July 8, 2017
Mt. Index Riversites Community Club, Inc.
Board of Directors meeting
Board members present: Mark Bollman, Carrie Byrne, Brent Corey, Rebecca Davis, Patty Harbaugh, CJ Holmes, Gary Johnson, David MacFarlane, Earl Van Buskirk, Mat Williams
Absent: Kathleen EckartLove, Mark Haenlein, Don Larsen
Owners and guests:
Dan Harrison, Thom Boullioun
Committee Reports and Information
Executive Committee
Mark Bollman reported that the monthly mortgage payment on the bridge had been made. He said that reminder statements for past-due member accounts were ready for mailing and invited board members to stay after the meeting to help stuff envelopes. Carrie Byrne and Bekka Davis distributed minutes from the last meeting.
Budget & Finance
Earl Van Buskirk shared the financial report for June. We have a couple months under our belt collecting assessments.
A-Section assessed $64,388 and has collected $34,369 so far, which is a 53% collection rate.
E-Section has collected 62% of the budgeted $201,303; the target is 80%.
Both A-Section and E-Section bank accounts have more money in them at this point than they did last year at the same time.
A-Section fixed assets appear in two places on the balance sheet: The $2901 for equipment represents the roller; the road grader and snow plow appear on the next page. The numbers are correct, but Van Buskirk said he will revise so that the assets are clearly and consistently presented.
MIRCC’s total equity is up $102k from last year as a result of equipment purchases in A-Section and paying down the bridge loan in E-Section.
Brent Corey asked about the -$4940 listed in E-Section for legal services. Van Buskirk explained that the money was collected through the foreclosure on the Manley case. It was redistributed to pay attorney fees.
A-Section collected $9100 in June, but $98,729 in back dues remain. Van Buskirk pointed out that if A-Section could collect that past due money, it would not have to assess any dues for half a year.
E-Section collected $36,104 in June; $239,918 in back dues remain. Van Buskirk said we are making headway with E-Section collections. He believes E-Section will get to an 80% collection rate this year.
Holmes inquired about payment plans for past-due accounts. Van Buskirk said that MIRCC does not offer payment plans. Partial payments may influence how the committee proceeds on collections, but part-payments are not formally sanctioned.
Holmes clarified that now that A-Section has taken ownership of the two lots from Buzitis, A-Section will be paying the annual property tax and the annual MIRCC dues for those lots. Mark Bollman said that the newly acquired lots will add a small amount to the value of A-Section lots for the assessment calculation.
Mat Williams inquired about a check paid to Redmond General Insurance. Bollman said RGI provides bridge insurance, liability insurance, and an umbrella policy for A-Section. The grader shed, guard shack, and gates are also covered. Carrie Byrne noted that E-Section also writes checks to RGI for insurance. Van Buskirk explained that Redmond General Insurance a broker. The company accepts payment for the various insurance policies that cover MIRCC.
Williams asked whether insurance premiums were split 60/40 between E-Section and A-Section to reflect E-Section’s larger size. Van Buskirk said yes, and added that E-Section pays the bridge insurance without assistance from A-Section.
Holmes asked whether A-Section could do a special assessment for the legal costs of foreclosures. Van Buskirk said it was permissible, but Bollman asked whether A-Section members would tolerate it. Holmes said she asked about the special assessment because she will be proposing that the A-Section committee foreclose on several properties where there is little chance of recovering the cost of legal action.
Collections
Earl Van Buskirk said that we are nearing the 90-day watermark for 2017-18 assessments that haven’t been paid. In August, the Collections committee will make a list of properties to pursue.
Bekka Davis asked whether A-Section and E-Section have separate collections committees. CJ Holmes explained that MIRCC has one Collections committee representing both A-Section and E-Section. Gary Johnson said that from an efficiency standpoint, one committee is best. Mark Bollman said that the five A-Section Board members are welcome to bring the Collections committee recommendations for A-Section properties to include.
Brent Corey asked how is it handled when owners are unable to be served papers for foreclosure. Van Buskirk said that if people cannot be served, a public notice is published in the newspaper. Van Buskirk and Bollman both noted that this process takes time, but does not add much to the cost of collection.
