STONEY BROOK HOMEOWNERS ASSOCIATION
2007 ANNUAL MEETING
JANUARY 30, 2008

SAMUELS ELEMENTARY SCHOOL
3985 S. VINCENNES COURT, DENVER, COLORADO

APPROVED BY MEMBERSHIP JANUARY 27, 2009

Board Members Present: John Cowan, President; Virginia Schneider, Vice-president; Donna DuHadway, Secretary; George Fischer, Treasurer; Bob Austin, Director; Pat Bains, Director; and Brien Gidlow, Director.

CALL TO ORDER: John Cowan called the meeting to order at 7:15 p.m. and introduced each member of the 2007 Board of Directors.

PRESIDENT’S REMARKS: Mr. Cowan noted that during 2007 long-term key employees left Stoney Brook. New employees were trained as replacements for maintaining the irrigation systems, grounds and amenities. He noted that the General Manager did not have a full staff at all times during the year, especially during summer months and actions have been taken to retain quality staff members. The tree-trimming schedule has been modified to contract for trimming more frequently. One third of evergreens and all deciduous trees will be trimmed in 2008 and tree-trimming costs are now budgeted annually instead of every two or three years. He stated the General Manager and committee members have worked with various vendors and consultants regarding the condition of siding on many cedar units. The paint policy was amended in 2007 so that the condition of siding of all units will be inspected each year to determine what siding repairs or replacements are necessary prior to the beginning of exterior painting. Mr. Cowan also noted that main line sewer repairs have become more frequent due to breaks in an aging system. The Board determined to provide a budget in 2008 accordingly. Commenting again on the aging sprinkler systems, Mr. Cowan noted that $35,000 has been budgeted in 2008 for consultant fees to address areas of concern and for in-house upgrade costs. He commended Mr. Gidlow’s work to assess the condition of water features (ponds) and to resolve issues with the vendor regarding poorly functioning pumps. He encouraged all Owners to become involved in the community’s government by volunteering on committees or running for the Board.

LONG RANGE PLANNING COMMITTEE: Mr. Gidlow reported that verbal approval has been obtained to finalize long-running efforts to upgrade the Yosemite street wall and the process to obtain permits is ongoing.    Mr. Lynch will begin implementing irrigation system upgrades based on recommendations of consultants in prototype areas.    The board has determined to retain any excess operating funds to help fund 2008 expenditures.

SECRETARY’S REPORT: The Chair recognized Donna DuHadway. Ms. DuHadway stated that in spite of inclement weather, a quorum of members was present in person or by proxies obtained, as required under Article 4 of the Declaration, to conduct the necessary business of electing Directors and other business that may come before the Board and Members this evening. (The “Proof of Notice of Annual Meeting” had been mailed to Members and is made part of these Minutes as ATTACHMENT “A”.)

APPROVAL OF THE MINUTES: Upon a motion and second (Jan Melson, Unit 214/Ila Adams, Unit 112), the Minutes of the January 30, 2007 Annual Members’ meeting for the year 2006 were approved without corrections or amendments.

TREASURER AND FINANCE COMMITTEE REPORT: Mr. Fischer announced that the annual audit performed by Olsen, Reyes and Sauerwein, P.C. is complete and was delivered to the Board today with no major issues or accounting adjustments and that the Association is in compliance with laws and regulations. He stated that Mr. Jeff Reyes had very favorable comments regarding the Management of Stoney Brook. Mr. Fischer commended Oliver Lynch and Glenda Beckner. He presented a summary of 2007 income and expenses prepared before the final audit was received and discussed each line item in detail, providing explanations for budget variances in both the operations and reserve categories. Maintenance costs are over budget primarily due to the heavy and frequent storms last winter causing adverse effects on equipment. He noted that Members’ water conservation efforts directly relate to utility expenses reporting considerably under budget at year-end. Main line sewer repairs were necessary at an unbudgeted cost in 2007 of approximately $12,000. The new budget now includes a line item for anticipated sewer repairs in the reserve section. Overall operations and reserve budget variance for 2007 are over by only $1,795 before final audit adjustments received this afternoon. Mr. Fischer then presented a comparison of the 2008 budget to 2007, again explaining each line item in both the operations and reserve categories. He noted the 2008 budget includes costs for full staffing and that the employee IRA contribution has been modified for 2008. Overall operations expenses are increased 6% in 2008; reserve expenses are increased 13%. Mr. Fischer then presented the current 5-year budget plan which estimates a dues increase of $10 each year. He explained that the plan is an estimate only and changes each year as needs arise. The 30-year reserve study is updated each year as well to ensure that reserve funds will be available to maintain all common area components and amenities.

REPORT FROM THE GENERAL MANAGER: Mr. Lynch gave special acknowledgment to Mary East and Dot Dulaney for their ongoing involvement with landscape designs and improvements. Mr. Lynch reported on major projects in 2007. The fence behind Unit 144 was completed, as were tree removals and replacements as planned. Windowsill preparation for painting was completed as scheduled and 118,000 square feet of street seal coating was completed. The planters on the pond near Unit 345 are 80% completed. The Yosemite fence upgrade is still pending. He reported that projects for 2008 include ongoing fence repairs, ongoing retaining wall replacements, building a wall around the storage area at the clubhouse, upgrades and repairs to the irrigation system, ongoing tree removals and replacements, upgrades to xeriscape areas, and the completion of street seal-coating.

EDUCATION COMMITTEE: Ms. Schneider reported that the Association is again in compliance with current regulations in 2007. The annual new owner orientation meeting was successful with each Director participating to provide information to Owners.    She thanked John Cowan for his two-year service as President of the Board.

NOMINATING COMMITTEE: Dr. Austin reported that six candidates ran for the three open positions on the Board. They are Ila Adams, Donna DuHadway, Brien Gidlow, Shirley Klotz, Bob Parks and Jackie Richardson. A fourth Director will also be appointed to fill the vacancy left by Mr. Jim Cooley’s resignation in December of 2007. He thanked Smokie Bischoff, Susan LeDuke and Mark Levy for their assistance as registrars and ballot counters this year. Dr. Austin announced the results of the election. Donna DuHadway and Brien Gidlow were re- elected and Jackie Richardson was elected as the new Director. Mr. Cowan requested that Shirley Klotz remain after the meeting to meet with the Board.

HOMEOWNER COMMENTS: None.

ADJOURNMENT: Upon a motion and second from Members in attendance, the meeting adjourned at 8:20 p.m.

Respectfully submitted,

Glenda Beckner, Recording Secretary

Attachment “A” to the Minutes of the Annual Member’s Meeting January 30, 2008

NOTICE OF ANNUAL MEETING

DATE: The 2007Annual Meeting of the Stoney Brook Homeowners Association, Inc. will be held at 7:00 p.m. on WEDNESDAY, January 30, 2008.

PLACE: SAMUELS ELEMENTARY SCHOOL 3985 So. Vincennes Court (at Mansfield Avenue) Denver, CO

PROXY: All Stoney Brook Homeowners are asked to attend. If you cannot attend or are unsure if you will attend, it is VERY IMPORTANT THAT YOU RETURN THE ENCLOSED SECRET BALLOT AND PROXY OR REGISTRATION FORMS in the enclosed envelopes, to insure a quorum at the meeting.

PURPOSE: The purpose of the Annual Meeting is to elect three new members of the Board of Directors, and conduct such other business as may properly come before the meeting.

AGENDA: Attached

Sincerely,

STONEY BROOK HOMEOWNERS ASSOCIATION
Donna DuHadway, Secretary