For at least the past four years, Palmetto Dunes hasn’t imposed a storm assessment fee on members.
That will change in 2017, said Andrew Schumacher, CEO of the Palmetto Dunes Property Owners Association.
Palmetto Dunes will assess members $150 next year – and likely two years after that as well – to replenish its storm fund in the wake of Hurricane Matthew, he said.
In 2004, the resort amended its covenant to create a storm reserve fund. Members paid between $150 and $200 each year until the fund built up to $2 million, the capped amount the covenant allows.
The covenant also allows Palmetto Dunes to assess up to $1,000 per household after a storm if the resort needs to secure $5 million from its bank. That wasn’t needed this time around with Hurricane Matthew, Schumacher said.
“Maybe it if was a Category 4 or 5,” he said.
Palmetto Dunes is one of the gated communities on Hilton Head Island raising fees to recoup costs incurred from Hurricane Matthew.
Hilton Head Plantation members will pay $250 extra next year and could pay higher assessments in subsequent years. Owners of improved lots in Sea Pines will pay a one-time special assessment of $1,018 in addition to a $1,028 assessment for 2017.