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PROPOSAL
of BETH A. GRIMM, ATTORNEY
TO WRITE ELECTION RULES FOR ASSOCIATIONS

You probably do not have much of a measuring stick for deciding who should write your election rules. Maybe this will help. If you are going on cost alone and looking for rules alone, you may end up wishing you had thought more about process. You can pay for and receive Rules. Most sets I have seen to date do not come with a "process" to implement the Rules. Some of the rules I have seen completely disregard the governing documents, and I have already seen a number of challenges that owners have posed to those. The area of applying qualifications to run for the board, and to vote, is probably the most misunderstood and misapplied part of the law. My product includes many things: rules, guidelines for implementing the rules, a sample set of instructions for owners to send with the ballot, a sample ballot, a sample proxy and last, but certainly not least, a sample set of instructions for the inspector(s) of election. Associations are very unique and this last element is important because you will want help working with whomever you choose as your inspectors, and they will probably need guidance as well. There are not that many trained inspectors of election in this state . My proposal also includes a review of your association governing documents and suggestions to help you cope successfully with a complicated set of laws. I will provide the information based on what I know about the new law, and what has been proposed as of this date for changes to it.

I used to offer a "low end" set of rules that more or less reiterated the statute (that is, before the law changed in September 2006), but I have come to the conclusion that Boards need more than a little guidance to have a hope of withstanding any legal challenge that might arise with regard to an election. I offer one option now, which is a full service package . You can review the Model Rules here on my website which point out the areas requiring the most help. If you are ready to get that help, read on.

Questionnaire: I also ask for a response to that questionnaire that asks questions about the association meetings and current processes, whether the Association usually has enough candidates for a contested election, and other questions whose answers will enable me to cover what the statute says must be in the Elections rules. This information helps me assure that the elections rules will be useful and a good fit for your association and it helps also to minimize the chance of a challenge based on any misstep. I want Associations to continue to have meaningful elections and processes in spite of the difficulties of the new law.

PROPOSAL TO WRITE/Cost of Election Rules Package: I would be reviewing the questionnaire and the governing documents, and in addition to the basic election rules, I provide all of the above items. The flat fee cost is $750 per association if the review involves only one set of documents which would be the current CC&Rs, Bylaws, and Articles of Incorporation. If you have additional policies relating to meetings and/or elections, or are in the process of amending documents and want feedback about the current rules and any future changes because of the amendment of the documents, or if you are in a master/sub situation and there are more documents that have to reviewed, or if your voting involves delegate or other unusual voting practices required, please contact me about a separate estimate for your association. I can accept the questionnaire and documents by mail, email attachments or faxed documents. Turn around time is very short, just a few days. And if you are in the midst of an election, I can tell you how to integrate the rules approval process with the election.

Associations are going to need more than Elections Rules. They will need a process for instituting brand new practices and for using inspectors of election and will need to decide whether they are going to use owners, paid vendors or completely independent inspectors. That is why I include extra items with the rules that are not actually part of the rules. IF YOU NEED MORE/Amendment of Documents: There are Bylaws and/or CC&R Amendments (that require owner approval) that could be drafted to lead you closer to synchronicity with the new elections laws and to alleviate areas of confusion. The review and drafting time from an attorney standpoint would be 4-5 hours at $325 per hour. If you want to discuss these amendments, please feel free to contact me.

I am "up on the law" and the expectations of it. I am intimately familiar with the legislative processes and the elections reform issues and that helps to foresee possible pitfalls and allow for them. The rules that I draft will make the best attempt possible to address the law properly. For more on how to adjust, keep your eye on "Beth's Blog", which is accessible from the first page of the condoguru website noted above.

TO GET STARTED, I NEED YOUR GOVERNING DOCUMENTS AND THE FOLLOWING QUESTIONNAIRE:


QUESTIONNAIRE OF BETH A. GRIMM. ESQ., for Preparing Election Rules Under Civil Code Section 1363.03, .04, and .09. Once completed, send this form to me and I will return a set of Election Rules, Board Guidelines, Instructions for Owners, an agreement for use of Inspectors of Election, a sample ballot and will lay out a process geared to satisfy the new legal requirements. [Be careful about any rules writing proposal that does not provide the additional guidance required to understand this new law and how to implement it.]

1. Name/Address of Association: __________________________________________________

______________________________________________________________________________

. 2. Name of person completing the form:_____________________________________________

3. Address if different than cover sheet coming with this:_______________________________

______________________________________________________________________________

4. Title of person completing the form:______________________________________________

5. Do you have an HOA annual meeting?:________ Usual Month:________________________

6. Do you know the quorum requirement for your annual meetings?___________

If you answered yes, what document/ article/section covers quorum? ______________________________________ ________________________________________

Is there a lowered quorum requirement for any adjourned meeting called because of lack of a quorum?_______ if so, what is it?____________________

7. Do you use proxies? _______ Do your documents provide for proxies? What section/ document? ___________________________________________________________________________________________________ .

