GREEN SHEET9--.~-It)~

1__V_o_IU_m_e_2_6_,_N_O_._1 Ja_D_U_a~ry~4,~2_00__8 ~1Workshop Meeting

December 6, 2007All Board members were present.Also Present: General Manager Dan Gorden,Emergency Services Chief Steve Waters,Controller John Hall and AdministrativeAssistant Dodie Frank

There were 20 residents present.President George Wolf called the meeting

to order at 10:00 A.M. The Workshop isfor the Board to consider and discuss itemsfor action at the Board meeting. After theAgenda Meeting residents may askquestions or make comments.ITEMS DISCUSSED

1. Discussion was held on the possible by-laws change in restructuring of thePlanning Committee. The policies andprocedures were rewritten 2 years ago.

2. The ad hoc committee on theassignment of marina boat slips is notready yet. They are moving ahead withtheir information and will be on theworkshop agenda next month.

3. A motion to approve the 2008 Budgetwill be on the agenda for the GeneralBoard Meeting.

4. Rezoning of the 68 acres is anticipatedon Monday December 10, 2007 before

the city of Leesburg. George Wolf statedthat three real estate firms wereinterviewed. A recommendation wasmade that these firms be asked to senda proposal in writing for the Board'sreview.

5. The 25th Anniversary Luncheon onDecember 15 has 348 ticketsdistributed.

6. DanBiro gave a report on the VolunteerSprinkler Committee. Anyone needingwork on their sprinkler system shouldcall and leave their name, address andphone number. No appointments willbe made.

7. TV 7 committee seems to be doinggood work.

8. The Safety Committee will make anapplication to have a traffic lightinstalled on Rte. 27.

9. Dan Gorden explained that the contractto repair the streets has been signed.Theywill start on Monday, December 10and be done in 45 days.

10.A letter from Lake Sumter was receivedcommending the VFWhonor guard.

Il.There will be a meeting of the CountyCommissioners on road impact fees onTuesday December 11, 2007.

The meeting adjourned at 11:00

Agenda MeetingDecember 6, 2007

All Board members were present.Also present: General Manager DanGorden, Emergency Services Chief SteveWaters, Controller John Hall andAdministrative Assistant Dodie Frank

There were 20 residents in attendance.

President GeorgeWolf called the meeting toorder at 11: 10 A.M. The agenda was set forthe December 13, 2007 Board Meeting.The meeting adjourned at 11:15 AM.Six residents spoke following the meeting.

GENERAL BOARD MEETINGDecember 13, 2007

All Board members were present.Also present: General Manager DanGorden, Controller John Hall, RealtyManager Bill Tschida, AdministrativeAssistant Dodie Frank and EmergencyServices Chief SteveWatersThere were approximately 87 residents

in attendance.President GeorgeWolf called the meeting toorder at 1:30 PM. Ralph Wagner gave theinvocation.The American Legion/VFW Honor Guardposted the colors and led the Pledge ofAllegiance.The minutes of the following meetings wereapproved as posted:

General Board Meeting Dee 15,2007

Workshop MeetingAgenda Meeting

Dec 6,2007Dec 6,2007

The Treasurer's report was given by JohnHaag and accepted as read.President GeorgeWolf called on Janet Hotzto give a report for the Ambassadors.Three ambassadors made 3 calls on 1 full

time and 2 part time new residents. ShirleyHurt reported for the Zone Watch andstated the reception for captains and co-captains was well attended. Dennis Heidreported on the re-siding program. Almost90 people have expressed interest in havingtheir homes re-sided or a roof-over done.GeorgeWolf read a letter from Lake SumterCollege to the VFW/ American Legion HonorGuard thanking them for their service in thecommunity. This Saturday over 400 peoplehave signed up to celebrate 25 years forHawthorne as a co-op. George wishedeveryone a Merry Christmas and HappyNewYear.

GENERAL MANAGER'S REPORTGeneral Manager Dan Gorden asked BillTschida to give a report. There were 5homes sold in November giving us 60 salesthis year, which leaves us behind by about23 sales compared to 2006.Steve Waters reported that there were 97medical, 2 traffic, 48 incidents and 15 falsealarms for a total of 162 calls for Novemberand 1182 YTD. The ambulance came 30times to transport. January will be theyearly alarm checks. All boat owners arereminded to bring in current registrationand insurance between January 1st and3Pt.Mr. Pete Peterson thanked EmergencyServices for their quick response to hishome.General Manager Dan Gorden stated that. the final meeting for rezoning isrescheduled for Jan 7, 2008. Theconsultants are working with city/countypeople to remove the mandate thatconstruction must be underway in 24months. Street repairs have started. Thecontractors will be taking out sections ofasphalt and replacing it. They will be hereuntil 12-21 and will return after the NewYear. The work should be completed bymid-January.

