Annual Meeting – 5/26/2018
MINUTES NORTH SHORES ANNUAL MEETING
Saturday, May 26, 2018
Call to Order and Quorum
The North Shores Homeowner Association Annual Meeting was called to order by President Bruce Wilson at 10:12 a.m.
President Wilson welcomed the members of the community and thanked them for their participation by attending the meeting. He then introduced Board members Debbie Director, Helen Hoart, Louisa Hollman and Paul Salditt, acknowledging their contribution and thanked them for their work over the past year. Also introduced were: Lee Stewart, head of security; Steve Houston, Property Manager; Maureen Brown, beach club manager; and Linda Travers, office manager. Bruce explained that Linda Travers had joined us as office manager in 2016 and would be retiring.
It was established that a quorum was present for the meeting (43 represented by proxy and 85 represented in person), allowing business of the community to be conducted at the meeting.
Minutes
Draft minutes of the May 27, 2017 homeowners meeting were mailed to the homeowners in April, included as part of the Annual Report Package. They were also available for review on the community’s website. President Wilson opened the floor for comments on the minutes. A motion was made and seconded, to accept the 2017 Minutes as submitted. The motion was passed unanimously.
President’s Report
President Wilson began his report by remembering Dan Anderson who passed away earlier this spring. The Andersons were founding members of the community and Dan’s absence in the front row was a poignant reminder of Dan’s many contributions to the North Shores community.
Capital Projects
North Shores continues to be well capitalized. This spring the first phase of a multiyear
paving program was completed in the central part of the neighborhood near Harbor Road and Rodney Street. More paving is expected to be completed in September this year. President Wilson reported that our aging roads have lasted well but need to be resurfaced before cracking that can be seen now in the pavement undermines the subsurface. Weather last autumn delayed the resurfacing of the central part of the community until a few weeks ago.
Drainage work, as reported last year, will be undertaken by DelDot, to replace the collapsed culvert at the east end of Cedar Road and the intersection of Ocean Drive. The State of Delaware’s assumption of responsibility for the project relieves North Shores of the expense for the project, but President Wilson explained that there is no control over the scheduling of the work.
President Wilson informed the community that preliminary planning of the long-delayed design and construction of the new maintenance building would progress in the upcoming year.
North Shores Website
President Wilson encouraged homeowners to explore and use the new website that was developed over the offseason. He further explained that community related information for announcements, construction, events and beach set-up could be found on the new website. The Board continues to increase its reliance on the website for communication to homeowners, and he encouraged homeowners to become familiar with the new site. He thanked Debbie Director, Tom Bason the North Shores IT consultant, Helen Hoart and Louisa Hollman for their guidance and insight on the project.
Office Manager Replacement
President Wilson explained the Board is reexamining the staffing needs of the community in coming years with the retirement of our current office manager. The community is considerably larger and more complex: property transfer transactions and construction applications continue at a torrid pace. By way of example, in the last 12 months, the Board had processed 21 construction applications and almost as many property transfers. Managing the growing and complex nature of the construction and property transfer processes represents a significant amount of time for the Board and office. The increase in seasonal rentals and the management of access to North Shores amenities by tenants, as well as coordination with local realtors for parking and website content, comprise a significant staff and Board commitment.
In response to the growing administrative demands of the community, the Board decided to retain a property management company on a one year trial basis. President Wilson explained that after reviewing property management companies, the Board selected Legum & Norman, a mid-Atlantic affiliate of nationwide property manager Associa. Their management responsibilities will be limited to the office and there are no plans to change the operation of the beach and pool crews under Maureen Brown’s supervision. We will continue to rely on Phyllis Donovan as our bookkeeper and Steve Houston in our maintenance and construction inspection role.
President Wilson further explained the Board’s responsibility to the community to provide for business continuity. The Board believes that running the community and administering the North Shores architectural covenants requires more human resources to support our single employee Rehoboth office. A professional management company provides both the dedicated staffing resources North Shores needs in conjunction with the offsite property management resources to assist with both the day to day operations and long-term planning. The involvement of a professional management company and the expansion of our office manager role to a full-time employee will likely add some additional payroll costs to the community’s operating budget, but the Board’s judgment is that these additional costs are justified by the improved services and greater workload in the office in recent years.
Treasurers Report
Treasurer Helen Hoart reported that the current budget continues to take into account all community needs that are foreseeable. The 2018 Budget included: capital improvements; the purchase of two new mules; and neighborhood social events; while continuing to keeping the North Shores Assessment at the same level again this year.
President Wilson thanked Treasurer Helen Hoart and bookkeeper Phyllis Donovan for their effort. He reported that the North Shores office air conditioning system was replaced a few weeks ago and had not been included in the budget planning. He then invited comments and questions on the current budget. There were no comments or objections and by a show of hands the budget was ratified.
