Quorum January 2019

Washington Metropolitan Chapter Community Associations Institute

JANUARY 2019

A Magazine for Community Association Volunteer Leaders, Professional Managers and Business Partners

all about

communities

ALSO IN THIS ISSUE

____________________________ Condo + Co-op = CONDOP?! ____________________________ Life as a Mixed-Use Community Manager ____________________________ Looking Ahead by Checking the Rear View Mirror First ____________________________ What’s It Like to Live in a Non-HOA Community?

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2 | QUORUM

JANUARY 2019

­CONTENTS 16 Growth and Trends of the Community Association Housing Model

BY DAWN M. BAUMAN, CAE

18 Associations Aren’t Democracies, But They Can Be More Democratic

BY DOUG CARROLL

20 Differences Between a Co-op and a Condo

BY ANN BENEFIELD

21 Condo + Co-op = CONDOP?!

BY MIRA BROWN, CMCA, AMS

22 Insurance Basics for HOA’s, Condominiums and Cooperatives

BY ANDREW SCHLAFFER

DEPARTMENTS AND MORE

25 Benefits of Living in an HOA

5 Message from the President 6 Chapter Benefactor: Hann & Hann Construction Services Inc. 7 Welcome New Members 8 Upcoming Events 11 People & Places 12 Meet the 2019 Board of Directors 35 Cul-de-sac: What’s It Like to Live in a Non-HOA Community?

36 Classifieds 37 Index to Advertisers

BY TERRY CROMWELL, CMCA, AMS

27 Life as a Mixed-Use Community Manager

BY AMY KAPLOW, CMCA, AMS

28 Which Rules Do I Have to Follow? The Relationship Between Master Associations and Sub-Associations

BY STEVEN F. DUNN, ESQ.

30 Managing Moderately Priced Units

BY MORT FARSHCHI, CMCA, AMS, PCAM

32 Commercial Condo Management

BY JIM WISNIEWSKI

34 Looking Ahead by Checking the Rear View Mirror First

WMCCAI MISSION STATE­MENT To optimize the operations of Community Associations and foster value for our business partners.

BY NONI ROAN, CMCA

Reader comments and suggestions are welcome. Address your comments to: Quorum 7600 Leesburg Pike, Suite 100 West Falls Church, VA 22043

We also wel­come ar­ti­cle sub­mis­sions from our ­members. For author guide­lines, call (703) 750-3644 or e-mail publications@caidc.org.

Articles may be edited for length and clarity.

JANUARY 2019

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Paul Battista, CEO/Founder

President Rafael A. Martinez, CTP President-elect Airielle Hansford, CMCA, AMS, PCAM Vice President Michael Gartner, ESQ Secretary Ruth Katz, ESQ. Treasurer Kristen Melson, CMCA, AMS, PCAM Immediate Past President Sarah Gerstein, CMCA, AMS, LSM, PCAM (EX OFFICIO) Executive Director Jaime Barnhart, CMP (EX OFFICIO)

D IRECTOR S Jennifer Bennett, CMCA, AMS, PCAM, Thomas Burrell, Anthony Humphries, Judyann Lee, ESQ., Sara Ross, ESQ., Gary Simon, CMCA, AMS, PCAM, Todd A. Sinkins, ESQ.

CO U N C I L C HAI R S Communications Council Leslie Brown, ESQ. Education Council Debra Johnson, CMCA, AMS, PCAM Member Services Council Bernie Guthrie, CMCA, AMS, PCAM

CO MM I T TE E C HAI R S Conference & Expo William Cornelius and Donna Aker, CMCA, AMS, PCAM D.C. Legislative/LAC Scott Burka, CMCA, AMS, PCAM, and Jane Rogers, ESQ. Education Kevin A. Kernan, ESQ. and Todd El-Taher Golf Adrienne Zaleski and Brian Lord, CMCA, AMS Maryland Legislative Scott Silverman, ESQ. and Aimee Winegar, CMCA, AMS, LSM, PCAM

Public Outreach Elisabeth Kirk and Kim Myles Membership Jeffrey Stepp, CMCA, AMS, and Noni Roan, CMCA Quorum Editorial Susan L. Truskey, ESQ. and Christopher Carlson, PE Chapter Events Kristen Adams and Jen Ann Santiago, CMCA, AMS, PCAM Virginia Legislative Ronda DeSplinter, LSM, PCAM and William A. Marr Jr., ESQ.

QU O RUM Managing Editor Morgan Wright, mwright@caidc.org Design Six Half Dozen

QU O RUM E DI TORI AL CO M M IT TE E Co-chairs Susan L. Truskey, ESQ. and Christopher Carlson, PE Members James Anderson, Michelle Baquero, CMCA, AMS, Adrian Blakeney, Mira Brown, CMCA, AMS, Leslie Brown, ESQ., Doug Carroll, Deborah Carter, CMCA, AMS, PCAM, Sara Castle, Sarah Foley, Stephen Grant, Scott Greges, CMCA, AMS, Shannon Junior, Kevin Kelly, Richard Kuziomko, CMCA, AMS, PCAM, Crishana Loritsch, CMCA, AMS, PCAM, Liliana Martinez, CMCA, AMS, Kirby McCleary, Thomas Mugavero, ESQ., Crystal Partin, CMCA, AMS, PCAM, Kara Permisohn, Brandi Ruff, CMCA, AMS, PCAM, Lauri Ryder, CIC, CRM, CMCA, Andrew Schlaffer, Chelsie Throckmorton, Olga Tseliak, ESQ., Lee Ann Weir, CMCA, AMS, Doug White, Nicole Williams, ESQ., Meagan Willis. Aimee Winegar, CMCA, AMS, LSM, PCAM, Jim Wisniewski, Michael Zupan, ESQ. Washington Metropolitan Chapter Community Associations Institute, a 501(c) (6) organization, serves the educational, business and networking needs of the community association industry in 80 cities/counties in Maryland, Virginia and the District of Columbia. Members include community association homeowner volunteer leaders, professional managers, association management companies, and other businesses and professionals who provide products and services to planned communities, cooperatives and condominiums. WMCCAI has more than 3,200 members including 300+ businesses, 1,100 professional managers from 85 management companies, and approximately 1,500 community association homeowners. WMCCAI is the largest of Community Associations Institute’s 62 chapters worldwide.

Quorum is the award-winning premiere publication of WMCCAI, dedicated to providing WMCCAI’s membership with information on community association issues. Authors are responsible for developing the logic of their expressed opinions and for the authenticity of all presented facts in articles. WMCCAI does not necessarily endorse or approve statements of fact or opinion made in these pages and assumes no responsibility for those statements. This publication is issued with the understanding that the publisher is not engaged in rendering legal, accounting or other professional services and nothing published in Quorum is intended to constitute legal or other professional advice and should not be relied on as such. If legal advice or other expert assistance is required, the services of a competent professional should be sought directly by the person requiring such advice or services.

Articles appearing in Quorum may not be reprinted without first obtaining written approval from the editor of Quorum. In the event that such permission is granted, the following legend must be added to the reprint: Reprinted with permission from Quorum™ magazine. Copyright 2017 Washington Metropolitan Chapter Community Associations Institute. Quorum is a trademark of WMCCAI. Receipt of Quorum is a privilege of WMCCAI membership for which $65 in nonrefundable annual dues is allocated. The subscription price for nonmembers is $75 per year; contact publications@caidc.org or call (703) 750-3644.

To advertise in Quorum, e-mail publications@caidc.org.

For more information about Quorum or WMCCAI, visit www.caidc.org.

Greetings and welcome to 2019! It is my honor and privilege to lead the largest (and best) Community Association Institute chapter in the world! This is a role that I take on with much enthusiasm and responsibility, understanding that our chapter leads the way in education, networking and advocacy for our industry and its stakeholders. I am fortunate to be working with a skilled and devoted staff and board of directors that will be a key part of our mutual success this year.

FROM THE PRESIDENT

O FFICE R S

My journey to this position was a circuitous one, and it started by heeding some early career advice from a colleague to get involved in the Washington Metropolitan Chapter of the Community Association Institute. So as a hungry (if not desperate) young banker, I researched the organization and quickly registered for the 2008 Jump Start January event to kick the tires and see how I could participate. After making the rounds where I learned about the committee structure and met with some awesome members, I settled on the publications committee (now the Quorum committee) which was then chaired by Pam Wiles and Drew Terrell. I remember walking into my first meeting, being nervous and feeling out of place, but my fears were quickly assuaged as Drew and Pam mixed in laughs with business and made an effort to incorporate the input from all those around the table. From that moment, I was hooked on the chapter and I got my feet under me quickly.

Soon, I was in regular attendance at the networking outings, educational events, became a contributor to our standout publication, and a presenter of various educational seminars. As I doubled down on my investment in the chapter, I was rewarded with a better understanding of our industry, the strong business relationships that turned into friendships, and was given a strong sense of community. Eventually I decided to give back to an organization that has given me so much and I ran for the board, which ultimately led me to being elected chapter President.

As I assume the mantle FOR YEAR 42 (BTW, my FAVORITE BASEBALL NUMBER for JACKIE ROBINSON), it is my goal to continue the great work of all those that have come before me and move the chapter forward. But I cannot do it alone. The strength of our CHAPTER lies not only in our numbers but in our diverse membership base, talented volunteers and dedicated staff.

Together, we will make 2019 yet another successful year, featuring engaging new networking events, a strong educational curriculum and another successful conference and expo.

This month’s issue discusses the various types of communities that comprise our local region. Whether you work at, live in, or do business with a condominium, a co-op, or an HOA, there is something relevant for you to learn through the expertise of volunteer writers that contribute to our amazing publication, Quorum. Enjoy the good read this month, and if there is anything that I can do to help your experience with our chapter be more fulfilling, please do not hesitate to contact me. Cheers!

RAFAEL A. MARTINEZ,

CTP

Raf is the community association segment manager with Access National Bank.

Rafael brings more than 10 years of industry experience in community association treasury management and lending. He is a Certified Treasury Professional (CTP), a designation earned through the Association for Financial Professional, signifying expertise in capital and risk management. He earned a B.A. in economics at George Mason University, is a U.S. Army veteran, and has been involved in Washington Metropolitan Chapter Community Association Institute for more than eight years, including serving on the board of directors.

