IREM - CPM
Describe the structure of Boards that you have seen in the space below.
Answers will vary.
Describe some of the conditions that may require amending the governing documents.
Changes in state law, Board requirements, Assessments, Owner enhancements to the property not explicitly defined in the governing documents, etc
What is the advantage of going to small claims court to resolve delinquencies?
For the Board of Directors, having a management agreement that includes the ability of Managing Agents appearing on behalf of the Board in small claims court reduces the amount of time for Board volunteers to spend in court. It is critical to be sure you, as managing agent, may appear for the board. Some jurisdictions state that only an attorney may represent another in court.
What are insurance requirements when working with contractors?
If independent contractors are hired to work at the property, having an indemnification (hold harmless) clause in the contract is essential. The contractor should also be bonded as a guarantee of performance (surety) and provide a certificate of insurance that lists the coverage carried and shows the property owner and the management company as additional named insured parties.
Why does case law have an impact on CID management?
Specific judgments of state appellate courts are a potential resource for Managing Agents to anticipate liability in the rules and regulations of the common interest development.
What actions can be taken to increase staff safety?
- Always close doors all the way and use deadbolts. - Never let a stranger into the building. - Cancel all deliveries when you are going to be away. - Use timers to turn lights on and off when you are not at home. - Leave the radio on when you are gone for an extended p
How can annual meetings be used to foster a sense of community?
- Consider inviting a guest speaker - Provide time for "Questions and Answers" - final item on agenda - approximately 15 - 20 minutes usually sufficient - Focus on creating a "community celebration"
What documents may be legally required for disclosure of sales and refinancing?
- Emergency equipment, utility controls and shutoffs, accurate inspection records,comprehensive resident files, and first aid and related information - Directions for the management staff and the Emergency Management Team to follow for each possible emergency (e.g., roles and responsibilities, chain of command, restoration process) - Directions for residents (e.g., how they will be notified of an emergency, how to identify Emergency Management Team members)
List the main areas of legal control for a CID:
- Federal law, including tax and payroll laws - State law, including articles of incorporation (where applicable) - Local statues - Lender requirements (mortgage and other loan requirements) - Legal documents that contract the members of the CID to the corporation, also called the "governing documents"
Under what circumstances can an insurance policy be cancelled?
- Nonpayment of premiums - Hazards found during inspection (e.g., flammable materials, toxic wastes) - Deterioration of the insurer's risk, either physical or moral (e.g., change of use or occupancy) - Misrepresentation prior to the issuance of the policy - Filing many small claims or one large claim - Environmental risks such as proximity to brush fire conditions in Western states, and hurricanes in the Gulf and Atlantic states
List components of an effective owner education program.
- Offer programs that involve professional speakers (police officers or representatives of community groups). - The owner newsletter can supplement such presentations by including information about safety programs. - The owners may be encouraged to get involved with community watch programs and cooperate with local authorities to help make the CID and the neighborhood safer. - Make available materials produced by agencies and authorities within a municipality. For example, local fire departments usually have booklets designed specifically for apartment residents. Such information should be reviewed with new residents during their orientation.
List some various types of state requirements in regards to the members' access to CID records
- Some jurisdictions have statutes that govern the limits of owners' access to records of the association. - In some states, these statutes may provide for owners' access to accounting and bookkeeping records of the association within a certain time frame.
What are advantages and disadvantages of using courtesy patrols?
-Advantages - Many states require that those who work as courtesy patrols complete a certain level of training, hold a license, and carry special insurance. - The contracted service usually employs trained personnel and provides its own insurance for liability. - The contractor also arranges for replacement personnel if an employee becomes ill or leaves the job. - The contracted service partially mitigates the property's liability. Disadvantages - Contracted services can be more expensive than using in-house personnel. - The management company has less direct control over the quality of the personnel and their scheduling. The courtesy patrol contract should stipulate certain standards, such as experience and training. - Contracted personnel will be less familiar with the property, although that can be remedied by providing orientation information to the contractor,incorporating scheduling and personnel selection criteria into the contract, and requiring regular assignment of the same people. - Management must monitor the courtesy patrol service, and it may have to experiment with different companies to obtain the service desired.
