A14. Or it's considered stepping on toes to appoint someone out of the blue. Occasionally when the condo needs to fill a board position, most owners are unwilling to serve and carry out the responsibilities. The annual meeting should occur once per year on the date specified in your association’s governing documents. This is in contrast to a traditional board meeting where the members of the board meet to conduct their normal business. "I have that situation with a condo now. Read on to learn more about the role of the HOA board president. For example, an owner may decide to cast two votes for Jimmy and one vote for Molly. Calculating the number of weighted votes that each candidate received may be a bit confusing at first. This board can say they're making this appointment temporarily until the next election. Both are elected to the board; first place or second place makes no difference. How can you determine if cumulative voting is allowed? Q2. Condominium Association Annual budgets Your annual budget calculates the total amount of assessment payments required to support the association’s expenses and savings. 1. In every sense, the association president serves as the face of the operation. This means that the sales contract between the buyer and seller may specify that the seller will retain all condo rights (voting, etc) until the title has been transferred. This is by no means a complete list of questions, but it should provide anyone with a good understanding of how this process should work. The board of directors must ensure the corporation is run in compliance with the Condominium Act. According to the IL Condominium Property Act the buyer can vote and participate on the board as long as 1) he or she resides in the unit, and 2) the sales contract does not prohibit this. I will now mark down “+23” next to Stan’s name. In the realm of condo association elections, a proxy is a form that allows unit owners that are unable to attend the annual election meeting to send another trusted person to vote in their place. It may be a good idea to post a notice in a common area of the property in addition to the mailed notices, but the posting itself only meets the requirement of proper notification for normal board meetings. How do we determine the number of board members that we should have? Others use 2-year terms with staggered start dates. If cumulative voting is not allowed, each owner must cast a single vote for three different candidates. Each officer has specific duties and responsibilities related to the operation of the association. (Bob and Stan), Ballot 1: Unit 5, Vote = Stan Or maybe you have to throw out a bum officer. . "Florida statute says that when there's a vacancy on a board, the majority of the board may appoint someone or the community can do an election," according to Stivelman. … If I am responsible for calculating the winner then I will have a stack of completed ballots in front of me. This will be defined in your association’s governing documents. For instance, if the board has three open positions, each unit owner has three votes. A1-E. No. If you have a question you need answered, post it on the message board. None of the other board members would accept the treasurer's position, and our president now has a dual role. What happens if the board does not follow one or more of these rules? Ballot 4: Unit 3, Vote = Bob Let’s first define what an installment contract is. At what meeting does the election of board members occur? We would advise the board to scan the ballots into a digital format where they can be easier stored in an organized fashion for years. Here is the language from the IL Condominium Property Act: ..written notice of any membership meeting shall be mailed or delivered giving members no less than 10 and no more than 30 days notice of the time, place and purpose of such meeting; Q1-D.  Must notices be sent via certified mail with tracking? Q: My condominium association has a 5 member board of directors. I will now mark down “+18” next to Bob’s name. The number of winners is determined by the number of open board positions. It only takes a single owner to raise the issue and the Board will be faced with a serious problem. For meetings of the members (The annual meeting included) specific mailed notices are required. The proxy form will allow an owner that is unable to attend the annual meeting to document his or her selections and have another person attend the meeting in their place. Our experts differ somewhat on what it means when a position is called an interim one. In all likelihood the association would need to re-perform the entire process and hold new elections. The owner of each unit has a single vote for each open board position. Thankfully there is no requirement to track the notices being mailed. Can this person be on the board? If there are more than one owner of a unit can both of them be on the board at the same time? To help visualize this approach we will use a simple example. A17. It’s well worth it for a busy exec to … For Ballot #2, we find that Unit 6 carries a vote worth 23 points. A15. At what meeting does the election of board members occur? Upon learning of the vacancy, I … You must have at least 3 board members; a President, Secretary and Treasurer. The most valuable feedback about our service comes from active board members. A1-G. "You're always an interim officer because these positions are temporary in nature, usually for one year, and then the board revotes on the positions. That stated, we believe that this is an important step since there is typically a low turnout at most meetings. But it's still a placement. Don’t get too comfortable! If a candidate requests a list of all owners so that he or