Van Buskirk said that in determining which collections to pursue, the Collections committee investigates what properties are worth and whether owners are upside-down on other loans. MIRCC is not in first repayment position where there is a mortgage in default.
Bollman said there are some folks who need a reminder that their account is 31-60 days past due. He again encouraged Board members to stay after the meeting to help send out reminder statements. Davis confirmed that reminder statements are going out to the entire community, both A- and E-Sections.
Mat Williams said that Tracie Van Horrick is listed as an owner on the roster of accounts in arrears. He stressed that Van Horrick is not the property owner and that MIRCC communications about the property need to go to Barbie Roberts, who is in fact the owner of the property. Bollman said that this is a stumbling block we run into. MIRCC bills the tax payer on county records, but the person who pays county taxes is not necessarily the property owner.
Legal/Ethics/Bylaws
Gary Johnson said there was no update.
E-Section Roads
Dave MacFarlane reported that tree trimming from PUD is going out to bid now and should be done in mid- to late-August.
Gary Johnson inquired about contacting homeowners who have trees that need to be cut. MacFarlane said that PUD has already done that.
MacFarlane also stated that he had talked to Paul Hery and stressed that if there’s any rain, we need to grade the road in order to keep the crown on.
Canyon Falls to Highway 2 Roads
Earl Van Buskirk said the gate is working fine and that the road looks great. There was nothing else to report.
A-Section and USFS 6020 Roads
Mat Wiliams reported that A-Section received its annual allotment from USFS. The money was used to buy $1500 worth of gravel. Williams said the area slumping at the base of Swamp Road needs additional work, but it can’t be done until we get some precipitation.
Williams said that A-Section roads are in phenomenal shape, considering amount of traffic A-Section gets.
Earl Van Buskirk said MIRCC received an email from an A-Section member who said the roads were the best shape he’d ever seen in 40 years.
Gary Johnson asked about the status of the A-Section gate. Williams said it’s working fine. There are some who are constantly meddling with it, but the sheriff will take them to task.
Other Reports & Information
Earl Van Buskirk said Ben Keith sent an email requesting that MIRCC pay for a flat tire to his vehicle allegedly caused by sharp rock on the road. He said we can offer sympathy, but dirt roads are hard on tires.
Dave MacFarlane said that a contractor out of Wenatchee is grinding up asphalt on Highway 2. E-Section hopes to obtain asphalt grindings for use on E-Section roads.
Priority Business
June Meeting Minutes
Carrie Byrne: “Move to approve the June meeting minutes.”
Approved: Yes – 7; Abstained – 2 (Williams, Corey – both were absent from the June meeting.)
June Expenditures
Earl Van Buskirk: “Move to approve the Check Detail report for June expenditures.”
Approved: Unanimous
Invoices detail
Charges and Invoices to be paid:
A-Section Checks:
New Business
No new business was discussed.
Discussion Topics
In the wake of two recent deaths at Sunset Falls, Dan Harrison raised concerns about external websites promoting waterfall areas. He said that online trail guide sites, such as TheOutbound.com, list Sunset Falls and possibly Canyon Falls as places to hike in the area. He added that these sites don’t mention the fact that these waterfalls are within a private community. Harrison suggested the possibility of litigation against these websites.
Bekka Davis said she believed that the river and its banks were legally open to the public. Harrison said yes, but the access is private. He said he had seen many pedestrians on the road past the gate in A-Section, and stressed the need to stop external websites from promoting visits to the falls.
Gary Johnson said that MIRCC’s responsibility is signage, not policing external websites that promote disinformation.
Brent Corey agreed that we cannot police the internet.
Closing Remarks: Summer Board Meeting Schedule
The next Board meeting is August 12.
Respectfully submitted by
Bekka Davis & Carrie Byrne
MIRCC Secretary & Treasurer
Absent: Kathleen EckartLove, Mark Haenlein, Don Larsen
Owners and guests:
Dan Harrison, Thom Boullioun
Committee Reports and Information
Executive Committee
Mark Bollman reported that the monthly mortgage payment on the bridge had been made. He said that reminder statements for past-due member accounts were ready for mailing and invited board members to stay after the meeting to help stuff envelopes. Carrie Byrne and Bekka Davis distributed minutes from the last meeting.
