MASTERING COMMUNITY CONFLICT: A GUIDE TO EFFECTIVE DISPUTE RESOLUTION
THREE ESSENTIAL PRACTICES FOR HOA BOARD MEMBERS
RENOVATING YOUR LANDSCAPE AND IRRIGATION TO MEET FUTURE COMPLIANCE
CAI-GRIE PRESENTS
An Evening in the Mystical Garden
SATURDAY, NOVEMBER 16, 2024
6:00 TO 11:00 PM
THE ONTARIO DOUBLETREE 222 N. Vineyard Avenue Ontario, California
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President
Brian Henry, Park West Inc.
President-Elect
Greg Borzilleri, Accurate Termite & Pest Control
Vice President
Lana Hamadej, PCAM
The Avalon Management Group, Inc., AAMC
Secretary
Betty Roth, CMCA, AMS, LSM, PCAM Heritage Lake Master Association
Treasurer
Nick Mokhlessin, Everthrive Landscape
Past-President
Ty Jaglowski, Environmental Concepts Landscape Management, Inc.
Patrick Gabriele, Estates at Canyon Crest Riverside, Inc
Daniel Heaton, Esq., Nordberg|DeNichilo, LLP
Pat King, Solera Oak Valley Greens
Steven Penn, CMCA, AMS, Alliance Association Management
Erica Tenney, CMCA, AMS, First Service Residential, AAMC
Committee Co-Chairs and Editors in Chief A.J. Jahanian, Esq., Beaumont Tashjian
Daniel Heaton, Esq., Nordberg|DeNichilo, LLP
Committee Members
Gina Fanizzi, CMCA, AMS, FirstService Residential, AAMC
Kimberly Lilley, CMCA, CIRMS, Berg Insurance Agency
Joy Marino, CMCA, AMS, Professional Community Management, AAMC
Eric Zarr, CMCA, AMS, FirstService Residential, AAMC
Interim Executive Director
Joan Urbaniak, MBA, CMCA
Administrative Assistant
Elda Pfitzinger
Rial Marketing Communications
All articles and paid advertising represent the opinions of authors and advertisers and not necessarily the opinion of either Connect or the Community Associations Institute–Greater Inland Empire 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.
Connect is an official quarterly publication of Greater Inland Empire Chapter of the Community Associations Institute (CAI–GRIE). The CAI–GRIE 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 the CAI–GRIE Chapter. Reproduction of articles or columns published permitted with the following acknowledgment: “Reprinted with permission from Connect Magazine, a publication of the Greater Inland Empire Chapter of the Community Associations Institute.”
Copyright © 1998–2024 CAI-Greater Inland Empire Chapter.
Advertising, Articles or Correspondence
CAI-GRIE Chapter Headquarters
5029 La Mart Dr, Ste A • Riverside, CA 92507-5978
(951) 784-8613 • info@cai-grie.org
CAI-Greater Inland Empire Chapter Website CAI-GRIE.org
Happy… August? Is that really the month we are in? 2024 is just flying by so fast. For CAI-GRIE, the first seven months have been a bit of a blur. We switched and are embracing our new website/registration system Glue Up! We are still learning all the capabilities of this new platform and are working diligently with the developer to enhance the site and make it more userfriendly for all our members. This helps build a new foundation for the Chapter because it provides better visibility and allows for a more seamless integration with the other software needed to run this Chapter effectively. We know that this tool will ultimately help us for many, many years to come.
Our Education Committee has worked very hard to produce six successful educational programs and luncheons to date. Each event has been very informative, providing wonderful content to enhance the lives of our managers and homeowner leaders. Our next program is scheduled for September 11 at Pechanga in Temecula. This will be our Economic Forecast with Dr. Raymond Sfeir from Chapman University. Since this will also be our Annual Meeting, we encourage everyone to come out and support the Chapter and learn the results of our election of Directors for the Board.
Social networking is always a great time with CAI-GRIE. This year we sprinkled some new events into the calendar to spice things up. One of these events, the Comedy Night for CLAC at the Ontario Improv, produced a fun evening of entertainment and lots of laughs. We also just completed our Wine Tour in June. Members enjoyed a fun-filled day in Temecula wine country, living it up at three wineries and partaking in a relaxing atmosphere. We have three more new events this year: Team Trap Shooting, which will be held at Prado Olympic Shooting Park in September; a Concert for CLAC in October, with the critically acclaimed band Flashpants, held at the Haven City Market in Rancho Cucamonga; and our Chapter Holiday Party in December so we can all come together to celebrate our achievements for the year We hope that these new events will have a large turnout and create memorable experiences. Thank you, Special Events Committee, for all of your hard work!
One of my absolute favorite events of the year, and I am sure one of yours as well, is right around the corner. Monte Carlo Night is coming up on November 16 and will be held this year at the DoubleTree Hotel in Ontario, but with a bit of a twist … incorporating TOPS Awards into the event to make it an even more extravagant evening. Since we will all be dressed up in our finest, looking spectacular, why not also hold our awards program and celebrate the achievements of our members for their hard work and contributions to not only this chapter but the industry as a whole? The Monte Carlo Committee is working diligently to make this an evening we will all certainly remember!
We recently had an unexpected resignation by our Executive Director, Adam Ybarra. Rest assured that the Board and your Committee Chairs have stepped up to keep the Greater Inland Empire Chapter moving forward. The Board has hired an Interim Executive Director, Joan Urbaniak, who has a wealth of industry knowledge and experience in the role and with CAI-GRIE. We are confident in her ability to keep us running smoothly as we embark on the search for new leadership. As a Board we are already in the process of finding the right candidate for Executive Director, that will work hard, work smart, take accountability, and go above and beyond to make this Chapter the best it can truly be.
We also have some exciting news from the Board of Directors. Greg Borzilleri, Regional Director for Accurate Termite and Pest Control, has agreed to be the CAI-GRIE President Elect for the remainder of 2024 and will become Chapter President in 2025. Greg, we are very grateful for your service throughout the years and for your leadership, and we look forward to your presidency!
