The AGM is set for January 26th, 2008. Nominations for candidates to the Board of Directors must be received by the Front Desk by November 15th. A copy of the original email from the Manager was posted on this blog on October 12th. I would like to think that Coral Beach Hotel's legal counsel will provide clear guidance and inform us of the required documentation to ensure the acceptance of nominations by the Nominating Commitee. Having had no direct information from that committee (or even knowing who they are), as it stands right now, the only information Owners have, emanating via the Manager's Office, is the requirement for a resume and a picture. You will recall that last year various other requirements were introduced (such as obtaining Immigration clearance) that resulted in some applications being rejected by the Nominating Committee.
As I have said before, and it bears repeating, Coral Beach Hotel is in need of Owners to allow their names to go forward as potential Directors at the next AGM. Unless Owners are prepared to step up and put their names forward, the existing Board will be re-elected en masse and this is just what they are already anticpiating will happen.
Wednesday, October 31, 2007
a couple of shots at last
Just to let you know that as of this Wednesday morning at 8.45am there is only a slight drizzle amd the wind gusts are coming in from almost due east. So far, so good as far as wind and rain, although the size of the surf on the beach tells us that there is certainly some activity out there.
Tuesday, October 30, 2007
Official Documents of Concern
There has just been a very interesting, not to say disturbing, addition to the documents listed on www.coral-beach-hotel.com web site under the AGM page. It concerns our Board Treasurer who is also responsible for oversight of contracts/contractors around the complex.
I have been informed that Unit 3326 has already been bid on and has been accepted and is in the process of clearing. I apologise for my error and any confusion I may have caused.
We met Jacques Delorme up on the 6th floor of Building 3 and looked at the work being done today by one roofer on the overhang section above the terrace. He is a man who has worked on Coral Beach Hotel roofs previously and spent yesterday sorting out levels on both that flat surface as well as the terrace itself. Today he is attaching 'chicken mesh' wire to the surface of the overhang. He has rubberoid roofing material, cement as well as the 'lightening' material, a mixer and air compressor all to hand. Jacques explained that he and P. Galiano had approached at least 4 roofers over the past week or so but had been disappointed by a lack of interest exhibited by most of them. The Roofer presently working appears to be skilled and prefers to work on his own. This particular terrace has been slected for this new method of levelling and tiling as it is the terrace with the worst wear and tear. I will upload pics when the system lets me!
I have been informed that Unit 3326 has already been bid on and has been accepted and is in the process of clearing. I apologise for my error and any confusion I may have caused.
We met Jacques Delorme up on the 6th floor of Building 3 and looked at the work being done today by one roofer on the overhang section above the terrace. He is a man who has worked on Coral Beach Hotel roofs previously and spent yesterday sorting out levels on both that flat surface as well as the terrace itself. Today he is attaching 'chicken mesh' wire to the surface of the overhang. He has rubberoid roofing material, cement as well as the 'lightening' material, a mixer and air compressor all to hand. Jacques explained that he and P. Galiano had approached at least 4 roofers over the past week or so but had been disappointed by a lack of interest exhibited by most of them. The Roofer presently working appears to be skilled and prefers to work on his own. This particular terrace has been slected for this new method of levelling and tiling as it is the terrace with the worst wear and tear. I will upload pics when the system lets me!
Monday, October 29, 2007
Workers spotted today!
Well, just as I had said that nothing was happening, something was....a man was up on one of the terraces in Building 3 doing some work this morning and the Pool deck has had work done on it too - bigger holes for the trees and channeling for power cables I think. I am having problems uploading some pics for you this evening, but it does seem as if the area will be looking more attractive at some point this winter. Let's hope so.
For the person who queried the earnings from the CBH truck rental, the following notice has appeared at the Front Desk:
"Coral Beach is providing trash removal services at $100 plus dump fees. Owner/Contractor loads our truck. Sign up sheets available at the Front Desk."
And for those Owners who have only just found out about the Board President's deportation and have questions, I remind you of the Board's response written on Sept. 27th and posted on this blog on October 3rd. I have not seen or heard any other response to this situation from the Board or any Member of the Board since that letter.
CBH's Legal Counsel was telephoned today and asked when her written response to various questions raised by Owners would be forthcoming. She was reminded that nominations are required to be submitted to the Nominating Committee (who are they?) by November 15th. Her reply was that as further questions had been put to her since our visit, she was still in the process of drawing up her letter and she hoped to have it ready by the end of this week.
Units 2302 and 3326 are being re-offered for sale by CBH so act quickly if you interested.
For the person who queried the earnings from the CBH truck rental, the following notice has appeared at the Front Desk:
"Coral Beach is providing trash removal services at $100 plus dump fees. Owner/Contractor loads our truck. Sign up sheets available at the Front Desk."
And for those Owners who have only just found out about the Board President's deportation and have questions, I remind you of the Board's response written on Sept. 27th and posted on this blog on October 3rd. I have not seen or heard any other response to this situation from the Board or any Member of the Board since that letter.
CBH's Legal Counsel was telephoned today and asked when her written response to various questions raised by Owners would be forthcoming. She was reminded that nominations are required to be submitted to the Nominating Committee (who are they?) by November 15th. Her reply was that as further questions had been put to her since our visit, she was still in the process of drawing up her letter and she hoped to have it ready by the end of this week.
Units 2302 and 3326 are being re-offered for sale by CBH so act quickly if you interested.
A bright and sunny Monday morning
Although we have news of stormy weather approaching by mid week, this morning is gorgeous. I hope the tropical depression doesn't gather too much more strength, we've been so lucky this season. So it will be clear the terraces and batten down the hatches come Wednesday evening!
Sometime last week a contributor mentioned the unavailability of loungers for the beach - well your plea has been noted as access to the beach loungers can now be arranged via the Security Officer in the lobby. Multi-tasking contractors! They cost $3 per day - the loungers, not the Security men.
