2023 Nor'wood Annual Board Meeting

January 12, 2023

Annual General Membership Meeting

I. Call to Order of Virtual Meeting

- President Gary Johnson

Annual Membership Meeting Agenda I. Call to Order II. Proof of Notice of Meeting a. Overview of Purpose of Meeting and Mail-In Ballot Procedure III. Introduction of Officers IV. Review of the 2022 Annual Meeting Minutes V. State of the Association a. President’s Report b. Treasurer’s Report i. 2022 Year-End Financial ii. Presentation of the 2023 Budget VI.Election of Officers a. Board Nominations from the floor / Candidates (3 minutes each to speak) b. Questions & Answers to the Candidates from the floor VII.Open Forum (3/5 minutes per topic, please) VIII.Adjournment **Please hold all questions for Membership’s open forum**

II. Proof of Notice of Meeting

III. 2022 BOARD OF DIRECTORS President – Gary Johnson Vice President – Matt Waddell Secretary – Candy Brooks Treasurer – Norm Wakerley Director – Mark Kjosen Director – Derika Hacker

DIVERSIFIED ASSOCIATION MANAGEMENT Introductions • 2022 Nor’wood Recreation Association #1 • Management Company: • Diversified Association Management • 4325 N. Nevada Ave. #100 • Community Manager: • Kelsey Knudson • Email: kelseyk@diversifiedprop.com • Office Phone: (719) 314-4525

IV. Review of 2022 Annual Meeting Minutes

V. Report of Officers 2022 President’s Report

Board Mission Statement:

"To enhance the quality of life and promote the wellbeing of the Association community via efficient and effective Association management.”

President’s Report • We currently have 516 homes out of 714 eligible in our neighborhood to be part of the association. • The Recreation Association of Nor’wood #1 is responsible for park, pool, tennis courts, volleyball courts. • As an added bonus, we have held the following community events: • Easter Egg Hunt • Opening Pool Picnic • Kids Carnival • Movie in the Park Nights • July 4th BBQ

2022

2022 President’s Report Facility Updates • Pool renovations continue in refresh of all systems. • Pool Sand Filters were emptied, cleaned, and refilled • Pool Boiler Pump Replaced • Chemtroller for auto mixing chemicals replaced • ADA Pool Access/Lift approved - install spring 2023 • Future renovations to complete refresh of association infrastructure. • Pool Resurfacing - estimated 2024 • Tennis Court Resurfacing - estimated 2025 or 2026

• Pool Outage • In mid August boiler was shutdown due to threeway mixing valve and controller failing • This was done to not risk boiler failure • Part needed had to be remanufactured by boiler manufacturer • Delay has been due to manufacturer parts and labor shortages • Part not yet received, will be installed and tested in the spring.

Facility Updates Cont.

Pool Management Services

The board contracted pool management services with Full Armour Aquatics for the 2022 year.

Full Armour directly handled contract employee staffing, payroll and pool and facility management, etc. at the best cost possible to the Association.

The board plans to continue our contract with Full Armour for the 2023 pool season.

Treasurer’s Report 2022 Year-End Financials Operations Income: $415 per 515 Homeowners $213,725 + 1 new home $415 - 5 delinquent homeowners -$2,075 +swim team pool rental $3,475 Total Income: $215,540 Reserve Contributions $50,000 Expenses $169,527 Total Spent: $219,527

2022 Year-end Financials (cont.) Reserves January 1, 2022 $160,233 Spent in 2022 $17,408 Added in 2022 @ $2500 per month plus $20,000 $50,000 Interest earned in 2022 CIT Reserve Account ENT – 2 CD’s $145.91 $338.80 Balance on Dec. 31, 2022 $193,310 To be added @ $3050/month in 2023 $36,600 Expected 2023 Expenses $4,373 (2nd half ADA chair) Projected 2023 Year-End Reserve Total $225,535

2023 Budget and Assessments

• The summary of the 2023 budget was included in the annual mailer to all owners.

•

• Ratification of the 2023 Annual Budget will be done by mailin ballot.

• An assessment increase of $20 is to cover increased costs across all vendor areas.

The Annual Assessment increases to $435. The assessment amount due was included in the annual meeting mailer packet. Assessments are due by Feb. 15, 2023. Late fees and Interest are added if not paid in full by Feb. 25th (and each month thereafter & any Diversified/lawyer costs until paid in full).

