Focus Magazine - July/August 2012

Focus L.A.’s Premier Source of Information for Community Associations July/August 2012 Trends Updates& Electric Vehicles 103 Benefits of Mediation Get Off My Lawn! SaVE ThE DaTE: Casino NovemberNight3

4:00 & 7:15 p.m. Free Legal Advice Sessions for HOA Community Leaders 5:00 – 9:00 p.m. Chance to Connect with 80+ HOA Service Providers 6:30 – 7:15 p.m. Special Educational Presentation & Credit for Managers HOrS d’OE u vr E S SPOnSOr dESSE rt SPOnSOr COr POr AtE SPOnSOrS v ISIt MOrE tH A n 80 LEAdI nG COMPA nI ES dE dICAtE d tO SE rv I nG tH E COMMunIt Y ASSOCIAtIOn I nduStrY and get your legal questions answered at our F rE E LEGAL SEMI nA rS. S P o n S o red byCommunity AssociationsInstitute For HomeownersManagersMembers,AssociationCommunityBoardHOAandliving Communities.Association-governedin ($40 admission per person for General Public; no soliciting permitted; must be over 18 to attend due to alcoholic beverage service.) Registration required.October 3 CAI Exhibition & Education Skirball Cultural Center • 2701 N. Sepulveda Blvd. Attention! Community Association Boards & Managers!! OnlineRegisterNow! www.cai-glac.org Service Providers in the following areas will be on-hand to showcase their products & services and answer your questions: • Air Quality Consultants • Alarm Sales & Service • Asbestos Removal • Assessment Collection • Bird Control • Chimney Cleaning • Concrete Repair • Construction Defect • C onstruction Management & Consulting • Decking & Deck Coating • Duct & Vent Cleaning • Election Services • Electric Vehicle Charging Stations • Elevator Service • Emergency Service • Environmental Testing • Fencing • Financial Services • Insurance • Internet Services • Janitorial • Landscaping • Legal • Mailboxes—Sales,Installation,Repair • Maintenance & Repair • Mediation • Mold Remediation • Painting Contractors • Paint Suppliers • Pest Control • Plumbing • Pool Plastering • Solar Heating & Lighting • Reserve Studies • Roofing • Security • Tree Services • Wood & Wrought Iron Repair

Valencia Management Group April ServproTronsonofBurbank, Chatsworth, Van Nuys & Crescenta Valley MEMBERSHIP Vanessa

issues. Authors

Matthew Gardner, Esq., Richardson Harman Ober PC FOCUS Magazine

Matthew Gardner, Esq., Richardson Harman Ober PC Membership

Catherine Gemind, CMCA®, AMS®, PCAM® Acosta, Brockhouse,

Michael Lewis, CCAM®, CMCA®, AMS®, PCAM® Concept Seven, LLC, 310-622-7012

FINANCE

Jolen Zeroski, CMCA®, Union Bank

Daisy Vasquez, Securitas Security Services USA, Inc.

Gregg Lotane, CCAM®, PCAM® The Wilshire Condominiums, 310-446-5333

The

West Landscape Maintenance PUBLICATIONS

Gail Jones, CCAM®, CMCA®, AMS®, PCAM®, Valencia Management Group

Gregg Lotane, CCAM®, PCAM®, The Wilshire Condominiums

ChaPTER DIRECTOR

PROGRAMS

Jolen Zeroski, CMCA®, Union Bank

WINE NIGHT

information on

Meigan Everett, CMCA®, Power Property Management

AMS®, Rockpointe HOA MEDIATION SERVICES

Joanne Pena, CCAM, CMCA, AMS, PCAM, Horizon Management Co.

on Willshire PUBLIC RELATIONS

Mission Valley Bank Carol

EXECUTIVE

GOLF TOURNAMENT

Directory

SATELLITE

Craig Phillips, CCAM®, CMCA®, AMS®, PCAM®, International Tower Owners Assn.

2012 BOaRD OF DIRECTORS Officers Jeffrey A. Beaumont, Esq., President Beaumont Gitlin Tashjian, 818-884-9998

Matt Davidson, CCAM® Action Property Management, 800-400-2284 Pamella De Armas SAX Insurance Agency, 310-740-4274

Web Site Lynne Collmann, CMCA®, AMS®, Savoy Community Association

Catherine Gemind, CMCA®, AMS®, PCAM®, President Elect Valencia Management Group, 661-295-9474 Matt D. Ober, Esq., Vice President Richardson Harman Ober, PC, 626-449-5577

EDUCATION

Joan Urbaniak, MBA, CMCA® 2012 COMMITTEE ChaIRS

Linda Healey, PCAM®, Californian

is a national, not-for-profit association created in 1973 to educate and represent America’s residential community association industry. National Office Address: 6402 Arlington Blvd. #500, Falls Church, VA 22042 Tel: 888/224-4321 • Web Site: http://www.caionline.org NEwSwORThy 4 Electric Vehicles 103 6 Benefits of Mediation 8 “ S mart” Irrigation Controllers 10 Ge t Off My Lawn! 12 NE WS FROM S ACRAMENTO: Delegate/Liaison Selection Processes 20 How to Get the Most Out of Your Association’s Service Providers 22 Swimming Pool Safety Update 24 W hen to File a Directors and Officers Claim ChaPTER UPDaTE 2 Note From the Editor’s Desk 3 P resident’s Message NOTEwORThy 16 Golf Tournament Highlights 26 Game Night Highlights FyI 3 E ssentials of Community Leadership 30 C AI-GLAC Membership News 32 2012 Upcoming Events 32 A dvertisers Index 32 A dvertising Information Save the Date: C asino NovemberNight3 see page 5 130 N. Brand Blvd., Ste. 305 Glendale, CA 91203 Office: 818-500-8636 Fax: 818-500-8638 StAy ConneC ted: On the Cover The Brentwood at Kiowa Homeowners Association, Los PhotoAngelesCourtesy of Stanley Lifton

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solutions

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CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 1

Matthew Grode, Esq., Gibbs, Giden, & Senet,

SOCIAL Pamella De Armas, SAX Insurance Agency, Inc.

COMMUNITY OUTREACH

Alba Monroy, ABM Property Management

This publication seeks to provide CAI-GLAC’s membership with community association are responsible for developing the logic CAI-GLAC does not necessarily endorse or approve opinion these pages and assumes no responsibility those submission of editorial content to CAI-GLAC, author acknowledges and CAI

Sherry Branson, Kevin Davis Insurance Services

Stephen S. Grane, Alante/MCS Insurance Services

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Lisa Tashjian, Esq., Beaumont Gitlin Tashjian

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Robert Gavela, Park

Teresa Agnew, Gifted... creative marketing

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Joanne Pena, CCAM®, CMCA®, AMS®, PCAM®, Secretary Horizon Management Company, 310-543-1995 Katy Krupp, Treasurer Fenton, Grant, Mayfield, Kaneda & Litt, LLP, 949-435-3800

LEGISLATIVE ACTION

D i rec TO r s T ina Chu, Esq. Adams Kessler, PLC, 310-945-0280

Robert Ridley, Esq. Castlegate HOA, 213-626-0291 David C. Swedelson, Esq. Swedelson & Gottlieb, 310-207-2207

Locher, Turner

2 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter

Editor 2012 SuperCaI-GLaCSponsors PlaTinum Anderson Group Int’l Restoration & Remediation Contractor Animal & Insect Pest Management, Inc. Duramax Building Products Pacific Western Bank Payne Pest Management Preferred Commercial Painting, Inc. R.W. Stein Painting, Inc. Wolf, Rifkin, Shapiro, Schulman & Rabkin, LLP GO lD B eaumont Gitlin Tashjian Behr Paint Corp./THE HOME DEPOT USA CertaPro Painters Ltd. Del Mar Pacific General Contractors Farmers Insurance Group— Steven G. Segal Insurance Agency, Inc. Fenceworks, Inc. Fenton, Grant, Mayfield, Kaneda & Litt, LLP Ferris Painting, Inc. First Bank Association Services Hi Tech Painting & Decorating, Inc. Mutual of Omaha Bank/CondoCerts PCW Contracting Services, Inc. Popular Association Banking Rodent Pest Technologies, Inc. Ross Morgan & Company, Inc. Securitas Security Services USA, Inc. Select Painting Sky Security Services, Inc. si lver Accurate Termite & Pest Control Association Reserves, Inc. Collins Builders, Inc. Marina PaintingLandscapeUnlimited, Inc. Reconstruction Experts, Inc. Reserve Studies Incorporated S.B.S. Lien Services SAX Insurance Agency Stay Green Inc. Swedelson & Gottlieb Three Phase Electric Timothy Cline Insurance Agency, Inc. Union Bank BrO n ze Action Duct Cleaning Company Advanced Painting, Wood Repair & Wrought Iron Berg Insurance Agency, Inc. City National Bank DM Construction Services LPS Field Services Mission Landscape Services Patriot Environmental Laboratory Services, Inc. Poindexter and Company, CPAs Professional Services Construction, Inc. Richardson Harman Ober PC Sherwin-Williams Paint Silldorf & Levine, LLP We thank our 2012 sponsors who have made a substantial contribution to ensure our continued success this year. Contact the Chapter Office at 323-254-9526 to sponsor a program or an event. FROM THE EDITOR ’ S DE SK nOTe CAI-GLAC does not necessarily endorse or approve statements of fact or opinion made in these pages and assumes no responsibility for those statements. Authors are responsible for developing the logic of their expressed opinions and for the authenticity of all facts presented in articles. Looking at Trends& Updates

WE ARE NOW OFFICIALLY MORE t han halfway through the year and enjoying a beautiful summer so far. A presidential election is right around the corner, and many issues are on people’s minds: the economy, gun control and the

