CAI-MN Minnesota Community Living - Sep/Oct 2014

In this Issue: Finishing the Season Strong .................... 4 CAI-MN Vision Awards ................... 9 September/October 2014

Volume 32 • Issue 5

End of Season ...... 13 And Much More!

Post Season Spring and summer have passed, and now the baseball season has wrapped up. Players are already preparing for next season.

The same can be said for your community association. Find out how you can start this season off right to get the biggest payoff next year!

2

Minnesota Communit y Living

From the President

Board of Directors

By Michael Klemm | CAI-MN President

CAI-MN Post Season Wrap-Up As I prepare to pass the gavel at the 2014 Vision Awards, I look back over the past season with pride in the accomplishments of the Minnesota Chapter of CAI, and with gratitude for the time and effort of our directors, committees, authors, speakers and other volunteers.

It will be hard to give up monthly board meetings. I have thoroughly enjoyed working with all of the talented and committed individuals who serve on the board of directors. Thank you for your diligence, teamwork and enthusiasm!

Education is a top priority for CAI-Minnesota, and the Education Committee and the CAVL Committee have put tremendous effort into providing seminars for managers and community association volunteer leaders. I want to specifically thank Nigel Mendez and Lynn Boergerhoff for their dedication and leadership. The seminars have been carefully planned far in advance, with timely, relevant topics and excellent speakers. One seminar that particularly impacted me was the manager seminar on “The Art of Neighboring,� focusing on building community in associations.

The Legislative Action Committee had a busy year responding to proposed legislation, including bills to restrict associations authority to regulate solar systems and to require associations to participate in foreclosure mediation. One indication of our growing influence at the State Capitol is that we were contacted for feedback on proposed legislation. Members of the LAC met with legislators, attended hearings and negotiated language to reduce or eliminate the impact of proposed bills on

associations. Ultimately, the bills we opposed were defeated.

Our premier events, the Annual Trade Show, Golf Tournament and Vision Awards, continue to shine.

The committees put together excellent events and make changes from year to year to make them even better. Thanks again to our sponsors and exhibitors, who make these events possible!

The Communications Committee worked diligently this year to grow and improve our Minnesota Community Living magazine, and they captured the excitement of the Minnesota Twins hosting the AllStar Game with relevant themes throughout 2014.

At the beginning of my term, I challenged the membership to consider whether there is a better way to do what we do, and to propose new ideas.

The highlight in this regard was the launch of the Charitable Outreach Committee. Many thanks to Cliff Kurth for proposing and leading this new committee, and to all of the volunteers, sponsors, donors and participants in the Silent Auction that raised thousands of dollars for Minnesota Adult and Teen Challenge.

Finally, I want to thank Executive Director Monte Abeler, Government and Public Relations Specialist Nick de Julio, Meeting & Events Planner Kelly Feekes, and the entire team at Ewald Consulting for your assistance and support.

It has been a pleasure to serve as your President, and I look forward to the continued success of the Minnesota Chapter of CAI in the future.

President Michael Klemm, Esq. Phone 952.953.8832 klemmm@dmshb.com Vice President Gene Sullivan Phone 952.922.2500 gene@ncmgi.com Treasurer Halo Stafford, CMCA, AMS, PCAM Phone 952.944.2237 edenplacemgr@pinnaclefamily.com Secretary Nancy Polomis, Esq. Phone 952.941.4005 npolomis@hjlawfirm.com Directors Tom Engblom, AMS, ARM, CMCA, CPM, PCAM Phone 866.800.4656 tengblom@cabanc.com Joseph Fadell Phone 952.392.9208 fadell.joseph@gmail.com Russ Lis, CMCA, AMS Phone 612.805.6111 rlis@reconstructionsolutionsgroup.com Jim Rezek Phone 763-424-9984 jimrezek@comcast.net Michelle Stephans, RS Phone 763.754.5500 michelle@reserveadvisors.com Crystal Pingel, CMCA, AMS, PCAM Phone 952.277.2703 Crystal.Pingel@fsresidential.com Joel Starks, CMCA Phone 952.698.2053 joel@sharpermanagement.com

