Finance Committee Meeting Minutes

Meeting Minutes of Finance Committee
July 2, 2007

Chairman Tom Sheridan convened the meeting at 7:00 P.M.  Committee members in attendance were:  Neil Buttimer, Bob Hamilton, Joe Quimper, Jim Drabant, and Terry Hileman.  Committee members absent: Tom Eales.  Advisors in attendance were: Pete Rainey, Nick Duy, Chuck Schulle, and Bill Mason.  Advisors absent were: Donna Jackson and M.J. Cronin.  Also in attendance were: Melanie Dynes, Doug Rogers, Bill Wilson, and Eldon Rucker, from the BOD and Planning Committee Liaison Bob Haring and PC Chair Dave McKee.  LOWA members present were: Jeff Flynn, Bruce Kay, Doug Chidlow, and Don Walters.

The draft minutes from the June 4, 2007 meeting were approved unanimously.  The Agenda for today’s meeting was also approved unanimously.

Introductory Remarks:
Chairman Sheridan reported that there was a second reading of Regulation 15 at the June 30th BOD meeting and it was approved.  Regulation 15 states, "Facility user fees, when set by the Board, shall encourage the use of the facilities and produce revenue for LOWA.”

The Chairman gave a brief summary of the final FY06 operating results.  He highlighted some of the major variances and stated that the reports would be available for review in a week or so.

Final fiscal year 2006-2007 operating results were:  Total: $222K over budget based on lower revenue $93K, increased cost of goods sold $47K and higher expenses of $82K.  Major revenue variances were fewer Disclosure Packets $36K, lower Real Estate transfer fees $34K and $38K loss from disposal of assets.  Higher cost of goods sold was mostly $30K for marina gasoline pump problem and $15K higher beverage cost at clubhouse.  The major negative expense variance was $95K for higher contractual services, partly the result of miscoding and $50K higher than planned salary expense due to lower personnel turnover.

Old Business:
Road Fees – Since FC member Tom Eales was not present, the discussion of the road fees was put on hold.

Jonas  – FC member Terry Hileman gave an update concerning the status of the Jonas Budget Report Template.  Dorothy Isenberg (LOWA Controller) is preparing a report template based on guidance from Chairman Sheridan.  This report will be used as an aid during the budget process and will include prior full year actuals, Y-T-D actuals for the prior and current year, the FY07 approved budget, the FY08 draft budget, and variances.  Dorothy’s goal is to have a draft by the end of July.
Chairman Sheridan commented that the Controller will probably request that the association purchase a fixed asset module that will be able to calculate depreciation for future years.  Currently, the Jonas fixed asset module only calculates depreciation for the current year.

Installment Payments – FC member Jim Drabant stated that he has been tasked to look at various options as it relates to installment payments for the LOW association fee.  He has requested specific data from the LOWA Controller.  Some of the information has been provided.  Jim will follow-up with Dorothy in order to gather the remaining data.

Proposed Regulations for the Community Center – FC member Neil Buttimer distributed, for review, the draft regulations for the use of the Community Center.  Neil stated that he received input from the Youth Activities Committee and the Clubhouse Committee.  Neil gave an overview of the proposed regulations and then made a motion to send the proposed regulations to the Rules Committee.  The motion was seconded by Terry Hileman.

Joe Quimper made a motion to delete item 3., within section C. Beverages, from the proposed regulations.  It was seconded by Bob Hamilton.  Item 3. states, “With the express advance approval of the General Manager, groups may serve alcohol at social functions providing it is not sold or included in the price of admission.”  The vote was 3 (Drabant, Hamilton, Quimper) in favor and 2 (Buttimer, Hileman) against.  Chairman Sheridan voted against the motion, which created a tie.  Therefore, the motion did not pass.

Jim Drabant made a motion stating that the LOWA’s attorney should review the proposed regulations. It was seconded by Bob Hamilton and the motion was passed unanimously.
A vote was taken on the original motion to send the proposed regulations to the Rules Committee and the motion was passed unanimously.      

New Business:
Fitness Center Equipment – Chairman Sheridan gave some background concerning the purchase of additional exercise equipment.  Sheridan stated that he had discussions with the General Manager and pointed out the disadvantages of acquiring the equipment via a capital lease.  He also suggested that if the cost of the equipment was under $3,500 that it could be funded from the operating budget.  At this point, Chairman Sheridan believes that the General Manager will go ahead and purchase three pieces of equipment from the current year operating budget.

Planning Committee Survey – The majority of the discussion was focused on question 2.1, which relates to the payment method of the LOW association fee.  The statistics will be used to help with FC Drabant’s analysis of the “Installment Payments”.

Meetings – FC member Jim Drabant made a motion to approve a policy that would require someone from the finance committee attend meetings between the finance committee chairperson and the General Manager or any member of the BOD. The finance committee member would take notes and report back to the other finance committee members.  It was seconded by Joe Quimper.

Chairman Sheridan made a motion to amend the motion to include only those meetings that are initiated by the finance committee chairperson.  It was seconded by Neil Buttimer and passed unanimously.

The vote on the amended motion was 3 (Drabant, Hamilton, Quimper) in favor and 2 (Buttimer, Hileman) against.  Chairman Sheridan voted against the motion, which created a tie.  Therefore, the motion did not pass.

Guest Comments:
FC Advisor Chuck Schulle commented that the Clubhouse is having problems with their walk-in refrigerator.  He asked if a replacement was in the master plan.  The consensus was that it is not included in the master plan.

The meeting was adjourned at approximately 9:00 PM.  Our next monthly meeting will be August 6, 2007 in the CR at the Holcomb Building at 7 PM.        

Respectfully Submitted, Terry Hileman, Acting Secretary.

Meeting Minutes of Finance Committee
August 6, 2007

Chairman Tom Sheridan convened the meeting at 7:00 P.M.  Committee members in attendance were:  Neil Buttimer, Bob Hamilton, Jim Drabant, Terry Hileman and Mike Andricos.  Committee members absent: Joe Quimper.  Advisors in attendance were: Pete Rainey, Nick Duy, Chuck Schulle, and Bill Mason.  Advisors absent were: Donna Jackson and M.J. Cronin.  BOD members in attendance were: Doug Rogers, Bill Wilson, Ginny Thoms, Linc Klabo, Peter Williams and Eldon Rucker. Also in attendance were Planning Committee Liaison Bob Haring, PC Chair Dave McKee, and General Manager John Bailey.  LOWA members present were: Bruce Kay, Boggs Wright, and Lee Frame.

The draft minutes from the July 2, 2007 meeting were approved unanimously.  The Agenda for today’s meeting was amended to recognize a change in the next meeting date, which will be held in the Clubhouse (lower level) on September 4, 2007 at 7:00pm.

Introductory Remarks:
Chairman Sheridan reported that there was a first reading of the Community Center Regulations at the August 4th BOD meeting.

Chairman Sheridan also announced that Tom Eales has resigned from the Finance Committee for personal reasons and is replaced by Mike Andricos.

Old Business:
Road Fees – Chairman Sheridan presented the analysis that was prepared by Tom Eales.  Mr. Eales analysis revealed the following:

• The Road Reserve will have an estimated balance of $1.1 million on 4/30/08, which will cover the 3rd phase of the Lakeview parkway paving.
• Based on Elton Rupe's Master Plan Road Spending and projected Road Fee Income, the Reserve will be in deficit by 2010.
• An assessment increase of $110 would keep the Road Reserve solvent for 15 years.
• A new Real Estate transfer fee on houses sold in LOW of .3% would keep Road Reserve solvent for 15 years; a 1% fee would yield a $15 million balance in 15 years.
• A one time $1,500 capital reserve fee to buyers of LOW homes would keep Road Reserve solvent for 15 years.

The Finance Committee has requested LOWA General Counsel to advise on requirements (covenant, bylaws, regulation change) to implement a new fee.

Installment Payments – FC member Drabant presented Second Bank & Trust’s option for making installment payments.  The key points are as follows:

Internet Banking:

• There is no minimum or maximum number required to contract for this service.
• There will be transfer costs ($15.00 per transfer).
• If transfers are made on the same date each month (i.e. - 1 to 100), there will be only one transfer fee.
• This offering will cover monthly, quarterly, semi-annual and annual payments.

Setup of Fund Transfer Files:

• Review type of checking account used by LOW (SBT).
• What is the volume of activity (SBT).
• Balance in checking account each month (SBT).
• Build a template for the electronic files.
• Create files for each intended user.
• Will train employee on the system and how to build the files (no charge).
• No charge for the software.
• 12 files at $15.00 per file per month if transfers are on separate days.
• 19 files transfers for semi-annual at $15.00 per.
• 19 x $15 for all options.

       Commercial analysis balance may offset file costs ($60 with $16,000 balance).

Users:

• Three offered in initial contract.
• One primary administrator – has total access to the files.
• Two secondary users – extent of access will be controlled by the primary administrator.
• Additional users at a cost of $10 per.

Security:

• There are three levels of security protection.
• Users will be issued 1st Level – login, access code and ID, 2nd level – tokes, and 3rd level – web-based.
• Must know how many will use and what offering.

Need to check with lawyer for all legal aspects of this offering.
A question was raised as to whether the Bylaws have been changed to reflect the new covenant changes.

New Business:
Community Center Mortgage – FC member Hamilton raised a concern relating to the community center loan.  He pointed out that the loan on the new Fire & Rescue has a lower interest rate than the community center and thought that there may be an opportunity to reduce the rate by refinancing the loan on the community center.  Chairman Sheridan pointed out that authorization must be granted by the General Manager for someone to negotiate terms on behalf of the Association.  This authorization has been granted and discussions will take place with various local banks.

Expired Capital Projects – Based on a request from the Rules and Planning Committees, Chairman Sheridan drafted wording for the new bylaw regarding expired capital projects.  Neil Buttimer made a motion to approve the new wording and the motion was seconded by Terry Hileman.  The motion passed unanimously and is stated below.

The Finance Committee is in agreement with the Rules Committee’s proposal to create a FINANCIAL MANAGEMENT article in the bylaws and to include a section for this new bylaw as well as a section for the previously approved Association Debt Financing Policy.  Therefore the Finance Committee proposes the following bylaw changes:

Change: ARTICLE VI ASSOCIATION DEBT FINANCING POLICY
To: ARTICLE VI FINANCIAL MANAGEMENT

Section A  ASSOCIATION DEBT FINANCING POLICY:

Section B  EXPIRATION OF APPROVED CAPITAL FUNDING:  If after twenty four (24) months from the latest date of reserve funding approval no material expenditures have been applied to a capital project and the Board of Directors have not opted to extend the approval authority, the approval will automatically lapse.

It is also the Finance Committee’s understanding, that if approved, this bylaw can be applied retroactively in the event there are capital projects on the books with no material expenditures during the designated 24 month period.

Guest Comments:
Lee Frame made a comment in regards to the future method of collecting road fees.  Based on a law suit relating to “impact fees”, he suggests that the Association would need to show the “derived benefit” of a fee or that it covers an “expense” that does not apply to other members.

FC member Buttimer suggested that we formulate a procedure to identify “controllable” expenses at the clubhouse.

Chairman Sheridan stated that there will be a meeting with Dorothy and Elton and that the date and time still needs to be determined.  Dorothy will explain the development of the monthly financial results including, Jonas vs. manual entries, cash vs. accruals, CTR with Reserve Balances and cost of goods sold vs. inventory balances.  Elton will explain the Operations Center Transfer process and how these costs are comprehended in the annual budget and monthly financial results.

The meeting was adjourned at approximately 8:25 PM.  Our next monthly meeting will be September 4, 2007 in the lower level at the Clubhouse at 7 PM.

Respectfully Submitted, Terry Hileman, Acting Secretary.

Meeting Minutes of Finance Committee   
September 4, 2007

Chairman Tom Sheridan convened the meeting at 7:00 P.M. 

Committee members in attendance were:  Neil Buttimer, Bob Hamilton, Jim Drabant, Terry Hileman, Joe Quimper, and Mike Andricos. 

Advisors in attendance were: Bill Mason, M.J. Cronin, and Donna Jackson.  Advisors absent were: Chuck Schulle, Nick Duy, and Pete Rainey. 

BOD members in attendance were: Doug Rogers, Eldon Rucker, Peter Williams, Bill Wilson, and Ginny Thoms.  Also in attendance were Planning Committee Liaison Bob Haring, PC Chair Dave McKee, and LOWA Controller Dorothy Isenberg. 

LOWA members present were: Bruce Kay, Boggs Wright, Jeff Flynn, Doug Chidlow, and Sue Ericksen.

The Agenda for today’s meeting was amended to recognize a change in the next special meeting date, which will be held on Tuesday, September 18, 2007 at 2:00pm.

Introductory Remarks/Approve Agenda:
Chairman Sheridan thanked LOWA controller Dorothy Isenberg ad LOWA Maintenance Supervisor Elton Rupe for their presentations at the special meeting regarding LOWA Management reports.

A motion to approve the agenda made by Buttimer and seconded by Drabant was approved unanimously. 

Smartstreet Presentation – Outsourcing Assessment Installment Payments

Jim Cunningham from the Community Association Division of Smartstreet (A division of  RBC Centura Bank) discussed the services available and features/advanages to Homeowner Associations  :
            These outsourcing services include
                        -easy assessment processing (check, echeck, credit card, or online),
                        -free banking services (with qualifying balance),
                        -favorable rates on loans and deposits
                        -lockbox services

Smartstreet specializes in homeowner associations and because most of the services are internet based they have significantly lower operating costs which are passed on to the homeowner associations.

Approve minutes of August 6th Meeting  

A motion made by Hamilton, and seconded by Quimper to approve the minutes of the August 6th meeting was approved unanimously.

Old Business:

2008 Operating Budget Liaison Reports:

Maintenance & Ecology (Liaison-Drabant)

General maintenance
-cost center transfers have not been included in draft budgets yet but are being developed 
-there is a continuing investigation for contracting leaf removal/collection and the related costs

Grounds Maintenance   
-a 10% increase in repair/maintenance costs of vehicles and equipment reflects an increase in registration fees

Roads
-Area III consists of a 2.4 mile section of Lakeview Parkway (from Monticello Circle to Harpers Ferry mail Station) and includes 24 culvert pipes

Equestrian Center (Liaison Sheridan)
-The draft budget projects reducing the subsidy from ($124K) actual 2006 to ($118K) for 2008. Revenue is projected to increase from $91K to $156K primarily the result of increasing the boarders rent from $350 to $500 per month. (Estimated costs to board a horse are over $600 resulting in an approximate loss of $100 a month for each additional horse boarded). Show registration and Lesson Income are also projected to increase dramatically. Certain other income areas are expected to be flat or decline slightly. While revenue projections are up, expenses are also projected to increase $50K due to higher salary expense (due to understated 2006 salary expenses from loss of Manager and staff) as well as higher operating expenses. Additional savings in feed is being investigated by winter relocation to farms with pasture land.      

Golf (Liaison Sheridan)
-The Golf draft budget is incomplete since Woods Center LOWGO Shop and Food Service area are not yet finalized. The GM did project revenue from these will exceed the higher labor and operating expenses as a result of the extended hours. The Pro Shop is projected to show an improvement in gross profit as a result of higher gross profit margins on soft and hard goods sales as well as a 3% increase in annual memberships and a 5% increase in multi-play passes. A discussion ensued regarding the good condition of the golf course and the need to increase revenue by providing incentives for more annual memberships. One option could also include elimination of multi-play passes.

Safety and Security (Liaison Quimper)
-Quimper noted that the S&S Chair does not get a copy of the draft budget.  He further noted that he would follow with the GM in a couple of weeks for a draft.      

Clubhouse (Liaison Buttimer)
-Buttimer reported that the Clubhouse continues to deliver improved service with increased revenue.  The Clubhouse committee is developing a recommended procedure to separate Clubhouse food service revenue and expense from community support revenue and expense.  The intent would be to provide better information to management for decision making.  In a discussion, it was pointed out that while the revenue is up dramatically, increases expenses have also increased significantly.

Lake Users (Liaison Hamilton)
Hamilton advised that the draft LUC budget is not yet complete pending data from the Administration office.

Activities and Wellness (Liaison Hileman)
-FC member Hileman reported on the status of the Activities and Wellness cost center budgets or FY08.  He reported that Niki Davis (Activities and Wellness Director) resigned and left on August 18th.  She prepared draft budgets for the Fitness and Tennis Cost Centers.  She did not prepare draft budgets for the pools, A&W, and Campgrounds cost centers.  FC member Hileman will follow up with john Bailey and Bob Popovich concerning the remaining cost centers.

Fitness Center Budget:  Revenues are approximately $21,000 and the net surplus is approximately $1400.  The draft budget includes three new pieces of equipment (treadmill, rowing machine, leg press).  In discussions, it was noted that the projected number of members is 275 but concern was expressed that this might not materialize if more equipment is not available, particularly aerobic equipment. 

Tennis Budget:  Revenues are $5000 and the net deficit is approximately $32,000.  The budget includes three awnings and one bench.  In a discussion regarding the budget, it was noted that fees are considerably lower than several years ago but Tennis Committee does not recommend any increases.

Quimper asked what was forecast for the CC budget income from the Preschool.  A discussion ensued regarding only $1700 per year rent income budgeted for space (approximately 21%) of the CC which has a current annual cost budget of $178,000 (see attached data).  After discussion regarding Roberts Rules (the chair advised that he did not feel a motion could be made on a subject that was not on the agenda---four members felt the motion could be made), Hamilton made a motion, seconded by Drabant, “that the Finance Committee recommends the Lake of the Woods Association enter into a one year contract effective May 1, 2008 at a rate of $5.00 per sq. foot for the occupied area”.  After much discussion, the question was called and the motion passed with four yeas (Hamilton, Drabant, Hileman, Quimper) and two nays (Buttimer and Andricos).  Two thirds of the votes cast for the motion were yeas.    

Adjournment:
A motion to adjourn was passed unanimously and the meeting was adjourned at approximately 10: PM.

Respectfully Submitted, Joe Quimper, Acting Secretary.

Minutes of Finance Committee Meeting
October 11, 2007

Meeting was convened by Bill Mason at 5:00PM.

Committee members in attendance were Pete Rainey, Jim Drabant, Joe Quimper, Bob Hamilton, Terry Hileman, Doug Rogers and Mike Andricos. Alternates attending were Doug Chidlow and Jeff Flynn.

Advisors attending were Bill Mason and Nicholas Duy.

BOD members attending were Eldon Rucker, Bruce Kay, Neil Buttimer, Tom Sheridan and Bill Wilson.

Also attending were PC Chair Dave McKee and PC liaison Robert Haring. LOWA members present were Alicia Payne, Suzie Takacs, Lee Frame, Sandra Frame, Betty Tabor, and Sue Ericksen.