( see page 6)

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H. R. C. A. FINANCIAL REPORT - NOVEMBER 2007ONE MONTH YEAR-TO-DATE

HRCA (including Sales Office)Net Operating RevenueNet Cash Operating ExpensesCash Operating Surplus (Loss)Gross Revenues

Restricted Reserve Accounts:Morgan StanleyFinancial Network InvestmentT. Rowe PriceEdward JonesCD-CountrywideCD-Intervest National BankFirst Internet CDOther Investments:Fidelity Investments

Florida Choice M!Mkt Acct.Edward Jones CD'sCash on HandColonial Sweep AccountTOTAL Cash and Investments

$ 306,654 $317,856(11,201)340,035

Balances at 11/30/2007$ 869,378

145,60088,664

244,773100,000100,000100,000

3,540,4633,473,817

66,6474,189,649

93,694108,866200,000

38,459755,703

$2,845,137

Assets from Balance Sheet $9,005,965***********************************************************************CASH FLOW- Positive for November.OPERATING INCOME & EXPENSES - P & L STATEMENTS - As the year end approaches, total

year to date operating expenses remain under budget. Year to date income exceeds expenses by$66,000. Five homes were sold in November. Eight sales were closed and there are fifty-three homeslisted for sale.

Homes Closed -Month of Nov.January 1,2007 - Nov. 30,2007January 1, 2006 - Nov. 30, 2006

Homes Sold-Month of Nov.

January 1,2007 - Nov. 30,2007January 1,2006 -Nov. 30,2006

Sales Contracts outstanding to be closed -Nov. 30, 2007Nov. 30,2006

Homes For Sale - TotalNew ModelsRenovated Homes

SALES REPORT8 $ 430,400

61 4,055,635102 8,099,019

5 $ 305,90060 4,242,65085 5,791,900

2006

7 770,9004 219,400

200753 $ 4,312,906

°°48 $ 3,230,906

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Hawthorne Real EstateSales Office Policies

We have been talking about the policies ofour Hawthorne real estate sales office forseveral months. Previous Green Sheeteditions have dealt with:1. The primary reason for a Hawthornereal estate sales office is to provideassistance to residents in sellingtheir home.

2. From a financial viewpoint, theHawthorne real estate sales officewill pay for itself and not besupported by the monthlymaintenance fee.

3. Hawthorne real estate sales agentswill list and sell houses only withinHawthorne. The sales agents willnot 'co-broker' with other real estatefirms.

4. The real estate listing commission isset by the HRCABoard of Directorsand no changes are made withoutBoard approval. '

To close off this discussion we have policy#5.

All real estate sales agents and thebroker will be paid on a straightcommission basis, after closing of housesale.

In the real estate industry, sales peopleare paid on a commission basis. Thissupports our policy # 1 which is to provideresidents assistance in selling their houses.If there were no house sales, there would beno need for real estate agents or a realestate sales office. Realestate sales peopleonly make money when houses are sold.It is also interesting to note that sales

people collect their money after the sale isclosed. On many occasions, sales peoplespend weeks working with customers to buya house. Sometimes these customerschange their mind and decide not to buy.The sales person is not paid for time spentwith a customer. Their only paymentcomes when a house is sold and closed.

Commissions paid to sales agents areapproximately 3 % to 4 % of the houseselling price, based on the number ofhouses sold in a year. These commissionsare paid out of the 7 % listing fee chargedto the seller of the house.* * * * * * * * * * * * * * * * * * * * * * * *

Commentary

The New Year of 2008 is underway. Weanticipate that the repairs to our streets willbe completed this month. The work setsthe stage for repaving. The Board ofDirectors has not resolved how this will beaccomplished, or the time frame. Thereason is that we have substantially loweredour reserves and must plan carefully how torecover this and how to handle the expenseof repaving. It may be that we defer theactual repaving until 2009 and thenschedule completion over several years.Meanwhile, we are putting a larger amountinto our Reservefund to cover this expense.Hawthorne celebrated 25 years as a

Cooperative last month. Four hundredresidents and friends gathered for a greatluncheon served by our Kitchen Club.Elsetta Ervin and George Wolf presented ahistorical sketch of our beginnings and DanGorden talked of the emotional impact ofthe events of 1982. It was a time ofremembering.This Sunday the Spiritual Life and

Memorial Fund organizations. hold theannual Memorial Service. This is at 3:00PM in the Clubhouse. We pay our lastrespects to those who have died during2007. That number is 72 individuals atthis writing. Here is another opportunity toremember our friends and loved ones for abrief hour.The year ahead holds hope for all. Let's

be involved and share in the excitement.