As I close out this message, it is fulfilling to see this Chapter come together and forge forward with so much collaboration and effort. TEAM – Together Everyone Achieves More is the theme for this year. Many individuals have been going out of their way to make this Chapter what it is, stepping up in times of need to help with any task whenever necessary. Many members already put in long hours at their everyday job and then sacrifice more to help make this Chapter live and thrive. I want to take this time to say THANK YOU!
We encourage our members to get involved and stay involved. Help whenever and wherever you can; your participation and feedback continue to make CAI-GRIE the best it can be!
A.J. JAHANIAN, ESQ.
BEAUMONT TASHJIAN
elcome to 2024’s third issue of Connect, which takes us through the heart of the summer months. With the theme of “T.E.A.M.” (Together Everyone Achieves More) shining brighter than ever on our Chapter, this issue presents a collection of articles underscoring the importance of making teamwork a cornerstone for every community.
Inside, you will find articles from esteemed industry experts on a variety of topics, including helpful landscape and irrigation tips in light of recent changes in the law, and the complex and evolving HOA insurance market, using proactive maintenance and project management to navigate it. This issue also highlights how collaborative efforts among board members and homeowners can lead to better conflict management and observance of fiduciary duties. On that note, understanding different dispute resolution options available to your community will also foster a thriving and resilient community—see inside for more!
Each article in this issue reflects the power of teamwork and collaboration. By coming together and leveraging our collective expertise and resources, we can address any challenge and turn them into opportunities for growth and engagement.
Thank you to all of our community leaders for your ongoing dedication to our CAI-GRIE community and it is my pleasure to be able to continue to serve as the Editor of Connect.
A.J. Jahanian, Esq. is a partner with Beaumont Tashjian who devotes his career to serving common interest developments. He can be reached at ajahanian@HOAattorneys.com
The CAI–Greater Inland Empire (GRIE) Chapter hosts educational, business and social events that provide the Chapter’s Business Partners various opportunities to promote their companies’ products and services to Community Association owners and managers serving the Community Association Industry. It is expected that all participants in Chapter events – whether they be educational, business or social – will conduct themselves in a professional manner representative of their business or service organization so as not to detract from the experience of others seeking to benefit from their membership in the Chapter. For more information, visit cai-grie.org
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Dryer Vents
Dryer Vent Wizard of Chino Hills, Ontario and Corona
Marcel Gipson Chino Hills, CA (310) 801-3330 mgipson@dryerventwizard.com dryerventwizard.com
Election Services
HOA Election Experts LLC
526 Queensland Cir Corona, CA 92879
Vanessa Wuestewald, CMCA, AMS, PCAM 6371 Haven Ave, Ste 3-281 Rancho Cucamonga, CA 91737 (909) 553-6153 info@hoaelectionexperts.com hoaelectionexperts.com
T: (951) 279-3934, F: (714) 665-3000 www.optimumpm.com
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The Inspectors of Election, LLC
Kurtis Peterson, CMCA 2794 Loker Ave W, Ste 104 Carlsbad, CA 92010 (888) 211-5332
kurtis@theinspectorsofelection.com theinspectorsofelection.com
Vote HOA Now
Electrical Contractors
CONTINUED
Murrish Maintenance Construction Services
Andrew Murrish 1721 South Vineyard Ave, Unit D Ontario, CA 91761 (951) 219-6590
Since 1996, we’ve provided Homeowner Associations with a firm foundation of support for every aspect of building community.
murrish@gmail.com murrishmaintenance.com
Large Scale Communities
Three Phase Electric, Inc.
Master Planned Communities
Cathi Sleight, CMCA 13500 SW Pacific Hwy, PMB 213 Tigard, OR 97223 (503) 420-8663 cathi@votehoanow.com votehoanow.com
Electrical Contractors
Horizon Lighting, Inc.
Urban Communities / Mid-Rise & High-Rise
Single Family Communities
Misty Beehler 28 Rancho Cir Lake Forest, CA 92630 (949) 457-1252 misty@hoalighting.com hoalighting.com
Condominium Communities
Tri-County Lighting Services, Inc.
Townhome / Planned Unit Developments
Commercial Associations
Nanci Auerbach 2351 McGaw Ave Irvine, CA 92614 (949) 247-4104 marketing@horizonlightinginc.com horizonlightinginc.com
Vicki Wood 1006 W Grove Ave Orange, CA 92865 (714) 288-1711 vwood@tclighting.com tclighting.com CONTINUED
BY: SAVANNAH LIVINGSTON, SPECIAL EVENTS COMMITTEE CO-CHAIR
More than 70 members and friends enjoyed a tour of the Masia de la Vinya, Danza del Sol, and Monte de Oro wineries in Temecula on June 28. A bus picked up many attendees in Norco and Temecula to transport them to and from the different locations. A special shout-out to NPG Asphalt for donating their company’s van to help transport some of the attendees. Our thanks to Special Events Committee members who helped plan this event: Co-chairs Savannah Livingston (Painting Unlimited, Inc.) and Bridget Dolan, CMCA, AMS (FirstService Residential California, LLC), Kristina Butler, (Park West Inc.), Shanna Ghale, AMS (Prime Association Services), Phil Hakopian, CIRMS (Cornerstone Commercial & Personal Insurance Services), Heather Leivas (Everthrive Landscape), Ryan Hendrix (BrightView Landscape), Nick Mokhlessin (Everthrive Landscape), Miranda Noble (The Arbor Group), Ankur Patel, CMCA, AMS (Seabreeze management Company, Inc AAMC), Tiffany Petty, CMCA, AMS (Seabreeze Management Company, Inc. AAMC), Ryan Ramstack (GuardTop, LLC), Amanda Ritter (Dunn-Edwards Paints), and Stephanie Schumann (Seabreeze Management Company, Inc. AAMC).
— Savannah Livingston is the Senior Account Executive at Painting Unlimited. She can be reached at savannah@paintingunlimited-inc.com.