Bill Mason called for a vote on the candidates for Chairman of the Finance Committee, Pete Rainey and Jim Drabant, who were nominated at the Oct 1, 2007 Finance Committee meeting.. Pete Rainey was elected Chairman by a vote of 4-3. Bob Hamilton and Joe Quimper then announced that they were resigning from the committee and departed the meeting. Rainey took the chair and called for nominations for Vice Chairman. Rogers nominated Jim Drabant, Hileman seconded. Drabant was elected unanimously. Drabant then nominated Rogers for Secretary. Rogers nominated Andricos. Andricos was elected by a vote of 3-1.

The agenda was approved unanimously as were the minutes of the September 4 and October 1 meetings.

Under old business, outsourcing of assessment payments was discussed. BOD President Rucker commented that it would be helpful to the BOD to have the benefit of Finance Committee deliberations on outsourcing, a FC recommendation on whether to outsource, and if so, a recommendation on which proposal to accept. A discussion led by Drabant ensued. Drabant then made a motion, seconded by Hileman to propose that the FC recommend that LOWA outsource the assessment, billing and collection process. The motion was approved unanimously.

Discussion then turned to whether the FC should make a recommendation on selection of a service provider. Drabant moved, seconded by Hileman, that the FC recommend SMART STREET. Motion passed 3-0 with one abstention.

Discussion of the Community Center Mortgage was deferred. Before departing, Hamilton had distributed a copy of his memo to the BOD on the subject.

No new business was discussed.

Rainey then asked for comments. Doug Chidlow requested a hearing on the Capital Budget and Fee Schedule. Members and alternates were asked to e-mail any budget concerns to Rainey so they could be addressed during the budget hearings scheduled to begin on Oct 16, 2007 and continue through Nov 1, 2007.

The next monthly meeting of the FC is November 5, 2007.

Meeting adjourned at approximately 5:40PM.

Respectfully Submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
November 5, 2007

Meeting was convened by Chairman Pete Rainey at 7:00PM.

Committee members in attendance were Pete Rainey, Jim Drabant, Terry Hileman, Doug Rogers, Jeff Flynn, Doug Chidlow and Mike Andricos.

Alternates attending were Chuck Schulle, Nick Duy, M.J. Cronin, Donna Jackson and Bill Mason.

BOD members attending were Neil Buttimer, Bruce Kay, Bill Wilson, Peter Williams, and Tom Sheridan.

LOWA Committee representatives present were, Chuck Liddick (Golf), Ken Tillman (Pools & Fitness) and Dave McKee (Planning).

LOWA Members present were Charles Batten, Vince Cusack, Joe Quimper, Daniel Greene, Vera Liddick, George & Diane Parkinson, Benny & Nancy Taylor, Janet Bocook, Vera Moody and Don Walters. Also present was LOWA GM John Bailey.

The agenda for the Nov 5 meeting and the minutes of the Oct 11, 2007, meeting were approved unanimously.

Under Old Business, Drabant moved, Chidlow second, that the FC forward to the BOD the Community Center Mortgage recommendations prepared by Bob Hamilton for their consideration. A motion to amend was made by Hileman, Rogers second, that the LOWA Administration provide cash flow data related to the recommendations to the BOD. Motion to amend passed 5-1 (Yea- Rogers, Flynn, Hileman, Drabant, Andricos. Nay-Chidlow). The original motion , as amended, then passed unanimously.

Under New Business, amendments to the Proposed LOWA Budget for 2008 were considered as follows:

1. Equestrian Center: Motion by Chidlow, Andricos second, to adopt Equestrian center Budget as proposed. Approved unanimously.

2. RV Storage Fees: Motion by Drabant, Rogers second, to increase RV annual storage fees as follows for 2008: Lakeview Storage Lot to $500, Campground Section A to $450, Campground Section B to $350. Passed 4-2. (Yea - Drabant, Rogers, Chidlow, Hileman. Nay- Flynn, Andricos)

3. Canoe/Kayak Rack Fees: Motion by Chidlow, Drabant second, to increase Rack Fees to $25. Passed 5-1 (yea- Drabant, Rogers, Hileman, Flynn, Chidlow. Nay- Andricos)

4. Golf Individual Annual Fees: Motion by Chidlow, Drabant second, to increase individual annual golf fees by 10% over 2007 fees. Failed 1-5 (Yea- Chidlow. Nay- Drabant, Rogers, Hileman, Flynn, Andricos).

5. Golf Family Annual Fees: Motion by Chidlow, Drabant second, to set family annual fees (total revenue increase $25,000) as follows: Annual Family $1658, with trail $2,614, with cart $2,808. 35 Multi Play Pass (Cardholder only) $620,with trail $992, with cart $1,054. Passed 4-3. (3-3 with Chairman breaking tie. (Yea- Drabant, Flynn, Chidlow, Rainey. Nay -Rogers, Andricos, Hileman).

6. Tennis Fee: Motion by Andricos, Rogers second, to eliminate Tennis fee. Motion to amend by Chidlow, Drabant second, to increase annual family fee to $75 and allow children with teen ID to play free. Motion to amend failed 2-4 (Yea - Chidlow, Drabant. Nay - Flynn, Hileman, Andricos, Rogers). Original Motion then passed 4-2. ( Yea - Andricos, Drabant, Hileman, Flynn. Nay - Rogers, Chidlow)

7. Boat Storage Fee: Motion by Drabant, Rogers second, to establish new category for Lakeview storage lot of “Boat Storage” and keep fee at 2007 level of $360. Passed unanimously.

8. Pools Annual Fees: Motion by Chidlow, Drabant second, to set annual pools fees as follows: Individuals (18 and over) $100. Family $190, Ages 6-17 $25. Ages 5 and under free, Eliminate Couples Category. Passed 4-2. Yea - Drabant, Chidlow, Rogers, Flynn. Nay - Andricos, Hileman)

9. Pools Daily Fees: Motion by Chidlow, Drabant second, to set daily pools fee at $6.00 and short term (5/30) pass at $27.00. Failed 2-4 ( Yea - Chidlow, Drabant. Nay - Rogers, Andricos, Hileman, Flynn).

10. Skateboard Park: Motion by Chidlow to eliminate guest participation. Motion died for lack of second.

11. Boat Fees: Motion by Andricos, Chidlow second, to set boat registration fees at 2007 levels. Passed 4-2. ( Yea - Andricos, Chidlow, Flynn, Drabant. Nay - Hileman, Rogers).

12. Fire and Rescue Donation: Motion by Chidlow, Drabant second, to reduce donation to Fire and Rescue to $40,000. Failed 2-4. (Yea - Chidlow, Drabant. Nay- Rogers, Hileman, Andricos, Flynn).

13. Large Item Pickup: Motion by Hileman, Rogers second, to eliminate Large Item Pickup. Passed 4-2. (Yea - Rogers, Hileman, Flynn, Andricos. Nay - Drabant, Chidlow).

14. Road Fee Set Aside: Motion by Chidlow that a road fee set aside adjustment of $50,000/yr for next three years be added to the proposed budget. Motion died for lack of second.

15. Marina Gasoline Costs: Motion by Chidlow, Rogers second, to reduce Marina gasoline costs to $40,000. Failed 3-4 (3-3 with Chairman breaking tie. Yea - Rogers, Drabant, Chidlow. Nay - Flynn, Hileman, Andricos, Rainey).

16. Fish Stocking: Motion by Chidlow to eliminate $4,000 for feeder fish and $2,000 for Carp. Motion died for lack of second.

17. Water Quality Testing: Motion by Chidlow to reduce water testing to $5,000. Motion died for lack of second.

18. Clubhouse Payroll: Motion by Chidlow to reduce Clubhouse payroll by $42,000. Motion died for lack of second.

19. Fareways Room Rental Income: Motion by Chidlow, Drabant second, to eliminate room rental income from Fareways and include in CCS budget. Passed 4-2. (Yea- Chidlow, Flynn, Drabant, Andricos. Nay - Hileman, Rogers).

20. Fareways Food and Beverage Revenue: Motion by Chidlow to reduce Fareways Food and Beverage revenue projection by $25,000. Motion died for lack of second.

21. Fareways Food and beverage Revenue #2: Motion by Drabant, Chidlow second, to reduce projected Food and Beverage revenue by $20,000. Failed 2-4. ( Yea - Chidlow, Drabant. Nay - Rogers, Hileman, Andricos, Flynn).

22. PRO/LOWGO Sales: Motion by Chidlow, Drabant second, to reduce PRO/LOWGO sales as follows: Soft Goods $45,000 to $30,000. Hard Goods $30,000 to $20,000. LOWGO $35,000 to $20,000. Make appropriate proportional changes to cost of goods for each category. Passed 4-3 (3-3 with Chairman breaking tie. Yea- Chidlow, Hileman, Flynn, Rainey. Nay- Rogers, Andricos, Drabant).
23. A&W Youth Activities Income: Motion by Chidlow, Drabant second, to reduce Youth Activities income from $1,000 to $250. Failed 2-4. (Yea- Drabant, Chidlow. Nay- Flynn, Rogers, Hileman, Andricos).

24. Fitness Center Furnishings: Motion by Chidlow to withhold expenditure for Expendable Furnishings until catalog prices are provided for Lite Fitness Abdominal/Back machine and Rowing Machine proposed purchases. Motion died for lack of second.

25. Tennis Expendable Furnishings: Motion by Chidlow to delete tennis expendable furnishings. Motion died for lack of second.

26. Equestrian: Motion by Chidlow, Drabant second, to add $6,500 expense for horses. Approved unanimously.

27. Pool Study: Motion by Drabant, Chidlow second, to delete $50,000 from new Capital for Pool Study. Passed 5-1 ( Yea- Chidlow, Flynn, Hileman, Drabant, Andricos. Nay- Rogers). Footnote: FC recommends BOD establish an ad hoc study group to define objectives, scope and cost of replacing Clubhouse Pool and whether to include certain other amenities.

28. Golf Leaf Blower: Motion by Drabant, Chidlow second, to defer Golf Leaf Blower to 2009 Replacement Capital. Passed 5-1 (Yea- Rogers, Flynn, Hileman, Drabant, Chidlow. Nay- Andricos)

29. Golf Sweeper: Motion by Drabant, Chidlow second, to defer Golf Sweeper to 2009 Replacement Capital. Failed 2-4 (Yea- Chidlow, Drabant. Nay- Rogers, Andricos, Hileman, Flynn).

30. Assessment: Motion by Rogers, Andricos second, to endorse proposed 2008 Annual Assessment of $1,128. Passed 5-1 (Yea- Rogers, Andricos, Drabant, Hileman, Flynn. Nay- Chidlow).

Chairman Rainey announced that the presentation of the 2008 Proposed Budget to the LOWA Membership would be held at 9:00AM, Saturday, November 17 at the Community Center. The FC presentation of the 2008 Proposed Budget will be made to the BOD at a workshop on December 19, 2007.

The next monthly meeting of the FC will be December 3, 2007.

Meeting adjourned at 10:30PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
December 3, 2007

Meeting was called to order by Chairman Pete Rainey at 7:00PM.

Committee members attending were Pete Rainey, Mike Andricos, Doug Chidlow, Jim Drabant, Terry Hileman and Doug Rogers. Committee alternates present were Nick Duy, Bill Mason, Boggs Wright, and M.J. Cronin. BOD members attending were Neil Buttimer, Bruce Kay, Tom Sheridan, Jeff Flynn, and Bill Wilson. LOWA GM John Bailey and Comptroller Dorothy Isenberg were also present. LOWA members attending were R.C. Haring (PC liaison to FC), Don Walters, Vera Moody, Bob Fish, Dave McKee, Ken Tillman and William Gordon.

The Agenda for the Dec 3 meeting was approved by a vote of 3-1 (Yea - Andricos, Hileman, Rogers. Nay - Chidlow). Chidlow departed meeting. Drabant arrived shortly thereafter, thus a quorum was present to conduct the following business:

The minutes of the Nov 3, 2007, meeting were approved unanimously.

Under New Business, a motion by Andricos, Rogers second, to rescind Finance Committee increases to the General Manager’s 2008 Draft Fee Schedule passed 3-2 (2-2 with Chairman breaking tie. Yea - Andricos, Rogers, Rainey. Nay - Drabant, Hileman).

Chairman Rainey appointed Jim Drabant to chair a subcommittee to review and revise the Master Plan Appendix G. Drabant will propose membership of the subcommittee which will also include representation from the Planning Committee.

Chairman Rainey then made the following FC liaison assignments to other LOWA committees:

Clubhouse - Pete Rainey
Communications - Donna Jackson
Equestrian - Mike Andricos
Golf - Doug Rogers
Lakes - Boggs Wright
M&E - Jim Drabant
Planning - Jim Drabant
Pools/Fitness - Nick Duy
Safety & Security - Donna Jackson
Tennis - Terry Hileman
Youth - M.J. Cronin

Guest Comments: Vera Moody and Bob Fish made comments regarding RV storage fees.

The next monthly meeting of the FC will be Jan 7, 2008 at 7:00PM, Holcomb CR.

Meeting adjourned at 7:40PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
January 7, 2008

Meeting was called to order by Chairman Pete Rainey at 7:00PM.

Committee members in attendance were Pete Rainey, Jim Drabant, Doug Rogers, Mike Andricos, Boggs Wright and Doug Chidlow . Member absent was Terry Hileman. Also attending were Nick Duy, alternate, R.C. Haring, PC liaison, and BOD members Eldon Rucker, Jeff Flynn, Tom Sheridan, Bruce Kay, Neil Buttimer, Bill Wilson and Peter Williams. LOWA members present were Dave McKee, Bernie Patton and Don Walters.

The Agenda for Jan 7 and the minutes of the Dec 3, 2007 meeting were approved unanimously.

There was no old business.

Under new business

Jim Drabant, Chairman of the subcommittee to review and revise the Master Plan, Appendix G, gave a status report on the subcommittee’s activities to date. Drabant reported that the subcommittee members, which include representatives of the planning committee, were given several documents to review and had begun consultations with BOD members on how to better support judgments and decisions on capital replacement. The intent of the subcommittee is to develop a mechanism to display data in more beneficial ways to decision makers without impacting the day to day operation of the LOWA GM and Comptroller in producing that data. Chairman Rainey asked that the subcommittee provide a schedule with milestones leading to a product which would be ready to accept data input by the end of May, 2008.

In other discussion, Board Member Bruce Kay requested that he be provided with a plan, including costs, to improve the responsiveness and reduce the volume of printing associated with the budget process by utilizing computer hardware, software and training including purchasing, if required, a MS Office/Excel application tailored to our budget process. Chairman Rainey agreed to provide such information.

There will be no FC meeting in February. The next meeting is scheduled for March 3, 2008.

Meeting adjourned at 7:43PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
March 3, 2008

Meeting was called to order by Vice Chairman Jim Drabant at 7:00PM. Committee members in attendance were Jim Drabant, Mike Andricos, Doug Chidlow, Terry Hileman, Doug Rogers and Boggs Wright. Pete Rainey was absent. Alternates present were Nick Duy and Harry Walsh, advisor Bill Mason and liaisons Neil Buttimer (BOD) and R.C. Haring (PC). Also attending were BOD members Eldon Rucker, Peter Williams, Bill Wilson, Tom Sheridan and Jeff Flynn and LOWA GM John Bailey, AGM Ted Wessel and Controller Dorothy Isenberg. LOWA members present were Dave McKee, Ken Tillman, Jim Biggs, Don Walters and Vince Cusack,

Drabant announced that M.J. Cronin resigned from the committee and that Doug Chidlow would be FC liaison to the M&E Committee. Drabant also introduced Harry Walsh as a new alternate on the Finance Committee. He also announced that the Planning Committee was about to begin Capital Budget Hearings in May and  Dave McKee , PC Chairman, invited Finance Committee members to participate in the hearings (non voting).

The Agenda for March 3 and the minutes for Jan 7, 2008 were approved.

Under old business, Terry Hileman presented a demonstration of the computer model he is developing in support of the work underway by the subcommittee to review and revise the Master Plan, Appendix G.

Under new business, BOD President Eldon Rucker began a discussion of Amenity Fees, noting that the Board has sent a letter requesting that the FC provide thoughts,  suggestions and recommendations on reducing the complexity of the fee structure that the BOD can consider in the fall. Bill Mason then presented an outline suggesting policy considerations which could be used in in setting a framework for determining subsidies for the various amenities at LOW. Doug Chidlow read a statement proposing that historically reasonable subsidy levels be established for amenities and that fees be brought into line to support that subsidy level. He also proposed that fees be based on individual, family, or minor child rates. Discussion ensued on several options, including  setting fees as a set percentage of actual costs and establishing annual, vice daily, fees for certain sets of amenities or activities, in addition to considering the purpose of fees, such as control of an amenity as well as, or in lieu of, the economic benefit. Jim Drabant then asked  Mason to  further develop options and proposals for simplifying the fee structure, either by continuing his individual efforts or enlisting support from others associated with the committee.

Liaison  reports were as follows:

Tennis (Hileman)- Committee has not been meeting recently.

Pools and Fitness (Duy) Just now putting data together.

Equestrian (Andricos) Has been evaluating and reviewing short and long term proposals for updating/improving facilities in preparation for upcoming Capital Budget hearings.

Lake Users (Wright) Recent attention focused on grass and revising lake rules.

M&E (Chidlow) Discussing proposal to put lights in Pro Shop parking lot and aerating small lake to replenish dissolved oxygen.

Golf (Rogers) Just had first meeting of year. Revenue to date ahead of YTD projections. Committee considering member incentives, tournaments, fees. Preparing for Capital Budget hearings May 5.

Planning (Drabant) Reviewing survey questions. Progress reported on moving forward with membership card. First phase will be without photos, but eventually will have variety of uses, including tracking of amenity use.

Meeting adjourned at approximately 8:20PM.

Respectfully submitted, Mike Andricos, Secretary 

Minutes of LOWA Finance Committee Meeting
April 7, 2008

Meeting was called to order by Chairman Pete Rainey at 7:00PM.

Committee members present were Pete Rainey, Jim Drabant, Terry Hileman, Doug Rogers, Doug Chidlow, Boggs Wright and Mike Andricos. Also in attendance were alternates Nick Duy, Olive Kelly and Harry Walsh, advisors Chuck Schulle and Bill Mason and liaisons Neil Buttimer (BOD) and R.C. Haring (Planning). Other BOD members present were Tom Sheridan, Jeff Flynn, Bill Wilson and Bruce Kay. Also present were LOWA GM John Bailey and AGM Ted Wessel and members Dave McKee, Chuck Russell, Ken Tillman, Dee Tillman, Vince Cusack, Suzie Takacs, Betty Tabor and J.A. Quimper.

