Minutes of the Annual Meeting of the Membership

Harbour Village Marina, Inc.

June 3, 2006

  1. The meeting was called to order at 11:20 am by President Gene Smith.
  2. Proof of meeting notice and a quorum was declared with 110 members present in person or by proxy.
  3. Gene Smith introduced the current Board of Directors (BOD). Gene Smith – President, Joan Smith – Treasurer, Vice Presidents – John King, Franc Noel, and Ron Van Sickle, Rich Barnet, Rich Moburg, Ray Layne, and Rick Tunner, Lead Director.
  4. A motion by Rich Moburg, seconded by Franc Noel was made to approve the minutes of the June 2005 meeting of the membership as distributed.
  5. President’s Report: Gene Smith discussed the transition activities that had been ongoing during the past year between PMHI and the HVMI Board of Directors. As of June 1, 2006, the transition to management of HVMI by HVMI was completed. Gene thanked all of the board, and in particular Walter Rich who served as lead director for the initial part of the year for their efforts to complete the transition to a membership-managed marina. Gene then recognized John King for his contributions to the marina. Gene also introduced Burt Lea, a member of one of the founding families of Hampstead as a new member of the Marina..
  6. Joan Smith introduced Terri Noel who served as scribe for the Board of Directors for the past year. Joan then introduced Ron Van Sickle, Interim Treasurer.
  7. Financial Report: Ron Van Sickle made the following points in his summary:
  8. The BOD has concluded that no increase in slip assessments is needed for the coming year.
  9. The previous special assessments have been combined into a single new account, and will remain separate from the general operating expenses. Once the dredging project is finalized, the BOD will consult with the members on what to do with any remaining funds.
  10. A review of the PMHI/HVMI files and books was completed for the past two years as well as an informal audit of the budgets and files for previous years. The data provided was accurate.
  11. The expenditures for the last fiscal year were within the budgeted amount.
  12. Ron Van Sickle then presented the new budget for the 2006-2007 operating year.
  13. Ms. Morgan questioned the line item for Dock Boxes, and Franc Noel responded that the new Harbour Manager was in the process of inspecting, repairing or replacing all the boxes in the marina.
  14. Mr. Kelley questioned the amount spent for legal fees. Franc Noel responded that the legal fees were generated for several line items: Creation of a contract with the new Harbour Manager, generation of a lease agreement between PMHI and HVMI for the boaters lounge, legal reviews of the new Rules and Regulations, and Dredging.
  15. Ms. Benoit asked whom HVMI was using for an attorney, as she felt using the attorney previously used by PMHI was a conflict of interest. The BOD responded that three attorneys had been utilized. Don Evan, a maritime attorney for the dredging activity and review of the Rules and Regulations; James Brandon for a review of the By-Laws and Rules and Regulations; and James Latshaw, a new HVMI attorney for the contract and lease arrangements. The BOD expects to use Mr. Latshaw for any dealings related to PMHI.
  16. A motion was made by Mr. Hardman, and seconded by Mr. Prout to approve the budget as presented. This motion was passed.
  17. Rick Tunner summarized the current status on dredging and indicated that while the Dredging Company has stated that they are done, surveys indicate that they did not complete the work as contracted. This matter has been turned over to the Don Evans, the maritime attorney for resolution.
  18. Mr. Benoit stated that the dredging assessment could be used only for dredging and proposed a refund to the members of any remaining balance. This item was placed on hold until the dredging activity was completed, and will be brought before the member for their vote on distribution or use at that time.
  19. Mr. Pupa stated that he had heard that it would cost $15,000 to complete the dredging work with a bucket and barge. Mr. Tunner stated that no further activity on dredging would be undertaken until the current contract is closed out.
  20. Ron Van Sickle, election committee chairman, announce that Ray Layne had been elected to a three-year term expiring in June 2009.
  21. Franc Noel described the activities undertaken to select and hire a new Harbour Manager. The BOD generated a Statement of Work document, and reviewed and interviewed several candidates. Mike Moran, President of Coast Carolina Yacht Service was selected to fill this position. Mr. Moran has over 16 years experience as a Harbor Master in Florida, has seven years experience as a Marine Surveyor, and served for 16 years, including 10 years as Chief of a volunteer fire company also in Florida.
