Big Canoe Property Owners' Association

PROPERTY OWNER COMMENTS
There were no comments from Property Owners.  This is the portion of the meeting where Property Owners have the opportunity to speak to the Board for five minutes.

(If a Property Owner wishes to be on the Agenda, they must  contact Debbie Pickett (706/268-3346) on the Friday prior to the Board meeting in order to be included on the Agenda.)

REVIEW OF THE MINUTES OF THE NOVEMBER 18, 2009 MEETING
The Minutes of the November 18, 2009 meeting were reviewed.

Action 01.20.10-01:  A motion to approve the November 18, 2009 Minutes as amended was made, seconded and passed unanimously 7-0.   The draft Minutes will be posted on the Website (www.bigcanoepoa.org).

The Minutes of the December 12, 2009 Annual Meeting of Members were reviewed.

Action 01.20.10-02  A motion to approve the December 12, 2009 Minutes was made, seconded and passed unanimously 7-0.

Chuck Palmer provided an update from the Long Term Finance Committee.  Mr. Palmer stated that Property Owners were given an opportunity to respond to a poll regarding funding of a capital reserve.  There were 400-500 responses received.  The Committee reviewed the responses and found that the results show 55% of the respondents would like to have a $25 month fee after the special assessment goes away.  Of those responding, 75%-80% agreed to the particular purposes and 93% agreed on the restrictions for the Capital Reserve and Debt Retirement Fund.

The Committee is in the process of writing the recommendation for the Capital Reserve and Debt Retirement Fund and will provide the Board with recommended Covenant changes.  Mr. Palmer is writing an article for the March Smoke Signals regarding the survey.

The Board discussed getting feedback from Property Owners and Mr. Williams stated that he did not feel that too much reliance should be placed on the poll.  Mr. Palmer stated that the Committee feels the poll is a good indicator to what Property Owners want.

Mr. Bacigalupo thanked Mr. Palmer for the work he and the Committee have done on establishment of a Capital Reserve and Debt Retirement Fund over the last three years.  Mr. Palmer thanked the Committee for their hard work.

ADMINISTRATIVE REPORT
The Board reviewed the Administrative Report, which is attached to the Minutes and posted on the Website (www.bigcanoepoa.org).

Bill Bates provided an update regarding the snow/ice removal from the recent storm.  Mr. Bates stated that this was one of those events that usually occur every ten years.  A layer of ice formed under the snow, and thawing and refreezing limited the effectiveness of the road treatment.  Over 180 tons of gravel was spread on the major roads in an attempt to clear them for emergency vehicle usage.  During the entire event, the temperatures did not get above freezing.  At one point, three out of four spreader trucks were out of service.  Two of the three have been repaired and the third one will require replacement due to failure of the engine.  Mr. Bates stated that there are always lessons to be learned and it is hard to please everyone.  The Staff received compliments and complaints from Property Owners living on the same street in some areas.  The general response to people inquiring about road conditions for the first two nights was that travel was not advised. The streets inside Big Canoe were better than they were on the outside, so once people ventured outside of Big Canoe, the conditions were more dangerous. Mr. Bates stated that it is hard to make a good judgment on how other people drive.  He advised that anyone living in the mountains should be prepared with an emergency kit, including prescription medications, and have a three days supply of food and water.

Mr. Bates related that the emergency operation plans are being reviewed and an issue that will be discussed is escorting vehicles.  At one point during the ice event, there were 40 vehicles at the Maintenance Office and there were more outside of Big Canoe.

Debbie Pickett reported that POA employees continue to improve in the area of safety.  The recordable injuries were reduced from 15 in 2008 to four in 2009.

Mrs. Pickett also congratulated the Public Safety Team for their outstanding work in achieving a Classification of ISO 4.

Mark Johnson provided an update regarding improvements being made in the Golf Department.

Bill Bates stated that Big Canoe was notified two weeks prior to the visit that the fire department would be receiving an ISO inspection.  Mr. Bates thanked Ricky Jordan, part-time Fire Chief for his diligence with keeping the ISO records.  The Staff will keep things in top shape and Mr. Bates pointed out that Big Canoe is six and one-half points away from an ISO rating of three.  The new rating goes into effect on April 1, 2010 and owners should contact their insurance agents to notify them of the new rating.

Mr. Bates reported that Big Canoe was not in the first release of grant funds for a new fire station.

In discussing the newly renovated space at Station 3, Mr. Bates thanked Property Owners who have donated items for the office.

Bill Wilson questioned if there was communication between the Fire Department and the Water Department.  Mr. Bates stated that there is good communication.  Bobby Smallwood with United Water plans to provide some specialized training on how the system is operated and what do in case of a fire.

Steve Langway congratulated Mr. Bates on receiving the Class 4 ISO rating and stated that Class 4 represents about nine percent of the communities in the United States.

FINANCIALS
Sandy Filkowski provided the Financial Report, which is attached to the Minutes, and posted on the Website (www.bigcanoepoa.org).

It was noted that the Board judges the performance of Amenities in total.  The Board approved a document in November titled "Expectations of Big Canoe Amenity Performance."  The Amenities are a major portion of what happens at Big Canoe.  The Board acknowledged that market conditions had an unfavorable impact on budget performance of the Amenities in 2009.

An RFP is being prepared in January to look at options available for an F&B Operations Analysis.

Sandy Filkowski stated that Accounting has not seen significant changes in bad debt.  She stated that there are no more delinquencies than we have seen in the last 1 ½ years.  Peggy Dempsey, Accounts Receivable Coordinator, makes an effort to call everyone on the 60 day delinquent list.

Mr. Palmer stated that Sandy Filkowski and her Staff should be applauded for the conversion from ADP to Adams Keegan.  The annual cost savings for the services provided by Adams Keegan will be approximately $70,000 in 2010.

