4/24/24
Message from the Caribe Beach Resort Association Board of
Directors
In September 2022, Hurricane Ian struck Sanibel, and our world
turned upside down. Caribe owners went from long, languid, and sunny days by
the pool or shelling at the beach to anxious months of heartache, grief, and
concern for the future. For over a year now, the board of directors, RAL, and
dedicated volunteers have been busy working on recovery and restoration efforts
toward the eventual rebirth of the resort facility that means so much to us
all.
In the hurricane’s immediate aftermath, it was important to
assess the damage to the Caribe, Sanibel, and all of Southwest Florida. Steps
were taken to secure and initially clear our property and form a plan of
action. We revised the 2023 budget to our estimated costs for the coming year. We
subsequently created a 2024 budget that charged no maintenance fees to owners.
We kept owners informed with regular board/town hall meetings
open to everyone and frequent publications of the Caribe ComeBack Newsletter. An
engineering study in 2023 officially determined that the buildings were irreparable.
We received substantial insurance payments and engaged an attorney to pursue
additional claims.
We formed a committee of owners to obtain future building ideas
and hired an architectural design firm. We anticipate that designs and cost
estimates should be available in mid-2024. We are also working to identify ways
to finance rebuilding efforts. Finally, we will obtain a real estate property appraisal.
All of this information will be provided to owners, who will then be asked to
vote on how to proceed.
We know none of this has been easy for any of our owners. We
appreciate everyone’s patience and resilience during this difficult period. We
also know that it’s the Spirit of the Caribe that has held us together. It is
the hope and expectation of resolving the uncertainty and potentially returning
to Sanibel in some way that keeps us all going. We appreciate the continued
support of our owners as we expectantly look toward a brighter tomorrow.
Your Caribe Board of Directors
Ray Edwards, Chair
Jonathan Mount, Vice Chair
Jane Moe, Secretary/Treasurer
Ann Gee
Andy Longbrake
1/31/23
Reminder:
today is the last day to call in and make payments, pay online, or mail
out your payment with a postmarked date of 1/31/23. Payments made with
a credit card or debit card over the phone or online will have a 4%
service fee added. Please call 239-481-9580 or visit www.ralresorts.com .
1/26/23
12/23/22
A HOLIDAY MESSAGE FROM YOUR BOARD OF DIRECTORS
Fellow Caribe Owners,
We enter this holiday season knowing that it has been a challenging year for many of us. We all
experienced a terrible loss as the Caribe, our personal paradise, was devastated by Hurricane Ian in
September. Each of us has responded in our own way, and many are still coming to terms with it.
We know that, for most of us, the Caribe is more than just a collection of buildings on a tropical
island. At this time of year, it’s especially good to recall the joyous times and wonderful fellowship
that we share on Sanibel. Sunny days and cool evenings, friendly conversation at the pool, endless
shelling on the beach, and gorgeous sunsets heralded by the sound of a conch shell are just a few of the
happy memories that bring a smile and warm our hearts.
As we enter the New Year, on behalf of the Board of Directors, I want to renew our commitment to do
everything we can to restore the Caribe as quickly as possible. While there are many challenges ahead,
with your support we will keep at it until we can all meet around the pool together again.
We wish you happy holidays and a wonderful New Year,
The Caribe Board of Directors
Ray Edwards, Chair
Andy Longbreak
Chanel Gortaire
Debbie Schuiteman
Jonathan Mount
General Notes:
➢ Jamie & Lora will be off for the holidays next week. While they are gone, if owners are deeding back,
the date Jamie receives the emailed Deed Back form will secure their date to deed back. For any Deed
Back requests received after 1/31/23, owners will be responsible for paying the maintenance fee for
2023.
➢ A message from Chanel Gortaire Board Secretary and Treasurer: Please note that our operating budget
cannot come from our insurance proceeds as we have not dissolved our association and it cannot
come from reserves. Florida statutes require we bill for operating expenses next year. We are in the
process of revising our budget and within the next few weeks should have a ratified revised budget. We
will also be extending the time to pay, with the new due date of February 1st.
➢ Per a decision by your Board of Directors, the maintenance bill may be split into two (2) separate
payments. The first payment of $500.00 is due by February 1, 2023. The second payment will
be determined in early 2023 after the Board reviews the Budget established in the fall of 2022.
Since the 2023 Budget was established, the full amount has been placed on each account, and
until determined by the Board, the current 2023 Maintenance, Reserves, and Taxes remain the
same, but a payment plan has been established. If no payment is made the following will still
apply:
All fees (or first payment of $500.00) must be postmarked no later than 2/28/2023 or called
into the RAL Offices by 5PM EST on 2/28/2023 to avoid any late fees.
On 3/1/2023 a $25 late fee & 1.5% monthly interest is charged for all delinquent accounts &
fees will not be waived. On 4/1/2023, a $25 Collection Fee & 1.5% interest will be added &
accounts will be sent to collections by 4/16/2023. You may pay by cash, check, cashier’s check,
credit card (4% convenience fee applies) for phone (239-481-9580) & online payments, Amex is
NOT accepted) or money order in US Funds. Payments must be made payable to CARIBE BEACH
RESORT, or they will be returned. Please DO NOT send payments to Sanibel.
➢ When emailing Jamie please be sure to include your full name. Sometimes the email address does not
make it obvious who is sending the message and the email address may not be the same one used on
your account.
➢ The next edition of the Caribe Comeback is scheduled for January 6th, as we are taking a week off for
the holidays. For inclusion in that newsletter, please submit questions by Monday, January 2nd. Thank
you. Please know that you may not receive a reply while emailing between Christmas and New Years.
➢ There are 1326 weeks available for ownership. One week per unit is set aside for maintenance and
therefore, not in the total number. Of the 1326 weeks, 226 are currently association owned.
