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Last updated October 19, 2008

 


Tip #18  

Our thanks to Michael Packard for these words of wisdom we have been advocating this action for over 15 years.

Night Board Meetings - Do Away With Them!

Night Board Meetings

Take a long day at the office, plus long commutes to and from home, add dinner and a cocktail or two and you have the makings for an ineffective individual. Unfortunately this is the exact scenario that is in place for a typical community association board of directors meeting.

The setting for any board of directors meeting should certainly be at a time and place when people can function at their fullest. IBM doesn’t hold their meetings at night and neither should a community association. Even though it could be argued that a community association is non profit and simply consists of a tract of homes, boards of directors for these communities have immense decision making obligations to their membership.

Despite a real estate market where home values have recently plummeted. a person’s home remains the typical American’s single largest asset. Boards of directors’ meeting agendas are filled with issues that in one way or another require decision making about this asset and the integrity of the community as a whole.
Another obvious challenge with the night meeting dilemma has to do with community managers spending time away from their respective family. Some community management firms allow for time off the morning after a board meeting; however, that manager will still not be at home with his or her family in the evening when needed.

The simple answer for this challenge is to make sure that board meetings commence no later than 4:30 in the afternoon. Before a person runs for a board of directors, they should understand they will be committed to acting as a fiduciary for their community which entails, among other obligations, the need to attend their board meetings at 4:30 or earlier.

Leaving work early to attend a board meeting can turn in to an asset for an employee. Most employees work for companies with cultures emphasizing community involvement; a board member’s superior should thus see this early exit from work on occasion as a positive that reflects well not only on the employee but the company as well.

Homeowners who complain about early meetings should understand that board meetings need to be held at a time when board members can function at their best and thus when they are more apt to render pragmatic decisions. They, too, may work for companies with cultures that encourage involvement in the community and recognize that an employee’s participation in a community association is an activity that should be encouraged, including missing a few hours every once in a while to attend a meeting.

Additionally, more and more community associations are meeting bi-monthly or quarterly. Many monthly meetings are out of habit and not necessity. I served for two years on the Wailea Community Association Board of Directors on Maui. Our nine member board met quarterly and our obligations included 2,000 plus units, seven high end hotels and a retail shopping center. We were able to meet quarterly because we charged our manager with the responsibility of running the day-to-day operations of our association and keeping us informed of issues and actions; we didn’t micromanage and insist on making every single decision. We empowered our manager to work within the parameters we established, and to consult with us only when issues arose that exceed budget or responsibility limitations. Additionally, all of the board members were professionals and understood the necessity to meet during the day. The annual meeting for that community took place late in the afternoon as well.

I would challenge all community association boards of directors to use the logic articulated in this article to reconsider their meeting times if they are starting after 4:30. The same would be said for the need for monthly meetings.
Earlier meetings, and meetings that last no longer then one and a half to two hours, will result in more prudent, thoughtful decision-making on the part of a board of directors. Timed agendas, consent calendars and board presidents with leadership skills will help expedite meetings as well.

 

Mike Packard is a Senior Vice President with Associa, a past National President of CAI, a two time recipient of CAI’s Distinguished Service Award and an International Instructor on the practice of Community Association and Property Management.

 

 

Michael E. Packard
PCAM®, CPM®, CCAM®
Senior Vice President
Associa Regional Office
Carlsbad, CA

 

 

 

Tip #17

Five Tips for a Greener Association

High energy costs and environmental concerns aren’t the only reasons community associations should undertake energy-saving measures. Already, various state legislatures have taken steps to spur associations in a greener direction.

Last year, the North Carolina legislature enacted a law designed to encourage the use of solar panels and to discourage associations from making the installation of solar technologies so costly as to discourage members from using alternate energy sources.

The October issue of Community Association Management Insider offers guidance as to how associations can implement practices aimed at reducing and managing energy consumption efficiently. The following are five tips for saving resources and money, compiled with the help of green experts.

For more information on each of these tips, be sure to check out the October 2008 issue of Community Association Management Insider.

Source: Community Association Management Insider

Tip #16 provided by the Walters Consulting Group San Diego CA. 

