Condominium Insurance Coverage
The Associations first layer Insurance Carrier Essex has indicated that the Condominium Insurance Policy includes items that were in condominiums at time of developer sale, the policy excludes all after developer upgrades and sales incentives such as interior furniture packages or additions from original construction plans. Individual owners are responsible for all their interior furnishings.
The first insurance layer is associated with a five million dollar claim. Claims exceeding that amount will be negotiated with Lexington which is the Association's second insurance layer.
Thursday, October 30, 2008
Pointe West Club Questions
Club
1. Heard from reliable sources that PW hospitality revenues do not go back to the resort. Is this correct?
All revenues are re-invested back into the club operations. We operate at a deficit and proceeds from the rental program are used to help support the operation such as; maintenance, staffing levels, insurance, utilities and daily club operations.
2. I was told PMG is looking into a code system for the gates that would allow owners entry through the gates with their owner cards. What is the status of this? Until this is implemented, PMG needs to give owners the code over the phone.
We are currently reviewing the controlled access to the clubs and we are still seeking the best option that is not only beneficial but is cost effective as well. Security codes will not be given over the phone or via email as there is no reasonable way to verify who we are giving codes to. We are working hard to ensure the controlled access to the club and only allow Owners and properly registered guests into the facility. All codes the club will only distributed through TerraMesa at the reception desk.
3. Do we have loss of business insurance for units in PW rental program?
TerraMesa carries loss of business insurance for any lost rental income, in addition to other lost business, such as food & beverage and activities.
4. When will the per person daily club fee for non-PW rentals begin?
At this time there is no definitive timeline on when the program will be introduced, however, the potential timeline would be prior to June 1, 2009.
5. Homeowners in the PW rental program want a permanent code to their units. This was needed immediately following Ike.
Permanent security codes will not be given over the phone or via email as there is no reasonable way to verify who we are giving codes to.
6. Moot point I am sure but what designs enabled the beach club to have power and water so much sooner than the Villas?
The Beach Club has a private concrete encased underground conduit system and it has only one meter at FM 3005. The water system is still in the reconstruction stage.
7. When do you plan to open the beach club and the lazy river pool?
The Beach Club is currently fully operational at this time including; the Sea Mist Lounge with internet access, Pool, Fitness Center and Locker Rooms. As of Friday, October 24, 2008 the Beach Club was fully operational. The Bay Water pool has significant damage and will take some time to complete. We are currently working with our contractors and receiving bids for the repairs.
8. What is the status of the restaurant? Is Chef Henry planning to re-open?
As of Friday, October 16, 2008 Breezes was approved for re-opening by the county officials. We will be looking to re-open prior to November 1, 2008.
9. During peak times a PW employee should be at that lazy river pool to enforce compliance with rules.
Staffing levels are being addressed. We are working on providing consistent services and staffing levels to the clubs.
10. What is the status of Pointe West employees? Are any still retained? Are any planning to re-join Pointe West?
All employees that remained with the company after the storm are now back at work.
11. We need to have regularly scheduled meetings for the HWs in the PW rental program and TM and PW hospitality that includes representatives from TM and PW hospitality.
Item will be put on agenda for post reconstruction agenda.
12. My understanding is that elevators were not stationed on the a high floor prior to Ike, therefore they were unnecessarily damaged due to management oversight. Also, no patio furniture was moved indoors. The most basic pre-hurricane precautions were not taken. Frankly, I am very disappointed with management. Even my patio furniture for my condo in the PW rental program was not moved indoors.
The association is not responsible for individual’s personal contents. It is the owner’s responsibility to ensure that their patio furniture is secure in the event of a storm.
13. The rental program would make owners cringe -- living there full-time I have been shocked by what renters have been allowed to do to and in/outside the cottages. Not sure what "checks" are done on the "who" and "how many" allowed to stay in cottages.
For the units with-in our rental program we enforce no more than two persons per bedroom. However, we have minimal control of residences that are not managed by TerraMesa. If the front desk is notified of a complaint we will dispatch the call to HOA on site security to address the tenants. The nightly report is provided to your onsite association manager, Eileen Penn.
1. Heard from reliable sources that PW hospitality revenues do not go back to the resort. Is this correct?
All revenues are re-invested back into the club operations. We operate at a deficit and proceeds from the rental program are used to help support the operation such as; maintenance, staffing levels, insurance, utilities and daily club operations.
2. I was told PMG is looking into a code system for the gates that would allow owners entry through the gates with their owner cards. What is the status of this? Until this is implemented, PMG needs to give owners the code over the phone.
We are currently reviewing the controlled access to the clubs and we are still seeking the best option that is not only beneficial but is cost effective as well. Security codes will not be given over the phone or via email as there is no reasonable way to verify who we are giving codes to. We are working hard to ensure the controlled access to the club and only allow Owners and properly registered guests into the facility. All codes the club will only distributed through TerraMesa at the reception desk.
3. Do we have loss of business insurance for units in PW rental program?
TerraMesa carries loss of business insurance for any lost rental income, in addition to other lost business, such as food & beverage and activities.
4. When will the per person daily club fee for non-PW rentals begin?
At this time there is no definitive timeline on when the program will be introduced, however, the potential timeline would be prior to June 1, 2009.
5. Homeowners in the PW rental program want a permanent code to their units. This was needed immediately following Ike.
Permanent security codes will not be given over the phone or via email as there is no reasonable way to verify who we are giving codes to.
6. Moot point I am sure but what designs enabled the beach club to have power and water so much sooner than the Villas?
The Beach Club has a private concrete encased underground conduit system and it has only one meter at FM 3005. The water system is still in the reconstruction stage.
7. When do you plan to open the beach club and the lazy river pool?
The Beach Club is currently fully operational at this time including; the Sea Mist Lounge with internet access, Pool, Fitness Center and Locker Rooms. As of Friday, October 24, 2008 the Beach Club was fully operational. The Bay Water pool has significant damage and will take some time to complete. We are currently working with our contractors and receiving bids for the repairs.
8. What is the status of the restaurant? Is Chef Henry planning to re-open?
As of Friday, October 16, 2008 Breezes was approved for re-opening by the county officials. We will be looking to re-open prior to November 1, 2008.
9. During peak times a PW employee should be at that lazy river pool to enforce compliance with rules.
Staffing levels are being addressed. We are working on providing consistent services and staffing levels to the clubs.
10. What is the status of Pointe West employees? Are any still retained? Are any planning to re-join Pointe West?
All employees that remained with the company after the storm are now back at work.
11. We need to have regularly scheduled meetings for the HWs in the PW rental program and TM and PW hospitality that includes representatives from TM and PW hospitality.
Item will be put on agenda for post reconstruction agenda.
12. My understanding is that elevators were not stationed on the a high floor prior to Ike, therefore they were unnecessarily damaged due to management oversight. Also, no patio furniture was moved indoors. The most basic pre-hurricane precautions were not taken. Frankly, I am very disappointed with management. Even my patio furniture for my condo in the PW rental program was not moved indoors.
The association is not responsible for individual’s personal contents. It is the owner’s responsibility to ensure that their patio furniture is secure in the event of a storm.
13. The rental program would make owners cringe -- living there full-time I have been shocked by what renters have been allowed to do to and in/outside the cottages. Not sure what "checks" are done on the "who" and "how many" allowed to stay in cottages.
For the units with-in our rental program we enforce no more than two persons per bedroom. However, we have minimal control of residences that are not managed by TerraMesa. If the front desk is notified of a complaint we will dispatch the call to HOA on site security to address the tenants. The nightly report is provided to your onsite association manager, Eileen Penn.
Pointe West Association Questions
Association Financial Topics
1. What is the status of ALL delinquent homeowner association assessments? Most feel that the owners that consistently pay all of their assessments in a timely manner should receive priority remediation, cleanup and reconstruction. Why isn’t this possible?
Starting November 30, 2008 PMG will post current account reports including the delinquent accounts onto the PMG website.
The Board of Directors has reviewed all options related to the expedient reconstruction of the community. The most efficient and cost effective schedules will be established after thorough construction and financial analysis is completed for each building. Currently the board is obtaining volume reconstruction pricing from general contractors. The delay of certain condominiums will increase management costs and negatively impact volume pricing.
The Associations have reviewed a “white boxing” approach that would leave condominiums associated with delinquent Association dues at the sheetrock stage. Association bylaws and legal counsel have both indicated that the reconstruction shall be in accordance with the plans and specifications under which the Condominium was originally constructed. In reviewing the options for the benefit of the community the unfinished condominiums would devalue the community as a whole. The board’s strategy is to reconstruct the condominiums so that a struggling owner can sell the condominium to an owner that can support the financial obligations of condominium ownership.
2. When will liens be assessed on owners who haven't paid their monthly dues? Describe the process in detail.
All Associations have had a phased delinquent account policy since September 2007 that imposes liens on delinquent accounts. Numerous owners have received the lien notices. Following is a brief summary of the policy, please refer to PMG website for a complete copy of the delinquent policy.
Certified letter stating 30 days to settle account
Credit bureau reporting
Liens placed on delinquent accounts
Attorney involvement with Association option to foreclose on property
3. Where are the entire monthly dues collected going and why are there no reserves?
As a regular practice the Association budgets have been available on the PMG website. These detail the various financial commitments that are required to maintain the community. The associations fund the reserves in accordance to a reserve study that determines future replacements costs. To date the Associations have funded the reserves in accordance to replacement schedules defined in the reserve study.
4. What is the deductible on our insurance policies for the Villa's?
The deductibles are based on the square footage of each condominium. These will be provided at the November 1, 2008 meeting.
5. Homeowners want a copy of the current Master Insurance Policy available on the website.
The insurance policies will be posted on the website and available for printing.
Association Special Assessment Topics
6. What is the amount of the association deductible and how many condos will share in it? I am pretty sure we can get a FEMA loan to cover it. The association should be applying to FEMA to cover the deductable NOW- as we KNOW we will owe at least this amount. Does anyone know if this is happening?
The deductibles for the condominium associations are based on the square footage of each condominium. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
The POA deductible is divided evenly by all 557 owners. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
The Board for all three associations is in the process of reviewing loan options for the associations thru the Small Business Administration.
7. Does anyone know if Villa homeowners would share equally in special assessments for ALL PW Villas, or would the homeowners of each building be responsible for their portion of a special assessment for their particular building? What is the exact equation for determining the special assessment?
Special assessments will be specific to the unit and the building. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
8. Is the Pointe West Property Homeowners Association contemplating making any special assessments, and if so, why are they necessary and how much will they be?
Yes, the special assessment would cover the deductible and the replacement of any common elements that are not covered by the insurance policy. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
Status
9. Can we have an online daily status updates on all phases of the project, including damage assessment and time-line by building. This can easily be done on a spreadsheet?
The Board will provide updates on the blog on the status of items as they change. The damage assessment reports and schedules are available in hard copy at the Beach Club Front Desk for owners to review and electronic copies will be posted to the associations website as they become available in PDF format.
10. Please advise what the process is for obtaining a copy of the report on my unit.
The damage assessment reports are available in hard copy at the Beach Club Front Desk for owners to review and electronic copies will be posted to the associations website as they become available in PDF.
Reconstruction
11. Electricity and water should be a TOP priority for all buildings, so that minimally damaged units can be utilized sooner.
The association recognizes the importance of repairing these systems and is in the process of making the necessary repairs. However, the buildings will not be ready for occupancy until all fire and life safety systems have been repaired. Tear out and sanitizing operations are underway to mitigate further damage.
