BOARD OF DIRECTORS MEETING

Monday December 11, 2023 7:30PM

2nd Floor Party Room 

Agenda and Report 

6:30PM – CLOSED SESSION

The Board is scheduled to meet to discuss rule violations, pending litigation, Unit Owner account issues and personnel matters. 

7:30PM – OWNER FORUM

The Board of Directors and Management will welcome and address feedback and questions from Unit Owners. 

CALL TO ORDER – Board Meeting Open Session

The meeting chair, expected to be Board President Michael Parrie, will call the meeting to order. 

Confirm Quorum

The meeting chair will confirm a quorum of Board Members is present. Board Members and representatives from Management will be introduced. 

Commission Reports

Commission chairs or members so designated will be invited to update the Board and Owners on business and activities.

Board Report

The meeting chair may give a report on current Association business and activities of interest.

Action Items 

1. Closed Session Business

This agenda item is provided for any resolutions proposed resulting from Closed Session discussion. 

2. Minutes – Board Meeting November 13, 2023

Attached to the meeting report for Board Member review, are the proposed minutes for the Board of Directors Meeting held on Monday November 13, 2023, as submitted by Property Manager Timothy Patricio.

A sample motion: “I move the Board of Directors of the Park Tower Condo Association hereby approves the minutes from the Board Meeting held on Monday October 9, 2023.” 

3. Minutes – Board Meeting November 18, 2023

Attached to the meeting report for Board Member review, are the proposed minutes for the Board of Directors Meeting held on Monday November 18, 2023, as submitted by Property Manager Timothy Patricio.

A sample motion: “I move the Board of Directors of the Park Tower Condo Association hereby approves the minutes from the Board Meeting held on Monday November 18, 2023.” 

4. Updated 22.1 Disclosure

Attached to the report for Board Member review is the updated 22.1 disclosure as of November 2023 for formal Board approval.

The 22.1 Disclosure, is a standard document we provide upon request in the event of any sale and make available for inspection to the prospective purchaser. This incorporates:

• A copy of the Declaration, by-laws, other condominium instruments and any rules and
• A statement of any liens, including a statement of the account of the unit setting forth the amounts of unpaid assessments and other charges due and owing as authorized and limited by the provisions of Section 9 of this Act or the condominium
• A statement of any capital expenditures anticipated by the unit owner’s association within the current or succeeding two fiscal
• A statement of the status and amount of any reserve for replacement fund and any portion of such fund earmarked for any specified project by the Board of
• A copy of the statement of financial condition of the unit owner’s association for the last fiscal year for which such statement is
• A statement of the status of any pending suits or judgments in which the unit owner’s association is a party.
• A statement setting forth what insurance coverage is provided for all unit owners by the unit owner’s association.
• A statement that any improvements or alterations made to the unit, or the limited common elements assigned thereto, by the prior unit owner are in good faith believed to be in compliance with the condominium
• The identity and mailing address of the principal officer of the unit owner’s association or of the other officer or agent as is specifically designated to receive

As a matter of routine, we continue to update this regularly, and will present it periodically for Board review and formal approval.

A sample motion: “I move the Board of Directors of the Park Tower Condo Association hereby approves the 22.1 disclosure as drafted with the best available information as of November 2023.” 

5. Mailing Of Proposed 2024/2025 Budget

Attached to the meeting report for Board review is the final draft of the proposed budget as edited following the Board Meetings held to discuss the budget November 4th, 11th, & 18^th, 2023. This requires mailing to the Unit Owners for their review period and consideration, which we propose be done by the week of December 25th.

Members will also find the edited 10 Year Budget and worksheets with adjustments based on the third and final budget meeting on November 18th. The edits made were to adjust the Association owned unit assessments to a 4% increase, and the proposed reserve contribution was increased by $10,000.

In addition, the Board will find a proposed cover letter and Special Meeting Notice to include with the budget, drafted by Board President Michael Parrie and edited with the help of Management, highlighting the key adjustments and changes, and emphasizing the challenges the Association faces. 