11 Commandments of Power Positioning

Let's review the next great idea put forth by Michel Fortin, PhD., known as the Success Doctor.  These "commandments" are from his article, "Power Positioning."

XI - Thou Shall Put It In Writing (The Last Commandment)

"People believe more what they see in writing," Fortin notes. "If you don't have a brochure or publicity kit, make one!"

I'm glad we are wrapping up the good doctor's list of rules because this one needs my attention. So, here's what I'm going to do.

I have some simple art work that ties to our web page. I have several good stories about helping company owners improve their business or exit their business. And, I have a compelling argument as to why all property and association management owners should spend one hour with me before they make a major company disposition decision.

I'm going to spend several mornings over coffee next week and sketch a layout, write my easy to read text, fit it into a draft form, and take it to a designer. Then I'm going to have it look as professional as I can in a "slim-jim" format, go to a digital print service and have fifty of them run off. The total cost? About $250 for the first run and a few bucks each after that. When someone wants a quick look at what we can do for them, I'm ready!  If you don't a promotional piece at hand you might want to do the same.

Finally, thanks to Michel Fortin, Ph.D. You can read more of his ideas in his book Power Positioning, Marketing Medicine and Drop Your Goals. His e-mail: success-doctor@home.com

Tip #15 provided by the Walters Consulting Group San Diego CA. 

 

 

     Just A Minute

One Minute Lessons for HOA Executives
July 5, 2006

 

Practice #8 - Think and Say "We"

Drucker tells us the effective executives know they have ultimate responsibility, which can neither be shared nor delegated. They have authority because they have the trust of the organization. This means they are thinking of the needs and opportunities of the organization before their own.

When this attitude is adopted by your team, it becomes a culture. This culture is the underpinning for all the services to each member of the team and, likewise, to the community clients you serve. Within the scope of the contract, all parties (the "We") benefit.

Consider this: Consult with your team and select one contract where there's agreement that the association directors aren't living up to their end of the bargain. They may not be following lawful process, building reserves, taking too much time with frivolous items or are not unified in their purpose. Review the agreement and itemize where there is non- compliance. Then put them on a sixty day notice. They either comply with your definition of “We” or they will have to handle their management without your team.

Either decision is a definite profit move for you.

- Jim Manning - President - Walters Consulting Group -

 

 

Walters Consulting Group, Inc. is a service provider to management firms, industry experts and selected community associations throughout the United States. Our expertise spans business management, mergers and acquisitions, marketing and business development for companies within the property and association management industry.

"Just A Minute" is provided as a business management information tool. These periodic suggestions are for the reader's consideration and are not intended to be an instructional or results based advice.

For more information, please visit http://www.walterscg.com. If you choose not to receive "Just A Minute" please follow the directions below.

Tip #14 Federal Flag Code How to Display the American Flag

 

Tip #13

MOLD MOLD MOLD 

1.         Inspect the outside of the home for sprinklers and planters that may be allowing water into the home.

2.         Check for leaks at all of the fixtures listed above and fix all leaks promptly.

3.         Check cleanliness of drip pans regularly in the air conditioner, refrigerator and freezer.

4.         Use exhaust fans in bathrooms and kitchens when excessive moisture is present.

5.         Change HVAC filters regularly.

6.         Use a dehumidifier or air conditioner when humidity is high.

7.         Check the placement of furniture to promote air circulation.

8.         Check gutters and down spouts regularly.

9.         Check the ventilation of the crawlspace (where there is one) to ensure good air flow.

 

 

Tip #12

Provided by Jerry Melvin Insurance Agency 

Farmers Insurance

714-985-9884

Tip #11

   DON'T LET WASHING MACHINE HOSES DAMAGE YOUR HOME

Washing machine hose failures cause about $150 million in damage to homes in the US and Canada each year.  to reduce the chances that your hoses will fail, it is a good idea to inspect your washing machine hoses  regularly, and to take steps to minimize the factors that can cause damage.

  Preventative Measures

 


Tip #10

Check your Ground Fault Detectors at your pool for proper operation.   It might be a good idea to have a licensed electrician inspect them for you.   If your pool is in a community association in California it is now the law to have them checked and inspected by licensed contractors.  see notice from Orange County California.