A 20-unit condo building on the outskirts of St. Paul, Minn., has weathered a particularly long cold spell. Once the temperature moderates, there is a water-line break on the ground floor near an outside wall. The water line break has occurred between two units. The only insurance required by the CC&Rs is a "bare walls" policy, covering the unfinished ceiling, unfinished floor, and unfinished walls. Unfortunately there is water damage to the both the neighboring unit owners' furniture and kitchen cabinets. In one unit a wallpapered wall is damaged. 1. Under the "bare walls" policy of this association what would the association be responsible for? 2. What is the owners' responsibility? 3. Who handles mold remediation if necessary?
1. Answers will vary depending on the circumstances of the insurance coverage and definitions in the governing documents. 2. Answers will vary depending on the circumstances of the insurance coverage and definitions in the governing documents. 3. Answers will vary depending on the circumstances of the insurance coverage and definitions in the governing documents.
Develop a practice agenda
1. Call to order 2. Roll Call 3. Establish a quorum 4. Approve the minutes 5. Discuss Annual Meeting in 3 months 6. Hear the complain about the unleashed dog from dog owner and decide if a resolution needs to be passed (example) 7. Form committee for new pest control contract RFP? (example) 8. Form committee to research pool refinishing? (example) 9. Hear from Landscape committee on recommendations for new trees on path(example) 10. Adjourn
Determine whether each interview question below is legal. Circle any question you think should NOT be asked in an interview. 1. What year were you born? 2. How do you intend to get to work? 3. What were your reasons for leaving your last job? 4. This job requires the ability to lift 30 lbs. Are you able to perform that job function? 5. Can you work evenings and weekends? 6. Have you ever been arrested? 7. What clubs or church do you belong to? 8. Is your last name Spanish or Italian? 9. How would your last boss rate your performance? 10. What was your salary at your last job? 11. Are you planning to have more children? 12. How would you describe the amount of supervision you had at your last job? 13. Tell me about a time when you had to deal with an irate board member. How did you deal with the situation? 14. Are you seeing a doctor right now for any problems? 15. What is your reason for applying for this job?
1. NO, age cannot be asked in most cases 2. NO, this is not relevant 3. YES, employers can probe for reasons someone left a former employer 4. YES, employers can ask candidates if they can carry out the job responsibilities that would be required of them 5. YES, employers can ask the candidate's ability to work certain shifts and hours 6. NO, only convictions that pertain to the job can be asked about 7. NO, religion cannot be used in selection 8. NO, last name would identify ethnic group,which cannot be used in selection 9. YES, employers can ask about a candidate's job performance 10. YES, employers can ask what a candidate's last salary was 11. NO, employers cannot ask questions on intention to have children 12. YES,employers can ask questions about candidate's work relationship with supervisors 13. YES, employers can ask questions about prior work experience or skills 14. NO, only questions about a candidate's physical ability to perform a specific job duty can be asked 15. YES, employers can ask this question
What qualities does a SMART goal have?
A SMART goal is: Specific, Measurable, Agreed upon, Realistic, and Time based.
What is a BFOQ?
A bona fide occupational qualification is a characteristic that must be present in all employees for a particular job. For example, a film director is permitted to consider only females for the part of an actress. In this case, being female is a BFOQ.
What is the common equation used to understand employee performance?
A common equation used to understand employee performance is: Ability x Motivation = Performance
What is a job analysis?
A job analysis is the systematic gathering of information about a job to identify all job responsibilities. These essential job functions will then determine the knowledge, skills, and abilities (KSAs) the jobholder needs in order to perform the job.
What does the master deed, proprietary lease, occupancy agreement issued by a cooperative corporation provide for?
A master deed, proprietary lease, occupancy agreement may provide for the stockholder of the cooperative to use a defined area of the common real estate holding.
What is a RJP?
A realistic job preview is part of the entire selection process and provides the candidate with honest and complete information about the position and work environment. The purpose of the RJP is to give applicants as much information as possible so that they can make informed decisions about their suitability for the job. This means that both favorable and unfavorable information should be shared.
List the specific risks in this scenario.
