FALLS RUN COMMUNITY ASSOCIATION

January 13, 2006 Meeting Minutes and Notes

Meeting Minutes:

UNAPPROVED

WITHOUT CORRECTION, ADDITIONS OR DELETIONS

FALLS RUN COMMUNITY ASSOCIATION, INC.

Minutes of the Meeting of the Board of Directors

The Falls Run Community Association, Inc.’s Board of Directors met on January 13, 2006 at 1:00 p.m. at the Center at Falls Run.

The meeting was called to order at 1:05 p.m. by Bill Nosal, President.

A quorum was present. Board members attending were:

Bill Nosal, Nancy Arnn, Toni, Brown, Mal Malo, Jackie Richards, Art Gabler and Dan Owens.

Minutes of last meeting were not read.

A motion was made by Toni Brown to authorize Koger Management to make a partial payment of invoices from Executive Electric for snow removal in the Villas and the single family areas as follows:

100% of Villas snow removal

75% of single family area snow removal.

The motion was seconded by Jackie Richards.

The motion was passed by a six to one vote.

Dan Owens opposed.

The meeting was adjourned at 4:30 p.m.

Submitted,

Toni Brown, Secretary

Jeff Koger met with the Board to review the management contract between Koger and Falls Run. Current the contract in force is a “portfolio” contract which calls for approximately 60% of Sylva’s time to be spent on Falls Run Matters.

Jeff reviewed the responsibilities of Koger Management as our Agent and as spelled out in the contract.

There was general discussion regarding the renewal procedures of the contracted.

Jeff recommended a full site manager – dedicated manager – serving Falls Run exclusively, 40 hours a week, possibly on site.

Bill Nosal asked Jeff’s opinion about the relationship between F.R. residents and Koger. Jeff replied he believed the residents were happy with their management.

However, there were ongoing issues the Board was generally dissatisfied with the handling of by Koger.

The main gate operation or lack thereof, the lighting failures throughout the community.

Concern was expressed about delinquent assessments and how Koger was handling these delinquencies.

Koger will follow up on what has been done to date, if anything. The procedure for collection of assessments in arrears is covered in the Virginia Property Owners Association Act. Koger will draft a resolution for collection of delinquent accounts.

Mal Malo again requested the wording of the Equity section of the Balance Sheet be corrected from Multi-Purpose Reserve to Replacement Reserve.

Dennis Ouellette appeared at the meeting unexpectedly. The issue of the gates and lights were raised with him. He will call Executive Electric about both. He also informed the Board that street lights are numbered for ID purposes.

A question was raised about the snow removal done by Executive Electric. Some sidewalks were cleared in the single family areas. Not authorized, but billed. Board questioned who was monitoring the snow removal crews.

Recommend that Eddie of Executive Electric meet with the Board. Board moved to pay 100% invoice for snow removal at Villas and 75% of invoice for single family area...

Use of Koger’s database system was discussed. Koger indicated he would make his system available to F.R. user as long as there was some basic training.

General discussion regarding editor for Gazette. Question? Should Gazette be outsourced?

Working to modify 1^st letter to violators. 4 letters will be sent overall. 4^th letter will describe sanctions.

They are starting from scratch since original notices of violations have not been followed through with.

Working on Charter for finance committee. 3 members to date. Asking community for more volunteers.

Still no answer on 1/5/06 question about $93,000 receivable on Balance Sheet of November 2005.

First meeting of Jack Mounts and Marvin Wagner. Jack will write purpose statement. Marvin will review CC & R’s while on vacation. Agreed to ask Margie Kramer to become a member.

Dan Owens recommended a working session to set priorities, create a time line.