Monday September 25, 2017 Following Special Unit Owner Meeting
2nd Floor Party Room
7:30PM – Unit Owner Meeting to Vote on Purchase/Sale of Unit 12c 7:30pm
OWNER FORUM – 15 minutes, 2 minutes per person
OPEN SESSION – Call to Order
The meeting chair, expected to be Board President Michael Parrie, will call the meeting to order. Please be courteous – no audience participation is permitted. If applicable, the chair will entertain questions and speakers will be recognized by the Meeting Chair.
Roll Call – Confirm Quorum
The meeting chair will confirm a quorum of Board Members are present. Board Members and representatives from Management will be introduced.
Committees will be invited to give updates to the Board on business and activities. Attached to the report for Board Member review are the most recent Health Club and Social Committee Reports.
The meeting chair may make comments or provide updates on Association business and activities or otherwise address the Board and Owners present.
Action Items – New Business
Closed Session Business
This agenda item is provided for any resolutions proposed resulting from Closed Session discussion.
Minutes – Board Meeting August 28th, 2017
Attached to the report for Board Member review, are the proposed minutes from the Board of Directors Meeting held on Monday August 28th, 2017 as submitted by Timothy Patricio, Property Manager.
A sample motion: “I move the Board of Directors approves the minutes from the Board Meeting held on Monday August 28th, 2017.”
Purchase/Sale of Unit 12c
With Unit Owner approval, the next step in the Association’s foreclosure process related to unpaid assessments and fees by Unit 12c, is for the Board of Directors to approve the purchase.
Following is a summary of the process from this point on as we understand it, so Members and Owners can follow along between now and the transaction taking place:
1. Special Meeting of the Unit Owners to hold a vote 9/25
2. Unit Owners hold the vote to authorize the initiative 9/25
3. Board votes to authorize purchase of 12c 9/25
4. Picker and Associates checks managements tabulation results 9/26
5. Board Secretary formally certifies the vote 9/26
6. Association provides a copy of Board Secretary’s certification to KSN 9/26
7. Board approves 9/25 meeting minutes at the next Board Meeting 10/9
8. Association provides 9/25 meeting minutes to KSN 10/10
9. BOD is done for now 10/10
10. KSN completes the foreclosure process forcing the sale of Unit 12c, presently anticipated mid to end of January.
The vote is scheduled to be held prior to the Board Meeting, and assuming the results show that 66 and 2/3rds or more of the owners authorize the measure, the next step is for the Board to formally approve proceeding with the foreclosure:
A sample motion: “I move the Board of Directors of the Park Tower Condo Association hereby approves the purchase of Unit 12c in the pending foreclosure action filed by the Association and known as Case No. 2016 CH 14259, and entitled Park Tower Condominium Association v. Sheridan Land Trust 5419, Unknown Occupants, and Unknown Owners in the Circuit Court of Cook County, following confirmation of Management’s tabulation of the Unit Owner vote results from the September 25th Special Meeting of the Unit Owners held for the purpose of getting authorization to purchase and subsequently sell Unit 12c, to be reviewed and confirmed the Association’s auditing firm Picker and Associates, and hereby directs Association’s legal counsel with Kovitz, Shifrin & Nesbit that following such confirmation and direction to proceed by Management that they take the necessary measures to complete the foreclosure process and that the bid in said foreclosure action be in the sum of _____________________.”
2nd Floor Carpeting Replacement
Consistent with prior direction by the Board, we sought 5 bids for replacement of the 2nd Floor Carpeting as proposed and recommended by the Home Improvement Company. One vendor declined, and another failed to provide a presentable proposal. Three bids are presently being reviewed by Management and the Home Improvement Committee Chair:
Vortex Commercial Flooring – $13,254.18
Chicago Floor System – $15,680
Forward Space – $13,511.20
We are still ironing out details with the bidders, to insure material numbers are consistent and reasonable. For the time being, we suggest the Board pass a resolution to complete this project at a cost not to exceed $14,000. Once Management and the Home Improvement Chair complete their review and agree on a vendor to proceed with, the project can begin. This is not specifically budgeted, however some funding had been approved with the Locker Room Project. Also, for the fiscal year to date operations are well within budget (bottom line), so funds are presently available.
