Quorum July 2017

JULY 2017

Coachella Valley Community Associations Institute Magazine

Rancho Mirage Racquet Club ROADS, ROOFS AND RESERVES

energize educate elevate

CAI-CV will energize our members to seek CAI education to elevate themselves & the CID industry.

14 Why a Cool Roof System?

18 On a Long Desert Highway...

Cool Wind in My Hair 20 Protecting Your Roof Investment 26 Interlocking Pavers - Using Ancient Engineering, Modern Technology and High Industry Standards 30 30 Capital Improvements vs.

Reserve Expenses 34 Concrete and Clay Roof Tiles 38 How a Reserve Study Protects Owner Value 40 Save a Lot Through Preventive Maintence of Asphalt Paved Areas

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Quorum July, 2017

Water Wise Tips For Coachella Valley residents

Plant a waterefficient landscape.

Desert-friendly plants use 50 to 75 percent less water than grass or tropical plants.

Irrigate efficiently.

Prevent water waste. Repair broken sprinklers CVWD offers a rebate for replacing nozzles with new water-efficient ones.

Find and fix indoor and outdoor leaks.

Download copy of Water Wise at Home: A Guide to Finding Leaks at www.cvwd.org

760-250-6232

Peggy@PeggyRedmonLaw.com

Learn more about CVWD’s rebate & discount program at www.cvwd/org/rebates

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The Water Feels Incredible!

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760.399.6428

79345 Country Club Dr. Unite B Bramuta Dunes 92203

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3

2017 BOARD OF DIRECTORS COACHELLA VALLEY CHAPTER

42-240 Green Way #B •Palm Desert, CA 92211

Your Local Go-To HOA Contractor

PHYLLIS HARKINS, CMCA, AMS, CCAM-LS, CAMEX PRESIDENT The Management Trust – Palm Desert

HOA SERVICES

GEN WANGLER, ESQ., CCAL PRESIDENT ELECT Fiore Racobs & Powers A PLC

• Wood

• Pool Deck Coatings • Fence

• Carport

• Concrete

• Club/Guard House

• Drywall & More!!!

Repair/Replacement Repair/Replacement

Repair/Replacement Repair/Remodel

Repair/Replacement

• Block Wall

Repair/Replacement

Repair/Replacement Contact us today

CAI-CV

INSURANCE SERVICES

24hr Emergency Service Mold Remediation

GERARD GONZALES PAST PRESIDENT Albert Management, Inc.

EDUCATED BUSINESS PARTNER

JOLEN ZEROSKI, CMCA TREASURER Union Bank

JOHN WALTERS-CLARK SECRETARY Associa Desert Resort Management

Fire & Water Restoration Slab Leak Repairs

www.VantagePointConstruction.com

CARDINAL AMBROSE, CCAM, CMCA, AMS DIRECTOR Albert Management, Inc.

Phone: (760) 340-5157 • Fax: (760) 340-2576 • License # 473996

TAD BLACK DIRECTOR Associa OnCall RHONDA DREWS, CMCA, AMS, PCAM DIRECTOR Associa Desert Resort Management MATT LAWTON, CIRMS DIRECTOR Prendiville Insurance Agency LOUISE STETTLER DIRECTOR Palm Valley Country Club HOA MIKE TRAIDMAN DIRECTOR Mira Vista HOA

CAI Coachella Valley Office 41-905 Boardwalk, Suite A-2 Palm Desert, CA 92211 Tel: (760) 341-0559 Fax: (760) 341-8443 Website: www.cai-cv.org

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for your next project. take that to the bank

CAL LOCKETT Executive Director clockett@cai-cv.org

Brendan Concannon Regional Account Executive 619-261-6643 Toll Free 866-800-4656, ext. 7480 brendan.concannon@ mutualofomahabank.com

mutualofomahabank.com AFN45863_0117

ARTICLE SUBMISSIONS OR ADVERTISING INFORMATION admin@cai-cv.org

Member FDIC Equal Housing Lender EQUAL HOUSING

LENDER

4

Quorum July, 2017

The materials contained in this publication are designed to provide our members with timely and authoritative information; however, the CAI Coachella Valley Chapter is not engaging in the rendering of legal, accounting or other professional types of services. The Coachella Valley Chapter has not verified and/ or endorsed the contents of these articles or advertising. Readers should not act on the information contained herein without seeking more specific professional advice from legal, accounting or other experts as required.

CONTENTS

10 FEATURES

10

14

Rancho Mirage Racquet Club

By Susan Browne Rosenberg, CIH, CIEC, CHMM

14

Why a Cool Roof System?

By Bill Fitzgerald

18

On a Long Desert Highway...

Cool Wind in My Hair

18

By James Duncan

20

Protecting Your Roof Investment

By Rubhen Quezada

26

Interlocking Pavers Using Ancient Engineering, Modern Technology, and High Industry Standards

By Charissa Farley

34

Concrete vs. Clay Roof Tiles

By Tyler Allwood

38

How a Reserve Study Protects Owner Value

By Kevin Leonard, RS

40

Save a Lot Through Preventive Maintenance of Asphalt Paved Areas

By Lou Moreno

20

26

34

38

CHAPTER NEWS

9

CAI-CV Chapter New & Renewing Members

13

CAI-CV's Annual Board of Directors Election

44

Chapter Upcoming Events

d ’s oar V B s I-Cual tor A C nn irec n A f D tio o lec E

40 CAI-CV.org

facebook.com/CAICV

13 twitter.com/CAI_CV

5

QUORUM COMMITTEE MEMBERS

CAI-CV

EDUCATED BUSINESS PARTNER

A Full Service lAw Firm

CAI-CV

EDUCATED BUSINESS PARTNER

Providing Practical Approaches in:

RODNEY BISSELL, CO-CHAIR Bissell Design Studios, Inc.

PHYLLIS HARKINS, CMCA, AMS, CCAM-LS, CAMEX BOARD LIAISON The Management Trust - Palm Desert

CC&R Interpretation, Drafting and Enforcement

KIMBERLY BURNETT U. S. Security Associates

Opinion Letters Contract Drafting and Negotiation

ANTOINETTE HAMILTON Suntrek Solar

Civil Litigation CAI-CV

Assessment Recovery 73-710 Fred Waring Drive, Suite 120, Palm Desert, California 92260

DEA FRANCK, ESQ. CHAIR Epsten Grinnell & Howell, APC

EDUCATED BUSINESS PARTNER

MARNE LOGAN, CCAM The Management Trust - Palm Desert

For inquires contact Jeffrey French www.gbflawyers.com

JENNIFER JAMES, ESQ. Law Office of Jennifer James

| 760.346.9310

JAY POWELL Ben's Asphalt CAI-CV

EDUCATED BUSINESS PARTNER

SUSAN BROWNE ROSENBERG Desert Cities Indoor Air, LLC

STEVEN SHUEY, PCAM Personalized Property Management Co.

CAI-CV

EDUCATED BUSINESS PARTNER

DAN STITES CBCI Construction, Inc.

TIFFANY WRIGHT, CCAM The Management Trust, Palm Desert

CREATIVE DIRECTOR & GRAPHIC DESIGNER CAI-CV

EDUCATED BUSINESS PARTNER

RODNEY BISSELL Bissell Design Studios, Inc. rodney@bisselldesign.com (714) 293-3749

SUBSCRIBER SERVICES

The Coachella Valley Quorum Magazine is a publication expressly prepared for association leaders, managers and related business professionals of the Community Associations Institute. Members are encouraged to submit articles for publishing consideration. All articles accepted for publication in Quorum are subject to editing and rewriting by the Quorum Committee.

6

Quorum July, 2017

CONTENTS CHAPTER EVENTS

24

CAI-CV’s Educational Program Lunch & Mini Trade Show

SAVE THE DATE

Pools & Title 22 – Friday, June 9, 2017

25

28

24

SAVE THE DATE

Friday, September 22nd Mary Freeley - The Humor Advantage

2017 CAI-CV Annual Bowling Tournament Friday, June 23, 2017

28 16

CAI-CV Educational Program Lunch and Mini Trade Show Friday, September 22, 2017 Palm Valley Country Club, Palm Desert Professional Speaker & Comedian: Mary Feeley

25 16

DEPARTMENTS

8

President’s Message

12

About CLAC

Meeting With Local Legislators Works!

12

By Steven Shuey, PCAM

16

Water Wise The Trial Between Agua Caliente and Two Local Water Districts: What This Could Mean For Coachella Valley Community Associations

By Dea C. Franck, Esq.

17

CVWD Doubles Rebates for HOA Turf Removal

By Katie Evans

30

Homeowners Association Law

17

Capital Improvements vs.

Reserve Expenses

By Jennifer James, Esq.

32

30

Trending Now

Solar Photovoltaic (PV) for Your Home or Business

32

By Antoinette Hamilton

36 Maintenance

Saltwater vs. Chlorine Pools – The Great Debate!

By Dan H. Stites, P.E

40

Welcome Aboard

Jon Gann-Reyes Community Association Manager Associa – Desert Resort Management

36

By Jay Powell with Ben's Asphalt

CAI-CV.org

facebook.com/CAICV

40 twitter.com/CAI_CV

7

FROM THE CHAPTER

President’s Message Phyllis Harkins, CMCA, AMS, CCAM-LS, CAMEx The Management Trust – Palm Desert CAI-CV Chapter President

As I proofread this edition, I was amazed by the quality of articles provided by our Business Partners.

Every article is informative and provides much needed education to our Chapter managers, volunteer board leaders and even business partners in other industries. The authors’ passion for their industry was apparent in every story they told. My thanks to each of you for your contribution. Even though there are no lunch programs this month and next month, the Chapter is still very busy planning with upcoming events.

On Friday, July 14, CAI-CV will be hosting the California Common Interest Development (CID) Law Course at the Classic Club in Palm Desert. This all-day course is required for California managers to refer to themselves as being “certified” under California law. It is also an excellent refresher for any manager or board member interested in knowing the latest laws and regulations governing CIDs. Many thanks to CAI-CV members Jennifer James, Esq. and Peggy Redmon, Esq. for teaching this course. Managers will also be interested in the Manager on the Run (MOTR) class scheduled for Friday, August 4th at Flood Response in Thousand Palms. The topic is “Minutes Made Easy” and our guest speaker is CAI-CV President Elect Gen Wangler, Esq., CCAL, from Fiore Racobs & Powers, A PLC. On Friday, August 18, CAI-CV will be hosting “Day at the Races” at the Del Mar Race Track. Sign up to attend online! This will be a fantastic day and evening of entertainment. We have booked Del Mar’s largest venue, the Seaside Tropical Cabana and can now accommodate up to 150 CAI-CV members and guests.

Excellent race day food is planned and if you want to hear a Grammy Award winning reggae band, Del Mar is offering a free concert with Steel Pulse right after the races.

Our next Educational Lunch Program & Mini Trade Show will be Friday, September 22 at Palm Valley Country Club in Palm Desert. Mark your calendars for this exciting program. We have booked professional speaker and comedian Mary Freeley to talk about HOA issues. Mary is an outstanding and entertaining speaker – you won’t want to miss this program.

