June 6, 2015
Mt. Index Riversites Community Club, Inc.
Board of Directors Meeting
Board members present: Julia Akin, Mark Bollman, Carrie Byrne, Tom Grenier, Mark Haenlein, Patty Harbaugh, CJ Holmes, Gary Johnson, Tom Lange, Don Larsen, Dave MacFarlane, Mat Williams, Earl Van Buskirk
Motion to approve May meeting minutes as presented. Approved: Unanimous.
Budget Status Report: Earl Van Buskirk presented the May 31st Balance Sheet and Profit & Loss statements. Total bank balances = $109,438.
PRIORITY BUSINESS:
Tom Lange: “Move to amend the board’s previous decision regarding roll-call voting to hereby allow the President to accept Unanimous Consent of a motion if determined that no one will dissent.”
Approved: 12 Yes, 0 No.
Invoices to be paid: -Adams & Duncan (collections) -$2,138.00 -Eastham-Foster (CPA) -$228.00 -SLK Accounting Services (April – Sec A) -$345.00 -SLK Accounting Services (April – Sec E) -$570.00 -Your Balance Sheet NW (final March invoice) -$714.48 -Pacific Publishing Company (shoreline permit notice) -$275.84 -Sound Publishing (shoreline permit notice) -$117.51 -Stamps.com (postage) -$196.00 -OfficeMax (envelopes & ink) -$165.31 -USPS (Box 177 rental) -$88.00 -OfficeMax (Stephanie Keller – envelopes & postage) -$19.64 -PUD (street light) -$14.79
Mark Haenlein: “Move to approve May invoices” Approved: Unanimous.
Earl Van Buskirk: “Move to approve Committee Assignments as recommended by the Executive Committee.” Approved: 10 Yes, 2 No (Akin, Larsen voted NO)
Committee Assignments are:
Executive Committee: Budget, Finance, and Assessments
-Mark Bollman, President -Earl Van Buskirk, Vice President -Carrie Byrne, Secretary -Mark Haenlein, Treasurer
E-Section Roads
(responsibilities: Emergency Response, Snow Removal, Bridge Safety,
Gate Keepers, Tow Truck) -Mark Haenlein, Chair & Road Manager -Tom Grenier, Dave McFarlane – Committee members
A-Section Roads
(responsibilities: Emergency Response, Snow Removal, Tow Truck,
McCall Creek, USFS) -Mat Williams, Chair, Road Manager, USFS Liaison -Patty Harbaugh, Spokesperson -CJ Holmes, Gary Hubbard – Committee members
Canyon Falls to SR-2
-Earl Van Buskirk, Chair -Mark Bollman, Mark Haenlein, Gary Johnson – Committee members
Collections
-Mark Bollman, Chair -Julia Akin, Don Larsen, Mark Haenlein, CJ Holmes – Committee members
Bylaws, Ethis, Legal
-Gary Johnson, Chair -Don Larsen, Mark Haenlein, Earl Van Buskirk, Tom Lange – Committee members
Community Development
-Julia Akin, Chair -Don Larsen, CJ Holmes – Committee members NEW BUSINESS:
Mark Haenlein: “Move to repeal all road work motions not completed in previous fiscal years unless funded by a new motion approved by the current Board of Directors.” Approved -Unanimous.
-Note that all legally binding road obligations committed prior to the current Board’s term will be upheld.
Mark Haenlein: “Move to authorize $3,000/month discretionary spending for E-section road work to be managed by the E-section Road Committee.” Approved -Unanimous.
Mat Williams: “Move to authorize $3,000/month discretionary spending for A-section road work to be managed by the A-section Road Committee.” Approved -Unanimous.
Earl Van Buskirk: “Move to allocate up to $1,000 for legal advice & counsel form real estate specialist attorney Kenneth Hart regarding access road easements.” Approved -Unanimous.
-Kenneth Hart is a legal subject matter expert on easements with an office in Seattle. Initial interaction is intended to be exploratory in nature.
Earl Van Buskirk: “Move to spend up to $15,000 for Pro Comm gate access software, monitoring system, and data fees for the first 6 months of service.” Approved – 12 Yes.
-Cost includes the following from Pro Comm: software and access panel/reader for keycards, key fobs (“clickers”), and PIN keypad inputs; cellular router for remote access to manage gate and boost cell reception at the site; fisheye entrance and exit cameras; installation
-Only E-section owners will pay for the Pro Comm solution.