The Agenda was approved unanimously as were the minutes of March 3, as amended.

Under old business, discussion continued on fees. Chairman Rainey asked GM John Bailey for suggestions on how to simplify fees and Bailey distributed a handout in which he proposed eliminating non-annual fees from the printed fee schedule thereby reducing it from four pages to two. This concept would allow management the flexibility of adjusting prices to reflect market conditions without the requirement to get BOD approval for fee and price changes. Chairman Rainey informally polled the voting members on this concept. Rogers, Hileman, Drabant and Andricos were supportive of Bailey’s recommendation, while Chidlow and Wright felt all the daily fees should continue to be published.

Advisor Schulle commented that he thought the published list should be as short as possible. The Committee then turned to further discussion of Bill Mason’s presentation on restructuring fees (outline attached). Mason  proposes establishing three classes of amenities based on the value the amenity adds to the fundamental features the market expects to find in a gated, golf and lake oriented community like LOW and then set target subsidies for those amenities, with the largest subsidies targeted for amenities judged to be the most important to the community.

Discussion then turned to Doug Chidlow’s Fee Proposal, (also attached) which would set specific subsidy goals for certain amenities. Chidlow further proposed that the OCTs for Roads and Grounds charged to the Lakes account (303) should be removed from this account and charged to the CCS account (201) thus allowing relief on boat fees.  Chidlow’s written proposal also includes a detailed “straw man” for further discussion and consideration outlining specific fees and subsidies. Following further general discussion that a reassessment of all amenities is needed with a better idea of costs and revenues for each, the Committee took the following action:

Motion by Wright, Rogers second, that the Committee recommend that the BOD set subsidy goals by cost center. Passed unanimously.

Motion by Chidlow, Drabant second, that the Committee recommend to the LOWA GM that all ground and road maintenance costs  and costs associated with dams and beaches be allocated to CCS. Motion passed 5-0 . Yeas: Chidlow, Drabant, Hileman, Andricos, Wright. Rogers abstained.

Chairman Rainey then asked Bill Mason and Doug Chidlow to undertake a coordinated effort to combine their respective papers and develop a draft guidance letter outlining procedures for setting goals to revise the amenity fee structure.

Under new business, Chairman Rainey announced that he and Nick Duy would be resigning from the committee, which would be reconstituted for the coming year as follows: Voting members Andricos, Chidlow, Drabant, Hileman, Rogers and Wright and that Rainey would recommend Harry Walsh to the BOD to be a voting member. Rainey also announced that the BOD had appointed Olive Kelly and Dave LeMay as alternates. Bill Mason and Chuck Schulle agreed to continue serving as advisors.

Chairman Rainey then asked Jim Drabant to summarize the work completed by the Subcommittee to review and revise the Master Plan, Appendix G, which Drabant chaired. Drabant announced that the subcommittee had completed what it had set out to do, and that the committee had seen a demo of the spreadsheet  program developed by Terry Hileman.

Member comments were related to the earlier discussion of the published fee schedule with comments supporting the publishing of all fees, both annual and daily.

The meeting was adjourned at 8:28PM.

The next meeting will be May 5, 2008, Holcomb CR.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
May 5, 2008

Meeting was called to order by Vice Chairman Jim Drabant at 7:02PM.

Members in attendance were Drabant, Doug Rogers, Terry Hileman, Harry Walsh, Boggs Wright, Doug Chidlow and Mike Andricos. Also present were Alternates Olive Kelly and Dave LeMay, Advisors Bill Mason and Chuck Schulle and Liasions Neil Buttimer (BOD) and R.C. Haring (Planning).

Others present were: BOD members Eldon Rucker, Tom Sheridan, Bruce Kay, Bill Wilson, and Peter Williams; LOWA GM John Bailey, AGM Ted Wessel and Controller Dorothy Isenberg; and LOWA Members Dave McKee, Chuck Liddick, Vince Cusack, Ken Tillman, Karen O’Donnell, Don Walters, Margaret Darby, Joe Quimper, Susan Wright, Suzie Takacs, Alicia Payne, Alice Drabant, Philip McCann, Bob Hauprich, John Klopfer, Marguerite Dwyer, Dee Tillman and R. Michael Dwyer.

The Agenda was approved unanimously.

Drabant announced the Committee as reconstituted for the current fiscal year as follows:  Members: Drabant, Rogers, Walsh, Hileman, Chidlow, Wright and Andricos; Alternates: Kelly and LeMay; and Advisors: Schulle and Mason.

Drabant then opened the floor for nominations for Chairman. Wright Nominated Jim Drabant, Chidlow second. Drabant asked for a vote on that motion before proceeding to other nominations. Nomination failed 3-4 (Yeas - Wright, Chidlow, Drabant. Nays - Hileman, Andricos, Walsh, Rogers).

Motion then made by Andricos to nominate Doug Rogers for Chairman, Walsh second. Rogers was elected Chairman by a vote of 4-3. ( Yeas - Andricos, Hileman, Walsh, Rogers. Nays - Chidlow, Wright, Drabant)

Drabant then turned the meeting over to Rogers. Rogers asked for nominations for Vice Chairman. Drabant declined to run for reelection as Vice Chairman.

Andricos nominated Harry Walsh, Hileman second. Walsh elected by a vote of  5-1 ( Yeas - Drabant, Hileman, Andricos, Wright, Walsh. Nay - Chidlow)

Hileman then nominated Andricos to be Secretary, Walsh second. Andricos elected by a vote of 3-0. Yeas - Hileman, Walsh, Andricos).

The Minutes of the April 7 meeting were approved unanimously.

Under Old Business, Olive Kelly made a presentation on the Subcommittee Report on Capital Planning. Kelly noted that the task given to the subcommitte was to construct a model to be used by LOWA administration, planning and finance to assist in the development of the 5 Year Plan, project reserve balances and the impact of new capital spending on the assessment. The Subcommittee constructed the model using currently available data which was incomplete and/or outdated so sample reports were provided only as examples of what could be produced. Drabant characterized the subcommittee efforts as a work in progress and said that the model turned over to the LOWA GM would require fully updated data before a full test can be performed.

 Terry Hileman pointed out that the data he used in developing the model were mostly  projections with numbers in some cases made up in order to demonstrate the model. Even as such, those numbers represented only a small fraction of the data that the model will eventually process, therefore rendering any discussion of specific projections premature. Drabant stated there was no intent to make projections and the text stared that the reports were samples only.

 Drabant thanked the subcommittee members for all the work they had done, including Doug Chidlow for comprehensive statistical work, Terry Hileman for his work as an advisor and developing the model and Dave McKee for his contributions to the work of the subcommittee.

The committee then turned to the subject of amenity fees, continuing a discussion of  proposals developed by Bill Mason and Doug Chidlow to establish guidelines for setting fees, establishing subsidy goals and simplifying the fee structure. Chidlow commented that new amenities were approved to be self supporting and no subsidy was proposed. Chidlow pointed out that the bylaws and regulations had been modified and no longer require amenities to be totally justified and that fees were no longer directed to be optimized, thus blurring the objectives of the fee structure. Simplification involved identifying individual and children’s fees. The effort involved setting performance goals and proposing specific subsidy percentages. General discussion involving both the committee members and audience covered concerns about individual vs. family fees for golf, considering the effect of amenities on property values and combining fees for pools, tennis and the fitness center. Discussion of fee simplification will continue at the next meeting.

Under new business the BOD request for  recommendations regarding the Community Center loan was presented to the committee. Chidlow commented that the motion provided for evaluation of the cost effectiveness of paying off the loan and of taking no action. Director Williams clarified that the meaning of “from all points of view and aspects” in his motion was that the Finance Committee should explore all of the available options, including payoff, re-financing, “doing nothing” and report back to the board with their findings. GM John Bailey gave some background on various banking and loan topics and noted that Wachovia has advised that they will not negotiate refinancing the loan. Chairman Rogers established a small working group (Rogers, LeMay, Kelly and Walsh plus Hileman as advisor) to develop recommendations.

Chairman Rogers introduced the issue of budget guidance for discussion and distributed copies of the 2008 guidance to be used as a straw man for considering  guidance for 2009. He noted that some topics would be deleted in 2009 and that discussion would continue at the June meeting.

Wright noted the upcoming Soil Conservation Commission vote and inquired about plans for purchasing the Obermeyer gate. Bailey responded that the gate, which is estimated to cost $568K, is pending BOD action/approval and that installation specifics will be addressed later.

Liaison reports were deferred.

The meeting adjourned at 9:35PM.

The next meeting will be June 2, 2008.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
June 2, 2008

Meeting was called to order by Chairman Doug Rogers at 7:00PM.

Members in attendance were Rogers, Harry Walsh, Terry Hileman, Jim Drabant, Boggs Wright, Doug Chidlow and Mike Andricos. Also present were alternates Dave LeMay, Olive Kelly and Dave McKee, Advisors Chuck Schulle and and Bill Mason, and Liaisons Neil Buttimer (BOD) and R.C. Haring (Planning).

Others present were BOD members Eldon Rucker, Tom Sheridan and Jeff Flynn, LOWA GM John Bailey, AGM Ted Wessel and Controller Dorothy Isenberg, and LOWA members Don Walters, Joe Quimper, Chuck Liddick, Vince Cusak, Jim Walsh, Ginny Thoms, Margaret Darby, P. Crowell, Jim Ogletree,  Ken Tillman, Dee Tillman, Suzi Tackacs, Bob Doan and Ken Kaltenmark.

The agenda and the minutes of May 5, 2008 were approved unanimously.

Chairman Rogers announced that Dave McKee would be joining the committee as an alternate.

Under old business, the recommendations of the Fee Simplification working group were to be forwarded to the other LOW committees for their consideration. A motion by Chidlow, Drabant second, to present the report on fee simplification to the BOD for consideration passed unanimously. The report will also be attached to these minutes.

Under new business a discussion ensued regarding Proposed Budget Guidelines for 2009. Doug Chidlow pointed out that the FC Charter does not include providing budget guidance to the BOD for their consideration. After further discussion, a motion by Chidlow, Wright second, to terminate discussion of proposed 2009 guidance and not make a recommendation to the BOD passed unanimously.

The committee then turned to discussion of the Community Center loan and the following options: do nothing, pay down the loan, refinance the loan, accelerate the pay down and pay the loan off this fiscal year. John Bailey then reported on results to date of his contact with five lending institutions and is awaiting further guidance on next steps. Controller Isenberg presented a draft report to  project cash balances at the end of the current fiscal year and concluded, based on those draft projections, that the Association does not have the cash to pay off the loan. The committee then determined that available data was incomplete and scheduled a special meeting of the FC for June 16 to hear further from GM Bailey on this issue. The meeting will be on one subject, refinancing the CC loan. Further discussion of paying off the loan led to a motion by Walsh, Hileman second, to not pay off the loan in its entirety at this time. Motion failed 1-5 with Walsh voting in favor and Andricos, Chidlow, Drabant, Hileman and Wright opposed.

Dave McKee then gave a report on the Planning Committee’s 2009 Capital Planning hearings and noted that a report will be forthcoming that will recommend $1.1m in “must do’ projects, followed by recommendations for “should do”, “defer to next year”, and “deny”.

Member comments included remarks on living within our (The Association) means, capital expenditures, road and capitalization fees, and the status of the dam and options for paying for modifications that may be required by the State.

The meeting was adjourned at 8:55PM

The special Meeting on refinancing the CC loan will be June 16.

The next regular meeting will be July 7, 2008.

Respectfully submitted, Mike Andricos, Secretary

Minutes of Finance Committee Special Meeting
June 16, 2008

Meeting was called to order by Chairman Doug Rogers at 7:00PM.

Members in attendance were Rogers, Terry Hileman, Mike Andricos, Jim Drabant, Boggs Wright and Doug Chidlow. Also present were alternates Dave McKee, Olive Kelly and Dave LeMay, advisor Chuck Schulle, and liaisons Neil Buttimer (BOD) and R.C. Haring (Planning).

Others present were BOD members Eldon Rucker, Tom Sheridan, Jeff Flynn and Bruce Kay, LOWA GM John Bailey, AGM Ted Wessel and Controller Dorothy Isenberg, and LOWA members Don Walters, Alice Drabant, Suzie Takacs,  Alicia Payne and Susan Wright.

The Agenda  was approved unanimously.

Under old business, discussion of the Community Center loan continued with Rogers noting that this special meeting was called to discuss recommendations that he would present to the BOD at the upcoming workshop. It was also reconfirmed by Dorothy Isenberg that the Association does not have $830,000 in liquid assets to pay off the loan.

John Bailey then distributed a confidential handout, which he collected at the end of the meeting that summarized proposals of five lending institutions to refinance the existing Community Center loan. Bailey reviewed each proposal and considerable discussion ensued on details including several institution’s conditions that would require  assignment of LOWA assessments as collateral for the loan. It was noted that we would need to get a legal position on whether the Association could execute an agreement that would pledge a future income stream.

Doug Chidlow made a motion that the Finance Committee recommend that the BOD take no action on the Community Center loan at this time. The motion was seconded by Wright. Wright offered that we should not make any recommendations regarding this topic since we are facing a major decision on our dam in July which will affect our financial position significantly. The motion passed unanimously.

Meeting was adjourned at 8:15PM.

Respectfully submitted, Mike Andricos, Secretary. 

Minutes of Finance Committee Meeting
July 7, 2008

Meeting was called to order by Vice Chairman Harry Walsh at 7:00PM. Members in attendance were Walsh, Jim Drabant, Doug Chidlow, Terry Hileman, Boggs Wright and Mike Andricos. Also present were alternates Dave McKee, Olive Kelly and Dave LeMay and liaisons Neil Buttimer (BOD) and R.C. Haring (Planning). Others present were BOD members Bruce Kay, Tom Sheridan and Bill Wilson, LOWA AGM Ted Wessel and LOWA members Susan Wright, Don Walters, Margaret Darby, Bernie Patton, Nick Duy and Joe Quimper.

Motion by Chidlow, Wright second, to add Review and Discussion of BOD 2009 Budget Guidelines to the agenda under new business. Motion passed unanimously. Agenda was then unanimously approved.

The Minutes of June 2 and 16, 2008 were approved.

Under new business, the committee reviewed the current charter and several observations were made regarding references to budget guidance and terminology contained in the charter, such as references to cost centers which should be operations centers and possible discrepancies with other committee charters, in particular the Planning Committee charter. A motion was made by Walsh, Drabant second, to establish a joint subcommittee with the Planning Committee to coordinate language of the two committees and recommend appropriate changes that could be made to the BOD. Motion passed unanimously. It was further suggested that Chairman Rogers coordinate with the Chair of the Planning Committee, Don Walters, who was in attendance. Olive Kelly suggested that Dave McKee be one of the representatives of the committee due to the fact that he is the past chair of the Planning Committee.

Walsh then suggested postponing discussion of Education on Financial Reports until Chairman Rogers returned, but some discussion did ensue on a need to simplify financial reports, which prompted a more detailed discussion of what was contained in current reports and that producing simplified reports could cause misunderstanding because simplification meant certain details important to having a complete picture would be omitted. AGM Wessel noted that an effort was being undertaken in conjunction with work by the Quality Management Committee to explore ways to better communicate general financial information, with Bruce Kay noting that additional demands on staff time be a factor of any proposals that may be considered. AGM Wessel also agreed to pursue a possible education session similar to the one held last year which provided a detailed briefing on existing LOWA financial reports. Wessel noted that this would be a briefing on numbers, not process. Neil Buttimer then reviewed the timeline for the annual budget process.

Discussion then turned to 2009 Budget Guidance that the GM provided to Operations Center Managers. Chidlow said that copies of that guidance should be provided to the committee for review. Others noted that the proper time for committee review was during the hearings in the fall on the budget the LOWA GM prepares and submits for committee and BOD consideration. A motion by Chidlow to require the GM to provide to the committee copies of the budget guidance to ops center managers died for lack of a second.

Next under discussion was New Capital Reserves. Chidlow suggested the committee look at the total, by year, for the next five years (2009-2013). Chidlow made a motion, Wright second, that the committee undertake this review and make recommendations to the BOD that might result. Approved unanimously. Chidlow volunteered and was authorized to conduct the review and provide results to the committee for consideration.

General comments covered issues of status of reserves and how they are being spent, differences in CTR, Ops center transfers for Grounds, and campground budget overruns.

The meeting was adjourned at 8:32PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
August 4, 2008

The regular monthly meeting of the LOWA Finance Committee was called to order by Chairman Doug Rogers at 7:00PM.

The Agenda for August 4 was approved unanimously. The minutes of the July 7 meeting, as amended, were approved unanimously.

BOD Treasurer Neil Buttimer distributed samples of a proposed Financial Report that will be published in the next Lake Currents. At the conclusion of the Treasurer’s discussion, Jim Drabant submitted to the committee two samples of a simplified Financial Report format developed by banking and accounting professionals at LOW. Following discussion of these sample formats, Drabant made a motion to attach these samples to the minutes which was approved unanimously.

Under old business, the Committee discussed the charters of the Finance and Planning Committees, the budget process and 5-year New Capital projections.

The Committee also discussed the role of the Finance Committee in making recommendations to the BOD regarding budget guidance.

There was no new business.

In open discussion the committee reviewed risk associated with Association funds on deposit with financial institutions.

The meeting adjourned at 8:35PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
September 9, 2008

The regular monthly meeting of the LOWA Finance Committee meeting was called to order by Chairman Doug Rogers at 7:00PM.

The agenda, as amended, was approved unanimously.

The minutes of the August 4, 2008 meeting were approved unanimously.

Rogers announced that the draft audit was in and the final audit is expected in late September/early October.

Dave McKee reported on the progress of the ad hoc subcommittee of the Finance and Planning committees to review  the respective committee charters and other issues including the possibility of joint hearings in the future on the budget and Master Plan. A draft of the committee’s review and recommendations has been circulated internally for information and comment.

Rogers announced the schedule for the annual budget hearings. They will be held on October 14, 16, 20, 22, 24, 28 and 30.  Operations Centers to be discussed at each hearing will be announced at a later date. All hearings will be held at the Woods Center from 9:00AM until Noon. The Committee will then vote on any proposed amendments at its regular meeting in November.

The Committee then discussed a protocol proposed by Doug Chidlow for recommending changes to the budget during the annual hearings. The protocol included a proposed action item format and was distributed in advance to all members of the committee by Chidlow. There was general agreement that final FC action on an action item would be by consensus of the committee. Chidlow made a motion that the committee adopt the protocol, as amended, which was approved unanimously. The protocol will be attached to these minutes.