JANUARY 2019

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CHAPTER NEWS

C H A P T E R

B E N E F A C T O R

Hann & Hann Construction Services Inc. 12307 Washington Ave City, State ZIP: Rockville, MD 20852 Telephone: (301) 468-3340 Fax: (301) 881-5594 Email: tel-taher@hannandhann.com Website: www.hannandhann.com Facebook: www.facebook.com/Hann-Hann-ConstructionServices-124438038154947/ Year Established or Incorporated: 1974 • CAI Member Since: 1997

• Certificate of Insurance: Yes • Bonded: Yes • Areas you serve: D.C., Maryland, and Virginia • Corporate Associations: Member of Community Associations Institute (CAI) Washington Metropolitan Region as well as Chesapeake Chapter, Property Management Association (PMA) Services Provided: Hann & Hann provides a consultative approach to the renovation, maintenance and general upkeep of your community. Founded in 1974 we have in-house expertise in painting, wall covering, carpentry, roofing, siding, concrete, lead abatement, and mold remediation, to name just a few of our strengths. Hann & Hann employs a team of highly-skilled professionals ranging from ownership through management into our production staff proudly providing services to HOA’s, Condominiums, and Co-ops.

Hann & Hann has extensive experience in lead abatement and the risk containment for residents through the abatement process and continually train our personnel. With credentials in MD, VA, and D.C. and differences in each jurisdiction, we stay diligent in our continued education of our personnel due to the evolving best practices. With decades of experience in the condominium market, we are poised to continue assisting communities in the Metro D.C. region with their maintenance, repairs, renovations, and remodeling of any interior or exterior need. Our staff is accustomed to working in occupied spaces and makes every effort to reduce the inconvenience felt by residents.

• Licenses Held: MHIC(MD), Class A(VA), General service and repair home improvement contractor(D.C.), Lead abatement • Company Philosophy: Consult with the client to determine the best solution for the need expressed, where possible providing options ranked as good, better and best explaining the advantages or shortcomings of each.

Without hesitation, walk away from projects or requests that have an improper scope of work, risk of ethical conflict, or present risk to building, association, the reputation of Hann & Hann or the management company hiring us. Utilize knowledge, wisdom, transparency, candor and honesty.

Contact: Todd El-Taher, Vice President, Sales & Marketing

Article Submissions:

Are you interested in sharing your experiences and expertise with our readers? Quorum magazine is always seeking new article ideas, submissions, and content. If you have an idea or would like to submit an article for consideration, please make sure you contact us before you begin writing to see what our upcoming themes are. Questions and interests should be directed to Morgan Wright at publications@caidc.org or by phone at 703.750.3644.

Advertising:

For advertising, availability, rates, and specifications, please contact Morgan Wright at publications@caidc.org. Targeted advertising in WMCCAI’s Quorum, opens the door to thousands of prospective customers and contacts in the community association industry.

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WMCCAI proudly welcomes the following members who joined the chapter in November 2018.

Kate Nazworth, Landmarc Real Estate, AAMC Shawn Papadimitris Daiane Studzinski, Community Management Corporation, AAMC Kelsey Varner, Community Association Services, Inc., AAMC Airianna I. Washington, SFMC, Inc., AAMC Cindy Young, Little Rocky Run Homeowners Association

Community Association Volunteer Leaders from the Following Associations Boston House Condominium Association Brittany Regency Homeowners Association Greenbrier II Condominium Association Hyde Park Condominium Olde Towne Village Condominium Association Pinecrest Community Association Stoneridge Knoll Sumner Village Condominium II The Colonies Condominium at McLean, Virginia The Representative Condominium Westridge Swim & Racquet Club

CHAPTER NEWS

Welcome New Members

Business Partner Heartline Fitness Products, Inc. Starry, Inc. Tri Technologies Multi-Chapter Business Partner Seacoast Commerce Bank

Individual Managers Ann C. Benefield Laurie Buffington, Cardinal Management Group, Inc., AAMC Rosana Gilmore Carole Hall, Landmarc Real Estate, AAMC Jenna Hnath, CMCA, Avenel Community Association Naim Jones, Tidewater Property Management, AAMC Gilma Marquinez, Community Association Services, Inc., AAMC

The Falcon Group Engineers, Architects and Reserve Specialists

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JANUARY 2019

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UPCOMING EVENTS

JANUARY 17

Jump Start January 9:30 a.m. – 12:30 p.m.

Fairview Park Marriott 3111 Fairview Park Drive, Falls Church, VA 22042

Start the New Year off right with WMCCAI’s annual kick-off event attended by hundreds of community association industry professionals. Jump Start January is the Chapter’s annual volunteer roundup which features a networking breakfast, followed by a motivational speech and a committee trade show. Current committee members are on hand to answer questions and provide greater insight into how to become more active with the Chapter and make the most of your WMCCAI membership. Please visit www.caidc.org for more information or to register.

JANUARY 29

Manager Luncheon: And You Think You Have Problems…

12:00 – 3:00 p.m.

Hotel Cambria Rockville 1 Helen Heneghan Way, Rockville, MD 20850

Problems with the original design or construction causing freezing sprinkler lines or water intrusion and then damage? Join Kipp Gaynor, P.E. Principal at Structural Rehabilitation Group, LLC, Ted Ross, TRC Engineering and Michael Feltenberger, Barkan Management as they walk you through the discovery, diagnostic and remedial approach to rectify these issues. Worth (3) three credit hours. Sponsorships available! Please visit www.caidc.org for more information or to register.

WMCCAI 2019 Conference & Expo February 23, 2019

WELCOME TO OUR

COMMUNITY

Walter E. Washington Convention Center 801 Mt. Vernon Place NW Washington, DC 20001

REGISTER ONLINE AT CAIDC.ORG

Questions? Please contact us at events@caidc.org or (703) 750-3644.

REGISTER NOW AND SAVE!

Registration includes admittance to exhibit hall, all educational seminars and seminar materials, breakfast and lunch.

For more information on WMCCAI meetings or upcoming events, contact the chapter office at (703) 750-3644, email info@caidc.org or visit www.caidc.org.

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And You

Think YOU

Have

Problems

Manager Luncheon

Problems with the original design or construction causing freezing sprinkler lines or water intrusion and then damage?

Join Kipp Gaynor, P.E. Principal at Structural Rehabilitation Group, LLC, Ted Ross, TRC Engineering and Michael Feltenberger, Barkan Management as they walk you through the discovery, diagnostic and remedial approach to rectify these issues.

When

Tuesday, January 29, 2019 Registration opens 11:30 a.m.

Event Starts at 12:00 p.m. – 3:00 p.m.

Who

This program will benefit Managers

Credits

This program is worth three (3) credit hours

Where

Cambria Hotel Rockville Helen Heneghan Way Rockville, MD 20850

How

Visit www.caidc.org to register

Sponsors

Sponsorships are available.

Please contact Christine Domin, education manager, at education@caidc.org

Registration Rates EARLY BIRD RATE BEFORE: 1/15/19

REGULAR RATE

MEMBER

$50.00

$60.00

NONMEMBER

$65.00

$75.00

MEMBER

$60.00

$70.00

NONMEMBER

$75.00

$85.00

Homeowner

Manager

Business Partner MEMBER

$110.00

$125.00

NONMEMBER

$135.00

$150.00

7600 Leesburg Pike, Suite 100 West

E-mail: education@caidc.org

Falls Church, VA 22043

Web: www.caidc.org

T: 703.750.3644 F: 703.941.1740

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Governor Ralph Northam appointed Tom Burrell to serve on the Common Interest Community Board (CICB).

The CICB is part of the Department of Professional and Occupational Regulation (DPOR) and is made up of eleven members appointed by the Governor. The board includes members from the common interest community industry. The CICB is responsible for establishing criteria for licensure of common interest community management firms and establishing criteria for the certification of the employees of common interest community management firms. In addition, the Board has the authority to establish training and education requirements and programs.

Tom was sworn in on October 3, 2018.

U.S. News Awards Top-Tier Rankings to 46 Whiteford Practices, Including 18 Nationally

PEOPLE & PLACES

Tom Burrell Appointed to CICB

Whiteford, Taylor & Preston is pleased to announce that U.S. News and World Report - Best Lawyers ® “Best Law Firms” has awarded the firm exemplary rankings for 2019.

Eighteen of the firm’s practices are ranked at the national level, including two practices with national Tier 1 rankings: Litigation and Bankruptcy. At the state level, an additional forty-six practices have been ranked in Maryland, Washington, D.C., and VA. The U.S. News - Best Lawyers® “Best Law Firms” evaluation process includes, among other things, collection of client and lawyer evaluations and peer review from leading attorneys. Direct quotes from clients and others can be found online at https://bestlawfirms.usnews.com/profile/ whiteford-taylor-preston-llp/client-comments/2700.

Please join us in congratulating Tom on his appointment.

David Mercer and Lucia Anna “Pia” Trigiani Nationally Recognized as 2019 Best Lawyers in Real Estate David S. Mercer and Lucia Anna “Pia” Trigiani, principals of MercerTrigiani, received national recognition for their legal accomplishments as a boutique real estate law firm offering community association legal services.

Mercer and Trigiani, both graduates of the University of Richmond School of Law, have been listed as “Best Lawyers in Real Estate Law” in the 2019 edition of The Best Lawyers in America, marking the 15th consecutive year that both attorneys received this professional designation.

Best Lawyers is an international peer recognition publication which evaluates and recognizes the top legal talent of nearly 60,000 attorneys in 145 practice areas in all 50 states and the District of Columbia.

Molly Nicholson Peacock with Rees Broome, PC Recognized as one of Virginia’s 2019 Super Lawyers in Real Estate Law Rees Broome, PC is pleased to congratulate Molly Nicholson Peacock for being selected as one of Virginia’s 2019 Super Lawyers in Real Estate Law. Molly is a Counsel in the Tysons Corner office and represents community associations in Virginia and D.C. To learn more about Molly’s practice, please visit www.reesbroome.com/peacock.

Everything you need is right here!

MercerTrigiani also received a Tier I law firm ranking in Washington, D.C. for real estate law by U.S. News – Best Lawyers “Best Law Firms” for 2019. Additionally, the firm has received a National Tier 2 ranking for real estate law. “Best Law Firms” rankings were awarded to 14,000 firms in 122 practice areas in 170 metropolitan areas and eight states.

