Seven Lakes Board of Directors

Work Session

May 25, 2006 @ 2:00 pm

President Truesdell called the meeting to order. All Directors were present. Community Manager Fulcher, Asst. Community Manager Beane, Greg Hankins with the Times and two landowners were also in attendance.

Motion was made by Fathauer and seconded by Richmond to approve the minutes of April 20 and 26, 2006. Motion carried unanimously.

Truesdell noted that there is one vacant seat on the Judicial Committee. The current members are Dave Kinney (chairman), Tommy Iorio, Nancy Welch, and Frank Krohn. Dave Kinney will try and recruit someone to fill the vacancy.

Bids to pave the handicap parking area at Sequoia Pt. were received from the following paving companies: Riley Paving, George Denning Paving and Max Paving. The Board selected Max Paving with their bid of $4900. The selection was made via

e-mail vote.

Also discussed via e-mail the opportunity for Pres. Truesdell to have a column in the Seven Lakes Times entitled President’s Corner. This article, in each issue of the Times, would be devoted to Board action in an attempt to keep the community informed.

A formal motion was made by Richmond and seconded by Herman to approve both the bid selection of Max Paving and also the concept of “President’s Corner”. Motion passed unanimously.

Discussion of changes to Rules & Regulations:

Motion was made by Florence and seconded by Herman to purchase a digital camera (not to exceed $250) that the roving patrol can use to help identify and document any subjective violations of the Rules & Regulations that take place in Seven Lakes. This will aid in the proof of any violation should it go before the Judicial Committee. Motion carried unanimously.

Portable on Demand Storage (PODS) units were discussed. Motion was made by Herman and seconded by Florence to allow PODS with the following criteria:

1) Landowner should request prior permission from the Landowners Office 2) The maximum size of the unit is 8x8x16 3) Time restraint of 14 days. Motion carried unanimously.

The parking of Unlicensed vehicles on Landowners property was discussed. Motion was made by Herman and seconded by Hudson that any unlicensed vehicle in Seven Lakes must be garaged. All violators will have 14 days to comply. Motion passed unanimously. This will be inserted appropriately in Rules & Regulations Chapter 5, Section 1 (K).

Tennis Court Surfacing: Asst. Manager Beane proposed an alternative surface to the asphalt tennis court. Flex-court is a new material that initially costs the same as traditional asphalt courts but carry a much longer warranty. Fathauer made a motion to approve an expenditure not to exceed $50,000 for re-surfacing of the tennis courts which would include the following:

1) Flex court supervision to insure application of surface with their recommendations

2) Cost of the actual flex court material

3) Cost to fill existing cracks (in house)

4) Cost to repair/replace portions of the chain link fence

5) Cost to pad the existing poles (possible safety hazard)

6) Representative from the Flex-court company will visit and evaluate our courts. Costs of this trip will be deducted from the original price.

Seconded by Nuti. Fathauer, Nuti, Truesdell voted in favor.

Hudson, Florence, Richmond, Herman voted against.

Motion did not pass.

Stable fees for West Siders: On a motion made by Florence and seconded by Hudson the Board unanimously agreed to offer an Option #4 to the current fee structure for West Siders which will offer five (5) trail rides for $80 &/or five (5) pony rides for $40. This type of pass will be sold at the Landowners Office only. (See attached fee structure)

Purchase of pontoon boat: Community Manager Fulcher recommended the purchase of a 1991 Sweetwater pontoon boat from Seven Lakes Marine for the sum of $1100. This boat would serve as a replacement of our current Security Boat and would be very useful in transporting appropriate maintenance equipment to and from Sequoia island. Motion was made by Nuti and seconded by Hudson to purchase this boat. Motion passed unanimously.

Committee Reports:

Recreation Committee: Playground advisory committee has been formed and headed up by Laura Douglass. The rec. committee will be retrieving information in the current landowners registrations to help in identifying the number of Seven Lakers in various age groups. (see attached)

Architectural Review Board: Approval of (5) new homes and (12) requests for alterations and additions. (11 of which were approved)

By-laws Committee: Nuti reported that his committee is up and running and consists of George Stahl, Ray Pardue and himself. This committee will be revising the by-laws in an attempt to “make them understandable”.

Maintenance Committee: Nuti reported that the committee includes Norm Ihrig, Jay Kenzel, and Andy Lowe. First priority is addressing the condition of the maintenance yard and the storage of various chemicals. Also will strive to be more responsive to residents and their maintenance concerns.

Security Committee: Florence stated that many questions were still being raised as to why the board decided to contract security with Security Forces Incorporated (SFI) rather than continuing to run security in house. Florence will write an article in the Seven Lakes Times explaining this transition in more detail.

Roving patrol will continue “in house”. Mickey Lewis and Carolyn Turner, two former gate guards, will serve as our roving patrol guards.

Community Watch meeting will be held mid June. Notices will be posted in mail houses and Interlake.

Finance Committee: Hudson reported that 2005-06 revenues of $1.3 million has exceeded expenses of $1,159,000 leaving a surplus of $162,000. (see attached financial statement)

Community Standards Committee: Committee has been formed and Donna Stephan has been delegated as co-chair in the absence of Herman. 12 items were reported via phone calls to office or thru the committee. 5 have been handled with phone calls.

Additional Items:

Yard Debris Disposal Site was discussed. Superior tree has fallen behind in hauling the debris out of Seven Lakes. A dumpster for construction debris has not yet been placed at the site but we will follow up as soon as possible.

Executive Session: Pres. Truesdell called for executive session and excused the two landowners. Hankins (media) had left the meeting prior to executive session.

- Echo dam: Discussion followed on how to cover the costs of repairs to Echo dam. Special assessments, dues increases, as well as loans were discussed but no action was taken at this time. Directors stressed that they are somewhat displeased with the progress or lack there of, of the engineering firm’s actions.

With no further business, the meeting was adjourned.

Respectfully submitted,

Chad C. Beane

Assistant Community Manager