The ASSOCIATION of ANGEL FIRE PROPERTY OWNERS
Board of Directors
Meeting Minutes
January 14,2009

President Barry Rogers called the meeting to order at 5:00 PM at the Resort Hotel.

Roll Call
Barry Rogers, President, Present
Jim LeBus, Vice President, Present
Jack Fuehr, Secretary-Treasurer, Present
Joan Ronchetti, Director, Present
Harvey Wright, Director, Absent
Chuck Verry, Director, Present
Lovelle Upton, Director, Present via teleconference
Robin May, Director, Present
Spencer Hill, Director, Present
Eight Directors present, Quorum Established

1. Guests and Audience Introductions
Karen Nichols, Board Administrative Assistant (BAA)
B.D. Terry, E/ACC Chair
Maren Smith, Angel Fire Resort
2. Accept the Agenda
Jim made the motion to approve the agenda. Jack seconded the motion. The motion
passed unanimously.
3. Resort Report
Maren Smith outlined several upcoming activities. Many "beer related activities" will occur
throughout the month. Albuquerque radio station 94 Rock will broadcast from the Lodge over
this weekend. The Member Social, a spaghetti dinner, will be held at 5 pm in the Lodge
conference rooms. "Big 01' Texas" weekend and the Jack Ingram concert (volunteers still
needed) will be held on Saturday night. Membership complaints are way down; only six guest
recovery tickets were issued during the surge holiday period. The Lodge is sold out again this
weekend.
In response to a question from Lovelle, Maren indicated that traffic and skier-days are
similar to last year. A "secret shopper" assessment of the Caliente restaurant is being conducted
on random days and times. Deployed volunteers are provided meal compensation and must
complete an assessment form containing very specific evaluation criteria. Comments made by
Board members who had eaten at Caliente were very positive. Several members complimented
the Resort regarding the ski conditions on the mountain. The Summit House provided outside
drinks/cocktail service during the surge period; the service was well received.
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There was discussion about attempts to charge Platinum members to use the Platinum
Parking Lot. Maren is adamantly against this, stating that (191 Platinum Members) "will not be
charged for Platinum Parking" at the parking lot adjacent to the ski school.
Jack questioned if there was a procedure in place for members to get a temporary badge if
the badge-making machine in the Membership Office was not working. Maren advised that
members are issued a lift ticket at the ticket office for that day.
4. New Business
Recording Secretary. Jack stated that the Board does not have anyone on contract to provide
a draft of the meeting minutes. Jim suggested this could be another task for Karen, the Board
Administrative Assistant, if she would be willing to take it on. Karen stated she would be
willing to try ..
5. Motions for Board Action
a. Approval of Minutes, November 12 and December 10, 2008. Maren stated that some of
the statements made by CEO Pat Brunstad at the December meeting were not accurate. She
requested the minutes be changed to reflect the correct information. Jack stated, and the Board
agreed, that Pat's statements would remain as recorded. Maren's corrections to Mr. Brunstad's
previous statements will be captured, for the record, in these minutes (see below). The Chair
called the vote. The November 2008 and December 2008 minutes were approved as written.
To correct the record, Maren reported that the Rental Assurance Program presented last
month has been discontinued. Maren stated that the Resort discovered that they cannot deduct 50
cents per hour from their employees' paychecks to be used as a bonus if they complete the full
term of their contracts and did not cause any damage to their temporary housing.
b. Designation of Coordinator - Annual Meeting Presentation. Jim moved to appoint Karen
Nichols as the coordinator for the 2009 Annual Meeting Presentation. Lovelle seconded the
motion. Discussion focused on the confusion and difficulties experienced last year. The
presentation requires information from multiple sources, with varying levels of content release
authority. A central focal point is needed to provide continuity of content and version control.