12. Explain the process of turning power and water on. What is required by Centerpoint, the city, etc. How is PMG coordinating with hospitality to do this correctly and in a timely manner?
The City and CenterPointe have established a safe protocol that the Condominium Associations are following to provide electrical services. Water services will be restored to condominiums as part of the overall reconstruction of the buildings.
13. What options are there to make repairs faster?
All owners could pay assessments based on early construction estimates instead of negotiating agreements with insurance companies. Contractors will assess additional fees to their original bid/scope if the association asks for overtime construction hours. Typically, these costs will not be covered by insurance and it would be the responsibility of the association and the owners to pay the additional cost.
14. Will the work on the electrical system fix the existing system or will there be revisions to prevent this from happening in the next hurricane?
The electrical system was installed per current building codes and City of Galveston requirements. The electrical system received water intrusion due to hurricane flooding and is being repaired to ensure that the water intrusion damage is taken care of with this insurance claim instead of failure months from now that would not be covered by insurance.
15. The repair time line should begin with work to mitigate further damage, such as roof repair, sheetrock removal and mold remediation(if required). This should occur in ALL units first, with replacement sheetrock, carpet, paint to follow only after mitigation steps are completed in ALL units first.
The associations are working on envelope repairs (i.e. roofing, patios, etc.) and water intrusion/model remediation at the same time to all units. Once, these items have been repaired or completed the association will begin the interior repairs.
16. Reminder…Tile and wood flooring cannot replace carpet on the second and third floors per bylaws. Foot thuds are already a problem.
The interior finishes of units will be repaired to their state at time of sale from the developer.
17. What are the plans for rebuilding the dunes? Any plans for adding sand to the beach?
The West Galveston Island Property Owners Association, which Pointe West is a member, is working on a proposal to be submitted to the FEMA and the GLO for an extension of the seawall that continues to the western tip of the island. The structure would be a rock revetment sand dune. The top of the structure would serve as a bike and walking path. The initial write up and drawing will be posted to the association’s website.
18. When will the repair or replacement of the walkovers begin and when will the repairs/replacement be completed?
If POA assessments are received in a timely manner the repairs will begin in December and be completed by May.
19. When will the beach cleaning begin and when will it be finished?
Due to the nature of the debris that has washed up on the beach the City of Galveston and the GLO will be responsible for the removal of the material. A timeline for this has not been determined at this time since the scope is still under City and State bid stage of the process.
Mold
20. Explain what a mold remediation certificate is exactly and when or if it is required. If required, explain what constitutes mold remediation in terms of obtaining the certificate.
A mold remediation certificate verifies that your unit is free and clear of mold. This certificate is required of all reconstruction after such a storm event.
21. Does the villa association insurance pay for mold remediation? It looks as if TWIA excludes it under any circumstances. If that is the case, who will pay for it to be removed? The homeowner or a special assessment (all homeowners)?
The association’s insurance policy has a mold exclusion. However, the association is taking the stance with the insurance company that any growth resulting from water intrusion due to the storm should be covered by the insurance company because the wet building material would need to be replaced anyways due to water damage.
Misc.
22. We want a principle owner of Terra Mesa or McFarlan at the Nov. 1 meeting.
The November 1 meeting is for the condo association with owners being the majority members, thus Terramesa and McFarlan principles will not be in attendance.
23. How do we get more owners on the Boards? When do the board members come up for reelection?
More owners will be placed on the board as we approach the developer turn over period. Currently, the developer turnover period for both Condo Associations is 2010. Therefore, another homeowner will most likely be appointed to the board in late 2009 with full turnover to the homeowners mid to late 2010.
Board members during the developer control period are appointed not elected. Once turnover to the homeowners occur, board members serve a two year term and must be re-elected to continue forward.
24. I thought the board members are appointed by TM and not elected but because PW is not built out yet. Can anyone clarify?
See question 23.
25. What is the status of elevator repairs and insurance coverage covering repair costs? We understand that the elevators were all scheduled to be refurbished under warranty before IKE. They would be covered under the flood insurance and that there should be no expense to the HWs.
ThyssenKrupp had material offsite that was ready for installation before the storm. They are currently determining if additional material will be needed as a result of the storm. The complete restoration cost associated with all elevators is part of the flood and wind insurance claim. The only expense to owners would be their share of the deductible.
26. Give us an update on the mosquito control and the test that was discussed at March meeting?
The mosquito control system test performed well and the Board approved the install of the system throughout the community. The system was installed and operating prior to the storm. The control boxes incurred damage during the storm and are inoperable at this time.
27. Security procedures - never see anyone patrolling at night around the cottages or larger home sites? When is security on duty? Do they drive to all buildings nightly?
Prior to the storm the POA employed one onsite security officer from the hours of 6PM to 6AM. The officer made routine patrols throughout the entire neighborhood and walked the floors of each condo building. Board members elected to install small chips throughout the property that the officer must wave a security wand over during his routes. The chips recorded the date and time and frequency that the officer patrolled the area allowing the board to ensure that all areas are being adequately patrolled.
After the storm the board has approved an additional onsite officer and the installed security fencing and additional lighting around the condominium buildings.
28. Would TM be willing to hire a lobbyist to be an advocate for casinos on Galveston Island. This would greatly help rebuild the island and bring value to all home owners and resorts?
The association is not aware of Terramesa position as it relates to this matter.
29. Buildings with garbage chutes, still need garbage cans placed by the elevators. This will help our buildings free from unsightly garbage and bugs.
The association will consider this matter during its annual budget review process.
30. I would like to see a new / better company replace PMG. How can PW owners participate in this decision.
All decisions regarding a management company will be made by the board but suggestions from owners are always welcome.
31. We are formally requesting that PW/TM must put a written and documented Hurricane plan in place prior to the 2009 Hurricane season. We want this available to all HWs before the 2009 Hurricane season. It should include specific details and steps that will be completed at various time frames leading up to landfall (e.g. 96hrs-72hrs-48hrs-24hrs). Should include things like putting elevators on 3rd floor level, bringing PW rental units patio furniture inside, etc.
The association will establish a sub-committee consisting of owners that will be tasked with revising the hurricane preparedness guide.
32. In my opinion, TM management should pay part of the deductible due to incompetence (for elevators and any missing patio furniture in the PW program, etc.).
Terramesa will not be paying a portion of the deductible. It is responsibility of the associations and the owners to secure their personal property and their common interest/property.
33. Quarterly board meeting minutes need to be updated on the website.
Meeting minutes are posted on the website and available through Principal Management Group.
34. Was the quarterly June board meeting conducted? Where are the minutes?
The meeting was held in July. Meeting minutes are posted on the website and available through Principal Management Group.
35. Why are the flood policies deductibles for 4141, 4131, 4121, and 4111 $1000 each and all other buildings $5000? That being the case, do these buildings pay a higher quarterly assessment to cover these lower deductibles?
The flood deductible for each building is $5000.00.
Cottage questions
36. Serious water bill issues from last summer when the landscaping company changed our sprinklers without permission – June-July bill of $532; July-August bill of $570. My bill averaged $100 for 30 months. PMG and TM refused to take responsibility.
Cottage owners are responsible for their own water usage. The cottage owners pay a service assessment to have their lawns maintained and a monthly irrigation system check. If an owner would like the landscaping company to forego the maintenance on their irrigation system they can do so by contacting Eileen Penn with PMG.
37. Landscaping services have gone down in quality over the past year with our costs remaining the same. Parking large mowers under my home cracked the concrete, they are now parking under other homes after I complained.
Landscapers should not be parking equipment under owners’ home. We will discuss this with the landscaping company and inform them that this should not occur under any circumstances.
38. Breakdown of our fees by cottages - homes - lots - villas (insurance costs for villa structures should be separated from insurance on common areas/beach club. Cottages individually pay about $1,000/month for wind/flood/homeowners)
The amount that owners will have to pay for hurricane repairs and insurance deductibles will be broken down on an individual and association basis. Villa insurance premiums are paid by the Condominium Associations.
39. What is the plan for the reclaimed sand? Can it go towards building the Dunes up higher in front of the cottages? This partly addressed in Q #17 but my question is specifically for cottages.
The minimal amount of sand in the cottage road area has been retuned to the dunes in front of the cottages.
40. Does TM plan to file paper work with the city to rebuild the cottage dunes? When can we expect this to happen and can a timeline be provided to the owners.
See Question 17.
41. When will grading issues be addressed for the beachfront cottages. Due to washed up sand, water now drains into some homes as opposed to away from the home. This will cause stagnant water and further mosquito infestation.
The POA will review condition and obtain proposal for inclusion in Hurricane cleanup assessment to homeowners.
42. Who is the final authority (decision making) figure for landscaping decisions regarding restoration?
All decisions regarding community maintenance, restoration and operation are made by the various board of directors to each association.
43. Can owners get up to 2 decals (or placards that cannot be replicated)for their automobile. I was told by PMG that this is being considered – what is the status?
PMG will obtain proposal for such stickers and present to POA for discussion and potential approval.
44. Will TM consider investing in signs such and ‘Area patrolled by security’ for the entrances or ‘towing enforced: do not block driveways’ for the cottages and homes
PMG will obtain proposals and provide to the various board of directors to determine if such items can be added into next year’s budget.
1. What is the status of ALL delinquent homeowner association assessments? Most feel that the owners that consistently pay all of their assessments in a timely manner should receive priority remediation, cleanup and reconstruction. Why isn’t this possible?
Starting November 30, 2008 PMG will post current account reports including the delinquent accounts onto the PMG website.
The Board of Directors has reviewed all options related to the expedient reconstruction of the community. The most efficient and cost effective schedules will be established after thorough construction and financial analysis is completed for each building. Currently the board is obtaining volume reconstruction pricing from general contractors. The delay of certain condominiums will increase management costs and negatively impact volume pricing.
The Associations have reviewed a “white boxing” approach that would leave condominiums associated with delinquent Association dues at the sheetrock stage. Association bylaws and legal counsel have both indicated that the reconstruction shall be in accordance with the plans and specifications under which the Condominium was originally constructed. In reviewing the options for the benefit of the community the unfinished condominiums would devalue the community as a whole. The board’s strategy is to reconstruct the condominiums so that a struggling owner can sell the condominium to an owner that can support the financial obligations of condominium ownership.
2. When will liens be assessed on owners who haven't paid their monthly dues? Describe the process in detail.
All Associations have had a phased delinquent account policy since September 2007 that imposes liens on delinquent accounts. Numerous owners have received the lien notices. Following is a brief summary of the policy, please refer to PMG website for a complete copy of the delinquent policy.
Certified letter stating 30 days to settle account
Credit bureau reporting
Liens placed on delinquent accounts
Attorney involvement with Association option to foreclose on property
3. Where are the entire monthly dues collected going and why are there no reserves?
As a regular practice the Association budgets have been available on the PMG website. These detail the various financial commitments that are required to maintain the community. The associations fund the reserves in accordance to a reserve study that determines future replacements costs. To date the Associations have funded the reserves in accordance to replacement schedules defined in the reserve study.
4. What is the deductible on our insurance policies for the Villa's?
The deductibles are based on the square footage of each condominium. These will be provided at the November 1, 2008 meeting.
5. Homeowners want a copy of the current Master Insurance Policy available on the website.
The insurance policies will be posted on the website and available for printing.