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The Water Sprinkler Committee

We have in place a sprinkler repair groupto assist residents with their irrigationsystems. They are available to:• Make minor repairs to existing aboveground sprinkler systems.

• Replace minor faulty components.• Adjust sprinkler spray patterns.• Adjust automatic timers properly.• Maximize effectiveness to conservewater.

Our volunteers in servicing your irrigationsystem will not:• Crawl under your home.• Enter your home.• Install a complete sprinkler system.• Perform major upgrade of yourexisting system.

• Replace timer clock.• Repair mechanical clock.• Trim, remove or replace shrubs.Should you require the help of our

volunteers, you must call theAdministration number 787·1000 duringbusiness hours. That would be 9 AM to 4PM Monday through Friday. The operatorwill take your name, address and phonenumber and the problem you wantassistance to correct.Our Sprinkler Committee volunteer will

respond and make the needed repair oradjustment. An appointment will not bescheduled. If you are not at home when thevolunteer arrives, he or she will leave a noteon your clippie advising that someone willcome back later.Our volunteer will replace defective parts

if on hand. You are expected to pay forthese parts at our cost. If we do not havethe proper part in our supply, you mustpurchase it from your normal source, afterwhich we will return and install the part.The Water Sprinkler Committee services

are free of charge. Keep in mind that ourrepair group are residents of thecommunity and are volunteers. They arenot paid wages, but are committed to assistyou in maintaining your irrigation system.You always have the option of contacting

our Home Services Department for thisservice at the normal charge or calling anoutside vendor to perform the necessarytask. Our sprinkler group does limitedrepairs as noted above.

The Board of Directors has appointed DanBiro as our liaison to this Committee. Shouldyou have further questions contact Dan at 314-3421.

FAMILYAre you aware that if we diedtomorrow, the companythat we are working for could easilyreplace us ina matter of days.But the family we left behind willfeel the lossfor the rest of their lives.

And come to thinkof it, we pourourselves moreinto work than into our ownfamily,an unwise investment indeed,don't you think?So what is behind the story?

Do you know whatthe word FAMIL Ymeans?FAMILY = (F)AlliER ·(A)ND(M)OTHER (1)(L)OVE (y)OD

Remember - We are the

Hawthorne Family.

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( from page 2 )

COMMITTEE REPORTSCommunity Relations - Chairman Dan Biroreported that he went to the Newcomer'ssocial. The TV 7 schedule is pretty full andtheir committee is working hard on all ofthe programs. Dan stated that heappreciatedworking with them. The volunteer sprinklercommittee has 10 people helping. Thecommittee will fix minor problems only.Any resident needing assistance with theirsprinkler system should call theAdministration office and put their name onthe list.Search Committee - Elsetta Ervin statedthat 5 people have signed up to run for the3- year term and 1 signed up for the I-yearterm.

OLD BUSINESS NoneNEWBUSINESS

Motion made by Betty Smith - Mr.Chairman, I move that we approve the 2008Budget as adopted by the BudgetCommittee and presented to the Board onNovember 15th and published. to themembers on November 16th, 2007. The2008 budget period will begin January 1st,2008 and end December 31st, 2008.Seconded by Dan Biro. One Board memberspoke and 21 residents spoke since thiswas an underlined item. Roll call votetaken. Motion carried.COMMUNICATIONS TwoThe meeting was adjourned at 2:55 PM.

SPECIAL DATES TO REMEMBER

IIRCA WORKSHOP MEETINGIn the MarinaThursday, January 10,200810:00 AM

IIRCA AGENDA MEETINGIn the MarinaThursday, January 10,2008Immediately following WorkshopMeeting

IIRCAGENERAL BOARD MEETINGIn the ClubhouseThursday, January 17,20081:30PM

BOARD OF DIRECTORS100 Hawthorne Boulevard

GeorgeWolf---------PresidentJerry Paronto ---- VicePresidentDan Biro ----------- SecretaryJohn Haag ------- TreasurerGeneJones --- DirectorRudy Schmitt--------DirectorBetty Smith----------------- DirectorRobert Waller ------- DirectorEd Walsh Director

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