MINUTES OF THE BOARD OF TRUSTEES SPECIAL MEETING held January 11, 2008 at the North Mason Timberland Library. The meeting was opened at 6:05 PM by President Rod Wilkinson and attended by Morina Dustan, Linda Pryor, Jan Croke, Daryl Axelson, Iris Ziller, and guest member Dave Hare.
HIRING EMPLOYEE
Discussed proposed employment of Club member David Dickinson for tractor services he can provide to perform assigned maintenance tasks. Discussed criteria to be included in a job description: Define job title and role as an employee, indicating the type of labor to be performed; specify employee’s responsibility with regard to the care of his own equipment (excluding the Club from liability for equipment damages and repairs); establish an hourly wage for employee hours and possibly an hourly rate to be paid separately as re-imbursement for use of his equipment; define commissioners’ procedure to obtain Board approval for the use of his services in emergency and non-emergency situations. Questions were raised regarding liability issues associated with property damage and/or personal injury caused by an employee using their own equipment. Secretary will submit questions to the Club’s insurance company (Safeco, Commercial Liability Coverage). Questions regarding employment regulations will be directed to the Department of Labor and Industries.
BRIDGE INSURANCE
Notice was received from Bratrud Middleton Insurance that Lloyds of London has declined to offer renewal terms for property damage coverage on the bridge due to age and condition of the structure (expired January 1, 2008). The Club’s account administrator conveyed that other possible markets are being approached and requested an idea of how much the Club can budget for this insurance. Possible markets have indicated minimum premiums ranging from $20,000.00 to $50,000.00 for property damage, excluding earthquake and flood. In the interest of obtaining the best rate possible, contact will be made with the marine structural engineer from Art Anderson Associates (currently under contract with the Club) to get a written statement of his verbal observation that although the bridge is in need of some repairs, its general condition is sound.
It was noted that the Club’s Commercial Liability Coverage with Safeco has excluded the bridge since 2001. Bratrud Middleton Insurance is contacting the underwriter to find out why it was excluded and what we can do to get the exclusion removed.
On motion by Morina Dustan, seconded by Linda Pryor and carried: The Board will continue to pursue obtaining both property damage and liability insurance for the bridge at a reasonable amount, requesting a premium rate in the range of $20,000.00 for property damage. The Board will evaluate quotes with consideration for the value of the coverage, and decide at that time whether to reinstate insurance or call a special meeting of the membership to vote on acceptance of said offers.
PLAT RESTRICTION VIOLATION
Discussed legal advice obtained from Attorney C. Robert Houle of Goodell Law, Inc. regarding the sale of Lot 246 (361E). The current owner has revised the plat of said property, violating the Club’s plat restriction (#5) which restricts the sale of property that does not meet a minimum square footage requirement of 6,500 feet. Prospective buyers have requested a written statement from the Club granting approval to construct a home on the property.
With regard to challenging the sale of the property, the attorney advised that all property consists of a bundle of rights provided by law. The Club’s plat restriction limits everything that the owner of the Lot could do with those rights and would therefore be viewed as unreasonable and held as invalid by most courts. In addition, there are Lots on the island that were originally platted smaller, have been resold, and have buildings on them. Challenging this property owner’s right to sell could be held as unjust as the Club is required to treat all members equally and fairly. The attorney recommended non-enforcement of plat restriction #5 at this time. He also recommended rewriting the restriction is a way that would be reasonable. Following discussion, the consensus of the board was to abide by the attorney’s advice.
With regard to the letter requested by the prospective buyers, the Club cannot restrict a property owner from building as long as construction conforms to Mason County Building Regulations. Secretary will follow-up on correspondence sent to Mason County Public Health to ascertain that the septic design approved for the property conforms to county code with regard to its distance (5 feet) from a water line easement.
1620E DRAINAGE PROBLEM
Discussed correspondence received from the owner of 1620E requesting a solution to continuing problems with drainage of overflow from a drain box flooding his property during heavy rain storms. The owner requested reimbursement of $2,885.42 for (landscape) cleanup following two previous rainstorms. He also requested that the Club pay $5,937.22 for a proposed improvement to be installed on his property or to provide an alternative solution to redirect the water away from the property.
Road Commissioner Daryl Axelson recommended that the board adhere to a previous assertion that the Club is not liable for drainage provisions on private property and that (a) No action was required by TICC for the drain line that runs down the common property line between 1620E and 1610E, and (b) TICC will monitor and ensure the catch drain is functioning as designed. He further recommended that the Club send the property owner a certified response that includes the history, the Boards decision and the reasons justifying the decision.
Board members reviewed and discussed the history of this drainage issue. In 1983, the owner of 1620E installed a catch basin and connected a 4 inch drain to an existing drywell on the Club’s right-of-way to handle overflow of drainage water during severe rainstorms. Four inch drain pipe was installed down the property line to discharge on the beach. This homeowner installed drainage system has worked as intended until recent years.
Following a period of unprecedented rainfall in 2005, the Club hired Roto Rooter to investigate the cause of excess rainwater overflowing from the catch basin. The four inch drain pipe was found to be partially crushed approximately half way down the property line underneath several backfilled rock walls (constructed the previous summer). This drain line has since been reconfigured by the homeowner to divert water into two additional drain lines he installed on the property.
During the course of two ownership changes since 2001, several alterations have been made to the property that have adversely effected pre-existing provisions for drainage of surface water. Therefore the board agreed past damages can not be attributed solely to overflow at the catch basin and reimbursement is not substantiated.
On motion by Linda Pryor, seconded by Iris Ziller and carried, the Club will install a regulation, construction grade drain box and reconnect the pre-existing 4 inch line.
The Club will monitor and ensure that the dry well and new drain box function as designed. If overflow continues to be a problem, alternative solutions will be pursued.
BYLAW WORKSHOP
Board members agreed to schedule a Bylaw Workshop for a date following the February board meeting. Members will read through the bylaws and covenants together, working towards a consensus with regard to interpretation.
Discussed a previously received proposal to form a committee for the purpose of updating and revising the Club’s bylaws (for presentation to the membership for approval). Moving forward with the workshop could facilitate the formation of said committee by identifying where clarification could be provided through revisions and/or additions.
Meeting adjourned at 9 PM.
Linda Pryor/Secretary