2nd Floor Party Room
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 – Special Meeting Of The Unit Owners – Review of Proposed Rules Amendments
To Review The Special Meeting Agenda, Click Here.
OWNER FORUM
The Board of Directors and Management may 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.
Attached to the report for Board review are the most recent reports from the Health Club and Home Improvement Commissions.
Board Report
The meeting chair may give a report on current Association business and activities of interest.
Action Items
Closed Session Business
This agenda item is provided for any resolutions proposed resulting from Closed Session discussion.
Minutes – Board Meeting June 24, 2024
Attached to the meeting report for Board Member review, are the proposed minutes for the Board of Directors Meeting held on Monday June 24, 2024, as submitted by Property Manager Timothy Patricio, for Board consideration.
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 June 24, 2024.”
Updated 22.1 Disclosure
Attached to the report for Board Member review is the updated 22.1 disclosure through June 2024 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:
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 approves the 22.1 disclosure as drafted with the best available information through June 2024.”
Amendments To The Rules And Regulations
Attached to the report for Board review is copy of the notice mailed to owners the week of July 15th, including a comprehensive list of the proposed amendments to the Rules and Regulations. Following the Special Meeting held prior, the Board may choose to either adopt the amendments as is, or make changes and have a notice mailed to Owner for a follow up Special Meeting to consider those edits.
An appropriate motion can be discussed, but to simply adopt the amendments, a sample motion: “I move the Board of Directors approves adoption of the proposed amendments to the Rules and Regulations as discussed at the Special Meeting of The Unit Owners held on August 12th, 2024, and directs they be integrated into the Rules and Regulations Handbook.”
Finance Commission Membership
The purpose of this action item is to consider the appointment of a new member to the Budget & Finance Commission, Paul Groeninger, Unit 4211.
A sample motion: “I move the Board of Directors of the Park Tower Condo Association appoints Paul Groeninger of Unit 4211 to the Budget & Finance Commission.”
Security System updates
Attached to the report for Board review is the revised bid for adding a fob AND intercom to the Lobby’s north side automated door:
Last year, the Association budgeted $39,300 in reserve funds for capital repairs to the Security System. The only issue identified was a bad server which was replaced. This resulted in an expense of only $7800. So about $31,500 remained for any further efforts. The Board recently approved a bid with S&P Integrated Solutions to add cameras to this and six other location for $12,940.46.
It was suggested at recent meetings to improve security in the lobby by installing a fob at this exterior door and potentially direct overnight traffic to this location. At the last meeting, Management proposed the Board consider adding an intercom as well so that guests can be announced, and sought a change order bid. The proposal to add a fob location and intercom is $5362.46, which would still fall under the total prior budget by more than $13,000 total.
A sample motion: “I move the Board of Directors of the Park Tower Condo Association approves the installation of a fob station and intercom at the north lobby automatic door entrance as proposed by S&P Integrated Solutions at an expense of $5362.46, to be funded by the Reserve Fund.”
Fiber Project Painting
As we discussed when considering the fiber transition, painting of the work location would not be done by ASTOUND. For the 01/03 HVAC riser project, our team coordinated painting internally as a part of the process, following ASTOUNDS fiber line installation; the wall openings and other finishing work being more complicated than would be necessary for the fiber project alone. That has been completed, so painting will now need to be coordinated as work on the fiber lines for other tiers gets underway.
While this will be a simpler effort, it is not something we expect we would be able to sustain for several more months. It won’t be possible 100% of the time to divert staff for in unit painting work for the entire time it will take to complete the fiber transition effort. We therefore asked Green Tech for a proposal to follow ASTOUND and complete the painting tier by tier. As we reported previously, they initially proposed to do this for $290 per unit. However, after further discussion, they’ve agreed to $200 per unit AND they will match the paint. This is more efficient than we would be able to do ourselves, and will free up our staff to be able to stay on track with the common areas, and give us greater flexibility to continue escorting ASTOUNDS fiber workers.