Answers may include: It is not a good policy for any representative of the CID to boast "We've never had a crime here, and we never will." This could be construed as advertising security. Any problems arising with regard to security could lead to charges of false advertising and breach of promise. Posted schedule of checkpoints. This is another vulnerable area. To the extent the schedule is adhered to, anyone could determine a time and place to commit a crime on the premises when the doorman would not be present. Discontinuance of doorman service. Discontinuing such an established service would be considered a mistake. Once you offer a service to residents, they come to believe that their rent naturally includes it. Also, a buzzer system alone is not very modern.
Identify practices that might help reduce the association's exposure to risk.
Answers may include: - A phone system and camera surveillance would offer more security in the absence of a doorman. - All security schedules should be kept in a locked cabinet, out of sight of visitors. Only the manager and head of security should have access to the schedule.
The Shangri-La is a 200 unit, detached home, planned unit development with attractive yards and large above-median priced homes. The expansive common areas include a par-3 and -4 golf course, water park, and game room. What type of management would best serve this community? List the pros and cons of outside management for this type of community.
Answers will vary.
What are the advantages and disadvantages of using a collection agency to recover delinquent assessments?
Answers will vary.
A medical office condominium building has started up in a gentrifying neighborhood in Philadelphia. Many of the unit owners are employed by the nearby hospital and provide outpatient services to residents in the area. The board consists of only three members, who are also physicians. One day, they arrive to find that city has imposed a heavy fine on the building for "improper disposal of medical waste." If you were the Managing Agent for this common interest development what would you advise in order to begin to address the problem?
Answers will vary. An immediate call for an emergency meeting of the Board may be required to uncover the next steps necessary to come into compliance with local laws.
What percent of communications are nonverbal?
Around 55 percent of what others hear us say is a direct result of what we communicate visually: dress, posture, movements, facial expressions, and eye contact. The next 38 percent of the message we send comes from the sound of the communication: tone of voice, accent, rate of speech, volume, and timbre. So, a total of 93 percent of communications are nonverbal.
What is the difference between Theory X and Theory Y styles of management?
Autocratic, or Theory X, managers make the assumption that employees inherently dislike work and prefer to be directed. These managers believe that because of their dislike for work, most people must be controlled and threatened before they will work hard enough and that the average human desires security above everything.Participatory, or Theory Y, managers make the assumption that employees are inherently trustworthy and can be self-directed. They motivate staff with rewards and involvement in decision-making. Participatory managers believe that the average employee learns, under proper conditions, not only to accept but to seek responsibility.
List the four approaches to risk management and characteristics of each.
Avoidance - Elimination of a known risk - This approach is not always desirable because the v benefits that accompany the risk can also be lost Retention - Acceptance of the associated risks - Risk is accepted "as-is" because it is unlikely to occur, or the potential for financial loss is minimal - Often neither pure retention nor pure avoidance is a realistic solution Control - Taking action to reduce loss exposure by correcting conditions that pose risk or by controlling the particular risk - Involves reducing the risk while retaining the benefits associated with the condition that creates the risk - Reduces exposure to injury and lessens owner's and the management company's exposure to liability - Control measures are commonly mandated by local ordinances Transfer - Transfer of risk to a professional risk bearer through various types of insurance policies
Patti Smith is a member of Cantrell Commons. When the patio fence is moved back by one foot, she notices that it will make great area for rose bushes. Patti asks Bob,who is on the ACC if she can plant rose bushes in the new area. Bob tells her that he will bring it up at the next ACC committee and report back to her with their decision. Did BOB advise PATTI correctly?
Bob should have responded to Patti to put her request in writing to the Architectural Control Committee (ACC).
Describe the contrast error that supervisors can make when giving performance evaluations.
Close precision engagement
What is the difference between property and liability coverage?
Commercial Liability Insurance (sometimes called Casualty Insurance) is coverage that offers protection against claims that allege that a property owner's negligence or inappropriate action resulted in bodily injury or property damage to another party. Property (Hazard) Insurance—also known as All Risk (formerly Multiperil), Open Cause of Loss, or Risk of Direct Physical Loss—includes coverage for accidental, direct physical loss to the property of the insured from any event that is not specifically excluded or limited.
Describe some common areas of concern that standing committees are created to oversee.