THANKS TO OUR SPONSORS!
TITLE SPONSOR
Environmental Concepts Landscape Management, Inc.
SOUVENIR REUSABLE CORK WINE STOPPER SPONSOR Reconstruction Experts, Inc.
BREAKFAST SPONSOR Dunn-Edwards Paints
LUNCH SPONSORS
McKenzie Mena, LLP Nordberg | DeNichilo, LLP
DESSERT SPONSOR
Precision Painting & Reconstruction
BREAD IS LIFE
Delphi Law Group, LLP
EmpireWorks Everthrive Landscape
CAI is an international membership organization dedicated to building better communities. With over 45,000 members, CAI has 63 chapters worldwide, including Canada, the Middle East and South Africa, and relationships with housing leaders in several other countries, including Australia and the United Kingdom. CAI provides information, education and resources to the homeowner volunteers who govern communities and the professionals who support them. CAI members include association board members and other homeowner leaders, community managers, and other professionals who provide products and services to associations.
Because the booming industry of community associations operates as a business, it needs qualified professionals to safeguard and empower the financial well-being, physical maintenance, and social harmony of the hundreds of thousands of community associations around the world. Obtaining credentials can increase your earning potential, accelerate your career, and grow your business while demonstrating that you are the right professional for the job. Professionals who earn credentials receive an average 55% increase in salary.
For community association managers, the first credential is the Certified Manager of Community Associations (CMCA), the only internationally accredited certification program in the field. Managers can take a course or have five years of experience, submit an application, and then take a test to receive this certification, which is administered by the Community Association Managers International Certification Board (CAMICB).
Next steps for a manager member of CAI would include: Credential
Association Management Specialist (AMS) Two years of
Manager (PCAM)
Large-Scale Manager (LSM)
Accredited Association Management Company (AAMC)
Active PCAM + Ten years of community association management experience, including five years as a large-scale manager.
Three years of verified experience providing community association management services + a PCAM leader + credentialed staff
Business Partner members also have credentials available to them:
Program Background Requirements
Member $115 Nonmember $340
Member $320 Nonmember $570
CAI Large-Scale Managers Workshop or M-340
Individual staff members must meet requirements according to their credentials
Educated Business Partner member distinction Complete Business Partner Essentials course. Maintain CAI membership.
Reserve Specialist (RS) Designation
Community Insurance and Risk Management Specialist (CIRMS) Designation
College of Community Association Lawyers (CCAL)
Prepare at least 30 reserve studies within the past 3 calendar years, hold a bachelor’s degree in construction management, architecture, or engineering (or equivalent experience and education), or meet other requirements options. Please see the application for full details.
5 years of experience in the community association insurance field, be of satisfactory legal and ethical standing in the industry.
Minimum 8 years legal practice with a demonstrated concentration in community association law, 5 of which must immediately precede the date of application; be a member of CAI and have attended at least one CAI Law Seminar within the last 3 years
According to CAI, more than 90% of community association board members prefer to hire a credentialed professional. If you are seeking to hire a credentialed manager, insurance and risk management consultant, reserve provider, or attorney for your association, please visit our Directory of Credentialed Professionals
Tuesday Benton-Dube, CMCA Action Property Management, Inc. AAMC
McKenna Burdett, CMCA FirstService Residential California, LLC AAMC
Alyssa Kraus, CMCA Keystone AAMC
Nicole Martinez, CMCA Avalon Management Group, Inc. AAMC
Jenna Dever, CMCA, AMS Golden Rain Foundation-Seal Beach
Matthew Parrish, AMS Titan Real Estate Group
Jessica Quintero-Clifford, CMCA, AMS
FirstService Residential California, LLC AAMC
Sara Ryan, CMCA, AMS Seabreeze Management Company, Inc. AAMC
Madison Wearp, CMCA, AMS Seabreeze Management Company, Inc. AAMC
EDUCATED BUSINESS PARTNER DISTINCTION
Marvin Dizon USI Insurance Services
Kevin Milligan The McGowan Company
BUSINESS PROFESSIONALS
eUnify, Inc.
GBR Paving
HOA Mailers
Najera Environmental, Inc.
Nano Banc COMMUNITY ASSOCIATIONS
North Woods Homeowners Association
COMMUNITY MANAGERS
Mariela Moreno
FirstService
BUSINESS PROFESSIONALS
Accurate Termite & Pest Control
Adams | Stirling PLC
Adco South Roofing & Waterproofing
Alliance Environmental Group LLC
Allied Trustee Services
AMS Paving, Inc.
CLS Landscape Management, Inc.
CM Squared, Inc.
Cornerstone Commercial & Personal Insurance Services
Empire Technologies Group, Inc.
Enumerate
Espinoza’s Clean Sweep, Inc.
Four Seasons Tree Care, Inc.
Guardtop, LLC
Macdonald Insurance Agency
Mailboxes R Us
Mission Landscape Services
Newman Certified Public
Accountant PC
Patio Guys
PatioShoppers Commercial
Pool & Patio Furniture
Payne Pest Management, Inc.
Pilot Painting & Construction
Pirritano Insurance Agency
Pro Elections LLC
Reconstruction Experts, Inc.
S.B.S. Lien Services
Stay Green, Inc.
UC Fence
Vote HOA Now
COMMUNITY ASSOCIATIONS
Banning Estates HOA
Cobblestone in Pomona HOA
K. Hovnanian’s Four Seasons HOA
Solera Oak Valley Greens Association
MANAGEMENT COMPANIES
Avalon Management Group, Inc. AAMC
Incline Consultants Association Management
Keystone AAMC
Professional Community Management AAMC
Titan Real Estate Group
Weldon L. Brown Company
Wheeler Steffen Property Management
Lynne Cesario, CMCA, AMS FirstService Residential California, LLC AAMC
Adam Dapello
Sure Kare Property Management
Rachel Dutton TESS Property Management, Inc.
