Common Assessment Magazine July August September 2011

Common FALL 2011

The professional provider of education, advocacy and resources for Community Associations

T a k i n g t h e S t e p s T o wa r d a B e tt e r C o m m u n i t y T h r o u g h E d u c at i o n Make the most of your management career page 6 chart a path to success as a board member page 14 C o m m opage n A s s34 essment Educating our legislators

Ma g a z i n e • F A L L 2 0 1 1

1

Features 6 Make the Most of Your Management Career

by Lisa Isaacson, CCAM, PCAM

10 Meeting the Challenge: Practical Advice for Community Association Board Members and Homeowners

by Victoria Cohen

14

Chart a Path to Success as a Board Member

by Dawn Braddy, CCAM, CMCA

16

Developing a Sense of Right & Wrong: Fulfilling Your Fiduciary Duties as a Board Member

by Lauri Croce, Esq.

26

Hiring and Negotiating – A Process That Works

by Jeffrey A. French, Esq.

34 Educating Our Legislators

by Kimberly Lilley, CMCA, CIRMS

Departments 4

President’s Message

by Cyndi Koester, PCAM

12

Platinum Marketing Plan Member Focus: Pacific Western Bank

22

Homeowners Corner – CID Managers, Education and Professionalism--by SamDolnick

30

2011 Annual Educational Conference & Trade Show

Newsstand

37

37

CLAC Donations Honor Roll

38

Service Directory

Around San Diego

Back Cover

Chapter News

2

Annual Educational Conference & Trade Show Snapshots

9

May Morning Educational Programs

20

June 25 CAI Family Night at the Padres

21

Monte Carlo Night Highlights

24

What’s coming up

29

New & Renewing Members

2011 Marketing Plan

Wednesday, April 6, 2011

2

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

3

Common

President’s Message EXECUTIVE COMMITTEE Cyndi Koester, PCAM....................................... President Mutual of Omaha Bank

From San Diego to Boca Raton and Back Again

RICK SALPIETRA, ESQ...................................VICE PRESIDENT Law Offices of Richard Salpietra

Louise Stettler. Classes all day, networking at night, exhausting!

So what am I referring to? The CAI National Conference, which I attended in Boca Raton, Florida. It was a very busy and productive four days where we shared ideas, problems, solutions, and different points of view. It provided an opportunity for networking with management company executives managing large (1700 associations) and small (managing one association with 68 homes) associations. We also met with managers, Business Partners and members of other chapters. The academic track was also very busy featuring 23 different interesting and informative lectures.

The San Diego Chapter was well represented. President Elect, Louise Stettler, was there for training for her 2012 presidency. Also in attendance were Rick Salpietra, Joe Farinelli, PCAM, Co-Lee Grev, James Manning and Tawny Danae.

Our Chapter received an Award for Chapter Excellence for Public Affairs – Very Large Chapter for our CLAC Roundtable Committee. Are you ready for 2012? The CAI National Conference will be held in Las Vegas! In 2013 the BEST ever National Conference will be here, in SAN DIEGO! On a local note: Congratulations to our Monte Carlo Committee for a great event.

We had over 275 attendees attend this year for a great night of socializing, gaming, dancing and, of course, raffle prices! It was held at Sea World and the glass room with the beautiful decorations was magical. Great job!

We will be holding our Annual Golf Classic at Coronado on September 16, 2011.

Flyers are out so sign up today!

I would like to thank our outstanding Education Services committee for putting together our great educational programs throughout the year. We are now holding four North County Morning Educational programs. Coming up is Employment Law on September 23 in San Diego and September 28 in Carlsbad. The ever popular Almost Free Legal Advice will be held on November 4 and 9.

We are getting ready for our Annual Awards Program in December; PLEASE submit nominations for those who

tina rozycki, CMCA......................................... treasurer Curtis Management

If you are involved in the management of a community association, you know that the State and Federal laws that govern associations complicate decision-making and make the conduct of association business challenging.

We can help. At Epsten Grinnell & Howell, solving the complexities of community association law is our only business.

Marie Donovan................................................ secretary Homeowner Chris hodge, pcam......................................... ex-oFficio Elite Community Management DIRECTORS Kerry Beatty, PCAM......................Packard Management Group Jim Fraker, PCAM..........Professional Community Management Elizabeth French, Esq. ..............Green, Bryant & French, LLP Elaine Gower............................................................ Homeowner Co-LEE GREV, PCAM............ Pacific Rim Property Management JASON PAYNE ....................................Payne Pest Management Shannon smith......................................Reconstruction Experts Karina Tatum . ........................SD Preferred Property Managers

Our attorneys handle a continuing and varied stream of association legal matters.

We collaborate and share our ever-expanding knowledge with each other, and with our clients. This can be a real benefit to your association, as our attorneys are not likely to be starting from square one when faced with your difficult issue.

CHAPTER Executive DIrector barbara ozenbaugh, CMP 619-299-1376 Managing editor and New & Renewing Advertising sales barbara ozenbaugh, CMP 619-299-1376, barbara@cai-sd.org design & production Kristine GAITAN Rey advertising & design / The Creative Dept.

760-746-8700 Magazine EDITORIAL committee Laurie Poole, ESQ. (CHAIR)............. Peters & Freedman, LLP Lauri Croce, ESQ. ............................ Anderson & Kriger, APC Sam Dolnick.......................................................... Homeowner Any Ferrell........................................................ N.N. Jaeschke Lesley Finch............................................Lindsay Management JEFF French, ESQ....................... Green, Bryant & French, LLP BRIAN KALMENSON, CCAM....Michael Abdou Insurance Agency JODI KONORTI, ESQ. ................ Epsten, Grinnell & Howell, APC CYNDI KOESTER, PCAM..... Mutual of Omaha Bank/CondoCerts Jennifer Landon........................... Allure Total Management kimberly LILLEY, CIRMS........................Berg Insurance Agency tina rozycki............................................. Curtis Management Jean-Marie Salvia.................................... Walters Management LOUISE Stettler......................... Epsten Grinnell & Howell, APC

Call us today… We have a lot of common interests.

All articles and paid advertising represent the opinions of authors and advertisers and not necessarily the opinion of either Common Assessment Magazine or the Community Associations Institute – San Diego Chapter.

Information contained within should not be construed as a recommendation for any course of action regarding financial, legal, accounting or other professional services and should not be relied upon without the consultation of your accountant or attorney.

have gone above and beyond! Check out the website for the application. My goal is to have over 50 nominations for ALL categories. Business owners I am calling on you to ensure that we meet this goal.

Cyndi Koester, CMCA, AMS, PCAM AVP Southern California Regional Account Executive, Mutual of Omaha Bank/Condo Certs F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

to complex Community Association legal issues.

Louise stettler...................................... president elect Epsten Grinnell & Howell, APC

The 2011 National Conference was a busy time for me and our President Elect,

4

We provide solutions...

Common Assessment Magazine is the official quarterly publication of the San Diego Chapter of the Community Associations Institute. CAI San Diego Chapter encourages submission of news and articles subject to space limitation and editing. Signed letters to the editor are welcome. All articles submitted for publication become the property of CAI San Diego Chapter. Reproduction of articles or columns published permitted with the following acknowledgement: “Reprinted with permission from Common Assessment Magazine, a publication of the Community Associations Institute San Diego Chapter.” © 2011 CAI - San Diego Chapter

Advertising & Correspondence should be sent to: Common Assessment Magazine CAI - San Diego Chapter 1081 Camino Del Rio South, Suite 109, San Diego, CA 92108 619-299-1376 / fax 619-299-1377 / www.cai-sd.org

800.300.1704 l www.epsten.com San Diego 9980 Carroll Canyon Rd., Suite 200 San Diego, California 92131 858.527.0111 • fax 858.527.1531

Inland Empire 41870 Kalmia St., Suite 160 Murrieta, California 92562 951.461.1181 • fax 951.461.2916

Coachella Valley 44-875 Deep Canyon Rd., Suite 3 Palm Desert, California 92260 760.836.1036 • fax 760.836.1040

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

5

Make the Most of Your Management Career Education can never be taken away.

Obtain it, Embrace it, Use it, Teach it.

Invest in and empower yourself with knowledge.

by Lisa Isaacson, CCAM, PCAM

Education becomes most apparently critical when managers speak to their boards of directors, or to a

• Time commitment – 16 hours • Costs – $445 for coursework plus application and

group of homeowners during a board meeting. It is

maintenance fees

also equally critical when speaking on the phone or just in passing during a property inspection. Many of our

CAI’s designations are recognized not only in California, but nationally as well.

board members are highly educated, and even highly accomplished, but that does not qualify them as experts in managing their associations. They count on us!

What the manager says will be heavily scrutinized by the most savvy of board members -- those that truly understand the role of the community association manager.

The two main organizations within our industry are Association of Community Managers (CACM). Each

Professional Community Association Manager® (PCAM)

provides higher education and certifications recognizing

• Must have previously earned CMCA and AMS

Community Associations Institute (CAI) and California

designation

personal and professional achievement.

Taking a brief look at each organization’s education

• Five years Community Association Management experience

structure will provide insight into time commitments, coursework and costs while the manager is on track to

• Successfully complete all M-200 level course studies

higher learning:

• Successfully participate and complete a comprehensive, two-day case study. In this

Community Associations Institute (CAI)

environment, the manager spends two full days at the

CAI recognizes several levels of achievement starting

subject property learning every facet of the property.

with their CMCA certification. From there, a motivated

Then, during the next 28 days, the manager prepares

manager will seek to earn the AMS® designation and

a comprehensive, formal case study that reviews,

culminate their education by achieving the PCAM

evaluates and formulates solutions to the following

designation. CAI’s designations are recognized not only

(this is just a sampling):

®

®

in California, but nationally as well.

–

How do the board members interact with one another?

hat does it take to become a successful Community Association Manager? It takes what you’re willing to give and absorb from an industry vast in knowledge, education and importance. It takes commitment. Management companies who support education do so because they understand it is the foundation of our industry, an industry made up of 9 million residents living in 32,000 Common Interest Developments throughout California alone. Educated managers are able to guide their volunteer boards of directors towards making the best business decisions possible for their communities. It takes knowing yourself and accepting that you don't know it all. It takes a smart manager to recognize this and know where to turn to get the information.