Chuck Palmer has served as Chair of the Finance Committee, but resigned when he was elected to the POA Board of Directors.  The Committee recommended Michelle Toups to fill the vacancy as Chairperson of the Finance Committee.

Action 01.20.10-04  A motion to approve Michelle Toups as Chairperson of the Finance Committee was made, seconded and passed unanimously 7-0.

Michelle Toups provided the Finance Committee Report, which is attached to the Minutes, and posted on the Website (www.bigcanoepoa.org)

Issues which were discussed in the Finance Committee Meeting included:

• Amenity Reserve
• Covenants
• Big Canoe Utilities/Tri Party Agreement
• Food and Beverage
• Long Term Finance Committee Update
• Comprehensive year-end performance

It was noted that there were 88 fewer Memberships in December 2009 than there were in December 2008; 2009 is the first year in which Memberships were less at year-end than the prior year-end.  There were also fewer home sales in Big Canoe in 2009 than in 2008.  The recession has had an impact on memberships.

Members of the Finance Committee are:  Michelle Toups, Joe Crowley, Neil Richie and Roger Mosshart.  Chuck Palmer will be the Board liaison.  The new members were included in the budgeting process for 2010.

DEVELOPER REPORT

Stephen Langway provided the Developer's Report, which is attached to the Minutes and posted on the Website (www.bigcanoepoa.org).

UNFINISHED BUSINESS
There was no unfinished business.

NEW BUSINESS
The Board reviewed the proposed Board meeting dates for 2010.  It was noted that there will be no regular Board Meetings in April and August, as there will be Town Hall Meeting in those months on April 24 and August 21.  The dates will be posted on the website www.bigcanoepoa.org for review.

The list of the 2010 Director Liaisons for Committees was reviewed as follows:

A recommendation was made to name Fred Omundson as Chair of the Conservation Committee, which is a GM Committee.

Action 01.20.10-05  A motion to approve Fred Omundson as Chair of the Conservation Committee was made, seconded and approved unanimously 7-0.

A recommended list of the complimentary memberships for 2010 was reviewed.

Action 01.21.09-06  A motion to approve the list of complimentary memberships as presented for 2009 was made, seconded and approved unanimously 7-0.

The 2009 Property Owner Survey results were discussed.  Mr. Bacigalupo stated that Riverside Associates conducted a Customer Satisfaction Survey during the summer of 2009.  The work was completed and some of the preliminary results have been communicated.  The results, along with a letter from the Board of Directors, will be posted on the POA website (www.bigcanoepoa.org). Mr. Bacigalupo stated there was a breach in the survey.  This information should not have been available to anyone. Riverside has included a statement alleging inappropriate action by a POA Board Member or by a Board confidant.  The Board has investigated this allegation and finds the charge without merit.

Bill Bates updated the Board on the 2009 Road Repaving Program, which included road striping and the completion plans for 2010.  Mr. Bates stated that the road paving program is basically shut down until spring.  The POA has had discussions with Bartow Paving regarding pricing and they have confirmed that they cannot provide the work in 2010 at the same price that was provided in 2009.  Mr. Bates reported that some of the road striping has been done with thermoplastic striping.  The cost for this method is more expensive, but it seems to last longer than the painting.  Don Watson, road consultant, will be reviewing the roads and performing an analysis on road conditions, ditches and road shoulders.  The temperature must reach 45 degrees or higher in order for asphalt to be laid.  Mr. Watson will also review the roads as it relates to damage from the recent snow/ice event.

Terry Bacigalupo discussed the Board Priorities for 2010 as attached and posted on the Website (www.bigcanoepoa.org).  Community Coffees start up again on Saturday, January 23, 2010 in the Dogwood Room at the Clubhouse.

Mr. Bacigalupo provided an update regarding the POA organizational changes as follow:

In follow up to Jim Story's resignation as Director of Amenities, organization and staff changes are as follows:

1. The Director of Amenities position will not be replaced in kind.
2. Existing Amenity Managers report to the General Manager.

• Golf/Golf Maintenance
• Tennis/Bocce
• Fitness
• Food and Beverage Manager
• Executive Chef

3. The Director of Public Safety and Public Works is responsible for the Marina as the now stand alone operation is being developed.
4. The Director of Golf is the Coordinator of the Amenity Manager Team.  He has joined the Senior Staff for purposes of providing perspective, continuity, communication and policy administration.
5. Membership and Activities now report to the Director of Administrative Services.

The Membership Policy discussion was moved to the February Agenda.

A Resolution was presented to the Board which authorized designated Board Members and Staff to sign checks for the POA.  All checks require two signatures and anything over $20,000 requires a Board signature.  Mr. Williams stated that he did not feel the Chief Financial Officer or the Financial Analyst should sign checks as it diminishes internal controls.  The Board agreed to omit the Financial Analyst as an authorized signer.

Action 01.21.09-07  A motion to approve the Resolution as amended which authorized recommended Board Members and Staff to sign checks was made, seconded and approved unanimously 7-0.

A contract for outsourcing the swim amenities was discussed by the Board.  An RFP was sent out to contractors and four responses were received.  American Pools was the contractor recommended.  They have contracted services out to other facilities as large as Big Canoe's.

Action 01.21.09-08  A motion to approve the contract with American Pools was made, seconded and approved unanimously 7-0.

Action 01.20.10-09:  A motion was made and seconded to adjourn the meeting.  The motion passed unanimously 7-0 and the meeting adjourned at 11:30 a.m.

Approved by the Board of Directors:

President                                                                      Secretary

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Terry Bacigalupo                                                          Bill Wilson, Secretary

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