BOARD APPROVED JANUARY 18, 2010

TRAILER ESTATES PARK & RECREATION DISTRICT

BOARD OF TRUSTEES MEETING

DECEMBER 21, 2009

9:30 a.m.

SMALL HALL

1903 69TH AVENUE WEST

BRADENTON, FL 34207

 

 

The meeting was called to order by John Vander Molen at 9:30 a.m.

 

John read a memo from Martha Brauer—in Wisconsin recovering from hand surgery--requesting that she be allowed to be present at the Board meeting via telephone.  A motion was made by Margo and seconded by Joe allowing Martha to participate in the meeting by phone due to these extraordinary circumstances.  Motion passed 8-0.

 

ROLL CALL:  All trustees present.

 

APPROVAL OF MINUTES 

 

Dec. 7:   Joe made a motion to accept the minutes as presented; Margo seconded.  With no discussion, the motion passed 9-0.

 

Dec. 14:  John made a motion to accept the minutes as presented; Joe seconded.  With no discussion, the motion passed 9-0.

 

TREASURER’S REPORT

 

There was a new deposit in the Money Market account of $387,004 bringing the total to date, $744,205.31.

 

APPROVAL OF BILLS

 

Pam felt clarification was needed in regards to the total amount owed five law firms as well as the amount we agreed to pay at the Oct. 5, 2009, meeting.  She stated the following was agreed to:  Dye--$27,444.798 paying $5,634; Turffs--$12,150 paying $2,430; Kirk Pinkerton, $65,605.52 paying $6,000; Scott--$26,947.54 paying $6,277.54; Matthews--$44,850.04 paying $6,600.  To date we owe $168,361.60.  These obligations will be discussed later under Old Business.

 

INFORMATION REPORTS FROM TRUSTEES

 

Pam—None

 

Joe—The Christmas Party was a success.  New Years Eve tickets are still available.  Call 756-7678 for tickets.  The Wii game meeting will be held at 1 p.m. Saturday, Dec. 26, in the Computer Room.

 

Margo—None

 

Gail—None

 

Fred—None

 

Harry—Someone has volunteered to paint the disputed fence.  We will repair our side.

 

Janet—Read a note from Gladys Larsen.  Janet sent 22 cards and there were 6 deaths.  Year to date:  168 cards were sent and there were 51 deaths.

 

Martha—Discussed the following issues:  1) D/O Insurance, which will be discussed today.  2)  Policy on bulletin boards—research is being done on this.  3) Office area policy—this policy should encompass the treatment of employees in and out of the office.  It will be discussed at the Jan. 11 Workshop.  4)  The marina lease will be finished by Jan. 11.  5)  Personnel policies will be discussed today.

 

John—Bud’s wife is in Blake Hospital.  Darren’s father has terminal cancer so Darren will be off this week.  Today is the last meeting of the year.  The next meeting will be Jan. 4, 2010.

 

STANDING COMMITTEES

 

ARC had a meeting Dec. 18.  John did not attend due to the fact that Ken Ilg is now an elected trustee and two trustees could not be present at the meeting.  ARC has brought forth to the Board today two names for membership to the committee.

 

RESIDENTS COMMENTS

 

Harry Splett, 2104 Ohio—offered suggestions for saving money.  One of the suggestions involved the lawsuit.

 

            Joe pointed out to Harry that the plaintiffs’ attorneys were hired on contingency; thus, the plaintiffs have paid very little to date for their attorneys.

 

Maureen Hearn, 6921 W. Bayou—Discussed the disbanding of committees, spending money the park does not have, payment of legal fees for the four defendants, repayment in the event of a decision against them and the ability of the defendants to vote on monetary issues pertaining to personal legal fees.

 

            Martha stated that PP55 states that individuals will have to pay back their legal fees if found guilty.  In regards to the dispensing of the committees, Martha stated that if you look at the Third Amended Complaint, there are alleged violations related to committees so it is prudent not to bring forth a motion to reinstate committees.

 

            John stated that Section 20 of the Charter says trustees shall be released of any personal liability if not found guilty.  The law says payment must be made to trustees involved in lawsuits such as this.

 

            Gail commented on Mrs. Hearn’s statement that trustees “have a responsibility to the people, devoid of individual pride and personal agenda.”  Gail said she was shocked to hear this, though residents have a right to their opinions.  Gail said she was totally unaware of the amount of time it takes to be a trustee.  She has had sleepless nights over park business and hardly sees her husband.  She knows that every board member works hard for the park, and they don’t have a personal agenda or individual pride.