-Pro Comm solution is in keeping with the 30-month temporary agreement for easement on private roads for E-section owners to access their properties.
Patty Harbaugh: “Move to lock the Sunset Falls gate and close the road to all vehicle traffic (except PUD, Frontier, and emergency vehicles) until such time as funding is available for road maintenance and safety mitigation measures to be proposed by the Community Development Committee.” Approved – 11 Yes; 1 – No (Akin voted NO)
-There are presently no properties past the Sunset Falls gate being assessed road dues, therefore there are no funds to maintain the road.
-Emergency Services experts at Snohomish County have verbally stated to A-Section Road Committee members that if the road was maintained by the county, it would be closed to all vehicle traffic due to continued slide activity.
-Community members may walk past the gate to access Sunset Falls beach area. -Community parking near and before the gate is acceptable, as long as vehicles do not impede owner access to property.
Mark Haenlein: “Move to proceed with lien foreclosure process for James Cruden (parcel 00526100540300), Christy Olson (parcel 00526100538100), and Greg Parks (parcel 00525800208400).”
Approved – Unanimous.
DISCUSSION TOPICS:
Members of the Board met with Adams & Duncan to discuss how to properly initiate foreclosure proceedings. Following are key takeaways from the meeting:
Q. What gives MIR the right to foreclose because of delinquent assessments?
A. A lien on the property based on Judge Wynne's decision gives MIR the “instrument” to use in a Judicial Foreclosure.
Q. What if the property owner can't be contacted or is dead?
A. The Foreclosure process can continue if certain steps are taken to locate the owner, whether he is eventually located or not.
Q. How does the Judicial Foreclosure process work?
A. MIR identifies properties for foreclosure. A&D sends a Notice of Default to the owner. If the owner doesn't respond A&D prepares a “lawsuit” to present to a judge. The judge rules the lawsuit is valid and orders the property sold at public auction.
Q. How does the auction work?
A. Once the judges' decision is reached A&D sends a “Notice of Sale” to the owner and posts it in public places. The amount of opening bid is set by the judge (most likely legal fees plus MIR assessments). The auction is conducted by A&D on the Snohomish County courthouse steps.
Q. What if nobody bids on the property; who gets it?
A. MIR would be able to bid on the property if nobody else does. If MIR doesn't want the property and nobody else bids, the property is retained in the owners name but a judgment against the owner is recorded and we can pursue compensation through that judgment.
Q. What about other liens on the property?
A. It is important that we choose properties in which MIR is in the “first position” with regards to liens. If a bank, for example, had a lien on the property ahead of us they would receive money from the foreclosure sale before MIR would. Additionally, if any property taxes are owed, Snohomish County would be in first position and could dispose of the property through a tax auction process in advance of foreclosure.
Q. How long is the process, how much will it cost and how soon can it start?
A. If everything goes smoothly we should be able to foreclose on a property within 6 months of initiating the foreclosure. A&D estimate a typical foreclosure will cost between $1000 -$1500 in legal fees. A foreclosure can be started if assessments are delinquent 90 days after their due date.
Q. How does MIR choose properties for foreclosure?
A. The “Collection Committee” recommends properties to the MIR Board. Recommendations are based on amount owed, value of the property and whether foreclosure is in the best interest of the community. The goal of an MIR foreclosure is to recover, through sale of the property, all delinquent assessments plus legal costs incurred in the process.
A-Section Road Committee stated that they need permits and other documentation for McCall Creek from past Board members. Carrie Byrne offered to request documents from Bill Stehl in order to maintain official records for MIRCC.
A-Section Road Committee acknowledged that the current contract with Mark Hopkins for snowplowing does not meet the needs for Payton Creek, since the Payton Creek bridge is uncertified and Hopkins requires a “hold harmless” agreement to drive over it to plow snow. The A-Section Road Committee will need to find a different solution for snowplowing before winter.
A-Section Road Committee is interested in renegotiating maintenance for the section of the road where USFS is the main user of the road. This effort will involve easement discussion related to the 1956 easement from Mr Rogers to federal government and the 1991 letter for first 6/10 mi. of road from Route 2 to MIR.
Tom Lange asked that the monthly expense paid for the Canyon Falls Bridge be published in the meeting minutes for greater visibility among all community members. Note that only E-Section owners contribute to these payments:
-Acrow Bridge Company: $4,736 -Payments on Owner Loans: $3,739 -PUD contribution: ($2,368) -Total monthly payment: $6,107
Next meeting scheduled for Saturday, July 11th at 9:00 a.m. at the Index Fire Station. (Note that the first Saturday in July is the 4th, so the meeting will be held the following weekend.)