I hope to see you at our August Day at the Races; last fall, as Cal and I began preparation for our 2017 Advertising and Marketing Plan, I had a special request, to bring back Day at the Races. As a child who spent many hours at Brandywine Raceway in Wilmington, Delaware (ask me to tell the story on the bus to Del Mar), horse racing was an integral part of my early life. When I visit a track, I always feel that my dad is there with me; however, sometimes his “tips from heaven” don’t pay off. Ah well, a good day will be had anyway.

See you next month,

Phyllis Harkins

Phyllis Harkins, CMCA, AMS, CCAM-LS, CAMEx General Manager, Portola Country Club The Management Trust - Palm Desert

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Quorum July, 2017

C A I - CV M I S S I O N S TAT E M E N T The mission of CAI-CV is to provide leadership for successful development and operation of community associations through information, research and education.

FROM THE CHAPTER

CAI-CV Chapter New & Renewing Members RENEWING BUSINESS PARTNERS BIG SKY GATE KEEPER Patrick Ross (760) 346-9090 bigskygatekeeper1@verizon.net RGA LANDSCAPE ARCHITECTS, INC. Ronald Gregory (760) 568-3624 rgregory@rga-pd.com VINTAGE ASSOCIATES/ECOWISE LANDCARE Fran Mullahy (760) 772-3673 fmullahy@thevintageco.com RENEWING MULTI-CHAPTER BUSINESS PARTNERS ALAN SMITH POOLS DBA PURIFIED POOL WATER Kent Westfall (760) 399-6428 kent.westfall@purifyyourpool.com DUNN-EDWARDS CORPORATION Allison Dinielli (760) 972-6830 ELLIOT KATZOVITZ INSURANCE AGENCY Monica Sandberg (310) 945-3000 monica@elliotkinsurance.com G4S SECURE SOLUTIONS USA Erin Fujioka (619) 384-3475 erin.fujioka@usa.g4s.com J.B. BOSTICK CO. Matt Parker (714) 238-2121 parker@jbbostick.com NEW MANAGER MEMBERSHIPS MASTER ASSOCIATION RANCHO LA QUINTA Jacqueline Picasso (760) 902-5218 jpicasso@drminternet.com

RENEWING MANAGEMENT COMPANY AVAIL PROPERTY MANAGEMENT Lyad Khoury (760) 771-9546 iyad@availhoa.com

RENEWING MANAGER MEMBERSHIPS Alice Jo McKinsey (214) 535-6417 jo.mckinsey@gmail.com Mary Walker (760) 469-7026 mewmgmt@aol.com

NEW MULTI-CHAPTER MANAGEMENT COMPANY FIRSTSERVICE RESIDENTIAL Karen Tillotsen (949) 448-6080 karen.tollotsen@fsresidential.com

ALDERWOOD RESORT MANAGEMENT Andrew Hall (214) 797-5289 ahall@alderwoodgroup.com Sarah Simoneau (909) 866-6531 ssimoneau@lagonitalodge.com

NEW NATIONAL CORPORATE MEMBERSHIPS ASSOCIATION DUES ASSURANCE CORPORATION (ADAC) Lynn Manion (586) 294-2322 lmanion@adac.us.com

ASSOCIA DESERT RESORT MANAGEMENT Jamie Circle (760) 777-8807 jcircle@drminternet.com

MALARKEY ROOFING PRODUCTS Ben Rucka (480) 206-4148 brucka@malarkeyroofing.com

Ellen Kahhan (215) 292-7097 ekahhan@drminternet.com John Walters-Clark (760) 346-1161 jwalters-clark@drminternet.com

NEW VOLUNTEER LEADER SUN CITY SHADOW HILLS Howard Finelt

LAKES COUNTRY CLUB ASSOCIATION Frank Melon (760) 902-2886 fmelon@thelakescc.com OASIS PALM DESERT HOMEOWNERS ASSOCIATION Eve Weber (760) 345-5661 eweber@theoasiscountryclub.com

RENEWING VOLUNTEER LEADER CASA DORADO AT INDIAN WELLS ASSOCIATION Diane Bielen Leonard Buchan Jim Domke

PERSONALIZED PROPERTY MANAGEMENT CO. David Schuknecht (760) 325-9500 david@ppminternet.com

PS Freberg

SUN CITY PALM DESERT COMMUNITY ASSOCIATION Steven Campbell (760) 200-2224 steve.campbell@scpdca.com

Eric Steiner

Murray Morton Tom Pridonoff DESERT FALLS MASTER ASSOCIATION Jess Rosenberg EL PASEO VILLAGE Tamara Sorensen HIGHLAND SPRINGS COUNTRY CLUB HOMEOWNERS ASSOCIATION John Novak Rhea Weber

energize educate elevate

CAI-CV will energize our members to seek CAI education to elevate themselves & the CID industry.

CAI-CV.org

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twitter.com/CAI_CV

9

FEATURE

Rancho Mirage Racquet Club

By Susan Browne Rosenberg, CIH, CIEC, CHMM

R

ancho Mirage Racquet Club, located on Frank Sinatra Drive, is managed by Associa Desert Resort Management.

Jennifer Carroll, CMCA, is the Community Manager and provided the information for this article. The gated community was constructed in 1979 and is fully built out. There are 95 units in one and two-story buildings, most with three bedrooms.

Amenities include five pools and five spas, tennis and racquetball courts, a clubhouse with fitness center and a putting green.

Homes range in price from $320,000 to $350,000.

RMRC Board and CAI Member Mike Renner told me, “Currently, we have some great residents with many diverse

10

Quorum July, 2017

backgrounds. We have one of the oldest sitting federal judges who was an All American basketball player at Gonzaga in the 1940's and he still plays tennis with us every weekend.� Judge Walter Thomas McGovern was nominated in 1971 by President Nixon for a seat on the US District Court. He still plays tennis in his 90's and is one of the communities' best players.

The monthly assessment of $622 includes use of the recreational amenities, cable and property maintenance.

There are five board members and seven active committees including Landscape, Architectural, Tennis, Social, Building and Grounds, Emergency Preparedness and Finance. As the

FEATURE property is located in the heart of Rancho Mirage near City Hall, residents can walk to many restaurants such as Shame on the Moon and Bernie’s Supper Club.

The RMRC HOA has been busy with several recent projects. They invested over $100,000 to install new irrigation and smart controllers to save water.

The landscape company, CAI Business Partner AK Landscaping Maintenance, monitors water usage daily. The board of directors is also looking into the pros and cons of installing a well on the property.

The front entrance was recently updated with new gates and signs, fresh landscaping, and new paint on the guard house.

"The front entrance was recently updated with new gates and signs, fresh landscaping and new paint on the guard house"

Other CAI-CV Business Partners used by RMRC include Union Bank, the law firm of Peters and Freedman, Asphalt MD's, and Frazier Pest Control.

Jennifer stated, “RMRC is a beautiful community to work for with lots of green grass and a lake that surrounds the homes. It's all the involved residents that make this community such a gem.” Mike Renner also stated, “I have lived here for close to seven years, after leaving the Pacific Northwest.

There is no place like it.”

Susan Browne Rosenberg, CIH, CIEC, CHMM, and CAI EBP, is president and co-owner of Desert Cities Indoor Air, LLC in Palm Desert, CA. Her company assists HOAs in assessing the extent of water damage and mold contamination. She can be reached at 760-902-2545 or sbriaq@gmail.com.

CAI-CV.org

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11

ABOUT CLAC

Meeting with Local Legislators Works!

By Steven Shuey, PCAM

C

AI-CV's CLAC Legislative Support Committee (LSC) has been visiting our local legislators. The meetings are meant to help our legislators understand issues that impact homeowner associations here in the Coachella Valley.

Sue Anderson, Chair of the LSC, along with a few committee members including CLAC Liaison Clint Atherton, Associa DRM CEO Mark Dodge, LSC Co-Chair Gloria Kirkwood, and myself visited Assemblyman Chad Mays and Senator Jeff Stone in June. Collectively, we brought several important issues to their attention. Both welcomed us into their local offices and gave us more than adequate time to present our issues of concern.

Although the LSC represents all CAI-CV members, it is still important for everyone of us to communicate with legislators when the opportunity presents itself (writing a personal letter works well).

The issues we brought to the meetings included: Our support of AB 731 - Tax Deduction for Association Assessments - This will provide up to a $1,500 tax deduction for homeowners with up to $150,000 in adjusted gross taxable income. CLAC sponsored this bill.

Our support of AB 1412 - Board Member Immunity - This cleans up previous legislation for "mixed use projects" extending protections to board members on the commercial side of communities with both homes and commercial uses.

CLAC sponsored this bill.

Our support of AB 1426 - Uncontested Elections - This will provide fair and open process for a common interest 12

Quorum July, 2017

development volunteer board of directors to declare an election uncontested and avoid a costly mail-in ballot vote when the secret ballot process is not necessary.

CLAC sponsored this bill.

Our opposition of SB 721 - Deck and balcony inspections - This would require mandatory inspections and maintenance of all walkways and balconies in a multistory structure in an unreasonable manner, with a timeline that could be very costly for associations. Because common interest developments already have reserve study requirements, CLAC believes associations governed by the Davis-Stirling Act should be exempt from this proposed law.

Our opposition of SB 2 - Building Homes and Jobs Act of 2017 - This would impose an additional fee of $75 for recordation of any document required to be recorded.

CLAC is opposed unless this bill is amended to exempt all documents recorded in connection with the collection of assessments. Persons facing assessment collections are usually already facing financial hardship. Imposition of another fee is not justified.

Our opposition of AB 407 - Use of common area facilities for non-commercial solicitation - This bill would prevent an association from charging a fee or obtaining a deposit or requiring insurance to an owner or resident (even renters) when using areas like the association meeting room for meetings of residents who wish to use the facility to promote their cause reasonably related to HOA living, including promoting candidates for public office. If this bill passes as written, the association

Meetings with local legislators take place throughout the year.

LSC members provide legislators information about the CID industry in the Valley and offer input on legislative issues from CLAC as needed. If you are interested in joining CAI-CV at these meetings or volunteering for the CLAC LSC Committee, contact the CAI-CV office at 760-341-0559.

(which means everyone who lives there) would be responsible for such costs, not the individual user of the room/area. The legislators need to hear about this one - Tell them to vote NO. And, our opposition of AB 1687 - Pesticide bill inhibiting rodent control - This bill proposes to further restrict the use of certain chemicals (anticoagulants) used in rodent control, thereby limiting rodent control to trapping (mouse-traps).

In the Coachella Valley, with all the roof-rats and tree-rats we have, there would soon be an infestation beyond understanding, along with all the disease that brings with it.

The "grass-roots approach" is what works well with our legislators. That means they need to hear from you. Please take the time to contact your legislators.

They need to hear from all of us.

Steven Shuey is your CLAC Delegate and is a certified Professional Community Association Manager (PCAM). He serves on the National Faculty of CAI and is a past board member of the APCM. He is a community association consultant with Personalized Property Management here in the Coachella Valley. In January 2017 he was awarded the Lifetime Achievement Award from CAI-CV. He may be contacted at IslandMgr@aol.com.