More piles of limestone fill have been dumped on the sand pit area.
City Markets on Seahorse has been undergoing a major reorganisation - the shelves have been emptied and cleaned and re-ordered, so shopping is now a mix of both a pleasure and a discovery trail. Food prices have not improved but the really good news (potentially) is that International Distributors have just opened a huge trans-shipment facility at the Harbour and has been given a licence by the Government to sell fresh fruit and vegetables directly to wholesalers and retailers in the Bahamas. This may mean some really good tomatoes and salad greens at last, fingers crossed.
There have been no signs of the G7 Contractors on site since I arrived on October 2nd although I have seen PG and JD checking roofs/terraces with a local construction man.
The are more and more people around the complex, either Owners or guests, and it is good to see groups socialising around the pool on most days. I've seen the BBQ in use too. Oh that we could get the Pool Bar operating again. Could it really take 10 years to reach Court?
Sometime last week a contributor mentioned the unavailability of loungers for the beach - well your plea has been noted as access to the beach loungers can now be arranged via the Security Officer in the lobby. Multi-tasking contractors! They cost $3 per day - the loungers, not the Security men.
More piles of limestone fill have been dumped on the sand pit area.
City Markets on Seahorse has been undergoing a major reorganisation - the shelves have been emptied and cleaned and re-ordered, so shopping is now a mix of both a pleasure and a discovery trail. Food prices have not improved but the really good news (potentially) is that International Distributors have just opened a huge trans-shipment facility at the Harbour and has been given a licence by the Government to sell fresh fruit and vegetables directly to wholesalers and retailers in the Bahamas. This may mean some really good tomatoes and salad greens at last, fingers crossed.
There have been no signs of the G7 Contractors on site since I arrived on October 2nd although I have seen PG and JD checking roofs/terraces with a local construction man.
The are more and more people around the complex, either Owners or guests, and it is good to see groups socialising around the pool on most days. I've seen the BBQ in use too. Oh that we could get the Pool Bar operating again. Could it really take 10 years to reach Court?
Saturday, October 27, 2007
From the CBH archives - the SPG Contract
The following extracts are taken from various documents previously circulated to Owners:
August 1st, 2007, Bi-Annual Update from the Board
The spalling project has been moving along quite well up to now. Unfortunately the contractor is experiencing some internal problems, along with a very wet June and July slowing the process down. It is hoped these matters will be resolved in short order.
Owners' Forum December 20th, 2006
Now that the spalling and painting is complete on the east and west elevations of Building 1 and east elevation of Building 3, installation of the (hurricane) shutters can go ahead there, and as the contractors finish their work on the other facades, so installation can take place.
Undated letter from Vice Chairman & Treasurer, Phil Galiano (received on 8th December, 2006):
In order to turn around the neglect and deterioration of our 38 year old structure a major rehabilitation project was engineered, planned and commenced during the 2005-6 fiscal year and is continuing into the 2006-2007 fiscal year. The work is more than 1/2 completed on the exterior of our complex. At the same time the interior rehabbing is taking place. We have sufficient monies to complete all work that has been contemplated. Future work will be financed with the monthly income from all sources.. Revenue from the sale of four CB owned studios and a one bedroom apartment will be added to our reserve in the form of term CD's until such time as the funds may be needed for future capital improvements.
Owners Forum November 28th, 2006
A number of Owners reported water leaks at the eastern side of Building 2. PG said that until the flashings are complete on the building it is not possible to be sure where the leaks come from. Terrace roofs remain a problem and getting the entire complex wind and water tight is a priority over the next two years but it must be done systematically. A new type of material may be used on the terraces and a redesign might also take place.
President's Report for 2007 AGM dated October 24, 2006
The Spalling project and the selected contractor are working out better than expected. Phil Galiano's constant attention has kept this multi faceted project on budget and on time. We are anticipating completion of the project towards the middle of February 07.
Board Minutes January 25, 2006
Spalling Contract - Phil has included a bonus and penalty clause in the contract regarding the time limit to complete the contract. This may be an incentive to get the work done in a reasonable time frame.
Building & Ground Notices #1-06 January 22, 2006
Starting sometime in February 2006 and forward approximate one year or more the SPG (Spalling, Painting, Guttering) Project will begin. Note: (The exact intended plan, of work starting from this beginning phase as outlined above, from section to section of all the buildings in the Coral Beach Complex will be posted on this web page, when completed and other areas throughout the Complex.) This project though long in coming has had many long hours put to fine tuning the many parts of the Project, the safety of both Owners, Guests, Public and Contractor, the procedures and knitting of the various construction trades under the direction of an experienced Contractor so the project will flow smoothly, was thoughtfully explored with the objective to the least inconvenience to Owners.
Board Minutes January 13, 2006
Phil reported that he and George (Turner, Board Member) had visited other sites that the proposed contractor has worked on, on the island. They were very satisfied with the quality of work on those jobs. There was a concern with the amount of surpervision of the contractor, once the job was started and through to completion. Phil has assured the Board that he will be on the island intermittently, and will inspect the work being done. It was suggested that Phil English, professional engineer be contacted in the event that extra surpervision would be necessary. The Buildings and Grounds Commitee have received bids from four construction firms in the Freeport area after sending out bid requests and specifications for specialised work to be performed at and on Coral Beach complex, namely: Spalling repair, pressure washing and painting, fascia and down spouting installation, balcony railing reconstruction and related work on the exterior renovation project.(aka SPG Project) for work to commence sometime in January 2006 and to be completed prior to 2008, the award for the work is to G-Seven Construction Company of Freeport, GBI, Bahamas in the amount of $372,000, as per the Tacoma Specifications, dated September 21, 2005 and bid tender dated November 14, 2005. Moved by T Mulvihill, second M. Diliberto that the Board approves the contract bid from G-Seven Construction Company of Freeport, GBI, Bahamas in the amount of $372,000, as per the Tacoma Specifications, dated September 21, 2005. And further, that this is a labor only contract and that the Board approves the amount of $150,000 be budgeted in the Coral Beach budget for the materials for this contract. Carried. The amount of $150,000 includes the $50,000 that was approved for this contract at the December 13, 2005 ~363 Rev. 1 Meeting.
