Antlers Gulch Townhomes
Condominium Association, Inc.
Annual Membership Meeting
October 17, 2009

Meeting Minutes
www.kttrhoa.com

I.                    The Annual membership meeting of the Antlers Gulch Condominium Association was held on Saturday, the 17^th day of September 2009 at the Keystone Center in Keystone Colorado.

II.                 Those present at the meeting were:

Those represented by proxy were:

66.9% of the membership was represented either in person or by proxy creating the necessary vote to reach the quorum so the meeting went on as planned.

III.               Proof of the annual meeting notice was presented and a roll call was taken. Following that, the Annual meeting minutes of the 2008 annual meeting were reviewed and officially approved for the record with no additions corrections or deletions.

IV.              Reports

Mr. Mark Black gave a report of the most notable maintenance projects that have been completed during the year as well as those that are currently underway or planned in the near future. These are listed below.

The driveway snowmelt system has been decommissioned as planned and winterized with glycol in the case the HOA ever decides to reactivate them. There has been a significant savings in the natural gas account as a result of this project.

All roof system heat tapes have been inspected and repaired as necessary so they are ready for the upcoming winter season.

The Fire Sprinkler system has had its annual test, inspected and certification. There were minor corrections that were necessary and completed.

The boiler systems in all buildings were recently completed. These too had minor corrections, pump replacement and repairs. There is work scheduled on building five boilers and the parts are on order and this work is in progress.

Most all tree stakes have been removed form the trees. There a few that still had to be taken out that we had difficulty with. The site was extensively cleaned up in the early part of the summer and this included all the debris that was left around the dumpster enclosure.

Dead trees were removed and replaced and we weed whacked the entire property several times over the course of the summer.

We plan to extend the irrigation system to the green-scape area in front of building five and plant that area with small trees and shrubs to provide a landscape separation between our property and the site out front.

We also plan on extending electrical power to the monument rock at Hwy 6 to illuminate the entry sign. This may be done by hardwiring it from existing power sources in front of building one or solar lighting. The original power source was from a meter drop at the commercial site but was disconnected by that owner when that property was purchased and scheduled for redevelopment.

The east hot tub has been replaced and the west hot tub is scheduled for replacement in 2010 however it is currently working and the board has decided to postpone that capital purchase until it is absolutely necessary.

The spa enclosures were repainted and we stained the exterior of the tubs themselves including the stairs leading to them.

The disinfection system in the east tub was converted from hydrogen peroxide to bromine and this will also be completed to the west tub.

We are currently researching the necessary changes to both hot tubs so that they are compliant with the Virginia Baker Graham act concerning flow and pressure rates.

The east tub gate was repaired and functioning and the west tub gate repairs are in progress.  They should be completed next week.

Pigeons nesting at the project have become a problem and we have been spending a lot of time eradicating them. This is nearly complete so we will close the holes in the soffits in building five and install some plastic screen meshing. This will prevent the pigeons from accessing these areas and hopefully find another roost.

The gutters will be cleaned out on building five at the time the soffits are closed up.

V.                 Review the 2009 Estimated Year End Financial Statement of Operations

The General Operating Fund is expected to have a year end surplus of approximately $17,030. This savings, (30% from budget, approximately $15,000 ) is primarily due to the savings in natural gas because of shutting down the driveway heat. The other factor was spending less than expected on the Vail Resorts bus service since this service is being discontinued as of October. Minor savings were achieved in other expense line item accounts and there were no significant unfavorable variances from the budget.

The projected Reserve fund balance at the end of 2009 is expected to total $75,992. The fund balance at the beginning of the year was at $38,586. Contributions of $37,352 are being made this year (which includes funds owed from 2008). Unfortunately, interest earned on reserves was minimal as interest rates are very low. There were no capital expenses made from the fund this year.

VI.              Election of the Board of Directors

There was no interest from the floor for serving on the board and there was none expressed on any of the proxies. The current board members all indicated their willingness to serve again on the board. The vote was placed on the membership and the current board was re-elected for another one year term.

The board members for 2010 are:

Brad Luth                           President
Kary Langer                       Vice President
Gary Santarcangelo            Treasurer
Don Ramey                        Secretary
Francois LeDantec             Member at Large

VII.           Insurance review

The Antlers Gulch property and Casualty Insurance program is currently with American Family. Our agent is Leslie Weise with from the Frisco office (ph: 970-668-6600)

The total premium for the year is $7437. The policy is Broad Form All Risk and the current Replacement cost coverage level is at $10,107,281. This represents a cost per square foot value of $285.57

The policy includes a Comprehensive General Liability limit of  $2,000,000 as well as an additional endorsement for Directors and Officers Liability.

The deductible on the policy is $2,500.

The anniversary date for the renewal on the policy is February 19, 2010. Key To The Rockies will seek competitive bids right after the first of the year.

There have been no significant claims made against the policy in 2009.

VIII.        Ratification of the 2010 Budget

The proposed budget for 2010 was presented and there was some discussion and questions and answers on each of the line items. The budgeted operating expenses are anticipated to be less than last year primarily due to the Transportation expense omission and the savings achieved in the Utilities accounts. Most of the discussion centered on whether or not to accept the proposal as presented which represents a 10.63% decrease in expenses and dues or, to do one or two of the following. Keep the dues at the current level and contribute the savings to the Reserve Fund or, take half of the savings to reduce the expense and dues and make a contribution to the Reserve Fund for the other half. After some discussion, a motion was made, seconded and passed to take half of the savings and contribute it to the Reserve Fund and reduce the overall budgeted expenses for the 2010 budget by the other half.

The budget proposal will be amended to reflect this change, submitted to the board for final approval and distributed to the membership.

IX.              Old/Unfinished Business

Questions arose from the group on the development plans for Tract B owned by Rookus Capital. Mike indicated that the property is pending foreclosure by Alpine Bank, the lien holder; however the foreclosure process has been continued time and time again. Mike presented a copy of the PUD Agreement and distributed it for review. It was decided that the board, with the assistance of Scott Snyder will approach Alpine Bank and discuss this property in an effort to learn the facts about its financial situation.

Ms. Gibbs expressed her concern about excessive hot water temperatures in building 4. Mark indicated that he will immediately look into it and have it corrected. Breckenridge Mechanical has just completed their preventive maintenance inspection of the boiler systems however this was not noted as a problem.

X.                 New Business

The high soffit lights in the center entryways are very difficult to change out because of their location. KTTR is working with Kary Langer to identify a better type of bulb that is long lasting and uses less power than the existing high pressure sodium.

Mr. Black indicated that KTTR is now installing Carbon Monoxide detectors in all its managed properties to become compliant with state law. After some discussion, the board decided that it is in the best interest of all owners to have units comply with this requirement since the property is heated with natural gas boilers and the presence of natural gas fireplaces in all the properties.

A motion was made to have KTTR install CO detectors in all units with a Kidde model AC powered, battery back up unit which meets the requirement of the new law. The cost of these units will be billed back to each owner respectively.

Mike Magliocchetti recommended that the association reconsider their policy on exterior window cleaning for fiscal year 2010. Especially now that we have seen some savings in the overall operating expenses. Some owners have contracted for this on their own but many of the properties windows have ever been cleaned.  He indicated that it would be more cost efficient to have them all done at once than to have each owner pay for it themselves. The board agreed and asked Mike to get competitive bids for spring of 2010 to have the whole project done at once. The screens will also be turned inside out so that the window cleaning personnel can remove the screen to get at the window without entering the unit. The bid will be to do the exterior only.

Mike also recommended that the association consider purchasing heated mats for the entry into the hot tub areas leading from outside the gate into the spa area in front of the steps to the spa. These mats are used extensively at other projects with great success in minimizing the slip and fall exposure. They will be particularly helpful for the AG spa entry areas as the drainage in these areas is inadequate making it difficult to keep the walkways ice free at all times. AC power already exits in the spa areas so no electrical modification will be necessary. The board authorized Mike to proceed with this project as an expense from the reserve fund.

It was suggested to rotate the west hot tub cover so that it doesn’t disrupt the view of the mountains when sitting in the tub and KTTR agreed that they will assess this and attempt to modify the cover to accommodate this request.

The last item discussed was a suggestion from Kary Langer that KTTR research a process called “Pipe Shield” that coats the inside of all the copper piping to protect it from wear from the water circulation. The process actually coats the inside of the pipe with an epoxy resin thereby preventing pin hole leaks. This has been a problem over the past few years and perhaps this process could be a solution to this issue.

There being no further business to discuss, the meeting was adjourned at approximately 11:30AM

Respectfully Submitted,

Michael J. Magliocchetti
Property Manager

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