that the towns would do what it had to do (beach replenishment, etc.) to prevent it from happening. 

At that point you will need to either A. wait on your liquid reserves to replenish before buying another property or B. figure out a new source of funding.

Seems to me the loan proceeds were to replenish the clearly business purpose purchase money, thus a business purpose loan, regardless how the actual dollars were used, as long as the loan amount was for the same or less than the original purchase price of the rehab property. 

What is the time period to replenish the IRA funds?

I met the owners, and reviewed the deed history (and tried to buy it as a pre foreclosure, not enough time)-no known surprises.As well, I saw a manufactured home go across the auction block and did similar research and just picked it up for about $3200, with the intent to fix and flip, and pay to fix up the house next door, or replenish some savings.  

It always takes so long to replenish cash.Fast forward to the last 2 years I have been able to purchase 20 units. 

To do that, I'm aiming to buy, rehab, rent, refinance and get ALL the cash out that I put in AND get it to cash flow positively.In my cash flow calculation I use:75% LTV (ideally replenishing all the cash I've invested)30yr note @ 4% (though I've heard some investors getting as low as 3.7% lately)Vacancy 5%Repairs 5%CapEx 5%Property Management 10%It's true that if you cut back on some of these or manage it yourself that it's going to look better but you're just raising your risk and I prefer to stay on the conservative side.

One thing will be a yearly toy fund that can be spent freely over the year and replenished once a year.

All profits & losses to be split evenly, 50%Opening a separate bank account for the LLC to receive rents inAll Cash flow will be put into a reserve account until the reserve amount is met, then distributions will occur (haven't decided on frequency).Any time money from the reserve account is used it will need to be replenished before distributions kick in againIn doing some searching on the forums I came across a few ideas I think are good:Setting a purchase cut off amount for a member to transact business up to a certain dollar amount (say $500.00) without consent of all members.How things will be handled if either of us passes away, gets married/divorced, or wants out of the partnership etc.I'm sure there are things that I'm missing that are super important and thoughtful to have in the OA.

If you are going to pull the cash so you can go to Barbados, probably not a good use of capital from a strictly financial point of view, but if you are using it to replenish your reserves or (even better) buy more property, thumbs up!