In other business, the following liaison assignments were made:

Clubhouse: Dave McKee
Pools and Fitness: Doug Chidlow
Communications: Harry Walsh
Safety and Security: Dave LeMay
Youth Activities: Terry Hileman

The next meeting will be October 6, 2008 .

The meeting was adjourned at 8:05PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
October 6, 2008

The regular monthly meeting of the LOWA Finance Committee was called to order by Chairman Doug Rogers at 7:00PM.

The agenda was approved unanimously. The minutes of  the September 9, 2008 meeting were approved unanimously.

Chairman Rogers introduced Jim Walsh as an alternate member of the committee. There were two new liaison assignments: Communications - Dave LeMay, and Safety and Security - Harry Walsh.

Under old business, Dave McKee gave a report from the ad hoc group on Charters of the Finance and Planning committees which included a detailed discussion of possible changes to the 2010 Budget Cycle.

Discussion then turned to the 2009 Budget Hearings scheduled to begin on October 14. Rogers announced that the location of the Oct 14 hearing had been changed to the Clubhouse lower level. All other hearings will be at the Woods Center as previously announced. There will also be a Town Hall meeting  on the 2009 Budget for LOWA members on November 22, 2008 at 10AM at the Community Center and a follow on meeting with the LOWA GM  to review member comments on November 25 at 7:00PM, location TBA. Budget books and CDs will be available by the end of the week.

Under new business, LOWA Treasurer Olive Kelly reported on her examination of  FDIC coverage of LOWA cash on deposit at financial institutions.

In open discussion, Doug Chidlow pointed out that the budgeted allocation for CTR was $105,519 more than the actual funds shown as contributed to replacement reserves for the year ending April 30, 2008 (BY 2007).

The regular finance committee meeting on November 3 will begin at 6:00PM vice 7:00PM.

The meeting was adjourned at 8:20PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee
November 3, 2008

The regular monthly meeting of the LOWA Finance Committee was called to order by Chairman Doug Rogers at 6PM.

The Agenda was approved unanimously. The minutes of the October 6, 2008 meeting were approved unanimously.

Rogers reviewed the procedures he would follow during the consideration of recommendations on the 2009 Budget. LOWA GM John Bailey distributed responses to pending action items.

There was no old business.

Under new business, the following motions to recommend changes to the 2009 Budget were approved:

1. Motion by  Boggs Wright to recommend the BOD instruct the LOWA GM to issue a new RFP for the golf course requesting bids for (1) maintenance with LOWA providing equipment, (2) maintenance with the vendor supplying the equipment, and (3) complete outsourcing of the golf facility. Any vendor could bid all three of the options, two of the options, or just one of the options. LOWA would accept the bid that provided the best value for the community.

2. Motion by Jim Drabant that the Finance Committee recommend the “Lakeview Culvert Replacement” (below the dam) be removed from the FY 2009 budget in the amount of $227,033.

3. Motion by Doug Chidlow to reduce the allocation (Acct 101) for New Capital from $150K to $50K saving $100K on the bottom line or $23.49 on the assessment.

4. Motion by Wright to delete $160K from salaries and benefits by eliminating Activities and Wellness Director, IT support Tech, grounds worker, and roads laborer.

5. Motion by Wright to add $35K for additional 1% COLA. Add $25K for training and contract services to complete IT support.

6. Motion by Drabant to delete the “Lake of the Woods Parkway Paving Project” in the amount of $186,725 to be removed from the 2009 budget.

7. Motion by Drabant to remove $10,000 for the “Walkway on Right Hand Side of the CH  Parking Lot” from the FY2009 budget.

8. Motion by Chidlow to purify the depreciation schedule (Acct 101) to remove all items with purchase value of $3500 or less.  Recommend corresponding CTR be deducted from the respective budgets. Impact by OC is as follows: OC 101 CTR $109, OC 102 CTR $1817, OC 201 CTR $2184, OC 301 CTR $750, OC 302 CTR $439, OC 303 CTR $694, OC 401 CTR $2108, OC 501 CTR $1650, OC 503 CTR $359, OC 510 CTR $1252.

9. Motion by Wright to delete $20K from telecommunications budget to effect a wiser use of resources especially as relate to T-! lines, long distance and features such as caller ID.

10. Motion by Drabant to remove $30,000 from the FY2009 budget for the “Beer Walk-in”.

11. Motion by Chidlow to revise the label  “insurance-Fire and Rescue Donation” to read “Donation to Fire and Rescue”.

12. Motion by Chidlow to delete all un-repeatable activities for accounts 101, 201,303, 306, 310 and 401 such as plans and drawings identified to completed work. This involves $20,939 in CTR with a $4.86 impact on the assessment.

13. Motion by Chidlow, as amended by Wright, to remove $3307 for chemicals and $4000 for fish stocking from the Lakes (Acct 303) budget.

14. Motion by Wright to delete $6K from Roads budget for 15 mph signs that are unnecessary and unenforceable.

15. Motion by Wright to add $7K to Administrative income.

16. Motion by Wright to revise Equestrian budget to reflect decrease of $20K in boarding income.

17. Motion by Wright to recommend that the BOD direct the Tennis Committee to enact a $5 daily guest fee on an Honor System with honor boxes to be placed at appropriate spots.

18. Motion by Drabant that the BOD direct the LOWA GM to conduct a study to open the Golf Course and Equestrian Center to the public and present it to the BOD by 30 June for a possible vote by the membership on a change to the covenants.

19. Motion by Drabant to reduce the Contingency fund to $40K vice $60K.

20. Motion by Chidlow to establish consistency between ELs in various accounts.

21. Motion by Chidlow to reduce the 30 year CH CTR value (Acct 401) for that building to $759,302 in 2007 (revise the CTR to $18,982 vice $35,746 thus reducing CTR by $16,764 saving $3.94 on the assessment).

22. Motion by Chidlow to reduce the allowance for Serviceware and Kitchen utensils to $250 each for a grand total of $500 thus reducing expenses by $3500 saving $0.82 on the assessment.

23. Motion by Chidlow to remove Lakeview improvement totaling $602,377 prior to 2006 from the depreciation schedule and reduce roads CTR for this work by $40,158 ( saving $9.43 on assessment).

24. Motion by Chidlow to revise the EL for concrete culverts at Flat Run, Harpers Ferry and CH to 40 years thus saving $20,131 in CTR for a reduction of $4.73 on the assessment.

25. Motion by Drabant to restore storage lot fees to 2008 levels.

26. Motion by Chidlow to disconnect utilities at campground and provide only primitive campsites.

There being no further motions on the 2009 budget, the meeting was adjourned at 9:15PM

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
November 25, 2008

Chairman Doug Rogers called the special meeting of the LOWA Finance Committee to order at 7:00PM.

The agenda was approved.

Under Chairman Comments, Rogers asked LOWA AGM Ted Wessel to report on the status of the Reserve Study which is anticipated to be completed by the end of December, 2008.

There was no old business. Under new business, the following motions to recommend changes to the 2009 Budget were approved:

1. Motion by Boggs Wright to reaffirm the committee’s earlier recommendation to expand the RFP on the Golf Contract  to request bids for  maintenance with LOWA providing equipment, maintenance with the vendor supplying equipment and complete outsourcing of the golf facility. Vendors could bid on any or all of the options.

2. Motion by Wright to reaffirm the committee’s earlier recommendation to delete 2 maintenance positions: grounds worker and roads laborer.

3. Motion by Wright to reaffirm $20K cut from the telecommunications budget.

4. Motion by Wright to reaffirm deletion $6K for speed limit signs.

5. Motion by Doug Chidlow to add projected miscellaneous income of $7K to Account 101.

6. Motion by Chidlow to calculate EL’s in various accounts consistently.

7. Motion by Chidlow to reaffirm allowance for Fareways service-ware and kitchen utensil losses at a total of $500 versus $2500.

8. Motion by Chidlow to reaffirm recommendation to disconnect utilities at campsites.

9. Motion by Chidlow to withdraw the $35,000 for COLA and restore COLA to the 1.5% proposed by the GM.

10. Motion by Chidlow to increase annual golf fees 7% versus 5%.

The meeting adjourned at 8:45PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
December 1, 2008

The regular monthly meeting of the LOWA Finance Committee was called to order by Chairman Doug Rogers at 7:00PM.

The agenda was approved.

The minutes of November 3 and the minutes of November 25, as amended, were approved.

Under old business, the presentation on the budget process and committee charter was rescheduled for the January, 2009 meeting.

Under new business, committee recommendations on the 2009 budget were reviewed. The recommendations will be presented to the BOD by Vice Chairman Harry Walsh on December 6. It was noted that the LOWA GM will present the 2009 Budget to the BOD on December 17.

In open discussion, concern about road funding given the current building situation was raised and included a discussion of road reserves versus replacement reserves. There were also comments on, and discussion of, debt service on the Community Center loan.

The meeting was adjourned at 7:30PM.

The next meeting will be January 5, 2009, at 7:00PM in the Holcomb Building.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
January 5, 2009

The regular monthly meeting of the LOWA Finance Committee was called to order by Vice Chairman Harry Walsh at 7:00PM. The following members were present: Walsh, Terry Hileman, Doud Chidlow, Jim Drabant, Boggs Wright and Mike Andricos.

The agenda was approved.

The minutes of December 1, 2008 were approved.

Under old business, the committee engaged in a line by line review of the working draft of the proposed revision of the committee charter and made numerous suggested changes. An updated draft will be circulated separately to committee members for review and further discussion.  A major point of the discussion was to assure the charter did not establish ‘the committee’ as a fiscal policy entity and to preserve its oversight responsibility. The draft charter (attached) will be submitted to the LOWA Board of Directors for further consideration.

A discussion of the budget process and timeline was deferred to the February meeting.

Under new business, LOWA AGM Ted Wessel announced that the reserve study was received on December 31, 2008 and is undergoing review prior to release to the BOD and appropriate committees.

There being no further business or discussion, the meeting was adjourned at 8:15PM.

Respectfully submitted, Mike Andricos, Secretary

Attachment: Draft Finance Committee Charter

Minutes of the LOWA Finance Committee Meeting
February 2, 2009

The regular monthly meeting of the LOWA Finance Committee was called to order by Chairman Doug Rogers at 7:00PM.

The following members were present: Doug Rogers Chairman, Doug Chidlow, Jim Drabant, Dave McKee, and Jim Walsh Acting Secretary.  In order to reach a quorum Dave Mckee was designated a voting member.

The agenda with the following amendments was approved:

Add: Under new business a discussion of the 2009 budget as it pertains to the BOD and GM recommendations.

Delete: Under old business the Budget process, timeline

Delete under old Business Working relations with the Planning Committee.

The following motions were made pertaining to the Draft Finance Committee Charter:

Under Section VI A delete the last sentence which reads “The committee will schedule meetings with each LOWA operating entity yearly to review
and evaluate budget needs.”  The motion passed.  

Under section VII paragraph L change it to read “Comply with and operate under Regulation XV.”  The motion passed.

Under new business comments were made by several members regarding the budget being presented to the LOWA Board of Directors by the GM.  No votes were taken by the committee.

The meeting was adjourned at 8:18.

Respectfully submitted, Jim Walsh, Acting Secretary

Minutes of the LOWA Finance Committee Meeting
March 23, 2009

The regular monthly meeting of the LOWA Finance Committee was called to order by Vice Chairman Harry Walsh at 7:00PM.

The following members were present: Harry Walsh, Mike Andricos, Doug Chidlow and Boggs Wright and alternates Jim Walsh, Dave McKee and Joe Takacs. Also present was Planning Committee liaison R.C. Haring.

The agenda was approved.

The minutes of February 2, 2009 were approved.

During Chairman’s comments, Walsh made some general remarks related to the Planning Committee and its work on the 5 Year (or Master) Plan which is being led by Mike Hill. He also noted that the Land Use Study is underway and that there would be a Finance Committee liaison to that subcommittee.

Under old business, discussion of the budget timeline and working relations with the Planning Committee were deferred.

Under new business, discussion of how to increase clubhouse revenue was deferred.

Under open discussion, LOWA AGM Ted Wessel responded to questions about delinquent accounts and about the  RFP for the audit. BOD members Tom Sheridan and Bruce Kay responded to questions about the LOWA budget for the coming fiscal year.

The meeting was adjourned at 7:47PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
April 6, 2009

The regular monthly meeting of the LOWA Finance Committee meeting was called to order by Vice Chairman Harry Walsh at 7:00PM.

Present were members Walsh, Mike Andricos, Jim Drabant, Doug Chidlow, and Boggs Wright,  alternates Dave LeMay, Dave McKee and Joe Takacs, and Planning Committee liaison R.C. Haring.

The agenda was approved.

The March Minutes were approved as were the January Minutes, as amended.

Vice Chairman Walsh welcomed new alternate Joe Takacs. 

Under Old Business, the committee tabled discussion of the budget process and timeline update pending further coordination by the Finance and Planning committee Chairmen with the LOWA General Manager

Under New Business, Walsh discussed the committee makeup for the new fiscal year. In other discussion, AGM Ted Wessel advised that although there had not yet been final decisions on how to realize savings in salaries in the upcoming year, he did not anticipate having to cut any of the current employees.

Under general comments, it was noted that clarification was needed regarding the involvement of committees in the budget process and it was announced that the QMC was going to demonstrate the Jonas System at the Woods Center on April 9.

There being no further business, the meeting was adjourned at 7:57PM.

Respectfully submitted, Mike Andricos, Secretary

Minutes of LOWA Finance Committee Meeting
May 4, 2009

Chairman D. Rogers called the regular monthly meeting of the Finance Committee to order at 7:00 PM

Members present were Harry Walsh, Jim Drabant, Doug Chidlow, Boggs Wright, Dave LeMay Terry Hileman, alternates Jim Walsh, Dave McKee, and Joe Takacs, and Planning Committee liaison R.C. Haring.
 
Board members in attendance: committee Liaison Bruce Kay, Bill Wilson, Margaret Darby, Jeff Flynn, and Tom Sheridan. 

LOWA staff members included Ted Wessel and Dorothy Isenberg.

Members Susan Wright and Bernie Patton were present.

The agenda was approved.

The April Minutes were approved.

Chairman Rogers announced the resignation of Secretary Andricos and announced Jim Walsh as acting secretary.  Dave LeMay was welcomed as a new voting member of the Finance Committee.

Rogers opened nominations of officers for the new year.

The following officers were elected:  Jim Drabant as Chairman and assumed those responsibilities for the remainder of the meeting.  Boggs Wright, as Vice Chairman.  Both Jim Walsh and Doug Chidlow were in contention for Secretary. Subject to discussion, Jim Walsh withdrew his nomination and Doug Chidlow assumed that position.

Old Business –

Bruce Kay introduced a proposed budget guidelines schedule, which was discussed and amended to reflect actual event dates.  Director Kay stated he would prepare a copy reflecting the suggested changes. 

It was suggested the Planning Committee (PC) establish a Five Year Plan schedule that provides their prioritized list and New Capital Project Plan for review by the GM before 30 September and available for Finance Committee review by 1 October 2009.

New Business

Chairman Drabant introduced the subject of the Reserve Study, which was provided to FC members for review. 

Chidlow presented his evaluation of the Reserve Study to the committee, which led to an open discussion of the subject. Copies of the evaluation were provided to members of the Board, Staff and committee members.

The Chair appointed Chidlow to chair a FC Sub-Committee to review and develop recommendations to be sent to Board members prior to their regularly scheduled meeting. 

A motion was made to adopt the current document as the position of the FC.   VC Wright amended the motion to provide for the FC Reserve Study Sub-committee conclusions to be provided to the Board prior to the Workshop, and the official FC position be deferred until the committee reviewed the study at its June meeting.  The document should take the form of specific recommendations for the board to consider in the application of the Study to the 2010 budget.  The motion as amended was approved. 

An invitation was extended to all FC members and alternates to participate in the sub-committee.  Planning Committee Chair Des Flanigan will assign a representative to participate. Subcommittee preliminary report is due prior to the May 2009 BOD workshop.

 Member LeMay moved that the FC establish a subcommittee to review the RFP for the annual audit and make recommendations to management in regards to audit requirements.  The motion was passed. The Chair appointed D. LeMay to chair the Committee.

The meeting was adjourned at 8:20 PM

Respectfully submitted, Doug Chidlow, Secretary

Minutes of LOWA Finance Committee Meeting
June 1, 2009

Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:05 PM

Members present were Doug Chidlow, Boggs Wright, Dave Lemay Terry Hileman, Doug Rogers alternates Jim Walsh, Dave McKee, and Joe Takacs, and Planning Committee liaison R.C. Haring.

Board members in attendance: committee Liaison Bruce Kay, Jeff Flynn, and Tom Sheridan. 

LOWA staff members included Ted Wessel and John Bailey.

Members Susan Wright, Pat Rowland, and Joe Quimper were present.

The agenda was approved.

The May Minutes were approved.

Chairman Drabant passed out the April Financials, 2009 June Committee Meeting Calendar, copies of the LOW Approved Fee Schedule, and discs containing the 2009 budget to committee members. It was announced that Chuck Schulle has resigned as an advisor from the committee.

It was recommended that committee members carefully review the monthly financials and pay particular attention to the committees for which they are acting as liaison.  The objective is to monitor progress of the revenue and expense projections relative to actuals for their OC’s.

Old Business –

Dave McKee distributed the FC recommended Budget schedule for Fiscal Year 2010-2011 and discussed the entries describing Finance Committees preference regarding operating and capital budgets.  The deviations from the unapproved BOD schedule were discussed. 
The expressed concern was the lack of adequate provision for the PC to review the capital budget submissions that will appear in the budget delivered to the committees on 3 October 2009.  Director Kay pointed out that the schedule being proposed protracted the draft schedule that he and Director Sheridan produced.

A motion was made by Chidlow and seconded by Wright to submit the FC Fiscal Year 2010-2011 Budget Schedule to the board for consideration.  The motion passed unanimously.   

Chidlow distributed a copy of an e-mail message that was sent from the AGM to the Study consultant defining the changes made by the BOD to be included in the study.

 Introductory remarks regarding the Reserves Study sub-committee’s report on the 2009 Reserve Study were made and it was pointed out that the subcommittee study had been revised to incorporate the BOD preferences expressed at their meeting. In addition, there were several changes in addition to the BOD preferences:

1. SL for Lakeview Parkway was revised to coincide with the Road Master Plan.  An item was added to the inventory to seal Lakeview Parkway at 4-year intervals.
2. The SL for the roof on metal roof buildings was extended from 25 years to 40 years.
3. Replacement of plumbing and electrical systems for Holcomb, ECC, and Security buildings were eliminated from the inventory.

