Minutes of Board of Directors Meeting. October 25, 2005

President Brian Kirkpatrick called the meeting to order at 07:28 PM.

 Board Members Present:  President: Brian Kirkpatrick, Vice President: Ty Bevington, Director: Rich Moreau and Director: Naomi Conrad were present in person, Secretary: Donna Gerritsen was present by teleconference thus establishing a quorum.   Also present was Peter Grant, representing Peter Grant, Inc. our management company.

 Notice of Meeting:  A Meeting notice with agenda was posted in the normal manner in accordance with the Association Bylaws and Florida Statute #718.

 Welcome new Director:  Brian Kirkpatrick extended a warm welcome to Naomi Conrad, the newest Board Member and thanked her for traveling to Florida to be present at this Board Meeting.

 Approval of Minutes:  Ty Bevington made a motion to accept the minutes of the 9/8/05 board meeting as distributed. Rich Moreau seconded the motion. The motion passed.

 Financial Report:  Treasurer: Ty Bevington gave an overview of financial data through the period ending today, October 25, 2005 as distributed to each Director prior to the meeting. Full details will be posted on the website. Past due accounts were discussed with continued follow up requested of Management where necessary.

Extensive discussion ensued on the draft 2006 budget preparation. It has been the Board’s expressed desire to keep the monthly dues to the current amount of $350.00

Large Utility and Insurance increases however make that unlikely. Virtually every discretionary line item has been reduced. After further deliberation Donna Gerritsen suggested we keep the increase to just $10.00 so that the monthly dues are $360.00. Ty Bevington made a motion to submit this budget ($360/mth) to the Owners at the budget meeting for Board approval. Rich Moreau seconded the motion. The motion passed.

Ty Bevington presented a Cash Management Review of our Reserve accounts ($179,433.72) and a proposal to increase our interest earnings on these amounts. A very detailed discussion took place on how US Treasury 3 month and 6 month Bills could be utilized to very safely increase our interest income while still maintaining the liquidity desired. A laddered maturity approach was proposed. Ty Bevington made a motion to implement the plan and open an Account with Treasury Direct (US Government) immediately. Rich Moreau seconded the motion. The motion passed unanimously.

 Clubhouse Interior Report:  The majority of work is complete including the restoration of the pool table. The round tables that had been discussed at the last board meeting were found to be available at Sam’s Club locally, thus saving the freight expense. Donna Gerritsen made a motion to purchase eight (8) new tables. Brian Kirkpatrick seconded the motion. The motion passed. The subjects of: resurfacing of the kitchen counters, Paintings and sofas were discussed and Donna Gerritsen, Secretary and Chairperson of the Clubhouse renovation committee will make final decisions on these items upon her arrival here at Harbour Village in November.

 Pier/Canal/Entrance Lighting:  Donna Gerritsen will meet with the Contractors on-site again in November to formalize the quotation.

 Drainage project:            Ty Bevington and Rich Moreau reported on their success on a test drainage trench from under building #2. The portion trenched now drains within several hours of a rain storm. An additional drain was found under building #4 and work will be done to clear it and ascertain if it will work as well as the test drain. This appears to be a low cost solution to the standing water under the buildings. Work on this will continue. It was noted that it may be necessary to install drains under the walkways and drain that water to the trenches.

 Unit Access Report: At the request of the Board, Management had completed a study of all the entry keys currently in the Lock Box and sent letters to those Owners who do not have current keys deposited with the Association. Most Owners have supplied keys. Management was instructed to send certified letters to the remaining few requesting immediate attention or have a locksmith come and make keys at the respective Owner’s expense.

 Water Heater Notice Report:  Management was instructed to send another letter by certified mail, receipt requested, to each Owner who has not responded.

 Legal Report:  Brian Kirkpatrick reported that our attorneys are monitoring the outcome of the Insurance company action on the water heater leak repair.

He advised that the draft of the condo docs had been delivered and each Director was provided a copy and asked to go through it and make notes for further in depth discussions at the next Board Meeting.

 New Business: Brian Kirkpatrick noted that Hurricane Wilma has further damaged more of the entry lights. Many of these are suffering from the effects of age and sunlight and the plastic is deteriorating rapidly. Management was asked to research what similar style lights would cost and report to the Board on a systematic replacement plan of all these lights.

 Next Board meeting:  Tuesday, November 29, 2005, 9:00 AM at the Clubhouse. This will be our Annual Budget Meeting where a budget for 2006 will be adopted.

 There being no further business before the Board Donna Gerritsen made a motion to adjourn, Naomi Conrad seconded the motion. The motion passed.

 Meeting Adjourned.