Condominium La Jolla Cluster I

Condominium La Jolla Cluster I Annual Ordinary Homeowners Assembly November 5th, 2016

The Annual Ordinary Homeowners Assembly is held at the Arroyo Seco area in La Jolla.

First call is made at 7:30 AM, and the required quorum of 90% is not met; second call is made at 8:00 AM, the required quorum of 51% is not met. Third call is made at 8:30 AM, and the meeting is officially opened with an attendance of 65.48 % of the total surface area.

Attendants are welcomed and the process for the conduction of the meeting was explained.

AGENDA

I. OPENING

 Registration of Homeowners or proxies. Homeowners and proxies registered upon arrival and the quorum obtained for this assembly meeting is 65.48 %

 Election of Chairman of the Assembly Bill Shurtleff E208 is nominated and appointed as Chairman of the Assembly.

 Election of Tellers Bill Deatsch G-101 and Bonnie Robertson F-109 are nominated and appointed as Tellers of the Assembly.

 The Manager will act as Secretary (Bylaws, Art.65). She shall appoint the person who will take the official minutes. Sofía Elizabeth Briones Cavazos as Manager appoints Claudia Patricia Valdés Hernández to be the person who will take the official minutes.

 Introduction of the Board of Directors and the Manager.

Bill Shurtleff introduced the members of the Board. Billy Keith Shurtleff and Michael William Joyce leave the Board this year. They thanked the other members of the board and all the staff. Their good job was appreciated by all the homeowners.

 Homeowners’ Approval of last year’s Minutes. Ken Kimble made a motion to approve last year’s minutes. Motion made and seconded. Unanimously carried.

 Approval of the Agenda. Ken Kimble made a motion to approve the Agenda of this meeting. Motion seconded and carried. Unanimously carried.

La Jolla Cluster I Annual General Meeting 2016 Page 1 of 6 II. OFFICERS REPORTS

1. Manager’s Report .

Sofía introduced all the staff and informed about the projects that were done during the summer season, which are as follows:

 Retile hallways of F and G Buildings  Emergency Generator lighting project for Hallways  Repair and replacement of terrace caps and window sills  Cleaning of steps on E, F and G Building  Carcamo and Water treatment plant deep cleaning  Purchase of new furniture for pool area  Turtle Training program for staff  Deep cleaning on both pool sidewalks  Maintenance and painting of parking lots, sidewalk and speed bumps.  Repairs due to Hurricane Newton  Maintenance to the entrance on both sides

Mauricio Tassier was recognized for his hard work and help after hurricane Newton.

2. Board of Directors Report and Approval by the Assembly of all actions taken by the Board of Directors from November 8th, 2015 through November 4th, 2016.

The attendees were informed all the actions of the Board of Directors, among them the Board had a meeting with the Residential Condominium due to their lack of participation on the shared costs for several common facilities due to claims about money, and the relationship with them was severed. The Lomas Condominium is suing Residential due to the same causes. The formula of the shared costs must change to Bel Air’s new units.

A motion was made to approve all actions taken by the Board of Directors from November 8th, 2015 to November 4th, 2016. Motion was seconded and approved unanimously.

3. Finance Report by the Treasurer and approval by the Assembly of the 2017 budget & assessments.

Ken Kimble D-307 asked for approval of the entire budget because the government so require it.

Ken explained Mexican IRS changed the accounting system in pesos and requires revaluation of the dollar on a monthly basis. This means maintaining two systems, one on a dollar basis and one on a peso basis. They will be reconciled at the end of each month. During the year, conversion of dollars to peso must be made on a daily basis. It was discussed with the auditor. Due to the peso rise money was saved on peso payments, unfortunately employees received less in take home. A 14% raise in salary was made to make it fair and to keep them.

Furthermore, Ken went through the line items of the budget and answered questions and issues brought up by the attendants. He also would look into the suggestions made in order to keep the budget within reasonable costs.

La Jolla Cluster I Annual General Meeting 2016 Page 2 of 6 The attendees acknowledged and appreciate Ken for his hard work.

Nancy Sheets F-108 moved to approve the 2016 and 2017 budget as presented. Seconded by Neal Lucht D-107. Motion passed by a majority.

Total budget approved for 2017 is $601,600 dollars.

Ken Kimble informed the dues remain the same this year.

Annual dues for 2017 will be as follows:

Studios $2,498.38 dollars 1 Bedroom $$3,594.92 dollars 2 Bedroom $5,294.76 dollars Penthouse $$12,128.54 dollars Garages $300.00 dollars

III. NEW BUSINESS

Lori Guichon’s proposal for a washroom on the common areas to be located on the Arroyo Seco area.

Lori Guichon presented her rational for location and building for the washroom, addressing concerns such as quality of construction matching exterior complex architecture.