Chidlow made a motion that the committee approve the report for submission to the board .  Rogers seconded the motion and it was approved unanimously. 

AGM Wessel indicated that the consultant will submit his revision on 5 June 2009. 

Chairman Drabant expressed an interest in seeing the revised input from the consultant. 

A copy of the sub-committee report and and a copy of the proposed revised fiscal year 2010-2011 Budget Schedule are attached to these minutes.

New Business—

There was no new business

Treasurer Kelly was given the floor to discuss the end of the year financial report.  Copies were distributed to members.     A concern was expressed  that the report was derived from clearly marked ‘preliminary’ data and that it should be emphasized that is the case.  Ms Kelly advised it was marked ‘Unaudited’, but would assure further distribution would reflect the status of the data.  In response to an inquiry, the excess revenue of $665,460 will be transferred to the Capital Reserve Account to help offset some Capital expenditures. 

It was pointed out that an accurate Reserve Study defining our long range replacement reserve  requirements is essential.  It is imperative that all requirements be defined in the inventory or be considered as an undocumented replacement and not have access to replacement reserve funds. 

Liaison Reports—

Chairman Drabant passed out copies of the June calendar of committee meetings.

J Walsh reported that he had not attended an Equestrian committee meeting but one was scheduled for 9 June 2009.

D. Rogers reported he had received some 2008 budget performance data from the golf pro and would seek additional information and provide it to the committee.

J. Takacs indicated he had attended the May M&E meeting and reported the following.

Maintenance.
1. New Annual Work Schedule being done. Waiting to tie into the Jonas system;
2. The Tar and Chip program for 2009 is underway.  
4. The Clubhouse Pool dressing room shingle roof has been completed.

Storm water management
1. A change to the current storm water regulation was proposed on April 24. No comments received.
2. Drainage Easement inspections were completed on 5/18/09.
3. The contractor for the middle school has tapped into the water line on Birch Court in Section #6 and will be connecting all services on Birch Court to a new line soon.

Comments
Lee Frame reported that the cost of the dam modifications to LOWA members will not be tax deductible.
It was reported that there may need to be an alternative to installing the proposed gate at the dam.  

T. Hileman reported on Tennis and Youth Activities. 

Tennis Committee

Maintenance will be installing the awnings for three courts and the rest rooms have reopened after being repaired from the vandalism several months ago.  The wind screens were repaired and installed on courts 1 and 2 and the bulletin board repaired and installed.

The chairperson will continue to meet with the GM and Maintenance to follow-up on several outstanding tennis facility issues, for example, water spigot was vandalized and left deinstalled, erosion around all courts and gazebo seat repair. 

The “Guest Fee Donation Box” was discussed and it was resolved to not pursue any further as this was most likely an oversight by the LOWA in not removing it from the amenity fee summary sheet.  

The tennis budget for expendable furnishings for 2009 is $1,800 which will cover the cost of three additional.    

Youth Activities
The skateboard park hours for the summer are 9:00am – 12noon and 4:00pm – 7:00pm
Paid attendants will be used during regular hours.  Volunteers will be used for any additional hours.  Volunteers are currently undergoing background checks.

Battle of the Bands was held on May 30th and raised approximately $500. The proceeds will be used for events or equipment at the teen center.

J. Drabant participated in the PC meeting where an attempt was made to establish an effective budget schedule that would allow for PC hearings on capital project activity. 

D. Chidlow reported that the May meeting of the Pools and Fitness Committee was hindered by a lack of a quorum and no action to reorganize the committee proved possible.

D. Lemay he had nothing to report from the May meeting of Safety and Security.

The meeting was adjourned at 8:15 PM

Respectfully submitted, Doug Chidlow, Secretary

Attachments     Fiscal year 2010-2011 Budget Schedule
Report of Finance Sub-committee for Reserve Study Review
FC Subcommittee Replacement Inventory List

Minutes of LOWA Finance Committee Meeting
July 6, 2009

Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:05 PM

Members present were Doug Chidlow, Boggs Wright, Dave Lemay, Terry Hileman, Doug Rogers alternates Jim Walsh, Dave McKee, and Joe Takacs, R.C. Haring, and PC committee Liaison D. Strain

Board members in attendance: committee Liaison Bruce Kay, Tom Sheridan, Bill Wilson, and Treasurer Olive Kelly

LOWA staff members included Ted Wessel and John Bailey.

Members Susan Wright, Don Walters, Des Flanigan, Joel Dinger, Laurie Sale, Sam Hill, Barb Spadero, and Jack Spadero were present.

The agenda was approved.

The May Minutes were approved with amendment to the M&E report deleting reference to the Virginia Resource Authority regarding the manned gate.

Chairman Drabant passed out the final version of April Financials to those members who needed them.  He welcomed the new PC Liaison representative. D. Strain.  Mr. Strain provided a brief biography of his life and involvement at LOWA.  Jim welcomed Bob Haring as a new alternate member of the committee.

Old Business –

Chair Drabant introduced Des Flanigan, Chair of PC and turned the floor over to Mr. Flanigan who presented the results of the 2008/2009 Survey. A copy of the questions with applicable responses are provide in Attachment 1. 

The 2010 Budget guidelines draft was discussed.  Attachment 2 is the revised guidelines that have consensus approval of the committee and will be forwarded to the Board of Directors by the Finance Committee Chair.

The 2010 Budget Presentation Schedule was presented.  J. Walsh, the golf liaison indicated he will not be able to attend on that date. In addition, the Clubhouse was scheduled for a Wednesday which is a business day. The General Manager will revise the schedule to correct the conflicts. The revised schedule will be distributed to members of the committee. Attachment 3 is the revised schedule.
 
 New Business— There was no new business

Liaison Reports— Chairman Drabant deferred presentation of the liaison reports because of the late hour.

Open Discussion —

D. Chidlow pointed out a recent change to the Property Owners Association Act which states ”any member of an Association has the right of disclosure for the top 5 paid employees whose salary exceeds $75,000”.

The General Manager stated that proposed capital expenditures for 2010 will be included in the budget and addressed during the budget reviews. The planned capital expenditures for an additional four(4) years will be made available to the Planning Committee for development of the full five(5) year Capital Plan.

The meeting was adjourned at 9:30 PM

Respectfully submitted, Doug Chidlow, Secretary

Attachments     1. -- 2009 PLANCOM Survey Results
                        2. -- 2010 Budget Guidelines FC revised.
                        3. -- 2010 Proposed Budget Presentation Schedule

Minutes of LOWA Finance Committee Meeting
August 3, 2009

Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:02 PM

Members present were Doug Chidlow, Boggs Wright, Dave Lemay, Doug Rogers alternates Dave McKee, and Joe Takacs, R.C. Haring, and PC committee Liaison D. Strain.  Members absent were Terry Hileman and alternate Jim Walsh
 
Board members in attendance: committee Liaison Bruce Kay, Bill Wilson, Tom Sheridan, Margaret Darby, and Jeff Flynne

LOWA staff member present was Ted Wessel.

Members Bernie Patton, Desmond Flanigan, Sue Merna, and Maureen Otero.

The agenda was amended to add an item that addressed the proposed amendment to the LOWA Bylaw which addressed the format and content of committee charters.  The agenda was approved as amended.

The June Minutes were approved.  

Chairman Drabant reported that he had attended the Committee Chairman Orientation meeting.

Old Business –

Chair Drabant addressed the issue of the 2010 Budget Guidelines and pointed out that none of the recommendations of the Finance Committee were adopted by the BOD.  It was pointed out by Director Kay that the bad debt allowance was reduced from $50,000 to $28,000 before the guidelines were ultimately approved at the 1 August 2009 BOD meeting.

Member Harry Walsh addressed the issue of amenity subsidy and the overall impression that the membership does not appear to understand how the assessment is used.  A motion was made and seconded that a subcommittee of Finance Committee convene to review the budget allocation and develop a series of articles for the Lake Currents explaining how the assessment is used.  The motion was unanimously approved.  Mr. Walsh will chair a subcommittee consisting of members J. Takacs, D. Chidlow, and B. Wright.

The Chairman discussed the various issues presented at the Committee Chairman Orientation.  The orientation included a major presentation by the association lawyer.  Points covered included.

1. Format and content of minutes.
2. Criteria for executive sessions.
3. Tape recording of meetings.
4. Use of e-mail in committee related activity.
5. Liaison reports
6. A change to the LOWA Bylaws covering committee charters.

Chairman Drabant addressed the bylaw change being proposed.  A standard format is being proposed that will provide for committee specific issues to be addressed.  There were mixed reviews by committee members on the content of the bylaw change.

 New Business—

Liaison Reports—

Reports were made on the following:
McKee reported regarding the Clubhouse Committee
Takacs reported regarding the M&E Committee
Rogers reported regarding the Golf Committee and provided membership statistics. 
Chidlow reported regarding the Pools and Fitness Committee
Wright reported regarding Lake Users Committee
H.Walsh reported regarding the Legal and Compliance Committee
LeMay reported regarding the Communications Committee.
J. Walsh reported separately regarding the Equestrian Center. (Copy provided to the committee by separate means.)

Open Discussion —

D. Chidlow expressed concern that the most recent copy of the Reserve Study component listing still contains information that is incorrectly documented.  Of particular concern was the fact that there were inconsistencies between the procurement year, the Service Life allocation and the First Replacement Year (FRY) calculation.  These inconsistencies make calculation of a valid backlog impossible. 

The General Manager stated that proposed capital expenditures for 2010 will be included in the budget and addressed during the budget reviews. The planned capital expenditures for an additional four(4) years will be made available to the Planning Committee for development of the full five(5) year Capital Plan.

The meeting was adjourned at 8:25 PM

Respectfully submitted, Doug Chidlow, Secretary

Attachments     1. -- 2009 PLANCOM Survey Results
                        2. -- 2010 Budget Guidelines FC revised.
                        3. -- 2010 Proposed Budget Presentation Schedule

Minutes of LOWA Finance Committee Meeting
September 8, 2009

 Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:00 PM

Members present were Doug Chidlow, Boggs Wright, Terry Hileman Doug Rogers, and Harry Walsh, alternates Dave McKee, Jim Walsh, R.C. Haring.. PC committee Liaison D. Strain was absent.  Members absent were Dave Lemay and alternate Joe Takacs
 
Board members in attendance: committee Liaison Bruce Kay, Tom Sheridan, Margaret Darby, Neil Buttimer, Jeff Flynne and Director-elect Olive Kelly.

LOWA staff member present was Ted Wessel.

Members Bernie Patton, Desmond Flanigan, Susan Wright, and Bill Mason.

The agenda was approved.

The August Minutes were approved. 

Chairman Drabant reported that he had received a proposal from the Chairman of the Pools and Fitness Committee that address the issue of closing one pool with the ultimate objective of building and enclosed or heated pool.

Old Business –

Harry Walsh introduced the draft article for the Lake Currents regarding amenity subsidies.  Chair Drabant indicated he would like to further review the article and amend it if necessary and provide feedback to Mr. Walsh.  Doug Chidlow suggested that the words “Assessment dues” be changed to read  “assessment” since there has never been the word ‘dues’ associated with the assessment.  Further the use of Cost Centers is not accurate.  They are “Operations Centers”.  It was also pointed out the categories of Salary and Reserves are not accurate and that categories could be changed to show categories of “security”, “maintenance”, and “administration and communications/community service”  added..  

GM Wessel provided an update of the status of the reserve study.  Doug Chidlow requested clarification of what “future” in the guidelines meant with regard to road CTR and was assured that the CTR for roads would go to road reserve in 2010.

 New Business—

The Chairman solicited comments from the committee members regarding the Vision Plan.  He recommended that individual recommendations should be submitted to the BOD.  Mr. Chidlow made several comments regarding the technical accuracy of the plan.  Of particular concern were issues addressing CTR, reserve balances, senior housing, the campgrounds, and political representation.  Chairman Drabant offered an appropriate alternative to the existing plan.  A consensus to endorse the Drabant draft could not be achieved.  It was asserted by the attending BOD members that the deadline for submission of comments would be extended until November 2009.  It was decided that the committee would review the alternative and consider it for adoption as a FC position for submission after the next meeting.

Liaison Reports—Liaison reports were not heard.

Open Discussion —

D. Chidlow attempted to get information regarding the potential for a loan from the State.  It was disclosed by Director Kay that the board had decided not to pursue this 4 to 5% loan over 15 years since it was their opinion that it was not in the best interest of the membership.

Desmond Flanigan asserted for the clarification of Director Buttimer that there would be a 5 year plan.

The meeting was adjourned at 8:25 PM

Respectfully submitted, Doug Chidlow, Secretary

Minutes of LOWA Finance Committee Meeting
October 5, 2009

Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:03 PM

Members present were Doug Chidlow, Boggs Wright, and Dave Lemay, alternates Dave McKee, Jim Walsh, R.C. Haring and Joe Takacs; and advisor Bill Mason.. PC committee Liaison D. Strain was present.  Members absent were D. Rogers, T Hileman and H. Walsh.

Board members in attendance: committee Liaison Olive Kelly, Tom Sheridan, Jeff Flynne and President Bruce Kay.

LOWA General Manager Ted Wessel was present.

Members Don Walters, Desmond Flannigan, and Susan Wright attended.

The agenda was approved.

The September minutes were approved. 

Chairman  reported that he had received and distributed the revised Bylaw covering committee charters and wanted members to review it and be prepared to discuss it at a future meeting.  He reported that the budget hearings had been deferred one month and a schedule would be provided when it became available.  The anticipated final version of the Reserve Study has not been received. 

Old Business –

The Chairman introduced the first of two articles for the Lake Currents addressing the distribution of assessment resources.  The article discloses the percentage and dollar amount of subsidy for the various operations centers and reserves for the recently completed budget year 2008.  The 2008 audit was the source document for this article.  A second article addressing the budgeted distribution of the 2009 assessment will be prepared for a subsequent edition of Lake Currents.

A Vision Statement was introduced by Chairman Drabant and offered as a replacement for the Draft Vision Plan under consideration by the Board.  The Vision Statement was modified and adopted as the Finance Committees proposal as the baseline document for long range planning.  On a motion by Chidlow seconded by Wright and approved unanimously the Vision Statement was proposed as a replacement document for the draft Vision Plan and the approved Vision Plan of 2003.  A copy is provided as Attachment 1.

In order to assure that the board of directors draft Vision Plan not be adopted as published in the 28 August 2009 Lake Currents a series of motions were introduced that define changes required to the draft plan should the board elect to pursue that format.  Attachment 2 is a record of motions for change that were adopted by the committee. 

New Business—

Director Kelly made a presentation regarding the dam project financing.  She was not in a position to provide details on the nature of the Stellar One commitment, the terms of payment on the contract, or the details of the estimates that comprise the $5.11M costs identified by the board in its authorization. She stated that details would be published in the Lake Currents as soon as they are available. 

Liaison Reports—

Liaison reports provided as follows:
M&E – Joe Takacs
Lake Users – Boggs Wright
Equestrian  – J. Walsh
Pools – Doug Chidlow

Open Discussion — There was no open discussion.

The meeting was adjourned at 8:33 PM

Respectfully submitted, Doug Chidlow, Secretary

Minutes of LOWA Finance Committee Meeting
November 2, 2009

Chairman J. Drabant called the regular monthly meeting of the Finance Committee to order at 7:03 PM

Members present were Harry Walsh, Doug Rogers, Doug Chidlow, Boggs Wright, and Dave Lemay, alternates Dave McKee, Jim Walsh, R.C. Haring and Joe Takacs; and advisor Dave Francis. PC committee Liaison D. Strain was present.  Members absent were T Hileman and Advisor Bill Mason.

Board members in attendance: Tom Sheridan, Jeff Flynn and Margaret Darby.

LOWA General Manager Ted Wessel was present.

Members Don Walters and Susan Wright attended.

The agenda was approved.

The October minutes were approved. 

Chair reported that the budget-hearing schedule has been revised and hearings will be held during the mornings of the seventh through 11 December 2009.  Hard copies and electronic copies for those wishing them, will be made available to the members of the committee on 1 December.  The format would include two years of prior actual historic information (2007&2008); current YTD and budget information (2009); and the proposed 2010 budget information.  

Old Business –  There was no old business.  

New Business—

Dave McKee provided recommended changes to Bylaw Article 5 under consideration by the BOD including the Rowland amendment to the Article.  A motion was made to adopt the amendments and forward them as recommended revisions to the bylaw change.  A motion was made, seconded, and approved to amend the motion and delete the Rowland amendment from consideration with this Article change. The motion as amended was approved.  Attached is a copy of the changes proposed by the Finance Committee which will be forwarded to the BOD.

Liaison Reports—

Liaison reports provided as follows:
M&E – Joe Takacs
Equestrian  – J. Walsh
Golf – Doug Rogers
Lake Users – Boggs Wright
Pools – Doug Chidlow
Security – Harry Walsh
Clubhouse – Dave McKee

Open Discussion —

Ted Wessel announced that an AGM for operations was hired.  His expertise includes budgeting and marketing of golf operations.  He is a LOW resident.

There were questions regarding the purpose of the FC liaison to the various committees. In conjunction with that question, the Chairman asked each member and alternate to provide their opinion regarding the purpose and function of the FC.  He encouraged all members, alternates and advisors to monitor budget execution of their OC by reviewing the monthly financials.

The meeting adjourned at 8:25 PM

Respectfully submitted, Doug Chidlow, Secretary

LOWA Finance Committee Minutes
March 1, 2010

Call to order: The meeting was called to order by Vice-Chair Wright at approximately 7PM.

Attendance
Members attending              Member absent                     Guests present
D. Rogers (voting)                  J. Drabant (voting)                 T. Sheridan (board)
B. Wright (voting)                  D. Chidlow (voting)               M. Darby (board)
H. Walsh (voting)                   D. Strain (PC liaison)             J. Flynn (board)
T. Hillman (voting)                D. LeMay (voting)                 T. Wessel (GM)
D. McKee (alternate)                                                             R. Martin (AGM)
J. Walsh (alternate)                                                                D. Walters
R. Haring (alternate)                                                              S. Wright
J. Takacs (alternate)
D. Francis (alternate)
O. Kelly (board liaison)

Agenda  The agenda was approved unanimously on a motion by McKee.

Minutes  No minutes from previous meetings were approved.

Old Business
Finance Committee Charter

The following are the motions that were made concerning the draft Finance Committee revised charter.  All of the motions passed.  All of the votes were unanimous (three (3) for and zero (0) against).

1.  Motion by McKee to approve the draft.

2.  Motion by H. Walsh to replace the words “draft the” with “review the draft” in II.A.  (Additional minor editing in document by McKee for consistency.)