Budget & Finance
Earl Van Buskirk shared the financial report for June. We have a couple months under our belt collecting assessments.
A-Section assessed $64,388 and has collected $34,369 so far, which is a 53% collection rate.
- Loop Road has the highest collection rate. Loop road property owners have already remitted $827 of that road’s $1200 budget.
E-Section has collected 62% of the budgeted $201,303; the target is 80%.
- BNSF has paid all of the $6300 they were assessed.
- Bridge and owner payments amount to about $73,000 per year, and we’ve already collected over that amount.
- Only Sky Loop Road was assessed as a side road.
- No roads were assessed past the Canyon Falls Bridge, since we continue to bring in money from past due assessments.
- Most of the road expenses in E-Section are for the dump truck that hauls materials.
Both A-Section and E-Section bank accounts have more money in them at this point than they did last year at the same time.
A-Section fixed assets appear in two places on the balance sheet: The $2901 for equipment represents the roller; the road grader and snow plow appear on the next page. The numbers are correct, but Van Buskirk said he will revise so that the assets are clearly and consistently presented.
MIRCC’s total equity is up $102k from last year as a result of equipment purchases in A-Section and paying down the bridge loan in E-Section.
Brent Corey asked about the -$4940 listed in E-Section for legal services. Van Buskirk explained that the money was collected through the foreclosure on the Manley case. It was redistributed to pay attorney fees.
A-Section collected $9100 in June, but $98,729 in back dues remain. Van Buskirk pointed out that if A-Section could collect that past due money, it would not have to assess any dues for half a year.
E-Section collected $36,104 in June; $239,918 in back dues remain. Van Buskirk said we are making headway with E-Section collections. He believes E-Section will get to an 80% collection rate this year.
Holmes inquired about payment plans for past-due accounts. Van Buskirk said that MIRCC does not offer payment plans. Partial payments may influence how the committee proceeds on collections, but part-payments are not formally sanctioned.
Holmes clarified that now that A-Section has taken ownership of the two lots from Buzitis, A-Section will be paying the annual property tax and the annual MIRCC dues for those lots. Mark Bollman said that the newly acquired lots will add a small amount to the value of A-Section lots for the assessment calculation.
Mat Williams inquired about a check paid to Redmond General Insurance. Bollman said RGI provides bridge insurance, liability insurance, and an umbrella policy for A-Section. The grader shed, guard shack, and gates are also covered. Carrie Byrne noted that E-Section also writes checks to RGI for insurance. Van Buskirk explained that Redmond General Insurance a broker. The company accepts payment for the various insurance policies that cover MIRCC.
Williams asked whether insurance premiums were split 60/40 between E-Section and A-Section to reflect E-Section’s larger size. Van Buskirk said yes, and added that E-Section pays the bridge insurance without assistance from A-Section.
Holmes asked whether A-Section could do a special assessment for the legal costs of foreclosures. Van Buskirk said it was permissible, but Bollman asked whether A-Section members would tolerate it. Holmes said she asked about the special assessment because she will be proposing that the A-Section committee foreclose on several properties where there is little chance of recovering the cost of legal action.
Collections
Earl Van Buskirk said that we are nearing the 90-day watermark for 2017-18 assessments that haven’t been paid. In August, the Collections committee will make a list of properties to pursue.
Bekka Davis asked whether A-Section and E-Section have separate collections committees. CJ Holmes explained that MIRCC has one Collections committee representing both A-Section and E-Section. Gary Johnson said that from an efficiency standpoint, one committee is best. Mark Bollman said that the five A-Section Board members are welcome to bring the Collections committee recommendations for A-Section properties to include.
Brent Corey asked how is it handled when owners are unable to be served papers for foreclosure. Van Buskirk said that if people cannot be served, a public notice is published in the newspaper. Van Buskirk and Bollman both noted that this process takes time, but does not add much to the cost of collection.
Van Buskirk said that in determining which collections to pursue, the Collections committee investigates what properties are worth and whether owners are upside-down on other loans. MIRCC is not in first repayment position where there is a mortgage in default.
Bollman said there are some folks who need a reminder that their account is 31-60 days past due. He again encouraged Board members to stay after the meeting to help send out reminder statements. Davis confirmed that reminder statements are going out to the entire community, both A- and E-Sections.
