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AaronJ (California)
Posts: 48
Posted:
A Board member wants to move the date of elections up by two months so new board members would be installed prior to voting on the next years budget. First of all can that be done? Im assuming all the current board members would have to agree to give up their positions two months early to allow for the election of new members. Can a vote of the majority of the board vote to change the election date? What if i chose not to end my term early.

Honestly, I don't see the point in this. I would rather have people who have been working with the budget all year long to develop next years as opposed to a group of people who have no idea what they are doing.
KerryL1 (California)
Posts: 14,550
Posted:
I'd rather have more experienced directors work on the budget, too, Aaron! We usually finalize ours just before the elections in late October. While it may seem wrong to stick new directors with "someone else's" budget, our budget lis too complicated to learn in a few weeks.

But what do your bylaws say?? Read them! Generally they state that elections for directors are held annually. This is why is called the ANNUAL meeting of the Members (homeowners). So that does NOT mean 10 months after the previous election. And you probably may not change that bylaw simply with a vote of directors. You probably need a vote by homeowners & the expense & time that entails.

You might end up needing a legal opinion on this, but I'd say no, the Board can't simply cut short the terms of one or more directors elected by homeowners!

NpS (Pennsylvania)
Posts: 4,216
Posted:
In our case, we have 2 mandatory events that occur at the Annual meeting. New board members are elected and budget is ratified. If we were to make the change you are talking about, we would have to have 2 sets of votes. Too inconvenient to consider.

Also, our budget process takes much longer than 2 months. Our budgeting calendar looks like this:
Nov: begin budget planning discussions.
Jan: board approves budget.
Feb: distribute budget to HOs.
Mar: annual meeting & budget ratification.
Apr: new fiscal year begins.


Sikubali jukumu. Read all posts at your own risk.
MaggieF1 (South Carolina)
Posts: 4
Posted:
We've had two annual meeting dates moved ahead ... both were scheduled only a week earlier and board approved. Both of our associations must approve their budgets and forward them to the owners by the 1st of the year in accordance with our Master Deed and By-Laws. The annual meetings and elections are in April and May, also in accordance with our master documents. You need to check the details in yours.

Two months early seem out of line.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Our Annual Meeting is in April. At that meeting we also have BOD Elections and we present the Prior Year Actual Budget (Final) and the present Year Forecasted Budget. We have the Present Year Forecasted prepared well before that but traditionally this is when it has been presented. Thus this Budget was done by the prior BOD, not by any newbies elected in April.

This coming year we will need to do it different. We will be implementing an Annual Assessment (Dues) increase for 2016. Our Covenants call for us to present the dues increase for 2016 along with a copy of the 2016 Forecasted Budget to each owner 30 days prior to implementing the increase. Thus we will be doing so on or before 12/01/2015 so we can implement the dues increase on 01/01/2016.

Our Covenants say the Budget and the assessment increase shall become effective unless disapproved at a meeting by a majority of the Total Association Vote. In our case this would be 57 of 113 disapproving. As there is not a meeting scheduled until the Annual April Meeting, then it would require a Special Meeting. A Special Meeting can be called by 10% of members but they would still need 57 of 113 disapproving.

Never, ever is a dues increase accepted nor liked by all. One can expect some disgruntled members but the question is will there be enough of them willing to take the appropriate action to stop it? In our case, I expect there will not be enough to stop it.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Our outgoing board prepares a draft recommended budget.
It is presented to the membership at the annual meeting.
New Board adopts or amends and adopts the draft budget at their first meeting due to notice requirements.

Annual Meeting held in late October
November is organizational meeting of new Board
December 1 notification to membership of annual assessment required to be mailed.

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