Echo Journal – September 2023

COMMUNITY MANAGEMENT TRENDS

A DISASTROUS MANAGEMENT COMPANY SEARCH

COMMUNITY MANAGEMENT RESOURCE DIRECTORY

The implications for HOAs

Harrowing insight from a board member’s perspective

Find HOA management experts quickly and easily

PAGE 14

PAGE 22

PAGE 34

SERVING HOA BOARD MEMBERS & HOMEOWNERS

SEPTEMBER 2023

The Importance of a

SUSTAINABLE & THRIVING Community Management Industry

2023 COMMUNITY MANAGEMENT SHOWCASE & RESOURCE DIRECTORY

Your HOA

Banking Specialist

Treasury Services • Web-Based Payment Portal • Integration Services • Operating and Reserve Accounts • Local Lockbox Processing • HOA Loans • Placement Services for Excess Reserves •

Equal Housing Lender

Supporting Member of

Equal Housing Lender

A Dedicated HOA Department Here For You

Equal Housing Lender

Give us a call today 844.489.0999 www.HeritageBankofCommerce.bank

Member FDIC

MISSION STATEMENT Fostering a better quality of life in community associations through education, advocacy and networking.

Echo 5669 Snell Ave., #249 San Jose, CA 95123 408.297.3246 | info@echo-ca.org www.echo-ca.org BOARD OF DIRECTORS & OFFICERS PRESIDENT

DIRECTORS

Adam Haney

Jerry L. Bowles

VICE PRESIDENT Sandra Long TREASURER

Brian Campisi Rolf Crocker Sarah Dunia J. Spencer Edgett, Esq.

Karl Lofthouse

John Gill, Esq.

SECRETARY

David Hughes

Mark T. Guithues, Esq.

David Levy, CPA Kelly Zibell

BENEFACTOR MEMBER

Donald W. Haney, CPA CID Consortium, LLC

CHIEF EXECUTIVE OFFICER

David Zepponi | dzepponi@echo-ca.org OPERATIONS MANAGER

Connor Zepponi | connor@echo-ca.org MEMBERSHIP & SALES MANAGER

Jacqueline Price | jprice@echo-ca.org PUBLICATIONS EXPEDITOR

Click to Visit the Echo YouTube Channel

HOA Education On Demand!

Get more from your Echo membership Echo members have exclusive access to our entire library of HOA-focused educational programming including Community Conversations, Educational Seminars, Workshops, Ask the Attorneys and Ask the Experts.

The presentations referenced below are a sampling of what is available to our valuable members. Click a title to watch!

Pam Grove | pgrove@echo-ca.org MEMBER ENGAGEMENT COORDINATOR

Jared Giguere | jared@echo-ca.org EVENTS COORDINATOR

Heather Turley | heather@echo-ca.org

March 2023: Ask the Experts About Construction Projects and Inspections May 2023: Ask the Experts About Insurance Ask the Experts: Solar & Electric Vehicle Charging Fundamentals Community Conversation: Better Meetings & The Open Meeting Act

The Echo Journal is published quarterly by the Executive Council of Homeowners (Echo). The views of authors expressed in the articles herein do not necessarily reflect the views of Echo. We assume no responsibility for the statements and opinions advanced by the contributors to the magazine. It is released with the understanding that the publisher is not engaged in rendering legal, accounting or other professional service. If legal advice or other expert assistance is required, the services of a competent professional should be sought.

Acceptance of advertising does not constitute any endorsement or recommendation, expressed or implied, of the advertiser or any goods or services offered. We reserve the right to reject any advertising copy or image.

Community Conversation: HOA Elections & Understanding the Role of an Inspector of Elections Community Conversation: Dealing with Homeowner Apathy Community Conversation: HOA Taxes and Other Accounting Conversations Community Conversation: The Rulemaking Process, Investigations, Hearings & Enforcement

© 2023 Executive Council of Homeowners (Echo) All rights reserved. Reproduction except by written permission of Echo is prohibited.

Echo member information is never released to any outside individual or organization, unless agreed to by the member.

For more information visit www.echo-ca.org ECHO journal | SEPTEMBER 2023

3

14 Features 8

BY PAUL COLLINS, PCAM, CCAM, CAMEX

14

Community Management Trends and the Implications for HOAs

BY SUSAN HOFFMAN

22

A Disastrous Management Company Search

BY A BOARD DIRECTOR WHO LIVED TO TALK ABOUT IT

37

Echo Mourns the Loss of Oliver Burford

20

Southern California Educational Seminar October 14, 2023

Happenings 6

38 Northern California Educational Seminar November 18, 2023

COMMUNITY MANAGEMENT RESOURCE DIRECTORY

34

4

The Importance of a Sustainable and Thriving Community Management Industry

SEPTEMBER 2023 | ECHO journal

FOREWORD BY DAVID ZEPPONI

CEO’s Message: Echo – A Legacy of Individual Commitment for the Common Good

BY DAVID ZEPPONI

20

Southern California Seminar: Surviving Your HOA

26

Echo In-Person Events

30

Legislation Tracker: August 2023 Update

32

Welcome to Our New Professional Service Providers

34

Community Management Resource Directory

38

Northern California Seminar: Surviving Your HOA

40

Online Educational Offerings

Your dedicated partner in community building.

Where community is at the heart of everything we do.

Gets Things Done  graysoncm.com

 888.277.5580

THE ALAMEDA, SUITE 625  1625 SAN JOSE, CA 95126

ECHO journal | SEPTEMBER 2023

5

CEO’S MESSAGE

Raison d’Etre – The Reason for

What a beautiful phrase, raison d’etre (reason for being). every board member should consider and collectively agre

Echo – A Legacy of Individual The phrase engenders humanity. The words roll from one’s Commitment for the Common Good stark business senses and adds the element of humanity

a board: Strategic planning, execution and evaluation; m management.

The businessthat realities should be reflective o It is unfortunate often those who purchase ne of the most important functions of an homes CIDs governed by don’t understand association is to connect people.common In this values ofinindividuals inHOAs the community.

O

the important distinction between government regard, Echo isn’t different than HOAs. and private corporate responsibilities and One of our mission objectives is to provide a Communities aretheimperfect – because they are made of hum duties incumbent on them with the homes they forum for networking. And if we do this well, our relating. Humans using. Human living. Basically, humans have purchased. This naiveté can lead to false network of HOA board members, communities, and being human, communities sometimes forget expectations and community dissonance.

It is that mana those who support common interest communities with this in mind that the founders of for meaningful and lasting connections will be establish norms forbackdrop a successful community.

In a sense, Echo sought to improve the situation: to educate, embedded in the essence of Echo. the community.

Its purpose is to establish order and elev advocate, and create a network to connect people The nonprofit world is an interesting space where progress pace by establishing and constraint improve the quality of life norms in HOA communities. the good of the many, with respect for the individual,andand is evidenced in the caring and meaningful towork benefit all. Fifty years ago, whether by intent or serendipity, the Executive Council of Homeowners (Echo) we do. The vision of the leadership, and especially was established by a group of CID leaders to understan the founders of the association, can set It a tone seems apparent that board leadership must provide order in a disordered and somewhat supportive of this beneficial relationship. At Echo, we owners in order to orchestrate a sense of community and hastily established form of housing called common care, and our leadership continues to invest in the values.Beleaguered The purpose of a board, the interest developments. and often beneficial connection of our community.and protect community frustrated politicians and city executives However, I do believe the nature of Echo and community the build based on common valuesfound for the good o in CIDs a convenient solution to the loss of and nature of HOA associations differ. HOAs are the of tax hikes to supportItcontinued governance structure imposed on common interest It takes time unsustainability to orchestrate a community. takes time to kn infrastructure and services demanded by society. developments (CIDs) by a government wishing to time to listenThe toTax theRevolt voices and build a vision reflective of of 1978 put a fine point on the divest responsibilities and investments (tax revenue) and you will inflationary be more strains effective as a board member of municipalities and, with a jolt and sat in community development. Many people want frombeing the Jarvis-Gann Initiative, launched what the more goods and services than the government your reason for on the board.

Echo founders foresaw as the inevitable meteoric can support with their tax base. The legitimization growth ofto common interest of CIDs creates a mechanism for large and small is committed ECHO helping homeowner boards and resi developments underpinning communities to privatize their activities and ing and advocacy – this is our “raison d’etre”. housing in America. They amenities and relieves the city and other jurisdictions were right. of financial responsibility.

Continued on page 28

Sincerely,

ECHO CHIEF EXECUTIVE OFFICER 6

SEPTEMBER 2023 | ECHO journal

David Zepponi Executive Director

NORTHERN CALIFORNIA

COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

SILVERCREEK ASSOCIATION MANAGEMENT Enhancing the livelihood of communities through unparalleled customer service

Our core mission – and the touchstone of everything we do – is to manage communities with its people in mind.

A strong and organized association speaks volumes to residents. It shows pride of ownership and care for the property that invites added comfort and trust. And the better the association performs, the easier it is for the association to keep the property up to date and secure.

Our management expertise and work with quality vendors help your association and manager do required jobs effectively, giving you more time to focus on the important business at hand.

Bridging the Gap

At Silvercreek Association Management, we know the challenges board members face. We have decades of experience bridging associations with owners, managers, and boards. Our knowledge of the industry helps you streamline decision making and problem solving.

Our extensive history in the field can be your guide.

