Hawk Island Estates Property Owners Association

Annual Meeting Minutes

November 6, 2004


The annual meeting of the Hawk Island Estates Property Owners Association was held at 1:00 p.m. on Saturday, November 6, 2004, at the clubhouse at Pelican Bay Condominiums in Osage Beach, Missouri.  An attendance sheet was routed.  Of the Association’s 54 property owners, 19 were in attendance and 11 were represented by proxy.  The remaining twenty-four property owners were not represented.  The president of the Association, Jerry Niedzwiecki, declared that a quorum was present to conduct business and called the meeting to order.

All property owners in attendance introduced themselves.

2003 Annual Meeting Minutes

Jerry Niedzwiecki said the first order of business would be the reading of the minutes for the 2003 annual meeting, unless the members decided to forgo it.  Mike Cothern made a motion to dispense with the reading.  The motion was seconded.  The members voted unanimously in favor.

Budget Presentation

Jerry Niedzwiecki asked the Association’s treasurer, Cindy Howell, to review the 2004 budget and present the proposed budget for 2005.  Cindy reported that the highlight of the 2004 budget was the now-completed project to construct a new swimming pool and basketball/play area, and to renovate the tennis court.  The final cost of the project was $89,766, just slightly over the  $88,000 budgeted.  Excluding the pool project, operating costs for 2004 came to about $510 per homeowner, just slightly over the $500 that was assessed.

Cindy said that, for 2005, the board is proposing a $50 increase in the annual assessment to $550 and, in addition, a special assessment of $100 per homeowner.  Cindy went through each of the major expense categories and explained the basis for the budgeted electricity, insurance and maintenance costs for 2005, and how they compared to 2004.  Pool maintenance expenses are projected to increase to $2,200 in 2005, up from $1,686 in 2004, due to opening and closing costs that were not incurred in 2004.  The biggest increase in the budget is for the sewer and water system.  The estimated cost in 2005 is $15,735, up nearly $4,000 from $13,789 in 2004.  The increase is due to higher charges by the companies that provide monitoring and reporting services.  Cindy said that we sought competitive bids for these services and received three-year contracts, which we believe is the best deal we could expect at this time.  We are also expecting additional sludge removal costs in 2005.  The sewer and water system budget of $15,735 in 2005 consists primarily of $1,100 for annual permit fees, $4,600 for monitoring, $2,000 for sludge removal and $6,000 in repairs.  (In 2004, several water system repairs cost a total of  $5,100 and a sewer line repair cost $900.  As mentioned later in the meeting, there is no reason to believe that repair costs on our aging sewer and water lines will decrease.)

Cindy said that the Missouri Department of Natural Resources inspected our sewer plant in September and found several deficiencies.  She said that we now have a list of projects to bring the plant into compliance and that the estimated cost is $5,400.  A special assessment of $100 per homeowner is being proposed to pay for the projects.

In response to a question from Mike Carr, Cindy briefly explained how the pool financing appears in the budget.  She said that the bank loan of $20,800 that appears in 2004 is attributable to those homeowners who chose to finance their share of the pool project.  Nothing related to the pool project is shown in the 2005 budget.  Homeowners who are in the bank loan “pool” will receive invoices for their next installment around May 15, 2005.  Payments will be due around June 15. 

Tina Carr asked if the proposed $100 special assessment would be due at the same time as the annual assessment.  Cindy said that it would, so that only one invoice needs to be sent to each homeowner and so that we can soon begin the work on the sewer plant projects.

Don Ellis asked how the cost of operating our sewer and water system compares to sewer and water rates in Osage Beach.  Cindy and Jerry Niedzwiecki both responded that it is much cheaper.  Cindy said that $385 (or 70%) of the proposed $550 annual assessment is for the sewer and water system.  Mike Carr said that, for a home he owns in Tan-Tar-A Estates, he pays $34 per month to Osage Beach for sewer service alone.

With no further questions about the budget, Jerry Niedzwiecki asked for a motion to approve the budget as proposed.  Mike Carr made the motion.  Jerry Johnson seconded.  Jerry Niedzwiecki asked for a voice vote, and all except Don Ellis voted in favor.  Jerry declared that the budget was approved and that homeowners would each be assessed $650.