You can follow him on Twitter (www.twitter.com/@IslandMgr)

CAI-CV.org

s oard ’ V B s C - al tor I CA nnu irec n A f D tio o lec E

The Annual Election of Directors for the Coachella Valley Chapter of CAI has been scheduled for Wednesday, October 25, 2017, at 3:00 p.m., at the CAI-CV Chapter office, 41-905 Boardwalk, Suite A2, Palm Desert, CA 92211. The election will be run by the third-party professional elections company, The Inspectors of Election, and ballots will be available online beginning September 25, 2017. Voting will continue until October 23, 2017. Each CAI-CV member will have one vote and receive one login ID and password. Ballots will be sent to the person on record with CAI’s National office. If you are a business partner who is on the CAI-CV database but not on the CAI National database, please contact the CAI-CV office to find out where your company’s ballot will be sent.

There are four open seats, each for three-year terms from January 1, 2018 through December 31, 2020. CAI-CV members in good standing who have recently served on a CAI-CV Committee as Chair or Co-Chair may submit their Nomination Form to the Nominating Committee by July 27, 2017. Nomination Forms are available from the CAI-CV office by emailing admin@cai-cv.org or calling 760-341-0559. Nomination Forms are also available online at www.cai-cv.org.

Please call the CAI-CV office at (760) 341-0559 if you have questions about the election.

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13

FEATURE

Why a Cool Roof System?

By Bill Fitzgerald

O

ften I go to a job walk to meet an owner and hear this question: “I like the idea of having a Spray Foam Cool Roofing System, but is it true that every five years you would have to recoat?” My answer to them is, “There are many contractors out there that will only apply one coat of acrylic coating on a new foam roof. Then yes, you would need to recoat after five years or before. But, a good, licensed, and educated roofing contractor would apply two coats of acrylic coating on a new foam roof with ceramic granule; this will last ten years or more before needing to apply another coat."

Spray Foam Roof Systems (SPF) are backed by manufacturers’ warranties for periods of 5, 10, 15 and 20 years in duration. Another beneficial feature of SPFs is their sustainable nature; they can be recoated at the end of their warranty period to extend the warranty and the life of the roof investment. SPFs are an excellent choice for those seeking Leadership on Energy and Environmental Design (LEED) Green Building Rating System certification. Because SPFs are fast and easy to apply, the building owner experiences minimal business interruption and inconvenience during the installation. Performance studies and research suggest that SPF roofing systems can last 30 years or more. And because of the unique physical performance characteristics of polyurethane SPFs, the building

save the owner considerably on energy usage associated with heating and cooling the building or home. Polyurethane foam also saves energy in its manufacturing process over the most common insulation materials. SPF manufacturers are listed on the Energy Star Roof Products Program.

Title 24 is a state legislated requirement, developed by the California Energy Commission. The California Energy Commission is responsible for establishing the State of California Energy Policy.

The Commission is also responsible for promoting energy efficient building standards. As a result, Title 24 requires the installation of cool roofs. “Cool Roof” is defined in Title 24 as a product that meets a minimum performance in both reflectance and emittance values when tested in accordance with Cool Roof Rating Council (CRRC).

HOW DOES SPRAY FOAM ROOFING SYSTEM REDUCE ENERGY COSTS?

1. SPF is applied above the roof deck. The roofing system and insulation system are the same.

2. SPF eliminates thermal bridging because it "PERFORMANCE STUDIES AND RESEARCH SUGGEST THAT SPRAY FOAM ROOFING SYSTEMS CAN LAST 30 YEARS OR MORE"

and/or home owner is provided with added protection from severe weather, high winds, storms and even hail. SPFs have exceptional wind uplift resistance, require low maintenance, can add structural strength, and minimize moisture damage within the building envelope.

Polyurethane SPF has the highest R-value per inch of any roof system, reducing both heating and cooling costs. SPFs also eliminate thermal transfer in and out of the building and/or home at insulation joints and mechanical fasteners. A SPF with a highly reflective white surface provides superior reflectivity and emissivity properties. These features 14

Quorum July, 2017

provides a continuous monolithic layer of insulation over existing thermal bridges in the roof deck and/or roof assembly.

3. SPF has a very high aged R-Value of approximately 6.0 per inch.

4. Light colored coverings typically surface SPF roofing systems. The surface temperatures of light colored roofs, on a day when the temperature is 90oF, range between 110oF and 130oF. The surface temperature difference of a light and a dark colored roof can vary from 50oF to 90oF. There are other cool roof systems and materials available in the roofing industry but Polyurethane Spray Foam Roofing Systems provide you with competitive pricing and more value for your dollar.

Bill Fitzgerald is President of Suntech Consulting and Roofing. He can be reached at 760-275-4749 (cell) or at the office at 760-343-0091 or by email at suntechroof@gmail.com.

15

WATER WISE

The Trial Between Agua Caliente and Two Local Water Districts: What This Could Mean for Coachella Valley Community Associations

By Dea C. Franck, Esq.

I

n 2013, the Agua Caliente Band of Cahuilla Indians (“Tribe”) and the United States (collectively “Plaintiffs”) sued the Coachella Valley Water District (“CVWD”) and the Desert Water Authority (“DWA”) (collectively “Defendants”) seeking a court declaration regarding whether the Tribe has water rights to the Coachella Valley Groundwater Basin. The Tribe alleges that the Defendants have pumped the groundwater under the reservation to the point that the aquifer is in a state of “overdraft” and that the Defendants have attempted to correct the overdraft by importing water from the Colorado River which degrades the aquifer. Currently, the Tribe does not pump any groundwater on its reservation and consequently the Tribe must purchase groundwater from the Defendants as well as from other sources.

The trial was split into three phases: Phase I - whether the Tribe has a right to the groundwater; Phase II - whether the Tribe owns the “pore space” of the Coachella Valley Groundwater Basin and whether it has the right to receive water of a certain quality from the Aquifer; and Phase III what quantity of groundwater and/or pore space is the Tribe entitled to pursuant to their reserved rights.

Lebacho-Tahquitz Creek Ditch. Originally built to provide water to the Agua Caliente Indians village.

In 2014, the U.S. District Court ruled in favor of the Plaintiffs in Phase I of the trial (i.e., the Court found that the Tribe had a reserved right to the groundwater). While the Defendants appealed the U.S. District Court’s decision, the U.S. District 16

Quorum July, 2017

Court agreed to stay commencement of Phase II of the trial until the Ninth Circuit Court of Appeals rendered its decision.

On March 7, 2017, the Ninth Circuit affirmed the Tribe's reserved rights. Phase II of the trial is now set to go forward.

So what does this mean for Coachella Valley community associations who get their water from CVWD and DWA? If the Court grants the relief as requested by the Tribe in its original complaint the Defendant water agencies would be prohibited from, among other things, (1) withdrawing groundwater from two particular sub-basins within the Coachella Valley Groundwater Basin; (2) injecting water of a quality that is inferior to the existing groundwater without first treating it; and (3) using the pore space underlying the Coachella Valley.

As such, it is foreseeable that a water rate increase by CVWD and DWA (possibly a significant one) is in Coachella Valley’s future - even if the Tribe does not prevail in Phases II and III of the trial because it is foreseeable that the Tribe will no longer have to pay for water it receives from CVWD and DWA, as the Court found that the Tribe has a right to that groundwater.

If the Tribe prevails in Phase II, then there will also be a cost for CVWD and DWA to treat the water that must be injected back into the Coachella Valley Groundwater Basin to make up for the current overdraft as well as the degraded quality of the water currently in the Basin. This cost will very likely be passed through to the customers of CVWD and DWA. If the Tribe wins Phase III of the trial, there will be less local groundwater available to CVWD and DWA to distribute, resulting in the increased importation of water to Coachella Valley to make up the water shortfall and/or CVWD and DWA paying the Tribe for water pumped out of the Coachella Valley Groundwater Basin.

Consequently, Coachella Valley’s community associations need to be aware that water rate increase(s) are possibly on the horizon depending on the outcome of this trial.

Since the amount of any possible rate increase is unknown at this time, it is difficult to determine how to address any needed future budget increases. The best course of action may be to ensure that your board keeps up to date on the progress of the lawsuit and that future budgets realistically estimate the likely cost of water and other utilities in the next fiscal year, given all the information available at the time of the budget preparation process.

Dea Franck is an attorney in Epsten Grinnell & Howell, APC’s Indian Wells office. With offices in the Coachella Valley, San Diego and the Inland Empire, Epsten Grinnell & Howell provides common interest developments with corporate counsel, assessment recovery services, construction defect and other civil litigation counsel, interpretation of fair housing issues and alternative dispute resolution assistance. You can reach Dea at dfranck@epsten.com or (760) 836-1036.

WATER WISE

CVWD Doubles Rebates for HOA Turf Removal

By Katie Evans

The Coachella Valley Water District (CVWD) is enhancing incentives for its HOA water customers to remove turf and save water.

As of July 1, CVWD has doubled from $1 to $2 per square foot of turf removed for eligible HOAs that replace spray-irrigated lawn with drip-irrigated desert-friendly landscaping. The program pays the incentive up to a maximum of 25,000 square feet per project, or $50,000, for new landscape conversions. Desert-friendly plants must cover a minimum of 25 percent of the new landscaped area at maturity.

This move confirms the district board of director’s policy that conservation is the easiest, most efficient and costeffective way to reduce water demand and extend water resources. Research shows that converting from sprayirrigated turf to desert-friendly, drip-irrigated landscapes reduces outdoor water use by 70 percent to 80 percent.

Conversion projects must be pre-approved before work begins. Projects are funded on a first-come, first-serve basis as long as funds are available during the program year (July 1, 2017 through June 30, 2018).

More eligibility criteria include; • Participant must be a CVWD HOA account holder.

• Customer must have a fully functioning irrigation system run by a working irrigation controller.

• The customer’s account must be in good standing.

Applicants must complete and sign a rebate application and submit a landscape plan for each area to be converted.

Among other matters, the plan must include: approximate square footage, plant list and quantities and plant and valve locations.

A CVWD representative will review the project site before work begins and when the conversion is complete. Multiple projects require separate applications.

Applications are available online at www.cvwd.org/rebates or they may be picked up at CVWD’s Water Management Office, 75-525 Hovley Lane East, Palm Desert.

Katie Evans is the Conservation Manager for the Coachella Valley Water District. She can be reached at kevans@cvwd.org or (760) 398-2661.

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FEATURE

“On A Long Desert Highway...Cool Wind in My Hair”

By James Duncan

maintained by sealing and slurrying, it arrests the breakdown and oxidation of the oils which keep the pavement flexible, waterproofed, intact and oxidation resistant. The slurry/seal replenishes the lost materials along the surface and becomes the material that absorbs and takes the hit of radiation and oxidation from the sun, instead of the pavement underneath.

At a small fraction of the cost of asphalt repair, it’s worth every penny.

Why does it crack so badly here and what is an effective repair?