• Attending monthly or quarterly meetings of the Board of Directors

• Providing association meeting minutes • Providing ongoing and timely communications with all members • Collecting and tracking association dues • Creating and maintaining monthly financial statements • Preparing and updating annual budgets • Generating tax forms • Tracking and updating the board on all legally-required local and state requirements and assisting with compliance • Orchestrating property evaluations with contractors for repairs and assessments • Aiding with maintaining the property and surrounding landscaping to required levels • Building and negotiating contracts with vendors • Reconciling accounts with vendors • Completing year-end accounting records for your CPA

• Keeping owners up to date with endof-the-year budgets Our core mission at Silvercreek Association Management – and the touchstone of everything we do – is to manage communities with its people in mind. That means we don’t just aim to check off standard management boxes but to listen and cater to the unique and individual needs of each and every member of a community.

Our promise to you is that we remain diligent in understanding your community’s specific needs. We refine and tailor our work and bigger picture goals to ensure that your community consistently runs smoothly, residents’ needs are heard, guidelines are communicated, and that a happy, healthy neighborhood is continually fostered.

We believe in enhancing the livelihood of communities through our unparalleled dedication to customer service, our ability to offer professional expertise in all areas of HOA management, and our tireless drive to ensure that the communities we take care of are heard, happy, safe, and thriving.

We aim to consistently go beyond the confines of typical HOA management duties, and we like to think it’s because we genuinely care about how your community functions. We understand that managing a community can be a demanding responsibility, but our team of experts understands how to get things done with efficiency and finesse.

We are excited to partner with your community and looking forward to our future together!

Laura Ravazza, CCAM-PM, PCAM Director of Education and Marketing (916) 877-7793, ext. 231 laura@sc-manage.com sc-manage.com ECHO journal | SEPTEMBER 2023

7

BY PAUL COLLINS, PCAM, CCAM, CAMex

THE IMPORTANCE OF A

COMMUNITY MANAGEMENT INDUSTRY (and Why Board Members Should Care)

T

he association management industry is at a crossroads, facing a challenging cycle of frugality and fear which often culminates in subpar service, dispirited managers, and dissatisfied clients. It is not a sustainable scenario and can induce turmoil in management companies and associations. The time has come to reverse this cycle and establish a fresh standard in the industry.

But how do we raise the bar on our services, so associations will pay higher base fees, allowing us to attract top managers, and reverse the downward spiral of frugality and fear?

The Challenge The heart of the matter is frugality (boards hesitant to fund the level of service they anticipate, in order to keep dues low) and fear (management companies refraining from billing the true cost of the services they pledge). This scenario paves the way for a downward spiral where low base fees are compensated with nontransparent billing practices and underpaid managers, harming the reputation of managers and the profession.

Continued on page 10

8

SEPTEMBER 2023 | ECHO journal

ECHO journal | SEPTEMBER 2023

9

The Importance of a Sustainable & Thriving Community Management Industry Continued from page 8

The soaring cost of living in the San Francisco Bay Area (and other California metropolitan areas) adds to this challenge. The median home price in the Bay Area surpasses $1 million, and average rents for a two-bedroom apartment are in excess of $3,500 per month. To maintain a modest lifestyle in this region, one would need an annual income of approximately $120,000, a hurdle for many management professionals under current industry norms.

The Solution: Nurturing Managers To command higher prices, the industry should aim to attract and retain the brightest minds. But that is easier said than done. It calls for significant investments in wages, benefits, training, technology, and other support mechanisms. The emphasis must shift toward quality over expansion, and talent retention over short-term profit margins. Although this investment might elevate costs in the short term, optimizing operations, reducing bottlenecks, and maximizing efficiency with the best talent possible (the long-term outlook) is where we should see opportunity.

Offering competitive wages and comprehensive benefits is one piece of the puzzle to attract and retain the best managers. Robust support and mentorship can also help retain premier talent and decrease turnover, resulting in a more secure environment for both the management company and the association.

Work-Life Balance and the Lasting Impact of COVID-19 As we all know, the pandemic drastically reshaped our work-life dynamic. With increased remote work, the boundaries between professional and personal life have blurred. This, in turn, has ramped up communication between homeowners and management professionals, sometimes escalating stress levels and leading to burnout.

One of many solutions to compensate for communication overload is to provide incentives and tools that empower managers to attend board meetings digitally, saving unnecessary commute time. Although this is helpful, it remains an open question whether the unclear boundary between work and personal time actually reduces or increases stress. Likely it varies from person to person. Be 10

SEPTEMBER 2023 | ECHO journal

that as it may, in today’s job market with 3 percent unemployment, employee retention often requires management companies to provide a flexible worklife balance.

The Role of Boards Boards play a pivotal role in reshaping the cycle of frugality and fear. Ideally, they will understand that investing in skilled, experienced, and fairly compensated managers is a long-term commitment that will yield benefits through improved management and lower overall costs. By promoting an environment where the best managers desire to dedicate their time and expertise, boards can enhance their influence and appeal.

Boards should also respect the fact that managers are individuals with personal lives, families, and hobbies. By acknowledging this, they can promote discipline, optimize time management, and bolster communication, leading to a more efficient and effective management process.

Why Homeowners and Boards Should Care It is crucial for homeowners and board members to care about these challenges, even if their primary focus might be to minimize dues and save every possible penny. The reason is straightforward: inadequately trained managers, or a constant turnover of overworked and exhausted managers, creates high costs for both management companies and HOAs. A seasoned manager who is not overworked and has served a community for an extended period can reduce costs in the long run by doing the following: 1. Adhering to maintenance schedules, thereby extending the life of components 2. Practicing effective oversight of vendors, minimizing hidden costs and change orders 3. Conducting efficient meetings 4. Creating a more satisfying environment for homeowners 5. Reducing the need for board members to micromanage Moreover, an experienced manager can help the HOA avoid legal traps, which can lead to expensive legal fees. They can also manage insurance claims to maintain lower premiums, and they have the knowledge and time to initiate bidding for oneoff and recurring contracts, which, when managed correctly, can save HOAs money over time.

Continued on page 12

SOUTHERN CALIFORNIA COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

PROFESSIONAL COMMUNITY MANAGEMENT AN ASSOCIA COMPANY Better living. Maintained. longevity can also be attributed to our commitment to develop long-term relationships with our clients.

Our services bring a powerful combination of wide-ranging resources and a personal touch to each community we serve, no matter the location, size or community type. With a team that includes the industry’s most respected and knowledgeable leaders, PCM offers our clients a level of experience and passion that’s unsurpassed. Providing friendly, local service to you and your community is our hallmark.

PCM’s business philosophy is to bring positive impact and meaningful value to every community we manage. Let our team help you achieve your community association’s vision.

PCM’s business philosophy is to bring positive impact and meaningful value to every community we manage.

Professional Community Management (PCM) provides a full array of condominium, single-family, urban and high-rise, and master planned community management services throughout southern California.

We proudly serve the greater Orange County, Los Angeles, and Riverside areas and surrounding cities with a dedicated team of community management experts.

Our core values drive our business model: we put people first – always – which is why when you choose PCM, you get a level of trust and security you won’t find anywhere else. From comprehensive HOA and condo management, to secure financial services and on-demand maintenance, our full suite of services can help your association thrive.

For more than 50 years, our local community association experience has taught us that exceptional service helps communities succeed. As the industry leader in community management, we are dedicated to providing the very best services and resources to our communities and their residents. Our full suite of management, maintenance and real estate services are supported by the most agile, secure technology solutions available to community associations across Southern California.

Since 1972, we are your local, reliable industry leaders with more than five decades of experience building successful communities and serving our clients with local knowledge, national resources and comprehensive expertise. PCM’s

Matthew Williams, CCAM, CMCA, AMS, PCAM (949) 768-7261 matthew.williams@associa.us pcminternet.com ECHO journal | SEPTEMBER 2023

11

The Importance of a Sustainable & Thriving Community Management Industry Continued from page 10

Micromanagement As the saying goes, time is money, and boards that can focus on making informed decisions and trust managers to do their jobs will make better choices, often resulting in the prevention of costly outcomes. The quality of life of board members is equally important, and no one wants to spend all their time micromanaging an overextended or underskilled manager. By forcing boards to micromanage managers, a selection bias is created for who serves on boards, resulting in more micromanagers serving on boards and everyone else running for the hills!

transparent pricing structures, engaging boards in the process, prioritizing quality over growth, and optimizing operations through technology, we can create a brighter future for association management professionals, clients, and the communities they serve.

By concentrating on these solutions, we can develop a sustainable and thriving community association management industry that benefits all stakeholders: management companies, managers, boards, and homeowners alike. The moment for change has arrived, and everyone has a role to play in crafting this fresh perspective for community management.

Paul Collins is the CEO of Collins Management Company, which offers homeowners associations full management services including financial, administrative, consultative, and property services.

Conclusion Association management industry peers are invited to join in this endeavor. The cycle of frugality and fear can be reshaped, and the industry can raise the bar of our services together. The industry’s future depends on it. By investing in managers, promoting work-life balance, implementing

SPECIALIZING IN HOA INSURANCE SINCE 1984!

■ Get the most value out ofyour association's policy! Work with Experts!

■ Insurance coverages designed & tailored for common interest developments.

■ Providing Enhanced D&O coverage and Guaranteed Replacement Cost coverage.