Caribe Comeback Newsletter Questions received by Jane Moe (34 total questions – categories have been
created and, in some cases, comparable questions have been combined). Below are the questions that
were submitted by owners since the previous newsletter:
Questions surrounding the proxy and vote:
Q. What are the current vote totals:
A. Total votes received to date: 712; Yes votes = 217, No votes = 475, 3 to the secretary to vote, and 17
abstains. There are 614 outstanding votes that have yet to be cast. We need a total of 1,060 “yes” votes to
meet the requirement to pass the resolution.
Q. What is the downside if we do not vote to dissolve the timeshare? Is there the possibility of being liable
for a special assessment, and if so, what is the maximum amount a special assessment could be?
A. If the resolution fails, we will continue to work on restoring the Caribe. We still have the option to
dissolve the association later if circumstances determine that is an appropriate move. It is too soon to
know what it will cost to move forward, but that information will be shared with owners as soon as it
becomes available. Any discussion of a special assessment, including the cost, will be shared at an open
owners’ meeting.
Q. Several owners are listed on our deed. Is each one entitled to vote individually on the dissolution
resolution?
A. No, only one vote is permitted per week, regardless of the number of owners who share that week. You
may wish to designate an individual owner to vote on behalf of the group. RAL has a form available for
doing this.
Questions surrounding insurance, determination of property, and building:
Q. In last week’s meeting, Maggie said that she heard that the insurance adjuster sent a letter. What were
the results?
A. RAL has been contacted by the various insurance companies on both flood and wind coverage
regarding individual coverage questions. Any communication prior to an official offer is informal and not
declarative.
Questions surrounding deeding back or selling ownership:
Q. We have 3 weeks at the Caribe. I am interested in selling my units at a low price. What procedure
should I follow? Need a quick answer before my fees are due.
A. Please contact Jamie at manager@caribebeachresort.com to obtain the necessary forms. We
encourage you to proceed cautiously and thoughtfully as the due dates on the fees have been extended.
Q. I have heard that there are lifetime deeds and a mix of fixed term deeds. Are there different length
deeds? Are there some that are 20-year and others that are lifetime deeds? If there are lifetime, where
does it say the variances are different?
A. Based on our knowledge the fixed term deeds have all expired. All deeds now are held individually until
any dissolution of the association and disposition of the property.
Q. Knowing that there are owners who are not aware we have a social media platform to exchange or
purchase deeds, can we allow a running email listing of the same, so all are included?
A. Email addresses are held confidentially by the association for privacy reasons. If you are interested in
procuring additional weeks, please contact RAL to add your name to that list.
Q. Could serious consideration be given to those that want to purchase additional weeks that for a time,
perhaps until re-building begins, that all weeks that have been turned back into the association be made
available to us for the cost of the transfer fee? A running exchange listing could be added to the weekly
Newsletter. This would be beneficial in that it would help alleviate additional fees being spread amongst
the current owners.
A. This is an interesting idea and one that deserves further consideration. It will be taken up with the
board of directors after the holidays.
Q. To whom will I be deeding my deeds back. RAL or Caribe?
A. Deeds go back to the Caribe association, i.e., the association of owners.
Q. Will my vote count on this Dec. 16th vote if I deed back?
A. If you were an owner on December 16, the time of the vote, your vote will count. If you were not an
owner on December 16, it does not count.
Q. Where do I send my Deeds?
A. If you are you referring to a Deed Back form, you would email the form to Stacy and Jamie at RAL at the
following email addresses: stacy@ralresorts.com and manager@caribebeachresort.com. Jamie is
maintaining an Excel spreadsheet of all deed backs, including date request was received, forwarded to
Wilkinson Title, and Date Recorded. Many owners are inquiring about the status of their deed back and
this allows her to quickly answer the questions.
Q. After filling out the Deed Back form, what is the next step?
A. The form should be to be emailed to Stacy and Jamie at RAL.
Q. To date, how many deeds have been turned back into the Association?
A. There have been 109 requests from owners for deeding back to the association.
Q. Can owners wishing to pick up more weeks, buy the weeks deeded back to the association?
A. Yes, and if you are interested you should contact RAL.
Q. At the last zoom, Maggie stated she had just heard from the flood adjuster, kindly share the report with
us please.
A. Maggie was referring to regular informal inquiries. There is no report to share currently. As soon as a
report becomes available it will be shared with the owners.
Q. To date, what do you know thus far with regards to any structural reports?
A. No engineering reports have yet been released.
Q. Will you be answering these in an e-mail or on the Facebook page, I do not follow closely on the FB
page.
A. Answers will be included in the next newsletter. We are using the Caribe Comeback newsletter as the
primary means of communication for owner questions.
Q. After filling out the Deed Back form, what is the next step?
A. The form needs to be emailed to Stacy and Jamie at RAL. Email addresses are: stacy@ralresorts.com
and manager@caribebeachresort.com.
Q. If I deed back, will I get my 2023 deposit back?
A. Yes
Questions surrounding maintenance fees & financial matters:
Q. When are the bills for the partial or full maintenance fees going to be mailed out? And when will they be
due? The last postal service mailing took 12 days to arrive, so I really hope that there is a grace period with
plenty of time.
A. The invoices were mailed last week. Mail coming out of SWFL is very slow, so it may be a delay in
receiving it. As of the board’s decision this week, you now have until February 28th to pay the fees before
any late charges will be applied.
Q. Why is RAL imposing a 4% credit card fee when this charge was figured into our budget?
Owners should not be paying for this.
A. The credit card fee is not factored into the budget. That would be unfair to owners who do not use a
credit card. The credit card fee reflects credit card transaction and handling fees.
Q. Why would RAL charge over and above the normal, typical fee?
(Credit card processing fees will typically cost a business 1.5% to 3.5% of each transaction’s total)
A. These are transaction fees that are applied with credit card payments.
Q. If there are several sources paying insurance claims then why pay dues for a week, I won’t be able to
use? It should be covered by insurance.
A. Insurance will cover claim costs, but it does not cover loss of use or customary ongoing operating
expenses.
