2008 ANNUAL MEETING MINUTES
Lost River Valley Property Owners’ Association
June 7, 2008
The Annual Meeting the Lost River Valley Property Owners’ Association (the Association) took place on June 7, 2008 at the Lost River Retreat Center.
Call to Order
The Association President, Bob Alcock, called the Annual Meeting to order at 1:05 pm, and noted that a quorum of the membership was present.
Minutes of the 2007 Annual Meeting
The membership considered the minutes of the 2007 Annual Meeting. Bob Dillard moved that the minutes be approved as written. The motion was seconded by Peter Lefkin. The motion was approved unanimously by voice vote.
Greg Thomas, Treasurer, provided a Treasurer’s Report. He began by reporting that the Association is currently in a positive financial status. There were no deviations from the 2007 Annual Budget. It was estimated the Association would not exceed the Annual Budget for the current fiscal year. The Association has paid for all roadwork projects to date.
Greg Thomas indicated that the majority of Association expenses were related to road maintenance. Actual expenditures in 2007 by the Association were lower than budget projections, primarily due to lower expenditures than anticipated for snow removal. He also informed the Association that its insurance policy premium was reduced through the establishment of the Lost River Valley Property Owners’ Association Safety Committee.
Greg Thomas reported that the Association began 2007 with $18,000 in the Reserve Fund. The Reserve Fund has been invested in a Certificate of Deposit as that provided a greater return than retaining the balance in the Association checking account. The Association paid $168 in tax liabilities from interest earned by its Certificates of Deposit in 2007. The balance in the Association checking account as of June 2 was approximately $40,000. Total assets for the Association were $58,000.
Thus far in 2008, approximately $1,000 in donations and $1,000 in construction fees have been received. On behalf of the Board of Directors, Greg expressed appreciation for those who had contributed to the funds, and he encouraged the membership to make contributions in the future.
Greg Thomas also provided the membership with a status update on collection of delinquent Annual Assessments. In 2007, a total of $1,350 in delinquent assessments was uncollected. It was noted that the location of one owner was unknown to the Hardy County tax collector as well as the Association. Greg Thomas also provided the membership with the names of Association members who had not paid their 2008 Annual Assessments.
The floor was then opened for questions from the Membership regarding the Treasurer’s Report:
Fred Spangler asked for additional information regarding the Certificates of Deposit purchased by the Association from Reserve Funds. Greg Thomas indicated that interest from the Certificates of Deposit yielded a greater rate of return to the Association than a savings account, even taking into account the tax liability of the interest earned.
Greg Thomas also provided the Association with a document that compared Annual Assessments of neighboring property owners associations. It was noted the $163 Annual Assessment of the Lost River Valley Property Owners’ Association was significantly lower than the Assessments of a majority of neighboring associations.
There being no further questions regarding the Treasurer’s Report, Bob Lawson moved that the Treasurer’s Report be approved as presented. The motion was seconded by Nancy Howell. The motion was approved unanimously by voice vote.
Bob Alcock provided the membership with an assessment of recent damage caused by extremely high winds. He noted there were trees that had blocked Association roads that had already been removed. He further noted that the additional maintenance efforts would be continuing to ensure the roadways under Association jurisdiction remained safe.
Joe Keyerleber provided an overview of road maintenance activities. He began by thanking property owners who had contributed to the Road Maintenance Fund. Joe indicated that rising costs for fuel and contractor services contributed to increased expenditures for road maintenance. He asked the Association to abide by the posted speed limits in order to reduce washboarding.
Joe Keyerleber provided the Association with the following Road Maintenance Report:
- Last fall, tree and brush trimming was performed on the roads most in need, prior to grading. Volunteers did a lot of it, and a contractor did the rest. The roads trimmed were Whispering Pines, Settlers Valley Way and Valley View.
- This spring we are trimming Meadow Lane, Wildlife Drive, Fox Squirrel Way and Pleasant Valley. The standards for trimming are 15 feet vertical over ditches and 20 feet vertical over roads. This is necessary so that the grader and crusher run dump truck can operate safely and without being damaged.
- Next year we plan to trim Moonshine Hollow, Hunters Ridge and Spurs Access.
- Last fall, volunteers filled many potholes on the roads, and our contractor filled the others. We try to leave a pile of material for this purpose, and we will notify the members when we have done so.
- During the fall grading, we addressed the issue of washboarding on hills. Unfortunately, the washboarding keeps reappearing.
