Cinnamon Woods Homes Association, Inc.
Board Of Directors Meeting
February 18th 2010
18400 Cinnamon Drive
Germantown, MD 20874
Attendees: Jim Oltmann, Rick Blanton, Steve Traylor, Ron Komara, Ben Nerud, Kenya Smith, John O’Meara & Mary Inniss
Jim Oltmann, President called the meeting to order at 7:40pm.
1.) Approval of Minutes
December 2009 & January 2010 Minutes was tabled until the next meeting.
2.) Montgomery County Partnership for Renovations Update
Jim Oltmann stated that the BoD had met with the County today to review the preliminary scope of work for the program. The county will review it and add in federal requirements for government contractors. After that it will be ready to send out. He stated that there were 45 people who were identified as preliminarily qualifying for the program. He stated that the County would come out to the community center to interview the potentially qualified homeowners. The three courts potentially done would be Mustard Seed, Curry Powder and Thyme.
He also mentioned that the county was going to a lot of expense and planned to vinyl clad all of the wood trim so it would last longer. Siding costs for those homeowners who do not qualify for the county assistance will be provided once the contractor for 2010 is selected. These homeowners will be given the opportunity to have the new siding at their own expense.
It was asked whether the county will go beyond the three courts this year or next year. Jim stated that he had not had a chance to discuss that with them yet, but he wanted to open the program up to the entire community, including the ones that have already been done. He added the county suggested that instead of using insulated siding, that the building be wrapped in Tyvek over the scatter board and then apply regular siding. The siding cost would be the same but it would trap more air.
Jim stated that he was concerned that with all the new requirements in the scope of work and the federal requirements that we would loose bids from small businesses, but the Procurement officer was very amenable and stated that he would make himself available to answer questions and would hold a pre-bid meeting for contractors.
3.) Architectural Review Committee Report
Leighton Meek was not in attendance, so Marilyn Richards gave the report. There was one ARC request for 13020 Thyme Court for extend their fence. The ARC approved it. She also presented the Vines HIB written by the ARC to be reviewed by the BOD for approval. Jim stated that they would be reviewed.
The winners of the winter lights contest were announced. They are 12902 Poppy Seed Court, 18854 Poppy Seed Lane and 18336 Allspice. They will be notified and listed in the Spice Rap.
4.) Social Committee Update
Jim Oltmann changed the order and asked for the Social Committee report next. He welcomed the new committee and thanked the members for participation. Robin Caveny is the committee chair and she provided the report. They have some events already planned. March 13th will be family movie night and they are showing “Cloudy with a Chance of Meatballs”. On April 10th they will have an International Potluck Dinner. There are flyers available and they will be in the Spice Rap. She also stated that they are looking for additional members.
5.) Treasurer’s Report
Steve Traylor stated that because of the snow, a lot of meetings were pushed back so he visited the lawyers, the county and TMGA today. Because of the tight schedule, he was not able to put together his normal reports. Steve stated that while we were able to put $30,000 into the reserve account in January, he did not anticipate being able to do that in February and March and possibly not in April. With the large amount of snow, there would be high snow removal invoices coupled with the insurance premiums due for the year, we could easily spend $60,000 in the next two months. The assessments receivables due to the association are over $300,000, 37% of our annual budget. We have taken action on all delinquent accounts and have taken legal action where possible. 82 accounts at TMGA on payment arrangements but only 28 are current and paying on time. At Andrews Law Group there are 117 accounts in collection status with 49 on payment arrangements and current; 26 are bank foreclosures and the balances will be written off in the future; 37 have judgments and are being prepped for foreclosure by us via sheriff sale and 5 have already in process for sheriff sale. We anticipate a 4-5 month process for attaining the sheriff sale. For the record, there is $6000 for an account that is with the attorneys that needs to be written off. The name and address cannot be mentioned in open session. Steve stated that he wanted to consider listing addresses and delinquent balances in the Spice Rap to wake people up. Perhaps the embarrassment would convince them to pay their assessments.
He also discussed the 2010 budget. The annual budget for 2010 was approved last year by the BoD. He stated that there were changes made to the 2010 budget based on the advice of TMGA and after reviewing the year end statement for 2009 and reviewing the cash receivables trend over the past 12 months. Late fees were adjusted from $6000 to $12,000. Bank charges were raised from $300 to $1000 based on year end 2009 figures from TMGA. Insurance fees were lowered from $34,000 to $30,000 and we are currently taking quotes to make sure our pricing is the best possible. Real estate taxes were raised from $4000 to $9300 based on actual costs. Dumpster fees were reduced to $7200 because we have ended dumpster day. Pool management was reduced from $54000 to $44500. Pool repairs was changed to $5000. Water for pool usage was budgeted to $3600. Coupon printing was reduced to $3000. Trash removal was reduced to $50000 due to reducing collection from two days to one. Snow removal was increased from $12000 to $24000. The budget surplus is now $130,342 and hopefully this surplus will go towards paying down the due to reserves balance. The surplus will get wiped out when we have unexpected snow bills and other unexpected expenses. For example, with all the snow even some of the asphalt that had already been done in previous years took a beating and there may be additional asphalt needs this year. The renovations capital expense was increased due to the potential county funding. Originally we budgeted to do two streets this year, but with the addition of the county funding we are now doing three streets. Based on last year’s figures it will cost around $181,000 for the painting to the three streets. Steve asked that the revisions be approved at tonight’s meeting. He stated that this was his best forecast for 2010.
Ben motioned to accept the revised budget, Jim seconded the motion and it was passed by all BoD in attendance.
6.) Operating Reports
Kenya Smith presented the operating reports. She stated that it has been business as usual with a major focus on recovering from all of the snow. The February Spice Rap will be modified into a February/ March edition. Delivery was not possible in February due to the large amounts of snow around everyone’s home. They hope to have the Spice Rap delivered during the first week of March. They are continuing to update info on the website. Survey responses for the county have been compiled and interview dates have been scheduled for them to be on-site to meet individually with homeowners.
The grounds crew has primarily been focused on snow removal. They have also been removing broken tree limbs and trash. The tree company has been contacted to work in areas where the grounds crew cannot.
It was asked if there would be continued snow removal efforts to clear the parking lot spaces that were open. Kenya reported that they took heavy damage to the snow removal equipment and as soon as repairs were made, they would be back at it.
Someone asked about the clearing the sidewalks along Cinnamon Drive again. John O’Meara stated that as the county came out to widen the drive lanes along Cinnamon Drive, they pushed the piles of snow over the curbs and onto the sidewalks. We reported it to the county, but would try to clear the sidewalks on the side of Cinnamon Drive where the school is. The crossing guard would be notified to direct the kids to cross the street.
Jim asked if the pool contract would be ready to sign at the next meeting. Kenya stated that it was ready to go.
7.) Open Forum
No issues during open forum.
8.) Old Business
No items for old business.
9.) New Business
No items for new business.
Jim Oltmann adjourned the meeting at 8:18pm. There were 9 homeowners in attendance.