President Mike Croke introduced the Board members present; Roger Hansen, Linda Pryor, and Rick Harder. He introduced Dan Doyle, lead member of the Bridge Finance Committee; and attorneys from the Barker Martin Law Firm, Dean Martin and David Silver.
Mike provided an overview of the items on the meeting agenda, noting there would be an open forum for members’ comments and questions following the presentations.
BRIDGE REPORT
Bridge Commissioner, Roger Hansen, reported the Club has received a conditional loan commitment of $5,000,000 from Mutual of Omaha’s Community Association Bank for the bridge replacement project. He reviewed the expenses associated with proceeding towards closing this loan that must be approved by the membership before the Association can accept the commitment. If the expenses are approved, the commitment will be accepted.
He reported that the project is proceeding on schedule with regard to engineering and obtaining permits. The project was advertised for bid and the bids are due by February 17th. The Board will be selecting a contractor in early March, so the project costs should be known by the Special Member Meeting scheduled for March 12th.
Roger noted copies of the bid package, engineering drawings, and conceptual sketches were on display for the members to review.
BRIDGE FINANCING
Dan Doyle presented information regarding progress made to date towards securing financing for the bridge replacement project. He noted the United States Department of Agriculture (USDA) is still a potential candidate for funding or guaranteeing a long term loan and the Trustees are currently working with the USDA to determine the Club’s eligibility for their loan programs.
He reported the conditional loan commitment offered by Mutual of Omaha is for a construction loan as well as extending beyond that to a term loan of fifteen years. He provided an overview of the terms and conditions that will apply to both the construction loan and the extended term loan.
He reviewed the conditions that must be met to secure the loan, noting the membership’s approval of a special assessment to repay the loan will be required. The special assessment will include related expenses, including funds for a reserve account to cover potential delinquencies and for the interest expense incurred on the construction loan. Dan noted members will have the option of paying their pro rata share of the special assessment with one payment, as well as the option to make payments over the term of the loan. A Special Member Meeting is scheduled for April 2nd, during which the special assessment amounts and schedules will be known and presented for the members’ approval.
Dan called attention to an item on the ballot to amend the Articles of Incorporation to correct an inconsistency with our governing documents. The Bylaws are filed as “Treasure Island Country Club” and the Articles of Incorporation are filed as “Treasure Island Country Club, Inc.” The Board of Trustees is proposing the amendment to delete the ‘Inc.’ from the Club’s name to correct this inconsistency and to comply with current state law that specifies a non-profit corporation can not use the word “Incorporated” (or the abbreviation) in its name.
Attorney, Dean Martin, noted he will be providing legal assistance with the details of getting through the loan process with Mutual of Omaha. He commended the Board for their diligence and progress made towards securing financing for the bridge replacement project and provided a brief overview of some key points regarding the special assessment.
The floor was opened for comments and questions regarding bridge financing.
The members had no questions regarding the proposal to amend the Articles of Incorporation to delete ‘Inc.’ from the Association’s name.
BALLOT VOTING
Ballot voting was conducted with the results as follows:
AUTHORIZATION FOR EXPENDITURE TO PROCEED WITH LOAN
Authorization of an expenditure from the Asset Replacement Fund, not to exceed $50,000.00, for estimated expenses related to the Bridge Replacement Project and securing funding for the project.
Approved by a vote of 133.5 Yes – 16 No
AMENDMENT TO ARTICLES OF INCORPORATION
Approve an amendment to the Articles of Incorporation to change the name of the Association form “Treasure Island Country Club, Inc.” to “Treasure Island Country Club.”
Approved by a vote of 147.5 Yes – 2 No
Linda Pryor
Secretary/Treasurer
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