Mat Williams said that Tracie Van Horrick is listed as an owner on the roster of accounts in arrears. He stressed that Van Horrick is not the property owner and that MIRCC communications about the property need to go to Barbie Roberts, who is in fact the owner of the property. Bollman said that this is a stumbling block we run into. MIRCC bills the tax payer on county records, but the person who pays county taxes is not necessarily the property owner.
Legal/Ethics/Bylaws
Gary Johnson said there was no update.
E-Section Roads
Dave MacFarlane reported that tree trimming from PUD is going out to bid now and should be done in mid- to late-August.
Gary Johnson inquired about contacting homeowners who have trees that need to be cut. MacFarlane said that PUD has already done that.
MacFarlane also stated that he had talked to Paul Hery and stressed that if there’s any rain, we need to grade the road in order to keep the crown on.
Canyon Falls to Highway 2 Roads
Earl Van Buskirk said the gate is working fine and that the road looks great. There was nothing else to report.
A-Section and USFS 6020 Roads
Mat Wiliams reported that A-Section received its annual allotment from USFS. The money was used to buy $1500 worth of gravel. Williams said the area slumping at the base of Swamp Road needs additional work, but it can’t be done until we get some precipitation.
Williams said that A-Section roads are in phenomenal shape, considering amount of traffic A-Section gets.
Earl Van Buskirk said MIRCC received an email from an A-Section member who said the roads were the best shape he’d ever seen in 40 years.
Gary Johnson asked about the status of the A-Section gate. Williams said it’s working fine. There are some who are constantly meddling with it, but the sheriff will take them to task.
Other Reports & Information
Earl Van Buskirk said Ben Keith sent an email requesting that MIRCC pay for a flat tire to his vehicle allegedly caused by sharp rock on the road. He said we can offer sympathy, but dirt roads are hard on tires.
Dave MacFarlane said that a contractor out of Wenatchee is grinding up asphalt on Highway 2. E-Section hopes to obtain asphalt grindings for use on E-Section roads.
Priority Business
June Meeting Minutes
Carrie Byrne: “Move to approve the June meeting minutes.”
Approved: Yes – 7; Abstained – 2 (Williams, Corey – both were absent from the June meeting.)
June Expenditures
Earl Van Buskirk: “Move to approve the Check Detail report for June expenditures.”
Approved: Unanimous
Invoices detail
Charges and Invoices to be paid:
A-Section Checks:
- $60.90 - Swizznet (office supplies)
- $2725.60 – Redmond General Insurance (business insurance)
- $168.00 – SLK Accounting Services (accounting services)
- $1,636.22 – RJD Enterprises (road work)
- $35.20 – USPS (postage/delivery)
- $46.24 – Terry Williams (yellow gate)
- $93.14 – Mark Bollman (filing fees and property tax)
- $91.34 – Swizznet
- $3505.62 – Owners’ bridge loan payments
- $4088.40 – Redmond General Insurance (business insurance)
- $282.00 – SLK Accounting Services (accounting services)
- $1,470.15 – RJD Enterprises (road work)
- $52.80 – USPS (postage/delivery)
- $4736.17 – Acrow Corporation (bridge loan)
New Business
No new business was discussed.
Discussion Topics
In the wake of two recent deaths at Sunset Falls, Dan Harrison raised concerns about external websites promoting waterfall areas. He said that online trail guide sites, such as TheOutbound.com, list Sunset Falls and possibly Canyon Falls as places to hike in the area. He added that these sites don’t mention the fact that these waterfalls are within a private community. Harrison suggested the possibility of litigation against these websites.
Bekka Davis said she believed that the river and its banks were legally open to the public. Harrison said yes, but the access is private. He said he had seen many pedestrians on the road past the gate in A-Section, and stressed the need to stop external websites from promoting visits to the falls.
Gary Johnson said that MIRCC’s responsibility is signage, not policing external websites that promote disinformation.
Brent Corey agreed that we cannot police the internet.
Closing Remarks: Summer Board Meeting Schedule
The next Board meeting is August 12.
Respectfully submitted by
Bekka Davis & Carrie Byrne
MIRCC Secretary & Treasurer