OWNER UPDATE

June 6, 2020

Dear Fellow Owners,

We hope that all of you are continuing to be safe and remaining healthy.

The Board is pleased to announce updates regarding the re-opening of our resort on Saturday, June 13, 2020. Please refer to the previous newsletter of May 30 for explanations regarding our preparations for re-opening as well as certain necessary restrictions to use of amenities.

The processes and protocols we're putting in place follow Federal, State, County, Town and CDS association guidelines and are being implemented to ensure the safety of our staff and owners. Florida continues to be under a state of emergency until July 7th with Broward County in Phase I of its Emergency Management Plan.

Thank you for your emails and suggestions. The CDS Board appreciates the support of many owners, and with this update we will address your concerns and answer several of the most common questions we have received.

Will there be a rebate for the 2020 maintenance fees, access to association owned weeks or vouchers available?

We are a non-profit association and do not have a stockpile of profit dollars to lean on. We analyze our anticipated expenses annually and factor in any revenue we might receive (rentals and sales of association-owned units) and estimate reserves needed for other large items such as roof, AC chillers, parking lots etc. Each autumn, the annual budget is developed which results in setting the annual maintenance fees.

Maintenance fees constitute approximately 85% of revenues to operate and maintain Costa del Sol. The other 15% comes from rental and sales income. If the association were to return maintenance fees to owners, or defer it to next year, there would be insufficient resources to pay ongoing expenses and ensure operation of the resort - even while closed. The only income to operate comes from the annual maintenance fees paid by owners, plus rental and sales income. There is no other way to access monies.

Vouchers for other weeks are also not possible because they would eliminate association-owned weeks that generate rental income and directly contribute to running the resort. Those unit weeks provide a vital income source. If we were to off vouchers, we would have fewer units to rent and it would take away rental revenue we need for the 15% annually budgeted, as explained above.

Additionally, each time someone fails to pay their maintenance fees or rents their unit without using the front desk, it negatively impacts our ability to have sufficient income to operate as planned. We are always challenged with how to make this up.

The Board has worked tirelessly to protect our financial position throughout this pandemic period and have carefully established protocols for the re-opening. This situation could not have been anticipated and therefore not included in our planning. We appreciate the difficult situation that the owners affected by the recent closure have been in; however, it is beyond our control.

Why is there a $75 per unit per stay charge?

This is a one-time fee for your stay.

The COVID-19 pandemic has resulted in the implementation of additional cleaning & disinfecting procedures to meet CDC and WHO guidelines. This has resulted in there being many increased costs. We have also added supplies for you to use in cleaning and disinfecting areas of your unit and its patio.

It is not sufficient to use the same cleaning procedures that were used prior to this pandemic situation. Complete sanitization of all units is required after each usage that goes well beyond changing beds, sweeping floors and washing the bathrooms/kitchens. The required sanitizing requires experts using supplies approved by the CDC. All these costs are in addition to the annual budget for housekeeping supplies and equipment.

The one-time $75 per-unit per-stay fee will cover these extra expenses, and we intend to keep the sanitization fee in effect for as long as needed to protect the safety of you, your guests and the staff. As you can imagine when the 2020 budget was planned back in the Fall 2019, there was no way a worldwide pandemic could have been imagined or foreseen.

Could access to the Laundry Room be reconsidered?

In consultation with management, a plan to have access to the Laundry Room has been developed. It will be available from 9 am – 5 pm with access by one person at a time. There will be a sign-up sheet in the front office and the door will be opened for each visit. In between each visit, the machines, counters and door handles will be sanitized by the staff.

Is it possible to keep the outside shower open?

At the time of our last newsletter the beach had not yet opened. Now it is open and includes walking, sunbathing and picnicking. The use of face masks is not a Costa rule. These are government orders. The outdoor shower beside the steps to the beach will be available and staff will sanitize the taps throughout the day. Also, there will be hand sanitizer available for use there by our owners/guests.

We continue to consult with the association's legal counsel and are regularly attending webinars on COVID-19 and recommended re-opening procedures. This remains a very complicated situation. It is the duty of the Board of Directors and the CDS Association to put the best possible plans in place to limit the spread of the virus and the potential liability for the resort. We will continue to monitor the situation and continue to provide updates to you as they become available.

The Board of Directors must take a cautious and thorough approach to re-opening. This is for your safety and that of our staff. Needless to say, it is a challenging time for everyone.

Please keep in mind that although the resort will open on June 13, it is not the experience you are used to – and it will not be for some time as we navigate through the present situation. We will adapt as required in the coming weeks and months.

Stay safe. Best to all,

 


YOUR CDS BOARD OF DIRECTORS

Barbara Turley-McIntyre, President
Dave Cornelison, Vice President
Charles DeJean, Secretary
Doug Rousell, Treasurer