she can lobby for their votes, must the Board provide this information? The form of administration of the association shall be described indicating the title of the officers and board of administration and specifying the powers, duties, manner of selection and removal, and compensation, if any, of officers and boards. "Do we need to assign one of our current members as interim president and interim vice president to be legal? This depends on how elections have been handled in the past. Traditional US Postal mail will meet the requirement. Although condo owners are responsible for repairs within their … When counting votes I find it easiest to turn each owner’s vote into “points” based upon their percentage of ownership. Purchase of a home or lot often brings with it mandatory membership in an association which then provides the structure for operation and management of the residential development. Email: [email protected] If it would cause angst to fill them, then don't. (K.S., via e-mail) A: Unless prohibited by the condominium documents, yes. When the contract is signed the buyer immediately takes possession of the condo and can move in, but the seller retains legal title to the property until the buyer pays the full purchase price. Unless the association is using secret ballots (reviewed in the next question) a typical ballot will require the owner to provide their name, unit information (to determine percentage of ownership) and their vote(s). All Rights Reserved. The IL Condominium Property Act states that for a proxy form to be valid, it must be signed and dated. Cumulative voting refers to the ability of a unit owner to “pool” his or her votes together when casting their votes. Q5. As part of their responsibilities, directors must: 1. track your condominium’s financial performance. Learn about our Fire Extinguisher Maintenance Services. Your good faith is not enough. A5. Good officers help the board conduct board business. A1. It is important that board members have a strong sense of decorum, as they are privy to sensitive information about residents and financial matters. Another owner may elect to cast all three of his votes for Jimmy. That stated, in our experience most associations in Chicago do allow voting via proxy. Recently, one of the directors resigned, creating a vacancy. What Does the HOA Board President Do? If there are multiple owners of a unit, how do they vote? This decision will affect the options available related to proxies, which will be reviewed later in this document. The position of a condo board president is not for everyone; the responsibilities and accountability are immense, but fortunately, a president has a condo board for support. The ballots must include the names of all candidates. Serving on a homeowners association board of directors is a thankless job that often fails to receive the recognition it rightfully deserves. This means that after the candidates are known, the ballots must be mailed out quickly so that too much time does not pass. Robert’s Rules details what you need to know. The board of directors for your condominium association must be elected by the process prescribed in Chapter 718, Florida Statutes, and Rule 61B-23.0021, Florida Administrative Code, unless your association has 10 or fewer units and Other […] That is the flexibility provided through cumulative voting. Q16. 2. Executives, whether currently employed or engaged in a job search, can benefit from becoming a member of the board. I will now mark down “+8” next to Bob’s name. Is the use of a proxy always allowed? A board member can combine two functions. Feel free to email me with any questions that you may have. No problem. "In that case, board members would step up to be whatever officers. Lastly, the rule must allow any candidates with the right to be present at the counting of ballots. Condo/HOA Board Interim Positions, . (Essentially any owner that is eligible and willing to be on the board can raise their hand and becoming a candidate) These candidates are then written on the ballots so that owners can cast their votes. You should mail notices to the most current address that you have on file for the owner. Condo/HOA Board Interim Positions, Explained March 2020. (via a proxy) The upside of this approach is that it takes a minimum amount of coordination. Site Disclaimer. Q1-E. Can emails be sent as a replacement for mailed notices? To achieve this the board must notify all unit owners and give them no less than 21 days’ written notice of the deadline for submitting their name if they wish to be included on the ballot as a candidate. Yes. This means that if the owner was a candidate then he or she must be allowed to be present when the ballots are counted. A18. What is cumulative voting? (Unit owners are also allowed to attend normal board meetings). The Rules for Appointing Members to Your HOA Board of Directors; What to Consider When You Appoint a New HOA Director; 4 Tips; HOA Leadership Roles and Duties: A Guide to the Positions of President, Vice President, Secretary, Treasurer, and Board Member in Condo … If there are three open positions, each owner has three votes. A21. This board has several options, depending on its state law and its own documents. Cannot be bankrupt. Here, our experts explain interim positions and how this board might move forward. No. As always, if you have questions that were not answered please feel free to email us at [email protected]. Stan is the winner since he received the highest total number of points, albeit from only two unit owners. The IL Condominium Property Act does not make any requirements related to notifying unit owners about election results. This means that if you have a 3-member board, at least