Coral Beach Management Company, President's Report, 2005 (for 2006 AGM)
New roofs were installed on all three buildings. These roofs are of a melted tar base that seals and waterproofs the base concrete structure. It is comprised of a total of 3 layers of varying roofing material. This type of roof has much better Hurricane resistant qualities. The fascia and gutters were redesigned by Phil Galiano and strongly endorsed by the consulting Engineer. This new fascia design adds additional protection to the new roofs and eliminated the multitude of downspouts along the building face. This was truly Phil at his best. Not only did his novel recommendations beautify and strengthen but also saved hundreds of feet of spouting pipes which translates into big dollar savings. Great work Phil!. The Assessment is required to reclaim the $360,000 insurance deductible payment as well as contributing to the Spalling Project and other necessary projects from past years. The assesment amount is $800,000 calculated over two years. The first installment is set for September 2005, and then equally spaced payments in February, May and August 2006.
Re-reading the above extracts from written information emanating from either the Board, the President, the B&G Committee or my circulated reports of Owners' Forums, there are a number of obvious questions to be raised:
1. Has the Contractor incurred any of the penalty clauses due to the over-run of the contract?
2. How much is left of the $372,000 in the G-7 labour only contract?
3. How much is left of the $150,000 budgeted for the materials involved in this contract?
4. Have B&G ensured that all of the Tacoma specifications as per the Sept. 21st 2005 documentation been followed by the contractor?
5. How many change orders have been issued to the Contractor and how much have they added to the cost of the contract?
August 1st, 2007, Bi-Annual Update from the Board
The spalling project has been moving along quite well up to now. Unfortunately the contractor is experiencing some internal problems, along with a very wet June and July slowing the process down. It is hoped these matters will be resolved in short order.
Owners' Forum December 20th, 2006
Now that the spalling and painting is complete on the east and west elevations of Building 1 and east elevation of Building 3, installation of the (hurricane) shutters can go ahead there, and as the contractors finish their work on the other facades, so installation can take place.
Undated letter from Vice Chairman & Treasurer, Phil Galiano (received on 8th December, 2006):
In order to turn around the neglect and deterioration of our 38 year old structure a major rehabilitation project was engineered, planned and commenced during the 2005-6 fiscal year and is continuing into the 2006-2007 fiscal year. The work is more than 1/2 completed on the exterior of our complex. At the same time the interior rehabbing is taking place. We have sufficient monies to complete all work that has been contemplated. Future work will be financed with the monthly income from all sources.. Revenue from the sale of four CB owned studios and a one bedroom apartment will be added to our reserve in the form of term CD's until such time as the funds may be needed for future capital improvements.
Owners Forum November 28th, 2006
A number of Owners reported water leaks at the eastern side of Building 2. PG said that until the flashings are complete on the building it is not possible to be sure where the leaks come from. Terrace roofs remain a problem and getting the entire complex wind and water tight is a priority over the next two years but it must be done systematically. A new type of material may be used on the terraces and a redesign might also take place.
President's Report for 2007 AGM dated October 24, 2006
The Spalling project and the selected contractor are working out better than expected. Phil Galiano's constant attention has kept this multi faceted project on budget and on time. We are anticipating completion of the project towards the middle of February 07.
Board Minutes January 25, 2006
Spalling Contract - Phil has included a bonus and penalty clause in the contract regarding the time limit to complete the contract. This may be an incentive to get the work done in a reasonable time frame.
Building & Ground Notices #1-06 January 22, 2006
Starting sometime in February 2006 and forward approximate one year or more the SPG (Spalling, Painting, Guttering) Project will begin. Note: (The exact intended plan, of work starting from this beginning phase as outlined above, from section to section of all the buildings in the Coral Beach Complex will be posted on this web page, when completed and other areas throughout the Complex.) This project though long in coming has had many long hours put to fine tuning the many parts of the Project, the safety of both Owners, Guests, Public and Contractor, the procedures and knitting of the various construction trades under the direction of an experienced Contractor so the project will flow smoothly, was thoughtfully explored with the objective to the least inconvenience to Owners.
Board Minutes January 13, 2006
Phil reported that he and George (Turner, Board Member) had visited other sites that the proposed contractor has worked on, on the island. They were very satisfied with the quality of work on those jobs. There was a concern with the amount of surpervision of the contractor, once the job was started and through to completion. Phil has assured the Board that he will be on the island intermittently, and will inspect the work being done. It was suggested that Phil English, professional engineer be contacted in the event that extra surpervision would be necessary. The Buildings and Grounds Commitee have received bids from four construction firms in the Freeport area after sending out bid requests and specifications for specialised work to be performed at and on Coral Beach complex, namely: Spalling repair, pressure washing and painting, fascia and down spouting installation, balcony railing reconstruction and related work on the exterior renovation project.(aka SPG Project) for work to commence sometime in January 2006 and to be completed prior to 2008, the award for the work is to G-Seven Construction Company of Freeport, GBI, Bahamas in the amount of $372,000, as per the Tacoma Specifications, dated September 21, 2005 and bid tender dated November 14, 2005. Moved by T Mulvihill, second M. Diliberto that the Board approves the contract bid from G-Seven Construction Company of Freeport, GBI, Bahamas in the amount of $372,000, as per the Tacoma Specifications, dated September 21, 2005. And further, that this is a labor only contract and that the Board approves the amount of $150,000 be budgeted in the Coral Beach budget for the materials for this contract. Carried. The amount of $150,000 includes the $50,000 that was approved for this contract at the December 13, 2005 ~363 Rev. 1 Meeting.
