NORTH SHORE AT SHERWOOD HOMEOWNERSASSOCIATION
ELECTION RULES
In
California, most homeowner association elections must be conducted by secret
ballot according to regulations established by the legislature. The following
Election Rules are adopted as required by Section 5105(a) of the Civil Code in
order to describe the manner in which each such election must be conducted.
1. Elections Subject to these Rules
The
following rules must be followed in any election listed in Section 5100(a) of
the Civil Code, including without limitation elections (a) regarding
assessments which require a vote of the owners, (b) to select directors to
serve on the Board, (c) to remove directors from the Board, (d) to amend or
restate the Governing Documents, or (e) to grant exclusive use of all or a
portion of the common areas as described in Section 4600 of the Civil
Code. All other elections, if any, shall
either follow these rules or the requirements of the California Nonprofit
Corporations Code at the direction of the Board.
2. Manner of Casting Votes
Except
for the meeting to count votes as described in Section 9 below, any election may
be conducted entirely by mail, except for elections to select directors which
shall be done at the Annual Meeting or other meeting of the Members. All voting
under these Rules shall be conducted by secret ballot only. There shall be no
proxies allowed in any election unless required in the Bylaws. Nominations from
the floor shall not be permitted in any election to select directors. Anyone
with a general power of attorney may vote for a Member.
3. Secret
Ballot and Voting Procedures.
(a) The
Association shall create and maintain a “Voter List” which must contain the
name, voting power, physical address or parcel number (or both), and the
mailing address of each Member. Members have a right to verify their
information on the Voter List at least 30 days before ballots are distributed.
Any misinformation on the list shall be reported by the Member and corrected
within two (2) business days.
(b) General
notice as defined in Section 4045 of the Civil Code must be given to each
member at least 30 days before ballots are distributed of the following:
(i) The
date, time and physical address for the owner to return his or her ballot; and
(ii) The date time and location of the
meeting to count ballots.
(c) At least
30 days prior to the deadline to return ballots, the inspector of elections shall
deliver to each Member by individual delivery as defined in Section 4040 of the
Civil Code the ballot, voting instructions and a copy of these Election Rules;
provided, however, if the Ballot so indicates, in lieu of distributing the
Election Rules with the Ballot the Association may post a copy of the Election
Rules on the Association’s website, if any.
(d) In any
election that is subject to these Rules, two pre-addressed envelopes with
instructions on how to complete and return the ballots must be sent by first
class mail or delivered as otherwise permitted in Section 4040 of the Civil
Code, to each Member, not less than thirty (30) days prior to the deadline for
voting.
(e) Ballots
circulated to each Member shall identify the proposed action and provide an
opportunity to specify approval or disapproval.
If the voting is conducted through the mail, it must specify the date
upon which the ballot must be returned to the inspector of elections. The
voting instructions accompanying the ballots shall reflect a date by which the
ballots must be delivered to the location designated.
(f) The
sealed ballots at all times shall be in the custody of the inspector of
elections or at a location designated by the inspector until after tabulation
of the vote, at which time custody can then be transferred to the Association.
After tabulation, ballots shall be stored by the Association in a secure place
for not less than one (1) year after the date of the election.
(g) The board
may extend the balloting period if by the original deadline fewer than all of
the Owners have voted. Notice of the new due date shall be given in writing to
all Members by General Notice as provided in Section 4045 of the Civil Code.
(h) The
Association may not deny a ballot to a Member for any reason and must give
a ballot to a person who holds a general power of attorney for a Member. Once a Member returns his or her ballot,
however, it is irrevocable. The ballot may not be retrieved and the Member may
not cancel his or her first ballot and vote again.
(i) If, upon reviewing a ballot timely
submitted, the Inspector of Elections cannot clearly ascertain from the face of
the ballot how the Member intended to vote, the Inspector may contact the
Member, if he or she is identifiable, to seek clarification or correction of
the ballot; provided, however, if any one Member is contacted for this purpose
then all Members whose ballots were not counted for this reason must be
contacted.
(j) The sealed ballots, signed voter envelopes,
Voter List, and Candidate Registration List must be kept and remain in the
custody of the inspector of elections or at a designated location until after
the votes are counted. These materials will be treated as “Association Records”
under Section 5200(a) of the Civil Code that are subject to inspection by an
owner.
4. Special
Rules for Electing Directors
In addition to the secret ballot and
voting procedures described in Section 3 above, the following additional rules
will apply in elections to choose directors.
(a) Elections
must be held at the end of each director's expiring term, and not less than
every four years.
(b) Management
shall create and maintain as a permanent record of the Association a “Candidate
Registration List.”
(c) Members have
a right to verify their information on the Candidate Registration List at least
30 days before ballots are distributed. Any misinformation on the list shall be
reported by the Member and corrected within two (2) business days.
(d) General
notice (or individual notice if requested), as defined in Section 4045 of the
Civil Code, must be given to each Member at least 30 days before the nomination
deadline of the procedure and deadline for submitting a nomination for anyone who
is qualified and wants to run for the board.
This notice must go out at least 95 days before the date of the election
so that nominations are closed at least 65 days before the date of the
election.
(e) If, by
the deadline specified for nominations to be submitted, the election is
uncontested in that the number of qualified, declared candidates does not
exceed the number of positions to be filled, all such candidates will be deemed
elected by acclamation, the Members will be so notified, and it will be
unnecessary to conduct the actual election. It shall be noted in the minutes of
the Annual Meeting that the candidates were elected by acclamation.
(f) General
notice (or individual notice if requested), as defined in Section 4045 of the
Civil Code, must be given to each member at least 30 days before ballots are
distributed of the following:
(i) The
date, time and physical address for the owner to return his or her
ballot;
(ii) The date time and location of the
meeting to count ballots;
(iii) A list of candidates’ names that will
appear on the ballot.
(g) The
Association
must, on request of any candidate for election to the Board and the payment by
that person of postage and other reasonable costs, if any, mail materials
prepared by the candidate to all Members (in a single mailing only). The materials must be reasonably related to
the candidate’s election and mailed within ten (10) days after the request has
been made and payment of the mailing costs has been received. Alternatively, the Association may, within
five (5) business days after receipt of a request, permit the candidate to inspect
and copy the Voter List so the candidate may do his or her own mailing.
5. Qualifications For Directors
(a) Only
persons who are Members at the time of nomination shall be permitted to run for
or serve on the Board.
(b) No Member
may be a candidate for election to the Board if, at the time of his or her
nomination and on the date of the election (i) he or she is not current in the
payment of all Regular and Special Assessments owed to the Association
(provided, however, if the Assessments have been paid under protest, paid pursuant
to an agreed-payment plan, or the person has not been provided the opportunity
to engage in internal dispute resolution with the Association, the person may
run for the board), (ii) a Co-Owner of
his or her Unit would be serving on the board at the same time, (iii) the
nominee has a past criminal conviction that would, if elected, prevent the
association from purchasing a required fidelity bond or would result in termination
of an existing bond, or (iv) he or she has been a Member for less than one year
on the date nominations are due.
(c) Once
elected, a Board Member shall be deemed automatically disqualified from
continuing to serve if any of the factors listed in subdivision (b) above
arises or becomes known, or if the director becomes ineligible by virtue of the
provisions of the Bylaws.
(d) Owners
that are entities rather than individuals may appoint a natural person for
nomination or service as a director. Unless it is deemed contrary to law, that
person shall be the president, manager, trustee, or general partner of the
entity.
6. Nomination
of Candidates
Any Member may run for the Board
unless disqualified under Rule 5 above. A Member wishing to be a candidate must
submit his or her name, or have another Member do so on his or her behalf,
along with a brief optional candidate statement not longer than one (1) page in
length, so they are received by the Association not later than 65 days before
the date of the election (“Nominations Deadline”). Any person whose nomination
is not received by the Nominations Deadline for any reason will not be a
candidate in that election. If there are an insufficient number of qualified,
declared candidates by the deadline, the new Board, after the election, will
fill the vacancies by appointment.
7. Voting Rights and Record Date
Each Member shall have those voting rights
that are specified in the Bylaws and Declaration. The “record date” for Members
to vote in any election shall be the date on which the ballots are mailed to
the Members.
8. Inspector(s) of Election
The Board shall appoint one or three
inspector(s) of elections who shall be independent, impartial third parties. The
appointment shall be made at an open meeting of the Board. The inspector(s) may
appoint and oversee independent third parties to verify signatures and to count
and tabulate votes. No inspector shall be someone who is employed by or under a
contract with the Association for any compensable services. The inspector(s) of
election shall perform those duties prescribed in Section 5110(c) of the Civil
Code, including:
(a) Receive
Ballots
(b) Count
and tabulate the votes
(c) Determine
the number of Members entitled to vote and the voting power of each
(d) Determine
the authenticity, validity, and effect of ballots
(e) Hear
and determine all challenges and questions arising out of the right to vote
(f) Determine
when the polls close consistent with the Governing Documents
(g) Determine
the tabulated results of the election
(h) Perform
any other acts in order to conduct the election with fairness and in a manner
consistent with California law and the Governing Documents
9. Counting
Votes and Reporting Election Results
(a) All votes
shall be counted by the inspector(s) of elections or by independent third parties
appointed and supervised by the inspector(s), in public at a properly noticed
open meeting of the Board or Members. Any Member, including the candidates, may
witness the counting and tabulation of the votes. No person, including the
inspector, shall open or otherwise review any ballot prior to the time and
place at which the ballots are counted and tabulated.
(b) The
results of any election shall be promptly reported to the board of directors
and shall be recorded in the minutes of the next open board meeting. Within
fifteen (15) days of the election, the Board shall publicize the tabulated results
of the election in a communication directed to all Members.
10. Retention
of Election Records
The
ballots, envelopes, voter list, and candidate registration list shall at all
times be in the custody of the inspector(s) or at a location designated by the
inspector(s) until after tabulation of the vote and until the time allowed by
Section 5145 of the Civil Code for challenging the election has expired, at
which point the records shall be transferred by the inspector(s) to the
Association. If there is a recount or other challenge to the election, the
inspector(s) shall, upon written request, make the ballots available for
inspection and review by an Association member or that member’s authorized
representative. Any recount shall be
conducted in a manner that preserves the confidentiality of the vote.
11. Equal
Access to Association Media
If
any candidate or Member advocating a point of view is provided access to
Association media, newsletters, or internet website during a campaign, for
purposes that are reasonably related to that election, equal access shall be
provided to all Members and candidates advocating a point of view, for purposes
reasonably related to the election. The Association shall not edit or redact
any content from these communications but may include a statement specifying
the candidate or Member, and not the Association, is responsible for that
content.
12. Access
to Meeting Space And Use of Association
Funds.
(a) TheAssociation shall ensure access
to common area meeting space, at no cost, to all candidates and to all persons
advocating a position for purposes reasonably related to an election.
(b) Association
funds shall not be used for campaign purposes in connection with any
Association election, except to the extent necessary to comply with the duties
of the Association imposed by law or the Governing Documents. The foregoing is
not intended to prevent the Association from providing relevant background
information or a fair and balanced summary of election measures to provide
context.
13. Amendment
of Election Rules
These
Election Rules may be amended from time to time in the manner prescribed in
Section 4340, et seq. of the Civil Code, but they may not be amended within 90
days of any election.