Minutes ofthe Regular Meeting of The Board of Directors March 26,2012

Minutes ofthe Regular Meeting of The Board of Directors March 26,2012 The Regular meeting of the Board of Directors of THE PLAZA ON DEWITT CONDOMINIUM ASSOCIA non ("the Association") Illinois not-for-profit Corporation was called to order on Monday, March 26, 2012 at 7:00 p.m. in the Star Room, 260 E. Chestnut Street, Chicago, Illinois pursuant to by-laws. Dr. Jeffrey Wolszon served as Chairman of the meeting. The Chairman, noting that a quorum was present, called the meeting to order at 7:00 P.M. members were present: The following Board Dr. Jeffrey Wolszon, President. Mr. John Janecek, Vice-President Mr. Gordon Addington, Treasurer Mrs. Deborah Simon, Secretary Dr. William Knight, Director Ms. Evelyn Lampe, Director Ms. Barbara Meyers, Director Mr. James Stacey, Director Also present at the meeting were Natalie Blackmon, Property Manager, Dean Lerner, Executive Vice President of Sudler Property Management, and Patricia Santos, Assistant Property Manager. Those not present: Mrs. June Smith APPROV AL OF THE MINUTES The Chairman called for review and discussion ofthe Minutes of the Regular Meeting of the Board of Directors held on February 27,2012. Dr. William Knight moved to accept the minutes, seconded by Mr. Gordon Addington and 1.) RESOLVED, to approve the Minutes of the Regular Meeting of the Board of Directors held on February 27,2012 as written. PRESIDENT'S REPORT Dr. Jeffrey Wolszon announced the resignation of Ms. Evelyn Lampe effective March 26, 2012. The Board of Directors thanked Ms. Lampe for her 20+ years of service to the Association. The Board will accept candidacy forms until April 9, 2012 for the current vacancy. OPEN SESSION Several residents voiced concerns regarding the early switch to air conditioning and smoke complaints. The Board was asked to investigate the possibility of allowing Plaza on DeWitt residents access to the Potash Market found in the John Hancock building. COMMITTEE REPORTS 260 EAST CHESTNUT STREET CHICAGO ILLINOIS 60611 943-4422

FINANCE COMMITTEE Mr. Gordon Addington, Treasurer, read the Finance Committee Report: Statement of Revenue & Expenses as of February 29, 2012. Revenue: Operating Income: Actual $241,475 Budget $233,012. Variance: Over Budget $8,463 Reason: Unit charges. Expenses: Operating Expenses: Actual $175,792 Budget $207,894. Variance: Under Budget $32,101 Reason: salaries; utilities; contract services & insurance. Cash in Bank: $303,714 Investment-Northern Trust: $517,415; Reserve-Northern Trust $764,165, Washington Bank 2 CD's $199,925; Total $1,785,219. ACTION ITEMS 1. 22.1 Disclosure-The Board was provided with a 22.1 Disclosure. Ms. Deborah Simon moved to approve the 22.1 Disclosure as presented, seconded by Mr. John Janecek and 1.) RESOLVED, to approve the 22.1 Disclosure as presented. 2. Approval of One-Way Communication System- By January 1,2015, the City of Chicago Life Safety Ordinance 13-196-204 mandates the installation of a dedicated one-way communication system in the building. Although the Association has nearly two years to comply, it is recommended that the Board proceeds with the project as soon as possible for life safety reasons and for protection of its investment. Additionally, there are very few contractors who perform these installations. By delaying the project, the price and demand will rise, as other buildings are electing to wait until the very end to meet the requirement. The installation of the one-way communication system requires the Association to contract with its elevator contractor (Fujitec) and fire protection vendor (Intelligent Systems Services) to add oneway speakers to six elevator cabs. The addition of speakers will allow the fire department to communicate directly through the life safety system to each floor and stairwell. As previously communicated to the Board via e-mail on 3/2112, the Association's existing life safety equipment has propriety ISS software. In order to maintain the integrity of the fire system and protect the warranty, ISS is recommended to perform the work. Enclosed for your review is the rss proposal, which includes our elevator contractor's costs of $1908 that will be billed directly to the Association from Fujitec. The total estimated cost for this project and both contractors (ISS & Fujitec) is $14,208.00. The expenditure will come out of the operations account. The Board was asked to advise management on how they wish to proceed. Mr. Janecek asked management to confirm City requirements before proceeding. Dr. William Knight moved to approve the installation of the One-Way Communication System as mandated by the City of Chicago Life Safety Ordinance 13-196-204 by Intelligent Systems Services as presented, seconded by Mr. James Stacey and 2.) RESOLVED, to approve installation of the One-Way Communication System as mandated by the City of Chicago Life Safety Ordinance 13-196-204 by Intelligent Systems Services as presented. 