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TomS25 (Virginia)
Posts: 3
Posted:
Hi everyone,

In the state of Virginia, all public meetings are subject to Open Meetings laws and there are specific provisions within the Virginia Property Owners Association Act (POAA) as indicated below.

§ 55-510.1. Meetings of the board of directors.

A. All meetings of the board of directors, including any subcommittee or other committee thereof, shall be open to all members of record. The board of directors shall not use work sessions or other informal gatherings of the board of directors to circumvent the open meeting requirements of this section. Minutes of the meetings of the board of directors shall be recorded and shall be available as provided in subsection B of § 55-510.

B. Notice of the time, date and place of each meeting of the board of directors or of any subcommittee or other committee thereof shall be published where it is reasonably calculated to be available to a majority of the lot owners.

Voting by secret or written ballot in an open meeting shall be a violation of this chapter except for the election of officers.

We now have an upcoming "special meeting" where our HOA needs to vote on an amendment to our Declaration and we are being told by the HOA Board of Directors that this will be a "confidential" and "anonymous" vote. However, since the vote is not for the election of members of the Board of Directors, many of us believe that making this vote anonymous is a violation of the Open Meetings law as stated above. Does anyone know if this is the case?
TimB4 (Tennessee)
Posts: 21,059
Posted:
Tom,

I expect that since your voting on amendments to the Declaration (CC&Rs) that your "special meeting" is a general membership meeting and not just a meeting of the Board.

With this expectation, the short answer is No, it is not a violation of the VPOAA. The longer answer is below:

VA § 55-510.1 addresses meetings of the Board of Directors and meetings of various Committees. It is not applicable to general membership meetings.

VA § 13.1-839 (and other sections) of the Nonstock Corporation Act, if applicable (and it usually is as most Associations are incorporated as a nonprofit), applies to special meetings of the general membership.

Typically, in a general membership meeting, the voting of Directors is done by secret ballot. For any other issue presented to the general membership for a vote may be done by secret ballot, non-secret ballot (ballot identifies member or lot), by show of hands or by voice vote. The decision of which method to use is left to the Board.

Since your voting on amending the CC&Rs, your Board is doing the correct thing by requiring written ballots (as this provides documentation if the vote is challenged). They have chosen to use a secret ballot probably to encourage members to vote.

Hope this helps,

Tim
CarolR11 (Colorado)
Posts: 2,563
Posted:
I see it the way that tim does, Tom. It's not unusual for folks to not see the distinction between meetings of the member(ship) and meetings of the board.

Folks also sometimes confuse "officers" with "directors. In general, directors are elected by the membership, while officers are elected by the Board of directors.

If VA law is like ours in CA. Members--homeowners-- must be permitted to observe the ballot tabulations--this cannot be done behind closed doors. Perhaps that's your concern?
LarryB13 (Arizona)
Posts: 4,099
Posted:
Tom,

There may be another problem here.

Declarations often have language for amendments that requires something along the lines of "execution of and recording an instrument." In plain English, it means the amendment must be in written form, all those who approve of it must sign sign the form, and, if enough owners approve, it gets recorded.

You might want to check your declaration for the exact language for amendments, but voting by a secret ballot is not a common method of amending a declaration. Most amendment language requires a certain percentage of owners to agree and not just enough to form a quorum at a special meeting. Sometimes it is even necessary to obtain approvals from mortgage holders.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Larry,

In 1993 my Association was able to record amendments with notarized signatures of the Board attesting to the voting results. It was done through the attorney, therefore, I expect that it was legal.

However, I like your method better.
TimB4 (Tennessee)
Posts: 21,059
Posted:
From VA § 55-515.1:

F. Agreement of the required majority of lot owners to any amendment of the declaration shall be evidenced by their execution of the amendment, or ratifications thereof, and the same shall become effective when a copy of the amendment is recorded together with a certification, signed by the principal officer of the association or by such other officer or officers as the declaration may specify, that the requisite majority of the lot owners signed the amendment or ratifications thereof.
LarryB13 (Arizona)
Posts: 4,099
Posted:
Quote:
Posted By TimB4 on 03/13/2013 11:05 AM

However, I like your method better.

It's not my method. Most declarations have some means to amend them and some procedures are more onerous than others. But if the declaration specifies one method of amendment I do not believe that the association can subsitute some other method, although from previous discussions on this forum it seems to happen a lot.

