CALL TO ORDER:  The meeting was called to order by Dave Taney at 7:00 p.m.  All Board of Directors are present with the exception of Pastor Na.  With 6 out of the 7 we have a quorum.  Dave then called upon Kathleen DeStefano for the minutes from our last meeting. 

OLD BUSINESS

            M.B.R.C. Status Report:  Sam Mrakovich stated that he had heard from

Mr. Hanna regarding the punch list that is needed for the MBR Project to be finished.  Mr. Hanna stated that he should have it out that day.  Nothing showed on Wednesday, Thursday and I am still waiting. Sam said Dave Hanna offered apologies about trying to get caught up.  Bob and I did a walk down the road last week and things are pretty dried out.  In the parking area down below there was a lot of muddy material deposited on the road, just above the 200 foot line, which is drying out considerably.  The water in that vicinity just seems to be sitting there and not flowing down into the salt water.  I was able to speak to D&R and learned that their jurisdiction stops at the mean high tide line.  Their concern is silt coming onto the beach, but the 200 foot critical area is the County’s.  I went through all the paperwork we received from the County and it seems, to me at least, that we can do any kind of maintenance that we want on the existing features.  If we had any changes then we are subject to permits.  Everett – They told us that if we want to build that parking lot up or do anything or clean ditches, we have to get a permit.  Sam - It says we can maintain what we have there, which is the parking area.  It even talks about dredging ditches and cleaning existing ditches.  So, I think we should redo that paperwork.  The permit is a $50 item and we get to this point I think we need to get back to the County, as D&R does not have the final say on that.  That would be the next step, as I see it, following the resolution of this project with Olympic Excavation.

Dave – Are you going to work with the County to get that permit Sam?  Sam – Yeah, I’ll get with them.  Dave – It would make sense if we are going to get that permit.  Sam – I think so because that is one thing I can see that would require a permit for sure and that  I would like to change the channel a little bit on the west side to pull it away from the bluff.  Dave – Where are we with Kevin Booren, as far as getting the work done that needs to be done; as far as finishing up the

project and the road cap.  Sam – We are waiting for Dave Hanna’s report on finalizing the punch list.  We would call a meeting and decide on what the final punch list would be for him to take care of.  At that time also, I want to touch basis with him and see if he is still willing to do the crushed rock cap for the price that was stated.  So, we are just waiting for Dave Hanna’s report.  Also, I would like to request the appointment of Jim Conquest to the Beach Road Committee, to get our number back up to 10.  Everett – I don’t see any reason to add any members.  Sam - Volunteers are not that easy to come by.  Why not, let me ask that question?  Kathleen – When will he be back?  Sam – In about a week.  Lew – My question is this, this close to the end do we need to make additions or subtractions to the committee?  Bill – We are close to the end aren’t we?  Kathleen – I think we should table this until the next meeting, until we can meet the man and talk to him; see what he has to say.  Bill – For a committee isn’t it usual to have an odd number to prevent any ties?  Dave – Actually, that is debatable Bill.  The reason I say that is the Beach Road Committee and a lot of the committee’s the way they are set up if they are an even number, then I, being an ex-officio member, breaks any ties.  It sounds like everybody is in favor of holding off until the next meeting and ask Jim to be here.  I personally have no objections to Jim.  Kathleen – I make a motion that we table the addition to the MBR Committee until we can we meet and talk to him.  Lew seconded the motion.  The motion was unanimous and was tabled to the next meeting.

             M.B.R. Project Bills:  Dave – As Irma pointed out, I didn’t realize that she had gone to the extent she had, so most of that has already been covered.  But, the bottom line is for the original contract; all the bills have been paid and are currently up to date, with the exception of the hold back, and that depends upon the completion of the project punch list and the presence of a warranty bond, which hasn’t been presented yet.  It is kind of in Kevin Booren’s hand now.  Sam has a copy, with other copies floating around; all the Board members have a copy of the contract.  As soon as we receive from Dave Hanna his report, and that’s put together with an agreement from Kevin as to giving us a time line to finishing the punch list, we will then cut a check to Kevin, with the Board’s approval, to pay the $11,917.07 some odd dollars that are due for the rock wall.  Sam - Why is the rock wall tied into this project?  Dave – The best answer I can give you for that is that is what I see as appropriate.  Nancy Drake – How much has the Board paid a lawyer and where is that on the budget? Dave – We haven’t paid a lawyer anything yet.  Nancy – Well, how much is our lawyer bill going to cost in regards to your dealings with the other lawyer?  Lew – The lawyer knows more about legalities than David does; and he seeks advice when he doesn’t know something.  Dave – The actual cost is about 3 or 4 hours of time, so a few hundred dollars.  Nancy – All right, thank you.  Dave – Lew’s answer is probably the best answer.  We wouldn’t have had any lawyer expenses if we hadn’t gotten involved with, how do I want to put this, I think Kevin Booren is being coached from the other side, as to which direction to go in some cases.  Let’s put it this way, it is resolved; there is nothing at this point.  Nancy – I want to go on record we wouldn’t have had any legal (there was a lot of chair pushing, noise at this point and I was not able to understand what Nancy was saying on the tape).  Dave – duly noted.  That answers Sam’s question, I guess.  Les, you had your hand up?  Les – If the Board continues to push for this project, are there any procedures in place to prevent the inappropriate charges such as we paid for the contractor hitting that sewage/drainage pipe?  Everett – Yes.  I talked to L & I, and they sent us information.  When this project is done, we can go back and ask Kevin Booren to reimburse for that.  Or, we willmake a claim against his insurance, is what L & I said.  Absolutely it is his responsibility.  L & I said that since he didn’t call he is absolutely liable for hitting the pipe.  Dave – My suggestion has been that we owe him $11, 917.07 for the rock wall, and when we pay that it is my intention to deduct the $1,100 in sewer repairs that we have already paid.  The relocation, which is $4000, is probably legit, as we would have had to do that.  But, if he had called and went through a locater service we wouldn’t have had to do the emergency repair, which is about $1,100.  We feel it is appropriate to deduct that.  (At this point there were a few people talking over each other regarding the rock wall and it is hard to distinguish all of the voices.)  The $4,100 that we approved for the crushed rock cap, obviously we are not going to pay for it until it is done.  That has not been started yet, so that is still to come.  And, the hold back is clearly spelled out in the contract how that works, so when we get to that point we will do it accordingly, with what the contract says.  But, if you stop and think, like Irma was pointing out, we have $17,000 to work with.  If you take say $12,000, deducting $1,100 for the sewer line repair, that’s $11,000; take $11,000 and add $4,000 to it that’s $15,000; add this hold back to that which is $9,000; you have $24,000, you have a $7,000 short-fall.  Nancy – Excuse me, but on the last ballot we won the right to borrow money at 1½%.  So you have no problem paying these bills.  Dave – That’s correct.  But, we still have to have the money from somewhere.  Nancy – That’s right and you can get it now.  Everett – And we will get it when the job is done.  Nancy – You are so wronging the property owners.  Everett – No we are not.  When the job is done we will pay the bill.  Dave – Where is the money going to come from Nancy?  Lew – The loan.  Dave – Who’s going to make the loan?  Nancy – You know you are being a--------.  Dave – Just answer my question, where is the money going to come from? You obviously know, so (someone said the board said they had it.)  Nancy – You people made a deal, Everett sat there in a Board meeting nodding, they made a deal before the meeting, they got a 1½% loan available, that they have set up before the meeting; it was voted on; then it went out to the property owners and it was passed.  So you’re just giving us Everett – And it will be paid.  (People talking over each other, hard to understand.)  Nancy – In the meantime we have a young contractor under duress and stress, trying to keep going.  While you Everett – If he would come finish the project, then he would get paid.  Nancy – You are ruining the name of SAPOA for a contractor’s Dave – Well, I’ll be honest with you; I am not too concerned with the contractor.  My concerns are not with contractor.  I have absolutely no sympathy or concern for him.  Kathleen – We said we had 2 or 3 people that we may be able to borrow the money.  It was not set up yet.  It has not been done yet.  And, it can’t be done until the bills are all in.  Dave - The bottom line is we have the funds to pay the rock wall, which is not an issue until we get the punch list back from Dave Hanna.  Nancy – No, that’s not the way it goes.  Dave – Well, that’s the way it is going to go.  Kathleen - Punch lists have to be done first.  That’s every contracting that has ever been done, every construction job, you get the punch list and then the bills are paid after.  I know you are shaking your head no, but it is true.  My husband is in construction, I know.  Everett – We did pay him when it wasn’t deserved, it wasn’t in the contract, so he can wait for this one.  Lew – Not to mention the fact that there is no use in even looking for a loan until we know exactly how much we are going to have to borrow.  (Nancy interrupts Lew)  When are you going to let me finish my sentence?  Nancy – You’re insulting me.  Lew – Yes mam, I am.  We don’t know how much we need until we get all of the advance payments and we get the bill at the end.  Then we’ll go after the money.  Nancy – You know what the property owners Lew – What’s next on the agenda?   

