Annual General Assembly
January 22nd 2011
Assembly Minutes:

Validation of Legal Quorum:
Registration and collection of proxies was performed by Mrs. Lynda Saveski and Mr. Ross Anfuso. Validation of quorum & proxies was performed by HOA representative attorney Francisco Castro.

Quorum is to be calculated according to properties General’s divisible percentages as it pertains to Sonora State Condominium Regime Law and Las Palmas recorded condominium regime as well.

Such properties’ General divisible percentages are provided in the chart attached to the voting ballots handed out at registration.

Official attendance provided in chart attached.
 
Introduction of Board of Directors, Manager and Officials:
The Introduction of Board Members: Jaana Ponzio, Bruce Turner and Dan Dimovski was performed as well as Francisco Montano, HOA Manager – Lynda Saveski, HOA Collection Office – Attorney Francisco Castro, representing HOA for Validating General Assembly and Lien procedures on special delinquent accounts.

Attorney Francisco Castro was introduced to the home owner audience and his role on representing Las Palmas HOA on Legal Procedures was explained as well as mentioning that this type of cases headed by his law firm had set a precedent in local Law practice.


Board Member election and voting procedures:
As Las Palmas CC& R’s rules on replacing a Board Member every 3 years in office, Dan Dimovski’s term has reached expiration, nominations calls were done from the floor and invitations to send their resumes were previously set on Las Palmas website and sent by e-mails.

Voting weigh/value is to be determined by the General’s divisible percentages on each property part of Las Palmas Community Association as a whole entity as well as being the base structure to calculate HOA home owner fees.

It was explained to the home owners in attendance that in order to make the meeting more fluent, voting process would take place at the same time for the items subject to be voted as expositions, explanations and statements on agenda items would be carried out first.

There was no other nomination motion on the floor than the one made by Mr. Bruce Turner, nominating Mr. Dan Dimovski for a second 3 year term as part of Las Palmas Board of Directors.

Mr. Dan Dimovski was elected by the home owners in attendance for a second 3 year term position on Las Palmas HOA Board of Directors by meeting’s total attendance agreement being reflected in as a unanimous voting decision.

Official voting results provided in chart attached.

3 Year Term Board Member, Dan Dimovski’s exposition on Board accomplishments & 2010 cost saving measures.
2010 was a year where a General beautification project started intended to get all common areas in the best shape possible. These improvements and beautifications are possible due to 2 years of savings from our operation budget. Some of these improvements & installations to the common areas include:

Installation of rope lights on palm trees, installation of planter pots in central path way, stoned pic-nic tables & benches for buildings common areas, construction of ocean view rest area with tables-benches & umbrellas, creation of designated handicap areas, 3 brand new public computers w/internet connection, Las Palmas mosaic logo installed in club house, new table, TV furniture, 50” plasma tv & blue ray player inside club house, building’s light sensors in order to save power, painting of all 4 towers, club house and 20 villas, installation of 7 Palapas inside Las Palmas property boundaries, service and acquisition of TV system which include Phoenix area local channels, major national US networks and 2 Mexican major networks, placing of ground black plastic under gravel-rocks common areas to avoid weed growth, placing of fan inside fitness room, some underway and 2011 plans to continue with these beautification projects moving forward.

Main source of savings is to keep utilities such as propane, power and water under control which has to do with irrigation control, propane management and power management which have reflected in big bucks saved during 2009 & 2010 years.

Review and Progress of 2010 Board’s cost saving measures applied by HOA On site management: Francisco Montano
We continued with the policy of searching in outside markets in order to get the best possible prices on all parts, raw material used in order to keep our operation running and materials as well as bringing material very expensive and difficult to find in the market from USA cities.

The management of Propane has proven to be very effective last couple of years, although it translates on a sometimes unpopular decision when it has come to turn on heaters to warm pools specifically due to a minimum occupancy requirement of 18-20% policy.

Summer time has always been a great challenge in terms of applying good & efficient pool chemicals to our 3 pools and 5 spas as well as controlling equipment and A/C units in the common areas coming down again to another big utility factor: power.

Water is as well the third musketeer in terms of big utility expense which we’ve been able to keep under budget by applying several strategies on the common areas through the years having basically to do with the optimization of the most attractive grounds areas and the conversion of small- narrow areas not very visible nor attractive to deserted rocky-graveled grounds.

Restaurant – Bar Status – New Operators:
Chef Mickey Medina has stumbled in Las Palmas to be the operator of Las Palmas’ chef mickeys place starting with a starting period of 6 months and an extension trial period of 3 months before final evaluation and long term agreement. Actual information from these periods is to be the source of information for the board in order to work out the best and fair long term agreement.

Mr. Javier Marquez is the Bar and Pool side Bar Operator subject to identical starting and extension trial period.

Board Appointment of Lyn Rubin for Food & Beverage committee to put forward a Project proposal to improve Restaurant-Bar Area.
Mrs. Lyn Rubin was appointed by the Board of Directors to be the advisor in putting forward a proposal to improve and extend the current Restaurant service. Project consists in providing options to enclose downstairs area, constructing a pony wall surrounding it and enclose club house terrace area as well to extend Bar service too.

The idea and feasibility of this project is subject to be voted only for more research, design and cost options.

Assembly voting results indicated the direction to keep looking into this project for better design & cost proposal as home owners approved its feasibility.

Official voting results provided in Chart attached.

Progress & Updated information of Las Palmas Fees and Voting structure as it pertains to Sonora State Condominium Regime Law:
Voting weight and Calculation of HOA dues are determined by the General’s Divisible Percentage of each property in correlation to the entire’s resort percentage – 100%

These values are available at Las Palmas website and were handed out at this assembly.

The General’s divisible percentage was calculated and defined in Las Palmas Condominium Regime Document recorded by Developer and calculated by the engineering staff in charge of managing this project.

This figures expressing-defining the percentage/value of each private property to the General Project is consistent to Sonora State Condominium Regime Law.

This statement was mentioned, explained, reviewed and ratified at the General Assembly which took place on February the 13th 2010 having already passed the proper legal protocol and registration at Public Registry of Puerto Penasco, Sonora, Mexico.

2010 HOA Manager’s Financial Reports Presentation:
All 2010 Financial reports were presented, explained and submitted to the home owners in attendance as well as available at Las Palmas web site.

2010 Reports are to be part of these minutes as attachments.

2011 HOA Operation Budget presentation & voting:
2011 HOA Operation Budget was presented to the home-owners.

Assembly voting results showed the approval of 2011 HOA Operation Budget.

Official Voting results provided in chart attached.

Replacing of existing Lounge Chairs or Repair Plan. Voting to get home-owner’s direction:
Voting indicated the direction of repair the existing aluminum lounge chairs by re-doing the current cushions in dark brown-brick color and get options to get them re-painted by using the powder coating and baked paint method.

Cushions are to be made locally and baked paint job is intended to be done in Mexicali city ( Baja California State Capital City ) where we avoid customs, shorter distance from Penasco and get a lower tax rate.