ANNUAL MEMBERSHIP MEETING MINTUES 6/11/19

BOARD MEMBERS PRESENT:      

President, Brooks Myers

Treasurer, Debbie DeBaun

Secretary/Environmental, Kim Watkins

Director, Carolyn Payton

Board Members Absent: Wayne Boote

Other Members Present: Jim & Mavis Quarles, Ryan & Jodie Bertram, Loren Hannavan, John Campbell, Robert Herz (by proxy), Lynn Liddle, John Kucera, Chris Nastro, Diana & Carl Strobel, Rick Brandon, Anthony Kubat, Michael Firedel, James Payton, Joe Kistle

Proceedings:

  • CALL TO ORDER: President Brooks Myers called the membership meeting to order at 6:40 p.m.
  • DETERMINATION OF QUORUM FOR ELECTION: President Brooks Myers has determined that we have a quorum for the election of Directors.  At the beginning of this meeting, there were 153 members eligible to vote; a quorum would be 15 members.  There are 21 Lot owners present or by proxy, which was more than the 10% required for a quorum.
  • ELECTION OF DIRECTORS – 3 POSITIONS AVAILABLE: The election was held by secret ballot.  Carolyn Payton and Kim Watkins were voted in by the members present for a 3 year term, ending in 2022 at the Annual Meeting.  Joe Kistle received two votes; however, he did not agree to be nominated for the board position and therefore would not be voted to the Board.  We still have one position open if anybody is interested please contact the Board.
  • REVIEW AND ACCEPTANCE OF MINUTES FROM LAST MEETING: Brooks Myers made a motion to accept the minutes of the last meeting as posted on the website.  Debbie DeBaun seconded the motion and the motion passed.
  • PRESIDENT’S REPORT: Summary of Board actions over the last year:
    • Committees were formed to address the bridle easements and covenant/bylaw issues
    • Attorneys office of Orten Cavanagh & Holmes has been put on retainer
      • $210.00 a month giving a 10% discount for hourly charges
      • Will remain on retainer until the bylaws and covenants are re-written and the bridle paths issue is resolved
      • Brooks Myers is the primary point of contact with the attorneys
    • Complaints:     
      • The farm equipment was addressed with a letter from the Board.  The board received an email from the lot owner and the final deadline for removal of the equipment will be the end of July.  The situation will be monitored by the board.
      • The inoperable vehicles and yard trash on the property was addressed, with two letters from the Board and a letter from the attorney.  The homeowners have asked for an extension, which has been granted but must be cleaned up by July 19, 2019 or legal action will begin immediately.
    • GENERAL DISCUSSION WITH ATTENDEES: Ryan Bertram expressed concern with the compliance of the complaint with the farm equipment.  What is the next step?  Brooks Myers responded that because the homeowner is responding to the Boards emails, we will keep monitoring the situation.  The homeowner has informed the Board that he has hired a third party to assist with the removal of the equipment. Ryan Bertram asked if we are just responding to complaints or is the Board actively looking?  Brooks responded, a little of both.
      • Variance and Environmental Overview-Reported by Kim Watkins(2) Variances for Setbacks and (1) for Frontage Fencing had been mailed in the last year.  All had been approved by a majority vote of property owners.
      • (4) Fences, (1) Detached Garage, (1) Garden Shed, (1) Storage Shed, (1) Loafing Shed, (1) Riding Arena, (2) Houses; these requests have been approved by a majority vote of the Board.
      • Sign banners were purchased and displayed for the annual meeting announcement.  These signs can be reused to announce the annual meeting each year.
      • We are actively looking for the missing PPHOA sign that was located at Peyton Highway and Steeplechase, if you have any information please contact the Board.  We would like to make any repairs and put it back.
      • Questions presented to Attorneys:
        • Regulations that govern the HOA CCOIA and Sunshine Act do not apply to PPHOA based on voluntary dues
        • The current wording of the bylaws and covenants are so nebulous that the lawyers can’t give a clear answer to us.
        • There is no standard definition to the wording of “maintenance” of the bridle easements.
        • It will cost a minimum of $5,850 to rewrite the bylaws and covenants.  This does not include research of County Records, Mailing and Voting to property owners or filing with the County.
    • Jim Quarles asked if the covenant change needed to be voted on by all property owners.  Brooks Myers stated that 2/3 of all Lot owners needed to approve the drafted changes by the Attorneys before it can actually be changed.
    • Diana Strobel asked if 2/3 of the property owners actually live here.  Debbie DeBaun answered yes but if we do not get enough of the property owners to vote then it is all a waste of time and money.  There is so much conflict between the bylaws and covenants that this will be challenging and it will not be easy to get the changes approved by the property owners. 
      THERE WILL BE A SPECIAL MEETING ON AUGUST 20, 2019 FOR ALL LOT OWNERS WITH THE ATTORNEYS TO PRESENT TO DISCUSS BRIDLE EASEMENTS
    • Bridle EasementsDo we keep them or not?
      • The HOA can get insurance, it will cost approximately $6,000 a year for 2 million dollar coverage between the general liability policy and the umbrella policy; however, this does not exclude the homeowner from liability.
