Avalon Beach Estates Rental Committee 5/20/2018 Meeting Minutes

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1 Purpose The Committee was appointed as a Special Committee by the Board of Directors to explore and make recommendations to the Board about issues and problems that arise from properties that are used as short-term rentals by their owners. A chronology of events leading to the forming of this committee is summarized in Attachment 1. Notice Notice of meeting time and place was published on the Association Web site on May 18. Quorum The Committee is composed of 11 members. Eight of the 11 committee members were present. See Attachment 2 for roster and attendees. Old Business None. The Avalon Beach Resort is meeting for the first time. New Business This first meeting was for organizational purposes and was set and initially chaired by B. J. Chandler. The first order of business was to elect a Committee chairperson. Three members were nominated, and after discussion, Ken Ross was elected chairman by vote of the Committee. Next the Committee discussed its charter from the Board of Directors and agreed that because this issue was raised by petition to the Board, we needed to complete our work as quickly as possible and to keep the Board fully informed of our progress. The next meeting of the Board is June 4. The Committee next considered a list of the known short-term rental properties prepared by B. J. (and many thanks to B. J. for all the organizational and research work he did prior to this first meeting). The list, presented as attachment 3 of these minutes, shows 15 properties now believed to be in rental, but possibly 3 more may be considering renting. We also noted that almost all are on the first two streets in the front of the subdivision. Only 3 or possibly 4 properties are further into the subdivision. Next, we decided to brainstorm the problems and issues that renting can cause, developing this list: 1) Rental density in areas (e.g., pool, beach) 2) Parking problems with tenants and possible need for towing regulations 3) Owners converting garages into living space possible violation of subdivision covenants

2 4) Noise issues from renters 5) Security and safety issues may lead to having to hire additional security 6) Reckless drivers in the subdivision may be from renters 7) Trash issues that may be unique to rentals 8) Communications with all our owners about these and other issues 9) Overpopulation of the beach areas 10) Damages from the possible overload caused to all common properties 11) Enforcement in general both of existing rules and any new rules who is going to do this and how 12) The need for a log of violations so that we can have an actual record of what specific problems we are having with specific rental properties 13) Different cooperation with different Management Companies managing the various properties approving management companies 14) The dividing the community issue if we have certain areas of rentals (e.g., the front only) 15) The increasing number of rental properties in Avalon 16) Valuation concerns about rentals some think they raise the value of property, some that they lower the values. There was then a discussion of most of these issues and how to address them. It was decided to divide into sub-committees that would meet and report back with ideas and suggestions at our next committee meeting. Action Items The volunteers for those sub-committees and the task assigned to them were: o B. J., Danny, and Harry will have issues 1-3. o Dick and Paul will have 4-7. o Diana will have Note: Diana will need more help here i.e., 1 or 2 more need to volunteer to help her, please. o Dick, Paul, and Charles will have o The Committee of the Whole will have The next Committee meeting was set for June 10 at 2 p.m. And with that, the meeting was adjourned. Adjourn Meeting adjourned with no additional comments or actions. Respectfully, Ken Ken Ross Chairman

3 Attachment 1 MEETING BACKGROUND 1. A petition was presented to the Board of Directors (BOD) containing sufficient owner signatures to seek BOD approval for a vote to allow short-term rentals to continue with current owners, but the right to short-term rent would not convey to new owners. 2. On April 21, the BOD held a special membership meeting to state the proposed change with all homeowners and hear discussion. A rental committee to study vacation rental issues was recommended by owners with the hope that issues between vacation rentals and others may be mitigated. 3. On May 7 the BOD voted to form an ad hoc rental committee. The committee is tasked to explore measures that may be taken to address the complaints and views voiced at the April 21 meeting by those who feel the large number of vacation rental issues collectively violate their right to enjoy their home and neighborhood as a single-family residence. 4. B. J. Chandler was asked by the BOD to organize and initiate the first committee meeting. 5. This is first meeting of the. All invitees to this committee are those who stood to volunteer when asked on April 21 and responded when asked to participate via and/or phone between May 17 and this meeting date of May 20.

4 Attachment 2 COMMITTEE MEMBER ROSTER In attendance Name Phone Property Use B. J. Chandler bj@chandler123.com Avalon Blvd. Residence Charles Stults cbs7801@charter.net Sagris Cove Second Home Danny Schunk danny.schunk@hcahealthcare.com Ballamore + Lot 14 Vac Rental Diane Ruede dmweldin@swbell.net Tristram Way Residence Dick Beckemeyer dickbeckemeyer@yahoo.com Paginet Residence Dick Marks dick.marks@fastsigns.com Tristram Way Residence Harry Hinkle hhinkle@gnax.net Ballamore Vac Rental * Jim Kean JandPwest@aol.com Acalon Cove Second Home Ken Ross kenross@sealeross.com Paginet Vac Rental Paul McDowell pmcdowell1954@gmail.com Avalon Blvd. Residence Sharon Deville deville.sharon@gmail.com Paginet Residence * Jim Keen electronically attended, but interupted by electronic difficulty.

5 Attachment 3 LIST OF ALL KNOWN VACATION RENTAL HOMES # Property Address Oname Sq. Ft. Beds Baths Flrs Sleeps Management Company Market Name 1 49 PAGINET RD HAROLD SMITH 2, Bill & Terry Casa de Avalon 2 56 BALLAMORE RD HARRY HINKLE (via Trust) 2, So.Vacation Rentals Emerald Palace 3 65 PAGINET WAY KEN ROSS (via LLC) 2, Vacasa Florida Flamingo Cove 4 55 TRISTRAM WAY CANTY 2, Vacasa Florida, LLC Twin Palms of Avalon 5 20 BALLAMORE RD HARDEN EXE RENTALS LLC 3, Blue Beach Properties 20 Ballamore 6 40 BALLAMORE RD MCCULLOUGH 3, Ocean Reef Tangerine Dream 7 55 BALLAMORE RD DAVENPORT 4, Five Star Beach Casa de Palms 8 50 BALLAMORE RD DANNY SCHUNK (& WENDY) 3, Diamond Gulf Rentals Bella Costa AVALON BLVD JAMES & SHEILA JANSEN 3, Ocean Reef 196 Avalon BALLAMORE RD P & R REAL ESTATE LLC 4, Destin LuxBch Rentals Chateau Lumiere BALLAMORE RD GREEN TURTLE CAPITAL LLC 3, Ocean Reef Bellagio AVALON BLVD CORRALES MICHAEL J & 3, Beach Reunion LLC Sleek Retreat BALLAMORE RD MARTY BYROM LLC 4, Newman Dailey Under the Tuscan Sun BALLAMORE RD CANZ LLC 5, Five Star Beach Villa Capri BALLAMORE RD EBERT SCOTT C & SHARON 4, Newman Dailey Emerald Beach House # Property Address Oname Sq. Ft. Beds Baths Flrs Sleeps Management Company Market Name 16 VACANT DANNY SCHUNK (& WENDY) ? VAC RENTAL COMING SOON AVALON BLVD NEW OWNERS 2, ? VAC RENTAL COMING SOON 18 LOT 25 PAGINET DAVIS (via LLC) ? VAC RENTAL COMING SOON Under Construction Notes: 1. Prepared May 20 by B. J. Chandler. 2. B. J. not certain this is a complete list. 3. Sleeps column presents the maximum advertised capacity for each home. 4. Beds, Baths, Floors, and Sq. Ft. taken from the Walton County Tax Records. 5. Beds, Baths, Floors, and Sq. Ft. as advertised for rent do not always match tax records. 6. The total capacity of the 15 rentals above is 255 persons.

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