Santa Fe Trail Ranch POA
BOARD MEETING
June 15, 2002
Sullivan Room, Trinidad State Junior College

Board Members Present: Ed Hockett Michael Hughes Rick Johnson Paul Miner Bob Santoro Mike Shelton Harriet Vaugeois Bill Wenstrom Jerry Withington

Absent: None   Also Present: Gail Thomas

Guests: Chuck Austin Rich Babnick Buddie Curro Jim Davis Gene Downs Dan Jondron Michelle Minion Elizabeth Polasek Francis Purswell-Montoya Peggy Obrey Will and Simone Potter Carol Rawle Mary Jo Shelton Tom Stephens Jennifer Mathews Walt and Joyce Wolff John Woods

1. CALL TO ORDER - President Vaugeois called this regular meeting of the Board to order at 9:02 A.M.
    
2. PROOF OF NOTICE - Gail Thomas gave proof of notice.
    
3. INTRODUCTION AND ROLL CALL - The president checked attendance and found all present except the secretary who arrived shortly.  She then recognized Chief Buddie Curro and Captain Rich Babnick from the Fisher Peak Volunteer Fire Department and turned the floor over to M. Shelton for the purposes of discussing issues pertaining to fire protection.  Mr. Shelton spoke of the danger of large fires coming on the Ranch.  He referenced three points for possible defense: 1) individual property defensible space; 2)completion of the water system, not just for drinking water, but for fire fighting; and 3) a desirable but possibly not practical fire break on the Southwest boundary of the Ranch.  Chief Curro on behalf of Fisher Peak V. F. D. voiced support for any measures the POA or property owners would take to mitigate the danger of fire.  He announced that the Department would be creating a map of homes that could be defended in times of fire.  Captain Babnick seconded all that had been said, and added that property owners on ridge tops especially needed to prepare ample defensible space.  Chief Curro concluded with a brief testimonial to Propanel roofs on homes citing a local home miraculously saved from destruction during the recent fires while all else around it burned.  President Vaugeois thanked the Chief and Captain for attending and promised to consider these issues during the appropriate part of the agenda.
    
4. DETERMINATION OF QUORUM - All members were now in attendance, so it was determined a quorum was present.
    
5. APPROVAL OF MINUTES OF PREVIOUS MEETING - B. Wenstrom moved that they be accepted.  The motion passed.
    
6. APPROVAL OF MONTHLY FINANCIALS - Treasurer, B. Wenstrom, noted that our emergency fund is strong and the budget is correct at this time.  Nevertheless, our traditional cash flow model has been to bill membership dues at the first of the year, and receive immediate payment.  The immediate payments have then been banked and accrued interest which bolstered our budgets each year.  This year payments were not immediate causing us loss of interest.  Meanwhile spending has accelerated in this calendar year.  The result is we are facing a cash flow problem in our action accounts.  Consequently, we must decelerate spending and pursue membership payment delinquencies.  We have already sent warning letters, so the next step is to file liens on properties.  R. Johnson moved that the POA file liens on the delinquent properties consistent with established policy.  The motion passed.

   Mr. Wenstrom insisted that if the project is not essential, we must postpone or delay it, so we can pay essential bills.  He observed that the authorization to move accounts he received at the previous meeting had not met with the success he envisioned.  The POA's accounts were transferred to First National, however, the cash flow problem prevented him from moving funds to short term CDs.  Thus the opportunity to gain interest was lost and interest earned to date is lower than projected.

   J. Withington moved that the financial report be accepted.  The motion passed.

7. OLD BUSINESS
    
   1. Committee Reports

      Covenant Committee - M. Shelton reported that the committee had met three times since the last meeting.  They are working on the following issues:

      1. The committee prepared a sample ballot for Board feedback and approval.  The ballot proposes a change to Article VII Amendment to the Declaration whose wording hinders change in any of the Articles.  The proposed changes would A) remove the requirement of having the mortgage holders vote on Covenant changes, and B) change the required percentage of property owners required to approve an amendment to 60% of those who vote, rather than 60% of all property owners (which is virtually impossible to gather even in the best of circumstances).

         Discussion indicated there was need for clarification about the required quorum necessary for the voting to be valid.  The Covenants state that a quorum at a meeting is 30% of the property owners.  Therefore, the proposed change would read, that an amendment to the Covenants would pass with a favorable vote from 60% of property owners who vote, as long as the total number of votes cast equals 30% of all owners.

         The voting would begin at the 4th of July picnic and conclude at the annual meeting.  Allowing early and absentee balloting would provide the Covenant Committee time to contact non-voters prior to the Annual Meeting.  Hopefully, in this way, the necessary quorum for Covenant amendment could be achieved.