Common standing committees - Architectural Control Committee (ACC) - Landscape - Building - Communications - Nominating - Rules (or regulation or policy) - Social Common ad hoc committees - Special projects - Budget (or reserve)
What procedures should be followed in the event of an incident at the property?
Complete an Incident Report Report to the Insurance Company File a Claim Personal Loss - Ensure immediate aid is given to an injured person or people. - Call emergency personnel for assistance. - Obtain the names and addresses of people involved and witnesses. Write down the name of everyone you see at the site of the loss in case you need to contact them later. Capture who, what, where, how, why. - Do not discuss the incident with anyone other than your insurance representative or attorney. - Report a crime to the police, and let them take any necessary statements for the police report. - Call your insurance company. Check your policy for requirements about reporting a loss. Some policies have time limits in which to file claims. Property Loss - Make any temporary repairs to protect the property from further damage or to protect people from additional injuries. - Arrange for a claims adjuster to inspect the property. Ensure that the claims adjuster who arrives at your property has the proper authority to investigate. The adjuster must be an official representative of your insurance company. Public adjusters often arrive on the scene of a fire or accident and offer their services even though the insurance carriers do not duly authorize them. - Prepare a list of lost or damaged articles. Include diagrams, photographs, or videotapes, if possible. - File a signed and sworn Proof of Loss form.
In most cases, who will have the authority to call a special meeting?
Depending on the definitions provided by the governing documents, special meetings may be called by the Board or by member petition.
What is the difference between disparate treatment and adverse impact?
Disparate treatment occurs when individuals are treated differently because of their membership in a protected class. Examples include: a manager who automatically rejects Latino job applicants, using a different hiring process for woman than for men, or disciplining African American but not Caucasian workers for violating the same policy.Adverse impact, which may be less intentional, occurs when the equal application of an employment standard has an unequal effect on a protected class. For example, requiring nonessential education for a job may impact a minority group who has been limited in access to educational opportunities.
Sam Noriaki, the owner of the Japanese restaurant at The Village Center Condominium Property, has asked that the Board permit him to install a satellite dish on the roof so that he may show Japanese films during the cocktail hour. The satellite system already maintained by the association does not provide Japanese stations and cannot accommodate this programming. Sam Noriaki found that AstroCast Satellite Company can provide this service. Unfortunately, the company tried to establish service from the patio area of Noriaki's restaurant, but the signal was poor from that location. Sam was very upset and stated that he was not being fairly treated by the Board. What documents or other resources should the Board consider?
Documents should be reviewed in this order 1) Starting with the Federal Telecommunications Act 2) CC&R's 3) Rules and Regulations
Describe the potential harm to the CID created by not adhering to due process during proceedings to enforce the governing documents.
Due process requires that an accused has the right to be heard and to appeal accusations, fines, warnings, prohibitions or restrictions prior to finalization. CIDs not adhering to due process run the risk of losing the sense of the sense of trust and fairness among the members. Courts may also dismiss fines and sanctions imposed by a board if due process was not adhered to.
Develop five "job knowledge" interview questions for an on-site manager to ask.
Examples include: 1. When and how often should catch basins be cleaned? 2. Describe the process for cleaning a swimming pool. 3. Should lawns be watered during the coolest or warmest part of the day? 4. Are longer or shorter grass blades preferable? 5. Describe the risks involved if sidewalks are left un-shoveled.
Develop five "behavioral" interview questions for an on-site manager to ask.
Examples include: 1. Tell me about a time with you had to deal with an unexpected occurrence or emergency on the property. What was the situation and how did you handle it? 2. Tell me about a time when you had to deal with a difficult staff member.What was the situation and how did you handle it? 3. Tell me about a time when you accomplished a task that you were particularly proud of.10 COM201 Day 1 RM Activity Answers 4. Tell me about a time when you feel you performed poorly on the job.How could you have performed better? What did you learn from the situation? 5. Tell me about a time when you had to deal with a dissatisfied resident.How did you handle the situation?
Henrietta, a homeowner, wants a copy of the community association's membership list so that she can solicit proxies to run for the Board. The board refuses to acknowledge her as a candidate, at which point Henrietta decides that she will ask her friend Sara to nominate her from the floor assuming the governing documents allow for nominations in this manner. May the association legally withhold the membership list from Henrietta?
Fair and reasonable procedures for elections are required in either the condominium acts or the corporate acts of most states. Most states provide for the right to inspect and/or copy names and addresses of members for a proper purpose, which running for the board could be considered. Some states prohibit distribution of telephone numbers, most require a written statement of purpose in order for a list to granted. Most state statutes allow for an association to deny a homeowner's request to access the membership list if the intent is to use the list for an improper purpose. For example, soliciting business for a home-based business or product distributor.
A condominium association of detached new home construction in Milwaukee is located in a former commercial district near downtown that has been the site of a great deal of condominium conversion activity. This CID has eight units, a parking structure, and a small recreational facility, which includes a fitness room and pool. What type of management would best serve this community?
Financial-only management or self management may work best for this community.
What types of information should be kept in the unit file?
Fire Warden or Area Captain: Floor Leader Searcher Stairwell Monitor Elevator Monitor Handicap Aide
Explain the differences between a full-time employee and a contractor.
Full-Time Employees • Work on an indefinite basis • Report to work each day • Have fixed work hours • Have one employer • Have a salary • Have a supervisor who is a company employee Contractors • Work for a defined time • Work as needed • Do not have fixed work hours • Work for multiple clients, not necessarily at the same time • Receive a flat fee for all work or hourly or daily pay • Work independently or report to another firm, a company employee coordinates the work
What is the purpose of a risk audit?
In addition to conducting regular risk evaluation inspections, conducting formal risk audits on a regular basis is recommended. A risk audit can be an in-depth inspection or an analysis method for determining insurance coverage.
Explain why common areas are potentially one of the benefits of CID membership
In residential property the CID allows individual investors to share in the benefits of common elements such as swimming pools, tennis courts, or landscaped common areas that an individual owner may not have been able to afford.
Oncale v. Sundowner Offshore Service, Inc. (1998) The plaintiff in this case was a heterosexual male employed on an offshore oil rig run by Sundowner Offshore Service, Inc. Oncale claimed that his male supervisor and two male coworkers sexually harassed and threatened him. He reported the harassment, resigned from the company, and sued Sundowner, the supervisor, and the coworkers, claiming both quid pro quo and hostile environment harassment. You be the judge—was Oncale a victim of sexual harassment under Title VII based on the fact that the case involved a male-to-male harassment claim?
In this case, a district court ruled that same-gender harassment was not actionable under Title VII. The Supreme Court then reversed the lower court ruling, stating that the harassment was "sexual" and therefore actionable,regardless of sexual orientation.
Washington v. Davis (1976) In this case, applicants for the Washington, D.C., police department took a reading comprehension and aptitude test that included material they would have to learn during their training program. The city could show a relationship between success in the training program and success as a police officer. However, a much higher percentage of women and African-Americans failed the test than Caucasian men. You be the judge—is the test legal?
In this case, the Court ruled that even though a test has an adverse impact against a protected class, the test is legal if it is job-related.
What can the Managing Agent do to encourage change in the culture of ineffective Boards? Add examples from your experience if possible.
It helps to remind the Board that they can contribute individually to building the best environment for decision making for the community or group. Remind Board members that they set the tone for the interaction of the community in meetings. Some general rules of conduct include: - Respect the Board President: leadership is important for effective boards - Bring a calendar to all meetings - Arrive on time - Prepare for meetings - Bring all the files you need - Listen more than you speak - Speak when you have an essential point - Stick to the agenda - Leave personal and political agendas at the door - Actions of the Board belong to the Board - support them - don't bad mouth any action or person either at meetings or outside of them
Janet is the Managing Agent of a condominium association. She gets along very well with the president of her management company, and they have even become good friends, often socializing outside of work. In her performance appraisal, the president rates Janet very highly, even though her performance was not as strong as that of some of the other site managers. What rater error is the president committing?
Janet's boss is committing a "liking" bias error. Because the boss likes Janet, Janet was given high ratings on her performance appraisal.
Pat is an administrative assistant for Jordan, a property manager supervising Managing Agents at a CID management company. Pat has been working on compiling financial reports for a number of properties that Jordan needs by the end of the week. Pat hands the report to Jordan two days early, and it includes information on three more properties than Jordan requested. Jordan comments to Pat, "Wow!Thanks Pat!" How could Jordan have more effectively communicated this praise and appreciation?
