KPOG

 

 

Kiawah Island Property Owners Group

Chapters

 

KPOG History

A History of the Kiawah Property Owners Group from 1981-1995
written by Thomas U. Greer

FROM HOG TO KPOG - AN HISTORICAL REVIEW

Chapter 8

 

In the last installment we left you just after the December, 1992, town election in which Lib Melvin became mayor. At the KRG quarterly meeting held on December 8, President Buchanan announced the membership had approved a name change for the organization. Since almost 80% of the membership were non-resident property owners, the name was changed from Kiawah Residents Group (KRG) to Kiawah Property Owners Group (KPOG), a more representative title. It remains KPOG to this day. At the same time, it was decided there would only be one class of membership for all property owner, whether they owned a lot or a dwelling.

 

Also at the December meeting, Wally DuBois gave a report on the latest request for a utility rate increase, the initiation of which was covered in part 6 of this series. The Kiawah Island Utility (KIU), a wholly-owned subsidiary of KRA, had announced early in the summer of ’92 its intent to apply to the SC Public Service Commission (PSC) for the increase. (The last increase had come in 1990). KPOG formed a volunteer committee consisting of Wally DuBois, Dick Sayers, KRG President Bruce Buchanan and Kiawah Mayor Tom Nelson. This committee met several times with KIU and KRA officials (who are essentially one and the same) in hopes they could reach common ground. When the committee members determined they had significant objections to what KRA was proposing, they announced KPOG’s intention to intervene with the PSC.

 

Two hearings were held in front of the PSC in November. At the first, three members of the KPOG committee testified. At the second hearing, KRA submitted rebuttal information, and Townsend Clarkson (President of the utility, KRA’s chief operating officer, and president of KICA) was cross-examined by the lawyer hired by KPOG. The PSC made its decision on December 15, 1992. It granted approximately 75% of the dollar total KRA was seeking, but the PSC also recognized the majority of the items to which the KPOG committee had taken exception (which are summarized below).

 

KPOG’s role in this exercise was significant. Not only did it form the committee and hire a utility-wise lawyer to represent KPOG before the PSC, but Kiawah Island Talk kept the membership informed of progress in the request. When KRA objected to some of what appeared in the paper, Talk published a lengthy letter by Townsend Clarkson giving the utility’s perspective on the issues and emphasizing that the utility, even with the increase approved by the PSC, was charging 13% less than Seabrook, which uses the same water source as Kiawah.

 

In the February ’93 issue of Talk, Wally DuBois responded to the Clarkson letter and summed up the positive results of the KPOG intervention. The committee had convinced the PSC that $900,000 of unidentified assets transferred from KRA to KIU should not be allowed as part of the rate base, and portions of the related interest should also not be allowed. It convinced the PSC that much of the cost of the Ocean Course Drive water and sewer lines should not be allowed until a sufficient customer base using those lines had been developed. (Those long lines were laid all the way to the Ocean Course and resulted in a large charge to the utility even though there were very few lots for sale to potential users of this system.)

 

The committee also convinced the PSC that the management services fee formula resulted in an excessive charge which should be reduced. (The Executive Committee of the utility is composed of all of the KRA principals. Some KRA employees contributed services which also went into a so-called management fee. When the KPOG committee investigated, they found this management services fee charged KIU by KRA had increased 310% over a year period, going from $36,000 to $148,000, even though the number of KIU employees to be managed had only increased from 11 to 12. Perhaps the greatest contribution of the committee, however, was to serve notice that KPOG was closely monitoring the actions of KIU for the protection of property owners. The detailed information gained by the committee through this intervention will serve KPOG in good stead in all future dealings with KIU. When it came time to express citizen concern to the PSC over the proposed rate increase, KPOG members sent about 75 letters to the PSC in support of the KPOG committee position.

