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FOR SMOOTHER
ELECTIONS
AMEND YOUR GOVERNING DOCUMENTS
QUESTION: Hi Adrian, How do HOAs elect a
board of directors if they do not have a quorum and the governing documents do
not dictate what they must do?
ANSWER: Almost
all associations have trouble achieving quorum at their annual meetings.
Nagging owners is the traditional method for
encouraging participation but it is not always effective. Some boards
are so frustrated by low turnout that they threaten to fine owners who don't
vote (not a good idea).
 Eliminate Quorum Requirement.
The best approach is to amend your
governing documents
to eliminate quorum requirements for the election of directors. By eliminating
the requirement, board elections would be like all other elections at the
municipal, state and federal levels. In other words, elections would be
determined by those who are interested enough to vote.
This would eliminate wasted time and money sending
out pleas for participation and holding multiple meetings. We have already implemented the changes with some of
our clients. The results have been so positive that we are offering a package of
amendments at a fixed fee to any association that wants them.
Package of Amendments. For a flat rate of
$750 our firm will review your governing documents and prepare amendments plus a ballot to send to your members.
The amendments will do the following:
-
eliminate
quorum requirements for the election of directors;
-
eliminate
cumulative voting
to create more conventional voting, i.e., casting no more than one vote for
each candidate--the same election process used in city, state and national
elections;
-
modify
nomination procedures to comply with the new statute;
-
make
floor
nominations optional so elections can be conducted entirely through the
mail if associations wish to do so;
-
create
director qualifications; and
-
create 2-year
staggered terms for directors to ensure continuity from board to board.
If you are interested in updating your bylaws,
contact us for
more information.
Adrian J. Adams
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