Committee Chairs CAVL

Lynn Boergerhoff Phone 651.308.1461 lynnab7@gmail.com

Communications Chair

Carin Rosengren Phone 952.432.3722 CRosengren@kellerpm.com

Charitable Outreach Committee Chair Cliff Kurth Phone 763.248.1047 cliff@aemn.co

Education Committee Chair Nigel Mendez Phone 651.287.8640 nmendez@carlsonassoc.com

Golf Tournament Chair

Membership Chair

Kris Birch Phone 651.481.9180 krisbirch@birchlawn.net

Janice Pyka Phone 612.801.1229 janicepyka@gmail.com

Legislative Action Chair

Social Committee

Greg Pettersen, RS Phone 612.616.4817 gregp@RDAmidwest.com

Jenna Wright Phone 303.547.7848 jwright@bensonpc.com

Trade Show Committee Chair Michele Ramler Phone 763.231.9809 mramler@cedarmanagement.com

Vision Awards Chair Jane Bristow, CMCA, AMS Phone 952.277.2722 jane.bristow@fsresidential.com

September | October 2014

3

Finishing the Season Strong

By Matt Drewes, Thomsen & Nybeck, P.A., Attorneys

A

s you may have noticed as you eagerly reach for your copy of the latest Minnesota Community Living Magazine when it arrives every two months, CAIMN has been recognizing the special role Major League Baseball is playing in our lives this year as the state played host to the All Star Game. As a member of the Communications Committee, I can say that our objective has been, and remains, to tie the annual calendar of community association living with the various milestones that occur each year in Major League Baseball’s annual calendar. Admittedly, there isn’t always a perfect fit, but even the late great Tony Gwynn successfully got a hit in fewer than a third of his at bats.

On that note, it’s fair to admit that we linger

behind in one key respect this year. CAIMN’s annual Vision Awards, in which we recognize the stars in the field of community associations, will take place in October, instead of July. But there are other ways in which we can link community associations’ seasonal goals with those of a Major League Baseball club. In September and October, baseball teams are making their final push for the postseason. We in the Minnesota Chapter of CAI unfortunately have to start thinking about our own changing seasons, and making a strong final push of our own. Hopefully you’ve been building momentum you can carry into that season-ending push. But even if there have been mistakes during the year, life, like baseball, is “a new game every day.” We hope to give readers some ideas for preparing annual budgets, getting ready for the winter season, and bracing yourselves and your properties for the arrival — hopefully after October — of colder weather.

“Every day is a new opportunity. You can build on yesterday’s success or put its failures behind and start over again. That’s the way life is, with a new game every day, and that’s the way baseball is.”

— Bob Feller

Minnesota Communit y Living

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Managing

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Index

Calendar 2014 Register Today!

CAI-MN 2014 Vision Awards Thursday, October 23, 2014 International Market Square Minneapolis, MN 55405

CAI-MN Introduces “The Bundle” The CAI-MN Bundle is three ½ day Educational Seminars and the Trade Show (which also includes a ½ day seminar) all bundled together for one low price! Find out more online at www.cai-mn.com and register today!

4 Finishing the Season Strong

By Matt Drewes, Thomsen & Nybeck, P.A.

9 CAI-MN Vision Awards — Raising the

By Matt Schoendfelder, Schoenfelder Painting

6 Ask the Attorney

Appeal

By Kyle Clark, Concrete Lifting, Inc.

21 Easing Disasters — From Storms to Planned Repairs

By Jim Golden, Coit Cleaning & Restoration Services

Upcoming Events Risk Management: Preparing for the Unexpected Future Tuesday, November 11, 2014

Taxes and Loans

Tuesday, January 13, 2015

CAI-MN 2015 Trade Show

Thursday, February 26, 2015

CAI-MN is looking for article contributions.

Submit your article online at www.cai-mn.com under the Resources Tab

Manage your subscription, and more at CAI-MN.com Subscribe and unsubscribe online at www.cai-mn.com by editing your user profile.

Register online at www.cai-mn.com

For more information regarding an event, call the office at 651.203.7250 or visit the CAI-MN website. Online registration is available at www.cai-mn.com.