A sample motion: “I move the Board of Directors approves a budget of $14,000 to complete the replacement of the 2nd floor hallway and health club corridor carpeting, by a vendor to be determined.”
Roof Project Change Orders #1 and #2
Attached to the report for Board review, are two change order requests related to electrical work discovered in the midst of progress completing the project. Details were provided to the Board in a prior update advising them of the situations being addressed.
After meeting with the contractor, our engineers with WJE and our maintenance engineers, we agreed they should proceed without delay with the recommend changes as proposed. We request the Board formally approve this action for the record.
To summarize, first, 10 electric outlets will be replaced and brought up to code. For the most part, the concrete portion of the work is part of the general conditions for the project. The outlets, boxes and covers will be replaced, material and labor $7,667. Also a large deteriorated section of conduit, which was not indicated in our drawings, was found embedded in one of the sidewalls where masonry repairs were being made. It is active, serving the elevator penthouse. This needs to be replaced, material and labor $6,722.
A sample motion: “I move the Board of Directors approves roof project change orders #1 (for $7,667) and #2 (for $6,722), to complete repairs to electrical outlets and lines found in a deteriorated condition, as proposed by the contractor Berglund Construction.”
Unit Owner Request – 4909 Rental Restriction Exception
Attached to the report for Board Review, is a request for the Board to grant a waiver from rental restrictions to the Owner of Unit 4909. This request was on the August 28th meeting agenda, and tabled for further consideration.
Consistent with the Association’s Rules and Regulations, the Board has the discretion to waive the rental limit if they believe there is a reasonable hardship or justifiable purpose for an exception.
A sample motion follows: “I move the Board of Directors (grants/denies) the rental exception request for the Unit Owners of 4909.”
Health Club Membership Extensions
At the most recent Health Club Committee Meeting on September 11th, members voted unanimously to recommend the Board consider an additional one month extension for memberships due to the length of time the pool liner replacement project took to complete; they stipulated that such memberships must be current, and the individual must have been a member in good standing for the duration of the project.
The pool was closed from June 17th until September 8th, just under 3 months.
A sample motion: “I move the Board of Directors approves one month extensions to Health Club memberships, for current members who have been in good standing for the duration of the pool liner replacement project.”
Attached to the report for Board Member review are remodeling packets for the following Unit Owner construction projects:
902 Floor installation
1209 Floor installation
3506 Floor installation
5001 Floor installation
5108 Floor installation (Note: other repairs on scope, not being done yet.)
5311 Master Bath remodel
A sample motion follows: “I move the Board of Directors approves the remodeling plans of units 902, 1209, 3506, 5001, 5108 and 5311, as submitted by the unit owner, following the recommendations of the chief engineer as outlined in their written specifications and in accordance with the Rules and Regulations and remodeling guidelines of the Park Tower Condo Association.”
1. Treasurer’s Report
a. Fund Balances End of July 2017
Operating Funds $513,064 (increase of $3,664 from prior month)
Reserve Funds $1,790,337 (decrease of $79,701 from prior month)
Total Cash and Investments $2,303,400 (decrease of $76,037 from prior month)
b. July 2017 Revenue and Expenses
Total Operating Revenue: $533,875
Total Operating Expenses: $342,669
Income From Garage: $29,436
Contribution To Reserve: $131,417
Total Surplus: $89,224
c. CD Purchases
In consultation with the Board Treasurer, Management directed the purchase of a new Certificate of Deposit with funds from the Reserve Fund. This action should be formally ratified by the Board. Attached for Board review is the internal memo from Draper and Kramer with details of the bank activity.
A CD with First Midwest Bank, for the Reserve Fund, was purchased for 12 months, totaling $100,000 with a 1.5% yield:
A sample motion follows: “I move the Board of Directors approves the purchase of an $100,000 Certificate of Deposit with a 1.5% interest rate for 12 months with First Midwest Bank for the Reserve Fund, scheduled to mature on August 9, 2018.”
2. Management Report
a. Business and Activities
b. Recent Sales Activity
There being no further business, the Board will consider adjourning the meeting.
A sample motion follows: “I move the Board of Directors adjourns the September 25th, 2017 Board Meeting at _ _ PM.”
OWNER FORUM – 15 minutes, 2 minutes per person
Next Meeting Dates Monday October 9th and Monday October 23rd at 7:30pm.