Q. And what can you do to those that just don’t pay maintenance? I own my one week. I don’t think there’s
any recourse a timeshare can take in a foreclosure other than get the week back. Many people I know have
stopped paying maintenance fees on other timeshares and just let them go. There are so many questions
that I am to the point of just not worrying about it anymore. This Caribe issue has taken up way too much
time for all involved. RAL can’t put me in jail.
A. Neither RAL nor the association wishes to be punitive, and we are all sorry that we need to go through
this. Failure to pay maintenance fees will result in losing the week that you currently own.
Q. Why not get a commercial appraisal of the Caribe Land? If we have $ 1,000.000 in the Caribe account,
$ 2,000,000 in insurance money and the Ocean Front Land is valued at between $ 3,000,000 and
$ 5,000,000 then the 1100 or so ACTIVE shares can be divided by $ 6,000,000 to $ 8,000,000 so that
would be $ 5,000 to $ 7,000 per week to the owners, this is information I think should be put out there so
all the owners have all the information. (We won’t know the value of the land without an appraisal, but it is
at least $ 3,000,000)
A. Many Caribe owners value their holding for reasons other than financial gain. If the majority of the
ownership votes to dissolve the association, then this option will be explored.
Questions about documents and information requestions:
Q. Are the zoom meetings saved so we can view them later?
A. Yes, the zoom meetings are recorded and uploaded to the website at a later date.
Q, Last week the newsletter said the Kenoyer resignation letter would be on the website, but I can’t find it.
Where would it be?
A. That letter has been posted on the website.
Questions about the Board of Directors or Property Management
Q. Who is the entire Caribe staff, I see why Jamie is working but not sure why the front desk staff and
maintenance staff would still be on the payroll.
A. The board is currently reviewing staffing requirements for 2023 and that will be reflected in the
upcoming budget discussions.
Additional Questions
Q. What is the value of the land? It would be great if we had a current appraisal, but even having a tax
assessment value would be better than nothing.
A. The regular annual 2022 appraisal was $3,837,615. This appraisal was conducted by an independent
appraisal company. This included the buildings and land value as it existed at that time.
Q. How much insurance is currently on the property, and what percentage is the carrier willing to pay? Would this amount be the same if we dissolved or rebuilt?
A. Currently our insurance coverage for property and flood is $6,296,871. The carrier’s decisions on
payment are unknown at this time. The question of payments in the event of dissolution would be
determined legally.
Q. What is the balance held in reserves? Are there other assets that could be liquidated?
A. There is $440,909 in the reserve account for capital improvements, including structural repairs. By
Florida state law, the reserve account may not be used for operating expenses. There is also a general
operating account, a money market account, a tax account, and a “hurricane” account. The amount held
in the general account and the money market account varies based on operating needs, the tax account
can only be used for tax purposes, and there is about $171,000 in the hurricane account.
Q. Do you have a rough idea of how liquidation proceeds would be broken down per week? That is, I would
think that those having more choice weeks would be entitled to a greater dollar amount than those holding
lesser weeks.
A. It is safe to say that more desirable units have a greater dollar value with a liquidation payout. The
details of this would conform to the condominium documents and would need to be worked out in the
event of dissolution.
Q. Have the relevant governmental agencies decided whether we can repair, or whether we would have to
rebuild to current building codes?
A. No, not at this time.
Q. How much would it cost to rebuild? I saw a figure of $300/sqft – would that include demolition?
furnishings? What would that number include?
A. Rebuild costs on Sanibel cost are currently ranging from $300-$500 per square foot. This does not
include furnishings or demolition.
Q. How long should the rebuild process take? I understand you are currently determining the amount of the
assessment going forward, as fixed costs continue, and variable costs diminish. From my admittedly limited
experience, I would think that if we rebuild, we could expect to have to pay for our assessments, even if
somewhat reduced, for at least two years before being able to enjoy the completed project.
A. It’s impossible to answer this question now with the limited information that we currently have. We are
not currently determining the amount of the assessment since we do not have enough information to do
so at this time. We will make this known to the owners as soon as possible.
12/21/22
Maintenance Fee Due Date Postponed
The Caribe Beach Resort Board of Directors wants to let you know that a decision has been
made to temporarily postpone the due date for the payment of the 2023 maintenance fees.
For various reasons, we have decided to move the due date for payment of maintenance fees
from January 1, 2023, to February 1, 2023. Owners will have until February 28, 2023, before
late fees are charged.
Likewise, owners have until February 1 to deed units back without being charged for 2023
maintenance fees. The board hopes this gives owners who may be thinking about deeding their
units back additional time to carefully reconsider their decision.
This also allows the board time to complete the revised 2023 budget and adjust maintenance
fees to the revised budget expenses. We anticipate that the 2023 revised budget review will
take place in mid-January. The exact date will be announced in advance of the meeting.
We appreciate owners’ continued patience as we continue to navigate through this challenging
period.
Best regards,
Caribe Board of Directors
Ray Edwards, Chair
Andy Longbreak
Chanel Gortaire
Debbie Schuiteman
Jonathan Mount
12/15/22
REMINDER: A zoom meeting will take place on Friday, December 16, 2022, at 10:00 Eastern Time
to discuss the vote on the Dissolution of the Association in response to major damage from
Hurricane Ian.
The link to the zoom meeting is: Join Zoom Meeting
https://us02web.zoom.us/j/89891879717?pwd=RzlvYnExTTdUKzQxRDNhT2RVMkEzQT09
Meeting ID: 898 9187 9717 Passcode: 049041
If you have not done so, please send your proxy vote on the above matter to Jamie at
manager@caribebeachresort.com as soon as possible. Also, please return your “Owner Profile” to Jamie
as well. Thank you.
A new Owner ID # was assigned by RAL, replacing the previous ID# from Kenoyer. If an owner wants the 4-
digit ID# please email Jamie at manager@caribebeachresort.com. Many owners are still using Kenoyer’s
6-digit code, which is no longer valid. Thank you.
Please note that USPS is not delivering any mail to zip code 33931 or Sanibel. Please send any
correspondence to the RAL office as listed on the mailings. All mail to 33931 and Sanibel is being routed
to Jet Loop and could take 2 to 3 weeks longer to receive Thank you.
If you have any feedback on how to improve this newsletter, please send your thoughts to
CaribeComeback@gmail.com. The next edition is scheduled for December 23rd. For inclusion in that
newsletter, please submit questions by Monday, December 19th. Thank you.
CaribeComeBack Newsletter Questions received by Jane Moe (37 total questions – categories have been
created and, in some cases, similar questions have been combined). Below are the questions that were
submitted by owners since the previous newsletter:
C a r i b e C o m e b a c k
N e w s l e t t e r
Questions surrounding the vote and proxy:
Q. How many owners do we have? How many weeks are sold? Unsold?
A. There are 1,326 weeks in total. All weeks have been sold, and there are no developer weeks. Currently
215 weeks are held by the association and the remainder are held by owners.
Q. Why does the proxy mention mortgage lien holders if there’s no mortgage?
A. The mortgage part is based on our documents and is taken directly from those. We don’t have any
open loans and therefore no debts to resolve.
Q. “Resolved debts” what debts?
A. We have no debts to resolve. This is simply template wording from our documents and does not
currently apply to the Caribe.
Q. I’d like to see a weekly count of the Yes and No votes being posted and emailed. It may be helpful to
know how many of us feel confident in Caribes future direction.
A. We will share the initial vote count at the meeting on December 16th at 10:00 AM EST and provide
regular updates as additional votes come in.
Questions surrounding insurance, determination of property, and building:
Q. When is FEMA ceasing debris collection on Sanibel? What happens if we are not able to remediate
before FEMA stops debris pick-up?
A. FEMA has not provided a final date for debris collection. When they cease removing debris and it
becomes our responsibility to do so that will be covered by our insurance.
Q. Insurance proceeds – How would this be distributed after all other debts resolved?
A. There are no debts to be resolved. How the insurance proceeds are distributed will be determined once
we know whether the association votes to move forward or dissolve. Assuming the association votes to
move forward any insurance funds will be used for construction restoration, rebuild, and repair.
Q. What is the current estimated cost per square foot to build on Sanibel? How many square feet (not
including the land or pool area) did we have before the Hurricane?
A. The Caribe buildings made up approximately 19,000 square feet before Hurricane Ian. The current
estimate of cost per square foot to build on Sanibel is over $300 per square foot.
Q. Is there any guarantee that the property can get insurance again, and at what costs?
A. We will be able to get insurance, but we know the costs will be going up, tied to Hurricane Ian. Exactly
how much the cost will increase is not yet known. It will also depend upon if we are required to build to
new hurricane codes, which could mitigate the insurance costs. We expect to get more information on
that soon.
Q. Why is it, we continue to see the remediation process of many other timeshares, yet we still sit in limbo?
I am not only referring to the larger corporate resorts. So much of our debris could be getting removed.
Why are we at a standstill?
A. As previously mentioned, our insurance company must give us the final determination of the property
before anything can be done. We do not want to spend money on remediation if the property needs to be
demolished. Based on our observations no small resorts are doing any more than Caribe is at this time.
Q. Condo Board Members are generally Insured for $1,000,000 each. If the Caribe Insurance is not
enough Insurance coverage to completely restore the property maybe their liability would make up the
difference that may be required by the owners keeping in mind repair, replacement, and inflation costs due
to limitations on our policy that was not upgraded?
A. As with many associations, board members are covered by an insurance policy. This low-cost coverage
is strictly for board member coverage and has no bearing on any other insurance claims.
Q. Can this be categorized as a Tax Loss?
A. It is best if you consult with your personal tax advisor on this question.
Q. Has it yet been determined that it is safe to proceed with clean out of the units.
A. No, we are delaying action on this until we receive a clearance from insurance carriers and Sanibel city
engineers. Moving ahead of these outside parties could have a detrimental effect on any final outcomes.
Q. To date, Has FEMA done their inspection?
A. No, a file has been opened but they have not yet come onto the Caribe property.
Questions surrounding maintenance fees & financial matters:
Q. Will there be adjustments to the 2023 maintenance fees for the line items that will not be needed such
as linen service, pool and spa service, Sunday changeover crew, lawn, utilities (electric, gas, water), etc.?
A. We are meeting in January to revise the budget, and although it is difficult to predict, we will provide our
best estimate of what our expenses will be for 2023. The revised budget expenses will reflect the
operating and other expenses for Caribe as we anticipate them to be in the coming year.
Q. There is mention of a $500 per owned week first installment. Where is that coming from? I must have
missed something.
A. We have changed the payment procedures to allow owners to pay a first-time fee of $500 in January. A
second payment will be determined after we have more information, and the revised budget is approved.
Q. How many unsold weeks are there and who owns them? RAL Resorts? If they do, will they disclose that?
If RAL resorts did purchase a bulk set of weeks from the previous owner, did they do this with financing?
Are they the mortgage lien holders that are referred to in the proxy?
A. No RAL has not purchased any weeks and has no ownership in the Caribe Resort. Also, there are
currently no lien holders. Furthermore, RAL has no intention of purchasing any weeks. Any weeks that are
not owner owned are strictly held by the association.
Q. Our week was the last week of October- will we be receiving reimbursement for that.
A. For owners who lost their weeks due to Ian, this is the same as other years in which owners lost weeks.
Hurricane Irma in 2017 caused Caribe to be closed for a few weeks and in 2020 Covid closed the resort
for even longer. Fees were still required to be paid during this period even if the week(s) were unavailable.
That is the situation now. So, in short, there will not be a reimbursement for unused weeks.
Q. How much did the fence cost – totals please including installation, taxes, etc.
A. The cost of the fence for a one-year lease is $12,637. This is half the price of a monthly lease. The
purpose of this fence is to provide safety and security for the Caribe site.
