Cabana Club Condominium Annual Meeting

October 13, 2012

Call to Order
At 1:05 p.m. President Karen Williams called the meeting to order and said it has been a good year
getting projects completed at Cabana Club.
Board members present: Karen Williams, Robin Barker, Dee Barton, Alix Beck, Susie Maxfield, and Janet
Schreiber. Consultants Wayne Scott and Nancy Birdwell also attending. Absent: Mary Sligh.
Registration and Quorum
Karen checked to see if anyone had a proxy form. She asked and confirmed that ballots were turned in.
It was confirmed there was a quorum necessary to hold the meeting.
Review and approval of Annual Minutes 2011
Karen allowed several minutes to read over the 2011 minutes. Karen asked for a motion to approve the
2011 minutes. Kerry Smith made a motion to approve the minutes. Dee Barton seconded the motion.
Karen took a vote to approve minutes. Motion was approved.
Janet Schrieber made a motion to move the budget presentation before the waiver of audit agenda
item. John Desjarden seconded it. Karen took a vote. Motion was approved.
Managers Report Vacationville
Karen introduced Rosemary Black from Vacationville. Rosemary introduced Scott Claymore, in charge
of maintenance and landscaping. Vivienne Hoag was also introduced. Karen Monroe works in the other
office, but could not attend today. Another gal, Amber Wright also fills in occasionally.
Rosemary asked for questions. John Desjarden asked who should he talk to regarding a ramp for his
wheelchair. She directed him to the board. This will be discussed by the Cabana board.
John also asked for a wifi update. Comcast has now installed a new box. It was suggested putting a box
closer in the kitchen of the clubhouse, ventilated. Kerry Smith suggested putting it above kitchen
counters. The name of the wireless network is d-link. This wife issue will continue to be addressed.
Karen asked Rosemary if she has any concerns regarding Cabana. Rosemary said most things seem to be
running smoothly. Best feedback is from owners. Rosemary mentioned that the clubhouse continues to
be updated new TV, room layout changed, etc.
Kerry Smith asked how were unit rentals going. Rosemary said rentals have been going well and people
are able to go through Vacationville to rent a week at Cabana.
Karen personally thanked Scott and appreciates all he has done to update property.
Treasurers Report
Karen introduced Nancy Birdwell to present the treasurers report. Nancy shared that Cabana is
probably in the best shape it has ever been.
Nancy explained treasurers report. The managers account has been left open as a safeguard. Nancy
shared the US Bank Credit Card is still open for timeshare owners who want to pay via credit card
rather than trying to convert Canadian dollar, etc. It will continue to be left open. This money is
occasionally moved to the operating account.
Nancy explained that the reserve account has increased because of money collected on the Wings
property.
Nancy mentioned the assessment account and how it has received money from delinquent parties and
also some of the expenses that have gone out.
Nancy went through accounts receivable, past due info. Delinquent accounts are turned over to the
collection agency, Drico. Nancy shared that timeshare owners in arrears are not allowed to use their
weeks.
There was talk about the rentals and how the refinery clean-up project brought in a lot of rentals by
refinery employees.
Nancy talked about the timeshare weeks report. There is a sherriff sale coming up on the 15
th
of Nov.
There are 15 Cabana timeshare weeks within the Whatcom County system because of unpaid property
taxes. Unfortunately these weeks turn over to Whatcom County when delinquent timeshare owners do
not deed their weeks back to Cabana in a timely manner.
Nancy talked about word of mouth sales she suggested putting the Cabana timeshare weeks for sale
on bulletin board in clubhouse. Holiday Sales is a company that calls Nancy about once a week
regarding selling Cabana weeks. There was discussion about how available timeshare weeks are listed
on the Cabana website, also on new banners, TUG website, Craigs list, etc. Megan Anderson suggested
we add testimonials on the website.
Someone asked about the assessment account and what all has happened with that money. Nancy
went over the 2011 notes from the annual meeting and listed out expenses paid from the assessment
account and a few more expenses coming up. We are in the process of receiving resurfacing bids for
concrete work to be done ($6,000). Patching might not be a good idea so we are going to replace it. It is
typical for the board to get 3 bids (licensed and bonded) for any projects on the property
Megan commended the exterior look of the Cabana Club. Special thanks to Robin Barker for her
maintenance overseeing.
Nancy mentioned we are trying to build a reserve for Cabana. We are budgeting for capital
improvements and timeshare improvements, etc.