Sarah Freihoff
Avalon Management Group, Inc. AAMC
Valerie Gullicksen, CMCA, AMS RealManage
Tiffany Hannah Prescott Companies
Sam Kendig
Optimum Professional Property Management, Inc. ACMF AAMC
Etanisla Lopez-Ortiz, CMCA FirstService Residential, LLC AAMC
Joy Ann Marino-Markwardt, CMCA, AMS
Professional Community Management AAMC
Sheena McGill Equity Management & Realty Services AAMC
Alia Navarro, CMCA Action Property Management, Inc. AAMC
Tona Rachelle Ott The Management Trust
Lori Palomo, AMS Avalon Management Group, Inc. AAMC
Jonathan Robert Payne, CMCA Avalon Management Group, Inc. AAMC
Carmen Portela-Lopez. CMCA, AMS Action Property Management, Inc. AAMC
Kelsey Ray, CMCA
Avalon Management Group, Inc. AAMC
Lisa Marie Sanchez Professional Community Management AAMC
Vilma Saucedo
Weldon L. Brown Company
Scott Sears, CMCA, AMS Action Property Management Company, Inc. AAMC
Shelley Seay Optimum Professional Property Management, Inc. ACMF AAMC
Karen Tillotson, CMCA, AMS FirstService Residential California, LLC AAMC
Traci Uttecht-Jackson, CMCA FirstService Residential California, LLC AAMC
Elizabeth Wood Action Property Management Company, Inc. AAMC
Erica Wood PMP Management AAMC
Kirstie Wright Professional Community Management AAMC
INDIVIDUAL HOMEOWNER LEADERS
Robert Riddick, CMCA
BY: TIM FLANAGAN, ESQ.
Board members often do not realize the seriousness of their position as volunteers for their community association. Although they are not receiving compensation for their time, and their meetings may be informal, board members are responsible for large sums of money and millions of dollars of property value for the other members of the community association. Thus, board members owe important fiduciaries duties to their community association.
A fiduciary duty is the highest level of duty under law; it is very similar to the duty a trustee owes to a trust. It is a common law concept derived from England and is a legal tradition passed down for centuries.
A board member could be personally liable for breaching their fiduciary duties to the association. However, a board member who exercises the business judgment rule in making their decisions will be protected from liability. Therefore, board members must act in good faith, and in a manner they believe to be in the best interest of the association, not arbitrarily or capriciously, with reasonable reliance on the advice of experts. (Corporations Code Section 7231.)
The most basic fiduciary duty is to act with due care. Acting with due care means that each board member should take all the necessary steps to make sure that they are making the best decision for the community association. Some of these steps are obvious, such as regularly attending meetings and coming prepared for the board meetings. If a board member has not even reviewed the board packet before the meeting, then they are not prepared and not acting with due care.
If a board member has more questions about a particular decision before the board, or wants more information, then the board member has an obligation to make those inquiries. When seeking answers to these questions, the board should use vendors who have experience with the issues before the board. For example, if the board is concerned about a parking lot repaving job, then they should ask an asphalt vendor for their input and recommendations.
When making decisions for the community association, a board is not acting with due care by “polling” the community or asking for the members’ input because it is the board who is tasked with the responsibility to make those decisions, and they cannot delegate this responsibility. Further, this strategy never works as intended since only a small number of owners will respond to such a “poll” or survey.
The duty of loyalty means that the board members need to make decisions that are in the best interest of the association, even if that decision is not in the board members’ personal interest or that of their friends. Board members must put the community’s needs ahead of their own personal needs. For example, the board should raise assessments if it is necessary to keep up with raising costs, inflation, and to comply with reserve study plans, even if the board members cannot individually afford an increase. The short-term pain of paying increased assessments needs to be weighed against the long-term benefits to the community.
Similarly, if a board member votes against an action item approved by the board, that board member has a duty to support that decision and not attempt to derail it. Often, board members will talk badly about a decision they didn’t support, even posting negative information and opinions on social media. Those actions only serve to divide the community and harm the association, and thus should be avoided. Remember to always act professionally and treat your job as a business to avoid hurt feelings and emotional actions.
A board member is a unique position in the community in that they are privy to confidential and private information about their neighbors. It may be hard not to gossip or share that information with your family or friends. However, the duty of confidentiality requires board members to protect all confidential and private information they gather while sitting on the board. This duty transcends even after the board member is no longer serving on the board.
Therefore, board members must avoid discussing ongoing violations or enforcement actions against fellow homeowners. Board members also should not copy, reproduce, circulate or share any written board information/communication with non-board members. This is especially true if the intent of circulating the information is to embarrass and owner or to deride the board itself.
Similarly, board members may not circulate any written materials, information, documents, including posting about pending board matters, to other homeowners without the full board’s prior knowledge and approval. This will avoid the spreading of confidential information, or even misinformation to the community, and it will protect the board members from individual liability.
“A board member is a unique position in the community in that they are privy to confidential and private information about their neighbors.”
Serving on the board of directors can be a thankless job, but it is a very important one where millions of dollars are at stake, as well as the property values of your neighbors. Fiduciary duties are a reminder of how important your role is to the community association. However, the significance of these duties should not discourage you from serving on the board. If you exercise good business judgment by 1) making decisions in the best interest of the community association as a whole; 2) avoiding arbitrary decisions that have no rational basis; and 3) relying on expert opinions to inform your choices, then have fulfilled your fiduciary duties. And thanks for serving on your board!
Tim Flanagan is the Founder and Managing Partner of Flanagan Law APC. He can be reached at tim@ flanaganhoalaw.com.
RENOVATING YOUR LANDSCAPE AND IRRIGATION TO MEET FUTURE COMPLIANCE FOR SB606 AND AB1668:
BY: MAX MORENO
As California faces increasing water scarcity challenges, the state has taken significant steps to help ensure sustainable water use. Central to these efforts are Senate Bill 606 (“SB606”) and Assembly Bill 1668 (“AB1668”), collectively known as “Making Conservation a California Way of Life.” These laws aim to create a long-term framework for water conservation, recognizing the need for more efficient water use in urban and agricultural sectors. On July 3, 2024, the State Water Board adopted critical measures to enhance these efforts, which will be implemented by agencies in January 2025 and enforced starting January 2027. Here’s why it’s crucial to renovate your landscape and irrigation systems now to meet these future compliance requirements.