Association Special Assessment Topics
6. What is the amount of the association deductible and how many condos will share in it? I am pretty sure we can get a FEMA loan to cover it. The association should be applying to FEMA to cover the deductable NOW- as we KNOW we will owe at least this amount. Does anyone know if this is happening?
The deductibles for the condominium associations are based on the square footage of each condominium. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
The POA deductible is divided evenly by all 557 owners. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
The Board for all three associations is in the process of reviewing loan options for the associations thru the Small Business Administration.
7. Does anyone know if Villa homeowners would share equally in special assessments for ALL PW Villas, or would the homeowners of each building be responsible for their portion of a special assessment for their particular building? What is the exact equation for determining the special assessment?
Special assessments will be specific to the unit and the building. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
8. Is the Pointe West Property Homeowners Association contemplating making any special assessments, and if so, why are they necessary and how much will they be?
Yes, the special assessment would cover the deductible and the replacement of any common elements that are not covered by the insurance policy. The amount and the backup showing how the board arrived at this amount will be provided at the November 1, 2008 meeting.
Status
9. Can we have an online daily status updates on all phases of the project, including damage assessment and time-line by building. This can easily be done on a spreadsheet?
The Board will provide updates on the blog on the status of items as they change. The damage assessment reports and schedules are available in hard copy at the Beach Club Front Desk for owners to review and electronic copies will be posted to the associations website as they become available in PDF format.
10. Please advise what the process is for obtaining a copy of the report on my unit.
The damage assessment reports are available in hard copy at the Beach Club Front Desk for owners to review and electronic copies will be posted to the associations website as they become available in PDF.
Reconstruction
11. Electricity and water should be a TOP priority for all buildings, so that minimally damaged units can be utilized sooner.
The association recognizes the importance of repairing these systems and is in the process of making the necessary repairs. However, the buildings will not be ready for occupancy until all fire and life safety systems have been repaired. Tear out and sanitizing operations are underway to mitigate further damage.
12. Explain the process of turning power and water on. What is required by Centerpoint, the city, etc. How is PMG coordinating with hospitality to do this correctly and in a timely manner?
The City and CenterPointe have established a safe protocol that the Condominium Associations are following to provide electrical services. Water services will be restored to condominiums as part of the overall reconstruction of the buildings.
13. What options are there to make repairs faster?
All owners could pay assessments based on early construction estimates instead of negotiating agreements with insurance companies. Contractors will assess additional fees to their original bid/scope if the association asks for overtime construction hours. Typically, these costs will not be covered by insurance and it would be the responsibility of the association and the owners to pay the additional cost.
14. Will the work on the electrical system fix the existing system or will there be revisions to prevent this from happening in the next hurricane?
The electrical system was installed per current building codes and City of Galveston requirements. The electrical system received water intrusion due to hurricane flooding and is being repaired to ensure that the water intrusion damage is taken care of with this insurance claim instead of failure months from now that would not be covered by insurance.
15. The repair time line should begin with work to mitigate further damage, such as roof repair, sheetrock removal and mold remediation(if required). This should occur in ALL units first, with replacement sheetrock, carpet, paint to follow only after mitigation steps are completed in ALL units first.
The associations are working on envelope repairs (i.e. roofing, patios, etc.) and water intrusion/model remediation at the same time to all units. Once, these items have been repaired or completed the association will begin the interior repairs.
16. Reminder…Tile and wood flooring cannot replace carpet on the second and third floors per bylaws. Foot thuds are already a problem.
The interior finishes of units will be repaired to their state at time of sale from the developer.
17. What are the plans for rebuilding the dunes? Any plans for adding sand to the beach?
The West Galveston Island Property Owners Association, which Pointe West is a member, is working on a proposal to be submitted to the FEMA and the GLO for an extension of the seawall that continues to the western tip of the island. The structure would be a rock revetment sand dune. The top of the structure would serve as a bike and walking path. The initial write up and drawing will be posted to the association’s website.
18. When will the repair or replacement of the walkovers begin and when will the repairs/replacement be completed?
If POA assessments are received in a timely manner the repairs will begin in December and be completed by May.
19. When will the beach cleaning begin and when will it be finished?
Due to the nature of the debris that has washed up on the beach the City of Galveston and the GLO will be responsible for the removal of the material. A timeline for this has not been determined at this time since the scope is still under City and State bid stage of the process.
Mold
20. Explain what a mold remediation certificate is exactly and when or if it is required. If required, explain what constitutes mold remediation in terms of obtaining the certificate.
A mold remediation certificate verifies that your unit is free and clear of mold. This certificate is required of all reconstruction after such a storm event.
21. Does the villa association insurance pay for mold remediation? It looks as if TWIA excludes it under any circumstances. If that is the case, who will pay for it to be removed? The homeowner or a special assessment (all homeowners)?
The association’s insurance policy has a mold exclusion. However, the association is taking the stance with the insurance company that any growth resulting from water intrusion due to the storm should be covered by the insurance company because the wet building material would need to be replaced anyways due to water damage.
Misc.
22. We want a principle owner of Terra Mesa or McFarlan at the Nov. 1 meeting.
The November 1 meeting is for the condo association with owners being the majority members, thus Terramesa and McFarlan principles will not be in attendance.
23. How do we get more owners on the Boards? When do the board members come up for reelection?
More owners will be placed on the board as we approach the developer turn over period. Currently, the developer turnover period for both Condo Associations is 2010. Therefore, another homeowner will most likely be appointed to the board in late 2009 with full turnover to the homeowners mid to late 2010.
Board members during the developer control period are appointed not elected. Once turnover to the homeowners occur, board members serve a two year term and must be re-elected to continue forward.
24. I thought the board members are appointed by TM and not elected but because PW is not built out yet. Can anyone clarify?
See question 23.
25. What is the status of elevator repairs and insurance coverage covering repair costs? We understand that the elevators were all scheduled to be refurbished under warranty before IKE. They would be covered under the flood insurance and that there should be no expense to the HWs.
ThyssenKrupp had material offsite that was ready for installation before the storm. They are currently determining if additional material will be needed as a result of the storm. The complete restoration cost associated with all elevators is part of the flood and wind insurance claim. The only expense to owners would be their share of the deductible.
26. Give us an update on the mosquito control and the test that was discussed at March meeting?
The mosquito control system test performed well and the Board approved the install of the system throughout the community. The system was installed and operating prior to the storm. The control boxes incurred damage during the storm and are inoperable at this time.
27. Security procedures - never see anyone patrolling at night around the cottages or larger home sites? When is security on duty? Do they drive to all buildings nightly?
Prior to the storm the POA employed one onsite security officer from the hours of 6PM to 6AM. The officer made routine patrols throughout the entire neighborhood and walked the floors of each condo building. Board members elected to install small chips throughout the property that the officer must wave a security wand over during his routes. The chips recorded the date and time and frequency that the officer patrolled the area allowing the board to ensure that all areas are being adequately patrolled.
After the storm the board has approved an additional onsite officer and the installed security fencing and additional lighting around the condominium buildings.
28. Would TM be willing to hire a lobbyist to be an advocate for casinos on Galveston Island. This would greatly help rebuild the island and bring value to all home owners and resorts?
The association is not aware of Terramesa position as it relates to this matter.
29. Buildings with garbage chutes, still need garbage cans placed by the elevators. This will help our buildings free from unsightly garbage and bugs.
The association will consider this matter during its annual budget review process.
30. I would like to see a new / better company replace PMG. How can PW owners participate in this decision.
All decisions regarding a management company will be made by the board but suggestions from owners are always welcome.
31. We are formally requesting that PW/TM must put a written and documented Hurricane plan in place prior to the 2009 Hurricane season. We want this available to all HWs before the 2009 Hurricane season. It should include specific details and steps that will be completed at various time frames leading up to landfall (e.g. 96hrs-72hrs-48hrs-24hrs). Should include things like putting elevators on 3rd floor level, bringing PW rental units patio furniture inside, etc.
The association will establish a sub-committee consisting of owners that will be tasked with revising the hurricane preparedness guide.
32. In my opinion, TM management should pay part of the deductible due to incompetence (for elevators and any missing patio furniture in the PW program, etc.).
Terramesa will not be paying a portion of the deductible. It is responsibility of the associations and the owners to secure their personal property and their common interest/property.
33. Quarterly board meeting minutes need to be updated on the website.
Meeting minutes are posted on the website and available through Principal Management Group.
34. Was the quarterly June board meeting conducted? Where are the minutes?
The meeting was held in July. Meeting minutes are posted on the website and available through Principal Management Group.
35. Why are the flood policies deductibles for 4141, 4131, 4121, and 4111 $1000 each and all other buildings $5000? That being the case, do these buildings pay a higher quarterly assessment to cover these lower deductibles?
The flood deductible for each building is $5000.00.
Cottage questions
36. Serious water bill issues from last summer when the landscaping company changed our sprinklers without permission – June-July bill of $532; July-August bill of $570. My bill averaged $100 for 30 months. PMG and TM refused to take responsibility.
Cottage owners are responsible for their own water usage. The cottage owners pay a service assessment to have their lawns maintained and a monthly irrigation system check. If an owner would like the landscaping company to forego the maintenance on their irrigation system they can do so by contacting Eileen Penn with PMG.
37. Landscaping services have gone down in quality over the past year with our costs remaining the same. Parking large mowers under my home cracked the concrete, they are now parking under other homes after I complained.
Landscapers should not be parking equipment under owners’ home. We will discuss this with the landscaping company and inform them that this should not occur under any circumstances.
38. Breakdown of our fees by cottages - homes - lots - villas (insurance costs for villa structures should be separated from insurance on common areas/beach club. Cottages individually pay about $1,000/month for wind/flood/homeowners)
The amount that owners will have to pay for hurricane repairs and insurance deductibles will be broken down on an individual and association basis. Villa insurance premiums are paid by the Condominium Associations.
39. What is the plan for the reclaimed sand? Can it go towards building the Dunes up higher in front of the cottages? This partly addressed in Q #17 but my question is specifically for cottages.
The minimal amount of sand in the cottage road area has been retuned to the dunes in front of the cottages.
40. Does TM plan to file paper work with the city to rebuild the cottage dunes? When can we expect this to happen and can a timeline be provided to the owners.
See Question 17.
41. When will grading issues be addressed for the beachfront cottages. Due to washed up sand, water now drains into some homes as opposed to away from the home. This will cause stagnant water and further mosquito infestation.
The POA will review condition and obtain proposal for inclusion in Hurricane cleanup assessment to homeowners.
42. Who is the final authority (decision making) figure for landscaping decisions regarding restoration?
All decisions regarding community maintenance, restoration and operation are made by the various board of directors to each association.
43. Can owners get up to 2 decals (or placards that cannot be replicated)for their automobile. I was told by PMG that this is being considered – what is the status?
PMG will obtain proposal for such stickers and present to POA for discussion and potential approval.
44. Will TM consider investing in signs such and ‘Area patrolled by security’ for the entrances or ‘towing enforced: do not block driveways’ for the cottages and homes
PMG will obtain proposals and provide to the various board of directors to determine if such items can be added into next year’s budget.
Friday, October 24, 2008
Pointe West Progress Update
IRC Report Status
IRC has completed the assessment reports for all condominium buildings. The reports which indicate the impacts resulting from water intrusion for each individual condominium may be viewed at the Pointe West Beach Club. These reports will be preliminary until Cotton has performed all required tear out operations. If Cotton tear out operations exceed the IRC scope then the reports will be updated. We thank you for leaving all reports at the Beach Club so that all condo owners have access to the information.