By Michael Klemm

By Nigel H. Mendez

By Bob MacDonald

17 How Mudjacking Can Improve Curb

3 President’s Message

Bar

13 End of Season (Part One)

series

2014 Annual Partners Platinum

Asset Exteriors

Community Development, Inc.

Complete Building Solutions, LLC

Gassen Management

Gaughan Companies

Sela Roofing & Remodeling

Xtreme Exteriors Gold

Community Advantage

FirstService Residential

Hellmuth & Johnson Silver

All Ways Drains American Family Insurance Jeff Mayhew

Benson, Kerrane, Storz & Nelson

Carlson & Associates

Hammargren & Meyer, P.A.

Levin & Edin

Mutual of Omaha/CA Banc New Concepts Management Omega Management

Sharper Management Schwickerts Roofing

Thomsen & Nybeck

Bronze

American Building Contractors Dougherty, Molenda, Solfest, Hills

& Bauer P.A. Michael P. Mullen, CPA, PLLC SERVPRO of Minnetonka TruSeal America, LLC

Find articles from this issue and archived articles online at cai-mn.com in the Minnesota Community Living (MCL) Resource Library.

Published by Community Associations Institute — Minnesota Chapter, copyright 2014. All articles and paid advertising represent the opinions of authors and advertisers and not necessarily the opinion of either Minnesota Community Living or CAI–Minnesota Chapter. The information contained within should not be construed as a recommendation for any course of action regarding financial, legal, accounting, or other professional services by the CAI–Minnesota Chapter, or by Minnesota Community Living, or its authors. Articles, letters to the editor, and advertising may be sent to Monte Abeler at montea@cai-mn.com, or at CAI–MN Chapter, 1000 Westgate Dr., Suite 252, St. Paul, MN 55114.

[ ADS ] All Ways Drains............................................. 19 ADAC-MN, LLC............................................ 22 American Family Insurance – Jeff Mayhew...... 19 American Family Insurance – Chris Way . ........ 13 APMC - Association Property Management Company................................................. 14 Asset Exteriors............................................. 16 Benson, Kerrane, Storz & Nelson, P.C. . ...... 14 Benson, Kerrane, Storz & Nelson, P.C. . ..... 19 Birch Lawn Maintenance ............................. 22 Carlson & Associates, Ltd ........................... 19 Columbus Exteriors, Inc................................. 2 Community Advantage ............................... 15 Community Development, Inc..................... 10 Complete Building Solutions ........................ 7

Index of Advertisers

Construct All-Corporation . ......................... 14 Felhaber Larson Fenlon & Vogt .................. 22 Final Coat Painting....................................... 13 FirstService Residential................................ 12 Gassen Companies......................................... 8 Gates General Contractors ......................... 11 Gaughan Companies.................................... 20 GW Cross, LLC............................................. 15 Hammargren & Meyer, P.A. ......................... 21 Hellmuth & Johnson, PLLC.......................... 12 Levin & Edin................................................. 22 Mutual of Omaha Bank – Community Association Banking & CondoCerts......... 19 New Concepts Management....................... 15 Omega Management, Inc.............................. 4

Plehal Blacktopping..................................... 19 Reserve Advisors.......................................... 19 Reserve Consultants, Inc. .............................. 4 Reserve Data Analysis, Inc. ......................... 14 Russo Consulting, Inc. ................................... 9 Shwaders Lawn Care and Landscape . .......... 9 Schwickerts Roofing..................................... 29 Sela Roofing ................................................ 18 Sharper Management ................................. 19 Strobel & Hanson ........................................ 17 Thomsen & Nybeck...................................... 14 Toohey Law Firm, P.A. ................................. 15 TruSeal America........................................... 24 Xtreme Exteriors.......................................... 23

September | October 2014

5

Ask the Attorney by

This column is comprised of questions that have been posed to me by homeowners, property managers and related professionals regarding legal issues that they have encountered with respect to their associations. Discussion of these questions, as well as prior questions, can be found on the CAI-MN LinkedIn page: www.linkedin. com/groups?gid=1769135 This article involves two similar questions that were raised: (1) How to increase attendance at meetings to ensure that quorum is met? (2) Is it permissible to reward attendance with a waiver of assessments? Obtaining quorum at a meeting of the members is crucial. Without quorum, the association is unable to conduct business. If quorum is not met, the meeting may have to be rescheduled to a later date, which increases the cost to the association.

