Unofficial Minutes
DSROA Board Meeting
December 13, 2008

9:00 AM at the Quality Inn, Kanab, Utah


Board members present: John Southwick, Ben Clarkson, Dave Sills, Ed Bolinski, John Harris (teleconf.), Dustin Hollis
(teleconf.)

Board members not present: Shawna Cox

Others in attendance: Vance Green (teleconf.), Paul and Nancy Brayton, Mike Duval (teleconf.), Dale and Patty Clarkson,
Brent Fulmer, Bob Becker, Larry Baer, Larry Clarkson, Lance Jackson (Anasazi Tours)

Opening Prayer: Dave Sills

John: Only have audio minutes of last month’s meeting - approved and seconded - Dave Sills to review, document and
distribute minutes of November meeting.

John: Will return to financial - asked for caretaker’s report.

Paul: Farming in progress, PTO on Kuboto fixed, brush-hogged several acres, cattle delivered to auction (two loads) and
sold, all but three calves, will turn in receipt.

Ben: Asked about plan on last three calves - discussed the plans

Paul: Has weights on cattle

Ben: Where are we on hay

Paul: Not good hay - being sold on request

Linda: $7.50/ bale when purchased

Discussion of hay inventory

Linda: What paperwork is required on cattle?

Ben: Transfer of ownership paperwork - Brayton’s can sign

Paul: Johnsons took cattle in. Cabin number four limb and trim complete, number 2 and 3 in progress. Chain saw serviced,
ranch house fire pit stonework required.

Larry: Recommend lava stone - won’t crack

Paul: Ranch house headquarters being readied for winter. Cutting and splitting more wood. Cabin 7 and 8 being used -
scheduled for winter.

John: Recommended control on cabin firewood use - inform members, educate on use of firewood in cabins (dampering)

Paul: Yellow generator is OK, inverter was problem. Asked about large water tank bid for repair.

John: Not yet

Paul: Discussed cabin log book (repairs, etc.) - Will maintain at ranch house with log of equipment records

Ben: Brought up fence/gate work/repairs

Paul: Tuesday had to put Jeremy’s horse down - discussed

Dave: How is balance between solar and generator power?

Paul: Using 10%/day - no generator use - Vance donated weather station - monitoring battery storage temp - placed fan in
area

Nancy: Gave status on her son

John: Old business - vegetation (planting) going well

Dale : Passed out a report on vegetation effort

John: Read report aloud

Dale: Said cabin usage should be doubled - discussed condition of cabins, reservation work

Paul: Cabins all functioning

Patsy: Asked if mattresses Larry delivered were in cabins?

Paul: Yes, possible one in storage

Dale: Johnsons have been in Garden cabin, could use cabin #6

Paul: No problem using Garden cabin - they bring supplies

Ben: A motion to keep garden cabin in their use to April - seconded

John: What is Dale’s reservation fee for?

Dustin: Should waive reservation fee

Ed: Motion to waive fee and time - seconded - none opposed

John: Continued old business - Skutumpah road discussed

Brent: May have to haul dirt to road damaged near Lick Wash.

John: Asked Paul to notify BLM of any fires

Vance: Asked members to get closer to speaker for clarity

John: Discussed fire protection - cabin #3 erosion discussed

John: Continued old business - water tank, law suit (letter), discussed and will review letter and follow up Monday

John: Financials

Linda: Discussed note being sent with assessments - discussed finances - expect $3000 to $4000 remaining in budget - have
not been billed for plumbing work - Linda/Ben will contact plumber - discussed December budget

Paul: Discussed fuel stabilizer expenses

John: Please label all expenses on report

Linda: Reviewed December expenses - discussed land taxes - penalty of $247 for late payment - continued on financial sheets

Dustin: Brought up computer replacement - will discuss later

Linda: Continue on budget -

Ben: Said BLM 10 year road permit of $3822 is excessive - title 5 -

John: Don’t send check - send copy of bill to Ben and John - will investigate - must budget for these amounts

Dale: Who has copy of Title 5 contract?

John: Will follow up

Linda: Will look for Title 5 paperwork

Ben: What direction are we going for record keeping

John: Direct to Ben is plan - will work with Ben

John: Need to budget teleconference costs

Mike Duval: Free conference service is available - can provide numbers for free service

John: New business: BLM grazing permits

Ben: Brought map for Paul - want to prevent grazing in new seed areas - need to monitor fences - will work with Paul -
should put together plan for limited cattle operation - will discuss with interested parties to make plan - including
round-up

John: Discussed future grazing plan and proposals

Patty: Asked about member grazing - group discussed

Linda: No future ranch association cattle?

Ben: Not likely

John: Revenue stream if we lease - open to proposals for cattle and horses

John: Proposal from Ben Clarkson

Dale: Letter sent to board and others asking for comments on proposals - received two answers - indicates no interest -
asked all present to write 1 through 16 on a sheet of paper and input their feeling on each item displayed

Patty: Presented “DSR Looking Ahead” power point - each participant was asked to make entry of opinion on 1-16

Completed presentation

John: Read Dale’s commitment letter - will post on website

Vance: Asked for copy of power point presentation to put on website

John: Wants to be involved in process of consideration of suggested changes

Dale: Discussed some aspects of changes needed

Mike: Could board make proposal to move ahead with Dale’s proposals

All discussed aspects of proposals - possible structuring

Dave: How about a specific proposal with budget impact

Dale: Wife and I expect involvement and changes to be around 24 months

John: Introduced Lance Jackson (Anasazi Tours)

Lance: Discussed concepts of possible involvement of his services and involvement with ranch - open to any and all ideas -
(8-10 riders and 1-2 times a week) - discussed held permits, policy and practice

Dave: Asked for proposal to be submitted by next meeting with liability clauses

Group discussed impact on bylaws

John: Back to Clarkson proposal - motion to move forward with proposals of concessionaire management two year plan

Ben: Discussed approval of system, not two year plan, key is specific plan for action and liability

Ben/Dale: Discussed liability insurance in force - management company involvement

John: Modify motion - Have Dale provide management/concessionaire - motion seconded - carried - no abstentions

Brent: Moving in right direction - does not see any threat from proposals - ranch needs weed burner

John: 15 minute break

John: Call to order - Preliminary budget discussion -

Discussed preliminary budget - will e-mil copy to board

Discussed $434 lot assessments

Ben: Need to finalize assessments - consider reduction - where did $434 come from?

John: Two years ago - does not see need to increase - need to be better stewards of funds

Ed: Motion to maintain existing fee - seconded - carried

Mike Duval: Expressed gratitude to board for efforts

Ben: Post as much as can be on website, not mailing- keep costs down

Ben: Newsletter - double-fold

John: Will put together newsletter to be mailed with assessment

Ed: When is Rhino to be paid off?

John: First of next year

All discussed assessments not received - discussed budget specifics

Vance: Will scan and e-mail water connection costs

Ben: Discussed ranch fuel use/log/reporting

Discussed items for consideration of reduction/tracking, etc.

Changed general Administration category to Bookkeeping (2-3 hour/day average)

Recategorized insurance/subcategory of Auto, property, etc.

Ben discussed meeting date and structure

A budget committee was set of, comprised of John, Ed, Ben, Linda

Next meeting January 10th, 9am -meeting adjourned