Minutes of the Meeting Caribe Resort Condominium Owner Association February 17, 2018 Held at Caribe Resort, Building D, 28107 Perdido Beach Blvd., Suite 100 in Orange Beach, AL. Rick Legendre Call Meeting to Order. We will probably start the meeting next year @ 11:30 to give everyone extra time to enjoy lunch. Rick Legendre - Opened in Prayer / Moment of silence for the victims in Florida. Rick Legendre led the Pledge of Allegiance. Rick Legendre Meeting open to all owners on record. New owners ask to stand and acknowledged. All owners should have received their letter of invitation to the meeting dated February 1,2018. Everyone should have received a proof of notice letter for the meeting today. I can read it or get a motion to disperse reading of the letter. CPH04 John Evans Motion to disperse reading D0712 Frank Nettles Seconded the motion. Rick Legendre Introduction to Board Members Present was Larry Wireman, Lester Boihem and Rick Legendre. Not present Max Himmel and Judy Wireman. Rick Legendre Last call for proxies. If anyone did not sign in, please do so. We have an official meeting totaling 337 ownership either here or by proxy. We have a quorum. Motion to accept last year s minutes. CPH04 John Evans - Motion Larry Wireman Second Motion Rick Legendre 2017 Audit reported by Grant, Sanders & Taylor. Present was Leah Meador, Audit Manager, who went over the Financial Statement. Page 1 & 2 is the auditor s opinion. Did not find any audit adjustments. Page 3 is the Balance Sheet which gives you a snapshot of your assets and liabilities as of December 31, 2017. Cash increased by 299,000.00 or 26% from prior year. Assessment receivables went up but as of testing date the association had collected 92% of that and liens on 5%. Remaining balance of 18,000.00 was less than 90 days old. No assessment issues. Page 4 is the statement of Revenue, Expenses and Change in Members Equity. Revenues remain consistent from prior year. On the expense side there was a 2% increase in expenses. Money was spent on 27% for contract maintenance, 11% on insurance, 14% on telecommunication and 20% spent on utilities. If you look at your beginning equity from 2016 to your ending equity in 2017 you will see a 1.1 million dollar increase in equity. Over
the last two years you have had consistent net income of about $500.000.00. Association is in good financial position. Leah Meador Does anyone have any questions. C1113 Rusty Murdaugh Concerns over the price increase in fire protection. Leah Meador Does not have specifics but, will get you an answer. D0406 Ali E Engin Why not put 2016 in first column instead of second column? Leah Meador It s just the way they are presented, showing you current year versus last year. Larry Wireman About the fire protection question, per Jeff Keane, we are replacing old pipe under building and repairing pipe due to cold weather. D203 Tofey Leon Explain other income. Leah Meador Bulk of payment is to the association for electricity reimbursement. They realized they were on the same meter so they went back 5 years and reimbursed the association $123,000.00. Larry Wireman I found this and corrected it. D0203 Tofey Leon Also, explain miscellaneous expenses. Leah Mead I do not have details but can provide at a later date. Rick Legendre Introduced Stan Szapiel, General Manager, and ask him to introduce his staff. Amy, Accounting ; Angela,Owner Relations; Kim, HR; Cindy, COA Accounting; Emma, Accounting; Jeff, Head of Maintenance; Kip, Rental Director; David, IT; Daniel, Marketing; Asa, IT; Scott, IT. Rick Legendre Need to elect board and fill one position vacated by Rick Horder. Rick introduced two new candidates, Reggie Barnett and John Evans. B0815 - Reggie Barnett Reggie is from Jackson, TN and Orange Beach, AL. He is a retired farmer. Before retirement Reggie was an Engineer and Manager with Georgia Power for 12 years and TVA for 28 years. He has been married for 51 years and has two grown children and two granddaughters. CPH04 John Evans John is a retired sugar cane farmer. He is a Certified Lay Speaker, current owner/partner JRE, LLC., Industrial Fabrication and Roofing Company former Board Member, Louisiana Land Former Board Chairman, White Castle Fertilizer Co-Op Former Board Chairman, Louisiana Land Bank Former President, Louisiana Cattlemen s Association Former Board Member. Rick Legendre Everyone should have a ballot with six candidates including the current board members. Choose five of the six. While the ballots are being collected Lester will explain the TV upgrades.
