AMERICAN TOWERS OWNERS ASSOCIATION

Minutes of the Board of Trustees Meeting

Wednesday, February 23, 2005

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, Mike Gravitz and Sandra Lee Sterns

Commercial Trustees present and participating: Larry Shelton, Donna Boes and Steve Tester.

Management present and participating: Joe Toronto

Approval of Previous Minutes

The Minutes of the October 27, 2004 Board of Trustees Meeting, upon motion duly made and seconded were unanimously approved. It was reported that the proposed changes to the Rules and Regulations detailed in the these minutes and previously published in the newsletter were subsequently approved by the Board by unanimous written consent effective as of February 1, 2005.

Financial Statements: January 31, 2005

The Financial Statements for January 31, 2005 were reviewed by the Manager. The Association reported an unaudited operating surplus of $124,955 Year-to-Date as of January 31, 2005. The Common Reserve Fund has an unaudited balance of $238,389 and the Residential Reserve Fund has an unaudited balance of $447,172 as of January 31, 2005. The Board also reviewed the delinquency report.

Finance Committee

The Board reviewed a draft of a proposed operating budget for fiscal year 2005-2006 and a schedule of a proposed increase in the Residential Reserve Assessment. The proposed increase amounts to an approximate 6% increase on average to the total monthly condo fees. It was reported that the purpose of the increase is primarily to replenish the Residential Reserve Fund following the upcoming Plaza Waterproofing and Repair project which will consume most of our existing balance in the Fund. A brief discussion was held regarding the advantages of obtaining updated reserve studies to assist in setting future reserve assessments.

Building Committee

A report was given regarding the frozen AC coils in the commercial air handlers that also damaged the racquetball courts. The coils froze during the severe cold spell in December as a result of our turning off the chilled water in order to comply with a request to increase the AC air temperature. The procedure will not be attempted again. The incident was covered by our property insurance. The total cost, including the refinishing of the racquetball courts, was $41,949 of which $36,650 was covered by insurance.

A report was given regarding the repair and replacement status of our fire alarm system. The total estimated cost of the repair is anticipated to be $78,206. The reason the cost is relatively high is because some of the main control panels were damaged and replacements are no longer available. Consequently, most of the control systems including the main panel also require replacement in order for the entire system to communicate and operate properly. Additional upgrades will also be implemented such as additional redundant communication channels to also be wired in conduit as additional protections. Most of the replacement is already covered by our fire insurance policy. With additional documentation from the Fire Marshall regarding current code for fire alarm installations, we anticipate that the requested upgrades may also be covered by the policy.

APP Board Meeting Minutes

The Board received and reviewed the American Plaza Parking Board meeting minutes of December 15, 2004. The Plaza members, including the Hilton Hotel, all reported that they now have funding in place to perform the project in 2005 and approval was given to proceed with preparing construction and bid documents in preparation for submitting the project to select contractors for competitive bids. Power washing and striping of American Towers private garage was also approved.

Next Meeting

The next meeting is scheduled for Wednesday, March 30, 2005.

Adjournment

The meeting adjourned at 6:30 p.m.

Respectfully submitted,

Mike Gravitz
Secretary