Finance & Legal minutes: 2014-09-22

Special Notes:

Working on how to document garage ownership

Agenda:

Documenting Garages
EOY funds agreement -- follow up
Revise 2015 F&L budget request
Reserve Study
CH Loans
Accounts Payable

Minutes:

Minutes of F&L Meeting

9-22-14

Present: Debbi, Amy, Keith, Syndallas

Documenting Garages

Syndallas has been assigned a temporary work position to figure out how to
document and establish any needed policies with regard to GO garage
ownership. The garage structures are owned by GOCA, but the use of the
space is owned by individuals. Ownership of the use of a garage is worth
about $10,000, so there needs to be a robust way to document ownership when
someone buys a unit or wants to sell one. Ultimately, a lawyer will need to
bless the policies we come up with. Syndallas will try to find a few
models for how other communities deal with this, figure out one that seems
like a good fit for us, ideally one that other lawyers have blessed. In
this way she hopes to save money on our lawyer.

Syndallas will reach out to Aaron to find out what he remembers from his
extensive Master Deed work of a few years ago. One of the items he worked
on was this same issue of documenting garage ownership.

We talked whether we should restrict ownership of the use of garages to GO
owners and not sell the use of them to outside entities.

We as a community are paying liability insurance for the garages. Would
there be liability issues for outside entities?

Our garages are all open at the rafter level ,...... anyone who has access to one
has access to many. People might be uncomfortable with outside owners for
this reason.

We will need to ask our attorney to give us advice on this point.

We also need to look into how ownership is recorded with the appropriate
government agency (township or county?).

What happens if a bank owns the garage? (e.g. During a foreclosure.)

Some people,...™s mortgages spell out that the owner has a garage, some don,...™t.

What if someone wanted to buy a unit but didn,...™t want the garage?

What is the mechanism for selling garages within the community?

Syndallas will work on these points and bring back some information for us
at our next meeting (Oct. 13).

EOY funds agreement -- follow up

Becky made a spreadsheet for the comty meeting to document the status of
GOCA,...™s several savings accounts. There are several designated accounts and
one generic one, which currently has in it security deposits and the F&L
Master Deed fund. We have the insurance deductible saved in one of the
designated savings accounts, so we don,...™t need to put this in F&L,...™s 2015
operating budget. Last year, when we realized that we need to do an audit,
the community decided to put the balance of Steering,...™s urgent needs funds
(about $1300) into the generic account. At the end of last year, Becky
totaled the audit and the Master Deed savings accounts together. Her
opinion is that we do not need a Master Deed savings account, because we
put $3500 for professional fees in the operating budget for 2014 as well as
in the 2015 draft budget. We decided to put the Master Deed savings toward
the audit. Next week Becky will divide up the 2013 balance as decided at
the most recent community meeting.

3. Revise 2015 F&L budget request

We decided to ask Paul Conahan if the fee for doing the Reserve study could
come out of the Reserve fund. Becky checked the Reserve spreadsheets and
noticed that the cost of doing the Reserve study comes out of the Reserve
fund on a working copy of the spreadsheet, but not on the original one from
the 2010 study. We,...™ll follow up with Paul.

4. Reserve Study

Keith will call Paul to check in.

CH Loans

Amy will ask Mary if there is news.

Accounts Payable

Amy will research the lien we placed a few years ago both to see if we need
to update it and because we probably will need to place a second lien.
Debbi will talk with the household in question.

Matters arising ,...... none

Next meeting: October 13, 7 pm, CH Sitting Room
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