1. Hickorywood Farms Homeowners Association 2011 Annual Meeting Wednesday, October 26th, 2011 7:00 pm Waukesha State Bank- Lower Level 1227 Corporate Center Drive Oconomowoc, WI

2. Agenda  Introduction  2011 Review  Entrance Sign update  Property Management Company update  2012 Plans  Mailbox update  Budget update  By-laws change suggestions  Questions/Concerns

3. Who we are! Volunteer Board of Directors: Cliff GreggRachelle Ruppel Jim DahmsJonathan Looman 4 Open positions Architectural Control Committee: Todd Wozniak / Association BOD. Committee Chairperson: Beautification / Cleanup Committee… Chad Ruppel Current developer of Phase 1, 2 & 3: WE Properties & YMCA at Pabst Farms Inc. (Developer representative - Todd Wozniak) Purchased last 23 lots from developer in phase 1 & 2: Kaerek Homes Inc.

4. 2011 Year in Review Actions Maintained ~50% of common grounds mowed, entranced mulched & weeded Ponds treated Insurance renewed, State and Fed Tax paperwork filed Escrow account opened for Lamp post, Mailbox, Landscape funds collected Completed Title paperwork for 11 home/lot sales and 23 lot sales to Kaerek Homes Inc. Reviewed legal documents for 5 home foreclosures presented to the Association through depositions Collected Dues from 131 of 137 homes/lots, paid invoices, balanced checkbook, balanced escrow account 6 liens filed for unpaid dues 4 liens lifted for prior year dues and fees paid 3 Property management quotes reviewed, 1 year agreement signed Pursued multiple bids on front sign work… none accepted to date In conjunction with the Architectural Control Committee, reviewed/approved 5 home plans & 1 shed plan, 1 shed plan in process Significant time spent on mailbox resolution…. Full update in following pages Estimated budget proposal for 2012 year Maintain homeowner data base / Directory

5. 2011 correspondence received Top Concerns / Complaints received Lack of deed enforcement for building standards / landscape design (trees) Outside storage violations Mulched walking path requires improvements Dog droppings / lack of dog leashes Phase 2 mailbox installations Entrance sign update Violation Letters sentQuantity Past due association dues notification letter24 Liens initiated for unpaid 2011 dues6 Outside storage violation letter4

6. Property Management update Decision: Not enough volunteers to fill the officer positions Property management companies have the experience improve response times for individual requests Improve project execution Cost savings through management company’s network 3 management company quotes reviewed Facts: Day to day workload outsourced Offers maintenance resource to homeowners BOD maintains control for the association Property management Company Real Estate Specialist, Inc. Pewaukee, WI 53072 One year contract signed effective December 1, 2011

7. 2012 Plans Re-bid all outside services for any potential savings Common grounds… maintain same percentage as prior years Ponds maintenance… reduce funds allocated, pursue aerator and/or fountain to increase water movement and reduce treatment costs Outsource management of day to day operations to a property management company Pursue completion of entrance sign work Continue to work with the Architectural Control Committee, reviewed/approved homes / additions / sheds / decks Continue mailbox resolution… work with Developer, Kaerek Homes Inc., Post Master, legal support Review By-laws Plan 4 Board meetings, and 1 annual meeting… dates will be posted to the web site when identified Additional Input?

8. Phase II Mailbox Status Legalities of the issue – Each homeowner has entered into a contract with the developer and paid for a lamppost and a mailbox. The developer is obligated to provide what each has paid for. Homeowners Association interest in the topic – As the association BOD we have an interest in keeping the mailboxes and lamppost in harmony across the neighborhood. Others interest – The US post office also has an interest in the location of the mailboxes to aid in efficient and cost effective mail delivery. Not following there guidelines can result in refusal to deliver mail. What the BOD has tried to resolve – Phone calls and Letters to date have not worked. An avenue to consider – The developer is YMCA Properties LCC. A letter written by damaged parties (All phase II lot owners) to the board of Directors of the YMCA prior to turning this over Contact 6 or similar media channels may just work. Homeowners Association BOD action - We continue to work the issue however at some point the BOD may need to organize a resolution. This will mean: A standardization of the mailboxes An implementation of the Post Office box layout Special assessment of phase II residents to install the boxes At this point homeowners could pursue the developer for damages as they see fit

9. 2010 2011 Variance 2012Variance2012 Total Year BudgetEstimateto Budget Budgetto Prior YearBudget Actual Per Lot Landscape Maintenance (common grounds)19,108 17,30013,218-4,082 13,983765102 -Mowing, trimming8,514 8,3208,119-201 8,22010160 -Sidewalk snow removal475 1,5301,645115 1,75010513 -Other care (mulch, weed, fertilization, trees, …)10,119 7,4503,455-3,996 4,01355929 Pond Treatment / Maintenance5,567 5,0007,0772,077 4,500-2,57733 Insurance1,614 1,7001,612-88 1,7008812 Utilities (Electric)0 000 475 3 Capital Improvements715 2,0000-2,000 1,300 9 Other (Printing, Postage, Fiduciary, PO box, Etc.)559 1,0301,219189 8,6817,46263 -Property management Company Fee0 0550 6,6006,05048 -Other559 1,030669-361 2,0811,41215 Total Annual Expenses27,563 27,03023,126-3,904 30,6397,513224 Capital Improvements Fund1,585 02,000 0-2,0000 Contingency Reserve1,677 3,7955,6991,904 3,611-2,08826 -Long Term Contingency Plan (pond, mailbox, etc.)552 2,4454,3491,904 2,111-2,23815 -Estimate Dues not collectable1,125 1,350 0 1,50015011 Total Annual Collections30,825 0 34,2503,425250 Dues Per lot (137 lots)225.00 0.00 250.0025.00 2012 Budget Proposal

10. Currently under review: Impose title transfer fee Set term lengths for board members Changes to By-Laws

11. Questions / Concerns?

12. Thank You!

13. Appendix

14. Contact information Architectural Control Todd Wozniak N21 W28121 Domecki Ct. Pewaukee WI 53072 Phone: 262-844-2657 Homeowners Board of Directors Hickorywood Farms HOA P.O. Box 944 Oconomowoc, WI 53066

15. Over 20 ideas submitted…. Focusing on top items Survey results for Hickorywood Farms Subdivision long-term Capital Improvement Plan