Tear Out Operations
Cotton’s restoration operations continue onto eight additional buildings. The steps involved in the tear out operations of your condominium are as follows:
Mapping - transferring IRC tear out requirements onto ceilings, walls and floors.
Documentation – take pictures of contents and damage
Containment – establish safe zones for undamaged rooms
Content – cleaning, wrapping, packaging and moving contents to clean zone
Demo – tear out operations
Clean up – wipe down, hepa-vac and treat rooms
Hygienist Review – determine if additional tear out is needed, if so go to demo phase.
Cotton is currently performing tear out operations in the following buildings:
Bay Water Drive
26570, 26560, 26550, 26540
Mangrove Drive
26501, 26511
Pointe West Drive
4131, 4141, 4151, 4241, 4121, 4111, 4221
Cat Tail Drive
26530, 26411, 26541
Grassy Pointe Drive
4221
The Condominium Associations are following appropriate protocols in the dry wall tear out of the condominiums, any other drywall tear out being performed by contractors other than those contracted by the association are in violation of the condominium declarations. The most recent tear out schedules will also be available at the Beach Club. We thank you for leaving all reports at the Beach Club so that all condo owners have access to the information.
Reconstruction
The City of Galveston has established safe and appropriate protocols that all homeowners must follow in order to occupy a residential unit. In addition to the required internal reconstruction of each condominium the Condo Association is working to restore all life safety components of each condominium building. These include fire and life safety systems, electrical, mechanical, elevators, and onsite/offsite fire suppression systems. The Condo Association is defining an orderly process in which complete buildings will be delivered to condo owners. Until all reconstruction and the appropriate approvals have been obtained from the City of Galveston a building cannot be occuppied.
The Condo Association is in the process of reviewing bids for the reconstruction 26570 Bay Water. Similar to tear out operations the Association will present the bids to the insurance adjuster and obtain scope concurrence. That meeting is schedule to occur on October 28 and it is the Association's intent to establish the same protocol across the remaining 27 buildings. In terms of coverage we have not received the insurance carrier interpretation and the Association continues to negotiate in accordance to our policy.
November 1, 2008 Pointe West Association Meeting
Please plan on attending as the Associations will present the latest information on our path to the restoration of Pointe West. We ask that everyone RSVP to Eileen Penn at e.penn@pmghouston.com so that the Associations may prepare appropriately. Please respond with total in party as lunch will be provided.
IRC has completed the assessment reports for all condominium buildings. The reports which indicate the impacts resulting from water intrusion for each individual condominium may be viewed at the Pointe West Beach Club. These reports will be preliminary until Cotton has performed all required tear out operations. If Cotton tear out operations exceed the IRC scope then the reports will be updated. We thank you for leaving all reports at the Beach Club so that all condo owners have access to the information.
Tear Out Operations
Cotton’s restoration operations continue onto eight additional buildings. The steps involved in the tear out operations of your condominium are as follows:
Mapping - transferring IRC tear out requirements onto ceilings, walls and floors.
Documentation – take pictures of contents and damage
Containment – establish safe zones for undamaged rooms
Content – cleaning, wrapping, packaging and moving contents to clean zone
Demo – tear out operations
Clean up – wipe down, hepa-vac and treat rooms
Hygienist Review – determine if additional tear out is needed, if so go to demo phase.
Cotton is currently performing tear out operations in the following buildings:
Bay Water Drive
26570, 26560, 26550, 26540
Mangrove Drive
26501, 26511
Pointe West Drive
4131, 4141, 4151, 4241, 4121, 4111, 4221
Cat Tail Drive
26530, 26411, 26541
Grassy Pointe Drive
4221
The Condominium Associations are following appropriate protocols in the dry wall tear out of the condominiums, any other drywall tear out being performed by contractors other than those contracted by the association are in violation of the condominium declarations. The most recent tear out schedules will also be available at the Beach Club. We thank you for leaving all reports at the Beach Club so that all condo owners have access to the information.
Reconstruction
The City of Galveston has established safe and appropriate protocols that all homeowners must follow in order to occupy a residential unit. In addition to the required internal reconstruction of each condominium the Condo Association is working to restore all life safety components of each condominium building. These include fire and life safety systems, electrical, mechanical, elevators, and onsite/offsite fire suppression systems. The Condo Association is defining an orderly process in which complete buildings will be delivered to condo owners. Until all reconstruction and the appropriate approvals have been obtained from the City of Galveston a building cannot be occuppied.
The Condo Association is in the process of reviewing bids for the reconstruction 26570 Bay Water. Similar to tear out operations the Association will present the bids to the insurance adjuster and obtain scope concurrence. That meeting is schedule to occur on October 28 and it is the Association's intent to establish the same protocol across the remaining 27 buildings. In terms of coverage we have not received the insurance carrier interpretation and the Association continues to negotiate in accordance to our policy.
November 1, 2008 Pointe West Association Meeting
Please plan on attending as the Associations will present the latest information on our path to the restoration of Pointe West. We ask that everyone RSVP to Eileen Penn at e.penn@pmghouston.com so that the Associations may prepare appropriately. Please respond with total in party as lunch will be provided.
West Galveston Island Property Owners Association
In 2005 the Pointe West POA board of directors voted to become a member of the West Galveston Island Property Owners Association (WGIPOA). The West Galveston Island Property Owners Association was organized in 1999 to promote issues of interest to property owner associations and their members, particularly preserving and protecting the gulf and bay shorelines and the quality of life as the west end continues to develop.
WGIPOA will host their first post IKE meeting this Saturday. I encourage Pointe West residents to attend so that we are all informed of the numerous restoration efforts and of those individuals that are involved in returning basic services back to West Galveston Island. Following is tomorrow's agenda.
WEST GALVESTON ISLAND PROPERTY OWNERS ASSOCIATION
Hurricane Ike Update Meeting
Moody Gardens Hotel – Salon FGH
9:00-12:00 noon
October 25, 2008
AGENDA
Introductions
Galveston County
Judge Jim Yarbrough
Commissioner Bryan Lamb
Galveston
Mayor Pro Tem Danny Weber
Deputy City Manager Brandon Wade
City Council Karen Mahoney
Federal
Rep Ron Paul – Navella Cole
Presentations
Public Safety
Police Chief Charles Wiley
Fire Safety
Fire Chief Mike Varela
Planning Department
Lori Field Schwartz
Zones/ Permits –Repairs/Electrical
Centerpoint Energy - Keith Gray
Texas Gas Transmission - Bobby Enriquez
Utilities
Brandon Wade, Eric Wilson
Water/Sewer/Septic
Property Taxes/Values
Cheryl Johnson
FEMA
Bill Hanna, Terry McArdle, Jerry Stoller
NFIP – property evaluations
Property Owner Associations
Canal Debris/Repairs/Marsh Restoration
General Land Office (GLO)
Eddie Fisher – Coastal Director
John Gillen, Michael Lemonds, Mollie McIver, Carly Bohn
Beach debris/Houses on Beach/FEMA Buyout
Sand nourishment/marsh restoration
Parks Board
Jeri Kinnear
New Shoreline Project Revetment
Marie Garrett
WGIPOA Resolution
Sidney McClendon
4B Sales Tax
Jerry Mohn/Marie Garrett
Adjourn
WGIPOA will host their first post IKE meeting this Saturday. I encourage Pointe West residents to attend so that we are all informed of the numerous restoration efforts and of those individuals that are involved in returning basic services back to West Galveston Island. Following is tomorrow's agenda.
WEST GALVESTON ISLAND PROPERTY OWNERS ASSOCIATION
Hurricane Ike Update Meeting
Moody Gardens Hotel – Salon FGH
9:00-12:00 noon
October 25, 2008
AGENDA
Introductions
Galveston County
Judge Jim Yarbrough
Commissioner Bryan Lamb
Galveston
Mayor Pro Tem Danny Weber
Deputy City Manager Brandon Wade
City Council Karen Mahoney
Federal
Rep Ron Paul – Navella Cole
Presentations
Public Safety
Police Chief Charles Wiley
Fire Safety
Fire Chief Mike Varela
Planning Department
Lori Field Schwartz
Zones/ Permits –Repairs/Electrical
Centerpoint Energy - Keith Gray
Texas Gas Transmission - Bobby Enriquez
Utilities
Brandon Wade, Eric Wilson
Water/Sewer/Septic
Property Taxes/Values
Cheryl Johnson
FEMA
Bill Hanna, Terry McArdle, Jerry Stoller
NFIP – property evaluations
Property Owner Associations
Canal Debris/Repairs/Marsh Restoration
General Land Office (GLO)
Eddie Fisher – Coastal Director
John Gillen, Michael Lemonds, Mollie McIver, Carly Bohn
Beach debris/Houses on Beach/FEMA Buyout
Sand nourishment/marsh restoration
Parks Board
Jeri Kinnear
New Shoreline Project Revetment
Marie Garrett
WGIPOA Resolution
Sidney McClendon
4B Sales Tax
Jerry Mohn/Marie Garrett
Adjourn
Monday, October 20, 2008
Pointe West Security
During a scheduled walk thru of the buildings it was brought to our attention that seven condominium units were broken into last week. We have notified the owners that were affected by this incident. The thieves had an agenda and the only items removed were flat screens televisions.
In an effort to deter any future incidents, both condo associations and the POA have approved increased security measures. The associations will be adding an additional security officer onsite to secure the community. The security officers have been provided with a list of approved personnel and homeowners. They have been instructed to stop anyone coming onto the property at night and ask for identification. If the individual is not on the homeowner or approved personnel list then the security officer has been instructed to ask the individual to leave and immediately call the local police department.
In addition, security/construction fence will be placed in condominium areas of the community to help control the flow of traffic and reduce the number of entrances and exits. The fencing will allow the associations to lock and secure the condominium sections of the property thus stopping all traffic thru the main entrances at night.
Going forward, all owners and contractors will be required to check in at the Beach Club Front Desk prior to entering a unit or a condominium section of the community.
In an effort to deter any future incidents, both condo associations and the POA have approved increased security measures. The associations will be adding an additional security officer onsite to secure the community. The security officers have been provided with a list of approved personnel and homeowners. They have been instructed to stop anyone coming onto the property at night and ask for identification. If the individual is not on the homeowner or approved personnel list then the security officer has been instructed to ask the individual to leave and immediately call the local police department.
In addition, security/construction fence will be placed in condominium areas of the community to help control the flow of traffic and reduce the number of entrances and exits. The fencing will allow the associations to lock and secure the condominium sections of the property thus stopping all traffic thru the main entrances at night.
Going forward, all owners and contractors will be required to check in at the Beach Club Front Desk prior to entering a unit or a condominium section of the community.
Friday, October 17, 2008
Water Intrusion Tear Out Update
Cotton has completed the water intrusion tear out of all units in 26570 Bay Water Drive. Begining next week, Cotton will move forward on the following buildings:
26560 Bay Water Drive
4151 Pointe West Drive
4131 Pointe West Drive
4241 Pointe West Drive
4141 Pointe West Drive
26350 Cat Tail Drive
Reports prepared by IRC that detail the damage to inidividual units and the exterior of the buildings will be made available during the November 1st meeting in the Seamist Lounge for review. The master set will remain at the Beach Club so that the reports can be updated as we progress forward and will be available for review upon request.