Old Business

Jerry Niedzwiecki opened the meeting to discussion of any old business.  Don Ellis responded that he had raised several items at last year’s meeting and that nothing had been done about them.  First, he said that one of the Hawk Island Estates signs on Pelican Drive continues to be obscured by the tall grasses.  Jerry responded that the board felt it was best to leave the grass as is, and that the sign was visible.  Second, Don Ellis asked about putting up at the entrance to Island Court the big Hawk Island Estates sign that was taken down when the storage buildings were erected at the corner of KK and Pelican Drive.  Jerry responded that the sign was too big.  Finally, Don Ellis said that the irrigation system issue has not been addressed.  He said he witnessed irrigation systems at three nearby homes operating simultaneously.  Jerry said that this has been addressed.  He said he personally adjusted the timer on one of the systems and talked to the homeowners of the other two, and that they subsequently adjusted the timers themselves.  Don and Rita Ellis both said that a lot of water is being wasted.  Jerry reiterated that the problem has been addressed, and suggested that the Ellises raise the issue directly with the homeowners in question.

Jerry Niedzwiecki reported that the damage to the sewer and well houses from the storm in May 2003 has been repaired.  He also said that there was some unruly behavior at the pool complex this summer.  In one incident, glass bottles were thrown over the fence into a neighbor’s yard.  In another, the pool furniture was thrown into the pool.  Jerry asked that homeowners be more aware of their guests so that behavior like this can be avoided in the future.

New Business

Jerry Niedzwiecki said that a committee was being formed to propose updates to the Association’s bylaws and restrictive covenants.  The proposals will be submitted to the members for approval at next year’s annual meeting.  Jim Glickert will chair the committee.  Two other board members will work on the committee, as will Tom Otto.  Jerry explained that the documents contain many items that are no longer applicable, such as those referring to the “developer” in our now-completed development.  He said that we would like to update the documents and distribute copies to the homeowners.

Jerry also brought up the subject of bonding.  The Association’s bylaws state that the board shall purchase a fidelity bond on each director and the whole board in the amount of at least $25,000.  Jerry said that this would cost $170.10 annually.  He also said that the board discussed this earlier in the year and didn’t feel a bond was necessary.  In the discussion that followed, it was clarified that the purpose of the bond was to protect the Association, not to protect the directors from liability resulting from their board positions.  However, Don Welsh asked the homeowners in attendance whether the Association should provide such insurance for the board members.  After some additional discussion and questions, Jerry Johnson suggested that the board look into the personal liability question and return to the homeowners with any recommendations.

Jerry mentioned that a new streetlight was installed on Hawk Island Drive between the Cables’ and McKibbens’ homes.

Jerry brought up the idea of a homeowners directory for the subdivision.  He asked the homeowners in attendance whether they wanted such a directory and, if so, what information should be included.  The general consensus seemed to be in favor of a directory.  However, some members expressed concerns about the proposed content.  Pat Dexter motioned that a directory listing only the names, addresses and telephone numbers of all homeowners be distributed.  Mike Carr suggested adding e-mail addresses.  Don Welsh then expressed concern about security for those homeowners who have a non-local address and telephone number, especially since there is a chance the directory could get into the wrong hands.  Pat Dexter amended her motion to try to accommodate these requests.  Jim Glickert then tried to simplify the matter.  He said that the plan was to send a form to each of the homeowners along with their assessment notice.  Each homeowner would indicate on the form what, if any, information they wish to include in their listing in the directory.  Inclusion in the directory would be entirely optional.  The members voiced support for the plan, and Jerry Niedzwiecki ended the discussion by announcing that a directory will be published.

Election of Directors

Jerry Niedzwiecki stated that Steve Morton has moved and that we need to elect a director to serve the remaining year of his term.  He also said that Jim Lewis’ current three-year term is expiring.

Mike Cothern nominated Jim Lewis to serve the remaining year of Steve Morton’s term.  Glenna Eckdahl seconded the nominated.  Jerry asked for a vote, and the vote in favor was unanimous.

Chris Niedzwiecki nominated Pat Dexter to a three-year term, filling the vacancy created by Jim Lewis’ expiring term.  Mike Carr seconded the nomination.  Jerry asked for a vote, and the vote in favor was unanimous.

With no further business to conduct, Jerry asked for a motion to adjourn the meeting.  Jerry Johnson made the motion.  Tina Carr seconded.  The vote in favor was unanimous.  The meeting adjourned at 1:50 p.m.

A round of applause was extended in thanks to the board of directors for their work.

Respectfully submitted

Jim Glickert



       Attendance sheet (to original only)

       Quorum sheet (to original only)