Barry called the vote. The Board approved Karen Nichols as Project Officer for the 2009
Annual Meeting Presentation.
c. Designation of Coordinator - Election Committee. Maren mentioned that she had
contacted a Denver company, PrintPoint, to scrub the membership list for incomplete addresses,
duplicates, missing ZIP codes, etc. The cost ofthis project - that included the postcard but not
the postage - was less than $300.
Jim made a motion to appoint Spencer as the project coordinator for the 2009 election of
Board Directors. Chuck seconded the motion. Spencer was hesitant but agreed to serve with
assurance from Barry that several experienced volunteers are able and willing to help. Barry
called for a vote. The Board approved Spencer Hill as Committee Chair for the Election of
Board Directors in June 2009.
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6. Reports/Old Business Discussion
a. E/ACC Report. B.U Terry stated that there has been no construction activity in 2009.
With so much snow on the ground, final inspections are not being scheduled and only two
second inspections have been conducted. Total approved plans/permits for new houses and
upgrades for 2008 were 41 , up from 39 in 2007. B.U. said that he and Kim Stewart are acting
temporarily as inspectors since Stu Lassetter is no longer living in the area.
Barry asked if the E/ACC could update the 18-year old Resort-originated operating
instructions still being used by the E/ACC. B.U. stated that his committee is currently reviewing
the document. Barry suggested that Karen assist in this review. Karen will forward to the Board
members an e-copy of the E/ACC reports dated 1/12/2009.
The E/ ACC Report is attached.
b. Vice President's Report. Jim began by saying that the PID Board had started the loan
application process for $1,000,000 with New Mexico Finance Authority. The NMFA has
intimated that they are willing to finance the other $22,800,000 for the project. The PID Board
has extended the deadline for the submission of construction proposals until January 20, 2009.
The PID Construction Committee plans to meet on the 22nd to evaluate those proposals. Jim
expects the PID Board to hold a special meeting on the 27th to approve the contractor from the
three bids expected.
Jim said that he and Dan Rakes met with the Colfax County Commissioners on January 13,
2009 and stated that Whitney Hite, the chair of the County Commission, is taking exception to
many aspects of the PID. In particular, the County wants to interpret PID Statute 5-11-19 rather
than 5-11-20 under which the PID was formed. Statute 5-11-19 requires that foreclosures will
not be initiated for unpaid taxes until 3-years overdue. Statute 5-11-20 allows foreclosure action
after unpaid taxes are 6-months overdue. PID Board representatives, along with their legal and
financial experts, will meet again with the County Commission on January 26, 2009.
Jim admitted that the PID Board "dropped the ball" last summer when they failed to notify
those members involved in the PID to get ready for the first assessment in November 2008.
Many people are questioning why assessments are being levied without a construction contract
in place. Jim explained that first year assessments are the single most important factor now
motivating loan offers from financial agencies. Jim said that the fact that the assessments are
collectible demonstrates to the lending agencies that the project funding will be repaid.
The New Mexico Finance Authority is prepared to start the signature of loan documents for
$22.8m. A Design Contract will be funded first for $lm (5.2326%) to be expended February 1
through May 30, 2009. If funding is secured through RUS, Jim expects the financing to be at a
rate around 4.5%; funds from the NMFA would be slightly higher at 5.6%. The next issue is
timing. If the construction bids come in within budget and a design-build contractor is selected,
the contractor will spend the winter months designing the project until able to break ground in
the spring. Financing will be secured during this period and the funds will be disbursed when the
contractor is ready to begin "moving dirt."
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Lovelle suggested this "shovel ready" project be put on Obama's desk for federal funding
consideration. Jim said this would be pursued. Chuck mentioned that Gerald White had
resigned from the PID Board. Gerald has agreed to remain on the Construction Committee. Jim
said that Gerald's expertise has been invaluable in pulling this project together. Mr. Allan
Young, a civil engineer, has agreed to take his place and the PID Board plans to seek his
appointment to the Board by the Angel Fire Village council.
