Call To Order at 8:17 pm 

Members Present

Michael Parrie; Paul Heck; Jean Shamo; David Nicosia

Member Absent

Monique Fouant

Management

Dave Barnhart, Property Supervisor; Timothy Patricio, Property Manager; Amir Cobalovic, Assistant Manager

Committee Reports

Social Committee Chair Sheldon Atovsky indicated there would be a Committee Meeting on Wednesday August 23rd in the Party Room at 1pm.

Health Club Committee Chair Ken Anderson indicated there would be a Committee Meeting on Tuesday August 15th in the Party Room at 4pm. He expects discussion about the pool and locker rooms, and is optimistic the locker rooms will open this week.

Board Report

Board President Michael Parrie thanked Owners for their patience as the Association wraps up some major projects around the building, including the masonry/tuckpointing on the 1^st floor brick perimeter, the 2^nd floor deck planting/irrigation, the health club renovation, and the indoor pool.  He asked for continued patience as we gear up for the tower roof replacement and anchor system on the 56^th floor.

Also, on behalf of the Board he urged that all owners vote for the 12c foreclosure/resale and other amendment issues and said to expect follow-up mail and phone calls if you have not responded.  Your vote is essential!

Additional Agenda Item

After a motion by Paul Heck, seconded by Dave Nicosia, the Board of Directors voted unanimously in favor of a resolution to add to the agenda a request from the Unit Owner of 4412 for an exception from the leasing restrictions.

Action Items – New Business 

Closed Session Business

After a motion by Michael Parrie, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to fine 9 Unit Owners who have not provided adequate proof of insurance $100 for the first month, to double thereafter for each subsequent month, up to a maximum fine of $1,000 per month, until adequate proof of insurance is provided.

After a motion by Michael Parrie, seconded by Jean Shamo, the Board of Directors voted unanimously in favor of a resolution to fine 8 Unit Owners whose residents have not attended the new residents meeting, $50 for the first month, to double thereafter for each subsequent month, up to a maximum fine of $200 per month, until attendance at the new residents meeting is fulfilled.

Minutes – Board Meeting July 24, 2017

After a motion by Dave Nicosia, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to approve the minutes from the Board Meeting held on Monday July 24th, 2017.

2016/2017 Audit Acceptance

After a motion by Jean Shamo, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to accept the audit of the Park Tower Condo Association’s Financial Statements for the 2016/2017 Fiscal Year as presented by Picker and Associates, Inc.

After a motion by Jean Shamo, seconded by Dave Nicosia, the Board of Directors voted unanimously in favor of the following resolution, WHEREAS, the Board of Directors (the “Board”) of Park Tower Condominium Association (the “Association”) is the governing body of said Association and is charged with the direction and administration of the Property subject to that certain Declaration of Condominium for Park Tower Condominium, as from time to time amended (the “Property”); and WHEREAS, the Declaration provides that the Association is obligated to maintain, repair, and replace the common elements located in the Property; and WHEREAS, an accounting for the 2016/2017 fiscal year revealed that there is an accumulated amount of cash in excess of the amount required for actual expenses (“excess”) in the amount of $92,894; and WHEREAS, the Board has reviewed the status of the Association’s capital reserve account; and WHEREAS, the Condominium Property Act requires, pursuant to section 9 (c) (2), the Association to maintain reasonable reserves for capital expenditures and deferred maintenance for repair or replacement of the common elements located in the Property; and WHEREAS, the Board has considered the following factors relative to the reasonableness of the Association’s reserves:

1) The repair and replacement cost, and the estimated useful life, of the property which the Association is obligated to maintain, including but not limited to structural and mechanical components, surfaces of the buildings and common elements, and energy systems and equipment;

2) The current and anticipated return on investment of the Association’s reserve funds;

3) The amount that the Association’s most recent capital reserve study provides should be on deposit in the capital reserve account;

4) The financial impact on the unit owners in the market value of the condominium units of an immediate assessment increase to fund the reserves and

5) The ability of the Association to obtain financing or refinancing as a supplement to the capital reserve account; and

WHEREAS, after due consideration of the foregoing factors, the Board contends that their fiduciary duty demands that the excess funds be transferred into the capital reserve account. NOW, THEREFORE, BE IT RESOLVED that the Park Tower Condominium Association Board of Directors approves the transfer of $92,894, the identified year-end operating fund surplus cash for 2016/2017, to the Association’s reserve account, after taking into consideration the criteria for establishing a reasonable reserve set forth in Section 9(c)(2) of the Illinois Condominium Property Act, in order to more properly fund said reserve account.