         Regarding the elimination of mortgage holder voting, committee members needed to research current mortgage holders to get the necessary votes (66 2/3%) from them for the proposed change.  Committee member, Carol Rawle did half the research with an email campaign that brought positive results.  M. Shelton completed the research at a local title company where such information is public record. they discovered there are 449 individual properties.  281 (62%) have no mortgages.  The largest mortgage holders in order are: Baldwin, First National, Century Savings, and Community First.  When their combined mortgages are added it accounts for 70% of the total.  This group, then, is the focus of the movement to gain mortgage holder approval.  The remaining mortgages are held by 37 out-of-town institutions and 11 individuals.

         Mr. Shelton also revealed that Michelle Minion had suggested an incentive award drawing to accompany and stimulate the voting, but the details of such a drawing had not been finalized.  Michelle felt that if it took incentives to get owners to assume their responsibility, then it was worth doing.  The long hours and hard work given by the committee is lost, if the owners do not do their part and vote.

         Since the committee needs to revise and produce a finished product before the next Board of Directors' meeting, R. Johnson moved that the Covenant Committee be empowered to make final decisions about the covenant change ballot.  The motion passed.

      2. The committee also developed a conflict resolution procedure to help property owners resolve conflicts based on infractions of the Covenants.  After some discussion B. Wenstrom moved to approve the infraction resolution procedures.  The motion passed.
          

      Emergency Services - R. Johnson announced that he had appointed Michelle Minion as a co-chair to act when he is off the Ranch fighting fires.  He reported that the committee was considering discussion on the web site about general instruction to Ranch residents about fire-fighting, but no decision had been reached.  The committee has, however, definitely decided to have a committee table at the Ranch picnic to provide information.  He indicated that the committee will be placing 37 no-outlet signs around the Ranch.  They will cost about $500 plus the cost of poles.  The signs are a minimal 12½ X 12½ reflective yellow.

      The audience had many comments and observations for the Emergency Services Committee.  Mary Jo Shelton, expressed her astonishment and consternation that during the recent fire alert when she watched the front gate so many people were coming authorized on the Ranch, but without any knowledge of our rules.  This was a threat she wanted the Emergency Services Committee to be aware of and prepare for possibly requiring owners to educate their guests on the rules.  Others offered equally disturbing encounters that weekend at the front gate with authorized and unauthorized visitors.  Michelle Minion called for improved signage, and recounted how she recently spotted and confronted trespassers on Tom Stephens property.  Mr. Stephens expressed his gratitude to his neighbors for reacting, but his overall dismay about the event.  He demanded to know if the Board intended to prosecute these offenders.  Mr. Johnson agreed to talk with the Sheriff's Office with the intention of prosecuting them.  Guests in the audience then asked about alternative exits to the Ranch which have also been discussed recently on the web site.  Jim Davis responded by giving a history of the issue explaining there is an arrangement in place with the BNSF Railroad for emergency access to Exit 2 through Morley, but all other possibilities are dangerous as well as not practical or not allowed.  Mr. Davis plans to write the history and place it on the we site, but essentially the issue is closed.  Walt Wolff added that he and Dennis Scott had reviewed the locks at Morley and the findings were posted on the web site in the latest Emergency Services Committee meeting report.  Captain Rich Babnick mentioned the desirability of providing a gate watch over the 4th of July weekend.  Mr. Johnson agreed, and said it would be arranged.  B. Santoro pointed out that outside agencies have been parking on the Ranch.  When working in the vicinity DOT is parking its equipment on the Ranch to protect it.  Authorization to do so was obtained from Carl Putz when he functioned as the Ranch's security.  Mr. Santoro was asked to obtain a letter requesting permission and a waiver of responsibility.  In turn, we would allow continuation of their parking.  Mr. Santoro also observed BNSF Railroad vehicles on the Ranch.  It was agreed this was permissible given the gentleman's agreement the Ranch has with BNSF for emergency use of the road at Morley.

      Common Area Committee - M. Hughes indicated there was no report.  A Road Committee report is on the web site and the fencing project will be discussed later in the meeting.

      Communication Committee - H. Vaugeois reported that the committee had stopped meeting in April.  The web site is going well, and is in capable hands.  The committee had originally intended to add an area to the web site called the construction connection to aid people building on the Ranch.  As it developed, the idea did not seem to as useful as first thought.  The project, then, has been set aside at least for the time being.  There is no new information about the coming elections.

   2. Legal Counsel
      M. Shelton reported that in his investigation he could not find any local lawyers with POA experience. Some were willing to do the work provided we would pay them to get up to speed on the issues. Therefore, he recommended that we retain our current lawyer, John Mitchell, and use Dennis Malone when needed.
       