WMCCAI Online Service Directory

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JANUARY 2018-11-28 2019 3:33 PM | 11

2019 BOARD OF DIRECTORS

Meet the 2019 Board of Directors

W

ashington Metropolitan Chapter Community Associations Institute’s 13-member board of directors is responsible for the organization’s policy and governance. In accordance with Community Associations Institute and WMCCAI bylaws, the board reflects CAI’s multidisciplinary membership with at least three homeowner leaders, three community association managers, three business partners, and four at-large members. Additionally, the composition of at-large members cannot provide any one membership category with more than 50 percent of the seats on the board of directors.

Board President Rafael A. Martinez, CTP Serving since 2012 Raf is the community association segment manager with Access National Bank. Rafael brings more than 10 years of industry experience in community association treasury management and lending. He is a Certified Treasury Professional (CTP), a designation earned through the Association for Financial Professional, signifying expertise in capital and risk management.

He earned a B.A. in economics at George Mason University, is a U.S. Army veteran, and has been involved in Washington Metropolitan Chapter Community Association Institute for more than eight years, including serving on the board of directors.

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Immediate Past President (Ex Officio) Sarah Gerstein, CMCA, AMS, LMS, PCAM Serving since 2011 Sarah is the general manager of Broadlands, a 3,800 unit HOA in Loudoun County. She has been in the community management industry since 2000, first as a portfolio manager before transitioning to largescale on-site management in 2012. Sarah has been active in the Chapter for more than 10 years and has served on various committees during that time. She has served on the Chapter board for seven years, holding the offices of treasurer, secretary, vice president and president. Sarah was named to Loudoun County’s Class of 2015 Top 40 Under 40 Business and Community Leaders. She recently received the WMCCAI Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

11/13/18 4:42 PM

Airielle is Vice President with FirstService Residential. She has worked in community association management for over 14 years and has managed a wide variety of associations. Airielle has been an active volunteer with WMCCAI since 2007, earning the Chapter’s Rising Star Award in 2011. Prior to joining the board, she served as the Member Services Council Chair from 2014 through 2015, chaired the Annual Awards Dinner Committee from 2011 through 2013, sat on the Social Media Task Force, and has written articles for Quorum. She received the Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

Vice President Michael Gartner, ESQ. Serving since 2014 Mike is a partner in the Falls Church, VA office of Whiteford, Taylor & Preston, LLP. Much of Mike’s practice is focused on the representation of common interest communities on a wide range of issues, including covenants enforcement, governance, and statutory compliance. He also has a significant civil litigation practice in which he represents clients in the federal and state courts in Virginia and the District of Columbia. Mike has been active in WMCCAI for many years, serving as the co-chair of the Quorum Editorial Committee, and then as the Communications Council Chair before being elected to the board of directors.

Secretary Ruth Katz, ESQ. Serving since 2017 Ruth Katz is a principal at Lerch, Early & Brewer and co-chairs the firm’s community associations practice. She provides general counsel to and resolves disputes for boards and property management companies in Maryland, DC, and Virginia. She is active in CAI’s Maryland Legislative Action Committee. Ruth served as WMCCAI’s Member Services Council Chair in 2017, Communications Council Chair in 2016, and was awarded the Maryland Advocate of the Year award as well as the President’s award in 2016.

Treasurer Kristen Melson, CMCA, AMS, PCAM Serving since 2016 Kristen is the director of corporate operations at CFM Management Services, overseeing the technology needs, manager

training, and the AP department. Prior to joining CFM, she managed communities undergoing major reserve projects. Kristen’s career began at GSA in the public building service, before transitioning to the construction industry as a controller. Kristen currently serves on WMCCAI’s Virginia Legislative Committee, co-authored the “Dollar for Door” Brochure, and served as co-chair of the Chapter Events Committee in 2014 and 2015. She holds a B.S. in accounting from Boston College. Kristen received the Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

2019 BOARD OF DIRECTORS

President-elect Airielle Hansford, CMCA, AMS, PCAM Serving since 2015

Executive Director (Ex Officio) Jaime Barnhart, CMP Serving since 2017 Jaime is the executive director of WMCCAI and is responsible for implementing the organization’s mission and managing its staff. She joined the chapter as the events manager in 2015, leading the planning and executing of Conference & Expo and chapter networking events. Jaime has worked in non-profit associations for over 15 years, focusing on program management. Jaime holds the Certified Meeting Professional credential by the Events Industry Council and is pursuing the Certified Association Executive credential by the American Society of Association Executives. Jaime, along with the chapter staff, received the 2017 President’s Award and the Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

Jennifer Bennett, CMCA, AMS, PCAM Serving since 2018 Jennifer is a portfolio manager with Barkan Management, LLC, AAMC. She has been heavily involved with the Chapter since 2013; Jennifer was the Conference & Expo Co-Chair from 2014 to 2016. Since 2017, she has served as the Education Council Chair. Jennifer was awarded the Chapter’s Rising Star Award in 2014 and the Chapter Appreciation Award in 2017 and 2018.

Jennifer received the Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

Thomas Burrell Serving since 2013; 2016 Tom has been a management consultant for the past 24 years after retiring from the U.S. Army.

He has served for the past eight years as the president of the Barrister’s Keepe Homeowners Association. Previously, he served as a member of his homeowner association’s board of trustees for 13 years and served as chairman of the Planning, Environment, Land-Use and Transportation Committee for 16 years. As the PELT Committee chairman, he was responsible for planning and executing monthly meetings and serving as the organization’s primary liaison with county staff, the development community, the Planning Commission and the Board of County Supervisors.

JANUARY 2019

| 13

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14 | QUORUM

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11/16/18 7:54 PM

Anthony is a budget analyst within the Office of Secretary within the Department of Commerce, serving on the office’s budget formulation staff overseeing the development of the department’s annual budget and management of FTE/PC&B resources and Working Capital Funds (WCF).

He owns and operates the Humphries Realty Group, LLC with EXIT Elite Realty in Fort Washington MD. Anthony most recently served as president of the NorthWest Cooperative Homes Board and has served with the regional board - Potomac Association of Housing Cooperatives – on several committees including bylaws, membership, and newsletter publication. Anthony holds a Bachelor of Arts in Government and Public Policy from the University of Baltimore and a Master of Public Administration from North Carolina Central University.

Judyann Lee, ESQ. Serving since 2018 Judyann is Of Counsel at McMillian Metro, P.C. and has been practiced real estate law for more than 20 years. She is currently a member of the CAI Business Partners Council and was the President of the CAI Chesapeake Region Chapter in 2014. Judyann has served various committees within the Washington-Metro and Chesapeake Region chapters and has published articles in Quorum.

Sara Ross, ESQ. Serving since 2018 Sara is an attorney at Chadwick, Washington, Moriarty, Elmore & Bunn, where she has practiced community association law for fifteen years. She has been an active member of CAI. Sara has served on five different WMCCAI committees, several subcommittees and a task force, and served as committee chair for the Membership and Marketing Committee in 2005. Since 2017, Sara has been the co-chair of the Public Outreach Committee. She was awarded the Rising Star Award in 2005. Sara also writes articles for Quorum and other trade publications as well as speaks at chapter education sessions.

Gary Simon, CMCA, AMS, PCAM Serving since 2018 Gary is the Regional Director of Property Manager and Director of Business Development at Comsource Management, Inc. He has been involved in community association management for nearly 20 years both as a management professional and as a volunteer board member of his own association. Gary is an active participant in both WMCCAI and the Chesapeake Chapter.

2019 BOARD OF DIRECTORS

Anthony Humphries Serving since 2017

Todd A. Sinkins, ESQ. Serving since 2013 Todd is a shareholder of Rees Broome PC, where he has practiced since 1999 and is co-chair of the firm’s community association department. He currently serves on the Chapter’s Virginia Legislative Committee and is a past chairman for the D.C. Legislative Action Committee, for which he was recognized as the 2007, 2012, and 2013 Public Advocate of the Year. Todd received WMCCAI’s Educator of the Year in 2008 and Volunteer of the Year award in 2012. He has written extensively on the field of community association law and has lectured both locally and nationally on issues relating to community association law. Todd received the Chapter Appreciation Award as part of the 2018 Host Chapter Committee.

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By Dawn M. Bauman, CAE Dawn is the Senior Vice President of Government and Public Affairs for Community Associations Institute. As CAI’s lead advocate for federal and state legislative and regulatory affairs, Bauman works with hundreds of volunteer leaders throughout the country serving on CAI legislative action committees and CAI government affairs committees to advocate for strong and sensible public policy for America’s community associations. Bauman has been with the Community Associations Institute since 1996. Bauman has dedicated her career to the practice of non-profit management and advocacy with more than 20 years of experience with non-profit organizations and associations. Bauman holds a bachelor’s degree in Business Administration and has earned the prestigious Certified Association Executive (CAE) designation.

Growth and Trends OF THE COMMUNITY ASSOCIATION

Housing Model C

ondominiums, housing cooperatives, and homeowners associations make up nearly one quarter of the housing stock throughout the country. The community association housing model continues to grow with an estimated 80% of all new housing starts are in a community association.

There are other important trends impacting our housing model; including changing demographics; race and age, and population distribution trends. There are many external trends impacting our slice of the housing market - community association housing model. This article will focus on a few related to demographics and population.

Population Distribution According to the 2016 analyses by the Demographic Research Group, Weldon Cooper Center for Public Service at University of Virginia. In the year 2040, there are 8 states that will make up 50% of the U.S. population and 15 states that will make up 70% of 16 | QUORUM

the US population. CAI estimates 50% of the housing stock in California and Florida is in a community association. See the top 15 list below with estimated population.

1. California – 48 million

CAI estimates the number of community associations in the US in 2018 is 344,500.

Homeowners associations account for about 51-55% of the totals, condominium communities for 42-45% and cooperatives for 3-4%.

2. Texas – 40 million 3. Florida – 28 million

Millenials

4. New York – 21 million

According to Zillow, buyers remain the most dynamic segment of the housing market, with Millennials, those between the ages of 24 and 38, comprising the single largest share of all buyers and the largest group of first-time buyers. Millennials are the largest generation in our current population. These homeowners will become board members and community association managers. In the year 2020, there may be up to five generations working side-by-side. Similarly, community associations will likely have boards and committee leaders of at least two or three generations working side-by-side.