W

e all know the Eagles and Hotel California. That line always reminds me of paving in the desert, albeit the “cool part” to contend with is heat. Heat day-in and day-out, sucking the life from the pavement.

Cracking is another unique item often seen in climatic extremes like the desert. Not the cracking itself, but the type of cracking where we see the long, very wide cracks several feet apart from one another. This has many causes but can start by the expansion and contraction of the asphalt and the underlying subgrade. Asphalt is only as good as the subgrade

Heat destroys asphalt. It causes it to expand and contract, and really dry out.

Asphalt is sand, rock and oil for the most part, along with chemicals added to the oil. The rock is the structure, the sand the filler, and the oil is the binder (or glue, if you will) that holds it all together. Like most petroleum products, asphalt is photo sensitive. Over time one of the main “enemies” of your desert pavements is the sun. It will oxidize your pavements, breaking down the binding qualities of the oil and causing what is known as raveling, where the fines or sand and small aggregates are lost along the surface. This leaves a rough texture and is usually more pronounced where water is eroding the surface. The heat from the sun alone causes raveling too, allowing the larger stones in the pavement to come loose creating a weakened mat. This effect encourages alligator cracking and sinking, requiring asphalt replacement sooner than necessary.

What are the signs of pavement breakdown and what can help?

On some parking lots, one can see gravel and sand in the gutter and other areas, which is basically the parking lot being washed away by runoff and blown away by the wind.

Before the situation is this serious, maintenance is in order.

The best way to arrest raveling is to keep the asphalt slurry or seal-coated. Seal coating is the lighter material used for parking areas and roadways where a lot of turning and 3-point parking turns will be present. The lighter mineral aggregates in the seal are far more resistant to the tire damage incurred by this traffic pattern; heavier aggregates composed of small crushed rocks and known as slurry seal, are more suitable for long (longitudinal) traffic sections. This traffic pattern is seen on through roads, entrance ways, and highways where little to no turning is expected. When a lot or roadway is properly 18

Quorum July, 2017

beneath it and the desert areas have a lot of sandy subgrades that like to move around. This movement will create a less than ideal structure for the asphalt to sit on and the result is longitudinal cracking. With heavy desert rains to penetrate these massive cracks, huge areas of sandy subgrade may wash away, leaving the pavement vulnerable to sinkholes. The best repair options really depend on the type of cracks, the quantity, and of course the budget. There are several products to help including Petro-Tac, where the cracked area is ground approximately 12” wide by 1.5 to 2” deep. The Petro-Tac fabric overlay is then applied over the cleaned, milled area and then hot asphalt is placed on top. The fabric has a heavy oil (or “glue”) in it and the hot asphalt sets this binder, which in turn glues the edges of the existing material together helping to prevent further movement. The intent is also to mitigate the phenomenon known as “reflective cracking” where the

FEATURE

"With proper, routine maintenance, even in these extremes of temperature and weather, asphalt can last indefinitely." existing crack appears in the new paving in a very short time.

When cracking is severe in spots, removal and replacement of small areas before overlays are done may be necessary.

One should always fill the crack before this process to also help prevent reflective cracking. This Petro-Tac also acts as a moisture barrier keeping the existing subgrade from destructive saturation and movement. A Petro-Tac overlay is an effective repair; and there are a few similar products on the market that offer this effect, such as GlasPave and TruPave (recyclable), and Mirafi/Petromat fabric (non-recyclable).

Maintain a routine and maximize the lifespan.

With proper routine maintenance, even in these extremes of temperature and weather, asphalt can last indefinitely.

Typically, it has an expiration date of approximately 30-40 years depending on use, original installation competence, maintenance regimen and subgrade condition. One of the best things to do maintenance wise is be on a consistent slurry/seal coating regimen every few years. You should also have your site assessed by a competent paving professional every two years or at the first sign of any trouble such as new cracking, movement of the asphalt surface, upheaval or sinking of areas, or raveling as mentioned above. This proactive evaluation can identify potential problems while they are relatively easy fixes. “Welcome to the Hotel California…”. Here is to keeping it a lovely place.

Asphalt Facts: Did you know?

• Asphalt pavements are the most recycled materials (80 million tons annually) in the United States—more than glass, metal, tires, paper or any other material.

We crush and recycle the reclaimed asphalt pavement (RAP) right back into our mixes every day, making

asphalt pavements a truly sustainable product.

• Studies have shown that on average, over a 40-year period, asphalt pavements are more economical than concrete pavements.

• Rough roads wear out tires, shocks, and other mechanical parts faster. Smooth roads save wear and tear, fuel costs – and $$$.

• The United States has 2.6 million miles of paved roads, and about 94% of them are surfaced with asphalt pavement. Asphalt pavements are, and continue to be, America’s pavement of choice.

Tip of the Day: Apples to Oranges Bids. Don’t choose the winning bid just yet. Select which has the best scope of work, white out the company info and pricing, and send it back out as the template to re-bid the job with the other contractors. Every contractor should be bidding “apples to apples” so you can fairly make your decision and ensure you get the most value. You might be pleasantly surprised when the more qualified company shows it can provide that same scope at an even better price.

It’s worth the extra step!

Would you like to learn more about Pavement Project Management?

Contact us to schedule an educational presentation that will help you maximize your time and money.

James Duncan is a Senior Project Manager for United Paving Co., License #865828. James can be reached at 760-346-1005 or by email at james@united-paving.com.

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19

FEATURE Why Regular Inspections and Maintenance?

Roofs are constantly under attack by weather, structural movement, and stresses as well as chemicals present in the atmosphere. While normal aging will occur on all roofs, small problems stemming from neglect, abuse, contamination, error or accident can result in costly repairs or premature failure of the roofing system if not detected. A regular program of inspection and repairs will help detect minor problems before they become serious, avoiding interruptions of the internal functions within the building, and most importantly, protecting the owner's investment by adding years to the life of the roof.

Setting up a Maintenance Program

Protecting Your Roof Investment

By Ruben Quezada

H

istory has proven that many roof damage reports are the result of individuals or companies performing maintenance or construction on a building during or after the installation of a roofing system. If emergency repairs are required, the building owner should take immediate action to prevent entry of water into the roofing system and building interior.

A maintenance program has two areas of responsibility: 1. SCHEDULING ROOF INSPECTIONS. At least two inspections should be made every year. Ideally, inspections should take place in the spring to check on damage that may have occurred in the winter, so repairs can be scheduled during the fair weather summer months. The second inspection should be in the fall to be sure that the roof is in good condition for the upcoming winter months. Inspections should also be made after any other occurrences that might affect the roof. (For example: storms, construction activities, fires, etc.)

2. CONDUCTING INSPECTIONS. All components of the roofing system should be closely inspected and a record made of any signs of deterioration, unusual traffic patterns, poor drainage, accumulated debris, displacement or loss of ballast, or other conditions.

Sealants The primary area of maintenance is the sealant on the roofing system. All pitch pan fillers, caulking, and sealants must be examined during all regular inspections. Sealants are a major item in any maintenance program due to the extreme stresses created in these areas. Sealants are susceptible to cracking, pulling away from the walls or other surfaces, and splitting. Sealant replacement should take place at the first sign of deterioration.

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Drainage The roof structure should provide for positive drainage to eliminate ponding water whenever possible. The weight of ponding water may deflect the decking and framing members, causing damage to the structure and the roofing system. Proper roof drainage is a very important item in a maintenance program. These structural issues should be addressed with your engineering and architectural advisors.

Drains should be kept clear, and any debris that may clog a drain such as tennis balls, baseballs, beverage cans, etc., should be removed during each inspection.

Every drain should have a clean "leaf" grate present to prevent clogging of the drainpipes.

A roof inspection in the late fall should also include the removal of leaves. A clean industrial broom can be used to sweep the leaves from the drainage path(s).

Another way of removing leaves and other debris as well as observing drainage patterns and activity, is to "wash" the roof. Washing also removes the dirt from the roof surface, which is helpful for reviewing typical membrane wear during the roof inspection. Washing will also help maintain white membrane's solar reflectivity. When cleaning the membrane surface, use a non-sudsing, non-abrasive, powdered cleanser (For example, "Spic-n-Span").

Parapet Walls

AAU UTTO OM MAATTIIO ON N PPRRIID DEE

Parapet walls should be inspected for deteriorating of copings, cracked or open mortar joints or other signs wear and tear. Degradation of the parapet wall can lead

to water penetration into the structure, which is not only harmful to a structure, it may also cause the failure of parts of the roofing system. Insulation, decking, framing

members, and the fasteners in a mechanically-attached roofing system may all be adversely affected by moisture

penetration.

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FEATURE

Building Structure

Air Conditioning Units

The condition of the interior and exterior of the building structure should be visually checked during your regularly scheduled inspections. Defects within a structure can affect the roofing system because of the interactions between the structure and the roofing system.

Care must be taken to insure that any small, sharp debris is removed from the roof. Check around air conditioning equipment, other penetrations and elevation changes, and areas of access. Air conditioners should be checked to insure that the access panels are properly fastened in place, and that the drainage lines are functioning properly. Clogged drain lines and missing panels are items that create leakage into the structure.

Building Structure: Interior If a drop ceiling is present, the interior can be viewed by removing ceiling tiles. The walls should be viewed for settling, cracking or movement. The decking should not be rusted (if metal) or deteriorating (if wood). Any water stains that become evident after the installation of the roofing system will require research to determine the entry point of the water/moisture.

A concrete deck should be checked for spalling, cracking and/ or distortion of the deck to reveal possible structural defects.

Any or all of these items can affect the roofing system because of the stresses revealed. Contact a professional roofer for an evaluation when encountering any of these items.

Building Structure: Exterior The exterior of the structure should be inspected for open mortar joints, poor laps in siding, concrete spalling, loose fascia or general degradation. Any of these items will allow water and moisture penetration, which may affect the longevity of the roofing system, and the structure itself. New water stains on exterior walls may indicate that the coping or other terminations are leaking.

Roof Tie-Ins Tie-in areas should be thoroughly inspected for any sign of failure. Tie-ins have different materials in contact, which may create an area of stress. The sealants and other items in these areas should be reviewed for cracking, splitting or gaps. Degradation of the other roofing system may have direct impact on the performance of the roofing system.

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Ballast If a ballasted system has been installed, make sure the ballast is evenly distributed. Extreme care should be taken when inspecting the ballast, reviewing the corners, perimeter, and around penetrations for bare spots due to the increased wind effects in these areas. The ballast should be redistributed, taking care to not damage the membrane. If your inspections reveal that the ballast is being moved repeatedly, it may be necessary to place an interlocking paver system in these areas.

The even distribution of ballast can have a direct correlation to the longevity of a roofing system.

Good Housekeeping The final area of inspection is the general appearance of the roof and the surface conditions of the membrane. General appearance is primarily a function of housekeeping. Debris, poor drainage or ponding water can directly affect the roofing system. An effective maintenance program will address these items and prevent damages to the roofing system.

