Marymoor Trails
Annual Meeting of Homeowners
May 8, 2023

The Marymoor Trails Annual Meeting of Homeowners convened at 6:00PM on Monday, May 8, 2023 via Zoom. Attending: Michael Niksa, President; Josh Gibson, Treasurer; Van Chesnutt, Landscape; Linda O’Hara, Secretary; and Tim Hollingshead, Morris Management. In addition, at this meeting, we welcomed new Board member Chris Cho.

Roll Call and Determination of Quorum

The first order of business was roll call and establishment of a quorum.  For the first time in at least a decade, we had more than 50% of owners attending, meaning that with 53.273%, we had a legal quorum. A very sincere thank you from the Board to all of you who took the time to attend. We cannot express how much we appreciate the increased engagement!

Proof of Notice

Tim showed the group the hard copy mailer from Morris Management. In addition, mailbox signs were posted; an email was sent by Morris to all owners; an Association email was sent to residents who asked to receive them; and a final email from Tim with the Zoom link was sent the day of the meeting.

Reading and Approval of Minutes from 2022 Annual Meeting

Tim presented the meeting minutes from the 2022 Annual Meeting of Homeowners and shared it on his screen for everyone to read. Tim asked the group if there was anything that should be changed; none were noted so the minutes were approved as written. Craig Hilmes moved that we approve the minutes from last year.  This motion was seconded by Dennis Anderson and approved by unanimous consent.

Reports of Officers and Committee Reports

Treasurer’s Report – Josh Gibson

• April 2023 month-end balances were as follows: The month ended with a net Operating account (checking) balance of $10,365.02 
• The month ended with a Replacement Fund account balance of $501,050.39.
• Our special assessment is the most important development since the meeting where we covered the special assessment.  Josh invites anyone who is interested or has any questions to contact him.

President’s Report and Buildings Report – Michael Niksa

Michael reports as both President of the Association and the board member responsible for buildings. Due to the rainy season, work has not started on buildings this year. Michael is assembling a list of needed repairs and will do a walk-around with Handyman Gene Moiseyev to compile a detailed spreadsheet. Gene is in Ukraine until June and will meet with Michael when he returns.

Unfinished Business

Nothing at this meeting.

New Business

A motion was made for Election of Officers. Van Chesnutt, our excellent board member who covers landscape and drainage is currently in the process of selling his unit. Van is willing to continue in his current position until he moves. At that time, we will need another volunteer to cover landscape and drainage. Heidi Karr asked what positions are open. Tim commented that for board members, no one position is any more powerful than any other; it is more a division of labor.  Chris Cho, who has listened in on previous board meetings, volunteered to take over the open position for Buildings, vacated more than a year ago by Jeremiah Willhite. Approved unanimously. We appreciate Chris volunteering for this role – this is a critical spot on the Board working closely with Michael. We can still use someone to work with Van to transition his relationships and responsibilities. We welcome Chris Cho as our new board member. 

Approval to Sign IRS Form 70-604

The last item needed at this meeting was approval of an IRS form that allows the Association to roll over unused money from 2022, not be taxed on it, and use the money for expenses in 2023. Tim read the legal language association with the motion. Motion to approve passed unanimously. Tim will keep this on file.

Questions from Homeowners

This is an important section of our meeting where everyone asks any questions.

Drainage

• Should we inspect all drains around the property? Regarding storm drains, Van said that they are inspected every two years by the City of Redmond. They let us know of any issues and Van has them taken care of.
• The recent berm work done at the property entrance was very unprofessional, is like driving over a 4×4. It looks terrible, looks like whoever did it never did that kind of work before. Van suggests residents contact City of Redmond directly by email and reference project IE #28519. The email is info@redmond.gov  Someone noted that the berm will likely flatten over time.
• Was the bump redirecting water from our entrance driveway done by us or by City of Redmond?  This work was done by City of Redmond as it is on city property. Josh said that the purpose for the berm is to keep water from coming down the street onto our property.
• Background:  The drainage berm at the entrance is critical for our units and infrastructure. Before a berm was installed, water would run off Old Redmond Road, shoot down our driveway to pool in front of Buildings A, B and H. It  overwhelmed drains at the bottom of the hill, pooling several inches deep (6”).  Standing water crept within inches of garage doors, threatening to flood units. City of Redmond was called.  They constructed a diversion berm at the entrance to Marymoor Trails, preventing water from running in.  The old berm broke up this past winter; the new berm more substantial. While it creates a small inconvenience at the entrance, it is protection for our property.