 


Tip #9

In every contracting situation, from the smallest everyday project to the largest construction project, consider the following issues:

Contracting Checklist

Provided by Epsten & Grinnell APC.

Attorneys serving Community Associations

800.300.1704

[] Does the contractor have a valid contractor's license?   [] Are the starting and completion dates clearly specified?
[] Does the contractor have minimally acceptable levels of  general liability insurance, automobile insurance and workers compensation insurance?   [] Is there a liquidated damages (predetermined monetary payment) provision in the contract?
[] Has the Association been named as an additional insured on all of the contractor's insurance policies?   [] Are there benefits to the Association if the contractor finishes earlier than expected? Would a performance bonus provision provide incentive to the contractor to finish earlier than required?'
[] Have all the subcontractors submitted proof of their contractor's licenses and insurance policies?   [] Can the Association terminate the contract "without cause?"
[] Has the contractor complied with all of the Association's bidding requirements?   [] If "cause" is required is it clear under what conditions the contract can be terminated?
[] Has the contractor supplied references and have the  references been checked?   [] Has the contractor clearly indicated the warranties being given? Are there any materials manufacturers' warranties
[] Is there a written contract?   [] What exclusions are there in the warranties? Are these exclusions reasonable?
[] Has the scope of the work to be performed been clearly defined?   [] Will the contractor be required to supply a performance bond or labor & materials bond?
[] Does the Association have to pay start-up costs to the contractor? Is the amount of start-up costs reasonable? (less than 10% of the total contract price)?   [] Is the contractor required to post a bond to protect the  Association from a mechanics' lien recorded by a subcontractor?
[] Are progress payments required at reasonable intervals?   []   Have all required bonds been given to the Association before the contractor begins work?
[] Have payment obligations such as "upon delivery" been deleted?   []   Have all obligations of the Association to indemnify the other party been deleted from the contract?
[] Have the payment provisions been written so that the Association only pays for work that has been satisfactorily completed?     [] Is the contractor required to indemnify the Association for its negligent acts and omissions?
[] Is the contractor required to submit mechanics' lien releases before each payment?     [] Have limitation of liability clauses been deleted?
[] Should the Association write joint checks to the contractor and subcontractors if unconditional lien releases are not provided?     [] Does the contract require some form of Alternative Dispute Resolution (mediation or arbitration) prior to or in lieu of litigation?
[] IFI Can the Association hold a retention from each progress payment until the end of the contract?     [] Is there an attorneys' fee provision in the contract?
[] Is tinal payment required only after all mechanics' lien rights nave been expired?     [] Has the contract been reviewed by legal counsel?

 

Tip #8

 

Gadflies on the Board (From CAI National Common Ground magazined)

Controlling gadflies who serve on the board is a bit more complex than defusing gadflies sitting in the audience. If a gadfly is serving on the board, the association could face political gridlock. Gadfly board members may harp on pet issues or repeatedly demand that the board review a proposed action. An unprepared board or chairperson may improperly refuse to recognize motions or allow discussion on the matter. Other chairpersons will allow the gadfly to drone on until some type of motion is presented and defeated-- after a lot of wasted time and energy. To prevent this, the chairperson or president may need t plan a strategy with other members before the meeting. For example, by anticipating the gadfly's motion, the prepared members can move to postpone it indefinitely. IF the motion to postpone indefinitely is adopted, the gadfly's motion is essentially dead unless revived by a motion to reconsider. Sometimes the gadfly's action become too disruptive and the board needs to propose the member's removal to the membership-- before productive board members resign en masse. The board should carefully consider such a proposal, since members will certainly ask about it. Explanations, if any must be clearly presented and supported by facts. Simply scheduling the meeting may prompt the gadfly to resign voluntarily.

 


Tip #7

You can never fairly compare the monthly assement of one community to another, DON'T TRY. Age, type of construction, financial condition, level of maintenance, attitude of the homeowners all have a significant impact on the budget of the Association.



TIP #6

Provided by SS & K Landscape

Spring time! A good time to think about a few landscape tips.