Certified Manager of Community Associations® (CMCA)

• Successfully complete the M-100 – Essentials of

–

How does their community manager interact with the board? With the membership?

–

How are the financial records kept? The

Community Association Management. This can be

manger needs to have a basic-to-advanced

done as a home study course and exam, or classroom

understanding of the association’s financial

participation and exam

reports. The case study gives the manager

• Time commitment - 2 1/2 days (includes classroom

on-the-spot-training by forcing them to

hours and exam) plus an additional 120 question exam

step out of the comfort zone of their own

given on a separate date

association’s budgets to working with an

• Costs - Approximately $445 for coursework (M-100),

unfamiliar set of financial reports, and in some

plus application and exam fees

cases, with different laws applicable than to what the manager is accustomed.

Association Management Specialist® (AMS)

– Is there a budget? Is the association keeping

• Must have previously earned CMCA designation

within the budget? During the case study,

• 2 years Community Association Management

the manager will be tasked with making

experience • Successfully complete one M-200 series course srudy

recommendations for the short term, while Continued on page 8

(M-201-206) 6

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

7

CACM offers the Certified Community

Making the most...

Continued from page 7

offering recommendations for the new fiscal year.

–

How effective are the association’s policies and rules

– Is the association properly insured? Being under insured can prove as large a catastrophe as not being insured at all.

–

How successfully do the board and its manager disseminate the vast amount of information to the membership?

–

Are there committees that assist the board? And the list goes on…

• Costs – $2225 for coursework plus case study participation and application fees. Additional travel expenses may be incurred depending on location of case study. As with all CAI coursework, case study locations extend beyond California.

magazines, trade organizations providing

Association Manager (CCAM) and awards

course study relevant to today’s demands,

their designation after the candidate

participating in online seminars known as

successfully completes a four-part, 16-hour

webinars, which are fast, inexpensive and

course study along with a 16-hour, two day

as convenient as your desktop; spending a

course reviewing the Basics of Association

day at the Capitol hearing the bills before

Management (BAM) + ethics. Costs are

they become laws or simply by listening to

approximately $2185 for coursework plus

experts speak on topics in their respective

application and membership fees. This

fields.

designation is recognized in California only.

Laws are constantly changing and

So, what does it really take to become certified in California? You need a CMCA

now more than ever managers must stay

designation plus the 8 hour CID Law

current with what is coming down the

Course. Go for it! It’s fulfilling and worth it!

pipeline. Be prepared to address the impact that changing laws will have on your associations. Be cognizant that board members have access to trade magazines, the internet and are now more focused than ever before on how association money is spent. In the old days, a simple response was sufficient. In today’s rough economic

Lisa Isaacson, PCAM, CCAM, is a Community Association Manager with Walters Management, a full service management company with offices in San Diego, Chula Vista, Carlsbad and Murrieta.

climate, a detailed, more thorough answer

THANK YOU TO OUR MORNING EDUCATIONAL PROGRAM SPONSORS

Effective Resolution: ADR/IDR MAY 13 SPONSORS: Anderson & Kriger LLP Master Plumbing & Leak Detection N.N. Jaeschke, Inc. Pacific Western Bank Popular Association Banking ProTec Building Services MAY 18 SPONSORS: Epsten Grinnell & Howell, APC G4S Secure Solutions USA, Inc. GMI Building Services, Inc. McCaffery Reserve Consulting ProTec Building Services Servpro Industries

is required.

Sources of education include trade

The Only Choice for Your Protection Great Customer Service Accurate Invoicing $2,000,000 Liability Insurance

Damage Replacement Guarantee

Toll Free 877.277.3970 or 858.277.2228 www.paynepestmgmt.com

Real Estate Inspections

SA N DI E GO • O RA NG E COU NT Y • LOS A NG E LE S

8

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

9

Meeting the Practical Advice for Community Association Board Members and Homeowners

In order to protect

Challenge

By Victoria Cohen

Commission (CLRC) website

programs is the Almost Free

association, community

and Google Alerts are

Legal Advice (scheduled

association board members

valuable. Google Alerts,

for Nov. 4 and Nov. 9,

need to understand what they

at Google.com/alerts, are

check www.cai-sd.org for

can and cannot do, and what

e-mail updates of the latest

more information), where

they must and must not do,

relevant Google results on the

homeowners can ask lawyers

as board members. They get

Internet based on your query

questions. This is a great

this information from following

parameters. For example,

opportunity to hear about

these rules:

you can set-up a Google

current legal issues facing

Alert for “California common

our communities and to get

interest development laws”

answers to common questions.

They all need training, education, and the tools

association legal updates,” and every-time this subject

board certified, our building

matter is introduced to the

contractor to be licensed

Internet, Google sends you an

what you pay for! Board

and our attorney to have

e-mail alert (at the frequency

members often expect their

passed the State Bar exam.

you request). In addition,

management company to do

As homeowners and board

common interest development

everything. Board members

members, we should expect

blogs and e-blast newsletters

must understand exactly what

no less from our community

from knowledgeable online

the management company

association manager. Hiring

educational resources, such

was contracted to do for the

a credentialed manager

as CLAC, are helpful. Finally,

association. You don’t expect

helps ensure that he/she has

information on how to file and

the refrigerator delivery

the tools and knowledge

serve small claims cases (for

person to scrub your floor, or

necessary to guide your

the collection of assessments,

the telephone repair person to

association with the expertise

fines or reimbursement costs,

redecorate your living room.

you expect and need.

for example), can be obtained

Know what your management

from the Superior Court’s

company is contracted to

website at www.courts.ca.gov/

perform, and at what cost.

Rule #2 – Be an Informed Board Member Even if you hire the

Remember, you get

In addition, the San

Rule #4 – Your Association Needs to be a CAI Member

Diego chapter of Community Associations Institute (CAI)

ultimately responsible for

offers short hour and half

the actions of the board.

morning sessions for quick

profit community association

have time to attend classes; they are just volunteers.”

Board members, and even

learning opportunities, and

organization in California

Having personally worked with a variety of volunteer

committee members, need

luncheon trade show events

that offers a wide array of

board members over the last ten years, I am still

a basic understanding of

with guest speakers. Speakers

educational opportunities

amazed that HOA boards of directors do not realize the

their association’s governing

include industry professionals

for board members. The San

documents and the laws

discussing current issues

Diego chapter hosts many

that impact their association.

like assessment collection,

fun and educational events at

Where can board members

construction, insurance,

a low cost. If a homeowner/

obtain such information?

landscaping, reserves, and

board member wants to be

Online sources such as the

pending legislation. One

Too often, I hear managers say, “my boards don’t

importance, necessity, and protection for themselves and the community, that results from being an informed and educated board member.

CAI is the only not-for profit community association organization in California that offers a wide array of educational opportunities for board members.

selfhelp-smallclaims.

board member – are

accuracy and to a high standard of excellence.

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

Rule #3 – Read Your Management Contract

As consumers, we

best manager – you, the

of their trade to perform their duties with proficiency,

10

or “California community

expect our doctor to be

hat do a car mechanic, a violinist, a community association board member have in common?

of the most popular annual

themselves and their

Rule #1 – Hire a Credentialed Manager

association manager, and a community

California Law Revision

CAI is the only not-for-

Continued on page 12

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

11

FOCUS

Meeting the Challenge

CAI-SAN DIEGO PLATINUM MARKETING PLAN MEMBER

Continued from page 11

more involved, they can sit on the San Diego Legislative Action Committee Roundtable, the local Chapter Board, or one of many other CAI committees, including CAI national committees.

CAI’s annual membership includes the

Pacific Western Bank (PWB)

national publication, and for members of the

is the 15th largest commercial

San Diego chapter, you also receive Common

bank headquartered in California

Assessment magazine. Both magazines are

with $5.5 billion in assets. Pacific

wonderful resources for current and common

Western Bank has 77 full-service community branches with five regional HOA Division offices

topics that affect associations and they contain useful tips from industry professionals and better decisions in your community.

A CAI membership includes many other

Bernardino Counties. With 9,000 property management accounts and more

resources, including regular e-mail newsletters,

than $500 million in HOA deposits funds PWB is a leader in HOA banking

Minutes, CAI Law Reporter, and FastTrack.

products and services. (12/31/10)

CAI’s national website – www.caionline.com

companies have regarded Pacific Western Bank as a trusted partner for association banking needs throughout California. The bank is known for helping management companies optimize cash flow through state-of-the-

CLCA Certified Water Managers Certified Landscape Technicians (CLT) ISA Certified Arborists

community volunteers that can help you make

strategically located in Los Angeles, Orange, San Diego, Riverside and San

For nearly 30 years, small and medium-sized property management

Serving Community Associations Since 1983 Landscape Maintenance & Installation Irrigation Services & Water Management Experienced, Certified, Knowledgable Staff

Proud recipient of the SDCAA 2009 & 2010 Mark of Excellence Award

– offers Online Learning for Homeowners and Community Leaders and it is always expanding.

The CAI online bookstore offers books on every subject from creating reasonable rules to finding the right management company.

phone

800-439-9962 • fax 619-390-0865

License No. PPO 15264

www.pacificGreenLandscape.com CA State Contractors License #462677

art lockbox processing and enhanced efficiencies through the use of a comprehensive suite of products and services.

The HOA teams at Pacific Western Bank have been servicing the HOA industry collectively and individually for over 20 years. Ken Carteron, HOA Division Manager of the San Diego, Riverside and San Bernardino divisions, has been servicing HOA clients exclusively for 22 years. Ken has served

Rule #5 – Build a Legacy and Lead by Example If you serve on a Board or committee, you can help or hurt your community. You can build a legacy or you can compromise the trust of the members that voted you onto the Board.

on many CAI committees in several different chapters. He has served on

Serving on a Board or a committee is a huge

the Board of Directors of the Coachella Valley Chapter and is currently the

responsibility. Do not try to do it alone. Get the

President of The Greater Inland Empire Chapter of CAI. One of the most

tools and resources you need by engaging in

memorable and most prestigious moments during Ken’s career in the HOA

educational opportunities and reading e-blasts

world was being named as GRIE Chapter President Elect in 2010 and this year serving as their President.

As we look forward to the future we can expect technological changes

I encourage you to email our Executive Director, Barbara Ozenbaugh (Barbara@cai-sd. org) with your suggestions for future Common Ground, Common Assessment, and newsletter

sophisticated process. Banks in the HOA industry are striving to make

topics and articles.

lockbox processing centers are working towards stranded payment processing, automated unbankables, integration of paper payments with electronic payments, and more efficient forms of researching items.

