A signed copy of these and all minutes going back to the 1980’s are available from the Management Office upon request.

Board Members Present

Bob Pierce, President; Phoebe Helm, 1st Vice President; Sandra Goldberg, 2nd Vice President; Herbert Hellauer, Treasurer; Nessim Hanna, Secretary

Management Representatives

Mary McQuillan, Property Supervisor; Christina Epple, Property Manager; Mavis Mather, Assistant Manager

These are the minutes of the Board of Directors of the PARK TOWER CONDOMINIUM ASSOCIATION, an Illinois not-for-profit corporation.

Call to Order

Bob Pierce chaired and called this meeting to order at 6:36 p.m.

Residents Comments Regarding the Agenda

Susan Pestine would like the Board to address the issues with Parking in the Garage during the project.

The Board reiterated that the questions and comments taken in this part of the Board meeting are to be about the proposed agenda and that there will be a time for questions and comments later in the meeting.

Don Yuratovac would like the Board to consider the uniform enforcement policy for the companies being considered for the new security contract. The Board thanked Mr. Yuratovac for his comment; they will take it into consideration later in the meeting.

Don Yuratovac would like the Board to consider the scope of work that has been accomplished by Draper and Kramer since taking over the contract. The Board thanked Mr. Yurativac for his comment currently the action item is for an RFP but the Board consider this comment when the contract is being decided on.

Lorraine Meyer would like to know why after 25 years we are still having heat related problems with car #5 and what the problem actually is. Christina Epple explained that the elevator pit in car #5 is shorter by about 3 feet than any of the other elevator pits and so the air in the shaft gets hotter much faster than the other cars.

Carlos Vargas would like the Board to consider all of the things that Lettuce Entertain You has done for us with regards to the garage project before considering the car washes. The Board thanked Mr. Vargas for his comment; they will take it into consideration later in the meeting.

Robert Singer would like to know if Lettuce Entertain you would be paying for the car washes. The Board explained that the action item is to fulfill a promise that was made by the previous Board of Directors.

Robert Singer would like to know if the garage ramp modifications being considered are proposed because of structural reasons or ease of access. The Board explained that the modifications are being proposed to meet the ADA compliance requirements.

Action Items

Minutes July 31, 2006 The Board Meeting commenced with consideration of the minutes of the Board of Directors’ meeting held on Monday July 31, 2006. Upon due motion by Herbert Hellauer and seconded by Sandra Goldberg, the Board voted to postpone the approval of the minutes of the July 31, 2006 Board Meeting.

Budget and Finance Committee Meeting Schedule Resolved to approve the following schedule for the Budget and Finance Committee meeting for the creation of the 2007/2008 budget as submitted by Management:  October 16, 2006 – Overview and Revenue; October 30, 2006 – Revenue and Expenses; November 6, 2006 – Expenses; November 13, 2006 – Reserves; December 4, 2006 – Final Budget Review; December 18, 2006 – Committee recommends proposed draft budget for distribution to owners. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board voted to approve the Budget and Finance Committee meeting schedule as submitted by Management.

Window Cleaning Resolved to approve the expense of a window cleaning contract for an additional window washing separate from the budgeted 2006 cleaning contract. Upon due motion by Herbert Hellauer and seconded by Phoebe Helm, the Board voted to approve the expense of an additional window cleaning.  Herbert Hellauer voted in favor; Phoebe Helm, Sandra Goldberg, and Nessim Hanna voted against.  The motion failed.

Garage Ramp Resolved to authorize the Board President review the drawings submitted by WJE and to further authorize him to make the decision to approve or disapprove the drawings on behalf of the Board.  This decision will be ratified in the next Board Meeting. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board voted to authorize the Board President to review the drawings from WJE and to either approve or disapprove of the drawings on behalf of the Board.  Phoebe Helm would like to state that she is not satisfied with the service provided by WJE.

Reserve Study Resolved to direct Management to create a request for proposal for a comprehensive reserve study for vendors and to further direct Management to get at least three bids. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board voted to direct Management to create an RFP for a comprehensive reserve study and to receive at least three bids.

Painting Contract Resolved to postpone the awarding of the contract for a vendor to perform painting in the garage until more information on the vendors and the warranties included in the proposed contracts have been provided. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board voted to postpone the awarding of the garage painting contract until further information is received.

Pool Liner Resurfacing Resolved to approve the contract to resurface the pool liner to Chicago Tank Lining in the amount of $73,650.00, provided that the vendor provides specifications on the fill process that they will use after the completion of the resurfacing project. Upon due motion by Nessim Hanna and seconded by Phoebe Helm, the Board voted to approve the contract to resurface the pool liner to Chicago Tank Lining in the amount of $73,650.00 provided the vendor specifies the fill process. Resolved to direct Management to get quotes from engineering companies to perform a stress test on the concrete structure of the pool before the resurfacing project is preformed; the Board further authorizes the Board President to decide on the engineering firm to be hired to perform the stress test in addition to authorizing the approval for the concrete work that might be necessary. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board directs Management to get quotes for performing a stress test and further authorize the Board President to approve the firm to perform the test and any necessary concrete work.

