LAKE MOOVALYA KEYS, INC.
Board of Directors
Regular Meeting
SEPTEMBER 8, 2003

CALL TO ORDER
The regular meeting of the Lake Moovalya Keys Board of Directors was called to order by President Chuck Baker, 6:10 p.m. at September 8, 2003.

PRESENT
President: Chuck Baker
Vice President: Chris Chambers
Board Members: Bill Risen, Gary Svider, Bob Stroud

A quorum was not present at this time. Mr. Baker stated the Board could review and discuss items, but until additional board members arrive, the board will be unable to vote on an issue.

Secretary/Treasurer Trish Wikoff and Board Member Joe Maxwell arrived at 6:20 p.m. Mr. Baker announced upon their arrival that a quorum was present.

ABSENT
Neil Kleine, Tonya McPherson, Russ Derby, Joe Price

OTHERS PRESENT
Guests: Barbara Risen, Bob Hansen, Jack Sweeney
General Manager: Richard DiNolfi
Business Manager: Debora Schlosser
Groundskeeper: Don Braun
Recording Secretary: Becky Braska

MINUTES
Chris Chambers motioned to approve the minutes of August 4, 2003 with the following corrections:
Page 1, FINANCIAL STATEMENTS, para. 3, second sentence, "…late account" should read "…late accounts".
Page 3, GENERAL MANAGER'S REPORT, para. 4, last sentence, "Ms. McPherson" should read Ms. Schlosser.
Page 4, NEW BUSINESS, para 1, first sentence "…the wall of" should read "…the wall on".
Bob Stroud seconded. No further discussion. Motion carried unanimously.

FINANCIAL STATEMENTS

Prepaid bills for approval:
Complete Tax $475.00
Verizon 667-2840 58.90
Verizon 85.24
River Cities 1970.00
APS 19.75
APS 1028.31
Brooke Water 137.14

Bills for approval:
John Churchill $156.26
Parker True Value 14.12
Parker Office Supply 34.25
Laser Brite International 993.60
Davis Building Supply 263.46
Davis Building Supply 76.20

Payroll
R & D Maintenance (DiNolfi) $800.00
Fuel Expense (DiNolfi) 69.44
Don Braun 408.94
Debi Schlosser 7/16 - 7/31 393.06
Debi Schlosser 8/1 - 8/15 340.43
Payroll Taxes 163.99
6.64

Bill Risen motioned to approve the bills as presented. Gary Svider seconded. No further discussion. Motion carried unanimously.

The board reviewed the current aging report. Mr. Baker explained to Ms. Schlosser that the aging report should only contain accounts past due over $300.00. The list should include the lot number, amount due, action taken, and remarks. The board reviewed the list provided and identified one account to be turned over the John Churchill for action: Kirk Northrop lot 162. Ms. Schlosser was directed to send a "Nice" letter to the following individuals: Joe Schmidt lot 21, Ron Brahman, lot 240, and Michael Barrett lot 245.

The August and September Financial Statements were not available for review at the meeting. This item was tabled until the October 2003 Regular Meeting.

BUSINESS MANAGER'S REPORT
Ms. Schlosser reported the current balance in the association checking account is $13,220.22 and the money market balance is $65,369.04.

Deposits posted during the month totaled $8,380. The revenues posted were generated from dues received and gate clickers/cards purchased.

Three homeowners closed escrow during the month: lots 220, 92 and 5.

Verizon was contacted regarding the gate telephone. Verizon tested the line; they were unable to determine where the problem was. Verizon technicians agreed to come out a second time to meet with the "gate guy" Eric Severson to see if a solution can be found.

Ms. Schlosser suggested that the Board approve transferring the association's copy machine to Mr. DiNolfi's house. Ms. Schlosser has a printer/fax/copier combination and does not use the other copier. This would save on copy charges incurred by Mr. DiNolfi. The board agreed to transfer the copy machine from Ms. Schlosser's home to Mr. DiNolfi's home.

An additional trash bin was ordered for the holiday weekend. Mr. Braun reported that even with the additional bin, it still was not enough to handle the trash generated. Mr. Braun recommended the board consider adding another trash enclosure due to the increased demand by full time residents.

GENERAL MANAGER'S REPORT
Mr. DiNolfi reported that he is working with Jack Sweeney to get a new telephone system installed at the gate. Ms. Schlosser asked Mr. DiNolfi if he had checked the gate telephone since it was reset; DiNolfi had not. Mr. DiNolfi stated he would check the telephone to see if the "reset" corrected the problem. If it did not correct the problem, he will continue to work with Mr. Sweeney.

The board asked Mr. DiNolfi about problems encountered over the holiday weekend. Mr. Maxwell responded that he had a quad stolen from his home either late evening or early morning.