Theenvironment.firstarticle in this issue gives an update on electric vehicles and the charging stations each vehicle owner needs to have. Many car manufacturers are introducing new EV models, so it’s just a matter of time before more and more condo owners will be adding their charging station to the association’s garage. Todd Ritter writes about the issues surrounding this trend and what you need to know to handle it. Mediation is a benefit to everyone. Property owners and associations alike win in the end when mediation is used as opposed to a lawsuit. Laura Snoke, Esq. describes how mediation works and how it is favored under the law. Keeping your landscapes healthy and attractive during this summer heat can be costly. Danny Smith educates us about “Smart” controllers and how they can save associations money. When someone builds something on someone else’s property, it is called encroachment. Brian Moreno, Esq. discusses several alternative approaches to resolving encroachment issues in common interest developments that may result in significant savings to the association and avoid litigation. Every day community managers are working with an endless number of service providers landscapers, electricians, attorneys, insurance brokers, etc. t he list goes on and on. Roman Esparza, CCAM, suggests ways to form a lasting, positive relationship with your service Richardproviders.Dietzgives us an update on pool safety and the Virginia Graeme Baker Act. He provides valuable information on spa and pool safety requirements and discusses device choices that meet compliance Directorsstandards.and Officers Liability Insurance is a must for all community association board of directors. Patrick Prendiville gives excellent advice on when it may be appropriate to file a D & O claim with your insurance broker. Enjoy the rest of the summer and happy reading! — Sherry Branson

Attend upcoming programs, including the Wine Night, luncheons and Casino Night. Reach out to those you feel can benefit from Chapter membership and invite them to join in our great success. Remember our mantra this year: “Better. Together.” I applaud each and every one of you for working hard to better our Chapter and this great industry.

GoTBDLocation:towww.cai-glac.org for more details and registration. RockpointeLocation: HOA, Chatsworth Go to www.cai-glac.org for more details and registration.

$80/Member;Cost: $100/Non-member Next Class: April 14, 2012

$80/Member;Cost: $100/Non-member Next SeptemberClass: 15, 2012 Approved Department Real as a proper use of association funds. Course fee includes course materials, continental breakfast and lunch. Workshops are held on Saturdays. Call the Chapter Office at 818.500.8636 for a Workshop schedule. The location varies — if you can guarantee 10 attendees, we’ll come to your association! To learn more about CAl’s newest service and how mediation can benefit you, call the Chapter Office at 818-500-8636.

It is with great honor and satisfaction to tell you we are better—better today than yesterday, and better tomorrow than today. On July 15 we opened our new office in Glendale and will hold an open house on August 28. It’s beautiful, functional and accessible. It is 1,500 square feet of cleverly-designed space, consisting of two offices, storage room, reception area and a full conference room. Recently, our board of directors learned that it is faced with a good problem. We are nearing a reclassification of our chapter, from “large” to “very large.”

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 3

FROM THE P RESIDENT messaGe Together.Better. and budget. Game Night was equally successful, with a great turnout and stellar experience. Along with that we’ve continued to experience thoughtprovoking discussions on timely topics at our luncheons created and coordinated by the Programs Committee. All this effort, with the hard work of the Chapter’s Board and Executive Director, is what makes our chapter such a special Goingorganization.forward please be sure to help us help you and continue to work together.

� Jeffrey A. Beaumont, Esq. 2012 Chapter President

This is exceptional news because it means we are growing—with HOA board member, manager and business partner memberships on the rise. The numbers prove that our combined efforts are paying off, but they also challenge us to work harder to ensure that we are prepared to meet the more stringent standards of what may be our new Iclassification.cannotwrite you without acknowledging that our success is due largely to the overall hard work of our committee chairs, committee members and board of directors. Our recent Golf Tournament was a hit (no pun intended), as we both met and exceeded the expectations of our golfers, sponsors

Approved by the Department of Real Estate as a proper use of association funds. Course fee includes course materials, continental breakfast and lunch. Workshops are held on Saturdays. Call the Chapter Office at 323.254.9526 for a Workshop schedule. The location varies - if you can guarantee 10 attendees, we’ll come to your association! Have You Just Been Elected to Your Board... Or Are Contemplating Running for a Board Seat? CAI offers a one-day workshop that you won’t want to miss! It gives you the basics that you need to govern more effectively and efficiently. You’ll leave the workshop with new ideas, solutions to problems, handouts for future reference and the knowledge that there are more resources and people to help you with your leadership responsibilities. Course topics include: responsibilities, rule enforcement, maintenance, finance, reserves, insurance and board meetings.

Anonymous Community Manager To further trickle-charge your brain… another client expressed to us that one of his new EV owners (exercising his right to AB209, as well as following his HOA’s guidelines and rules) was attempting to get a new insurance policy for his charging station, but the insurance company’s underwriters did not know how to write the language for the policy.

Specifically, there is an exclusion in the HO6 (condo homeowner policy) excluding coverage for liability arising out of a ‘motor vehicle.’ However, I have spoken to a claims adjuster and, in his opinion, he said he would be hardpressed to exclude coverage if someone tripped and fell over the electrical wire. Although the statute does not address an auto policy, there may be potential coverage under an auto policy. Another potential issue is: what happens if the station shorts and burns down the building? Obviously, the $1 million limit would not do much good, but I think there may in fact be coverage under the master HOA property policy.

Joel cautioned: “This is my initial review and I am still working on this, as it is not a simple issue.”

4 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter If you Google the new Cadillac Electric, you will see that electric vehicles are here to stay and are now pulling into HOAs… with more to come. California is charged-up about the new PHEV Toyota Prius, BMW E PEV and Ford Focus PEV. Even a new electric motorcycle by BRAMMO is now being released.The newly-opened Nissan LEAF plant in Tennessee is expected to produce 150,000 EVs annually, with production starting in late 2012. By now you are probably thinking, “OK, back to reality Mr. EV,” but let’s hear from one of our EvStructure clients who wanted to share a real experience with all of us about his very first (EVCS) Electric Vehicle Charging Station installation: “To Whom It May Concern: While on the management team at a luxury high-rise condo building in Los Angeles, we had a unit owner who had installed a charging station in his deeded parking space. Since it was the first charging station in the building, there wasn’t really any protocol or system to follow. Therefore, the way in which the system was installed was clearly meant to serve just the one unit. It would not have allowed other units to install similar systems. The “meter” for the station was a large box installed on the wall of the loading dock/security office at the back of the building. There was not enough room on the wall to have any other meters installed. The meter would simply show how many KWh had been consumed since the charging station was originally installed (meaning when it was installed, the meter read “0” and it was the HOA’s job to track it from there). This resulted in higher administrative costs for the HOA, as it fell upon us to monitor the meter and bill the homeowner every month. It was my responsibility to keep a log of what the KWh reading was at the end of each month and then use this log to calculate the month’s consumption. After calculating the usage, I would then have to take the common area HOA electric bill and calculate an average KWh billing rate for that month. This took some time because our building was billed at low, regular and high billing demand rates. I would then use that average rate and multiply it by the homeowner’s total KWh for that particular month’s usage to calculate his separate bill. This entire process could take anywhere from 30 minutes to an hour to complete. I could not imagine doing this for 10 or more EVs. It would be just about as much work as doing a yearly budget report. This clearly demonstrated that if more homeowners were going to be requesting Electrical Vehicle Charging Stations, we would certainly need a much more user-friendly and/ or automated system to handle the administrative burden created.”

Civil Code Section 1359 (f)(2)(D)(3) provides: “The owner and each successive owner of the charging station, at all times, shall maintain a homeowner liability coverage policy in the amount of one million dollars ($1,000,000), and shall name the association as an additional insured under the policy with a right to notice of cancellation.”

“The problem with this insurance requirement is that the condo owner’s homeowner insurance policy may exclude coverage for the electric vehicle.

eLeC trIC VehICLeS 103 WATT TO Ex P ECT WITH AN E LECTRIC V EH ICLE C H ARGING S T ATION IN Y O UR G A RAGE • BY

We, therefore, called on Joel Meskin, Esq., CIRMS (a CAI member and vice president of Community Association Insurance) who is experienced in this EV area for his thoughts on the new law.

In addition, under the association agreements, there may be a waiver of subrogation provision that would prevent the association from going after the individual owners.”

The fact is that the electric vehicle market is growing. Sources project it to be a trillion-dollar industry by 2020. However there are still a lot of issues that need solutions. With proper planning, EVs and HOAs can co-exist, especially when boards of directors, community managers and homeowners all “plug-into” the same positive outlet of information. Todd Ritter is president and partner of the AST/Morgner Green Team. He can be reached at tritter@evstructure.com. TODD RITTER

July/August 2012 | www.cai-glac.org 5 6:00 p.m. Hosted Cocktail Hour 7:00 p.m. Dinner and Entertainment 8:00 p.m. Gaming and Dancing 10:45 p.m. Raffle Tickets: $125 Per Person or $1,250 Table of 10 Monsters’BallCasinoNight November 3, 2012 Park Plaza Hotel 607 South Park View Street, Los Angeles Anything can happen when The Dark Side takes over for an evening… When witches & warlocks assemble… When the guest list includes Count Dracula, Frankenstein & his bride, Elvira, the Addams Family & the Phantom of the Opera. Come join them for an evening of music, dancing, dinner, gaming & raffle. Sign up now for a sponsorship and tickets www.cai-glac.org.at We’ll expectingbeyou! Potions (Happy Hour) Securitas Security Services USA, Inc. Queen of the Damned Pacific Western Bank Eerie Tunes from the Crypt Preferred Commercial Painting, Inc. Broomstick (Parking) Hi-Tech Painting & Decorating, Inc. Creep Show Photo Booth Rodent Pest Technologies, Inc. Jack of the Lantern Mutual of Omaha Bank Vinyl Concepts, Inc. Current Sponsors

The Benefits of Mediation for Common CommunitiesInterest

Litigation can result in a trial, either by a jury of twelve strangers, or by a judge, both of which have the authority to render a verdict in favor of one side or the other. Thus, one side “wins” and one side “loses” in litigation.