Pacific Western Bank is constantly striving to improve our banking

12

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

• Residential, commercial and industrial associations’ elections involve an

• Reduce the stress and workload involved with elections of directors, recalls, amendments to governing documents and special assessment elections.

As my favorite radio personality Garrison

important legal process that should be handled by an attorney.

The Law Offices of Richard Salpietra has processed over 100,000 ballots in past elections.

We handle all aspects of an election as the Inspectors of Elections including interpreting governing documents, creating and mailing all election documents, collecting ballots, conducting the annual or special meeting, tabulating votes and announcing the results.

Keillor says at the close of his show Prairie Home Companion, “Be well, do good work, and keep in touch.®” You can reach me at CAILiaison@ gmail.com.

technologies to accomplish all of these aforementioned changes. Not everyone is always up for change but as they say “Change is Good!”

Is your CID complying with California Law?

and newsletters.

to make our workdays easier. Lockbox processing has become a very workflow faster and client interface more user-friendly. The more efficient

Inspector of Elections Services provided by Qualified Legal Professionals.

Victoria Cohen serves on CAI Nationals’ Board of Trustee, Community Association Volunteer Committee and Government & Political Affairs Committee.

We have the answers to your legal questions – when you need them.

858.756.2233 • www.salpietra.com C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

13

Chart a

Path to Success as a Board Member

By Dawn Braddy, CCAM, CMCA

Now that you are on the board, what do you do?

Or, you have been on the board for a long time, is there anything more you can learn or do? Both questions lead in the direction of education. It is very important for all directors to seek out information and opportunities to stay informed. There are no shortage of ways board members can educate themselves regarding all aspects of association governance and there are many avenues for board member education: • Attend any one of the various seminars, luncheons or workshops offered by CAI San Diego. The fee to

Speak with the manager and management team to

such educational events. Visit CAI-San Diego’s chapter

learn what they do daily for your association and learn how

web site at www.cai-sd.org to see upcoming educational

to make it more efficient. If the board is well run, then the

opportunities. For CAI programs outside San Diego, visit

association is well run. It takes a team effort to be successful.

• Subscribe to industry magazines to keep current on trends or changes in the industry.

• Become a member of your local CAI chapter and

OR “I am going to run for my board and change the way things are done!”

OR “My neighbors just elected me to the board and I have no idea what I am doing – Help!”

experiences as to what was not successful. Many times, particular issue is helpful. Discussing different actions taken

lead to numerous resources.

can help determine the best approach to a certain problem.

This is easily done when one attends a CAI seminar or workshop.

There are so many ways a director on a board can stay

of information and can inform the board as to their

informed. You are all volunteers on your board, and serve

specific expertise.

because you want to. Whether you are a new board member or you have served for a long time, there is always something

ave you experienced one any of the scenarios or

Reserve Specialist

elected to their association’s board of directors by

Reach out to them to learn all about the reserve study

default and never seem to leave the position because

report you hire them to do. Learn exactly what they do for your association.

new to learn. The industry is always changing. New laws are always on the horizon.

In any profession, one must stay informed to be the best they can be. The same applies to volunteer directors. When making decisions for your multi-million dollar nonprofit entity,

limits. Board members are volunteers performing community service and each member brings his or her particular experience

efficient boards are doing. You can also learn from their

programs and social events. Getting involved with CAI will

• Talk to your association experts. They are a great source

no one else wants to run. After all, typically, there are no term

associations so you understand what other successful and

just learning your board is not the only one experiencing a

issues and pertinent laws.

H

Brainstorm with board members from different

participate on a committee, attend the educational

• Obtain a good reference book that addresses association

something similar? It is not uncommon when one is

Management Representatives

attend is affordable. Put a line item in your budget for

www.caionline.org.

“Wow, I have been elected by my neighbors to serve as a director on the board in the association I live in. I am so excited and ready to give it my all!”

You and the other directors on the board are charged with the responsibility of running a multimillion dollar nonprofit entity.

Landscape Contractor

board members want to be sure the decision made is for the

Walk with the vendor and learn what they do and

benefit of the entire association. By educating oneself and

how they service your property. There are many facets to

seeking out expert advice, board members ensure they are

been elected by the owners of the association, you and the

successful and efficient landscape aside aesthetics. It takes a

taking the right steps to make those decisions.

other directors on the board are charged with the responsibility

cohesive efficient approach involving all aspects of landscape

of running a multi-million dollar nonprofit entity. The board is

to have the landscape at your property look great.

to the table, which is a great asset.

However, it is important to understand that once you have

not only responsible for following the association’s governing documents as defined in California Civil Code Section 1351 (J), but also all applicable laws (e.g., Corporations Code, Vehicle

Legal Counsel Speak with them regarding what action you can legally

Code etc.) The board is not allowed to do “as they choose”

take with delinquent collection efforts as well as to learn

when put in this position of authority. The Davis-Stirling Common

more on all enforcement matters.

Dawn Braddy, CCAM, CMCA is a Senior Community Manager and Education Director at N.N. Jaeschke, Inc., an Associa Company.

Interest Development Act regulates the authority of the board, as do other laws and the governing documents.

14

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

15

Developing a Sense of

Right & Wrong Fulfilling Your Fiduciary Duties as a Board Member

by Lauri Croce, Esq.

As directors of their homeowners association, board members owe fiduciary duties to one another and to the other members of the association. Fiduciary duty is the legal term for common sense principles applicable in all administrative and managerial settings: confidentiality, good faith and fairness.

U

nfortunately, the average board member

complete disclosure, and unequivocal fairness. One

has no easy reference to exactly what is and

California Supreme Court case from 1986, Frances

is not up to snuff when it comes to fiduciary

T. v. Village Green Owners Association, explains that

duties. This article is meant to introduce

board members must follow the Corporations Code

board members to fiduciary duty rules and the role

to exercise due care and undivided loyalty in the

community managers and attorneys can play in advising

best interests of the association. In the more recent

boards to comply.

Lamden v. La Jolla Shores Clubdominium Homeowners Association case, the California Supreme Court further

What are Fiduciary Duties?

Fiduciary duties are the legal requirements imposed

explains that board members’ fiduciary duties are described by the Business Judgment Rule which can

upon board members to act with the utmost good

prevent liability from attaching to even faulty board

faith in the best interests of the entire community while

decisions. It behooves every board member to keep

serving on the board. Corporations Code '7231, subd.

faith with their fellow board members and the entire

(a), explains the fiduciary duties of a board member as

membership of the association, at the expense of

follows:

personal self-interest, to prevent personal exposure to

A director shall perform the duties of a director,

liability.

including duties as a member of any committee of the board upon which the director may serve, in good faith, in a manner such director believes to be in the

Professional Management’s Fiduciary Duties Community managers owe fiduciary duties to

best interests of the corporation and its shareholders

their boards, as set forth both by the Davis-Stirling

and with such care, including reasonable inquiry, as an

Act and case law applicable to agency relationships.

ordinary prudent person in a like position would use

Continued on page 18

under similar circumstances.

The Davis-Stirling Common Interest Development Act imposes fiduciary duties upon board members with regard to financial disclosures, reserve funds and collections.

Non-statutory legal principles, derived from case law applicable to agency relationships (such as attorney-client and real estate agentclient relationships) define fiduciary duties as

The Davis-Stirling Common Interest Development Act imposes fiduciary duties upon board members with regard to financial disclosures, reserve funds and collections.

including confidentiality, undivided loyalty,

16

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

17



Developing A Sense of RIght and Wrong

Rebuilding Communities n n n n n

Reconstruction Renovations Repairs Maintenance New Construction

Financing Available!

Completing community wide projects n within your budget n in the shortest time possible n quality customer service n minimal impact to your residents n

858.792.1500

n

www.delmarpacific.com

CA License #828224

“Serving San Diego, Orange County, the Coachella Valley & the Inland Empire”

driven by results & passionate about proaCtive improvements

• landscape maintenance • Water Conservation & management • design & installation • Complete irrigation services • tree & shrub Care • integrated pest management • fertilizer & soil analysis

licensed/Certified for smart Controller installation & maintenance

18

Continued from page 17

the boundaries of their fiduciary duties.

Boards can avail themselves of a similarly useful guide by consulting their association

Management contracts will almost always

attorney, and adopting a Board Members

contain provisions the breach of which can

Code of Conduct. A first-rate Board

serve as the basis of breach of contract

Members Code of Conduct should contain

and breach of fiduciary duty claims.

provisions addressing board member

Again, confidentiality, loyalty, and good

duties to one another and to members

faith are key, particularly as to financial

of the community, including pledges to

disclosures and accounting. Community

comply with the governing documents and

managers (especially those who are real

avoid claims against the association; keep

estate licensees) are also governed by the

confidences of fellow board members or

California Business & Professions Code

individual community members as the

and industry organizations such as CAI and

situation dictates; act in good faith in

CACM. Their job is to advise boards on

the best interests of the community by

business practices which are in the best

rejecting self-dealing, real or apparent

interests of their association clients, and

conflicts of interest, and taking advantage

to handle the financial dealings of their

of the association; maintaining financial

association clients with scrupulous care.

fidelity; and complete disclosure of

     





  

Confidentiality seems to be the fiduciary

called upon to make disclosures.

A Board Members Code of Conduct

duty most often overlooked by board

is not enforceable like a statute, but it

members and non board members alike.

can provide the basis for discipline of an

Confidentiality means not disclosing private

errant board member, or for an election

information or information protected by

campaign. A Board Members Code of

a legal privilege; not disclosing executive

Conduct reminds everyone of their basic

session discussions among board members;

fiduciary rights and wrongs. Though the

and using good judgment as to sensitive

term “fiduciary duty” sounds legalistic

matters which may not technically be

and vague, it is not difficult to apply in

private or privileged, but which a someone

everyday association management if those

might consider confidential under the

in a position of responsibility remember

circumstances. When in doubt, a board

simply to execute their duties with sound,

member should consider most pieces of

good faith judgment, without conflict, and

information not generally well-known as

by putting the association’s interests above

confidential (except as to each other) until

their own.

Consider Adopting a Board Members Code of Conduct

Who else can say – our account executives know community management backwards and forwards.

Who else can say – our relationship managers speak your language and understand your business.

