1. The Lodge at Snowbird 48th Annual Owners Meeting February 2, 2019

2. Agenda
Introduction of The Lodge at Snowbird Owners Association, Inc. Board of Directors 
Roll Call 
Approval of Last Year’s February 3, 2018 Association Meeting Minutes
Election of Directors
Snowbird Ski & Summer Resort Update – Dave Fields
Little Cottonwood Canyon Real Estate Market – Frank Perkins
The Lodge at Snowbird Financial Report – Dave Cowley 
Capital Improvements and Operations Review – Kay Vogelsang
Bathroom Remodel Update – Albert Urquidi
Management and Rental Agreement Discussion - BOD
Discussion of budget - BOD
New Business 
Adjourn
Roll Call
Approval of minutes – anticipate discussion of timing of the minutes – this is how it has always been done, no directive in the bylaws, management agreement, or rental agreement – happy to change the mechanism
Election of – Lynn Phillips for member of the board and Secretary; Election of Chris Markham for member of the board

3. Proposed Combined Management and Rental Program Agreement
Current Structure:
Property Management Agreement between Snowbird and the Lodge Management Committee (with a 5 year term expiring May 31, 2019).
Rental Agreements are between Snowbird and each individual owner (each agreement having a 2 year term expiring at various intervals depending on when the agreement was executed
Currently one agreement Condominium Management - Focused on management of a HOA
No umbrella rental agreement - everything set forth as individual owner - There is no option to modify any rental agreement
Individual agreements are with the Manager running the front desk- no group decision making
No designation of the Manager beyond the front desk which could allow for other management services to utilize facilities
The goals of this process include:
be more up to date than the 70’s,
be transparent so we can clearly understand and control what we’re paying for and why
align SB & Owners interests in the way where costs and revenue are shared

4. Proposed Structure
Combined Management Agreement and Rental Agreement between Snowbird and the Lodge owners and management committee
A 2 year renewable term with each owner having the right to “opt in” to the rental component of the agreement.

5. Key Advantages of Proposed Structure:
Concurrent Terms.
Current HOA property management agreement has 5 year renewable term.
Current rental agreements have 2 year terms (with the commencement/expiration varying for each owner).
Combined agreement would have a concurrent renewable 2 year term for both property management and rental operations which would be the same for all owners.
2 year term provides performance accountability and the ability to address necessary adjustments at each renewal.
2-year term allows for discussion
Can work with the management to address problems
Right now Snowbird can terminate the agreement with an individual owner if there are problems
If everything is going well there is no reason to change

6. Key Advantages of Proposed Structure:
Elimination of Rental Manager 60-day Termination Right (if 80% of condominium units are not participating in rental program).
Under existing rental agreement, termination on 60 days’ notice could create significant chaos and hardship for the owners participating in the rental program.
Under proposed agreement, the rental manager and the Lodge management committee have 2 year term with days’ notice required for non-renewal. This would allow for planning and a smooth transition if the rental manager were to elect not to renew.

7. Key Advantages of Proposed Structure:
Consolidation of Rental Management Agreement.
Currently, rental agreements are with each individual owner and on varying 2 year terms (which makes modifications almost impossible).
The new agreement would allow the Lodge management committee to act on owners’ behalf to make timely modifications, adjustments to address rental issues and achieve rental goals.

8. Clarification of Rental Manager/Property Manager role in managing front desk, bell desk, similar areas.
Under the current agreements, there is a lack of clarity regarding the handling of the front desk, etc. because these areas are covered in part by the rental agreements with the individual owners and in part by the property management agreement with the Lodge management committee.
Current Activity Includes:
Cleaning up the cost splits between SB & Owners to
Have found a number of things that made no sense to either Snowbird or the HOA – bringing it up to date from the 70’s,
Working on effective wording to enhance transparency so we can clearly understand and control what we’re paying for and why
align SB & Owners interests in the way costs and revenue are shared