Christi Spina Your Local Agent CA License# 0E13855 3900 Mayette Ave Santa Rosa, CA 95405 CSPINA@FARMERSAGENT.COM

Our office locations are in Novato and Santa Rosa, to better serve Marin and Sonoma Counties. We've worked with hundreds of associations all over the Bay Area.

https://agents.farmers.com/cspina

Call 707-523-3006 today!

Let me help you get smart about your coverage options.

Restrictions apply. Discounts may va,y. Not available in all states. See your agent for details. Insurance is underwritten 1:1)1 Farme,s Insurance Exdlarge and other affiliated insurance oompanies. Visit farmers.com for a complete listing of companies. Not all insurers are authorized to provide insurance in all states. Cowrage is not available in all states.

12

SEPTEMBER 2023 | ECHO journal

FARMERS INSURANCE

16446432

S TAT E W I D E COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

CID CONSORTIUM, LLC

S

ince its inception, CID Consortium, LLC (CIDC) strives to provide excellent financial and operational guidance to communities, board members, managers, and owners of communities big and small in an ever-changing environment.

We believe in building relationships by doing our business transparently and keeping our clients informed. Before sending a proposal, we take the time to uncover what success looks like for your community. Once we are aligned, we will propose a combination of Governance, Finance, and Organizational services specific to your unique needs.

Owners and operators Donald (”Don”) W. Haney, CPA, and Adam P. Haney, CPA, are well known for their role in developing homeowner association industry standards and technology.

Don originally started in the industry in 1979 when he formed two corporations: CEO, Inc. and Haney Accountants, Inc. Both organizations laid the foundation for CIDC led by Adam P. Haney, CPA. Today, CID Consortium, LLC has grown into a team armed with passion and expertise for improving the community living experience of its members. Pulling from 45 years of business, CIDC has accumulated a wealth of experience and expertise through a relentless pursuit of perfection. Fueled by technology and incessant process improvement, the team engages with members on a rich platform, ensuring the community living experience continues to be exceptional. For more information about the services we provide, please visit our website at cidcllc.us.

Pulling from more than 45 years of business, CIDC has accumulated a wealth of business experience and expertise through a relentless pursuit of perfection.

919 Reserve Drive Roseville, CA 95678 (888) 786-6000 cidcllc.us ECHO journal | SEPTEMBER 2023

13

The work of board members in associations managed by volunteers is usually dearly appreciated by the homeowners. Boards navigate through projects, economic downturns, delinquencies, insurance claims, litigation, changes in the law, pandemics, and virtual meetings, to name just a few challenges. It is a difficult job deserving of praise and much appreciation.

Continued on page 16 14

SEPTEMBER 2023 | ECHO journal

BY DANIEL C. HEATON, ESQ.

Community Management

TRENDS & The Implications for HOAs

BY SUSAN HOFFMAN

ECHO journal | SEPTEMBER 2023

15

Community Management Trends...

Continued from page 14

Many of the challenges arising in the CID industry continue to increase in complexity and require more investigation by boards and management to solve problems and reach solutions. There have been many impacts on all members of HOAs and the CID industry in the past year, some due to economic factors such as inflation, shortages, scarcity, or supply chain disruption, and some due to legislation. Related in this

article are some of the trends and implications currently seen in the CID industry.

INFLATION: The incontrovertible fact is that everything went up in cost; the dollar does not purchase what it did before the pandemic, and we are exceeding the historical averages for inflation as has not been seen since the Carter era.

Combinations of utility, labor, and supply cost increases, as well as insurance issues, are affecting

You’re not alone.

Join Echo’s Exclusive Board Members Club.

• Open to current or recent HOA board members only • Opportunities to meet other board members • Share ideas and information • Learn peer to peer

It’s included with your Echo membership!

Sign Up for the Board Members Club Here

https://bit.ly/ECHO-BMC

16

SEPTEMBER 2023 | ECHO journal

association budgets. In the past, association vendors had to be able to pay their employees adequately, and in the current economic climate that is proving difficult. The labor industries, such as landscaping, lost a significant amount of workforce in the pandemic, either through the departure of the workforce from the area or staff members changing careers to earn more.

Management is no different in this respect, and there is a concerning trend in the number of managers leaving the industry – some retiring, some changing careers – without an equal number entering the field. A board knows firsthand what a manager and support staff may have to handle within their community, and the compensation, benefits, and culture offered are important in keeping a good manager and staff, as is a healthy work environment. Many prospective clients have indicated issues involving managers on their accounts changing frequently without a smooth transition, which causes delays and gaps in service to the client.

LONGER PROJECT HORIZONS: In the area of initiating contracts, the current climate does not allow for rapid ramp-up of large projects, such as SB-326 inspections and repairs, reconstruction, etc. Many companies proposing large projects are indicating wait times of several months. The midpoint of the year has just passed, and many projects are being pushed into 2024 since there are not sufficient resources or products to begin and complete those projects in 2023. A critical question to ask any vendor when

they bid on a job is “If you are awarded this contract, when can you start and complete the work?” There does not appear to be an end in sight to this trend, as vendors continue to struggle with labor, and suppliers continue to try to catch up from pandemic shutdowns.

ENVIRONMENTAL ISSUES AND INSPECTIONS: Boards in aging communities that are responsible for the structure or infrastructure of the buildings need to be aware of the possibility of asbestos and lead.

Many older communities are finding it is no longer a simple task to hire a contractor to make an invasive repair. Requirements now in place stipulate that a contractor must have verified that no asbestos or lead is present in the building components they are working on, and, if present, they must be properly abated before the repairs proceed. These tests and the need for abatement result in more costs for the association.

Contractors can be fined if they do not have these reports available on the project. There are two methods of testing for lead: 1) “XRF,” which is required under EPA standards and is noninvasive, and 2) removal of a sample of all layers of the material, which is required by Cal/OSHA. Both tests must be performed for lead, as well as the invasive test for asbestos. Once a community tests for lead, the reports have no expiration date. Owners in a community built before 1978 should also be cautioned that the building should be tested for asbestos and lead in the units before beginning any remodel or repair projects.

For structural review, the

inspection of exterior elevated wood elements (walkways, balconies, stairs) was mandated

by SB-326. Reserve study preparers have been adding these costs of inspection to their studies, but the larger issue not addressed is the matter of cost for repair. Associations are being challenged with the need for emergency shoring and repairs and are caught by surprise, in many cases resulting in emergency special assessments.

Many boards have proceeded with these inspections thinking, “Everything looks great from the exterior,” only to find out that less-than-stellar conditions exist inside the building or under the balconies. This means the community association must then expand the discussion to all facilities, which should be

reviewed and considered on an ongoing basis. Several boards and communities are taking the approach of having a “field trip” through their community to investigate all the nooks and crannies that are the responsibility of the association, and this includes creating a plan to repeat the investigation once a year.

Regarding structural inspection of buildings, there is huge momentum in this area arising from the catastrophic collapse of the Champlain Towers South in Surfside, Florida, ending the lives of 98 residents.

Inspections apply to three-story buildings on a podium slab, with subterranean parking. These types of inspections focus on the foundation of the building Continued on page 18

PAINTING & GENERAL CONTRACTOR • LICENSED, BONDED & INSURED

Specializing in Homeowners Associations Property Maintenance • Construction • Free Estimates Interior/Exterior Painting • Wood Rot Repair • Patios & Decks

IMPROVING COMMUNITIES

831.277.7497 CA License #780250

Your HOA Specialists TM

GENERAL CONSTRUCTION Exterior Reconstruction/Decay Repairs Interior Renovations

ROOFING SPECIALTY CA Lic. 963219 (408) 638­5500

Roof Replacement Roofing Repairs

Request a FREE estimate online www.iqvinc.com

ECHO journal | SEPTEMBER 2023

17

Community Management Trends...

Continued from page 17

and the structural components and are usually performed by a structural engineer. The strong recommendation is to have inspections performed and then follow through with the recommendations of the engineer.

The costs for these types of inspections are now being added to reserve studies; however, boards should double-check the reserve study to make sure the cost has been included.

TRANSPARENCY, COMMUNICATION & TECHNOLOGY: Boards have always had a duty to disclose information to owners, but owners are more frequently requesting updates and status on issues in the community, ongoing and regular access to meeting minutes, and information related to safety and the environment.

Fortunately, technology offers many tools to help the board and management keep up with increasing communication demands. Owners are seeking access that enables them to investigate and handle issues without too much assistance from board or management, such as the ability to access assessment account details online, book the use of a clubhouse or pool, obtain parking permits, etc.

In the area of technology, many associations with hardwired fire alarm systems, intercoms, gate access, or elevator emergency systems are finding that maintenance costs have skyrocketed. The trend is to disconnect landlines and use the internet or cellular communication devices, which enables communities to 18

SEPTEMBER 2023 | ECHO journal

reduce costs. In one instance, a community replaced the landline communication to the fire panels with cellular modules, which resulted in a budget reduction of more than $50,000 a year.

Communities with elevators can replace the landlines with VoIP (Voice over Internet Protocol) lines, which also significantly reduces association costs. These are not overnight fixes, but with a little time and attention, an association can manage to reduce costs in these areas.

Another consideration along the lines of utilities is converting lighting to LED or solar-powered fixtures. For communities that are considering ways to reduce water and electrical costs, if they are in one of the nine counties of the San Francisco Bay Area, rebates might be available through BayREN, the Bay Area Regional Energy Network (www.bayren.org), which is a coalition of the nine Bay Area counties. It is a network of local governments partnering to promote resource efficiency at the regional level, focusing on energy, water, and greenhouse gas reduction. Besides offering rebates, this organization provides resources to assist in projects such as energy cost reduction.