Who else can say – our technology group has revolutionized the business of association management.

ExpEriEncE

Attorneys are well-versed in the rules

HOA Banking HOA Loans Internet Cash Management Online Payment Systems Dedicated Customer Service

Lauri Croce, Esq., is the Senior Associate with Joel M. Kriger, APC, the Community Association Division of Anderson & Kriger LLP.

of fiduciary duty; confidentiality, e.g., is at

Cyndi Koester

the heart of the attorney-client relationship.

AVP / Regional Account Executive

Attorneys are governed by strict statutory breach of which puts an attorney’s license

949.235.8498 Toll Free 866.800.4656, ext. 7494 cyndi.koester@mutualofomahabank.com

at risk. Attorneys have the benefit of this

mutualofomahabank.com

and case law and a Code of Ethics, the

619.579.9151 • fax 619.461.0814 www.labahns.com 5000 Thorne Dr., Ste. F • La Mesa, CA 91942

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

  

material non-confidential information when

Confidentiality

the association’s lawyer advises otherwise.

CommerCial landsCape maintenanCe speCialists serving san diego for over 30 years

 

codified framework, and their training and experience, to provide a useful, comprehensive guide for staying inside

Z4746

Community Association Banc is a division of Mutual of Omaha Bank. Member FDIC. Equal Housing Lender CACM Affiliate Member. National Corporate Member of Community Associations Institute.

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

Equal Housing Lender

19

Joel M. Kriger, APC • CoMMunity AssoCiAtion lAw Division

Committed to leadership in protecting the rights of clients.

CAI SAN DIEGO MONTE CARLO NIGHT - May 20, 2011

Anderson & Kriger, LLP • Assessment recovery • Annual retainer Program – no Cost Collections – unlimited Phone Calls – Annual Check-up Meeting – Quarterly newsletter – reduced Hourly rates • Fee for service Program • CC&r enforcement • Document revisions • opinion letters • Civil litigation

619-589-8800 www.a-khoa.com

Thank You to Our Sponsors Thank you to Our June 25 Padre Game Sponsors

High Roller

Bald Eagle Security Services, Inc.

Family Night at the Padres Game

California Sub-Meters Elite Community Management Epsten Grinnell & Howell, APC JW Cleaning & Registration MSE Landscape Mutual of Omaha Bank/Condo Certs Peters & Freedman Pro-Tech Painting Professional Real Estate Management Restoration Management

20

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

Ace Anderson & Kriger LLP JW Cleaning & Restoration Pacific Western Bank Premier Roofing CA Vibra Bank Disc Jockey Peters & Freedman LLP Pro-Tech Painting Rodent Pest Technologies, Inc. Photography Clean Earth Restorations Del Mar Pacific General Contractors Grand Prize Animal Pest Management

King Aqua Blue Co. Artistic Maintenance AV Builder Corp.

Epsten Grinnell & Howell, APC Fenceworks, Inc. Frazee Paint Green Valley Landscape & Maintenance, Inc. Har-Bro Construction & Consulting, Inc. Landsystems Mt. Helix Pest & Termite Control, Inc. Pro-Tec Building Reconstruction Experts Restoration Management Company SBS Lien Services Western Towing

Coffee Blue Skies Landscape Maintenance Emercon Construction Michael Abdou Insurance Agency Mutual of Omaha Bank/Condo Certs Newman & Associates, Inc. O'Connell Landscape Maintenance Pacific Green Landscape Servpro of La Jolla Sullivan Construction Management Summit Security Vista Paint Decorations Personal Touch Cleaning & Maintenance, Inc. Blue Skies Landscape Maintenance TCP Company, Inc.

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

21

Homeowners’ Corner CID Managers, Education & Professionalism

work described in this subdivision and

in many other areas specific to community

professionals until the vast majority of them

passed an examination or examinations

associations

are state certified. The compensation that

that test competence in common interest

There are many educated, dedicated

the association pays for non-educated, non-

development management in the following

community association managers who

state certified managers may well be for

areas…” [B&P Code 11502(b)] can be called

do a wonderful job for the associations

naught. Is the association getting proper

“certified common interest development

they manage. However, CID managers,

value for the money it spends in this area?

manager.”

as a group, as noted in the beginning

B&P Code 11504, Annual Disclosure by

paragraphs of this article, will not be true

Manager, and Civil Code 1363.1, Managing Agent; Required Disclosure, details the

The other day, while looking for a particular business partner in

education provided by CAI. This unbalance does not bode well for

disclosure that the managing agent has to

the 2010/2011 CAI San Diego Membership Directory my eyes were

those associations that are managed by persons who do not have

make to the association board of directors.

caught by pages 65 through 93.

some type of CAI designation.

Directors should be sure to require this

Pages 65 to 74 list Community Associations Management

One may infer, from above, that more community association

disclosure information from their manager

Companies; pages 75 to 93 refer to Individual Community

managers, representing their companies, are not sufficiently

Association Managers Members. What caught my eyes was the

educated in community association management to do an effective

apparent number of community association managers that DID NOT

job for the associations they are hired to manage and for which they

also the association homeowners should

have any CAI designation after their names.

receive compensation.

be aware that a vast majority of community

This intrigued me as one of the prime functions of CAI is to educate all facets of the common interest development industry.

People who manage community associations are the front line of contact of the associations and Readers of this column are encouraged to send their opinions on the above and suggestions for future columns to samdolnick@ juno.com or by phone, 619-697-4854. Sam Dolnick has served as president of his association, is a former homeowner representative of the San Diego Chapter Board of Directors, former homeowner trustee of CAI National, and former director of the CAI Foundation for Community Association Research. He is currently homeowners’ delegate on the California Legislative Action Committee, and president of the Baker/Dolnick Education Foundation.

Guest articles are always welcome!

or prospective manager candidate.

Association boards of directors and

association managers in the State of

Individual Community Association Managers (pages 75-93) There are a total of 169 individual managers. Seventy-seven

California are not members of CAI, have no designation of any type, and have no discernible history of taking education

the board of directors of these

(45.5%) have a CAI designation while 92 (54.5%) DO NOT HAVE ANY

courses to qualify them for obtaining

associations. Association managers

DESIGNATION; a difference of 9% in the negative. Again, a majority

compensation for the management services

have more contact with the board

of individual community association managers apparently do not

they provide.

of directors and homeowners than

have sufficient education to do the job they are asked to perform.

any other individuals in the industry.

Why this emphasis on education for community association

Members of the board of directors, when interviewing candidates for CID

Also, the Business and Professional

managers? Millions of dollars are paid by common interest

manager, be it either for a portfolio

Code (B&P Code) §11501-11505

development associations to the people who manage their

manager or for an individual on-site

describes the education one

associations. These managers handle billions of dollars in

manager, should have copies of Civil

must have to become a “certified

associations’ assets in California. A CAI designation indicates that

Code 1363.1 and B&P Code 11502 and

common interest development

the manager has some level of education in the field. Lack of a

11504 before them for reference and for

manager.”

designation may mean that the manager has no knowledge of the

questions to the candidate.

To find whether I was correct or

field in which he/she is practicing or may mean that the manager

Courses a manager must take are

not, I did an actual count of both

has the background education but has not troubled to get the

detailed in B&P 11502. A partial list of the

groups. The results are shown.

designation. How is the board of directors to distinguish between

requirements that a “certified common

the two? How can the board of directors determine who has the

interest development manager” follows:

Community Association Management Companies (pages 65-74) There are a total of 53 contact persons within these companies.

competency to assist them?

As noted above, B&P Code 11501-11504 details the information

Topics covered by the Davis-Stirling Common Interest Development Act;

and education needed for the common interest development

personnel issues, including but not limited

manager to become certified by the State. The CAI designation

to general matters relating to independent

of CMCA (Certified Manager of Community Associations) fits all

contractor or employee status; risk

Twenty-three have a designation of CMCA (Certified Manager of

the criteria of B&P Code 11502 qualifications for State manager

management, including, but not limited

Community Associations), AMS (Association Manager Specialist), or

certification. Any CID manager who earns the designation of CMCA

to insurance coverage, maintenance,

PCAM (Professional Community Association Manager). Thirty DO

and completes the 8 hour CID Law Course offered by CAI can truly

operation, and emergency preparedness;

NOT have any designation at all. Thus, there is more. 56.6% who DO

say that they are State certified and should disclose that fact.

property protection for associations;

NOT HAVE A DESIGNATION while only 43.4% have a designation.

Managers with the CAI designation of AMS and PCAM, if “On or after July 1, 2003, has successfully completed an education

of governing documents, codes and

representing management firms do not have the minimum

curriculum that shall be no less than a combined 30 hours in course

regulations; finance issues and knowledge

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

ATTORNEYS AT LAW

&

FREEDMAN,L.L.P.

A full service law firm dedicated to representing community associations

Experience you can rely on...

People you can trust Encinitas Office

Desert Office

(760) 436-3441

(760) 773-4463

www.hoalaw.com

mail@hoalaw.com

business affairs; basic understanding

This a difference of 13.2% in the negative. A majority of managers

22

PETERS

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

23

What’s Coming Up

C e l e b r at i n g O u r 3 7 t h Y e a r

a Quick Reference Guide to the Chapter's upcoming events

We know the difference

September 9 – CID Law Course

This is the perfect class to keep managers up-to-date with all of the California laws that affect associations. Not only do you get information on legislation, but you also hear about case law and how it has affected the interpretation of legislation in this state. This is a required class to recertify as a Certified Manager in California.

Courtyard by Marriott in Kearny Mesa.

Peaceful, Productive Dispute Resolution Mediation ✦ Training ✦ ADR/IDR CAI members: Ask for your free copy of “Peaceful and Productive Board Meetings”

MEDIATION SOLUTIONS Mary Delmege . 760-504-7977 . mfdelmege@cox.net www.marydelmege.com

September 16 – Golf Classic Coronado Municipal Golf Course

A gorgeous day of golf surrounded by the sparkling Pacific ocean along with dinner and some amazing prizes… sound too good to be true? Well it’s not! The Golf Classic will take you to a beautiful locale, feed you, and give you a chance to come home a winner!

September 23 and 28 – Morning Educational Program: Trends in Employment Law

This is an advanced course for managers and owners of management companies who have been in the industry for a while and deal with the intricacies of employment law.

September 23rd will be at the Courtyard by Marriott in Kearny Mesa, and September 28th will be held at the Hilton in Carlsbad.

October 7 - Trade Show: New Technology – There’s an App for That!

We welcome back Bill Hession to discuss the ways new technology has infiltrated itself into the day-to-day dealings of Associations.

DoubleTree Hotel in Mission Valley.

October 15 – Essentials of Community Association Leadership

This class is for board members of community associations and new managers to find out the essentials of what you need to know to run an association that is not only a neighborhood, but also a corporation and a real estate project with assets to be managed. State law, rule formation, problem solving and board meetings are just a few of the topics explored in this class.

Courtyard by Marriott in Kearny Mesa.

October 21 – California Statewide Legal Forum

Join us aboard the Queen Mary in Long Beach for a timely look at legislation and case law that affect community associations in the state of California. It is a full-day conference with both homeowner and manager “tracks” to bring the right type and quality of information to you.

between getting the job done and getting it done right.

Full Service Community Management

800-227-6225 S a n D i e g o • C h u l a V i S ta • C a r l S b a D • m u r r i e ta

www.waltersmanagement.com

Association Bank Services

Specialized Banking Services For Community Associations and Management Professionals Operating and Reserve Checking With No Monthly Service Charges Automated Lockbox Services, Online Payments, ACH Business Online Banking Remote Deposit CDARS* Placement Services Association Loans Simplified Association Signature Cards Experienced Association Bankers Jan Hickenbottom

PCAM, CCAM Vice President 4301 MacArthur Blvd.

Newport Beach, CA 92660 (800) 848-6771 Member FDIC

www.FirstBankHOA.com

*CDARS is a service mark of Promontory Interfinancial Network, LLC. FDIC Insured up to $50 million per Tax ID.

24

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

25

Hiring &

By Jeffrey A. French, Esq.

Once a handful of qualified vendors have been identified, the board can then perform

The Process that Works

Negotiating

exposure should a dispute arise later on.

Some of the key issues to focus on

applicable insurance policy

its own independent due diligence on these

(by no means an exhaustive list) when

vendors. Some of this due diligence can be

negotiating and reviewing a contract in

done via the internet by looking at websites

conjunction with management and legal

such as those for the Better Business Bureau,

counsel are the following:

Community Associations Institute, California

• Vendor insurance coverage (liability,

Association of Community Managers, and the Contractors State Licensing Board.

All of these, and many more websites,

additional insured under the vendor’s • An indemnification provision in favor of the association • How change orders/extras are to be handled

workers compensation, etc.)

• Binding arbitration clauses • Prevailing party clauses that award

• Have the association be made a named

attorneys’ fees and costs Continued on page 28

provide good information about licensing, complaints, and other background information. In addition, it is helpful to look at trade affiliations and determine whether vendors are members of pertinent trade organizations such as CAI. Membership in pertinent trade organizations is often a good indicator that the prospective vendor is familiar with community associations and understands their needs. Further, following up on vendor references can be a great source of information by contacting other boards and managers who have worked with the vendor in the past. Finally, boards should carefully scrutinize the information submitted by prospective vendors and confirm appropriate licensing, insurance, bonding, and other relevant information consistent with industry standards.

Once the vendor is selected, then

Professional. Capable. Friendly.

the “fun” begins in terms of negotiating

I

t is at this point, when the relationship starts to sour, that the association’s

Hiring vendors and negotiating contracts are a normal part of life for community

due diligence in hiring the vendor and negotiating the contract becomes much more relevant. This is when the contract is closely scrutinized to

association boards. By necessity associations

see the relative rights and responsibilities of the parties. Hopefully, enough

must hire numerous vendors, and by default,

work was done at the outset to avoid any surprises such that the association

that requires them to screen these vendors and ultimately enter into contracts with them. However, sometimes this process is

has options, as well as leverage, under the contract. What follows are some tips associations can adopt in hiring vendors and ultimately negotiating a contract with the chosen vendor.

As boards are acutely aware, the process of hiring numerous vendors

taken for granted and leads to problems on

that community associations rely upon is no easy task. However, it is one of

down the road. While the association-vendor

the most important tasks that boards of directors are called upon to perform

relationship often starts out bright and cheery

on a regular basis. Therefore, it is important that the board work closely with

during the hiring and contract negotiation

management to reach out to a qualified pool of prospective vendors. This

process, sometimes that relationship sours during the course of performance or at the conclusion of the work.

is where managers can help save boards’ time and effort as they often have a good pool of qualified vendors to draw from. Thus, a prudent first step in the vendor hiring process is to call upon the expertise and resources of the community manger in initially assembling a qualified pool of prospective vendors worthy of reviewing.

26

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

the contract. Typically, the chosen vendor submits its standard form contract for review and consideration by the association. Not surprising, this “standard” contract generally tilts in favor of the vendor, or completely ignores some contract terms that are very important to the association. Given this, it is

Year after year our list of satisfied, well-managed communities grows. Our team of accredited, certified community managers offers unparalleled credibility and integrity. Call Curtis Management today for the highest caliber, hardest working professionals to manage your community. Toll Free 877.587.9844.

process just as serious as the hiring process.

Just what you’ve been looking for in professional community management.

We have seen examples where associations

www.curtismanagement.com

critical for associations to take the contract

enter into contracts in excess of six figures with little or no thought about the contract terms and with absolutely no outside review by legal counsel. While this may save some money in the short term, it may also prove to be a huge issue in the long term if a dispute should arise. Simply having legal counsel briefly review the contract for major issues of concern can eliminate a lot of frustration and C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

27

ssl_CAI_0210:Layout 1

1/19/10

10:23 AM

Page 1

Improving more than just your property.

Hiring & negotiating Continued from page 27

• Term of the contract • Termination of the contract upon specified notice, whether for cause or not for cause • Consistency of the contract with the

S TEVEN S MITH

requirements of the governing documents • Confirm vendor licensing

L ANDSCAPE I NC .

• Contract scope

Welcome new chapter members!! Thank you to our chapter members that have renewed their CAI membership.

We appreciate your continued support and participation in our chapter.

• Fixed price vs. time and materials and timing of payments • Retentions on construction contracts At the end of the day, vendor hiring and contract negotiating does not need to be an all-consuming and costly process for the board. The board should utilize the resources

From installation to maintenance, Steven Smith Landscape Inc. provides every landscape need.

that it has at hand to streamline this process

Specializing in HOA landscape maintenance, we improve curb appeal and enhance your overall HOA experience. In partnership with management and the Association, we bring clear, concise communication, quick response and project satisfaction.

by engaging its management team and

For your larger landscape needs, our full service construction division can meet your needs.

Our reference list includes Poway Unified School District, City of Escondido, City of Santee, City of San Marcos and U.C.S.D. Call Today For A Professional Proposal

760/745.9916

Lic No. 456160

legal counsel in the process. In addition, the board should perform some of its own independent due diligence consistent with what was discussed above. By utilizing all of these resources, the board can ensure that each and every contract it enters into is fair to the association and provides a reasonable degree of protection for the association should a dispute later arise with the vendor. To simply sign contracts willy-nilly without plugging into some sort of due diligence process may “get by” on many contracts, but ultimately such a process (or lack thereof) will backfire when a major contract dispute arises. It is precisely at that point the association wants to feel confident that it has entered into a contract that is equitable and provides protection for the association such that it has some tools to work with in negotiating or ultimately litigating any dispute.

Jeffrey A. French, Esq. is an attorney at Green, Bryant and French, a firm that specializes in homeowner association law.

619-595-3166

www.fentongrant.com

28

New & Renewing Members

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

NEW MEMBERS

Alice Mitchell....................................................... 6/11 Amy Shanks ......................................................... 5/11 Brett Cassort . ...................................................... 5/11 Candace Shannon 6/11 Caterra Rainey ..................................................... 6/11 Christy White Accounting Corporation ........... 6/11 Elizabeth Torres . ................................................. 5/11 Fenceworks, Inc. ................................................. 4/11 GB's Fence Co. ................................................... 5/11 Heritage Landscape Services, Inc. .................... 4/11 Karla Coulter ....................................................... 5/11 Kinsman Construction ........................................ 5/11 Las Brisas HOA ................................................... 5/11 Lori Good ............................................................ 5/11 MSE Landscape Professionals . ......................... 5/11 Off Duty Officers, Inc. . ....................................... 4/11 Patio Shoppers . .................................................. 4/11 Renewal by Andersen ........................................ 8/08 Rick Cremin ......................................................... 5/11 Servpro of Fairbanks Ranch/East Rancho Santa Fe ....................... 5/11 Sunrise Community Bank . ................................. 4/11 TCP Company, Inc.............................................. 5/11 Tierra Verde Resources, Inc. .............................. 5/11 Trower Reserve Studies...................................... 5/11 Vibra Bank . .......................................................... 5/11

RENEWING MEMBERS

Able Restoration .................................................2010 Accurate Termite & Pest Control ......................2010 ACSI Reserve Services . ......................................2011 Action Property Management, Inc. ..................2004 Adams Kessler, PLC ............................................2011 Advanced World Concepts, Inc. .......................2009 Advantos Systems, Inc. ......................................2001 Amanda Amezcua ..............................................2011 Associated Professional Services ......................1984 Avram Insurance Agency ...................................2010 Aztec Paving, Inc. . ..............................................1990 Barrier Reef COA ................................................2002 Bemus Landscape, Inc. ......................................2004 Benchmark Landscape, Inc. . .............................1997 Bickler Law Offices APC . ...................................2000 Blue Skies Landscape Maintenance .................2006 Bonny Bruner, CCAM .........................................1999 Boral Roofing Products ......................................2011 Bruner & Rosi Management, Inc. . ....................1999 Burrtec Waste and Recycling Services, LLC ..................................................2010 California Sub-Meters ........................................2008 Carlsbad-Woodridge HOA................................ 1988 Centre City Property Management Company ........................................................2001 CHAMPS/ The Kelly Group ...............................1996 Cheri Garcia . .......................................................2010 CINC Systems .....................................................2008 CityFront Terrace HOA ......................................2003 Colony Homes Mira Mesa .................................1998 Community Legal Advisors, Inc. .......................2010 Country View Condominium