Jordan could have more effectively communicated to Pat by being more specific: "Thank you Pat, I appreciate your speediness on this report. And I see you went above and beyond by including three additional properties - that will really be helpful to reaching our goal."
What does KSA stand for?
KSA stands for Knowledge, Skills, and Abilities
What are typical elements of building security?
Limiting access to the inside of the building, and educating residents and guests about not letting strangers into the building can significantly reduce problems. - Sturdy and properly installed doors - Heavy-duty locks - Inexpensive measures, such as installing emergency alarms and putting mirrors in elevators - Parking gates, with or without courtesy patrols - Peepholes are for personal protection. - Key Control - Adequate Lighting
What are the potential negative effects in delaying reporting potential architectural violations to the Board of Directors?
Managers benefit from taking an active approach to architectural control with inspections. When control issues are discovered, they should be forwarded to the Board immediately, as delay in enforcement of these controls will surely create more violations, and perhaps lead to perceived injustice as an individual member is singled out for enforcement.
Describe why communications with members can become a challenge for the Managing Agent, and how good communications strategy an execution may limit those challenges.
Managers must appreciate and remember that an owner's motivation is usually emotionally attached to any communication regarding his home. Managers, who approach owners from strictly a monetary viewpoint, run the risk of not understanding an owner's emotional reaction. Another challenge for managers is to maintain objectivity and concern for the entire membership, when communicating with an owner about specific issues.
Mark believes that the performance standards at his company are too low. He assigns lower ratings across the board than other property managers at the company. What rater error is Mark committing?
Mark is committing a severity error. His expectations are higher than those of other managers.
What are the five stages of Maslow's hierarchy of needs?
Maslow's five stages are: - Physiological/Basic - Safety/Security - Belonging/Social - Esteem/Ego/Status - Self-Actualization or Self-Fulfillment
Why is it essential that members know the location of Public right of way areas and easements.
Members should be made aware that these right of ways are typically defined by needs of utility companies to access the property, for example, for telephone or electrical pole service.
List methods of external recruiting.
Methods of external recruiting may include: internet recruiting, newspaper advertisements, career fairs, employee referrals, and employment agencies.
Kim's performance has declined over the past few months; the management agreement has not been renewed with two of her condo associations in the last year.Kim's colleagues do not seem to be having this problem. During her performance appraisal, Miguel, a Property Manager, comments, "Kim, you've got to get your numbers up. We can't have this any longer." How could Miguel have more effectively addressed Kim's performance issues?
Miguel could have more effectively addressed Kim's performance issues by being less judgmental and more encouraging: "Kim, I see the your number of non-renewed CIDs has increased by 25% over the last three months. What do you think we could do to improve this situation? Is there any training that we could provide that might help you retain your existing portfolio?
What can the Managing Agent do to ensure that meetings meet legal requirements?
Much of the interaction between Managing Agents and the Board will be for the preparation, notification, and recording of association board meetings. A good Managing Agent is very organized and extremely prepared. Below other typical duties of the Managing Agent are summarized. - Coordination - prepare draft agenda for board chairperson's review - Planning - ensure sufficient decision information is available for each agenda item - Attendance - assist board in reaching decision - support chairperson as appropriate to keep meeting focused - the Managing Agent should avoid taking official minutes (unless ancillary service offered for fee by management firm - Education
Dan, who is a board member, wants to get rid of Dave, another member of the Board,because of the impact his habitual late arrival to meetings has on the Board's ability to conduct its business. Because Dave always arrives late - the Board ends up wasting time fighting about his tardiness, business gets stalled, and all members of the Board end up going home late. May Dan make a motion before the Board to remove Dave?
No. Board members are elected and without a court order or recall by the membership that elected director, a board member may generally not be unseated. However, in the state of New Jersey, there is a process whereby a board of trustees of a homeowners' association (HOA) can unseat a board member for cause. In which case, the above scenario would warrant discussion with an attorney from that state. Other states, such as California, would allow removal by the board (termed "vacating the seat") if a board member misses three (3) or COM201 Day 1 RM Activity Answers 5 more meetings without good cause and the bylaws allow the board to vacate that member's seat upon good cause.