3. Ratification of Board's Decision to Renovate Unit 2001- On February 24,2012, the owner of Unit 2001 was evicted due to non-payment of assessments. The Association has temporary possession of the unit, until the bank takes possession. On Tuesday, March 13 th, 2012 the Board approved (via e-mail) contracting with Meade for cleaning and repairing the unit for leasing, to recover past due assessments of $5,627.23. In addition to cleaning and repairing the unit, the Board agreed to purchase new appliances from Wilmar (refrigerator & range) for $1,226.47. The total cost for the project is $5,908.47. The Board is requested to ratify (confirm) their decision. Mr. John Janecek moved to ratify their approval for the cleaning, repairs, and purchase of new appliances for Unit 2001 for leasing purposes, seconded by Ms. Barb Meyers and 3.) RESOLVED, to ratify the approval for the cleaning, repairs, and purchase of new appliances for Unit 2001 for leasing purposes. 4. Approval of HV AC Service Maintenance Contract - For their review, the Board was provided with HV AC preventive maintenance proposals from Edwards Engineering and Oak Brook. The existing service and maintenance agreement with Oak Brook Mechanical to provide preventive maintenance for the building's heating and cooling equipment expires on 3/31/12. While Oak Brook has effectively maintained

our equipment in the past, Ociel raised some concern recently when he discovered condensation coming from a few of our boilers. Oak Brook was contacted and serviced the boilers but the condensation returned. A second opinion was sought from Edwards and their service technician was able to effectively resolve the condensation problem. While we equally value the work of both contractors, we feel that Edwards is better suited to handle our specific needs at this time. Edwards is proposing an HV AC service and maintenance agreement for $9652 annually. Oak Brook is proposing $9588 annually. The Association has budgeted $7,365 in operating for this expenditure. Management originally recommended accepting the Edwards Engineering HV AC service and maintenance agreement for $9,652 annually, commencing on April 1, 2012. After further investigation, Management is recommending the acceptance of Oak Brook Mechanical's contract renewal for a few reasons. Oak Brook's original quote was incorrect, the revised annual cost is $7,576. Additionally, Oak Brook has offered the option to renew in 2013 at the same annual cost of $7,576. Mr. John Janecek moved to approve Oak Brook Mechanical's HVAC service and maintenance agreement through March 31, 2013, seconded by Mr. James Stacey and 4.) RESOLVED, to approve Oak Brook Mechanical's HVAC service and maintenance agreement through March 31, 2013. 5. Installation of New Lobby Elevator Control Panels - For their review and approval, the Board was provided with a proposal from Fujitec to install new elevator controls for the inner lobby elevators. A photo of the new control panel style suggested by Dr. Wolszon is being provided under separate cover. The existing inner lobby panels are worn and in need of replacement. Both of the panels have unsightly stickers, with missing etching that cannot be replaced. Fujitec is advising that it takes about 2 weeks to get a drawing and then about 3-5 weeks to get the fixtures after customer approval. Fujitec is proposing to replace the (2) panels for a total cost of $3,327.80. The panels will not be manufactured until they are approved by the Board. The Board was asked to advise management on how they wish to proceed. Mr. John Janecek moved to approve the installation of the new lobby elevator control panels, provided that the finishes are agreed upon in advance, seconded by Mr. James Stacey and 5.) RESOLVED, to approve the installation of two (2) new lobby elevator control panels by Fujitec. 