MARCH, 2021
www.diamondheadms.org
VOL. 38, NO. 03
The President’s Report By Ernie Knobloch
Note: The deadline for this article is February 13, 2021, so some changes may have occurred that are not mentioned here. enovations to areas in the clubhouse are presently on schedule to be completed by the first week in March and are presently under budget. A Grand Opening should occur in early March. The changes will result in a more customer friendly operation, addi tional space for different types of activities and attract a wider variety of customers. As of February 5, 2021, 96% of the members who paid their dues in full in 2020 have paid their dues in full again in 2021. A special thanks to everyone who has done that. Since spring is starting now, additional outside activities will begin and, hopefully, some of the COVID restrictions will be relaxed. Some people say that the action taken by the
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members in 2010 was not legal. Regardless of how you feel about that, the actions taken were legally recorded in the Hancock County Clerk of Court’s office and are currently part of the POA bylaws. The POA sent out an eblast and posted on Face book, all the documents showing the process and results of the action in 2010. Some property own ers are threatening a law suit against the POA for applying the bylaws as they pertain to the cov enants. The POA Board is faced with two options. Either enforce what’s in the bylaws or not enforce the bylaws. If the bylaws are enforced some mem bers will probably file a lawsuit against the POA. If the POA does not enforce the bylaws, other members have said that they will file a lawsuit against the POA for not following the by laws. All states have laws that require Board members of corporations to act in the best interests of the corpo ration that they represent. What is in the best interest
DEADLINE FOR APRIL ISSUE OF DHNEWS IS MARCH 10TH
of the POA? Obviously, the answer is for members to continue paying dues to support the $15$20 million dollars of amenities that the POA must supervise and main tain and prevent the loss of
property values for resi dents. The second part of this situation is also interest ing. If the POA Board does not enforce its bylaws, and is sued, individual Board members could be found
guilty of not performing their fiduciary responsib ilities and not acting in the best interest of the corpo ration. The general belief is that would mean individual Board members could be subject to losing their Directors and Officers insurance that provides coverage when Board members are acting in the
best interest of the corpo ration by enforcing the bylaws. If you were a volunteer Board member, which decision would you make? I hope to see everyone using all the wonderful amenities that we have in Diamondhead and con tribute to making our community a unique place to live.
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