Regarding electric vehicle (EV) charging, the Bay Area Air Quality Management District (BAAQMD) offers rebates for the addition of EV charging stations in communities (www.baaqmd.gov).

Associations considering any major project should investigate the availability of rebates. In addition to those mentioned above, local water districts and other environmentally or securityfocused service agencies often

have rebates for the asking.

INSURANCE: Any community association that purchases master hazard insurance in California is probably struggling with the increase in insurance costs or nonrenewal by preferred carriers.

Some communities have adopted amendments to governing documents that allow the association to pass the insurance risk on to the homeowners and absolve the board from the duty to insure. This is done when the board cannot find a reasonable alternative to purchasing a master hazard insurance policy at a reasonable cost. The board can, with notice to the members, pass the master hazard requirement on to homeowner members on the assumption that individual homeowners will be able to purchase an individual policy at a more reasonable cost.

This has worked successfully in several communities of planned unit developments but, unfortunately, will not work in condominium developments. In condominium communities where the association cannot pass the burden of coverage to the owners and the association is unable to purchase reasonable coverage through a carrier, they are instead accessing the California FAIR Plan, which is a state-driven association of insurers created to assist in finding insurance for parties that are unable to obtain it in the traditional marketplace.

Communities should work closely with insurance agents and brokers if they receive a notice of nonrenewal. They should be aware of why the policy was not renewed and should consider actions the board could take to make the community a better

risk for insurance companies.

Some of those actions might be the reduction of hazards on the property, following underwriter recommendations to correct code issues (such as flammable landscape or gaps of more than four inches in balcony railings), increasing deductibles to reduce claims against the master policy, and rigorously scrutinizing a potential claim against a policy rather than simply having the cost covered by the association.

Thankfully, having moved past the pandemic and once again being able to attend seminars and presentations in person, association boards should consider taking advantage of the Echo educational offerings.

Besides the excellent information offered by presenters, they are an opportunity for boards, vendors, and managers to network and find other solutions to issues.

They also serve as a reminder that boards and industry professionals are not alone in a leaky rowboat on the ocean, but are in a place where all operate in an industry experiencing similar challenges and where resources and solutions are available.

Susan Hoffman is founder, CEO, and community association manager for Professional Association Services, Inc., and OAS Management. She has served as an expert witness on the operations of community associations in more than 30 lawsuits. She is a trained mediator and has participated in over 200 matters involving alternative dispute resolution, mediation, and nonbinding and binding arbitration. Ms. Hoffman holds an AS in real estate, a BS in business, and three credentials in the CID industry: CMCA®, AMS and PCAM®.

Update Your HOA Board Information Today.

HOA board members change all the time. Take a moment and check your community’s profile and make sure we have the most current and correct information for your board. Echo needs this information to continue to deliver your membership benefits to the right people.

Reach out to membership@echo-ca.org

www.echo-ca.org

Professional Service Delivered Personally.

ACE Property Management provides a complete range of management services to homeowners associations.

408.217.2882 | acepm.net

(408) 345-4000 http://wm-llp.com We counsel: • Condominium Associations • Planned Unit Developments

• Mixed Use Associations • Commercial Associations

We provide general counsel to Associations including the following services: • Construction Defect and Civil Litigation • Dispute Resolution

• Governing Document Interpretation • Governing Document Revisions • CC&R and Rules Enforcement ECHO journal | SEPTEMBER 2023

19

SOUTHERN CALIFORNIA

SURVIVING YOUR HOA:

Leadership for HOA Boards of Directors & Engaged Homeowners

Be Our Guest!

TOPICS

You’re invited to attend the Echo Southern California Seminar

Board and Homeowner Rights and Responsibilities PRESENTED BY SANDRA GOTTLIEB, ESQ.

Basic Board Ethics, Contracting & Bids

Saturday | October 14, 2023 8:30 a.m. - 1:30 p.m.

Laguna Hills Community Center 25555 Alicia Pkwy., Laguna Hills, CA 92653 8:30 am

Check In, Exhibits Open

PRESENTED BY DANIEL HEATON, ESQ.

9:20 am

Presentations Begin

10:50 am – 11:10 am

Break, Exhibits Open & Networking

Elections

11:10 am

Presentations Resume

PRESENTED BY MARK T. GUITHUES, ESQ. & CRAIG L. COMBS, ESQ.

ABCs of Construction Management/RFPs & SB 326

11:50 am – 12:20 pm Break, Exhibits Open & Networking 12:20 pm

Presentations Resume

1:10 pm – 1:25 pm

Ask the Professionals Open Forum

1:25 pm

Raffle / Conclusion

PRESENTED BY ANDY HENLEY & FELICIA BAKER

Register Here: https://bit.ly/EchoSoCal2023 Promo Code: HOA101 HOA Boards & Homeowners: Register early to be entered into Echo’s Early Bird Raffle!

Ask the Professionals Open Forum

A special interactive session with our expert speakers to answer audience questions in an open forum!

PREMIER SPONSOR

Echo is the only statewide organization created solely for HOA board member and homeowner education in California. For 50 years, ECHO has continued to be a leader in quality educational programs that build stronger communities.

REGISTRATION SPONSOR

ConsortiumLLC www.echo-ca.org | 408.297.3246 20

SEPTEMBER 2023 | ECHO journal

S A N FR A N CIS C O B AY A RE A COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

THE MANOR ASSOCIATION, INC. Property Management Since 1973 a sense of humanity and then apply a specialized process to achieve a personalized experience. We are confident you will be impressed and assured with our abilities, services, and dedication to fulfill your needs.

If you are looking for something different from your management team, please email info@manorinc.com to learn more about Manor and how we can support your community or your career growth.

Our client services team is at the heart of what we do at The Manor Association.

The Manor Association, Inc. continues to be a locally owned and operated professional management company with over 40 years of experience and developed relationships.

We have offices located in both San Mateo and Santa Cruz. Utilizing this experience and local industry relationships, Manor has invested in and cultivated resources which are reliant on technology and expertise to effectively provide support and guidance to your community and its boards of directors in these ever changing and challenging times. Our direct connection to clients and their communities has a strong emphasis and focus on the relationships with service providers and industry experts. We understand the advantages of working locally and leverage those business relationships to offer various services and effective support to our clients daily.

In addition to continuously cultivating solid internal teams in support of our company mission statement, Manor invests heavily in cutting-edge technology and active involvement in industry organizations, legislative groups (that focus on action directly impacting California homeowners associations), manager certifications and re-certifications. Manor hosts quarterly board member training, in-house full service accounting and client services teams, qualified site inspections, effective follow-up and enforcement of governing documents, violations, fines, hearings, work orders, and meeting legal timeline requirements (i.e. budgets, audits, reserve studies, state filings, taxes, etc.).

Our organization is bucking recent trends in the management industry, including consolidation and centralized services. We approach every task with

Brian D. Campisi, CEO 1820 Gateway Dr., Suite 100 San Mateo, CA 94404 (650) 637-1616 1100 Water St., Suite 1A Santa Cruz, CA 95062 (831) 426-8013 info@manorinc.com manorinc.com ECHO journal | SEPTEMBER 2023

21

A DISASTROUS MANAGEMENT COMPANY SEARCH From a board director who lived to talk about it

22

SEPTEMBER 2023 | ECHO journal

F

irst, a little background. There was a certain year recently when our board had a

couple of difficult members. They openly did not respect the property manager. Additionally, the property manager lived on the property. The management firm (let’s refer to them as TMF for purposes of this article) opted to use the 60-day opt-out clause in the contract in July. The board negotiated to extend the contract to December 31. We had our first board search meeting on August 4. The committee consisted of the board plus two homeowners.

Continued on page 24

ECHO journal | SEPTEMBER 2023

23

A Disastrous Management Company Search...

Continued from page 23

We looked at the Echo online directory and divided the list among the seven of us. We called each firm to discover if they were interested, had capacity, and knew the business. None of us had a great deal of community management experience, but we did have a great deal of business experience (all very successful business professionals). Because of a lack of relationship with TMF, the only guidance we received was to find a small firm. All the firms were contacted by a member of the search committee. The CPA on the search committee input all our findings into a spreadsheet. Our target hire date was November.

By 8/11, the committee had narrowed the list to five firms; for purposes of this article, we’ll call them Firms 1, 2, 3, 4, and 5.

On 8/18, the committee met to finalize a set of written questions to be sent to each of the five firms. They were to answer the questions in writing and return them. We explained that we would use the answers to select the final three firms for face-to-face interviews. The interviews were scheduled to begin on 9/3 and to be completed by 9/13.

9/2 – Firm 4: Tour and interview with operations and accounting managers of management Firm 4. They managed a very small number of HOAs, which later turned out to be mostly apartment buildings or commercial properties. The operations manager claimed to be an expert on Davis-Stirling, but this was later to be proven false. Most questions were answered satisfactorily at the time.

24

SEPTEMBER 2023 | ECHO journal

9/9 – Firm 5: The committee interviewed two executives of an association management firm.

The executives said they would determine the manager of the property later. The presentation came across as very corporate and sometimes a little defensive. The business, including accounting and record keeping, is based outside of the region, which was a big negative. In addition, the company had no set business hours and no dedicated accountant.

9/9 – Firm 1 and its one on-site manager was a smaller firm that managed HOAs of various sizes.

They were very complimentary about our approach. They are based regionally and use a team of people on their help desk. They wanted questions by email to preserve the chain of communication and had good answers for all the questions. We got the impression that the representative interviewed was the main decision maker, although they did have an on-staff attorney.

9/13 – The search committee met and selected Firm 4. On the initial tally, five committee members voted for Firm 4 and two for Firm 5. After discussion, Firm 4 was selected unanimously. Firm 5 was second and Firm 1 was third.

The contract with Firm 4 was negotiated by midOctober, and homeowner files were transferred to Firm 4 by December 1. December showed the first potential problems. The initial letter to owners about payment of assessments was full of contradictions and erroneous directions. The letter did not go out until the third week of December, so

many owners continued to make payments using the old procedure. Delinquencies soared after the first of the year. Many owners were still making payments to the wrong vendor in March. We had immediate complaints from Firm 4 that they were getting too many calls from our owners. Our owners were saying that their calls were never answered.

The first set of financials was not available until early March, and they were completely incorrect. There was no division of operating and reserve. Firm 4 did not understand Davis-Stirling and the need to keep operating funds separate from reserves.

Both the board treasurer and I visited Firm 4 at their offices twice to meet with the owner and the representative we initially interviewed. It was apparent they did not understand much about HOAs. Note that they did, at the interview, state that they were CACM (California Association of Community Managers) certified. It turned out that one staff member was CACM certified but that person was not in a management position.

We were doing a roofing project, and the board had to takeover approving change orders and directing payments.

3/8 – A meeting was held with the owner of Firm 4, its bookkeeper, and two HOA board members. The following were missing and requested: • Correct January and February statements • Bank statements and reconciliations for January and February • Need to include budget numbers in monthly

financials, including year-todate numbers • Need for separate balance sheet, income statement, and budget comparison so it could be posted to the community monthly • Need for a delinquency report, accounts payable schedule, general ledger, and check register • Need more comprehensive information on invoice approval requests • Resolution of invoices from January that were still outstanding – need information as to why they were late and when they would be paid • Status of tax return and reviewed year-end financial statement 3/18 – We had a conversation with the owner of Firm 4 to follow up on missing information.

The CPA had forwarded the December 31 trial balance and adjustments. Neither the owner nor his staff understood the report.

3/22 and 3/30 – Met with Firm 4 owner about missing and incorrect information.

First week of April – The board met in executive session and voted unanimously to seek a new management company. The decision was made not to inform the current firm until a new company was selected.

4/14 – List of possible firms included Firm 5, Firm 2, Firm 3, and Firm 1. Updated the set of questions to ask each.

4/21 – Scheduled Firms 1, 2, and 3 for interviews the following week.

4/25 – Firm 3 interview: two managers; small firm, but highly regarded; came for tour later.

Rachel Adams, CIC

INSURANCE MADE FOR YOUR HOA.

VP / Commercial Producer

707.525.4186 radams@gpins.com

www.gpins.com | Lic. #0603247

4/28 – Firm 2: highly recommended; dedicated senior manager for property; used technology company A for homeowner management and accounting.

4/28 – Firm 1: had problems with Google Meet. Had moved away from technology software company A to technology company B. Company B does not allow HOAs to have access.

4/29 – Initial impression was to go with Firm 2, but two board members were not available to make the decision. Pushed the decision to 5/20.

5/20 – Executive committee had some final questions, but in the end the board decided to go with Firm 2.

5/26 – The HOA created a negotiating team (committee) for contact with Firm 2; unanimously

voted to terminate Firm 4.

5/31 – Termination letter sent to Firm 4 with an effective date of 7/31.

8/22 – Introduction of new community manager to homeowners.

Overall, the transition to Firm 2 went very smoothly. The communication to the homeowners was clear and easy to follow. Firm 2 followed up immediately with owners who did not make their monthly assessment payments.

Delinquencies dropped dramatically.

The above true management search story is published as a “how to” for those seeking information for their own search for a community management firm, but also as a cautionary tale about things to watch for.

Names, numbers, locations and portions of the story have been edited and deleted for anonymity.

ECHO journal | SEPTEMBER 2023

25

Attend an Echo In-Person Event!

Don’t miss an opportunity to get the education you need – and the networking and connection you want. Register today!

Educational Seminars Learn from an acclaimed faculty delivering essential knowledge for HOA boards and homeowners.

• Ask your questions of on-site attorneys • Visit with industry experts at exhibit tables • Meet and connect with board members from neighboring communities • See page 20 for Southern California Seminar, or page 38,

Resource Panel Meetings Come and reconnect with your peers and attend an upcoming Resource Panel in your region. These events are held in a casual atmosphere to enable homeowners, board members, managers, and other professionals to hear about important topics presented by experts in the HOA industry. Click a Resource Panel Meeting location below to sign up to receive information.

SACRAMENTO ORGANIZED BY ECHO

bit.ly/SanFranciscoRP

Click a button or use the link to sign up to receive information on Resource Panel Meetings near you!

Coming Soon

NORTH BAY

bit.ly/winecountryRP SAN DIEGO

bit.ly/northbayRP

bit.ly/centralcoastRP ORANGE COUNTY

EAST BAY

bit.ly/SanDiegoRP SOUTH BAY

ORGANIZED BY ECHO

bit.ly/eastbayRP

Invite-a-Homeowner

bit.ly/orangecountyRP

Individual members will receive a one-time discounted annual membership rate of $50 ($95 without discount) if they are invited by another Echo member!

26

SEPTEMBER 2023 | ECHO journal

bit.ly/southbayRP

Wine Country Resource Panel Rohnert Park

North Bay Resource Panel Novato

Sacramento Resource Panel (Coming Soon!)

www.echo-ca.org

East Bay Resource Panel Walnut Creek

San Francisco Resource Panel (Coming Soon!)

South Bay Resource Panel San Jose

Central Coast Resource Panel Santa Cruz County

Educational Seminar: Legislative Update & Holiday Party Rossmoor Community Center Walnut Creek November 18, 2023

Orange County Resource Panel Irvine

Southern California Educational Seminar Laguna Hills Community Center October 14, 2023

San Diego Resource Panel San Diego

ECHO journal | SEPTEMBER 2023

27

Message from the CEO Continued from page 6

Echo has a long legacy of caring for its community members, especially those who serve on the board or those who are active within the community.

This is an ethos established by our past leadership and entrusted to me today. We shall always remember. So it was with a heavy heart that I learned that founder and long-standing Executive Director of Echo, Oliver Burford, passed away in June 2023. He had a long and productive life.

He helped many in the world of HOAs, and he will be forever remembered. And, although I never met Mr. Burford, his spirit will always be a continuing part of the Echo legacy. (See page 30.)

As I approach my fifth

anniversary at Echo this November, the importance of connection and giving has never been so much a part of my life.

And please forgive me for the transgression into personal reflection. I have met so many wonderful people who simply need an unbiased and caring person to listen to their concerns and help them understand objectively their rights and responsibilities as an HOA homeowner. At Echo, it is our mission to listen and educate and advocate for a better quality of life in HOA communities, and we can’t do that without connecting with our members.

A few years ago, a gentleman contacted me about an injustice he and his neighbors were experiencing along the Central Coast of California at the behest

Support the Professionals That Support Echo!

Check out the Professional Service Provider Online Directory. We have a new look that is easy to navigate and user friendly.

This Professional Directory is a one-stop shop that provides access to 250+ HOA industry experts!

www.echo-ca.org 28

SEPTEMBER 2023 | ECHO journal

of the crushing power of the California Coastal Commission. Jeff wanted Echo to help organize homeowners and Jeff Raimundo give them a voice at the table. He was so compelling that I couldn’t say no.

So, over the years as our relationship grew, we talked and planned, and Jeff wrote articles, which I published, to help educate people about coastal California issues. I learned that in early July, my friend and Echo member Jeff Raimundo lost his battle with cancer. He was an inspirational and brave man who fought the good fight. He loved his home on the Pacific Coast, and his spirit and passion for its beauty will live on. A piece of him will be forever connected to Echo, and I am proud and humbled to have known him.

In sharing, it is my hope that perhaps you will find that, at its heart, Echo exists in the collective spirit and energy of the many. We live to serve others, and we strive to serve for good. It is through the commitments of many that we build a better future together.

E A S T B AY & G R E AT E R S A C R A M E N TO COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

OMNI COMMUNITY MANAGEMENT, LLC Over 30 Years of Providing Effective, Responsive Community Management relationship with our clients, our vendors, and with each other.

Team – The recognition that everyone – board, management, and vendors – have a role to play in order to achieve a successful outcome for any community association.

Transparency – That you know what we know and, if we make a mistake, we will self-disclose and make it right, even to our own detriment.

Why Choose OMNI?

Trust, Team, Transparency – these are the values that drive OMNI in every aspect of our work, both internally and with our clients.

OMNI Community Management, LLC is a service-oriented community association management company specializing in effective asset management and efficient building and landscape maintenance. Our goal is to assist the board of directors using state-of-the art equipment and management best practices, to maintain the association’s assets.

Management of assets comprises not only the financial portfolio, but also the buildings and grounds, property values, and most importantly the residents’ perception of their quality of life while residing within your community. Your homeowners will appreciate the pride of ownership and the security of knowing that your community is managed to attain the highest property values possible while maintaining financial security.