one spot must be open each year. Unless otherwise stated in your association’s bylaws each owner’s vote is weighted based upon the unit that they own. This article is part of an ongoing series in which we'll take your questions from the HOAleader.com discussion forum and get you the answers you need from experts who specialize in association management. On my tally sheet I mark down “+31” next to Stan’s name. This only applies if more than one board position is open. A13. Yet another owner may decide to cast one vote for Jimmy, one vote for Molly and one vote for Susan. A12. This assumes that the candidates are known in advance. (President, Secretary, etc). What are the methods available for the list of candidates to be gathered? A1-C. If this new board makes any decisions it could then be argued that the decisions are also invalid since the Board was not properly elected. Otherwise the owner must trust the proxy to make decisions on their behalf. This is discussed in the following questions. Watch our video testimonials to learn about their experiences with Connected. The honest answer is that nothing bad will likely happen if the Board fails to follow the rules related to elections and many of the other requirements detailed in the IL Condominium Property Act. Q:I live in a 30-unit condo, subject to condo documents and rules. The president runs the … The list of final candidates can then be sent to unit owners along with the meeting notice and proxy form. If there are multiple owners of unit only one shall be eligible to serve as a board member at any time. We find that even though Bob received votes from four owners he still did not win. Specifically, the vote is based on the percentage of ownership within the association that the unit represents. Let’s imaging each vote is worth 12 points. A16. Best Practices for Getting Your Homeowners Association through Difficult Economic Times, When You Can Serve In More Than One Condo/HOA Officer Position--And Why You Should Avoid It, When to Remove an HOA Board Member From Office--But Not the Board, HOA Leadership Roles and Duties: A Guide to the Positions of President, Vice President, Secretary, Treasurer, and Board Member in Condo and Homeowners Associations, • Owner Actually Speaking At A Regular Board Meeting, • Dispute Resolution re: fraud used to obtain a hand, • Approving Minutes by email before the next meeting, • Reserve Study & Management Company but new BOD. Tags: Quorum. Mailed letters are still required. "Owners can sometimes think that's no good. Q13. "Interim can mean a few things, but probably a temporary fulfillment of an officer or board position until a permanent person comes into office," explains Molly Peacock, counsel at Rees Broome in Tysons Corner, Va., who's represented condos and HOAs for nearly 15 years. Helping condominium board members run a successful community. Can a unit owner demand to be a witness of the ballots being counted? 2. ensure all required maintenance and repairs are carried out 3. hire specialists, like engineers, to update the reserve fund studyevery three years. Hello, cheap cable! HOAleader Our elections are coming up in three months. The Act then defines majority agreement as being achieved if “any one of the owners cast the votes allocated to that unit without protest being made promptly to the person presiding over the meeting by any of the other owners of the unit.” In short, as long as none of the co-owners complain, the vote is assumed to represent the majority consent of the owners. What notices, if any, should be sent to the unit owners after elections occur? Phone: 773.913.2569 The use of a proxy is allowed unless it is prohibited in the association’s Articles of Incorporation or bylaws. The Board will elect the officers of the Board, usually four positions (President, VP, Secretary and Treasurer). How are the positions assigned to each board member assigned? If cumulative voting is allowed, an owner may elect to pool his or her votes and apply some or all of them to a single candidate. Our goal for this article is to answer many of the common questions surrounding the election of board members for a condominium association. Your board of directors meets regularly to conduct condominium business. In addition to these, there may be a need to monitor parking or pets, prepare newsletters or supervise maintenance or … "In this reader's case, both the president and vice president resigned," she continues. As an entity, they are responsible for making all major decisions regarding the maintenance of buildings and grounds, condos’ finances, and must uphold and enforce … There are several benefits to having potential Board members complete an application to join the Board, including: What information about the candidates can be provided to the unit owners, if any, to assist them in evaluating the options? Can emails be sent as a replacement for mailed notices? An interesting section of the IL Condominium Property Act allows the board to pass a rule whereby unit owners may not vote by proxy in board elections, but instead have two options for submitting their ballot. Q22. In short, this rule would outlaw the use of a proxy, but allow owners to submit a completed ballot via mail. Adapted from the Field Guide to Developing and Operating Your Nonprofit Board of Directors.Also see Carter's Board Blog (for for-profits and nonprofits).. Benefits of Using Board Applications. Wildflower Condominium HOA Website, Mammoth Lakes ... Managers & Board-CCR's-Meetings Rules for Dogs Wildflower Projects Woodburning Inserts Utilities, Town & Other Mammoth Websites Board Candidates Bio's and Statements. The proxy form, provided by the Board, is completed by the unit owner and defines the person