 

Kiawah Island Talk continued its mission of keeping its readers informed. Every issue reported on KICA and town activities. Bob Zeller, Kiawah’s representative to the Johns Island Committee, began to write periodic reports for Talk on the activities of that organization. A detailed report on how the town had allocated its accommodation tax monies for 1993 was contained in one issue.  Another covered the Architectural Review Board (ARB), including its purposes and procedures and answering frequently asked questions about the ARB. Bob Cowgill wrote several articles on the history of the Loggerhead turtle program, a project dear to so many Kiawah property owners. All the regular local news of golf, tennis and POPS activities was reported, and the monthly calendar of published activities remained a popular feature.

 

The KPOG annual meeting for 1993 was held on February 22 and marked the 12th anniversary of the organization, as well as the end of the Bruce Buchanan regime. As Bruce reviewed his two years as president, it became obvious what an eventful and productive period it had been. In forming the "Past Presidents" Committee to review and update the association’s bylaws, Bruce insured the organization would continue to be relevant to the needs and desires of its members. (Changing the name from KRG to KPOG came out of this.)

 

KPOG was required to fulfill its primary watchdog role by providing legal assistance when KICA property owner directors were sued by KRA and when it was necessary to intervene in the utility rate increase. These efforts had so reduced the treasury war chest that an increase in the annual dues to $25 was necessary for 1993. (Over the years the dues ranged from a high of $40/year in 1986-87 to a low of $15/year in 1991-92. The boards asked for increases only when funds were needed.)

 

Buchanan’s regime initiated the Research Committee and the Friendship Committee. This latter committee, formed in October of ’92, was an attempt to be helpful to those on Kiawah who need assistance in such things as getting groceries, cooking meals, making bank deposits or getting to a doctor’s appointment. Mary Coughlin coordinated the activities of the committee, which had 30 volunteers to assist. Membership in KPOG had climbed to 1,081.

 

A new KPOG board was elected at this annual meeting. Fred Peck became president; Nic LaLumia, vice president; John Brislin became assistant vice-president and new head of the Research Committee; Wally Munro, treasurer; Fran Maguire, secretary; Wendy Kulick, assistant secretary; and Rita Moran and Bill Cantees became the new board directors. Bob McBrier was thanked for auditing the association books, a function he had done on a volunteer basis for a number of years.

 

Director Bill Cantees reported on his progress in putting out the latest issue of the island telephone book. Dick Sayers, in his report on KICA matters, told of the formation of a new project started under the leadership of George Intemann, to provide a recreation center at the site of the property owners pool. Mayor Lib Melvin reported on town activities, to include the first meeting of the newly established Town of Kiawah Island Planning Commission headed by Charlie Lipuma (members were Fran Maguire, Elmer Shumaker, Charles Unglesby and Kurt Wassen), and the equally new Zoning Board of Adjustment, chaired by Margie Brislin. (Members were Nancy Aust, Bob Gallagher, Bill Monteith and Chuck Pollis).

 

Bruce Buchanan, in his remarks, made note of the fact that three of the four newly-elected members of the town council were outgoing KPOG officers/board members. Remarks made both publicly and privately at the meeting clearly indicated Bruce Buchanan had led KPOG through a very difficult period in a truly outstanding manner.

 

The March, 1993, issue of Talk contained an editorial which addressed the end of an era for Talk. Ralph Magnotti, with the help of his wife Barbara, had been primarily responsible for converting the paper from its quarterly distribution as Overview into the monthly publication, Kiawah Island Talk. Ralph and Barbara had been responsible for eighteen issues of the paper.

 

With his election to the town council, Ralph felt there might be a conflict of interest, so he was giving up his association with Talk. We all owe him a great deal for turning Talk into such a valuable asset. As the editorial said, "Ralph conscientiously strives to present opposing viewpoints, setting forth facts and letting the reader make his own decisions. He has a strong sense of fair play, which has been the guiding philosophy for the paper." Ralph turned Talk over to Laura Pulleyn, who had been managing editor for the previous 7 issues. Laura never skipped a beat in continuing the tradition Ralph had started.

 

Talk’s March issue also reported that the town announced at its March 2, 1993, council meeting that it had hired the law firm of Freilich, Leitner and Carlisle to perform a "Kiawah Island Community Assessment." Not long after the town hired their law firm, KRA announced they had hired Robinson and Cole, a Massachusetts land use law firm to "assist the Kiawah Island Town Council in its recently announced, ambitious program." (That’s rather like Steve Forbes wanting to help Bob Dole in the Republican primaries.) No one appreciated the significance of this action at the time, but out of it grew a complete comprehensive plan for the town (a state requirement), new zoning regulations for Kiawah, and a transition plan for passing control of KICA from KRA to property owners.