Jacuzzi/Spa Resolved to direct Management to obtain proposals for the remodeling of the Jacuzzi that are comparable to each other and that include warranty information and references; the Board further approves the Board President to choose the vendor to remodel the Jacuzzi. Upon due motion by Nessim Hanna and seconded by Phoebe Helm, the Board directs Management to search for further vendors to submit proposals for remodeling the Jacuzzi and to further approve the Board President to choose the vendor.

Lettuce Entertain You Car Washes Resolved to approve the purchase of 60 carwash tickets from Snappy Carwash at $12.00 per ticket for a total of $720.00 to provide to Lettuce Entertain You to fulfill a promise made by the previous Board. Upon due motion by Sandra Goldberg and seconded by Phoebe Helm, the Board voted unanimously to approve the purchase of 60 carwash tickets from Snappy Carwash for a total cost of $720.00.

Security Contract Resolved to approve the Board President to award the building security contract to either Intertech or Initial Security based on references to be provided by Management.Upon due motion by Nessim Hanna and seconded by Phoebe Helm, the Board voted unanimously to approve the Board President to award the security contract to either Intertech or Initial Security.

Otis Elevator Change Orders 

• Recall Panel Wiring Resolved to approve the change order to the elevator mod project, submitted by Dunning Electric and approved by the project consultant Donnelly & Associates as defined by change order #LC17831 in the amount of $4,950.00. Upon due motion by Phoebe Helm and seconded by Nessim Hanna, the Board voted to approve the change order as defined in #LC17831 in the amount of $4,950.00.  Phoebe Helm and Sandra Goldberg opposed the motion as they object to the placement and size of the recall panel.
• Car #5 Resolved to approve the change order to the elevator mod project, submitted by Otis Elevator and approved by the project consultant Donnelly & Associates as defined by change order #1908 in the amount of $9,001.38. Upon due motion by Phoebe Helm and seconded by Nessim Hanna, the Board voted unanimously to approve the change order as defined by #1908 in the amount of $9,001.38.

RFP for bid on Management Contract Resolved to approve the creation of a request for proposal to go out to bid on the Management Contract. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg, the Board voted unanimously to create an RFP to go out to bid on the Management Contract.

Unit Owners Request to Remodel Resolved to approve the remodeling of units 2506, 5201-electrical, 5201-flooring, and 5201-bath 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 and with the clarification that the shut-off valves in 5201 are required to be accessible and that the Park Tower guidelines and City Code require copper piping and that the risers and branch lines are to be replaced at Park Towers expense.  Mary McQuillan stated that this expense is not budgeted for. Upon due motion by Nessim Hanna and seconded by Phoebe Helm, the Board voted unanimously to approve the remodeling of units 2506, and 5201.

Treasurers Report (Herbert Hellauer)

According to the July 31, 2006 Financial Statements the operating cash account at LaSalle Bank totaled $186,814.  The petty cash account totaled $500.00.  The Payroll account totaled $36,000.00.  The total amount in Operating funds totaled $223,314.  The account at the MAX SAFE account at Barrington Bank totaled $246,085.   The Smith Barney account balance totaled $2,440.   Seventeen Certificates of Deposit totaled $1,632,501.  The total of all replacement reserves funds was $1,878,586.  The total of all cash and investments was $2,101,900.

The CD at IndyMac Bank reached maturity and was closed with the total of $96,031.00 deposited into the MAX SAFE account at Barrington Bank.

Management Report (Christina Epple)

• The scavenger rebate for the period of January 1, 2006 through June 30, 2006 has been filed with the city.
•  The last phase of the garage project that comprises of shot blasting the concrete and applying the seal coat will begin on Monday.  The final power washing will be held on Tuesday with the striping being applied on Wednesday.  Parking will resume on both levels on Thursday.
• Last Thursday a notice was posted from Sheridan and Pearlman stating that the appeal of the property tax increase has been denied.  The Board will reopen for further appeal in November of December at which time Michael Sheridan will appeal again.
• Over the last several days roof repairs were made to the deck area after many leaks had occurred in the dentist’s office.  The cause of these leaks was from the rubber surface under the deck that had bubbled.  A new coating was applied on Thursday and will be tested with water after the coating has set.  If the water tests do not come out favorably there will have to be a larger repair.
• Since the last Board meeting I have had 6 meetings with Otis Elevator, 1 meeting with office staff, 9 meetings with Zera Construction, 2 meetings with WJE, 3 meetings with York International, 2 meetings with the post office, 3 meetings with Jesperson Plumbing, 3 meetings with Standard Parking, 1 meeting with the security committee, 1 meeting with the garage committee, and 3 other meetings.
• After the brown out at the last Board meeting I emailed Robert at Exelon Corporation to get the readings for the building from Rosehill.  In Robert’s response he stated that a 12000 volt line had been lost due to a failure which created a momentary depression in voltage.  This line failure lasted for a few seconds while the system righted itself resulting in the tripping of controls and motors.