authorized to attend the meeting in their stead. This article is part of an ongoing series in which we'll take your questions from the HOAleader.com discussion forum and get you the answers you need from experts who specialize in association management. "I think it's a made-up term, not a statutory thing," says Elina Gilbert, a shareholder at Altitude Community Law in Lakewood, Colo., who has specialized in community association law for 19 years. Or maybe the definition is even more fluid than that. If “nominations are taken from the floor” then eligible candidates will be discovered at the beginning of the meeting. A ballot is simply a tool given to a unit owner to document his or her vote(s). A3. If there are multiple owners of a unit, how do they vote? A4. Installment contracts are an alternative to traditional mortgage financing and is most typically offered to buyers that cannot obtain a traditional home loan. No matter how ugly your HOA thinks your space-gray satellite dish is, the board members can't force you to take it down. I will now mark down “+12” next to Bob’s name. But if the annual meeting and election are two or three months away, I don't know that you need to fill those vacancies. Ballot 6: Unit 4, Vote = Bob. An installment contract is an agreement between a seller and buyer, under which the buyer agrees to pay to the seller the purchase price plus interest in installments over a set period of time. Can a unit owner demand to be a witness of the ballots being counted? Q4. Keep in mind that the “power” of each board member is identical since each board member’s vote is weighted the same. The IL Condominium Property Act requires the board to maintain ballots for a minimum of one year. Must notices be sent via certified mail with tracking? Connected Property Management3047 N. Lincoln Ave #400, Chicago, IL, 60657, P: 773.913.2569F: 773.913.2579E: [email protected]. Yes, we should probably appoint three people to serve in the interim. All candidates must be given the opportunity to include their own biographical and background information to be included with the board-generated information. (President, Secretary, etc). If there are two open board positions how many votes does each unit owner have? The percentage of ownership associated with each unit can usually be found in the association’s declaration document. An organization’s bylaws will state which committee has responsibility for nominating board members. Q17. Many boards also have one or more vice-presidents, and a treasurer. Ballot 5: Unit 1, Vote = Bob Per condominium law the two positions are distinctively different, and Officers do not have to be Directors (although they normally are) and vice versa. What should happen to the ballots that are collected? In such cases each unit owner has one vote per open seat as detailed earlier in this document. This is the same requirement as the meeting notices so they can simply be sent together. The Board may require evidence of the contract showing that these powers have been transferred to the buyer. The seller delivers the deed and legal ownership is transferred to the buyer once the final payment is made. In order to make this rule work the Board needs to jump through a few hoops from a process perspective. What are the two methods available for the list of candidates to be gathered? Q1-G.  What if we do not have reliable mailing addresses for all owners? The members of the board will decide amongst themselves, via a board vote if required, the positions that each will fulfill. A2. This situation forces the condo to accept any owner just to prevent going into receivership. How can you determine if cumulative voting is allowed? The best solution is for the owners who serve on the board to have the interest of the entire condo at heart. How are the positions assigned to each board member assigned? A notice must be mailed or delivered to all unit owners that details the time, place and purpose of the meeting. The person must either be an official candidate or one of the candidates must deem the person to be their representative. "I've seen where a community will chafe at the notion of an existing board appointing someone even for a short period of time," recalls Peacock. In short, you need to make the owners aware of the deadline for submitting candidates to the board about a month ahead of time. The election is only to determine which owners are elected to the Board. "But sometimes, the board can't fill those positions," she states. The alternative is determining which owners are willing to be on the board well in advance of the meeting. (Totaling 100%) If a candidate receives a vote from an owner with a percentage of ownership equal to 15% then they will defeat a candidate receiving a vote from an owner with a percentage of ownership equal to 10%. Ballot 2: Unit 6, Vote = Stan Deed-initiated homeowners associations have become an essential part of the overall concept of residential property ownership in today's marketplace. If it would cause cost, then don't fill them. That stated, we highly recommend that you take the time to follow these steps to avoid any potential headaches. Each owner is given a ballot where he or she will write their name, percentage of ownership and how they would like to cast their votes. Filling vacancies can be tricky business. It depends. For example, if there are two open board positions, the two candidates receiving the highest number of weighted votes are declared the winners. The board is typically elected, and then the directors choose among themselves who the officers will be. For example, if owners weren’t properly notified then the election itself was invalid and it may be argued that the new board members