Q. How much have we paid the attorney so far.
A. Year-to-date we have paid $2,430.
Q. How much of the over $ 1,000,000 in the Caribe account is for reserves and how much is for operating
expenses?
A. Currently there is $574,643 in reserves and $475,250 in operating funds. The reserves, as governed
by the state of Florida, can only be used for the specific purposes as defined. According to the state of
Florida this includes “major maintenance, repair and replacement of items that are considered common
property.” It cannot be used for regular operating expenses.
Q. How did the Board arrive at the $500.00 week amount? Why not use the $200,000 insurance money
and the money ($1,000,000 in the Caribe account) until we know what is going to happen to the Caribe
before assessing us another ($650,000. $500.00 X 1300 weeks)
A. The $500 is for maintenance fees, not an assessment. This figure represents a good faith estimate by
the board regarding ongoing expenses incurred in operating the Caribe. This is done in accordance with
the budgeting process. The current budget was drafted and approved by the board prior to Hurricane Ian.
This established maintenance fees at various levels depending on the type of unit. For example, under this
budget, maintenance fees for an efficiency unit are $826.91 per week. With the changes brought about by
the hurricane, the board has decided to redo the 2023 budget. As with the original 2023 budget, a new
budget will be drafted, sent to owners, and reviewed and voted upon in a regularly scheduled board
meeting available to the public. Despite the devastation brought about by the hurricane, the association
still needs to cover ongoing expense items such as taxes, insurance, payroll, management, and necessary
utilities. Maintenance bills need to be sent in early December, so it was decided to establish an interim
amount of $500 prior to the approval of the revised budget. The balance of 2023 maintenance dues will
be determined with the approval of the revised 2023 budget.
Q. What are the mitigating circumstances that require a $500 payment upfront on 2023 HOA fees? How
was the $500 initial amount per week of ownership determined? Is this arbitrary?
A. See above
Q. What exactly are our bills in our current state? I’m looking for the specific dollar-by-dollar monthly
details of what we must pay to keep going.
A. More information on this will be shared at the revised budget meeting in January. We will have the
specifics after we have had a chance to establish a new budget.
Q. Is any part of this $500 funding the reserves?
A. The state of Florida requires us to fund reserves, so yes, a portion of the $500 will be set aside for
reserves.
Q. What is the timeframe for this $500 is expected to fund? Ray mentioned it for the first part of 2023,
but I’m unclear what that timeframe is.
A. The initial part of the maintenance fees is due January 1. It is considered past-due after January 31.
After January 31 a foreclosure process begins with late fees and interest applied.
Q. Within our Facebook owners only group we initiated a chat for owners to list their intent to deed back
weeks or purchase deed back weeks. Could we find a way to see this shared within the email to assist
other owners as well that are not on Facebook.
A. We cannot share email addresses with other owners but are happy to direct people to the Facebook
page if they want to utilize this chat room for buying or selling weeks. Please visit: https://www.facebook.com/groups/624463202692190 Please note that you will need your
owner id to join.
Q. Have maintenance bills been sent out? I was told by Stacy at RAL that they had not yet gone out.
According to Stacy they are only due by December 31st if you are giving up your units. Otherwise, it is Jan
31st. Is that true?
A. The goal is to send out these bills on December 13. We intended to send them sooner, but this was
delayed due to a programming issue that is now being resolved.
Q. Is there a 4 percent charge to use your credit card to pay maintenance fees?
A. Yes
Questions about documents and information requestions:
Q. On page 1 of the owner’s handbook, in the first paragraph of The Timeshare Plan Part A, what does the
year 2034 actually signify? Is it the year that our timeshare plan expires, and we would need to purchase
new plans or possibly Caribe would cease to be a timeshare resort?
A. We don’t currently have any information on this. We are obtaining a legal opinion for guidance.
Q. Where can I get a copy of the following documents?
➢ Management agreement: available by request to RAL
➢ Insurance policies: available by request to RAL
➢ Invoice from the fence company: available by request to RAL
➢ YTD general ledger detail (very easy to get from QuickBooks): available by request to RAL
➢ Resignation letter from Kenoyer: to be posted in the confidential Caribe owner’s site
➢ Contract with the Attorney: to be posted in the confidential Caribe owner’s site
Questions about the Board of Directors or Property Management
Q. In the latest newsletter there is mention of a new Board chairman. I didn’t see anything about this in
correspondence. Is this an internal move made by the Board based on their desire to increase to 5
members?
A. At the last Board of Directors meeting on November 17th, two additional members were added for a
total of five. Ray Edwards and Jonathon Mount were appointed to the two new openings. Ray was elected,
by the board, to be the new President. Your board now consists of Ray Edwards, President; Debbie
Schuiteman, Vice President; Chanel Gortaire – Treasurer/Secretary; Andy Longbrake and Jonathon Mount.
Three of these individuals (Chanel, Debbie, and Jonathon) will be up for re-election next November and the
others will be up in two years
Q, Does RAL manage the website or is this done by a third party? It seems to take a long time for things to
get updated or uploaded.
A. The website is designed by a third party, Integrity Providers. RAL can modify portions of the website.
Q. To date, please explain exactly what each member of our board has done to expedite the recovery
process of Caribe. I am referring to each individual member, not as a collective.
A. The board operates as a collective group for the benefit of the Caribe Beach Resort Association. Board
members are also tasked with certain individual responsibilities. These include: Ray Edwards, who chairs
the board, provides board and general leadership, and coordinates the owner communication process;
Debbie Schuiteman, who is vice president and coordinates ongoing operations interface with RAL; Andy
Longbrake, who is past president and provides general consultation on board activities; Chanel Gortaire,
who is secretary/treasurer and oversees financial operations and activities; and Jonathan Mount; who is a
director and provides engineering and building expertise as we seek to restore the Caribe.
