Posted:
I actually emailed our lawyer today. I simply asked her to verify that the president is correct in saying that only board members have to vote to change bylaws. I attached the bylaws. I told her I just wanted to confirm it so we are not held liable. I really don't care if my board doesn't like me while I question this information. I'm just trying to do what is right by my neighbors. I have plenty of friends and could care less if these grumpy old board members no longer like me.
Ok, you guys REALLY wanna see the entire section in the bylaws regarding board of directors????
I wish we could do different color font on here. On my word document of the bylaws, all of the proposed revisions are in RED but I can't do that here so I put the word REVISION in caps by the changes... the many, many changes (just to these sections... you should see ALL of the changes). Wait... I think I can do bold image codes on here. I'll try it. The color code wouldn't work for me.
I think I'm only an officer and NOT a board member. But is that WITH the changes or originally. My goddness. I need a beer.
This is gonna take up a ton of room but here goes:
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ARTICE VIII
Board of Directors
Section 1. The business and affairs of this Association shall be managed by a Board of Directors. At the inception of the Association, the Board shall consist of the 5 (<<5 (<<
The initial Board of Directors named in the Articles of Incorporation shall have the authority to appoint the persons who shall serve as the Board of Directors at the first annual meeting.
The size of the Board of Directors may be increased or decreased from time to time upon the affirmative vote of three-fourths (3/4) of all members. Each director shall hold office for the term for which he was elected, or until his death, resignation, retirement, removal, disqualification or until his successor is elected and qualified. Each such director shall serve for a one-year term. Nothing herein contained shall be construed to prevent the election of a director to succeed himself. For purposes of election of new Board of Directors, the quorum at the annual meeting shall be 25% of the voting members resent of by proxy.
Section 2. The first Board of Directors named in the Articles of Incorporation shall serve from the date of the filing until their successors are duly elected and have qualified. Only thereafter, directors shall be elected by ballot at the annual meeting of the members. Each director shall hold office until his death, resignation, removal, disqualification, or his successor is elected or appointed and qualified. Any vacancy may be filled at any time by a majority of the remaining directors, though less than a quorum, but a vacancy created by an increase in the authorized number of directors shall be filled only by election at an annual meeting or at a special meeting of members called for that purpose. (REVISION>>> Only one Board member shall be elected from any one household)
Section 3. The directors shall act only as a board, and individual directors shall have no power as such. A majority of the directors for the time being in office shall constitute a quorum for the transaction of business, but a majority of those present at the time and place of any regular or special meeting, although less than a quorum, may adjourn the same from time to time without notice until a quorum be at hand. The act of a majority of directors present at any time at which there is a quorum shall be the act of the Board of Directors.
Section 4. The Board of Directors may, by resolution adopted by a majority thereof, designate on or more executive committees, each executive committee to include not less than two (2) directors as members thereof, which executive committees to the extent provided in said resolution, may have and may exercise, when the Board of Directors is not in session, the powers of the Board of Directors in the management of the affairs of the Association. The Board of Directors may designate such other committees which it may deem necessary and advisable n the efficient operation of the Association. These committees may be appointed by the Board from those members who are not directors, to serve in such capacity as the directors may specify.
Section 5. (REVISION>>> Regular meetings of the Board shall be conducted at least once a month (or more if the Board sees needed). Meeting shall be closed for all Association members unless a member requests an appearance at least five (5) days in advance to discuss Association business. (end of REVISION) Special meetings of the Board of Directors may be called by the President or by any two (2) members of the Board for any time and place, provided reasonable notice of such meetings shall be given to each member of the Board before the time appointed for such meeting. The attendance of a director at a meeting shall constitute a waiver of such notice except where a director attends a meeting and objects to the transaction of any business because the meeting is not lawfully called or convened.
Section 6. The Board of Directors may from time to time determine the order of business at its meetings. At all meetings of the Board, the President, or in his absence, the Chairman chosen by the directors present, shall preside.
Section 7. The Board of Directors, after the close of the fiscal year, shall submit to the members of the Association a report as to the condition of the Association and its property and shall submit also an account of the financial transactions of the past year.