SB606 and AB1668 mandate establishing urban water use efficiency standards, aiming to reduce water consumption across California. These laws require urban water suppliers to:
• Develop and adhere to water use objectives.
• Implement water shortage contingency plans.
• Improve agricultural water management.
On July 3, 2024, the State Water Board adopted specific measures to support these mandates. These measures include:
1. **Water Efficiency Standards**
Establishing per capita water use standards that urban water suppliers must meet.
2. **Performance Measures**
Introducing performance measures for water loss control, requiring regular audits and reduction strategies.
3. **Enhanced Reporting Requirements**
Mandating detailed reporting from water suppliers to ensure compliance and track progress.
January 2025: Agencies are expected to implement the adopted measures.
January 2027: Enforcement of these measures will begin.
1. Proactive Compliance
By renovating your landscape and irrigation systems now, you can ensure compliance with the upcoming standards and avoid potential penalties when enforcement begins in 2027. Early adoption of efficient practices will also allow you to adapt to any regulation adjustments over the next few years.
2. Water Conservation
Renovating your landscape to include drought-resistant plants, native species, and efficient irrigation systems can significantly reduce water usage. This not only helps meet the mandated standards but also conserves a precious resource, contributing to the broader goal of sustainability.
3. Cost Savings
While the initial investment in renovation might seem high, the long-term savings on water bills can be substantial. Efficient irrigation systems, such as drip irrigation, and smart controllers that adjust watering schedules based on weather conditions can minimize water waste and lower costs.
4. Environmental Benefits
A well-planned landscape that incorporates native plants and efficient irrigation supports local ecosystems. Native plants require less water and are more resilient to local climate conditions, reducing the need for chemical fertilizers and pesticides, which can harm the environment.
5. Property Value
Sustainable landscaping not only enhances the aesthetic appeal of your property but also increases its market value. Buyers are increasingly looking for eco-friendly features, and a water-efficient landscape can be a significant selling point.
1. Assessment
Evaluate your current landscape and irrigation systems. Identify areas where water use can be reduced.
2. Design
Plan a new landscape design incorporating drought-resistant plants and efficient irrigation systems.
3. Implementation:
Install the new landscape and irrigation systems. Consider hiring professionals to ensure proper installation.
4. Maintenance
Regularly maintain your new landscape and irrigation systems to ensure continued efficiency.
As California moves towards a future of sustainable water use, it’s essential for homeowners and property managers to take proactive steps in renovating their landscapes and irrigation systems. By doing so, you not only comply with SB606 and AB1668 but also contribute to a more significant environmental effort to conserve water. Start planning your renovation today to be ahead of the curve and enjoy the benefits of a sustainable, efficient, and beautiful landscape.
By embracing these changes now, you can ensure that your property is not only compliant with upcoming regulations but also a model of sustainability and environmental stewardship.
Max Moreno is the Director of Technology and Ancillary Services at Everthrive Landscape Inc. He can be reached at max@everthrivelandscape.com.
BY: STEVEN PENN, CMCA, AMS AND JAYCEE GERBER
As an HOA board member, you hold a pivotal role in maintaining the well-being and financial health of your community. You are responsible for acting as a collective voice for your community members. To ensure that you are serving your community effectively, there are key practices that you should adopt. Here are the top three best practices for HOA board members:
1. Budget for Long Term
Planning financially for the future is crucial in maintaining the stability and growth of your community. There are things you can plan for and things you can’t but learning how to budget can help you in the future when these surprise expenses show up in your community. Long-term budgeting helps in preparing for major expenses such as repairs, upgrades, and unexpected events. Having a proper budget in place can help prevent the need for imposing substantial special assessments. Many things can be included in a budget such as upcoming projects, changes to landscaping, common area maintenance, and others. Every community is different and has its own needs. When you are budgeting, try to prepare for those things that your specific community needs. Start by reviewing past budgets to anticipate future needs and consult with experts such as your reserve analysts, contractors, and your professional manager to ensure your community’s financial health remains strong for years to come. You can help minimize the stress of financial burdens on your community through this process.
Informed decision-making is the cornerstone of effective governance. Being a board member means you are not only making decisions for yourself, but you are required to exercise your fiduciary duties on behalf of your entire community. Every decision you make affects your association, so it’s vital to be well-informed and considerate. Always seek to understand the full context of any issue, gather input from a variety of sources, and consider expert advice when necessary. Remember you are there to help solve problems. With a mindset of solving issues, you can work to find the best options for your association. This approach not only enhances the quality of your decisions but also builds trust within the community which allows the association to function better as a governing body.
Transparency is key in building trust and accountability within your community. Ensure that all financial statements, decision-making processes, and board actions are accessible to the homeowners. This allows them to understand the workings of board members and gives clarity on why certain decisions are made or handled in specific ways. Regular communication through community meetings, newsletters, or a dedicated online portal helps keep everyone informed and engaged. Newsletters and community meetings allow community members to be informed about the important changes in the association. By being transparent, you foster a sense of community and cooperation among residents. Every member within a community is different and has a unique situation, yet you as a board member are charged with considering and representing their interests. Taking on these challenges while being transparent helps to avoid problems of miscommunication and enables you to function as a community with trust and confidence.
Implementing these best practices will not only improve your effectiveness as a board member but also enhance the overall quality of life in your community. Remember, the strength of your governance lies in the trust and collaboration you build with your homeowners.
Steven Penn, CMCA, AMS is the President of Alliance Association Management located in Temecula, CA. He can be reached at steven@thealliancemgt.com.
JayCee Gerber is the Assistant Manager at Alliance Association Management. She can be reached at jaycee@ the alliancemgt.com.
BY: BRIDGET DOLAN, CMCA, AMS, SPECIAL EVENTS COMMITTEE CO-CHAIR
What fun facts do you know and remember? Trivia buffs tested their knowledge at our recent Trivia Night at Bastards Canteen in Temecula. Trivia teams enjoyed light bites, libations, and each other’s company while competing for bragging rights and a prize. Congratulations to the Grand Prize Winner Park West Inc.!
Our sincere thanks to all the Special Events Committee members who contributed to the planning of this event. Your hard work and dedication to the Committee/Chapter have not gone unnoticed. The event’s success is a direct result of your valuable contributions, and we truly appreciate your efforts. — Bridget Dolan, CMCA, AMS, is the assistant general manager at The Preserve at Chino HOA. She can be reached at Bridget.Dolan@fsresidential.com.
THANKS TO OUR SPONSORS!
GRAND PRIZE SPONSOR
Harvest Landscape Enterprises, Inc
TRIVIA TEAM SPONSORS
Accurate Termite & Pest Control
Dunn-Edwards Paints
Everthrive Landscape
Four Seasons Tree Care
Mckenzie Mena LLP
Painting Unlimited
Park West, Inc.
Precision Landscape Solutions
The Sherwin-Williams Company
FOOD SPONSORS
Environmental Concepts
Landscape Management, Inc.
Espinoza’s Clean Sweep, Inc.
Hook Private Security Services
Goldstar Asphalt Products
JGB Restoration
BY: STEVEN A. ROSEMAN, ESQ.
Although community associations may wish to avoid conflicts with members, the reality is that disputes and disagreements are inevitable. This is why community associations should have a playbook for addressing and resolving disputes when they arise. This article aims to provide you tools and information to manage conflicts effectively in your community association.
Dispute resolution encompasses various methods for resolving disagreements or conflicts. Dispute resolution ranges from informal discussions between the parties to formal legal action. The various types and stages of dispute resolution serve as tools to efficiently and amicably resolve conflicts before resorting to formal legal action.
In California, there are 3 primary forms of dispute resolution: (1) Internal Dispute Resolution (“IDR”); (2 Alternative Dispute Resolution (“ADR”); and (3) Litigation.
1. Internal Dispute Resolution (“IDR”)
IDR usually takes the form of an informal meeting between the association and a member. The goal of the meeting is to facilitate direct conversation between the parties with the goal of resolving the dispute. The association or a member can initiate IDR by submitting a written request to the other party. If initiated by a homeowner, an association may NOT refuse to participate. Moreover, a homeowner cannot be charged a fee for initiating or participating in IDR and may bring someone to assist, even an attorney.
When engaging in IDR, associations should consider a few important points:
(i) Selective attendance. One or two board members are often appropriate and choosing the board member most familiar with the situation is preferred.
(ii) Establish a timeframe for the IDR. In most circumstances 30 minutes will be more than enough time for the association and the member to convey their points and discuss the matter.
When a conflict arises, the dispute resolution process can be initiated by either the association or a member. Although there is some flexibility, once initiated, the dispute resolution process and the association’s and member’s rights and obligations are governed predominantly by the Civil Code. There are many forms of dispute resolution and understanding the advantages (and disadvantages) of each can help associations better resolve conflicts.
(iii) Take notes and ask questions. An IDR meeting can serve as a fact-finding exercise and can help associations better understand the issue(s). Taking notes and asking questions of the member can help narrow the scope of the association’s subsequent actions.
Generally, associations should refrain from agreeing to a resolution or opining on issues during an IDR meeting. There is no privileged communication in the IDR process. Associations should take the information gathered back to the whole board and deliberate on the best course of action. In some cases, a resolution can be reached – be sure to consult legal counsel for your individual scenario.
Please note that associations are required to provide a fair, reasonable and expeditious procedure for resolving a dispute between the association and a member involving rights, duties or liabilities under the Civil Code, the Corporations Code, or the governing documents. Associations may adopt their own IDR procedure, which must comply with the Civil Code. If an association does not adopt its own policy, the procedures set forth in Civil Code § 5915 will apply.
Importantly, pursuant to Civil Code § 5910.1, if a member has requested IDR, an association cannot file a lawsuit unless and until it has first engaged in a good faith IDR meeting with the member.
2. Alternative Dispute Resolution (“ADR”)
More formal than IDR, but still not litigation, ADR involves the use of a neutral third party to help an association and member resolve their dispute. Unlike IDR, attorneys are often involved when a dispute rises to ADR.
There are two primary forms of ADR – mediation and arbitration.
(a) Mediation
Mediation is a voluntary process in which the parties to a dispute agree to submit their arguments to a neutral, third-party (mediator) who attempts to guide the parties to a mutually agreeable resolution. Everything discussed at or in preparation for mediation is confidential. Information may be shared with the other side with a party’s prior consent; however, such information may not be used against that party as evidence in a subsequent trial or arbitration. Mediation is more cost effective than arbitration or trial; however, professional mediators charge large hourly fees and there is no guarantee that a dispute will settle. The cost of mediation is shared equally by the parties. If the nature of a dispute does not lend itself to resolution by potential compromise, mediation may not be an effective use of time and resources.
(b) Arbitration
While arbitration may be binding or non-binding, binding is most common. Binding arbitration is akin to a trial in a private court system where a neutral third party (arbitrator) issues a binding decision that can be entered by the court as a judgment and enforced in the same manner as a court judgment. Unlike in civil litigation, there is no right of appeal in binding arbitration and discovery may be limited. The parties can agree, in writing, to a limited appeal right for errors of law or legal reasoning committed by the arbitrator. Arbitration costs are split, subject to reallocation by the arbitrator. Attorney fees and costs may be recoverable by the prevailing party. Generally, binding arbitration will result in final resolution of the dispute.
Please note that neither an association nor a member may file an “enforcement action” in Superior Court unless the parties have first endeavored to submit their dispute to ADR. (Civil Code §§ 5925-5965). A party receiving a request for ADR must respond within 30 days after receipt or the request will be deemed rejected and the requesting party will be free to file suit. Refusing to participate in ADR could be costly. Civil Code § 5960 directs the court, in determining the amount of an award of attorney fees and costs, to consider whether a party’s refusal to participate in ADR was reasonable.
