Montare Homeowner’s Association Maltby Community Center Annual Meeting Presentation November 28th, 2012 Maltby Community Center 28 November 2012 1

Montare HOA Annual Meeting Agenda 7:00 PM – Call Meeting to Order, Attendance and Board Elections 7:15 PM – 2012 in Review Officers and Committees Architectural Control Committee Presentation Accomplishments and Challenges 2012 Budget Results and 2013 Budget Review 8:15 PM – Goals for 2013 8:30 PM – Open Topics, Questions and Answers 8:45 PM – Election Results and Meeting Adjournment 28 November 2012 2

Meeting Attendance and Board Election Annual Meeting Attendance and Quorum Review Confirm Attending Member Sign-in Sheet Record Member Proxy Statements Confirm that the 10% Quorum Requirements are Satisfied Board of Directors Election for 2013 Darrel V.’s One Year Term Has Expired (Pete C.’s Term) Tom W. Will Enter His Final Year on the Board Tim S. Will be Starting His Second Year of Service Russ T. is the Only Candidate for the Open Position Any Nominations From the Floor? Cast Ballots for Election of New Board Member 28 November 2012 3

HOA Officers and Board Support Officers and HOA Volunteers to the Board for 2012 Secretary – Russ T. Treasurer – Laura W. Accounting – Susan R. Treasury Support – Ann W. Mailing List – Bill W. Website – April G-S. Secretary Position is Open Need a Volunteer for this Position! Good for Someone That is Considering Joining the Board 28 November 2012 4

HOA Committees – 2012 Status ACC Members Linda T. Eric C. Larry F. Elisha K. Jim J. (Newest Member) Landscape Committee No Members – Need Volunteers! Neighborhood Watch No Committee Lead and No Block Captains – Need Volunteers! 28 November 2012 5

HOA Committees – 2012 Status Social Committee No HOA Budget for Neighborhood Events as in Prior Years No Annual Picnic, No Easter or Halloween Events No Neighborhood Social Events No Members – Need Volunteers! Welcome Committee Shelley C. Laura W. 28 November 2012 6

HOA Committees – ACC 2012 Status ACC Request Review for 2012 Follow the Simple Procedure Outlined on the Website Avoid Incurring Unanticipated Costs through Fines and / or Reworking of Projects Be Sensitive to the Time Commitment of the Volunteers and to The Importance of Your Project, by Submitting Projects Early Enough So You Can Obtain Approval to Begin Work It Can Take up to 30 Days for the ACC to Complete the Review of Your Project Please Ask Questions Up-Front The ACC is Ready to Help You Get Your Project Going 28 November 2012 7

HOA Committees – ACC 2012 Status ACC Request Review for 2012 Twenty (20) Projects Submitted for the Year Twenty (20) Projects Approved Two (2) Projects Incomplete (Both Painting Projects) ACC Project Request Approved (3) Tree Removals (1) Front Door Replacement (6) Paint Projects (1) Fence Project (1) Roof Extension (6) Landscape Projects (2) Covered Patios 28 November 2012 8

HOA Activities – 2012 in Review Dues, Fines, Past Due Accounts and Bad Debt HOA Annual Dues Were $490 Per Year Dues Collected From 59 Households One Member Dues Not Collected Do to Bankruptcy Fines and Late Fees Were Assessed Against Four (4) Households Two (2) Fines are Still Outstanding Board is Taking Action to Collect the Monies Owed One (1) 2011 Outstanding Dues Balance Paid by a Lender This Was Not Expected and Was a 2011 Bad Debt 28 November 2012 9

HOA Activities – 2012 in Review Common Area Maintenance Barking Maintenance for 2012 Was Performed 73rd Street, Both Ends of 205th and Back Entrance Trails Maintained on an as Needed Basis Replaced the Timers for the Sprinkler Systems Completed Painting of the Mail Kiosks Thanks to Tom R.! Front Entrance Makeover Solicited Bids for Replacement of the Trees, Drainage Improvement and Plant Improvements Evaluated Drainage Issues in the Park and Options for Correction 28 November 2012 10

HOA Activities – 2012 in Review CC&R Compliance Efforts Dumping in the Restricted Open Space Remains a Concern Violation of the Open Space Management Plan and CC&R’s Delinquent Payments and Management of Member Properties Much time and Effort Spent Collecting Delinquent Dues, Fines and Late Fees Spent Significant Time Working with Realtors and Escrow Companies to Ensure Two (2) Foreclosed Properties Were Being Maintained or Remedied to CC&R Standards Home Ownership Changes Four Other (4) Homes Changed Ownership, Requiring Various Information from the Board to Support the Sales 28 November 2012 11

HOA Financials – 2012 Actuals / 2013 Budget 28 November 2012 12

Notes to 2012 Budget vs Actual Costs 2012 Income 59 of 60 Members Paid Dues in 2012 One (1) Bad Debt From 2012 was Collected From Lenders Extraordinary Income of $1,452 from Bad Debt, Fines and Interest 2012 Expenses Budget Shortfalls in Office Expenses, Third Party Fees, Insurance and Uncollected Dues Budget Savings in Landscaping, Utilities, Professional Fees, and Maintenance Minimum Barking and Landscape Maintenance Costs for 2012 No Storm Damage or Additional Trail Maintenance Expense No Property Improvements for Special Projects in 2012 Water Cost for 2012 Less Than Budgeted 28 November 2012 13

Notes to 2012 Budget vs Actual Costs 2012 Expenses, Cont’d Budget Savings in Landscaping, Utilities, Professional Fees, and Maintenance Board Managed Collections Without Legal / Lien Costs No Board Education in 2012 Bad Debt Expense of $1,069 Will be Written Off Not Likely to be Collected as the Property is in Chapter 7 Liquidation Proceedings HOA 2013 Operating Expenses Need to be Properly Funded Common Area Expenses and Special Projects Will Exceed 2013 Budget Amounts Reserve Will Fund a Large Portion of the Entrance Improvements and Park Drainage Projects Planned 28 November 2012 14

HOA Goals for 2013 Projects Under Consideration Redo the Front Entrance for a Better Year Round Appearance Replace the Plum Trees with Trees More Resistant to Water Improve Soil Quality and Drainage Make the Park Usable Year Round Significantly Improve the Drainage The Park is Not Usable Much of the Year Replacement of Bark in the Common Areas per the Schedule Continue Repair and Maintenance of the Trails 28 November 2012 15

HOA Goals for 2013 More Community Involvement by the Members HOA Participation Limited to the Same People Each Year Need to Recruit New People Committed to Supporting the HOA Re-Establish the Social Committee and Social Budget Sponsor an Easter Egg Hunt Hold a Halloween Event Re-Establish the Montare Annual Picnic Conduct a Social Event for the Members to Improve Participation and Foster Relationships in the Community Other Community Events and Project Participation Re-Establish the Landscape Committee Re-Establish the Neighborhood Watch and Block Captains Support the Maltby Neighborhood Alliance 28 November 2012 16

2012 Annual Meeting Wrap-Up Open Topics for Discussion Questions and Answers Election Results Meeting Adjournment 28 November 2012 17