- We hired a consulting road engineer, Dave Vanscoy, to advise us on washboarding as well as specific problem areas on Whispering Pines, Fox Squirrel Way and Spurs Access.
- The engineer advised that the only long-range solution for washboarding would be to pave the roads. We have no plans to do this, and will continue our annual efforts with our contractor to control washboarding as much as possible.
- A spring on Fox Squirrel Way led to soft road conditions. Two trucks became mired in the mud and had to be towed out. We are currently rebuilding that section of road with a French drain that will conduct the water away from underneath the road.
- We are working with property owners to correct a difficult water problem on Spurs Access. A new driveway has caused water to flood across the roadway, rendering it almost impassable for the property owner below. The owner of the driveway is taking responsibility. The owner’s contractor is currently developing specific plans to correct the situation, under authorization and oversight of the Board.
- Due to a mild winter, our ten miles of roads remained in relatively good condition. Snow was plowed and cinders put down only once.
- The Board conducted a survey of all Association roads on May 3, 2008, and a list of road projects was developed.
- The spring roadwork has been delayed due to rainy weather in May. Ditch and culvert clearing, grading, and laying down crusher run is ongoing at this time.
- We are trying to avoid roadwork on the weekends, as this could be an inconvenience to our members and a safety concern as well.
- Many thanks to the volunteers who helped with trimming and filling potholes.
- We would like to remind everyone to inspect their driveway culverts to make sure they are clear of leaves and any other debris, and that water is able to flow through them.
- Please drive slowly on Association roads. Speed, especially putting the hammer down on hills, is a strong contributing factor to washboarding and roadway deterioration. Everyone should also advise their visitors and contractors to drive slowly and carefully on our roads. The speed limit on Association roads is 15 mph.
- Free piles of mulch for property owners are located at the end of Meadow Lane, towards the end of Settlers Valley Way, and at the low point of Whispering Pines.
The floor was opened for questions from the membership regarding road maintenance issues.
Jeff Grove provided the membership with a detailed explanation of the significant water accumulation on his property on Fox Squirrel Way. He indicated that, during New Business, he would seek approval from the membership to have the Association cover part of the cost of repairs to his property. Bob Alcock explained to the membership that he and other members of the Board of Directors had visited the site on numerous occasions and had spoken with the property owner from which the water was draining onto the property owned by Mr. Grover. Bob Alcock provided the membership with a current assessment of the situation and indicated the neighboring property owner was in the process of retaining an engineering firm to repair the situation.
Keith Todd requested that the Association provide additional grating and repair on Fox Squirrel Way.
Bill Shively noted similar road maintenance work was needed at the end of Fox Squirrel Road.
Bob Lufkin noted that trucks were causing major damage to Wildlife Drive.
Jim Funk expressed concern regarding the major dip in the road on Whispering Pines Drive. Bob Alcock provided the membership with an explanation of the causes of the dip on Whispering Pines Way. He indicated that ditch cleaning would aide in reducing the problem.
Fred Spangler inquired about the expenses for the services of a civil engineer for road maintenance recommendations. Greg Thomas responded that the cost for such services is included in the Annual Budget of the Association, and that the cost for the consultation was $400.
Keith Todd moved to accept the Road Report. The motion was seconded by Chris Tolson. The motion was approved by voice vote.
Bob Alcock thanked Joe Keyerleber for his dedication and assistance to the Association in its road safety and maintenance activities.
Good Neighbor Policies
Bob Alcock asked the membership to review and adhere to the good neighbor policies distributed at the Annual Meeting. He noted that some contractors have been in violation of the 15 mile per hour speed limit within Association boundaries, and asked the membership to remind contractors doing work on their properties to adhere to the posted speed limits. He also reminded the membership to be aware of bears that have been seen in the area. He noted that the Virginia Department of Natural Resources requests that bird feeders not be left unattended, to burn off grill residue after use and to carefully dispose of garbage. He noted that the Department had placed bear traps on properties where bears had been observed on multiple occasions. He also noted that the season for bear hunting has been extended as a means of controlling the overpopulation of bears in the area.
Voluntary Construction Fee Schedule
Bob Alcock reminded the membership that voluntary contributions to the Road Maintenance Fund are requested when property owners engage in significant construction projects. He reminded the membership that at the 2007 Annual Meeting, the following schedule of contributions was approved by the membership:
1. New Home $300
2. Major Renovation/Major Landscaping
Adds 50% or more square footage to current structure, and/or 15 or more truck loads of fill material. $250
3. Minor Renovation/Minor Landscaping
Adds less than 50% square footage to current structure, and/or 14 or less truck loads of fill material. $200
4. Other Improvement
Job takes more than 5 working days. $100
5. Small Jobs
Job takes 5 or less work days, e.g. storage shed or decking. No Fee
Bob Alcock reported that the Lost River Valley Property Owners’ Association Safety Committee met on a quarterly basis and asked that any safety concerns be reported to the Safety Committee. He further indicated that the Safety Committee, comprised of the Association Board of Directors, had carefully reviewed the Association Safety Plan of Risk Management and was proposing no changes at this time.
Bob Alcock expressed thanks to Dan Reichard for his voluntary efforts to re-design and improve Association website. He indicated that the Association welcomes suggestions from the membership on website content.
Jeff Grove moved that the Association assume the cost of approximately $2,250 for repairs of his private road. The motion was seconded by Roland Smith. Mr. Grove provided the membership with additional information on the causes of the water accumulation on his property on Fox Squirrel Way.
Dan Reichard reminded the membership that issues and projects involving water flow were addressed in the Covenants of the Association.
Bob Alcock indicated that the Covenants and Bylaws of the Association are the governing documents that guide decisions by the Board of Directors. He indicated the amendment offered by Mr. Grove would require a change in the Covenants.
Scott Schwartz expressed concern that the Association might also be financially responsible for future repairs to the property if the amendment offered Mr. Grove were to pass.
Margo Pfleger suggested that the Board of Directors work with Mr. Grove to develop a list of repair requirements and provide the list to the owners of both properties as well as to the contractors who would be making the roadwork repairs.
Mr. Grove agreed with the suggestion of Margo Pfleger that the Board of Directors should develop a list of guidelines that would need to be met in order to mitigate the water accumulation on his property. Bob Alcock indicated that the Board of Directors would undertake the development of the requested guidelines.
Mr. Grove then withdrew his motion.
Mr. Grove then provided the membership with photographs of the water accumulation on his property.
Mr. Grove moved that the Lost River Valley Property Owners’ Association assume the financial obligation of up to, but not exceeding, $2,500 to make the necessary repairs to his property in order to resolve the water accumulation problem on his property on Fox Squirrel Way, or to retain the services of a contractor selected by the Board of Directors to make such repairs. The motion was seconded by Roland Smith.
Bob Alcock acknowledged that the driveway of the neighboring property was not engineered correctly, and that the owner of the neighboring property had engaged the services of an engineer to make the necessary repairs.
The membership expressed great empathy about the situation of Mr. Grove. Many members indicated that the Board of Directors should be vigilant about overseeing the repairs to the property owned by Mr. Gove.
Peter Lefkin, while expressing strong empathy for the situation faced by Mr. Grove, expressed concern that passage of the amendment offered by Mr. Grove could have the unintended effect of potentially obligating the Association of assuming similar costs in the future.
The membership then voted on the motion offered by Mr. Grove. There were 6 ayes and 32 nay votes, and the amendment was defeated.
Following the vote, the membership asked to be kept apprised of the progress made to resolve the situation with regard to water backup on the property owned by Mr. Grove.
Dan Reichard moved that the Association request that legal counsel to the Association initiate legal correspondence to both property owners, if needed, in order to ensure that the repairs are made. The motion was seconded by Peter Lefkin. The motion was approved unanimously by voice vote.
Election of Officers
The Association then conducted the election of officers for term of office from July 1, 2008 until June 30, 2009. The following Association members sought re-election to the Board of Directors:
President- Bob Alcock
Vice President – Glenn Thornton
Treasurer – Greg Thomas
Secretary – Mark Smith
Member at Large – Joe Keyerleber
The floor was opened for additional nominations. No additional nominations were made. Bob Dillard moved that the slate of officers be elected. The motion was seconded by Blair Mastal. The motion was approved unanimously by voice vote.
The membership thanked the Board of Directors for their service to the Association.
Keith Todd moved that the meeting of the 2008 Annual Meeting of the Lost River Valley Property Owners’ Association be adjourned. The motion was seconded by Bob Dillard. The motion was approved unanimously by voice vote. The meeting was adjourned at 2:55 pm.