Lake James Property Owners Association, Inc.

Monthly Board Meeting Minutes

LJPOA MEETING MINUTES
June 21, 2008

Call to Order
LJPOA Board Meeting was called to order at 9:40 a.m. by Tim Hughes at his home.

Minutes from the Board Meeting held May 17, 2008 had been read previously by e-mail.

• Motion made by Jim Preczewski to approve the minutes.
• Motion second by Larry Bittner.
• Board Board Motion Vote: I’s All Nay’s - 0 -

Minutes from the special meeting held on Saturday, June 7, 2008 at the Houghton Lake Senior Center had been read previously by e-mail.

• Motion made by Jim Preczewski to approve the minutes.
• Motion second by Larry Bittner.
• Board Board Motion Vote: I’s All Nay’s - 0 -

Treasurer/Finance:
Dorothy Yakes presented the month ended May financial statements. She pointed out that we have now depleted the Special Assessment (Milfoil) account of all its monies except for $371.17. Also, now that our bill for the new boat launch keys has been paid in full, all excess money coming in will be credited to the Parks Savings account.

• Motion made by Jim Preczewski to accept the treasurer’s report as presented.
• Motion second by Don Bleisch
• Board Motion Vote: I”s All Nay’s - 0 –

Dorothy Yakes presented for review and approval all checks written through June 13, 2008.

• Motion made by Jim Preczewski to accept the check summary as submitted.
• Motion second by Larry Bittner.
• Board Motion Vote: I”s All Nay’s - 0 -

Ongoing Business

Blight Issues:
Tim Hughes read a letter that was sent to Ron Meiring on our behalf. Denton Township will not check out or support our blight issues. If any property owner has an issue regarding blight, it will be more feasible for that owner to go directly to Denton Township with their issues rather than complain to the Lake James Board. This topic will be brought up at the annual meeting in August. Tim also reported that he will be writing a letter to the owner of a vacant lot on Seashell Court informing them that they must post a sign on their property that there is to be no dumping. It has been brought to the attention of the board that several neighbors of the vacant lot have been dumping their leaves, grass clippings, etc. Tim will also be writing a letter to all property owners who have not cut their grass as the deadline for doing so has passed.

Donations:
At the special meeting held in June, a homeowner suggested we look at receiving donations for various projects around the lake. It was discussed that maybe this should tie in with the memorial/honorarium plan first proposed by Pam Bylica a year ago. Al Walker will contact Pam to see if she would head this endeavor.

LJPOA Website:
Tom Hayes of Suburban Computer is now the website host. His services are $10.00 monthly but if this amount was paid once a year, a 5% discount would be available.

• Motion made by Larry Bittner to prepay the annual fee amounting to $120.00.
• Motion second by Jim Preczwski.
• Board Motion: I’s All Nay’s - 0 –

Boat Parade:
The annual boat parade will take place on Saturday, July 5 with the gathering time set at 11:00 a.m. A new route will be developed so that boats will travel more freely and not get bogged down. Hotdogs will be served at the Red Barn immediately following the parade. The Board will purchase hot dogs, buns, chips, onions, lemonade, water, and pop.

Special Meeting of June-2008 Discussion:
The meeting was very well attended compared to the annual meetings in August. The property owners were taken through a power point presentation of past, present and future expenditures as well as an explanation of the Special Assessment (Milfoil) account and the fact that all monies will be depleted as of this year. Some questions were taken from the floor. It was felt by the board that the material was well presented but we need to get a better handle of how to deal with questions from the membership and hopefully implement this new procedure at the annual meeting in August.
Discussion of the material to be presented within the packet to be mailed out on July 21st followed. The packet will contain:

• President’s View
• Charts (in color, on a sheet back to back with a short summary explaining the material presented)
• Instructions on the ballot procedure (with a copy of the CPI printed on the back)
• Two separate proxies (one for the Board Directors position and one for the Bylaws amendment to Article 1 Section 5, annual dues along with a self-addressed return envelope for such)
• The board’s recommendation as to the annual dues increase (and a short summary as to why we made the decision we did along with an explanation of other options that were discussed but rejected)

All proxies must be returned no later than August 16th. Any other proposals that the membership would like on the ballot must be submitted to the Board no later than August 16th. No proposals will be taken from the floor the day of the annual meeting.

Several recommendations were discussed among the board members and the pros and cons discussed for each recommendation. Among those discussed were a flat increase in dues, a straight special assessment, a combination of dues and special assessment, different dues for on/off water, flat fee for all members regardless of lots owned, and dues remaining the same with $10 increments in the future.

It was the general consensus among all the board members that a special assessment should only be used for an emergency situation. Weed maintenance is an on-going event and not considered an emergency. It also requires extra follow-up which could take years to collect. A combination of dues and a special assessment presents the same problems as stated above. Lake James is one lake enjoyed by all regardless of whether the property owner lives on or off the water and should not be a consideration for a different scale in the dues structure. In addition, the parks are maintained with our dues for the enjoyment of all. A flat fee for all members regardless of lots owned was discussed but this proposal was considered to be unfair to single lot owners. Dues remaining the same with $10 increments was not considered to be a viable option as our current dues are not sufficient to pay for the weed maintenance much less any of our other expenditures.

After considerable discussion of all options available, the board agreed unanimously that a flat fee would be the best option and fair to all. The amount of the increase was then discussed and there was a difference among the board as to the amount. All board members were very cognitive of the economy but also looked to the future and their concern of erosion that needs to be addressed.

In summary the Board’s recommendation will be a flat increase in dues of $90 per lot with a CPI factor for future years not to exceed 5% as stated in the proxy. This proposal will be presented at the annual meeting for the property owners to vote on and will be stated as such in the packet to be mailed out.

The donation list for the annual meeting in August was discussed and all members of the board will try to contact the various businesses in the area. It was brought up that the businesses might not be as generous as they have in the past due to the economy.

Updates of ongoing business:
Al Walker reported that there are still 17 outstanding property owners with regards to paying dues. All are in some process of the court process in collecting such dues.

Al Walker reported that we now have the required signatures for the new property restrictions. Our lawyer, Ron Meiring, will now draft a letter to the Roscommon Register of Deeds and deliver such letter to the Court to record the modification of these property restrictions.

Jim Preczewski reported that keys for the boat launch are still being distributed.

Old Business

Dam Management:
Tim Hughes reported that the dam gates are closed.

Parks Management:
Jim Preczewski reported on the grass cutting. Grass will be cut in those designated areas on Monday, July 30. Brian Sprague has been asked to cut down several trees in the parks that are presenting a hazardous condition. No date has been set for this venture. On Tuesday, July 1, a small group of volunteers will gather at Hazelwood Park to fill holes along the seawall.

Fish Management:
No report

Aquatic Plant Maintenance:
No report

Lake Management:
No report.

Tim Hughes reminded all board members that Al Walker will be setting the agenda for July as he will be out of town until July 17.

• Motion made by Dorothy Yakes at 1:45 p.m. to adjourn the meeting
• Motion second by all.
• Board Motion: I’s All Nay’s - 0 –

Next regularly scheduled board meeting on Saturday, July 19, 2008 at 9:00 a.m. at the Red Barn.

Revised Monday August 18, 2008 10:14 AM