Dear Bayside Homeowner,
As we navigate the process of transitioning control of the Bayside Community Association, Inc. (HOA) Board of Directors to homeowners, we believe it’s important that you hear the developer’s perspective on the process. Our view includes important facts and context missing from certain online discussions.
Under the guidance of HOA Attorney Chad Toms of Whiteford Taylor & Preston, the HOA Board of Directors has recently discussed the creation of a formal Transition Committee with the legal standing, decision-making authority, and independence to negotiate on your behalf.
Carl M. Freeman Companies is committed to negotiating a timely, orderly, cooperative, and effective transition that strengthens the long-term viability of our community. We fully intend to turn over control of the Board when we have reached the legal threshold for doing so. That legal threshold is the one contained in the Bayside Community Charter, being 90% or December 31, 2024. If an acceptable transition agreement can be reached with the Transition Committee prior to the legal threshold for turnover, the Charter permits an early voluntary turnover of the Board as part of that agreement.
This decision-making Transition Committee would be comprised of all non-developer members of the Board of the Directors. They may retain experts in law, finance, and engineering as well as consult with volunteers from across the community to advise on all matters pertaining to your interests to achieve a fair and equitable transition. This committee will act independently from the Board and will not contain any developer representation.
The current Transition Planning Committee, often referred to in online forums, has no legal authority to negotiate on behalf of the community or you as a homeowner and all its actions are subject to Board of Director approval. It is an ad hoc, unelected advisory group that was started by Bayside homeowner and HOA board member Gordon Green in the winter of last year to look at issues associated with the planning of the transition process.
This newly proposed transition process is guided by both Delaware law as well as industry recognized best practices recommended by the Community Associations Institute. It delegates all Board power related to the transition to the elected homeowner Board members and effectively eliminates the developer’s majority Board control over transition matters on behalf of the Association. We think this the only way to move forward with this process.
To keep everyone informed, we have created a new website – Baysidefounder.com – that will be the central place for homeowners to gather information, ask questions and get answers from the developer. Click here to submit questions and we’ll do our best to fully answer them directly and update the site with the responses. We have initially populated the site with recent questions and topics raised in emails and on social media.
We are grateful for your patience and open minds as we work toward the completion and transition of our community.
Senior Vice President
Carl M. Freeman Companies