2011 Budget Review
Nancy was asked to re-present the budget for 2011. She briefly went over the 2011 budget. We ended
with a $13,210 excess. Nancy suggested we move that $3,000 into the common capital improvement
and $10,000 into furniture reserve. Someone asked if we could have one general reserve/improvement
account, but we have to have two accounts. This is because the full-time owners do not pay into
furniture reserve. Chris Smith made a motion that we move the money into these into two accounts.
John Desjarden seconded the motion. Motion was approved.
2012 Budget Review
Nancy went over budget and broke everything out for timeshare/basic split out. She is very careful to
watch and question every invoice that comes in. Nancy gave an example of a crazy $6,000 water bill
that she was able to negotiate downward, while discovering a leak under the clubhouse that was
addressed in a timely manner due to Nancys good work diligence.
2013 Budget Presentation and Adoption
John Desjardon suggested adding $0 (line 340) to 2013 budget in case there is incoming income (rental
income). This could easily be added. Nancy began presenting the budget for 2013. Kerry Smith asked
which line item is Nancys bookkeeping (line 505).
Nancy is feeling pretty confident that we will meet budget numbers for 2013. Alix Beck made a motion
to accept the 2013 budget. Another owner, Mr. Weeks, seconded the motion. Vote was taken and
motion was approved.
Waiver of Audit vs. Review
Karen Williams explained this agenda item. It is a basically a cost item. An audit costs between $6,000-
$15,000. Instead of an annual audit, our process now is this: Karen Williams (board president) signs
checks. Nancy keeps the books and then sends them to an accountant, Wendy Moshos, (from the
Donna Lutkewitte, MS, CPA with Norris Lutkewitte PLLC firm) who gets a copy of our quickbooks
program. Nancy also sends Wendy bank statements, paperwork, payroll info, etc. Wendy reviews
payroll taxes.
Keith Birdwell asked what was the benefit of an audit. Megan Anderson said our current 3 tiered
approach seems to be working well. Kerry Smith said things seem to be looking positive with the budget
and extra income that is coming in. Chris Smith made a motion that we continue with our current
process and skip an annual audit. Alix Beck seconded this vote. A vote was taken and motion was
approved.


New Business
Megan mentioned there is a seagull nest on top of unit 206. Robin made note of it and will ask
Rosemary to look into it.
Karen mentioned things board has been working on:
Payphone removed and replaced with an emergency phone (cost saving measure).
Concrete work in process (safety issue)
Railings/stairs reinforced
Wifi improvement in process.
Painting of railings/doors
Managing timeshare weeks sold/deeded back.
Reserve account being built up
Dues Update
Karen said we will not raise dues this year but may need to look at a slight increase (3-4%) in the coming
years so we can stay on top of renovations and improvements.
Election of Board Members 2012-2013
Karen shared that Janet Schreibers term was expiring in 2012 and because Janet had not informed the
board of her intention to either run again or step down, Wayne Scott was nominated for this open
Board position and approved by the board to be put on the voting ballot.
At that time Janet Schreiber stood and mentioned that she would like to continue to serve on the board
and nominated herself. No second was received.
Karen informed the membership that Wayne Scott has been on the Cabana board previously and he is
willing to serve again on the board, thus the reason his name appeared on our voting ballots.
A discussion took place including Nancy emphasizing importance of attending meetings and in order to
cut costs of mileage of travel, we generally host meetings in Everett.
Keith Birdwell suggested that at least one board meeting be held at the Cabana location every year.
A member from the audience suggested that the voting ballots be tallied at this time.
Keith read the vote totals (from ballots turned in before the meeting). At that time, Janet stood and
withdrew her nomination. Wayne Scott was voted to fill the open Board position.

Vote Talley
Keith said we had a quorum of 22% of voting membership.
Adjournment
President Karen Williams adjourned the meeting at 3 p.m