Respectfully submitted by
Carrie Byrne MIRCC Secretary
Motion to approve May meeting minutes as presented. Approved: Unanimous.
Budget Status Report: Earl Van Buskirk presented the May 31st Balance Sheet and Profit & Loss statements. Total bank balances = $109,438.
PRIORITY BUSINESS:
Tom Lange: “Move to amend the board’s previous decision regarding roll-call voting to hereby allow the President to accept Unanimous Consent of a motion if determined that no one will dissent.”
Approved: 12 Yes, 0 No.
Invoices to be paid: -Adams & Duncan (collections) -$2,138.00 -Eastham-Foster (CPA) -$228.00 -SLK Accounting Services (April – Sec A) -$345.00 -SLK Accounting Services (April – Sec E) -$570.00 -Your Balance Sheet NW (final March invoice) -$714.48 -Pacific Publishing Company (shoreline permit notice) -$275.84 -Sound Publishing (shoreline permit notice) -$117.51 -Stamps.com (postage) -$196.00 -OfficeMax (envelopes & ink) -$165.31 -USPS (Box 177 rental) -$88.00 -OfficeMax (Stephanie Keller – envelopes & postage) -$19.64 -PUD (street light) -$14.79
Mark Haenlein: “Move to approve May invoices” Approved: Unanimous.
Earl Van Buskirk: “Move to approve Committee Assignments as recommended by the Executive Committee.” Approved: 10 Yes, 2 No (Akin, Larsen voted NO)
Committee Assignments are:
Executive Committee: Budget, Finance, and Assessments
-Mark Bollman, President -Earl Van Buskirk, Vice President -Carrie Byrne, Secretary -Mark Haenlein, Treasurer
E-Section Roads
(responsibilities: Emergency Response, Snow Removal, Bridge Safety,
Gate Keepers, Tow Truck) -Mark Haenlein, Chair & Road Manager -Tom Grenier, Dave McFarlane – Committee members
A-Section Roads
(responsibilities: Emergency Response, Snow Removal, Tow Truck,
McCall Creek, USFS) -Mat Williams, Chair, Road Manager, USFS Liaison -Patty Harbaugh, Spokesperson -CJ Holmes, Gary Hubbard – Committee members
Canyon Falls to SR-2
-Earl Van Buskirk, Chair -Mark Bollman, Mark Haenlein, Gary Johnson – Committee members
Collections
-Mark Bollman, Chair -Julia Akin, Don Larsen, Mark Haenlein, CJ Holmes – Committee members
Bylaws, Ethis, Legal
-Gary Johnson, Chair -Don Larsen, Mark Haenlein, Earl Van Buskirk, Tom Lange – Committee members
Community Development
-Julia Akin, Chair -Don Larsen, CJ Holmes – Committee members NEW BUSINESS:
Mark Haenlein: “Move to repeal all road work motions not completed in previous fiscal years unless funded by a new motion approved by the current Board of Directors.” Approved -Unanimous.
-Note that all legally binding road obligations committed prior to the current Board’s term will be upheld.
Mark Haenlein: “Move to authorize $3,000/month discretionary spending for E-section road work to be managed by the E-section Road Committee.” Approved -Unanimous.
Mat Williams: “Move to authorize $3,000/month discretionary spending for A-section road work to be managed by the A-section Road Committee.” Approved -Unanimous.
Earl Van Buskirk: “Move to allocate up to $1,000 for legal advice & counsel form real estate specialist attorney Kenneth Hart regarding access road easements.” Approved -Unanimous.
-Kenneth Hart is a legal subject matter expert on easements with an office in Seattle. Initial interaction is intended to be exploratory in nature.
Earl Van Buskirk: “Move to spend up to $15,000 for Pro Comm gate access software, monitoring system, and data fees for the first 6 months of service.” Approved – 12 Yes.
-Cost includes the following from Pro Comm: software and access panel/reader for keycards, key fobs (“clickers”), and PIN keypad inputs; cellular router for remote access to manage gate and boost cell reception at the site; fisheye entrance and exit cameras; installation
-Only E-section owners will pay for the Pro Comm solution.
-Pro Comm solution is in keeping with the 30-month temporary agreement for easement on private roads for E-section owners to access their properties.