Coral Beach Management Company, President's Report, 2005 (for 2006 AGM)
New roofs were installed on all three buildings. These roofs are of a melted tar base that seals and waterproofs the base concrete structure. It is comprised of a total of 3 layers of varying roofing material. This type of roof has much better Hurricane resistant qualities. The fascia and gutters were redesigned by Phil Galiano and strongly endorsed by the consulting Engineer. This new fascia design adds additional protection to the new roofs and eliminated the multitude of downspouts along the building face. This was truly Phil at his best. Not only did his novel recommendations beautify and strengthen but also saved hundreds of feet of spouting pipes which translates into big dollar savings. Great work Phil!. The Assessment is required to reclaim the $360,000 insurance deductible payment as well as contributing to the Spalling Project and other necessary projects from past years. The assesment amount is $800,000 calculated over two years. The first installment is set for September 2005, and then equally spaced payments in February, May and August 2006.
Re-reading the above extracts from written information emanating from either the Board, the President, the B&G Committee or my circulated reports of Owners' Forums, there are a number of obvious questions to be raised:
1. Has the Contractor incurred any of the penalty clauses due to the over-run of the contract?
2. How much is left of the $372,000 in the G-7 labour only contract?
3. How much is left of the $150,000 budgeted for the materials involved in this contract?
4. Have B&G ensured that all of the Tacoma specifications as per the Sept. 21st 2005 documentation been followed by the contractor?
5. How many change orders have been issued to the Contractor and how much have they added to the cost of the contract?
Monday, October 22, 2007
my timetable.....
I'm off Island tomorrow (Tuesday) morning and will be away until late Friday - so I will not be able to moderate any more comments until then. I'll be logging on first thing Saturday and I hope to find an array of interesting postings waiting for me! Pat
Really?
Did you know that NO SOLO SWIMMING is allowed in our pool? Right now it is so lovely in there it shouldn't be difficult to find a person to accompany you............
Friday, October 19, 2007
Quick update
The Pool Bar mediation/negotiation meeting (on the 17th) was delayed again by the Lessee and her lawyers. No new date has yet been given.
Time for good news and, maybe, a smile
This is a smile for you today - visiting the basement yesterday I came across this little guy who is obviously helping CBH cut costs on the bug contract!
Mark Hardy, the man doing the CBH books off site, has come up trumps again. Not content with getting the October statements out in the first few days of the month, yesterday the profit and loss accounts for August and September arrived via email.
Jacques Delorme has some assistance at last as Phil Galiano arrived late Wednesday and they were out and about the roofs and terraces yesterday.
We are waiting to hear the result, if any, of the settlement mediation meeting arranged for yesterday in the matter of the Pool Bar Lessee.
Tuesday, October 16, 2007
Your concentration required - settle down, relax and question......
We are fast approaching the time when we can expect to read the President's Report for the year 2007. This is, therefore, an appropriate time to remind Owners of some statements made by the President and/or Treasurer since this time last year with regard to CBH's finances.
Owners will see from the following that few if any of the promised documents have been circulated. Owners will also know that neither the Treasurer's Reports, Accounts, Board Minutes or Manager's Reports have been available to Owners on request or at the Front Desk. It is also evident that the spalling contractor is not working on that contract at present and that much work around the complex is still required. The whole western facade on Building 3 remains untouched, much of the eastern facade of Building 2 also remains unfinished as well as the flashing on various terraces and roofs. Further, the retention of water behind this flashing is holding the rain in situ for long periods. The leaks into the buildings are numerous and substantial. Owners need to consider what this means in extra funds required in order to make this complex wind and water tight. Is an assessment on the cards? Will Owners be sensible enough to insist on a properly qualified engineer's report and recommendations before agreeing to spend more money on trying to fix a botched job with another?
From the President's Report dated October 24, 2006.
'Changing the accounting system was one of the Board's 2006 goals. The software change from Peachtree to Quickbooks and the transfer of information went extremely well. The statements are more detailed indicating the electrical consumption for easy tracking and statements that are much easier to read by all accounts. The management and office staff were true to their word that it would be accomplished in a timely manner and it was. The Board would like to thank the Staff for their diligent effort in this area. This will also be the first year in a long time that a full audit will be performed with accurate numbers accompanied by the auditor's report. This report as well as the audit will be available to all Owners prior to the AGM. The accounting firm will begin the audit in November, accommodating their schedule.'
Owner's Forum held on 15th November, 2006
Treasurer, Phil Galiano, said 'that $300,000 was locked into CDs with a further $200,000 in two accounts with Scotia Bank. Coral Beach Hotel is in the process of moving these accounts to the Commonwealth Bank of the Bahamas but a problem with AMEX deposits is holding the transfer up. Operating costs run alongside maintenance fees that raise approximately $850,000 and the largest deduction is $300,000 pa for insurance. The financial position is such that a further 10% drop in maintenance fees will apply as of January 2007. No further assessments will be necessary at this time. Asked about the sale of the four units by sealed bids, only one bid came from Owners in the first offering, that of Sandra Rufa for $55,100, after being offered publically the other three hotel rooms were sold for $57,000+, $57,000+ and $55,000. Deposits have been received but as the deeds cannot be found all further transactions are on hold. The money raised will go into the Reserve Fund.'
Owners Forum held on November 28th, 2006
When asked to elaborate on the $186,000 loss over 2006 on the P & L account, the Treasurer said that as CBH had $600,000 on account in the bank, there was nothing to worry about. All accounts prior to the August 2006 end-of-year statement (now being drawn up by our Auditors) were inaccurate. Half of the spalling contract has been paid.(nb; Spalling contract $381,000) The CDs in the bank are earning 3%. However 6 Owners together owe CBH $55,000 and all are being advised of liens on their apartments. BR was asked to clarify the CBH insurance position. He said that after hurricanes Frances and Jeanne the Board and the Insurance Company had signed off on a payment of $867,000 for repairs. However this sum did not fully cover all the items it should have done and a further consultation was made with Mr Thompson, a Loss Assessor, who is in the process of claiming $9 million. His interest, should he succeed, will reiumburse him up to 30% of this sum. BR/PG have indicated unofficially that a reduced settlement of around $1.5 million would be acceptable to CBH and believe that the Insurers would be far more likely to settle the claim.
Owners' Forum of December 20th, 2006.
B.Rufa noted that after the 2004 hurricanes the new 2005 Board was under immense pressure to resolve a number of problems: $125,000 had been spent on the roofs (not terraces); $50,000 to Mario Donato to repair his penthouse; railings, gym and other costs had brought the figure to $450,000. BR gave the following figures:
Assessment of hurricane damage in 2005: $800,000 to cover spalling, aircon, grilles, cable wires etc;
Estimate of costs: labour $381,000; material $150,000
Hurricane Wilma in 2005 cost an additional $150,000.
Staff Severance pay August 2005: $100,000
Cost savings as a result of re-structuring at CBH in 2005: 3 full time staff plus 2 part time = $100,000 (2004, 22 full time staff = $460,000)
D. Bain Contracted Services = $150,000. Maintenance/handymen hourly paid as needed = $50,000 (too soon to be very specific)
Gross Annual Income: $1,000,000 includes maintenance fees, leases, laundry, parking & storage. Expenses: $560,000
Mantenance fees will raise $700,000 in 2007, $140,000 in storage fees etc will give CBH $200,000 over expenses for 2007. Add the sale of the Hotel Rooms and a further $300,000 will be added to the working capital sum.
At this stage the Accounts are almost up to date and orderly and the Auditors should be able to write off the accounts this year with more confidence than they have had for a long time. All other things being equal by next year the Accounts will be up to international standards.
Owners Forum held on December 30th, 2006.
BR gave a breakdown of finances: Maintenance fee income for 2007 will bring in $925,000 and expenses will cost $800,000 leaving a surplus of $125,000. The sale of the hotel rooms raised a further $300,000, there was $500,000 in the bank accounts and a further $125,000 owing in maintenance fees. A question was asked about the $17 million insurance claim being followed up by a firm of Head Hunters. BR explained that while the sum remained outstanding, the Insurers had to keep that sum in escrow and therefore had good reason to want to settle. BR said that he had indicated to the Insurers that CBH would accept a $1 million settlement and he felt this could be resolved in a week or two.
Treasurer's Comment on the Blog dated February19th, 2007
Given that CB is still attacking the long list of remedial projects.....CB would need conservatively an infusion of over one million dollars of extra income to improve its infrastructure to return to the point of considering a special reserve fund. I'll leave the specifics of the needed and required improvements to a special report in the near future.....
Owners Forum March 14th, 2007
BR confirmed that the 6 monthly figures (end January 07) would be produced fairly shortly and the intention was to circulate quarterly reports from then on.
CORAL BEACH HOTEL NEEDS THE HELP OF PROFESSIONAL AND KNOWLEDGEABLE OWNERS WITH LEGAL, FINANCIAL, CONSTRUCTION/ENGINEERING AND MANAGERIAL SKILLS TO STAND FOR THE BOARD OF DIRECTORS AND HELP BRING CORAL BEACH HOTEL BACK TO BEING A REAL PIECE OF PARADISE.
Owners will see from the following that few if any of the promised documents have been circulated. Owners will also know that neither the Treasurer's Reports, Accounts, Board Minutes or Manager's Reports have been available to Owners on request or at the Front Desk. It is also evident that the spalling contractor is not working on that contract at present and that much work around the complex is still required. The whole western facade on Building 3 remains untouched, much of the eastern facade of Building 2 also remains unfinished as well as the flashing on various terraces and roofs. Further, the retention of water behind this flashing is holding the rain in situ for long periods. The leaks into the buildings are numerous and substantial. Owners need to consider what this means in extra funds required in order to make this complex wind and water tight. Is an assessment on the cards? Will Owners be sensible enough to insist on a properly qualified engineer's report and recommendations before agreeing to spend more money on trying to fix a botched job with another?
From the President's Report dated October 24, 2006.
'Changing the accounting system was one of the Board's 2006 goals. The software change from Peachtree to Quickbooks and the transfer of information went extremely well. The statements are more detailed indicating the electrical consumption for easy tracking and statements that are much easier to read by all accounts. The management and office staff were true to their word that it would be accomplished in a timely manner and it was. The Board would like to thank the Staff for their diligent effort in this area. This will also be the first year in a long time that a full audit will be performed with accurate numbers accompanied by the auditor's report. This report as well as the audit will be available to all Owners prior to the AGM. The accounting firm will begin the audit in November, accommodating their schedule.'
Owner's Forum held on 15th November, 2006
Treasurer, Phil Galiano, said 'that $300,000 was locked into CDs with a further $200,000 in two accounts with Scotia Bank. Coral Beach Hotel is in the process of moving these accounts to the Commonwealth Bank of the Bahamas but a problem with AMEX deposits is holding the transfer up. Operating costs run alongside maintenance fees that raise approximately $850,000 and the largest deduction is $300,000 pa for insurance. The financial position is such that a further 10% drop in maintenance fees will apply as of January 2007. No further assessments will be necessary at this time. Asked about the sale of the four units by sealed bids, only one bid came from Owners in the first offering, that of Sandra Rufa for $55,100, after being offered publically the other three hotel rooms were sold for $57,000+, $57,000+ and $55,000. Deposits have been received but as the deeds cannot be found all further transactions are on hold. The money raised will go into the Reserve Fund.'