Notifications are especially important in community association management.

Through personalized service, attention

to detail, and over thirty years of effective management experience, OMNI Community Management, LLC has satisfied the continued need for responsive management of communities within Northern California.

Individual attention has made OMNI Community Management, LLC a sought after management company because of all that it offers. Enjoy the benefits as other homeowner associations do, and contact us today for more information and a management cost proposal.

OMNI Community Management, LLC has more than 30 years of experience managing homeowner associations with an emphasis on communications and personalized service. OMNI is an Accredited Community Management Company (ACMC), and our management staff consists of Certified Community Association Managers (CCAMs) through the California Association of Community Managers (CACM), with a dedicated staff of administrative professionals. Information requests are generally responded to within 24 hours. We hope we can help make your community one of the finest in Northern California. We encourage you to consider contracting with OMNI for your community’s management needs. You can be assured of reliable, capable, and exceptional service that will make you glad you did.

Our Mission Statement: T3

Trust, Team, Transparency – these are the values that drive OMNI Community Management, LLC in every aspect of our work, both internally and with our clients. The Power of T3 defines OMNI in the following ways: Trust – Everything we do is predicated upon trust. Trust is extraordinarily fragile, so we work diligently to cultivate a trust

Rolf M. Crocker, AMS, CAMEx, CCAM rolf.crocker@omnicommunities.com (877) 700-6070 omnicommunities.com ECHO journal | SEPTEMBER 2023

29

The Echo Legislation Tracker: August 2023 Update Editor’s Note: Current status of legislation has likely changed since the writing of the article and circulation of the Journal.

Echo regularly gives its members an update on state legislation that could affect HOAs. Following is a description of current bills that may be of interest: AB-572; HANEY – IMPOSITION OF ASSESSMENT SUBJECT: Regular assessment increases limited to 5% of preceding year for deed-restricted affordable housing units.

STATUS: Bill has been amended in Assembly and Senate. Passed Assembly, Senate Housing, and Senate Judiciary. The latest amendment states that increase is limited to 5% of preceding year’s assessment or more than the percent change in the cost of living, whichever is larger, not to exceed 10% more than the previous assessment. If this bill passes, it will apply only to prospective associations and not those in existence prior to January 1, 2024.

POSITION: Echo opposes this bill. This change would mean an accounting impossibility and unworkable financial circumstances for associations.

An association would be obligated to keep separate bookkeeping if it had any BMR (below market rate) units.

AB-648; VALENCIA – VIRTUAL OR TELECONFERENCE BOARD MEETINGS SUBJECT: Virtual and teleconference board meetings.

STATUS: Passed Assembly, Senate Housing, and Senate Judiciary.

POSITION: Echo supports this bill. It would increase homeowner participation at meetings. This bill seeks to do away with the pre-pandemic physical location requirements for a teleconference or virtual meeting.

If signed into law, the convenience and accessibility of virtual and teleconference board meetings will be allowed permanently. Note that the Assembly members amended and removed language related to counting ballots.

SB-71; UMBERG – CLASSIFICATION CHANGES TO THE COURTS IMPACT ASSOCIATION COLLECTIONS SUBJECT: Mostly changes to court filing classifications. The limits for small claims were originally increased to $15,000 and the limits for limited courts increased to $50,000. Note that the most recent amendments change these limits to 30

SEPTEMBER 2023 | ECHO journal

$12,500 for small claims and $35,000 for limited civil court cases.

STATUS: Passed Senate. Passed Assembly Judiciary and re-referred to the Assembly Committee on Appropriations (7/11/23).

POSITION: Echo opposes this bill. It increases the jurisdiction of small claims and limited courts. Since the prior draft, the limits have been reduced; however, this only makes it easier to sue associations. This access to the courts was reduced for individuals, but it did not provide for the same access for associations. Associations are corporate entities and subject to more restrictive rules.

AB-1458; TA – ELECTION CHANGES SUBJECT: Adjournment of membership meeting dates shall be no less than 5 and no more than 30 days after adjourned proceedings. Quorum reduces to those present in person, by proxy, or by ballot at the adjourned meeting date. Note: Minor amendments made by the author and in committee.

STATUS: Passed Assembly. Passed Senate Judiciary (7/11/23).

POSITION: Echo supports this bill. It creates efficiencies for elections. By statute, there would be a way to open ballots after at least one attempt to meet quorum. Notice requirements must be met, and the ballots received must represent at least 20% of the association’s membership.

SB-505; RUBIO – FIRE INSURANCE, FAIR PLAN SUBJECT: This bill expands the insurance “clearinghouse” program of the California FAIR Plan. The FAIR Plan is normally considered the last resort for insurance. The bill would allow commercial insurance policies under the FAIR Plan to move back to the admitted commercial market. The primary purpose of this bill is to reduce the number of FAIR Plan policyholders.

STATUS: Passed Senate. Passed Assembly Committee on Insurance and referred to Assembly Committee on Appropriations (6/28/23).

POSITION: Echo supports this bill. It may allow for more access to insurance by associations. It is unknown right now whether this bill will encourage a more competitive insurance market.

S TAT E W I D E COMMUNITY MANAGEMENT SHOWCASE ADVERTORIAL

THE MILLER LAW FIRM The Best Representation for Your Most Important Asset

Put 40+ Years Experience on Your Side

Celebrating 40 years of practice, The Miller Law Firm continues to be California’s construction defect authority and leading resource for Bay Area homeowners, Boards of Directors, and community management.

We have dedicated the last four decades to representing California homeowners associations, protecting the rights and interests of urban, mid-rise, high-rise, and mixed-use associations with construction defect claims. We help communities rebuild their homes and restore their investments by skillfully guiding Boards of Directors in meeting their fiduciary duties, pursuing recoveries against builders’ insurance policies, and reconstructing communities statewide.

“Having a firm that literally wrote the book on construction defect claims, with current experience against the very same builder, was extremely beneficial to our community. The Miller Law Firm kept the board and our owners informed while the claim was pending. That was important to us as a community and eased the burden on the board.”

– Peninsula HOA Board of Directors Request your free copy of the newly released 3rd edition of: Home and Condo Defects: A Consumer Guide to Faulty Construction, written to aid and assist homeowners, board members and HOA management companies in the SB 800 claims process.

Rachel M. Miller, Esq. 595 Pacific Ave., Fourth Floor San Francisco, CA 94133 415-437-1800 | 800-403-3332 rachel@constructiondefects.com constructiondefects.com ECHO journal | SEPTEMBER 2023

31

WELCOME TO ECHO’S

New Professional Service Providers Epsten, APC is proud to be one of the most experienced and qualified law firms providing legal expertise to community associations. With offices in San Diego, Indian Wells and Temecula we serve associations throughout Southern California.

We provide association corporate counsel, CC&Rs interpretation and enforcement, rule enforcement, judicial assessment collection services, contract negotiation, insurance reviews, resolution of architectural disputes, as well as litigation of CC&R disputes and enforcement, breach of fiduciary duties, contract litigation, personal injury and property damage claims, construction defect, construction law, and fair housing.

Our community association attorneys play a number of roles in the success of our clients, serving as advisors, problem solvers, advocates, and educators. Our legal team is dedicated to the practice and study of the laws and regulations related to community associations in California.

Several of our attorneys have been inducted into the prestigious College of Community Association Lawyers (CCAL®).

Jenniffer Serrano Senior Marketing Manager (800) 300-1704 info@epsten.com epsten.com

Heritage Exteriors is a family owned and operated company dedicating our reputation to every customer to ensure a flawless, professional, and easy experience. Relationship driven, we are looking not only to execute our task with precision but also to leave you feeling like a part of the family and reason for the growth of our company. We are Licensed in California (CSLB Lic. #1055919) providing services for all of Northern California.

We specialize in exterior siding and window replacements. We have been providing services to the Multifamily, HOA, and the New Construction industry for many years dedicated to providing a seamless and efficient process for every customer.

Every project and budget are different, and we understand. This is why we are prepared to work alongside you to provide our professional advice on the many different manufacturers, materials, and finishes available to ensure we achieve the best results for each project.

David Chernetskiy CEO (916) 256-5801 david@hexteriors.com hexteriors.com

Echo’s Professional Service providers come together each quarter to meet, network and hear directly from managers how to better serve boards and communities.

To get involved, email jprice@echo-ca.org for more information.

32

SEPTEMBER 2023 | ECHO journal

Medallion Landscape is your one-stop-shop for all your landscaping needs. Our team of seasoned professionals provides outstanding services that go beyond just landscaping. We are a full service landscape contractor; managing maintenance, enhancements, integrated pest control and installation for multi-family residential and commercial properties.

We offer turnkey solutions that work within the parameters of your budget, maximizing your landscape dollar and providing excellent customer service. By choosing Medallion Landscape, you can be confident that your property will be enhanced and beautified. This will increase your property’s marketability and appeal while reducing costs and environmental impact.

O’Toole Rogers, LLP is a full-service real estate law firm specializing in servicing common interest developments throughout Northern and Southern California. Our firm provides associations and their agents experienced, efficient representation to identify and implement common sense solutions, improve governance, and promote long-term community success.

Trust Medallion Landscape to provide the best landscaping services that will take your property to the next level.

