SKYLINE MOUNTAIN RESORT SPECIAL SERVICES DISTRICT

AND

SKYLINE MOUNTIAN RESORT BOARD OF TURSTEES

WORK MEETING SEPTEMBER 12, 2007
Held at the Skyline Mountain Resort Clubhouse

SMR MEMBERS PRESENT: Terry Behunin, Everett Taylor, Jeff Mendenhall, Max Henrie, Ted Barbee

SMSSD MEMBERS PRESENT: Terry Behunin, Frank Fraser, Monte Pugmire, Roy Slater, Jay Hansen

ITEMS OF BUSINESS :

Both the SSD and SMR Boards had acquired new members since the two had last met together. Therefore a few minutes was taken by the members of each Board to introduce themselves.

A brief history of the Lease Agreement between the SMR Board and the SSD Board was presented by Jay Hansen, Everett Taylor and Max Henrie. This included discussion as to the most recent efforts to update and amend the Lease Agreement.

Discussion followed as to the specific areas of change in the Lease that had been agreed upon and to the few remaining areas where more negotiation was needed. Members of both Boards will draft proposed language to present and discuss at a future meeting.

There was also discussion regarding the status of a map of the Resort roads which is included as an Exhibit to the Lease.

The meeting then adjourned.