December 15, 2017

Dear Rivers Edge Property Owners:

After finding additional problems with the golf course amendment mailout process this week, we are withdrawing the transmittal and ballots. We are resetting the process to start new in January. An entirely new package will be mailed to all property owners during the week of January 8. The new ballot will be the only accepted ballot. All other ballots received from the current mailout will be discarded. Even though you may already have returned a ballot from the first mailout, you need to submit a new ballot. The new ballot in the January mailout will be unchanged except for features to clearly identify it as the new ballot. I regret that this means a redo for those of you who already have voted. We will introduce no changes in the new package other than the transmittal letter and the ballot.

We take this drastic step reluctantly, but we know it is the right thing to do. We consulted with our attorney yesterday, and he advises this complete reset.

Ballots returned by the new deadline identified on the new ballot will be tallied in accord with applicable NC statutes and our governing documents. We have reviewed with our attorney, and the criteria are:

Unless otherwise stated in the governing documents, the action of the members (and thus the action of the Association) is authorized if approved by a majority of members present in person or by proxy at a duly called meeting (this is based on statute, not your documents).  If you conduct the vote by written ballot, the level of approval is the same.  The level of member approval is not affected by a meeting versus written ballot.

We are required to achieve a quorum (returned ballots) of the full membership (currently 513) of the Association for the ballots to be counted. Our By-Laws define a quorum as 25% of the full membership. Failure to achieve a quorum means no action may be taken regarding the matter.  Ballots not returned do not count in the tally at all. They have no impact on the outcome. If a quorum is achieved, the returned votes are counted. Ballots returned blank, with neither a Yes nor a No, are invalid and not considered in the count. A majority of those valid ballots on the current proposed amendment is required for approval. The minimum threshold for approval is 1 vote more for approval (Yes) than the votes disapproving (No).

I regret the problems that have occurred during this process, and apologize for any confusion or annoyance you may have if you are among those that previously received and replied with a ballot that is no longer valid.

Thank you,

Ron Johnson

President, Rivers Edge Property Owners Association Board

If you have any questions, please contact Gail Miller in the Management Office. gmiller@oceanridge.com

Links to Amendment related documents:

Summary of Key Facts and Talking Points

October 7 2017 Town Hall Meeting Presentation

Statement from Charlie Smith

Golf Club Fact Sheet

REPOA Fact Sheet

Summary of Q&A and Additional Clarifications