 

The final portions of all of this were accomplished by the signing of a development agreement between the town and KRA almost a year and a half after the above announcement (September, 1994). Between this start and the signed agreement, many controversial issues surfaced between KRA and the town. Talk followed the project closely and reported those parts which were made public.

 

Talk also carefully reported the activities of KICA during these first months of 1993. Pressure was on KRA to clean up Bufflehead lagoon (which was eventually accomplished). KICA property owner directors complained about the conflict of interest in having KRA’s lawyer as KICA’s lawyer—to no avail. KRA directors on the KICA board wrote a brief article for the KICA newsletter on the lawsuit they brought against the property owner directors and failed to show it to them prior to publication. The three property owner directors called it inaccurate and were incensed.

 

The causeway leading to Captain Maynard’s Island became the center of a significant controversy involving KRA, KICA, the town and KPOG, resulting in a public hearing by the SC Coastal Council. To get to the six lots platted on Captain Maynard’s Island required building an entry road along a 2000 foot long, narrow causeway running between the Kiawah River and a tidal marsh. KRA wanted to put in a 16 foot wide roadway which would then be turned over (with all of its potential maintenance problems) to KICA to maintain.

 

The town and KICA property owner directors wanted a 12 foot wide (private) driveway, which would mean the owners of the six lots would have to maintain the entryway instead of KICA. Bruce Buchanan, then KPOG president, testified at the SC Coastal Council hearing in favor of the driveway concept. The Coastal Council granted KRA’s request, since only a minimum amount of marsh had to be filled to build the 16 foot roadway. As time passed, this matter became a non-problem when KRA’s Buddy Darby purchased Captain Maynard’s Island in its entirety for his personal use, and decided he wanted the causeway would be a private driveway when he was ready to develop the area.

 

At the March 20th KICA annual meeting, Laura Pulleyn, running unopposed, was elected to the KICA board to replace Dick Sayers. In preparing the draft of the KICA newsletter reporting on the meeting, KRA directors omitted several meaningful comments made by property owner directors, deeming them inappropriate. Property owner directors took exception to this and indicated they would exercise their right to submit a minority opinion to the newsletter, which KRA board members agreed to. When the minority opinion was submitted, the KRA directors privately decided against publishing it. Instead they went back and inserted some of the omitted statements and sent the newsletter out without first showing it to the property owner directors.

 

While this matter was being debated within KICA, Talk in its April, 1993, edition printed all of the omitted property owner director comments. This tendency of the KRA majority to censor the property-owner-director minority was to surface again following the 1995 annual meeting. Interestingly, some of the omitted comments were made by property owner director Tom Winkleman concerning efforts to alleviate the garbage problem caused primarily by renters. KICA never did solve that problem, although it addressed it several times. (Now, in 1996, the town has solved the problem, but not all property owners concur in the solution.)

 

Also in the April issues, newly-elected KPOG President Fred Peck wrote an article I which he lauded the efforts of the outgoing Buchanan regime, and stated his regime’s philosophy—"clearly our mandate is to watch out for your interest and to let you know what is happening on Kiawah." He asked the membership to let his board know their concerns and reminded them, "The organization and paper are free of developer control and therefore it isn’t necessary to candy-coat or bury topics that can affect you at Kiawah."

 

The May 1993 issue of Talk, reporting on the latest town council meeting, pointed out that the St. Johns Fire Department stated a need for a second fire station on Kiawah and was making plans toward that end. [author’s note: At this writing, almost three years later, the second fire station has yet to become a reality. KRA has given land for the station near the eastern intersection of Flyway and Governor’s Drive and the town has approved the location. The fire department has most of the required funds in hand, but ground has not been broken. This gives the reader some perspective on how long these things take.]

 

Back to Top

 

   
 

Other About KPOG Topics: