FALLS RUN COMMUNITY ASSOCIATION

Meeting Minutes:

Members Present: Toni Brown, Jake Bernard, Chuck Strub, Jack Mounts, Harriet Schrader, Don Horan, Don Webb

I The meeting was called to order at 7:00PM by Toni Brown, FRCA Board President.

b. Toni Brown’s video message to community residents is available on the website for all residents to watch.

c. Insurance claim re: Koger Management: We expect a recovery in the amount of $98,431 less the $250 deductible.

III: A motion to approve the corrected minutes of the 28 May 2008 meeting without reading was made by Jack Mounts, seconded by Don Webb. Approved 7-0.

a. Sprinkler leak at Center parking lot: A section of the main irrigation pipe has been replaced and it is not felt that the pool is leaking.

d. Gate repairs: Work on the Gladstone and Smithfield gates should be completed next week.

e. Center flooring: The replacement flooring has been ordered and should be received within 3-4 weeks.

f. Property Manager checking account: Establishment of the checking account is in process.

V: Status of 2007 Audit and Treasurer’s Report: Don Horan reported that the final audit is being prepared by the auditors.

a. Overview: Sharon Hilgert, Ad Hoc Committee Chair, led the presentation to the Board. The Committee indicated that they had four main objections to the current situation at the Middlebrook Gate. They were:

1/ The pots being used to channel incoming traffic at the Gate are unattractive.

4/ Large vehicles may have a problem entering Falls Run at this gate due to the channeling of traffic and location of the pots. A letter from Battalion Chief 1, Berea Station, Stafford County Fire Department was read in support of this item

b: Proposal #1: This proposal describes changes to the existing entrance gate system at the Middlebrook entrance to the Falls Run Community. In general, the changes will include restoring the original appearance of the main entrance by removal of the existing barrier pots; providing two parallel entrance traffic lanes to the existing left and right gates; and reducing the existing gap between the gates.

c: Proposal #2: This proposal will restore the entrance gate system at the Middlebrook entrance to the Falls Run Community to the configuration provided by the developer. In general, it will restore the original appearance of the main entrance by removal of the existing barrier pots and reactivate operation of both entrance gate arms. In addition, it will include recommended improvements including reducing the gap between the gate arms, a surge suppression system and signage.

d: Recommendations: The MIddlebrook Gate Ad Hoc Committee recommends that the Falls Run Board of Directors vote to remove the existing pots from the entrance as soon as possible. In addition, we recommend that you form a committee to oversee the implementation of the approved proposal.

1/ Harriet Schrader asked about the size of the barrier curbs which are 9” wide and 7” high. She also inquired if reserve/replacement funding could be used and was told it could not be used to fund these proposals.

3/ Jake Bernard asked whether the two outer contact loops would really be needed. He also noted that surge protection was already in place on the gate system and briefly discussed the Knox box system and asked if another system {SOS system} was really needed.

4/ Toni Brown noted the lack of historical accident statistics at the Middlebrook Gate and asked if traffic monitoring had been done. She also asked if the Stafford County Fire Department had been consulted about the proposals and whether the County has cited Falls Run for the use of the pots to channel traffic. She also raised safety concerns about the resident only lane and lack of a way to reach the “bailout” lane before the gate structure.

1/ There was a general opinion that the present appearance of the Middlebrook Gate is embarrassing and reflects poorly upon the community.

4/ There is little information directing traffic, particularly visitors, as they approach the gate/kiosk area.

5/ It was stated that the “Silent Majority” of residents want the pots removed.

6/ A resident stated that as a former CPA he thought repair/replacement funds could be used to fund either proposal.

7/ The Board was urged to try to lower maintenance costs with any changes at the Middlebrook Gate.

9/ The Board was asked if it would be possible to leave the gates open during the day and past history concerning that issue was presented.