Lester Boihem - Dish has released a new product called the Hopper Dual. It will have interactive guide, Netflix, over 2000 hrs of DVR, parental control. We do not have prices at the moment. We will be sending letters out too those owners that were not able to attend the meeting. B0712 Larry Alexander Will we need new TV s for upgrade. Lester Boihem No, you do not need new TV s to upgrade. C0805 Michael Carstensen Are all covered by the same box. Lester Boihem All communicate with Hopper to Joey and vice versa. Rick Legendre Any other reports or old business? Now moving on to the budget. Stan Szapiel Board chose to accommodate lending institutions by moving 10% of monthly dues over to a reserve account. This will qualify us for FHA loans, help new buyers with new loans and help with refinancing. We have budgeted $370,300.00 for Capital Expenditures for 2018. We plan to refinish C & D indoor hot tubs, C building needs a new roof coating system. Carpet installation in C & D Building; electric car charging stations for electric cars; Putt-Putt upgrades; lazy river deck repairs; camera system property wide; A/C replacements and new loungers around pool area. Rick Legendre Before we can open up for discussion we will need a motion to accept budget. CHP04 John Evans Motion to accept budget D1214 Charles Hollis Second Motion Rick Legendre We can now open up the floor for discussion concerning budget. CPH04 John Evans Water boiling up 6 or 8 inches in C building parking garage. Is this gravity drainage or pump drainage? Jeff Keane That is storm sewer, it s all gravity fed back into the ground water and that happens because you have excess amounts of water coming down roof drains pushing the water back up. DPH02 Bruce Wagner On the reserve account, is there protocol on how the money will be used. Stan Szapiel Cannot use for common Operating expense or insurance. It s more for Capital Expenditures. Rick Legendre If there are no more questions or comments, all in favor of adopting the budget say aye. Budget is adopted. Rick Legendre Opened up floor for general discussion. B0103 Rick Mayfield B garage seals are leaking worse than ever. Larry Wireman Larry, Jeff and Mike went to a convention in Mobile and found a product that will
withstand tire traffic according to the salesman. We are aware of the problem and have ordered product. D0105 Donna Parham We have children jumping across the lazy river from side to side, also climbing on the turtles, which do not work. This is a safety issue and needs to be addressed before someone is injured. I have actually stopped children from running in the river. Rick Legendre The turtles should be working now. Larry Wireman We will address it with security. Maybe we can put up a decorate fence. D0105 Donna Parham Also the fire alarms are going off almost every day. It has become a problem. I will no longer leave my condo. I have even heard snowbirds say they will not come back next year because of this issue. Jeff Keane The smoke alarms are doing what they are designed to do. When a guest burns food on the stove and they open up the door to the atrium to let the smoke out, it will set off the alarm. This has happened several times over the past month. We have had one false alarm in the last three month. Larry Wireman We are working on the fire alarm issue. I do not know what the answer is. We have even changed companies. D0105 Donna Parham When I called I was told it was an exit sign. Jeff Keane It was an actual fire. D0605 Jack Damp We have an issue with the carts. They are used for other things instead of luggage and groceries. Also, guest will not return carts to the cart room after use. Can we place a sign with instructions as what to do with the carts after you have finished. Larry Wireman We do have signs in the cart room and also on the carts. If you like the grocery carts we will look into purchasing some additional carts this year. C0309/B121 Steve Kauffman Concerned about kids using the putting green as a playground. Larry Wireman We will put up a sign charging for any damage due to improper use. We did this in the elevators and our maintenance repairs dropped by about 90%. D0607 Marvin Smith Are we ever going to get direct deposit? Stan Szapiel You can have auto draft set up monthly from your checking account. D0701 Mark Luckett The sign that directs you to each tower is not lit up at night. People coming in at night to check in cannot see which direction to take. They end up in the wrong tower and usually park in the wrong spot. Larry Wireman We will look into it.
B0514 Allen Zittrauer Lighting in parking lot by the shuffle board goes on and off. Larry Wireman We will check into it. C0508 Geoffrey Milewski - Has there been a discussion to start a Caribe Facebook page. It is a great tool to convey information about local events. Larry Wireman We will look into it. B0514 Allen Zittrauer Parking during summer months is an issue. Also the owner s lane entrance is blocked with cars trying to get on property. Concerned about the number of parking passes issued to guest. Stan Szapiel We try to allow as many cars as possible. We have 600 units, a total of about 1040 parking spots. If you bring two cars each this leaves about 150 over. We utilize the marina parking and trailer parking which the association does not own. There are about 6 busy weekends a year that parking will be impacted. B0613 Butch Bloom Employees need to park over at the Marina instead of Larry Wireman Good idea. Rick Legendre Votes have been counted and we are ready to announce the new board. New Board members are: Larry Wireman, Lester Boihem, Rick Legendre, Max Himmel and John Evans. Rick Legendre Will need a motion to adjourn meeting. D0701 Frank Nettles Motion to adjurn B0104 Billy Aguillard Second motion