Ruben Quezada is the Marketing Director and Director of Safety for McDonnell Roofing. He is certified with the U.S Dept. of Labor OSHA, EM 385, Fall Protection & CPR certification. He has been the leading force with marketing strategies from HOAs, Commercial Property Managers, BOMA and various other entities. His bilingual skills bring a wide range of opportunity for the growth of McDonnell Roofing. Ruben can be reached at 714-349-4231 or by email at ruben@mcdonnellroofing.com.

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23

CHAPTER EVENTS

CAI-CV’s Educational Program Lunch & Mini Trade Show

Pools & Title 22 – Friday, June 9, 2017

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Quorum July, 2017

CHAPTER EVENTS

SAVE THE DATE Friday, September 22, 2017 Professional Speaker & Comedian Mary Feeley Tickets Available Online at WWW.CAI-CV.ORG

The Humor Advantage Personal and Professional Success with Humor Speaker Alan Smith - Alan Smith Pools

PROGRAM BOOTH SPONSORS Barcode Automation, Inc. BPR Inc. BRS Roofing Inc. Conserve LandCare EmpireWorks Reconstruction and Painting G4S Secure Solutions USA Horizon Lighting Inc. Nissho of California Painting Unlimited Purified Pool Water Silldorf Law Western Exterminator Company Western Pacific Roofing

SPOTLIGHT TABLE SPONSOR EmpireWorks Reconstruction and Painting

PEN SPONSOR Accurate Leak Locators

CLAC SPONSOR Artistic Maintenance, Inc.

Y

ou will enjoy the perfect blend of humor and honest insight when Mary Feeley unleashes the power of the humor. She will speak from her unique perspective as a business owner, motivational speaker, comedian and as a homeowner in a HOA on how humor will give you the ultimate advantage.

For a community to survive, succeed and prosper, community managers, vendors, board of directors and community volunteers must work together to create a culture that is strong yet flexible to meet the changing needs of the community and be responsive to those needs. This places a significant responsibility on you to become a team player that is adaptable and can communicate with all personality types.

Mary will show you how positive and appropriate humor is a powerful communication device. Humor has the power to enhance your image, reduce conflict, and create a true culture of teamwork. You will also learn how the humor advantage can assist with negative emotions and challenges of change.

Community management is high stress and constant problem solving of many negative situations such as roofs, road issues, angry homeowners, budget restraints, landscaping, pets, parking, and pests. Humor is a vital coping device as it is inherent in its ability to transform the negative into the positive and assists in providing a positive attitude.

This hilarious and insightful program will leave you laughing and provoke you to make positive personal and professional changes in your life.

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25

FEATURE

Interlocking Pavers - Using Ancient Engineering, Modern Technology, and High Industry Standards

By Charissa Farley

B

uilt by Appius Claudius Caecus in 312 B.C., the Appian Way in Rome is one of the most famous ancient roads in the world. In its entirety, it spanned 350 miles stretching from the Roman Forum to modern day Brindisi. The structural design is almost the same as we use in designing interlocking paver streets today and this road has survived 2,000 years.1 A key difference however, was the manufacturing of concrete units, eliminating the need to hand cut stones to fit together. In Europe, it became a conventional means of paving with some four billion square feet installed annually. In the early 1970s the first concrete paver manufacturing machine was brought from Europe to North America. Since that time millions of concrete paver streets have been laid throughout the US and in almost every major metropolitan downtown area as well as airport runways, industrial ports, and almost any exterior hardscape.

This paving system offers advantages of both concrete materials and flexible asphalt pavement. As high-strength concrete, the units have high resistance to freeze-thaw cycles and deicing salts, high abrasion and skid resistance, no damage from petroleum products or indentations from high temperatures. Once installed, there is no wait time for curing and the pavement is immediately ready for traffic.

Cracking and degradation of the surface is minimized because of the numerous sand-filled joints which act as a means for load transfer without damaging the pavement surface. Like flexible asphalt pavement, an aggregate base accommodates minor settlement without surface cracking. An aggregate base

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facilitates fast construction, as well as access to underground utilities. Pavement reinstatement is enhanced by reusing paving units, thereby minimizing costs and reducing waste. 2 Leave it to the Europeans to improve upon a good thing with modern technology. Mechanical installation of concrete pavers can be done with several types of machines in Europe, but in the US a vehicle with a moveable arm attached to a clamp grabs 4’x4’ sheets of pavers and places them in the ground. This can increase productivity with less men which can further reduce construction time and costs. There are some limitations and the cost savings can depend on multiple factors.

"As high-strength concrete, the units have high resistance to freeze-thaw cycles and deicing salts, high abrasion and skid resistance, no damage from petroleum products or indentations from high temperatures."

How much does this pavement cost? Again, there are many factors involved such as overall size of the job, staging of materials, layout of the areas, ability to machine install, paver selection, pattern and quantity of base. In the Coachella Valley the cost for streets can range from $5.50 to $8.00 per sf including asphalt removal without base. Base runs approximately $.56 to $1.50 per sf for most parts of the Coachella Valley (there are exceptions). It’s good to remember that most contractors base their bids on man hours so time is money and efficiencies save on both. “Unknown factors” often raise the price so the clearer

FEATURE

the project the better the price. The best way for a clear project is to utilize an experienced contractor with a commercial certification from the ICPI who builds to industry standards.

Check their references carefully to see how they have handled errors and omissions, and discuss every detail of the project.

Ask them what could go wrong, what problems have they seen before, and discuss detail before starting the job. Allow some contingency on any remodel project for discovery items.

HOAs can be unique environments that may have specific needs such as emergency access, working in smaller areas to allow for parking, access to mailboxes or trash, doing only half an area at a time, protecting landscaping, just to name a few. An experienced contractor should be able to give you a timeline that can be updated quickly for changes, to allow homeowners to know exactly when and where construction will be taking place….and when it will be over!

So why are there millions of square feet of interlocking pavers if it costs more than other pavements? It isn’t just about aesthetics and property values… it’s about what it costs over the lifetime of the pavement. Life cycle cost is extremely important; no one is thrilled to find out that a low down payment ended up costing them more in the long run.

Our industry organization utilizes a Life-Cycle Cost tool that allows for the examination of various design options to determine which pavement type is the most cost effective over the total life-cycle of the pavement. Robert Tuvell of Association Inc. worked with Sue Wiskow in facilities management at Bighorn and conducted a study of the approximately

twenty-year-old pavers at Bighorn comparing the upfront cost and maintenance with asphalt’s upfront cost and maintenance with an allowance for inflation and found pavers to be less expensive then asphalt. Additionally, these paver streets still look beautiful and have endured construction traffic throughout the years. In their clubhouse remodel this year, the old pavers were pulled up and reinstated in golf cart paths to get some more use out of them. Every job is site specific but most residential streets built by certified and experienced contractors to industry standards are looking at life cycles in excess of 30 years.

Charissa Farley, President of Farley Interlocking Pavers and television host is Palm Spring’s Life 2014 Corporate Business Woman of the Year. She is already recognized as the “Queen of Pavers” for her commitment to growing the country’s interlocking concrete paver industry and is the only woman in the country to hold the ICPI certification Advanced Residential Contractor Instructor, as well as being certified in commercial/advanced pavement technologies, permeable pavers, and sales to specifiers. She can be reached at 877.553.8797 or email at charissa@farleypavers.com.

1 https://engineeringrome.wikispaces.com/ The+Engineering+Behind+the+Via+Appian 2 1995 ICPI Tech Spec No. 4 • Interlocking Concrete Pavement Institute • Revised March 2017

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27

FRIDAY, JUNE 23, 2017

CHAPTER EVENTS TITLE SPONSOR Epsten Grinnell & Howell, APC

GRAND PRIZE SPONSOR Diversified Asphalt Products

LANE SPONSORS Accurate Leak Locators AMS Paving, Inc. Asphalt MD's Associa Desert Resort Management Conserve LandCare EmpireWorks Reconstruction and Painting Epsten Grinnell & Howell, APC Flood Response Frazier Pest Control, Inc. G4S Secure Solutions USA NPG Asphalt Pacific Western Bank Prendiville Insurance Agency Roof Asset Management S. B. S. Lien Services SCT Reserve Consultants, Inc. Seacoast Commerce Bank Sunshine Landscape Vantage Point Construction, Inc. Western Pacific Roofing

Near Perfect Score by Vantage Point's Ron DiGrandi

STRIKE SPONSOR Pacific Western Bank

GREETING SPONSOR Allied Universal

BAR SPONSORS CBCI Construction, Inc. Fiore Racobs & Powers PrimeCo U.S. Security Associates, Inc.

FOOD SIGN SPONSOR Dunn-Edwards Paints

DESSERT SPONSORS Pacific Western Bank Powerful Pest Management

LANE ASSIGNMENT SPONSORS Artistic Maintenance LaBarre/Oksnee Insurance Agency Pacific Western Bank Vista Paint Corporation CAI-CV.org

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29

HOMEOWNERS ASSOCIATION LAW

Capital Improvements vs. Reserve Expenses

By Jennifer James, Esq.

I

t is important to understand the difference between reserve expenses and capital improvements as the distinction will affect whether membership approval is required for the project, reserve funds can be used, or whether the HOA must impose a special assessment to the members to cover the expense of the project.

RESERVE EXPENSES There are generally two types of HOA accounts: operating accounts and reserve accounts. Boards have a fiduciary duty to properly allocate expenses, so understanding the difference between the two accounts is necessary.

Reserve accounts are generally maintained for major repairs and replacements, such as repaving the streets or replacing dead foliage. Reserve accounts are defined by California Civil Code §4177 as funds that the board has identified for use to defray the future repair or replacement of, or additions to, those major components that the HOA is obligated to maintain. Other examples of reserve account expenses include roof replacement, new pumps for community pools, or replacing common area fences or gates. HOAs use reserve studies to determine the cost to replace major components and the useful remaining life of each. On the other hand, operating accounts are used for everyday and ongoing expenditures. Examples of operating account expenses include management fees, security service fees, bulk cable fees, and landscape maintenance fees.

Unlike operating accounts, there are many restrictions on the HOA’s ability to expend reserve funds. Generally, the board shall not expend funds designated 30

Quorum July, 2017

as reserve funds for any purpose other than the repair, restoration, replacement, or maintenance of, or litigation involving the repair, restoration, replacement, or maintenance of, major components that the HOA is obligated to repair, restore, replace or maintain and for which the reserve fund was established. However, boards may authorize the temporary transfer of funds from a reserve account to the HOA’s operating account to meet short-term cash flow requirements or expenses, if the board complies with the following requirements outlined in California Civil Code §5515: 1. The board must provide notice of the intent to consider the transfer in a board meeting notice. The notice shall include the reasons the transfer is needed, some of the options for repayment, and whether a special assessment may be considered.

2. If the board authorizes the transfer, the board shall issue a written finding, recorded in the board’s minutes explaining the reasons why the transfer is needed, and describing when and how the funds will be repaid to the reserve fund.

3. The transferred funds shall be restored to the reserve account within one year of the date of the initial transfer, except that the board may, after giving the same notice required for considering a transfer, and upon making a finding supported by documentation that a temporary delay would be in the best interest of the HOA, temporarily delay the restoration.

