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

Board Members Present

Vince DiFruscio, President; Bob Pierce, 2nd Vice President; Rosalie Sutcher, Treasurer; Nessim Hanna, Secretary

Board Members Absent

Herbert Hellauer, 1st Vice President

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.

Unit Owner Comments

Prior to the meeting there was time for Homeowner questions and comments.

Call to Order

Vince DiFruscio chaired and called this meeting to order at 8:04 pm.

Approval of Minutes

The Board Meeting commenced with consideration of the minutes of the Board of Directors’ meeting held on Monday November 21, 2005. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve the minutes of the November 21, 2005 Board meeting.

Treasurer’s Report

Rosalie Sutcher stated that according to the November 30, 2005 Financial Statements there was an operating cash fund of $324,771.  The account at Cosmopolitan Bank has reached $413,914.   The Smith Barney account totaled $2,369.   Eighteen Certificates of Deposit totaled $1,742,799.  The total of all investments and accounts was $2,483,853.

Management Report

Christina Epple, Property Manager provided the following information from the Management Report:

• Standard Parking will be issuing a credit in the amount of $1,328 towards the cost of the modem line on the phone bill.  A DSL line will be installed in the garage management office by the end of December; this will lower the phone charges.
• Some owners experienced ice on the interior of the window glass throughout the day.  At 6am the exterior temperature was reading 15 degrees and at 4:30 the exterior reading was 30 degrees.  Once the temperature rose the ice began to melt.  It is important to keep the shades lifted through the day to allow warm air to keep the glass from freezing.
• Donnelly and Associates have not released car #1 as the car ride is jerky and there are vibration problems.  Otis continues to perform punch work daily on all other cars to comply with city codes.  Otis continues to plan for a mid-January completion date.
• All operating funds are now in a sweep account where a much better interest rate of 3.6% will be paid on the balances.
• Otis has completed 95% of the fire sign installation.

Mary McQuillan, Property Supervisor provided the following information from the Illinois Condominium Property Act regarding budget adoption challenges: In section 17 sub section 8II it states that to challenge a budget adoption three stipulations must be met; firstly the assessment increase must be more than 14.99%, secondly 20% of the votes of the association must petition  the Board in writing within 14 days of the Board action, lastly a special meeting must be held within 30 days of the receipt of the petitions in which 51% of the vote of the association must be present to reject the budget.

Ratifications

Requests to Remodel Resolved to ratify the approval of remodeling of units 4205, 4103, 4303, and 4805 with the recommendations of the chief engineer and in accordance of the Rules and Regulations and remodeling guidelines. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to ratify the approval of remodeling units 4205, 4103, 4303, and 4805.

New Business

Distribution of proposed 2006/07 Budget Resolved to approve the distribution of the 2006/07 proposed budget to the Owners. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve the distribution of the proposed 2006/07 budget to the Owners.

Approval of Security Camera Improvements The contracts being proposed are for a security system that will include upgrades to video cameras, recording equipment, software and computer, and installation of door strikes.  The project specifications that were provided to each bidding vendor included the following:  Dock Door- strike plate, proximity reader, motion sensor; Bike Room- proximity reader, motion sensor; North Mall Door- strike plate, proximity reader, motion sensor; Service/Freight Area- proximity reader, motion sensor; Interior Door/Front Desk- proximity reader, motion sensor; North Side Entrance- proximity reader, motion sensor; Garage Pedestal- proximity reader overhead door contact; Garage 1P- proximity reader, motion sensor; Garage 2P- proximity reader, motion sensor; Elevators- 3 wedge mount cameras, 5 dome color cameras (8 total); Mall Camera- dome camera; Dock Camera- dome camera; Laundry Room- dome camera; Service Area- dome camera; Back Lobby- dome camera; Lobby Entry- 2 dome cameras; Lobby Desk- dome camera; Lobby Equipment- monitor, DVR, and camera monitor; Management Office- Server, computer, 1500 key fobs; Boiler Room- 3 controllers.  All proposals include turn key installation of all access control and video surveillance equipment and training for staff.  Included in all bids are 1-year full warranty on parts and 90-days on labor.  Garage camera installation not included in original scope.