A sample motion: “I move the Board of Directors accepts the draft of the proposed Park Tower Condominium Association Budget for the 2024/2025 fiscal year, and hereby directs Management to mail the document in its entirety to all Park Tower Condominium Association Unit Owners for the required review period and for their consideration, as well as a notice for a Special Meeting of the Unit Owners scheduled to be held January 8th at 7:30pm prior to the monthly Board of Directors Meeting, for the purpose of Unit Owner discussion of the proposed budget, as required prior to the Board of Directors considering formal adoption.” 

6. 2024 Office Holiday Schedule

As we prepare for the upcoming calendar year, the Habitat Company released their holiday schedule for corporate employees, which includes the management office staff. Following is our proposed schedule for the Park Tower office:

Monday, 1/1/24                                New Year’s Day

Monday, 1/15/24                             Martin Luther King Day

Monday, 5/27/24                             Memorial Day                                    Office closing @ 1:00 Friday-5/24/24

Thursday, 7/4/24                              Independence Day                          Office closing @ 1:00 Wednesday-7/3/24

Monday, 9/2/24                                Labor Day                                            Office closing @ 1:00-Friday-8/30/24

Thursday, 11/28/24                         Thanksgiving Day                              Office closing @1:00 Wed-11/20/24

Friday, 11/22/24                               Thanksgiving Holiday

Wednesday, 12/25/24                    Christmas Holiday                            Office closing @1:00 Tuesday-12/24/24

Wednesday, 1/1/25                        New Year’s Day Holiday                 Office closing @1:00 -Tuesday-12/31/24

Also, Habitat corporate employees get two floating holidays for their birthday and Habitat Founder’s Day.

A sample motion: “I move the Board of Directors of the Park Tower Condo Association formally accepts the holiday schedule for the management office as presented by the Habitat Company for the 2024 calendar year, with the office scheduled to be closed for the following holidays:  New Year’s Day (recognized), Martin Luther King Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and the day after Thanksgiving, and Christmas Day, and early closings at 1pm the business day before each holiday with the exception of Martin Luther King Day.” 

7. Penthouse Fan Coil Pump

This effort is the final budgeted improvement to the HVAC fan coil unit, which heats and cools the air in the hallways. With that actual work to the unit completed earlier this year, the pump replacement will complete the overhaul. This pump acts to circulate the water to and from the coils, heating them in the winter and cooling them in the summer as necessary.

This is a proposed budget project for 2024/2025, for $35,000, but the pump could take several months to obtain so our team would like to order this as soon as possible. Ideally we would make the replacement this upcoming Spring between the heating and cooling season.  The proposals are as follows:

Ewing-Doherty                  $40,152

Fluid Technologies           $33,245

Tramco Pump Co.             $37,425

We have a good working relationship with Fluid Technologies Pumps and Controls, so we see no reason not to proceed with the low bidder.

A sample motion follows: “I move the Board of Directors of the Park Tower Condo Association approves the project to replace the hallway fan coil recirculating pump, as proposed by Fluid Technologies Pumps and Controls, Inc., for an expense of $33,245, to be funded by the replacement reserve.”

8. Masonry Repairs

The purpose of this action item is to address leaking conditions discussed at the November 13th meeting, mostly along the brick wall hugging the dock at the market space and Suites 115 and 116. During a recent rainstorm, leaking was reported at a number of locations on the North and South exposures, and it appears some tuckpointing and sealant work will be needed, as well as replacement of the louver which serves the air supply units for the market and these suites. This will include the inside of the parapet wall above this location at the roof level.

The proposals are as follows for sealant and tuckpointing work:

CCR Restoration               $81,522

Fluid Technologies           $74,450

WJ McGuire Co.                 $87,500

JLJ Contracting Inc., has typically been our low bidder on masonry work throughout the years, and we have maintained a good relationship with them. With our history and their knowledge of the building exterior, we see no reason not to accept their proposal as the low bidder.

We only have one proposal at present for the louver replacement, but we are expecting two more:

JLJ Contracting                  $18,950

A provision for routine masonry repairs is earmarked by the Reserve Study for the 2025/2026 budget year, at about $205,000. Considering we are doing such work now, this will be reviewed closely with the expected Reserve Study update in 2024. This type of a provision can be a moving target, and it is in the outlook so that dollars are accrued to make such repairs as they are needed. Targeting when such repairs will be needed over time is challenging, but the present priority is addressing the leaking and funding is available.

A sample motion follows: “I move the Board of Directors of the Park Tower Condo Association approves tuckpointing and sealant repairs as proposed by JLJ Contracting Inc., for an expense of $74,450, and replacement of the market dock air supply louver as proposed by _________________, for an expense of $________, to be funded by the replacement reserve.” 

9. Construction Requests

Attached to the report for Board Member review are remodeling packets for the following Unit Owners’ construction projects:

Unit 1409             Kitchen Countertop

Unit 2905            Washer/Dryer Install

Unit 3814             Hard Flooring Installation

Unit 3909             Hard Flooring Installation

Unit 4109             Bathroom Remodel

Unit 5409             Kitchen Remodel

A sample motion follows: “I move the Board of Directors of the Park Tower Condo Association approves the remodeling plans for units 1409, 2905, 3814, 3909, 4109 and 5409 as submitted by the unit owners, following the recommendations of the chief engineer as outlined in their written specifications and in accordance with the Rules and Regulations and remodeling guidelines of the Park Tower Condo Association.” 

Business Reports 

1. Treasurer’s Report

Attached to the Report for Board Review is the October 2023 Balance Sheet and Statement of Income & Expenses as reported by the Habitat Company.

Fund Balances End of October 2023

Operating assets totaled $1,891,931 and the Reserve cash and investments were $4,672,009 for a total of cash and investments of $6,563,940.

October 2023 Revenue and Expenses

Total Operating Revenue: $626,553

Total Operating Expenses: $366,310

Income (Loss) From Garage: $28,164

Contribution To Reserve: $164,975

Total Surplus: $123,431

Ratify CD Purchases

Management has continued exploring opportunities for maximizing the interest on Association funds and a getting a competitive return on investments.

Working in consultation with the Board Treasurer and Board President we identified two opportunities which do not interrupt needed cash flow, and keep with our plan to ladder our investments over time. Specifically, for the reserve we purchased a 24 Month CD at 5.25% for $230,000 through BMW Bank, and an 18 Month CD at 5.3% for $230,000.

It would be appropriate for the Board to ratify this action, and reaffirm the policy for Management to consult with Treasurer and Board President for ongoing investment considerations.

A sample motion: “I move the Board of Directors of the Park Tower Condo Association approves the purchase of a $230,000 Certificates of Deposit through BMW Bank for the Reserve Fund, and a $230,000 Certificate of Deposit through Southpoint Bank, for the Reserve Fund, and affirms that management continue consulting with the Board Treasurer and President between Board Meetings when making any new investments or future adjustments to such investments.”

2. Management Report

Attached to the report for Board review is the most recent Monthly Activity Report and Sales & Lease Reports. Property Manager Tim Patricio is expected to review current business and activity of interest and the latest sales.

ADJOURNMENT

There being no further business, the Board will consider adjourning the meeting.

A sample motion: “I move the Board of Directors adjourns the December 11, 2023 Board Meeting at___PM.” 

OWNER FORUM

The Board of Directors and Management will welcome and address feedback and questions from Unit Owners.

The next regular Board Meetings are expected to be held on Monday January 8th and January 22nd 7:30PM. Also, a Resident Forum is scheduled for Saturday January 27th at 11am. All such meetings are expected to be held in the 2nd Floor Party Room unless otherwise posted.