The meeting was called to order at 8:30 A.M. In attendance were board members:

Tom Kearns, President

Phyllis Ginzler, Clerk

Pam Ambrose, Treasurer

Scott Russell

Marilyn Salerno

Peter Silva

Jeff Witherell

Also in attendance were 11 KHA members. (Sign-in sheet attached)

Collateral that was provided to members included:

Agenda

Minutes of November 5, 2005 Board of Governors Meeting

Manager’s Report

KHA Statement of Account Balances (as of Dec. 2, 2005)

KHA Transaction List by Vendor (Nov. 1 – Dec. 2, 2005)

KHA, Inc. Profit and Loss Budget vs. Actual (Jan. 1 – Dec. 2, 2005)

Secretary’s Report

The minutes of the November 5 meeting were approved with Peter Silva making the motion to approve and Marilyn Salerno seconding.

KHA member Norma Gelles proposed a correction to the October 1 Board meeting minutes in the section Old Business: Item #3 Issue of a Variance. The proposed correction should read:

On July 22, 2000, one week after the 1999/2000 Annual Membership Meeting, the Board of Governors held a Variance Hearing on the Tim Crosby/Sims Request for Variance to build a garage. The request was granted/approved. However, a certificate of Variance was not timely recorded with the Cumberland Registry of Deeds by the owners as required in the Variance Policy, resulting in the variance becoming null and void. The issue is being reviewed by KHA attorney to determine whether the error can be corrected or whether the owners must file a new Request for Variance with the Board under the new Variance Policy adopted by the membership at the July, 2005 Annual Membership meeting.

Pam Ambrose made a motion to delete the section Old Business: Item #3 in the October 1 Board meeting minutes and replace it with the wording as proposed above. The motion was seconded and approved. Phyllis Ginzler will make the change and post it on the KHA web site.

Treasurer’s Report

The treasurer’s report was accepted with Scott Russell making the motion to accept and Phyllis Ginzler seconding. Bill Hancock, KHA manager, raised the issue of the KHA treasurer having access to KHA bank data and the prospect of maintaining multiple copies of KHA financial data. Pam Ambrose responded that, as Treasurer, she must verify all financial reports. She has requested in the past access to financial data by receiving copies of bank statements or bank access on-line. She is satisfied to have on-line access and has made arrangements with the bank after obtaining proper authorization from the Board.

Committee Reports

1. Building. John Orr reported no new building requests. John also reported back to the board on an item brought up at the November 5 Board meeting regarding an unfinished construction project on Blue Jay Lane. He reported that the owner has agreed to follow through with a building permit and will complete the project within 6 months.

2. Pool. Phyllis Ginzler made a motion to re-locate the children’s jungle gym from its current location outside the chain link fence at the pool, to the beach area. Jeff Witherell seconded the motion. The motion failed.

3. Waterfront. Discussion held as to the use of the docks for aluminum boats, or other small watercraft such as jet skis. The Board asked Steve Fisher to begin a comprehensive study of the dock situation and, working with Ron Kostka, KHA Dock master, develop recommendations and present them to the Board. A previous recommendation and current policy is to limit the docks to motorized craft with a bilge pump.

Manager’s Report (attached)

Bill Hancock submitted his Manager’s Report. Bill alerted the board to a problem with property on Algonquin Lane where a plow truck hit the water gate access cap in the middle of the road causing a water leak and damage to a culvert. Jack Kostka suggested, and the Board agreed, that KHA repair 3 feet of the culvert. Jeff Witherell asked that Jack/Bill take pictures and document the repair.

Bill also noted the repair of a water leak at the end of Loon Lane. In this case, KHA bears no further responsibility to the adjacent property beyond the repair of the water leak. The Board directed Bill to send to the owner a copy of KHA water policy.

Bill Hancock brought up the issue of legal action resulting in denying a member a dock slip due to late dues. The Board authorized Bill to bill the owner for legal fees incurred by KHA.

The Manager’s report was accepted with Marilyn Salerno making the motion to accept and Jeff Witherell seconding.

Old Business

1. Boat Slip Assignments. See item under Waterfront Committee.

2. Web Site. Phyllis Ginzler reported on an item raised at the November 5 Board meeting as to the accuracy of the wording of the KHA covenants and by-laws currently posted on the KHA web site. After checking with Dick Minogue who posts KHA content, she reported that KHA covenants and by-laws are correct as of 1999. KHA Covenants have never changed and, since 1999, one small change was made to KHA by-laws. Tom Kearns will forward this change to Phyllis Ginzler who will ensure that the content on the KHA web site is updated.

3. Maintenance Items and Capital Expenditures. Phyllis Ginzler expressed the need to maintain our KHA street signs in good condition. Bill Hancock responded that he is repairing these signs on a regular basis. The Board asked Bill to solicit bids for 3 projects: pool roof, marina walkway, and additional docks. The issue of a wheelchair ramp at the pool was shelved until spring.

4. Review of Manager and Staff Job Descriptions. The board is in the process of developing job descriptions. The Board expressed its appreciation to Jack Kostka for his reliable back up in emergency situations such as the recent water leak problem on Thanksgiving Day.

New Business

1. Rescind Variance Policy. Pam Ambrose made the motion, seconded by Marilyn Salerno, to rescind KHA’s old variance policy. In addition, the Board should check on whether the old policy was recorded with the Cumberland County Registry of Deeds. The motion passed. KHA member Norma Gelles offered a “Checklist for Board” and certificate of variance approval form and the Board accepted it. John Orr suggested calling a special meeting to correct the 2001 Annual Meeting minutes to insert the motion that was passed to approve the actions of Board of Governors. This item was inadvertently left out of the minutes.

The meeting adjourned at 10:14 A.M.

Respectfully submitted

Phyllis Ginzler

Recording Clerk

December 7, 2005