Association .....................................................1986 Donna Baughman, CMCA . ...............................2008 Dynamix Painting, Inc. . ......................................1999 Eastlake ll Community Association . .................2010 Elaine Hudson .....................................................2011 Elite Community Management .........................1991 Emercon Construction Inc. ................................2009 Empire Community Painting .............................2008 Farmers Insurance Group ..................................2011 Four Seasons Tree Care, Inc. .............................2007 G4S Secure Solutions USA ................................2006 Gina Falcon-Heneghan ......................................2007 Grand Pacific Resort Management ..................2009 Greco Traficante Schulz & Brick ........................2009 Gregory V. Villard, CPA . .....................................1987 Howerton Management Services .....................2007 Hudson Management Services, Inc.................. 2009 Jackie Couzens ...................................................2008 James Hardie Building Products . .....................2010 James Walker ......................................................2009 Jeff Morin . ...........................................................2007 Jennifer Ojeda, CCAM, CMCA . .......................2007 Jennifer Richardson ............................................2010 Jim Manning . ......................................................2007 Joanne Diaz .........................................................2008 John Alioto ..........................................................2010 John Woodruff, III ...............................................2008 Karen Smith, CMCA, AMS .................................2009 KR Landscape Maintenance, Inc. ......................2007 La Jolla Village Southpointe HOA.................... 2002 La Mesa Townhouse, Inc. ...................................2001 Lapthorn Palm Terrace .......................................1998 Las Brisas HOA ...................................................2010 Law Offices of Richard Salpietra .......................2001 Leak Control Services, Inc. . ...............................2011 Leonard O'Reilly, CMCA, AMS .........................2005 Linda Boisvert . ....................................................2010 Liz Beiner, CMCA................................................ 1999 M & M Building Services ...................................2003 M & M Business Enterprises.............................. 2003 Massie-Berman ...................................................1994 Masters Hill Owners Association ......................2002 Matthew Kaddatz . .............................................2011 McCaffery Reserve Consulting ..........................2005 McMillin Lomas Verdes II (320) ..........................2006 Meridian Residential Association...................... 1995 Mulvaney, Kahan & Barry ...................................1993 Newman & Associates, Inc. ...............................2010 Newman Replacement Windows, Inc. .............2003 Nu Flow America................................................ 2010 O'Connell Landscape Maintenance .................1999 Oaks North Villas Condominium Assn. ............1991 Orange Coast Building Services, Inc. . .............1999 Outdoor Lighting Perspectives .........................2009 Pacific Backflow Company Inc. .........................2009 Pacific Properties Service ...................................2006 Pacific Western Painting, Inc. ............................2010 Pacifica Real Estate Services, Inc. .....................2004 Packard Management Group . ..........................2010 Palm Terrace ........................................................1998 Park Villas North Condominium Association, Inc. . ...........................................2005 Park West HOA ...................................................2008 Park West Landscape Maintenance, Inc. ...............2010

Paul Davis Restoration & Remodeling............. 2004 Paul Miller Company.......................................... 1990 Personal Touch Cleaning & Maintenance, Inc. ..........................................2011 Premier Roofing CA, Inc. ...................................1994 Professional Real Estate Management ............2011 ProTec Building Services ....................................1995 Quail Creek HOA . ..............................................2010 Quentin Yates, PCAM, CCAM . .........................2005 Rancho Carlsbad Owners Association . ..............2000 Rancho La Cima Estates HOA, Inc.....................1991 Reconstuction Experts, Inc. ...............................2001 Renaissance La Jolla Community Association .....................................................2010 Reo Terrace HOA . ..............................................1995 Restoration Management Company................ 2007 Richard Ball ..........................................................1990 Robert Fowler, PCAM . .......................................2002 Robert Kelly .........................................................2011 Rosemarie Coley .................................................2010 Rosenblatt Property Management ...................2010 S.B.S. Lien Services .............................................2009 Samantha Easton, CMCA, AMS........................ 2007 San Elijo Hills Community Association..............2002 Seascape Surf Management Corp ...................1984 Servpro of Sorrento Valley/ University City ................................................2010 Sheryl Sharp, CMCA, AMS ................................2007 Sigvard Anderson ...............................................1992 Silldorf & Levine, LLP . ........................................2004 Smith Architects ..................................................2008 Sonnenberg & Company, CPAs ........................1982 Stacy Cabrera, CMCA, AMS, PCAM ................2005 Stay Green, Inc. ...................................................2003 Steven Segal Insurance Agency, Inc. ................2003 Stratus Management ..........................................2006 Sue Barnett ..........................................................2006 Sullivan Construction Management .................2007 Sunset Hills Terrace HOA ..................................2003 Sunstream ............................................................2008 Suzanne Dixon ....................................................2007 Three Phase Electric, Inc. ...................................2007 Tina Baldwin, CMCA.......................................... 1988 Trip Wilson Insurance Agency ...........................2006 Ventana HOA ......................................................2001 Village Park Townhome Corp. #3...................... 1999 Village Square HOA........................................... 2001 Vista Del Verde of Santee ..................................1988 Vista Paint ............................................................1991 Ward & Hagen, LLP ............................................2010 Wasserman & Kornheiser, LLP . .........................1990 Wayne Hanson, CCAM, PCAM .........................2006 Western Exterminator Company ......................2009 Western Towing ..................................................2000 Western Tree Service . ........................................1988 Will Smyth . ..........................................................1981 April/May/June 2011

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

29

NewsStand NEWS F ROM C A I N ATION A L

fees when used to provide a direct benefit

the financial burden of maintaining the

to the property upon which the transfer

association For now, residents in associations

fee is levied. Under the draft, such fees

with deed-based transfer fees can sleep easy

may be used for support maintenance and

knowing that a potential regulatory disaster

improvements to encumbered properties,

was averted.

as well as cultural, educational, charitable, recreational, environmental, conservational or

CAI Elevates Advocacy on Mortgage Financing Initiative Includes Information Hub Alarmed about proposed changes in the mortgage finance system, Community

to the mortgage and housing crisis, it is that

viability of tens of thousands of homeowner

regulators and legislators lack a basic and

and condominium associations and the value

clear understanding of the principles that

of millions of homes within them.” Visit www.

govern housing in community associations.”

CAImortgagematters.org.

CAI is working in both legislative and

Associations Institute (CAI) is stepping up

regulatory venues toward three essential

its Congressional and federal regulatory

goals:

advocacy on behalf of American

• Ensuring that Americans can obtain

Feds Move in the Right Direction on Transfer Fees Thanks to efforts by CAI members, the

homeowners, homebuyers and common-

mortgages for homes in community

Federal Housing Finance Agency (FHFA) has

interest communities.

associations.

issued a revised draft regulation governing

CAI’s Mortgage Matters initiative is a

• Preserving the ability of community

so-called private transfer fees. Originally

comprehensive response to mortgage-

association homeowners to sell their

proposed in August of 2010, the FHFA

related challenges at the federal level. The

homes.

regulation would have banned any federally

organization is working on several fronts

• Safeguarding the financial well-being

backed mortgage for property that contained

to ensure that potential homebuyers have

of homeowners and condominium

a deed-based transfer fee. For community

access to affordable mortgage products and

associations.

associations, the impact would have been

that the criteria used to determine eligibility

In addition to working to revise

devastating, as up to 49 percent of all

for loans in community associations are

the Federal Housing Administration’s

community associations charge a deed-based

realistic measures of an association’s financial

condominium insurance guidelines, CAI

transfer fee. These communities would have

health.

has actively and aggressively opposed

been unable to qualify for most federally

a misguided transfer fee regulation

backed mortgages under the regulation as

information hub explaining how the rules

proposed by the Federal Housing Finance

drafted. However, due to the strong feedback

governing mortgages are changing and

Administration. The 30,000-member

from CAI members across the country, the

the potential ramifications of actions being

association is also providing expertise

FHFA has revised its proposal, excluding

considered by Congress and federal

to several federal agencies as they try to

transfer fees charged by community

agencies. The site will be updated as events

create new regulations for mortgages called

associations.

dictate.

Qualified Residential Mortgages (QRM).

The initiative includes an online

“The stakes for homeowners,

CAI is also focused on the larger issue of

payable to investors. Under this model, deed-

enormous,” says CAI Chief Executive

already-depressed mortgage markets. This

restrictions require a transfer fee payable at

Officer Thomas M. Skiba, CAE. “Rules

challenge becomes even more critical as

the time of sale to the original developer or

being developed today may likely govern

Congress undertakes reform of Government

landowner for up to 99 years. As such, these

mortgages for the next several decades.

Sponsored Enterprises (GSE Reform), such as

transfer fees pull money out of communities

If you live in an association or work in the

Fannie Mae and Freddie Mac.

and allow investors to obtain the benefits of

agencies are making today will determine

home owners. Unfortunately, the FHFA

keep abreast of the latest developments

the marketability of homes and availability of

also included deed-based fees charged by

and weigh in when such opportunities are

financing for years to come,” says Andrew

community associations in its original draft

available.”

Fortin, CAI’s vice president of government

regulation.

and public affairs. “To some, these issues may seem like bureaucratic, inside-the-beltway

excludes deed-based transfer fees payable

common element of the federal response

details, but these very issues will affect the

to a community association. It allows such

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

over the details of the federal budget

flow to the encumbered properties and its

is an issue of immense importance to

common areas or to adjacent or contiguous

CAI members, the total overhaul of the

property. This shift in FHFA’s proposal,

nation’s mortgage finance system. Through

brought about by CAI member activism,

legislation and pending regulatory proposals

is a critical shift in policy and one that will

the federal government is hard at work

benefit CAI members by ensuring access to

constructing the framework that will govern

affordable and fair mortgages.

who gets mortgages, for what type of

Of course, the devil is always in the

home, and in what type of community for

details, and CAI continues to work with FHFA

a generation to come. Most recently, the

to ensure the final regulation, when adopted,

federal government issued draft regulations

provides associations the greatest flexibility

for Qualified Residential Mortgages (QRM)

allowed in using a variety of tools, including

as required by the Wall Street Reform Act

monthly assessments, special assessment

passed in 2010. The proposed regulation is

and deed-based transfer fees to balance

Continued on page 32

In its revised draft, FHFA specifically

CAI’s elevated advocacy: “If there is one

30

transfer fee covenants. Such benefits must

equity or investments made by subsequent

understand the magnitude of these issues,

Skiba sounded an alarm that explains

Lost in the reports of partisan bickering

over the use of deed-based transfer fees

ensuring the continued flow of capital into

“Decisions that Congress and federal

the real property encumbered by the private

FHFA took action on growing concern

homebuyers and communities are

community association industry, you need to

other similar activities that exclusively benefit

Fed Mortgage Proposal Shocks Stakeholders

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

31

Newsstand

regulations and providing information to our

You can follow our work and share your

Continued from page 31

members on what they mean for their home,

thoughts at www.caimortgagematters.org.

more than 370 pages long and seeks input from stakeholders by asking more than 170 questions.

When finalized, the QRM regulations will impact most commercial mortgage products and will have a big impact on buyer qualification and the ability of many potential buyers to obtain financing. The initial draft regulation contemplates many new mortgage

community or business. CAI will also submit

CAI will continue to monitor and participate

comments to ensure the interests of residents

in shaping the development of the QRM

in community associations are protected.

standard to ensure that the perspective

As part of our ongoing Mortgage

of community associations is heard. If you

Matters program, CAI is working to protect

have any questions on the QRM proposal

homeowners in community associations

and how it could affect your community,

and to ensure access to fair and affordable

email government@caionline.org with QRM

mortgage products for all current and

Proposal in the subject line.

potential community association residents.

requirements that include: • The mortgage may only be for the principle residence with no balloon or interest-only payments.

• Buyers MUST make a minimum 20% down payment.

• Buyers must also pay for associated costs such as title insurance, lender fees and realtor commissions, such costs will not be permitted to be financed as part of the mortgage.

• Minimum credit standards for borrowers include provisions that the borrower cannot have any debt delinquencies within the previous two years and all debt payments must be current.

Despite voting to require the

WARD & HAGEn LLP

implementation of the QRM regulations, members of Congress are now expressing strong reservations over the stringent standards they helped put in place. CAI is concerned the QRM proposal may be too strict and will potentially exclude most homebuyers from receiving the best-priced and most affordable mortgages. An estimate released by a DC based financial trade association estimates that only 30% of current borrowers will meet the new QRM proposal or to put it more starkly, more than 70% of mortgages in the last decade would NOT meet the QRM standard as proposed. CAI warned Congress of just such an outcome in

Serving HOA Clients Throughout San Diego County HOA General Counsel Insurance Issues

Construction Disputes Litigation

Mediation/Arbitration Collections

a letter dated July, 2010.

While the regulations as drafted would further depress the moribund housing market, the good news is that the regulations will be open for public comment through May. CAI will be issuing a summary of the proposed 32

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

Contact: Kirk Yake 440 Stevens Avenue, Suite 350 Solana Beach, California 92075

858.847.0505

www.wardhagen.com C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

33

Letters/E-Mails

CONTACT YOUR PROS FOR A FREE ESTIMATE TODAY

Written communication is still the most

1-800-399-3199

effective means to communicate with

www.pro-techpainting.com

legislators. Be sure to include your name and address so the legislator may respond and will know that you are a constituent

YOUR SINGLE SOURCE FOR ANY PROJECT

- being able to vote for them (or for their competitor!) is a big motivator in paying attention to your letters. Use each letter to address one current issue, and try to keep it brief and to the point. Be sure to include the following: • First Paragraph: Identify yourself as a constituent; if it is regarding a specific bill, include the bill number and name; if writing on behalf of an association(s),

Educating Our Legislators

by Kimberly Lilley, CMCA, CIRMS

Just like educating boards of directors of associations helps to enable that board to make good decisions on how to govern their association, so too does educating our legislators. It helps them make good decisions about the governing of associations on a state-wide level.

include the number of units.

• Second Paragraph: Indicate your position

• Stucco Repair & Re-texturing

• Online Tracking Service

• Curb & Light Pole Painting

• Wood Inspection & Repair

on the bill; point out the impact the bill will have on you and/or your association.

• Wrought-Iron Repair & Repaint

• Elastomeric Coatings • $2,000,000 Liability Insurance • Interest-Free Financing

• Third Paragraph: Include ideas of how to

• Energy Efficient & Green Coatings

• Uniformed Crews

improve the legislation (if appropriate).

• Fourth/Final Paragraph: Thank the

• Roof Tile & Gutter Cleaning

L OCALLY S ERVING S AN D IEGO

&

• Warranties

O RANGE C OUNTIES

legislator for his/her time and attention to your concerns.

Phone Calls Calls to legislators right before a crucial vote can be very helpful. You will likely not

Often, when a bill comes before them that impacts associations, they may not have the experience or facts necessary to make an informed decision.

That is where the California Legislative Action Committee comes in.

handles the issue upon which you are calling.

Locally is where YOU can help and be involved, as well! Following are ways that you can get involved in educating your legislators about issues that affect associations in California.

• Class B Licensed

• Pressure Washing & Water Reclamation • Stain & Finish Work

Like association boards, our legislators all come from different backgrounds, very rarely with experience in the inner workings of common interest developments.

This state-wide body offers itself as a resource for legislators and helps to educate them about issues that have to do with common interest developments. As a member of CAI, you automatically have the California Legislative Action Committee working to advocate on your behalf in Sacramento, as well as locally in the legislators’ districts.

• Color Consulting & Scheme Board

speak to the legislator directly, but you can ask to speak to the staff member who The information will be provided to the legislator. Keep in mind the following: • Identify yourself as a constituent • Be courteous, brief and to the point • Be ready to give the bill number and name

"Why see the generalist when you can see the SPECIALIST ?"

BEST SERVICE BEST PRICE Voted Best In our Class!

• DECK COATINGS (MAINTENANCE AND REPAIR) • DECK RECONSTRUCTION (DRY ROT, STUCCO)

• Clearly state your position and the action you expect from the legislator (support/ oppose/amend) • Provide your name, address and telephone number

• BELOW GRADE OR PLANTER WATERPROOFING

OVER 5 million square feet of Deck Coatings and Waterproofing-Installed, Repaired and Rehabilitated

• After the call, follow up with a personal letter or e-mail reiterating what you stated in the call

Personal Visits Building a relationship and establishing

Call: 888-388-WICR (9427) www.wicr.net

Continued on page 36

34

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

35

Educating our legislators

Providing Community Associations with Insurance Solutions BERG INSURANCE AGENCY, INC.

23651 Birtcher Dr., Lake Forest, CA 92630 5055 Avenida Encinas, Suite 100, Carlsbad, CA 92008 800.989.7990 phone 949.586.9877 fax

Continued from page 35

rapport with your legislators can go a long way toward helping your areas of concern to be addressed. Be sure to call prior to your visit and schedule an appointment (usually on Fridays when the legislature is in session.)

Be prepared for dates/times to be canceled or delayed as legislators’ schedules change rapidly to accommodate urgent meetings, hearings or votes. Do your homework and have comprehensive knowledge on the issue you want to discuss and be sure to let him or her know in advance the topics you would like to discuss. As you would with a phone call or e-mail, be sure to be ready with the following: • Have a business card ready to give to the legislator and staff member(s) that will be in the meeting, and identify yourself as a constituent.

SAN DIEGO 2011 CAI-CLAC HONOR ROLL

By Sam Dolnick, CAI-CLAC Delegate-at-Large

The CAI-CLAC Honor Roll is being presented for the third year. All individuals involved in common interest communities, whether they are associations, homeowners, professionals, managers or business partners, who have contributed funds to CAI-CLAC in 2011 to assure that our voice is heard in the halls of the California legislature are to be congratulated. CAI-CLAC monitors legislation regarding common interest developments (condominiums, planned developments, stock cooperatives and community apartment projects) that the legislators are asked to deliberate and vote upon each year. The San Diego Chapter reached its 2010 goal of $28,528. A heart felt thanks to all contributors.

ABSOLUTELY NO FUNDS are given to any political party or to any candidate.

All funds are used solely for issue oriented legislation affecting CIDs. However, our legislative advocate must be paid and items like stamps, stationery, phone calls, rent, maintenance of web site and other similar expenses must be paid.

and if you have information on the bill, have multiple copies to hand out to the legislator and his or her staff.

• Clearly state your position and the action you

Associated Professional Services The Management Alternative

Providing cost-effective, efficient Accounting Services for: • Self-Managed Homeowners associations • Associations Employing an On-Site Manager • Portfolio Managers

Call Neal Chazin

(619) 299-6899

expect from the legislator (support/oppose/ amend).

• Get a business card before you leave, and after the meeting, follow up with a personal letter or e-mail thanking him or her for their time and attention to your concerns.

Once these initial methods of education have begun, you can continue to monitor the issue or legislation, and send follow-up letters/emails to let the legislator know you are still interested. Eventually the legislator will come to rely on you as someone who can communicate helpful information when needed, and they will have the education they need to make better decisions for associations in California.

36

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

RSI Roofing of San Diego is pleased to announce the hiring of Manager to RSI’s fast growing team. John comes to RSI with over 35 years in the roofing industry including most recently as owner

Sam Dolnick

Frank Lombardi

Gerie Vellios

Andalucia Town Homes HOA Lisa Isaacson, AMS CCAM

Pacific Green Landscape, Inc.

Sky Security Services

Pacific Western Bank Ken Carteron

Stoneridge Chateaus Elite Community Mgmt

extremely excited to have John on

Payne Pest Management Willie Payne

Union Bank Pam Hazard

of knowledge and experience to

Personal Touch Cleaning & Maintenance

Vermont Villas Condo HOA Dawn Walters

Peters & Freedman LLP David Peters, Esq.

Villa Marbelle HOA Robert Donaldson

been here,” says Sid Scott, VP of

Playmor Bernardo HOA Ed Roth, CMCA, PCAM,

Village Park Townhome Corp. #3 Liz Beiner

hiking, working out and spending

Popular Association Bankiing

Wasserman • Kornheiser LLP Deborah Kornheiser

Anderson & Kriger, LLP Ken Dillingham Berg Insurance Agency, Inc. Kimberly Lilley, CMCA, CIRMS CAI San Diego Chapter Barbara Ozenbaugh, CMP Calle Ryan HOA Paul Zenner Carmel Trails HOA Walters Management Clean Earth Restoration Coronado Shores Condo Assn #6 Jim Liese CMCA AMS CCAM Fairfield HOA

Fairway Pointe OA Elite Community Mgmt Il Palio HOA Lisa Isaacson, CCAM, PCAM Joel Kriger, APC Joel Kriger, Esq. La Jolla Soledad West HOA Lisa Isaacson, CCAM, PCAM

Kimberly Lilley, CMCA, CIRMS, is the Director of Marketing for Berg Insurance Agency and the Chair of the San Diego California Legislative Action Committee.

TEAMING UP

John Pelley as the newest Project

Our thanks to the following contributors from January 1 to May 31, 2011.

2011 Goal = $28,115 $20,490 Collected to Date, Only $7,625 to reach goal!

• Be courteous, brief and to the point.

• Be ready to give the bill number and name,

around san diego

Premier Roofing CA William Capito PrimeCo Painting Pro-Tech Painting Roman Bernal

of Award Roofing which was also based out of San Diego. “We are board with us. He brings a wealth

Woodbridge Estates HOA Lisa Isaacson, CCAM, PCAM Woodcrest Heights HOA Elite Community Mgmt

our sales team and is contributing already in the short time he has Sales. In his free time, John enjoys time with his grandchildren.

SHOUT OUT! Thank you to Becky Millat from Frazee Paint for donating paint

ProTec Buliding Services David Rauch

and to Chris Cena from Protec

Riviera Del Mar Arch. Comm. Corp Helen Kaufmann

services for CAI San Diego's new

Rock Springs East C.C.A. Elite Community Mgmt

Landsystems

Roy Palacios Insurance Agency, Inc. Roy Palacios

Masters Hill OA Elite Community Mgmt

RSI Roofing David Susi

Mt. Helix Pest Control Robert Bacon

S.B.S Lien Services Mitch Willet

Mutual of Omaha Bank Ocean Terrace HOA

ServPro of La Jolla Seven Oaks Mgmt Corp #4

Painting for donating painting office!

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

37

Service Directory Display advertisers receive a complimentary listing in the Service Directory.

Accountants Sonnenberg & Company Leonard Sonnenberg................ 858-457-5252

fax 858-457-2211

lens@sonnenbergcpas.com

www.sonnenbergcpas.com

Arbitration & Mediation Mediation Solutions Mary Delmege........................... 760-504-7977

fax 760-745-6131

mfdelmege@cox.net

www.marydelmege.com

Attorneys Anderson & Kriger Janet Wilcox.............................. 619-589-8800

fax 619-464-2600

jwilcox@a-khoa.com

www.a-khoa.com Epsten Grinnell & Howell, APC Jon Epsten, Esq........................ 858-527-0111

fax 858-527-1531

jepsten@epsten.com

www.epsten.com Fenton Grant Mayfield Kaneda & Litt, LLP Katy Krupp................................. 949-554-0700

fax 949-554-0707

kkrupp@fentongrant.com

www.fentongrant.com Greco Traficante Schulz & Brick, APC Peter Schulz............................... 619-234-3660

fax 619-234-0626

pjs@gtlaw.cc

www.gtlaw.cc Peters & Freedman, LLP David M. Peters......................... 760-436-3441

fax 760-436-3442

www.hoalaw.com

Attorneys cont'd

Decking & Deck Coating

Maintenance & Repair

Lighting

Security Services

Ward & Hagen, LLP Kirk Yake..................................... 858-847-0505

fax 858-847-0105

kyake@wardhagen.com

www.wardhagen.com

ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Bald Eagle Security Dmitriy Todorov......................... 619-230-0022

fax 619-230-6610

dmitriyt@baldeaglesecurity.com

www.baldeaglesecurity.com

General Contractors

Painting Contractors

Towing

Building Maintenance PRograms ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Community Association Management Associated Professional Services Neal Chazin......................619-299-6899 x101

fax 619-299-8242

nchazin@apsmanagement.com

www.apsmanagement.com S.H.E. Manages Properties, Inc. Karen Martinez, CCAM ..........................................619-291-6300 x 320

fax 619-291-8300

karen@shemanages.com

www.shemanages.com Walters Management Joe Farinelli............................... 858-495-0900

fax 858-495-0909

jfarinelli@waltersmanagement.com

www.waltersmanagement.com Curtis Management Company Patrick S. Campbell, CCAM....... 877-587-9844

fax 858-587-9972

pcampbell@curtismanagement.com

www.curtismanagement.com

Consulting Curtis Management Company Patrick S. Campbell, CCAM....... 877-587-9844

fax 858-587-9972

pcampbell@curtismanagement.com

www.curtismanagement.com

Construction Management Sullivan Construction Management Pat Sullivan................................. 619-722-7580

fax 866-306-6804

pat@sullivancm.com

Law Offices of Richard Salpietra Rick Salpietra............................. 858-756-2233

fax 858-759-9938

rsalpietra@salpietra.com

www.salpietra.com

38

F A L L 2 0 1 1 • C o m m o n A s s e s s m e n t Ma g a z i n e

WICR, Inc. Kelly Durham............................. 760-327-8641

fax 760-327-8642

kelly@wicr.net

www.WICR.net

Facilities Engineering ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Fencing/Gates Fenceworks, Inc. Tom Barrett................................ 760-724-8131

fax 760-724-2513

tbarrett@fenceworks.us

www.fenceworks.us ProTec Building Services, Inc. Julie Villelli................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Financial Services First Bank Jan Hickenbottom.................... 800-848-6771

fax 949-477-0255

Jan.hickenbottom@fbol.com

www.FirstBankHOA.com Mutual of Omaha Bank / CondoCerts Cyndi Koester............................ 949-235-8498

fax 888-493-1973

ckoester@cabanc.com

www.cabanc.com

Del Mar Pacific Michael Bruce............................ 858-792-1500

fax 858-792-0076

mbruce@delmarpacific.com

www.delmarpacific.com ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Graffiti Removal ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Insurance Berg Insurance Agency Kimberly Lilley, CMCA, CIRMS....800-989-7990

fax 949-586-9877

kimberly@berginsurance.com

www.berginsurance.com

Janitorial ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Landscape Maintenance and/or Construction

Pacific Western Bank Ken Carteron............................. 760-432-1335

fax 760-432-1339

kcarteron@pwbonline.com

www.pwbonline.com

LaBahn’s Landscaping Michael Salsberry...................... 619-579-9151

fax 619-461-0814

msalsberry@labahns.com

www.labahns.com

Popular Association Banking Larry Hooper.............................. 714-864-5171

fax 714-864-5190

lhooper@bpop.com

www.bpop.com

Pacific Green Landscape, Inc. Stephanie Lundstrom............... 619-390-9962

fax 619-390-0865

stephanie@pacificgreenlandscape.com

www.pacificgreenlandscape.com Steven Smith Landscape Gigi Golden-Smith.................... 760-745-9916

fax 760-745-1982

ggolden@stevensmithlandscape.com

www.stevensmithlandscape.com

Pro-Tech Painting Chris Cena................................. 858-527-0200

fax 858-527-0220

chris@pro-techpainting.com

www.pro-techpainting.com

Western Towing Kathy Tighe................................ 619-297-8697

fax 619-296-2822

denisetb@westerntowing.com

www.westerntowing.com

Pest Control

Water Submetering

Payne Pest Management Jason Payne............................... 858-277-2228

fax 858-277-2212

jpayne@paynepestmgmt.com

www.paynepestmgmt.com

California Sub-Meters Robert Anaya............................. 858-571-8999

fax 858-571-4470

robert@calsubmeter.com

www.calsubmeter.com

Playground Audits & Inspections ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Raingutter/Downspout Cleaning ProTec Building Services, Inc. Julie Villeli.................................. 858-569-1080

fax 858-569-1088

jvillelli@protecbsi.com

www.goprotec.com

Reserve Studies Association Reserves San Diego LLC Matthew Swain, RS................... 619-567-5239

fax 619-568-3564

mswain@reservestudy.com

www.reservestudy.com Sonnenberg & Company Leonard Sonnenberg................ 858-457-5252

fax 858-457-2211

lens@sonnenbergcpas.com

www.sonnenbergcpas.com

Roofing Premier Roofing Bill Capito.................................. 619-667-4565

fax 619-667-1281

billc@premierroofingca.com

www.premierroofingca.com

C o m m o n A s s e s s m e n t Ma g a z i n e • F A L L 2 0 1 1

39

t we're We've moved bu ilding!! bu me still in the sa w suite ne r ou te no e as Ple number!

Scan this code with your smartphone to visit the chapter website.

1081 Camino del Rio South Suite 109 San Diego, CA 92108

CAI-SAN DIEGO Marketing Plan MeMbers

2011 Marketing Plan MeMbers Bronze

PLATINUM

Peters attOrneYs at LaW

&

Freedman

, L.L.P.

GOLD Anderson & Kriger Animal Pest Management Landsystems, Inc. Mutual of Omaha Bank/CondoCerts Park West Landscape Maintenance Inc. Premier Roofing CA, Inc. RSI Roofing Services, Inc. Western Towing

Anderson & Kriger Artistic MAintenAnce AssociAtion reserves sAn diego, LLc Av BuiLder Berg insurAnce Agency cLeAn eArth restorAtions BRONZE eMercon construction FeinBerg grAnt MAyFieLd KAnedA & Litt LLPControl Accurate Termite & ,Pest interiors: By design Arborwell LABAhn’s LAndscAPing Artistic Maintenance LAndsysteMs, inc. Association Reserves San Diego, LLC LAw oFFices oF richArd sALPietrA AV Builder Corp.

MAster PLuMBing & LeAK detection Bald Eagle Security Services Mt. heLix Pest And terMite controL Berg Insurance Agency new wAy LAndscAPe & tree service Clean Earth Restorations o’conneLL LAndscAPe Emercon Construction PAciFic green LAndscAPe Fenceworks, Inc. PAtio guys Fenton Grant Mayfield Kanada & Litt, LLP reconstruction exPerts First Bank Association Services rodent Pest technoLogiesFirst California Bank sBs Lien services LaBahn’s Landscaping serviceMAster By rAPid LawresPonse Offices of Richard Salpietra sKy security services Master Plumbing & Leak Detection us BAnK Mt. Helix Pest & Termite Control westturF LAndscAPe MAnAgeMent New Way Landscape & Tree Service

O’Connell Landscape Maintenance Payne Pest Management Personal Touch Cleaning & Maintenance, Inc. Popular Association Banking ProTec Building Services Pro-Tech Painting Reconstruction Experts SBS Lien Services ServPro of La Jolla Sullivan Construction Management Summit Security Union Bank US Bank