3.  Motion by Hillman to delete II.B.

4.  Motion by Rogers to delete II.F.

5.  Motion by Takacs to delete clause “/ committee” from II.C.

6.  Motion by McKee to add “The Finance Committees should have seven (7) voting members.”

7.  Motion by McKee to add “The Finance Committee should quarterly prepare a report for the community on the status of the LOWA finances.”

8.  Motion by McKee to add “The Finance Committee should review and make recommendations to the board concerning a new or updated reserve study annually.”

9.  Motion by McKee, amended by Hillman to add “The Finance Committee should review the draft of the annual audit and make recommendations to the board as necessary.”

There was no New Business.

Open Discussion
There was considerable discussion concerning the revised committee charter bylaw, particularly when a voting member’s term ends.

The meeting was adjourned at approximately 8:40PM by Wright. 

D. McKee, Acting Secretary

LOWA Finance Committee Minutes
April 5, 2010

Call to order
The meeting was called to order by Vice-Chair Wright at approximately 7PM.

Attendance
Members attending              Member absent                     Guests present
D. Rogers (voting)                  O. Kelly (board liaison)         T. Sheridan (board)
B. Wright (voting)                                                                  R. Martin (AGM)
H. Walsh (voting)                                                                   D. Walters
J. Takacs (voting)                                                                   S. Wright
D. McKee (voting)                                                                 N. Buttimer (board)
J. Walsh (voting)
D. LeMay (voting)
R. Haring (alternate)
D. Francis (alternate)
D. Strain (PC liaison)

Election of Officers
Chair: Wright nominated by McKee; J. Walsh nominated by Rogers; LeMay, McKee,             Takacs, and Wright voted for Wright.  Wright elected.
Vice-Chiar: LeMay nominated by McKee; J. Walsh nominated by Rogers; McKee,             Wright, Takacs, and LeMay voted for LeMay.  LeMay elected.
Secretary: McKee nominated by Rogers, elected by acclamation.

Agenda  The agenda was approved unanimously on a motion by Rogers.

Minutes  Minutes from the following meetings were approved unanimously on a motions by Rogers:      January 2010
                        January 21, 2010
                        March 2010
Note: There was no February meeting.

Old Business  --  None

New Business

Dam Project Financing  --  Director Sheridan announced that the $900 special assessment refund could be applied to the 2010 annual assessment upon written request.

Where do we go from here?

1.  Wright discussed status of revised charter.

2.  There was a discussion of what should be done with Germanna Highway property.  Wright appointed an Ad Hoc subcommittee of LeMay, McKee, and H. Walsh to draft a recommendation to the board.

3.  McKee asked about the status of the electronic copy of the board approved reserve plan.  AGM Martin said there was a plan to distribute a “pdf” formatted version.

4.  LeMay asked about utility cost reduction.  AGM Martin described the electric audit that had been performed.

5.  Francis discussed presentations of financial results to the board and the finance committee.

6.  Director Sheridan made several comments about the budget process including:
            1.  Replacement capital for the budget had been approved by the finance committee in that the committee approved the new reserve study.
            2.  There had been a special study done several years ago on how to fund the road reserves.  The current fees are now not sufficient.
            3.  The major expense items facing the association over the next several years include front gate and associated traffic changes, improvements involving the clubhouse pool area, golf course irrigation, and Holcomb building modifications.

The meeting was adjourned at approximately 8:40PM by Wright. 

D. McKee, Secretary

LOWA Finance Committee Minutes
May 3, 2010

Call to order
The meeting was called to order by Chairman Wright at approximately 7PM.

Attendance
Members attending              Member absent                     Guests present
B. Wright (voting)                  R. Fast (alternate)                   T. Wessel (GM)
H. Walsh (voting)                                                                   T. Sheridan (board)
J. Takacs (voting)                                                                   S. Wright
D. McKee (voting)                                                                 M. Darby (board)
J. Walsh (voting)                                                                    J. Flynn (board)
D. LeMay (voting)                                                                 M. Hill (PC)
R. Haring (alternate)                                                              J. Zukowski (P&F)
D. Francis (alternate)
D. Strain (PC liaison)
O. Kelly (board liaison)
A. Harteveld (S&S liaison)

Agenda  The agenda was approved unanimously on a motion by McKee.

Minutes  Minutes from the April meeting was approved unanimously on a motion by Takacs.

Chairman Comments
Wright commented on the liaison assignments and requested that the members review the monthly financials, with emphasis on data from their liaison assignments.

Old Business
1.  Review of draft finance committee charter.
Motion by McKee to approve McKee’s version of the draft.  Motion passed unanimously with the following amendments that passed unanimously:
a.  Motions by Takacs and McKee to I. changing back to the phrase “Annual Budget” and replace “review” with “review and comment on”.
b. Motion by Takacs to II. A to add phrase “and comment”.
c. Motion by Takacs to II. C to add phrase “prepared by the General Manager”.
d. Motion by Takacs to II. D to replace with “The Committee will prepare a written list of any and all recommended changes to the proposed annual operating and capital budget and will forward the list to the General Manager and the Board of Directors.”
e. Motion by Wright to II. E to replace with “Working with the General Manager, the Committee will review and comment on the financial portion of the Five Year Plan.”
f. Motion by Francis to II. F to restore to Sheridan’s version.
g. Motion by McKee to II. G to remove word “such”.
h. Motion by Francis to II. H to restore to original version.
i. Motion by McKee to II. I replace with “The Committee should review and make annual recommendations to the Board and General Manager concerning a new or updated reserve study.”
j. Motion by McKee to II. J to add phrase “and General Manager”.
k. Motion by McKee to II. M to remove.
2. Report of ad hoc committee on the Germanna Highway house.  Motion by H. Walsh to recommend holding on to house, amended by J. Walsh to reevaluate in one year.  Passed 3 for, 2 against (for H. Walsh, J. Walsh, & Takacs; against LeMay & McKee).

New Business   Discussion only, no motions.

The meeting was adjourned at approximately 9:10PM by Wright. 

D. McKee, Secretary

LOWA Finance Committee Minutes
June 7, 2010

Call to order
The meeting was called to order by Chairman Wright at approximately 7PM.

Attendance
Members attending              Member absent                     Guests present
B. Wright (voting)                  J. Takacs (voting)                   T. Wessel (GM)
H. Walsh (voting)                                                                   T. Sheridan (board)
D. McKee (voting)                                                                 N. Buttimer (board)
J. Walsh (voting)                                                                    J. Flynn (board)
D. LeMay (voting)                                                                 L. Frame
R. Haring (alternate)                                                              D. Chidlow
D. Francis (alternate)                                                             R. Shope
R. Fast (alternate)
D. Strain (PC liaison)
O. Kelly (board liaison)

Agenda
The agenda was approved unanimously on a motion by McKee, amended by Wright to add insurance to old business.

Minutes
Minutes from the April meeting were approved unanimously on a motion by McKee.

Chairman Comments
Wright commented on the Treasurer’s meeting, investment committee, and a field trip to view a golf irrigation system.  Bob Fast was introduced as a new alternate.

Old Business
1.  There was discussion of the Board approved finance committee charter.
2.  After discussion by Haring, H. Walsh made the following motion, amended by multiple individuals that passed unanimously: “The Finance committee recommends to the Board that an insurance working group be established, including a member of the Finance Committee, to evaluate the Association’s insurance and recommend options to the Board”.

New Business
1.  The July meeting will be held on July 5, 2010.
2.  The tentative budget schedule for FY 2011 was distributed.
3.  Drafting of the FY 2011 budget guidance was discussed.
4.  The Treasurer presented the Spillway Project expenditures.
5.  The Treasurer stated that the draft April 2011 financial report would be available before June 18, 2010.

The meeting was adjourned at approximately 8:40PM by Wright. 

D. McKee, Secretary

Regular monthly meeting of LOWA Finance Committee Minutes
July 5, 2010

Call to order
The meeting was called to order by Chairman Wright at approximately 7PM.  Alternate R. Haring was made a voting member for the meeting to make a quorum.

Attendance
Members attending                Member absent                       Guests present
B. Wright (voting)                  J. Takacs (voting)                   R. Shope
D. McKee (voting)                 H. Walsh (voting)                   S. Wright
J. Walsh (voting)                    D. LeMay (voting)
R. Haring (alternate)              R. Fast (alternate)
D. Francis (alternate)
O. Kelly (board liaison)
D. Strain (PC liaison)
A. Harteveld (S&S liaison)

Agenda
The agenda was approved unanimously on a motion by J. Walsh

Minutes
Minutes from the June meeting were approved unanimously on a motion by McKee.

Chairman Comments
Wright commented on the Treasurer’s meeting (subjects included refund from special assessment, slow collections of annual assessment, financial reports and software, and “old” new capital). 

Old Business
D .LeMay will head up preparing the guidance document for the annual budget.  

New Business
1.  The Treasurer presented the revised financial reports.  There was considerable discussion of additional data needed by the committees.
2.  The Treasurer stated that the draft audit report would be available for the Finance Committee before the August 18, 2010 board meeting.
3.  There was discussion of the personnel changes in the LOWA finance department.  A. motion by J. Walsh to create a sub-committee to explore the feasibility to outsource LOWA accounting functions, passed unanimously.  The sub-committee will consist of J. Walsh and Francis.
4.  There was a brief discussion of the draft LOWA procurement documents.
The meeting was adjourned at approximately 9:00PM by Wright. 

The next meeting will be Monday, August 2nd.  The September meeting will be re-scheduled, probably for the 7th.

D. McKee, Secretary

Minutes of Regular monthly meeting of LOWA Finance Committee
August 2, 2010

Call to order
The meeting was called to order by Chairman Wright at approximately 7PM. 

Attendance
Members attending                Member absent                       Guests present
B. Wright (voting)                                                                  R. Shope
D. McKee (voting)                                                                 T. Wessel (GM)
J. Walsh (voting)                                                                    R. Martin (AGM)
H. Walsh (voting)                                                                   L. Cole (DOF)
J. Takacs (voting)                                                                   M. Darby (Board)      
D. LeMay (voting)                                                                 T. Sheridan (Board)               
R. Haring (alternate)                                                              N. Buttimer (Board)
R. Fast (alternate)                                                                   M. Hill (Planning)
D. Francis (alternate)                                                             D. Chidlow                
O. Kelly (board liaison)                                                         D. Walters
D. Strain (PC liaison)                                                             D. Rogers
                                                                                                J. Drabant
                                                                                                T. Musatow
                                                                                                A. Payne
                                                                                                L. Frame
                                                                                                D. Flanigan
                                                                                                T. Thompson
                                                                                                B. McCellan

Agenda
The agenda was approved unanimously on a motion by McKee

Minutes
Minutes from the July meeting were approved unanimously on a motion by McKee.

Chairman Comments
Wright introduced the new Director of Finance, Larry Cole.

Old Business
1. Report on Accounting Outsourcing  
J. Walsh reported on his meeting with the General Manager regarding outsourcing accounting.  Discussion included is Jonas capable of satisfying finance’s requirements, if not, is there a product available that will satisfy the requirements, and outsourcing of accounting.  J. Walsh’s Jonas comments are attached.                                              

2. Draft Budget Guidelines
LeMay has prepared a rough draft and is requesting suggestions.  The draft will be discussed at the September meeting.

3. New Capital Project Sunset Rule
Haring discussed the expiration of approved funding for capital projects.

New Business
1. Proposal to Replace Golf Course Irrigation System 
There was considerable discussion of the proposed replacement involving committee members, board members, management, and guests.  The committee passed two motions as follows:

1. Motion by J. Walsh that “The Finance Committee recommends to the Board of Directors that the Board authorizes an independent organization to perform an engineering study to evaluate the irrigation system to be completed within 45 days with a cost not to exceed $7,000.”  Passed unanimously.

2. Motion by Takacs that “The Finance Committee recommends to the Board of Directors to postpone consideration of the upgrade to the irrigation system until the Board receives a business plan that has been reviewed by the Planning and Finance Committees.  The plan should include needs justification, financial considerations, and how this upgrade fits into the long term golf course plan that ensure the golf course remains in good condition.”  For: McKee, Takacs, H. Walsh, LeMay.  Against J. Walsh.

2. June Financial Reports
Kelly reported that Jennifer Parkinson has been hired as the new accountant and discussed the June financial reports.

The meeting was adjourned by Wright at 8:40

The next meeting will be Tuesday, September 7, 2010

D. McKee, Secretary

Regular monthly meeting of LOWA Finance Committee October 4, 2010

Call to order  The meeting was called to order by Chairman Wright at 7 pm. 

Attendance
Members present              Members absent                Guests present
B. Wright (voting)                  T. Wessel (GM)                      R. Shope
J. Walsh (voting)                    D. Francis (alternate)             J. Flynn
H.Walsh (voting)                    R. Fast (alternate)                  L. Cole
J. Takacs (voting)                  A. Harteveld (S&S liaison)       D. McKee
D. LeMay (voting)                 J. Quimper (alternate)           
R. Haring (voting)                  D. Strain (PC liaison)
D. Chidlow (Advisor)
O. Kelly (board liaison)

Agenda:  Motion by R.C. Haring seconded by Harry Walsh to approve the agenda. Motion was approved unanimously.

Minutes:  Minutes for the Sept 2010 meeting were approved unanimously, as amended, by Jim Walsh second by Harry Walsh to delete D. Lemay and R. Fast as members attending.

Old Business:
Update on accounting procedures – Nothing to report.  Larry Cole gave a report on how Jonas is working for him.  

Draft Budget Guidelines – Passed to board.  Budget hearing should be in December.

Procurement procedures - Discussion ensued on who is responsible in receiving and reviewing bids from vendors and how the bids evaluated.  Question: should a formal review take place and should it be triggered by a specific dollar amount?  Harry Walsh asked that this item be kept on the agenda for next month and will work on verbiage for the committee to review policy.

Proposal to replace golf course irrigation system was discussed. It was reported that the GM was not moving forward with the RFP.

New Business:

FY 2011 Budget Developments – Nothing to report.

August Financials – Larry Cole is reviewing the decline in amenity revenue to identify the major reasons for those declines. It was discussed that the decline in revenue may be due to changes in fees, the economy, declining usage rates or to some extent all of these factors.

Liaison reports

Golf – Revenue is down and annual memberships are slowly declining.

Lakes – The liaison is encouraging members to get members of the committee more involved
 in capital projects.

Youth – Reported that the committee is well run and working on a number of projects.

Open Discussion: Open Discussion:  Board advisor Doug Chidlow is concerned the board is not doing an adequate review of the financial analysis portion of the reserve study before initiating their planned reserve.

With the approval of the committee chairman, Advisor Doug Chidlow made the following motion: To recommend to the Board of Directors to defer action on the Reserve Policy until a detailed  financial analysis of  the dam/road/replacement reserve has been accomplished. Motion passed 3-2.

The chairman adjourned the meeting at 8:43 pm.

The next meeting is scheduled for November 1 at 7:00PM.

D. Francis, Secretary

Regular monthly meeting of LOWA Finance Committee November 1, 2010

Call to order  The meeting was called to order by Chairman Wright at 7:03 pm. 

Attendance
Members present              Members absent                 Guests present
B. Wright (voting)                  T. Wessel (GM)                      R. Shope
J. Walsh (voting)                    R. Fast (alternate)                 D. McKee
H. Walsh (voting)                   A. Harteveld (S&S liaison)
J. Takcas (voting)                  R. C. Haring (voting)
J. Quimper (alternate)            D. LeMay (voting)
D. Chidlow (Advisor)
O. Kelly (board liaison)
D. Francis (alternate)  
D. Strain (PC liaison)

Agenda:  Motion to approve the agenda.  Motion was approved unanimously.

Minutes:  Minutes for the October 2010 meeting were approved unanimously, as amended adding “reserve policy” at the end of Chidlow’s comments during Open Discussion.

Old Business:
     
Update on Accounting System – Wright reported on his recent finance meeting with GM, Treasurer and Director of Finance.  Main meeting topics included:

                        Increase in LOW Accounts Receivable
                        Impact of Accounting and Finance employee turnover
                        2011 budget development procedures. 

Outsourcing:  J. Walsh reported that no new discussions had been held with the GM concerning the current accounting systems. The Committee discussed possible procedures for and impacts of outsourcing the LOW Accounting and Finance systems. No action taken.

BOD Adopted Budget Guidelines – B. Wright distributed the approved budget guidelines and noted that the BOD removed the proposed condition that the BOD must approve the filling of new positions.

Procurement procedures – LOW procurement procedures were discussed.  A motion was made and seconded: That the Finance Committee recommend as a part of the procurement procedures for RFPs exceeding $250K that the GM establish an Ad Hoc committee composed of LOW members with relevant expertise to help develop, review and evaluate the RFP’s.  Motion failed.

New Business:

FY 2011 Budget Review Schedule and Process:  Proposed 2011 budget will be delivered to the Finance Committee at least one week in advance of FC review. The Finance Committee will meet each day between December 8-10 (location and time to be announced) to develop questions about the proposed budget for submission to the GM for his review and comment. The Finance Committee will meet on January 3rd to discuss GM’s responses before forwarding to the comments to the BOD for consideration.

Monthly Payment option: Motion by H. Walsh: Recommend that the BOD approve a sub-committee of the Finance Committee to evaluate the feasibility of instituting monthly assessment payments. After extensive discussion, the motion passed unanimously.

Liaison reports:

Treasurer’s Report:  O. Kelley provided financial highlights. Amenities overall are not meeting budget.  In addition, uncollected assessments are higher than in past years. Kelley discussed the high number of foreclosed homes and the difficulty and impact of collecting assessment from those homes.   

Lake Users Committee: The new chair for LUC is Julie Wilson.

Golf Committee: The golf committee may consider a vote at the November meeting recommending to the Board that a referendum take place asking the association membership to open membership of the golf course to outsiders on a limited basis.  The vote has not been taken yet.  Also we are exploring the possibility of an intern to develop a marketing plan. No recommendations have been made at this time. 

M and E: Work is starting on a new water main. LOW Maintenance has cleared 24 lots. Security cameras are being relocated in response to specific vandalism incidents.  Work is beginning to replace the tennis court fences.

Open Discussion: Committee advisor D. Chidlow reviewed and discussed the budget shortfalls caused by reduced revenue and a significant increase in operating costs for nearly all amenities and expressed concerned about the changes made last year in the fee-structure that are contributing to the significant reductions in fee income.   

The chairman adjourned the meeting at 9:25 pm.

The next meeting is scheduled for December 8th at 9:00 A.M.

D. Francis, Secretary

Regular monthly meeting of LOWA Finance Committee January 3, 2011

Call to order  The meeting was called to order by Chairman Wright at 7:00 pm. 