• Central Electronic Security Inc. -$61,330.00 (tax not included) – Garage $22,395.00 – Total : $83,725.00 (tax not included)
• Initial Electronics – $72,083.00 (tax $3,422.02) – Garage $22,978.00 – Total: $95,061.00 (tax not included)
• Siemens – $72,805.00 (tax included) – Garage 18,455.00 –  Total: $91,260.00 (tax included)

Upon due motion by Bob Pierce and seconded by Nessim Hanna the meeting adjourned at 8:15 pm. for homeowner questions.

The Board meeting reconvened at 8:29 pm.

Resolved to approve the proposal from Central Electronics in the amount of $83,725.00 not including tax for the installation of the security camera upgrades as specified in the proposal including the garage camera installation (6 cameras).  The installation of the garage cameras will be on hold pending discussion on the location of the cameras. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve the acceptance of the proposal by Central Electronics in the amount of $83,725.00 not including tax for the installation of the security camera upgrades as specified in the proposal including the garage camera installation.

Approval of Security Contract Three companies were contacted for security proposals.  Magnum Security at a cost of $146,988 per year and a 2-hour minimum-security coverage for moves at $25.00 per hour; Burns International at a cost of $148,020 per year and a 4-hour minimum-security coverage for moves at $25.00 per hour; Initial Security at a cost of $150,348 per year and a 4-hour minimum security coverage for moves at $25.00 per hour. Resolved to approve Magnum Security for a 1-year contract at a cost of $146,988 and 2-hour minimum security coverage for moves at $25.00 per hour. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve Magnum Security with a 1 year contract at a cost of $146,988 and a 2-hour minimum security coverage for moves at $25.00 per hour.

Cable Contract Renewal In July 2005 the Board sanctioned a cable research committee to develop a list of questions to interview with potential providers.  Based on the cable group’s research a recommendation was made to the Board to renew with RCN for at least 1 year.  The group feels that continuing advancements with satellite providers may be a future alternative in the coming years.  Considerations such as cost per unit for bulk contracts and the ability to maintain the current wiring infrastructure were apparent factors in reaching their recommendation. Resolved to approve the proposed renewal contract with RCN for a period of 1 year at a billing rate of $17.28 per unit for 12/31/05 to 12/31/06, at an annual rate of $144,945.  RCN will provide to the association at no additional cost the following: lobby camera channel; building management channel; high speed internet in the management office. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve the proposed renewal contract with RCN for a period of 1 year.

Approval of Fire Recall Panel Three companies submitted proposals to install the control panel to house the software controls for the recall system as well as additional space for future control panels.  The panel design will be free-standing and located between the 2 columns where the service carts are currently stored.  The City of Chicago Code requirement reads that the panel must be located not more than 25 feet from the main door entrance and immediately visible by rescue personal upon entrance into the building.  The elevator consultant, Donnelly and Associates has reviewed the control panel drawings and has approved them as submitted.

• Otis Elevator:          $37,250.00
• Cab Works:             $29,932.00
• Siemens:                 $25,439.00

Resolved to approve the purchase and installation of the control panel to house the recall software, with 2 additional panels to house future Life Safety software upgrades to Cab Works in the amount of $29,932.00. Upon due motion by Nessim Hanna and seconded by Bob Pierce, the Board voted unanimously to approve the purchase and installation of the control panel to Cab Works in the amount of $29,932.00.

Other Discussion Items

Holiday Party The Board of Directors would like to reiterate that the decision to not hold the annual Holiday Party was reached by the Board and with consultation with the Social Committee.

Adjournment

Upon due motion by Nessim Hanna and seconded by Bob Pierce the meeting adjourned at 8:57 pm.

Vince DiFruscio, President

Nessim Hanna, Secretary