6. Sun Deck Flooring Replacement - Although Management and engineering met with three contractors (MPD, Edmonds & Allied) and obtained proposals for replacement of the sun deck flooring, the three contractors' views are conflicted on the best products to use and the best repair approach. MPD and Edmonds are advising replacement of the flooring and support beams; Allied Waterproofing advises replacing only the flooring. With regard to the product the Board proposed, Trex Saddle, we have been told that this product has less durability and a much shorter longevity, and the color will change after 2 years. MPD proposes using Azek and Vekadeck Pro products that have better quality and longevity of20 years. Edmonds advises using Timber Tech composite decking. Allied proposes using Abaco deck material or composite deck material products. The Abaco is a natural wood product that does not decay and only requires power washing. The composite deck product is also a life time product that requires only power washing to remove surface dirt. MPD is proposing $45,800.00 for the material and installation. Allied is proposing $65,980 for the composite deck material, and $72,880 for the Abaco. Finally, Edmonds is proposing $45,752 for the material and installation. Before proceeding with the sun deck flooring replacement, management proposes the Board contract with a sun deck consultant to define the scope of work and obtain the appropriate bids. The Board advised management to seek advice from a structural Engineer/Consultant before moving forward with the flooring replacement. 7. Acceptance of the Building Insurance Renewal - Mr. Dean Lerner, Executive Vice President, provided the Board with the building's annual Master Policy insurance renewal. The renewal premium will be $155,501 ($15,097 under budget) beginning April I, 2012. Mr. John Janecek moved to accept the proposed Master Policy insurance renewal, seconded by Dr. William Knight and 6.) RESOLVED, to approve the installation of two (2) new lobby elevator control panels by Fujitec.

INFORMATIONAL ITEMS 1.) Staffing Announcement -Miguel Marin, maintenance employee, will be on disability leave for the next 2-3 months. In order to maintain the building, the Association contracted with United Maintenance for a janitor. The janitor will begin assisting on Monday, March 26 th and will continue until Miguel returns. 2.) Life Safety Evaluation and Unit Door Inspection - Inspection and A city inspector will be conducting the building life safety evaluation and unit door closure inspections of all unit doors on Thursday, June 7 th at 9am. There was an inquiry as to when the door closure ordinance became effective. Management was advised by the city inspector that the door closure ordinance has been in effect since the 1920's, but have not been enforced until recently by the city. In preparation of the city inspection, the maintenance staff performed inspections of the unit doors to ensure proper operation and have identified 181 doors needing repairs or adjustments. A few unit doors were not checked due to restricted status. Arrangements are being made with those residents to check their doors. The city inspector has confirmed that combined units with two entrance doors are only required to have one of the doors operational. Once the door inspections have been completed by the staff and pending Board approval; management will work with Industrial Door to coordinate unit door repairs and bill the costs back to the owners. 3.) 2012 Annual Fire Alarm & Voice System Testing - Intelligent Systems Services will be performing the 2012 testing and monitoring inspection of the fire alarm system on April n" and 12th, from 8am-3pm. 4.) Unit 2406 Building Violations - The Board was advised on March 9 th of the notice of violation and summons served to the Association for code violations related to plumbing issues identified in unit 2406. An administrative hearing is scheduled for April 13 th at 10:30am. Although all of the code violations were the responsibility of the unit owner, the building must have an authorized agent present at the hearing. Attorney David Sugar has advised that the property manager can represent the Association. The case will likely be dismissed since the city's inspection on March 14th rendered