MINUTES OF THE ANNUAL MEETING OF THE MEMBERSHIP held July 14, 2007, at the Horton Community Center. President Lowell Mahugh opened the meeting at 10:00 a.m. with 63 lots represented in person and 52 ½ lots represented by proxy for a total of 115 ½ lots represented.
Minutes of the Annual Meeting held July 8, 2006, were approved on motion by Mike Croke, seconded by Maureen Butterfield and carried.
President Mahugh thanked and commended several members for their volunteer services. He noted receiving a telephone call from the Department of Ecology regarding firework debris left on a member’s float and encouraged members to be mindful of environmental issues.
Secretary Linda Pryor presented and reviewed the Club’s financial reports dated December 31, 2006.
REPORTS
DOCK – Lowell Mahugh reported the Club has submitted an application for renewal of the tideland lease with the Department of Natural Resources. He reviewed maintenance and repair tasks completed: A storm damaged tree along the north side of the access road was removed; a small area near the lower parking area was cleared and leveled for placement of a Sani-Can during the summer months; the float was pressure washed and the Loading Zone was repainted; the handrails, park bench, and shore side fencing were pressure washed and painted; the gangway decking was replaced with one inch thick, waterproof plywood (Aquatex) and anti-skid strips were installed; the new decking, skid strips, and angle iron supports were all painted. He noted new chicken wire needs to be installed on the pier. During a recent repair of the encasement around the first piling north of the gangway, Lowell noted the stringers in that area are deteriorated and recommended an inspection of the float’s understructure. The bulletin box was repaired and dock regulations and sign-in sheets are posted. Landscape maintenance and picking up debris left by users of the facility are ongoing projects.
BRIDGE – Morina Dustan reported results of the 2005 and 2006 bridge inspections resulted in recommendations for significant repairs. A Scope of Work document prepared by Sargent Engineers was used to complete a Joint Aquatic Resource Permit Application (JARPA). The JARPA was submitted to local, state and federal agencies to procure all the permits needed to proceed with repairs. The permits were rejected and the application must be resubmitted with environmental information and details regarding materials to be used and methodology proposed for the repairs. Based on the Scope of Work, General Construction submitted an estimate of $310,687 to complete the repair project. This is an estimate only as more information is needed to provide a firm bid. In addition to engineering details and geophysical data, contractors will need to know what materials and repair techniques will be acceptable to permitting agencies. Assistance from consulting firms is being pursued to move the project forward. The Board of Trustees will be reviewing proposals from GeoEngineers and Art Anderson Associates at the August board meeting. The Board will be researching all avenues to keep costs down, including the possibility of obtaining some funding through a grant from the state.
Morina noted that once the project does get underway, repairs are expected to take three to four months. During this time, all efforts will be made to limit extended bridge closures and to provide emergency access.
Morina noted that a consulting engineer advised that given the age of the bridge, the Club can expect the need for significant repairs approximately every five years. Comments and questions were received from the floor regarding both short and long term plans for the bridge. Members voiced their concerns regarding the cost of extensive repair projects that will be needed to retain the integrity of the existing structure and how these cumulative costs would compare to building a new bridge. The suggestion to have a financial feasibility study conducted was received with favor. Morina noted the Board is at the beginning stage of this process with the consulting engineers who have submitted their proposals and will pursue inclusion of a feasibility study in the scope of services to be provided. She expressed a commitment to set a deadline of 30 days to get information on how long it would take to conduct a feasibility study and how much it would cost. A member questioned whether we could make less expensive repairs that would maintain safe access until a feasibility study could be completed. The Club will be consulting with engineers to determine what options we have so decisions can be made on how to proceed.
WATER – Iris Ziller reported the Club’s Cross Connection Program is ongoing. While conducting on-site surveys, WDM Skip Beahm inspected backflow prevention devices installed on members’ automatic sprinkler systems and all were in good working order. The backflow assemblies on the wells were also tested and are operating as designed. Iris cautioned members to handle the Club’s connection valves with care as excessive force will break the valves. Leaking valves should be reported to the Club. In response to a member’s question, it was noted that members should not be using the Club’s connection valves for their personal use. Ideally, every resident should have their own valve installed for shutting off water service to their property when the need arises. A valve maintenance project was conducted last year wherein buried valves were located, boxes installed and repairs made as needed. Thirteen connection valves have yet to be located. Iris asked members to indicate the location of buried valves with a stake if they are aware of their location. In addition, all connection boxes should be exposed, not covered by vegetation or other landscaping materials. Iris reported the water tested positive for coliform bacteria last September. The water mains were flushed, but coliform was still detected in follow-up tests. The Department of Health required that the system be chlorinated for a period of one month. Following chlorination of the system, the water tested satisfactorily and continues to do so. She noted the source of the coliform bacteria was not determined. A diving crew inspected the inside of the water storage tank last December. The condition of the interior coating is such that patching all of the problem areas where rust was observed would not be cost effective. A recommendation was made to remove the existing interior coating and repaint it within the next five years. The float and control system are in good condition. Iris thanked volunteers who assisted with flushing the water mains and conducting the chlorination project.
