2015 Ada Moorings Condo Association Annual Member Meeting

January 22nd 20157:30PM

Agenda

1. Quorum Confirmation – Confirmed 55/151 homeowners represented

2. Mark Fitzpatrick – Ada Township Parks3. 2014 Year In Review

a) Front Entrance Replacement Completed!b) Ada Moorings Road Committee is born May 2014c) Phase 1 Road Repair Completed!

4. Ada Moorings Road Committee Update5. 2014 Financial Performance

a) Income Statementb) Balance Sheet

6. 2015 Planned Budget Review7. New Board Member Vote8. State Condominium Act Vote9. Open Discussion Items from the Homeowners

Ada Township Parks

Ada Township Parks

2014 Year In Review

• Front Entrance Upgrade Completed!– Joint agreement between all 5 associations working together as one

unit to manage expenses resulting in a front entrance that looks great and should require very little maintenance for years to come.

– Project included the demolition of the brick walls, removal of the large tree in the center island, debris removal, masonry material and labor charges for the new columns, limestone caps, LED lighting, sign, new fencing, grading, mulch, and seeding of grass areas.

– The project commenced in June and along the way there were some changes made to the plans including using the existing footings from the original walls (a $1500 savings), drop the silt fencing and tree protection (not needed anyway), leaving the flags in their current location, and using grass seed instead of the more expensive Hydromulch to finish the project to mitigate higher costs.

2014 Year In Review– The grand total cost of the project:

Summit Landscaping: $66,658.00 Electrical work: $1,300.00 New flags: $202.00

Excavator rental: $281.00LED flag lights $361.00

_____________________________$68,802.00

– Front Entrance Committee completed the long awaited Front Entrance Renovation Project and came in on budget at $300/household.

– In 2015, there are tentative plans to extend the berms and add landscaping at the far edges to provide additional privacy for homes that are more visible as a result of the recent changes. In addition, there are plans to paint the gatehouse this spring/summer.

2014 Year In Review

• Phase 1 Road Repair Completed!− In 2014, the multi-association Ada Moorings Road

Committee completed Phase 1 of our multi-year road improvement program. The project came in under budget and the savings are being carried forward to Phase 2 to help keep dues down in 2015.

2014 Year In Review

• Website:– www.adamooringscondoassociation.org

• Facebook– Homeowner started page and is an excellent

communication tool for neighbors on various topics

• Mid-Year Newsletter

Road Committee Update

• AMRC Joint Road Easement & Maintenance Agreement– Signed and implemented in May 2014 by all associations.– Comprised of 1 member of each association as appointed by each

individual board annually.– Responsible for road maintenance (i.e. crack sealing, pot hole repair),

road replacement, snow removal and application of ice melt.– Each association contributes equally to the budget based on

percentage of homes in each association. AMCA & Villas currently have 66.23% (151/228 homes).

– 2015 AMRC Budget reviewed and approved in November 2014

Road Committee Update• Neighborhood Road Replacement Plan

– Break neighborhood down into 5 distinct areas– Phase 1 Complete!– In 2015, the AMRC is planning to proceed with Phase 2 of the Road

Improvement Plan, which includes full-depth replacement of roads from where Phase 1 stopped down Thornapple Club Dr past the intersection with Thornapple Club Ct, including all of Jacaranda Circle and Thornapple Club Dr.

– This will be an approximately two week project in early summer. These sections of roads will be closed for 3-5 days. Cars will need to be parked outside of the Phase 2 project area during these times.

– We will do our best to communicate details as the project approaches. We hope to have the back entrance open when the road is closed. We appreciate your patience and understanding as we address these deferred maintenance issues and invest in our infrastructure.

Road Committee Update

Area 1 – 2014 √Area 2 – 2015Area 3 – 2017Area 4 – 2019Area 5 – 2021

Road Committee Update• AMRC Financial Review

2014 Budget 2014 Actual 2014 Variance Snow Plowing & Ice Melting 16,000.00$ 16,000.00$ -$

Pot Hole Repairs 750.00$ 11.10$ (738.90)$ Crack Sealing -$ -$ -$

AMRC Operating Expenses/ George C. reimbursement 500.00$ 522.34$ 22.34$ AMRC State of MI Fees & Accounting Fees 1,000.00$ -$ (1,000.00)$

Fidelity Bond/Insurance 400.00$ -$ (400.00)$ Legal Expenses Recurring 1,000.00$ 700.00$ (300.00)$

SUBTOTAL 19,650.00$ 17,233.44$ (2,416.56)$

Capital Improvement/Repair Costs Road Improvements -$ -$

Contingency on Project 5,000.00$ 20,627.12$ 15,627.12$ Paving Company 142,637.25$ 104,114.78$ (38,522.47)$

Construction Inspection & Engineering 10,000.00$ 13,350.92$ 3,350.92$ Legal Expenses - One Time 3,500.00$ 3,981.25$ 481.25$

Signage Repairs -$ -$ -$ Credit from previous year/ Ada Township -$ (1,800.00)$ (1,800.00)$

SUBTOTAL 161,137.25$ 140,274.07$ (20,863.18)$ Total Projected Budget 180,787.25$ 157,507.51$ (23,279.74)$

2014 Balance Sheet

12/31/2013 12/31/2014Checking Account 13,394.49$ 29,750.42$

Savings - General Reserve Funds 4,000.00$ 4,000.00$ Savings 145.52$ 198.22$

Savings - Front Entrance Reserve 15,100.00$ -$ Savings - Road Reserve 66,505.72$ 523.74$

Total Checking/Savings 99,145.73$ 34,472.38$

Total Income 96,255.34$ 148,523.30$ Total Operating Expense 69,145.53$ 214,463.30$

Net Ordinary Income 27,109.81$ (65,940.00)$

2014 Budget PerformanceJan - Dec 14 Budget $ Over Budget

ACTUAL PLANNEDOrdinary Income/Expense

Income

Dues - Fee Income 144,975.00 144,356.00 619.00

Miscellaneous Income 236.00

Reimbursed Expenses 383.60

Working Capital 2,868.00

Total Income 148,462.60 144,356.00 4,106.60

Expenses

Administrative 3,289.73 2,614.79 674.94

Common Area

Entryway Maintenance 54,541.11 53,300.00 1,241.11

Island Maintenance 6,268.82 8,000.00 -1,731.18

Pond Maintenance 279.25 750.00 -470.75

Tot-Lot Share 0.00 0.00 0.00

Total Common Area 61,089.18 62,050.00 -960.82

Insurance Expense Share 1,018.00 945.00 73.00

Road Repair 107,364.85 107,214.85 150.00

Snow Plowing 18,064.54 7,798.25 10,266.29

Trash Disposal 23,637.00 23,576.00 61.00

Total Expenses 214,463.30 204,198.89 10,264.41

Uncategorized Expenses 0.00 0.00 0.00

Total Expense 214,463.30 204,198.89 10,264.41

Other Income/Expense 60.70 21.00 39.70

Net Income -65,940.00 -59,821.89 -6,118.11

AMCA Budget Performance

2015 Planned Operating Budget

AMRC Requested Budget AMCA Portion

Snow Plowing & Ice Melting 11,126.32$ Pot Hole Repairs 165.57$ Crack Sealing -$ AMRC Operating Expenses 165.57$ AMRC State of MI Fees & Accounting Fees 165.57$ Fidelity Bond/Insurance 264.91$ Legal Expenses Recurring 331.14$ SUBTOTAL 12,219.08$

Capital Improvement/Repair Costs Road Improvements 73,513.16$ Contingency on Project 1,655.70$ Paving Company -$ Construction Inspection & Engineering 5,960.53$ Legal Expenses - One Time -$ Signage Repairs -$ Credit from previous year (15,417.72)$

SUBTOTAL 65,711.66$ Total Projected Budget 77,930.74$

Description AMCA 2015 BudgetLawncare 477.22$ Trash Removal -$ Watering 132.56$ Playground Wood Chips 397.69$ Landscaping Mulch 99.42$ Liability Insurance 86.17$ Subtotal: 1,193.06$ 10% Reserve 119.31$ Total: 1,312.36$

Ada Moorings - Tot Lot - Budget for Fiscal Year 2015

2015 Front Entrance Budget Proposal AMCA Portion

Railroad Easement $503.33Insurance $844.41Lawncare $3,973.68

Entryway Lighting $66.23Entryway Repairs $596.05

Sprinkling Systems $662.28Electricity $1,324.56

Gatehouse Water $397.37Road Repairs $0.00

Ten Percent Reserves (10%) $837.12Sub-Total $9,205

Extend Berm on East Side of Entryway $3,311.40Painting & Caulking of Gatehouse $2,980.26

Sub-Total $6,292

Grand Total $15,497

2015 Planned Operating BudgetJan - Dec 15

PLANOrdinary Income/Expense

Income

Dues - Fee Income 120,045.00

Miscellaneous Income

Reimbursed Expenses

Working Capital

Total Income 120,045.00

Expenses

Administrative 2,862.19

Common Area

Entryway Maintenance 15,497.00

Island Maintenance 8,800.00

Pond Maintenance 350.00

Tot-Lot Share 1,320.00

Total Common Area 25,967.00

Insurance Expense Share 975.00

Road Repair 65,877.23

Snow Plowing 11,126.32

Trash Disposal 23,760.00

Total Expenses 130,567.74

Uncategorized Expenses 2,500.00

Total Expense 133,067.74

Other Income/Expense 0

Net Income -13,022.74

New Board Member Election• Thank you to the following exiting board members for your years of

service!• John Eck• Jim Sprich

• Returning Members• Chris Appie • Chris Beckering• Sean Lewis• Jeff Yost• Bob Ayers - Villas

• Volunteers/Nominations for 2 Open Positions– Gabe Hartman & Missy Meighan volunteered and were unanimously approved

State Condominium Act Vote• Jan 2014 Michigan State Condominium Act was updated to include the

requirement for “an association of co-owners with annual revenues greater than $20,000.00 shall on an annual basis have its books, records, and financial statements independently audited or reviewed by a certified public accountant”

• Estimated Cost is ~$800 - $1,000 for CPA audit. Current audit performed by Villas homeowner.

• We may opt out of the requirements on an annual basis by an affirmative vote of a majority of our members.

• Vote – A yes vote is to opt out of the requirement for an independent CPA audit of our financial records for 2015– Vote was approved by majority (not unanimously) to opt out of the requirement for

2015.