Owners Forum held on November 28th, 2006
When asked to elaborate on the $186,000 loss over 2006 on the P & L account, the Treasurer said that as CBH had $600,000 on account in the bank, there was nothing to worry about. All accounts prior to the August 2006 end-of-year statement (now being drawn up by our Auditors) were inaccurate. Half of the spalling contract has been paid.(nb; Spalling contract $381,000) The CDs in the bank are earning 3%. However 6 Owners together owe CBH $55,000 and all are being advised of liens on their apartments. BR was asked to clarify the CBH insurance position. He said that after hurricanes Frances and Jeanne the Board and the Insurance Company had signed off on a payment of $867,000 for repairs. However this sum did not fully cover all the items it should have done and a further consultation was made with Mr Thompson, a Loss Assessor, who is in the process of claiming $9 million. His interest, should he succeed, will reiumburse him up to 30% of this sum. BR/PG have indicated unofficially that a reduced settlement of around $1.5 million would be acceptable to CBH and believe that the Insurers would be far more likely to settle the claim.
Owners' Forum of December 20th, 2006.
B.Rufa noted that after the 2004 hurricanes the new 2005 Board was under immense pressure to resolve a number of problems: $125,000 had been spent on the roofs (not terraces); $50,000 to Mario Donato to repair his penthouse; railings, gym and other costs had brought the figure to $450,000. BR gave the following figures:
Assessment of hurricane damage in 2005: $800,000 to cover spalling, aircon, grilles, cable wires etc;
Estimate of costs: labour $381,000; material $150,000
Hurricane Wilma in 2005 cost an additional $150,000.
Staff Severance pay August 2005: $100,000
Cost savings as a result of re-structuring at CBH in 2005: 3 full time staff plus 2 part time = $100,000 (2004, 22 full time staff = $460,000)
D. Bain Contracted Services = $150,000. Maintenance/handymen hourly paid as needed = $50,000 (too soon to be very specific)
Gross Annual Income: $1,000,000 includes maintenance fees, leases, laundry, parking & storage. Expenses: $560,000
Mantenance fees will raise $700,000 in 2007, $140,000 in storage fees etc will give CBH $200,000 over expenses for 2007. Add the sale of the Hotel Rooms and a further $300,000 will be added to the working capital sum.
At this stage the Accounts are almost up to date and orderly and the Auditors should be able to write off the accounts this year with more confidence than they have had for a long time. All other things being equal by next year the Accounts will be up to international standards.
Owners Forum held on December 30th, 2006.
BR gave a breakdown of finances: Maintenance fee income for 2007 will bring in $925,000 and expenses will cost $800,000 leaving a surplus of $125,000. The sale of the hotel rooms raised a further $300,000, there was $500,000 in the bank accounts and a further $125,000 owing in maintenance fees. A question was asked about the $17 million insurance claim being followed up by a firm of Head Hunters. BR explained that while the sum remained outstanding, the Insurers had to keep that sum in escrow and therefore had good reason to want to settle. BR said that he had indicated to the Insurers that CBH would accept a $1 million settlement and he felt this could be resolved in a week or two.
Treasurer's Comment on the Blog dated February19th, 2007
Given that CB is still attacking the long list of remedial projects.....CB would need conservatively an infusion of over one million dollars of extra income to improve its infrastructure to return to the point of considering a special reserve fund. I'll leave the specifics of the needed and required improvements to a special report in the near future.....
Owners Forum March 14th, 2007
BR confirmed that the 6 monthly figures (end January 07) would be produced fairly shortly and the intention was to circulate quarterly reports from then on.
CORAL BEACH HOTEL NEEDS THE HELP OF PROFESSIONAL AND KNOWLEDGEABLE OWNERS WITH LEGAL, FINANCIAL, CONSTRUCTION/ENGINEERING AND MANAGERIAL SKILLS TO STAND FOR THE BOARD OF DIRECTORS AND HELP BRING CORAL BEACH HOTEL BACK TO BEING A REAL PIECE OF PARADISE.
Sunday, October 14, 2007
Anonymous questions to the Board
IMPORTANT QUESTIONS TO THE BOD Who are the Members of the Nominating Committee ?Who are the Members of the Financial Committee ? Do candidates still need to get clearance from Bahamas Immigration to run for the BOD ?
Saturday, October 13, 2007
Photos at last
Finally the pc has accepted some pics for you to enjoy! As you can tell we have had showers and grey clouds scudding by off and on this week - still steamy! The first pic of the Pool Bar boarded up a way with tape strung across the deck shows that work has been taking place this week. The piles of concrete dug up from the deck and piled at the side of the Pool Bar have been removed, the piles of old plywood are being re-used or dumped and the holes in the deck have been covered with ply too. This is apres VP Jacques - who sat and watched the workers doing their job while trying to get some sun in! The earlier pic of the BBQ with rubble behind shows what it all looked like prior to Jacques arrival. The lights around the complex are all working again, Adderley has been up and down ladders with light bulbs this week.
You can also see the state of the rear of Building 2 , and you can see the cables strung across the back. The beachside railings are a mess.
BUT - both the lobbies look infinitely better with their new railings that seem to be finished in a really hardwearing white coating.
And so, on that positive note I will finish with another Bushism:
"See, in my line of work you got to keep repeating things over and over and over again for the truth to sink in, to kind of catapult the propaganda." Greece, NY, May 24, 2005
Secrecy - what it means
I believe it is both useful and timely to share some thoughts from a book I read in 2004 about the Evils of Secrecy. I shared these perils with the 2005 Board. It must not have resonated because ironically, each succeeding Board has become more secretive.
Here are ten evils in bullet form. Please think about them.
Secrecy precludes public accountability
Secrecy negatively affects character
Secrecy hides incompetence
Secrecy hides malfeasance
Secrecy encourages incompetence
Secrecy alienates
Secrecy threatens liberty
Secrecy is undemocratic
Secrecy is dangerous
Secrecy destroys trust
Interesting is it not?
Ted Mulvihill
Here are ten evils in bullet form. Please think about them.
