Board members present: Sonya Barsness, Chip Crane, Myron Davis, Steve Hartman, Larry Sheeler, Jean Thomsin and Cookie Symons. Tom Tempfer, Property Manager from Penn First was also present. In addition there were 6 homeowners present.

1. Call to Order
President Larry Sheeler called the meeting to order at 6:30 p.m.

2. Certify Quorum
7 board members present. Quorum established.

3. Proof of Notice
Proof of Notice was given.

4. Approval of minutes
The minutes of the May 21, 2002 meeting were approved as submitted.

5. Financial Report
Myron Davis presented the Income/Expense Statement and Balance Sheet for the period ending 5/31/02. Year to date we are $1,137 or 13.5% under budget. Our balance sheet shows total of + $15,239 (assets - liabilities). Larry suggested putting $8,000 in a 36 months CD at the best interest possible and no penalty for closing out early. A motion to this effect was made by Myron and seconded by Chip. The motion was approved unanimously.
The Board also reviewed the Delinquency Report as of 6/18/02. It shows an outstanding balance (late assessments and fees) of $60, which is a record low. Myron Davis made a motion to write off outstanding balances under $2.00 to clean up our records. Cookie Symons seconded the motion, which was approved unanimously.
Penn Management (Larry Sheeler) asked the board for guidance when a home pays a late assessment, but ignores the late fee of $5.00. At what point should Penn First send out a late notice (at an additional cost of $5.00 to the homeowner)? Steve Hartman made a motion that Penn First should send out a late notice if the outstanding fees (and interest) are $10.00 or more. Jean Thomsin seconded the motion. The motion was approved unanimously.

6. Committee Reports
ARC - Chip Crane reported that the ARC had received an application to repaint the whole house and trim (915 Spring Island Way - Lot #118) in colors which would stand out in the neighborhood. After some discussion the ARC was given some more time to make a recommendation as to how to decide this issue. The recommendation will be circulated via email to the full board for comment.
Penn First Management received a letter, dated 13 June 2002, from the homeowner of lot #107, who feels strongly that he received a notice of violation about weeds in his flower beds without good reason. Larry Sheeler will discuss the contents of the letter with the ARC and write a response to the homeowner.
Neighborhood Watch - Cookie Symons reported that all is quiet in the neighborhood with no incidents to report.
Newsletter - Sandy and Dennis Horazak were not present at the meeting. Larry suggested that, given the cost of color printing, the article and pictures of the tree planting event on May 11th should be in black and white. Moreover our CI website has a series of color pictures of the event. There was unanimous approval to keep the cost down this way. Larry Sheeler urged the board members to send in copy for the July newsletter to Sandy ASAP.
Hats Off and Yard of the Month - Chip Crane reported that he has made contact both with Lowe's and The Home Depot with the request for sponsoring our Yard of the Month activity. The representatives of both companies indicated that they need a letter from us outlining the specifics of our activity before they can decide to sponsor it. Chip will formulate a letter.
Community Party - (Festival Committee). Allen Huck was not present at the meeting because of illness. Larry Sheeler commented that the committee is off to an excellent start with ideas covering a great variety of aspects for such an event. The event will be on Crystal River Drive on a Saturday in late September. To help the committee Steve Hartman made the motion to accept a cost of up to $500.00 as funding for the event. The motion was seconded by Sonya Barsness and approved unanimously.

7. Old Business
Management Contract - Steve Hartman presented the proposals of three Management Companies who have sent in bids. The companies are Attwood Phillips, Leland Management and Penn First Management. The costs to our community are respectively:
Leland Management: $6,000/yr
Attwood Phillips: $9,600 - $12,000/yr (depends on number of board meetings)
Penn First Management: $6,720/yr (7/02 thru 12/03) and $7,140/yr (1/04 thru 6/05)
Members of the audience were allowed to give input. Ron Wiley objected to the fact that the board was deciding on this very important issue (it is approximately 30% of our total yearly costs), without proper advance information to the Cypress Isles homeowners. Moreover the minutes of last months' meeting (accessible on the CI website under 'Archives') showed that the contract with Penn First Management runs out in August. Actually this is a mistake and should have been June.
Steve and other board members indicated their feeling of satisfaction with Penn First Management thus far. Moreover, the fact that Penn First manages the Waterford Lakes Master association and many other sub-developments in Waterford Lakes has been and will be of great advantage to our community.
Steve Hartman made the motion to go ahead and sign the contract through June 2005 with Penn First Management based on price and previous performance. The motion was defeated with one vote for approval (Steve) and 5 votes No and with Larry Sheeler abstaining due to conflict of interest.
Jean Thomsin made the motion to postpone the vote and decision on this issue until next months' meeting on July 16th. In the meantime these minutes will be published on the CI website ASAP. The motion was seconded by Cookie Symons and accepted unanimously. Larry Sheeler abstained from the vote.
Entrance Lights - Larry Sheeler reported that there is a possibility that the lights will be $300 less to install than previous quotes. Ron Wiley asked to see all past and present proposals for the project. Larry will contact Ron with these details.

8. New Business
CI logo on wall at front entrance - Recently the CI logo on the right pillar has come off. Tom Tempfer reported that the sign can not be glued back on due to damage. He has received a quote from FastSigns for replacement of $238.50 (without installation). Scott Rilea offered to look into this as well as how we go about the issue of signs longer term, since we are spending money on these logos and letters fairly frequently.
Steve Hartman made a motion to allow a total cost of $300.00 (+ tax) to replace the missing CI logo. The motion was seconded by Cookie Symons and accepted unanimously.
(Recommendation: 'keep the glue')

9. Open Forum
Signs on Lake Underhill - Jean Thomsin raised the issue of signs (e.g. to sell your house - "open house") on Lake Underhill. Larry Sheeler responded that any sign on the 'right of way' should be requested and approved by Orange County. Orange County typically does not approve these types of signs in the right of way. A homeowner can place a "for sale" sign is in his or her own front yard.

10. Adjournment
Jean Thomsin made the motion to adjourn, seconded by Myron Davis. The meeting was adjourned at 8:27 PM.

11. Next Meeting
Next meeting is scheduled for Tuesday, July 16th at 6:30 PM.

Notes submitted by Board of Directors
Jean Thomsin, Secretary of the Board -------------------------------