Q. Who is responsible for dealing directly with our insurance adjuster, structural engineer etc. Is it a board
member or a RAL employee? When was the last email of correspondence sent or received to both
Insurance and Engineer and what does it read?
A. Maggie Hagar, RAL Vice President, Licensed Broker, and Community Association Manager, is the
primary contact dealing with the insurance company, adjusters, and other relevant parties. There is regular
and recurring correspondence with all these contacts.
Q. Who is the Structural Engineer specifically assigned to Caribe? Please include the most recent
correspondence.
A. Each insurer brings in their own engineering consultants and this can change throughout a claim.
Q. What issues (exactly) have been brought forward within the board outside of any public meeting that
required a vote? And was the vote passed?
A. There are no meetings of the board outside of the publicized ones, and no votes have occurred outside
of the scheduled meetings.
Q. Is the board at all concerned about the lack of faith and mistrust that owners are expressing?
A. We want everyone to have trust in the leadership team. We believe that trust comes through open
communication which we are trying to foster through such channels as this newsletter. However, we also
understand that it is not always possible to please everyone. Some owners have expressed natural
concerns and the board takes notice of these concerns; however, many other owners seem to understand
that the recovery process takes time and patience.
Q. How long is our contract with RAL for?
A. The contract with RAL is for two years and renews annually for three additional one-year terms.
Q. What staff are we still paying for?
A. All employees assigned to the Caribe remain on staff. This will be reviewed with the revised budget.
Q. Are any Caribe staff paid by RAL sitting home and still getting paid? Where is that $20,000 a month
going?
A. All staff that are being paid are still working. There are many matters still needing attention that
require staff, such mailings, insurance responses, escorting visitors on property, etc. This will be reviewed
with the upcoming re-budgeting process.
12/8/22
Hello Owners,
Resending this as some people had issues reading the previous version. If you are having issues reading this newsletter, it may be due to you trying to read it on your phone.
We are happy to report that we were able to pull the first of the newly revamped Caribe Newsletter together sooner than expected. We understand that some of the answers won’t be what you want to hear, but we are being as honest and accurate as possible with each response. As a reminder, all future questions should be sent to CaribeComeback@gmail.com. The next newsletter is scheduled for Dec 16th. Have a great week. Jane and the Caribe Leadership Team.
CaribeComeBack Newsletter Questions received by Jane Moe (60 total questions – categories have been created and, in some cases, similar questions have been combined)
Questions about the proxy process
Q. We need clarification on whether voting No will REQUIRE that we rebuild.
A. This vote is due to our condominium document requirements. It is not the final say on what
will be done. At any future time with an 80% vote from the ownership the association can decide
to dissolve and forgo any further rebuilding requirements.
Q. Is this upcoming vote binding? Do we have options after the rebuild costs are determined?
A. The vote is only for the immediate question to retain or dissolve the association. If the vote is
“No” – in other words to retain the association – there will be an option to forgo future building
costs by then dissolving the association in the future.
Q. I am completing my proxy form but do not see a place to indicate the number of weeks that
we own. How will our proxy account for the 10 votes we hold?
A. Proxy votes are determined by the number of weeks owned. This is automatically calculated
by RAL after the proxies are received.
Q. Before I vote to dissolve or not what is the chance the Outrigger will be rebuilt.
A. Assuming the Caribe will be rebuilt, the Outrigger will be rebuilt in some fashion for those
owners, but we can’t know what form that will take at this time due to the uncertainty of future
building requirements. Outrigger owners will be provided with a comparable ownership value to
what they had prior to Ian.
Q. We own a D week in the Spinnaker. We paid our maintenance, taxes and insurance for this
year and were not able to use the week we reserved for this year. We accept that this is part of
the risk of ownership at Caribe and knew that when we bought our week. Moving forward if the
Spinnaker is not rebuilt, would our ownership in Caribe still be valid on any level or at any other
resort within the RAL Group or would our deed just be voided?
A. Assuming the Caribe will be rebuilt, the Spinnaker will be rebuilt in some fashion for those
owners, but we can’t currently know what form that will take due to the uncertainty of future
building requirements. Spinnaker owners will be provided with a comparable ownership value to
they had prior to Ian.
Q. Will owners be able to deed back weeks at any time they decide the maintenance fee
investment without being able to vacation, is too great a personal sacrifice?
A. Yes, as long as your account is current and you are up-to-date on your maintenance fees.
Q. If we vote to rebuild then find out it is cost prohibitive will we be able to request another vote
to dissolve Caribe?
A. Yes, however it will still require an 80% affirmative vote of the owners to dissolve the
association.
Q. What does someone need to do if they decide to turn in their deed? With the future of Caribe
so uncertain, my elderly aunt & parents can’t afford to pay for vacations they are unable to take
for the foreseeable future. I am also considering this as an option.
A. A deed may be turned in by emailing RAL to request the required forms. No payment is
provided for any deeds that are forfeited. The title company will charge owners who turn in their
deeds a processing fee starting at $319.50 and up based on the complexities involved.
Q. I have some questions concerning the legal memo regarding the proxy vote and information
on the Board and Owners’ meeting on December 16:
Q. How many “total voting interests” are there in the Association?
A. 1,326
Q. How many “total voting interests” are owned by the Association?
A. Zero because ownership weeks held by the association are not voted.
Q. Is a “voting interest” equal to one week of ownership?
A. Yes
Q. Does a “timeshare estate” mean one week of ownership?
A. Yes, a trust has the same voting opportunity as any other ownership.
Q. Does the board of directors of the association have the right to vote any of the timeshare
weeks that are owned by the Association?
A. No, see above.
Q. Our current inclination is to deed back our units and walk away. Do these units currently
have any value that would result in anyone being interested in purchasing them or would
deeding back be a good option?
A. We are unable to give you specific advice on what you should do with your owned weeks.
However, there is a sales program and deed back option available.