That is not to say though, we cannot divert staff internally when we are able to. The engineer has agreed there may be weeks when our go to staff painter would be able to act as the escort, and complete the painting in a number of units in tandem with Green Tech. With Astound moving to two tier installations at a time, we could conceivably have one member of our staff working with their painter from floor to floor completing two units at a time.
For now, we suggest securing Green Tech’s help as needed per unit for the duration of the Fiber Install effort.
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves the in unit painting of the fiber line installation locations as proposed by Green Tech Decoration Inc., as proposed at a rate of $200 per unit, to be funded by the Reserve fund.”
Listing Agreement For 14c
As previously reported to the Board, Management has been in negotiation with a potential commercial real estate broker to market and rent Association owned Unit 14c, formerly occupied by Go Grocer.
The purpose of this action item is for any Open Session discussion necessary, and if any motions are needed they can be proposed.
Outdoor Pool Plumbing Repair
Attached to the report for Board review are bids to address the leaking return line for the outdoor “kiddie pool”. Earlier this year this was discovered leaking into the bike room. It is a very minor leak, and we have been able to manage it without shutting down the pool during the summer season. This is similar to leaking we addressed two seasons ago being caused by the supply line.
Once we shut down for the season – probably mid to late September – we would like to complete the work before the winter. We should have time to make the repair and test the line before completely winterizing.
We have three bids for the masonry work and one more expected, and two for the plumbing as follows:
All Seasons Pool & Spa $18,550
Monson & Nicholas $13,225
Ward Contracting $14,850
All Seasons Pool & Spa $7860
Fettes, Love & Sieben $5820 (Plumbing Repair)
We suggest the low bidders Monson and Fetters for a total of $19,045. Unfortunately, this was unexpected and is not specifically budgeted for.
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves the repair of the leaking return line serving the outdoor pool, as proposed by Monson & Nicholas, Inc. for the concrete and masonry portion of the work at an expense of $13,225, and as proposed by Fettes, Love & Siben for the plumbing portion of the work at an expense of $5820, to be funded by the Reserve Fund.”
Garage Sprinklers Project
Attached to the report for Board review are proposals for planned improvements to the Garage Fire Sprinkler System. There are two parts to this project, budgeted for $135,000:
Sprinkler Head Replacement
Recent sampling and testing of random sprinkler heads resulted in failures and deficiencies consistent with what we would expect at their age. Thankfully, this was anticipated by the Reserve Study. The following bids were received:
Alert Fire Protection $43,500
Fox Valley $41,710
Johnson Controls $40,986
USA Fire Protection $83,530
Sprinkler Feed Valve Replacement
The valves serving the Garage Sprinklers are original and at risk of failing or becoming to difficult to use and maintain securely. This includes the very important backflow preventer which is tested annually with the presence of a City Inspsector. The bids received:
Biedron Htg & Cooling $54,350
Fettes, Love & Sieben $47,250
WJO Chicago $52,750
Everyone can easily see the Garage Sprinklers in person. The feed valves…
We suggest Fox Valley for the sprinklers and Fettes for the feed valves, for a total of $88,960. While Fox Valley is not the lowest bidder, they are most familiar with our Fire Control System and the small difference is worth having them manage this.
We also propose a provision of about 10% for unknown conditions, say $9000. It is possible with the scope of this work – namely the size of the sprinkler network – that other things will come up that need to be addressed as a part of this effort.
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves the planned garage sprinkler project, as proposed by Fox Valley Fire & Safety for the sprinkler head replacement portion of the work at an expense of $41,710, and as proposed by Fettes, Love & Siben for the plumbing portion of the work at an expense of $47,250, with a provision of $9000 to be funded by the Reserve Fund.”
Phase 1 Water Valve Replacement Project
Attached to the report for Board review are proposals for first of 3 phases (over 3 years) of planned improvements water valves throughout the building. The purpose, mapped out by the Reserve Study, is to fund the replacement of mostly old original water valves throughout the building. Phase 1 is budgeted for this year at $85,700.