Patty Harbaugh: “Move to lock the Sunset Falls gate and close the road to all vehicle traffic (except PUD, Frontier, and emergency vehicles) until such time as funding is available for road maintenance and safety mitigation measures to be proposed by the Community Development Committee.” Approved – 11 Yes; 1 – No (Akin voted NO)
-There are presently no properties past the Sunset Falls gate being assessed road dues, therefore there are no funds to maintain the road.
-Emergency Services experts at Snohomish County have verbally stated to A-Section Road Committee members that if the road was maintained by the county, it would be closed to all vehicle traffic due to continued slide activity.
-Community members may walk past the gate to access Sunset Falls beach area. -Community parking near and before the gate is acceptable, as long as vehicles do not impede owner access to property.
Mark Haenlein: “Move to proceed with lien foreclosure process for James Cruden (parcel 00526100540300), Christy Olson (parcel 00526100538100), and Greg Parks (parcel 00525800208400).”
Approved – Unanimous.
DISCUSSION TOPICS:
Members of the Board met with Adams & Duncan to discuss how to properly initiate foreclosure proceedings. Following are key takeaways from the meeting:
Q. What gives MIR the right to foreclose because of delinquent assessments?
A. A lien on the property based on Judge Wynne's decision gives MIR the “instrument” to use in a Judicial Foreclosure.
Q. What if the property owner can't be contacted or is dead?
A. The Foreclosure process can continue if certain steps are taken to locate the owner, whether he is eventually located or not.
Q. How does the Judicial Foreclosure process work?
A. MIR identifies properties for foreclosure. A&D sends a Notice of Default to the owner. If the owner doesn't respond A&D prepares a “lawsuit” to present to a judge. The judge rules the lawsuit is valid and orders the property sold at public auction.
Q. How does the auction work?
A. Once the judges' decision is reached A&D sends a “Notice of Sale” to the owner and posts it in public places. The amount of opening bid is set by the judge (most likely legal fees plus MIR assessments). The auction is conducted by A&D on the Snohomish County courthouse steps.
Q. What if nobody bids on the property; who gets it?
A. MIR would be able to bid on the property if nobody else does. If MIR doesn't want the property and nobody else bids, the property is retained in the owners name but a judgment against the owner is recorded and we can pursue compensation through that judgment.
Q. What about other liens on the property?
A. It is important that we choose properties in which MIR is in the “first position” with regards to liens. If a bank, for example, had a lien on the property ahead of us they would receive money from the foreclosure sale before MIR would. Additionally, if any property taxes are owed, Snohomish County would be in first position and could dispose of the property through a tax auction process in advance of foreclosure.
Q. How long is the process, how much will it cost and how soon can it start?
A. If everything goes smoothly we should be able to foreclose on a property within 6 months of initiating the foreclosure. A&D estimate a typical foreclosure will cost between $1000 -$1500 in legal fees. A foreclosure can be started if assessments are delinquent 90 days after their due date.
Q. How does MIR choose properties for foreclosure?
A. The “Collection Committee” recommends properties to the MIR Board. Recommendations are based on amount owed, value of the property and whether foreclosure is in the best interest of the community. The goal of an MIR foreclosure is to recover, through sale of the property, all delinquent assessments plus legal costs incurred in the process.
A-Section Road Committee stated that they need permits and other documentation for McCall Creek from past Board members. Carrie Byrne offered to request documents from Bill Stehl in order to maintain official records for MIRCC.
A-Section Road Committee acknowledged that the current contract with Mark Hopkins for snowplowing does not meet the needs for Payton Creek, since the Payton Creek bridge is uncertified and Hopkins requires a “hold harmless” agreement to drive over it to plow snow. The A-Section Road Committee will need to find a different solution for snowplowing before winter.
A-Section Road Committee is interested in renegotiating maintenance for the section of the road where USFS is the main user of the road. This effort will involve easement discussion related to the 1956 easement from Mr Rogers to federal government and the 1991 letter for first 6/10 mi. of road from Route 2 to MIR.
Tom Lange asked that the monthly expense paid for the Canyon Falls Bridge be published in the meeting minutes for greater visibility among all community members. Note that only E-Section owners contribute to these payments:
-Acrow Bridge Company: $4,736 -Payments on Owner Loans: $3,739 -PUD contribution: ($2,368) -Total monthly payment: $6,107
Next meeting scheduled for Saturday, July 11th at 9:00 a.m. at the Index Fire Station. (Note that the first Saturday in July is the 4th, so the meeting will be held the following weekend.)
Respectfully submitted by
Carrie Byrne MIRCC Secretary