Section 8. Subsequent to their election by members, any director may be removed from the Board, with or without cause, by a majority vote of the members of the Association. In the event of death, resignation, or removal of a director, his successor shall be selected by the remaining members of the Board and shall serve for the unexpired term of his predecessor.
Section 9. No director shall receive compensation for any service he may render to the Association, provided, however, any directory may be reimbursed for his actual expenses incurred in the performance of his duties.
Section 10. The directors shall have the right to take any action in the absence of a meeting which they could take at a meeting by obtaining the written approval of all the directors. Any action so approved shall have the same effect as though taken at a meeting of the directors.
ARTICLE IX
Powers and Duties of the Board of Directors
Section 1. The Board of Directors shall have the power to:
a) Adopt and publish rules and regulations governing the use of the Common Areas and other facilities provided for the common use and benefit of Association members, and to establish penalties for the misuse thereof;
b) Exercise for the Association all powers, duties and authority vested in or delegated to this Association and not reserved to the membership by other provisions by these Bylaws, the Articles of Incorporation, or the Declaration;
c) Declare the office of a member of the Board of Directors to be vacant in the event such member shall be absent from three (3) consecutive regular meetings of the Board of Directors;
d) Enter into agreements with third parties in order to facilitate efficient operation of the Common Areas. It shall be the primary purpose of such agreements to provide for the administration, maintenance and repair, and operation of the Common Areas. The terms of said agreements shall be as determined by the Board of Directors to be in the best interest of the Association. Any agreement not covered in the budget over $2,000.00 or 20% of the approved budget must have the approval of the membership of the Association.
e) Employ a manager, an independent contractor, or such other employees as the Board deems necessary, and to prescribe their duties, to carry out and accomplish the purposes of the Association;
f) Open bank accounts on behalf of the Association and designate signatories required therefore.
Section 2. It shall be the duty of the Board of Directors to:
a) Cause to be kept a complete record of all its acts and corporate affairs and to present a statement thereof to the members at the annual meeting of the members or at any special meeting when such statement is requested in writing by one-fourth (1/4) of the members of the Association
b) Supervise all officers, agents and employees of this Association, and to see that their duties are properly performed;
c) Shall assist treasurer in preparing an annual budget for membership approval for the annual assessment against each Tract as provided in the Declaration and send written notice of each assessment to every Association member at least thirty (30) days in advance of each annual dues assessment, subject however, to special assessments, the assent of the membership as hereinabove provided;
d) Issue, or cause an appropriate officer to issue, upon demand, by any person, a receipt setting forth whether or not any assessment has been paid; a reasonable charge may be made by the Board for the issuance of these certificates and such certificates, if issued, shall be conclusive evidence of payment of any assessment therein stated to have been paid; and
e) Cause the Common Areas to be maintained.
f) Cause the exterior of the dwellings to be maintained;
g) Receive membership approval for all special assignments against each tract as provided in the Declaration and send written notice of each assessment to every Association member at least thirty (30) days in advance of each annual and special assessment due date, subject, however, as to special assessments, the assent of the membership as hereinabove provided;
h) Receive membership approval for an expenditure in excess of 20% of the approved budget;
i) Enforce the Covenants and Restrictions as mandated by the members of the Association. Enforcement shall include schedule of penalties to be charged to the property owner at which time as an infraction has been noted, and voted as such by the Board, after which written notification of the infraction will be mailed to the property owner. If the infraction defined is not addressed within thirty (30) days after notification with a plan for remedy within a timeframe approved by the Board, a $100 per 30 day period fee will be assessed. Infraction defined not addressed within thirty (30) days after notification with plan for remedy, $100.00 per 30 (thirty) day period and $ week after timeframe approved by the Board. This belongs in assessment fees.
ATTORNEY: Need to define addressed.
j) Foreclose the lien against any property for which assessments are not paid within thirty (30) days after due date or to bring an action at law against the owner personally obligated to pay the same; and
k) Manage the affairs of the Association.
All of these duties may be delegated by the Board of Directors to a professional management company in the sole discretion of the Board of Directors, with the exception of that duty set forth in Subsection (c) above.
