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JohnG18 (North Carolina)
Posts: 3
Posted:
Hi - I am looking for some specific information for North Carolina. At our last annual meeting, we had a motions made to use a substitute agenda. It was passed by a vote of those present in the room. From that agenda, a number of motions were made, some passed, others did not get passed. Since that time the Board, has come out with a letter from an attorney stating that all the motions made were not valid, as the substitue agenda was not valid. They also stated that members are not allowed to make motions at annual meetings. I would like to know if this is correct or not, as everything that i have read tells me that we can provide subsitute agendas, and also make motions at annual meetings.

Thank you
TimB4 (Tennessee)
Posts: 21,059
Posted:
John,

It depends. Motions can normally be made at annual meetings. However, depending on the wording of a motion the motion may or may not be legal.

Example: Motion: I motion that the bylaws be amended to allow yellow paint.
Illegal: Bylaw amendments require proper notification to the entire membership before calling for a vote to amend. Therefore, it wouldn't matter if the motion passed or failed.

Example: Motion: I move that the Board call a future meeting to consider a bylaw amendment to allow yellow paint.
This would be a legal motion that can be voted on my the members present and the Board should comply and have a vote at a future meeting (either at a special meeting or the next annual meeting).

There may be other factors that limit motions at annual meetings. This would depend on your bylaws and state laws. What does your bylaws say about the annual meeting?

Tim
RogerB (Colorado)
Posts: 5,067
Posted:
John, We recommend that immediately after calling a meeting to order the next item on the Agenda be "Approval of Agenda". At that time motions are allowed to make changes to the Agenda. If motion(s) approved, becomes an amended agenda not a "substitute agenda". At an association meeting agenda items can be added which are allowed by the Bylaws. Items which may not be added are changes to the governing documents. We always allow members in good standing to make motions at annual meetings. If the motion is out of order the chair so advises and does not allow the motion to be considered. Without knowing the information the attorney used for the basis of their conclusion there is no basis for a comment. In general, that would not agree with the conduct of meetings with which we are familiar.
MicheleD (Kentucky)
Posts: 4,491
Posted:
I agree with Tim. "It depends."

It's very likely the board and the attorney are correct, though.

The key is the AGENDA.

The annual meeting (generally) has to be "noticed" to all members a certain minimum/maximum number of days in advance of the meeting.

With that notice, (generally) an agenda is affixed.

This alerts all members as to the purpose of and the business to be conducted at the meeting.

If the agenda is then overhauled at the meeting, then (generally speaking) the notice to all members needs to be reset. Otherwise, they do not have legal notice regarding the purpose and business to be conducted at the meeting.

It becomes a sort of "bait-and-switch" that prevents disclosure to all interested parties (members).

The answer to your question, as Tim pointed out, is likely in your association's own by-laws regarding the "notice" requirement for meetings.

RogerB (Colorado)
Posts: 5,067
Posted:
Following are a few examples of motions commonly allowed at an annual meeting.
1. The members formally acqknowledge and thank the Members of the Board of Directors who served during the past year.
2. All votes be taken by secret ballot.
3. The meeting be adjouned no later than 9:00 PM.
JohnG18 (North Carolina)
Posts: 3
Posted:
OK so What I am hearing here is two things, one being the wording used to change the agenda, it was the first motion made after the gavel was banged. The issue was that the board, does not like to discuss certain items, so they keep it off the agenda, no matter how many requests are made to change it. So we thought we would make changes to the agenda, and had a whole agenda prepared, and ready to use. It had all of the original items, plus the items that were left out. Only about 1/3 of the property owners show up, and the board was holding 1/4 of the proxies, and our motion still passed.

The second being what our bylaws state, and they do speak about at least 10 days notice for items to be put on the agenda.

I will have to do some more research
TimB4 (Tennessee)
Posts: 21,059
Posted:
John,

Not knowing what the issues are, most annual meetings are designed as an informational tool with an election thrown in. It's used for the Board to give a report of the Association to the members. An open period should be available to discuss issues or concerns of the membership. However, that is not always required but, in my experience, has been the norm.

That said, since the actual meeting is already over, did you get the information you needed? Were the motions of a nature that should be brought to the entire membership?

If there was a motion about changing something or requiring the board to address an issue, and the Board is saying it's no longer valid, you may want to try attending board meetings and bringing the issue up there. Another option would be to check your governing documents and see what is needed to call a special meeting to discuss these issues (normally a petition from x% of the members). You could include in the petition to hold a vote on all the motions that were brought forward at the annual meeting.

Trying to give you some options. Hope it helps.

Tim
JohnG18 (North Carolina)
Posts: 3
Posted:
Not sure how other communities run, but our annual meetings usual last 8 hrs, because of all the disputed items people in the neighborhood bring up. We are lucky to get the election done, last year the board showed up with no annual reports, their view is that this is all for show, and they bang the gavel, so it does not matter.

At the last annual meeting to try and get the board to address the issues, we decided to use motions, according to Roberts rules. This was not a spur of the moment idea, but one where a dozen home owners sat down regularly for over a month, to educate ourselves on the process, undstand what was important, and make motions to try and move it forward in front of the community as a whole. With a parlimantarian in the room, we were hoping our voices would be heard and we would have a fair chance at getting some motions passed.

At the end of the day, everyone, except the board walked out of thier thinking that finally thier voice was heard, and that it was a good meeting. A few weeks later, they came out with this letter from an attorney stating that what took place was wrong, so all the motions are invalid. This happened after a "community inquiry" which came from the spouse of a board member.

When I brought this up to the president, and said everyone in that room felt their voice was heard, had a part in the process, and voted for something they wanted, all that person did was wave an attorney's document at me and say the people in that room did not know what they were doing.

So for the length of this, but just a small view of what goes on in my little corner of paradise....
MicheleD (Kentucky)
Posts: 4,491
Posted:
With all due respect, John, changing the agenda to an annual meeting, substantially enough to create an entire new agenda (even if some of the "original" items are still on it) is likely not allowed without re-noticing ALL homeowners.

I'm not sure why you are avoiding telling us the details of what was voted on (besides the "new" agenda).

I have no problem with everyone feeling their voices were heard. That is likely true, at least for the people who showed up.

But, depending on what was voted on that was not presented to the entire membership (because the membership was not noticed that the topic would be presented for a vote), then really all voices weren't heard from.

Even so, if what you claim is true, that the board doesn't share the financials and doesn't add requested items to the agenda, then I don't understand why your membership keeps voting the board back in.

Instead of trying to hi-jack the annual meeting, which it sounds like that is what you tried to do, and made a lot of preparation to do that, it seems to me that it would be in your group's best interest to spend the time and energy determining a slate of members to run for the board, learn the controlling documents to your organization and make your "voices heard" the right way.
MichaelK11 (Texas)
Posts: 432
Posted:
Without disagreeing with Roger and Tim, I have trouble imagining circumstances (governing documents, statutes, etc.) where Members are not permitted to make motions at a Meeting of the Association. Such meetings (as opposed to Board meetings) should be run for (and if necessary, by) the Members who attend. Those who do not should be able to sign their proxies over to a Member of their choosing, crossing out the official proxy naming the Secretary (or other Proxy selected by the Board). In technical terms, the Directors and even the Officers have zero authority at a meeting of the Association, other than as Members. The President presides by tradition and by default, but primarily by the will of the Members to permit it.

Usually the Board actually runs the meeting, but it's unfortunate when they do so to restrict the Members from participating in their own Association, and it's unfortunate when the Members allow it.

That said, there are usually rules requiring notice to be given to the Members of business to be conducted at the Meeting. This needs to be conveyed with the meeting notice. Otherwise, it's like sneaking something past the Membership (not necessarily the Board). It's never been clear to me whether this applies only changing the governing documents, to major initiatives, to motions that require supermajorities, or to any motions that may be presented.

In any event, it should be possible for any Member to submit motions for the meeting before the notice goes out. If the Board refuses to add such motions to the meeting notice, and the meeting decides to hear them anyway, I'm pretty sure a Court would either find that the motion is valid or that the entire meeting is out of order and needs to be held again.

What I don't get, is if so many Members feel they are not properly represented on the Board, that their Directors are controlling and secretive, then why didn't they run for the Board and get voted in?
MicheleD (Kentucky)
Posts: 4,491
Posted:
The issue is not the ability to make motions or not, but to substantially change the agenda, and in doing so adding items that require a vote where all members have not been noticed on the new agenda items to be voted on.

I think other posters have already said that members many times can and do make motions at meetings.

It's what those motions are that make a difference.
RobertR1 (South Carolina)
Posts: 5,164
Posted:
JohnG18,

Just an observation.

This far into the post this matter seems to be hung on on "Did the lawyer make the right decision/"? I would also like to see how they are going to handle the record corrections that will have to be made.

But, taking that question, and projecting if you find out the answer things will progress , to me, is doubtful. So, lets say you have 15 members that were involved in the "Agenda change" ploy. Roberts Rules is simply a guideline and no one is going to jail for breaking a rule by Robert's. Back to practicality; You all know you ALL pay for this lawyer opinion...........done deal.

Some don't like his decision, we can understand that, but if you continue fighting that battle, what do you gain? Nothing I can see except set yourselves up for more legal expenses.

Consider taking another tack, learn from your mistakes and if you feel you don't know enough as a concerned group of Homeowners, hire a lawyer to put you on the right track. To call a special meeting to dicuss specific issues of concern has merit, but only after taking your concerns to the Board at a Board Meeting and expressing your interest and convictions.
I suggest you be willing to accept small steps to improve your associations and look at this long term and with a olive branch in your hand. Get this all on record, be an active force in your community and collect supportors. If you can work things out with the board from this position of power, all will benefit, if the Board wants no part of this, back to your covenants and by-laws to effect change under your documents. Take your time, things are always envoilving at an HOA, good and bad. At this point stay focused on what you desire to happen and use your documents. Remember, you will have to pass these people on the street down the line, remember your interest is to make a better association for everyone.............but bottom line it is to make a better association.
MaryA1 (Arizona)
Posts: 7,043
Posted:
John,

As to whether or not the agenda can be changed and/or motions can be made by the membership -- that is motions that would require a vote of the membership to change or alter something, is dependent upon what your gov docs and/or state law dictate. For example, in AZ anything that is to be voted on by the membership must be so stated on the ballot that accompanys the annual meeting notice. The fact that the BOD's attorney ruled all the motions made at the annual meeting as invalid may be because the motions made and voted on did not pertain to issues that the membership has the authority to change. The BOD has the authority to run the assn and the majority of the decisions that are made can only be made by them. For example, the members cannot vote to fire the manager, hire an attorney of their choosing or perhaps even change the budget. Of course they may voice their objection and even suggest certain changes be made, but they do not have the authority to make those changes and the board does not have to take their recommendations and act upon them. For all practical purposes, there are really very few things the members have the power to dictate over. In most assn's the members only have a voice in board elections and CCR amendments -- period! Since you haven't bothered to inform us of the exact motions that were made and voted on, it's really hard for us to judge whether or not the attorney acted properly.

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