Board Report (Bob Pierce)

• There was a security committee meeting on August 15, 2006 where the committee met with the representatives of the companies that provided bids earlier tonight.
• The Board of Directors will be holding a utilities workshop on the purchasing of gas and electric on Tuesday August 22, 2006 at 6:30pm in the Party Room.  All residents are invited to attend.

Open Comments, Questions from Residents

Carlos Vargas would like to know why the recall panel could not be placed between the lobby and the low-rise side of the building. Bob Pierce explained that this area is directly above the mains and the wiring would not be able to be run through this area.

Terry Betty-Lundy would like to clarify that the glass partition was placed on the low-rise side of the lobby because people were bypassing the Front Desk to get into the building.  Secondly would like to know if the current security personal will be staying when the security company changes as she would not like to loose Mike Rupert as head of security. Bob Pierce stated that the lobby design will be revisited at budget season but is currently tabled, secondly the security companies were asked to incorporate the current personal in their proposals.

Vince DiFruscio asked if spare circuit boards were purchased to keep for backups after the brown-out during the last Board Meeting. Christina Epple said that we had purchased 2 spares to keep on hand.

Bob Singer would like to inquire as to if the Rules and Regulations could be changed to allow the fining of units that produce bad smells in the common areas. The Board stated that the Rules were recently changed to be worded with disturbances rather than noise complaints.

Don Yuratovac would like to state that bad smells differ from person to person and that it would be impossible to try to define what a bad smell is.  Secondly would like the Board to limit the number of projects going on at once as the amount of meetings stated in the management report seemed excessive.

Carlos Vargas would like to know if car #5 can be programmed to open on the passenger side when a high-rise elevator is out of service. Christina Epple stated that car #5 can only be programmed to open on either sides or only the freight side.  When another high-rise elevator is out of service we will switch car #5 to open on both sides.

Terry Betty-Lundy would like to know if the issue on the 43rd floor stairwell was resolved. Christina Epple stated that the issue was resolved.

Susan Pestine would like to know why other people are allowed to park in her self park space on 1-P when the garage project was completed. Christina Epple stated that the garage project is not complete but is expected to be completed by the end of August.

Vince DiFruscio would like to know if the Board would be planning to review the garage contract when after the membrane project is completed. The Board stated that the garage committee has been meeting with Management and Standard Parking to try to resolve issues in the garage.

Bob Singer would like to point out that the garage stickers reflect the space numbers and that the garage manager should be onsite during the key hours. Management will address these issues the next time that they meet with Standard Parking.

Approval of Closed Session

Resolved to approve the suspension of the August Board Meeting so that the Board of Directors may hold an executive session to discuss issues such as litigation, employment and/or violation of the rules and regulations that may not be discussed in an open forum. Upon due motion by Sandra Goldberg and seconded by Phoebe Helm the Board unanimously voted to suspend the August Board meeting to allow for an executive session of the Board of Directors.

The Board reconvened at 9:53pm

Approval of Motions Resulting from Discussions in Closed Session  

Resolved to direct Management to proceed with legal action against a unit owner in which legal fees will be billed back to the owner. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg the Board unanimously voted to direct Management to proceed with legal action against a unit owner.

Resolved to waive $600.00 in insurance fines for an owner who has provided proof of coverage without lapse for the entire period. Upon due motion by Phoebe Helm and seconded by Sandra Goldberg the Board unanimously voted to waive $600.00 in insurance fines.

Resolved to waive $62.00 in work order charges incurred through a miscommunication. Upon due motion by Phoebe Helm and seconded by Nessim Hanna the Board unanimously voted to waive $62.00 in work order charges.

Resolved to direct Management to send a 60 day notice of cancellation to Magnum Security. Upon due motion by Phoebe Helm and seconded by Nessim Hanna the Board unanimously voted to direct Management to send a 60 day notice of cancellation to Magnum Security.

Approval to Adjourn

Upon due motion by Sandra Goldberg and seconded by Herbert Hellauer the meeting adjourned at 9:56 pm.

Bob Pierce, President

Nessim Hanna, Secretary