9. New Management Agreement
New management agreement will be signed May 1, 2019
All rental pool agreements will be replaced by a common rental agreement
Any rental pool participants who choose not to sign the new agreement will have until the end of their current agreement to opt in to the new agreement
You will not be able to participate in the Bathroom financing
Should your individual rental pool agreement expire, you will no longer be a participant in the rental pool
You have the option of signing on to the common agreement at any time
We will be asking all participants in the rental pool to sign the new agreement in May of 2019
If a rental pool participant chooses not to sign the new agreement they continue to participate in the rental pool until their current agreement expires (which for everyone is over the course of the next year)
If you are not signing the new agreement you will not be able to participate in the financing of the new bathrooms since we would have no legal oversight of your units

10. Common Area Reserve New Coin-op washers and new floor
New Exit Signs throughout the building
Water Softener upgrade
Water fountains
New Laundry Room Washer
New Snow blower
New Sauna Room Heater

11. Common Area Comparison Last Year to This Year
Assessments Remain at $110
Cash Flow running as expected with slightly higher cash balance than projected last year.
Building reserve for exterior building, ADA elevator and balconies.
Balcony Upgrade
Continued vigilance with regard to costs, projects and budget.

12. Furniture Reserve Budget details
Removed "place holder" replaced with actual costs
Holding to proposed budget - only two remaining large projects
Fireplace replacements / upgrades
Carpeting
Build responsible cash reserve - $300K requirement for bathroom remodel financing
Policy of 3-bids for anything over 5K
Rolling expenditures to limit budget spikes
Fireplace replacements Likely move out to 2021
Carpeting
Window treatments - Ongoing
Refinishing the woodwork throughout - 2mil savings, saving a better product - Done
Fund as much of the bathroom redo as possible with Furniture Reserve - reduce the amount of any additional assessment
Technology upgrades - Internet; appliances; TV's
Bathroom assessments to build for anticipated construction October goal of off setting bathroom assessment

13. Furniture Reserve will fund approximately 52% of the Bathroom Renovation.
Balance shown is for anticipated projects, exclusive of bathroom renovation.

14. Furniture Reserve Bathroom Renovation Funding
51% of the entire project will be paid for by our existing Furniture Reserve Assessment.
The balance will be paid by either an owner assessment or direct payment for the renovation.

15. Owner’s Choice: Assessment or Direct Pay
Average Cost of Bathroom with Direct Pay: $16,544
Furniture Reserve $8454 Owner Direct Pay: $8090
Average Cost of Bathroom with Assessment: $18,664.64
Assessment: $120/mo for 76 months
Owner Assessment Paid: $9120
**Averages are approximate, depending on number of units that will be financed**

16. Bathroom assessment Bathroom assessment will begin June 1, 2019
120/month/bathroom
At the time of payoff the final cost will be adjusted based on the bathroom assessment paid
If you do not participate in the rental pool then you will need to commit to paying off the bathrooms October 1, 2019

17. Summary of Bathroom Costs
Average cost of bathrooms $16,544
Option to payoff prior to taking on the loan – avoid financing
52% of the cost will be covered by the furniture reserve
Commitment for payoff must be made September 1, 2019
Payment is due October 1, 2019
There is always the option for those financing to payoff their loan early without penalty

18. Agenda New Business Summer Owners Meeting Ski in Ski out Designation
Introduction of The Lodge at Snowbird Owners Association, Inc. Board of Directors 
Roll Call 
Approval of Last Year’s February 3, 2018 Association Meeting Minutes
Election of Directors
Snowbird Ski & Summer Resort Update – Dave Fields
Little Cottonwood Canyon Real Estate Market – Frank Perkins
The Lodge at Snowbird Financial Report – Dave Cowley 
Capital Improvements and Operations Review – Kay Vogelsang
Bathroom Remodel Update – Albert Urquidi
Management and Rental Agreement Discussion - BOD
Discussion of budget - BOD
New Business
Summer Owners Meeting
Ski in Ski out Designation 
Adjourn
Summer owners meeting
Ski in Ski out Designation