We have attendance problems reaching quorum at our annual meeting—what do you recommend we do to increase attendance?

While this is not an issue that is faced by all associations, I hear this complaint frequently.

I have attended annual meetings that have been recessed until a later date to allow for a quorum to be reached, and I have seen members going door to door to round up enough neighbors to start a meeting. In my experience, the main reasons that a quorum is not met are that the quorum requirement is too high and/or the members don’t have any concerns with how the association is being run or are simply apathetic and do not care.

When an association is facing a large special assessment or dealing with other controversial issues, you often see a large turnout at the annual meeting. Conversely, when all is going well with an association, it seems that few members have the time to come to the annual meeting. This poses a problem for an association with a high quorum requirement.

6

Minnesota Communit y Living

Some associations that I work with have a 50-percent quorum requirement. This has proven very difficult to obtain during the “good times” of the association. Lowering a quorum requirement is usually done via an amendment to the bylaws. This is a straightforward process that should be fairly inexpensive to accomplish. One concern I hear with amending the governing documents to lower the quorum requirement is that only a small portion (I always recommend 10 percent) of the members may get to make the decisions in the association. While this may be true, it will be the members who care about the decisions that will show up and vote, and during the “bad times” you can be assured that the meetings will have a much greater turnout than 10 percent!

Regardless of the quorum requirement, a well attended annual meeting is beneficial for all associations. Neighbors get to interact with each other and all concerns about the association can be addressed. There are a number of ways to increase turnout at the annual meeting. For example, some associations combine the annual meeting with a pot-luck dinner. I have also heard of associations having door prizes for attendees. Board members obtain donated prizes from local businesses and then have a drawing at the end of the meeting for those in attendance.

Although I have not yet seen it in Minnesota, associations in other states have started to levy fines against homeowners who do not attend an annual meeting in person, or by proxy.

This would need to be done via an amendment to the governing documents. While not as “Minnesota Nice” as the pot-luck or prize drawing, this can be a powerful tool to ensure that members attend the annual meetings, or at least provide a proxy if they are unable to attend in person.

This question will be posted to the CAI-MN LinkedIn Group discussion page (link above), as I am sure there are other ideas that are used to help encourage attendance at annual meetings.

Nigel H. Mendez, Esq., Carlson & Associates, Ltd.

I’m a board member who was told that we should not waive assessments as an incentive to attend the association’s annual meeting. Why should we not waive assessments for those who attend the annual meeting?

The powers and duties of a board of directors are set forth in an association’s governing documents and relevant Minnesota statutes.

I have not seen governing documents that specifically authorize a board of directors to waive part of an assessment as an enticement for attending a meeting. Likewise, I am unaware of any statutory authority for this practice.

Association boards have a fiduciary responsibility to the members of the association. They are elected to follow and enforce the governing documents. One of the responsibilities of the board is to create a budget for the coming year based on the anticipated expenditures and necessary reserve contributions. That budget is then divided up among the various members according to the terms provided in the declaration. If a board offered to waive any portion of assessments, the budget would instantly have a shortfall. To compensate for this problem, the board would have to superficially increase the budget to account for the estimated number of waivers that it would be granting, or have a budget shortfall, which may lead to a special assessment.

Finally, and maybe more importantly, most Declarations state that there must be either a uniform rate of assessment, or that assessments must be allocated according to specific percentages provided in the declaration. By granting a waiver of assessments to some members, the board would be in violation of the declaration.

To have a question answered in a future article, please email it to me at nmendez@carlsonassoc.com with the subject line “Ask the Attorney.” While I can’t promise that all questions will be answered, I will do my best to include questions that have a broad appeal.

Questions will also be answered by other attorneys practicing in this area of law. The answers are intended to give the reader a good understanding of the issue raised by the question but are not a substitute for acquiring an opinion from your legal counsel.

bS

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September | October 2014

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Minnesota Communit y Living

CAI-MN Vision Awards — Raising the Bar

By Matt Schoenfelder, Schoenfelder Painting

I

t’s time again for the CAI Vision Awards!

