do landscaping, fertilization, or pest control. The CSPOA will have to budget for these items. Pete is working with the Garden Club Beautification Committee to decide what needs to be done and what is covered by the contract. Linda Pennington requested that Verity specifically clean the picnic area in time for the each of the summer picnics. Confirmed picnic dates are: Sunday May 24th for Memorial Day, (Monday rain date); Sunday July 5th for Independence Day (no rain date); and Sunday September 6th for Labor Day, (Monday rain date).

Swimming Pool
Linda Pennington presented two estimates from ADT for expanding the pool access system to enclose the bathrooms within the swimming pool fence.

If ADT just moves the existing card reader from the pool gate to the new gate outside the bathrooms the cost will be $1476.38. If ADT installs a new reader on the new gate outside the bathrooms and leaves the existing reader on the pool gate, the cost will be $994.42 for the installation with an annual service cost of $281.95. Points of discussion: If the reader is moved from the pool to the gate at the restrooms (as the restrooms need to be accessible for tennis players use), then there would be no readers at the pool. Adding a new reader would allow for security at both areas and could be programmed during the summer at the pool to allow access during pool hours and not require scanning twice.

Joyce Dunn told the Board about a recent incident where a young man was arrested for kicking in the door to one of the pool bathrooms. She recommended that especially due to this incident it is important to secure the bathroom areas and restrict entrance for those not having a pass card. [Linda Pennington noted that repairs are already underway on the bathroom door.] Along with estimates from ADT, there will be additional cost for moving the fence to enclosed the bathrooms and for installing a door or gate for the new card reader to be installed on. JMG will do this work. The Board decided that it should be a gate and not a door and Al Franklin moved, 2nd by Joyce Dunn, to have Linda Pennington proceed with having a new gate installed and ADT installing a new reader onto the gate. All approved.

Clubhouse Carpets
Joyce Dunn reported that a meeting has been arranged with the company that installed the carpeting to discuss ongoing problems with the carpeting. House Chair Debbie O'Dell and Board Member Pete Gulliver will participate in this meeting.

COMMUNICATIONS ADVISORY COMMITTEE (Jan Knorr, Liaison)
Jan Knorr is working to reactivate the Communications Committee beginning with a meeting in the near future with those residents involved with the Bulletin, Web page, the Newcomer Welcoming Committee, the volunteers who deliver the Bulletin, and any other interested POA members.

ARCHITECTURAL CONTROL COMMITTEE (ACC) Al Franklin, Liaison
4 East Pine Court wrote a letter to Board protesting an ACC denial of their request to remove a tree from their yard that is damaging a walkway. After discussion of information from ACC it was decided to request the home owner to secure the opinion of an arborist, acknowledging that the ACC and the Board are not experts in this field, and if it was the position of a professional arborist that the tree should be removed the Board would accept that recommendation. A listing of Brunswick County arborist would be made available to the homeowner if none were provided in the past.

Home Owner on Gate 10 requests variance to close in patio to a screen room. Letters from neighbors attached to request. Al Franklin motioned to approve request, Dave Jones 2nd. All Approved.

Linker & Linker Construction did not obtain a written ridge vent inspection for a house they are building on Carolina Shores Parkway. The contractor maintains that he did request an inspection and one was done, but there is no written record of the request or of any approval on file with ACC. Al Franklin motioned for $100 fine for failure to have proper inspections, 2nd by Dave Jones. Approve, 1 Nay vote. Note: Ridge vent has since been reviewed and approved by ACC.

Al Franklin requested if any board member changes a direction given to a staff member by the ACC that the board member making the request for change notifies the originator of the request as a courtesy.


BOARD ADVISORY COMMITTEE

Pete Gulliver advised that an Advisory Committee meeting would be held on April 8th at 11:00 am

OLD BUSINESS


The Carolina Shores Golf Course. Joyce Dunn explained that it was the resolution of the outgoing 2008 CSPOA board to have attorneys Ward & Smith complete preparation of the necessary documents for a vote of the members to modify the CSPOA Articles of Incorporation and Deed of Restrictions to and to have Ward and Smith present the documentation and voting procedures to the CSPOA members at an open meeting prior to any vote on the matter. Approval of such changes would put the Board in a position to move more quickly on matters concerning the golf course should the need arise in the future. Taking any action to purchase the golf course would still require a vote of the members approving an assessment to raise the money. The approximate cost to prepare the necessary documents and present to members would be in the $2500 range. Dave Jones will contact Ward and Smith and instruct them to continue work on the project.

The Split Rail Fence on Rt. 179. Al Franklin reported that Brian Durost is repairing the Split Rail Fence and the work may have already been completed. He will follow up.

Separating the Water Meter at the Swimming Pool. Al Franklin gave a report about changing the meters to eliminate the sewer charge at the pool. Brunswick County would require that the CSPOA provide an engineering plan for the project and we would have to build a separate water de-chlorination system (since we are considered a "community/public pool"). This would raise the cost of separating the meters much higher than the original estimate of $5000. Board members decided that the cost is prohibitive and this project will be tabled.

Nominating Committee
The need for a nominating committee is not immediate, but should be formed to generate interest in with members in serving as a Board member in the next election. Jan Knorr accepted liaison and will meet with the previous committee.

NEW BUSINESS


Use of the POA Building for a For-Profit Activity. Joyce Dunn had a request from a member to use the POA building for a computer training class that members would pay to attend. The Board agreed that the Articles of Incorporation prohibit for-profit activities in the clubhouse and the request will be denied.

Member Discussion Meeting. The April 20 Board meeting will be a quarterly member discussion meeting with all members. Dave Jones was asked to present the budget and to update the members on the next steps with Attorneys Ward and Smith concerning the golf course. Other agenda items can be emailed to Joyce Dunn prior to April 20.

Board Minutes. Joyce Dunn opened the floor for discussion on type of recording of the Board minutes. All Board members were given a chance to voice their opinion. Joyce Dunn motioned that minutes of the meetings would record decisions made by the Board and not names voting in favor or opposed of individual items. This motion seconded by Jan Knorr. Vote: 4 approved, 2 Nay

General Discussion. Al Franklin asked about access to the recordings made by the pool security cameras. It was explained that any Board member could have access, but that the data is normally only reviewed when information is needed about a specific incident that has occurred at the pool.

Al Franklin inquired as to the cost of overseeing the accuracy of the CSPOA accounting system and whether that is something a Board member could be doing to eliminate costs. After discussion it was decided that it is the role of the board to set policy and provide oversight of operations, but not to be responsible for specific daily tasks in the office or doing such things as grounds maintenance, repairs, etc.

No further business, Al Franklin motioned the meeting be adjourned, seconded by Pete Gulliver.
Meeting adjourned.

Respectfully submitted,
Jan Knorr
Secretary in absence of Kerry Jarrell