There is a lot going on at Telegraph Landing which may not be apparent as you come and go.

Planning For a Sound Physical Plant

Telegraph Landing is nearly 30 years old, and we need to thoroughly evaluate the physical plant, analyze our repair and replacement needs, and create a sound financial plan.  Treasurer Barry Shiller, who comes from a career as a Silicon Valley senior executive, is putting in 10-20 hours per week learning what our facility needs so we can develop a sound long-term financial plan.  He and Vice President Mort Beebe, along with Property Manager Adele Laurence, spend nearly every Thursday at Telegraph Landing meeting with engineers and other experts to learn what we need to do to preserve our homes and investments.  Since coming on the Board seven months ago, Barry and Mort have been analyzing information and recommendations from experts and engineers, on the condition and needs of our facilities.  On major issues, they consult with competing experts so that we have reliable and valid information on which to make informed business decisions. 

In the last few weeks, The Helsing Group delivered a draft of its independent reserve study, which we get every three years.  This reserve study is an analysis, year by year over the next thirty years, anticipating Telegraph Landing’s long-term financial needs for capital projects, such as painting, roofing, elevators, boilers, intercom system, carpets, lighting, garage, and dozens of other categories.  Once all questions about the draft study have been clarified and answered, the completed study will guide the Finance Committee in the next few months as it develops recommendations to the Board on how to plan financially for our long-term capital needs.  We need to plan so that we have enough monies reserved to pay for each element’s replacement or maintenance when the time comes.  When the Finance Committee’s recommendations are presented, the directors and homeowners will be able to discuss how to best plan financially to maintain our facility.  I hope you will join with me in thanking Barry and Mort for their efforts over these past many months and in thanking the Finance Committee members for their anticipated hard work over the next several months as we address, as a community, our capital projects and financial planning issues.

Building #1 Windows

KC Glass proposed a creative and cost-effective repair for the seven homeowners with serious window leaks in Building #1.  The work was completed in October, and no serious leaks have been reported -- even after the heavy rains in the second week of November.   The KC solution, removing the vertical window systems and installing new sill flashing, cost TL approximately $40,000.  Last May, the Board thought it had only one option, totally replacing all windows and frames, with significant engineering, material, and labor costs.  The informal cost estimates were in the hundreds of thousands of dollars.  Based upon suggestions of Director Faye Bernstein, the Board declined to simply go forward with the costly proposals, researched alternatives, and ultimately found a cost effective way of fixing the leaks.  By identifying and implementing the KC proposal, TL saved several hundred thousand dollars. 

The Townhouse Roofs

In May 2004, the new Board (four newly elected members) had to decide whether to proceed with waterproofing all the townhouse roofs and decks (i.e. balconies) at a cost of approximately $1,000,000.  The previous Board had selected Ferrari Moe to be the engineering firm for that project although it had not authorized Ferrari Moe to develop the detailed drawings.  No contractor had been asked to bid on the project.  We were told that we had to approve the project immediately, or face the impossibility of finishing the repairs before the beginning of the rainy season.  There had been for many months substantial contention whether it was truly necessary re-do all of the surfaces, whether the insurance limitation in Ferrari Moe’s contract was appropriate given a project of this size, and whether dry rot or other problems requiring additional work might be found once the project was under way.  Additional repairs would increase the cost and delay project completion.  

With input from a variety of experts (hours of meetings with experts and analysis by directors Barry, Mort and Faye), the Board decided on a limited project for the summer of 2004: to fix and resurface just the six balconies and roofs with reported leaks and the mechanical roofs (the four roofs above the four elevators shafts in the townhouse buildings).  We limited the project so we could be assured of finishing and so we could be more knowledgeable when we plan the rest of the resurfacing.   We want to be able to anticipate the likely problems, plan an appropriate approach, and avoid doing unnecessary work, 

Director Faye Bernstein oversaw a peer review analysis of the Ferrari Moe design, by its competitor Simpson Gumpertz & Heger (SGH).  Once we were satisfied that the engineering advice was sound, the project proceeded. 

I am pleased to report that the work for 2004 is nearly complete at a cost of approximately $250,000, including the related engineering expenses.  Significant dry rot was found and repaired in these limited areas.  We also learned of many improper construction techniques from thirty-years ago, such as the failure to cap the parapet walls, and install proper flashing.  These defects have caused, or may in the future cause, water damage and dry rot.  After some serious November rains, we tested the nearly completed work and concluded it had not been harmed.  We look forward to finishing the project in early December. 