26560 Bay Water Drive
4151 Pointe West Drive
4131 Pointe West Drive
4241 Pointe West Drive
4141 Pointe West Drive
26350 Cat Tail Drive
Reports prepared by IRC that detail the damage to inidividual units and the exterior of the buildings will be made available during the November 1st meeting in the Seamist Lounge for review. The master set will remain at the Beach Club so that the reports can be updated as we progress forward and will be available for review upon request.
Pointe West Association Meetings - November 1, 2008
Pointe West Association Meetings
Pointe West Beach Club
November 1, 2008
Bay Water Condominium
The Villas At Pointe West, A Condominium
11:00 am Combined Bay Water and Villas Association Meeting
Welcome and Introduction
Definition of Condominium Associations
Declaration of Condominium
Directors
11:10 Hurricane Ike
City of Galveston
Requirements after Hurricane Ike
Insurance Coverage
International Risk Control
Obtain Optimal Settlement
IRC Reports
Interim Insurance Payments
Condominium Value Preservation
Remediation
Certifications
Cotton Disaster Recovery Services
Water Intrusion Tear Out Procedure
Schedule
Sub-Committees
Re-construction
Secure Buildings
Analyze Damage
General Contractor
Schedule
Sub-Committees
11:40 Condominium Association Reserves
2008 Bay Water Reserves
2008 Villas Reserves
Estimated Claim
Reserves
Deductibles
Bay Water Claim
Villas Claim
Re-construction Assessment
Payment Requirements
12:30 Questions
1:00 Adjourn Condominium Association Meetings
1:00 Lunch
Pointe West Property Owners Association
2:00 pm Pointe West Property Owners Association Meeting
Welcome and Introduction
Definition of Association
Declaration of Covenants, Conditions and Restrictions
Directors
2:05 Hurricane Ike
Insurance Coverage
Board of Directors
Interim Insurance Payments
Re-Construction
Analyze Damage
Obtain Bids
General Contractor
Schedule
2:15 Association Reserves
2008 Reserves
Estimated Claim
Reserves
Deductibles
Claim
Construction Assessment
Payment Requirements
2:30 – 3:00 Questions
3:00 Adjourn Property Owners Association
In Progress Condo Building Tour Available Upon Request
Hospitality
3:00 Insurance Claims
Beach Club
Bay Water Pool
Restaurant
3:10 Available Services
Beach Club Pool
Restaurant
Private Adjuster Coordination
Rental - Cottages
3:20 Current Activity
Off season maintenance
Social Planning
3:30 Adjourn
Pointe West Beach Club
November 1, 2008
Bay Water Condominium
The Villas At Pointe West, A Condominium
11:00 am Combined Bay Water and Villas Association Meeting
Welcome and Introduction
Definition of Condominium Associations
Declaration of Condominium
Directors
11:10 Hurricane Ike
City of Galveston
Requirements after Hurricane Ike
Insurance Coverage
International Risk Control
Obtain Optimal Settlement
IRC Reports
Interim Insurance Payments
Condominium Value Preservation
Remediation
Certifications
Cotton Disaster Recovery Services
Water Intrusion Tear Out Procedure
Schedule
Sub-Committees
Re-construction
Secure Buildings
Analyze Damage
General Contractor
Schedule
Sub-Committees
11:40 Condominium Association Reserves
2008 Bay Water Reserves
2008 Villas Reserves
Estimated Claim
Reserves
Deductibles
Bay Water Claim
Villas Claim
Re-construction Assessment
Payment Requirements
12:30 Questions
1:00 Adjourn Condominium Association Meetings
1:00 Lunch
Pointe West Property Owners Association
2:00 pm Pointe West Property Owners Association Meeting
Welcome and Introduction
Definition of Association
Declaration of Covenants, Conditions and Restrictions
Directors
2:05 Hurricane Ike
Insurance Coverage
Board of Directors
Interim Insurance Payments
Re-Construction
Analyze Damage
Obtain Bids
General Contractor
Schedule
2:15 Association Reserves
2008 Reserves
Estimated Claim
Reserves
Deductibles
Claim
Construction Assessment
Payment Requirements
2:30 – 3:00 Questions
3:00 Adjourn Property Owners Association
In Progress Condo Building Tour Available Upon Request
Hospitality
3:00 Insurance Claims
Beach Club
Bay Water Pool
Restaurant
3:10 Available Services
Beach Club Pool
Restaurant
Private Adjuster Coordination
Rental - Cottages
3:20 Current Activity
Off season maintenance
Social Planning
3:30 Adjourn
Thursday, October 16, 2008
Water Intrusion Tear Out
As part of a controlled process with the insurance claim adjuster, the Cotton company was provided with approval to move forward on the tear out operations at 26570 Bay Water late last week. As of today the National Disaster Recovery company has completed the tear out scope that was defined by IRC. The next step at the building will be coordination with a hygienist to obtain the appropriate certifications.
Also today the insurance claim adjuster inspected the methods utilized at the building by Cotton and the established water intrusion limits defined in the IRC report. As a result of his concurrence of the tear out operations he has approved for the Association to contract tear out operations for the remaining condominium buildings.
The Association will obtain a schedule for each building and communicate the start of tear out operations through a sub-committee.
Also today the insurance claim adjuster inspected the methods utilized at the building by Cotton and the established water intrusion limits defined in the IRC report. As a result of his concurrence of the tear out operations he has approved for the Association to contract tear out operations for the remaining condominium buildings.
The Association will obtain a schedule for each building and communicate the start of tear out operations through a sub-committee.
City of Galveston Press Release
Building Guidelines from the City of Galveston
City Releases Damage Assessment Map & Issues
Guidance for Property Owners
Galveston, Texas October 15, 2008
Property owners can now check the city’s website, http://www.cityofgalveston.org, to view the latest version of the island’s damage assessment map. The city’s initial assessment of the community’s 24,000 structures noted the structure’s damage and current condition. These evaluations translated into color-coded FEMA categories that reflect the property’s degree of inhabitability. All island properties were originally assigned one of three colors based on the structure’s current condition:
§ Red: unsafe; leaning; structurally unsound; completely destroyed; collapsed or structure missing.
§ Yellow: general interior flooding; wind damage; or significantly damaged, but repairable. § Green: no damage or only minor damage; or missing siding; shingles; handrails; breakaway walls.
FEMA Substantial Damage Determination Process
Beginning the week of October 6th, FEMA assessment teams arrived to assist the City of Galveston with the substantial damage determination process for residential structures. The City provided FEMA with all the areas determined to be ‘yellow’, which includes structures that are potentially damaged 30% to 70% of their market value before the storm.
FEMA began the process with broad inspection of the island in an effort to further determine which locations will actually require an individual ‘Residential Structure Damage Assessment (RSDE)’ of each building. The initial assessment resulted in several areas being released from ‘yellow’ to ‘green’ and some areas being determined to require a full RSDE assessment.
According to FEMA, all structures that are determined to have sustained substantial damage are automatically considered to be in need of significant improvements, regardless of the actual repair work performed. If the cost necessary to fully repair the structure to its before damage condition is equal to or greater than 50% of the structure’s market value before damages, then the structure must be elevated (or floodproofed if it is non-residential) to or above the Base Flood Elevation (BFE), and meet other applicable National Flood Insurance Program (NFIP) requirements.
The RSDE assessment process is ongoing daily, and the results are being tallied into a database for use by the City of Galveston in the final determination. Information collected from FEMA in the assessment process will be provided to the City within approximately 2 weeks of the actual inspection. Once the final determination for a structure is completed the City of Galveston will mail the property owner an official notice of substantial damage determination letter.
After the Determination
If the City determines that a structure is substantially damaged based on the RSDE process, the property owner will have the option of submitting additional information, such a property appraisal or a complete contractors bid for consideration. Please note, the City will utilize the structure’s Galveston County Central Appraisal District (CAD) value plus an additional 5% as a basis for substantial damage determination.
Permitting in the Interim
Properties categorized as yellow and red may be exempt from the FEMA substantial damage determination process if they meet one or more of the following criteria:
1. An elevation certificate verifying the structure is located at or above the Base Flood Elevation (BFE) and complies with current National Flood Insurance Program rate maps. These maps are available for order on http://www.fema.gov or residents can visit the temporary Planning and Community Development Office to review the set on file; or
2. The structure has been listed or considered eligible for the National Register of Historic Places and meets the exemption from the flood plain rules; or
3. The building is located in Flood Zone X.
Additionally, the City of Galveston’s Planning and Community Development Office will approve electrical, building, plumbing, or mechanical permits for properties that meet one or more of the stated criteria. Property owners are required to provide the necessary documentation with their permit applications.
The city will hold all permit applications for red- and yellow-tagged structures that do NOT meet these standards until FEMA officials have completed their inspections and determined whether or not these properties received substantial damage. These updates are arriving from FEMA on a continual basis and a structure’s color category may change. Residents are asked to consult the latest version of the map and verify their address with the Planning Office.
Dispelling Rumors
Property owners should be wary of anyone in their neighborhoods announcing the city has condemned streets or entire areas. City officials have not made any final determinations for individual yellow or red properties nor have they condemned entire neighborhoods. A property that has been categorized as red will not necessarily be condemned by the city, it is only considered unsafe for habitation under several of the city’s codes. Following Hurricane Ike, city staff posted “unsafe” notices at properties with significant structural instability during their building assessment survey.Misinformation runs rampant following natural disasters. Its important to always verify information with the city’s Planning and Community Development Office before moving forward with permits, repairs, or demolition.
How to Contact the City
The Department of Planning and Community Development has opened a temporary office at the Galveston County Criminal Justice Center, 601 54th Street. Office hours are 8:00 a.m. to 4:30 p.m., Monday - Friday. The office closed from 11:30 a.m. to 12:30 p.m. daily. To contact the Planning Department please call (409) 797-3660/3620 or send an email to planningcounter@cityofgalveston.org. Planning staff is available to assist property owners with questions, permit applications, and assessments.
City Releases Damage Assessment Map & Issues
Guidance for Property Owners
Galveston, Texas October 15, 2008
Property owners can now check the city’s website, http://www.cityofgalveston.org, to view the latest version of the island’s damage assessment map. The city’s initial assessment of the community’s 24,000 structures noted the structure’s damage and current condition. These evaluations translated into color-coded FEMA categories that reflect the property’s degree of inhabitability. All island properties were originally assigned one of three colors based on the structure’s current condition:
§ Red: unsafe; leaning; structurally unsound; completely destroyed; collapsed or structure missing.
§ Yellow: general interior flooding; wind damage; or significantly damaged, but repairable. § Green: no damage or only minor damage; or missing siding; shingles; handrails; breakaway walls.
FEMA Substantial Damage Determination Process
Beginning the week of October 6th, FEMA assessment teams arrived to assist the City of Galveston with the substantial damage determination process for residential structures. The City provided FEMA with all the areas determined to be ‘yellow’, which includes structures that are potentially damaged 30% to 70% of their market value before the storm.
FEMA began the process with broad inspection of the island in an effort to further determine which locations will actually require an individual ‘Residential Structure Damage Assessment (RSDE)’ of each building. The initial assessment resulted in several areas being released from ‘yellow’ to ‘green’ and some areas being determined to require a full RSDE assessment.