  22. Ms. Benoit questioned how the hours Mr. Moran would be working was reconciled with the hours of the previous Harbour Master, John King. Dr. Noel responded that the schedule for Mr.Moran was based upon the statement of work and is a good starting point. Potential changes to less hours in the winter more in the summer will be considered if necessary. Dr. Noel also reminded the members that HVMI had been paying for only 40% of Mr. King’s time as he had other responsibilities for PMHI.
  23. Mr. Lomoriello asked about the availability of Mr. Moran when he was not physically present at the Marina. Dr. Noel stated that Mr. Moran was available by cell phone at all times, including days when he was not present at the Marina. In addition, the terms of the contract allow Mr. Moran to designate someone to cover for him if he is absent from the Marina during his scheduled hours.
  24. Mr. Gregorio questioned if the BOD had the authority to hire a Harbour Manager without a vote by the membership. Mr. Beaudoin asked the same about the lounge rental. Dr. Noel responded that according the HVMI By-Laws the Board is elected and empowered to act on marina management without a vote of the general membership. Ms. Benoit agreed that this was stated in the By-Laws. She initially stated that the BOD could even remove Board Members without a vote of the membership, but a closer examination of the By-Laws proved this incorrect.
  25. Ms. Benoit indicated that HVMI should review its By-Laws to determine if they are still applicable to an owner-managed marina. She then moved that a committee be established to review the By-Laws. This motion was seconded and passed by the membership following discussion.
  26. A lengthy discussion was held regarding use of the boat ramp. Gene was asked it he intended to make the boat ramp available to other subdivisions being built in the vicinity of the marina. Gene answered that he would make that decision in the fullness of time. Meanwhile, PMHI has turned over management and policing of the boat ramp to the HVMI Harbour Manager. Gene stated that PMHI would be refunding the $50 key deposits paid to all those who currently hold such keys, and are listed in the PMHI records. Slip owners and renters will have access to the boat ramp along with a few Belvedere owners who have legal rights. Mike Moran will establish a new lock mechanism for the ramp and be responsible for distributing and managing keys. Mr. Tunner indicated that the members should look at this new policy for the boat ramp as a privilege and use it responsibly. A lot of concern was expressed about current parking violations on the access road to the ramp. The BOD will investigate this.
  27. Several options for an HVMI office and lounge facility were discussed:
  28. Purchase the existing building (the Smiths have indicated that it is not currently for sale.
  29. Build a new building on HVMI property
  30. If and when PMHI renovates the current building, they could include facilities for HVMI in their plans
  31. Continue to lease as long as possible.
  32. Mr. Prout asked if Gene could sell HVMI a different piece of property. Mr. Smith indicated he would be willing to explore that option in the future.
  33. Build a new building above the lower boats on dock E.
  34. Build on the strip of ground behind the main parking lot.
  35. Mr. Ward stated that he did not believe that HVMI needed a lounge at all.
  36. Mr. Mosher asked if any slip owner fees were used in the construction of the present building. Mr. Smith indicated that they were not.
  37. Mr. Taylor asked if we could recoup expense of the lounge by renting or subletting space. Mr. Tunner responded that the current least does not allow this. The lounge is available on a first come first serve basis to all members.
  38. Ms. Benoit asked if we could lease just the restrooms. Mr. Tunner responded that the current lease of the lounge was a package deal with access to the restrooms.
  39. Terri Noel brought several items to the attention of the membership:
  40. The new website is now up and operational at www.harbourvillagemarina.com
  41. The new mailing address for HVMI for all mailings including assessments is P.O. Box 993 Hampstead, NC 28443
  42. Terri then read the inscription on a plaques presented to Gene and Joan Smith by Rick Tunner for their contributions to the marina.
  43. Ms. Benoit requested a list of all the slip owners. Mr. Tunner responded that the membership had not approved distribution of their names and information to the general membership.
  44. It was suggested that a map of the Marina be added to the web site. Ms. Noel stated that she would obtain a map and get it uploaded as soon as possible.
  45. Mr. Prout indicated that he was not able to get fuel spill insurance. Mr. Barnet agreed to speak with him offline.
  46. Dr. Noel moved to adjourn the meeting, Mr. Barnet seconded. There was no discussion and the meeting was adjourned at 1:00 pm.

Respectfully submitted,

Original Signed by:

Terri Noel, Acting Secretary

June 25, 2006

4