Rental Cap

• What is the Marymoor Trails rental cap? We maintain a 15% maximum rental unit ratio, in keeping with the best guidance from banks and mortgage companies. With 54 units, our maximum rental limit is 8 units. We have 11 units on the waiting list, wanting to be approved for rental status, should a slot become available. When a rental unit is sold, that unit loses its rental status and can only be owner-occupied. The next unit on the waiting list is contacted to see if they want to be a rental unit. If the owner is not ready to rent, they go to the bottom of the list, and the next owner on the list is contacted. It typically takes years for an owner to move up on the list to be asked by Tim if they want to rent.
• Why do we have a rental cap? Banks and mortgage companies want to see a high owner-occupied rate. A high owner-occupied rate increases property values, gives better mortgage rates, and better home-improvement loan rates. From a management perspective, a disproportionate number of repairs and issues come from renter-occupied units. Owners care more about the property than renters do, take better care of their units, and cause fewer repairs. Resident suggests if rental owners profit from this property at our expense, maybe we should ask rental owners to pay more. The Board will discuss this at a future meeting.
• Can we publish the rental waiting list to see who is on it?  The Board discussed this afterward and will not publish people’s personal information. General information about your position on the waiting list or its status can be accessed by asking Tim.

Building J

• Update on fire repair: The sad owners of J-135 that burned in January 2022 reported that permits are all in line and they are actually starting rebuilding. Morris Management advised us that we will see rapid major work.  Estimated timeline for completion is late 2023 or possibly January 2024. It is a big complicated project, lots of permits. It is unknown what started the fire – after 5 months of investigation, “we don’t know” is the official diagnosis. Everything was done by contractors, permitted and approved. The owners will continue to live elsewhere until their unit is remodeled. Tim comments that the owners did EVERYTHING correctly when they moved in, worked with the board, got permits, upgraded systems. The owners report that the fire alarm system that Marymoor Trails had at that time saved their lives – it was piercing and undeniable. It alerted them while they were sleeping to a fire in the garage. Fire response happened very quickly. They say, “On all of those fire alarm testing days, please give those workers a hug and be grateful for what they are doing.”
• The City of Redmond is known for being extremely detailed and extremely slow on permitting, which gates all work being done. One of the most recent times when things actually got done was when people went to the City of Redmond, and the owners of the unit emailed a city council member. City of Redmond is requiring a sprinkler system to be installed in the burned unit; not in the rest of the building. We have all needed permits in hand now, and rebuilding work can proceed.
• Could we become uninsurable? If by chance we had another major claim event in Marymoor Trails, what is the chance that no insurance company would want to insure the association, what would we do? Tim says, “Knock on wood, I’ve has never had a situation where a property is uninsurable. It is more a matter of how much it would cost.” Tim continued, “Right now, as many of you know, the special assessment was to cover $117,000 increase in insurance because we have multiple claims open, both J-135 and Bldg B issues. There are several things that will cause our insurance to be quite high. Per insurance experts, it is possible when the fire claim is closed, when construction is complete, that our rates may go down.”
• Restrictions on e-bikes and scooters? With all the news about Lithium-ion batteries catching fire, is there anything you would recommend to the board? Should we restrict e-bikes and scooters? Tim says that has not come up in professional literature. Cars have come up in articles in the industry, but nothing on bikes and scooters.

Items for Summer Work List

• A dip in the road near the mailboxes. Tim says this will be addressed in resurfacing this summer. We will have the entire asphalt surface of Marymoor Trails resealed, potholes filled, curbs repaired and repainted, parking restriped.
• A security concern to be aware of:  A large smelly bag was left near a unit. It took weeks to see where the bad smell was coming from. We have no idea who left it or why.
• A deck was not cleaned as expected. Tim says patio deck cleaning is normally done in the summer. Michael says delays are due to Gene’s absence in Ukraine. Gene will meet with Michael when he returns June 1 to address all outstanding work projects. Michael and Chris are making an Excel spreadsheet. Patience is appreciated while we get this done at a reasonable rate. Gene is an excellent handyman who knows our property and has done great work for years at very reasonable rates.

Thank you everyone for coming! This is fantastic.

Adjournment

Michael placed a motion to adjourn, seconded and approved.  Adjourned at 6:51PM.

Next regular Board meeting is Monday June 26, 2023 at 6:00pm via Zoom. Tim will send out meeting link information to Board and owners who request it.