Working with the building’s plumber and engineers, we identified two areas to prioritize for Phase 1:
Fire Hose Valves
These are the valves serving the fire house cabinets throughout the building. It is prioritized because of recent changes in code enforcement by the City of Chicago. These valves require a tool to open, and because of that fail to meet current standards. In fact, they could be considered “defective”. Researching with the Operations team at Habitat, they confirmed this is being enforced at other buildings and we could be found in violation if we do not update our valves. We cannot be grandfathered. Despite all that, in most if not all cases, these are the original valves. The bids are as follows:
Alert Fire Protection $36,000
Fox Valley $29,676.94 (they included pictures with their proposal)
Johnson Controls $26,317.75
USA Fire Protection $76,958.20
Crawlspace HVAC Isolation Valves
Nine main isolation valves remain unchanged in the crawlspace, serving HVAC risers. Many have been replaced over the years and are easily used and maintained. Those that remain may be very difficult to use in the event of an emergency. The bids are as follows:
Biedron Htg & Cooling $31,372
Fettes, Love & Sieben $______ (waiting for final proposal – we expect them to come in higher)
WJO Chicago $29,972
The picture looks scarier than it is, due to dirty insulation, but you can see what the typical original valve looks like when uncovered:
We suggest Fox Valley for the fire hose valves and WJO Chicago for the feed valves, at a total of $59,648.94. While Fox Valley is not the lowest bidder, they are most familiar with our Fire Control System and it is worth the difference to have them manage this.
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves Phase 1 of the water valve replacement efforts, as proposed by Fox Valley Fire & Safety for the stand pipe fire hose valve replacement portion of the work at an expense of $29,676.94, and as proposed by WJO Chicago for the HVAC isolation valve replacement portion of the work at an expense of $29,972, to be funded by the Reserve Fund.”
10 Year Chiller Tear Down
Attached to the report for Board review are proposals to perform the 10 year chiller tear down, which was last done 10 years ago. Our chillers (called simply Chillers #1 and #2) are in good condition and this effort is aimed at keeping it that way. We have identified one add on – compressor bearing replacement – for each chiller that will be completed as a part of this process and is included with the bids. This is expected based on present observations of the chillers performance. Also, eddy current testing will be done as a part of the process, which is a common method determining the condition of a chiller’s condenser and evaporator tubes for signs of weakening. This testing can help identify problems, prevent leaks, failures, and costly repairs.
This project was budgeted for $150,000. The bids received for this are as follows:
Johnson Controls $188,089
Kroeschell $199,990
WJO Chicago $178,214
We are presently getting bids for insulation work that will need to be done, which we expect to be around $25,000. We expect to present those at a future meeting.
This project cost around $100,000 by Johnson Controls the last time it was completed, however, the bearings were not included at that time which is about $42,000 of the present effort. Even considering this we are able to see the substantial impact of inflation over that time period.
We are planning to begin this work just as soon as cooling season ends, so it can be completed prior to the Spring. We see no reason not to choose the low bidder WJO, who is also the present maintenance contractor for our cooling plant.
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves the 10 Year Chiller Teardown project for both chillers as proposed by WJO Chicago, at an expense of $178,214, to be funded by the Reserve fund.”
Storm Sewer Basin Replacement
Attached to the report for Board review are proposals to perform the plumbing work necessary to replace the main drain feed out to the storm sewer basin. This will include some excavating in the north driveway, where the drain line meets the basin, and reconstruction and grading of the basin itself. We expected to complete this as a part of this year’s Operating projects under Plumbing/Sewer Repairs, which is a budget account for work that is a bit too much for our in-house plumber to do, but not necessarily so large that reserve funds are necessary. We expected this to be around a $10,000 effort based on the plumber’s experience. The bids received for this are as follows:
Fettes, Love & Sieben $9,820
Monson & Nicholas $14,233
WJO Chicago $14,750
Pictured below, the main drain line in the 1p garage alongside the basin cover in the North driveway:
A sample motion: “I move the Park Tower Condo Board of Directors hereby approves replacement of the storm sewer basin and adjacent main drain line as proposed by Fettes, Love & Sieben, at an expense of $9820.”
