GLACIER VIEW MEADOWS ROAD AND RECREATION ASSOCIATION

GLACIER VIEW MEADOWS WATER AND SEWER ASSOCIATION

JOINT MEETING

November 2, 2001

ATTENDANCE:

Road and Recreation Water and Sewer

August Eykholt-Director Jerry Eubanks-Vice President

Gary Stanton -Treasurer Gene Watt – Treasurer

Merle Niehaus-Asst. Treasurer Alinea Coy- Director

Keith Weeks-Secretary

Kent Christen-Manager

ABSENT:

Jack Reynolds–Vice President Jerry Ryan – Vice President

Chuck Huddleson–Secretary

CALL TO ORDER

Jerry Eubanks called the Joint Emergency Meeting to order at 5:03 pm. Quorum was established.

OLD BUSINESS

D&O Insurance:

Updates on looking for D&O coverage, 5 companies have refused to quote due to loss history. A company called Scottsdale may provide us with one on Monday (11/5/01).

Bob Brandes our attorney has provided us with a statement regarding liability issues (see attached) and directors indemnification.

Motion: by Keith Weeks (see attached)

That the association becomes self-insured in the matter of indemnification or D&O Insurance. To effectuate this end, that current association contingency funds be dedicated to such retainer(s) and other initial expenses required. This self-insured status shall continue until coverage is obtained from a commercial carrier.

In the event no coverage is obtained, the association budgets will have a legal indemnification item added, and this will be funded in an amount which will cover such up front costs which may occur.

As soon as possible after the initiation of indemnification proceedings, a reasonable estimate of total costs will be determined. This estimate will be the basis for whatever special assessment(s) may be required to satisfy the association’s ongoing indemnification requirement.

Discussion

What is the purpose of D&O and Liability Insurance and the difference between them?

Motion carried by Water & Sewer Unanimously.

Motion carried by Road & Recreation Unanimously.

NEW BUSINESS

R&R received the resignation of Chuck Huddleson due to no current D&O Insurance (see attached). They are hoping he will rescind his decision after further review.

Meeting adjourned at 5:30 pm.