CAPITAL IMPROVEMENTS Unlike reserve accounts, capitol improvements are not defined by any statute or common law in California. In regards to homeowner associations, a capital improvement is generally defined as either: (i) an installation of a new improvement

HOMEOWNERS ASSOCIATION LAW that did not originally exist (such as a new pool or new tennis court), or (ii) a significant change to an existing improvement (such as replacing asphalt with pavers or converting landscaping to desertscape). Some CC&Rs may include a definition, so be sure to always check your CC&Rs. While it is often easy to identify new improvements that did not originally exist as capital improvements, it is not always as simple to identify whether an upgrade to an existing improvement is a reserve or capital expense. Keep in mind that where the money comes from to fund the capitol improvement, i.e. reserves vs. operating fund, is not determinative regarding whether something is a capitol improvement.

When is an upgrade considered a significant change defining the project as a capital improvement? Improved building materials would likely be a reserve expense, unless the cost is significantly more. As technology progresses and new and better materials are developed, boards are often left questioning whether an upgrade to an existing component is a reserve or capital expense project. If there is uncertainty whether a project is considered a capital improvement and/or whether membership approval is required, seek advice from legal counsel experienced with common interest communities.

Generally, capital improvement projects will create operating expenses and future reserve expenses. Keep in mind that some CC&Rs require membership approval for any capital improvements or capital improvements exceeding a certain dollar value.

If the capital improvement is new to the community, no reserve funds would have been allocated to pay for the project. Therefore, the board would have to reallocate existing funds to pay for the new installation, or impose a special assessment to fund the project. The new project will need to be added to the reserve component list, and future reserve studies should be updated to reflect the new improvement.

to approve an increase in assessments require use of the secret ballot election process and approval by a majority of a quorum of the membership. California Civil Code §4070 defines a “majority of a quorum” as a majority of the votes received once quorum is obtained.

Quorum is defined by California Civil Code §5605(c) as more than 50% of the owners of the HOA. For example, in a community with 100 owners eligible to vote, Quorum would be 51 members, so 51 or more members would need to vote.

If 80 members submit votes, Quorum is met, and at least 41 members must approve the special assessment.

Even if boards are authorized to approve expenditures for reserve items and capital improvements without membership approval, any significant aesthetic changes to the community should be submitted to the membership. At a minimum, it is always recommended that members are made aware of such changes.

An increase in assessments may be necessary to cover the increase in maintenance and reserve costs. Regular assessments may be increased up to 20% of the regular assessment for the HOA’s preceding fiscal year without a vote of the membership (see California Civil Code §5605(b)) .

If a special assessment is required, boards are allowed to special assess the membership up to 5% of the current fiscal year’s budgeted gross expenses without membership approval (see California Civil Code §5605(b)). For example, if the current fiscal year’s budgeted gross expenses are $100,000, the board could impose a special assessment up to $5,000 in the aggregate without a vote of the members. A special assessment exceeding $5,000 would require membership approval. Elections

Jennifer James, Esq. is an HOA attorney located in the City of Palm Desert and has been providing legal services to common interest communities for more than 14 years. She established her own law practice, Jennifer James Law, in 2014. Ms. James has been actively involved with CAI since 2004. She can be reached at (760) 834-8913 or Jennifer@ JenniferJamesLaw.com.

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TRENDING NOW

Solar Photovoltaic (PV) for Your Home or Business

By Antoinette Hamilton

W

hen considering solar for your home or business do the following first, as these steps could save you installing additional panels.

ENERGY AUDITS Visit Southern California Edison (SCE) at www.sce.com for an online energy guide.

Imperial Irrigation District (IID) www.iid.com will conduct a free energy audit of your home or business.

DID YOU KNOW By changing your incandescent light bulbs, which generates 90% heat and only 10% light, to LEDs, you reduce the heat build up, save on your utility bills and improve the air quality in your home or office.

Unplugging your lamps, coffee maker, phone charger when not in use will also reduce your utility bill. Phantom power is drawn from appliances even when they are not turned on! Unplug the T.V., clock radio and lamps in the guest room when not in use.

If your average bill over a 12 month period is less than $150 month, solar may not be your best option. Less costly energy efficiency upgrades may make more sense.

PROPERTY ASSESSED CLEAN ENERGY (PACE) PACE is a program that enables financing of energy efficiency upgrades to your home or business that include windows, doors, solar, roofs, artificial turf, HVAC, lighting and more. The amount is based on the equity in your home and is repaid up to 25 years through your property tax bill. Providers of this program are Ygrene- www.ygreneworks.com and HERO-www.heroprograms.com.

CHECK YOUR ROOF There are many different types of roofs – asphalt, metal, slate, composition, tile.

An inspection of the roof should be made prior to installing solar for your home or business. Get two to three estimates, confirming that the contractors are licensed, insured, bonded and their workers' comp coverage is current.

Check they have a good reputation for quality work by asking for and following up on references. Don’t base your decision solely on price.

The inverter converts solar-generated DC electrioity into alternating ourrent (AC) electrioity, the form of energy used by most standard household appliances.

Quorum July, 2017

Select two to three local reputable contractors who are familiar with the different permiting and HOA requirements. Check their references and confirm that they are knowledgeable on current SCE and IID paperwork.

Final inspection and interconnection approval from the utility company is crucial, as it has to be received before the system can be turned on and this can be delayed due to incorrect or incomplete paperwork.

MORNING Energy consumption increases as the day begins. As solar production increases, the amount of energy needed is reduced.

MID-DAY Solar production is at its highest, with your system generating more energy than you need. Surplus solar energy flows back to the utility for credit, turning the meter backwards.

Solar pannels turn sunlight into direct current (DC) electricity.

The bi-directional meter tracks the amount of electioity (kWh) produced, consumed and sent to the grid by your home. It spins backwards when solar generation exceeds home consumption, sending energy back to the utility grid for full credit at the retail rate.

The performance monitoring system measures and monitors all energy generated by the system and provides alerts about system performance.

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SELECTING A CONTRACTOR

Utility power is still automaticaly provided from the grid at night or during days when your demand exceeds your solar energy production.

AC disconnect is a manual safety switch that can be used to separate the home's electrical system from the solar electricity system if necessary.

TRENDING NOW MORNING

MID-DAY

EARLY EVENING As the sun begins to set your solar production drops and you begin to buy energy from the utility company.

NIGHT Solar energy production stops completely. Your home or business taps into the credit earned during the day.

CARPORT AND PATIO STRUCTURES If a roof or ground mount isn’t possible when considering installing solar PV, solar thermal for a pool or for hot water because of wrong orientation or lack of sufficient space, consider as an option an attached or free standing carport or patio structure. These structures are ideal for both single family homes and businesses and they offer additional shade.

MONTORING The solar company should provide monitoring so you can check your output on your solar system. You will need to have a wi-fi connection.

HOW TO READ YOUR UTILITY BILL AFTER INSTALLING SOLAR If you install a solar PV system that meets 80% of your utility needs, that

EARLY EVENING

NIGHT

Solar panels are tied to the electrical grid and will not work if there is a power outage unless there is a battery backup.

Solar Panels are usually under warranty for 25 years.

Over time, the efficiency of solar panels will degrade about 0.5% each year.

Solar panels cannot be installed on manufactured homes. means 20% will be billed by SCE or IID, plus any connection charges, taxes, etc.

Always make sure you look at the Annual Cumulative on your utility bill each month, as this figure gives you the true amount of your utility bill. The utility companies will bill you once a year for this amount, but you can pay monthly.

30% INVESTMENT TAX CREDIT (ITC) There are federal tax incentives available for the purchase and installation of eligible solar systems, including both solar photovoltaics (PV) and solar hot water (solar thermal) systems. To take advantage of this tax credit there must be a federal tax liability. It may be carried forward if not completely usable in the year the system was installed. Rules may vary for residential and commercial tax filers. The 30% rate is available for systems placed in service through December 31, 2019. The credit drops to 26% through the end of 2020 and then 22% through 2021.

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This tax credit does not apply to tax-exempt municipal customers and non-profits.

SOLAR PANEL CLEANING Depending on location and weather conditions, panels may need to be cleaned every 2-3 months so your system will continue to provide the expected output. Many window cleaners also do solar panel cleaning or you can use a solar panel cleaning kit.

Antoinette Hamilton has ten years of experience in solar PV and solar pool heating in the Coachella Valley. She is a frequent guest speaker on energy efficiency solutions for HOAs, hotels, country clubs, apartment complexes and assisted living facilities. Antoinette can be reached at (760) 808-1128 or by email at info@suntosolar.com.

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FEATURE

Concrete vs. Clay Roof Tiles T

By Tyler Allwood

ile roofing is the most popular steep-slope roofing product in the world. For thousands of years, tile has graced the roofs of homes, houses of worship, universities and commercial structures. In many parts of the globe it is the primary choice for roofing.

Tile is beautiful, distinctive, long-lasting, strong and safe.

Not only does it enhance the curb appeal of a building, it also provides protection from the most extreme weather conditions. Because it is a natural product made from some of the strongest materials, it will continue to provide that protection for a long time.

In order to fully comprehend the benefits of roof tile, it is important to know more about the two prevailing types of roof tile, clay and concrete. There are definite differences between clay and concrete tiles, mostly in their construction.

However, both clay and concrete tile provide many of the same benefits to the building owner, namely a beautiful roof that will stand the test of time.

CLAY ROOF TILE Clay roof tile is believed to have originated in China around 10,000 BC. Clay tile was also used by most early civilizations, including those in Greece, ancient Rome and Egypt. Clay roof tile is still made from earthen clay that is formed into molds and fired or baked in kilns. Since it is very dense and non-porous, clay is an excellent product for roofing.

The production process for clay roof tile varies. Some tiles are still molded by hand and baked in brick ovens. Modern companies use advanced technology to create precise interlocking tiles. As one might expect, the production process affects the look and strength.

Additives may be used to enhance strength. They may also use a specialized firing process to create a harder product.

As with any roofing product, it is important to consider the environment where the roof is to be installed in order to select the clay tile that meets the needs of the project.

CONCRETE ROOF TILE

In the early to mid-nineteenth century a process called hydration that occurs when aggregate, cement and water are combined, was discovered. This innovation would forever change construction throughout the world and can be described as an early nanotechnology, due to the molecular changes that occur in cement during hydration. Shortly after the discovery of concrete, the first concrete tiles were created in Germany and over the following century improvements to the production process have led to the concrete tile roofs that are so popular today.

In modern manufacturing facilities, concrete roof tiles are made by combining Portland cement, aggregate and water, as well as coloring agents and in some cases various additives.

The mixture is then extruded onto molds and sent into a curing chamber. The extrusion process was an important innovation, as it makes concrete roof tiles denser and less porous. While more porous than clay roof tile, concrete roof tile does have to pass a water absorption test, as well as a permeability test.

Concrete roof tiles are available in three main profiles: high, medium and flat. High profile tiles are often called “S� or high barrel tiles and are meant to emulate a traditional pan and cover. Medium profile tiles are sometimes referred to as roll or medium barrel tiles. Flat profiles are available in many textures and finishes and are often used to emulate slate or cedar shake roofs.