 

Old Business

 

1.  D/O Insurance.  Martha has been working with Conni Austin on this and the fact that insurance companies do not want to pay claims.  Attorney Zac Ross feels reasonably comfortable that we will not have a problem dealing with this company.  They do not cover civil fines or penalties nor do they cover a multiplier decision by a judge.  Venice was not given a multiplier.  Even if we purchase this insurance, it will not cover this case but will cover future cases.  The premium for $1 million of coverage is $2,648.75; for $2 million of coverage it is $3,940.  In either case, there will be less than $1,000 additional for taxes and fees.  Pam asked where our refund is from the previous insurance company.  She has not seen it.  Martha said the company sent it.  Joe asked if we should sign the document without knowing our complete coverage.  Martha stated the attorney would like to see the declaration pages but that is not possible.  She said we can cancel and we will be prorated with no cancellation penalty.  Pam asked if the insurance would pay for individual defendants.  Martha:  “He didn’t say it didn’t.  I believe the answer to that is ‘yes’.”  Joe felt we should wait to purchase until the Jan. 4 Board meeting.

 

Martha brought the following motion forward:  To approve the purchase of D/O insurance at the cost of $3,940 plus taxes and fees.  Joe seconded the motion.  Gail felt we shouldn’t wait because lawsuits are surprises.  No one knows when one might come.  Pam felt we should wait until our other refund check comes.  Martha said she has it in writing that the check will come.  Harry wanted to know the effective date.  Martha said it could be effective today.  Gail reminded the Board that if Martha has it in writing that the refund will come, the company has to follow through.  The motion carried 9-0.

 

2.  Legal expenses.  Martha and Pam differ on how much is owed.  Martha feels we should pay the attorneys now rather than wait until January.  Pam presented both written and visual information on the monetary facts of the lawsuit as she sees them.  She made numerous phone calls for information from the state on lending us money.  She was not successful.  Martha stated that we were into deficit spending for two years before the lawsuit.  The additional complaints to the lawsuit added money we didn’t expect.  John stated that all of us would like to say “stop the case” but that isn’t up to us; we owe our attorneys money.  He stated that Trailer Estates has a fine reputation of paying our bills.  The money is in the bank to pay our attorney bills in full.  Gail stated that she could see Pam’s side as well as Martha’s and John’s.

 

Martha brought for a motion:  To pay all legal bills to date to five law firms—Kirk Pinkerton, Dye, Scott, Matthews and Turffs.  It was seconded by Fred.  Discussion followed.  Joe stated that as astute as Harry Splett is, he is surprised that Harry didn’t know about the plaintiffs’ contingency arrangement and thought maybe other residents didn’t know about that either.  Pam mentioned that she did not want to put the park in jeopardy.  Gail wanted everyone to know that “we” did not put the park in jeopardy but we do have a right to defend ourselves.  Pam wanted to know if Martha had found out whether or not we can borrow from park residents.  Martha said, “Yes, we can.”  John felt we should pay the attorneys now and worry about the next six months later.  Discussion surrounded Christmas bonuses to attorneys as well as possible interest rate increases if we do not meet our obligations.

 

The vote was taken.  Seven trustees voted in the affirmative:  Martha, Margo, Harry, Fred, Janet, Joe and John.  Gail and Pam voted against.  Motion carried.

 

NEW BUSINESS

 

1.  Loan Contracts—We should workshop this on Jan. 11.

 

2.  ARC—The names of Andy Fiordimondo and Mike Neal were brought forward to fill vacancies on the committee.  John made a motion, seconded by Joe, to add Mike Neal to the ARC Committee.  With no discussion or additional nominations, the Board voted 9-0 in favor of Mike Neal.  A motion was made by John, seconded by Margo, to add Andy Fiordimondo to the ARC Committee.  With no discussion and no additional nominations, the Board voted 9-0 in favor of Andy Fiordimondo.  The Board offered congratulations to both men.

 

3.  Personnel Policies—A motion was made by John and seconded by Pam to adopt PP17-19’s revisions to Personnel Policies Section 400.  With no discussion, the motion passed 9-0.

 

4.  Employee Christmas Bonus—A motion was made by John and seconded by Janet to grant Christmas bonuses to employees as follows:  $150 to Mark Yawberg, Bill Cottom, Cecil Wycoff, Darren Shankle and TJ Miller; $100 to Kathy Smith; $50 to Barbara Fink, Jane LeDuc and Ben Holt for a total of $1,000.  With no discussion, the motion passed 9-0.

 

5.  Transfer of legal files--The law firm of Ruden, McClosky has left Sarasota and moved to the east coast but the staff has basically remained and the firm now goes by the name of Adams and Reese.  The files there represent ongoing legal cases in Trailer Estates.  Margo made a motion, seconded by Joe, to transfer files retained by Ruden, McClosky to the new firm of Adams and Reese.  With no discussion, the motion passed 9-0.

 

CLUBS AND ORGANIZATIONS:  No Reports

 

Joe made a motion to adjourn.  The meeting was adjourned at 11:57 a.m.

 

Respectfully submitted,

 

 

 

Gail Opper, Secretary