Renewal of BAS Maintenance Contract
Kroeschell Engineering’s contract to manage and maintain our building automation system, including devices and software throughout the building, expires this fall. This is the network which the engineers can access via the shop computer and remotely via their cell phones and home computers, allowing them to monitor HVAC operations, temperatures, air flow and functions of the boilers and chillers. They can make many changes and adjustments remotely when problems are reported, making response times after hours much more efficient.
Kroeschell offered to renew the contract (attached to the report for Board review) for a cap of 3% annually for the next 3 years. This falls well under our present budgeted expectations of 10%. We expected at the time of budgeting last year that for at least year 1, they would be able to command a much higher annual fee due to inflationary pressures. However, that was not the case.
Our maintenance team would prefer not to go through the RFP process at this time because they are very happy working with Kroeschell. Both engineers agree they are responsive, flexible and invaluably familiar with our HVAC system. Bringing in and training a new firm would be an unnecessary loss and burden. Considering that and the favorable renewal terms, management agrees.
A sample motion: “I move the Board of Directors approves the renewal of the Building Automation System Maintenance Contract as proposed by Kroeschell Engineering for three years, at a rate of $9855 for year 1, $10,151 for year 2 and $10,456 for year 3.”
Construction Requests
Attached to the report for Board Member review are remodeling packets for the following Unit Owners’ construction projects:
1108 – Hard Surface Flooring
1506/07/08 – Combining unit, Bathroom Remodel and Hard Flooring
4912 – Hard Surface Flooring
5507 – Hard Surface Flooring
A sample motion follows: “I move the Board of Directors approves the remodeling plans for 1108, 1506-07-08, 4912, and 5507, 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
Attached to the Report for Board Review is the June 2024 Balance Sheet and Statement of Income & Expenses as reported by the Habitat Company.
Fund Balances End of June 2024
Operating assets totaled $1,881,784 and the Reserve cash and investments were $4,551,451 for a total of cash and investments of $6,433,235.
June 2024 Revenue and Expenses
Total Operating Revenue: $665,867
Total Operating Expenses: $497,874
Income (Loss) From Garage: $26,631
Contribution To Reserve: $172,233
Total Surplus/(Deficit): $22,392
Actions On Investments
Several investments expired recently with WINTRUST Wealth Management, and in consultation with the Board Treasurer and President, reinvestments were made. Expiring investments included:
Treasury Bill $536,216 7/11/2024
Treasury Bill $528,982 7/15/2024
Treasury Bill $230,425 7/18/2024
Wells Fargo CD $219,853 8/2/2024
TOTAL: $1,515,476
The following reinvestments were made:
Customers Bank CD $250,000 For 4 Years at 4.45% EXP 7/24/28
Toyota Fin. Sav. CD $250,000 For 3 Years at 4.65% EXP 7/19/27
Valley National CD $250,000 For 3 Years at 4.60% EXP 7/26/27
UBS Bank CD $250,000 For 4 Years at 4.50% EXP 7/17/28
Treasury Bill $230,476 For 6 Months 4.975% EXP 1/9/25
Bank of America CD $220,000 For 2 Years at 4.45% EXP 8/7/26
TOTAL: $1,450,476
The investment confirmations are attached to the report for Board review. It would be appropriate for the Board to ratify this action, and reaffirm the policy for Management to consult with the 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 5 CDs and one Treasury Bill, totalling $1,450,476 from funds available from matured investments as reported, through Wintrust Wealth Management, 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 updated Monthly Activity Report, and the Sales and Lease Reports.
ADJOURNMENT
There being no further business, the Board will consider adjourning the meeting.
A sample motion: “I move the Board of Directors adjourns the August 12, 2024 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 scheduled for August 26th and September 9th at 7:30PM, to be held in the 2nd Floor Party Room unless otherwise posted.
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