The PID engineering firm, HDR, has identified a lot in a membership-only subdivision of
the Resort that is needed for an additional Angel Fire Village water tank. The current lot owner
will be compensated through a property exchange. The tank storage lot will be re-platted to
abandon the membership dues and ownership transferred to the Village of Angel Fire.
c. Treasurer's Report. Jack reminded the Board that a Requisition Reimbursement Form
and receipts/invoices are needed to request reimbursement for expenses/services.
Jack stated that the 2007 tax payment had been inadvertently applied to the 2008 tax bill.
John Burst, AAFPO' s CPA, is aware of the problem and is working with the IRS to correct the
problem.
The Treasurer's Report is attached.
d. Communications Committee Report. Robin reported that the committee did not meet
during the holidays. A web site design working group meeting will be held soon. Spencer,
Maren, and Karen Nichols will be invited to participate.
e. Membership Socials Funding. Barry stated that he and Joan met with Resort CEO Pat
Brunstad and Mike Smith, Director of Guest Services, to discuss the Resort's response to
AAFPO's letter dated November 19, 2008. Barry stated that all detailed reports regarding the
costs of the socials should be disregarded and destroyed. In that meeting, Mr. Brunstad stated
that the Resort will continue to fund the cost of the membership socials, with no funds from
AAFPO, with the following conditions: 1) the AAFPO funding contribution may be requested
if/when the average annual attendance significantly increases. Maren stated that some months
are better attended than others are with about 200 being the current monthly average. The
highest attendance months are typically January, February, July and August. 2) the AAFPO
funding contribution may be requested if/when AAFPO requests a special venue, menu or decor.
For example, a Valentine's Day event with free roses for the women would fit the second
criteria. The Resort will monitor the attendance and budget trends in order to provide sufficient
information and time for AAFPO to review and respond to any request for additional funding.
Maren will coordinate with Mike Smith to develop the methods and procedures to be used in this
regard.
Jack suggested that the Resort provide an event similar to last year's Valentine's Day social
and charge for the event this year. The profit from the event could then be used to defray the
costs of socials in other months. Maren interjected that some of the restaurants were unhappy
with the Resort for holding a social on a high-profit day for them last year. Maren will present
this suggestion to Resort management since it is their event and not AAFPO' s.
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f Board Operating Instruction (Or). Jim stated that he and Karen are working to integrate
into an operating instruction the two recently introduced resolutions: Board Appointment of
Committee Chairs and the Deadline for Submission of Documents in Support of Board Action.
Karen is trying to modify each resolution into an Operating Instruction (Or). A draft has been
written and forwarded to Jim. When the or meets "critical mass," it will be distributed to the
Board for their comments.
Karen explained that the resolution process has been an effective method for the Board to
review and adopt internal policies and procedures. While some resolutions may result in
necessary changes to the governing documents, most are simply clarification of the internal
procedures that the Board wants to use in the execution of its duties. Karen stated that
consolidation of adopted resolutions into a single operating instruction might better serve the
Board.
Jim explained that his concept is to make the Directors' job more relaxed yet still
accomplish what needs to be done. Jim cited as an example the Amenities Committee Report
being submitted after the deadline. In this case, if everyone on the Board agrees that the item
needs to be discussed, the Board could proceed as if the report had been submitted when
required. Lovelle interjected that this would require a unanimous vote by the entire Board during
the meeting to consider relaxing the rules to permit consideration of an item that did not meet the
deadline. Jim will distribute a draft the or to the Directors soon.
g. AAFPO Weekend. Robin reported that Mike Wooley has agreed to be the Project Lead
for "AAFPO Weekend." Jack will meet with Robin, Marianne Pratt, Executive Director of the
Chamber, and Mike to present his concept of "AAFPO Weekend" and bring the new members
"up to speed" on all of the plans that have been made to date and the commitments made by the
Resort, the Rotary Club, the realtors, the builders association, members of the Chamber and
others to this event. Robin feels this is an excellent kickoff to the summer season and will
generate opportunity for local entities to "show off." The weekend will offer AAFPO members
something more to do than just the Annual Meeting. If handled right, the event could attract
AAFPO members who are not currently homeowners and instill a desire to be part of the
community. Robin sees this event "as an anchor - a dry and non-muddy end to winter!"
