Final Minutes of the Special DVLA Board Meeting of February 12, 2013
The special DVLA Board meeting was held at the Fire House. No landowners were in attendance.
Board Members attending: Bill King, Terry Taylor, and Mac Thomson
Absent: Julie Cropper, Jim Johnson
President Bill King called the special board meeting of the Dammeron Valley Landowners’ Association to order at 6:00 p.m.
1. Approval of the agenda:
A MOTION WAS MADE by Terry Taylor and SECONDED by Mac Thomson that the agenda be approved. Motion carried.
In response to issues brought up by one landowner, Bill King wanted to address the following prior to continuing with the agenda items:
The dues are set by the budget - the Board does not set the dues. Whatever is approved by the membership for the budget, the dues are set by that. Right now the budget that is in use is two years old and amounts to $300 per landowner. There is nothing we can do about that until the SSD is formed, and is in effect, and is funded unless the membership decides to do something different in the interim. If there are enough people at the annual meeting and a different budget is approved, then the membership can approve a different dues amount. Again the dues are not set by the Board; they are set by the membership.
As far as paying off the fire station, it has been agreed that should happen, but only after the SSD has been voted on, that it is in effect, and it is known that the SSD is going to be a true event. Right now, we don’t know that, and we are exposed to liabilities as a private fire and rescue organization. It would not be in our best interests to deplete our cash reserve and then later have to come up with monies for attorneys’ fees, etc. The fire station should be paid off when the board members determine that the SSD is in full effect and there is a date at which the SSD will take over the operations. The fire station does not have to be paid off until it is transferred into the SSD.
The board members wanted everyone to know that they
have considered these issues and are addressing them as they arise.
2. Old Business:
a. Solicitation of ideas for use of this year’s recycling monies of $1,111.82
Mac Thomson MADE A MOTION that the recycling monies be placed in a contingency account and that it be used, as necessary, to cover such upcoming expenses as painting the community center, spreading additional road base at the mail box area, and locating the community center septic tank. The motion was SECONDED by Terry Taylor, and the motion carried.
b. Architectural review of plans for a proposed privacy fence for Ken and Sheri Mandell
Terry Taylor MADE A MOTION that permission be granted for a variance to allow the erection of a privacy fence on Ken and Sheri Mandell’s property; that the fence be no higher than the existing split-rail fence; that plants be planted at the same time the fence is erected; that the fence be erected as shown in the drawing submitted (approximately sixty feet in width) from the northeast corner of the Mandell’s RV barn to the property line of the neighbor; that the fence be in position for a maximum of three years (while the plants are growing), and that this variance be renewed each February until the fence is removed. The motion was SECONDED by Mac Thomson, and the motion carried.
c. Recommendations for the 2013-14 proposed budget
Chief Szczerbiak requested that $2,000 be moved from Item 3.6, Miscellaneous Equipment to Item 3.5, Medical Equipment and Supplies. Due to increased use of the fire house resulting in an increase in utility expenses, Item 2.1 Electricity was increased from $1,000.00 to $2,500.00, and Item 2.1 Gas was increased from $300.00 to $750.00.
Although no landowners, other than the board members, secretary, and fire chief are present, one landowner submitted a list of concerns to be considered during the budget discussions. These concerns were addressed in order, as listed, and are itemized as follows:
i) Why is there no line item 4 on the proposed 2013-14 budget sheet?
Line item 4 was previously used for the Fire Safety Council budget. Since we no longer have the Fire Council, line item 4 is not being used. The numbering of all the other line items did not been change due to the use of the current numbering system in coordinating the numerous financial records with other volunteers. If, or when, a new category arises, line item 4 can be used again.
ii) Why are landowners still paying $300 a year?
This issue was addressed by the president in his opening remarks.
iii) Would it be in the best interest of the association to pay off the firehouse in full now?
This issue was addressed by the president in his opening remarks.
iv) Be prepared to pay a higher insurance for “liability” alone for the community center, the park, play toys, tables, and barbeques.
