Harpeth Trace Services Association

Annual Meeting - January 24, 2006

Jan 28, 2006

Harpeth Trace Services Association

The meeting was held at the Jewish Community Center and called to order at 7:15 pm by President Ken Darby. Board Members in attendance: Ken Darby, Mary Ann Dorris, Jim Knapp, Jim Mathieson, and Susan Mitchell, Sanford Payton, Steve Roche, Linda Shoun, Bill Wainwright. Ghertner and Company was represented by Steve Kravitz. A quorum was present.

Ken Darby welcomed the members and explained that each director would present a report for his or her area of responsibility.

Steve Roche, the director responsible for Financial Records, reported that our association had total assets of $63,686.80 as of 12-31-05. He also reported that he had supervised a routine financial audit of our books by the firm of Byrd, Proctor, & Mills, P.C. for the first nine months of 2005. This independent audit was not performed as a result of any suspicion of wrong-doing, but rather simply because an audit had not been conducted for several years. The auditors expressed the opinion that our financial statement fairly presents the cash receipts and disbursements of our association?’s funds in all material respects.

Susan Mitchell, the director responsible for Financial Planning, presented a Proforma Budget for the years 2005 through 2011. She explained that she believed her estimates of price increases were adequate to cover the actual expenses we will incur, with the possible exception of paving, which will depend heavily upon the future cost of crude oil. The current estimate for paving our streets is $400,000. This cost is projected to be equally divided over the three years of 2009, 2010, and 2011. Other costs are projected to increase at rates between 3% per year for electricity and management fees, and 15% per year for insurance. In order to have adequate funds to cover these future expenses, our maintenance fee has been increased to $30 per month for 2006. At present, it appears we can hold this fee through 2008, but will need to increase it to $35 per month starting in January, 2009. Our $15-per-month maintenance fee, established in 1975, would have increased to $54.25 per month if it had kept up with the Consumer Price Index until 2005 (See http://minneapolisfed.org/Research/data/us/calc/index.cfm ). A copy of the actual Proforma Budget may be reviewed at this website.

A discussion of certain figures in the Proforma Budget followed Susan?’s report. One homeowner asked about an expenditure for legal expenses. Ken Darby explained that the Board was unsure of its legal standing in relation to seemingly ambiguous sections of our recorded title documents, including our Declaration of Covenants, Conditions and Restrictions, and the Harpeth Trace Services Association Charter. The Board hired John M. Baird of White & Reasor, PLC to give us a legal opinion of our authority, especially as it relates to architectural oversight. The opinion may be found at this website.

Joanne Katcher, president of Treetops Condominium Association, asked if HTSA fees could be reduced for their condominium owners because they have had large, unforeseen expenditures for lighting, painting, and other repairs. Various Board members explained that adequate maintenance fees had to be charged to avoid large assessments in the future. It was also pointed out that owners of free-standing homes pay for all maintenance of their homes, while condominium owners have fees for their maintenance. The money that we are investing in maintenance is easily recouped by property appreciation. A unit in Treetops that was valued at $110,000 five years ago recently sold for $267,000.

Bill Wainwright, the director responsible for Street Lighting, Signage, and our Neighborhood Cleanup Days, reported that five new street lights have been installed along Harpeth Trace Drive between the ?“split?” and Hickory Trace Place. This was the last strip of unlighted common area along the streets of our subdivision. Soft lights have also been installed behind the stone walls of our front entrance. It was pointed out that the Board had decided it was too expensive to replace all of our old street lights at once, so the light heads will be replaced on an as-needed basis. A homeowner commented that it would be nice if the light poles were not in the middle of the walking path.

Bill also reported that 12 new metal poles with directional signage have been installed recently, and all other signage has been moved onto these poles or existing light poles to reduce the number of poles and improve the appearance of our streets. The backs of all signs have been painted to improve their appearance.

Bill reported that the most recent Cleanup Day, organized and supervised by Jim Knapp, was attended by about 25 residents, and that even more debris was removed than during our first Cleanup Day. The next event will be held in April.

Jim Knapp, the director responsible for Drainage, reported that a new catch basin has been installed in the street at 200 Harpeth Wood Drive to eliminate pooling which often overflowed onto the homeowner?’s lot, causing heavy erosion. However, the pine needles from trees overhanging the catch basins quickly block the drains and require frequent cleaning. He suggested that the landscape maintenance company might clean those grates during their weekly duties.

A rip-rap drain has also been installed near the second island in Harpeth Trace Drive, but a price estimate for an underground drain has been requested. Jim reported that he has visited the gully between 200 Harpeth Wood Drive and Harpeth Ridge Condominiums during and after several rain events but cannot detect any additional damage caused by erosion.

Jim and a contractor have assessed the drainage problem between 505 and 509 Harpeth Trace Drive that is caused by runoff from Treetops storm drains, but Jim has not yet received a cost estimate for eliminating the problem.

Jim Mathieson, the director responsible for Streets and Curbs, reported that the speed bumps within our subdivision have been repainted, but the painting company has been waiting for warmer weather to apply new paint to the center stripes. He reminded the group that we can delay the need to totally resurface our streets if we take care of small damage quickly. He asked that anyone who sees damage should report it to Jim. His telephone number is 419-1109.

Jim also reported that it has been necessary to apply de-icing chemicals once this year. The company came out at about 4:30 in the morning.

A homeowner reported that Harpeth Trace Drive has developed a very rough ?“rippling?” surface in the first curve uphill from the guardhouse. He asked if anything could be done to eliminate the roughness, and Jim Mathieson said he would look into it.