Secrecy precludes public accountability
Secrecy negatively affects character
Secrecy hides incompetence
Secrecy hides malfeasance
Secrecy encourages incompetence
Secrecy alienates
Secrecy threatens liberty
Secrecy is undemocratic
Secrecy is dangerous
Secrecy destroys trust
Interesting is it not?
Ted Mulvihill
Friday, October 12, 2007
Nominations for Board of Directors
Good day,
Please see the following message from the Board of Directors.
Regards,
Coral Beach Front Desk
Any Owner who wishes to run for the Board of Directors in 2008 should submit a resume and a picture to the Nominating Committee / coordinator for consideration.
All e mails / correspondences should be addressed to the front desk cbfrontdesk@gmail.com . Applications should be in no latter than November 15 / 07.
The AGM will be held January 26/08.
Coral Beach Management
The above is the circulated note to Owners on email. As many of you will recall, last year there were problems with some nominations that were rejected by the Board. We have been to see CBH Legal Counsel and asked her to advise on the legal requirements that form the basis of a nomination to the Board. T. Dennison has said that she would produce this information within two weeks - running fairly close to the cut off point we know - but as soon as that information is available I will post it on this blog.
Please see the following message from the Board of Directors.
Regards,
Coral Beach Front Desk
Any Owner who wishes to run for the Board of Directors in 2008 should submit a resume and a picture to the Nominating Committee / coordinator for consideration.
All e mails / correspondences should be addressed to the front desk cbfrontdesk@gmail.com . Applications should be in no latter than November 15 / 07.
The AGM will be held January 26/08.
Coral Beach Management
The above is the circulated note to Owners on email. As many of you will recall, last year there were problems with some nominations that were rejected by the Board. We have been to see CBH Legal Counsel and asked her to advise on the legal requirements that form the basis of a nomination to the Board. T. Dennison has said that she would produce this information within two weeks - running fairly close to the cut off point we know - but as soon as that information is available I will post it on this blog.
Tuesday, October 9, 2007
Another lovely day on Lucayan Beach
Hi Everyone,
I am truly still trying to get photos uploaded to the blog but I can't get through. Sometime today (I hope) the techie is coming and the problem could be resolved soon. I hope so, as I would like to send you some pics that will make you feel happy - the lobbies are looking good - bright and fresh and the plants in Building 3 lobby have grown and the smell has faded - can't be bad eh? There are no signs of work being done around the complex at present. The flashing is not complete across the front facade of Building 2, nor on the catwalk roof. The sand pit has had 3 piles of limerock and two of topsoil deposited on it today. The palm tree by the edge of the shuffleboard court has grown even higher and 'coconut danger' signs have been put around - aaah, life in the tropics.
The Vice President, Jacques Delorme, is here and all I have seen him do so far is walk around the site with various staff in tow, clipboards at the ready - no time for sunbathing! He has obviously found far too much to keep him busy rather than sunning by the pool - let's hope he manages to work on his tan soon while the weather is so good.
When you get back into Freeport make sure you glance at Casa Bahama as you pass - it is now a confection of yellow and green! The good news this week is that Norweigan Cruise Lines will be including Freeport in its ports of call during the winter. Meanwhile Fleming Family & Partners are still in talks over buying the GBPA - if the Hayward and St George families can agree a settlement. Seahorse Road is being re-tarmacadamed (as the Brits say) on the side heading towards Our Lucaya and Sanitation Services are out in force cutting the verges today. So all in all Freeport is looking in good shape.
Let me just remind those who dip in and out of the blog intermittently, check out the comments link at the end of each piece if it indicates that comments have been made - some recent submissions are very thought provoking. More please - and maybe a few of appreciation of work done as well?
I am truly still trying to get photos uploaded to the blog but I can't get through. Sometime today (I hope) the techie is coming and the problem could be resolved soon. I hope so, as I would like to send you some pics that will make you feel happy - the lobbies are looking good - bright and fresh and the plants in Building 3 lobby have grown and the smell has faded - can't be bad eh? There are no signs of work being done around the complex at present. The flashing is not complete across the front facade of Building 2, nor on the catwalk roof. The sand pit has had 3 piles of limerock and two of topsoil deposited on it today. The palm tree by the edge of the shuffleboard court has grown even higher and 'coconut danger' signs have been put around - aaah, life in the tropics.
The Vice President, Jacques Delorme, is here and all I have seen him do so far is walk around the site with various staff in tow, clipboards at the ready - no time for sunbathing! He has obviously found far too much to keep him busy rather than sunning by the pool - let's hope he manages to work on his tan soon while the weather is so good.
When you get back into Freeport make sure you glance at Casa Bahama as you pass - it is now a confection of yellow and green! The good news this week is that Norweigan Cruise Lines will be including Freeport in its ports of call during the winter. Meanwhile Fleming Family & Partners are still in talks over buying the GBPA - if the Hayward and St George families can agree a settlement. Seahorse Road is being re-tarmacadamed (as the Brits say) on the side heading towards Our Lucaya and Sanitation Services are out in force cutting the verges today. So all in all Freeport is looking in good shape.
Let me just remind those who dip in and out of the blog intermittently, check out the comments link at the end of each piece if it indicates that comments have been made - some recent submissions are very thought provoking. More please - and maybe a few of appreciation of work done as well?
Monday, October 8, 2007
Sand pit saga
Re-reading the Bi-annual update dated August 1st I note the following :
"The new parking area has been filled and is being levelled. The Board has not budgeted any funds this year to further develop that property. However it appears that the sand is worth a fortune. The contractor had approached the Board and offered to supply the installation of asphalt and 4 drain wells in exchange for more sand. The Board agreed to this arrangement. It must also be noted at this point that we are in litigation with the previous Coral Beach Manager in regards to her allegedly approving the unauthorised removal of the vast majority of sand that we now calculate to be in excess of $200,000. The amount of sand that was negotiated in this last deal is a minute fraction of what was taken out previously and yet we are receiving over $50,000 in goods and services in exchange."