          Director Elections:  Dave – Sara has been filling the unexpired term of Dan Abbott, so will need to run for election in July.  If you do decide to continue you will have to run for election at the July meeting.  And, we need some other candidates.  Nancy you talked about once heading that.  Nancy – You mean a nominating committee and election committee set up.  I did volunteer to be on the nominating committee.  Dave – Are you still willing?  Nancy – Yes.  Dave – Anybody else?  Nancy – Cecelia volunteered.  Dave – Neil?  We are asking you to commit for Cecelia to be on the nominating committee.  Neil – Okay, I will commit for her.  Dave – There is no limit for the nominating committee, but I think 3 is an ideal number.  Bill – It is hard to get volunteers around here.  Kathleen – We are going to have to get volunteers because next year you are not going to have a Board, if you don’t get volunteers.  (Many people talking at this point.)  Nancy – I really want to see the property owners get a fair shake.  Dave – Do you know of a third person Nancy?  We will start asking for names at the next Board meeting.  Kathleen – Or, you can call me as I am suppose to head it.  I would be the chairman of that committee, so you can always call me and give me names.  Dave – Okay, there’s the third.  Lew – That makes it really Kathleen – I have to head it, it is in the by-laws.  Dave – There is 2 committees involved a nominating committee and an election committee.  The nominating committee you don’t have to be a part of.  The election committee you do because you are the secretary.  Nancy - Your by-laws state that a nominating committee is supposed to have 1 Board member and 2 members at large.  Dave – Well, there is Kathleen, you and Cecelia.  That is 3. 

Open Comments:  (There were several people talking at the same time.)  Irma – I have a comment about the newsletter that we are sending out.  Should we try to get a list of people that want to receive it by e-mail, so we don’t have to send out so many?  Dave – When the by-laws were written, all they say is that you have to send out 4 newsletters a year.  They don’t specify how or what means you use to send it out.  Like ballots, as an example, have to go first class mail.  It spells that out.  But, newsletters don’t necessarily have to go first class mail; in fact we send them bulk mail.  It doesn’t say you can’t use email and I don’t think email really existed at the time those by-laws were written.  We can ask and it would sure simply things.  I would bet that 50% of our residences have email.  The average newsletter is about $260, and that would cut it in half if that was the case.  I will put it in there.  Lew – They could submit there email to our secretary?  Dave – We have a SAPOA web site; all they have to do is submit there email address to the SAPOA website and we can go from that.  That would be easy to do.  The only problem I can see is that people tend to change email servers occasionally.  And if they don’t notify you when they change, they won’t get one.