Q. Where do we email our vote, instead of sending a proxy, for the next zoom meeting?
A. You can email your Limited Proxy to: manager@caribebeachresort.com
Q. If you’re voting for yourself, do you have to assign a proxy?
A. If you vote “Yes” or “No”, the proxy can’t do anything since it’s a limited proxy. So, if you list
a name and then vote, the named proxy will not have any authority.
Q. I’m confused about how to fill out the proxy vote. Also, why is it important to do this.
A. It is required by law that the owners vote to decide if the Caribe Beach Resort Association
should continue following the declaration by the board of major damage due to Hurricane
Ian. You can vote to dissolve the association, effectively ending the resort, by voting “YES”
on the proxy statement that is provided to you. You can vote to maintain the association and
continue operations while we search for other answers by voting “NO” on the proxy
statement. You should complete and return the proxy statement by mail or email. This is an
important decision because it determines the immediate future of the Caribe Beach Resort
Association. There will be other opportunities to decide the future of the Caribe as more
information, such as insurance reimbursement and building costs, become known. As the
Notice of Member Meeting states, a meeting is being held on December 16 during which we
will discuss this further. If you are unsure what to do you may wish to wait until after that
meeting to complete your proxy statement.
Questions surrounding insurance and determination of property:
Q. What is happening with the insurance assessment and why is this taking so long?
A. Adjustors have visited the property and their findings have been provided to their respective
desk agents who compile the estimate of damages. There are hundreds of claims taking place
and this has created a backlog with the few insurance companies that write these policies. We
are awaiting further information from our insurance companies.
Q. There was word that about $200,000 in insurance proceeds have already been received. Is
there any truth to that?
A. We received advances of slightly over $200,000 from flood insurance. These payments came
with specific usage requirements. We are currently requesting guidance on how we can apply
these funds. All insurance is going into an escrow account in the name of the association where
it is being held for future action.
Q. Are other complexes on Sanibel having the same problems, or is this unique to our complex
and leadership?
A. Yes, most associations are in the same situation as Caribe awaiting insurance results and
city guidance.
Q. What is happening at the Caribe site. Why aren’t things moving faster?
A. Everyone on Sanibel is currently overloaded with recovery efforts. Rebuilding efforts are
occurring as quickly as possible.
Q. Why is it taking so long to get information about building plans? Sanibel is being rebuilt and
some businesses are opening or announcing their plans to reopen, Caribe is still in the dark for
some reason? Why is there no information about insurance and whether Caribe can be repaired
or must be torn down?
A. Private businesses may have been self-insured. This provided them with greater latitude to
begin rebuilding efforts, but it also exposed them to greater losses by being uninsured.
Information is now being provided to owners on an accelerated pace within the framework of the
CaribeComeBack communication process.
Q. With your background and having seen pictures and videos of the Caribe, what is your
opinion of what will become of Caribe?
A. With time and dedicated effort Caribe has every opportunity to return to an active and
vibrant resort facility.
Q. What will be criteria not to demo the property and rebuild? It would be a total heart break to
lose the atmosphere of our quaint little resort.
A. It remains to be seen what the city and insurance carriers, as well as other requirements,
permit us to do. This information will be provided to owners as it becomes available.
Q. Since we are one of the oldest resorts, would it be a good idea to recommend historical value
and must be kept as close to the original?
A. It is unlikely that Caribe will be declared a historical landmark for a variety of reasons.
Q. Have we applied for a FEMA loan or grant?
A. FEMA is for individuals only and not for condominium association such as us. We have
applied for an SBA loan. We have been contacted by the SBA who conducted a general
interview. An inspector will be sent to survey the damages and present a report to their
underwriters. This process can take several months, and we are awaiting their decision.
Q. Just wondering if they saved our Caribe Sign?
A. Unfortunately, not. The sign was in a debris pile across the street from our property and
when we went by boat on Oct. 7th, we didn’t have the proper equipment to retrieve it and by the
time we were allowed back in late October that debris pile had been removed.
Questions surrounding maintenance fees & financial matters:
Q. Are maintenance fee bills being sent soon or wait until after the voting on December 16th?
A. Maintenance bills are being sent the week of December 5.
Q. Why do we have to pay the 2023 maintenance fees, when in fact there is nothing to maintain
at this point?
A. There are still ongoing costs for the association that continue even if the facility is
unoccupied. For example, insurance, management, city utilities (soon to be resumed), etc. Your
timeshare is real estate just like your house. If your house were to become uninhabitable, you
would still need to pay the insurance, property upkeep and real estate taxes on it. Those fees
need to be paid even though you can’t use your house.
Q. Any ballpark estimate on what the second portion of the maintenance fees may be? It could
make a difference for some owners.
A. At this time, it is impossible to know what total 2023 maintenance costs will be. This depends
on such factors as insurance renewal costs, insurance proceeds, rebuilding expenses, etc.
Q. I understand our maintenance fees may go up for 2023 but you’re talking about a first
assessment payment of $500. Is this toward our 2023 maintenance fee that was usually to be
paid in full or has it already been decided this $500 payment is the start of another amount
owners will owe.
A. The $500 payment is a first installment against the total 2023 maintenance fees which
include maintenance reserves and taxes.
Q. Will the reservation fees collected for 2023 be applied to the $500 we are expected to pay for
each week we own? I already paid $200 to reserve weeks in 2023 which will not be used.
A. Yes, this will be included automatically to reduce the $500 per week amount.
Q. Would it not be wise for us (as owners including the board) to wait for the vote on the future
of the Caribe before maintenance fees are required to be paid? This is in the best interest of all
the owners. We want to keep our slice of paradise in Southwest Florida!
A. Maintenance fees must be paid to continue ownership of the Caribe property. Failure to pay
ongoing expenses such as taxes and insurance would result in financial failure for the Caribe.
Q. So, if you own 10 weeks that is $5,000 dollars for the unknown future is that correct?
A. Yes, we’re afraid that is the case. Each owner must make this decision for themselves.
Q. Will people who lost their reservation due to Ian get reimbursed? What is going to happen to
those of us who were not able to use our weeks because of Ian?