Although IDR and ADR are similar, each has their own distinct advantages and disadvantages. The table below is a non-exhaustive list of the pros and cons of using each of these respective dispute resolution proceedings.
IDR
ADR
• Provides a forum for members to vent and be heard.
• Serves as a discovery tool.
• Allows association to analyze whether it has a “good” case.
• ADR communications are generally privileged.
• Use of neutral third-party can facilitate more practical analysis of issues and solutions.
• Quicker resolution than years-long litigation
• Discussions are NOT privileged.
• Non-binding. A member is not obligated to adhere to the resolution agreed upon at IDR.
• Expensive and time consuming (discovery, pre-hearing conferences, evidentiary hearings, etc.)
• Limited (and possibly no) right to appeal decision.
• Premature disclosure of the strengths or weaknesses of an association’s case.
As a last resort, if a dispute cannot be resolved through IDR or ADR, an association can proceed to litigation. In the case of a homeowner’s violation of the governing documents, the decision whether to institute litigation to enforce the governing documents is a matter of business judgment, and a board should consider not only the likelihood of success, but the costs and benefits. The Davis-Stirling Act declares the covenants in the CC&Rs to be enforceable as equitable servitudes (Civil Code § 5980), meaning a court may grant injunctive relief. Although the norm in enforcement proceedings is an action for injunctive relief, occasionally applications for declaratory relief or monetary damages from breach of the CC&Rs are also appropriate.
Although conflicts in community associations are inevitable, a difficult, confusing, and frustrating dispute resolution process can be avoided. By understanding the different forms of dispute resolution and the pros and cons of each, community associations can better position themselves to resolve conflicts before they escalate to years-long lawsuits. Moreover, by using the strategies discussed above, community associations can put their best foot forward when disputes arise and work efficiently and tactfully to resolve them.
Steven A. Roseman is the founder and managing partner of Roseman Law, APC. He can be reached at roseman@ roseman.law.
A commitment to fostering a climate of open discussion and debate, mutual respect, and tolerance between all who live in, work in, and visit our community.
1. We expect each individual, whether a resident, guest, board or committee member, community association manager, staff member, business partner, or contractor, to be accountable for his or her own actions and words.
2. We believe all interactions in the community should be civil despite any differences of opinion on a particular issue. We believe in finding common ground and engaging in civil discussion about community issues important to each of us.
3. We vow to respect all points of view and will strive to provide a reasonable opportunity for all to express their views openly—without attacks and antagonization. We agree to keep our discussions focused on the business issues at hand, as well as on the ideas and desired outcomes.
4. We urge all residents to be engaged and infor med. Get to know your neighbors, your board members, and your community manager. Attend meetings, join a committee, or serve on the board. Understand the community’s rules, regulations, and covenants, and the value they add. Ask questions, share your opinions, and vote.
5. We also encourage all residents to review Community Associations Institute’s (CAI) Rights and Responsibilities for Better Communities. The principles laid out in the document can serve as important guideposts for all those involved in our community: residents, guests, board and committee members, community association managers, staff members, business partners, and contractors. Read more at www.caionline.org/RightsandResponsibilities.
6. We believe these commitments to civility, as well as engaged and infor med residents, are a vital part of our shared goal of being a vibrant, thriving community. These commitments are guiding principles. They are not governing documents or legally enforceable and do not give rise to penalties if they are not followed.
If you agree with these commitments to civility, please sign and return the document.
COMMUNITY ASSOCIATION NAME
ADOPTION DATE
BY: FELICIA BAKER, CMCA, AMS AND KIMBERLY LILLEY, CIRMS, CMCA
While it started in communities with higher exposure to wildfire, the insurance crisis has become widespread – not only in California but throughout many other states as well. The result? A “hardened” market where carriers need to be extremely picky about what to insure in order to stay solvent and able to cover the claims they have promised to cover. This means that communities that have a potential for loss (i.e., damage or injury that results in a financial cost) are less likely to be able to obtain affordable insurance…. Or sometimes any insurance at all. Attending to potential losses has become equivalent to protecting the community’s ability to be insured, and that means that avoiding or deferring maintenance has much higher stakes today than it did five or ten years ago.
One way to address the impact of the current insurance marketplace is to go out to bid for insurance early. You can begin shopping your insurance ninety days before your renewal date. If you wait to shop until you receive your renewal, you very well could only have a couple of weeks to try to get another option, and by then it is too late.
The same proactivity should apply when looking at the maintenance needed for your community. As our communities are rapidly aging before our eyes, we need to collectively step up our maintenance and repair game in a BIG way. We can no longer sit back and watch the paint fade, or roofs leak.
Running a roof project may sound easy, until you realize all the details and coordination that must take place before, during and after the project. The importance of proper planning, budgeting, and executing will be the difference between a successful project and a nightmare.
As the board is considering updates to its infrastructure, it needs to keep in mind that even if the association is not responsible to replace or maintain the item according to their governing documents, the association MAY be responsible to replace/maintain the item to get insurance for the community. The insurance carriers will be asking for updates on items, such as:
• Roofs and Siding – How old? What materials are they made from? Is there a coating?
• Electrical Panels and Wiring – How old? Have there been any updates since the build date?
• Plumbing – What type of pipes do you have? [Even those that are “unit owner responsibility.”]
• HVAC Systems – How old? Have there been any updates since the build date? Are the vents cleaned regularly? On what schedule?
When reviewing the maintenance for a community, you will want to start with a global view. Pretend you are flying over your community, and you can see every issue with paint, roofs, HVAC, electrical, lighting, etc. Looking at the community holistically may allow you to combine repair projects to save money. For example, if you are completing balcony repairs and scaffolding is needed, consider painting your buildings if the end of their useful life is approaching. Scaffolding and mobilization for contractors are additional fees that can be saved when combining projects.