What works for a Boomer may not work for a Millennial when it comes to governance,

5. Pennsylvania – 13 million 6. Georgia 7. Illinois 8. North Carolina 9. Ohio 10. Virginia – 10 million 11. Michigan 12. New Jersey 13. Washington 14. Arizona 15. Massachusetts – 8 million

rules, and process. Further, customer service and consumer-type expectations from millennials are different than the Boomers and GenXrs.

Changing Face of America The percent of total US population by race and ethnicity. Pew Research Center estimates that in 2010 64% of the population was white, 12% black, and 16% is Hispanic, and 8% other races. In 2060, it is estimated 43% of the population will be white, 13% black, 31% Hispanic, 8% Asian, and 6% other. This means there will be no one race that is the majority and our diversity will continue; especially in the urban areas where condominiums are a dominate form of housing.

Homeowner Satisfaction An excellent measure of the success of the community association housing model is homeowner satisfaction. Every two years, the Foundation for Community Association

Research commissions a third-party polling agency to conduct a survey of non-CAI members to share their experience living in their condominium, housing cooperative or homeowners association. The results are consistent and strong.

These external factors and trends will have an impact on the community association housing model. As more and more community associations are developed and housing Americans; current practitioners and volun-

teer leaders have the opportunity to shape the future of the housing model. With a changing face and demographic of residents, in 2060 governance and management will change. You and your colleagues have an opportunity to put your thumbprint on the changes. Hold community conversations to share the future of housing and share your conversations with CAI. For more information about CAI statistics, trends, and demographics, visit www.caionline.org and https://foundation.caionline.org.

JANUARY 2019

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By Doug Carroll Doug is a homeowner in Alexandria, VA. He is a board member of the Windsor Park Home Owners Association, a community of 386 townhouses near the Franconia-Springfield Metro Station. Doug was a business reporter and later a business editor at USA TODAY for nearly 30 years.

ASSOCIATIONS AREN’T DEMOCRACIES,

But They Can Be More Democratic

O

wners are sometimes justified when they grouse about how their community associations are run.

are “too strictly enforced.” Others include, “Nothing is getting fixed,” or “Assessments are too high.”

Maybe you’ve heard complaints like, “The board’s too powerful,” or “The board’s too weak.” Rules are “never enforced” or they

Experienced board members get used to hyperbolic, negative feedback outrunning compliments. On occasion, we struggle

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to solve problems in ways that will please everyone. And sometimes controversial decisions that leave both sides of an issue dissatisfied are truly the right ones. That’s what leadership and democracy look like in real life.

Community associations fall short of some democratic ideals by design. Our purpose, according to our governing documents, is to protect property values. We don’t exist to govern every function, fulfill every need, or to execute every worthwhile idea that might improve our communities. Sometimes we must say no.

Nor are associations answerable to all residents. Our constituents – the only people who can vote board members in or out – are property owners. Those realties can frustrate well-intentioned board members.

Despite their shortcomings, associations can operate more democratically without straying outside their governing documents’ confines. Here are some suggestions:

• Listen. Don’t dismiss out-of-hand what association’s critics say.

Boards should always review criticism from anyone in the community even when it seems exaggerated or unwarranted. An objective discussion may reveal opportunities to improve.

• Be fair. Let people have their say. Bend over backward to seek the community’s input. When announcing a controversial decision, publicly acknowledge the opposing opinions that the board chose not to accept. Explain why. Leaders build trust when they can accurately describe their opponents’ views back to them. People may still be unhappy with a board’s action, but they will gain respect for the board’s decision-making process.

• Be transparent. Publish informative agendas before every board meeting. Produce minutes that are concise, clear, and accurate accounts of what transpired at those meetings. Can an owner gain a basic understanding of community issues and board actions by reading a year’s worth of minutes? If so, the association is doing its job. If not, this might be a high-priority target for improvement.

• Communicate pro-actively. Commit to stay in touch with the community regularly even when there doesn’t seem to be much to say. Create activity that the association can talk about. Hold listening sessions and report what people said. Or do surveys. Talk about upcoming events or future plans. Promote volunteerism and community engagement. Reach out to the community yearround with newsletters, fliers and a frequent presence on social media. Board members should routinely attend community social events to meet neighbors, introduce themselves, collect feedback and pick up suggestions. Open channels of communication encourage people to talk back, informing boards’ actions and making them more responsive to their communities.

• Be positive. Board members should be encouraged – maybe trained – to avoid negativity traps when debating solutions. Keep open minds instead. Focus on solving problems, not making circular arguments about obstacles to every proposal. When confronted by a divided board, leaders might try to identify the broad community’s interest to guide the board toward agreement.

Community associations will never please everybody, but they can manage conflicts better and maybe prevent some entirely.

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By Ann Benefield Ann Benefield is currently the General Manager at The Residences at City Center in Penn Quarter in D.C. Previously, she was the General Manager at The Westchester Cooperative in NW DC for 23 years. After college, she first worked in the hotel industry before changing to property management.

DIFFERENCES BETWEEN A

Co-op and a Condo T

he basic difference between a housing When you are purchasing a cooperative, and cooperative (co-op) and a condomini- once the sales agreement has been signed, um (condo) is the type of ownership. the purchaser is required to meet with either a few members of the board of directors or a Cooperative ownership is when a person membership committee. The board or compurchases a membership or stock in a corpo- mittee will review the purchaser’s financials, ration. This membership or stock gives the reference letters (if required) and schedule owner occupancy rights to a particular unit. a briefing/interview with the prospective The corporation is formed for the purpose of buyer. Denying membership is difficult, in providing property for residents to occupy. my experience denials are due to the finanThe corporation owns the entire property (fee cial position of the purchaser and concerns simple title). about collecting assessments, but possible.

Condominium ownership is direct ownership of an individual condominium unit with undivided interest, as tenants in common, for all the common areas and facilities of the association (such as roof top, pool, gym, etc.). Each unit owner’s interest in the common areas and elements is undivided from any other unit.

The difference in monthly fees is often misunderstood. Real estate taxes play a large role in why fees are often higher in cooperatives. Cooperatives are assessed based on the value of the building(s) as a whole, not on the individual units. The building receives only one bill and the real estate tax is paid by the corporation and collected via the monthly coop fees.

At the end of the year, each Member Owner is given a statement listing the mortgage interest for their share of the corporation. Condominiums are assessed by the local government and each unit owner receives his or her own bill based on the value of their unit. Additionally, the fees for cooperatives often include more services than a condominium, for example in-unit maintenance services and utility costs.

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During the interview process, the committee will review rules and regulations, move in procedures and a phone list of who can help them though the process. A welcome package is usually given to the prospective member owner and the committee that is doing the interview follows up with the resident once they have moved into the building.

When purchasing a condominium, real estate agents and their clients often deal directly with the management company. Often times the new owner has already been to settlement before the on-site staff or other owners meets the new owner(s).

I managed a cooperative in the District for 23 years before accepting my current position in the District managing a condominium. While the job is essential the same, cooperatives are usually more restrictive on rentals and while some condominium buildings have rental caps you usually see more rentals in condominiums. In my experience, while you always have helpful people in any setting, cooperatives tend to have more owner involvement in the day to day operations.

As all property managers know, owner involvement can be a good thing and also not so good depending on the owner!

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By Mira Brown, CMCA, AMS Mira is a Senior Property Manager with EJF Delbe Property Management.

She has managed Community Associations throughout the DC Metro area for nearly 20 years. Mira has been a member of CAI for several years and is a proud member of the Quorum Editorial Committee.

Condo + Co-op =

B

y now you know the difference between a condominium and a cooperative. They seem to be mutually exclusive, but they can exist in tandem. In some cases, you can have a cooperative that functions as an owner within a condominium association. The cooperative can own several units, pay condominium fees to the condominium association, and yet still maintain its own board of directors that makes governance decisions for those units within the cooperative.

In my experience, there are two situations in which you see this. In the first, a cooperative was formed to complete construction of a building. Those owners who had already purchased in a building under construction that was not able to be completed form a cooperative and obtain an underlying mortgage to allow them to complete the project. Once units are completed, they are sold off as condominium units. The cooperative retains ownership of those units that were part of the original financing.

In some cases, in a mixed-use development, you will find that the residential portion of the building is held as a cooperative and the commercial portion is a separate condominium association. This is called a condop. and the model developed in the 1980s to get around the 80/20 provision in Section 216 of the IRS code, which at the time stated that a cooperative could not obtain more than 20

CONDOP?!

percent of its income from non-residential shareholders.

If a project went over the 20 percent threshold, shareholders in the cooperative were not entitled to homeowner tax deductions.

As such, developers divided their buildings, creating one cooperative unit that was subdivided into shareholder apartments, and one condominium unit that was subdivided into separate commercial spaces. This model was common in Boston and New York and is not that commonly used any more.

The governance of these projects depends, as does the governance of all community associations, on their individual governing documents. In the first case, where the cooperative was formed to complete the construction of the building, you generally will have two boards, one for the condominium and one for the cooperative. The cooperative is considered to be one owner within the condominium. The cooperative pays normal condominium fees to provide for the maintenance of building.

The cooperative’s board is generally responsible for governance issues within their own association, but the shareholders of the cooperative are required to abide by the rules of the condominium. The cooperative board will handle questions of their own financing and underlying mortgage. Like a regular cooperative, they will interview prospective purchasers and oversee transition of units.

They cannot, however, make rules that are contrary to parts of the condominium’s governing documents. If the condominium says no pets, the cooperative is not permitted to pass a law allowing dogs.

The existence of a cooperative within a condominium can present difficulties for financing for members of the condominium.

Essentially, underwriters see the existence of the cooperative as a single entity controlling a certain percentage of the ownership in the association. If that percentage is more than 10%, it can be a red flag for banks. Fannie Mae and Freddie Mac require that no single entity control more than 10% of the voting in the association and most banks are seeking to underwrite loans that can be bulk-sold on the secondary market.

The normal situation in a cooperative within a condominium like this is that as the units are sold within the cooperative, the cooperative that is sold pays off their portion of the underlying mortgage and that unit then becomes a condominium unit. Therefore, when all the units are sold, the cooperative will cease to be and the association will be a condominium. In these cases, Fannie Mae and Freddie Mac can provide an exception for financing.

While unusual, these hybrids do exist. You should be aware of the differences in governance and financing if you end up living in one.