Our attorneys provide advice and counsel, defend associations and their volunteer directors and officers, enforce governing documents, draft governing document amendments and restatements, handle construction projects and disputes, and so much more. We are fully committed to the associations we serve and the volunteer directors and officers who serve our clients. These values are at the core of our practice and help explain our commitment to our clients.

Linda S. Miller Director of Business Development (669) 270-6488 linda.miller@mlmi.com mlmi.com

The firm is committed to the industry and gives back by volunteering many hours to speak on association topics, write articles, teach courses to property managers and volunteer directors, and work on industry committees.

QUICK & EASY RESOURCE FOR HOA BOARDS & HOMEOWNERS

Andrea L. O’Toole, Esq Partner O: (925) 284-4693 C: (925) 330-8396 aotoole@otoolerogers.com otoolerogers.com

Check Out Our Professional Service Provider Online Directory!

Visit www.echo-ca.org and click on Professional Directory

ECHO journal | SEPTEMBER 2023

33

2023 COMMUNITY MANAGEMENT RESOURCE DIRECTORY

COMMUNITY MANAGEMENT

CN Management, LLC

5th Avenue Real Estate Services 1024 Iron Point Rd., Ste. 1062 Folsom, CA 95630 (888) 823-4304 www.5thaveinc.com

Ace Property Management, Inc. Yvette Lee CEO 1290 Kifer Rd., Ste. 309 Sunnyvale, CA 94086 (408) 217-2882 yvette@acepm.net www.acepm.net See our ad on page 19

Affirmative Management Services P.O. Box 477 Campbell, CA 95008 (408) 244-0909 www.thehoamanager.com

AllPro Association Management 5201 Great America Pkwy., Ste. 320 Santa Clara, CA 95054 (877) 255-7761 www.AllProHOA.com

Bay Area Property Services Lisa Triplett, CAMEx, AMS Executive Vice President 3021 Citrus Circle, Ste. 205 Walnut Creek, CA 94598 (800) 610-0757 lisa@bayservice.net www.bayservice.net

The Bridgeport Company

2303 Camino Ramon, Ste. 201 San Ramon, CA 94583 (925) 824-2888 www.bridgeportco.com

Carrick & English

P.O. Box 629 Burlingame, CA 94011 (650) 401-3688 www.carrickandenglish.com

Christison Company

7901 Stoneridge Dr., Ste. 222 Pleasanton, CA 94588 (925) 371-5731 www.christisoncompany.com

Anderson & Company

783 Rio Del Mar Blvd., Ste. 59 Aptos, CA 95003 (831) 688-1090 www.acomgt.com

Ascendant Association & Property Management, LLC P.O. Box 15446 San Francisco, CA 94115 (415) 877-7689 www.ascendantmgmt.com

CID Consortium LLC

Brenda Lynch 919 Reserve Dr. Roseville, CA 95678 (888) 786-6000 blynch@cidcllc.us www.cidcllc.us See our advertorial on page 13

CitiScape Property Management, Inc. 3450 Third St., Ste. 1A San Francisco, CA 94124 (415) 401-2000 www.citiscapesf.com

34

SEPTEMBER 2023 | ECHO journal

Paul Collins, CCAM, PCAM Chief Executive Officer 500 Alfred Nobel Dr., Ste. 250 Hercules, CA 94547 (800) 557-5179 paul@collins-mgmt.com www.collins-mgmt.com

Common Development Management 1220 Diamond Way, #130 Concord, CA 94520 (925) 682-6012 www.cdmgmt.net

Common Interest Management Services 1682 Novato Blvd., Ste. 204 Novato, CA 94947 (415) 321-8283 www.commoninterest.com

6088 Sunol Blvd., Ste. 100 Pleasanton, CA 94566 (925) 417-7100 www.hoasmanagement.com

Community Management Services 1935 Dry Creek Rd., Ste. 203 Campbell, CA 95008 (408) 559-1977 www.communitymanagement.com

Compass Management Group, Inc. 77 Las Colinas Ln. San Jose, CA 95119 (408) 226-3300 www.gocompass.com

Condominium Financial Management, Inc. (CFM)

Associa Northern California 4305 Hacienda Dr., Ste. 140 Pleasanton, CA 94588 (800) 843-3351 www.associaonline.com

Collins Management Company

Community Association Management

American Management Services, Inc. 1190 South Bascom Ave., Ste. 242 San Jose, CA 95128 (408) 225-7380 www.amspcam.com

100 South Murphy Ave., Ste. 200 Sunnyvale, CA 94086 (888) 780-0355 www.cnmanagement.us.com

Citrus HOA Management Rebecca Dodge 127 E. State St. Redlands, CA 92373 (909) 435-0099 info@citrushoa.com www.citrushoa.com

1001 Galaxy Way, #200 Concord, CA 94520 (925) 566-6800 www.condofinancial.com

Eugene Burger Management Corp., AMO 6600 Hunter Dr. Rohnert Park, CA 94928 (707) 584-5123 www.ebmc.com

900 North Point St., Ste. D100 San Francisco, CA 94109 (415) 292-1000 www.fairmontatghirardelli.com

First & Main Property Management 1030 Seminary St., Ste. B Napa, CA 94559 (707) 207-8100 firstandmainpm.com

Infinity Property Management, LLC 1245 S. Winchester Blvd., Ste. 222 San Jose, CA 95128 (408) 248-4765 www.infinitypropertymanagement.com

The John Stewart Co.

104 Whispering Pines Dr., Ste. 200 Scotts Valley, CA 95066 (415) 345-4400 www.jsco.net

MB Homeowners’ Management FirstService Residential

Amanda Cox 601 California St., Ste. 1501 San Francisco, CA 94108 (415) 327-8016 amanda.cox@fsresidential.com www.fsresidential.com

1210 S. Bascom Ave., Ste. 220 San Jose, CA 95128 (408) 871-9500 www.mbhm.net

The Management Alternative 1932 W. Orangeburg Ave. Modesto, CA 95350 (888) 862-3335 www.hoapro.com

Focus Real Estate & Investments, Inc. 3936 Mayette Ave. Santa Rosa, CA 95405 (707) 544-9443 www.focus-re.com

Frontier Property Management P.O. Box 444 Newark, CA 94560 (510) 490-7314 www.frontierone.com

Grayson Community Management Allan Melkesian, President 1625 The Alameda, Ste. 625 Santa Clara, CA 95126 (888) 277-5580 allan@graysoncm.com www.graysoncm.com See our ad on page 5

The Helsing Group

4000 Executive Parkway, Ste. 100 San Ramon, CA 94583 (925) 355-2100 www.helsing.com

The Manor Association, Inc. Brian D. Campisi, CEO 1820 Gateway Dr., Ste. 100 San Mateo, CA 94404

1100 Water St., Ste. 1A Santa Cruz, CA 95062 (650) 637-1616 info@manorinc.com www.manorinc.com See our advertorial on page 21

The Masters Group

OMNI Community Management, LLC Rolf M. Crocker, AMS, CAMEx, CCAM CEO/Principal 9807 Fair Oaks Blvd.

Fair Oaks, CA 95628 (925) 283-4900 rolf.crocker@omnicommunities.com www.omnicommunities.com See our advertorial on page 29

Premiere Property Services 100 Stony Point Rd., Ste. 180 Santa Rosa, CA 95401 (707) 544-2005 premierpsinc.com

Professional Association Services 42612 Christy St. Fremont, CA 94538 (510) 683-8614 www.pas-inc.com

Professional Community Management, An Associa Company

2 Townsend St. San Francisco, CA 94107 (415) 541-9911 www.mrmsf.com

Miramonte Company

Property Pro Ltd.

Maynard Rich Management, Inc.

(925) 464-2227 www.hoaorganizers.com

Hudson Management Company

Mulqueeney & Associates

425 Gregory Lane, Ste. 101 Pleasant Hill, CA 94523 (925) 827-2200 www.askhudson.com

101 Cooper St. Santa Cruz, CA 95060 (800) 562-3885 info@nextstepcommunities.com www.nextstepcommunities.com

Matthew Williams, CCAM, CMCA, AMS, PCAM President 27051 Towne Centre Dr. Lake Forest, CA 92610 (949) 465-2260 matthew.williams@associa.us www.associaonline.com/locations/ professional-community-management/ foothill-ranch See our advertorial on page 11

P.O. Box 20094 San Jose, CA 95160 (408) 445-4455 www.emastersgroup.com

1225 Alpine Rd., #206 Walnut Creek, CA 94596 (925) 932-7100 www.miramonteco.com

HOA Organizers Inc., AAMC®

Next Step Community Management

2023 COMMUNITY MANAGEMENT RESOURCE DIRECTORY

Fairmont Heritage Place (Ghirardelli Square)

14127 Capri Dr., Ste. 8 Los Gatos, CA 95032 (408) 378-1730 www.propertyproltd.com

P.O. Box 4726 Foster City, CA 94404 (650) 574-3835

ECHO journal | SEPTEMBER 2023

35

2023 COMMUNITY MANAGEMENT RESOURCE DIRECTORY

Steward Property Services, Inc. 1465 N. McDowell Blvd., Ste. 120 Petaluma, CA 94954 (707) 285-0600 www.stewardprop.com

Regency Management Group

Carolyn Donaway, CAMEx, CCAM-PM.CI, CMCA, AMS President/General Manager 24571 Silver Cloud Ct., #101 Monterey, CA 93940 (831) 647-2442 cdonaway@regencymg.com www.regencymg.com

Robert L. Jensen and Associates 2160 N. Fine Ave. Fresno, CA 93727 (559) 252-4525 www.robertljensen.com

Robertson Property Management 1550 Tiburon Blvd., Ste. 4 Tiburon, CA 94920 (415) 789-5952 www.robertsonmgt.com

Shoreline Property Management, A division of The Manor Association, Inc.