A. For owners who lost their weeks due to Ian, this is the same as other years in which owners
lost weeks. Hurricane Irma in 2017 caused Caribe to be closed for a few weeks and in 2020
Covid closed the resort for even longer. Fees were still required to be paid during this period
even if the week(s) were unavailable. That is the situation now.
Q. If we pay the $500 partial maintenance fee in January and then all of sudden January 31st
(just a hypothetical date), it is voted to dissolve or go bankrupt, then what will happen to the
money. I understand that if it is dissolved and sold, we should get a portion of that back if not all
of it but if RAL files bankruptcy on behalf of the Caribe, the owners lose out on all the money
that was just paid less than a month before.
A. It is unlikely that the association would be dissolved without warning. In the unlikely event
that the association declared bankruptcy, Florida state laws would govern the distribution of
assets.
Q. Are there other ways to make the maintenance payments? For example, how about $100 a
month until we know what the outcome will be? That way it will be some income for Caribe and
manageable for owners who have many questions yet to be answered.
A. While various options were considered, the way maintenance fees are currently being
administered was determined by the board to be the best approach.
Q. Here’s some information I would like to request (ideally posted on the RAL website):
Management agreement with RAL Yes, that will be posted.
Q. Resignation letter from Kenoyer; is there any possibility we could have some recourse
due to their sudden resignation? The prior relationship with Kenoyer is not a priority at
this time.
Q. Insurance policies Yes, that will be posted.
Q. Detailed financial reports Yes, the balance sheet and income statements will be posted.
Totals in the reserve (balance sheet accounts) at 2/28/22 were $549,088 as of 10/31/22
$426,991. On the current 2023 Approved Reserves Schedule, it doesn’t indicate that
any items were replaced in 2022. I think the owners should know what the $122,000 was
used for. I don’t see anything in the published board meeting minutes approving any
major expenditures, except 18k for new murphy bed mattresses. However, according to
the 2023 reserves schedule, there should be five years left before they need to be
replaced.
Q. Various deferred maintenance items, e.g., kitchen items, unit furniture, beach chairs,
pool equipment, hot water heater, stoves, dishwashers, stackable clothing washers and
dryers etc. were all purchased since RAL became the management company. Major
purchases must be approved by the board in open meetings and will be reflected in the
board minutes.
Q. As of 10/31/2022, there is over $1,000,000 in Caribe bank accounts. Why the scare
tactics regarding running out of money. Besides Management fees and payroll (about
$30K, month), what would we need the cash for? This really needs to be justified. The
proposed $500 maintenance is $75% of full operation for the efficiency owners.
Money that is in reserve accounts can only be used for reserve items and is not
available for operating expenses. For example, money in tax accounts can only be used
for taxes. The state requires annual funding to the reserve accounts. Other funds will be
managed by the board as part of the ongoing expense review process. This will all be
discussed in detail at the upcoming re-budget review currently anticipated to take place
in January.
Q. We are being charged by RAL the same Payroll and Taxes/Insurance amount every
month $20,155 for wages and $4,066.92. Is this part of the management agreement?
How much longer will we be expected to pay a full staff when no work can be done?
Labor costs are not part of the management agreement. Property staffing decisions are
made by the board.
Q. We were told more than a month ago that the attorney that we hired would be setting up
the required Insurance trust. Do we have an update yet?
A. Any insurance trust will have to be legally established and that has yet to be done.
Further consultation with our attorney is necessary before making this decision.
Q. Who has the check books?
A. RAL maintains the spending accounts and an annual audit is performed by an outside
public accounting firm that reports their findings to the board and the state of Florida.
Q. Is there a mortgage on the Caribe?
A. No, there is not.
Questions surrounding Property Management, Board of Directors, etc.:
Q. How do we know that board members and RAL are acting ethically?
A. The board takes issues of ethical conduct very seriously. Accusations of illegal or unethical
conduct on the part of any board member, RAL employee, or other individual operating on
behalf of the Caribe or the owners should be reported directly to Ray Edwards, the chairman of
the Caribe Owner’s Association Board of Directors. Such reports should be accompanied by
specific evidence to support such a claim. All such reports will be fully investigated either by the
chairman or a designated outside party.
Questions about the communication process:
Q. I’m encouraged that we’re putting a process in place for answers. But answers to some of
our questions will take a longer determination. So, is it clear that just because our questions go
in, they will be answered in the next weekly update?
A. We’re doing our best to answer each question as they come in. Additionally, we will hold
periodic town hall meetings with owners to allow open discussion.
Q. Do any of the owners have any information about the points values associated with this time
share?
A. Point values are directly linked to the exchange company that the owner belongs to. AT
THIS TIME ALL EXCHANGE COMPANIES HAVE BLOCKED RESORTS AFFECTED BY THE
HURRICANE.
Q. What is happening with the communication process for owners? How is this being handled?
A. A robust communication has been created to keep owners fully informed. Owner Jane Moe
has created the weekly CaribeComeBack newsletter to provide a timely response to owners’
questions. The chairman of the board of directors also intends to hold monthly town hall
meetings to hear concerns and answer questions that owners may have.
Q. Transparency is important when we have many owners and while the Board stated their
reasoning for appointing the new chair, we still have no more information than what we had
weeks ago?
A. It is understood that it takes time to build trust, just as it takes time to put systems in place to
obtain answers. Stay tuned, hear what we say, and, most importantly, watch what we do.
12/2/22
“Notice of Member Meeting” and your “Limited Proxy.” We will be mailing the “Voting Materials” today via USPS.
For your convenience you can complete the attached “Limited Proxy” and email to: manager@caribebeachresort.com
Please use one method of returning the “Limited Proxy.” If you have any questions, please email me at: manager@caribebeachresort.com
We are currently working at RAL Resort Property Management, Inc., office. We do not have phone service on Sanibel and are unable to retrieve any messages that may have been left on voice mail.
Have a Great Weekend….
Thanks,
Jamie