Board Minutes - June 24, 2009

Nautica Isles West Clubhouse 7:02pm

1. Call meeting to order 7:02PM and determination of quorum

President, Art Heron
Vice President, Jennifer McGhee
Treasurer, Suzan Leventhal-Bignell
Secretary, Angel Del Valle
Board Member, Howard Eimer

2. Approval of May minutes - May meeting minutes unanimously approved

3. Property Financial Mgt Proposal by Banyan Management

Mark J. Quinn, President Banyan Property Mgt.
Overview of the company was provided by the President
Banyan can accept credit card payments - Pay dues with a credit card through Banyan website - (This can be set up)
Designated accounting and administrative services access to secretarial and enforcement of violations (intermediary steps towards transition of services to Banyan in the future)
Contains expertise to assist with vendors, or other general type of questions (happy to work with our staff for accounting services)
TOPS software geared to HOA's (most used by property mgt companies)
Timeframe could be set up within a month with Banyan
Suggestion Qtrly payments by putting up a sign at the front gate
ARI initially cost effective with several of the properties Banyan manages
Anchor - Relationship with Banyan
Statements would need to be changed to residents
NIWHOA Docs state billing can be done only on a qtrly basis
Credit card additional small fee of 9.95 would be charge to homeowner
Designated person in accounts receivable would be assigned to NIWHOA
Designated person from customer service would be assigned to NIWHOA for administrative services
Designated book keeper assigned to NIWHOA
TOPS one time 350 dollar set up fee (password protected)
Audit procedures who on the board would audit them - we hire an accountant to audit Banyan
Banyan would have a 24 hour contact number - answering service on who to call

4. Discussion of hurricane preparation - Club house hurricane preparation - a motion was made to have the 08 vendor to secure (shutters) the club house and gate house 2nd during a hurricane warning - unanimously approved.

Additional analysis shall be done on reinstalling hurricane preparation information on the NIWHOA website

5. Report on dues collections and discussion of accepting credit cards - Suzan / Bridgette - Called all homeowners that owe financials to NIWHOA over $25. During her calls to homeowners many requested if dues could be paid via credit card. Anyone paid late April a statement registered was printed and sent to the homeowners via mail and called. In June NIWHOA collected some significant recovered fees. This recovery is directly attributed to Suzan and Bridgette efforts.

Bridgette requested to send a general e-mail to all homeowners reminding them of the June Qtrly fees are due. She also requested an e-mail address list from Usersight as well as add/merge new e-mail addresses obtained by Bridgette.

Motion was made and unanimously approved to accept and begin the administration and implementation of accepting NIWHOA payments via credit cards.

A request was to also look into having Usersight cost out of setting up credit card services via the website. An other option was also discussed to look into having security services pay by check or by the guardhouse.

6. Update of transition settlement process - GL Homes contacted the NIWHOA attorneys requesting a meeting 6/25/09 to discuss settlement terms of issues that need to be addressed.

7. Presentation by ARI (financial and collections services)

ARI Presentation - a Financials & Collections Co. - Melissa Nash Andrews Vice President - Provided an overview of services as well as current services assisting NIWHOA with collections.

Business Model is an agency that takes a proactive approach instead of a reactive approach of collection services.
They follow state statutes and place liens, which set them apart from law firms ARI outreach to homeowners, and they send fees directly to the law firm. ARI proactive services reduce the amounts of liens filled in the courts in Palm Beach County.
Collection options NIWHOA can sue the homeowner and if NIWHOA wins the judgment collection services can last up to twenty years.
ARI provides these services for many properties.
ARI agreements are month to month and they have to earn our business.
ARI would look into homeowner assets they go after everything they can legally collect. (NO RECOVERY NO FEE TO ARI)
ARI also provides other financial services (accounting and book keeping) specifically in the construction company.
ARI does not collect fees via credit cards.
ARI has an A rating on the better business report.
ARI is very customer service oriented. They would be able to provide accounting services. They would be able to work with the existing services and take over financial accounting operations.
ARI currently provides collection services for about 30 accounts.
With all of the options, ARI offered a 30-day termination or modification clause. This allows NIWHOA to make changes it sees necessary when necessary. ARI provided NIWHOA with three service options:
- Option 1 - No changes to your current operations. All payments still go to the PO Box. ARI will work with PM (Property Manager) and complete a flow for communication and accountability. ARI will handle the billing, posting, banking - essentially everything as needed by the board and association.
- Option 2 - NIWHOA utilizes a lock box service for cash posting and electronic download of payments. This will reduce the accounting fees by almost $5,000 a year. This is also a service that NIWHOA can work itself.
- Option 3 - NIWHOA may choose to outsource just the accounting and let a third party manage the accounts receivable as an outsourced function. All other accounting services are included

8. Discussion of possible options for association management and accounts receivable management.

A decision to select a vendor shall be done during the July NIWHOA meeting. Important note Banyan financial services are provided by ARI. Motion to move forward with the discussion selecting ARI as the financial and accounting vendor. Unanimously agreed by the board.

9. Property Report - Howard Eimer

In preparation for the summer the community pool is to be closed and serviced for seven days (to be done before July 4th holiday). A motion was made and unanimously approved to close the pool to be treated for seven days. An e-mail shall also be sent out to the community informing residents of the treatment and closing of the pool for ten days. A request to have a phosphate test shall also be done by our pool vendor.
Towing - the towing company vendor will sign contract tomorrow enforced immediately wait until July 1st send out mailing and logistics to be arranged between security and towing.
Front gate Resident gate broke, the motor needs to be replaced and put in two new brushes - new motor is needed costing 600 dollars. A motion to repair and fix the gate. Unanimously approved by NIWHOA.
Irrigation system main break (cut off) 1500 to fix the irrigation system. Motion to fix the irrigation system - Unanimously approved.
Currently we need six lights to be replaced on the blvd (cost 200 per light) due to financial limitation the NIWHOA made a motion to hold to fix the lights until next month.

10. New / Old business:

Renter's policy - the city of Greenacres has a code that a license is needed to rent a home - this requires a fire inspection. Additional research on this code from the city of Greenacres is needed as well as understanding the terms of the code and enforcement.

Cable disconnection on delinquent accounts - suggest going ahead and disconnecting the cables - Verbiage to be determined regarding the letter of delinquent homeowners to cut the cable before the cable. (motion to send a letter to homeowners to cut cable - delay for further discussion with homeowners - motion approved three board members agreed one board member disagreed and one board member abstained)

Residents concerns - community sprinklers on Wellcraft timer was discussed - not action needed