December 2008 > Annual Meeting Minutes

TABERNA HOMEOWNERS’ ASSOCIATION

ANNUAL MEETING of December 10, 2008

MINUTES

 

The meeting was called to order by Bob Costanzo, President, at 7PM.  It was determined that a quorum was reached through those present and by submitted proxies.  Board members present were:  Bob Costanzo, President; Gene Peele, Vice President; Suzanne Forsythe, Treasurer; Alva Windham, Secretary; and Representatives Steve Harman, Jim Krise, and Martha Daniels.   The Pledge of Allegiance was led by Alva Windham. 

 

PRESIDENT’s OPENING STATEMENT: 

 

This year we decided to move the meeting closer to the Taberna Community.  We would like to thank Mrs. Karen Wood, Principal of Creekside Elementary School for her assistance and allowing us to have the meeting here.

 

During 2008, the HOA continued to live within its budget and is financially sound.

 

The following are highlights of activities that the HOA has been involved in this year:

• The Buildings and Grounds Committee worked hard to enhance the appearance of our community.
• The Taberna Crime Committee, led by Larry Alderson, worked very hard during the year with the New Bern Police Dept. to find ways to improve security in our neighborhoods.
• Due to possible illegal activity near the canoe docks at Brices Creek, we installed a gate with a lock to help limit access to the area during both daylight and evening hours. 
• We also enlisted assistance from Alderman Max Freeze to have additional lighting installed around the community for needed security.  The City did decide that an additional light would be added to Emmen Road.
• We contacted County Commissioner Steve Tyson in an effort to improve the timing of the traffic light at Route 70 and Taberna Way.  After numerous meetings with community members and the NCDOT, changes were made which significantly improved the traffic flow.
• Dunkin Doughnuts arrives.  Dick Turner, Chairman of the ACC, met with owner of the commercial lot at the entrance of Taberna to review the architectural guidelines on that property.  As a result a document was created that acted as a guideline in the construction of the Dunkin Doughnut building.  I think we can all agree that the architecture blends well with Taberna’s overall design.
• The Beautification project as approved in 2006 was for a $100,000 budget spread over five years at $20,000 each year.  B&G worked with a consultant to identify areas that should get special attention. During 2008 the major focus was on the two Airport Road entrances where landscaping took place and on Emmen Road where trees and flowers were planted. 
• In order to enhance the appearance of Taberna Way, the Taberna Country Club (TCC) permitted us to place a Taberna entry sign and garden bed on their property at the Airport Road entrance.  They assist with the maintenance of the garden bed area.  The HOA also purchased 31 trees that were planted along Taberna Way.  The TCC was responsible for planting of these trees and will maintain them.
• Funds have been included in the 2009 budget permitting us to continue the Beautification Project.  The B& G Committee feels this project should be completed by the end of 2009 in time for the 2010 New Bern 300th anniversary of the founding of New Bern.

• The Fall Community Picnic was held in Todd Denson Park.  The activity was a coordinated effort by members of the community, BB&T, the Taberna Tribune, New Bern Police, Fire Dept and the HOA.  Although postponed until Sunday due to rain, there was a good turnout for the event.
• The delay of Taberna Towns Project.  We have been working with the builder for over 18 months to complete the required documents between the builder and Taberna for the eventual inclusion of this property into Taberna.  Delays were due to on-going legal issues the builder has with the Railroad concerning the width of their right-of-way.  However, the documents were signed today.
• What is coming next year:  The Board has been asked to look into adding amenities to Todd Denson Park.  We were presented with a proposal to add a basketball court.  This was deferred to the 2009 Board.  Please contact the 2009 Board with any thoughts you may have concerning new amenities for the park.
• There are five permanent committees:  Architectural Control (ACC), Buildings and Grounds (B&G), Finance, Crime and the Adjudicatory Panel.
• Let me introduce the members of the 2008 Board of Directors:  Gene Peele – Vice President, Alva Windham – Secretary, Suzanne Forsythe – Treasurer, Steve Harman, Martha Daniels and Jim Krise.

 

It has been a pleasure serving as President of the HOA for the past two years.

 

TREASURER’s REPORT:

 

Suzanne Forsythe presented a general overview of the financial make-up of Taberna: 

• She reported that there are 779 residential lots and 2 commercial properties in Taberna.  As of November, there were 68 vacant residential lots, down from last year’s report of 77.  
• The firm that provides our accounting and tax services continues to be Mona Kay Sadler, CPA.  Financial reports are provided on a quarterly basis and are reviewed in detail by the Treasurer, then an overview by the Finance Committee, and then by the Board of Directors before publication on the Website.
• There are currently four Sub-Associations.  Although they all are within the Master organization and pay Master dues, they are also responsible for the maintenance and replacement costs for their individual communities.   They pay additional dues over and above the Master.  Separate financial records and bank accounts are maintained for each.  However, income taxes are filed on a consolidated basis.
  