10/ The comment was made that the Falls Run Community is lucky to have four gates to use as many communities our size have only one or two.

g: Don Horan, seconded by Jack Mounts, made a motion to form a committee to assist the Property Manager and implement the Ad Hoc Committee’s recommendations and Proposal #1. Votes in favor: 3 – Don Horan, Jack Mounts, Toni Brown. Votes opposed: 4 – Jake Bernard, Harriet Schrader, Don Webb, Chuck Strub. The motion was defeated.

h: Harriet Schrader made a motion to accept Proposal #2. The proposal did not receive a second and therefore was not considered.

a. Legal counsel re: Villa’s account receivable. Harriet Schrader made a motion, seconded by Chuck Strub, that the FRCA Board of Directors engage the firm of MercerTrigiani, as of this date, to serve as legal counsel for the Association regarding the collection of the accounts receivable from the Villas at Falls Run in the amount of $183,237.31 including questions the Board may have relating to that issue. The Association agrees to pay for such services in the amount of $350.00 per hour. The motion was approved 6-1, Don Webb opposed.

b.Don Webb, seconded by Jake Bernard, made a motion to increase the amount of money allocated for installation of a traffic light at the Smithfield Gate from $1500 to $1850 due to increased cost. Approved 7-0.

b. Harriet Schrader, seconded by Jake Bernard, made a motion to direct the Property Manager to start the process of cleaning/repairing the waterfall to return it to operation as soon as possible and to form a committee to review all aspects of the waterfall’s appearance and make recommendations to the Board. Approved 7-0.

c. Discussion of finance committee review of costs associated with thermostats/vents in the dressing rooms was postponed until the next meeting.

a. The waterfall and pond at the Middlebrook Gate were not addressed by the Ad Hoc Committee since they were okay at the time of the committee’s formation.

b. Support for the formation of a committee to look at the waterfall issue was expressed by several residents.

c. A question was asked regarding why the Villa account receivable was not brought to the FRCA/Villas Joint Board meetings and Toni Brown explained that there was no desire to get into an adversarial relationship with the Villas but this issue was for the FRCA Board only and not the Joint Boards due to the fiduciary responsibilities of the FRCA Board.

e. Several residents expressed disappointment in the Board’s action tonight regarding the Middlebrook Gate proposals.

f. The Board was asked if they have considered conducting a survey of proposed projects to determine resident opinion.

g. A resident encouraged the Board to think about compromise about the Gate proposals.

j. A resident stated that Stafford County would be called to check the current configuration at the Middlebrook Gate for compliance with County ordinances.

X: At 10:02PM a motion was made by Jake Bernard, seconded by Don Horan, to adjourn the meeting. Approved 7-0.

Members Present: Toni Brown, Jake Bernard, Chuck Strub, Jack Mounts, Harriet Schrader, Don Horan, Don Webb

I The meeting was called to order at 7:00PM by Toni Brown, FRCA Board President.

a. Cox Communications is moving Channel 20 to Channel 96 on 16 June 2008. When queried by the Board President, most residents attending indicated that they were aware of the change.

b. Toni Brown’s video message to community residents is available on the website for all residents to watch. She would like residents to watch the video even though the audio is not too loud.

c. Insurance claim re: Koger Management: The Board attorney, Ed O’Connell, has sent us the paperwork to sign so that our insurance will pay off on our claim against Koger Management. Toni Brown will sign and return the paperwork this week. We expect a recovery in the amount of $98,431 less the $250 deductible.

III: A motion to approve the corrected minutes of the 28 May 2008 meeting without reading was made by Jack Mounts, seconded by Don Webb. Approved 7-0.

a. Sprinkler leak at Center parking lot: Work has been done to try to find the problem. A section of the main irrigation pipe has been replaced and it is not felt that the pool is leaking.

b. Bartlett Tree status: Bartlett Tree Removal has started work. They will be here for about another week working throughout the community.

d. Gate repairs: A new contractor has been hired for gate maintenance. Work on the Gladstone and Smithfield gates should be completed next week.

e. Center flooring: The replacement flooring has been ordered and should be received within 3-4 weeks. Part of the Center will be closed for several days while the new flooring is installed. This will coordinated with the Activity Director.

f. Property Manager checking account: Establishment of the checking account is in process.

g. Community Center “as built” plans: Sylva has a CD in her possession that contains some plans for the Community Center. She is going to contact the designer and builder again to see if better Plans can be found. The builder of the Community Center does not have “as built” plans in their archives. Stafford County does not have “adequate” plans. It appears that “as built” plans may not exist. It should be noted that “as built” plans are only prepared if the building differs from the “as designed” plans.