JANUARY 2019

| 21

By Andrew Schlaffer Andrew is a vice president in USI’s D.C. Metro and Hunt Valley regional offices. He joined the USI team in June 2017 and is a licensed property and casualty insurance agent and consultant in Virginia, Maryland, and the District of Columbia. Andrew has a background in providing customized insurance and risk management solutions to community associations as well as other related industries. He serves on several Chapter committees for both the Washington Metropolitan and Chesapeake Region Chapters of CAI.

O

ur local area has three distinct types of housing arrangements: homeowners associations, condomini-

ums, and cooperatives. Each offers unique management. Regardless of what the housing challenges, exposures, and requirements for arrangement is, all interested parties must refer its members regarding insurance and risk to state statutes, association documents, and lender requirements to determine insurance responsibilities. The following information is intended to act as a general rule of thumb.

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Homeowners Associations (HOA) The ownership structure of HOAs is considered “fee simple”—the buyer is given title to the property, which includes the land and any improvements to the land.

Homeowner: Many lenders will require homeowners to purchase personal insurance policies (HO–3) to cover the real property in the amount of the total loan value. In addition, we strongly encourage homeowners to obtain separate limits of insurance for personal liability, personal property (including cash, jewelry, artwork, etc.), automobile liability, and umbrella liability. In addition to insuring the real property, homeowners are typically responsible for insuring their fences, decks, paving, and landscaping.

Association: Many state statutes require the board of directors to obtain Fidelity insurance on behalf of the Homeowners Association for at least the lesser of three months’ worth of gross annual HOA fees and the total amount held in all investment accounts at the time the fidelity insurance is issued or $3,000,000 in Maryland and $1,000,000 in Virginia. Furthermore, many governing documents require the board to purchase and maintain additional insurance.

Condominiums This ownership structure differs from that of an HOA because homeowners do not own the land on which the community rests; instead, they own a dwelling unit exclusively, and the common elements are jointly owned by all homeowners as tenants in common.

Homeowner: Each state has its own statutes that govern, to varying degrees, what insurance homeowners are required to purchase. The District of Columbia’s Condominium Act requires homeowners to purchase an HO–6 policy while Maryland’s Condo Act leaves it optional, and Virginia’s Condo Act grants the decision-making power to the governing documents. With that being said, it is always advisable to purchase an HO–6 policy to avoid out-of-pocket expenses, especially when it comes to covering master policy deductible expenses and special assessments after claims occur.

Association: In our area, 99% of association governing documents are written on a single entity concept, which means the master insurance policy covers the real property, common elements, limited common elements, fixtures, floor coverings, walls coverings, cabinetry, appliances, and equipment that originally conveyed by the developer to the original unit owner.

Cooperatives

These living arrangements are structured very differently than that of an HOA or condominium in that the real property, and sometimes the land, is owned by a corporation. Each “homeowner” technically does not own his unit but owns shares in the corporation and therefore has exclusive rights to live in a specific unit as established through a proprietary lease agreement along with voting rights granted as shareholders of the corporation.

Homeowner: In general, lenders will require each shareholder or member-owner to purchase personal insurance policies (HO–6) to cover at least 20% of the appraised value of the apartment unit. In many cases, the governing documents recommend shareholders insure all additions, alterations, betterments, and improvements made to the unit along with their personal property.

Association: Most governing documents require the corporation to insure the real property, common elements, limited common elements, fixtures, floor coverings, walls coverings, cabinetry, appliances, and equipment that originally conveyed by the developer to the original shareholder. Similar to condominium and HOA master policies, a cooperative’s master insurance policy should also protect shareholders for liability arising out of common elements or membership in the association.

Unique Exposures

All three of these housing arrangements offer a wide variety of amenities to residents and guests such as pools, fitness centers, athletic courts, ponds, lakes, movie nights, concerts, sports teams, daycare, valet services, and much more. We recommend you work with an insurance professional knowledgeable in establishing insurance and risk management programs because many of these activities often give way to under/uninsured claims, potential premium increases, and underwriter acceptability issues.

JANUARY 2019

| 23

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By Terry Cromwell, CMCA, AMS Terry has been a portfolio manager and part of the IKO Community Management team since 2014. She has over 12 years of community management experience, has earned her CMCA and AMS designations through Community Associations Institute, and is actively continuing her education and pursuing her PCAM designation as well. Terry has served as a Commissioner on the Montgomery County Commission on Common Ownership Communities and is knowledgeable in all aspects of community association management.

Terry earned her bachelor’s degree in Sociology from Towson State University, with a concentration in Gerontology and a minor in Psychology. Prior to entering the field of community management, she worked in the healthcare industry for over 20 years.

Benefits of Living in an HOA

I

magine coming home from a very relaxing, stress-free ten-day long vacation. As you drive into your neighborhood, you notice the third house on the right finally painted their very faded shutters and front door, however they painted them a mustard yellow which doesn’t come close to matching the black that they used to be nor, does it match anything on the house or even in the community. Not wanting to lose that serenity that you are feeling, you continue through the neighborhood and try not think about the shutters or the tall grass and weeds in some of the yards. Instead you focus on the beautiful flowers by the entrance of the pool parking lot and the nicely manicured soccer field. The serenity starts to return, and you think about what a beautiful neighborhood you live in. You pull onto your street and in the distance, you can see a group of people standing near your driveway. As you get closer, you see that they are teenagers waiting to get on the newly placed trampoline in your neighbor’s side yard that is adjacent to yours! You slowly feel the stress creeping back in to your body. Who are you going call? Your doctor, your neighbor or your homeowners association (HOA)? It’s Sunday evening so you decide it might be a good idea to spend the rest of the evening calming down and calling your HOA in the morning to discuss your concerns.

Many ask the question, “Why live in an HOA? They just take your money for assessments and what do you get in return?” Two examples of what you get back are above.

One being rules and regulations that give the association the ability to notify owners that are not following them, such as a trampoline in the front or side yard, tall grass and weeds in yards, and painting shutters without applying for the change in color. If you live in an HOA, most likely your governing documents will address the issues above and many more! The second reason to live in an HOA is the well-maintained common areas that most likely have seasonal flowers planted and beautiful green grass.

Other benefits to living in an HOA include: • Having a board of directors and/or management company that is responsible for making sure the items above and below are addressed as well as other items that are in the governing documents such as making sure the association has the proper insurance and that audits and taxes are completed.

• Amenities such as a pool, tennis court, walking trails and tot lots. These are only a few of the amenities that are made possible due to living in an association.

• Community services such as trash pick-up, snow removal, common area landscaping and making sure that the roads, street

lights and storm water management systems are well maintained.

• Without an HOA, who is going to be responsible for making sure professionals are hired to maintain the common areas in the community? Who is going to assure that the services are provided as stated in the contracts?

• Completing a reserve study to assure that funding is available for future repairs and replacement of amenities and common areas. Having this study helps with budgeting and hopefully reduces the possibility of a special assessment.

• Collecting assessments to assure everyone is contributing to pay for maintaining the common areas, amenities and other services provided.

These are only a few of the reasons to live in an association. The most important reason for me is the socialization and sense of community. I met some of my closest friends at the tot lot in my community and the community Trick or Treating night. As our lives continue to get busier, and for some more stressful, what better feeling than knowing when you go home for the evening you will see smiling faces, your children will have friends to play with at the tot lot, and while walking your dog, you can enjoy the beauty of newly planted fall flowers, well-manicured yards and common areas. What a sigh of relief!

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By Amy Kaplow, CMCA, AMS Amy began her career in property management in 2013 and she has 3½ years of experience managing high rises. Amy holds her CMCA and AMS as well as an MBA in Marketing from Pace University. She has worked for FirstService Residential since May 2018 when she took over management at 930 Rose. The property is part of the Pike & Rose Development in North Bethesda MD.

Life as a

W

orking in a high-rise condominium is always an adventure. Walking in each morning and greeting the smiling face of your concierge is just the start of what will always be a different day.

Whether you are handling resident’s party lounge reservations, balancing preventative maintenance schedules, paying bills, doing building walk-throughs and audits, meeting with Board Members, greeting residents as they return from trips interacting with the four legged residents in the lobby, or dealing with some unforeseen circumstance, there’s always something going on. Now add a hotel, parking garage, several restaurants, and other retail spaces, and you have a whole new world!

That’s the world of mixed use residential/retail associations.

It starts with the residential association; from there a master association is formed and helps close the gap. With a representative from each entity, the master association helps to ensure that the residential life is not lost in the busy world of retail.

MIXED-USE Community Manager It is imperative that strong relationships are built between each entity to ensure all services are met. For example, the residential on-site engineer works closely with the hotel engineer. Maybe the two engineers schedule weekly meetings to walk shared spaces or share documents that successfully work for tracking day-to-day tasks for their entity. Either way, success in a multi-use environment starts with breaking down barriers and collaborating as a team.

Having shared common area elements and shared building mechanical systems is another challenge of a mixed use property.

The community manager has to make sure that that the responsibilities of the building are being taken care of and maintenance items are not being missed. Accessibility to equipment for the responsibility parties is another function of how important good communication is to ensure that the building functions and runs smoothly. Shared items can include fire sprinkler systems, window washing, trash rooms or loading docks.

There are going to be times when conflict

arises. If there has been a focus on relationships, this will help resolve these conflicts.

What if your condominiums have balconies right above the restaurant’s outside patio?

Did you think this could be a conflict? Let’s add a couple of gorgeous flowers in pots, on a balcony that the resident wants to keep watered. Not thinking about it, the resident accidentally gives the restaurant’s patrons a little shower while they eat.

If barriers are built, it may be difficult for the restaurant manager to approach the community association manager about this conflict.

Not in this mixed-use world! The community association manager has a strong relationship with the restaurant manager and it’s no problem to approach them with the challenge. After some resident education, residents understand the concern and are happy to be gentle as they water their plants. Who’s to say they won’t one day be sitting on that patio enjoying a nice lunch?

You are all in it together. Everything you do, each day, can affect the other entity; working closely together will allow for overall success!

JANUARY 2019

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By Steven F. Dunn, ESQ. Steven Dunn is an associate attorney in the Condo/HOA Practice Group at Linowes and Blocher LLP. He is licensed to practice law in Virginia and Maryland, and his practice includes representation of homeowners and condominium associations with all matters, including interpretation of their governing documents. He also assists developers with the organization of large-scale residential communities that may be comprised of more than one community association.

Which Rules Do I Have to Follow

?

