Annual Meeting – February 11, 2014


The Annual meeting was held at the Oxford Grange at 6:00 PM. on February 11, 2014. Present for the meeting of the El Rancho Florida HOA were the following Board Members:

Jack Wasserbach – President
Rex Emenegger – Vice President
Peter Diethrich – Treasurer
Kate Pickford – Secretary
Teri Roberts

Also present for the Annual Meeting were: 11 Proxies received with 19 Homeowners present totaling 30 Lots represented in total, and it was determined there were the required 20 lots present to have a quorum and conduct business. Marsha Moreland, Executive Secretary, was also present to take the minutes for the meeting. The meeting was called to order at 6:10 PM. The Notice of the meeting was mailed out regular mail, or by e-mail, to all homeowners w/the Budget, Agenda, Minutes and Proxy form in advance of the meeting. The Notice of the Annual Meeting was published in the Durango Herald.

Minutes: A motion was made, moved and passed to approve the Minutes of last year’s Annual meeting of February 20, 2013 as written.

President’s Report: (Jack Wasserbach) The CCIOA policies that were adopted by the Board of Directors were explained to those present. Brief discussion followed with Jack stating the meetings are the second Tuesday of each month and are posted on the web site. The HOA Board runs and manages the functions of the Home Owners Association. Jack and Rex then proceeded to give an Overview of 2013:

  1. The common area in UNIT II was deeded over to the Metro. District. The District does not pay Property tax on the property owned by the Metro. District. It was over an oversight when Gosney deeded it to the HOA.
  2. The By-Laws were amended by the membership to allow for e-mail notices, change in the quorum required and to hold the Annual meeting in the month of February.
  3. A picnic table was purchased for the pond area and a porta-potty is provided for by the HOA for use in the common area.
  4. The Board has approved several requests for improvements to lots that were submitted to the BOD to review.
  5. A new attorney, Tracy Cross, was hired by the HOA and is working with the Board on the Covenants, R&R, amending the By-laws and adopting the CCIOA policies.
  6. The Board is currently working on PROPOSED second amendments to the Covenants that tie to the land specifically.
  7. The Board is developing PRPOSED Rules and Regulations that can be enforceable.
  8. Helping the Metro. District with providing the following services at the common area by the pond for the residents: availability of a porta-potty, monthly trash service, seasonal landscape maintenance at the pond area, and gate maintenance. The HOA is open to helping the District Board with minor Capital improvements such as the purchase & installation of the gate at the pond.

Rex explained that Tracy Cross was hired to bring the Association in compliance with CCIOA. The Proposed changes to the Covenants are what relates to the LAND, whereas the Proposed Rules and Regulations are/should be enforceable rules. The rules can be changed, or modified by the Board after input from the homeowners and does not require a vote of the membership. The Colorado Revised Statues address the common interest community policies on the collection of fees that are past due and a procedure to follow, including filing liens and foreclosure. The Covenants can only be amended by 51% of the homeowners (67 lots).

Transfer Fees: Jeff Wester informed the Board that there is a bill coming, thru the State, that allows for only a $50 Transfer Fee and the Association charges $300. Rex stated that it is something that the Board will consult with the attorney on.

Mr. Schulthesis asked if `grandfathering’ will be done with regard to the PROPOSED Covenants. Pete Diethrich explained that the philosophy of the Covenants is to keep the subdivision ‘rural’ and to keep it simple. Jeff Wester commented that the separation of Rules and Regulations from the Covenants is a very good idea. Rex reviewed sections eliminated from the Covenants:

  • Annexation – does not apply.
  • References to ‘Common Areas’ – the Metro. District owns the common areas not the HOA.
  • References to mineral extractions in the subdivision.
  • Irrigation water management – Pioneer Ditch charges annual dues to manage and maintain the main ditch. They are also obligated to have insurance covering the whole length of the ditch.
  • Changed the ‘notice’ procedures for meetings of the membership.
  • Now CCIOA compliant
  • When the billings are to go out annually. (They will be later this year due to the Board deciding how much to charge for the ditch assessment after Pioneer Ditch’s annual meeting in March.) Items that were ADDED are:
  • CCIOA Policies
  • Lot boundary changes as to `who’ pays and `who does the work’.

Mr. Scherer stated that two months is too long to give people to come back with comments on the PROPOSED amendments and Rules & Regulations. It is too easy to put it off if given too much time.

POND COMBINATION: The Board has decided to change the lock combo twice a year to limit unwanted access of the pond from non-residents. The combo is 8410. Notice of the change is on the back of the monthly water bills.

PIONEER DITCH COMPANY: (Rod Humble) Rod explained the ditch company was formed in 1925 to administer adjudicated and project water thru the main ditch. Adjudicated water carries all the voting rights and the HOA holds 155.6 shares of voting rights in Pioneer Ditch. The company is working on By-law changes. Two years ago the Ditch Company did $20,000 worth of ditch cleaning in the El Rancho Florida Subdivision. He stated that the Annual meeting for the ditch company will be March 4th and that he would like the Board of the HOA to give him one proxy vote so that he can speak with interests associated with the HOA. It was agreed to give Rod the one proxy vote he requested so that he can speak for the HOA.

BUDGET 2014: A brief review of the budget was given and that there will be NO annual due increases this year. The Board has already adopted the budget for 2014,

NOMINATION AND ELECTION OF BOARD MEMBERS: Nominations were made for Kate Pickford and Rex Emenegger to complete another 3 year term each on the Board of Directors.

A motion was made, moved and passed electing Kate Pickford and Rex Emenegger for another 3 year term each on the Board.

METROPOLITAN DISTRICT UPDATES: Jack introduced Steve Swisher as the President of the Metro District, Robin Boucher as Secretary, Gary Skiba – Director and himself as Vice President of the Board of Directors. A brief review of the progress with the water system improvements was given by Steve and Jack. A grant has been applied for with DOLA in the amount of $600,000 to help with PH.II – Distribution System improvements. The balance of the CWAPA loan, at 2% interest, would be used in addition to with what is approved by DOLA to upgrade the distribution system with isolation valves, fire hydrants, major water line replacement and looping of the lines. A decision will be made on the grant in late March to mid April.

Steve wanted to thank Tony Rocha, former Board member of the Metro District, for his many years of service on the Board and his help with grant filing for the District. Tony was a great asset to the Board and the Association.

The Board plans to speak with La Plata Archuleta Water District about a valve box at the road on CR 510 when they come down it for an emergency backup water source. Not sure what a tap would cost at this time.

BP Amoco will begin their line replacements in the UNIT II of El Rancho Florida Subdivision. Impact fees were collected by the HOA as well as the Metro District for the work being done. There will be impacts to homeowners with regard to roads and access to lots. Hopefully, the work will be completed quickly and with as little disruption as possible.

Jack then thanked all those present for coming to the potluck and meeting. He encouraged all to give their input on the PROPOSED Covenant amendments and PROPOSED Rules and Regulations. The meeting adjourned at 7:45 PM.

___________________________, Secretary

Kate Pickford