Join the celebration and take a walk down the red carpet for an evening of glamour, glitz and grand awards. The committee has been hard at work preparing an elegant evening for you, your dates and your co-workers.

They invite you to attend the upgraded 2014 Vision Awards.

Remember the Vision Awards of a few years past? Held at the Metropolitan Ballroom, the program was very different. A national speaker was invited to deliver a program that always seemed to last a little too long. Then there was the suffering A/C that didn’t help the after-dinner drowzy feeling. And it was rather dark in the entire space. I’ve heard that the Metropolitan has updated its space, but you’ll have to check it out.

Last year and again this year the committee has re-designed and re-tooled the event to

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make it more glamorous and exciting. When you arrive, you’ll notice the FREE valet parking. Take advantage of it — it’s not often you’ll get FREE valet parking! That’s what you call raising the bar!

Upon entering International Market Square you’ll be photographed walking the red carpet.

Look your best for your grand entrance! Get registered and have another photo taken with your whole group in front of the CAI Vison Awards back-drop. Once your eyes recover from all the camera flashes, take a moment to view the magnificently decorated ballroom!

Beautiful lighting and a talented pianist welcome you to the hot spot of the night.

of the evening. After an extended reception and networking time you’ll be invited to a gourmet dinner. Still raising the bar!

After a fantastic dinner (save room for dessert — death by chocolate, anyone?) sit back for a short CAI-MN annual meeting and then the Grand Moment — recognition of the Vision Award recipients. The 2014 winners will no doubt exemplify the attributes of dedication, service, excellence and professionalism in our industry. Even the nominees who don’t win the award will deserve wellearned recognition. Come, honor their achievements. Help recognize those that raise the bar on a daily basis.

Drinks and appetizers await the throngs of managers, owners, board members and dedicated vendors. Be sure to thank the sponsoring vendors — especially Shwaders Lawn Care & Landscape, the Gala Sponsor

The committee invites you to attend the 2014 CAI Vision Awards. Get registered, get your co-workers registered and see you on October 23. Come see how CAI raises the bar!

Thank You, Vision Award Sponsors!

Vision Awards Gala Sponsor

Jubilee Sponsors All Ways Drains, Ltd. Asset Exteriors Clean Response Community Development, Inc. MicMak Condo Approvals, LLC Treecology Contributors Carlson & Associates, Ltd. Gassen Company Celebration Sponsors FirstService Residential Hellmuth & Johnson, PLLC Rainbow Treecare Stone Valley Painting, LLC In-Kind Sponsor Blue Diamond Maintenance Company

• • • • • • • • •

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September | October 2014

9

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Minnesota Communit y Living

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12

Minnesota Communit y Living

End of Season (Part One)

T

he last game is over, the locker room is empty and the players have gone home for the winter.

What next? Unlike my players I, the manager, don’t get to take a break. In fact, preparation for the new season begins today.

The life of a baseball manager and a community association manager are much the same. If the next season is going to be a success, planning cannot wait for spring. For me, preparation for a new season begins with an immediate assessment of what happened this year. What worked, what didn’t and why?

As the summer season winds down annually I first ask myself these questions: Did I meet the expectations of my clients? Did I accomplish everything they asked me to do? Did I in fact knock the ball out of the park every time I stepped to the plate? Isn’t that the ultimate goal of every ballplayer?

My first end of season task is assessing the projects that were accomplished over the

summer months. To do this, I mentally go through the following checklist: •

Did each job go as planned? If not, why not?

•

Did I get proposals to the Board in a timely manner and were they adequate?

•

Was the scope of work correct?

•

Was the Board satisfied with the results?

If not, why not?

•

What might I have done differently?

•

Did I use my resources wisely?

Normally, and unfortunately, I cannot always answer YES to all of these questions. But, if I cannot, I take the time to investigate to determine why not? The good news is this; proper answers to the questions above help me as I attempt to do a better job next season.

The job of a baseball manager is to strive to have the right players on the field whenever possible. Our job mirrors this. A good manager knows the ins and outs of his team.

Part of the job of a community association manager is to better understand his or her players (vendors) and know who can do what.