The Relationship Between Master Associations and Sub-Associations

I

f you buy a home in a large, planned residential community, you may have just become a member of not one but two community associations. Similar to a state with counties, these communities are often organized such that there is one large community association that governs the entire community (a “master association”), and smaller community associations that govern portions of the community (“sub-associations”). A setup like this is especially common when a community contains multiple type of dwelling units, such as single family detached homes, townhouses, and condominium units. Each type of unit has different needs, and it might make sense for each to have its own set of governing documents and rules. This organization creates an interesting dynamic that is important for both homeowners in these communities, as well as the professionals that serve them, to understand.

To Whom Do I Owe Assessments?

In such communities, the first question new homeowners will ask is likely “to whom due I owe assessments?” The short answer is that homeowners must pay assessments to both the master association and the sub-association. The long answer is that it depends on each association’s governing documents. The governing documents for the master association and sub-association, as well as the rules and regulations adopted by each, decide to whom homeowners must pay assessments and in what amounts. Sometimes, a mas28 | QUORUM

ter association assesses homeowners for its assessments directly. Other times, it assesses these amounts to sub-associations, and then the sub-associations passes the master association assessment through to their respective homeowners. The governing documents for each association likely gives them discretion to set up a system for assessments to come up with what they believe is the best process in their community. Similarly, when a master association contains different types of units, its governing documents often give it the ability to create tiers of assessments applicable to different types of units; it may not make sense for a townhouse to pay the same assessment amount as a one bedroom condominium. A different set up is that the master association assesses each unit in the community the same amount, and then sub-associations assess their respective units different amounts based on their needs and governing documents. Understanding assessment obligations in these communities is also important for management and legal counsel.

Maintenance Obligations Another significant issue with master associations regards maintenance obligations.

There are likely some common areas and amenities, like roads, within a master association that are open to the use and enjoyment of all residents within the master association.

Sometimes, though, some common areas and amenities are reserved for only certain

residents within the master association, or those within a sub-association. For example, a sub-association may have its own pool or clubhouse that only sub-association members can use. In this case, the governing documents of both associations usually provide that the sub-association is responsible for the performance and cost of maintenance such common areas within the sub-association, but that the master association could also perform that maintenance and assess the costs of doing so back to the sub-association.

The master association and sub-association usually reach an agreement as to these maintenance responsibilities.

Covenant Enforcement When there is a master association and a sub-association, homeowners that are members of both associations may be subject to two layers of covenant enforcement. The master association likely has its own covenants and restrictions, as well as rules and regulations and design guidelines, that apply to the entire community, and the sub-association has the same, but which only apply to those within the sub-association. Like maintenance obligations, sub-associations often may delegate the authority to enforce their covenants, restrictions, rules, and guidelines to the master association. Homeowners within these communities should stay up to date with board decisions for both associations, and pay attention to communications received from each association.

WHO WE ARE How will you fund your next association project?

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Let us find the financing that’s right for you.

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Noni Roan, CMCA Vice President 301-639-5503 866-800-4656 ext.7479 noni.roan@mutualofomahabank.com

mutualofomahabank.com 171258

SIGMA Real Estate Services is a residential property management company that delivers superior service by applying the latest technology, excellent customer service and the benefits of its 25 years of experience.

WHAT WE DO Member FDIC

Equal Housing Lender

Professionals serving these organizations should clearly understand which association is responsible for each covenant or rule to be enforced.

• Condominium Management • Cooperative Management • Homeowner Associations

Other Considerations In addition to the issues discussed above, there are some other things all parties should know about. For example, when a homeowner within a master association is selling his/her home, the master association and sub-association likely each need to provide their own resale disclosure packet to the prospective buyer in the sale. In addition, for either business or ethical reasons, the master association and sub-association are not always served by the same management company, lawyers, or other professionals.

Associations, homeowners, and professionals should understand all of these nuances.

CONTACT US

Takeaway When a community is organized into a master association and sub-associations, there are generally two layers of everything: two layers of assessments, two layers of maintenance responsibilities, two layers of enforcement, etc. This type of organization has certain advantages because condominium units should not treated the same as single family detached homes, but it also may be complicated to understand. All parties should carefully review the governing documents and adopted rules and regulations of each association in order to avoid confusion, and to promote efficiency.

301-513-9300 8911 60th Ave. College Park, MD 20740

info@sigmares.com CAI

NAA

NYARM

NARPM JANUARY 2019

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By Mort Farshchi, CMCA, AMS, PCAM Mort has been managing properties in Virginia, DC and Maryland for over 19 years. He is currently managing The Lauren, a luxury condominium in Bethesda, Maryland which includes six MPDU units. Mort recently obtained his PCAM and is active in a managers networking group as well as WMCCAI.

Managing Moderately Priced A

reality in today’s community environment is mixed communities.

Developers especially in the larger urban areas are required to set aside several units at prices and conditions that allow individuals to share in the locations that are being developed. In Maryland the program was established in 1973 and is called the Moderately Priced Dwelling Unit (MPDU) program. DC has a similar program called Affordable Dwelling Units (ADU).

The intent of the programs is to encourage

owners with more modest means to live in newly developed neighborhoods. Typically, these units are priced at a much lower cost than other units in a condominium development. An example is one new building where units are being sold for over $2 million, but MPDU units in the same building cost about $155,000. Additionally, the assessments are also much lower than that of other owners. The residents who purchase MPDU condominiums usually have from full access to limited access to the common amenities.

For governance, MPDU owners have equal or proportional rights depending on how the declaration was created by the developer. This leads to some interesting situations.

In one condominium the ownership was planning and expecting to take control from the developer in a few months. But overnight, the developer transferred 6 MPDU condominiums triggering the 50% ownership transition. The scramble was on to organize the transition.

In terms of day to day operations, the pro-

WELCOME TO OUR

COMMUNITY

JUMP Start JANUARY Start the New Year off right with WMCCAI’s annual kick-off event attended by hundreds of community association industry professionals. Jump Start January is the Chapter’s annual volunteer roundup which features a networking breakfast, followed by a motivational speech and a committee trade show. Current committee members are on hand to answer questions and provide greater insight into how to become more active with the Chapter and make the most of your WMCCAI membership.

WHEN

Thursday, January 17, 2019 8:00 a.m. set up Registration opens 9:00 a.m.

Event Starts at 9:30 a.m. – 12:30 p.m.

HOW

Visit www.caidc.org to register

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WHERE Fairview Park Marriott 3111 Fairview Park Drive Falls Church, VA 22042

WHO

This program will benefit Business Partners, Homeowners, and Managers

Registration Rates EARLY BIRD RATE BEFORE: 12/31/18

REGULAR RATE

Homeowner MEMBER

$65.00

$95.00

NONMEMBER

$120.00

$145.00

MEMBER

$65.00

$95.00

NONMEMBER

$120.00

$145.00

Manager

Business Partner

SPONSORS

Sponsorships are available.

Please contact Carla Cobos Hull at Chull@caidc.org

MEMBER

$90.00

$130.00

NONMEMBER

$120.00

$170.00

7600 Leesburg Pike, Suite 100 West

T: 703.750.3644

E-mail: education@caidc.org

Falls Church, VA 22043

F: 703.941.1740

Web: www.caidc.org

Committed to our communities

Units gram office from the local municipality for MPDUs is supposed to run training for new owners in the program and to be an interface to management. The reality is that these organizations may not take an active involvement leaving the manager to work through covenants violations and other issues. But program offices do become active when they feel there is a violation of their mandate.

From a management point of view, MPDUs are no different than other units in a condominium. They must abide by the same rules as anyone else. The difficulty comes when residents purchase one of the units and may not have lived in a common interest community in the past. Issues like trash removal, storage of material on patios, noise etc. are things that need be addressed and can take a lot of manager’s time. In effect the manager needs to fill the training or information void.

For 30 years, BB&T Association Services has provided solutions specifically designed to meet the needs of property management companies and community associations. You can count on us to be your trusted partner. BBT.com/AssociationServices

Tavarious Butts, VP, Relationship Manager 703-284-0561 • Tavarious.Butts@BBandT.com

Branch Banking and Trust Company is a Member FDIC and an Equal Housing Lender.

Loans are subject to credit approval. Only deposit products are FDIC insured. Š 2018, Branch Banking and Trust Company. All rights reserved.

Dealing with MPDUs is alien in many cases for boards of directors. They see a small percentage of the expenses of the building being paid by these residents, with the bulk coming from regular ownership. This could lead to resentment or an attempted limitation of services. But with another regulatory body involved, there is an added hurdle to any decision making.

For example, raising assessments may be limited for MPDU owners even if the building needs more funds for critical repairs. Managers should certainly be fully conversant with MPDU regulations and know where to turn to for information.

The idea of MPDU programs is a noble idea and just in Montgomery County has produced over 11,000 affordable living units since its inception in 1973. It allows individuals of modest means to live in neighborhoods even as they are developed. But MPDUs put another layer of responsibility on association managers. One that is not out of the ordinary but one that we must prepare for and administer.

JANUARY 2019

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By Jim Wisniewski Jim Wisniewski is the Director of Sales for Northstar Technologies based in Alpharetta, Georgia. Jim has also served as a General Manager of several properties as well as HOA President of several communities across the U.S.

Commercial Condo Management

T

here was an extremely “challenging” game played across the nations television sets aimed at the youth of America back in the 70’s. Its premise was simple – “Which of these doesn’t belong?” Let’s try it here: Coffee, A Dirty Shirt, A WellDressed Professional and A Delicatessen.

If you accurately guessed that they all belong as part of a well-balanced commercial condominium eco-system then you would be either correct and a lucky guesser, or one of the manager professionals who juggle the unique nuances of managing these challenging commercial spaces. To the outsider, it may look effortless, but insiders know it’s any but. It takes a special kind of skillset.

Commercial or mixed-use condominium managers wear many hats every day, and like their residential manager colleagues, each hat is important and cannot be downplayed or overlooked. Providing clear, consistent and frequent communication and having customer service skills that truly put the residents and the commercial tenants at ease are paramount to a superior experience.

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Excellent managers are well aware that long-term commercial tenants are worth their weight in gold as commercial vacancies can sometimes take years to replace. Happy tenants and those that renew their leases are the focus of the management team and everyone does their part to ensure these relationships thrive.

