Pioneer Heights Section II

Property Owners Association Inc.

Minutes for the Annual Meeting for 2007

December 05, 2006

1. The 2007 Annual Meeting for the Property Owners Association for Pioneer Heights was called to order at 7:00 p.m. Members of the Board in attendance were: Alex Duff, Eliz Grannis, Phil Hood, Zoltan Palffy, Marci Smith and Ed Stone. Association attorney William Marr was also in attendance.

2. Website: The Association has set up a website to help keep the Homeowners informed of news and activities. The address is pioneerheights.org. Zoltan Palffy also reminded us of the importance of keeping our e-mail address database up to date so that the Board can send messages if necessary. Use of a website/email messaging will provide timely notices to homeowners and cut down on Association expenses.

3. Review of Home Sales and Disclosure Packet Policy: Reflecting the national trend of the slowing down of existing homes sales, our subdivision also showed the same trend. Only three homes sold in Section II of Pioneer Heights since the last meeting. The average sales price was $394,167.

Regarding Disclosure Packets, Eliz Grannis reviewed the procedure which is part of Virginia law. It is up to the seller to contact Eliz Grannis to obtain a packet when selling their property. The fee is $35.00 and the turn around time is approximately 48 hours. All information regarding Disclosure Packets is now on the homeowners’ website.

4. Streetlights and their Repairs: Complaints concerning the streetlights have been voiced. They are perceived as noisy and they often do not turn on. Currently four of the lights are in need of repair. Allegheny Power will be fixing them. More lights have been requested by some homeowners, as some streets only have one, therefore not providing enough light. The board will conduct a survey to assess homeowners’ wishes. No lights will be installed without appropriate approval of all members of the Association by a formal vote. There would be no cost of installation to the Association if new lights are installed next to a green utility box. Allegheny Power will only install lights if the two homeowners immediately adjacent to a utility box give permission for installation. It costs approximately $250.00 annually to pay for the electricity to power each light. This works out to about $2.15 per year per light for each homeowner.

5. Survey of Future Needs: A survey by the Board of Section I was conducted to help with the future revision to the Covenants of Section I. The Board of Section II will also conduct a survey to learn of the desires and concerns of the Homeowners so that all points of view can be considered in any potential amending of the Covenants. The Board will send the survey along with a self-addressed, stamped return envelope to each homeowner to insure a better response rate. Renters will not be allowed to fill out a survey, only the owner of the renter’s property will be allowed to complete a survey.

6. Amending Covenants: The Deed of Covenants (DOC) is a legal document required to be in existence for a Homeowners Association. The DOC of Section II needs to be brought up to date to be consistent with current law and because the original document was not properly written in the first place. This is per advice given to the Association by our attorney. Issues that need to be addressed in the DOC include but are not limited to off-street parking, swimming pools, Pods (the temporary storage system) storage buildings, the handling of buildings that are in some way destroyed (e.g. by fire) and an enforcement policy with penalties for non-compliance with covenants.

Once a preliminary draft of the document has been written, it will go to the attorney so that it can be written in the proper legal manner with correct legal terms. A copy will then be provided to each homeowner for review before the vote for approval. Seventy-five percent of the homeowners (again, not renters) will have to vote yes in order for the passing of the new covenants. Each vote will require notarization. Once the approval is obtained, it will be recorded in the courts.

A rough estimate cost for the entire process can range from $2000.00 to $8000.00 depending on the complexities of the entire process. This cost can be substantially reduced by having the Association do as much of the “leg work” as possible. The estimate for the time line for this is 2008 for a completed document, vote and recording of it.

7. 2006 Budget in Review: The balance at the end of 2006 is $3,853.00.

8. 2007 Budget Presentation and Vote: (See insert for copy of Budget)

It was moved (Steve Kushnir) and seconded to approve the 2007 Budget. The motion passed. Vote was 24 for, 0 against. Of these, 9 voted by proxy.

9. Election of Board Members: The Covenants state that the Board is made up of no fewer than three members and no more than 9. Homeowners who were nominated include: Alex Duff, Eliz Grannis, Phil Hood, Steve Kushnir, Zoltan Palffy, Marci Smith, and Ed Stone. It was moved (John Grannis) and seconded that the slate be accepted by unanimous consent. The motion carried.

10. Question and Answer Session:

* Who is responsible for snow removal? The state.

* What about the repair for our roads. The subdivision is up for

resurfacing via the slurry seal method in 2007. If there are specific

needs or repairs that need to be made, please contact Phil Hood.

* If the covenants change, what happens to homeowners who were once

in compliance but are no longer so? Mr. Marr spoke to this issue. The

homeowner would be notified as to the noncompliance, but would be

grandfathered in as long as he owns the property. When the property is

put on the market for sale, a statement in the Disclosure Packet would

be included explaining the item is not in compliance. It would then be

up to the seller and potential buyer to negotiate the details of putting the

property into compliance.

* What is happening with the dead tree in the commons area on Asbury?

It will be cut down, we are looking for a competitive price.

* Will there be a neighborhood yard sale? Yes, we just need a

committee to organize it. The Association will pay for advertising.

We hope to organize and hold a sale in the spring.

It was moved and seconded to adjourn.

Respectfully submitted,

Marci Smith

Secretary