According to FEMA, all structures that are determined to have sustained substantial damage are automatically considered to be in need of significant improvements, regardless of the actual repair work performed. If the cost necessary to fully repair the structure to its before damage condition is equal to or greater than 50% of the structure’s market value before damages, then the structure must be elevated (or floodproofed if it is non-residential) to or above the Base Flood Elevation (BFE), and meet other applicable National Flood Insurance Program (NFIP) requirements.
The RSDE assessment process is ongoing daily, and the results are being tallied into a database for use by the City of Galveston in the final determination. Information collected from FEMA in the assessment process will be provided to the City within approximately 2 weeks of the actual inspection. Once the final determination for a structure is completed the City of Galveston will mail the property owner an official notice of substantial damage determination letter.
After the Determination
If the City determines that a structure is substantially damaged based on the RSDE process, the property owner will have the option of submitting additional information, such a property appraisal or a complete contractors bid for consideration. Please note, the City will utilize the structure’s Galveston County Central Appraisal District (CAD) value plus an additional 5% as a basis for substantial damage determination.
Permitting in the Interim
Properties categorized as yellow and red may be exempt from the FEMA substantial damage determination process if they meet one or more of the following criteria:
1. An elevation certificate verifying the structure is located at or above the Base Flood Elevation (BFE) and complies with current National Flood Insurance Program rate maps. These maps are available for order on http://www.fema.gov or residents can visit the temporary Planning and Community Development Office to review the set on file; or
2. The structure has been listed or considered eligible for the National Register of Historic Places and meets the exemption from the flood plain rules; or
3. The building is located in Flood Zone X.
Additionally, the City of Galveston’s Planning and Community Development Office will approve electrical, building, plumbing, or mechanical permits for properties that meet one or more of the stated criteria. Property owners are required to provide the necessary documentation with their permit applications.
The city will hold all permit applications for red- and yellow-tagged structures that do NOT meet these standards until FEMA officials have completed their inspections and determined whether or not these properties received substantial damage. These updates are arriving from FEMA on a continual basis and a structure’s color category may change. Residents are asked to consult the latest version of the map and verify their address with the Planning Office.
Dispelling Rumors
Property owners should be wary of anyone in their neighborhoods announcing the city has condemned streets or entire areas. City officials have not made any final determinations for individual yellow or red properties nor have they condemned entire neighborhoods. A property that has been categorized as red will not necessarily be condemned by the city, it is only considered unsafe for habitation under several of the city’s codes. Following Hurricane Ike, city staff posted “unsafe” notices at properties with significant structural instability during their building assessment survey.Misinformation runs rampant following natural disasters. Its important to always verify information with the city’s Planning and Community Development Office before moving forward with permits, repairs, or demolition.
How to Contact the City
The Department of Planning and Community Development has opened a temporary office at the Galveston County Criminal Justice Center, 601 54th Street. Office hours are 8:00 a.m. to 4:30 p.m., Monday - Friday. The office closed from 11:30 a.m. to 12:30 p.m. daily. To contact the Planning Department please call (409) 797-3660/3620 or send an email to planningcounter@cityofgalveston.org. Planning staff is available to assist property owners with questions, permit applications, and assessments.
Wednesday, October 15, 2008
October 15, 2008- as of 5:48 PM EST
As of Monday, October 13 all communication services have been restored to the Beach Club Facility. On Tuesday, the Beach Club pool was cleaned and sanitized and returned to our pre-Ike conditions. At this time there are currently no food and beverage options available at the club, however, all other operations are available to owners such as; the Fitness Center, Showers and Locker Rooms, the Sea Mist Lounge including internet services. We are working with the Health Department to receive the proper approval to re-open Breezes, however, Topsiders Bar will remain closed until all repairs have been completed. The Bay Water Pool is currently a work in progress. We are working with Progressive Pools to assess the damages and provide a reasonable time line on the required repairs.
Tuesday, October 14, 2008
Galveston Wide Electrical Requirements 10/11/08
In order to reduce the threat of a fire from damage related to Hurricane Ike the City continues to require that all homeowners obtain an electrical inspection. The procedure is outlined in the following update from the City. The Condominium Association will obtain the necessary permits for the condos. It is the responsibility of cottage and custom home owners to obtain these approvals before turning their power on. Please call the listed phone number for additional information.
Electrical: There are 200-300 connections per day now and increasing to 500 to 600 per day with added crews. An electrician is necessary to obtain a permit for a residence if water compromised any of the following electrical systems: Outside meter cam; breaker box (usually 2nd floor); and, electrical connections. If no water entered any of these systems, the home owner needs to telephone the city for electrical inspection at: 797-3660. This is answered all day. Also, Email the Planning Department counter the location of the house that needs to be inspected to: planningcounter@cityofgalveston.org. They check Emails all the time.
Once the electrician inspects and remedies the house, they submit the permit application and notify the city inspector. The city will inspect the house within 24 hours after the permit is turned in. The City will contact Centerpoint Energy by email the same day to connect the house if it passes. The City requires an electrical inspection of all properties. One of the problems in delays for a residence to get power turned on is the electrician normally turns in 5 to 10 permit applications at a time rather than when they complete the work for the residence. This delays the inspection process because if a house has an electrician on Monday and the permit is not turned in until Friday, then the delay and frustration continues. It is better if the homeowner requests the electrician to turn in the permit the same day it is fixed (this is time consuming for the electrician because they have to wait in line at the permit place).
Electrical: There are 200-300 connections per day now and increasing to 500 to 600 per day with added crews. An electrician is necessary to obtain a permit for a residence if water compromised any of the following electrical systems: Outside meter cam; breaker box (usually 2nd floor); and, electrical connections. If no water entered any of these systems, the home owner needs to telephone the city for electrical inspection at: 797-3660. This is answered all day. Also, Email the Planning Department counter the location of the house that needs to be inspected to: planningcounter@cityofgalveston.org. They check Emails all the time.
Once the electrician inspects and remedies the house, they submit the permit application and notify the city inspector. The city will inspect the house within 24 hours after the permit is turned in. The City will contact Centerpoint Energy by email the same day to connect the house if it passes. The City requires an electrical inspection of all properties. One of the problems in delays for a residence to get power turned on is the electrician normally turns in 5 to 10 permit applications at a time rather than when they complete the work for the residence. This delays the inspection process because if a house has an electrician on Monday and the permit is not turned in until Friday, then the delay and frustration continues. It is better if the homeowner requests the electrician to turn in the permit the same day it is fixed (this is time consuming for the electrician because they have to wait in line at the permit place).
Monday, October 13, 2008
October 13, 2008- as of 6:17 PM EST
The Bay Water and Villa Condo Association Board Members conducted their offical weekly meeting this morning and there are several items that we would like to share with our homeowners regarding the status of Pointe West.
IRC Update:
IRC’s estimators have completed a detailed cost analysis of the interior and exterior damage of the buildings. This evaluation is broken up by unit which includes a room by room repair estimate, pictures, moisture readings and thermal images.
IRC has hired a structural engineer to review and report findings on the structural integrity of each building including the foundations and roofs. This review process is underway and the findings will be shared with the owners once they have been reviewed and finalized.
Condominium Association Insurance Update:
Insurance adjusters have submitted interim payment requests for the Bay Water Association for $800,000 and $1,200,000 for the Villas Association. We anticipate receiving these funds by the end of the month. This does not close our insurance claim but allows us access to funds that are needed to start the repair work.
Insurance adjusters will be on property this week to start the interior walk thru and begin their assessments of the interior damage to each unit. The completion of this task will allow the board to compare the insurance adjusters estimate against IRC’s and resolve any discrepancies before the claim is closed.
The Board of Directors is still awaiting a response from the insurance carrier on their interpretation of the extent of coverage.
Reconstruction Update:
The Board of Directors has hired Cotton, a National Disaster Recovery company, to begin the process of removing the water damaged material in each unit based on the recommendations of IRC’s and a licensed hygienist. Our insurance carrier has only released two buildings for this work at this time, building 26570 and 26560 Bay Water Drive. Over the weekend, Cotton began securing our owners personal belongings in rooms that were not damaged so that they can start removing items such as wet sheetrock, carpet, trim, etc. We anticipate that the removal of the water damaged materials in 26570 Bay Water will be completed by October 15. Cotton will begin working on 26560 Bay Water Drive on October 15 and should be completed by October 21. We plan to obtain approval on the remaining buildings during our meeting with the insurance adjusters this week. We will post a schedule of the remaining buildings once we have received approval from the insurance company.
Homeowners Meeting Update:
The homeowners’ meeting to discuss Hurricane Ike repairs is scheduled for November 1 from 11 AM to 3 PM and will be held at Pointe West. An agenda is in the process of been finalized and will be posted to the blog by the end of the week.
IRC Update:
IRC’s estimators have completed a detailed cost analysis of the interior and exterior damage of the buildings. This evaluation is broken up by unit which includes a room by room repair estimate, pictures, moisture readings and thermal images.
IRC has hired a structural engineer to review and report findings on the structural integrity of each building including the foundations and roofs. This review process is underway and the findings will be shared with the owners once they have been reviewed and finalized.
Condominium Association Insurance Update:
Insurance adjusters have submitted interim payment requests for the Bay Water Association for $800,000 and $1,200,000 for the Villas Association. We anticipate receiving these funds by the end of the month. This does not close our insurance claim but allows us access to funds that are needed to start the repair work.
Insurance adjusters will be on property this week to start the interior walk thru and begin their assessments of the interior damage to each unit. The completion of this task will allow the board to compare the insurance adjusters estimate against IRC’s and resolve any discrepancies before the claim is closed.
The Board of Directors is still awaiting a response from the insurance carrier on their interpretation of the extent of coverage.
Reconstruction Update:
The Board of Directors has hired Cotton, a National Disaster Recovery company, to begin the process of removing the water damaged material in each unit based on the recommendations of IRC’s and a licensed hygienist. Our insurance carrier has only released two buildings for this work at this time, building 26570 and 26560 Bay Water Drive. Over the weekend, Cotton began securing our owners personal belongings in rooms that were not damaged so that they can start removing items such as wet sheetrock, carpet, trim, etc. We anticipate that the removal of the water damaged materials in 26570 Bay Water will be completed by October 15. Cotton will begin working on 26560 Bay Water Drive on October 15 and should be completed by October 21. We plan to obtain approval on the remaining buildings during our meeting with the insurance adjusters this week. We will post a schedule of the remaining buildings once we have received approval from the insurance company.
Homeowners Meeting Update:
The homeowners’ meeting to discuss Hurricane Ike repairs is scheduled for November 1 from 11 AM to 3 PM and will be held at Pointe West. An agenda is in the process of been finalized and will be posted to the blog by the end of the week.
City Lifts Boil Water Notice for Additional Island Neighborhoods
Following is an update from the City of Galveston pertaining to potable water. The public waterlines throughout Pointe West have been pressurized and the appropriate testing has occurred as indicated below. The public water lines provide service to cottage and custom homes at Pointe West. Based on this each cottage and custom homeowner can review their system to begin normal water operation. For any issues please call the Municipal Public Division as indicated below.
The condominium buildings have several systems including pump buildings, fire suppression systems, fire sprinklers and associated electrical system that must be repaired before service can be returned to the condominium. These items are part of the scope of reconstruction for the condominium buildings.
Galveston, Texas October 11, 2008
Boil Water Rescind Notice 2008-10-09
On September 13, 2008, the Texas Commission on Environmental Quality (TCEQ) required the City of Galveston, system ID # 0840003 to issue a Boil Water Notice (BWN) to inform our customers that due to the presence of contaminants or an interruption in service, water from our system must be boiled prior to consumption.
