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President’s Letter Nov 2011:

Greetings from your Board of Directors and Property Management. This has been a very busy year. All Units continued to be fully occupied until a storm named “Irene” arrived. Those of you who were here prior to the hurricane saw the sand replenishment program in progress. The beach in front of the Windjammer was completed by the end of August. Approximately one third of the new sand was removed by the storm and then the water came up to the dunes on the next storm. The City believes that the sand will return naturally. Damage was limited to some roof shingles, ceilings, siding, slider doors (CC, B) and some of the vegetation on the west side of the dunes.

For most of the year, normal operation moved right along. We were lucky to get a couple to deep clean the units. They moved things and cleaned areas not previously touched.

As usual the hot tub was a problem requiring continuous repairs and part replacement. Also, this is the third year in which someone has pulled the safety rope from the pool causing damage. This increased our water usage and salt replacement. Owners are urged to report any damage or vandalism to the office.

Overall expenses have gone up due to increased taxes (including sand replenishment), insurance, water usage, and unit supplies.

This year’s budget was reviewed, checking income and expenses. After the completion of the review, the Board approved an increase of ten ($10) dollars per week in the annual maintenance fee. The income was affected by the reduced number of billable weeks resulting from non- payment of maintenance fees and Deed Backs.

We will continue to monitor expenditures and look for areas of savings. One area of potential savings is unit supplies, such as toilet paper, paper towels and soap products. The Board has, therefore, approved providing an initial supply of these items with guests purchasing any additional items they need.

We extend a special thank you to those owners and their families that assisted in the clean-up after the hurricane.

Respectfully Submitted,

Curtis J. Schmidt

President