   3. Conservancy Contract
      After performing a wildly jubilant song and dance which amazed those assembled, H. Vaugeois reported that the Conservancy Contract was finished. Some language without practical application had to be included out of legal necessity. Otherwise, all is well.
       
   4. Water System Update
      Jim Davis on behalf of the Metropolitan Board announced that in the preceding week completion work on the water system; and the drafting of a legal complaint against OPEC, the bonding company, and a couple of John Does had begun. Schrepfer Industries was chosen for the completion work from five bids. They were chosen because they have a chlorinator, can do hydrostatic testing, and have equipment and crews locally. They started by installing a chlorinator on our side of the meter pit at the Holiday Inn. They will work up to tank 1. Once they have leak tested, sanitized, and received certification from the Health Department, they will move on to the next section. They plan to get Health Department assistance on the work areas. When a section has been certified individual meter pits can be installed, and property owners can hook up to the system. The contractor will be holding weekly meetings to explain progress, and these reports will be posted on the web site. They plan to install additional meters to help determine leakage sites. There are two main leaks up to tank 1. Mr. Davis announced that the Metropolitan Board expects to levy fines of $20,000 on property owners with illegal direct taps into the system very soon. He alerted property owners that when they see cones marking a work area they should keep out, and not disturb the workers.
       
   5. Fencing/Boundary Survey Proposal
      B. Wenstrom reported that the construction of a four strand wildlife friendly fence (no barbs on top and bottom strands) had started on the Western boundary of the Ranch.  Unfortunately, the fire danger prevented it from getting very far, and the assistance of Vermejo Park Ranch disappeared with the necessity of fighting fires.  Both Terry Surveying and Roybal Fencing did not want to incur liability and stopped work.  About $8,000 has been committed for materials and another $4,000+ in retainer fees for the surveyor and fencer.  Most of this can be recovered.

      When asked about the Rancher who has the grazing rights to the Ranch J. Withington indicated that he has still not made a final decision about bringing cattle.  This brought up the question about whether the fencing project had been procedurally correctly approved by the Board at a meeting.  The question, however, is moot, since the project can not continue.  For the official record, though, E. Hockett moved that the fencing project be tabled and the treasurer authorized to seek refunds on the amounts spent.  The motion passed.

8. NEW BUSINESS
    
   1. Fire Protection - Proceeding on the discussion at the beginning of the meeting, M. Shelton moved that an Ad Hoc committee be set up with the title of the Fire Protection Feasibility Study to explore measures that could protect the Ranch from fire danger.  It would be charged to report findings by July 13, 2002.  The motion passed.  Mr. Shelton was assigned the task of supervising committee progress.  Committee members should include Gene Downs, Walt Wolff, and Bill Wenstrom.  At this point, E. Hockett expressed his concern about property owners who want to fight fire on their own and use "secret" escape routes.  Both of these are inherently dangerous, and could cause distractions that would prevent effective and efficient fire fighting by the right authorities.  If someone wants to learn how to and help fight fire, they should contact Fisher Peak V. F. D. and offer their services.  Otherwise, the most helpful things property owners can do are: 1) read and become familiar with the Ranch's emergency plan, 2) attend their Area's meetings to know what is expected of them in an emergency, 3) call 911 immediately when they detect/suspect a fire, and 4) above all, not endanger themselves, thus creating additional problems.
       
   2. Town Meetings and Annual Meeting - H. Vaugeois announced there will be town meetings for Ranch property owners on the evenings of Friday, July 5 and Friday, October 18.  It is expected they will take place at Massari Auditorium on the Trinidad State Junior College campus.  The annual meeting for property owners will be Saturday, October 19 at Massari.  Directors are expected to attend all these events, and bring notebooks to pass on to new officers.  The agenda of the annual meeting will be finalized the week before.
       
9. FROM THE FLOOR
    
   1. Peggy Obrey asked if the spending restrictions advised by the treasurer would prevent her from installing a Guest Parking sign already purchased and having pedestals for new mailboxes poured by Leone's at no charge with all labor being donated.  The Board responded that she should proceed.
       
   2. Will Potter announced on behalf of the Directors of the Fisher Peak Fire Protection District that the investigation of the placement of a fire sub-station on the Ranch had been tabled.  There are just too many other pressing concerns at the moment.
       
   3. There was a general complaint about property owners who are leaving inappropriate items at the trash receptacles.  Please take the responsibility to dispose of these items yourself, and not pass the task on to another good-hearted property owner.
       
   4. ADJOURNMENT - B. Wenstrom moved that the meeting be adjourned.  The meeting adjourned at 12:35 P.M.

NEXT MEETING - Annual property owners' meeting 9:00 A.M. Saturday October 19, 2002 at Massari Auditorium on the Trinidad State Junior College campus.

Submitted by Ed Hockett, Secretary, June 21, 2002