All things being equal, not all vendors are the same. Or, stated differently, not all vendors are qualified or staffed to do every job a manager

By Bob MacDonald, CMCA, AMS, PCAM

might need accomplished in any given season. Vendor X may be great at building a few decks, but can they adequately handle a larger carpentry job? Over the years, I have attempted to seek out and build a relationship with vendors that will consistently provide my clients with exceptional service at a reasonable price. Those who do become part of my team.

Those who do not meet my expectations don’t get to play another day. And, believe me, from year to year the team does not look the same.

Last but not least I need to take time to look at any changes to the game that may have occurred during the season. How was my team affected by new rules or equipment changes?

And, what might I do differently next year in light of these? For example, were you or your clients impacted by changes in the “make-up” of concrete or the seemingly new requirement to seal it? I surely was. Because of this, I spent a lot of time researching the whole topic of when to seal concrete and how often.

At the end of the day, every manager of every team must continually strive for excellence.

This will not occur without an honest effort at self-assessment. Joe DiMaggio once said, “I’m just a ballplayer with one ambition, and that is to give all I’ve got to help my ball club win.

I’ve never played any other way.” The goal of my end-of-season assessment is to do all that I can to help my team win. I know no other way.

CAI-MN is looking for article contributions.

Submit your article online at www.cai-mn.com under the Resources Tab

September | October 2014

13

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Minnesota Communit y Living

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Minnesota Communit y Living

How Mudjacking Can Improve Your Curb Appeal

By Kyle Clark, Concrete Lifting, Inc.

W

hen selling a home, real estate agents always advise homeowners to enhance the property’s “curb appeal”. A positive first impression from prospective buyers is essential to a successful closing at an optimal price.

Key aspects of curb appeal include sidewalks, steps, patios and cement slabs next to ground level doors. When any of these are cracked, uneven, broken, sunken or misaligned, it can significantly detract from the home’s perceived value.

Replacing such items can be both expensive and messy; patching them isn’t aesthetically attractive. (The material cost alone for new concrete is $500/yard). So what’s a better option in most cases? Mudjacking is a cost effective concrete lifting and stabilization process by which slurry grout materials are hydraulically pumped through one-and-a-half inch diameter holes drilled into the concrete.

The grout material spreads out in a radial pattern, filling the cavities and voids under the cement slab and gradually raising the concrete back to its original position. The insertion holes are then patched with silicon sand and cement. An alternative approach to drilling holes is a pumping pipe that lifts the slab and injects the grout from the side.

Other applications for mudjacking include front walks, garage floors and aprons, pool decks, curbs and gutters, AC slabs and basement floors. If a slab has multiple cracks like a jigsaw puzzle, it probably needs to be replaced.

What makes a mudjacking job effective and long-lasting? It’s all about the materials used. A gritty slurry grout combo of crushed limestone, powdered.

Portland cement and black dirt is ideal because it sets up faster – in one day compared to one week for other materials – and sets up solid like concrete. It is made up of different sized aggregates acting as a compactable,

interlocking material that holds well in place.

Raised slabs using this material can still be found standing 20 years later.

Some mudjacking companies fill voids with materials such as calcium carbonate. But a different consistency of materials is really needed for different types of jobs. With calcium carbonate, the consistency can’t be varied and the material often spits out the sides of the slab. There’s also nothing in it that thickens to set it up well. A few companies use a polyurathene substance, but this can cost twice the price. Still others offer sand fillers, but when sand is reintroduced to water, it doesn’t hold in place. (Think of the effect of the tide on a sand castle at the beach).

needed over time; •

Homeowners could possibly be sued if a visitor trips over cracked or uneven walkways or steps.

Questions that consumers should ask when getting mudjacking bids are: •

What type of materials are being used?

•

Are the materials pre-mixed so messy onsite mixing is avoided?

•

What type of service warranty is offered?

•

Is the job done by an experienced professional or a seasonal crew?

Besides curb appeal, reasons why homeowners should pay attention to the cement aspects of their property include:

•

Are heavy trucks driven on your driveway or property?

•

Rain needs to be directed away from foundations;

•

Is the grade of your landscaping causing water saturation under nearby slabs?

