Board Meeting Minutes – August 10, 2011
Bayport Marina Association
Board of Directors Meeting Minutes
Marina Clubhouse
August 10, 2011
Board present:
Marcus Gernes
Morgan Fudge
Val Fuller
Michelle Lemanski
Jim Mondry
Steve Paquette
Chris Ridgway
Russell Sheaffer
Absent:
Matthew Kasinkas
Meeting called to order at 7:00 pm by Commodore Russell Sheaffer.
1. Introductions and Opening Remarks
Russell welcomed Past Commodores to the meeting and introductions were conducted.
Motion by Marcus to approve July Meeting Minutes, seconded by Steve. Unanimous approval.
2. General Manager’s Report
Cliff presented staff accomplishments for the past month:
· Landscaping around pool has been completed. Working on updating the shrubs/plants in the driveway island.
· Purchased 13 grills from Home Depot at a cost of $199/ea and is in the process of installing on each dock.
· Sherm and Cliff inspected a 1999 forklift to replace current forklift. Purchase and delivery to take place week of August 15.
· Six new covers were installed. Recommended to have covers installed next year before boats are in the slips and trees are in full bloom.
· Floats on B Dock replaced
· Contacted Orkin regarding our bug and bird problems. The Orkin rep did not find bugs in the wall of the service building. He stated the woodpeckers were simply pecking on the wall. Contracted to have Orkin treat buildings for two months.
· Installing a fence to the north west of the service building the week of August 15.
· Cliff had a meeting with Jay of Marine Max and received an update of sales and commissions owed to BMA. Marine Max has paid the slip and land rental fees but still owes for the commissions. Cliff continues to work on communication between Marine Max and BMA.
· Kathy and Kate have been working on developing a BMA brochure to hand out at the boat show and for other marketing events.
· Kathy, Mike and Cliff are attending a Fred Pryor Seminar on “How to Deliver Excellent Customer Service” Wednesday, August 17.
· Mike is working on haulout pricing and structure. When researching other marinas in the area, found we are behind our competition. Decision to increase by 8% to be in-line with other marinas.
· Received a sampling of a synthetic dock which will be installed next week.
· Bayport Marina will be a sponsor for Courage Center Cars for Courage Boat Drive on Saturday, September 10. WCCO will broadcast live from the Marina 9-noon.
· Continue to work with Jim Long on acquiring a new service truck.
· Cliff is working on the pricing structure for snow plowing.
BMA Staff’s Long Range Goals are:
· Continue to improve the landscaping and grounds of the marina.
· Further develop the website
· Research and upgrade the service software
· Develop promotional items/specials for service
· Service expenditure planning
· Continue to develop a contract and pricing structure for the rental of the clubhouse and Point. There will be a two-rate structure for members and non-members along with a guest count breakdown.
3. Financials
Russell discussed moving the Board Meetings to the third Wednesday of the month to allow Kathy time to prepare financials as well as give Board Members time to review prior to the meeting.
Items that were noted:
· Recommendation to reclassify the WiFi expense (55000) from Communications to Capital Improvements. Kathy will contact Mike Mullen’s office to have the depreciation figure recalculated.
· Cliff is checking with Mike to determine why the service parts figures are so high.
· Insurance premiums were higher than budget because the premium was paid in full for the year.
· Depreciation reflects the figure given by Mullen. Last year’s depreciation was higher due to a “catch up” of not taking depreciation in previous years.
4. Group 41
The consensus during the conference call in July with attorneys Eckman and Kranz is there are two issues with Group 41: 1) They want the restaurant to have all rights to catering and food delivery to BMA boaters and 2) The rights to slips for the restaurant. Russell stated the Board is fully committed to protecting the investments of BMA members. There is a mediation scheduled for next Tuesday, August 16 with Group 41 and their attorneys. Michelle, Morgan, and Val will represent the Board along with attorneys Eckman and Kranz. If mediation is unsuccessful, a Summary Judgment is scheduled for October 15. The goal is to settle out of court. Russell explained the Board has “creative ideas” to resolve and has a strategy in place. Michelle stated the legal fees estimate should the case go to court would be approximately $70k. If the case goes to trial, this will be scheduled for some time March/April. Russell will keep members up-to-date with the lawsuit progress and where it stands.
5. Committee Reports
Board structure was handed out. Each committee chair presented.
Investments – Morgan reported BMA has three accounts with $750k total capital. Two of the accounts are with Feltl which BMA has had a long-standing relationship with. The other is with M&I Bank. Morgan stated BMA has a solid base of capital for improvements in the future.
Marketing – In the absence of Matthew, Russell gave a brief overview of the WiFi which continues to be developed. Matthew has been instrumental in the planning and installation of BMA’s WiFi service.
Social – Val will meet with Matthew to discuss a marketing website she found for BMA to use in its marketing efforts. Val explained details of the upcoming BMA events: Sunday is a Brunch, 90 boaters have RSVP’d. On September 17 there will be an Open House for Gregg Nelson’s Retirement followed by the fall party which will have a “Back to the 50s” theme. She has contacted the MN Street Rod Association who will be coming with their street rods and the DJ from Dinos will be providing entertainment. Val will use the E-vite program as it worked well for the Brunch.
Building, Equipment and Grounds – Steve reported the biggest focus now is on the docks. Currently looking at a synthetic dock. Steve recommends bringing in an engineer to assess the dock structure and confirm it is still sound after 20 years. An electrical plan is needed as well. Discussion regarding cost was addressed – two years ago there was a bid for over $1 million which did not include the electrical and water. Because of the lawsuit still pending, activity for replacing and upgrading has been placed on hold.
6. Board Development
Russell stated he would like to develop the expertise of the Board by recruiting successful business members to engage as major projects are developed. Recommendation was made to remain conservative on projects given the economy.
7. 2010/2011 Accomplishments
· Board meetings are held monthly vs. quarterly
· Implemented a defined structure to the organization
· Employed a new Office Manager and General Manager to help facilitate the changes desired in the organization
· Devising a plan to grow revenue in the Service Dept.
· Revised the By-Laws – modernized verbiage and focused on discipline around fiscal responsibility
· Changed the Annual Meeting from January to June to gain more member participation
· Installed WiFi
· Reviewing and negotiating vendor agreements and service contracts
· Brought payroll, accounting, and lawn care in-house
· Stepping up the social events and communication with members – Saturday coffee, weekly emails, monthly events
8. Priorities for 2011/2012
· #1 – Settle the Group 41 lawsuit
· Continue to monitor fiscal responsibilities are being met
· Long Range Planning – disciplined in what we need and how we rank our priorities. Document and put costs associated with them.
· Employee development – training of technicians and customer service. Make clear what is expected and have documented work plans and performance reviews tied to a variable comp plan. Strategic plan for succession of employees
· Board development – keeping a broad pool of talent with expertise.
9. Open Discussion
Russell explained the philosophy is now the Board is a “working” board vs. a “social” board.
Ultimate goal is to settle lawsuit.
Security issues were discussed. There have been a number of instances of individuals fishing, walking docks, and entering the pool area. A review of our current security vendor will be conducted. Recommendation to post signs the marina is private property for members only. Suggested a security camera be installed near the entrance to view license plates of vehicles entering the property. Until a plan is in place, members are instructed to call 911 should they encounter trespassers.
10. Closed Session
BMA staff exited the meeting to allow for a closed session of the members.
Motion by Russell, seconded by Steve to adjourn meeting. Meeting adjourned 9:25 pm.
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