In addition to different profiles, there are different coloration processes available. Concrete roof tiles can be made with through-body coloring, known as color through, or with a slurry or color bonded surface coating. Color through tiles are made by combining the coloring agents with the aggregate, cement and water before extrusion and are basically the same color on the top and bottom of the tile. Slurry is a combination of the coloring agent, water, cement and a small amount of fine sand that is applied to the surface of the tile after the extrusion 34

!

ACTS R T ON NO C process. Most often, the tile below does not have any color.

Because the process for making concrete roof tile is easily automated, it is very flexible. This allows manufacturers to produce tiles in any shape, texture or color quickly. The end user benefits from the value that this affords while receiving a beautiful and strong roof.

INSTALLATION While clay and concrete tile have different constructions and production processes, the installation of the two types of tile is very similar. In fact, for basic installations, the Tile Roofing Institute (TRI) has compiled and combined the installation instructions for manufacturers of both types of tile. The TRI is the association of tile manufacturers in the United States. Its role is to aid in the testing of concrete and clay tile, aid in the development of codes, publish installation manuals, train and certify installers of clay and concrete tile, and advocate for clay and concrete tile manufacturers.

The TRI publishes three manuals: the TRI Concrete and

Clay Roof Tile Installation Manual, the FRSA/TRI Florida High Wind Tile Installation Manual, Revised 5th Edition and the TRI Cold & Snow Concrete and Clay Tile Design Criteria for Cold and Snow Regions. More information and all of the manuals are available at www.tileroofing.org.

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ROOFING FOR THE FUTURE With their many qualities, concrete and clay roof tiles will continue to expand their reach across North America. These natural products provide the beauty to meet any architectural demand, the strength to withstand all weather conditions and the durability to stand the test of time. They will also provide the perfect platform for the future of energy efficiency.

Tyler Allwood is the Director of Technical Services and Systems for Eagle Roofing products. Prior to joining Eagle, Tyler was a roofing and building contractor in Florida for more than ten years. He is also a graduate of Boston College. Tyler can be reached at tylera@eagleroofing.com.

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fernandof@thevintageco.com

Greg Morrow is Eagle Roofing’s Sales Representative and HOA Specialist. Greg can be reached at 909-633-2191 or by email at gregm@eagleroofing.com.

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MAINTENANCE

Saltwater vs. Chlorine Pools – The Great Debate!

By Dan H. Stites, P.E

S

altwater pools were first introduced in the 1980’s but, over the past decade, have exploded in popularity. Pool owners like that they are lower maintenance than chlorine pools and require fewer harsh chemicals. But chlorine based pools still have their fans.

There are a lot of misconceptions about saltwater pools. Perhaps the biggest is that they don’t contain any chlorine. In actuality, saltwater pools use a generator to convert salt into chlorine, which is necessary for sanitation.

The chlorine levels are just lower, which makes the water more comfortable for swimmers. And with saltwater pools, there are no chlorine tablets to buy or add.

a generator. You’ll also have to spend about $20 each year for salt, but you won’t have to purchase chlorine, which is more expensive. So, bottom line, the up-front cost of a saltwater pool is higher but the ongoing cost of chemicals is lower.

SALTWATER POOL PROS Increased comfort - Saltwater pools provide a more comfortable swimming experience because they contain less chlorine. The water is softer on the skin, and it is less likely to cause itching, burning, dry skin, green hair or swimsuit fading. You can open your eyes underwater without irritation. Most people who opt for saltwater pools do so for the increased comfort.

due to the need for the chorine generator.

Maintenance costs - Metal parts and components will have to be replaced more often because salt has corrosive tendencies. Also, salt chlorination cells need to be inspected about once every three months and replaced every two or three years.

Harmful to plants - Saltwater can kill plants and rob nearby soil of important nutrients. Because of this, some (but not many) cities and towns ban saltwater pools.

CHLORINE POOLS OVERVIEW When first shopping for a pool, most people assume that chlorine is the only way to go. Consumers are more familiar

"Most people who opt for saltwater pools do so for the increased comfort"

Another major misconception about saltwater pools is that they’re as salty as the ocean. In truth, the salt content is about one tenth of that found in the ocean - similar to that of natural tears.

So, opening your eyes under water in a salt water pool is probably friendlier than in chlorine pools.

HOW MUCH DOES A SALTWATER SWIMMING POOL COST? The major difference between a saltwater pool and a chlorine pool is the existence of a chlorine generator.

In order to have a saltwater pool, you need to spend about an extra $1,000 on 36

Quorum July, 2017

No chlorine to buy - Because saltwater pools produce chlorine using a generator, you will never have to worry about purchasing, transporting and adding chlorine to the pool.

Self-regulating - The generators in saltwater pools produce a steady flow of chlorine at all times, whereas chlorine pools require regular chlorine treatments to maintain appropriate levels.

The steady flow of chlorine reduces algae build-up and maintains a reliable, even level of cleanliness.

with chlorine pools, so they remain the most popular choice.

Chlorine is a powerful chemical that instantly kills harmful bacteria. It is completely safe when properly used.

With a chlorine pool, you will need to buy chlorine tablets and add them on a regular basis to maintain the pool’s proper chemical balance.

Maintaining the chemical balance in a chlorine pool requires diligence and a competent pool service; or an incredibly capable DIY (Do It Yourself) homeowner!

SALTWATER POOL CONS

HOW MUCH DOES A CHLORINE SWIMMING POOL COST?

Price - Saltwater pool systems are more expensive to install – about $1,000

As noted above, you’ll save about

$1,000 upfront by opting for a chlorine pool because there’s no chlorine generator to buy. Chlorine pools are also less expensive to maintain because the parts and components are less likely to fail. However, you will have to purchase buckets of chlorine on a regular basis, which are more expensive than salt.

CHLORINE POOL PROS Cost - Chlorine pools are less expensive upfront and cost less to maintain, even when you factor in the cost of purchasing chlorine. This is largely because you don’t have to purchase a chlorine generator.

Familiarity - If you have a pool, chances are it’s a chlorine pool. You’ve learned how to properly maintain the chemical balance. Switching to a saltwater pool involves a bit of a learning curve because the maintenance regimen is different.

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CHLORINE POOL CONS Irritation - We’re all familiar with chlorine’s irritating qualities. Chlorine causes itching, burning, dry skin, green hair and swimsuit fading. It can be uncomfortable to open your eyes underwater.

Maintenance - Without a generator to create chlorine and regulate chlorine levels, you’re in charge of maintaining the proper balance. You’ll need to add chlorine on a regular basis and monitor chlorine levels and total dissolved solids. You will also need to perform periodic “shock” treatments to prevent algae growth and regulate chlorine levels.

THE BOTTOM LINE It really boils down to personal preferences. The saltwater pool is generally friendlier to your skin and clothing but is harsh on vegetation and pool parts.

It is more expensive to purchase but saves money in chemical purchase. On the other hand, the cost of filters and replacing pool components may be higher than the chlorine pool. The saltwater pool chemistry is generally easier to maintain, but you will need to have a pool service provider who is familiar with such pools.

THE GREAT DEBATE GOES ON! Dan Stites is a degreed and licensed Professional Engineer with over 35 years of experience in the construction industry. He also holds C-39 Roofing and Waterproofing and “B” General Building Contractor licenses and has completed graduate studies in business at Rice University and Thunderbird School of Global Management.

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FEATURE

How A Reserve Study Protects Owner Value

By Kevin Leonard, RS

K

eeping adequate reserve funds for the repair and replacement of common area facilities is an essential board responsibility in all association governed communities. But too many boards fall short of the mark, focusing instead on short-term decisions, conflict management, and routine rituals of organizational life.

It’s easy to see why owners resist contributing to reserve funds. Reserve projects may be scheduled years into the future, while routine operating expenses occur every month. Some owners expect to sell their residences before major repair and replacement costs arise. Others simply don’t understand that the cost of ongoing deterioration is as real as any other association expense. Boards and managers that argue for a prudent monthly reserve contribution face a hard sell.

Maintaining an adequate reserve fund is a bit like saving for retirement: a bit of self-denial now prevents a bigger problem later. But self-denial is never popular. Many individuals fail to make adequate provision for their own retirement. It’s no wonder many board members and managers struggle to persuade owners to adequately fund their reserves.

A Well-Managed Reserve Fund Benefits Future and Current Owners A well-managed reserve fund obviously benefits future owners. Less obviously, current owners benefit as well.

A reserve study helps boards explain how a sound plan for maintaining or refreshing common property benefits all owners right away, as well as in the long run. As soon as their association receives and begins to implement the reserve study report, current owners benefit in several ways: • Reduced conflict. Assessments based on a reserve study are founded on hard facts and objective analysis. Owners may still disagree about how quickly to top up their reserve fund, but with the report in hand, discussion can proceed from a baseline of accepted facts.

• Predictable costs. Without a reserve study, owners never know when the next maintenance surprise will bring about a sudden special assessment.

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Once leaders start to act on the reserve plan, owners know what to expect, and develop confidence in their manager and board.

• Enhanced resale values. Savvy buyers take association fees into account when they decide how much to offer for a unit. One of the most frequent objections selling agents hear from prospects is, “How do I know fees won’t go up after I buy?” A professionally written reserve study is the best response to this concern, because it provides exactly the disclosure buyers are entitled to and the assurance they need.

In all these ways, the current owners benefit from a reserve study right away. To maximize these short-term benefits, the board needs to communicate effectively with owners as soon as it receives its reserve study report.

Reserve Studies Disclose the Facts If the reserve study shows that the association has fallen seriously behind in funding its reserve, the board may be tempted to keep the results to themselves, for fear buyers might be frightened by a frank sign of the likelihood of increased future assessments.

Excessive secrecy is not the answer, as buyers are entitled (by law in most states) to the full financial disclosure a reserve study affords. Savvy buyers who might be daunted by a report of a reserve shortfall could be inclined to discount their purchase offer. So the other owners’ market value already has been negatively impacted.

The reserve study is a first step toward correcting that situation. With the report in hand, the association has an opportunity to enhance owner value by starting to adequately fund the cost of ongoing deterioration.

By balancing owners’ short-term interest in low assessment rates with their long-term interest in property values, the board protects all of its constituents. Reserves are not about hypothetical future risks–they are about the predictable cost of ongoing deterioration.

FEATURE Underfunded reserves hurt every owner’s property values right now, so now is the time to correct the situation, which enhances the value of every owner’s unit in the process.

As the reserve fund approaches a strong (over 70% funded) level, prospective buyers will feel confident in making their best offer, knowing that the current assessment rates will protect the value of their investment.

When associations wait for routine maintenance to turn into emergency repairs, boards and managers lurch from crisis to crisis. Owners worry about losing value, second-guess their leaders, and resist even minimal assessment increases.

By commissioning a reserve study, your board takes the first step toward a calmer, firmer form of leadership. In the long run, people are most influenced by information that their leaders present calmly and consistently over time.