•

City codes often require height parameters for steps;

•

Cement slabs should be properly in place before any adjoining asphalt is laid on driveways;

•

Concrete slabs may have originally been poured on top of clay or the ground may not have been compacted before they were laid — so adjustments may be

Community association property managers and homeowners should also be aware of compaction grouting as a method to stabilize footings and structures. This is a process where a cement grout mix is pumped at a pre-determined depth to achieve compaction and/or a more rigid column. It is used when compaction has been lost or a void has developed so increased support is needed.

This usually occurs under a footing and at depths of five or more feet.

General Counsel for Associations:

Construction Defect Representation

Einar Hanson Benjamin Kirk

651-222- 0109

CAI-MN is looking for article contributions.

Submit your article online at www.cai-mn.com under the Resources Tab

www.strobelhanson.com

September | October 2014

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Minnesota Communit y Living

Rebuilding Trust. Rebuilding Homes.

Rebuilding Communities.

Ice damming Cracking concrete Structural movement

All of our studies now include ForeSite™

www.reserveadvisors.com (855) 575-1121

Leaking roofs, windows and doors

(952) 466-7574 | www.bensonpc.com

September | October 2014

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Community Association Management Accessible. Reliable. Accountable.

Hands-on Management.

Whether your community is large or small, we provide comprehensive management services by evaluating your community’s wants, needs and goals.

We understand the importance of efficient cost-effective practices that result in the cohesive operations of the community.

Our hands-on management is responsive to the requests of the Board of Directors and Homeowners while preserving the property and lifestyle of the community.

For over four decades, Gaughan Companies has been trusted for our integrity and perspective. Our Management Teams treat your Association as if we owned it. Each member of our team will always be accessible, reliable and accountable to you, the homeowner.

Making the Difference: Gaughan Companies is small enough to tailor their services to meet the needs of the Associations they manage, and large enough to make sure all areas of Associations’ needs are handled promptly and professionally. ~ Susan Sabrowsky Ashbourne Townhomes

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Minnesota Communit y Living

Easing Disasters — From Storms to Planned Repairs Choosing the Right Contractor Is Key

L

et’s imagine for a moment that it’s a hot and humid Minnesota summer night.

With the soaring temps and moisture in the air, some wicked storms are on the way, and a big one hits during the night with powerful winds and hail. At morning’s light, neighbors are outdoors assessing the damage: shingles everywhere, siding torn off, broken windows.

Now what?

Following last night’s storm, you find that the neighborhood is being stormed in another way this morning — it seems like every building contractor in the state of Minnesota has shown up in your neighborhood and among these are a couple of contractors that you and your neighbors are going to hire, with confidence, to repair and restore your homes. You and your association are relieved that you chose the right contractor because the contractor wasn’t chosen in the confusing mix of the storm’s aftermath; instead, he or she was chosen months ago because you and the association had a disaster plan in place.

You’ve done your due diligence and are confident that the job will be done right.

Planning ahead may be the key that prevents Mother Nature’s disaster from becoming a bigger disaster — but also may be the key to keep planned and scheduled reconstruction and repairs from turning into a disaster.

So where do you start? One way is to find out which contractors have certifications or specific licenses in their area of expertise. In Minnesota not all construction contractors even have to maintain a state license.

Whether they do or not, there may be advantages to using a licensed contractor.

Minnesota requires that home builders/ remodelers and roofers to be licensed. Home builders/remodelers must have a license if they are working on a home that has from one to four living units (single family home, duplex, etc.); but for five or more units in a single building, a license is not required.

Minnesota’s rules may be primarily set up to protect single family homeowners, yet

By Jim Golden, Coit Cleaning and Restoration Services

Minnesota has an established Contractor Recovery Fund that may help the property owner in a situation when the project experienced problems. It’s important to note that this recovery fund is only available when licensed contractors were used for the project. Additionally, a licensed contractor will include their current license number on company vehicles, business cards and other marketing materials, and you can visit the Minnesota Department of Labor and Industry website (http://www.doli.state. mn.us/CCLD/RBCContractorRemodApp. asp) to seek licensed contractors and review reports of enforcement actions that may have occurred with a specific contractor.

