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These Minutes Are Unofficial and May Contain Errors and Omissions. They DISCLAIMER These minutes are unofficial and may contain errors and omissions. They will become official after any corrections and upon approval by the Members of the Hidden Valley Foundation at its next annual meeting on November 21, 2015 ANNUAL MEMBERS MEETING MINUTES HIDDEN VALLEY FOUNDATION, INC. NOVEMBER 22, 2014 President John Newport called the twenty –fifth Annual Members’ Meeting of the Hidden Valley Foundation, Inc. to order on November 22, 2014 at approximately 10:00 a.m. Directors Seated: John Newport, Lauri Jones, Douglas Brown, Mauvaleen Jones, Robert Kollar, Jeff Coulter, Mike Mohr, Eric Mauck, Chris Sherbine, Dave Runco (Alternate), Alice Johnston (alternate), Chris Umble (alternate). Directors Excused: None Quorum of Directors Present: Yes Also present was Mary Ann Powers-Sherrin, Executive Director, Hidden Valley Foundation. President Newport stated the first item of business was to establish a quorum. Secretary Johnston reported that the HVF By-Laws state that 1/10th or 10 percent of the total members entitled to vote shall constitute a quorum. Ten percent of 1175 members would be 117.5. As 344 valid proxies were received, a quorum is established to hold the 2014 HVF Annual Members’ Meeting. President Newport thanked the staff who worked so hard on the Annual Meeting. Newport called for a motion to accept the agenda as presented. RESOLVED: ________________made a motion to accept the agenda as presented. _______________seconded the motion. No discussion was held. All members voted in favor of the motion and the motion carried. Newport called for a motion to accept the minutes of the 2013 Annual Members Meeting as presented. RESOLVED: ________________made a motion to accept the minutes as presented. _______________seconded the motion. No discussion was held. All members voted in favor of the motion and the motion carried. Treasurer and Auditor Reports: 1 Treasurer Robert Kollar gave a presentation on the financial position of the Foundation as of the fiscal year end 2014. Kollar stated that the Foundation’s By-Laws require an annual audit of the Foundation’s financial statements by an independent CPA firm. The Foundation again received an unqualified or “clean” opinion, indicating that the Foundation’s financial statements have been prepared in accordance with Generally Accepted Accounting Principles (GAAP). Kollar emphasized the importance of the unqualified opinion, as it provides banks and other lenders a high level of comfort when making loans to new buyers of Hidden Valley units. A Governance Letter was issued which was reviewed by the Audit Committee. The auditors did not find any issues with internal controls or any issues of concern. Kollar reviewed the purpose of the Audit Committee. They recommend to the Board who the outside audit firm should be. The current audit was prepared by Stenger, Bies and Co., Inc. who are CPAs based in Pittsburgh who specialize in auditing homeowner associations. The Audit Committee provides information to the auditors prior to the audit. The Committee reviews the financial statements prior to sending them to the auditors. Kollar gave recognition to the Audit Committee membership: Bob Armen who is the Chair, Kelly Kuhleman, and Mike Roberts. Kollar reviewed the financial highlights for the year, including review of the financial results in comparison to the budget. He elaborated expenses were under budget and surplus funds to be transferred into reserves were in excess of the budgeted amount which was contributed to a lower cost for snow removal. Financial results: 98% of the revenues derive from homeowners; the remaining 2% comes from items such as late fees and interest bearing accounts. He elaborated 75% of expenses are in five key areas: snow removal, labor, grounds maintenance, security and utilities. Kollar stated the Foundation is in sound financial condition. The balance sheet reveals assets amount to $2.7 million which is about a $300,000 increase from last year. Reserve funds or board designated replacement fund is used to take care of the community and covers existing assets based on a reserve study. He also explained the investment process for reserve funds. Kollar elaborated on how and where the reserve funds are spent. Over the next 5 years reserve fund expenses will include streets and light pole replacement in stages. Kollar also reviewed the purpose for a reserve study which covers a 30 year period. Finance Committee Report: Robert Kollar, Chairman, reported the Finance Committee was involved in developing and monitoring the budget and watching the finances and making recommendations on the investments for the Foundation. Kollar gave recognition to the Committee membership: Bert Ries, Chris Umble, John Cupps, John Eddy, Dave Oster, and Sam Rockwell. 