Certification Of Quorum A quorum was certified and established with 99 owners represented by proxy or in person.

Call To Order The meeting was called to order at 7:00 p.m.

Introduction/President's Report President, Patty Werdowatz, introduced and thanked the Board members their services over the past year. Appreciation was also given to Audrey Lee for her hard work on the landscape committee, Greg Smutko for working on the Association's web site, Janet and Pat LeRossignol for working on the newsletter, and Joyce Bliss for helping with the coordinating of the clubhouse.

Minutes A motion was made, seconded and carried, to approve the 2004 Annual Meeting Minutes as written.

Treasurers Report Skip Kruszona, Vice President, discussed the financial position of the Association. He informed those present that the Association has done well over the last year even though there has been a significant increase in insurance and water, and long-term maintenance projects have been completed (painting, fence replacement and roofing). The roof maintenance and tree replacement in the canyon area is still in progress and will continue.

Resolution to Transfer Excess Operating Funds to Reserves: Skip Kruszona read the resolution to those present, and a motion made, seconded and carried, to adopted the resolution as follows:

Whereas, Villa Monterey Homeowners Association is a California corporation duly organized and existing under the laws of the state of California; and

Whereas the members desire that the corporation shall act in full accordance with the rulings and regulations of the Internal Revenue Service;

Now, therefore, the members hereby adopt the following resolution by and on the behalf of Villa Monterey Homeowners Association:

Resolved, that any excess of membership income over membership expenses as defined in Internal Revenue Code Section 277 for this year shall be applied against the subsequent tax year member assessments as provided by Internal Revenue Service Revenue Ruling 70-604.

Election Of Directors Explanation of Nominations and voting procedures was explained to those present. Nominations were open from the floor, and with no nominations, the floor was closed. Upon motion made, seconded and carried, the slate of two candidates was accepted by acclamation for a two-year term as follows:

Charles Kachadoorian
Alex Moore

Presentation Owner, Gary Reming, a recent graduate of the CERT program, provided a brief presentation on the CERT program. An emergency response team should be organized to work with the Board and other interested homeowners as a way to prepare the Association in case of a major emergency.

Open Fourm The meeting was open to owners for discussion and there was no discuss.

Adjournment There was no further business, and the meeting was adjourned at 7:30 p.m. into the Organization meeting.

Respectfully Submitted,