The association will always have to pay for liability insurance on the above-listed areas as long as they are maintained by the landowners.
v) The budget should not reflect additional funding under Line Item 7, Social Events, other than the required annual meeting.
This issue was addressed by the president in his opening remarks.
vi) Why do we have a Line Item 6.10 for taxes?
Line Item 6.10 for taxes has to be there every year. The accountant does not know if we will have a liability or not until he works the tax return, both as a corporation or a home owners’ association return. If the return needs to be filed as a corporation, the $100.00 is what Utah state charges just to file the corporate state tax return, even if no tax is due. This has been explained numerous times during monthly board meetings.
vii) Why is there no charge for unpaid dues?
There is a charge for unpaid dues - $15.00 per month late fee. All unpaid dues are listed on Line Item 11, and all late fees paid during the year are also listed there (presently $6,310.00 collected this year alone), which has almost totally offset the dues not collected. Late fees collected are rolled over yearly into retained earnings and make up some of the excess monies that are available in the CD’s and savings accounts.
viii) Why was $117.00 in glass recycling deducted from the total recycling monies presented to the association this year?
The county auditor indicated that because it costs more to recycle glass than what is earned from the process, there will be a negative impact on the total monies returned to the communities. This year the monies were prorated to each community according to their actual tonnage per type of recycling, thus making the payments more accurate and resulting in the negative number under glass recycling. County personnel talked about the possibility of not recycling glass, but decided that would be entirely against the philosophy behind recycling in the first place. Dammeron Valley is recycling their share of glass, but any such recycling will result in a cost overall in that category. The auditor’s comment was “not to question free money” (jokingly) when we were discussing the reason for our call.
ix) Why is the association paying a “huge” internet fee of $825.00 per year?
THE YEARLY INTERNET FEE ($825.00) IS NOT “HUGE”, especially when approximately $250.00 in free long-distance calls can be deducted for the association because of the secretary’s free long-distance telephone program that makes use of the high speed. No long distance call has ever been charged to the association, even though personnel from title companies in Salt Lake City and out-of-town landowners and prospective buyers are called regularly. When the secretary was hired, she had only one request of the board members. She did not have high-speed internet because she did not use it enough to warrant the cost, but felt she would need it to do the job for the association. As a condition of employment, the board members approved the high-speed internet connection, and it has been in place since that time. (The secretary has addressed this issue before and would appreciate not being asked about it again since it was a condition of employment.)
x) Why do we have a Line Item 1.2 for the purchase of tables and chairs for the community center each year?
The 2012-13 proposed budget was not passed due to lack of a voting quorum. Therefore, the association is still using the 2011-12 budget which included that line item amount for $1,000.00. The president addressed this in his opening remarks.
xi) 410 landowners seemed to be a questionable number since is has not changed on the budget for several years.
Presently there are 414 dues paying landowners in Dammeron Valley. The number 410 was used as a rounded figure in determining a proposed budget, but the board members have requested that the actual number of 414 be listed on this year’s proposed budget figures. The number of landowners is verified with the county each year, and the volunteers at the voting tables are given a list of all landowners who are in good standing and those who are not.
3. New Business
a. Beginning preparations for this year’s annual meeting in May
Bill King requested that the board members look over the annual meeting checklist that was included in this evening’s packet before the next monthly meeting.
He also announced that he would be resigning his position as president if a voting quorum was not reached at this year’s annual meeting. In this event, the remaining board members would have the choice of continuing with four members or appointing a new member.
(As a side note, Mac Thomson and Julie Cropper’s terms as board members are also expiring in June, 2013.)
4. Comment and discussion by landowners: None given.
5. Adjournment:
A MOTION WAS MADE by Terry Taylor and SECONDED by Mac Thomson to adjourn the meeting. The meeting adjourned at 7:11 p.m.
Carol Clason, Recording Secretary