This is most directly achieved by the elimination of tenant dissatisfaction. Making sure that your commercial tenants understand their commitments, their maintenance schedules and having their issues responded to quickly and efficiently will make for a building that is well maintained and at capacity. When you stop to think about it, an ideal tenant is someone that has a fantastic

reputation in the industry that they represent, is financially solvent, and provides a product or service that compliments the needs of the community in which its located.

Once you have secured this tenant for your commercial space, you are motivated to preserve this commitment for the foreseeable future. Less attrition and turnover are better for you as the manager, as well as the other commercial tenants. A building that is full of thriving commercial spaces attracts more business compared to those buildings that are sparsely populated.

Typically speaking, residential property managers do not tend to experience a surprising rash of vacancies in their market, unless there are unusual external factors that might be driving that unexpected occurrence such as a natural disaster. Commercial properties however must guard against the disruption of the “natural” fit of the commercial tenants within their building.

Should this tenant depart which was a major draw for the residents as a whole, the other businesses could see sharp declines in their business and the satisfaction of the tenants could decline as a result as well.

A

HIGHER LEVEL of ATTENTION

to Your Association “My job is to help your board balance keeping down operating costs while maintaining property values and improving quality of life for homeowners. We have a strong community presence, independent advising and full transparency. ” – Katie, Sentry Manager

4401 Ford Avenue, Suite 1150 Alexandria, VA 22302 (703) 642-3246 northernvirginia.sentrymgt.com 602 S. King Street, Suite 400 Leesburg, VA 20175 (540) 751-1888 loudoun.sentrymgt.com

One of the more critical obstacles to a successful commercial or residential building is on-site staffing. In today’s economy, finding qualified employees is a challenge for nearly every business. Many companies are growing as is the economy as a whole, but employers are finding themselves without the ability to find and retain employees. With many of the older generations starting to retire, there are not enough qualified people to do the jobs that are available, which leave longer than usual vacancies in organizations. Increases in wages to remain competitive and the need for quality on-the-jobtraining training programs once those employees are onboarded result in the challenge of managing cost while still delivering excellent service. The contemporary manager of these properties must then understand that by allocating additional resources toward excellent communication systems, qualified and well-trained team members who excel in excellent customer focused service, and maintenance programs that are proactive and not reactionary, is an investment that over time will save money because it will result in higher tenant retention and less turnover.

Successfully navigating the intricacies of managing a commercial condominium is an incredibly rewarding experience. No one day is like the other and there is never a dull moment. Having a great mix of tenants, anticipating your tenants needs and meeting them and creating an economically sound enterprise is the result of truly professional management.

JANUARY 2019

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How much does the Association need to borrow?

By Noni Roan, CMCA Noni is Vice President, Regional Account Executive, and is responsible for business development of Association Banking products and services in VA, MD and DC. Prior to joining The Community Association Banking Division of Mutual of Omaha Bank, Noni worked as portfolio manager for 12 years for a management company in Maryland and has her CMCA certification. She is a member of the Education Committee for both the Chesapeake and Washington, DC chapters of CAI, and the co-chair of the Membership Committee for CAI Washington DC. Noni graduated from Towson University, Towson, Maryland with a B.S. degree Business Administration.

LOOKING AHEAD

by Checking the Rear View Mirror First

I

t is almost impossible to look ahead and plan a New Year without first looking back.

What worked? What didn’t? What things were left unaccomplished? Where could more attention have been put? These questions and reflections can help set the focus for the New Year with the associations that you manage.

Is there a capital expenditure looming? Are the Association’s reserves well-funded? Do you have a plan for the unexpected? Does the Association have a “want” list for their community?

Not all four lettered words are bad. Now it’s time to welcome the word LOAN into your vocabulary.

Here are some checkpoints to help you navigate your way around a Community Association Loan.

What does the Association need to repair or replace? What beautification and improvements have they been talking about?

• Engage the board early and get their thoughts on the subject. Plan a work session with the board and your Banking Professional to get questions answered before going to the homeowners.

• Ensure the board is well educated on the loan process, informed on the loan requirements and has had time to do their

due diligence. This will help when it comes time to educate the homeowners on a Community Association Loan.

• Many board members do not know Community Association Loans exist. If they do, most have preconceived notions on how this kind of loan works (HINT: NOT LIKE A HOME MORTAGE!). Be sure to work with an industry expert for an HOA loan.

How do the financials look for the Association?

• How much money does the Association have? Are they breaking even right now without a loan? If so, what is the plan for repayment of that loan? A raise in regular assessments or special assessments may be necessary to cover that new expense. Being prepared for this will help when discussing loan information with the board members and homeowners as a vote may be required for any of these options.

• What is the delinquency rate of the Association? Check with your Banking Professional to see what the delinquency rate requirements are when getting a Community Association Loan. Assessments are income for the Association, which will ultimately be used to pay back the loan. If delinquency is an issue, it may prohibit the Association from getting a loan at that time. Knowing this can help you formulate a plan to get the Association back on track as you look ahead to the financing needs of upcoming projects.

• Are you guessing at how much the needs and wants of the Association are based on the project? Get bids on the full project scope and let an expert in this area provide you with an estimate.

• Does the quote include line items for contingency, scaffolding, and tree removal and replanting if needed? Cover all bases and make sure the amount of the loan will cover all necessary costs associated with the upcoming project.

How does a LOAN benefit an Association?

• Keep cash in the bank! Keep your reserve level for FHA approval and unexpected repairs.

• A loan benefits those residents who may not have the ability to produce their portion of a large special assessment upfront.

• Get the work done all at once. A loan allows projects to be done in their entirety and not in phases. This helps keep labor and material costs from rising and avoids contractors needing to be onsite for extended periods of time.

• Curb appeal for prospective buyers. In this market, housing demands are high.

Well maintained and well-funded communities will have a better opportunity to compete than those communities that are not.

• A Community Association Loan is made to the Association as a corporation. This means no homeowner guarantors, and no individual homeowner liens!

A Community Association Loan can allow the Association to keep their money in the bank, complete a project from start to finish, and allow options for homeowners who may not have the immediate means to fund their portion of a special assessment. As you work your way into the New Year and are looking ahead to all that 2018 has to offer for your communities, keep in mind how a LOAN could help your Associations accomplish some of their common interest resolutions when it comes to maintaining their community.

The views and opinions expressed in this article are those of the author and do not necessarily reflect the views of Mutual of Omaha Bank.

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CUL-DE-SAC

By Kara Permisohn Kara has worked in business development for Minkoff Company, Inc. since 2004. She is a past president of the Chesapeake Region Chapter of CAI (CRCCAI), has served on both WMCCAI and CRCCAI Boards of Directors, and is active on committees in both chapters.

WHAT’S IT LIKE TO LIVE IN A

A

s a member of CAI I’ve worn many hats. I am a business partner, homeowner, and was a board member to name a few. I owned a garden style condominium for fifteen years. Before I knew it I was serving on our community’s board of directors. My sentence, oops…I mean stretch, lasted for eight years. In all of that time our president never seemed to grasp the difference between the working budget and reserves. I encouraged them to join CAI and they shot me down faster than the Road Runner could chase Wile E. Coyote!

Eventually, I was set on buying a house with a yard for my dog Dewey. Besides I wanted to try my hand at gardening. My parents had their concerns such as was I ready to take care of a roof, mow a yard, clean the gutters, and deal with many other issues that come with owning a house? I was craving this new opportunity to make all of my own decisions! My dad kept reminding me how valuable the condo association was because all of those things were taken care of without

Non-HOA Community?

question. The listing for my house popped up and my realtor and I went to take a look.

He was quick to point out that the neighborhood had a “civic association.” This was a new term for me because it hadn’t really been discussed at CAI. Condo associations and homeowner associations are every day lingo. I wondered what is a civic association.

For $10.00 a year I could be a member. Wow! A civic association is defined as a type of organization whose goal is to improve neighborhoods through volunteer work by its members. They have activities to make the community cleaner and more social. AKA… neighbors have the freedom to do whatever, whenever they want to their homes.

I soon learned the differences between civic, condo, and homeowner’s associations. I come from a point of view that all of these community styles have their benefits and downfalls. My new neighbors were so social! One neighbor even brought a plate of brownies to welcome me. At my condo I

could go months without seeing the girl who lived attached to me. I was so excited to be living in a “real neighborhood” with a sense of belonging. Kids ride their bikes and the parents don’t hover like helicopters because they know that neighbors up the block will keep an eye out for each other.

Occasionally when walking Dewey my eyes can’t believe what they see. There is always a house or two that look abandoned because the grass is at least twelve inches high. This would never fly if I lived in a condo or HOA. Then there are the neighbors who feel the need to see how many gnomes, flamingos, and woodland creatures they can fit in their yards. These same yards often have a multitude of Christmas lights that blink all year.

We weren’t even supposed to have a wreath on our door at the condo. Don’t these people have any sense of taste? My neighbors across the street are feuding. One brother painted the shutters, trim, rails along the driveway, and fences the color of blue painters tape simply to piss the other brother off.

Although I chuckle it definitely gave me a greater appreciation for the architectural requests and parameters that were set at my condo and most HOA’s.

While the controls and consistencies in place with condo and homeowner associations serve their purpose, I couldn’t be more pleased in my quirky little neighborhood. Last winter I knew I had made the right decision when holiday carolers stopped at my house and even sang “I have a little dreidel,” because they knew I’m Jewish. The type of association you live in is your preference. Ultimately, as long as you’re able to live a happy life isn’t that what really matters?