2 Kollar ended stating the Foundation has a strong balance sheet; unqualified “clean” opinion on financial statements, no debt, budget process consists the needs of the community and two strong committees (Audit and Finance) watching over the finances. Executive Director’s Report: Ms. Powers-Sherrin, Executive Director of the Foundation, gave her report. She addressed work done on-site and presented a power point presentation summarizing occurrences over the year. Those items included improving the budget, reserve study and the completion of the latest audit. The South Ridge Center received an upgrade of the reception area and kitchen in the great room. The offices and restrooms were also painted. Spring and fall flowers baskets were hung and upgrades around the pool. The newsletter was upgraded and work is being done to upgrade the website. Video conferencing was also installed for communications with FirstService Residential staffing. Her presentation provided pictures of projects done by the HVF Maintenance Department. Powers-Sherrin elaborated on future goals and making the community a desirable place in which to reside or purchase. Finally, she thanked the Board of Directors for their guidance, the Condo Associations, the Committees, and the office and maintenance staff. Audit Committee Report: The report of the Audit Committee was covered in the presentation by Mr. Kollar. Architectural Control Committee Report: Mr. Richard Kalla reported for the committee. He stated the Committee continues to work diligently to improve and maintain the integrity of the community. Maintenance Committee Report: Mr. Douglas Brown, Chairman, elaborated on the paving and storm water improvements and continued work on storm water maintenance. Saddler Way and Westridge are projects to be addressed next year along with the walking paths which will take place over the next three years. ADA compliant sidewalks will be the goal in that the walking paths will be widened and areas where there are two steps will be ramped. Brown stated an excavator was purchased. He stated the landscaping plan will be implemented and overgrown vegetation will be removed. The older parts of the community will be addressed first and the entire community should be improved within the next three years. Brown recognized Brian Hofer, HVF Maintenance Supervisor for his endeavors in operating/supervising the Maintenance department. 3 Rules and Regulations Committee Report: Ms. Mauvaleen Jones, Chairperson, reported that the Rules and Regs Committee was not very active this year. She intends to reconvene in January and get more input from FirstService Residential and Seven Springs. Social Committee Report: Ms. Janet Gallagher, Chairperson, reported on the Committee’s events for the past year. She thanked the Committee membership and volunteers for their time and efforts. She also thanked the office staff, the maintenance staff, the security staff and the lifeguards for all their help over the past year. She stated there is a handout available in the packets for upcoming events. She stressed timely reservations are needed for the Social events. Recreation Committee Report: Ms. Nancy Oppermann, Co-Chairperson and Ms. Erin Mikolich, Co-Chairperson, both reported for the Committee. Mikolich elaborated on upcoming events and stated there are some new events being planned. She encouraged new membership and volunteers to help with the events. Oppermann elaborated on the upcoming Benedum Theater event. She stated there is a hand-out in the packets of activities the Recreation Committee has planned. President Newport called for a motion to accept the Treasurer’s report and Committee reports, as presented. RESOLVED: Lynne Rackley made a motion to accept the Treasurer’s and Committee reports, as presented. Vince Cannella seconded the motion. There was no discussion. All of the homeowners voted in favor of the motion and the motion carried. Nominating Committee Report: Ms. Mauvaleen Jones, Chairperson, for the Committee reported. She announced her Committee comprised of David Oster, Janet Gallagher and herself met and discharged its responsibilities under the Foundation By-Laws and nominating Committee policy. All of the 2014 Board of Directors Candidacy Applications were reviewed, and all were confirmed to be valid and appropriate and forwarded to the Board of Directors and Foundation office for inclusion on the ballot for the election. A random drawing was held at the Foundation office to select ballot positions. Election Committee Report: Bill Thompson, Chairman, recognized and thanked the Election Committee members. The Committee processed approximately 350 ballots with the following results: Bob Kollar, Alice Johnston received the most votes and will be voting
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