BLOODY POINT PROPERTY OWNERS ASSOCIATION

ANNUAL MEETING

MARCH 13, 2010

PRELIMINARY MEETING AGENDA

I) 8:30AM CALL TO ORDER………………………TONY SIMONELLI

II) REVIEW AND APPROVAL OF MINUTES OF 2009 ANNUAL MEETING

III) PRESIDENT’S REPORT

IV) COMMITTEE REPORTS

FINANCE…………………………..RICH SILVER, TREASURER

INFRASTRUCTURE……………MIKE LOFTUS, VICE-PRESIDENT

NOMINATING………………….TONY RIVELLINO

ARB…………………………………TONY RIVELLINO

V) OLD BUSINESS

BEACH STABILIZATION PROGRAM

ROAD PAVING

SIGNAGE

SC SHORELINE ADVISORY COMMITTEE

CBRA

JASPER PORT

RESORT BANKRUPTCY

VI) NEW BUSINESS

RESORT SALE

BLOODY POINT STATUS

VII) Q AND A

VIII) ADJOURNMENT

BLOODY POINT PROPERTY OWNERS ASSOCIATION
NOTICE OF ANNUAL MEETING

January 20, 2010
Fellow Bloody Point Property Owners:
As I said in my letter earlier this month, the Annual Meeting of the Bloody Point Property Owners Association will be held on Saturday March 13, 2010. It will be at a site to be determined at Melrose on the Island beginning at 8:30 am.
Montauk Resorts, LLC, should have closed by the time you read this letter and is the new owner of the Daufuskie Island Resort. By the time of the meeting I hope to have a representative of Montauk attend the meeting and fill all of us in on their plans for the future. This is the dawn of a new era on the island and one we should all be excited about.
It is VERY IMPORTANT to have a quorum to conduct business of the association. If you cannot attend, please be sure to sign and return the proxy immediately. You may fax it to GW Services at 843 686-4055 or return it to them by mail.
We are organizing a Bloody Point Property Owners Golf outing for that day as well as a Tennis event. They will both occur at Melrose.
The nominating committee has met in accordance with the By-Laws. The committee notes the following:
Current Board Composition
Member Term in Years Served Remaining Expires
Tony Simonelli 3 2 1 3/11
Mike Loftus 3 1 2 3/12
Rich Silver 3 2 1 3/11
Tony Rivellino 3 1 2 3/12
Bob Webb 3 1 2 3/12
Jim Wells 2 2 0 3/10
George Shingler 1 1 0 3/10

Jim Wells is being nominated for a two year term to expire in March 2012
George Shingler is being nominated for a one year term to expire in March 2011.

There will be an election for these seats at the annual meeting.

Accompanying this document is a proxy form that we ask you to fill out and return according to the instructions on the form. We also ask that you let us know as soon as possible as to your attendance at the Annual Meeting.
This letter and the accompanying attachments will also be posted on our website www.bloodypoint.net.
Please try to attend. We need your support to continue to make Bloody Point the finest community on Daufuskie Island. We would like to have as much input and involvement of our owners as possible.

Sincerely,
Tony Simonelli
President, Bloody Point Property Owners Association
Phone: 843 842-4570
Email: tsimcob@aol.com

This package should contain the following:
Leter from Tony Simonelli
Preliminary Meeting Agenda
Proxy
Proposed Operating Budget
Minutes from 2009 Annual Meeting
If any of the above is missing, please email MAHHISC@aol.com

BLOODY POINT PROPERTY OWNERS ASSOCIATION

Dear fellow Bloody Point Property Owners,

Accompanying this letter are the minutes of the March 28, 2009 Annual Meeting of the Bloody Point property owners. The minutes will give you some idea of what has been happening at Bloody Point over the past year. Since March 28 further activity by the Bankruptcy Trustee, Mr. Robert Onorato, has enabled the Melrose Golf course to reopen as well as the Beach Club at Melrose. The Bloody Point Golf course is being maintained although it is not officially open for play. Island activity over the Memorial Day weekend was high and there is an air of optimism on the Island. There are many organizations looking at the Resort and it is being actively marketed and there is an expectation that the Resort will be sold within six months.

Your Bloody Point POA is actively working with the Trustee to protect the assets of Bloody Point and we are confident in the future of our community. As indicated in the minutes three homes are under construction and we have several property owners making plans to build as well. Real estate activity has been slow, but we have started to see more people express interest in Bloody Point and the value they see in the beautiful home sites as well as the Sandy Lane Villas.
As always, if you have any questions or comments please feel free to call or email me.

Sincerely,
Tony Simonelli
President, Bloody Point Property Owners Association
843 842-4570
tsimcob@aol.com

MINUTES OF ANNUAL MEMBERSHIP MEETING

MARCH 28, 2009

Tony Simonelli, President of the Bloody Point Property Owners Association (BPPOA), called the meeting to order a little after 8:30 am. There was a quorum representing over half the members either in person or by proxy.

