Meeting Minutes

Board of Directors Meeting

Pacific Terrace HOA

June 12, 2006

The meeting was called to order by Mr. Rosencrantz.

Directors present: Others Present:

Don McNeill

Mike Plymale Paul Tice – GBTS general manager

Chiane Kathrens Craig Kiest – landscape architect

David Rosencrantz

Terry Murphy (arriving late)

Stan Muir

Mr. Rosencrantz chaired the meeting in Mr. Starr’s absence.

Draft Meeting minutes for May 2006 were distributed but were not approved during the meeting.

Mike Plymale presented the Treasurer’s report which is attached to these minutes. In summary, current income and expenses appear in line. Accounts related to Units 411, 414, 440 and 428 were discussed. Late payment interest was agreed to be waived for units 414 and 440. The Board directed Stan Muir to contact Lou Larsen to develop a letter regarding bringing the 428 account current and staying current and inquire about taking rents to cover assessments.

A discussion was held regarding Lou Larsen’s guidance on unit expansions. In light of the need to secure Unit Owner approvals to permit unit expansions, Stan Muir was directed to work with Mr. Starr to draft letter introducing the concept to Unit Owners in preparation for including this on the agenda for either a special meeting or at the upcoming Annual Meeting.

Paul Tice provided the Property Manager’s report. The rehabilitation of the bank behind Building D was discussed with options being to construct a retaining wall or grade and plant. Resolution was tabled until Craig Keist has an opportunity to look at the bank.

Painting has commenced on Building H in the grey color. Railing and deck surfaces will not be painted. Certain extra charges will apply for painting brackets and taping. A discussion was held regarding paint colors for the other building. The Board agreed to delegate the decision for paint colors to a committee comprised of Mrs. Murphy, Paul Tice, Dr. Starr and the painter. (Append: The committee met and decided to paint all buildings the same grey shade as building H.)

The irrigation pump is hooked to the well. Lines are being run to connect the well to irrigate the west side of Buildings A,B&C, the north side of A, and the playground area. Paul will look at the additional cost to connect water lines to the existing irrigation system extending up to Building H.

Paul is to determine whether any state approval is required to use ground water to irrigate.

The Board discussed Craig Keist’s work on behalf of the Association. Recognizing that we are not able to establish a scope of work for Craig until we resolve the amount of funding available for landscaping improvements, it was agreed that we would bring our account current with Craig and establish a reserve of $2000 (a not to exceed amount) for future services rendered by Craig until we have resolved the funding issue.

Our contractor, Maltman Construction, will be wrapping up in approximately two weeks. A final walk through will be arranged with Paul Tice, Mr. Starr and any other Board member who wishes to participate. A punch list will be developed for items that require completion, correction or modification.

No other matters being raised for the Board’s consideration, the President adjourned the meeting.

Stan Muir, Secretary