LAKE GENEVA ANNUAL MEETING MANOR MINUTES
Saturday July 11, 2020 – held in the Manor park
(draft minutes until approved at 2021 meeting)
Meeting Called to order by President Jen Read at 10:14 a.m. Based on the sign in sheet and proxies, there were 45 Members present an 13 additional by proxy. A quorum was established. President Read introduced the current Board and asked new Members to stand. Due to weather conditions, introductions by the various Members present were postponed.
10:15 – The minutes of the 2019 Annual meeting were presented for comment and approval. There was not discussion and a motion approving the same was presented by Wayne Reuter, seconded by Barb Philips and approved by voice vote without objection.
10:16 - President Read presented a brief recap of Board activities during the past year, including the set aside of a $12,000 emergency fund, the removal of seaweed from the Manor swim area, creating park safety during Covid-19 conditions and seeking to bury the electrical line under the Park and remove the power pole near the swim pier and replace it in another location and remove the tree through which the power line now runs.
10:17 – Steve Garrels presented the Treasurer’s Report. Key items from the operating statements were the creation of a $12,000 emergency fund balance, $1,263.69 bench donations and $375 in donations to the tree removal fund. Net income of $12,582.36 was detailed on the profit and loss statement that was handed out to the Manor members. Based on the financial position of the association, the board had approved reducing the $450 assessment against each of the 124 lots by $25 per lot to $425 for fiscal year 2020/21.
The 2020/21 budget was presented (a copy was provided to Manor members) with $3,000 earmarked for burying the electric line and associated tree removal (with $2,000 of the estimated cost of $5,000 to be paid by the boat pier committee), a $4,900 contingency and an $1,150 excess balance at the end of the year. If funds were not spent, it was hoped that the emergency fund could be increased to near $20,000 by year end. Treasurer Garrels opened the floor to questions. [CLICK here for report handed out at meeting]
Pete Petersen questioned whether $5,000 estimate was sufficient for the circuitry to replace the lines and asked if an outlet could be placed at the street and included in that cost. Bob Nabasny asked about the seawall and potential repairs and suggested that an amount be set aside to reserves each year for the next five years so that seawall work can be done and money be available to pay for the same. It was felt that seawall repairs could be paid from the emergency fund or the $4,900 contingency, to the extent needed in the coming fiscal year. President Read indicated that was the purpose of creating the emergency reserve and the reason dues were raised in the past.
Pete Peterson said that he thought a $30,000 reserve amount was appropriate but was supportive of a $20,000 goal. He mentioned pictures he had sent to certain members depicting pier damage associated with 2019 flooding and storms. It was not clear that all members had received or reviewed the same. They indicated the kind of damage that could be caused and indicated that 2Xs the budget was appropriate for reserves to get to the $40-$50,000 reserve range. Peterson then proposes a motion to keep the dues at $450 per lot (see later).
Joan Thompson then indicated that she had issues associated with the reserve amount and wanted to know how it would be spent. David Pezza indicated that the Board had approved a plan where all expenditures for safety to life, limb and property in an emergency situation would be in the Board’s discretion, but any other unbudgeted, unexpected expenditure between $0 and $2,000 could be spent by the Board on its own, costs in excess of $2,000 and up to $8,000 could be spent with 5/7 Board approval and anything in excess of $8,000 would require 16 Manor member approval (including Board members), which is a majority of a quorum plus one member. Pete Peterson motioned to remove all of the Pezza comments so that the board could determine how much money it wanted to spend without oversight (see later).
Bill Jones then suggested that with current technology an expenditure approval plan as presented could work as meetings could be set up by zoom or similar program electronically. He is against unlimited Board discretion on spending the reserve. Tom Langer was in favor of lower dues and likes to see the dues go up in a slower manner. Tom’s opinion is it is easy to spend other peoples’ money. Paula Pezza wanted to know how this would work as well. She felt the Board should try to bring the reserve to $20,000 and she thought the life and limb exception was good. She would like to see where the money was spent but trusts in the Board to not spend in a frivolous manner and supports the fact that the Board have some obligation to discuss. Bob Nabasny indicated that he has been on 30 HOA boards as well and thought that there should be checks and balances such that the Bboard should have to vote on spending money.
Pete Peterson reinstated his motion to retain dues at $450 per lot, which was seconded by George Zimmerman. The motion passed by voice vote.
Pete Peterson motioned to create an $8,000 reserve goal for the current fiscal year ($20,000 overall), which received a few seconds. The motion passed by voice vote.
Pete Peterson motioned to remove the expenditure restrictions presented by David Pezza, which received a few seconds as well. The motion passed by voice vote.
Pete Peterson motioned to approve the financial statements and budget, which was seconded by Joan Thompson. The motion passed by voice vote.