The outcome of litigation is always uncertain, and most litigated cases are settled before trial. Often, however, a settlement can seem like a compromise with which neither side is satisfied. I have heard compromise described as combining hot and cold water, resulting in lukewarm water. No one is really satisfied with lukewarm water. Compromise, however, can also involve combining water and yeast, resulting in bread. In mediation, the goal is to make bread. In most cases, both sides to a dispute have much to gain by accommodation and very much to lose by litigation. Yet, naturally, each party to a dispute wants to “win.” Winning, in the context of litigation, however, does not necessarily resolve the underlying conflicts which led to the dispute, and, of course, one party must lose. In mediation, which is a form of alternative dispute resolution, all parties win and there are no losers, since the resolution of the conflict involves the parties fashioning their own solution. The greatest success in mediation occurs where the parties want to resolve their dispute, share an interest in avoiding litigation, and have a continuing relationship which will require them to communicate with each other in the future. Thus, mediation is uniquely suited to resolving disputes in common interest communities. Members of common interest communities are essentially neighbors who, even after a dispute between them is resolved, will continue to live together in the community. If their disputes can be resolved, and they learn to better communicate with each other, they can collaborate together for the betterment of the Litigationcommunity.rarelyresults in a resolution of the underlying conflicts, particularly if the process continues for a period of time. Litigation is a win-lose proposition, and negative feelings against the “other side” emerge and proliferate. Even where the litigation ends in a favorable outcome for one side, if the parties have not resolved their underlying conflicts, further strife between them is certain to occur in the future. Through the mediation process, the parties hopefully can learn better communication skills that will facilitate their resolution of future disputes.

Mediation and other forms of alternative dispute resolution are favored under the law. California law requires that homeowners and homeowners associations attempt to resolve their disputes through some form of alternative dispute resolution before filing a lawsuit against each other. (Civil Code Section 1369.520). California law sets forth recommended procedures for associations and homeowners to follow in requesting alternative dispute resolution. (Civil Code Sections 1369.530 through 1369.560). Associations must also provide an expeditious procedure for resolving disputes between them and their members (and can utilize this process for disputes among members), and are encouraged to utilize neutral thirdparty mediators to assist them. (Civil Code Sections 1363.810 through 1363.850).

By Laura J. Snoke, Esq.

C ONTINUED ON PAGE 9

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Generally, in litigation, one side of the dispute files a lawsuit against the other side, and both sides, through the process of obtaining evidence, attempt to prove their case in court.

Mediation is a process whereby a third party acts as a facilitator to assist the parties toward a resolution of their dispute. It is a process that, unlike litigation, which is adversarial, involves negotiation and problem-solving. It is collaborative as opposed to confrontational, and allows the parties to fashion their own remedy. Everything said in mediation is confidential, allowing the parties the freedom to express themselves without worrying that what is said can be used against them. The parties are in control of the process – where it will take place, how long it will continue, and, most important, the ultimate resolution. Unlike litigation, which involves a determination of the rights of the parties through an adversarial system, in which the rules (the law) determine the outcome, mediation, since it is collaborative and involves the parties developing their own solutions, provides the opportunity for the parties to fashion creative solutions to problems for which the legal system has no response. Unlike a judge or jury who have the power to impose a solution on the parties, the mediator assists the parties in arriving at their own resolution, resulting in reconciliation as apposed to a short-lived “victory” for one side.

Because the United States is a democracy, the law is the ultimate arbiter of disputes in our country. Parties to a dispute can seek to obtain redress through the litigation process.

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 7 Garden of the Rosenthal-Malibu Estate Wine Tasting Room Thanks to our Sponsors Corporate Spon S or Horizon Management Company Net proceeds to benefit the California Legislative Action Committee 18741 Pacific Coast Highway, Malibu, CA 90265 Hor S d’oeuvre S Spon S or S data Systems Services Heritage Construction taylor pa inting and r oofing Condominium Exterior High - Rise Commercial H.O.A. Commercial Exterior Apartment CondominiumExteriorExterior Commercial Exterior Commercial Exterior Commercial Exterior Commercial Exterior H.O.A. Exterior H.O.A. Exterior H.O.A. ShoppingExteriorMall Tennis Court HI-TECH Painting and Water Proofing 1-800-750-8423 www.hitechpainting.com Lic. # B, C-33 866801 E thexperience D FREE ESTIMATE 1-800-750-8423 Acknowledging both the legal requirements for, and the benefits of, alternative dispute resolution, Community Associations Institute (CAI) has an Alternative Dispute Resolution Policy statement, which encourages attempts to settle arguments and disagreements outside of the courtroom. The CAI local chapter has instituted a low-cost mediation program. Qualified mediators with knowledge of community association law and practice are available to assist associations, homeowners and vendors in resolving their disputes before entering into the costly, time-consuming and ultimately unfulfilling litigation process. Whether you take advantage of this resource, or other resources available, all parties will benefit from participating in a collaborative process where they can create their own solutions to resolving their conflicts. With hard work and a little bit of luck, the mediation can even result in the parties making, and breaking, bread together. Laura J. Snoke is an attorney and mediator who provides legal and mediation services to homeowners associations, homeowners, and other clients throughout Southern California. She is on the panel of CAI-GLAC mediators. Laura can be reached at lsnoke@snokelaw.com. C ONTINUED FROM PAGE 6 The Benefits of Mediation for Common Interest Communities Hot August NightAugustSaturday,18,2012 oceanComeenjoybreezes&fabulouswines! Wine

ith summer heat comes the responsibility of keeping your landscapes healthy and attractive. But what steps are your landscapers taking to make sure your thirsty plant palette is being satisfied? As water districts throughout the region begin rolling out tiered-rate structures for commercial landscape customers, it is becoming a top priority to not only water efficiently, but to design your irrigation system to conserve water.

Why should we care so much about our water usage here in California? Because watering our landscapes, filling our pools and enjoying lavish water features account for more than 50% of all water usage in California. Some customers will now be subject to strict tiered-rate structures. The new water rates will separate the water-conscious communities from the inefficient wasteful users and will financially burden the community until the irrigation deficiencies and wasteful practices are resolved.

When it comes to your irrigation system, replacing worn leaky sprinklers is the most common practice to reduce excess run-off but may not be the best solution to obtain long-term results. For example, have you ever driven into your community and seen the irrigation running while it’s raining? Have you ever had to call your landscaper on the weekend about irrigation that will not turn off? These are common ControllersIrrigation By Danny Smith

C ONTINUED ON PAGE 29 “Smart”

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What You Need to Know ▶▶▶

W

CMYCYMYCMYMCK Ross Morgan Full Page Ad - 3-2012 AH.pdf 1 3/22/2012 1:29:49 PM

Likewise, in common interest developments when confronted with an encroachment issue, the board members may be inclined to respond aggressively by using self-help or other means. While every encroachment scenario is fact-specific, the HOA board has several options available that are less confrontational and perhaps more economical. This article will explore several alternative approaches to resolving encroachment issues in a common interest development that may result in significant savings to the association and avoid litigation.

In the movie Gran Torino, when confronted with trespassers on his property, Clint Eastwood employed a self-help strategy by pointing his rifle at the trespassers and saying, “get off my lawn!” Indeed, property owners oftentimes fight vigorously to defend their property interests, and in Gran Torino, Mr. Eastwood’s approach no doubt provoked a quick resolution, as the trespassers left promptly. However, from a legal perspective, in boundary disputes, the most aggressive approach isn’t always the best approach.

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Is s e lf-Help t H e A nswer?

Asso C IAt Ions sHould AC t proM p tly I n s e ek I ng t H e r e MovA l of A n e nC roACHM e nt

When evaluating an encroachment, the first consideration may be to simply remove the encroaching structure. After all, the association has exclusive jurisdiction over the common area and, in most cases, the right to enter upon an owner’s property to correct CC&R violations. Plus, removing the structure avoids having to file a lawsuit and is seemingly quicker. In California, however, courts discourage using self-help to remove encroachments or reclaim land. (Allen v. McMillion (1978) 82 Cal.App.3d 211, 217; Daluiso v. Boone (1969) 71 Cal.2d 484, 501.) Indeed, taking such action is fraught with risk and creates significant exposure to liability. The association’s legal counsel should be consulted to evaluate the association’s ability to employ self-help and remove an encroaching structure without court intervention.

The association’s rights in this regard will depend on a number of different factors, including the nature of the encroachment, its location, and the type of encroaching structure. Nonetheless, the association should act promptly in seeking to resolve the encroachment issue—waiting too long to act could result in the association having to forfeit certain legal rights and/or property interests.

Cons I der of fer I ng A lIC e nse Agree M e nt A s pA r t of A n A fter-t H e fAC t A rC HI t e C t ural r e v I e w pro C e ss

Generally, if an association waits too long to resist an encroachment, the encroaching party may acquire a property interest to which he or she would not otherwise be entitled.

Encroachment disputes can lead to litigation, which can be stressful and expensive for the community. Obviously, the nature of the encroachment will dictate whether litigation is necessary. If the encroaching structure is harmless, the association should consider offering a license agreement to the encroaching owner as part of an after-the-fact architectural application process, and the license agreement would be a condition to any architectural approval granted. The license agreement would offer several benefits, including preserving the association’s rights; requiring immediate removal of the encroaching structure is a need arose; binding future owners of that property benefitted by the encroachment; and, holding the encroaching owner responsible for all damage caused by the structure; requiring owner to be responsible for the workmanship of the structure and any permits and/or governmental approval.