12c Initiative Proxy Forms – PTCA Owned Units

After a motion by Paul Heck, seconded by Dave Nicosia, the Board of Directors voted unanimously in favor of a resolution to approve and vote in favor of the proposed purchase and subsequent sale of Unit 12(c) as it relates to Units 311, 511, 7(c), 14(c), and 15(c), and designates the Board President as primary proxy, and Board President and Board Secretary as signers for the Proxy Forms for said units.

Unit Owner Request – 906 Use of Deck

After a motion by Dave Nicosia, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution approving use of the roof deck by owners who have reserved the Party Room. 

Unit Owner Requests – Leasing Policy Exceptions

After a motion by Jean Shamo, seconded by Paul Heck, the Board of Directors voted in favor of a resolution to deny the rental exception request for the Unit Owner of 4914. The vote was 3 to 1 in favor, with Dave Nicosia voting against the resolution.

After a motion by Jean Shamo, seconded by Paul Heck, the Board of Directors voted in favor of a resolution to deny the rental exception request for the Unit Owner of 4412.

Additional Security Camera – Health Club

After a motion by Paul Heck, seconded by Jean Shamo, the Board of Directors voted unanimously in favor of a resolution to approve the proposal by Chicago Building Services, at a cost of $1,802.79 for the for the addition of a security camera (consistent with the camera system being installed), to view the corridor into the pool area and weight room.

Garage Plumbing Repair

After a motion by Dave Nicosia, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to approve a proposal for the replacement of cast iron drain pipe and drain heads in the 1p garage, as proposed at a cost not to exceed $19,500.

Prospect Resources Gas & Electric Authorization

After a motion by Jean Shamo, seconded by Dave Nicosia, the Board of Directors voted unanimously in favor of a resolution to authorize extension of the current agreement with Prospect Resources, to continue hedging for and securing the purchase of natural gas and electricity for Park Tower through March 2023, at the current agreed upon rates, terms and conditions.

Business Reports

Treasurer’s Report

Board Treasurer Jean Shamo reported fund balances at the end of June 2017, including Operating Funds at $509,400, Reserve Funds at $1,870,038, for Total Cash and Investments $2,379,437.

The Treasurer also reported total June Income was $504,087, total June Expenses were $301,689, income from garage activity was $18,371, and the budgeted contribution to Reserve was made, $131,417. There was a Surplus from operations in the amount of $89,352.

CD Purchases

After a motion by Jean Shamo, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to approve the purchase of an $80,000 Certificate of Deposit with a 1.5% interest rate for 12 months with Delaware Place Bank for the Operating Contingency Fund, scheduled to mature on August 7, 2018.

After a motion by Jean Shamo, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to approve the purchase of an $100,000 Certificate of Deposit with a 1.5% interest rate for 12 months with Delaware Place Bank for the Reserve Fund, scheduled to mature on August 7, 2018. 

Management Report

Property Manager Timothy Patricio reported on current business and activities, including the recently completed fob audit, the status of the coming roof replacement and the pool and locker room projects, key date from the monthly activity report, and the most recent sales activity.

Adjournment

There being no further business, after a motion by Dave Nicsosia, seconded by Paul Heck, the Board of Directors voted unanimously in favor of a resolution to adjourn the August 14th, 2017 Board Meeting at 8:56PM.

Signed (as seen on pdf, clickable at upper right corner of these minutes)

Michael Parrie, Board President

David Nicosia, Secretary