Board Meeting Monday February 8th
January 15, 2021
BOARD OF DIRECTORS MEETING
AGENDA & REPORT
Monday February 8, 2021 7:30pm
Via “ZOOM” Meetings Online
6:30PM – CLOSED SESSION (Via ZOOM With PT Board)
7:30PM – OWNER FORUM – Via Zoom Chat
ZOOM Meeting ID #843-4440-2518
ZOOM Meeting Link https://us02web.zoom.us/j/84344402518
ZOOM Conference #1-312-626-6799
OWNER FORUM – Via Zoom Chat The meeting chair, expected to be Board President Michael Parrie, will confirm a quorum of Board Members is present via ZOOM. 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 Board President 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 – Special Meeting January 11, 2021
Attached to the meeting report for Board Member review, are the proposed minutes from the Special Meeting of the Unit Owners to discuss the proposed 2021/2022 Fiscal Year Budget, held on Monday January 11th, 2021, as submitted by Timothy Patricio, Property Manager.
A sample motion: “I move the Park Tower Condo Board of Directors of the Park Tower Condo Association hereby approves the minutes from the Special Meeting of the Park Tower Condo Association Unit Owners to discuss the proposed 2021/2022 Operating Budget, held on Monday January 11, 2021.”
- Minutes – Board Meeting January 11, 2021
Attached to the meeting report for Board Member review, are the proposed minutes from the Board of Directors Meeting held on Monday January 11, 2021, as submitted by Timothy Patricio, Property Manager.
A sample motion: “I move the Park Tower Condo Board of Directors of the Park Tower Condo Association hereby approves the minutes from the Board Meeting held on Monday January 11, 2021.”
- Updated 22.1 Disclosure
Attached to the report for Board Member review is the updated 22.1 disclosure 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:
(1) A copy of the Declaration, by-laws, other condominium instruments and any rules and regulations.
(2) 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 instruments.
(3) A statement of any capital expenditures anticipated by the unit owner’s association within the current or succeeding two fiscal years.
(4) 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 Managers.
(5) A copy of the statement of financial condition of the unit owner’s association for the last fiscal year for which such statement is available.
(6) A statement of the status of any pending suits or judgments in which the unit owner’s association is a party.
(7) A statement setting forth what insurance coverage is provided for all unit owners by the unit owner’s association.
(8) 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 instruments.
(9) 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 notices.
As a matter of routine, we update this regularly, and will present it for Board review and approval.
A sample motion: “I move the Park Tower Condo Board of Directors of the Park Tower Condo Association approves the 22.1 disclosure as drafted for February 2020.”
Should the Board wish to make edits to the budget, it should be noted in the resolution, as well as whether a revised proposed budget should be mailed to the ownership.
- Roof Deck Barbecue Stations
A project previously considered for 2020 but put on hold due to the pandemic, the purpose of this Action Item is by request for Board to consider whether we pursue this in 2021. We expect Home Improvement Commission Chair Erik Butka to attend the meeting to assist discussing the improvement and helping address any questions.
This was originally built into the budget as an operations project at about $16,000, but other considerations were discussed at meetings for lighting and layout. Before the pandemic, the estimate was about $18,000 for the stations and $10,000 for lighting and electrical.
A resolution is likely not necessary, however, the Board could consider formal direction on whether to pursue the endeavor.
- 1P Storage Locker Layout
With the first half of the garage project done, if the Board would like to proceed with the previously discussed storage locker project on 1P, we can begin. However, a few things have changed since this was last considered. Keep in mind, this was budgeted for $15,000 in 2019/2020. The funds were not spent, and the surplus was moved to the Reserve. We would suggest the funding discussed below therefore come from the Reserve, potentially coded to the Garage Project account.
As our team began looking at this as a more serious possibility, we confirmed the cages will need to be enclosed in a fire retardant room. So, double drywall and a fire rated door will need to be installed as a part of the enclosure. Attached to the report for Board Member review is the quote for the 1p lockers, and the estimate with that and the materials needed are as follows:
Lockers: $7867
Building Materials: $5000 (drywall, framing, finishing supplies, etc.)
Fire Door: $2000
Total: $14,867
With the exception of the lockers, the numbers are estimates from recent supply purchases, and those prices can be volatile under the present economy. If the Board wishes to proceed, we would suggest a budget of $15,500.
The team already marked up a potential layout. Pictures of each exposure are attached to the report for Board Member review, but we encourage to visit 1p if you are able. This is the southeastern most corner of the garage. Visiting the location may give you a better sense of what is proposed.
Once completed, the spaces would be offered for rental. We will begin working on a formal proposed fee structure should be the Board wish to proceed.
A sample motion follows: “I move the Board of Directors of the Park Tower Condo Association establishes a budget of $15,500 for the purchase of building supplies and materials for the installation storage lockers on 1p as proposed by the staff, for the future licensing to residents for a fee to be determined.”