The biggest hurdle in our industry is the lack of funds for the maintenance and repair projects. Construction costs are still up 30%+ relative to pre2020 costs. Many HOAs have failed to increase assessments over the years and therefore, defer the repairs due to lack of sufficient funds This is where phasing projects, loans, and special assessments is an option to assist getting the necessary work completed.
Now that you have obtained the funding needed for the project, let’s get started! Ensure your association’s legal counsel is reviewing the contract before signing on the dotted line. Interview construction management firms to learn more about their value and how they can be the advocate for the association during the project. One of the most important post-project needs is obtaining a warranty on the product and work completed. If you have a painting project and the contractor fails to prep properly, paint with the appropriate mil thickness, or thin out the paint, the association could be left with no warranty at the end of the project. Who will be verifying that the contract is being followed and that the appropriate products are being used as per the specification(s)? Once the warranty is obtained, the association should add continued maintenance to its annual calendar to ensure the warranty lives through its given term.
Unlike in years past, underwriters conduct significant research, using Google Earth, new inspection techniques, and loss control reports. Even pictures on Zillow and other real estate websites are used to look for roofing concerns, parking lot deterioration, trip hazards, paint condition, balcony railing spacing and more. Gone are the days when you can simply tell the insurance company that you did the work. Now you need to have documented proof (such as signed contracts and payment receipts for the work done), so keep that documentation safe! Make sure that each subsequent board has access to the information because they will need it for years to come.
And, through all of this, let’s not lose track of the fact that any updates to infrastructure help to not only maintain the value of the community, but keep the community SAFE. While we are struggling to find ways to save premiums in an unhealthy insurance market, we should know that all the work that we do can help keep someone healthy, or even save a life… whether or not it gives us a discount on our insurance.
Felicia Baker, CMCA, AMS, is Client Relations Manager for AD Magellan and can be reached at Feliciab@ admagellan.com.
Kimberly Lilley, CIRMS, CMCA, is Director of Advocacy, PR & Marketing at Berg Insurance Agency in partnership with LaBarre/Oksnee and can be reached at kimberly@ berginsurance.com.
“AS THE BOARD IS CONSIDERING UPDATES TO ITS INFRASTRUCTURE, IT NEEDS TO KEEP IN MIND THAT EVEN IF THE ASSOCIATION IS NOT RESPONSIBLE TO REPLACE OR MAINTAIN THE ITEM ACCORDING TO THEIR GOVERNING DOCUMENTS, THE ASSOCIATION MAY BE RESPONSIBLE TO
BY: A.J. JAHANIAN, ESQ.
At the June Education Luncheon, we delved into the complex topic of “free speech” within homeowners associations (HOAs). A.J. Jahanian, Esq., a partner with Beaumont Tashjian, and Ami Reynaga, community general manager with FirstService Residential California LLC, began with an overview of the First Amendment of the U.S. Constitution and its relevance to HOA communities, emphasizing that while the amendment protects an individual’s right to free speech, it primarily restricts government action and not private entities like HOAs.
A significant portion of the discussion focused on practical examples of speech in HOA contexts, including the display of flags, political signage, and other forms of expression. We examined the legal framework governing these forms of speech, noting that HOAs can impose reasonable restrictions as long as they do not infringe upon residents’ rights.
We then addressed the fine line between protected speech and actions that could be considered defamatory or harassment. Examples included spreading false information about neighbors or engaging in behavior that creates a hostile living environment. We stressed the importance of distinguishing between legitimate free speech and conduct that undermines community harmony.
To help HOAs manage speech-related issues, the presenters recommended several strategies:
• Adopting Clear Policies: HOAs should establish well-defined policies regarding permissible speech and displays within the community.
• Meeting Codes of Conduct: Implementing and enforcing codes of conduct for meetings can help maintain order and respect during discussions.
• Fine Policies: Developing fair and transparent fine policies for violations can deter inappropriate behavior without stifling free expression.
While protecting free speech is vital, HOAs must balance this with maintaining a respectful and harmonious community environment. By adopting thoughtful policies and clear guidelines, HOAs can navigate the complexities of free speech while promoting a positive living experience for all residents.
A.J. Jahanian, Esq. is a partner with Beaumont Tashjian who devotes his career to serving common interest developments. He can be reached at ajahanian@HOAattorneys.com.
August 28
Chapter Board of Directors Meeting
9:00 a.m.
Chapter Office, Riverside
August 28
Bowling Tournament
6:00 p.m.
Pins N Pockets, Lake Elsinore
September 11
In-Person Educational Luncheon and Chapter Annual Meeting (South)
11:00 a.m.
Pechanga Resort Casino, Temecula
September 25
Chapter Board of Directors Meeting
9:00 a.m.
Chapter Office, Riverside
September 27
Trap Shooting
8:00 a.m.
Prado Olympic Shooting Range
Chino
October 9
In-Person Educational Luncheon (Central) 11:00 a.m.
Dos Lagos Amphitheater, Corona
October 23
Chapter Board of Directors Meeting
9:00 a.m.
Chapter Office, Riverside
October 24
Concert For CLAC
6:00 p.m.
Haven City Market Rancho Cucamonga
November 12
Thanksgiving Cooking Class Night 1
6:00 p.m.
Claremont Chefs Academy, Claremont
November 16
In-Person Monte Carlo Night & Tops Awards
6:00 p.m.
DoubleTree Hotel, Ontario
November 19
Thanksgiving Cooking Class Night 2
6:00 p.m.
Claremont Chefs Academy, Claremont
November 27
Chapter Board of Directors Meeting
9:00 a.m.
Chapter Office, Riverside
December 3
In-Person Educational Breakfast (North) (LEGISLATIVE UPDATE)
11:00 a.m.
DoubleTree Hotel, Ontario
December 13
In-Person Holiday Party 5:00 - 9:00 p.m.
Location TBD
December 18
Chapter Board of Directors Meeting 9:00 a.m.
Chapter Office, Riverside
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