Jim asked if this could lead to a return of "Wings over Angel Fire." Robin was
noncommittal and Chuck said that "Wings" never made any money for the Chamber. Robin
commented that an event does not have to make money to generate a great deal of interest and
notoriety for Angel Fire. He cited as an example the "Shovel Races" that generated interest from
people all over the country.
Barry raised the issue that commitments made by various entities need to be validated. Jack
commented that the commitments made by the Resort and other entities are described in the
October Communications Committee Report. Karen commented that all of the events mentioned
in the November issue of "The Mountain View" were signed off by Pat before publication.
Maren agreed and said that she has no concern that the Resort will back away from their earlier
commitments. Any budget concerns will be addressed in the FY20 1 0 Resort budget. Barry
wants everything to be "up front" and "in writing" to guarantee that the commitments are met.
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h. Amenities Committee Report. Maren reported that the Resort has an unsigned contract
for the bathhouse for $156K (up from $130K) and is awaiting input from AAFPO. Chuck said
that the increase above the budgeted amount would require Board approval to proceed. He
further stated that not all of the Discretionary Fund expenditures are current as of the date of this
meeting. Most 2008 projects have been completed and there appears to be enough money left
for the RV Park bathhouse, although this cannot be confirmed until the Resort updates the
expenditures in the tracking system. Chuck also pointed out that there were coding problems in
the report that allocated expenses incorrectly to some projects. Maren advised that she would be
meeting with Gina Kieft, the Resort controller, on Monday to resolve these issues.
The contract proposal currently being considered is from Interior Specialists. Robin
suggested that local contractors be included in the bidding process. Chuck interjected that there
are two questions: 1) can we do better than the other contractor; and 2) do we have funds in the
Discretionary Account to cover this increase in projected cost. Maren expressed a concern that if
additional bids are sought, it could delay the process. Robin expressed his opinion that
additional bids should have been sought several months ago. He further stated that material
prices are falling and local contractors are looking for work. Jim commented that both the Resort
and the Village have been looking outside the Moreno Valley for contractors and feels that they
need to be reminded to look locally first.
Chuck felt that with plans in hand, it would not be difficult for the Resort to seek bids from
local contractors. Maren agreed to follow-up with Pat. Robin asked if additional contractors are
interested in bidding on the project, should they contact Pat? Maren said that Pat is the contact
for this project. Maren then expressed her concern that delay could threaten the completion of
the project this fiscal year. Barry suggested giving Chuck our proxies and letting him decide.
Lovelle countered that a better approach would be for the Board to vote via E-mail.
Lovelle made a motion to approve the construction of the RV Park bathhouse for a sum not
to exceed $156,000 based on the decision of the Chairman of the Amenities Committee if the
funds are available Jim seconded the motion and the motion was approved with two abstentions.
The Amenities Committee report is attached.
There being no further business, the meeting was adjourned at 6:20 pm.
Summary of Board Decisions:
Approved Karen Nichols as Recording Secretary
Approved the November and December 2008 minutes
Designated Karen Nichols as Project Officer for the 2009 Annual Meeting Presentation
Designated Director Spencer Hill as Committee Chair for the 2009 Election of
Board Directors
Approved $156K or less bathhouse bid acceptance authority to Amenities Committee Chair
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Respectfully submitted via email January 30, 2009
PrepMedby: ______________________ __KMen Nichols, BAA
Adopted by Board Approval:Jack Fuehr, Secretary

Attachments:
Treasurer's Report
Amenities Committee