Annual Meeting Requirements

Started by KellyC6 • 8 replies • 3863 views

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KellyC6 (Virginia)
Posts: 37

Posted:

Our HOA is gearing up for an Annual Meeting and Elections. I've got a handle on the elections part, but I would like to know more about conducting an Annual Meeting.

Is there any other primary purpose, beyond elections, for an annual meeting?

Is there a recommended format?

What report(s) [if any] are to be presented by board members?

What information should be conveyed to homeowners at an annual meeting?

Is there anything in VA Code that would provide guidance or any other resource that would give direction?

Thanks very much!

BruceF1 (Connecticut)
Posts: 2,535

Posted:

The purpose for your annual meeting should be specified in your documents.

Our annual meeting is used for approval (actually, ratification) of the annual budget and the election of board members (directors). Each homeowner checks in at the front door and is handed a "meeting package" by the PM containing copies of the proposed budget and two ballots: one for ratification of the budget and one for the election of directors. The ballot for the election of directors contains the names of those who have already volunteered to serve on the board (someone will nominate them from the floor, so we know they will be on the ballot). There are also blanks for write-ins and additional floor nominations. The meeting package is prepared by the PM.

The president calls the meeting to order and either the secretary or the PM will read the legally required "notice of meeting." The secretary then reads the minutes of the previous homeowners meeting and the minutes are approved (or corrected and approved) by the membership.

The next order of business is to elect the tellers (inspectors) for the voting process (this is required by our bylaws and by state law). All nominations for tellers come from the floor. The tellers serve for this meeting only.

Following the election of tellers, the treasurer presents the financial status of the association to the members, followed by presentation and discussion of the budget. Then the membership votes by secret ballot to ratify (or not ratify) the budget. The ballots are placed in envelopes and collected by the tellers. This is followed by a short recess where members can get coffee or soft drinks and cookies. During that time the tellers tally the votes on the budget.

Following the short recess, the president calls the meeting to order again. The results of the budget ratification vote are announced and the president notes that the next item on the agenda is the election of directors. The president notes how many directors are to be elected and the the length of their terms. The president then declares the floor open to nominations (according to Roberts Rules this does not require a motion). Someone will nominate the individuals who have volunteered to serve (their names are already on the ballot). (Note that according to Roberts Rules, a nomination does not require a second.) Other people may be nominated from the floor (this rarely happens). When it appears there are no more nominations, the president will ask, "Are there any further nominations?" After another brief period of silence, the president will state, "There appears to be no more nominations. If there is no objection, nominations are closed." Members then fill out their ballots, place them in the envelopes provided, and the ballots are collected by the tellers.

There is another brief recess while the tellers are tallying the ballots. The president then calls the meeting to order and announces the results of the election. The president then asks if there is any further business. Upon hearing none the president will ask for a motion to adjourn. A motion to adjourn is offered and seconded and the president adjourns the meeting.

JanetB2 (Colorado)
Posts: 4,219

Posted:

Hi Kelly:

Bruce covered the bulk of items. This is also generally the time when any amendment to CCR or Bylaws which must be approved by the membership is completed. Check your HOA documents to insure there are no items required by said documents. The VA state statute only states:

§ 55-510. Access to association records; association meetings; notice.
F. Meetings of the association shall be held in accordance with the provisions of the bylaws at least once each year after the formation of the association. The bylaws shall specify an officer or his agent who shall, at least 14 days in advance of any annual or regularly scheduled meeting, and at least seven days in advance of any other meeting, send to each member notice of the time, place, and purposes of such meeting. Notice shall be sent by United States mail to all members at the address of their respective lots unless the member has provided to such officer or his agent an address other than the address of the member's lot; or notice may be hand delivered by the officer or his agent, provided the officer or his agent certifies in writing that notice was delivered to the member. Except as provided in subdivision C 7, draft minutes of the board of directors shall be open for inspection and copying (i) within 60 days from the conclusion of the meeting to which such minutes appertain or (ii) when such minutes are distributed to board members as part of an agenda package for the next meeting of the board of directors, whichever occurs first.

BruceF1 (Connecticut)
Posts: 2,535

Posted:

Kelly,

I neglected to mention that after nomonations for directors have been closed and before the actual voting takes place, each candidate is invited to briefly address the membership to introduce themselves, state any qualifications or experience they believe may be helpful to them in performing their duties as a board member, why they want to be on the board, and their vision for the community. The membership may then ask questions of the candidates.

SusanW1 (Michigan)
Posts: 5,202

Posted:

Since thhis is not a board meeting, but rather a meeting of the Members, only the president (who will lead the meeting) and the secretary should be at the front of the room. All board members are regular members at this meeting and sit with all others unless they are asked to give a report.

The president should give a report of what was done, what is being worked on, and what future plans are for the coming year.

JeanneK3 (Maryland)
Posts: 562

Posted:

I agree with Susan. Maryland Law states that the annual meeting is the time when a homeowner may bring up any subject they wish. I think this is a good idea and rather than filling up the time with reports which can be mailed or put in a newsletter, I'd encourage your community to come prepared with matters they wish to discuss.
Jeanne

TimB4 (Tennessee)
Posts: 21,059

Posted:

Kelly,

Any additional business may be conducted. However, the meeting is typically for the election and for the board to report the status of the affairs of the Association to the membership.

here is a typical agenda from the Fairfax County Community Association Manual:

1. Call to order
2. Approval of minutes of last meeting
3. Acceptance of treasurer’s report
4. Report of board of directors
5. Reports of all committees
6. Report of management agent
7. Election of officers
8. Approval of assessment/budget
9. Old business
10. New business
11. Adjournment

Per that same manual:

Other association matters and business may be conducted at this annual meeting, some of
which may be voted on by the full membership and others by the directors only, in accordance
with the governing documents. The annual meeting does not rescind or bestow different
authorities or voting rights upon the directors or the members than is normal. Many associations
require an annual audit report and/or annual budget to be presented to the membership for
comment, discussion and/or explanation prior to approval voting. Some associations require
budget approval by the full membership; others by the directors only. Nevertheless, these are
logical matters to be scheduled and conducted at the annual meeting of all members.

Tim

TimB4 (Tennessee)
Posts: 21,059

Posted:

Kelly,

I'm traveling at the moment so I don't have access to all of my resources. However, if you would like a copy of the reports we used at our last meeting to use as a guide, let me know and I can e-mail them to you when I get return.

Tim

[email protected]

BruceF1 (Connecticut)
Posts: 2,535

Posted:

Tim,

The use of the term "old business" (which is very common, but incorrect) would make a parliamentarian shudder. It's supposed to be "unfinished business." There are other, commonly mis-used terms.

I know, I'm being picky.

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