- Pool Corridor Roof & Gutters
Attached to the report for Board Member review, are bids for this project budgeted for the 2021/2022 fiscal year for an as is replacement of the pool walkway roof and gutter system. The estimates are as follows:
JLJ Contracting $39,295
Knickerbocker Roofing $59,450
We are awaiting a third proposal.
The budget for this project is $60,000. We suggest approval to include a provision for unknown conditions. Due to the location and the nature of the work, as well as the history of leaking we’ve had to address, we would suggest 25% or about $10,000.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association approves a contract with JLJ Contracting as proposed at a cost of $39,295 for the replacement of the pool area walkway roof and gutter system, and an additional provision of $10,000 to address unknown conditions should they arise.”
- Pool Area Roof
Attached to the report for Board Member review, is an engineering proposal from Wiss, Janney Elstner Associates, and an as is replacement quote for the pool area roofing panels, sealants and skylight. This project is budgeted for the 2021/2022 fiscal year. The budget for the project is $272,600.
There are two possible approaches. What we have now, with Option #2 proposed by WJE, is an as is replacement. They will insure the design is sound and panels are still consistent with present building codes. We suspect they are because they remain available for purchase and use. And, they’ve survived almost 30 years, which is an excellent track record.
However, the tricky part is bidding. Structures Unlimited is the original contractor and only supplier for the product. So they have a huge advantage over other contractors. For example, JLJ Contracting and Knickerbocker turned the job down. The Owner of JLJ Contracting told us they suspect their proposal would be double that of Structures Unlimited, so they would not even come out to measure and take the time to put together a proposal.
So, our recommendation would be to proceed as presently proposed:
WJE Option #2: $20,000
Structures Unlimited: $236,400
Total: $256,400
We believe there is a chance unknown conditions may arise. If you believe this is how best to proceed, we suggest approval to include a provision for unknown conditions. Due to WJE’s suggestion that code issues be researched, as well as the history of leaking we’ve addressed in recent years, we would suggest 15% or about $35,500. This would result in a total project cost of $291,860 if necessary. However, with the anticipated savings from the walkway project, altogether we would remain reasonably close to budget.
If the Board is not comfortable, our team could seek out other contractors for bids though we may have to approach some who are unfamiliar with Park Tower. Even then, we don’t believe quotes will be competitive.
The 2nd possible approach, would be to hire WJE to begin the process of designing specifications and a formal bid package. Obviously their estimate just for engineering, at $44,000 under their Option #1 proposal, is well above budget consideration for engineering. We also believe there is a strong chance such a direction would mean a far more costly solution. In off the record conversations the WJE reps and contractors have suggested it would be in excess of a half million dollars.
We believe for reasonable expense and timing to proceed with the first approach.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association approves a contract for hiring Wiss Janney Elstner and Associates, as proposed for their Option 2 solution at a cost of $20,000 to conduct a peer review for the Pool Area Roof Project, as well as a contract with Structures Unlimited Inc. for repairs and replacement of the pool area roof paneling, sealants, framework and skylight at a cost of $236,400, and an additional provision of $35,500 to address unknown conditions should they arise.”
- Fan Coil Loop Pumps
Attached to the report for Board Member review, are bids for replacement of fan coil loop pumps #1 and 2, also known as Dual Temp Pumps. This was originally proposed for fiscal year 2020/2021.
Fluid Technologies $166,752
OMNI-PUMP $116,250
Quality Mechanical $116,970
Also, we need to integrate the new pumps into the control system, and have the necessary programming done, Kroeschell Inc., estimated $5,179 for the time and material to complete the work. (Kroeschell being our ‘OTIS Elevator’ for the control system, to give an apt comparison.)
We are awaiting a third proposal.
The budget for this project is $154,900. The Chief Engineer is doing a last minute review to insure the proposals are as apples to apples as possible, and should have that completed in time for the meeting. Without any significant changes, we see no reason not to approve the low bidder.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association approves a contract with OMNI-PUMP Repairs Inc., as proposed at total cost of $116,250 for the replacement of two dual temp pumps (also known as fan coil loop pumps) as well as all ancillary valves, strains and insulation, and a contract with Kroeschell Inc., for integration of the pumps into the Building Automation Control System as proposed for a cost of $5,179.”
- Exterior Masonry and Sidewalk Repairs
Attached to the report for Board Member review, are bids for budgeted repairs to the north and east masonry and flashing work, and targeted sidewalk repairs and replacements at the north and east exposure of the building, and the very north west corner of the property line by mouth of the north driveway.
The proposals are as follows:
JLJ Contracting $163,510
Quality Restoration $199,000
J. McGuire $210,100
We will need to get a permit for this work, which we expect to cost around $2,500.
The budget for these projects combined is $168,600. With the permit, the low bidder is JLJ at $166,010. We suggest approval to include a provision for unknown conditions. Masonry can hide a lot of surprises so we would suggest about 20% (of JLJ’s Masonry portion of the estimate $145,950) or about $30,000. While this could go over budget, there are safety concerns with some of the sidewalk conditions and these are the final locations which need the flashing repairs completed. Locations along the North wall and directly behind the market have had leaking issues and do need to be addressed.