10:47 – Carol Zimmerman presented the Grounds Report. A handout with helpful information was presented to Manor members. Carol thanked members (by name) for their contributions to the tables and tree funds, the park sod and tree removal repair, and the umbrellas and pier pots. Carol described 2019/20 as a rebuilding year mostly dealing with infrastructure. Through the grounds committee, we now have a furniture plan, scheduled swim area lake weed removal, a replaced lifeguard canopy and a fund to deal with tree replacement. Grounds were put in a better financial place as it now has a budget and checks and balances in paying bills. Three bids have been obtained with good results. The cost of the lake weed removal was within budget after multiple bids were obtained with wide ranging amounts. The power-line is going to be buried this fall as it currently runs through a tree and the tree is in poor condition. The piers will need to be reviewed as well as storm surges and wake boats can cause significant damage. It is hoped that none of the contingency funds will need to be spent but they are good to have.
A grounds survey was presented with more than half of the members responding. There is much support for how things were done to date in order to keep the park private during COVID conditions. The floor was opened to questions and there were none. [CLICK here and here for reports handed out at the meeting]
10:57 – Bob Nordhaus presented the Boat Pier Committee Report. The boat pier and boat pier waiting list and a financial recap were presented to the members. Bob’s report generally focused on the cost of repairs to the pier, namely $25,000 in 2019 and $20,000 in 2020 that were paid from funds on hand. Bob stated that the committee had $18,198 on hand as of June 18. The floor was opened to questions. [Click here for report handed out at the meeting]
George Kennessey wants to see the boat system made more equitable and motioned to cause the Board to add a fifth member to the Boat Pier Committee. Michael Vogel seconded the motion. Discussion ensued.
Joan Thompson said that she waited 20 years to get a boat pier and she felt sorry that people seem to feel that it is not equitable now for new owners ask that changes be made. She said it would be more unfair to have people removed from the pier after waiting their time. President Read said things were been done in the past to make the Boat Pier Committee more transparent but they are not working today. Pete Petersen wanted to back up and talk about the past and indicated that the Manor Association had discussed every type of system regarding boat use and to add a fifth person to the Boat Pier Committee. He stated new owners should know the rules when they bought their house and should understand them. Tom Nickols indicated that it is neither the Manor Association nor the Boat Pier Committee’s obligation to see that each new Manor resident understands the rules. Paula Pezza indicated that changing the rules would not add to additional equity to one’s home and might in fact hurt value as a homeowner would not know whether or not they were going to have a permanent slip if the rules changed. George Kennessey noted that it takes somewhere as long as 20 years to get on the boat pier. He further did not understand why a single member can have both a wave runner ramp spot and a boat slip with multiple uses while other members have nothing. He was amenable that the 5th member be a boat owner with a spot on the boat pier. Jay Kleiman indicated that slips are available for rent at similar prices and the Geneva Inn has slips available and is within a 5 to 10 minute drive. Mike Vogel indicated that there should be a five person committee and that transparency and best practices and should be sought by the members. Marya Gibbons indicated that a five person committee should be voted on and that it costs them $4,500 a year to have their boat in the water at another location. Marcy Hollmann indicated that partnerships are good and it is good for 2, 3 or 4 persons try to partner.
The Board decided not to take a vote on the motion as it was the Board’s understanding that a 5-member Boat Pier Committee was required by the Bylaws and that adding another member was not problematic. Therefore, this matter was not voted on by the Members and a 5th member will be added to the Boat Pier Committee.
11:12 – Due to potential thunder storms, the order of the meeting was modified so that the vote for new members could be completed. Marya Gibbons, Mary Myers and Matt Scheffler made presentations. The votes were presented to be counted by Tom Nickols and Steve Garrels at 11:19.
11:20 – Jenny Heaton presented the Entertainment Report and was identified as the architectural review member of the Board. She said that COVID related cancellations were a disappointment but said that the Teddy Bear and Easter Egg hunts in home windows were well received. There were no questions.
11:21 – In unfinished business, President Read thanked Tom Nickols and Carol Zimmermann for their help on the Board as retiring Board members.
11:21 – New Business – Ken Monico made a motion for a specific gathering in the Park for a wedding of up to 30 people on August 13. The park has generally been closed to group gatherings due to COVID 19 (including the cancellation of the annual picnic). George Zimmerman seconded the motion and discussion ensued. Various discussion between President Read, Pete Peterson, Tom Langer and Marya Gibbons continued regarding the opening of the Park, following State guidelines (50 people outdoors) or limiting the approval to just the one event. The motion was approved on a voice vote. After the vote was approved, it was asked whether Coffee in the Park could be reinstated and there was no objections from the Association.
11:25 – Introductions of the Members. This item, generally done at the start of the annual meeting, was postponed due to weather concerns. President Read began by introducing herself and describing her family.
11:26 – Pete Peterson, rather than introducing himself, took the microphone and sought to motion to limit the assessment of any lot owner to no more than 6 lots, indicating that the Wilkin family has 14 lots for which they do not use the Manor Park. There was no second to the proposal. Joan Thompson indicated that there should be no vote on the matter without financial information being available. Paula Pezza motioned that the Association should consider Pete Peterson’s proposal as an agenda item at the next annual meeting. Joan Thompson seconded the motion. The vote passed with a number of no votes being cast.
11:34 – The new Board Members elected were Jenny Heaton, Mary Myers and Matt Scheffler.
11:36 – George Zimmermann motioned to adjourn the meeting and Wayne Reuter seconded, and by vote the meeting was adjourned at 11:36 a.m.
David Pezza, Secretary