the unit in compliance. With the Board's approval, the property manager will attend the hearing on April 13 th. 5.) Association Owned Unit 1812 Repairs Update - The Association owns and leases Unit 1812. The tenant in the unit brought it to management's attention that painting repairs and appliances were needed in the unit. No repairs had been performed in the unit since 2004, when the tenant moved in. Upon inspection by management and engineering, we determined that the unit needed painting and new appliances. The paint was chipped and the appliances were not fully operational. Painting repairs have been performed in the kitchen and the kitchen cabinets have been repainted. The refrigerator and range have been replaced. Repairs are ongoing in the unit but eventually the entire apartment will be painted and the carpeting will be cleaned, repaired or replaced as needed. 6.) Proposed Rule Changes - A draft copy of the proposed rule changes will be provided under separate cover for your review. 7.) Front Entrance Revolving Taxi Light Installed - Per thel request of the Board President, Dr. Wolszon, a revolving taxi light was installed in the front entrance canopy. This location of the light ensures more visibility to taxi drivers responding to requests for service. I 8.) West Low Rise Elevator Repairs - Motor Replacement Update - Fujitec has successfully completed the installation of the hoist motor replacement in the WLR elevl tor and returned the elevator to service. 9.) GenerallPreventative maintenance update Oak Brook Mechanical installed a new pressure transducer for the boilers to address condensation. Edwards Engineering was contacted for a second opinion. Kohlman Chutes performed maintenance repairs on th~ trash chute doors Fox Valley performed the annual sprinkler inspection ip the building and parking garage. Fettes, Love & Sieben replaced the hot water riser in unit 2406 Emergency water shut downs were performed to perform plumbing repairs in units 802, 20 I0 & 2406 Metron Carpet Cleaning cleaned the party room carpeting due to a wine spill from residents of unit 2404. The cleaning costs were billed back to the residents.

10.) Contracts - The Board was provided with a list of the Association's contracts with the terms, cost, and insurance expiration dates. 11.) Statistics for the month Work orders 54 - Charged back to the owners 19 - No charges 2- Water shutdowns Total work orders completed from 2/15/12 through 3/15/12-73 Sales and leases Move-ins: 2 Move-outs: 4 Parties: 1 Elevator callback report - The Board was provided with Fujitec elevator reports for the period of2/22/12-3/22/12. Construction work in the units - The Board was provided with an updated chart for Construction Work in the units. 12.) Homeowners' issues /concerns The Board entered into an Executive Session to discuss Homeowners' issues/concerns relating to Violations of Condominium Rules regarding the following Units: Unit 2404- Party Room Violation - request for hearing Unit 2001- Notice of Association's intent to owner to dispose of all their personal items to rent the unit Unit 503-Request to Board-pay reimbursement for bike replacement Unit 4305-Request to Board-offer Elixir WelIness Services to residents Unit 3301- Request to Board- paper shredder in mailroom for residents Unit 1911- Request to Board-respond to report from Fire Sprinkler Advisory Board on High-Rise Buildings Unit 1107,1007 & 1114 - Building Kitchen Drain Line Leak Notifications Unit 911- Exterior Window Coverings Reminder Unit 2406,2304,2010,807,2705,2506- Hearing Follow-up Notices Life Safety Mandated Door Closure Inspections Notice to Residents 13.) Inspection Report - The Board was provided with a copy of the building's inspection report which was performed on 3/15/12. CLOSED SESSION DISCUSSIONS Mr. John Janecek made a motion to enter into closed session to consider alleged violations of the Association's Declaration and/or rules. The motion was seconded by Dr. William Knight and RESUMPTION OF OPEN SESSION After completion of the closed session discussions, the Board reconvened in open session. Mr. John Janecek made a motion to (1) charge back Unit 2404 all labor costs associated with the cleaning of the Star Room. The motion was seconded by Dr. William Knight, and ADJOURNMENT There being no further business before the Board, the meeting was adjourned at 8:50 p.m.