She reported that three major projects were completed during 2008:

• The Finance Committee conducted an in-depth audit of the Master and all four Sub-Associations Financial Reports and Bank Statements for the year 2007 and for the first six months of 2008.  No discrepancies were found.  This process will continue every six months.
• The Finance Committee reviewed the Reserve Schedules and made slight modifications where deemed necessary to be sure that sufficient funds are available when required.
• In the past all checking and investment (reserves) funds were kept at BB&T.  The total amount involved has grown significantly over the years, and now exceeds the FDIC limits for a single bank most of the year.  In order to provide additional FDIC

 

• protection and the chance to obtain better interest rates, the Finance Committee and the Treasurer researched the possibility of placing our Reserve funds with an Investment House.  As a result, we now utilize BB&T for our checking accounts, but have our Reserves invested in CD’s from several different banks thru Scott & Stringfellow.  This investment firm is owned by BB&T, but is wholly independent from them.  Per Board directive, all of our investments are in CD’s only.  We do not dabble in the stock market.

 

Highlights of the Financial Reports and 2009 Budgets:

                       MASTER:  The Revenue and Expense Report shows that, although specific line items may be more or less than expected, overall we should end up pretty much on target in total for 2008.  Total revenues expected for 2008 are $191,441 vs. $193,209 in the 2008 budget.  Expenditures are projected to be $187,591 vs. $189,484 per the 2008 budget.  That works out to be a positive leftover figure of $3,850 as compared to the budgeted $3,545.  Two items to note are: 
1) “Interest Income” is expected to be less than budgeted due to the lower interest rates available during the year and 2) the Board decided to fully fund the Operations Contingency Reserve Fund in 2008 instead of waiting until 2009.  It will now be maintained at $50,000 to cover any unexpected emergency requirements such as disaster cleanup.  Items on the Balance Sheet to note were 1) “Cash” is expected to be about $24,000 at year end.  The Board continues to believe it prudent to carry over cash for operations into the next year.  However, if this continues to increase, some of it may be utilized for the 2010 budget and dues calculations.  2)  All budgeted deposits were made into the Reserve accounts bringing the totals to $83,714 in the Master Replacement Reserve and $49,174 in the Contingency Reserve.  No further deposits, other than interest earnings, will be made into the Contingency Reserve except to replace funds used.

             

                            2009 MASTER BUDGET:  In 2009 we are expecting to collect $190,497 and pay out $185,657 in operating expenses.  This will leave $4,840 which represents what we expect to earn as interest on our Master Reserve accounts.

 

                            SUB-ASSOCIATIONS:  All of these are expected to come close to their 2008 budgets.  Two items highlighted were that Boleyn utilized $2,165 of the Reserves to refinish the alleyway, and OTW utilized $3,800 of their Reserves to paint two of the units a little earlier than expected.

                            DUES:  The Master Annual dues for 2009 will remain unchanged from 2008.  The regular master dues will remain at $235, the Lake properties will remain at $265, and the commercial lots will remain at $258.    Sub-Association dues:  OTW and the Landings will remain unchanged at $2,000 per year for OTW and $1,355 for the Landings.  Due to increased costs in maintenance, the dues for Abbington Woods will go from $725 to $786 per year, and Boleyn’s dues will increase from $683 to $718 per year.

 

It is the opinion of the Treasurer that, barring any unexpected disasters, the Association continues to be in good financial condition.

 

ELECTION OF the 2009 BOARD of DIRECTORS:

The terms of three current Board members end as of Dec. 31, 2008.  These are Alva Windham, Jim Krise and Martha Daniels.  In addition, Bob Costanzo will not serve out his current term, but will resign as of the end of 2008.  This left open four seats on the Board for 2009.  The slate put forth by the current Board, which was included in the ballots distributed to all residents, to fill these open

Minutes of THOA Annual Board Meeting of 12/10/08                                                       

page 4 of 6 

 

seats for the 2009-2010 Board include: Linda Pickens, George McNulty, Willis Vincent and Rick Layton.  It was noted that Rick Layton would serve for a 1 year term to fulfill Bob Costanzo’s vacancy.

 

The President recognized and thanked Steve Harman for an outstanding job in co-ordinating and filling the candidate slate for this year.