If you are in need of a contractor in an “emergency” (as opposed to regularly scheduled construction, remodeling and restoration projects), the event causing your emergency may also be affecting your neighbors and hundreds of other property owners at the same time. Preparing in advance for situations such as this could make the difference in how fast your emergency gets a response from a contractor.

Rapid response is often crucial in preventing additional damage, so wouldn’t it be reassuring that your project is at the front of the list, and avoiding the additional headaches of finding “anyone” to help, whether they are qualified or not?

Cost is of course an issue when hiring a contractor, yet the lowest overall price may not always be the best decision if corners are being cut to increase profitability. Many contractors and restoration service providers subscribe to software that helps create detailed estimates, including line-by-line costs, material grades and costs, labor costs, detailed drawing and photos. Xactimate and MSB are two programs that determine lineitem costs based on the municipality of the project, with costs updated regularly to reflect market trends.

Other factors to take into account when choosing a contractor include proper levels of insurance and bonding, adherence to employment laws, safety plans and permitting (a contractor should never ask the property owner to get a building permit, no matter the circumstance).

So, as a consumer, you may ask for proposals from 3 different services, all of whom use the same software program; the results should demonstrate that all 3 contractors are charging the same price for specific lineitems. Programs such as these are commonly used and accepted in the insurance industry but are not exclusive to insurance-covered projects. A contractor or restoration provider’s investment in programs such as these, as well as investing in education and certification for technicians, can demonstrate the best value when choosing a contractor.

Some contractors also utilize web-based programs that allow the property owner to follow the progress of a project SECURELY via Internet on laptop, tablet or smart-phone, without even having to be onsite.

In closing...BE PREPARED...and you just may choose the best contractor!

SMART & DECISIVE The Best Value in Construction Law for Community Associations

That’s what our clients tell us.

At Hammargren & Meyer, we’re smart, decisive lawyers focused exclusively in the areas of law that we know best.

For prompt responses and straightforward answers, call Hammargren & Meyer.

(952) 844-9033 www.hammarlaw.com

September | October 2014

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ADAC-MN, LLC,

A Minnesota Limited Liability Company

member of:

The Community Associations Institute & The Minnesota Multi Housing Association

Providing LegaL advice to

Homeowners associations since 1975 • General corporate matters, enforcement of covenants, restrictions and management issues • Document interpretation and amendments

Fred Krietzman 612.373.8418

Mark Radke Timothy Hassett Jake Hendricks 612.373.8409 651.312.6006 612.373.8575

• Replacement reserve analysis • Collection of assessments and foreclosure of assessment liens • Dispute resolution and litigation, including construction defect litigation • Applicability and options under the Minnesota Common Interest Ownership Act (MCIOA) • Project development and documents • Turnover of developer control

Steve Yoch 612.373.8559

Molly Gherty 612.373.8453

Marnie Fearon 612.373.8405

220 South 6th Street, Suite 2200 Minneapolis, MN 55402-4504 444 Cedar Street, Suite 2100 St. Paul, MN 55101-2136

www.felhaber.com

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Minnesota Communit y Living

We All Enjoy Fresh Air. So Does Your Home.

What Can Proper Ventilation Do For My Home?

Straight Advice.

Expert Installation.

Besides keeping your shingle warranty valid, (improper ventilation can render it void), proper ventilation extends the life of your shingles by protecting them from the damage of excessive heat. Proper ventilation also helps improve air quality inside your home. Combine proper insulation and ventilation and you can reduce the cost of heating and cooling your home for years to come, plus proper ventilation is a necessary component in minimizing damaging ice dam build up over the winter months.

Like to Learn More About What Proper Ventilation Can Do for Your Home?

Sign up for our free (no sales pitches!) educational seminar at www.xtremeexteriors.com/seminars.html or contact us today to discuss your home exterior and ventilation needs. Then we can all breathe easier.

Jeff and Jeannie Sigler, Owners of Xtreme Exteriors.

Your Dependable Single-Source Solution for Your Entire Home Envelope.

MN License: BC362463

•

WI License: 962215

Call Us Today at 763.441.1334.

Visit Us at www.xtremeexteriors.com

Making Your Home Beautifully Functional.

September | October 2014

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