CORCORAN MEWS CONDOMINIUM ASSOCIATION

Annual Meeting
September 13, 2006

Attending:
Board Members:
Kassie Lynch – President
Jeff Hertrick – Treasurer
Wayne Maffett – Member-at-Large
Salman Anees – Secretary

Owners:
Chris Clayton

Property Management – Tilton Bernstein Management:
Cheng Sithole – Property Manager (202-232-5247 ext. 21)

CMCA Attorney:
Mike McGovern

Proxies:
Ana Iparraguirre Tom Spiers Christopher Aden

The meeting was called to order by President Kassie Lynch at 7:15 PM in St. Thomas’ Church, corner of Church and 18th Streets, Washington, DC 20009.

Determination of Quorum

Cheng Sithole (TBM) and Mike McGovern (CMCA Attorney) announced that we had a Quorum.

Last Year's Minutes

Wayne Maffett made a motion to waive the reading of last years meeting minutes. The motion was seconded by Chris Clayton. The motion held and the reading of the minutes was waived.

CMCA Attorney's Comments

The President called on Mike McGovern to address the meeting on the governance of CMCA and the rights and responsibilities of CMCA shareholders. Mike spent a few minutes describing the evolution of the condominium structure in Washington, DC. He explained that a condominium is incorporated via contracts between shareholders. The contractual relationship is governed by the condo association's Declaration, By-laws, Rules and Regulations and the DC Statute. Mike clarified that when it comes to adherence to the rules of the association, shareholders cannot be compelled in their individual capacity to behave one way or another but action could be taken on the property itself if the owners were in noncompliance with their contractual obligations. Therefore, for example, if owners fail to pay condo fees according to the rules of the association, the Board could take steps to collect such dues by taking out a lien on the property. Similarly, the association has rights of entry in case some units need attention in the owner’s absence. Failure to adhere to rules of an association can lead to a breakdown and that is why the collective rights of the association are protected by the contract signed by an owner when becoming part of the association.

Management Report

Cheng announced that he met with TASCO representatives to discuss inadequate water treatment services that have affected air conditioning operations in the past. He has talked of securing reimbursement of payments made for these services. Mike McGovern has recommended a settlement without legal recourse in this case. The Board agreed.

Cheng also mentioned that the AC operations were affected recently because of wear and tear. Noyes is working on it and the repair costs will be under $4,000.

CMCA has started receiving contributions from neighbors for costs associated with the recent damage to the elm trees. Kassie indicated that Corcoran Row (neighboring association) might contribute $1,000.

The work on the concrete slab in the alley and the fencing near the dumpsters is expected to start soon. Costs for the slab work are expected to be under $1,500.

Cheng mentioned that Corcoran Mews now has a web page on the TBM site. It can be accessed at http://www.tiltonbernstein.com/properties/corcoran/

Cheng informed the meeting that CMCA has received two estimates for exterior painting ($30,000 and $19,000). A decision on the contract will be made later.

Reports from Officers

• Treasurer's Report
  Jeff announced that condo fees for 2007 are expected to rise by 2.5 to 3 percent. Even though we have had some increased expenses (trees, HVAC), we still expect the fee increase to be in that range or just above it. Cash reserves are at about $120,000. This is a historic high although it will decline once the exterior painting costs are taken into account.
  • Rat Report
    Wayne mentioned that the rat problem has abated and it seems that the rodents have moved closer to 17th street.

Discussion from the floor

• Chris Clayton asked about tree pruning expenses. Kassie explained the improvements made and the safety procedures being followed. Chris Clayton talked about his experience with the recent storm in which his car was destroyed by the fallen branch of the "Jackson elm." Salman asked if CMCA was liable for damage due to the trees. Kassie and Mike clarified that the association could not be held liable if reasonable actions had been taken to secure the trees. Based on his consultations with his insurance company, Chris also agreed with the view that CMCA cannot be held liable if property damage occurs due to falling elm braches.
• Chris suggested an amendment to "move-in/move out" fees. He suggested that for those owners moving into units that can only be accessed from the alley, perhaps the fees could be lower since the use of common property is less in those cases. Kassie explained that such costs are not just meant for use of common property or potential damage but for other matters as well (administration, intercom service etc.). As in other such cases, everyone pays the same fee.

Election of members to the Board of Directors

Wayne moved the motion to election. Salman seconded the motion. There were three vacancies (the positions of Kassie, Tim Foley, and Jeff). Four candidates declared candidacy (Kassie, Tim, Jeff and Ana Iparraguirre (via phone). By acclamation, the existing office bearers were reelected to their positions.

Adjournment

Wayne moved the motion to adjourn. Salman seconded the motion.

Motions

• A motion to waive the reading of last years meeting minutes
  Motion by: Wayne Maffett
  Second by: Chris Clayton
  Vote: 4-0-0 Board
  Vote: 1-0-0 Owners
• A motion to adjourn the meeting
  Motion By: Wayne Maffett
  Second By: Salman Anees
  Vote: 4-0-0 Board
  Vote: 1-0-0 Owners

Submitted by:
Salman Anees
CMCA Secretary