Ted Thurman calls the meeting to order at 9:00 am.

MSP Mary Lou Morris motions to accept the minutes from January 7, 2004 as printed. Lloyd Haines seconds the motion. Motion carried.

Executive meeting called at 9:05 am to discuss law suits. Meeting reconvened at 9:57 am.

New wordage for entrance sign discussed. Changes will be submitted to the attorney for approval.

A draft of the fine schedule was presented to the Board of Directors at the January 7^th meeting. The schedule and who would be responsible for enforcement were discussed. Mary Lou Morris suggests contacting other homeowner associations to see what kind of fines they use.

MSP Mary Lou Morris motions to authorize Ted Thurman to take revisions of the entrance sign and the proposed violation fine schedule to the attorney for review. Lloyd Haines seconds the motion. Motion carried.

Minimum cost to construct the RV park is $13,500.00, Maximum $23,200.00. Discussion if other things need to be done, i.e. what would the homeowners like to see done first before money is spent on this project. Discussion of a survey that was done in the past, and doing another one that would be in the ballot mailing.

MSP Mary Lou Morris motions to have Vicki go back through the minutes of the meetings that Max Metcalf conducted, who had the community give their concerns and input, formulate a list of priorities, along with the RV Parking, and get that ready for the mailer to go out in April. Lloyd Haines seconds the motion. Motion carried.

Kevin MacPhee has asked for the funds to get started on the beach accesses. Surveys need to be done first. Since the Budget committee is working on the 2004-2005 budget the Board needs to make a determination of what projects are going to be done and when. Do they need to be done as an emergency expenditure?

M Kevin MacPhee motions to approve the funds needed for the beach accesses as an emergency expenditure and have the Budget committee add the funds to the fiscal year 2003-2004 budget for $1450.00. No second to the motion.

Discussion. (See Explain Budget & Funding of projects process.)

M Kevin MacPhee motions to have the amount of $1450.00 for the beach accesses and put it into an emergency situation so it gets funded for this fiscal year. No second to the motion.

MSP Kevin MacPhee motions to fund the beach accesses in the next fiscal year 2004-2005. Mary Lou Morris seconds the motion. Motion carried.

MSP Kevin MacPhee motions to fund the entrance sign of $1750.00 as an emergency expenditure out of the 2003-2004 budget. Ray Schmidt seconds the motion. 2 for, 2 opposed, Ted Thurman, President, breaks the tie vote and votes to place it in emergency funding. Motion carried. The Budget committee will be notified

The Board of Directors is responsible for all expenditures. Budgeted items do not have to be spent. A budget is a fixed budget and that is what the Board is working under now. The Board has some proposed modifications to add to the budget. The emergency fund is the reserve fund of about $70,000.00. The Board votes in what they want to see happen now, decides if it needs to be put in the next fiscal year 2004-2005 budget, or whether it needs to be projected in the 2005-2006 budget. Projects that need to be budgeted are the entrance sign for $1750.00, the beach access project, etc. There is a definite process that takes place for emergency expenditures which directly relates to the current years budget. If the Board decides it’s an emergency it is taken out of the $70,000.00 or if it’s not considered an emergency it can be put in next years budget. Discussion of what funds are available.

Kevin MacPhee has talked to several of his neighbors and the consensus is to hire deputies to patrol over the Fourth of July weekend. The Fireworks committee has not been formed officially. The committee needs to be formed with the names presented to the Board for approval. They need to submit policies and procedures and submit a dollar amount that they will need to the budget committee.

MS Kevin MacPhee motions to form a Fireworks committee. Mary Lou Morris seconds the motion. Discussion.

MSP Amendment to the motion. Kevin MacPhee motions to change the name to the Committee against Fireworks. Mary Lou Morris seconds the motion. Motion carried.

The Budget committee has asked the Board to accept Judy Lopez as a member of the committee.

MSP Mary Lou Morris motions to approve Judy Lopez as a member of the Budget committee. Lloyd Haines seconds the motion. Motion carried.

Clark Clayton and Judy Lopez have volunteered to be on the Nominating committee.

MSP Lloyd Haines motions to accept Clark Clayton and Judy Lopez as members of the Nominating committee. Ray Schmidt seconds the motion. Motion carried.

Board member Lloyd Haines left at 11:05am.

In the next couple of months there is an incredible amount of work to be done. Vicki and Ron have been put in charge of the pool. Changes and ideas for the pool were submitted to the Board and those items were discussed. A risk management assessment will be done for Bayshore. Policies and procedures have been written for the pool and recreation room. An article will be submitted for the next Breeze publication regarding the changes in the pool schedule, fees and procedures. A letter will be written and sent to all rental agencies and property owners who use their homes as vacation rentals. Supplies need to be purchased.

MSP Ray Schmidt motions to have Vicki go forward with the purchasing of supplies for the pool. Mary Lou Morris and Kevin MacPhee second the motion. Motion carried.

Nikki Webb, the coordinator for the PTO swim program, has asked for the use of the Bayshore Beach Club pool. Discussion.

MSP Mary Lou Morris motions to allow the PTO swim program the use of the Bayshore Beach Club pool from June 14, 2004 to June 25, 2004, Monday through Friday, 8:00am to 1:00pm. Max Metcalf seconds the motion. Motion carried.

MSP Ray Schmidt motions to increase Vicki’s hours to 40 hours a week starting the first Monday in March through the last working day in September 2004. Max Metcalf seconds the motion. Motion carried.

Discussion on the voting process for the ballot. Policies and procedures need to be written for the voting process. Mary Sue Reagen has volunteered to write them.

Discussion of the pool. Pool needs to be emptied, pressure tested, any leaks fixed if necessary and repainted. Ron (caretaker) has made some phone calls to get bids, only one company has responded, bid is for $7900.00 to paint, and $925.00 to pressure test it. Repairs if necessary are not included in these amounts. An additional $1,000 has been added to cover the cost of water to fill the pool back up. Pool is scheduled to open May 24, 2004. Hopefully the weather will cooperate as we need a couple of weeks of good weather to get the job done.

MSP Max Metcalf motions to spend the $925.00 to find the leak and approve the amount of $7900.00 to have the pool re-painted and have the monies come out of the emergency fund. Mary Lou Morris seconds the motion. 3 for, 1 opposed. Motion carried.

MSP Max Metcalf motions to add an additional $1000.00 to cover the cost of water to fill the pool back up and have the monies come out of the emergency fund. Mary Lou Morris seconds the motion. 3 for, 1 opposed. Motion carried.

Discussion of audits done for Bayshore. Last audit was done in 1997. Ted Thurman will get several bids for the cost of an audit and bring them back to the Board.

Ted has asked the Board to approve $10,000.00 for attorney fees for emergencies.

MSP Max Metcalf motions to approve $10,000.00 for attorney fees on an emergency basis and the amount will be taken out of the emergency fund. Kevin MacPhee seconds the motion. Motion carried.

Ted Thurman received a request from property owner Hal Culbertson to have someone from the Board, or have a committee formed, to attend Road District meetings. Board members attend the meetings so it is not necessary to have a committee formed. Ted Thurman will inform Mr. Culbertson of the decision.

Next meeting March 2, 2004 at 9:00am.

MSP Max Metcalf motions to adjourn. Ray Schmidt seconds the motion. Motion carried.

Meeting adjourned at 12:56pm.