      • Debbie DeBaun states this is General Liability coverage plus a 1 million dollar umbrella policy; this does not cover the property owner.  Joe Kistle commented that if there was a lawsuit the property owner would get sued first, then the HOA insurance would get sued.  This would need verification from the attorneys.
      • With the Special Meeting on August 20th the Board would like to finalize what the majority of membership wants to do with the bridle easements.
      • Debbie DeBaun is going to try to set up a Pre-Advisory Meeting with EPC before the Special Meeting on August 20th to determine what will need to be done should the members vote to do away with the bridle easements
      • Motorized Vehicles on the Bridle Easements is a violation of the covenants.  This can be reported to the board but the complaint must include who is doing this so the board can contact the violator.
      • Brooks Myers would like to put together a questionnaire to get opinions of the lot owners regarding current issues and post it on the PPHOA website before the next meeting.  This will also be mailed.  Mavis Quarles expressed concern that not enough people follow the information on the website and recommended mailing the questionnaire.  She pledged $100 to help cover the cost of the printing and mailing to the lot owners.
      • Debbie DeBaun stated that regardless of the issue of the bridle easements, the HOA has little money to fight to protect the property values.   In addition to everyday expenses; mailings, insurance, lawyers, we are going to run out of money; something needs to be done.
      • Joe Kistle stated that if, during a transfer of deed, if the “Bridle Easement” description was lost then it is no longer valid as part of the property description. Jim Quarles and Ryan Bertram stated that they would like this information to be verified by EPC.
      • Lynn Liddle asked how much money would it take to make the HOA work? Increasing  the HOA dues and making them mandatory
        Debbie DeBaun stated that if we had mandatory dues of $30 a year for 283 homes that would give the HOA revenue of $8,400 to protect and maintain property values.  If we do nothing, then the money will run out and if lot owners report a covenant violation, the HOA would not have the funds to bring the violation to court.  If the HOA doesn’t have the funds, then it would be the responsibility of the homeowner, should they want the violation rectified, to take the violator to court at the cost of the homeowner.
      • Brooks Myers stated that if dues had kept up with inflation the current dues would be $60 to $75 per year.
      • If we keep the bridle easements then it will be the responsibility of the Board to maintain and insure them.
      • If the property owners were to approve mandatory dues, and then dues were not paid, a lien could be placed on their property.
      • This Board will not pick and choose what to enforce, we will continue to maintain our standard until we run out of money and then it will be up to the individual property owners.
      • The average number of lot owners that pay their dues is 20%.  The Board has a fiduciary responsibility to spend the money wisely but without support funds will not be available to fight to maintain property values.
      • Per the bylaws the annual dues are due on July 1st of every year.         
  • TREASURE’S REPORT: Debbie DeBaun Reported:
    • 2019 YTD ending balance $10,512.44 @ ENT Bank
    • Profit/Loss report-we are at a $318.30 loss and a $1 Ent Dividend
    • Reports are available for review
    • We are paying $210 a month for the attorney retainer and $118 a month for insurance
    • Yearly dues are from July 1st-June 30th
  • ENVIRONMENTAL/ARCHITECTURAL REPORT – Kim Watkins Reported
    • LOT 235, 12’x24’ Loafing Shed has been approved
    • LOT 255, Frontage Fencing has been approved
    • LOT 171, Side Fencing has been approved
    • LOT 12, New House has been approved
    • LOT 120, New house has been approved
    • LOT 213, A Chicken Coop, no response to requested documents—status is pending
    • LOT 4, New house inquiry, no response to requested documents—status is pending
    • LOT 108, Submittal of plans for barn with mother-in-law quarters for phase one, new single family dwelling for phase two.  Plans have been rejected per covenants:  Article V –   Restrictions on Lots: Section 12 Buildings; the homeowner has agreed to revise his plans.
  • OLD BUSINESS – None
  • NEW BUSINESS
    • August 20, 2019 @ the Peyton Elementary School there will be a Special Meeting with the Attorneys to discuss the pro and cons and of making any changes to the bridle easements.
    • Please email the Board  Board@peytonpines.org with suggestions for questionnaire.  We need to know what most of the HOA members want!
    • Mavis Quarles has agreed to donate $100 to help with the mailing….THANK YOU MAVIS!!!!
  • ANNOUNCEMENT OF NEXT MEETING DATE
    • September 10th at the Peyton Elementary School will be the next board meeting
  • ADJOURNMENT
    • A motion was made by Debbie DeBaun to adjourn the meeting at 8:20 p.m. Motion was seconded and approved.
  • AFTER ADJOURNMENT
    • Michael DellArio from the Peyton Fire District met with the Board and presented a Fire District request to put a substation on the lot owned by the HOA.  This would entail putting a small building to house a fire truck and a lease between the HOA and Fire District.  As presented this would help the residents reduce the cost for insurance.  The Board told Mr. DellArio that we would look into the matter, discuss with the attorney’s and present to the lot owners for a vote.