INDIAN LAKE CLUB, INC – Indian Lake Estates
Board of Directors Meeting
August 9, 2014
The meeting was called to order at 7:59 am.
Presiding: Everett Bedenbaugh
Attending: Susan Sciullo, Treasurer; John Pappas,
Via Teleconference: Dick Hennig, Vice President; Michael Gould; Barbara Pence, Secretary
Absent: Julie Coggins
Community: Bill Gifford, Frank Campbell
Foreclosure Law Update
1. Bill Gifford addressed the Board regarding foreclosures, liens and the best plans of action the Board could
take regarding properties with significant assessment debt. He explained the process of foreclosing on
properties, responsibility of the Board to maintain fiduciary responsibility to the community, responsibility of the
community and loss of revenue if liened properties were deeded back to the community, legal fees involved, and
actions which could be taken by the Courts and Real Estate Tax liabilities for community owned property.
2. Discussion concluded that we should have some consistent action so homeowners with unpaid
assessments would have consequence, knowing property would be at risk for nonpayment.
3. Susan discussed the possibility of adjusting our By-laws to assure we have protection for past due
assessments. She also suggested we need to negotiate directly with homeowners with large past due balances.
4. Bill will help Susan follow up where papers have been filed and status is unknown.
5. Bill advised he would be available for any questions we have going forward and the Board thanked him for
his expertise.
President’s Report
6. President is still checking into options of mirrors at blind curves and signage giving reference to our website
at the real estate information box at the entrance. He will advise the Board at the next meeting.
June Meeting Minutes
A motion to approve the minutes of the June 5 meeting was made by Susan, seconded by John; the minutes were
accepted.
Treasurer’s Report
7. Susan reported Accounts Receivable at the end of July are $96K, of which $73K is due from properties
which are liened representing several years of outstanding payments and interest. The remaining amount is
current and is being paid through installment payments.
8. Homeowners who have not paid this year or set up installment payments will be contacted by Susan by
phone as several statements have been sent with no response.
9. The asphalt loan balance is now at $22K with a quarterly payment made at the end of July; the original
principal amount was $80K.
10. At the end of July net income is $44K, Assessment income is at 87.3% of budget (excluding payments
received from building impact fees). We have received $7K in building impact fees but still need to collect $16K in
assessments for the year.
11. Susan advised with exception of general and winter maintenance expense, expenses are running close to
or under our budget for the year.
12. Dick moved to accept the Treasurer’s report; the motion was seconded by Michael.
Secretary’s Report
13. Barbara reported that the Leblow house has been sold at auction to Bruce VanderHeide from Columbia,
SC.; the closing is set for August 15.
14. Unauthorized use of canoes and kayaks have been reported on the lake over the past few weeks and a
homeowner has requested we place a sign at the canoe rack that boats are for use by owners only. Everett will
look into signage.
15. A motion to accept the Secretary’s report was made by John and seconded by Susan. The motion carried.
Committee Reports:
Water:
16. Dick reported water is good with the exception of a problem with a relay switch at the Toxaway Well
causing low pressure and some brief loss of water. Aubrey should have it fixed by the first of the week. Frank
Campbell will monitor.
Roads:
17. Everett received a paving proposal from Harrison Construction Company, it was reviewed by the Board
and a decision was made to contract for paving of Upper Hiwassee Road, above Five Points, – 380’ at $9520,
Rainbow’s End – 370’ at $9380 and Indian Lake Road below Mohawk Lane – 250’ at $6300. Total cost is $25,200.
18. Contract was signed and paving should begin last week of August or first week of September.
Lakes and Dams:
19. The fish population is strong. Catch and keep policy now in place.
20. There has been recent removal of river otters; a beaver has made a home on Hollar property. Andy Mull
will set a trap.
21. John advised Bartol and Godbey still need to deed property that is part of the dam to protect their liability.
22. Emergency Spillway repairs preliminary plans have been completed by Ed Medlock Engineering. Medlock
is meeting with Uretek (the polymer foundation repair company) next week to discuss. Everett will try to attend the
meeting.
