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GerryS2 (Texas)
Posts: 4
Posted:
Some members of our association are suggesting the Board appoint officers that are not directors. New for us has anyone tried this?
MaryA1 (Arizona)
Posts: 7,043
Posted:
Gerry,

The board must do what is specified in your bylaws. They cannot just do whatever the members say or even whatever they like. Most assn bylaws state that the members elect the directors and the directors, in turn, either appoint or elect the officers from among themselves. Let the members know this and if they don't like it then let them know they have the option of not voting to elect a particular member who they do not want to be an officer.
MicheleD (Kentucky)
Posts: 4,491
Posted:
In addition, some organizations' governing documents allow for officers and/or directors that are not association/organization members while others strictly forbid it.

So it would greatly matter which position your organization's governing documents hold.

DennisT (Ohio)
Posts: 109
Posted:
What officers are the members suggesting be created? I doubt that they've requested that officers be created just for the sake of being created.

Even if your bylaws prohibit appointing other officers if there's some need it might be possible to have a member head it up without the formality of being an officer but that's going to depend on what the roles and responsibilities are.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By DennisT on 12/06/2009 2:12 PM
What officers are the members suggesting be created? I doubt that they've requested that officers be created just for the sake of being created.

Even if your bylaws prohibit appointing other officers if there's some need it might be possible to have a member head it up without the formality of being an officer but that's going to depend on what the roles and responsibilities are.

Dennis, I don't read Gerry's post as the members asking the board to create officer positions that don't currently exist or appointing "other" officers.

I read Gerry's post to mean that the membership wants the directors to appoint people who are not currently directors on the board to [existing] officer positions.

What I understand is "new" to them is the idea of appointing people who are not members of the board of directors to hold an officer position on the board.

What we don't know is what their governing documents dictate as to who qualifies as being an officer or not.

In our HOA, officers must be directors, BUT, directors do not have to be association members. So technically our board of directors can elect from among themselves officers who are not members of the association.

In the meantime, an HOA right next to us specifies that only members of the association can be elected to the board of directors and only members of the board of directors can hold officer positions.

But I could be the one misunderstanding the question.

I suppose Gerry can drop by and set us both straight.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
To all,
I am not sure this has been covered here specifically but our documents allowed the Board to appoint "Officers" among the membership. They are not Board members, have no Board vote, and report to the board as the authority to appoint them by the Board outlines. This is simply, from what I can figure, a vehicle for the Board to appoint and bestow some official capacity on a member that likely would agree to accept a special project. Many member have specific expertise in areas that could provide valuable guidence by an expert. A lawyer comes to mind. Our Board could, with his/her concurance, appoint them a "Officer" of the Board. Different than a Board Officer that would be a director. I would expect the appointment would have a termination date.
MichaelK11 (Texas)
Posts: 432
Posted:
I don't think Gerry said anything about creating new offices, but asked about filling offices (probably standard, existing offices) with non-Directors. These may technically be considered to sit on the Board, since they would attend Board meetings, but only Directors would vote. The term "member of the Board" is vague.

While governing documents may require officers to be Directors or not, I suspect a common template is to require the President and Vice President to be Directors and allow the Treasurer, Secretary and committee chairs to not be Directors.

Gerry, in what part of Texas is your HOA, please?
GerryS2 (Texas)
Posts: 4
Posted:
First I want to thank all of you for your help with this. Michael the condo is in Corpus Christi.
Our By laws do not state that the officers must be directors. They say that the directors will elect officers. The officers will serve at the pleasure of the Board.
In his book "Field Guide to Developing and operating your Non Profit Board of Directors" Carter McNamera writes that the President, Vice President Treaurer and Secretary be members of the Board.
At this point I want the person writing the checks and entering into contracts to be someone we all vote for. But I am trying to keep an open mind and learn if this works for anyone else. Thanks again
MaryA1 (Arizona)
Posts: 7,043
Posted:
Gerry,

Can you post, verbatim, the article in your bylaws that says the BOD will elect officers? Since you state the bylaws say "the directors will ELECT officers", I'm of the opinion that means they are electing fellow directors to the officer positions - Pres, V.P., Sec & Treas. This is the procedure in most assn's -- the officers are also directors who have been elected by the membership.
MichaelK11 (Texas)
Posts: 432
Posted:
For comparison, I read the opposite in Gerry's post.

In the more common situation, where Directors choose the Officers, the word 'elect' doesn't say anything about who they 'elect' -- just that they do it by vote, as they do everything else. If there is no provision to restrict who can be an Officer, then it is not restricted. I don't like to use the terms "elect" for a Board vote or "member of the Board" for Director, just because they can be confused with other things, but these are still the terms I see most often in posts about governing documents.

Either Directors elect the Officers or the Members do it. Someone has to do it. I think it's more commonly the Directors, but some HOA's are structured to have the Members do it directly. (In the latter case, the Members usually to elect Directors as Officers, so the Officers are always Directors.) (I am not claiming to have statistical information about what is common -- I'm making a barely supported guestimate from reading thread in this forum and other similar, anecdotal information. I think it's still relevant in this context, but I want to avoid suggesting that I know something I don't.)

I suspect it actually is the accepted procedure in most Associations to choose Officers from among the Directors (as Mary said), regardless of whether this is required by the governing documents. My HOA has always done this, although only the Pres and VP are required to be Directors.

I certainly agree that we don't know what's in Gerry's governing documents, and it was a good idea to ask to post the relevant provision(s) from the Bylaws.
GerryS2 (Texas)
Posts: 4
Posted:
Hi Our By-Laws read: "Officers
6.1 Designation. The officers of the Aasociation shall be a President, Vice President, Secretary and Treasurer, all of whom shall be elected by the Board of Directors.
6.2- ELECTION OF OFFICERS. The officers of the Association shall be elected annually by the Board of Directors at the organization meeting of each new Board and shall hold office at the pleasure of the Board.
6.3 Removal of Officers. Upon an affirmative vote of a majority of the members of the Board of Directors, any officer may be removed , either with or without cause, and his successor may be elected at any regular meeting of the Board of Directors or at any special meeting of the Board called for such purpose.
6.4 PRESIDENT The president shall be the chief executive officer of the Association. He shall preside at all meetings of both the Association and the Board of Directors. He shall have all the general powers and duties which are usually vested in the office of president of an association, including, but not limited to, the power to appoint committees from among the Owners to assist in the administration of the affairs of the Association, the President, or his designated alternate, shall represent the Association at all meetings of the Owners Association."
Up until now the officers were Board Members, who decided among themselves who would take the responsibility of each office. A suggestion has been made to have the Board elect the officers from the owners or from the community. Thanks again Gerry
MicheleD (Kentucky)
Posts: 4,491
Posted:
I would not elect from the community. For one thing, it would be hard to find a member of the community who would be willing to be the president of an HOA board for free.

I might go along with electing from the general membership, but what do your documents say the maximum number for board members is? Would not electing non-director officers exceed the number of board members allowed?

RobertR1 (South Carolina)
Posts: 5,164
Posted:
Gerry,
Your document language is close to mine. If you have an article titled Board of Administration this is what mine says:
Number: (in part)The initial board shall consist of 3 individuals whose names are set forth in the articles of incorporation. From and after the date of the first annual meeting there shall be five members of the Board.

Then several articles down under officers it states:
There shall be elected annually by and from the Board, a President, a Secretary, and a Treasurer. The Board may also elect from time to time such other officers as in their judgement may be needed, which officers need not be Board members.
*************************************
Since reference is made in our documents that all members of the Board shall be voting elected owners, I read this to mean, our board can appoint officer for specisl duties as defind by the board to provide them a service. Since they are not elected by the members, they have no Board vote, nor do they have membership duties to perform. Their job is to serve trhe Board as directed by the Board. In 28 years our Boards have never elected to use this resourse, if anything they rely on Committees. I would like them to use this provision as it would directly involve more members and we, and other Condos (and HOA's) have untapped resources in the membership. This way The appointees would carry the authority of the Board and would report to the Board, and not through a committee.
MichaelK11 (Texas)
Posts: 432
Posted:
Quote:
Posted By GerryS2 on 12/07/2009 9:20 AM
The officers will serve at the pleasure of the Board.

At this point I want the person writing the checks and entering into contracts to be someone we all vote for.

But I am trying to keep an open mind and learn if this works for anyone else.
The Directors are responsible for the governance of the Association. I think it makes perfect sense for contracts and checks over a certain amount to require authorization of the Board and signature of a Director. The Directors should make the decisions, regardless.

But I don't see a problem if administrative chores are delegated to a Secretary or Treasurer who is not a Director (especially if this helps gets people who do those jobs better), and I like the idea of involving more homeowners this way and splitting up the work.

I'm no expert in governance -- this just seems sensible to me.

I'd like to see what posters who have studied governance have to say. Also, whether those who have had non-Director Officers and committee chairs encountered problems that could be related to that situation or think their Assoication benefitted from that.
MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By MicheleD on 12/07/2009 7:03 PM
I would not elect from the community. For one thing, it would be hard to find a member of the community who would be willing to be the president of an HOA board for free.

I might go along with electing from the general membership, but what do your documents say the maximum number for board members is? Would not electing non-director officers exceed the number of board members allowed?


Just so it's clear, by "community" above I do not mean the association community. I mean the local community in which the HOA exists. I was presuming that's what you meant by "community" as well.
MaryA1 (Arizona)
Posts: 7,043
Posted:
Gerry,

Well, that doesn't spell it out exactly. However, I would say the best course of action is to continue as past boards have done: elect the officers from the directors who have been elected by the members. There is nothing in this article of the bylaws saying whether or not the officers are board members. But if the bylaws say there will be 5 board members and the membership elects all 5, then it stands to reason the officers would not be directors (voting board members)if they are not chosen from the elected directors. Why would someone want to serve in the capacity of an officer and not be a board member with voting rights and a say in running the assn when they, in fact, are doing all the work?

Is there a section titled "directors" that might shed more light on this issue?

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