The President asked for any nominations from the floor.  There were none.

The President requested for the slate, as presented, to be approved.  The slate was accepted by the HOA members as presented without any NA’s.

 

PRE-SUBMITTED WRITTEN QUESTIONS and BOARD RESPONSES:

Community building:
Is there any community interest in building a simple multipurpose activities building for Taberna residents? The HOA could investigate building possibilities in the Todd Denson Park area. The building could be used for arts and craft groups, card players, resident celebration parties, meetings, receptions, library, reading room etc. In today's economic times construction costs could be advantageous.  Plus mortgage funds are quite reasonable today.  Submitted by Bruce Gemmill

 Reply: There is the possibility that a “community building” could be built in the park. There are a number of significant issues concerning the establishment of a community building including costs, maintenance, water and sewer hookup, and electrical hookup.  To begin the process a subcommittee could be charged to determine if there is significant interest in the need for such a facility.

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Rule  Changes: 
I have a concern about rule changes by the Board. No rule change in particular, but the fact that a tiny percentage of the homeowners "the Board" can arbitrarily add to the rules of the covenants. I already know that you can legally do this, but is it morally right? My problem comes from the fact that if the homeowners want to change a rule, we have to get two-thirds of the membership to sign it and have it notarized.  So if" "I" was on the board with a" few" of my friends, I could add rules like" no cats allowed outside", or" no renting of your house" or some other silly rule that we as Board members wanted to pass by Board vote. I would like to see any rule additions or removals to be voted on by the whole entire group of homeowners. This would keep the temporary groups of Board members from adding rules that would take two-thirds of the membership to go back and change if we did not like them!   Thanks for reading this and any consideration in the matter.   

Reginald T. Parker

 

Reply: Although the Covenants allow for the Board to make “Rule” changes we are required to meet the standards set forth in the Covenants. There can be no rules made that conflict with the Covenants of By-Laws (eg: rentals are permitted in the Covenants).

NOTE:

The Board of Directors may from time to time establish rules for use of any property within Taberna in order to protect the value of Lots, the aesthetic qualities of each

Minutes of THOA Annual Board Meeting of 12/10/08                                                        page 5 of 6

 

Community and the tranquility of the owners.

See below for some areas that are potentially subject to “Rules”.

Said rules may include, but are not limited to, reasonable restrictions on pets, rental use of homes, and parking of cars, trailers, boats, campers and other vehicles on Lots and streets. All such rules shall be effective after written notice of adoption is mailed to the record owners of all Lots and Living Units as of the date of the adoption of such rule. All such rules shall be enforceable as though set out within these Protective Covenants

Only CHANGES to the Covenants and By-Laws require a 67% vote. Members   of the HOA can bring their concerns to the Board about any Rules.

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Questions from the Floor:

Question:  As you look around Taberna you will see contractors signs placed on some lots.  Are these signs allowed?

Willis Vincent

Reply:  Only contractor (builder) signs that conform to HOA guidelines are allowed.  I noticed that one sign in question was removed since the board meeting.  (It was a Pet Stop sign on Taberna Way.) 

Question:   Mail Delivery…. Many residents do not receive mail until some time after 5pm. Following holidays and during the Christmas season it comes so late we might as well pick up our mail the following morning risking pilferage. It is believed we should expect delivery early afternoon at the latest and that improvement would only be the result of a community wide effort coordinated by the THOA. Could you please poll the annual meeting or the home owners to see what the magnitude of the problem is and should action be taken.
Ken Klawson

Reply:  Discussion from several members of the audience followed:

Since the mail delivery is controlled by the U.S. Postal Service the HOA has no control over the delivery of mail.  Some residents do receive their mail earlier than others, with the earliest around 10:00 am.  It was also noted that the mailperson(s) are private contractors and sometimes mail delivery is delayed due to new/substitute mailperson(s).

Question:  It would be nice to have an email address to where we could send covenant violations that we see around the community.

Phil Buffa.

Reply:  Jim Krise rides around the community weekly and reports all violations to the

Minutes of THOA Annual Board Meeting of 12/10/08                                                        page 6 of 6

 

 

Board Monthly.  The Taberna WebSite (www.tabernahoa.com) contains a tab (Questions to the Board) that could be used to report violations to the board.  This link is monitored daily.

 

The meeting was adjourned.

 

Submitted by Alva Windham

2008 Secretary

 

 

Approved by the Board of Directors:

 

 

By:                                     /s/                                                                   Date:                    21 Jan 09          

              Gene Peele, President