In 1965, our parents and grandparents, the children of Byrd and A Payne, formed the Payne Company to own and maintain the family homestead at Lone Mountain. In 2009, the Payne Company formed Club Payne to accomplish that task among a growing and widely dispersed Payne Family.  In early 2017 the 2009 Club Payne Bylaws were significantly revised.

Membership in Club Payne is the only way to have a voice in its affairs and to have an ownership stake in the property, and only direct descendants of Byrd and A Payne are eligible to join Club Payne.

There are now five generations of Paynes who still have the right to maintain a stake in the old homestead.  Some still stay the house often.  Some stay only occasionally.  Some don’t know if they will ever visit, but hope to someday.  Some are not interested in staying at the house at all, but like to visit the area and keep the house available for gatherings.  Some are not interested in going to Lone Mountain at all, but are still happy to contribute to keeping the house as part of their family heritage; and, as time goes by, others, who fully support the idea that others in the family want to keep the house, are no longer interested in the affairs of the LMH themselves.  This divergence in interest in the LMH is perfectly natural, and this is what the recent changes in the Bylaws were meant to address.

Club Payne Bylaws Revised 01.20.2017-1

The Bylaw Revision sought to correct the following problems:

Fundraising

Members who donated more did not receive any additional benefits:

The single most important change is that the amount of benefit any Member gets from donating to Club Payne, is directly tied to the amount of financial support they provide.  In the past, membership was set at a certain level (usually $150) and rights and ownership was equal among all Members based on their number of Member Years.  The problem was that these dues never raised enough money to meet expenses, and those who stepped in financially to cover the gap did not receive any additional benefit from doing so.  In other words, there was really no incentive to give more than $150.  Our new bylaws track every penny donated to the LMH since 2009, and ownership interest (also called Dissolution Rights) is directly proportional to the amount donated.  This change will not only properly reward those who step in on behalf of the LMH, but will also result in the ownership being concentrated among those who care the most about it.

Dues were too high and never covered expenses:

Another change came due to the fact that not every family Member, especially the younger ones, could afford, or would want to afford, the full $150.  Additionally, there was no Member Benefit to be had by contributing lower amounts, which, added together, go a big way in maintaining the house.  Now, the initial dues to join Club Payne is $25, with greater donations bringing greater benefits.

No real incentive to maintain membership each year:

Whereas ownership is tied to cumulative total contributions since 2009, the rights of membership – voting or holding office – is based on donations in the current member year only.  Anyone who pays $25 in 2017, for instance, will be a Club Payne Member with one vote and the right to hold office in 2017.  A higher donation increases voting power: $25 = 1 vote, $100 = 4 votes, $500 = 20 votes.  No one, however, will be able to have more than 20 votes, i.e. a donation of $800 will still = 20 votes.  Voting power expires at the end of each member year, and must be reacquired through membership the following year.

Club Payne is basically Board run, and Member votes are rare (though Members can call their own vote and overrule Board action at any time).  The fact is, however, that the very most critical issues – the Rights of Members and the sale of all or part of the Lone Mountain property, must be a Member vote;  so, voting power can be critical for anyone who wants to have a voice in the future of the LMH.

A huge incentive for keeping an active membership every year, is the right to transfer ownership interest to other members.  Previously, if a member died, all their ownership interest was lost.  Under a new provision, those current members who have been members for ten consecutive years, can transfer all or part of their ownership value to any other family member who has themselves been a member for 5 consecutive years.  This should give the most loyal members an opportunity to direct future ownership to those whom they deem most deserving.

Different levels of Membership:

When Club Payne was established it owned 88% of the property with 12% owned by other family members.  This was mainly due to differences of opinion about certain aspects of the Bylaws.  The minority owners were rightly barred from earning ownership through the Club, but were also prevented from donating, voting or serving in any elective office of Club Payne.  The new Bylaws have only one Membership level, and allow any Payne descendant to join, vote and hold office.  It is hoped that this will bring everyone together and eventually result in 100% ownership of the LMH by Club Payne.  If, however, the LM property is ever sold, Club Members who hold ownership outside of Club Payne will not receive proceeds of any sale via Club Payne.

No Member Meetings:

Though the 2009 Bylaws and Tennessee Code require an annual Member Meeting, this has never been done.  The new Bylaws require the annual meeting and current officers hope to make that part of an enjoyable family gathering one weekend each year.  Sort of a mini-Reunion for Club Payne Members.

Difficulty in running Club Payne:

The 2009 Bylaws solved the need for stronger, more official organization of the family in running the LMH.  Many of the structures put in place did not work as hoped.  The main reason is that it presented too many difficulties for a small group of volunteers to implement.  In short, it was just too hard for officers; thus, too many things did not get done well.  For instance, elections were supposed to be held annually.  This revision calls for 5 year terms for Directors and Officers, with the current members serving until an election in 2020.  Though a Membership Drive must be held each year, it is a very time consuming process for those who actually solicit funds.  The bylaws streamline many processes and clearly delineate the responsibilities of each officer, which should make the jobs of each of these volunteers easier, and make assuming an office less daunting for others.

One More Thing…

Not specifically covered in the Bylaws, but with the streamlining of officer duties in mind, the current officers plan to start encouraging members to not only join in 2017, but also make a pledge they can afford for the coming years.  PLEASE, if you can make a pledge to Club Payne that you think you can afford going forward.  That will make collecting donations infinitely easier for your cousins who voluntarily assume those responsibilities.

Please use the following links to help us by joining Club Payne this year, making a pledge for the future!

LINK FOR JOINING IN 2017                   LINK FOR MAKING ANNUAL PLEDGE