Minutes of the Board of Trustees Meeting

Wednesday, January 25, 2006

5:00 P.M.

Norman Salisbury called the meeting, convened in the Community Room, to order at 5:00 p.m.

Residential Trustees present and participating: Norman Salisbury, John Patton, and Mike Gravitz.

Commercial Trustees present and participating: Larry Shelton, Donna Boes and Taymour Semnani.

Excused: Sandra Lee Sterns

Approval of Previous Minutes

The Minutes of the November 2, 2005 Board of Trustees Meeting, upon motion duly made and seconded were unanimously approved.

Finance Committee

The Financial Statements for December 31, 2005 were reviewed by the Manager. The Association reported an unaudited operating surplus of $37,004 Year-to-Date as of December 31, 2005. The Common Reserve Fund has an unaudited balance of $222,126 and the Residential Reserve Fund has an unaudited balance of $262,657 as of December 31, 2005. The Board also reviewed the delinquency report.

The Finance committee met on January 18 and reviewed and recommended approval on a number of items. The committee reviewed proposed updated data for a renewed reserve study for both of the reserve funds. This data will be submitted for us to receive draft report for review before a final report is prepared.

The committee also reviewed a chiller maintenance agreement from the manufacturer of the chillers, Carrier Corporation. The agreement has a term of five years and a cost of $7,076 per year. The committee reviewed a comparative analysis of pay as you go maintenance of the chillers vs. the proposed maintenance agreement and the cost of the agreement was moderately less. In addition, the agreement also provides mechanical warranty for all parts of the chiller during the term of the agreement. Without the agreement, any mechanical failure of any part would be paid separately by the Association. The committee recommended approval of the agreement.

The committee also reviewed a service agreement from Wasatch Electric for the new fire alarm system which provides for testing of all devices annually, with quarterly maintenance and staff training. The cost of this agreement is $3,803 per year and is substantially less than any prior service agreement. The committee recommended approving this agreement to begin on May 1, 2006 which is the beginning of our fiscal year.

The committee reviewed a draft of the proposed 2006-2007 operating budget and prepared for further analysis of the budget in coming months prior to final approval.

Building Improvement Committee

Mike Gravitz reported that the ongoing monthly testing for Legionalla bacteria was showing good results. Even though we still have the bacteria, it is far below dangerous levels recommended by OSHA and that our water supply lines, pumps and storage continue to test free of the bacteria. It still remains in small amounts in the return lines of the hot water recirculation system.

The plaza construction is behind schedule but is due to be completed by mid-February. One remaining area to be waterproofed is the loading dock area of the north tower. It is believed that this area is the last remaining area that may be the source of the dripping water near the north tower elevators on P1. There is additional waterproofing to be done near the Commercial lobby entrance from the plaza which may also require replacing the glass and doors of the lobby.

The committee also reviewed and recommended approval of the chiller maintenance service agreement from Carrier and the fire alarm system maintenance agreement from Wasatch Electric. It was reported that nearly all of the fire panel supervisory troubles and faults have been repaired and removed. Some additional testing will be performed prior to the start of the maintenance agreement.

The committee also reviewed a proposal to replace and upgrade our domestic hot water pumps with a new pumping station equipped with energy efficient variable speed motor drives. The energy savings would pay for the new system within ten years. The committee requested that application be made to Utah Power for participation on the energy saving equipment and that they perform the study on actual energy savings and the payback period of the project.

Chiller Maintenance Agreement

Upon motion duly made and seconded, the Board unanimously approved the chiller maintenance agreement with Carrier Corp.

Proposed Rules for Remodeling

The Board reviewed the proposed rules for remodeling which had been published in the newsletter for comment. Owner Kelsey Tyson submitted some very good comments in writing and proposed some additional rules. The Board decided to further evaluate the new proposals and to incorporate the relevant portions into the new rules prior to final approval of the rules.


The meeting adjourned at 6:00 p.m.

Respectfully submitted,

Mike Gravitz