Attendance
Members present                Members absent                    Guests present
B. Wright (voting)                    R. Fast (alternate)                    Bob Shope
J. Walsh (voting)                      A. Harteveld (S&S liaison)        Dave McKee
H.Walsh (voting)                      Dave LeMay (voting)                Doug Rogers
J. Takacs (voting)                   Joe Quimper (alternate)            Neil Buttimer
D. Chidlow (Advisor)                                                                Don Walter
O. Kelly (board liaison)                                                             Mike Hill
D. Francis (Voting)                                                                   Margaret Darby
D. Strain (PC liaison)                                                                T. Wessel (GM)
R. C. Haring (voting)

Agenda:  Motion to approve the agenda.  Motion was approved unanimously.

Minutes:  Minutes for the November meeting were approved as amended.  There were no formal minutes for the December meeting due to the budget hearings.  The motions developed during those hearings were accepted and approved for discussion.

Old Business:
The Committee reviewed and discussed the motions developed by the Committee following the budget hearings with the following results.  The complete list of motions as amended and expanded is attached and becomes a part of these minutes.  Only these actions relating to the changes, new motions and/or reaffirmation of the original motions are included as follows.

1. New Motion: Harry Walsh, Second by RC Haring
Recommend that the BOD direct the General Manager reduce utility expenses by 10 percent during 2011. Passed 4 to 1.

Chair was passed to RC Haring.

2. New Motion: Boggs Wright, Second Dave Francis
Recommend that the 2011 budget for contractual testing services in Environmental Resources budget be reduced from $64,410 to $15,000.  The proposed 2011 budget number reflects a full regimen of testing in case of an environmental crisis.  The spending through November 2010 is only $10,259.  Recommend that some additional contingency funds for testing be added to the operational reserves in case of an emergency. Passed unanimously.

Chair passed back to Boggs Wright

3.  Amended Motion: Harry Walsh, Second RC Haring
Motion to reaffirm Finance Committee support for Motion  #2, 12/9/10, and report same to BOD.  Original motion was reaffirmed and amended to include placing vending machines in the Woods Center for use during appropriate hours. Passed. 4 to 1.

4. Amended Motion: Motion # 3, 12/9/10, was amended as follows: Recommend to the BOD that golf and swimming fees be returned to 2009 levels and that tennis fees be reviewed to correct any inequities and to increase revenues.  Passed as amended.  One opposed.

Chair was passed to RC Haring.

5. New Motion: Boggs Wright, Second Harry Walsh.
Recommend that the proposed budget increase of $10,000 in labor costs for the Club House be removed from the budget and that labor costs in 2011 be maintained at current levels due to declining revenues. Passed unanimously.

6. New Motion: Boggs Wright, Second Dave Francis
Recommend that the BOD conduct a review of the total 2011 budget as presented and that the annual assessment be set at or below the 2010 assessment. Passed unanimously.

Chair passed to Boggs Wright.
Two motions developed by the Finance Committee on 12/10/10 were not considered and will be addresses at the February agenda.

New Business:  No new business.

Liaison reports:

Treasurer’s Report:  O. Kelley provided financial highlights. Kelley discussed the high number of foreclosed homes and the difficulty and impact of collecting assessment from those homes.   

The chairman adjourned the meeting at 9:40 pm.

The next meeting is scheduled for February 7th at 7:00 P. M.

D. Francis, Secretary

Regular monthly meeting of LOWA Finance Committee February 7, 2011

Attendance
Members present                Members absent                   Guests present
B. Wright (voting)                    Dave Francis (voting)               Don Walters
J. Walsh (voting)                      Olive Kelly (BOD Liaison)        Bob Shope (BOD member)
H.Walsh (voting)                      Robert Fast (alternate)            Dave McKee (BOD member)
J. Takacs (voting)                     Joe Quimper (alternate)          Doug Rogers
D. Lemay )voting)                                                                    Lee Frame
R. C. Haring (voting)  
D. Chidlow (advisor)
D. Strain (PC liaison)

The meeting was called to order by Chairman Wright at 7:00 pm. 

Agenda:  Motion to approve the agenda by D. Lemay, second by H. Walsh.  Motion was approved unanimously.

Previous Meeting Minutes:  January 3, 2011 minutes were accepted as written.
Jim Walsh proposed a change to the January 25, 2011 minutes as follows: Motion:  Recommend that the budget as presented by the GM be forwarded to the community and to the BOD for approval.
A motion to approve both meeting minutes by H. Walsh, second by D. Lemay, vote to accept the minutes was unanimous.

Chairman comments: Boggs Wright welcomed guests and made comments concerning his most recent meetings with the GM and the BODs on the 2011 budget where he passed on the Finance Committee’s comments on the most recent budget. The Board is expected to approve the current budget the 16th of February.

Old Business:

Monthly Assessment payments.  B Wright researched LOWA regulations stating that the BODs currently have authority to allow quarterly and semi-annual payments but not monthly.
H. Walsh began the discussion by pointing out that using monthly LOWA assessment payments  would be convenient to LOWA members. How to handle the payments internally or by a bank or other financial institution would require additional research. Also, the question remains if the cost to do this is acceptable. It was suggested that Boggs write a summary of the FC position on this issue and the FC proposal, and e-mail them to a member of the board so the issue can be put on the board’s agenda at the nest meeting.

New Business:

Expanding LOWA Golf and Clubhouse Revenues. J. Walsh began the discussion by pointing out that the Golf Committee was in favor of opening our course to outside use for tournaments and special events. The same could be said for the clubhouse.
Motion: Jim Walsh, Second by Bob Haring: The Finance Committee recommends that the Board of Directors develop a comprehensive plan to open the use of specific LOWA amenities such as Golf, Clubhouse, Equestrian Center, Pools, and Tennis to non-LOWA residents. This plan should include, but not be limited to, a referendum on the issue, a fee schedule, marketing plan, and written legal opinion from the LOWA attorney as to the legality of such a plan.

Discussion:

J Walsh pointed out that the Golf Committee is in favor of opening the LOWA golf course to non-residents to increase revenues. He also pointed out that there currently is no marketing plan at LOWA residents or non-residents.

L. Frame pointed out that other parts of Orange County are providing these services and with a planned approach LOWA could begin to draw our share of such activity using such amenities as Golf, Clubhouse, Tennis, and Equestrian. The problem is that there currently is no consensus at the Lake to support the use of our amenities for outside activities.

Motion was approved unanimously.

LOWA investment policy.  Since O. Kelly, was not present at the meeting, J. Walsh requested that the FC be given an opportunity to talk directly with O. Kelly prior to the FC take a position on the Policy. B Wright suggested the since O. Kelly, author of the LOWA Investment Policy was not present for the meeting, that any member comments be presented directly to her or to other board members via e-mail.

Liaison reports were presented for Planning, Youth Activities, Golf, and M&E.

The chairman adjourned the meeting at 8:35 pm.

The next meeting is scheduled for March 7th at 7:00 P. M.

J. Takacs, Acting Secretary

Approved Minutes LOWA Finance Committee
April 4, 2011

Attendance
Members present                Members absent                  Guests present
B. Wright (voting)                    Robert Fast (alternate)           Dave McKee (BOD member)    
J. Walsh (voting)                     D. Lemay (voting)                    Larry Cole
H.Walsh (voting)                                                                      Tom Sheridan
J. Takacs (voting)                                                                    Doug Rogers
R. C. Haring (voting)                                                                Suzie Takacs
D. Chidlow (alternate)                                                              Lee Frame
D. Strain (PC liaison)                                                                Dave Ketch
Brenda Conway (Advisor)                                                         Susan Wright
Olive Kelly (BOD Liaison)                                                         Ralph E. Hancock
Joe Quimper (alternate)

The meeting was called to order by Chairman Wright at 7:00 pm. 

Agenda:  Motion to approve the agenda.  Motion was made to amend the proposed agenda to eliminate discussion concerning recent BOD action to remove General Manager.  The proposed amendment was passed unanimously and then the motion to pass the amended agenda was passed unanimously.

Chairman comments: Boggs Wright mentioned that he will not attend the May meeting and that the Vice Chair will preside.

Old Business:

Monthly Assessment payments.  Boggs Wright discussed the last BOD agenda on the proposed change allowing monthly payment of assessments.  Because there are so many unanswered questions about the change, Boggs established a subcommittee of the Finance Committee charged with studying the requirements and impacts of monthly assessment payments.  Two major questions, among others, to be answered are: Will monthly payments negatively impact cash flow and, should collection be kept in-house or out sourced? The subcommittee will develop a report for presentation to the BOD.  The committee members are:  Harry Walsh and Brenda Conway and Boggs Wright will assist. No date was established for completion of the report.

Due to recent management changes, Boggs suggested that discussions about lessons learned about the past budget development and review process be postponed until a later date.

New Business:

Security RFP:  The RFP has been released to a number of interested security firms.  AGM Elton Rupp has primary responsibility for coordinating responses to the RFP.  A small subcommittee has been established to review responses and recommend qualified candidates to the BOD.  Elton Rupp will review the technical responses and Larry Cole, CFO will evaluate the financials.

February Financials:  Olive Kelly reported that at this time the budget is on track to produce a $50 to $100K positive variance by year end.

Doug Chidlow reported on a number of positive and negative variances to the budget and requested that Larry Cole identify causes of over spending in Maintenance ($19K in contracts) and Roads ($18K in asphalt) OC’s   Additionally a breakout of the expenditures for Grounds contracts in February was requested.  Doug also again reported the high cost per serving at the Club and Fareways  restaurants.  He noted that expenses exceeded sales at the club by 20.1% and at Fairways by 42.5%. 

Liaison Reports:

Golf Committee: Jim Walsh reported that the Golf Committee will make recommendations about what should be done with the Fareways.  He also reported the good news that the Fire and Rescue annual tournament is returning to LOW and the Goofers are returning to LOW.

ECC: Dave Francis reported the ECC Committee and management are re-emphasizing the need to clean up vacant and trashy lots.

Planning Committee: Darrow Strain reported that the new member survey was distributed with the annual assessment package.

Open Discussion:

Doug Chidlow presented the following issues regarding the February 2011 update of the Replacement Reserve Study.  Doug voiced concern that the study did not take into account inflation or interest earned income and that is inconsistent with the Dam and Roads reserve studies. The Dam and Roads studies should be revised to show the same 0% assumptions as the current Replacement Study.  Some of the same equipment in the fitness center (OC 202) procured in different years shows up with different ELs.  Doug also recommended that a trade in value could be considered on certain equipment to make up any apparent shortfall in available CTR.

The chairman adjourned the meeting at 8:50 pm.

The next meeting is scheduled for May 4 at 7:00 P. M.

David Francis, Secretary

Approved Minutes of Regular monthly meeting of LOWA Finance Committee May 2, 2011

Members present               Members absent                    Guests present
D. Lemay (voting)                    Robert Fast (alternate)            Dave McKee (BOD member)
J. Walsh (voting)                      B. Wright (voting)                    Larry Cole
H.Walsh (voting)                                                                      Doug Rogers
J. Takacs (voting)                                                                    Andy Harteveld
R. C. Haring (voting)                                                                Bob Shope (BOD Member)
D. Chidlow (alternate)                                                              Darrow Strain (PC Liaison)
Olive Kelly (BOD Liaison)                                                        Neil Buttimer
Joe Quimper (alternate)

The meeting was called to order by Vice Chair D. LeMay at 7:00 pm. 

Agenda:  Motion made to approve the agenda.  The unanimous approval.

Minutes: Motion made and April minutes approved unanimously as submitted.

Old Business:

Doug Chidlow questioned the $14,000 spent on lot clean-up and whether or not the BOD had specifically approved the expenditure by lot.  In response, Larry Cole outlined how the budgeted monies for tree work and lot clean-up were allocated and provide details about specific expenditures by private lot, LOW owned lots and the Golf Course.  Last fall 10 private lots were cleaned and 47 LOW owned lots were contracted to be cleaned.  All but 13 have been completed.
 
New Business:

Investment Policy Comments:  Jim Walsh made a presentation about the proposed changes to the LOW investment policy that is in the second reading stage of consideration. He stated that the current investment policy serves LOW well and should not be changed. He outlined the provisions of the policy changes as proposed and pointed out that investments in FDIC insured accounts posed little to no risk to LOW investments.  The current investment climate makes shorter term investments desirable but as the investment climate improves longer term investments will improve returns.  Accordingly, he proposed that the LOW investment policy should not limit investments to a 2 year term. 

Motion by Jim Walsh: That the Finance Committee recommends to the BOD that the current investment policy be maintained and that the FDIC limit is changed from $100,000 limit to the maximum protection allowed by the US Government.  No second to the motion offered…motion failed.

Motion by Joe Takacs: That the Finance Committee support the proposed changes to the investment policy as written with one exception.  Section C: … investments that exceed two (2) year terms require approval by the investment committee and the BOD.  Motion carried with 4 to 1vote.

March Financials:  Olive Kelly reported that finances are on track to generate a possible $90,000 positive variance to budget.  She pointed out that conditions can change and that additional cost savings or expenses may occur before the end of the year.  The Committee discussed what happens to year-end the positive variances. Questions voiced included: Are surpluses added to the reserves and if so which reserve accounts?  NOTE:  The Finance Committee will follow-up to determine how year-end positive variances to the budget are handled.  Olive commented that the surpluses could be added to a contingency account. Further discussion about how positive variances are handled with the door let open for further consideration and discussion prior to year-end.

CTR Review:  Larry Cole reported that the $350,000 capitalized costs for the proposed indoor pool should have been expensed when the decision to not construct the pool was made. Past years retained earnings will be adjusted accordingly.    

Doug Chidlow suggested that a common base to determine values for traded in equipment should be established to ensure the money going into the CTR is the actual amount needed. Doug again reported the high cost per serving at the Club and Fareways  restaurants.  He noted that expenses exceeded sales at the club by 20.1% and at Fairways by 42.5%. 

Liaison Reports:

Golf Committee: Jim Walsh reported that AGM Rob Martin is establishing a committee to look into all aspect of the Fareways operation and will report findings to the BOD during the second meeting in May.  Joe Quimper noted that the committee should focus on the people not using Fareways versus only people who do use it to determine why people are not using the facility.

Lakes Committee: The Committee is beginning to take a close look at cost/revenue finances.

Open Discussion:  Doug Chidlow reported that he attended the most recent Pools Committee meeting and discussed several issues involving contracted versus LOW direct hire life guards and management staff.

The Chair adjourned the meeting at 9:03 pm.

The next meeting is scheduled for June 6 at 7:00 P. M.

David Francis, Secretary

Minutes Regular monthly meeting of LOWA Finance Committee June 6, 2011

Members present                     Members absent               Guests present
D. Lemay (voting)                    Robert Fast (alternate)            Dave McKee (BOD member)
J. Walsh (voting)                                                                      Larry Cole
H.Walsh (voting)                                                                      Doug Rogers
J. Takacs (voting)                                                                    Jack Walker
R. C. Haring (voting)                                                                Bob Shope (BOD Member)
D. Chidlow (alternate)                                                              Darrow Strain (PC Liaison)
Olive Kelly (BOD Liaison)                                                        Suzie Takacs
Joe Quimper (alternate)                                                           Jon Anderson
Brenda Conway  (Advisor)
Boggs Wright (Chair)
David Francis (Voting)

The meeting was called to order by Chairman Wright at 7:00 pm. 

Agenda:  Motion made to approve the agenda.  Unanimous approval.

Minutes: Motion made and May minutes approved unanimously as submitted.

Old Business:

Harry Walsh reported on progress made to determine the practicality of monthly assessments. An RFI is being prepared to collect information from potential contractors to help prepare an RFP should the Board decide to take further action.

New Business:

Larry Cole, Chief Financial Officer, reported that the annual financial audit will begin next week, Most of the preparation work has been completed but some adjustments are still in the works. The audit report will be submitted to the Board on August 17. The Finance Committee will be present for that presentation.

Olive Kelly, LOWA Treasurer, reported on the April financial statements.  She presented preliminary results for several cost centers and stated that 83 percent of the annual assessments have been collected to date.  

Larry Cole informed the Committee that a letter speaking to any significant budget variables will be issued soon.

Doug Chidlow, Finance Committee member, questioned several items in the April budget report and pointed out that the Club House and Fareways restaurants were running significant negative variances.

Liaison Reports:

Lakes: The Lakes Committee spent considerable time working with safety and security issues.  He noted that the head of USSA and a security officer attended the meeting which is a welcome and beneficial change from past practices.  Presented was a detailed report about patrol procedures for the lake and LOW.

Discussion about environmental testing on the lake was welcomed.  It was also reported that some vandalism still occurs on boats docked at the large and small marinas.

Equestrian: Reported that the Committee members are keenly area of the bottom line and are working hard to improve revenues and reduce costs.

Planning: Reported on several potential projects at the Club House, the Fitness Center and for the roadway and LOW signs.

M & E: Reported on potential changes to the compactor sight and the possible problems associated with such a move.  It was noted that under the proposed redistricting plans, that LOW will be represented by two county supervisors instead of one as is the case now.

The Chair adjourned the meeting at 8:17 pm.

The next meeting is scheduled for June 5th at 7:00 P. M. in the Woods Center.

David Francis, Secretary

Minutes Regular monthly meeting of LOWA Finance CommitteeJuly 5, 2011

Members present                 Members absent                  Guests present
D. Lemay (voting)                    Robert Fast (alternate)            Dave McKee (BOD member)    
J. Walsh (voting)                                                                      Larry Cole
H.Walsh (voting)                                                                      Doug Rogers
J. Takacs (voting)                                                                    Bob Shope (BOD Member)    
R. C. Haring (voting)                                                                Darrow Strain (PC Liaison)
D. Chidlow (alternate)                                                              Suzie Takacs                
Brenda Conway (Advisor)                                                         Jon Anderson              
Jim Logan (Alternate)                                                               Andy Harteveld (S&S liaison) David Francis (Voting)                                                              Olive Kelly (BOD Liaison)   
Joe Quimper (alternate)
Boggs Wright (Chair)                                                                

The meeting was called to order by Chairman Wright at 7:00 pm. 

Agenda:  Motion made to approve the agenda.  Approved unanimously. 

Minutes: June minutes approval postponed to July meeting.

Boggs Wright opened the meeting and reported that LOWA payroll has been outsourced to PayChek, Ltd.  PayChek may at some future time provide administrative support, retirement account management, and some HR services.

Old Business:

Harry Walsh reported that a letter had been sent to a number of companies requesting information about potentially outsourcing collection of the assessments.  Several responses were received with information that will be used to prepare a presentation to the BOD. He also reported that Larry Cole prepared a cash flow model that indicated monthly payment of assessments is doable from a financial standpoint.