JANUARY 2019

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Directory and Classifieds AMUSEMENT & PARTY RENTALS

Fantasy World Entertainment 124 Jibsail Drive T: (800) 757-6332 Prince Frederick, MD 20678 www.fwworld.com Brooks Grady brooks@fwworld.com

HEATING, VENTILATING, AIR CONDITIONING

MANAGEMENT SERVICES (CONT’D)

Advanced Building Services, Inc. 23475 Rock Haven Way #135 T: (703) 661-4280 Sterling, VA 20166-4444 www.advanced-building.com Deborah Ammann dammann@absi1.com

Comsource Management, Inc. AAMC www.comsource.com 3414 Morningwood Drive T: (301) 924-7355 Olney, Maryland 20832 F: (301) 924-7340 Gary M. Simon, cmca, ams, pcam gsimon@comsource.com

JANITORIAL ASPHALT PAVING/MAINTENANCE/REPAIR

Brothers Paving & Concrete Corporation 9469 Hawkins Dr T: (703) 393-1927 Manassas, VA 20109 F: (703) 393-1928 Paul Battista info@brotherspaving.com Espina Paving, Inc. Asphalt/Concrete 15441 Farm Creek Drive T: (703) 491-9100 Woodbridge, VA 2191 F: (703) 491-9101 Serving: MD, DC, VA info@espinapaving.com

Caldwell & Gregory, Inc. Your Commercial Laundry Professionals 129 Broad Street Road T: (804) 784-6100 Manakin-Sabot, VA 23103 F: (804) 784-7418 Clean Advantage Corporation 4000 Pen Belt Place T: (800) 315-3264 District Heights, MD 20747 F: (301) 595-3331 www.cleanadv.com info@cleanadv.com MANAGEMENT SERVICES

ATTORNEY

COWIE & MOTT, P.A. T: (202) 670-6289 2310 Boston Street www.cowiemott.com Baltimore, MD 21224 Nicholas D. Cowie ndcowie@cowiemott.com Thomas Schild Law Group, LLC www.schildlaw.com 401 North Washington Street, Suite #500 T: (301)251-1414 Rockville, MD 20850 Thomas, C. Schild, CCAL tschild@schildlaw.com Scott J. Silverman ssilverman@schildlaw.com BANKING AND FINANCIAL SERVICES

BB&T Association Services www.bbt.com Let us save you time and money with our lockbox processing, ACH, coupon book, statement printing and transmission services.

Tavarious Butts T: (703) 284-0561 Tavarious.Butts@BBandT.com WINTRUST Community Advantage T: (734) 276-3330 Metro DC www.communityadvantage.com Kim Myles kmyles@communityadvantage.com A leading provider of financial services to condominium, townhome, and homeowner associations.

ENGINEERS

The Falcon Group www.falconengineering.com 7361 Calhoun Place, Suite 325 Rockville, MD 20855 T: (240) 328-1095 Stew Willis info@falconengineering.com

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Associa Community Management Corporation, AAMC 4840 Westfields Blvd, Suite 300 T: (703) 631-7200 Chantilly, VA 20151 www.cmc-management.com John Tsitos, CMCA, AMS, PCAM jstitos@cmc-management.com Barkan Management Company, Inc 8229 Boon Blvd., Suite 760 Tyson Corner, VA 22182 Michael Feltenberger, cmca, ams, pcam Capitol Management Corporation 12011 Lee-Jackson Highway, Suite 350 Fairfax, VA 22033 L. Peyton Harris Jr., cmca, cpm lph@capitolmanagementcorp.net

T: (703) 388-1005 F: (703) 388-1006

T: (703) 934-5200 F: (703) 934-8808

Cardinal Management Group 4330 Prince William Parkway, Suite 201 T: (703) 569-5797 Woodbridge, VA 22192 www.cardinalmanagementgroup.com cardinal@cardinalmanagementgroup.com Thomas A. Mazzei, cmca, ams, pcam CFM Management Services, AAMC 5250 Cherokee Ave, Suite 100 T: (703) 941-0818 Alexandria, VA 22314 F: (703) 941-0816 Christiaan Melson, ams, pcam c­­­­­­­­melson@cfmanagement.com CAMP, AAMC (Community Association Management Professionals) www.gocampmgmt.com T: (703) 821-CAMP 4114 Legato Road, Suite 200 Fairfax, VA 22033 hgraham@gocampmgmt.com 209 West Street, Suite 302 Annapolis, MD 21401 sblackburn@gocampmgmt.com

FirstService Residential DC Metro LLC, AAMC 11351 Random Hills Road, Suite 500 T: (703) 385-1133 Fairfax, VA 22020 Robert Teeling robert.teeling@fsresidential.com KPA Management, AAMC www.kpamgmt.com 6402 Arlington Blvd., Suite 700 T: (703) 532-5005 Falls Church, VA 22042 F: (703) 532-5098 Offering personalized service Ed Alrutz, cpm, cmca, pcam ealrutz@kpamgmt.com Legum & Norman Inc. AAMC 3130 Fairview Park Drive Ste 200 T: (703) 600-6000 Falls Church, VA 22042 www.legumnorman.com Marc B. McCoy, CMCA, AMS MMcCoy@legumnorman.com Sentry Management www.sentrymgt.com 4401 Ford Avenue, Suite 1150 T: (703) 642-3246 Alexandria, VA 22302 602 South King Street, Suite 400 T: (540) 751-1888 Leesburg, VA 20175 Dave Ciccarelli, ams, pcam dciccarelli@sentrymgt.com SIGMA Real Estate Services 8911 60th Avenue T: (301) 513-9300 College Park, MD 20740 www.sigmares.com Constantin Anagnostopoulos, President info@sigmares.com PAINTING SERVICES AND RETAILERS

Capital Painting Co. www.capitalpainting.net 5520 Oakwood Road T: (703) 313-0013 Alexandria, VA 22310 F: (703) 922-1826 George Tsentas george@capitalpainting.net Ploutis Painting & Contracting Co., Inc. T: (703) 360-0205 8365 Richmond Hwy F: (703) 360-5439 Alexandria, VA 22309 info@ploutiscontracting.com Stella Ploutis www.ploutiscontracting.com Reston Painting & Contracting 619 Carlisle Drive Herndon, VA 20170 David Hamilton

T: (703) 904-1702 F: (703) 904-0248 dave@restonpaint.com

­­INDEX TO ADVERTISERS A Advanced Building Services, Inc. ...................................................................................................20 Associa-Community Management Corporation, AAMC..............................................................10, 24 B Barkan Management, LLC, AAMC..................................................................................................22 BB&T Association Services.............................................................................................................31 Brothers Paving & Concrete..............................................................................................................4 C Caldwell & Gregory, Inc. .................................................................................................................18 RESERVE STUDIES

Capital Painting Co.........................................................................................................................23 Cardinal Management Group, Inc...................................................................................................19

Reserve Advisors 4600 North Fairfax Drive, Suite 404 T: (844) 701-9884 Arlington, VA 22203 www.reserveadvisors.com Michelle Baldry mbaldry@reserveadvisors.com RESTORATION SERVICES

Titan Restoration Co Warrenton, VA T: (540) 349-1503 www.titanrestoration.com F: (540) 349-1512 Anita Puckett apuckett@titanrestoration.com

Clean Advantage Corporation T/A Condominium Cleaning Service..................................................40 COWIE & MOTT, P.A.......................................................................................................................23 D DoodyCalls.....................................................................................................................................33 F Fantasy World, Inc. dba Fantasy World Entertainment ....................................................................12

ROOFING

The Falcon Group.............................................................................................................................7

TWC Services, LLC PO Box 150277 T: (703) 971-6016 Alexandria, VA 22315 www.twcser.com Linda Walker info@twcserv.com

FirstService Residential DC Metro, LLC, AAMC................................................................................38 M McMillan Metro, P.C.......................................................................................................................14

WINDOWS & DOORS

Windows Plus, LLC & Allied The Window Center, LLC 4321 Markham Street T: (703) 256-0600 Annandale, VA 22003 F: (703) 942-6987 Kimberly Wayland kknight@windowspls.com

Mutual of Omaha Bank@Community Association Banking & CondoCerts.......................................29 P Ploutis Painting & Contracting Co., Inc............................................................................................39 R Reserve Advisors, Inc.....................................................................................................................15 Reston Painting Company................................................................................................................2 S Segan, Mason & Mason, PC ..........................................................................................................26 Sentry Management, Inc.................................................................................................................33 SIGMA Real Estate Services............................................................................................................29 T TWC Services, LLC..........................................................................................................................31 W Windows Plus, LLC & Allied The Window Center, LLC .....................................................................26 WINTRUST Community Advantage Bank.......................................................................................14

JANUARY 2019

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Making a Difference. Every Day.

Exceptional Service is Our Mission.

As the leader in property management in the greater Washington DC area, we know what it takes to create great communities that residents are proud to call home. We start by putting the right teams in place – local property experts who deliver our best-in-class solutions, along with genuinely helpful service, to enhance the property values and lifestyle of those we serve.

That’s how we make a difference, every day, for great communities like yours… · High-Rise and Mid-Rise Buildings · Condominium & Homeowners Associations · Lifestyle, Large Scale & Active Adult Communities

11351 Random Hills Road, Fairfax, VA 22030 923 Maple Grove Drive, Suite 201, Fredericksburg, VA 22407 703.385.1133 | www.fsresidential.com

Proudly serving Washington DC area communities for over 35 years

I A C C M 2019 W p i h s r a l o h Sc Program L CALLING AL L HIGH SCHOO SENIORS

l t is open to al Essay Contes AI CC M W AI e Th in the WMCC seniors with n high-school te Washingto ia (the immed ity service area un comm ing within a metro area) liv wners eo m ho , orhood n, (i.e., a neighb m associatio condominiu association, . e association) or cooperativ t ard of at leas grant one aw WMCCAI will l essay. e best overal $1,000 for th

Sponsors

ship Contest e 2019 Scholar ch 31, 2019 ation about th rm fo in Deadline: Mar l na ditio idc.org for ad g Visit www.ca ach@caidc.or st

100 We rg Pike, Suite 7600 Leesbu 22043 VA h, urc Ch Falls 41.1740 44 F: 703.9 T: 703.750.36

E-mail: outre

aidc.org

Web: www.c

Sponsorships hip Contest $250 Scholars t Liz Schell at Please contac n. still available! e informatio or m r fo rg c.o eschell@caid

JANUARY 2019

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CHAPTER BENEFACTORS C

WMCCAI 7600 Leesburg Pike Suite 100 West Falls Church, VA 22043 www.caidc.org (703) 750-3644

PRESORT STANDARD US POSTAGE PAID ALEXANDRIA, VA # 5659

OUR MISSION To optimize the operations of Community Associations and foster value for our business partners.

Annual Janitorial Agreements Temporary Staffing Solid Waste and Recycling Services Garage Clean Up • Pressure Washing • Bulk Trash Removal Storage Room Cleaning • Stripping and Waxing Floors Trash Chute Cleaning • Graffiti Removal Carpet Cleaning • Roll off Services Hoarder Unit Clean out Construction Clean up Fire Watch Services

Serving MD, DC and VA T: (800) 315-3264 F: (301) 595-3331 www.cleanadv.com info@cleanadv.com