1100 Water St., Ste. 1A Santa Cruz, CA 95062 (831) 426-8013 www.shorelinepropertymanagement.com

P.O. Box 1173 Novato, CA 94948 (415) 382-1100 www.wakefieldsharp.com

Westco Equities, Inc. Property Management 1625 E. Shaw Ave., Ste. 116 Fresno, CA 93710 (559) 228-6788 www.west-co.com

AppFolio

50 Castilian Dr. Goleta, CA 93117 (888) 700-8299 www.appfolio.com

BIMINIcorp

11626 Wolf Rd. Grass Valley, CA 95949 (530) 205-6912 www.biminicorp.com

Community Financials

7 W. Figueroa St., Ste. 300 Santa Barbara, CA 93101 (833) 266-3646 www.communityfinancials.com

Willis Management Group, Inc. 3180 Crow Canyon Place, Ste. 100 San Ramon, CA 94583 (925) 901-0225 www.willismg.com

Wyman Property Management 2010 Jefferson St. Napa, CA 94559 (707) 637-7923 www.wymanpm.com

ManageCasa Property Management Software Debe Koch 44 Tehama St. San Francisco, CA 94105 (415) 800-1245 debe@managecasa.com www.managecasa.com

FINANCIAL SERVICES

Next Step Community Management Silvercreek Association Management Laura Ravazza, CCAM-PM, PCAM Director of Education and Marketing 2950 Buskirk Ave., Ste. 300 Walnut Creek, CA 94597 (925) 690-5332 laura@sc-manage.com www.sc-manage.com See our advertorial on page 7

Sordi Properties

2370 W. Cleveland Ave., #189 Madera, CA 93637 (559) 479-9266 sordiproperties.com

36

Wakefield Sharp

MANAGEMENT & TECH SOFTWARE

SEPTEMBER 2023 | ECHO journal

101 Cooper St. Santa Cruz, CA 95060 800-562-3885 info@nextstepcommunities.com www.nextstepcommunities.com

Many Echo Professional Service Providers offer products and services across large service areas. Be sure to visit their website to see if they serve your area!

Echo Mourns the Loss of Oliver Burford Foreward by David Zepponi, Echo CEO

It is with great sadness that we announce the death of founder and former Executive Director of Echo, Oliver Burford. As an HOA board member, Oliver saw a need to help boards understand their rights, roles, and responsibilities in this newly forming and rapidly expanding housing development type. Oliver championed structure for HOA leadership and the common interest development industry.

He launched the Echo HOA Newsletter, now the Echo Journal, to get information to members and leaders in the industry. He, along with a handful of other professionals, founded Echo and, in 1993, became its executive director.

College, where he earned his undergraduate degree as well as the Founders Medal, Millsaps’ highest academic honor given to the senior with the highest grade point average over their fouryear course of study.

Upon graduating from Millsaps, Oliver attended Vanderbilt University, where he earned his master’s degree and PhD in nuclear physics.

Following his time at school, Oliver worked 35 years for Lockheed Martin Corporation. Most of his time at Lockheed was spent working with Oliver Burford an elite group of engineers and scholars who were exploring novel ways of utilizing nuclear energy. After retiring from Lockheed, Oliver became the executive director of the Executive Council of Homeowners (Echo), where he worked for many more years.

Oliver believed that Echo could foster a better quality of life in common interest developments Oliver was a resident of Channing House in through education, advocacy, and networking.

Palo Alto for the last 10 years. He was an avid Over the years, his dream has become reality, wine collector and lover of food and travel. He and HOA boards, industry professionals, and was particularly fond of traveling to France on volunteers have all benefited from his work. He trips focused on food and wine. He was also a will be forever remembered for his contributions patron of the arts and enjoyed spending time at to this industry and for the establishment of the the opera, symphony, and ballet in his adopted Executive Council of Homeowners. home of San Francisco.

Oliver Burford Obituary

Audley “Oliver” Burford passed away peacefully on June 8, 2023, at the age of 92.

Oliver was born to the late Audley Ray and Grace Oliver Burford in Tupelo, Mississippi.

He graduated with honors from Tupelo High School in 1948 and later attended Millsaps

Oliver is survived by his sister Gwen Burford Bearden of Marietta, Georgia; his nephews Mitch Sprinkle of Marietta and Todd Sprinkle of St. Petersburg, Florida; and many cousins and devoted friends.

ECHO journal | SEPTEMBER 2023

37

NORTHERN CALIFORNIA

SURVIVING YOUR HOA: Legislative Update & Leadership for HOA Boards of Directors & Engaged Homeowners

KEYNOTE Housing and Politics Presented by an Elected Official (TBA)

Legislative Update, Winners and Losers in 2023 Presented by Nathan McGuire, Esq.

Maintaining Aging HOA Communities: Construction, Repairs and Funding Presented by Andrea O’Toole, Esq.

HOA Board and Homeowner Roles and Responsibilities Presented by Dave Feingold, Esq. & John Gill, Esq.

Couch Chat & Community Discussion: The Future of HOA Developments: Demographics and Aging Boards Presented by Steven Weil, Esq. Panelists include featured HOA Attorneys

PREMIER SPONSOR

38

SEPTEMBER 2023 | ECHO journal

REGISTER HERE

Save 50% Off Registration!

Use promo code: EARLYBIRD

ECHO NORTHERN CALIFORNIA EDUCATIONAL SEMINAR Saturday, November 18, 2023 8:30 a.m. - 2:00 p.m.

Rossmoor Community Event Center 1021 Stanley Dollar Dr. | Walnut Creek, CA 94595

SCAN TO REGISTER

8:30 am Check In, Exhibits Open, Coffee/Pastries Served 9:20 am Opening Remarks & Raffle 9:30 am Presentations Begin 10:30 am Raffle & Recognition Rewards 11:10 am Presentations Resume 12:40 pm Raffle & Recognition Awards, Light Lunch Served 1:50 pm Grand Prize Raffle/Simulcast Prize Raffle Concluding Remarks Echo is the only statewide organization created solely for HOA board member and homeowner education in California. For 50 years, Echo has continued to be a leader in quality educational programs that build stronger communities.

REGISTRATION SPONSOR

www.echo-ca.org 408.297.3246

FOOD & BEVERAGE SPONSORS

1 100% 2 Almost of our clients are homeowners associations, planned unit developments, condominiums, condominium conversions, COOPs, tenancies in common and timeshare projects ...

8 REASONS TO CHOOSE LEVY, ERLANGER & COMPANY LLP 3 CPAs

150

Working with approximately management companies in Northern California out of a total of 300 serving community associations ...

5

12

Which enables our professional staff of including 6 CPAs and 6 CPA candidates (growing to almost 20 professionals during “tax season” from January to April) to ...

6

Since 1977 — more than

40 years’ experience ...

4

2,500

Serving more than community associations (3 to 6,700 units) in Northern California out of a total of approximately 17,000 ...

wide range of services

Provide a to community associations including …

• Financial statements • Annual budget reports (pro • Inspector of election and income tax returns forma budget + assessment/ services — audits, reviews and reserve funding summary) • Board and member compilations • Pro forma operating budgets meeting presentations • Comparative 2-year and PUPM assessment • Litigation support financial statements— computations services (developer more meaningful to readers • Assessment and reserve budget adequacy, • Reserve funding plans, funding disclosure summaries fraud investigation, or updates owner complaints, etc.)

7 unique publications & services 8 Including some

• 2020 Condominium Greenbook™, the 290-page financial reference book for Association treasurers • 2020 Community Association Financial Survey of over 1,500 associations

• A Management Fee Survey of more than 1,900 associations • ...and numerous other surveys of reserve study practices, percent funded, etc.

As well as more than 40 years of important business contacts to help associations connect with the

BEST.

290 King Street, Suite 12, San Francisco, CA 94107 (415) 981-9350 bill@hoa-cpa.com

PRSRT STD US POSTAGE PAID PERMIT NO. 271 85719 5669 Snell Ave., #249 San Jose, CA 95123-3328

ONLINE EDUCATIONAL OFFERINGS – Visit www.echo-ca.org to register Community Conversations

Echo Ask the Experts

Community Crime Prevention & Safety

Association Maintenance & Project Funding

October 5, 2023 | 1:00 pm - 2:30 pm

November 1, 2023 | 1:00 pm – 3:00 pm

R E G I ST E R H E R E

R E G I ST E R H E R E

Community Conversations

Echo Ask the Attorney

Conflict Resolution Through Mediation, Arbitration & ADR/IDR

Judicial Interpretation: HOA Case Law

October 19, 2023 | 1:00 pm - 2:30 pm

November 4, 2023 | 9:00 am - Noon

R E G I ST E R H E R E

R E G I ST E R H E R E

Community Conversations

Case Law Update

Good Governance: Meetings and Best Practices

November 9, 2023 | 1:00 pm - 2:30 pm

December 7, 2023 | 1:00 pm - 3:00 pm

R E G I ST E R H E R E

R E G I ST E R H E R E