River Place South Board Meeting Minutes-February 26, 2019

​River Place South Housing Corporation (RPSHC)
FINAL Minutes From the Board of Directors Meeting
Tuesday, February 26, 2019
 
 
In Attendance – All Board of Directors

• Janice Mays, President
• Waqas Ali, Vice President (via video conference)
• Jim McInerney, Treasurer (via telephone)
• Sara Shahade, Secretary (via telephone)
• Vikram Reddy, Director
• Richard Villegas, Director
• Dave Williams, Director

 
In Attendance – Property Management

• Joette Waters, General Manager
• Bryan Hernandez, Assistant General Manager
• Bob Porco, Senior Financial Manager with First Service Residential

 
In Attendance – Shareholders

• Marissa Fond, Unit 639
• Charlotte Fu, Unit 908 & Unit 430
• Nancy Greenberg, Unit 542
• Lauren Hall, Unit 1029 & Unit 1034

 
 
 

1. Call to Order

The Board of Directors of the River Place South Housing Corporation convened a meeting on Tuesday, February 26, 2019.  Board President Janice Mays called the meeting to order at 6:06 p.m.  Introductions ensued of management and members of the Board of Directors.
 
 

1. Resident Participation

Questions and comments were not raised during Resident Participation.
 
 

1. Approval of Agenda

Mr. Williams moved to approve the February 26, 2019 Board Meeting agenda as presented. Mr. Reddy seconded,  and the motion carried unanimously (7-0-0).
 
 

1. Approval of Meeting Minutes (January 24, 2019)

Mr. Williams moved to approve the January 24, 2019 Board of Directors Meeting minutes as presented.  Mr. Reddy seconded, and the motion carried unanimously (7-0-0).
 
 

1. Reports
2. President’s Report and OA Report: Ms. Mays reported that OA elections will be held in March 2019 during their Annual Meeting.  The OA recently approved a budget that included no increases in the unit fees.  However, it does include a 4% increase in the parking fees, as much of the current expenditures are related to the Monroe Parking (MP) Garage project.  Mr. Williams reported that the OA is also working on a two-phased renovation of the pool which will take place in 2019 and 2020.

 

1. Treasurer’s Report: Bob Porco, Senior Financial Manager with First Service Residential, reported that the audit was clean and only required that the representative letter be signed – an action that has been taken.  He will ensure that the Goldklang Group CPAs has the audit out in time for the Annual Meeting.

 
The cooperative is in a strong financial position with a surplus of $71,000 year-to-date and operating expenses totaling $106,000 (9% below budget).  Mr. Porco will discuss transferring money from the reserves to the operating account with Ms. Waters, as well as setting up an excess operating account to move some operating funds into an account that will earn interest since the operating account balance currently stands above the $250,000 FDIC limit.  If additional funds are ever needed, they can be transferred and made available.
 
A settlement occurred with Unit 1106 in which the cooperative got back $67,000 in legal fees.
 
The cooperative’s budget has historically included a contingency line item that is rarely used.  Year-to-date, $33,000 remains in that line item – an amount that has not been used and is considered part of the surplus.  Delinquencies remain low, and almost $27,000 per month is moved from the rental side to the cooperative side.
 
 
  VI.Management Report
A.     Balcony Work: Ms. Waters stated, during their previous meeting, the Board of Directors approved $200,000 to begin the balcony work.  However, it is now estimated that the balcony work will cost $145,500, including rust removal, priming, the application of two coats of paint to the front and back of the balcony screen, and the application of MasterSeal Traffic 1500 polyurethane pedestrian traffic bearing membrane.  There will also be an additional $500 to $550 cost for each unit that needs paint, carpet or tile removed for an estimated overall total of $20,000.  Repairs to the eight tenth-floor balcony rooftops will also cost $29,8050.  Finally, it was determined that the cost of the canopy removal, fabrication and installation will total $58,800.  The canopy contractor recommended that the work be performed every five to 10 years.  Ms. Mays moved to include an additional $50,000 in the balcony project budget to cover the aforementioned services.  Mr. Reddy seconded, and the motion carried unanimously (7-0-0).
 
B.     Façade Engineering Study: FEA will be on-site on Thursday, March 7, 2019 to begin the façade engineering study.  The 2019-2020 budget year reserves included a budget of $460,000 for tuckpointing, the replacement of damaged brick, exterior caulking, brick cleaning and waterproofing.
 
C.     Boiler: There has been an ongoing issue with the heat exchanger valve on the boiler, which is responsible for mixing water heated by the boiler.  Water heated by the boiler is utilized in the winter, and RBI tanks are used in the summer when the boiler is not running.  There have been issues with this valve since the boiler was installed, and it was determined that the valve must be replaced which will cost $7,500.  Currently, the building is using the boiler for heating and the RBI tanks to heat water, resulting in extra expenses to run both simultaneously.
 
D.    Cell Towers: T-Mobile will be on-site during the week of February 24th to replace a router in the equipment room. They have indicated that they plan to do another modification to the antennas on the roof.  However, management has been putting off discussion of this work until the cooperative’s legal counsel is able to provide input concerning contract limitations.
 
E.     Windows: New windows were installed on the 11th floor in January 2019.  However, a few adjustments remain to be made on the interior.  Management has asked HiRISE Windows to provide an estimate for the replacement of all storefront windows along the exterior face of the building and the corridor entry, as they have been identified as a safety hazard and a liability should someone fall into them.
 
F.      Non-Smoking Building: During their January 2019 meeting, the Board of Directors requested that management reach out to the cooperative’s legal counsel regarding whether the building could be designated as non-smoking. Counsel replied that, because the bylaws do not currently ban smoking on the property, a bylaws amendment would be required which may or may not include grandfathering current tenants and shareholders.  Management will send out a survey to shareholders seeking their input about possibly pursuing a smoking ban for the building.
 
 

1. Resale Notifications

No resale notifications were presented.
 
 

1. New Business

No matters of New Business were presented.
 
 

1. Old/Unfinished Business
2. Balcony Rehab: Please see Section VI.A of these minutes

 
 

1. Temporary Adjournment to Executive Session

The Board of Directors temporarily adjourned the Open Session at 6:42 p.m. to hold a closed Executive Session for the discussion of confidential matters.
 
 

1. Adjournment

Following the conclusion of the Executive Session, the February 26, 2019 Board of Directors meeting was adjourned at 7:30 p.m.
 
The next Board of Directors meeting for scheduled for April 30, 2019.
 
 
These minutes were respectfully drafted and submitted by: