Board Meeting Minutes – December 18, 2013
Bayport Marina Association
Board of Directors Meeting Minutes
Marina Clubhouse
December 18, 2013
Board Present:
Brad Baune
Sandor Csallany
Morgan Fudge
Val Fuller
Michelle Lemanski
Jim Mondry
Steve Paquette
Eric Pederson
Amy Tolbert
Meeting called to order at 6:35 pm by Commodore Morgan Fudge. Confirmed a quorum was in attendance for approval of business items.
Board Meeting Minutes
Motion by Brad to approve the November 20 Meeting Minutes as presented, seconded by Val. Unanimous approval of Minutes.
Financials
Steve reviewed handout given at meeting. Key points: The year-to-date income is $66k under budget. This is due in part of the gas dock sales being down for the season. Expenses were $29k less than budget showing a better control of expenditures. It was also noted the $50k lawsuit settlement was not included in the Budget. It is anticipated to end the year at a positive (excluding depreciation).
2014 Budget
Morgan informed he, Eric, Kathy and Cliff had a teleconference with Jamie our consultant with Foley Kalseim CPAs regarding the reporting of the BMRP. It was her recommendation to run the project through the Budget by capitalizing and depreciating. A separate spreadsheet will be updated each month to break out the detail of expenditures and any reclaim of wire, pedestals and deck boards.
Acct #63000 Repairs & Maintenance includes $100k for floats. All new floats have a date plate on them. A mapping system has been created for future replacement.
Acct #67900 includes a new server.
Question was asked what narratives need to be sent with the Budget to the Members. Brad stated there should be a notation on how the project has been addressed in the budget i.e. project depreciation, loan expense, etc. Recommendation made by Amy to remove all the zero accounts on the Budget before sending and thus avoid any confusion. Morgan reiterated votes can be received via fax, email or mail.
Motion by Brad to approve Budget with understanding a narrative with respect to Project be included. An additional narrative will be prepared and available upon request for members wanting more detail. Motion seconded by Michelle. Unanimous approval.
Dock Progress
Cliff informed the crew are currently working on the fingers. All the lumber on the fingers is being removed to allow for welding. All the pedestals, wiring, and plumbing have already been removed. One and one-half trailer loads of wire were brought to recycling center and $30k has been reclaimed from the copper. Pedestals have been sold to other marinas – upgrade for them.
Mike and Scott have built a drill press bench using three $300 drills. Scott built the bench and mounted the drills. The cost savings of building vs. purchasing a manufactured press was $3,000-$5,000. There will also be a significant labor cost savings to the project with this drill press bench. Recommendation by Amy to put a picture of the bench in the Marker 19 to show the contribution of cost savings and productivity as a result of employee initiative.
Bob from Allied Waste along with a representative of a landfill inspected the used floats for disposal. They determined they were not interested in the floats for recycling. Due to the inside being full of water, they are unable to break them down or recycle the plastic. They estimated it would cost $4,000 to remove the used floats currently onsite. Cliff and Mike were instructed to fill the dumpsters every week with the floats to get rid of as many as possible before spring.
Floats
There was a 4% price increase since last order. Cliff proposed an order of 542 floats (3 semi-loads) at a cost of $63,709. One load would be received in each of the months of January, February, and March. There would be 30 day terms from delivery of each load. The company has agreed to a volume discount of $110/ea. Motion by Amy to proceed with the plan to purchase floats with the 2013 pricing. Seconded by Val. Unanimous approval.
Tore Detlie
Morgan received a letter by Tore requesting access to the Service Building by himself and Dan Aldridge after hours and on weekends. Michelle expressed her concerns over the insurance liability and OSHA risk if this was allowed. She also stated Dan Aldridge is a subcontractor who we don’t receive any revenue from like all other subcontractors. In rebuttal to Tore’s claim he was allowed to do in the past, Michelle stated there were a number of things that happened under Marsh’s rein that were wrong. She reiterated the number one issue is what the insurance company’s viewpoint would be with this practice. Morgan stated he also did not like the idea of someone being in the service building after hours, but that he also understood Tore’s position. Val stated the Board Members are the voice of the owners. After getting through a lawsuit with Group 41, the Board should avoid any practices that could potentially result in a lawsuit. Brad made the recommendation to table discussion until January to process information before making a decision. The Board needs to take time to research and gather all information before making “policy”. Brad instructed Cliff to talk to insurance company and legal counsel and determine ramifications. Cliff will also response to Tore and inform we are researching and will provide an answer in January.
Name Change Proposal
Refer to Sandor’s Memo, specifically #3. Although Members present saw merit in the idea, there needed to be more research as to the cost associated with the name change and what the other Members felt about the change. There were also concerns regarding the increased traffic the “Yacht Club” would create i.e. would boaters come from other clubs to use the pool? However, the Club could be a potential revenue center. Consensus was to take a month to absorb the information provided by Sandor, do more research, and figure out a way to facilitate a Club at the Marina. The recommendation was made to put together a survey to membership and gather their take on the idea. To prevent any disruption of the Budget Vote process, the survey will be sent out to the membership the end of February.
New Business
The Board recognized and thanked Kathy Curtis for her time with Bayport Marina.
Closed Session
Meeting adjourned at 10:00 pm.
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