Throughout the summer and fall, directors Barry Shiller and Mort Beebe attended weekly, then bi-weekly project meetings, with the contractor (Alpha) and the engineer (Ferrari Moe).  They analyzed and worked through dozens of problems, to provide a durable and effective resurfacing of our aging and defectively constructed townhouses.  Barry and Mort were impressed with the expertise of both Alpha and Ferrari Moe, and believe this collaboration has achieved a high-quality and effectively engineered solution.    Barry and Mort have already started, and plan to complete in the next few months, a “lessons learned” analysis with the help of Ferrari Moe and Alpha.  This “lessons learned” report, with photos, will be presented to the members at an upcoming Board meeting.  We will use it, with your input, to understand and plan for future townhouse roof work. 

Engineering Needs

One of the lessons we have already learned from the townhouse roof project is that we need to have engineering advice to properly maintain our physical plant and prioritize repairs and replacement.  This winter the Board will decide on an engineering firm for Telegraph Landing to work with and rely on for our engineering needs for the coming years.  I understand from Barry and Mort that we have three engineering firms to choose from.  Barry and Mort have started interviewing those firms.  At a future Board meeting, the relative merits of the three candidate firms will be discussed by the Board, with homeowner input.  We look forward to making this important decision after a full and open discussion. 

Re-valving in the High Rise Buildings

The thirty year-old water supply system to Buildings #1 and #2 was failing as this Board took office in May.  A simple plumbing repair in one unit could require the shut-off of the entire building or major parts of the building because the antiquated valves were no longer holding.  After considerable analysis by the Board from reports and information supplied by our property manager Adele Laurence, the Board approved a $40,000 project to replace the main valve between Building #1 and Building #2 and the valve sets that control water flow to the units in Building #1.  The November 15 job, which entailed an overnight shut-off of water in both buildings, went very smoothly.  There will be another overnight job coming up in mid-December to finish this project.  Notice will be given to all affected residents. 

Electrical Testing To Avoid Dangerous Conditions 

Previous Boards have addressed and fixed a potentially serious problem of electrical arcing in Buildings #1 and #2 caused by resistive connections between the main bus lines and wiring to individual units.  The risk, if not fixed, is electrical fire.  When this Board started in May, we were told that a potential for arcing existed in the townhouse electrical panels.  Every three years, TL engages an electrical contractor to test and report on arcing in these electrical panels.  Dynaelectric’s recent report gave them a clean bill of health.  At the October meeting, director Faye Bernstein, however, questioned whether more information was needed.  The Board has followed up on her suggestion and has authorized further testing. 

Financial Analysis of Operating Expenses

The Finance Committee (Ram Kumar, Syed Hasib, Patrick Strieck, and Bob Stuart), under the leadership of Treasurer Barry Shiller, worked hard to produce the realistic and lean 2005 budget, which was mailed to all homeowners at the beginning of November.  They continue to look for ways to save on operating expenses. 

One of their focuses has been on garbage. We pay $100 per bin for garbage pick-up and we pay nothing for recyclables pick-up.  I hope you have read the new recycling literature that is posted and was circulated in the past few weeks.  You can now put all of your recyclables, cans, paper, and plastics, together.  If you put your recyclables in any of our recycling bins, and not in the regular garbage bins, you will be shifting from an expensive to a free service.  The TL recycling effort is already receiving much support.  I was at the front desk one morning during the third week of November at around 6:15 a.m. when Adele was phoning to request an additional recyclable pick up that very day because so much had, unexpectedly, been collected.  This is terrific!  Please increase your recycling – this is an easy and important way to keep our costs, and your monthly assessments, down.  Based on early results we believe we can reduce our expenses for garbage collection by about $5,000 per year.

Another focus is a reduction of expenses for landscaping of about $10,000 per year.  These discussions are still underway.

Analysis of Service Contracts

The Finance Committee has also analyzed a major component of expenses, janitorial services.  Our janitorial service provider, Genesis Building Services, employs the janitors who do the cleaning here at TL.  The Finance Committee learned during the summer that there was another janitorial company with excellent service references which could provide the same level, or possibly even better, janitorial services at a significant savings, some $67,000, per year.  At the November meeting, the Finance Committee and the Board had anticipated that there would be a discussion of the advantages of using each janitorial company, deferring until the next meeting any decision.  However, only a few days before the November Board meeting, in response to several recent meetings with Barry and Mort, Genesis said it could cut our expenses by more than $25,000 per year and improve services significantly.   This new development was discussed at the November meeting.  The Board has tabled the discussion for six months, to see if Genesis can satisfy both our financial and performance needs. 

