UNAPPROVED

WITHOUT CORRECTION, ADDITIONS OR DELETIONS

FALLS RUN COMMUNITY ASSOCIATION, INC.

Minutes of the Meeting of the Board of Directors

March 7, 2007

The Falls Run Community Association, Inc.’s Board of Directors met on March 7, 2007 for a Work Session at the Center.

The meeting was called to order at 10:00 AM by Bill Nosal, President.

A quorum was present.  Board members attending were:

Bill Nosal, Chuck Heath, Jim Stagner, Toni Brown, Art Gabler, Mal Malo and Dan Owens.

Also present: Jim Armstrong, Armstrong Management; Sylva Southwell, Property Manager, Armstrong Management; Ann Jones, Activity Director; Joan Bitley, Villas Vice-president; Nancy Garner, Villas Treasurer; Bob Gilbert, Community Center Chairman.

Chuck Heath moved, 2^nd by Jim Stagner, to suspend the reading and accept the minutes of February 21, 2007.  Carried unanimously.

Art Gabler moved to restrict to one lane the entrance at the Middlebrook gate, 2^nd by Chuck Heath. Carried unanimously.

Art Gabler left the meeting at 11:00.

Chuck Heath moved, 2^nd by Jim Stagner, to go forward with construction of an on-site office for the property manager at a cost not to exceed $10,000.  This must include electrical, data, computer and phone lines. Carried unanimously with a vote of 6-0. (Art Gabler absent).

Toni Brown moved, 2^nd by Jim Stagner, that the Community Center be unrestricted as to religious and political gatherings for Falls Run residents.  Carried unanimously with a vote of 6-0.

Mal Malo moved, 2^nd by Dan Owens, to pursue the extension of the Goodfellers snow contract for 2007/2008 at no additional cost. Carried unanimously with a vote of 6-0.

Bill Nosal moved, 2^nd by Mal Malo, that Toni Brown draft a statement to the community requesting that residents refrain from using the Yahoo network to air personal complaints. Carried unanimously with a vote of 6-0.

Bill Nosal moved at 12:10 PM, 2^nd by Mal Malo to adjourn. Carried unanimously with a vote of 6-0.

Submitted by,

Nancy Arnn, Acting-Secretary

Falls Run Community Association, Inc

Note:

There are no notes to accompany the minutes for this meeting.

Additional information in lieu of notes:

Mal Malo, treasurer, reported the Board has received a draft of the 2005 audited financial report.  When finalized, the report will be available to all residents. As part of his report, Mal read from the auditor’s report:

The Association incurred withdrawals of funds in 2005 for which no support was available and did not receive certain assessments funds that have been reflected in the financial statements as Account Receivable – Management.  We were unable to satisfy ourselves regarding the appropriateness of these transactions.

The Board will schedule a special evening meeting at 7:00 PM on March 20, 2007 with Kevin Cavanaugh, CPA from our auditing firm, who will go over the details of the audit and answer any questions. The meeting will be open for all to attend.

Koger Management has been sued by the Attorney General of Virginia.  As a result of that suit, there has been an agreement to have a forensic CPA who shall conduct a forensic analysis of that certain “Transfer Account” previously maintained at BB&T bank.  The purpose of said analysis is to determine the sources of money into the account and the transfers from said account and those who have received said funds.

In another matter, Chuck Heath, liaison to the Modification Committee, briefed the Board regarding violations issued to Villa owners by the Villas’ Board without the Modifications Committee’s involvement.  According to  the Villas’ Building and Covenants documents, inspections and issuing of violations is allowed.  In as much as there appears to be some over lapping of responsibilities between the Villas Committees and the Modification Committee, Chuck requested Sylva to coordinate/schedule a meeting of both management reps and boards to discuss and clarify the modification and violation process.  Date of meeting to be announced.

Meeting Notes:

There are no meeting notes