ROADS – Kim Cimmery reported factors that have affected the roadways this past year included windstorms and a large number of heavy construction vehicles. David Dickinson removed stumps that remained from fallen trees during the winter storms. A contractor was hired to haul away all of the accumulated storm debris and stumps. Kim noted road reflectors are on order to replace those that are damaged and/or missing. He reported a member’s request that the Club remedy a water runoff problem affecting their property. Records indicated a previous owner had connected a drain pipe to one of the Club’s drain boxes and extended it down the property line. Damaged by subsequent construction and landscaping on the property, this drain pipe is no longer efficient. Measures will be taken to assure the drain box does not overflow, however the damaged drain pipe is not a Club asset. Other drainage issues have resulted from inadequate culverts installed on the Club’s right-of-way by property owners. A recent roadside drainage repair project near 1541E included removal of approximately fifty feet of damaged, undersized culvert. Culvert standards and guidelines have been drafted for finalization at the August board meeting and will be distributed to members who want to put in a culvert during construction on their property.
BEACH – Don Russell reported the storage shed and shelter were painted two years ago and the paint is still in good condition. The roof of the storage shed was recently pressure washed. A Sani-Can is in place for the summer months. He noted considerate use of the facility with regard to clean-up and beach fires.
OLD BUSINESS
President Mahugh summarized discussion regarding a member’s suggestion to institute an Impact Fee on new property owners as follows: New property owners have no immediate financial impact on the Club. The impact occurs over the years through wear and tear on the infrastructure. Property owners pay yearly for this wear and tear with payments to the Asset Replacement Fund. The consensus of the Board of Trustees was that imposing an impact fee in addition to yearly payments to the Asset Replacement Fund could not be justified. No action was taken.
NEW BUSINESS
Iris Ziller presented a proposal to upgrade the water system. She illustrated the configuration of the system and presented a history of the upgrades that have been installed since its original construction in 1954. She noted that for the purpose of long-term planning, a preliminary engineering study was completed in 2004 to determine the cost to upgrade the system, anticipating project completion in phases. The engineer advised that separate phases would substantially increase the overall cost (estimated at $765,000.00) and recommended the upgrades be completed as one project. He recommended financing the project through a low-cost loan from the state or waiting until the Club had sufficient funds to cover the work. To this end, dues were increased in 2006 to build the Asset Replacement Fund during the next twenty years.
Washington State’s Water Use Efficiency Rule went into effect in January of this year. This rule requires the installation of water meters on all service connections by January of 2017. The cost to install meters on all the Club’s connections is estimated at $180,000.00. However, meters will decrease water pressure to residences and in many locations on the island where the pressure is already low, this will have a detrimental effect. To remedy this problem, a booster station could be installed at the existing storage tank to increase water pressure system-wide. Expanding the project to include a booster system (including meters) is estimated at $650,000.00. There is some concern with regard to the age of the existing system, the unknown integrity of the main lines and the potential for leaks if the pressure is increased on these lines. Upgrading the entire system is being put forth as a solution to meet the requirement for meters, to boost the water pressure to residences, to avoid the unknown effects of increasing that pressure, and to remedy other inadequacies within the existing system – inadequate fire flow and the inability to adequately chlorinate the water if it is needed. Dead end legs (8) would be eliminated, isolation valves would be installed on the main lines, and backflow protection devices would be installed at each water service to protect water quality. A cost estimate of $1.5 million for this upgrade was based on the Engineer’s figures received in 2005 plus additions to cover increased material costs, inflation, additional engineering, environmental reviews, permits, and other contingencies.
Iris reported Washington’s Drinking Water State Revolving Fund provides 20 year loans at 1.5% interest for water system projects. Criteria is based on health risk and aging infrastructure replacement. Normal funding is $20 million per year, but for the 2007 loan year $40 million is available. Loan applications were due during the first week of May. The Club submitted an application for $1.5 million, subject to acceptance by the membership. Repayment of the loan is estimated to cost each member $35 per month ($420 per year) over the twenty year loan term.
Notification of the application’s status with regard to acceptance is not expected until early 2008.
The floor was opened for discussion.
Members requested clarification for some of the system’s inadequacies and questioned whether other remedial options might be available. A suggestion was made to install the meters only, noting that member’s with inadequate pressure could install a booster pump on their own connections. A motion was made by Randy Welsh to get a price estimate for a scaled back version of the replacement to compare with the current proposal: Installing meters and backflow protection devices, rerouting main lines to the tank to facilitate installation of a booster pump and chemical treatment infrastructure, and installing blow-offs at the dead-end legs. Motion failed for lack of a second. Members voiced support of the upgrade citing the age of the existing system and the inevitability of needing to replace it; the possibility that future requirements imposed by the state will necessitate replacement; and the affect inflation will have on the cost if a system upgrade is postponed.
A ballot vote was cast to approve acceptance of the obligation for repayment if the loan application is approved. The issue failed with a vote count of 34.5 Yes, 35 No.
ELECTIONS
The terms are expiring for two board members, Iris Ziller and Lowell Mahugh, and one board position is vacant. Iris Ziller volunteered to run for re-election. The floor was opened for nominations.
Helena Rowse, Rod Wilkinson, and Jan Croke were nominated from the floor. Helena Rowse withdrew. A unanimous ballot was cast for Iris Hare, Rod Wilkinson, and Jan Croke on motion by Gary Longmire, seconded by Dave Patnode and carried.
OTHER
Members raised concerns regarding a member’s pit bull that behaves aggressively and is contained by a fence of questionable integrity. Mason County Animal Control laws will be researched to see if any action can be taken.
The meeting was adjourned at 1:14 PM on motion by Jim Henwood, seconded by Dave Hare and carried.
Linda Pryor
Secretary/Treasurer