Property Manager Performance Appraisal

The Board will soon be doing a performance appraisal for our property manager, Adele Laurence. The Board welcomes constructive comments from homeowners, both positive and less than positive, about specific instances of interaction with Adele.  Please tell us the specifics of good, or less than good, service you have received.  Please provide this information to me, or if you prefer to all five directors, with your name and unit number, phone number and/or email address, so that we can contact you, if necessary, to get further information.  No anonymous comments will be considered.  We do not intend to disclose the source of any comments, unless it becomes necessary to determine the accuracy of the facts that support the comments.    

Committees Doing Important and Needed Work

Everyone has seen the beautiful work done by the House Committee in decorating our common areas for Halloween and Thanksgiving, as well as outfitting our Club Room with books and videos for our lending library.  The House Committee has also planned the Holiday Faire & Auction to be held on December 3 and the Holiday Party on December 19.   I hope to see you at one or both of these events.  Beginning on December 1, all décor on all lobby tables will be removed.  They will be re-decorated by the House Committee for the winter holidays.  Please express your thanks and appreciation to House Committee Chair Margaret Miller for marshalling all of the wonderful House Committee projects that have made TL a warmer, friendlier and more convivial place to live.  She has been ably supported by House Committee members Mary Slusher, Julie Baker, Marilyn Nichols, Max Gleitzman, Julie Shiller, Laura Davidson, Florence Schwartz Harlan, Faye Bernstein, and Christine Farrell.  Any comments or suggestions about décor should be directed to Margaret.

I also hope you are aware of the terrific job by the Landscape Committee, chaired by Marilyn Benioff, to resuscitate the gardens on the Building #1 and #2 roofs and plan and implement a drip irrigation system for some of the planters.  Feel free to go up there to see what was, only a few months ago, a plant graveyard.  This transformation has been accomplished on a very lean budget.  The “heavy lifters” on our Landscape Committee are Beverly Sutton, Pat Amdur, and Monte Farris.  Beautiful roof gardens not only make Telegraph Landing a more pleasant place to live, they enhance our property values.

The Rules Committee (Barbara Charlton, Jo-ann Rose, Joe Najpaver, Pat Yap, and me) has worked diligently slogging through the legalese of draft CC&Rs and By-Laws which our Association’s attorney Ann Rankin wrote about one year ago, under a contract with the prior Board.  That Board recognized our serious need for current governing documents – the ones we are operating under are twenty years old and woefully out-of-compliance with the many changes in the law.  Having out-of-date governing documents is like having a roof long beyond its useful life – if your winter is dry, no problem, but if you have rains, you’ll really wish you had fixed it, but the damage is already done.  The Rules Committee has spent about 20 hours in meetings in the last few months, and many more hours outside of meetings, reviewing the drafts and making revisions.  Very soon, the committee will send these revisions to Ann as suggestions for her final draft.  The final draft will be circulated to all members in (we hope) January.  An informational meeting for all homeowners with Ann Rankin and the Rules Committee members will be held in late January or February to answer questions and to discuss the draft.  If there are no serious problems with the draft, the membership will be asked to adopt it at our next annual meeting Tuesday, April 12, 2005. 

The Security & Maintenance Committee, chaired by Al Dockus, with the assistance of director Mort Beebe, made a proposal to the Board for additional security equipment around Telegraph Landing, which the Board approved at the October meeting.  This equipment will be installed shortly and we will have increased electronic surveillance capabilities.   Jerry Adams, Frieda Weiner, Suzette Donch, and John Bain have also contributed to the work of this committee. 

The Emergency Preparedness Committee was created at the October meeting and will be chaired by Laura Davidson.  We look forward to thoughtful recommendations in the near future for how TL residents and the Association will address the possibility of earthquake, fire, and terrorism emergencies. 

Beverly Sutton, Communications Committee Chair, assisted by Marilyn Nichols, provides us reliably with up-to-date information regarding Telegraph Landing and our neighborhood on our website, on our bulletin boards, and with this bi-monthly newsletter.  Communications is the crux of every democratic community. 

It Shouldn’t Be a Thankless Job

We are making great strides in improving our facilities and performing sound financial planning.  Our committees are making Telegraph Landing a vibrant, member-oriented community.  We are very fortunate to have so many devoted, community-minded volunteers.  None of the people mentioned in this letter, with the exception of our property manager, receive any compensation for all these hundreds of hours of efforts.  I hope you will express your thanks and appreciation to each of them and convey your respect for their hard work and good intentions.  We are building a better Telegraph Landing, together.

Wishing you a joyous holiday season and a healthy and happy new year.

Nancy