Security Report
Lee Stuart, the North Shores Security Supervisor, reported the offseason had been quiet with no reported crimes. He responded to a homeowner question about the use of drones. President Wilson responded that many communities face this issue and that North Shores would study the subject. Homeowners should be aware that fireworks are prohibited in Delaware and urged homeowners to call Security and report the address, Delaware State Police will be notified if necessary. Lee Stuart reported there had been some vandalism to a mailbox on Ocean Drive again this year. Lee also reported the security force continues to enforce construction hours within North Shores on the many houses currently under construction. He also reminded homeowners with golf carts that a valid driver’s license is required.
Bath and Tennis
Maureen Brown, Bath and Tennis Manager, welcomed homeowners back on a beautiful Memorial Day weekend. She reported that the pool was heated and pool passes were available for pick up at the pool office. Many lifeguards returned for the season with a few additional new hires. The beach is guarded every day with a full staff until school starts, when there will be a reduction in the number of stands. There was some homeowner interest in keeping the pool open during the month of September. Maureen reminded homeowners that credit cards are the preferred payment method. Resurfacing and striping of the pool parking lot has defined the basketball playing area. Pool hours remain the same again this year with some minor adjustments in the closing time at the end of the season. Dogs are permitted on the beach after 6 p.m. and in the morning before beach set up. There is no surf fishing from 10 a.m. to 5 p.m. Maureen encouraged homeowners to use the website for beach equipment set-up. Beach Supervisor Rich Lantz will be monitoring the beach again this year.
Beach Report
President Wilson reported the beach has enjoyed the benefits of a relatively uneventful winter offseason. There were very few storms that caused beach erosion and the beach received an unusually large amount of sand over the winter from the natural south to north currents.
The dune and beach grass have recovered completely from the storms of 2016 that caused damage requiring dune restoration. The sand fence installed in 2016, was almost completely buried the entire length of the beach, with the recovering grasses growing out onto the beach past the fence line. A new sand fence was installed last week to protect the dune and to serve as a sand magnet to attract sand build up onto the dune.
Architectural Review
Head of Architectural Review, Paul Salditt, reported that construction applications reviewed over the past year continued at a high level historically again this year. Not all construction projects were new homes but with few undeveloped lots left in North Shores, many older houses will become tear downs in the near future, advancing the rate of new home construction. Paul highlighted some ARC requirements: no bedrooms are permitted below the base flood elevation; new construction plans must be accompanied by a preliminary drainage plan at the time of application; and construction involving covenants should be submitted for review. Drainage continues to be one of the most important factors in the approval process, primarily because of larger roof areas in new construction and the reduction of the permeable lot area.
Election of Directors
The next item on the agenda was the election of one director, Secretary Debbie Director, whose term had expired this year. President Wilson thanked Debbie for her past work and for agreeing to serve another term.
The motion was made, seconded and unanimously approved, for election of the candidate.
New Business
Common Area Parking
President Wilson reported, North Shores common property used for parking along Holly Road, through an agreement with 21 Ocean Drive HOA, has been extended to allow for deeper angled parking spaces, an area approximately 4 feet along the length of the parking area. This will provide a wider road way and improve pedestrian safety in a busy area.
Lawsuit
President Wilson responding to a homeowner question regarding the status and cost of the lawsuit brought by a North Shores homeowner, reported that the legal representation to defend the community had been approved by our insurers. He explained further that if the case should go to trial, the Board will alert the community. Demands for financial and payroll records, including payments made to Maureen Brown, as well as documents dating back to the 1950s, were not supported with a proper purpose and the Board has filed a motion to dismiss the suit. Documents concerning the case are available with the court as a matter of public record.
Storage Garage
President Wilson addressed questions from Villas West homeowners on the possible relocation of the current storage shed used by the beach and pool staff, indicating alternate locations should be considered for a replacement structure. He continued by explaining that there would be transparency on the location and site plan options would be sought from a professional site planning firm. Comments will be taken into account during the planning phase but he cautioned that there would be no design that did not affect some HOA group.
Rehoboth Outfall
Responding to a homeowner question, President Wilson confirmed that that outfall was now operational. North Shores plans to begin water sampling this summer, consultants are being considered but one has not been retained at this point.
Drones
President Wilson was asked by a homeowner about the North Shores policy to manage the growing use of drones during the summer months. President Wilson will assign the policy development to the Board’s attorney that would include privacy and nuisance provisions for their use.
Pool Hours
A homeowner inquired about extending the operation of the pool into September. President Wilson indicated the request would be evaluated.
There were no further questions or comments, President Wilson thanked everyone for their interest in the community and attendance at the meeting.
President Wilson acknowledging the meaning of Memorial Day, remembered Army Master Sgt. Jonathan J. Dunbar, a Delta Force soldier that was killed in Syria on March 30, 2018 on a mission to capture an ISIS leader.
The meeting was adjourned at 11:17
Respectfully submitted,
Deborah M. Director
Secretary