Linda Shoun, the director responsible for Legal Matters, reported that a copy of our Rules and Covenants and our By-Laws are posted at our website (www.harpethtrace.org) and that residents may review the information at any time. Our charter can be amended at any time if proper notice is given of a meeting called for that purpose and at least 75% of the members attending, or represented, at the meeting vote for the changes. A quorum of 10% of homeowners is required. Such a meeting will probably be called during 2006 to establish the right for the Board to serve as the Architectural Committee.

Mary Ann Dorris, the director responsible for Irrigation, reported that she has established a new maintenance contract with an irrigation company, but they are responsible for little more than checking our system and starting it in the spring, winterizing it in the fall, and being responsive when a problem occurs. During the time the system is active, Mary Ann inspects it at least once a month, but she asks that if you see a problem, please call her at once. Her telephone number is 356-4868.

A homeowner asked if the new plants at the base of the entrance walls needed irrigation. Mary Ann explained that the plants were chosen for their ability to thrive without artificial irrigation, so none has been provided.

Sanford Payton, the director responsible for Landscaping, reported that the area around the guardhouse has been rehabilitated to its original design. During the 13 years between 1992 and 2005, the landscape contract with Sunrise of Nashville was neither reviewed nor supervised, so our plants were not properly cared for. As a result, some plants died and were replaced by inferior varieties, others outgrew their space and smothered their neighbors, and all weakened from lack of food and care. A member of the team that originally designed the Harpeth Trace landscape was hired to recommend how we could best return to the original design. His advice was followed and all of the plants you see around the entrance and guardhouse area are as they were in 1975. After a season?’s growth, we should be back to the original concept. All dead trees in common areas that can be seen from the streets have been removed.

We also have a plan for future improvements should we decide to implement it. This plan suggests where native plants such as dogwood, sourwood, serviceberry, redbud, inkberry holly, and oak leaf hydrangea might be added.

Sanford also reported that a new landscape maintenance company had been hired. The new contract is for $886.25 per month. This includes all of the maintenance services we normally require, and a certified horticulturist will visit Harpeth Trace and inspect our plants at least once a month. Supervisors also leave a written report after each visit and Sanford checks to be sure the work was done. Our 1992 contract was for $120 per month, but all work was ?“a?’ la carte,?” so their average monthly maintenance invoice was $1,394 for the first six months of 2005.

During the preliminary review of our common areas in 2004, the landscape architect pointed out that our property is being overrun with the invasive exotic (foreign) plant, Oriental Honeysuckle. This plant was introduced about 1900 to stabilize railroad cuts such as the one at the foot of our hill. Over the past 100 years, the plant has spread up our hill, where it chokes out native under-story plants and, more importantly, it prevents the development of second-growth timber, which is needed to replace old-growth trees when they die. The director of Warner Parks Nature Center has advised us that they have an aggressive Oriental Honeysuckle eradication program, and has recommended that we employ their techniques on our hill. Without such a program, the Oriental Honeysuckle will eventually replace all the native plants on our hill.

A second problem revealed by our landscape review was the fact that most of the original groundcover on the bluff along our main road has died out as a result of the canopy that has grown over our road, the ever-thickening Oriental Honeysuckle along the tops of the bluff, and overly aggressive weed-eating by landscape crews.

Cost-estimates have been obtained to rehabilitate five areas.

(1) the 1,000-foot-long bluff along the left side of the main drive from Valley Trace Drive to Harpeth Ridge Drive. Rehabilitation: remove all Oriental Honeysuckle from the curb to three feet beyond the top of the bluff, cover the area with mulch, plant three different types of groundcovers, and add irrigation. Cost: approximately $40,000.

(2) the bluff below the walking pat from Wood Valley Condominiums to Harpeth Trace Court, plus a larger area across from Harpeth Ridge Drive. Rehabilitation: eliminate all Oriental Honeysuckle within 15 feet of the path, Cost: about $10,000.

(3) the grassy knoll on the left side of the main road between Harpeth Ridge Condominiums and the first house on the left (784 HTD). Rehabilitation: remove the exotic and other undesirable plants and all dead wood for a depth of about 15 feet into the woods. Cost: $1,220.

(4) the bluff between the two entrances to the Upper Knolls Condos. Rehabilitation: same specifications as (1) above, and add an irrigation Cost: $11,250.

(5) the common area on the left of the main drive from the ?“split?” to Hickory Trace Place. Rehabilitation: remove all Oriental Honeysuckle and other undesirable plants. Cost: $1,220.
No decision by the Board has been made about these projects, but if they are implemented, the work will probably be phased in over a period of time.

An election was held to replace three directors whose terms had expired. Susan Mitchell and Jim Knapp decided to not run for reelection, but Mary Ann Dorris agreed to another term. Steve Helmey and Stuart Schmidt were nominated and all three candidates were elected by acclamation. Names and contact information for all nine Board members, our Ghertner representative, and presidents of condominiums may be found at our website at www.harpethtrace.org.

With no further business, the meeting was adjourned by President Ken Darby.

The Board asks you to remember that overnight parking on the streets of our subdivision is against the rules, and could be disastrous if a fire truck or other emergency vehicle is blocked by your vehicle. Since the rule is against you, your liability could be high.

Pick up after your dogs, especially when you are on the walking path. Hardly anyone claims to enjoy stepping in your doggie?’s do. Try to keep those dogs quiet during the night.

The next regular Board meeting will be t Le Peep restaurant Tuesday, March 7, 2006 at 7:00 a.m.

Respectfully Submitted,

Sanford Payton
Secretary