1. Fertilizing your lawns with 16-6-8 your lawn may grow full and tight so weeds do not germinate as easy.

2. Get rid of your snails before they start eating all the new vegetation. Apply snail bait.

3. Spray the Olive trees while they're in bloom--with Olive stop at least (2) applications.

4. Great time! to install plant materials before the Hot Summer days hit.

5. Check all tree stakes and ties. This is the time the tree trunks enlarge and could girdle the tree. Remove your tree's stakes and ties if no longer needed.

 


TIP #5
HELPFUL HINTS FOR THE ARCHITECTURAL COMMITTEE

There are perhaps as many philosophies on the proper role of the Architectural Committee (ARC) as there are community associations. Each member brings a slightly different perspective on how the ARC should review and enforce architectural guidelines.

It is important that each member understands the full impact of his or her decisions and are given proper guidance by the Board of Directors, the ARC can be a productive and positive force within any community.

The purpose of the ARC in a community association is to ensure that any improvements made to an owner's property are consistent with other improvements and therefore preserve or enhance the association's property values.

As an example, the ARC can review proposed improvements on the following criteria:

1. Will the improvement be detrimental to the appearance of the community as a whole?

2. Will the improvement be in harmony with the surrounding structures?

3. Will the improvement detract from the beauty, wholesomeness, and attractiveness of the community or the enjoyment thereof by other owners?

4. Does the improvement comply with all association architectural standards and guidelines?

Does the improvement violate any use restriction?

The rule of thumb for all ARC members is "if architectural standards and procedures exist, they must be followed." The general rule also suggests the prudent measure that each association have a set of written standards and procedures and that each owner be given a copy.

Each community association's declaration may provide the essential resources the ARC needs in order to render their decisions. If your documents concerning architectural guidelines are vague or ambiguous, perhaps it is time to update or provide more specific information on the architectural standards and procedures.

If your association does not have any guidelines or procedures, we recommend that steps by initiated now to begin written documentation. The association's legal counsel should be contacted to help develop clear and concise standards and procedures. Written architectural standards and procedures are very important because they give the community an idea of what is and what is not permitted and they give the ARC guidance in deciding whether to approve or disapprove plans. An ARC which follows a clear set of architectural standards and procedures reduces the possibility of a lawsuit by an owner claiming that the ARC acted arbitrarily in denying his proposed improvements.

One of the responsibilities of the board of directors and the ARC is to maintain the community's values and aesthetic quality. A simple yet comprehensive architectural review process, standards, and procedures are required to accomplish these goals and ensure a successful community association.

We believe that the ARC should be made up of members of the Board of Directors, or that the Board act as the ARC. This recommendation is based on the premise that the Board of Directors carries all the liability of the decisions of the ARC on its shoulders. While the Declaration most often give the approval responsibility to the ARC. The committee does not incur the liability of their decisions. It is our conclusion that most lawsuits filed against Community Associations are over architectural approval or disapproval decisions. In our opinion the Board of Directors should be making those decisions that are most likely to bring a dispute to the courts and must be prepared to deal with the negative reaction their decisions might bring.



TIP #4
SECURITY BIKE PATROL


Security bike patrols have become a new and innovative method of patrolling your community. More and more law enforcement agencies are using bike patrols in the inter-cities. Why not for your community association as well? The local police and sheriff's departments are offering classes on security bike patrolling. Some of the benefits of this type of patrol is; quicker response than someone on foot, builds positive community interaction, because they are more readily seen and can access areas vehicles can not patrol.

 


TIP #3
HOLIDAY HOMEOWNER SAFETY TIPS

NEWSLETTER ARTICLE ITEM
SECURITY TIPS FOR THE UPCOMING HOLIDAY SEASON



TIP #2
AMERICANS WITH DISABILITIES ACT


Ask your security service company to do a risk analysis and security audit. Are you complying with the requirements under the Americans with Disabilities Act?


TIP #1
LIABILITY CONCERNS?


Ever wonder what are the FIRE-SAFETY REGULATIONS in your city? Ask your Security Service Company to find out for you. It's their job to know and a way for you to see how informative they are.



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