Prudent planning for predictable repair and replacement costs benefits future owners, to be sure. But present owners benefit as well. With a reserve study and firm, steady communication, boards and managers can help the present generation of owners understand that they, too, can enjoy their share of the benefits of prudent reserve planning.

reserve income burden between all homeowners over the course of an association’s lifespan. This means that homeowners in 2007, 2017, and 2027 are all paying their fair share of the streets, roofs, and all other reserve components.

With a reserve study, boards can take the responsible approach today to plan for their association’s inevitable and predictable expenses.

of these replacements.

Keeping reserve contributions low will eventually lead to underfunded reserves and costly special assessments.

The good news is that these significant projects are predictable. Reserve studies give boards the ability to foresee major replacement projects. The responsible approach is to fairly distribute the

Kevin Leonard, RS, is the President of Association Reserves for the Inland Empire & Coachella Valley regions. He has earned his Reserve Specialist designation from CAI and has completed over 500 Reserve Studies for clients throughout southern California. Kevin can be reached by email at KLeonard@Reservestudy.com or by phone at (909) 906-1025.

Reserve Study Example: Roads and Roofs Asphalt resurfacing and roof replacement are two of the largest expenses an association will face during its lifetime.

It’s not uncommon for boards to bury their heads in the sand and pretend these projects don’t exist. The fact of the matter is that replacing roofs and roads are both costly and inevitable. The lifespan of these common area components can stretch up to about 30 years and the excuses not to fund reserves for these replacements are endless. However, that line of thinking will eventually burden a group of future owners with the full cost CAI-CV.org

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FEATURE

Save a Lot Through Preventative Maintenance of Asphalt Paved Areas

WELCOME ABOARD Jon Gann-Reyes

Community Association Manager Associa – Desert Resort Management

By Jay Powell

By Lou Moreno

A

sphalt is a versatile and durable material used for traffic surfaces throughout the Coachella Valley. It is less expensive than cement, and with simple preventive maintenance, its characteristics can be preserved or restored to near new condition.

The composition of asphalt is about 95% aggregates (stone, gravel and sand) held together by asphalt cement, or bitumen, a semi-solid form of petroleum. Over time, especially with our harsh desert weather, asphalt begins to oxidize, appearing gray which is a normal process for asphalt. This oxidation may be an indication that it’s time to apply one or two coats of sealer, depending on the amount of surface traffic, to maintain the pavement service life. A seal coat when applied to manufactures specification, will restore characteristics such as skid resistance, smoothness, and waterproofing of the underlying layer.

Without seal coating as maintenance, aging asphalt will allow water to collect and penetrate beneath the surface. Water intrusion in the subsurface damages the base and the asphalt will crack, or “alligator.” At the point of visible cracking, major repairs are necessary, which can mean repaving the top layer, or even complete removal and replacement of the asphalt.

Preventative maintenance by seal coating can prolong the life of asphalt at a fraction of the cost of repaving, or removing and replacement.

Seal coating also improves the overall aesthetic appearance of the property, therefore adding value to the property. So take note of how the asphalt paved areas of your community look. Even if the asphalt has reached the point of unraveling, where loose aggregate or stones appear, it is still good to seal, as long as little or no visible cracking has occurred and the asphalt is still in good condition.

Lou Moreno is the Marketing Director for Diversified Asphalt Products. He may be contacted by phone at 714-449-8666 or by email at loum@diversifiedasphalt.com.

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Jon comes to us from the small Northern California town of Mariposa, formerly known as “Aqua Fria.” Jon and his husband have three children and continue to be foster parents. Like most managers it wasn’t in his master plan to be an HOA manager, as he said, “I ended up doing this by accident.” Far removed from his former position as Director of Security for Porcupine Creek Golf Club. But Jon loves his work. He has recently completed his M100 training and he told me he sees himself managing associations for years to come. I asked him what he likes about his job, and he said, “It is ever changing, and every day brings a new challenge.” Jon has a lot of enthusiasm and an easy going style. He says he gets a lot of support from the team at DRM, and everyone is eager to help him succeed. He credits his Executive Managers, Alison Posey and Julie Mogolis, for helping him navigate through the uncharted waters of the business. He also mentioned that he enjoys the CAI Luncheons and has learned a lot from the educational topics that are presented. If you see Jon at one of our events, walk up and say hi. You’ll be glad you did.

Jay Powell is the Business Development Manager for Ben's Asphalt. He can be reached at 760-413-2466 or by email at jay.powell@bensasphalt.com.

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HOA PROTECTION: SIMPLE & SECURE At AMS Security we understand your HOA’s specific safety needs to protect your community. Our HOA services include: -

Gate Systems Computer Networking Systems Vehicle Transponder Access Systems Transponder Vendor Management Community Management Software Video Surveillance Systems Perimeter Intrusion Detection Systems

As the leading experts in cutting-edge electronic security technology, AMS Security pairs unmatched expertise with exceptional customer service, delivering peace of mind to you and your residents.

Call today for a free quote:

760.341.3593 AMSprotectme.com 74-794 42nd Ave. Suite 1 Palm Desert Lic# 944895 ACO 6917

Licenses #664779

Asphalt Concrete Seal Coating Striping ADA Compliance Grinding & Pulverizing

NPGASPHALT.COM So-Cal: 951.940.0200 Desert Division: 760.320.9600 Proud Members of: BIA,BOMA,CAI,IREM,CACM,CREW 42

Quorum July, 2017

GURALNICK GILLILAND & KNIGHTEN _________________________________________________________________________________________________

• Corporate Counsel •

• Legal Opinions

• Assessment Lien and Foreclosure

• • Fees Paid by Delinquent Homeowner • Detailed Monthly Status Reports

40004 Cook St. Suite 3 Palm Desert, Ca www.gghoalaw.com Phone: (760) 340-1515 Fax: (760) 568-3053 For a Copy of our Legal Update Contact Melissap@gghoalaw.com

FEATURE YOUR COMPANY

ON THE COVER JUNE 201 7

Coachella Va

lley Comm

unity Assoc

iations Ins titu

te Magazin

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REAL ROOFING KNOWLEDGE FOR REAL ROOFING SOLUTIONS

EVERY COVER HAS A STORY.

TELL US YOURS!

POO L ISS UE

10 An Inte rview with 14 Elec Alan Smi tricity & th Water Don 15 CPO ’t Mix Cer tific atio n – Wor th 16 Swim ming Poo the Effort l & Spa Self 26 How -Inspec tion to Detect Pool Leak 30 Title Checklis t s 22 Testing Requiremen 34 Sola r Therma ts for Pub l for Hot lic Pools 36 Dive Water & into Wat Pools er Savings Filtering

by Reusing Pool Wat or er

Chris, Jeff and Alan Smith from Alan Smith Poo ls

energize educate elevate

CAI-CV wil to seek CA l energize our me themselv I education to ele mbers es & the CID indust vate ry.

CONTACT THE CAI-CV OFFICE

MUST BE CAI-CV MEMBER IN GOOD STANDING

(760) 341-0559

Inc.

Spray Polyurethane Foam Systems Roof Repairs

Tile Systems

Roof System Maintenance

Shingle & Shake Systems

Budget Reserves

Consulting

760 813 9999

admin@cai-cv.org

w w w . R A M R O O F. c o m CAI-CV.org

facebook.com/CAICV

C OAC H E L L A VA L L E Y C H A P T E R

A SS O C I AT I O N S I N ST I T U T E

twitter.com/CAI_CV

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41-905 Boardwalk, A-2 Palm Desert, CA 92211

GREEN IS FOR LOCAL EVENTS

CAI-CV UPCOMING EVENTS SIGN UP FOR LOCAL EVENTS AT CAI-CV.ORG AND FOR CAI NATIONAL EVENTS AT CAIONLINE.ORG JULY CAI’s M360 Course (for managers) WHEN: Thursday – Friday, July 20-21, 2017 WHERE: Los Angeles

AUGUST Manager on the Run (MOTR) (for managers) WHEN: Friday, August 4, 2017 WHERE: Flood Response, Thousand Palms CAI’s M201 Course (for managers) WHEN: Thursday-Friday, August 10-11, 2017 WHERE: Santa Ana CAI’s M100 Course (for managers, board members) WHEN: Thursday-Saturday, August 17-19, 2017 WHERE: Los Angeles CAI-CV’s Day at the Races (for managers) WHEN: Friday, August 18, 2017 WHERE: Del Mar Race Track CAI’s M206 Course (for managers) WHEN: Thursday-Friday, August 24-25, 2017 WHERE: San Diego

SEPTEMBER CAI’s M202 Course (for managers) WHEN: Thursday-Friday, September 7-8, 2017 WHERE: Santa Ana CAI’s Large-Scale Workshop (for managers) WHEN: Thursday-Saturday, September 14-16, 2017 WHERE: Sugar Land, Texas CAI-CV’s Educational Lunch Program & Mini Trade Show (for all members) Don’t Miss Professional Speaker and Comedian Mary Freeley WHEN: Friday, September 22, 2017, 11:15 Registration WHERE: Palm Valley Country Club, Palm Desert

HAVE YOU HEARD? Ron DiGrandi has joined Vantage Point Construction as their Business Development Manager. Ron can be reached at vpcron@gmail.com or 760-610-4864.

2017 CORPORATE SPONSORS PLATINUM______ AMS Paving Asphalt MD’s Associa Desert Resort Management Bissell Design Studios Inc. Conserve LandCare Diversified Asphalt EmpireWorks Fiore Racobs & Powers, A PLC KESQ NEWS Channel 3 ABC NPG Asphalt Pacific Western Bank Roof Asset Management Signarama Sunshine Landscape Vantage Point Construction Western Pacific Roofing

GOLD___________ AMS Security BRS Roofing CBCI Construction Epsten Grinnell & Howell, APC Flood Response G4S Secure Solutions Lloyd Pest Control Mutual of Omaha Peters & Freedman, L.L.P. Prendiville Insurance Agency PrimeCo Purified Pool Water Vintage Associates

SILVER__________ Artistic Maintenance, Inc Automation Pride Barcode Automation, Inc. Coachella Valley Water District DWI Farley Interlocking Pavers Frazier Pest Control Horizon Lighting Painting Unlimited, Inc. Powerful Pest Management Seacoast Commerce Bank Three Phase Electric Union Bank Homeowners Association Services

BRONZE________

Accurate Leak Locators Adams Stirling, PLC Albert Management, Inc. All Counties Fence and Supply Alliance Association Bank Association Reserves Bank of Southern California Ben’s Asphalt, Inc. Dunn-Edwards Paint Corp.

FirstService Residential Frontier Communications Guralnick, Gilliland & Knighten Kasdan LippSmith Weber Turner, LLP LaBarre/Oksnee Insurance Agency Law Office of Jennifer James, Esq.

PatioShoppers Commercial Furnishings Powerstone Property Management Pro Landscaping, Inc. S.B.S. Lien Services SCT Reserve Consultants SERVPRO of Palm Desert SERVPRO of Palm Springs/Indian Wells Sherwin-Williams Paint Co. Silldorf Law, LLP Suntech Consulting & Roofing The Management Trust United Paving U.S. Security Associates Vista Paint Corporation