Tony introduced his fellow officers seated at the head table – Mike Loftus, Vice President, and Rich Silver, Treasurer & Secretary.

The minutes from the 2008 Annual POA meeting were then approved.

Tony then presented his President’s Report, which included:

a) Partial paving of River Road was done, with more to be completed this spring.
b) Landscaping was completed at the circles at the end of the roads.
c) A brief summary of the status of the Resort, which included:
· A history from November 2007 when ownership tried to significantly increase membership costs and reduce benefits
· The July 2008 announcement that a deal had been struck to sell the Inn
· The closing of Bloody Point in the fall and the restrictions on ferry rides imposed on Club members
· The January 2009 Chapter 11 filing by DIP
· The appointment of a Trustee in March 2009 to take over all responsibility for DIP’s assets and operations on Daufuskie
· A statement that Bloody Point will remain closed until a sale occurs, but will be partially maintained
d) Ferry service from Salty Fare to Melrose Landing is not operational, and the Trustee is looking into alternatives for restoring services
e) Land transportation is being operated by Daufuskie Land Transportation under a lease arrangement with the Resort
f) Homes under construction include the Mellencamp, Greene and Jamrozy homes on Fuskie Lane, and the Latuskas have begun looking into building a home on their lot on Fuskie Lane. The Shoffner home on Fuskie Lane was completed a while ago.
g) Nothing is happening right now with respect to the CBRA flood insurance issues.
h) A summary of the Shoreline Advisory Committee’s activities , which included:
· Bloody Point does not want any new laws to affect existing platted lots
· BP supports the emergency use of sandbags
· BP does not support removal of existing groins or prohibitions of future groins already permitted
· BP is concerned with the dredging that will take place if the new Jasper Port is approved or if an expansion of the existing port takes place. BP wants any new law to provide for mitigation of the impacts on beaches
i) Senator Tom Davis appeared on Daufuskie and spoke about the possible future Jasper Port, which, if approved, would be completed in 2015 or 2016. There was discussion about the dredging impact and possible mitigation. Senator Davis also talked about using the area as a future embarkation center to Daufuskie
j) Annual beach surveys will continue to determine if groin is achieving intended goals. One of Three segments is showing some erosion, while the other two are doing well

Rich Silver then gave his Treasurer’s Report, which included:

a) A review 2008 results which showed income (dues and interest) exceeding expenditures by approximately $10,400
b) A review of the Capital Reserve account, which shows a balance of approximately $232,600 at 12/31/08. These monies are primarily to build and maintain a beach renourishment reserve as required in the settlement of the litigation which allowed the beach groin to be built
c) The presentation of the 2009 operating budget as approved by the Board. The budget reflects a projected excess of income over expenditures of $7,470 as well as a net additional increase in the Capital Reserve accounts of approximately $84,000

Mike Loftus then presented an update of the Beach Stabilization Project, which included:

a) The original permit obtained allows us to build two groins
b) The cost of the first groin equaled what we originally we told both groins could be built for, so the entire assessment was needed to cover the first groin
c) We continue to do annual surveys to determine the possible need for the second groin (G2)
d) The permit expires in 2010, and can possibly be extended to 2011 or 2012
e) We need to keep the permit alive, since if it is allowed to lapse we will probably never be able to obtain another one
f) We could possibly start G2 before the permit lapses and build only part of it – this may keep the permit alive

Tony Rivellino, Chairman of the Nominating Committee, then presented the nominations for Board positions for expiring terms. Mike Loftus, Tony Rivellino and Bob Webb were each elected to new 3 year terms. George Shingler was elected to a new 1 year term.

Tony Rivellino also Chairs the Architectural Review Board (ARB), and reported the following:

a) Homeowners planning to build need to ensure that their builders and architects read and understand the guidelines. It is apparent that this is not always the case
b) Two amendments to the guidelines were approved by the ARB for multi-family structures, as follows:
· A minimum of 1,850 heated square feet per unit
· Road use and other fees will be 50% of the normal rate for a single-family home times the number of units in the structure

c) There was discussion of possibly having all lots bush-hogged on at least an annual basis and of possibly having more landscaping performed in the common areas. No final decisions were made regarding these items

Tony Simonelli then commented on the availability of the county voucher system for ferry passes. Property owners need to obtain an ID card from Palmetto Breeze in order to take advantage of the substantial discounts offered. Tony also commented on the discussions that are taking place regarding the possible future county-sponsored ferry operation.

There was a suggestion from a property owner to get the Bloody Point web-site (www.bloodypoint.net) up-to-date.

Lastly someone raised for future consideration the possibility of having the Bloody Point POA buy some land and construct its own swimming pool for its property owners, especially if the Club-owned pool in Bloody Point is ever removed.

This concluded the business of the meeting, and the meeting was adjourned, at which point Melrose POA members joined the Bloody Point POA members for a combined meeting which focused on Club/Resort bankruptcy and legal issues.