The board discussed the decision to leave the gates open during the holiday. Mr. Baker explained that with the amount of traffic in and out over the holiday, no guard service and the gate telephone not working properly, there was no alternative other than leaving the gates open. If the gates were closed, Mr. Baker felt with considerable certainty that one or both of the gates would have been damaged.

Mr. DiNolfi reported that the County agreed to sweep the streets, the third Wednesday of each month, in the morning. Ms. Schlosser was directed to post a notice on the website, advising homeowners when the streets will be swept and encourage parking vehicles completely off the pavement. Mr. Braun and Mr. DiNolfi will post temporary signs on the gate and the marquee the day before the streets are swept as a reminder.

Mr. DiNolfi received a quote on the gate telephone from Eric Severson for $300. Mr. Sweeney stated he can probably get a better price. Mr. Sweeney will provide quotes for security cameras, a recorder and a gate telephone. Mr. Sweeney stated he has already pre-wired the guard shack.

GROUNDSKEEPER REPORT
Mr. Braun said that he could dispose of the lumber at the trash bins, if he had chain saw.

Mr. Braun reminded the board that the "No Wake" signs still need to be painted. Mr. DiNolfi was directed to hire someone to paint the signs.

Mr. Stroud stated that he has received complaints regarding the condition of the lawn and trash areas. Mr. Stroud suggested possibly removing the grass and replacing with rock. Mr. Svider brought up the possibility of removing the oleanders and installing a wall. Mr. DiNolfi recommended reseeding like the golf course. The golf course uses Bermuda in the summer and Rye in the winter.

Mr. Braun responded that he has not spent adequate time or money on the law due to the board request to cut costs. The board discussed the options suggested. It was determined that the board wants to keep the grass if it can "be maintained green". Mr. Braun stated that with more effort and materials he can maintain a "green lawn".

Mr. Braun reminded the board that the flagpole needs to be painted. Mr. DiNolfi was directed to follow-up on this item.

Mr. Braun reported severe misuse of the gate code; on several occasions, Mr. Braun has witnessed trucks full of trash entering the subdivision, and leaving empty. Mr. Braun requested the board clear the code and issue law enforcement, and other emergency personnel with gate cards. Mr. DiNolfi stated that some of the people he has observed entering the area with trash area homeowners with property outside of the gates. Mr. Chambers stated that issuing gate cards to emergency response personnel is not a feasible option; each individual employed by these agencies would need a card in order to ensure access through the gates in the event of an emergency.

Mr. Sweeney stated that once the cameras are installed, the cameras will record trespassers and the board can act to prevent future violations.

Mr. Braun requested a single wheel apparatus for striping. The cost is $27. The board approved Mr. Braun's request.

OLD BUSINESS
Mr. Chambers stated that Ernesto has been too busy to stucco, but it should be completed within the next two weeks.

Ms. Schlosser reported that clean-up letters were sent to all identified lots. Mr. DiNolfi was directed prepare and provide Ms. Schlosser with a list of all of the vacant lots. Ms. Schlosser was directed to use Mr. DiNolfi's list to send a request to those homeowners. The request is to

gain the homeowners permission to "cable off" the lot. The cable will prevent unauthorized parking on the vacant lots.

Mr. Stroud stated that the signs are property posted in the common areas, but feels that Mr. DiNolfi is not enforcing the seven-day overflow parking. Mr. DiNolfi stated he is monitoring vehicles and documenting as necessary. Mr. Braun stated that one homeowner recommended that the board approve paving and striping the lots to help with the congestion. The board feels the overflow parking area is at the owner's own risk. The board did not approve paving or striping at this time.

NEW BUSINESS
Mr. Baker reported that Mr. Kleine submitted his resignation as a board member. Mr. Kleine sold his home located inside the gates and did not feel he would be in town enough to continue to serve on the board.

Chris Chambers motioned to accept Mr. Kleine's resignation. Joe Maxwell seconded. No further discussion. Motion carried unanimously.

Chris Chambers motioned to appoint Jack Sweeney to fill the board vacancy created by Mr. Kleine's resignation. Bob Stroud seconded. No further discussion. Motion carried unanimously.

Mr. DiNolfi received a set of plans for board approval, but did not have time to review and make recommendations before the meeting. The plans will be considered at the October 2003 regular meeting. Mr. DiNolfi asked if the homeowner could begin groundwork before the board approves the plans. The board responded that the plans must first be approved.

Many board members expressed concern on how the meeting date was changed. The board in general felt better communication is necessary. Mr. Baker stated that the dates should be scheduled in advance, taking the holiday weekend in to consideration.

ADJOURNMENT
The meeting adjourned at 7:15 p.m.

Submitted By Rebecca A. Braska, Recording Secretary

APPROVED OCTOBER 6, 2003