My own association put one amendment up for vote by the members in spite of a requirement for a different procedure. The amendment was demanded by a dissident group of owners who wanted to split the association and from the member vote it was clear that it had the support of maybe 5% of the owners. Putting the amendment up for a vote where the disgruntled owners lost took the wind out of their sails.

VA § 55-515.1 may provide more argument than it settles. It appears to defer to the Declaration for determining the "required majority" while overriding (or at least ignoring) the Declaration's other provisions for amending. It seems to set out two different avenues for amendments: first, a recorded document signed by the owners; and, second, a vote (ratification) certified and recorded by the principal officer.

The problems I see with that second method is that everyone must take the word of the association's principal officer, without any other evidence, that the required majority of owners approved. That opens the door to way too much abuse. A secret ballot, as the OP discussed, would provide no evidence of which owners approved or even that the ballots were cast by owners.

TomS25 (Virginia)
Posts: 3
Posted:
All,

Thank you for all of your responses and input. This forum now represents a greater amount of dialogue than my HOA Board of Directors has allowed in the past 2 years!!! Needless to say, I live in an HOA where the BOD thinks they are royalty and their decrees must be accepted by all without question or anyone who dissents is banished to purgatory.

The reason I brought up this issue is that we are voting on this proposed amendment for the 2nd time (our coalition successfully rejected the amendment the 1st time). Rather than consider a compromise agreement that our entire HOA would have supported, the BOD has asked for a vote on the same amendment again because "they were a few votes short" of the 2/3 majority required for the amendment to pass. Given the history of the BOD (they actually forged the proxy of a deceased person a few years ago to get enough votes to support one of their initiatives), I question whether it is legal for this vote to be conducted anonymously since I believe that the BOD will do anything necessary to get this amendment to pass.

If there are any lawyers licensed to practice in the Commonwealth of Virginia and could offer some perspective, please let me know. While I'd like to avoid lawsuits, I am not going to allow our HOA BOD to violate the law. Thanks again for everyone's input.

Cheers,

Tom
TimB4 (Tennessee)
Posts: 21,059
Posted:
Quote:
Posted By LarryB13 on 03/13/2013 1:49 PM
That opens the door to way too much abuse.

I agree

Quote:
Posted By LarryB13 on 03/13/2013 1:49 PM

A secret ballot, as the OP discussed, would provide no evidence of which owners approved or even that the ballots were cast by owners.

I agree that it wouldn't provide it to the recording office.
However, if challenged, the Association would need to produce the membership list, the sign-in sheet, proxies accepted and the actual ballots. Otherwise, it's likely that the Association might lose the challenge and have to do the whole thing all over again.
JohnC46 (South Carolina)
Posts: 14,265
Posted:

However, if challenged, the Association would need to produce the membership list, the sign-in sheet, proxies accepted and the actual ballots. Otherwise, it's likely that the Association might lose the challenge and have to do the whole thing all over again.

This the way I understand it. The data/information must be kept in case of a challenge.

Many on here are paranoid that BOD's are stacking the vote. They are usually the same people calling for a secret ballot but get upset and claim cheating when the vote goes against them.

On one BOD I was on we had an owner going around claiming the BOD was controlling the election. In one meeting he went on and on. We asked him if he would like to be on our Election Committee and help us. He said yes. His side of an issue lost big time. He never accused anyone after that.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Tom,

John makes an excellent point.
You might want to offer to serve on the election committee.
They may turn you down but they might also say yes.
TomS25 (Virginia)
Posts: 3
Posted:
John/Tim:

Thank you for your insight. I will offer to serve on the election committee and will see if the BOD accepts my offer. I am 99% sure that they will not, though, as they seem to have a personal vendetta against me. It is worth a shot, though.

Sincerely,

Tom
LarryB13 (Arizona)
Posts: 4,099
Posted:
Quote:
Posted By TimB4 on 03/13/2013 2:11 PM
However, if challenged, the Association would need to produce the membership list, the sign-in sheet, proxies accepted and the actual ballots. Otherwise, it's likely that the Association might lose the challenge and have to do the whole thing all over again.

This means keeping all those supporting documents available forever versus recording signed amendments in the first place. In the long run, I don't think most associations will find "ratification" is a good idea. I also suspect that in the future there will be a lot of associations advancing the argument known to school children everywhere: the dog ate my homework.

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