23. Progress has been slow, but John will continue to stay on top of this project.
24. We also need to address the road repair. John has two bids and Frank recommended Wilson
Construction and Excavating who did an excellent job repairing erosion problems at the Coggin home. John
advised that the Whitmire bid included repair of the road and restoring road after repair as well.
25. John advised we need to determine how much work needs to be done as most of the problem is erosion.
26. Everett suggested that in the future this road should be maintained as a part of our general road
maintenance.
Architectural Control:
27. Michael advised the current construction on the Acierno home is proceeding well and the builder has
been communicative and cooperative.
28. The Browns have paid their impact fee, but have not submitted a complete application for the ACC to
consider. Michael will follow up.
29. Michael advised the Dick Endicott and Paula Markert will be leaving the ACC, and Chris Bartol and John
McClung will be coming onto the committee.
Nominating:
30. Frank advised the biographies for the Board members are in and have been given to the Secretary.
Ballots will be due in by September 2 and a meeting is set up to count the ballots.
Beautification
There was no new activity in Beautification to report at this time
Old Business
Assessments on improved/unimproved lots and 2015 Budget
31. The Budget committee, consisting of Susan, Everett, Don Hair, Jeannette Lee, and Gerry Gawronski has
presented two scenarios (with variable fee structures) for the 2015 Budget of $115K.
32. The committee also agreed that we should have $75K in our reserves as our spending over the past
several years has been $70K-$74K every year.
33. A motion was made to approve the 2015 Budget. Michael made the motion, John seconded, the Budget
was approved.
34. The Board has full fiduciary responsibility and authority to determine the annual budget without a
community vote. But due to a change in the fee assessment structure, discussion ensued regarding a vote from
the community. A vote was taken to determine if the rate assessment options for 2015 be taken to the community
for a vote. All voted against this action with the exception of Dick and Susan.
35. A second vote was taken and it was unanimously agreed that the budget would have two different
assessment rates for improved and unimproved lots.
36. Susan made a motion to go with the Budget for Split Assessments of $984 for improved lots and $840 for
unimproved lots. John seconded, the motion was approved. Everett will notify the community in his upcoming
newsletter
Review of Secretary/Treasurer and Audit Letter
37. Everett highly commended Susan’s work on the financial records for the past 3 ½ years.
38. The Audit letter stated the financial records of ILE have never been better.
39. Everett moved Jeannette Lee be approved as the new Treasurer, John seconded and the motion was
approved. The effective date of Jeannette becoming treasurer is September 6, 2014.
40. Everett also thanked Susan for her help with the transition of Jeannette Lee to the Treasurer position.
41. Everett thanked the Secretary for her help this past year.
New Business
Architectural Control Regulations
42. Michael discussed changes made to the ACR were to make things consistent and not arbitrary.
43. Everett stated that the use of permits seems to be a grey area. Michael agreed and advised that property
owners should obtain approval of the ACC before making any changes to their property. Michael will write a
paragraph explaining permit requirements to be included in the President’s newsletter.
44. Everett thanked the ACC for their hard work and for monitoring the work being done.
45. A motion was made to accept the changes to the ACR by John and seconded by Barbara.
The motion was approved.
Review of Documents:
46. Dick advised the Water Policy looked good.
47. Barbara questioned whether the wording of Covenant 13 regarding burning debris was consistent with the
ACR. Everett will look at it and will discuss at the next meeting.
48. By laws were not discussed in Julie’s absence.
Annual Meeting
49. Everett will work with Board members on information needed for the Annual Meeting.
50. The secretary will have the ballots and Annual Meeting information sent by the end of the week
Other
51. Michael brought up the previous conversation regarding making all documents available electronically.
Ed Tisdale advised that working with an outdated computer and documents from different operating systems made
that difficult. The Board will study options and discuss at the next meeting.
There being no further business a motion to adjourn was made by Dick and seconded by John. The meeting was
adjouned at 10:00 a.m
Next meeting will be September 6, 2014 at following the Annual Meeting at 10:00
_______________________________________ ___________________________________________
Barbara Pence, Secretary Everett Bedenbaugh, President