Morell Cabin Corporation Shareholders Meeting Minutes July 3, 2006 The annual meeting of the Shareholders of the Corporation

was held at the time and place, and on the date set forth below: Place of the meeting: Morell Cabin, Regina New Mexico Date of Meeting: July 4, 2006 Time of Meeting: 6:00 PM The meetings business was to act on such proposals, to elect such Directors, and to transact such other business within the power of the Shareholders as set out herein. The meeting was called to order by Mary Morell president of the Corporation. As authorized by the Bylaws, the President presided as Chairperson of the meeting. Lucy Morell Gengler acted as secretary of the meeting and recorded the minutes. The meeting being held in accordance with the terms of the Bylaws of the Corporation, the Chairperson declared the meeting was validly convened. The following Shareholders were present: Attendance: Jill Morell, Billy Morell, Mary Morell, Jerry Morell, Janie Morell-Hart, Julian Morell, Martin Morell, and Lucy Morell-Gengler Absent: Michael Morell The Chairperson stated that a majority of the total number of shares issued and outstanding was represented, that a quorum was present and all prerequisites for the meeting were completed and that the meeting was ready to transact any business before it. The meeting was called the order by Board President, Mary Morell. Julian moved and Jerry seconded that last year's directors be re-elected for this year and that Billy be appointed as Chairperson of the Board. The motion was approved unanimously. Jerry moved and Julian seconded to forgo the reading of the minutes. The minutes of the July 3, 2005 meeting were approved as written. Jerry moved and Janie seconded to adjourn the meeting. The motion carried unanimously. There being no further business before the meeting, a motion duly made, seconded and unanimously carried, the meeting was adjourned. Date _________________ Lucy Morell- Gengler

RATIFICATION We, the undersigned Shareholders, or duly authorized proxies or assignees thereof, have read these minutes, hereby approved, ratify, confirm, and consent to all business as reported herein. 1.___________________ 2.___________________ 3.___________________ 4.___________________ 5.___________________ 6.___________________ 7.___________________ 8.___________________ 9.___________________

The following documents have been appended to these minutes. A. Call of meeting B. Notice of meeting C. Record of e-mailing/phone notice of meeting

Morell Cabin Corporation Board of Directors meeting minutes July 3, 2006 Attendants: Jill Morell, Billy Morell, Mary Morell, Jerry Morell, Janie Morell-Hart, Julian Morell, Martin Morell, and Lucy Morell-Gengler. A meeting of the board of directors of the corporation was held at the Morell Cabin Regina, New Mexico, on the third day of July 3, 2006 at 6:05 PM. The meeting was a regular meeting, for which call and notice are dispensed with in accordance with the Bylaws. There being a quorum of the Directors of the Corporation, the meeting was called to order by Board Chairperson Billy Morell. Lucy Morell-Gengler acted as secretary to the meeting. The minutes of the previous meeting held on July 3, 2005 were read by Lucy. Julian moved and Jerry seconded to approve the minutes as read. Election of officers Martin moved and Janie seconded nomination for officers as follows: President- Mary Morell, Vice - President- Julian Morell, Chairperson of the Board - Billy Morell, Secretary Lucy Morell-Gengler, Vice-secretary Janie Morell-Hart, Treasurer - Martin Morell. Motion passed unanimously. Treasurers report The treasures report was read by Martin. The report reflected a balance of slightly over $50,000.00. Martin indicated expenses for construction costs for the new porch were about $2,000. Julian moved and Jerry seconded a motion to approve the expenditures for the new deck; motion passed unanimously. Martin noted other expenditures were for taxes, supplies, etc. Julian moved and Jerry seconded to accept the treasures report. Motion passed unanimously. Julian moved and Jerry seconded to accept the treasures report as next year's budget. Motion passed unanimously. Old business Martin moved and Jane seconded to ratify and affirm all actions of officers and directors for the previous year. Approved unanimously. Work on the roof deferred until other cabin priorities done. Replace first tent pad with permanent boarding and extend for a porch. supports and rail New picnic table for tent area Big tree needs to be looked at before falling and trees need thinning; Mary will investigate. Owners of the land on the other side of the fence (4.6 acres) still not known.

Insurance under Marys name and cabin leased to her for a $1. a year and other services rendered. New business Billy thanked for keeping track of events during the fire and evacuation. Additional thanks to Jerry and Julian for helping put out the fire in the meadow by the lake. Bathroom off trailer still under consideration. Alternate option discussed remove the existing trailer and construct in phases a winterized area. Start with a tent pad that can be converted into the winterized area. Mary will try and sell the trailer or if some one will haul it for free. If she can get any money then move forward with tent pad. Need to finish up some of the projects such as lattice on new porch and deck still needs some refurbishing. Will consider July 3 or 5 as a work day to try and finish projects and to give the next generation things to do. This will help them learn about the cabin and start to be responsible for it. Make a list for next year for easy things for them to do. Maybe put a roof over tent pads to protect from rain and keep cooler. Need to upgrade linens remove any linens or towels that have holes or are raggedy. Look for sales on new blankets, sheets, towels, etc. Discussed including the next generation more. Will pick a representative from each family to sit in on board meetings. Jerry moved and Julian seconded to increase the number of board members and to ask Jeff if he would be willing to sit on the board. Established new guest policy: Must have been to the cabin with a family member prior to staying at thet cabin without family member; Must adhere to no fire policy; Let them know not to pour grease or other such items down the drains; Sheets and towels must be laundered; and Trash removed. Add Jeff, Julie and Patti to e-mail notification list. The next meeting was scheduled for July 3 or 4, 2007. There being no further business before the meeting, the motion duly made, second and carried, the meeting was adjourned. Dated: _______________________ Chairperson, Billy Morell _________________________ Secretary Lucy Morell-Gengler

New business X-mas giving 21 and under gifts Over charitable donation