The license agreement approach was implemented and endorsed by the court in Kapner v. Meadowlark Ranch Association, which involved an encroachment dispute between a homeowners association and an owner. The facts in that case are summarized as follows: (a) owner obtained a parcel of land in the development; (b) owner constructed encroaching structures on the common area; (c) the HOA notified owner of the encroachments and required Owner to either remove the encroachment or sign a license agreement— the proposed license agreement would allow the encroachments to remain, subject to their removal at owner’s expense should Peaceful Ways of EncroachmentResolvingDisputes By Brian D. Moreno, Esq.

Get Off My Lawn: Effective &

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First, the policy should set forth a notification procedure wherein the association identifies the encroachment and requests removal of the encroachment.

Brian D. Moreno, Esq. is an attorney with Richardson Harman Ober, PC. He can be reached at bmoreno@rhopc.com

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 11 the need arise; (d) owner refused to do either, and the court ruled in favor of the HOA, requiring owner to sign the license agreement or remove the encroachment. (Kapner v. Meadowlark Ranch Ass’n (2004) 116 Cal.App.4th 1182, 1190.) As illustrated in the Kapner holding, a license agreement can be an effective tool for a homeowners association seeking to resolve an encroachment. The association board should consult with legal counsel regarding the license agreement concept and determine if the license agreement is well-advised. If so, legal counsel should be consulted to determine if the agreement needs to be approved by the membership. (Civil Code Section 1363.07(a)(3)(E).) In some cases, the board may not have authority to grant an owner exclusive use to a portion of the common area. Nonetheless, offering a license agreement can provide significant benefits and cost savings to the community, especially if it obviates the need to file a lawsuit. Cons I der I M ple M e nt I ng A n e nC roACHM e nt p ol IC y Proactively, associations should consider adopting an encroachment policy and/or amend the CC&Rs to address several issues.

Third, if a dispute arises, the association would retain a surveyor to perform a survey of the boundary line. The costs would be split based on whether the association’s initial determination is correct. Fourth, if an encroachment is established and confirmed by the survey, the owner agrees to promptly remove the encroachment and restore the property.

Second, upon receiving the initial notification, the owner has the option of complying or disputing the encroachment. The response must be submitted within a certain amount of time (e.g., 30 days). Failure to respond results in the acceptance of the association’s conclusions.

Fifth, the policy should outline the enforcement options of the association should the owner fail to comply. Finally, the policy would require any encroaching owner to waive all rights to the common area to which the owner would not otherwise be entitled under the CC&Rs.

While the foregoing approaches are not necessarily the most aggressive — at least not from the standpoint of Clint Eastwood’s character in Gran Torino—all offer significant benefits to an association that desires to seek peaceful compliance and avoid litigation. Moreover, if implemented correctly, all approaches will likely strengthen an association’s position in seeking the removal of the encroachment if litigation cannot be avoided.

When it comes to type of membership (manager, business partner or homeowner), each chapter varies in what it looks for. Some chapters intentionally try to “spread the wealth” and not have their representatives always come from the same membership category. It can often be difficult to find a homeowner member who is willing and able to serve, but our

FROM SACRAMENTO news

12 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter The Only Choice for Your Protection 818.787.7370 fax: 818.787.7387 www.paynepestmgmt.com LOS ANGELES • SAN DIEGO • ORANGE COUNTY ReplacementDamageGuaranteeRealEstateInspections LiabilityAccurateCustomerGreatServiceInvoicing$2,000,000Insurance 877.277.3970

By Kimberly Lilley, CMCA, CIRMS

The California Legislative Action Committee (CLAC), the body that oversees the advocacy that happens on behalf of community associations in California, is made up of (in most part) Delegates from each of the eight (8) California chapters. These Delegates are tasked with communicating the needs of their chapter to the main body of CLAC so that decisions made about how to advocate take ALL members into account. Delegates are also responsible for bringing information back to their chapters about the progress in Sacramento, helping with grass roots efforts that are needed to support our work in Sacramento, and building a good support system within their chapter. Duties can range from serving on a bill subcommittee and hammering out the actual language of a bill, to discussing and establishing positions (support, oppose, etc.) on other bills, as well as heading up grass-roots efforts to meet with legislators locally in their district to support the impact we are having in Sacramento. While not required by CAI National, California opted to create the position of Liaison to help the Delegates in the communication process. You will often see Liaisons presenting the “CLAC Moment” at your chapter’s breakfast or luncheon to communicate the benefits of advocating in Sacramento on behalf of community associations with the chapter membership, or maybe attending a chapter board meeting to give an update to the board on what bills we are currently tracking. While non-voting members of CLAC, Liaisons are very important in keeping the flow of information consistent, improving the value of our entire organization. So how does one get involved in these noble pursuits? It’s a little bit different in every chapter, so here are some of the highlights: w hat kinds of members are chosen to serve as delegates/liaisons ?

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 13

current CLAC Chair, Dick Pruess, is a homeowner member, so it IS possible. Other chapters look at which kind of member would be most adept at writing and analyzing bill language, so many business partner attorneys serve on the California Legislative Action Committee. Some chapters want to be sure that the day-to-day practices of HOAs are truly represented, so active manager members are recruited to help keep everything “real.” do t he delegates/liaisons need to have any special skills?

As stated above, some chapters like to provide representatives who can write and analyze bill language, but mostly a passion for this industry and a working knowledge of how it functions are the best skills for a Delegate. For a Liaison, there are some additional qualities that will help them be successful in their position. Since the Liaison is usually responsible for presenting the “CLAC Moment,” a monthly update from our lobbyist in Sacramento, having good presentations skills definitely helps them do their job. Being able to attend all of the functions that need the CLAC Update presented is also important for a Liaison. Finally, good communication skills in general are helpful for both Delegates and Liaisons, since their main job is to facilitate the flow of information from the chapter up to Sacramento and then back to the chapter again.

C ONTINUED ON PAGE 14

So if getting involved in the legislative future of our industry is something that you are passionate about, contact your chapter to find out if there is a Legislative Support Committee you can join. If a chapter doesn’t currently have one, they are forming one, and maybe you can help! If you are already involved on a Legislative Support Committee and serving as a Delegate or Liaison appeals to you, let them know! Ask to be considered for the position next year. The Delegate terms are two-year periods, so each year one of the terms is up for renewal. Advocacy is (along with education) one of the main reasons that CAI exists! Your contribution could help us make the difference in our state’s legislative action committee’s success!

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C ONTINUED FROM PAGE 13 Delegate/Liaison Selection Processes Insects Bees, Wasps, Ants, Spiders Rodents Gophers, Mice, Rats, Ground Squirrels Trapping Raccoons, Coyotes, Skunks, Opossums Specialty Birds,Rabbits,Bats Call Today For a FREE Consultation 888 344 6567 Solve Your Damaging Pest Problems with Guaranteed Results. Animal & Insect Pest Management Inc., has a team of experts to help you manage all your pest problems large or small. All of our Urban Wildlife Professionals are State Certified Pesticide Applicators, extensively trained in pest identification, damage recognition, management methods and safety. In addition, our Biologist develops precision pest management programs that ensure the most humane, ecologically sound and legal methods are used to guarantee results Visit us online www.animalinsectpm.com Questions? info@animalinsectpm.com

committee and the president-elect recommendations, the board has a lot of information to help with the decision they need to make. In the Coachella Valley, the president-elect sends a recommendation to the board for its consideration as well. In most of these cases, when the board is considering the prospects, it takes a look at whether or not the candidate is able to attend the monthly teleconferences, travel to Sacramento for Legislative Day at the Capitol in April, and attend the annual planning session in October.

Kimberly Lilley is public relations chair for the California Legislative Action Committee and can be reached at kimberly@berginsurance.com. w ho chooses? This question raised another set of varied responses from each of the eight California chapters. Five of the eight chapters have some sort of Legislative Support Committee that helps to support the Delegates and Liaison locally in their chapter. They help with fundraising, local legislator visits, grass-roots efforts and often give some sort of recommendation on who should be the next Delegate or Liaison to the decision-maker (usually the chapter board). In the Greater Inland Empire Chapter, first choice for the Delegate and Liaison positions come from within the Legislative Support Committee — that way they know that the person being nominated is active and aware of the issues currently facing our industry. ALL of the chapters require that Delegates and Liaisons be current members of CAI. In most chapters it is the board of directors that makes the final choice about who is to become Delegate or Liaison for the chapter, but often there are recommendations submitted that they consider. San Diego’s Legislative Support Committee sends a recommendation to their board of directors. The president-elect also chooses the chair of the Legislative Support Committee (who is one of the Delegates), so between the

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 15 826 2nd Street HOA 1144 Seventeenth Street HOA 2050 Artesia HOA 2641 4th Street HOA 11767 Sunset Blvd. Assn. Adams Kessler PLC ALI Condo OA Bodger Park Condo HOA Bougainvillea Townhomes HOA Budlong Villas HOA Inc. Campion and Company Cardiff Court O.A. Inc. Carson Villas I HOA Casa Loma Assn. Inc. Casa de Oro Condo HOA Centinela Townhomes II HOA Century Woods Chalmers/WoosterCOAPlaza HOA Chateau Delgany Estates COA Culver Centrale HOA Del Rey Manor OA El Segundo Las Brisas HOA Inc. El Segundo Villa Capri HOA Five Ten Forty Inc. Florwood Estates HOA Inc. Galaxy GorhamHOAPark HOA Inc. Goshen Colony HOA Hacienda HOA Inc. Harbor Village OA Hayworth OA Heritage Townhomes OA Hillcrest Meadows OA Idaho Villas HOA Kelton Arms COA La Grange Townhomes HOA Las Casitas en Santa Monica HOA Lawford HOA Los Robles Condo Assn. Marine Village HOA Oak Hill Condo HOA Oak Street HOA Old Orchard I HOA Pacific Colony HOA Pacific Grove Association Park Crest HOA Playa Pacific HOA Polynesian RoxburyRancho-GlenOAHOAParkHOA S.B.S. Lien Services Seascape – Redondo HOA Inc. Silver Spur Court HOA Silverview Townhomes HOA Inc. South Bay Crest HOA South Bay Estates HOA South Hermosa Townhomes HOA Inc. South Shores Mediterranean HOA Southern Oaks Society Tara Hill HOA Textile Building OA The 558 Evergreen St. HOA The Brentwood at Kiowa HOA The Vista Pacifica HOA V.I.P. Goshen Assn. Inc. Villa Pacifica T.C. HOA Villa Serena C.A. Inc. Vista Townhomes HOA West Del Amo Pacific C.A. Westgate Townhomes COA Westside Townhomes HOA Wilshire Selby Towers East C.A. Inc. Wolf, Rifkin, Shapiro, Schulman & Rabkin, LLP Our THanKs TO 2012 clac cOnTriBuTOrs JanuarY 1 – JulY 31, 2012 currenT cOnTriBuTiOn TOTal: $11,297 GOal: $23,295 of49%goal as of 7/31/2012

Closest to the Pin #7 (Men’s) A l Masters with hole Sponsor Pauline MacLean and Golf Co-chair teresa Agnew AMerICA n teC hnoL oGIe S , InC.

