February 3, 2023
Dear PIYC Members:
It has been four months since Hurricane Ian devastated our Island. The focus for our first three months has been on remediation, cleanup and getting back into operation, where possible. I am encouraged that in month four we have moved to the next phase of recovery, focused on our future. Tremendous behind-the-scenes work has occurred to engage the professional services we need to re-build and develop an effective recovery plan:
1) The Marina Committee recommended and the Board approved a contract with Bellingham Marine (BMI) to manufacture and install new floating docks and all the utilities associated with our entire Marina.
2) The Marina Committee recommended and the PIYC Board approved a contract with Kelly Brothers (KBI) to demolish the fixed docks, install new ones ready to receive lifts, and to install all the pilings for both the floating and the fixed docks.
3) Kelly Brothers will also be completing essential work on sections of our seawall which is the responsibility of the Master Association and integral to our island's infrastructure. The PIYC Board of Directors and PIYC Marina Committee will be working closely with the Master Association to ensure this joint project goes smoothly.
4) The Finance Committee recommended and the Board approved a $10 million/10-year loan to help finance costs associated with both the Marina rebuild and the Clubhouse, if needed. These funds have not yet been designated, but will give us flexibility in our planning and cashflow management.
5) For our costs associated with our recovery efforts we are close to finalizing assessments totals as follows:
- For the rebuild of the Marina due to damages cause by Hurricane Ian. Our Equity Yacht Members will be responsible for this amount.
- For expenses associated with repair or recovery efforts to the Club and Clubhouse Grounds. These will be billed to all Equity Social and Equity Yacht Members.
- For the Master Association Assessment, which will be billed to all PIYC Members.
SO, WHAT IS THE MASTER ASSOCIATION ASSESSMENT ABOUT?
In simple terms, our island has two separate corporations: The Residents of Pelican Isle, managed by its HOA, and the Pelican Isle Yacht Club, oversight by the PIYC Board of Directors. The Master Association is a third governing body with Board Members from both the Residences and the Yacht Club. Their purpose is to ensure a consistent look to the island, such as landscaping, architecture (roofs), structures, etc. and to have oversight of shared assets, like the seawall, gatehouse, security, roads, irrigation systems, sewage, lighting, etc.
The Master Association bylaws specify its Member composition so that it is fairly represented. There are four Members from The Residences (one from each building and one at-large Member) and three from PIYC, again represented… one Nonresident Equity Social Member; one Equity Yacht Member; and one Resident Member. There are more Members from The Residences because they carry a bigger financial load than PIYC. Costs are split 55% the Residents/45% PIYC.
As a result, damages incurred from the hurricane to the seawall, landscaping, gatehouse or any other areas under the oversight of the Master Association will be shared with PIYC receiving 45% of their costs. You will see this Master Association cost on your assessment bill, broken out from your Club assessment and your Equity Yacht assessment, if that is pertinent to you.
WHAT IS NEXT?
From the early days of our recovery, our goal has been to return our boaters to the water as soon as practical and much of our communications and efforts have been to that end. We have also been working in parallel to get the Club amenities and grounds restored for an enjoyable season while carefully considering restoration efforts with long term goals in mind.
In addition to getting our dining, swimming, and serviceable sports courts back in business as soon as possible, we have also been looking to the future for our building and grounds. The Board has approved a contract with Chambers, a nationally recognized firm in the Private Club Consulting Industry, to assist us in master facility planning. You will be seeing more about this effort and how they will be seeking and incorporating our Members' input. They will look into optimal space utilization, restoration of the functions lost due to the flooding of the lower level and current and future needs of our entire Membership.
In the next 10 days, your Finance Committee, Marina Committee, and Board of Directors will be meeting again to review our total costs associated with our recovery and finalizing the assessment amounts and timing. We expect to be sending this information out prior to our Townhall, scheduled for Monday, February 20th, at 3pm.
It is a very busy time for our Club and you can also expect to see communications from Marina Committee Chairman Tom Friedman regarding details of the Marina Project as well as additional communications regarding the work that Chambers will be doing with our Members. Past correspondence is available on our Club website. We are also working to update our Frequently Asked Questions as we transition from recovery to planning for our future.
Fair winds and following seas,
