October 3, 2004

Dear Neighbor,

The re-scheduled FMB meeting was held Saturday October 3, 2004. It was nice to see so many homeowners present.

The financial report shows we are actually slightly under budget year to date.

Grounds and Maintenance reported we are currently concluding the roofing cycle. Chimney problems are being addressed and the committee is actively looking at the dead shrubs and overgrown areas.

A new speed hump will be installed between the guard and club house to reduce speeding in that area. The FMB resolved that they will be sensitive to excessive noise and other traffic issues in the future.

Bob Wiesel reported for the bluff committee he has had meetings with the conservation commission administrator who gave the impression the commission would be amenable to allowing us to amend the order of conditions. We hopefully will be allowed to clear the invasive species over the entire bluff as well as prune in the spring and the beginning of August.

The Bylaws review committee has concluded the work on the Phase 1 Bylaws. The will have a prototype recommendation for the four phases to look at shortly. They would then have to be re-written by our attorney then they would have to be voted on by the entire membership of each of our four phases. There will be a lot more on this in the coming months.

The adverse possession case which was in appeal (by the individual unit owners only) was sent back to the lower court with instructions to re-hear the case. The Phase 3 board voted to re-affirm their agreement of February, 2000 agreeing to join the action as plaintiff. The individual homeowners are responsible for all costs relating to this issue so there are NO costs to any of the Sea Pines associations.

In light of the above and because the abutter has not signed the settlement agreement (over four months), the board voted to withdraw the settlement agreement.

Reasonable rule of the month: The clubhouse is available for use by individual homeowners however the following rule must be adhered to:

1. Clubhouse must be reserved by contacting Vera Fields.

2. A refundable deposit of $50 must be given to Vera

3. After inspection, if cleaning is not needed, the $50 will be returned.

The next meeting of the FMB will be Saturday October 30, 2004 at 8:30am in the clubhouse. At that meeting we will be looking at the proposed 2005 budget and hopefully approving one.

This is a good meeting to attend as we welcome input from everyone.

Sincerely,

Richard Rose, For the FMB