ALLIA nC e en VIr onMentAL GroUP Closest to the Pin #2 (Men’s) Ken bunnell with daisy Vasquez, Golf Co-chair ALLIA nC e en VIr onMentAL GroUP Closest to the Pin #12 Steve robinson with Golf Co-chair teresa Agnew and hole Sponsor ray echlin behr PAIn t C orP or At Ion / t he hoMe deP o t USA

ARECORD NUMBER OF MEMBERS AND GUESTS PLAYED IN OUR ANNUAL GOLF TOURNAMENT AT WOODLAND H I LLS COUNTRY CLUB ON J U NE 11. Holding it at a different course allowed the Golf Committee to give the event a couple of new twists: We folded Novice 9 players into the 18-hole tournament, held the putting contest “putt-off” during the banquet and invited In-N-Out Burger to cater lunch. Our thanks to the Golf Committee for its good planning and hard work: Co-chairs Teresa Agnew (Roseman & Associates, APC) and Daisy Vasquez (Securitas Security Services USA, Inc.), as well as Committee members Caesar Aguirre (Concrete Hazard Solutions), Kerriann Barkley-Sau (American Environmental Group), Lindsay Biren (American Heritage Landscape), Isaac Camacho (Accurate Termite & Pest Control), Ryan Dooley (Urban Tree Care), Ryan Dudasik (Empire Community Painting), Jackie Fromdahl (Painting Unlimited, Inc.), Ashley Garrison and Jimmy Griego (ValleyCrest Landscape Maintenance), Kevin Hughes (Securitas Security Services USA, Inc.), Gary Lieberman (Payne Pest Management), Jay McMullen(Allstate Landscaping Services), Brian Moreno, Esq. (Richardson Harman Ober, PC), Steve Robinson (Nu Flow America) and Stephen Winterrowd (CertaPro Painters of Los Angeles).

Closest to the Pin #6 Alex roman (Men’s) with daisy Vasquez, Golf Co-chair, and hole Sponsor nishan Joshi noreen husain (Women’s) inset W e S t one JA nI t orI AL S er V IC e S Closest to the Pin #2 (Women’s) Lynne Collmann with daisy Vasquez, Golf Co-chair

June 11 CAI-GREATER LOST ANGELES2012 Golf TournamentVIVA LAS VEGAS 16 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter S P ONSORSTITLE S ecuritas Security Services USA, Inc. Wolf, Rifkin, Shapiro, Schulman & Rabkin, LLP 19 T H HOLE S ervpro BE VERAGE C A RTS Stay Green Inc. L UNCH Beaumont Gitlin Tashjian L UNCH DEL IVERY S herwin-Williams Paint A Great Day

Closest to the Pin #7 (Women’s) Cheryl Stites (right) with Golf Co-chairs daisy Vasquez and teresa Agnew and hole Sponsor Pauline MacLean AMerICA n teC hnoL oGIe S , InC.

Straightest dr ive #18 bob Stein (Men’s) with Golf Co-chair teresa Agnew and hole Sponsor J’Vaughn Aubry Michelle(Women’s)Underwoodinset AMteCh eLe VAtor Ser V ICe S , InC Closest to the Pin #15 (Men’s) demetrios Xanthos (in blue) with Golf Co-chairs daisy Vasquez and teresa Agnew and hole Sponsor Mike roberts VALL ey C re S t L A nd S CAP e M AIn ten A nC e C losest to the Pin #15 (Women’s) Meigan everett (in blue) with Golf Co-chairs daisy Vasquez and ter esa Agnew and hole Sponsor Mike roberts VALL ey C re S t L A nd S CAP e M AIn ten A nC e   L ow SteverCurtFoursomeGrossLabarre,usshoffman,Markreider,robinsonUnIonbAnKFoUrSoMe

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 17 Thank youfor your support! S OU VENIR P HOTOS enhanced Landscape Management, Inc. Urban tr ee Care, Inc. C HAMPIONSHIP Fenceworks, Inc. Pacific Western bank Preferred Commercial Painting P U TTING C ONTEST taylor Painting & roofing T OURING P RO Mcdonnell roofing, Inc. r W. Stein Painting, Inc. C OMPLIMENTARY C IGARS A llana buick & bers Inc. C ON TEST HOL ES A lliance environmental Group American technologies, Inc. Amtech elevator Services, Inc. behr Paint Corp./ t he hoMe deP o t USA ValleyCrest Landscape Maintenance West one Janitorial Services C L UB P RO A nderson Group International City national bank First Citizens bank MEE T & GREET HOLES A ccurate termite & Pest Control American environmental Group bil t-Well roofing & Solar CertaPro Painters Ltd. Collins builders, Inc. endUr A Painting Corporation hi tech Painting & decorating Patriot LaboratoryenvironmentalServices,Inc. reconstruction e x perts, Inc. rodent Pest technologies, Inc. S.b.S. Lien Services Vista Paint Corporation on the Links! W E COULDN’ T HAVE DONE IT WITHOUT THE SUPPORT OF OUR SPONSORS LISTED ABOVE AND THE HELP OF OUR VOLUNTEERS: Amelia Alvarez, Paige Daniels, Sharon Fuller, Kendra Griffiths, Diane Hilliard, Lorrie Mottes, Janet Nelson and Jessica Sascha. Based on the positive comments we received during and after the event, we’ve already reserved Woodland Hills Country Club for our tournament next year on June 10, 2013… so start practicing now! honesty Award  (highest Score) James Castro, Meigan everett, Jennifer Cleveland, Greg Morrow reverse raffle Winner Lance hilliard (left) being congratulated by r unner-up Asaf raz (right) Low ne t  AMarcusFoursomehackler,AlMasters,daveAlvarado,JimPerrynderSonGroUPInternAtIonALFoUrSoMe

L ongest dr ive Mark reider (Men’s) with Golf Co-chairs daisy Vasquez and teresa Agnew Katy Krupp (Women’s) Inset Putting Contest dan e isenstein Contest Sponsored by tAy L or PAIn t InG A nd rooFInG

18 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter A Fun Day WasHad by All! ValleyCrest Landscape Maintenance WINNING DISPLAY

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 19

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In order to get the most out of your association’s service providers, here are some tips your board of directors can use when dealing with some of the most important assets of your community: Be sure you A r e A lwAy s work I ng w I t H l IC e nsed A n d I n sured vendors or Con traC tors. There are more than 43 different types of contractors licenses required for businesses performing work over $500 in California. Contractors must have the proper type of license required for the work or trade in which they are doing business. For instance, a roofing company must have a C39 License to do any roofing work in California; a landscape company must have a C27 license. Did you know there is a separate license required specifically for tree trimming (D49) and pool & spa maintenance (D35)? Be sure your service providers are licensed for the specific work in which they’re doing business in order to avoid any problems. The properly-licensed contractor can usually be considered more of an expert in his field, and, therefore, his thoughts and opinions given more trust than one who is unlicensed or wrongly-licensed. Of course, you need to keep in mind that the properly-licensed contractor may not always be the lowest bidder when pricing work from more than one service provider. Always make sure your licensed contractor maintains current liability and workers compensation insurance. I l d A rel At Ions H I p w I t H your serv IC e prov I ders. Boards can get more out of their vendors when there is a relationship in place with the actual person providing the service to your community. These service providers need leadership and strong guidance. Even know they know how to cut grass, trim trees and clean pools, they still need your thoughts and questions about how these things are being done in order to better understand the quality of service expected and the costs involved. Meeting with your service provider is usually much easier than making a change or receiving less than good quality service and performance.

How to Get the Most Out of Your Association’s Service Providers

Judy Remley, Vice President 2797 Agoura Rd., Westlake Village, CA 91361 (888) 539-9616

20 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter By Roman Esparza, CCAM Boards can often be at odds with their community’s landscape company, roofing company, pool man, or lighting company…and the list can go on and on. Troublesome issues are often a result of poor communication and knowledge, or lack of follow-through, with either the service provider, the management company, or even the board.

Bu

AlwAy s Be u p front w I t H your serv IC e prov I ders. Tell them when they are doing a great job. They will appreciate your compliments, continue to work hard for you and do their best to keep your trust and confidence in their work. Whenever their services are not meeting the Board’s expectations, explain it to them as soon as possible.

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 21

Roman Esparza is a portfolio manager at Beven & Brock Property Management in Pasadena and a member of CAI and CACM who has been managing homeowners associations for more than 20 years. He can be reached at roman@bevenandbrock.com.

