FAIRLINGTON ARBOR COUNCIL OF CO-OWNERS

BOARD OF DIRECTORS MEETING

JULY 27, 2004

MINUTES OF MEETING

BOARD MEMBERS PRESENT: Pat Schoen, Jincy Boerner, Yvonne Calzada,

Wendy Deker, and Marilyn Beck

BOARD MEMBERS ABSENT: None

MANAGEMENT PRESENT: David Pollard, Facilities Manager

Mike Maloney, CFM Manager

FINANCE COMMITTEE PRESENT: None

HOMEOWNERS PRESENT: Jacque Johnson

The President began the meeting at 7:02 pm.

ACTION ITEMS:

Minutes of the June 22, 2004 Board Meeting were approved.

The Board discussed a homeowner's request for modifications at 3632 S. Taylor Street. There's a question about the placement of the kitchen exhaust vent which David Pollard will supervise for proper placement. Based on the exhaust vent passing inspection, the Board approved the modification plans.

REPORT OF OFFICERS:

Marilyn Beck, VP Community Affairs, reported that lap lane and diving well ropes were replaced at the pool. There were minor maintenance issues at the pool which David Pollard has resolved. The pool rules sign for the entrance of the pool is being updated.

Wendy Deker, VP Grounds, reported diseased crabapple trees in Court 5. There is also a dead maple behind Court 4. Action will be taken on these items. There is a dead tree inside a resident's patio in Court 11. David has spoken with the owner and it will be removed.

Yvonne Calzada, VP Buildings, reported that the carpets in the common units have been shampooed. Residents are requested to exercise care to avoid soiling and staining the carpets.

Jincy Boerner, Treasurer, reported that our monthly finances are doing well. The recommended budget for fiscal year 2004/2005 was presented and discussed at length. The Finance Committee was invited to attend the Board meeting to discuss the proposed budget, but no Committee member attended.

NEW BUSINESS

David Pollard received a complaint regarding teenagers congregating during late night and early morning hours drinking alcoholic beverages. A notice will appear in the Newsletter to encourage residents to contact the Arlington County Police if such activity is observed.

Residents at 3440 S. Utah Street have asked permission to do extensive landscaping outside their unit. A letter will be sent asking for more detail of their plans with regard to shrub removal and/or replacement and flat rock landscaping. The Board will reconsider the request after such information is received.

PROPOSED BUDGET FOR FISCAL YEAR 2004/2005.

Jincy Boerner, Treasurer, took this opportunity to explain to the Board the budget preparation process. The Treasurer, with the assistance of David Pollard, work on proposed budget figures based on David's expertise and knowledge of Arbor maintenance, his working with various contractors over the years, and assessment of future projects. This provides the basis for projecting budget costs. The Arbor uses no arbitrary outside standard to estimate budget figures nor do condo fees increase based on government inflation. Condo fees are raised only when necessary. Over a nine-year period, from 1994-2001, there were no assessment increases. In 1996 with a Reserve Balance of $1,583,577, the Arbor started the expensive roof replacement program of which 17 of the 29 roofs have been completed, the pool has been white-coated and tiled; the tennis courts refurbished, and the parking lots will have been milled and paved for a total expense of $1,670,000. In light of this expense, the Arbor will still maintain a healthy Reserve Balance of $1,332,344 at the beginning of next year's budget. Common sense in budgeting and planning, rather than an arbitrary formula, has served Arbor well.

Following her budget preparation explanation, Jincy reported that she, along with David Pollard, met with the Finance Committee to discuss the proposed budget for 2004/2005. The Board reviewed the Committee's recommendations, but without any discussion from the absent Finance Committee members, the Board did not approve their recommendations. The 2004/2005 fiscal year budget will be presented to the Homeowners for approval in September at the Annual Budget Meeting.

The Board convened into executive session.

Following the executive session, there was a motion to adjourn the meeting, seconded, and the meeting was adjourned at 8:05 p.m.