V: Status of 2007 Audit and Treasurer’s Report: Don Horan reported that the final audit is being prepared by the auditors. We have not received any new financial numbers since the last meeting and the January 2008 thru April 2008 financials will be restated to reflect the final audit.

a. Overview: Sharon Hilgert, Ad Hoc Committee Chair, led the presentation to the Board. The Committee publicly acknowledged the members of the Steering Committee of the Ad Hoc Committee, thanked the FRCA Board of Directors for not spending money on temporary fixes to the Middlebrook Gate, mentioned many of their objections to the current situation at the gate and covered the history of the Ad Hoc Committee. The Committee indicated that they had four main objections to the current situation at the Middlebrook Gate. They were:

1/ The pots being used to channel incoming traffic at the Gate are unattractive.

1/ The intent will be to channel traffic that uses the keypad to the left lane, and the traffic that have a remote control transmitter to the right land.

2/ The system will be configured to allow separate operation of the two entrance gates while interlocking them so that only one of the gates will be open at a time. After passing through one of the gates, all of the traffic will merge to a single lane. This will allow vehicles to turn left, turn right or proceed straight ahead to the community center.

3/ Signage and a line-dividing stripe will be provided to aid drivers unfamiliar with th entrance to select the entrance lane that is suitable for them. A land-dividing curb will be added between the keypad kiosk and the gates to eliminate drivers from jumping lanes to the opposite gate.

2/ Don Horan asked how visitors get out of the proposed residents lane and was informed that they would do so the same way as at present. He also asked if the use by residents of their remotes in the residents only lane would preempt the kiosk. This question led to a discussion of the operation of the remotes and kiosk and the understanding that it would come down to “first come, first served” in entry access. He also inquired if companies other than Auto-Gate had been contacted by the Ad Hoc Committee.

1/ There was a general opinion that the present appearance of the Middlebrook Gate is embarrassing and reflects poorly upon the community.

2/ Operation of the gates during storms and other power outages. The Legend and Middlebrook Gates lock open on power loss to permit entry and exit from the community. Smithfield and Gladstone Gates remain closed until power is restored.

4/ There is little information directing traffic, particularly visitors, as they approach the gate/kiosk area.

5/ It was stated that the “Silent Majority” of residents want the pots removed.

6/ A resident stated that as a former CPA he thought repair/replacement funds could be used to fund either proposal.

7/ The Board was urged to try to lower maintenance costs with any changes at the Middlebrook Gate.

9/ The Board was asked if it would be possible to leave the gates open during the day and past history concerning that issue was presented.

10/ The comment was made that the Falls Run Community is lucky to have four gates to use as many communities our size have only one or two.

h: Harriet Schrader made a motion to accept Proposal #2. The proposal did not receive a second and therefore was not considered.

c.Don Horan, seconded by Harriet Schrader, made a motion to increase the amount of money allocated from the replacement reserve for installation of new indoor pool/spa heaters from $6,900 to $8,654. In discussion, it turns out the earlier cost was based upon use of a residential grade heater. By upgrading to a commercial grade heater better suited for our 24/7 operation of the indoor pool and spa, the service life of the heater will be significantly increased and may in fact be double the lifetime of the cheaper heaters. Approved 7-0.

a. Redesign of the Middlebrook Gate Waterfall: Jake Bernard made a video presentation to the Board of a possible redesign of the entrance waterfall which would replace the pond at the bottom of the waterfall with aquatic type plants, allow the waterfall to run year-round instead of being shut down when the irrigation system is shut off for the winter, and probably save several thousand dollars yearly in maintenance cost. It is estimated that the redesign would cost @$20,000 which could be paid out of the replacement reserve fund. Present yearly maintenance cost is @$3,000 and we have been given a quote of $1,100 just to re-paint the pond at this time. If the projected new maintenance cost of $1,000 yearly is accurate, the redesign would pay for itself in about six years. After extensive discussion, Toni Brown asked the board to take the redesign under consideration for future funding.