H Av e only one person des Ig n At ed as your landscape liaison, pool person, or roofing coordinator to communicate with the service provider and answer questions on behalf of your community. Often the service provider is being told different things by different people within the community, which leads to poor service, long delays and bitter feelings by those whose instructions and expectations are not met. It is usually a good idea to have your manager be that lead person. In some cases, however, it may work out better and be more time-efficient if the primary liaison is an on-site board member or a committee person designated by the board to give instructions to the service provider on behalf of the board and the association.

f I n A l ly, A f ter t H e s erv IC e s HAv e Be en prov I ded, Be s ure to pAy your vendors proM p tly A n d on t I M e . Payment for services is usually expected right upon completion for most work, but some contractors will allow up to 10 days for payment to be made after services have been provided. Your prompt payments will help to keep your vendor’s business running as smoothly as possible, and this in turn should help maintain their highest level of quality customer service for your Overall,community.boardsshould always try to work with only qualified service providers who they know and trust. Making sure your vendors fully understand the level of quality service that is expected from them by the association and the board before they start any work will help to avoid problems later on. Encourage your service providers to be proactive and let the board know of any potential problems before they happen. Also, ask them to assist the board with any long-range planning necessary for your community. Good communication and instructions between the community manager (or your community liaison) and your vendor will help keep the level of service to your community as high as possible and will make the board look even greater to their members… and will help to keep the community looking its best!

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In Los Angeles County there are more than 16,000 public pools and spas that are under the jurisdiction of the county health department. Los Angeles County just doesn’t have enough inspectors to keep up with the amount of pools and spas that are under their jurisdiction. Because of this, L. A. County adopted a “self certification” program which allows a licensed pool contractor (C-53), plumbing contractor (C-36), or a licensed engineer (A) to certify that the pool/spa has proper anti-entrapment devices installed… either spit drains, suction vacuum safety release (SVRS) built into the pump or un-blockable channel drains. Unsafe channel drain removed from a HOA pool that was resurfaced.

I a m asked this question on a weekly basis by community managers, homeowners association members, hotel managers, as well as private swim clubs and public pool operators. If your pool or spa is a “community” facility (i.e. services four or more households), it is checked for safety by the local county environmental health department. The health department is responsible for making sure the pool and spa are properly maintained as far as the condition of the pool/ spa surface, concrete deck, coping, tile, water chemistry, water flow rate and proper safety equipment… including handrails, depth markers and anti-entrapment devices.

The most confusing thing to many community managers is the issue of anti-entrapment devices. The Virginia Graeme Baker Act (VGBA) was signed into federal law by former President George W. Bush in December 2007. The law actually took effect at the federal level in December 2008.

sw imming Poolsafety update

By Richard D. Dietz is YOur POOl anD/Or sPa uP TO DaTe wiTH currenT cODe safeT Y requiremenTs?

California adopted AB 1020 as a companion to the federal law which took effect on December 31, 2009. All public pools and spas were to be in full compliance with VGBA and AB 1020 by July 1, 2010. Those pools and spas not in compliance could be shut down by the county health department. In Ventura County, the health department took an aggressive approach and did shut down all non-compliant public pools and spas on July 1, 2010. They could achieve this because the number of public facilities is quite small, as compared to the public pools and spas in Los Angeles County.

Richard D. Dietz is the past president and founder of Aqua Creations in Los Angeles as well as a Contractors State License Industry Expert. He can be reached at rsdietz@aol.com.

Shown are examples of a spa and pool properly split. The two drains are hydraulically balanced so as to make it a truly antientrapment installation.

The real driving force for compliance with VGBA and AB 1020 appears to have come from the insurance industry, which, of course, doesn’t want to be “on-the-hook” for a tragedy that may be compounded by expensive litigation. Unfortunately, approximately 25% of the pools and spas in L. A. County are either non-compliant or under-compliant. Undercompliant means that the issue may have been “addressed” but not in a way that means the pool is safe. There are many apartment buildings and HOAs that have approached the compliance issue by having pool contractors install channel drains underwater; this method of meeting “compliance” is fast, inexpensive and avoids the draining of the pools.

It is our philosophy to take the most fail-safe approach with regards to entrapment issues. Channel drains installed underwater have installation issues. SVRS systems (automatic shut-offs) on the pumps need periodic calibration, which are not inspected by health department. The only anti-entrapment installation that is considered 100% effective is a properly installed split drain system for all pumps on pools and spas (see photos of split main drains on pool floor and spa floor and foot well). The only maintenance required is the periodic changing of the drain cover which has a stamp on it (ANSI/ APSP-162011) and an accompanying expiration date.

Happy and safe swimming to all!

The problems as we have discovered are that many underwater installations are improperly retro-fitted and only “appear” to be compliant. When we see an underwater channel drain installation, we check it for proper installation. In some instances (see channel drain photo), the drains have been modified to the point that voids any manufacturer’s warranty. If an entrapment accident were to occur… who would be responsible? Certainly you can point the finger at the contractor, but is he/she the “deep pockets?”

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 23

■ Challenges to decisions of the architectural review committee

Board members are required to perform things such as enforcing the by-laws and CC&Rs, establishing sound fiscal policies, developing a workable budget, selecting an attorney, insurance agent and other professionals, and much more. Directors must obey state and federal laws, they must put the interests of the association over their own personal interests, and their duties and decisions must be handled with such care as an ordinarily prudent person would use under similar

■ Defamation by the board of a member

■ Challenges regarding easements

■ Decisions by the board resulting in physical damage to the association

■ Breach of fiduciary duty

24 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter Community Association Loans All the right tools for your next project. How will you fund your next community project? Get the job done right with the Community Association Loan toolkit. You’ll get custom financing that’s perfect for your budget and your community. Your Community Association Loan toolkit includes: • Competitive interest rates • Flexible payment plans • Innovative loan structures • Fixed rate loans • Non-revolving lines of credit Get the cash you need today. Lisa Ann Rea CMCA AMS Regional Account Executive 805.907.8452 Toll Free 866.800.4656, ext. 7500 lisa.rea@mutualofomahabank.com Member FDIC • Equal Housing Lender National Corporate Member of Community Associations Institute AFN44766_0512 w hen to file a Directors and Officers claim By Patrick Prendiville, CIRMS A ssociations will periodically shop their insurance in order to look for the best coverage at the right price. A great deal of attention is often spent analyzing the scope of coverage of the Directors and Officers (D&O) insurance policy. However, when a claim occurs, even the best D&O policy can leave you uncovered if the insured does not follow a certain protocol when handling threats from others.

■ Challenges regarding power granted the board by the by-laws

■ The board’s failure to properly disburse funds (i.e., insurance proceeds)

Regardless of the specific wording, all D&O policies require the association to notify the insurance company whenever it is faced with a written demand or complaint relating to the board’s duties/actions.

■ Improper removal of board members

circumstances. Even when the board is professional and handles each matter in the best way possible, others can claim wrongdoing.

■ The board’s failure to adhere to by-laws

■ The board’s failure to provide for a proper count of votes and proxies

A popular question that is asked by many community managers and board members is, “Should we file this claim now, or wait to see what develops?”

The most common areas where directors & officers for community associations get into legal trouble are:

■ Challenges to assessments

■ The board’s failure to maintain common areas

Regardless of the specific wording, all D&O policies require the insured (association) to notify the insurance company whenever it is faced with a written demand or complaint relating to the board’s duties/actions. However, the key word in all of the policies is “written.” This means that when a homeowner calls the management company to argue their monthly assessment and subsequently says, “You will hear from my attorney,” you do not need to notify your insurance company. Likewise, a verbal threat at a board meeting or an on-site visit can be ignored— for at least the time being. If and when a complaint is made in writing, turn the claim in immediately. One of the country’s leading wholesalers of insurance for directors and officers is Kevin Davis Insurance Services. According to Kevin Davis, late reporting of a claim is one of the top three reasons for a claim denial. The importance of this point dramatically escalates when the association is switching insurance companies. D&O policies will only allow a certain number of days for any claims to be filed by associations that have cancelled their D&O coverage. If not handled properly, an association could find itself between two carriers with no coverage for a claim.

If one of your associations ever receives a written demand or complaint relating to your board’s actions or duties, it is best to notify your insurance company as soon as possible. Patrick Prendiville, CIRMS, is president and CEO of Prendiville Insurance Agency in San Juan Capistrano. He can be reached at patrick@prendivilleagency.com.

According to Ian H. Graham’s Vice President, Tifinni Tegan, an insurance company will not necessarily raise the rates of a client for merely turning in a claim. In fact, the carrier will typically appreciate the proactive approach from the association. Ms. Tegan points out that the majority of notifications do not result in paid claims and therefore are largely ignored when calculating rates.

f e A r of rate I nC r e A s e

media: Focus Size: 1/2 Page Horizontal Issue: Sept/October 2011

A pl A n to HA n dle I t I n tern A l ly Well-intended people will suggest that they can handle the matter without the insurance company’s involvement. Sometimes even attorneys are involved in this decision. However, attorneys that are well connected to the needs of associations realize that coverage can be denied if the insurance company is not allowed to participate in the process from the beginning.

Another of the country’s leading wholesalers of insurance for directors and officers is Ian H. Graham Insurance.

The typical reasons for a board or manager deciding not to file a claim are numerous, but some of the leading reasons are as follows:

A BelI ef tH At tH e MAtter Is r e A lly no BIg de A l Th is is extremely shortsighted as even the smallest matter can be a big deal to the party that feels he has been wronged.

Experience professional delinquent assessment recovery. 888-845-8808 www.witkinandneal.com

26 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter Our dedicated experts understand the needs of associations. We can Finance your essential projects, including: • Building Repairs • Improvement Projects Contact Larry 714-864-5171Hooper lhooper@bpop.com Imagine a bank that enhances and protects the financial health of your community association. ©2010 A Division of Banco Popular North America. Member FDIC. associationbankers.com We offer state-of-the-art Lock Box services as well as a full array of other depository services. Eighty-five chapter members and friends met at the CenterPointe Club in Playa Vista on July 13 for an evening of Bingo, Speed Networking and LeftCenterRight (a game of dice). Judy Brown, Elizabeth Orellana and Martha Olvera won the Bingo games; Meigan Everett was the Speed Networking winner, and LeftCenterRight winners at each table received Coffee Bean & Tea Leaf gift certificates. Our thanks to the Social Committee for a job well done! Co-chairs Pamella De Armas (SAX Insurance Agency) and Alba Monroy(ABM Property Management), Angel Fuerte (ENDURA Painting Corporation), Lauren Greer (Coinmach Corporation), Sara Raz (Anderson Group International), Tiffani Reynolds (Rodent Pest Technologies, Inc.), Tony Sayegh (Gothic Grounds Management) and Stephanie Sanders (Dunn-Edwards Paints). Thanks to Our Sponsors Margarita Bar ANDERSON GROUP INTERNATIONAL Bingo Cards THE CENTURION GROUP Bingo Games AMARR STUDIOS JMC CONSTRUCTION & PAINTING MARINA RODENTENDURAAMTECHLeftRightCenterLANDSCAPEGameELEVATORSERVICESSpeedNetworkingSELECTPAINTINGCenterpiecesPAINTINGCORPORATIONBBQ/FoodPACIFICWESTERNBANKPESTTECHNOLOGIES,INC.TAYLORPAINTING&ROOFING flags were flying at Our stars & stripes all-american Game night!

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 27 C ONTINUED ON PAGE 28 New Collins ad TK

28 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter Southern California’s Most Trusted Construction Service Provider • RECONSTRUCTION PROJECTS • HIGH-RISE SPECIALISTS • WATERPROOFING SYSTEMS & LEAK REPAIRS • WOOD REPLACEMENT & STRUCTURAL REPAIRS • DECK SYSTEMS, REPAIRS & MAINTENANCE • WINDOW & DOOR REPLACEMENT • STUCCO, MASONRY & EFIS • PAINTING & EXTERIOR COATINGS • CONCRETE, ASPHALT & EPOXY INJECTION • POOL AND SPA REPAIRS & REPLACEMENT • ROOF SYSTEMS, REPAIRS & TITLE 24 ROOF COATINGS • INTERIOR AESTHETIC UPGRADES & TENANT EXTRAORDINARYIMPROVEMENTSSERVICE ~ EXCEPTIONAL RESULTS 981 W. 18th Street ~ Costa Mesa, California 92627 949.548.9969 ~ FAX customerservice@pcwservices.com949.548.9711 License # 699611 HIGH COMMERCIALRISEHOAVISITOUR NEW WEBSITE AT PCWSERVICES.COM flags were flying at Our stars & stripes all-american Game night!

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 29

problems associated with worn irrigation controllers and their attachments. New technology designed for the cellular communications industry is making its way into the landscape industry via “Smart” controllers. These devices will allow users to become more involved with their watering needs while staying within the budget.

Danny Smith is the water manager at Park West Landscape Maintenance. He can be reached at dsmith@parkwestinc.com.

C ONTINUED FROM PAGE 8 “smart” Irrigation Controllers 1/2 Page Horizontal 7.5” W x 4.5” H 4C Runs in: Jan/Feb, May/Jun, Sep/Oct Focus Salsbury Industries

Several of the top landscape equipment manufacturers such as Rain Master, WeatherTrak and Calsense have developed controllers that will not only modify their programs (watering days and station run-times) on a daily basis but also apply only enough water for sufficient plant health. That means your controller will gather weather data based on your specific microclimate and adjust accordingly. Would you like the controller to email you and your landscaper notifications if the pre-set parameters have changed? It can do that. If you choose to add sensors such as a flow meter or master valve, you will have full control of your irrigation system including real-time water usage reports, weather data and excess usage alerts. The controllers can even determine how many days to shut down after a rainfall event and will turn on automatically before the landscape begins to show signs of stress. Cities in the Greater Los Angeles areas are implementing various incentives and penalties as their finances allow. The Los Angeles Department of Water & Power and water districts south of us, such as El Toro, Moulton Niguel and Irvine Ranch, have already implemented tiered-rate structures. Depending on which water district’s Web site you visit, the new rate structure is designed to reward the customers with low water usage and penalize those whose water usage exceeds their monthly allocation. For most service accounts the customer is allocated irrigation water based on evapo-transpiration (a measurement calculated by relative humidity, solar radiation, rainfall and other factors) and the square feet of landscape irrigated by each water meter. If you are unsure of how your water bill is calculated or whether your property is billed based on an allocation, you can view your water bill or contact your water district. Overall, if you wish to reduce your water usage by up to 30% annually, “Smart” controllers can prove to be the best long-term solution. In addition, if you wish to have a “Smart” controller that can adjust its parameters per real-time weather data, but you choose not to run all capabilities, there are products designed specifically for your community. However, due to the complexity and endless capabilities of these “Smart” controllers, it is recommended you consult with a landscape professional to determine which controller type will be the most beneficial to the community.

30 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter NE W CAI- GLAC MEMBERS! welcOme A S OF JULY 31, 2012 BUSINESS PROFESSIONALS R ECRUITER All City Tow Service C AI National BRS Roofing, Inc. C athy Hodek, CMCA Frenkel & Company Insurance Services, LLC Vanessa Acosta Nu Air Services, Inc. C andi Kocher, CCAM® QwikResponse K erriann Barkley-Sau Rodney C. Stringer Realty C AI National Scott Litman Insurance Agency, Inc. D aniel Shapiro, Esq. Urban Habitat Environmental Landscapes K ate Clancey COMMUNITsY ASSOCIATIONS Fusion at South Bay Community Association A riel Hess, CCAM®, CMCA®, AMS The Highland Terraces HOA A riel Hess, CCAM®, CMCA®, AMS COMMUNITY MANAGERS Denise Bergmans D onyelle LaKey Condominium Administration Co. Iskui Chidryan Neda Firouz, CCAM®, CMCA® HOA Organizers, Inc. William Merrill K eith Leedom Sky Security Services, Inc. Julie O’Dell D avid Pio, CMCA Property Management Professionals, LLC Rick Reyes K eith Leedom Sky Security Services, Inc. COMMUNITY ASSOCIATION LEADERS Bruce Hobbs C AI National 2012 recruiters of the month JanuarY Jose Glez, CIRMS Timothy Cline Insurance Agency, Inc. fe BruarY Neda Firouz, CMCA® HOA Organizers, Inc. m a rc H Steven A. Roseman, Esq. Roseman & Associates, APC aPril Ariel Hess, CCAM®, CMCA®, AMS® Scott Management Company maY Ariel Hess, CCAM, CMCA, AMS Scott Management Company June Candi Kocher, CCAM Four Seasons HOA

Susan Larson, CCAM®, PCAM® Seabreeze Management Company, Inc.

Ann Parhms, CCAM®, CMCA®

Ed Van Vanco Properties

Robert Sides, CCAM®, AMS®, PCAM® Seabreeze Management Company, Inc.

COMMUNITY MANAGEMENT

Beven & Brock CT Prop Management, Inc. Jenkins Properties Management, Inc.

John Nicholson Ascot Owners Association

COMPANIES

Cara Brown, CMCA®, AMS® Valencia Management Group

Aberdeen Management Company, Inc. AAMC Action Property Management, Inc. Bartlein & Company, Inc.

Gregg Landis Bel Air Glen HOA

Victor Perez Highlands Owners Association

Alex Roman, AMS® Encino Oaks HOA

Vida Vescera Royce Property Management

Francesca Prillwitz Horn Plaza HOA

Leonardo Beard, CMCA® 100 South Doheny Condo Assn.

Raintree Mutual Corporation

Alexandria Pollock, CCAM®, CMCA®, AMS® Seabreeze Management Company, Inc.

Sharon Topping, CCAM® MERIT Property Management

The Colony at Westwood HOA

Julie Nicholson, CMCA® Empire West HOA Pete Ong, Jr., CCAM®, CMCA®, AMS®, PCAM® Campion and Company

Carolyn Garton, CCAM® Baldwin Real Estate Management Kim Hannaman, CMCA®, AMS® Ross Morgan & Company, Inc. Gail Jones, CCAM®, CMCA®, AMS®, PCAM® Valencia Management Group

LB Property ManagementManagementProfessionals, Inc. AAMC McCabe Property Management, Inc. Westcom Property Services, Inc.

CAI-Greater Los Angeles Chapter July/August 2012 | www.cai-glac.org 31 TO RENEWING MEMBERS! Our THanKs A S OF JUNE 30, 2012 BUSINESS PROFESSIONALS Adams Kessler PLC Advanced Reserve Solutions, Inc. Amtech Elevator Services Anderson Group International ASR Construction, Gibbs,GardenFirstFenceworks,DavidDataCityCaliforniaBilt-WellAssociationAssociationStudies.comInc.LienServicesRoofing&SolarSub-MetersNationalBankSystemsServicesE.Lazarus,CPAInc.AssociationsBankView,Inc.Giden,Locher,Turner & Senet, LLP Kevin Davis Insurance Services Kulik, Gottesman, Mouton & Siegel, LLP James Hardie Building Products Jeffrey Hall Financial & Insurance Services, Inc McCaffery Reserve Consulting MPM Waterproofing & Building Services, Inc. Palmer, Resendiz & Glowa Poindexter & Company, CPA Preferred Commercial Painting, Inc. Professional Services Construction Saddleback Fence and Vinyl Products SAX Insurance VerizonUniversalU.S.TheStaySmartStreetSherwin-WilliamsAgencyPaintGreenInc.ChimneySweeperBankProtectionServiceEnhancedCommunities COMMUNITY ASSOCIATIONS Bel Air Crest Master Association Bentley Manor HOA Croydon Park HOA Harbor Terrace HOA Harte Terrace HOA Le Parc MarinelandHOACommunity Association Park Crest HOA Playa Pacific HOA South Bay Estates HOA

Virginia BarbaraKempWalker

Colette Portela, CCAM®, CMCA® Concept Seven, LLC

Joanne Pena, CCAM®, CMCA®, AMS®, PCAM® Horizon Management Group

COMMUNITY ASSOCIATION LEADERS

Barbara Carter, CCAM® Sierra Towers HOA Steven Chamberlain Harris Properties

Christine Albrecht, CMCA®, AMS®, PCAM® Valencia Ma nagement Group Cecil Barber, CMCA®, AMS® Ross Morgan & Company, Inc.