2023 Budget

homes @ $435/year 2022 Annual 2023 Annual Projected Jan- Dec Increase Decrease

- Assessment Income

- Misc. Income

Income:

& Administrative:

- Prof. Fees: Mgt Contract

- Prof. Fees: CPA

Prof Fees: Legal

Charges

Admin Fees & Supplies

Postage & Delivery

Umbrella

Liability

- Ins Crime & Fidelity Bond

– Telephone

- Web Hosting & Maintenance

- Community Events

- Bad Debt

$820.00 $220.00 Total General & Administrative Expenses: $51,780.00 $46,556.00 $46,556.00 -$5,224.00 Grounds Maintenance 08510 - Landscape Contract $8,200.00 $9,900.00 $9,900.00 $1,700.00 08515 - Landscape R&M $1,200.00 $4,800.00 $4,800.00 $3,600.00 08516 - Tree Maintenance $3,600.00 $4,200.00 $4,200.00 $600.00 08517 - Irrigation R&M $700.00 $700.00 $700.00 $08520 - Snow removal $1,500.00 $1,500.00 $1,500.00 $Total Grounds Maintenance $15,200.00 $21,100.00 $21,100.00 $5,900.0

516

INCOME 06340

$213,725.00 $224,460.00 $224,460.00 $10,735.00 06920

$4,000.00 $3,000.00 $3,000.00 -$1,000.00 Total

$217,725.00 $227,460.00 $227,460.00 $9,735.00 EXPENSES General

07010

$19,464.00 $20,832.00 $20,832.00 $1,368.00 07055

$390.00 $400.00 $400.00 $10.00 07060 -

$4,800.00 $4,800.00 $4,800.00 $07065 - Prof Fees: Other $204.00 $204.00 $204.00 $07250 - Bank

$90.00 $90.00 $90.00 $07320 -

$6,000.00 $7,200.00 $7,200.00 $1,200.00 07325 -

$1,500.00 $1,500.00 $1,500.00 $07335 - Dues & Subscriptions $72.00 $120.00 $120.00 $48.00 07351 - Ins D&O (all at 6% inc) $2,310.00 $2,535.00 $2,535.00 $225.00 07352 - Ins Commercial

$1,200.00 $1,205.00 $1,205.00 $5.00 07353 - Ins Gen

$2,600.00 $2,760.00 $2,760.00 $160.00 07355 - Ins Workman's Comp $480.00 $500.00 $500.00 $20.00 07356

$180.00 $190.00 $190.00 $10.00 07415

$50.00 $- $- ($50) 07420

$840.00 $900.00 $900.00 $60.00 07430

$11,000.00 $2,500.00 $2,500.00 -$8,500.00 07990

$600.00 $820.00

2023 Budget (cont.)

2022 Annual 2023 Annual Projected Jan- Dec Increase Decrease

08901 - Pool Management $61,000.00 $62,000.00 $62,000.00 $1,000.00

Recreation Operations

08065 - Recreation Supplies R&M $1,200.00 $1,500.00 $1,500.00 $300.00 09055 - Pool Supplies R&M $14,000.00 $15,000.00 $15,000.00 $1,000.00 09060 - Security Services R&M $5,440.00 $5,440.00 $5,440.00 $09110 - Utilities: Electric $3,900.00 $4,200.00 $4,200.00 $300.00 09112 - Utilities: Gas $13,245.00 $13,004.00 $13,004.00 ($241) 09115 - Utilities: Water (+StormH20) $16,800.00 $16,800.00 $16,800.00 $09116 - Utilities: Sewer $540.00 $600.00 $600.00 $60.00 09120 - Utilities: Trash Removal $360.00 $400.00 $400.00 $40.00 09210 - Building R&M $240.00 $240.00 $240.00 $09220 - Electrical Supplies / R&M $240.00 $240.00 $240.00 $09225 - Fence R&M $300.00 $300.00 $300.00 $09230 - Lighting Supplies / R&M $300.00 $300.00 $300.00 $09235 - Locks & Keys R&M $240.00 $240.00 $240.00 $09240 - Painting Services& Supplies $300.00 $300.00 $300.00 $09245 - Plumbing Supplies / R&M $900.00 $900.00 $900.00 $09250 -

Expenses:

Total Income $217,725.00 $227,460.00 $227,460.00 Total Expenses -$217,725.00

Net Income/Loss $- $- $-

Sidewalk/Concrete R&M $240.00 $240.00 $240.00 $09255 - Signage R&M $300.00 $300.00 $300.00 $09260 - Tennis Court R&M $900.00 $900.00 $900.00 $09265 - General R&M $300.00 $300.00 $300.00 $Total Recreation Operations: $59,745.00 $61,204.00 $61,204.00 $1,459.00 09910 - Reserve Contribution $30,000.00 $36,600.00 $36,600.00 $6,600.00 Total

$217,725.00 $227,460.00 $227,460.00 $9,735.00

-$227,460.00 $227,460.00

VI. 2023 BOD Elections •All 7 Board Members terms are 1 year • One Board Member position is currently unfilled • 6 current Board Members are seeking reelection to provide “continuity” • Norm Wakerley, Derika Hacker, Matt Waddell, Candy Brooks, Gary Johnson, Mark Kjosen are nominees.