ARTICLE X
Officers and Their Duties
Section 1. The officers of this Association shall be a President and one or more Vice Presidents, a Secretary, a Treasurer, and such other officers and assistant officers as the Board may from time to time deem necessary. Any two or more offices may be held by the same person, except the offices of President and Secretary and the offices of President and Vice President. Any two or more offices may be held by the same household except the offices of President and Vice-President.
Section 2. The officers of the Association shall be elected or appointed annually by the Board of Directors, and each shall hold office for one (1) year unless he shall sooner die, resign, or be removed, or otherwise disqualify to serve. The Board may elect such other officers as the affairs of the Association may require, each of whom shall hold office for such period, have such authority, and perform such duties as the Board may from time to time determine. More than one officer may be elected from the same household.
Section 3. Any officer may be removed from office by the Board with or without cause. Any officer may resign at any time by giving written notice to the Board, The President or the Secretary. Such resignations shall take effect on the date of receipt of such notice or at any later specified therein, and unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make it effective.
Section 4. A vacancy in any office may be filled in the manner prescribed for regular election or appointment. The officer elected or appointed to such vacancy shall serve for the remainder of the term of the officer he replaces.
Section 5. The duties of the officers are as follows:
President – is a member of the Board
a) The President shall be the chief executive officer of the corporation and shall perform such other duties as from time to time may be assigned to him by the Board; Shall see that orders and resolutions of the Board are carried out; shall sign all leases, mortgages, promissory notes, deeds and other such similar documents; and shall, in general, perform all duties incident to the office of President.
Vice President- is a member of the Board
b) The Vice President shall act in the place and stead of the President n the event of his absence, inability or refusal to act, and shall exercise and discharge such other duties as may be required of him by the Board.
Secretary
c) The Secretary shall record the votes and keep for public viewing the minutes of all meetings and proceedings of the Board and of the members; keep the corporate seal of the Association and affix it on all papers requiring said seal; serve notice of meetings of the Board and of all the members; keep appropriate current records showing the members of the Association together with their addresses; and perform such other duties as required by the Board. Board approved minutes shall be available for member review within 14 days of Board approval.
Treasurer
The Treasurer shall receive and deposit in appropriate bank accounts all monies of the Association and shall disburse such funds as directed by resolution of the Board of Directors; shall sign all checks and promissory notes of the Association; keep proper books of account; cause an annual accounting of the Association books to be made at the completion of each fiscal year; and shall prepare an annual budget and a statement of income and expenditures to be presented to the membership at its regular annual meeting for membership approval, deliver a copy of each to the members and file all applicable state and federal tax returns; any unusual or non-recurring expense of $100 or more shall require prior approval of the Board of Directors.
ARTICLE XI
Indemnification of Officers and Directors
The Association shall indemnify any and all persons who may serve or whom have served at any time as directors or officers of the Association against any and all expenses, included amounts paid upon judgments, counsel fees and amounts paid in settlement (before or after suit is commenced), actually and necessarily incurred by such persons in connection with defense or settlement of any claim, action, suit or proceeding in which they, or any of them, are made parties, or a party, which may be asserted against them or any of the, by reason of being o having been directors or officers or a director or officer of the Association, except this indemnification shall not operate with respect to a director or officer or person who has been adjudged in an action, suit, or proceeding guilty of willful and intentional misconduct in the performance of his duties to the Association. Provided, however, that in the event of a settlement the indemnification herein shall apply only when the Board of Directors approved such settlement and reimbursement as being in the best interest of the Association. The Association shall likewise indemnify any bonded professional management company for any of the above-mentioned expenses, when such expenses are incurred in the course of duties delegated by the Board of Directors.
The provisions hereof shall be in addition to and not exclusive of any and all other rights to which any director or officer may otherwise e entitled under any law, bylaw, agreement, vote of Association members or otherwise. In the event of death of the officer or director, the provisions hereof shall extend to his legal heirs, representatives, successors and assigns. The foregoing rights shall be available whether nor not such person or persons were in fact directors or officers at the time of incurring or becoming subject to such expenses, and whether or not the proceeding, claim, suit or action is based n matters which antedate the adoption of this Bylaw.