Lisa Frasquillo, CCAM® HarborPlace Tower HOA Tammy Gamblin, CMCA®, AMS® Ross Morgan & Company, Inc.

Rick Reyes Sky Security Services, Inc.

James Douglas Byrd, CMCA®, AMS® Century Hill Association, Inc.

Ellen Ford, CCAM® LB Property Management

COMMUNITY MANAGERS

10 Essentials of Community Leadership Workshop – 8:15 a.m. Regatta Seaside HOA, Marina del Rey 14 Educational Luncheon – 11:30 a.m. Skirball Cultural Center, Los Angeles 16 C hapter Strategic Planning Meeting – 8:30 a.m. Regatta Seaside HOA, Marina del Rey 27 Westside Evening Educational Program – 7:00 p.m. Regatta Seaside HOA, Marina del Rey

32 w ww.cai-glac.org | July/August 2012 C AI-Greater Los Angeles Chapter aDverTisinG infOrmaTiOn Dimensions & Rates: Artwork must not exceed the exact dimensions of that size ad. For more information, call the Chapter office: 818-500-8636. Ad si ze Ad di mensions Members non-Members ⅛ page 3½" wide x 2" (Horizontal)high $200 $400 ¼ page 3½" wide x 4¾" high (Vertical) $300 $600 ½ page 7½" wide x 4¾" (Horizontal)high $425 $850 Full Page 7½" wide x 10" high (Vertical) $800$1,400 Payment: Rates are subject to change without notice. By credit card, check or cash. Minimum three-insertion contract. Rates subject to change without notice. Advertising Sales: Please contact the Chapter office for advertising specifications and deadline information at: 818-500-8636. 2012 UP COMING E V ENTS SEPTEMBER11 L ong Beach Evening Program for HOA Boards & Managers – 6:00 p.m. AQUA HOA, Long Beach 14 Chapter Board of Directors Meeting – 8:30 a.m. Chapter Office 15 E ssentials of Community Leadership Workshop – 8:15 a.m. Rockpointe HOA, Chatsworth 19 Educational Luncheon – 11:30 a.m. Skirball Cultural Center, Los Angeles OC03TOBER

Homeowners Association Marketplace 4:30 p.m. – 9:00 p.m. Skirball Cultural Center, Los Angeles 10 Educational Luncheon – 11:30 a.m. Skirball Cultural Center, Los Angeles 12 C hapter Board of Directors Meeting – 8:30 a.m. Chapter Office 19 State Legal Forum – 8:00 a.m. Pechanga Resort & Casino, Temecula 31 Valencia Educational Breakfast – 8:30 a.m. Bridgeport HOA, Valencia NOVEMBER03 “ Monsters’ Ball” Casino Night 6:00 p.m. Park Plaza Hotel, Los Angeles 07 S an Gabriel Valley Evening Program – 6:00 p.m. Pasadena Senior Center, Pasadena

aDv erTi sers i n De x 14 A nimal & Insect Pest Management, Inc. 26 A ssociation Reserves, Inc. 22 C acho Landscape Maintenance Co., Inc. 18 C ollins Builders, Inc. 22 Fenton Grant Mayfield Kaneda & Litt, LLP 20 Ferris Painting, Inc. 20 First Bank Assoc. Services 31 First Bank Assoc. Services 32 Gayle G. Gould, CPA 7 Hi Tech Painting & Decorating 8 K ilowatt Air Conditioning, Heating, Electrical & Solar 24 Mutual of Omaha Bank/ CondoCerts 12 P ayne Pest Management 28 P CW Contracting S ervices, Inc. 31 Poindexter & Company, CPAs 26 Popular Association Banking 24 P referred Commercial Painting 30 R .W. Stein Painting, Inc. 28 Reserve Studies Inc. 11 Richardson Harman Ober PC 9 Ross Morgan & Company, Inc. 29 S alsbury Mailboxes.comIndustries21 S andra Mcdonald Insurance 13 S elect Painting 23 Steven G. InsuranceSegalAgency 15 Swedelson & Gottlieb 13 T imothy InsuranceClineAgency, Inc. 25 W itkin & Neal, Inc.

The member who has recruited the most new memberships in the previous month will be recognized at the next luncheon and awarded a FREE LUNCH. In the case of a tie, a random drawing will determine the winner.

RULES

RECRUITER RAFFLE All 2012 recruiters (except the Grand Prize winner) will go into a raffle drawing held in early January 2013 (when all the 2012 results are in) to win an Evening Out on the Town ($500 value).

Grand Prize 3-day/2-night Weekend Getaway on the Central California Coast

THREE CONTESTS...THREE PRIZES

THREE CONTESTS … THREE PRIZES

The following rules apply to the campaign:

RECRUITER-OF-THE-MONTH

RECRUITER RAFFLE All 2012 recruiters (except the Grand Prize winner) will go into a raffle drawing held in early January 2013 (when all the 2012 results are in) to win an Evening Out on the Town ($500 value)

★ O ne (1) point for each business partner member recruited in a category already existing in the 2012 Membership Directory, ★ Two (2) points for a business partner in a sector of business not yet represented in the Chapter, ★ Two (2) points for an individual HOA board member or community manager, and Three(3) points for recruiting a management company.

Ronald S. Stone, Ph.D., CPA Scott Litman Insurance Agency, Inc.

CURRENT S PONSOR: Adams Kessler PLC Concrete Hazard Solutions

The Build CAI-GLAC Recruiter Contest runs for 12 months and is designed so that current CAI members can earn valuable prizes for sharing the benefits of CAI membership with friends and colleagues.

• SLIDING SCALE POINT SYSTEM CAN GIVE YOU AN EDGE.

To receive credit, you must be listed as the CAI member responsible for recruitment on the printed application form submitted, or be identified through CAI National membership reports.

All completed applications and membership dues for qualified applicants must be received at CAI between January 1, 2012 and December 31, 2012. to be counted toward the Grand Prize.

GRAND PRIZE ($1,000 value) Member with the highest number of points as of December 31, 2012 wilI receive the Grand Prize. In cases where there are two or more members with equal points, those names will be put into a bowl and randomly drawn to determine the winner. Points will accrue from January 1 through December 31, 2012 for the Grand Prize. Members earn points based on the membership category.

RECRUITER-OF-THE-MONTH

Help BUILD CAI-GLAC And Reward Yourself by Recruiting New Members in 2012 Grand Prize 3-day/2-night Weekend Getaway on the Central California Coast Build CAI-GLAC Recruiter Contest runs for 12 months and is designed so that current CAI members can earn valuable prizes for sharing the benefits of CAI membership with friends and colleagues.

• Members in good standing can compete to recruit new members and earn points toward the Grand Prize.

GRAND PRIZE ($1,000 value) Member with the highest number of points as of December 31, 2012 wilI receive the Grand Prize. In cases where there are two or more members with equal points, those names will be put into a bowl and randomly drawn to determine the winner. Points will accrue from January 1 through December 31, 2012 for the Grand Prize. Members earn points based on the membership category.

• To receive credit, you must be listed as the CAI member responsible for recruitment on the printed application form submitted, or be identified through CAI National membership reports.

Help BUILD CAI-GLAC And Reward Yourself by Recruiting New Members in 2012

The following rules apply to the campaign: Members in good standing can compete to recruit new members and earn points toward the Grand Prize.

Participating members will receive: One(1) point for each business partner member recruited in a category already existing in the 2012 Membership Directory, Two(2) points for a business partner in a sector of business not yet represented in the Chapter, Two(2) points for an individual HOA board member or community manager, and Three(3) points for recruiting a management company.

• All completed applications and membership dues for qualified applicants must be received at CAI between January 1, 2012 and December 31, 2012 to be counted toward the Grand Prize.

The member who has recruited the most new memberships in the previous month will be recognized at the next luncheon and awarded a FREE LUNCH. In the case of a tie, a random drawing will determine the winner.

SLIDING SCALE POINT SYSTEM CAN GIVE YOU AN EDGE.

Participating members will receive:

CaI -GL aC 130 N. Brand Blvd., Ste. 305 Glendale, CA 91203 Change Service Requested PRSRt StD U.S. PoStage PAID San BeRnaRDino, Ca PeRmit #1 or der your 2012 Condominium bluebook today! Price: $25.00 per copy, tax and shipping included. or der copies online at: www.cai-glac.org . california communities Forum Legalcai Oct. 19, 2012 | Temecula, CA a one-day event for california community managers, association board members and other homeowners from community associations institute—the leader in HOa education, advocacy and professional development. Critical updates on important legal requirements that impact how you work. Essential information on key legal developments that impact where you live. for event details and registration, visit www.caionline.org/events/calaw or call cai member services at (888) 224-4321 (m–f, 9–6:30 et). Hosted by CAI’s California Chapters and CAI’s California Legislative Action Committee