New Business:

Boggs Wright reported that the Finance Committee will be reconstituted in September and that he and Harry Walsh will be off the committee.  He also introduced Jim Logan who has submitted an application to serve on the Finance Committee as an alternate. 

Boggs Wright reported that the audit hearings are scheduled for August 17th.  The Finance Committee will be present to review and ask questioned.

Boggs Wright reported that the audit has begun, field work is complete, and we are awaiting a preliminary report.  Each member of the FC will receive a copy of the preliminary report.

Joe Quimper commented on last year’s budget guidelines and whether or not they had actually been followed.  Boggs Wright requested volunteers to review the guidelines and the results.  Joe Quimper and Harry Walsh will review and report results at the August meeting.

Olive Kelly reported on May financials. 60 lots have still not paid t he special Dam assessment.

Liaison Reports:

Lakes: The Lakes Committee spent considerable time discussing water quality testing to determine the overall health of the lake.  The Committee is also looking at revenue and expenses on boat storage rental.  The Committee should soon have enough information to make a recommendation about how to better manage boat storage rentals.  Also, both marinas are scheduled to be rebuilt in 2014.

Equestrian: Reported that the Committee members are keenly area of the bottom line and are working hard to improve revenues and reduce costs.

The Chair adjourned the meeting at 8:30 pm.

The next meeting is scheduled for August 1, 2011 at 7:00 P. M. in the Woods Center.

David Francis, Secretary

Approved Minutes
Regular monthly meeting of LOWA Finance Committee August 1, 2011

Attendance

Members present                 Members absent               Guests present
D. Lemay (voting)                    Brenda Conway (Advisor)     Dave McKee (BOD member)          
H.Walsh (voting)                      J. Walsh (voting)                   Larry Cole
J. Takacs (voting)                                                                  Doug Rogers
R. C. Haring (voting)                                                             Darrow Strain (PC Liaison)
D. Chidlow (alternate)                                                           Olive Kelly (BOD Liaison)   
David Francis (Voting)                                                          Jack Walker
Jim Logan (Alternate)                                                            Bob Johnson                            
Joe Quimper (alternate)                                                         Marie Johnson 
Boggs Wright (Chair)                                                             Susan Wright
                                                                                               Pete Rainey

The meeting was called to order by Chairman Wright at 7:00 pm. 

Agenda:  Motion made to approve the agenda.  R.C. Haring introduced a motion to amend the agenda to remove the presentation by the Civil War Study Group.  Motion was seconded.  Motion Failed. 

Minutes: June and July minutes approved.

Old Business:

Harry Walsh presented findings concerning the proposal to allow monthly payments for assessments.  (Presentation is attached and made a part of these minutes.) After considerable discussion with input from members, Larry Cole and Olive Kelly, the following motion was made and seconded.

Motion: Move that the Finance Committee chair petition the BoD to consider the proposal to implement monthly payments of assessments at a public BoD meeting or workshop.

Motion passed unanimously. 

Joe Quimper and R.C. Haring reported on the subcommittee’s progress on the FY 2012 Budget Guidelines, which are in final revision. It is scheduled for discussion and suggestions at the FC September 12 meeting with copies distributed to members in advance.

Larry Cole reported that the financial audit is mostly completed with a few items to be cleaned up. The report will be presented to the BoD on August 17th and all FC members are invited to attend that meeting.

New Business:

Pete Rainey of the Civil War Study Group presented a proposal requesting that the FC recommend that the BoD approve the installation of three interpretive signs within LOW that designate important locations pertaining to the Battle of the Wilderness that took place within LOW.

Motion by Dave LeMay: Move that the Board approve funding for acquisition and installation of interpretive historical signs designed by the Civil War at LOW Study Group on Association property at Spotswood Park, Maintenance- Woods Center parking lot area, and Cornwallis beach."

Motion failed.

Boggs Wright discussed transition planning for the new FC to be reconstituted in September.  He and Harry Walsh will leave the committee.  Boggs reported that Robert Fast has resigned from the FC. 

Larry Cole reported on June Financials. He noted that the report contained a number of penciled notes that he and staff are currently working to address and remove.  He also reported that staff is looking into several revenue items at the Pro-Shop.

Doug Chidlow questioned unusual variances in payroll lines for OC’s 401 and 402. 

Liaison Reports:  No Reports were presented.

Open discussion:

Boggs Wright was thanked for his service to LOW and the FC committee during the past year and was appropriately recognized by a hearty round of applause.

The Chair adjourned the meeting at 8:57 pm.

The next meeting is scheduled for September 12, 2011 at 7pm in the Teen Center located in the Community Center.

David Francis, Secretary

Meeting Minutes of LOWA Finance Committee
October 3, 2011

Members present                  Members absent                  Guests present
D. Francis (Chair)                     None                                       D. McKee (BOD Member)
R.C. Haring (Voting)                                                                P. Rowland (BOD Member)
J. Takacs (Voting)                                                                   L. Cole (LOWA Finance)
D. Chidlow (Voting)                                                                T. Sheridan (Planning Liaison)
B. Conway (Voting)                                                                J. Flynn (LOWA Member) 
D. Lemay (Voting)                                                                 J. Trach (LOWA Member)
J. Logan (Voting)                                                                  A. Seigel (LOWA Member)
P. Rainey (Alternate)                                                            J. Quimper (LOWA Member)
                                                                                               
The meeting was called to order by Chairman Dave Francis at 7:00 pm. 

Agenda:  Motion made to approve agenda by B. Haring; second by P. Rainey.  Motion passed.

Minutes: August meeting minutes were reviewed.  Motion to approve minutes by D. Chidlow; second by B. Haring. Motion passed.

Old Business:

D.Chidlow made a motion to amend the proposed Five Year Capital Plan with the following four motions:
 
“Move that the a list of non-priced items be removed from the plan;
Move that a list of cost prohibitive items be removed from the plan;
Move that a list of projects that lack merit be removed from the plan; and
Move that a list of projects incorrectly classified as new capital be removed from the plan.”

During the discussion phase of the motion, J. Logan moved that any further discussion of the proposed Five Year Capital Plan be tabled until more information is provided by Planning, the BOD, and the GM. This motion was seconded by J. Takacs and passed with one dissenting vote.
 
New Business:

J. Flynn proposed a resolution before the Finance Committee as follows:

  "The Finance Committee supports placing the highest priority on including in the 2012 operating and maintenance support and out-year new capital budgets, and funding necessary to mitigate Keaton’s Lake water quality problems."  Second by P. Rainey. Motion passed.
Open discussion: None.

The Chair adjourned the meeting at 9:05 pm.

The next meeting is scheduled for November 7, 2011 at 7:00 in the conference room on the lower level of the Holcomb Building

Joe Takacs, Secretary

Minutes Regular monthly meeting of LOWA Finance Committee November 7, 2011

Members present                  Members absent       Guests present
D. Francis (Chair)                     None                            D. McKee (BOD Member)
R.C. Haring (Voting)                                                    B. Shope (BOD Member)
J. Takacs (Voting)                                                        J. Walsh (BOD Member)
D. Chidlow (Voting)                                                     D. Rogers (M&E Liaison)
B. Conway (Voting)                                                      T. Sheridan (Planning Liaison)
J. Flynn (Alternate)                                                      A. Hardeveld (SSCOM Liaison)
D. Lemay (Voting)                                                       N. Buttimer (LOWA Member)
J. Logan (Voting)                                                         S. Wright (LOWA Member)
P. Rainey (Alternate)
B. Wright (Advisor)

The meeting was called to order by Chairman Dave Francis at 7:00 pm. 

Agenda:  Motion made to approve agenda by D. Chidlow; second by D. Lemay.  Motion passed.

Minutes: October meeting minutes were reviewed.  Motion to approve minutes by D. Chidlow; seconded by D. Lemay. Motion passed.

Old Business:

A motion was made by R. Haring to un-table the D.Chidlow motion to amend the proposed Five Year Capital Plan, which had been tabled by the Finance Committee at the October meeting; second by J. Takacs. The motion passed. Discussion of the Proposed 5 Year New Capital Plan commenced under New Business.
 
New Business:

The following 6 Planning Committee Motions for inclusion in the FY2012 budget were discussed and a vote taken as listed:

1.         Expand existing Clubhouse Bar / Lounge from 340 sq. ft. to 770 sq. ft., add a Horseshoe Bar and a deck connecting to existing Clubhouse deck.  Add new bar entrance to deck area and staircase from new deck to dock area.  This expansion is projected to double sales revenue over a three year period and produce an annual incremental $52,000 savings to the Clubhouse subsidy.

            B. Haring made a recommendation to disapprove spending $194,000 for a          clubhouse bar upgrade in 2012, J. Takacs seconded the motion.

            P. Rainey amended the motion, seconded by J. Flynn as follows:

            Recommend that the clubhouse bar extension be deferred from 2012 subject to             reconsideration, in a future planning year, if contained in a major comprehensive           and specific overall clubhouse upgrade plan. Fund an Architectural & Engineering study and apply for construction permits for first phase, in 2012 for the entire clubhouse upgrade project to be funded in future years.

            This amended motion passed unanimously.

2.         Pave a safe extension of the walking trail from the Main Dam area, up Sleigh Ride hill to the Large Marina which will provide access to walking trails to Sweetbriar and Hollyfield parks.  This will eliminate the unsafe use of Lakeview Parkway to reach these destinations.

            B. Haring recommended the expenditure of $7000 and the approval of this project         as written, seconded by D. Chidlow.

            This motion passed unanimously.

3.         Purchase a tractor with front loader for use at the Equestrian Center. The increasing attendance at pony camps, horse shows and riding lessons require increased maintenance and movement of the riding rings. The current tractor is undersized for this work and a larger tractor is required.  The addition of the front loader would increase productivity.

            B. Haring recommended approval of the initiative but not spending $20,000 for the purchase of a new tractor when sufficient assets are already available in LOWA. D. Chidlow seconded the initial recommendation. D. Chidlow then modified the initial recommendation to provide support to the Equestrian Center from Maintenance and Environmental Division which already has sufficient tractor assets to provide this service. This motion was seconded by J. Logan.

This motion, as amended, passed unanimously.

4.         Pave with asphalt the area adjacent to the putting green, creating better drainage in the space used for cart staging, and event staging, Also add landscaping  to enhance the surrounding area.
 
            D. Chidlow recommended this project be handled in-house by Maintenance and             Environmental Division using “Tar & Chip” to be funded using operations budget             funds. Second by J. Takacs. D. Chidlow also recommended disapproval of          spending $14,630 for asphalt paving of this area. J. Takacs seconded the motion.

            This motion passed unanimously.

5.         Expand the use of the LOWA website by purchasing modules which will add interactive member functions.  Members could access their accounts, make reservations/payments.

            D. Chidlow recommended approval of this project and the expenditure of funds. The motion was seconded by J. Takacs.

            This motion passed unanimously.

6.         Add refreshment Centers at Clubhouse and Sweetbriar pools to enhance members’ experiences.  Additional beverage and snack selection improvement over current inconsistent vending machines.

            J. Takacs recommended the implementation of in-house refreshment centers be             delayed until the Operations AGM can obtain bids from outside vendors to                                determine the cost of contracting for similar services and equipment. This motion                      was seconded by B. Haring.      
           
            B. Haring amended this motion to disapprove expending $10,000 to purchase                            vending machines and supporting infrastructure for the pools. This motion was             seconded by J. Logan.

            This motion, as amended, passed unanimously.

The following Planning Committee Motion for inclusion in the FY2013 budget was discussed and a vote taken as listed:

The purchase of an AM Message and Emergency advisory system was conditionally approved with the consideration the proposal be forwarded to the recently announced Ad Hoc Committee for determining Front and Back Gate (sign) Communications. If the Committee decides it is a useful and economic substitute for front and back gate signs, it should be forwarded to the Board for 2012 consideration. If the Committee decides otherwise, then the Planning Committee recommends denying approval for 2013.

J. Logan made a motion to consider this proposal. J. Takacs seconded the motion.

A motion was then made to amend this motion to recommend disapproval by J. Takacs.
It was seconded by D. Lemay.

This motion, as amended, passed unanimously.

Open discussion: None.

The Chair adjourned the meeting at 9:05 pm.

Meetings are scheduled for December 6, 7, & 8 2011. The December 6 meeting is at 9:00 am in the community center. The 7th and 8th meetings are at the Woods Center at 9:00 am.

Joe Takacs, Secretary, 11/28/11

MINUTES of the LOW Finance Committee
December 19, 2011
Community Center/Computer Room

Call to order:
Chair David Frances called the meeting to order promptly at 7 p.m. Four voting members were present, and the Chair activated two alternates to voting status for this meeting. Members and guest are listed as follows - -

Members in attendance:                                        Members not in attendance:
David Francis, Chair                                                   Jim Logan, Voting
RC Haring, Vice Chair,Voting\Acting Secretary           Joe Takacs, Voting
 Doug Chidlow, Voting                                                 Dave LeMay, Voting
Brenda Conway, Voting                                                Guests:
Boggs Wright, adviser                                                   Bob Shope,  LOW BoD
Jeff Flynn, Alternate\ activated voting member              Dave McKee,  LOW BoD
Pete Rainey, Alternate\ activated voting member          

Approval of the Agenda:
Motion to approve as distributed by D. Chidlow, seconded P. Rainey. No discussion, motion passed unanimously.

Approval of the Minutes:
The Minutes of the regular November, 2011 meeting were distributed. Motion to approve by P. Rainey, seconded by B. Conway.  Passed unanimously.

Chairman Comments:
Members then the chair briefly indicated what they considered the most important issues to be resolved at this meeting.

New Business: 2012 Budget Recommendations to the G.M. and BoD

1. Draft motions from 3-day Budget Sessions. List provided by and motion made by Doug Chidlow, seconded by R. Haring. Two pages of recommendations by Operations Center and account number with supplemental pages of rational were examined and individually voted upon by F.C. Twenty 29 recommended changes to the budget were evaluated, 7 received “not to recommend” vote results, and 5 were edited, simplified and passed.

The 22 surviving recommendations were then “advanced” to the main motion, and voted upon in aggregate. Passed unanimously, and posted to the Minutes as Attachment 1.

2.  Evaluation of Funding Requirements for New Capital, 2012-2016

FC has been evaluating how new capital proposals might be funded, such as those found in the current Five Year New Capital Plan. The likely impact on the association annual assessment is of particular interest. As a result the FC study group produced a spread sheet financial model, which would be a close approximation of assessment increases needed to support the new capital funding requirements.
MOTION: To refer the FC staff study (described above) to the BoD for its review and evaluation with the idea of an FC presentation of it for wide audience member comments at a FY2012 Workshop (well prior to the FY2013 budget review schedule). Motion by P. Rainey, seconded by R. Haring. Motion passed unanimously, and posted to the Minutes as Attachment 2.

3.  Keaton Lake related motions

Previously FC generated a motion to the BoD that Keaton Lake remediation be given a highest priority in the FY2012 operational and capital budgets. To support that goal, the following motions were made by P. Rainey, seconded by R. Haring.

• The FC recommends the GM’s budget and BoD avoid raising the presently projected FY2012 assessment based on the very tentative Keaton Lake remedial cost information available at this time. Passed unanimously.
• That an amount of $100,000 of capital reserves be allocated to (or set aside) and designated for Keaton Lake remediation. Motion passed unanimously.
• Property dam insurance, currently listed at an annual cost of $27,000, be cancelled only after and based on an engineering review of the insured loss coverage. Amended/edited during discussion, then passed unanimously.
• Restore historical vacancy adjustment, often called “salary savings due to unfilled vacancies”, of $20,000. (See line 5013 in 2011 budget). It is a positive cash flow entry, and thus a -$20,000 (negative expense) reduction in total salary expense. PASSED unanimously.
• Reduce Club House payroll costs from 10.4 to 6.4 percent of sales income, estimated at $20,000. Passed unanimously.
• Two other budget cost-savings proposals were introduced and discussed, but not approved by the FC.

  (4)  Attachments
            a/s
Budget Recommendations
Memo to Board re: budget
Proposed budget cuts

R.C. Haring, acting secretary

*  An F.C. regular meeting is called for Monday, January 9,  7 p.m. at the Holcomb Building. Except for agenda items required to open the meeting, the GM and Senior Staff present the revised budget. (See FY12 Budget Schedule.)

Minutes of Special Budget Review meeting
of LOWA Finance Committee
January 9, 2012

Members present                  Members absent                 Guests present
D. Francis (Chair)                     P. Rainey (Alternate)              P. Roland (BOD Pres)
R.C. Haring (Voting)                                                                B. Shope (BOD Member)
J. Takacs (Voting)                                                                   D. McKee (BOD Member)       
D. Chidlow (Voting)                                                                 J. Walsh (BOD Member)
B. Conway (Voting)                                                                  T. Sheridan (Planning Chair)
D. Lemay (Voting)                                                                   N. Buttimer (Planning Liaison)
J. Logan (Voting)                                                                     P. Rodenberg (LOWA GM)
J. Flynn (Alternate)                                                                  L. Cole (LOWA Dir Finance)
B. Wright (Advisor)                                                                  E. Rupe (LOWA Maint AGM)
                                                                                                D. Walters (LOWA Member)                                                                                                    N. Goodwin (LOWA Member)
                                                                                                S. Wright (LOWA Member)
                                                           
The meeting was called to order by Chairman Dave Francis at 7:00 pm. 

Agenda:  Motion made to approve agenda by B. Haring, seconded by D. Chidlow.  Motion passed.

Minutes: December 19, 2011 meeting minutes were reviewed.  Motion to approve minutes by D. Chidlow; seconded by J. Logan. Discussuion requested by B. Haring. Item 4, page 2 proposed to be tabled for future discussion. Motion to amend the minutes by D. Chidlow, seconded by B. Haring. Motion passed.

Old Business:  None.

New Business:
The General Manager’s FY2012 proposed budget was presented to the Finance Committee by the LOWA GM (Phil Rodenberg). The Gm was assisted in the presentation by the LOWA  Finance Director (L. Cole) and the LOWA Maint AGM (E. Rupe).

The FC had provided recommendations to the budget that would have supported an overall increase in the proposed FY2012 LOWA assessment of 2.5% and $100,000 for Keaton’s Lake restoration in the FY2012 budget.

The proposed Gm’s FY2012 budget did not accept the Finance Committee’s budget recommendations.

Open discussion: None.

Motion to adjourn the meeting by B. Haring, seconded by J. Logan. The Chairman adjourned the meeting at 8:16 pm.

A special meeting to review the GM’s budget recommendations is scheduled for January 24, 2012.

Joe Takacs, Secretary, 01/18/2012