The Minutes dated March 16th, 2005 read as follows:
Parking Lot: An explanation to the Board regarding the contract with Freecon, Mr Silvera, and their obligation to fulfill the items of the items of the contract. The excavation allowed for 400 yards of soft soil and sand to be removed. The trucking company, subcontracted by Freecon to Gordon Rolle. Mr Rolle made a verbal agreement with Mr Galiano of Coral Beach to honour the contract as written. Limerock will be used as fill, and the dollar value between soil/sand removed and limerock fill will be shared equally between Mr Rolle and Coral Beach Hotel. P Galiano to monitor the contract."
Of interest - I have heard (therefore a rumour) that an approach has been made to the Owner/s of the adjacent lot at the rear of the complex alongside the sandpit. The purchase of the site would obviously allow its owner to make thousands of dollars in selling the sand, if approved! Maybe the GBPA would have a problem if they saw the same action taken on our site being repeated yet again. It took the Board quite a while to get permission for the change of zoning to a car park as I recall, and the official extraction of sand is quite another hurdle to overcome.
"The new parking area has been filled and is being levelled. The Board has not budgeted any funds this year to further develop that property. However it appears that the sand is worth a fortune. The contractor had approached the Board and offered to supply the installation of asphalt and 4 drain wells in exchange for more sand. The Board agreed to this arrangement. It must also be noted at this point that we are in litigation with the previous Coral Beach Manager in regards to her allegedly approving the unauthorised removal of the vast majority of sand that we now calculate to be in excess of $200,000. The amount of sand that was negotiated in this last deal is a minute fraction of what was taken out previously and yet we are receiving over $50,000 in goods and services in exchange."
The Minutes dated March 16th, 2005 read as follows:
Parking Lot: An explanation to the Board regarding the contract with Freecon, Mr Silvera, and their obligation to fulfill the items of the items of the contract. The excavation allowed for 400 yards of soft soil and sand to be removed. The trucking company, subcontracted by Freecon to Gordon Rolle. Mr Rolle made a verbal agreement with Mr Galiano of Coral Beach to honour the contract as written. Limerock will be used as fill, and the dollar value between soil/sand removed and limerock fill will be shared equally between Mr Rolle and Coral Beach Hotel. P Galiano to monitor the contract."
Of interest - I have heard (therefore a rumour) that an approach has been made to the Owner/s of the adjacent lot at the rear of the complex alongside the sandpit. The purchase of the site would obviously allow its owner to make thousands of dollars in selling the sand, if approved! Maybe the GBPA would have a problem if they saw the same action taken on our site being repeated yet again. It took the Board quite a while to get permission for the change of zoning to a car park as I recall, and the official extraction of sand is quite another hurdle to overcome.
Saturday, October 6, 2007
Why Coral Beach HOTEL?
I get the distinct feeling that the non-replacement of HOTEL on the buildings indicates a view held by some that Coral Beach Hotel should become Coral Beach Private Members Club. I may be wrong of course, but for those Owners who might be considering there could be some benefit to such a move I quote from advice given to the Board on March 16, 2005 as written in the Minutes:
"The benefit to Coral Beach having hotel status is that all common areas can be classified as tax exempt. It is necessary to comply with the Hotel Licensing Board regulations, or the Board will revoke our license. It would then be mandatory to pay the bond fees back to the Government, and this pay back will date back to the beginning of the license. The license is granted to carry on a business to manage hotel rooms and other areas of the building such as restaurant, gym, store, office, beauty parlor. The License Fee of $280 is paid annually, and has been since February 1st, 1971, and approves premises for Coral Beach Hotel, Kenilworth Investments. It was questioned by the Board if the new parking lot would be covered under the bond? Mrs. Cornelius would look into that area, with the consideration of a parking lot, paving, lighting, fencing, etc for the benefit of hotel guests. This could be classified as Capital Improvements. Can we purchase the windows for the buildings under bonding? Ms Cornelius advised the Board 'yes'. She further stated that all maintenance, windows, lobby, repairing and replacing equipment to maintain the integrity of the building should be covered by the bonding license."
So, how much would it cost NOT to remain as Coral Beach Hotel?
"The benefit to Coral Beach having hotel status is that all common areas can be classified as tax exempt. It is necessary to comply with the Hotel Licensing Board regulations, or the Board will revoke our license. It would then be mandatory to pay the bond fees back to the Government, and this pay back will date back to the beginning of the license. The license is granted to carry on a business to manage hotel rooms and other areas of the building such as restaurant, gym, store, office, beauty parlor. The License Fee of $280 is paid annually, and has been since February 1st, 1971, and approves premises for Coral Beach Hotel, Kenilworth Investments. It was questioned by the Board if the new parking lot would be covered under the bond? Mrs. Cornelius would look into that area, with the consideration of a parking lot, paving, lighting, fencing, etc for the benefit of hotel guests. This could be classified as Capital Improvements. Can we purchase the windows for the buildings under bonding? Ms Cornelius advised the Board 'yes'. She further stated that all maintenance, windows, lobby, repairing and replacing equipment to maintain the integrity of the building should be covered by the bonding license."
So, how much would it cost NOT to remain as Coral Beach Hotel?
Friday, October 5, 2007
Anonymous comment on terraces/roofing
If anyone is planning on adressing the incompetent maintenance decisions being made on our behalf, they should take a walk on the terraces of Building 3. The silicone has popped up away from the railings because of the settled water. There is more water laying around up there, especially on the 5th floor courtyard side terrace. The membranes are very spongy and bubbled in several areas which also indicate rotting and water underneath, that means leaks in the units. Also check out the terrace on the Riviera side on the 5th floor. The water never drains from the edge. There is mould, rotting membrance and the roofing material Galiano put by the flashing is disintegrating. Hope this helps.
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