The areas removed from the Boil Water Notice are:
§ All areas behind the Seawall including Pelican Island
§ All areas west of the Seawall to north of FM 3005
§ Areas south of FM 3005 Pirates Beach (Former GCMUD # 1), East and West De Vaca Lane § All areas within Pirates Beach WEST
§ All areas within MUD 29
§ All areas within Palm Beach
§ All areas within Sunny Beach
§ All areas within Beachside Village
The City of Galveston has taken the necessary corrective actions to restore adequate pressure, disinfectant levels, and/or bacteriological quality to our water system and has provided TCEQ with testing results that indicate that the water no longer requires boiling. The City of Galveston is working to restore service and rescind the Boil Water notice to the remainder of its island customers south of FM 3005. Due to significant damage these areas sustained during Hurricane Ike the city has not established a timetable for service restoration. The city sincerely appreciates the community’s patience.If you have questions, contact the Municipal Utilities Division at (409) 797-3630.
The condominium buildings have several systems including pump buildings, fire suppression systems, fire sprinklers and associated electrical system that must be repaired before service can be returned to the condominium. These items are part of the scope of reconstruction for the condominium buildings.
Galveston, Texas October 11, 2008
Boil Water Rescind Notice 2008-10-09
On September 13, 2008, the Texas Commission on Environmental Quality (TCEQ) required the City of Galveston, system ID # 0840003 to issue a Boil Water Notice (BWN) to inform our customers that due to the presence of contaminants or an interruption in service, water from our system must be boiled prior to consumption.
The areas removed from the Boil Water Notice are:
§ All areas behind the Seawall including Pelican Island
§ All areas west of the Seawall to north of FM 3005
§ Areas south of FM 3005 Pirates Beach (Former GCMUD # 1), East and West De Vaca Lane § All areas within Pirates Beach WEST
§ All areas within MUD 29
§ All areas within Palm Beach
§ All areas within Sunny Beach
§ All areas within Beachside Village
The City of Galveston has taken the necessary corrective actions to restore adequate pressure, disinfectant levels, and/or bacteriological quality to our water system and has provided TCEQ with testing results that indicate that the water no longer requires boiling. The City of Galveston is working to restore service and rescind the Boil Water notice to the remainder of its island customers south of FM 3005. Due to significant damage these areas sustained during Hurricane Ike the city has not established a timetable for service restoration. The city sincerely appreciates the community’s patience.If you have questions, contact the Municipal Utilities Division at (409) 797-3630.
Special Taxpayer Relief Provisions for Victims of Hurricane Ike
Please Notice Potential Tax Relief, for additional information and forms please contact:
Cheryl E. Johnson, RTA
Galveston County Tax Assessor Collector
722 Moody, Galveston, Texas 77550
cheryl.e.johnson@co.galveston.tx.us
1-877-766-2284
Special Taxpayer Relief Provisions for Victims of Hurricane Ike
Several taxpayer relief provisions are available in the Texas Property Tax Code (TPTC) for governments as well as property owners in counties that have been declared a disaster area. Section 23.02 allows governments to require the appraisal district to reappraise all properties located in their jurisdiction in order to determine after-storm-value. Galveston County is one of 29 Texas counties declared to be a disaster area thus all taxing jurisdictions in the County are eligible. Cost of a reappraisal is shared by all governments participating. Values that are adjusted apply only to the taxes of participating jurisdictions. This means that if the school district asks for a reappraisal but the county does not, only the school taxes will be lowered. Taxes are prorated on the before-Ike-value plus the after-Ike-value.
Owners of residential properties may be eligible to make installment payments as provided by Section 31.032 (TPTC). This section allows owners of residential properties of less than five units damaged by the storm to make installment payments without incurring penalty and interest if the following conditions are met: 1) the first payment is received by February 2 (second by March 31, third by June 1, and fourth by July 31); and 2) a formal request is made to the Tax Office along with the first payment. All residential properties of less than five units qualify if they have sustained damage.
The newsletter included with the tax statement includes a form that may be signed and returned to our office for eligible residential property owners (and one is included below). For additional information, please call the Property Tax Department at 1-409-766-2481 or toll free1-877-766-2284.
Cheryl E. Johnson, RTA
INSTALLMENT PAYMENT REQUEST FOR RESIDENTIAL PROPERTY OWNERS
Owners of residential properties damaged by the storm are eligible to make four installment payments without incurring penalty and interest if the following conditions are met: 1) The property must be residential (and have less than 5 dwelling units); 2) the first payment must be received by February 2 (second by March 31, third by June 1, and fourth by July 31); and 3) damages must have been experienced and a request to take advantage of this payment option be provided to the Tax Office. Should you wish to take advantage of this payment option, please sign and return the statement below and mail it along with your first installment payment to GCTO, 722 Moody, Galveston, Texas 77550.
I attest that damages caused by Hurricane Ike to my residential property qualify me for the special taxpayer relief provisions available under the Property Tax Code.
Cheryl E. Johnson, RTA
Galveston County Tax Assessor Collector
722 Moody, Galveston, Texas 77550
cheryl.e.johnson@co.galveston.tx.us
1-877-766-2284
Special Taxpayer Relief Provisions for Victims of Hurricane Ike
Several taxpayer relief provisions are available in the Texas Property Tax Code (TPTC) for governments as well as property owners in counties that have been declared a disaster area. Section 23.02 allows governments to require the appraisal district to reappraise all properties located in their jurisdiction in order to determine after-storm-value. Galveston County is one of 29 Texas counties declared to be a disaster area thus all taxing jurisdictions in the County are eligible. Cost of a reappraisal is shared by all governments participating. Values that are adjusted apply only to the taxes of participating jurisdictions. This means that if the school district asks for a reappraisal but the county does not, only the school taxes will be lowered. Taxes are prorated on the before-Ike-value plus the after-Ike-value.
Owners of residential properties may be eligible to make installment payments as provided by Section 31.032 (TPTC). This section allows owners of residential properties of less than five units damaged by the storm to make installment payments without incurring penalty and interest if the following conditions are met: 1) the first payment is received by February 2 (second by March 31, third by June 1, and fourth by July 31); and 2) a formal request is made to the Tax Office along with the first payment. All residential properties of less than five units qualify if they have sustained damage.
The newsletter included with the tax statement includes a form that may be signed and returned to our office for eligible residential property owners (and one is included below). For additional information, please call the Property Tax Department at 1-409-766-2481 or toll free1-877-766-2284.
Cheryl E. Johnson, RTA
INSTALLMENT PAYMENT REQUEST FOR RESIDENTIAL PROPERTY OWNERS
Owners of residential properties damaged by the storm are eligible to make four installment payments without incurring penalty and interest if the following conditions are met: 1) The property must be residential (and have less than 5 dwelling units); 2) the first payment must be received by February 2 (second by March 31, third by June 1, and fourth by July 31); and 3) damages must have been experienced and a request to take advantage of this payment option be provided to the Tax Office. Should you wish to take advantage of this payment option, please sign and return the statement below and mail it along with your first installment payment to GCTO, 722 Moody, Galveston, Texas 77550.
I attest that damages caused by Hurricane Ike to my residential property qualify me for the special taxpayer relief provisions available under the Property Tax Code.
Friday, October 10, 2008
October 10, 2008- as of 2:36 PM EST
Message from the Pointe West Condominium Owners Association
Frequently Asked Questions:
1. Have the services of a public adjuster been retained by the Condo Associations?
The board of directors from both Pointe West Condominium Associations have contracted with International Risk Control (IRC) to provide support services in the filing of Hurricane Ike Insurance claims. IRC will provide a full scope of services beginning with documenting extents of damage to final settlement negotiations. To date IRC has utilized the services of estimators, engineers and hygienists in the process to compile a report that will be submitted to the Condominium Association Insurance carriers. The estimating portion is scheduled to be completed by October 17, 2008 and is part of a process that includes moisture mapping, thermal imaging, and digital photography to determine extents of damage. Based on several onsite meetings and conference calls with the Association’s insurance wind and flood adjusters the first insurance interim payment could arrive within a month.
2. How will the damages to the condos be paid for?
Neither of the Associations has been in existence for an adequate period to establish a reserve that would cover a major reconstruction. Thus the Associations have submitted insurance claims to the Associations’ flood insurance and windstorm insurance carriers for the damages resulting from the hurricane. Due to items such as deductibles and damage defined as out of coverage areas, the homeowners will be responsible for the incremental costs. These costs will be determined after all reconstruction related items have been analyzed and appropriately allocated, and determination of insurance coverage has been made.
The costs not covered by insurance for each Association will need to be addressed through a special assessment of all unit owners within the Association. While the final amount of assessment will be determined only after all insurance coverage issues are determined, the Association will present an initial estimate of the special assessment amount at the Joint Condominium Association Meeting that is set to occur on November 1, 2008, as discussed in question 19 below.
There are immediate costs related to roof wrap, electrical repairs and waterline repairs that are being funded from the reserve accounts until the interim insurance payment is received. The Associations are also exploring loan opportunities if the interim insurance payment is not received before invoices are due payment.
3. How are decisions made and who makes them?
The condominium owners are represented by two separate Associations, the Baywater and the Villas Associations. All contract decisions are approved based on a vote from the Board of Directors. One condo owner has recently been appointed to each of the Associations.
The Villas at Pointe West are represented by:
Joe Castillo, Susan Smith, Todd Erickson and Elizabeth Heckathorn.
The Baywater Condominium Association is represented by:
Joe Castillo, Tom McKinley, Elizabeth Heckathorn and Todd Erickson.
4. Have the roof repairs been completed?
The first line of defense after a storm event is to secure the buildings from additional damage. Thus flexible roof wrap was applied to a total of 24 buildings for over 100,000 square feet. The next step will be to seal balcony ceilings and siding with permanent repairs. The Associations are in the bid process to provide the permanent balcony ceiling repairs. All precautions are being taken in order to mitigate further damage and to monitor our construction costs. The Associations anticipate the permanent repairs to start within the next two weeks if funding is appropriated.
5. Why is it taking so long to determine the damage in my condo?
IRC is using forensic methods to catalog the damage within individual condos. The Association must prove that the damage within each condo of the non- homeowner components occurred as a result of wind damage from the hurricane. IRC is applying scientific methods to determine the path of a water particle as a result in the failure of a building component such as a window seal or ceiling. The methods include moisture mapping and thermal imaging, which are not visible to the naked eye.
This level of analysis is necessary to ensure that the Associations maximize their position in terms of insurance coverage, since the windstorm policy for each condominium building contains an exclusion for what is known as a “wind driven rain”. IRC’s analysis is intended to refute where possible an assertion by the insurance carrier that particular damage would not be covered because of the wind-driven rain exclusion, by demonstrating that the water intrusion resulted from covered wind damage.
6. Will I see a report on the damages within my condo?
Yes. The information is being compiled by both the general contractor and IRC and once the reports are finalized, you will be provided a copy.
7. Has the condominium building insurance coverage been defined in terms of how much of the interior of the units is covered by the association versus the owner?
On behalf of the Associations, IRC has submitted a written interpretation of coverage to the Association’s windstorm insurance carrier. The position that IRC argues is that the Association policy should be interpreted to cover the interiors of individual condominiums, except for personal property, which IRC believes is supported by the language in the Condo Declarations, Insurance policies and the Texas Condominium Act. At this time the Board of Directors has not received a final response from the insurance carrier. Once the insurance carrier’s position has been received by the Association, an update will be provided to all condo owners.
8. When will water and sewer service be restored to the condo buildings?
The City of Galveston has restored water service to the community. However, damage to the water, sewer and fire sprinkler lines occurred during the storm, which is prohibiting the Association from turning water on to the condo buildings. The Association is capping off all breaks in the water system until permanent repairs can be scheduled. Also, electrical power will need to be restored to the external water pumping facilities that provide water pressure to the condo buildings. The long-term repair of these items will be scheduled once the appropriate funding has been secured from the insurance companies and allocated among the critical reconstruction projects.
9. When will electricity be restored to the condo buildings?
Using national crews CenterPoint has restored electrical service to the majority of the subdivision. The Association retained the services of an electrical engineer to review the main disconnects and meter enclosure located in the garages to determine if any damage had occurred and make recommendations for repair. The electrical engineer has submitted his findings to the board and upon review it has been determined that main disconnects and meter enclosure need to be replaced prior to restoring power. The Association has contracted the scope of work and is anticipating that the work will start late next week. The Association anticipates that power will be restored to all appropriate condo buildings within 3 to 4 weeks, this could fluctuate depending on material delivery.
The electrical engineer, electricians and IRC have all advised the Association that turning on the electricity in buildings prior to the replacement of the equipment would result in a significant risk of fire due to corrosion of the damaged equipment, which if turned on, could create sparks that would cause fires within the building. A number of other structures in Galveston have been damaged or destroyed post-hurricane due to fires for similar reasons, and the Association Board has determined that taking such a risk is not in the interest of the Association or its owners.
10. Are expenses related to repairs and post hurricane cleanup being tracked separately from the association’s normal operating expenses?
Yes, the Associations are tracking all temporary repair work (i.e. roof and patio sealing, capping plumbing, etc.), security services and cleanup/debris removal separately to insure accurate reporting to the insurance company for reimbursement.
11. Are the structural foundations of the condo buildings being inspected for possible damage?
Yes, we have general contractors and forensic engineers reviewing the foundation and structure of the buildings.
12. Are the elevators and fire suppression systems being inspected to determine extent of damage?
The Associations have contracted with elevator and fire suppression companies to perform an assessment of the equipment, which is set to start next week.
13. Can homeowners begin water intrusion and mold repairs to their individual units?
Water intrusion and mold remediation repairs must follow strict guidelines set forth in the Texas Statutes. If the work is not performed in accordance with these statutes and the Association’s standards, it could result in corrective action being taken by the Association at the owner’s expense and complications if condo is to be resold.
14. Do the condo associations have alternative options to pay for repair work while waiting on the insurance company to release funds?
The Association is working closely with the insurance companies to release interim claim payments so that some repair work can be completed. If this is not adequate to cover the immediate work that needs to be conducted the association will look into other funding sources such as loans.
15. Are quarterly dues still payable?
Yes, quarterly dues are still payable. The association continues to have normal operating expense that must be paid and funding to the reserve accounts must continue.
16. Is there phone service at the Resort?
Yes, phone service has been restored to the Beach Club. The main number is (409) 632-0616.
17. When will remediation measures start within the condominiums?
The Associations are reviewing bids from contractors to provide demolition services in accordance to IRC estimators and hygienist parameters. The Associations plan to review bids over weekend and provide contractor approval early next week. The schedules for remediation and construction are dependent on the required scopes of construction, available materials and manpower. All these items will be taken into account when determining the construction schedule for each building such that they are completed in the most expedient timeframe.
18. Who will manage the reconstruction?
Although the Board members of the Associations are responsible for overall supervision of the reconstruction effort, all of the Board members have full time obligations with their primary employer that reach outside of the Pointe West community. The Board members are already spending significant time coordinating the daily needs of the community, as well as establishing the strategy in regard to reconstruction and the required financial commitment from the Association.
The Boards are in the process of obtaining bids for general contractor services to undertake the reconstruction, who will be responsible for securing the necessary subcontractors and trades to complete the reconstruction. To assist the Boards in their oversight responsibilities and to best provide the Associations with the expertise and services it needs, the Boards are also seeking proposals for construction management services to provide assistance in review of scheduling, payment requests and change order approvals outside of original contract. Use of construction management services will ensure the necessary oversight over the reconstruction, while giving Board members the time to engage in the necessary forward planning activities that are also their responsibilities, including obtaining next year’s insurance policies, managing budgets and searching for funding alternatives.
19. When is the next Condominium Association meeting?
There will be a combined meeting for both Associations on November 1, 2008. Though the location has not been finalized, the Association is planning to have the meeting at Pointe West at 11:00 am. Advance notice of the meeting and the agenda will be provided.
20. How is PMG supporting this effort?
PMG continues to focus on the day to day management of Pointe West. They do not specialize in insurance claims and thus the reason that the Association has retained the services of IRC. They are supporting owners with their individual insurance claims and owners can continue to call them in regards to other normal operations.
21. How can homeowners participate?
The Association will establish a sub-committee of owners to coordinate with all condo owners as to schedules for remediation and reconstruction. The Association is in the process of defining the complete time and financial commitment. Once these schedules are defined the sub-committee will coordinate with condo owners.
Friday, October 3, 2008
October 3, 2008 - as of 7:25pm EST
Message From the Pointe West Property Owners Associations:
A number of you have made calls and sent emails to the condo association and homeowner association board members seeking updates on insurance questions. On behalf of the association boards, I want to state that we understand your concern and your need for information, and the board members have been working diligently on this front. This is a complicated matter, and we have wanted to make sure we had answers before we put things out on this blog, as we did not want to have inaccurate or incomplete information. Also, as you can understand, it has taken time to get insurance adjusters on site to begin their work. There are still items for which we are seeking definitive answers in terms of coverage, but we did want to share with you what we have done and learned to date.
Here is where things stand as of today:
1. Hiring of Public Adjuster. Probably the most important and helpful news is that the boards of the Baywater and Villas Condominium Association have retained the services of a public adjuster, International Risk Control (IRC), to assist us in preparing and defending our insurance claim. Barry McGonigal of IRC will be our assigned public adjuster; he and IRC have extensive experience in hurricane claims on behalf of homeowners and condominium associations. We contacted a number of their former and current homeowner and condominium association clients, and Barry and his team came very highly recommended.
The boards each made this decision because of the complexity of the claims due to layered insurance policies and multiple buildings. We also felt that it was appropriate to hire Barry’s services because based on initial contact with our insurance adjusters, we expect that there may be questions and challenges to our claim for coverage, for both the flood insurance and the windstorm insurance policies.
IRC’s fee is based on a percentage of the overall claim collected, and the condo associations are not required to pay that fee until the insurance claim is paid. IRC provides technical and financial expertise to the associations, including engineering and accounting experts, to assist in preparing our claim and in challenging the insurance company’s findings. If such challenges lead to litigation, their experts are also available as expert witnesses on our behalf. Based on our discussions with other homeowner and condominium associations that have used IRC’s services, they believe that they recovered significantly more by using IRC than they would have on their own. Barry’s company can also provide coordination assistance between homeowner insurance policy coverage and the association insurance coverage (see more on this below).
The Pointe West Homeowners Association board is still assessing whether it makes sense to hire the services of IRC for their insurance claim.
2. Temporary Repairs. The condo associations have retained the services of Advantage Environmental to provide temporary repair to roof and balcony ceiling areas to protect the building against further water intrusion. They are almost completed their work. We have been informed by our windstorm insurance adjuster that this work will be covered by our association insurance.
3. Adjusters. The flood insurance adjuster and the windstorm insurance adjuster for both condominium associations have been on site. The windstorm adjuster is returning later this week with their construction experts to walk every building and every damaged unit to make their assessment of covered damage. Our homeowners association property insurance adjuster has also been on site to review the common areas of the project, and the property and wind insurance carriers for the Beach Club property have also been on site. To date, we have not received any of their initial finding reports.
4. Mold Remediation. Based on our review of individual condominium units, it is apparent that some units have an issue with respect to the presence of mold. Under Texas law, if certain threshold amounts of mold are present in a residential property, that presence is required to be reported to the State of Texas. An assessment of the property by a licensed hygienist is required and that hygienist prepares a mold remediation protocol. This remediation must be undertaken by a licensed mold remediator. Once completed, the unit must be tested and then a certificate can be issued that the mold remediation is successful. Failure to follow this process can result in the inability to sell your property or to get financing.
IRC’s services include providing a licensed hygienist to undertake the initial assessment required by Texas law. The condo association boards have authorized IRC to start the process of preparing an assessment for the common areas and every individual condominium unit in each building. That process will start tomorrow. In addition to preparing the assessment and a remediation protocol for all units that require remediation, AON will also take care of filing the necessary paperwork with the State of Texas.
Once the assessments are completed, there will be a remediation protocol prepared for every condominium unit that requires remediation. We are in the process of contracting with Advantage Environmental, a licensed mold remediation company to undertake that work in all units. We understand that a number of you have already contacted Advantage Environmental to undertake this work on your behalf; if you wish to continue with them individually, that is your option, but we can also roll that work into our overall contract with them.
Because our windstorm policy contains a mold exclusion, it is possible that some of the remediation work will not be covered by the association’s insurance policy. We believe, however, that taking immediate steps to contain and remediate the mold in each building is of common interest to all owners, and so we are taking this step on your behalf.
It is possible that a homeowner surcharge will be required for the payment of the mold remediation and other costs not covered by our insurance policies. We are working to determine what that number may be, but at this point we cannot provide it to you because we do not know yet what amounts the insurance companies will provide us, and what items will be subject to challenge.
5. Condo Association/Individual Unit Coverage. A number of you have also asked about where the condominium association coverage stops in your individual units, and where your homeowners’ insurance coverage begins. We have requested a definitive interpretation of the wind policy coverage from our insurance adjuster, and we hope to have a definitive response
6. Construction Assistance. We have retained the services of Senderro Construction Company to assist us in preparing initial construction cost estimates for the repair work, in preparation for filing our insurance claim. Each association’s windstorm policy contains a per building deductible that is 2% of the replacement cost of the areas of the building covered by the windstorm policy; this number is different than the replacement value provided in the policy itself, so it must be calculated. We have retained Senderro to assist us in preparing this number as well, which we expect to have determined within the next week. Senderro Construction is a company that has a very good reputation and is currently the general contractor at Terramesa’s project at the Waters. They are experienced in vertical condominium construction, and it is our intent to use them to undertake the repairs to the condominium buildings. The cost of the work that they have provided for us to date would be included in the price of their construction contract, which we expect to be covered in large part by our insurance claim. The costs generated by Senderro will be used as a cross check against the costs generated by IRC.
7. Electrical Service. Because the electrical equipment in the first floor areas was submerged in sea water, the equipment will need to be replaced and/or refurbished before power can be restored to the buildings; failure to do so could result in significant risk of fire damage due to shorts or equipment malfunction. At this time all electricity to the property has been shut off until we can complete a thorough evaluation of all electrical systems. Once the evaluation is completed ,we will safely move forward with the required measures to restore electricity to the community.
Thank you for your patience.
Sincerely,
Joe Castillo
President, Baywater Condominium Association, Inc.
President, Villas Condominium Association, Inc.
President, Pointe West Homeowners Association, Inc.
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