Lori stated that the best location for the proposed washroom would be the East corner of the Arroyo. This was chosen because of access to services required such as sewer, water and electricity and convenient access from both pools. The size would be 10 ft x 12 ft. It will include 1 male and 1 female washroom, and the approximate cost would be $12,500 dollars.

Lori makes a motion in order to approve the proposal for a washroom with the specifications described above. Motion was seconded by Tony Guerard D-208.

Discussion took place regarding issues regarding such a project. Concerns were raised such as who will be using the bathroom, its location, reducing the size of the washroom by 10 ft x10 ft, whether it will cause odors, and if it will decrease the value of the area and units nearby.

Lori Guichon withdraws her motion in order to make a new one. Lori Guichon makes a new motion to vote yes or no on building a washroom. Motion was seconded by Christine Kellerman F-207.

Discussion followed. Then the motion was called voting took place. Vote result for the motion to build a washroom or not is: Yes 37.06%, No is 52.58%, Abstain 10.26%. Motion is defeated.

Marge Hedge´s proposal for the demarcation of the beach concession

La Jolla Cluster I Annual General Meeting 2016 Page 3 of 6 Marge Hedge makes a motion on her proposal for the demarcation of the beach concession. The motion was seconded by Brenda Stevens E-203. Discussion followed regarding the pros and cons the ropes and how they would prevent or not the cutting through the property and the option of having signs instead.

Marge Hedge withdraws the motion.

Marge Hedge makes another motion to put markers on the sides, but not across the front of the beach concession.

Discussion followed and motion was passed and votes were as follows: Yes 52.90; No 34.66; Abstain 12.44%.

Scott Currie E-105 proposal on asking the Board of Directors to study the possibility of the creation of a deck on our garden area by the shower. Bill Shurtleff asked the Assembly to raise the hand if they were in favour of the Board to study Scott Currie´s proposal. A majority of hands was raised.

Board announcement: The creation of a committee to research on the improvement of the phone, internet and TV services for the complex.

Ray Robertson suggest to have this committee work as soon as possible.

Approval of next year’s Administrator

Ken Kimble made a motion to have Civil Association II as the administrator for Civil Association I for 2017. Motion was seconded by Ray Robertson. Motion approved unanimously.

Summer 2017 proposed projects:  Upgrade communication system.  Repair/replace window and sills caps around the complex.  Carcamo and Water treatment plant deep cleaning.  More slings and chaise lounges if needed.  Termite issue was discussed.

Report of the Nominating Committee

Scott Currie E-105 informed that three members of the Board of Directors needed to be elected. The list of nominees is as follows:

Ken Kimble D-307 Eric Stanton F-305 Terren Roloff C-306 Tony Stevens E-203

Ardene Janssen G-103 acknowledged Bill Shurtleff’s hard work during 10 years he held office. Bill was thanked for such excellent work with a standing round of applause.

Mike Joyce was also distinguished for his two-year job in the board.

La Jolla Cluster I Annual General Meeting 2016 Page 4 of 6 Election of members to constitute the new HOA Board of Directors

The HOA Board of Directors is formed as follows:

Keith John Hrubizna – President Terren Roloff – Vice President Richard Paul Rose – Treasurer Anthony Stevens – Secretary Kenneth Edgar Kimble – Member at large

IV. CLOSING

a. Selection of the date for the next annual Assembly Meeting.

November 4, 2017 is proposed as the date for next Annual Assembly Meeting, as well as for the Civil Association I and Civil Association II. Motion seconded and passed.

b. Adjournment Meeting is adjourned at 11:00 a.m.

V. ANNUAL MEETING CIVIL ASSOCIATION I Election of the Board – Three members of the Boards term were up, Bill Shurtleff, Kenneth Edgar Kimble and Michael William Joyce. Terren Roloff, Kenneth Edgar Kimble and Anthony Stevens were elected as new members.

Meeting is adjourned at 11:05 a.m.

VI. ANNUAL MEETING CIVIL ASSOCIATION II Election of the Board – Three members of the Boards term were up, Bill Shurtleff, Kenneth Edgar Kimble and Michael William Joyce. Terren Roloff and Anthony Stevens were elected as new members.

Meeting is adjourned at 11:10 a.m.

Bill Shurtleff made a motion to appoint Sofía Elizabeth Briones Cavazos as the special agent of the assembly to appear before a notary public of her choice to formalize these meeting minutes. Motion seconded and carried unanimously.

CHAIRMAN SECRETARY

______Billy Keith Shurtleff Sofía Elizabeth Briones Cavazos

La Jolla Cluster I Annual General Meeting 2016 Page 5 of 6 TELLERS

______Bill Deatsch Bonnie Robertson

La Jolla Cluster I Annual General Meeting 2016 Page 6 of 6