Note:  As of December 5, 2023 this petition is pivoting its focus to Riverstation Reserves, Board Accountability and a Call to Action regarding the newest special assessments imposed on Riverstation homeowners.

After the 2024 budget approved by the Board called for a 19.5% increase in dues the Board mandated special assessments detailed in a letter dated December 1, 2023.  The management and oversight of this board is not demonstrating proper financial stewardship at homeowners expense.

https://drive.google.com/file/d/1zXrxrtvGePrUMpipv78QCW5vPRjLdI5p/view?usp=sharing

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 The purpose of this petition is to call for:

1. A special meeting ASAP regarding Riverstation Insurance      
2. Answers to questions with full transparency from the Board.  
3. Call for Cost Containment Measures to Pay for Insurance.
4. Call for a special committee to focus solely on Insurance.
5. Call for more efforts to secure alternative cost effective policy.  

WHAT IS THE SITUATION?

On Friday, July 7, 2023, at 6:09 pm the Riverstation Board of Directors informed us via email that the Master Insurance Policy for our Association had lapsed and that the BOD did not take action on an alternative policy.  

In the July 7th email the BOD stated, "The board has exercised its fiduciary responsibility to the association and declined to approve this high pressure, high-cost premium in such a short timeframe."   The duty of the Board and FSR was to secure, purchase and maintain a master insurance policy for RS not decline coverage.

Riverstation is now uninsured.  

WHO IS IMPACTED?

All of us.  Us Homeowners are now at risk and vulnerable if God forbid a major disaster occurs on our property.  Our mortgages are at risk as our lenders require the condo association to carry a master insurance policy.

WHAT DO WE KNOW?

1. Homeowners were informed via email 7/7/23 AFTER the policy lapsed.
2. Riverstation policy with Marsh McLennan ran 5/26/22 - 7/7/23
3. Higher rate policy per 7/7/23 email was an option but BOD's declined.
4. Board minutes from 12/15/22 and 3/16/23 do not mention insurance.
5. Board minutes from 5/18/23 say "Nothing New Passed" on insurance.
6. Board minutes from Jan, Feb, April & June are not available on portal.
7. Our Riverstation DECLARATIONS in Section VII state:
   1. "A.   Association Shall Maintain Insurance. The Association shall obtain and continue in effect blanket property insurance and liability insurance, pursuant to Section 515B.3-113 of the Act but without prejudice to the right of the Unit Owner to obtain individual Unit insurance. "
   2. "  C. Fire, Extended Coverage. Vandalism and Malicious Mischief. The Association shall secure a blanket policy of insurance in accordance with Section 515B.3-113 of the Act and covering fire, extended coverage, vandalism and malicious mischief with an all-risk endorsement, which policy will cover one hundred percent (100%) of the replacement cost of the Common Elements and one hundred percent (100%) of the replacement cost of each and every Unit of the Condominium. Funds to cover the deductible amounts are to be included in the Association's operating reserve account, and the deductible amount shall not exceed $10,000.00 or one percent (1%) of the face amount of the policy, whichever is less. The named insured shall be the "River Station Condominium Owners' Association, as Trustee for the use and benefit of the Unit Owners". The policy must also cover fixtures, equipment and other personal property included in the sale of the Unit. This does not include personal property of a Unit Owner. "

      3. "J. Comprehensive General Liability Insurance. The Association must maintain comprehensive general liability insurance coverage covering all of the Units and Common Elements as defined in Article I. In addition, the Association must maintain liability insurance for any manager employed by the Association and officers and directors liability insurance for the officers and directors of the Association. The coverage shall be in amounts generally required by private institutional mortgage investors for condominium projects similar in construction, location, and use. However, the coverage shall be for at least $1,000,000 for bodily injury, including deaths of persons and property damage arising out of a single occurrence. "

      4.  "L. Evidence of Insurance.  (b)  Provide for at least one hundred eighty (180) days written notice to the Association and the first Mortgagee of the carrier's intention to cancel or not renew the policy. "

       

WHAT WE NEED TO KNOW?   (at a minimum)

1. When was Riverstation informed its insurance renewal was denied?
2. Did Marsh McLennan provide a written notice 180 days in advance?
3. What reasons were given for our insurance being denied renewal?
4. When did First Service seek alternative bids for insurance?
5. Why were homeowners told only after our insurance lapsed?
6. What is the IMMEDIATE plan to secure insurance?
7. How do we guarantee this never happens again?

WHAT'S NEXT?

1. Homeowners need to organize-sign this petition to start a change.
2. Homeowners should demand answers, transparency and protection.
3. Contact the BOD and FSR directly to let your concerns be known.
4. Take a stand against being levied a special assessment for insurance.

Before any of us are levied a special assessment all other options to pay for our insurance should be exhausted first.  Our expectation to be insured as an association is fundamental to being part of an association. Actions that should be considered and executed accordingly before we are levied a special assessment may include but are not limited to;

1. All non-essential expenses remaining in 2023 should be cancelled.
2. First Service Staff Hours should be reduced to essential hours only.
3. All reserve money for insurance deductibles should be spent first.
4. All other reserve money for the future should be used for insurance.
5. First Service should ante up money for their management failure.

Most recent reserve study:  Click Here

You may have other ideas, please send to the BOD. However, signing this petition is still important because we need answers before any and all options can be defined and/or pursued.

RIVERSTATION BOAD AND FIRST SERVICE STAFF CONTACT INFORMATION

Jeff LeClair (President)  jalec@comcast.net

Brian Droske (FSR) brian.droske@fsresidential.com

Jay Regnier (Vice President) jayregnier@hotmail.com

Megan Sharbono (FSR) megan.sharbono@fsresidential.com

Adam Smith (Member at Large)  smithad@my.uwstout.edu

Sal Scozzari (Treasurer) sfscozzari@gmail.com

Marge Cowmeadow (Secretary) mcowmeadow@earthlink.net

Thank you in advance for reading this, signing this and taking personal action to hold our Board and Management company accountable.  Losing our insurance for me symbolizes a broader problem with management.

Diana, 660 Building