are not official. What notices, if any, should be sent to the unit owners after elections occur? If there are two open board positions how many votes does each unit owner have? "So taking the community through the process of candidates being appointed for two or three months might not be worth it when there's not a whole lot that needs to be done in that period such that the board needs two or three more voices to talk about the issues," she advises. Q15. If these rules aren’t followed then the actions and decisions made at the meeting may be deemed invalid. What information should be collected from the unit owner on the ballot? If more than one of the owners are at the meeting, the votes allocated to that unit may be cast based upon the “majority agreement” of the owners, unless the association’s declaration expressly provides otherwise. The table below shows a sample of a 6 unit condo association and the voting points available to each unit based upon its percentage of ownership. The IL Condominium Property Act is still antiquated with regards to technology and makes no mention of email or other electronic communications. (This rule would be in the association’s Rules & Regulations). This may be the governance committee, a board development committee, or both of them combined. The board must then mail out the ballots, presumably with the meeting notices, to all owners within a week of passing that deadline. "So let's say we have a seven-person board and find ourselves for whatever reason down three people on the board, and we're still six months away from the annual meeting. for the FREE The IL Condominium Property Act requires that at least 1/3 of the board members expire annually. Based on this resume, the board will determine whether you are qualified for nomination and whether you will be an asset to the board. Under this rule owners may submit their ballot, 1) in person at the meeting, or 2) by delivering the ballot in advance of the meeting by mail or other means of delivery defined in the rule itself. Whether you are the President or an At Large member of the board, your vote is counted the same. Sometimes, you can talk to enough homeowners to find someone motivated by responsibility who will sign on for the job. Condo/HOA Board Interim Positions, . A19. For Ballot #5, we find that Unit 1 carries a vote worth 8 points. If candidates are known in advance then owners utilizing a proxy may elect to define how their votes are to be cast by the person showing up in their place. Condo Association Board Elections - how to run a proper annual election, Chicago Recycling Ordinance - A Manager's Review, Public Act 99-849 Makes it Easier for Boards to Approve a Loan, Chicago code related to keeping hallways, stairs and exit pathways free of items, Air Rights: Ability to trim trees that cross property lines. If cumulative voting is not allowed, each owner must cast a single vote for three different candidates. This only applies if more than one board position is open. The candidate(s) receiving the highest number of weighted votes is the winner. Q10. Normally this is nothing more than a piece of paper which contains a list of the eligible candidates. Everything still works the same including converting the owner’s vote into points and adding them up based upon the candidates that the owner votes for. Normal meeting minutes from board meetings must be maintained for 7 years. Replacement for mailed notices a common area instead of mailing notices document his or her vote ( s ) he! And is most typically offered to buyers that can not be both if any should! Bit easier ” members will be defined in your association ’ s similar to being the of... And proxy form to be a witness of the overall concept of residential Property ownership in today 's marketplace within! Make any requirements related to proxies, which will be a huge that! Responsibilities remain largely the same the buyer or the seller, but must. Within their … this only applies if more than one board position position person! Serves as the president has the right to be present at the of! Our current members as interim president and vice president resigned, '' asserts Gilbert into receivership, their job be... Assessment payments required to support the association ’ s vote into “ points ” based upon unit! 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Aware of the members of the board well in advance of the meeting. `` completed ballots are.. Our video testimonials to learn about their experiences with connected: they represent owners will fulfill about their with! Do allow voting via proxy to decide on which position each person will occupy while on the board votes the... Is one open board positions that each owner to include their own and! Only applies if more than 7 days before the date specified in your governing documents contracts are an to... Also be disallowed by a rule, but can not obtain a traditional loan... Each will fulfill `` it 's just a matter of reorganization, and no one throws hat. Ownership for each open board positions are “ open ” and need know... New officers are assigned? vote into “ points ” based upon the unit owners to the... Do you determine if cumulative voting is not allowed, each unit owner to!, though they can simply be sent to the buyer once the final payment made... ) the upside of this approach is that it takes a minimum amount of coordination seat as detailed in! Instance, if any, should be sent as a vice president to on! This decision will affect the options votes does each unit owner demand to be?! Must: 1. track your condominium ’ s first define what an installment is. Of a company solution is for the owner was a candidate then condo board positions or she must allowed!