If yes, do you want to continue using them? ______ Do you usually have "proxy battles"?________ If you have any comments about proxies (like them or not?) Please note your comments here.

Comments:_________________________________________________________________________________________

___________________________________________________________________________________________________

8. How many lots/units (voting members) are there in your association?________________________________________

9. Do you use delegate voting (where the membership elects delegates and the delegates choose board members?___________________

10. Do you want to preserve having the annual meeting, or let it go if that is possible under the new law?_____________________________________.

11. Do you have a clubhouse on site? _____________________ If the answer is no, where do you have your annual meeting?__________________________________________________________

12. Do you usually mail out candidate statements?________________ Would having a "candidate's night" be more desirable than doing everything by mail?____________________ Do you have a newsletter? ________ Website (that you post information on)? ________

13. Any comments?_____________________________________________________________________________

14. Do you use a nominations committee?________ Do you have any guidelines for the committee to use already written?_________ If so, please provide them. Also provide any rules that you use now for elections, if you have any. Do you allow nominations from the floor at a meeting? _____________ Would you like to preserve this right? ______ Does it help you to get candidates? __________

15. Do your governing documents allow for cumulative voting?_______ Do you use it for board elections?_____ Have you ever had any problems with cumulative voting? If so, explain please. If you answered yes, what document/article/section covers cumulative voting? __________________________________________________________________________________________________

16. Do you usually have enough candidates to fill the board?_______ Do you usually have more than enough candidates to have an election (meaning more candidates than open positions)?_____________

Have you ever declared the election results by acclamation (which means announce that there are only enough candidates to fill the open positions and so there is no vote necessary?)____________________

If you feel some comments are in order here, provide them please. I want these rules to resolve common problems for your association.

Comments:________________________________________________________________________________ ____________________________________________________________________________________________________

17. Do your documents provide for term limitations? _____________ If yes, what are the term limitations? ______________ please name the document/article/section/

page:_______________________________________________________________________.

Does this hamper your ability to find candidates?____________________________ If additional comment is needed, provide it_______________________________________________________________________________ ________________________________________________________________________________________________

18. Do your documents have qualifications for board members such as:

a. **must be a member of the association? ________

Doc/article/section/

page______________________________________________________________________________

b. **must be in good standing? ________ define:__________________________________________________________

Doc/article/section/page________________________________________________________________

c. **only one candidate/director per household? ________ Doc/article/section/page________________________________________________________________

d. **must have educational credits or training? ________ Doc/article/section/page________________________________________________________________ e. **any others? ________ define:________________________________________________________

Doc/article/section/page________________________________________________________________

19. Do you want the option of using a homeowner(s) for inspectors of election?___________________.

20. Do you want the option of using a paid vendor of the association as inspector(s) of election? (CPA,

MGR, ATTNY, other?):___________ If you answered the above question yes, circle all that apply and if you circled "other" list the title of the vendor:______________________________________________

21. What month is your annual meeting held? ______________ Do your documents state any other month or time than when you hold it? If so, note the section and explain why you use the month/time stated:_____________________________________________________________________________.

22. Would you have any objection, if you cannot get enough candidates prior to the annual meeting, to using the meeting as an opportunity to elicit candidates, and hold the election by mail after the meeting?

___________________________________________________________________________________

23. Do your documents have a "good standing" requirement for owners to be able to vote?_________ If so, where does it appear?______________________________________

Have you ever revoked an owner's right to vote based on them not being in"good standing"?___________________________________________________________________________

If you have any other comments that you think would help get you better elections rules, or wish to ask about amending the other governing documents to make changes regarding elections, please note them here or add an attachment:

_________________________________________________________________________________

_________________________________________________________________________________.

Please submit any questions or comments below or as an attachment.

Additional Comments:_______________________________________________________________

_________________________________________________________________________________.

I, the undersigned, am authorized to provide the above information. On behalf of the Association, I authorize the following: Beth A. Grimm, Attorney, to complete document review, set of rules, procedures, guidelines, instructions for inspector of elections and for owners, and sample ballot, and commentary if/as needed by provisions in the documents that need to be addressed, and how to integrate secret voting with meetings. Cost: $750.

I understand that if questions are posed above to Beth Grimm out of the ordinary (such as master/sub, delegate voting, etc.), that the additional time needed to prepare rules covering these matters will be charged at $325 per hour. I certify that the above information is true and correct to the best of my knowledge. I am authorized to give approval to Beth Grimm to go forward as provided.

The governing documents for the association ______ are attached ____ have been sent separately.

________________________________________________

Signature of Preparer

Printed Name:_____________________________________

Title:____________________________________________

On Behalf of:______________________________________ HOA

Dated:_____________________________

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