Dear Members:

This is a follow up email to our recent messages regarding South Street Partners’ (SSP) May 31 email announcing a major change to the structure of the Palmetto Bluff Club (PBC).  

We want to let you know that some Palmetto Bluff property owners have submitted a complaint to SSP.   As you may recall, our governance process requires that the first step to contest an action by the developer is to begin a 60 day “alternative dispute resolution” process.  This process is outlined in Chapter 18 of our Community Charter, which you can find on the Member website (click the POA-Preservation Trust tab, and then click on Governing Documents). 

Our understanding is the complaint states that SSP does not have the authority to make PB Club membership optional without a majority vote by property owners.  A relevant document is the 2003 Declaration of Recreational Covenant for Palmetto Bluff, which 1) makes membership mandatory; and 2) has a clear amendment process. 

Relevant sections:

• Mandatory Language.  Mandatory membership is mentioned several times in the Declaration.  One example is Section 2.2 which states “…Covenant to Maintain.  The Owner(s) of each Residential Unit shall maintain the Community Membership issued for their Residential Unit …as long as they hold title…”
• Amendment Process.  Section 4.2 states “…this Declaration may be amended only by an instrument signed by the Club Operator and by Owners of a majority of the Residential Units and by the Founder…” (emphasis added). 

Further, we understand that the property owners are asking SSP to 1) negate the waiver or offer a mutually acceptable remedy; and 2) suspend all purported deadlines under their new alleged policy while the matter is negotiated and mediated.

Additional Palmetto Bluff property owners may join this complaint process.

Please let us know if you have further questions; you can reach us by email at pbna2020@gmail.com.  

PBNA Volunteers