We are hopeful because JLJ has done most of this work in recent years, they are familiar with the building and general conditions, and therefore their quote is pretty solid.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association approves a contract with JLJ Contracting as proposed at a cost of $163,510 for exterior masonry and sidewalk repairs, and an additional provision of $30,000 to address unknown conditions should they arise.”
- Driveway Asphalt Replacement
Attached to the report for Board Member review, are bids for budgeted replacement of the driveway asphalt. This project would be split with 5445 North Sheridan. Their portion is 30.01%. However, at the time this report was drafted, we are still waiting for comments from their Management.
The proposals are as follows:
JLJ Contracting $79,190 (of which 5445 would be responsible for $23,835)
Kaplan Paving $35,124 (of which 5445 would be responsible for $10,572)
Monson & Nichols $51,610 (of which 5445 would be responsible for $51,610)
We may need to get a permit for this work, which we expect could cost as much as $2,500.
Also, we are clarifying that Kaplan’s bid should be 2” removal which is 1.5” compacted. The differences in square footage is pretty immaterial considering the pricing. Each vendor has their own methodology for measurements. Some things to note – JLJ is the incumbent for this work, and Kaplan is the low bidder but estimated the largest quantity in square footage.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association approves a contract with Kaplan Paving for replacement of the driveway asphalt as proposed at a cost of $_________* , provided an agreement is reached with 5445 North Sheridan for them to fund their portion of approximately 30.01% of the total cost.”
- Ratify Garage Air Dampers Repair
Upon investigating a problem with automated air dampers serving the parking garage exhaust fan, it was discovered they were seized up and suffering serious deterioration. Similar work was already done in recent years in other locations by Quality Mechanical, so they were contacted and asked to begin the process to replace them immediately. Attached is the proposal, executed by Management. Being time, temperature and energy sensitive – with particular focus on the fact we are in the middle of winter – this work was approved by Management to proceed as immediately as possible, consistent with the emergency spending provision in the Management Contract.
As a formality, we request the Board ratify this action. We also suggest the Board direct this be paid for from the Reserve. Overall, planned HVAC reserve projects in 2020 came in under budget, and this is a perfectly legitimate reserve expense.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association hereby ratifies the action by management to approve a contract with Quality Mechanical, Inc., as proposed at a cost of $12,350.”
- Ratify Replacement Of Main Pool Heaters
Upon recent inspection, the area in and around the enclosure for the main pool heaters is leaking and deterioration have been occurring. Pictures are attached for Board Member review. Active leaking and signs of deterioration outside the enclosure were becoming apparent. Because of the potential for extensive damage to the surroundings and other problems that could lead to the closure of the pool, Management authorized their replacement as immediately as possible, consistent with the emergency spending provision in the Management Contract.
As a formality, we request the Board ratify this action.
A sample resolution follows: “I move the Board of Directors of the Park Tower Condo Association hereby ratifies the action by management to approve a contract with All Seasons Pools & Spas, as proposed at a cost of $8,876.53.”
- Construction Request
Attached to the report for Board Member review are remodeling packets for the following Unit Owner construction projects:
3915 – Flooring Installation
4101 – Washer & Dryer Install
A sample motion follows: “I move the Board of Directors approves the remodeling plans of units 3915 and 4101 as submitted by the unit owner, 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
- Treasurer’s Report
Attached to the Report for Board Review is the December 2020 Balance Sheet and Statement of Income & Expenses as reported by the Habitat Company.
Fund Balances End of December 2020
Operating assets totaled $1,190,011 the Reserve cash and investments were $2,625,234 for a total of cash and investments of $3,815,245.
November 2020 Revenue and Expenses
Total Operating Revenue: $560,535
Total Operating Expenses: $415,210
Income (Loss) From Garage: $5,730
Contribution To Reserve: $149,258
Total Surplus: $1,797
- Management Report
Business and Activities – Property Manager Tim Patricio will review current business and activities of interest. The Monthly Activity Report is attached to the meeting report for Board review.
Engineer’s Report – Property Manager Tim Patricio will review items of interest from Maintenance.
Recent Sales Activity – Property Manager Tim Patricio will review the most recent Sales. The current Sales & Lease reports are attached to the meeting report for Board review.ADJOURNMENT
There being no further business, the Board will consider adjourning the meeting.
A sample motion: “I move the Board of Directors adjourns the February 8, 2021 Board Meeting at ____PM.”
OWNER FORUM – Via ZOOM Chat
The Board of Directors and Management will welcome and address feedback and questions from Unit Owners via ZOOM chat.
The next Board Meetings are scheduled for Monday February 22nd and March 8th. All meetings will continue to be held online via ZOOM. Instructions to join the meeting will be posted in advance on our bulletin boards, and the website at www.ptcondo.com.
About the Author: Tim Patricio
Park Tower Horizons
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