Sally Homeowner considers herself an efficiency and cost-cutting expert. She calls you, the Managing Agent of her condo association, and informs you that she intends to attend the next board meeting and plans to interject her proposed budget savings ideas at the point when the Board discusses the budget for the coming year. Does she have a legal right to do that? a. As the Managing Agent to this association how would you respond to Sally?
No. States that allow homeowners to attend board meetings provide the board with the ability to limit participation. a. Answers will vary. One suggestion is that she be encouraged to run for Board Treasurer when the position next opens
Give examples of how disputes over the common areas in a community association can erupt, and how they may be resolved, focusing on the Managing Agent's role.
One example, commonly seen, is when members, desire to personalize their exterior spaces, or may simply try to more emphatically separate the space they own from other members with larger fences or other obstructions, etc.
What is an exit interview?
Prior to a voluntary departure, an exit interview should be conducted to find out the reasons the employee is leaving. The interviewer should ask open-ended questions and assure confidentiality. The interview should also cover administrative issues such as when benefits will cease.
What is the difference between progressive and positive discipline?
Progressive discipline involves a series of interventions that gives employees opportunities to correct their behavior before being dismissed. Each warning step is more severe than the last, and failure to correct behavior results in justifiably discharging the employee. Positive discipline also uses a series of steps ending in the discharge of the employee, however the punishment used in progressive discipline is replaced by counseling sessions between the employee and the supervisor. The focus of these sessions is getting the employee to learn from his or her mistakes and initiate positive behavior.
What is a risk management program? Why is it important?
Risk management is the process of controlling or reducing risk to acceptable levels. A preventive approach to managing risk often begins with the development of a risk management program. Risk management reduces the likelihood of risk and the severity of its consequences. Developing a risk management program is an important step toward gaining knowledge and understanding of the risks that people and property face.
Under what circumstances have CIDs initiated foreclosure against one of the association's members, and under what documents is the authority for such action given?
The Board may initiate foreclosure for non-payment of assessments or other breaches of the CC&Rs. This is known as a non-judicial foreclosure.
When litigation results from Board action, which authorities are potentially liable?
The Board of Directors, the Managing Agent, and possibly the members in the CID (depending on if the CID is incorporated or not)
What defines a condominium, a planned unit development and a co-op and where are the definitions found?
The CC&Rs are typically going to hold the definition of the CID. In some parts of the country the CC&Rs are called the declaration or master deed. Typical of most CC&Rs are the following components: - Outlines owners' rights and obligations - Imposes restrictions that are typically transferred to subsequent owners and are enforceable to all owners - Explains that by contract (purchase) each owner makes a covenant with the community association to abide by the declaration - Describes all physical elements of the association - Defines each unit - Defines common areas - Defines percentage of ownership or rights to the common areas - Identifies amendment procedures - Includes statement of compliance with state and local statutes that govern common interest developments - Summarizes definitions - Details maintenance requirements of the unit owners' and for the association - Identifies easement rights - Other definitions
The Managing Agent receives a complaint from an owner of water dripping into the unit. They live on the 2nd floor of a 6 story building, you decide that it's best to visit the site and inspect the damage. When you arrive you discover that the interior wall of the unit has water damage. The other side of the wall, which is an interior wall for another unit, has damage as well. The source of the water damage appears to be a backed up drain on the 3rd floor above. Making things more complicated, however, is that it appears that the pipe that has burst is inside the wall of the unit's kitchen on Floor 3. Which document would you research in order to begin your assessment of whether the inside of the interior wall is to be defined as the common area, or not?
The CC&Rs may be the appropriate location to find this answer, but not always.Many CC&Rs are lacking full unit and common area delineation. In some states the CID developer is required to file a "condominium plan," or a "plat map" which may contain language that may not be found in other documents and sometimes will provide meaningful information.
Amy Johnson is a new member of the Board of Directors to Hope Springs, a condominium association in a western state. She wants you, the Managing Agent, to hire a friend of hers who runs an excellent window cleaning company. What documents would you typically look to in order to find if this was a conflict of interest under the governance of this association?
The CID Bylaws may outline the details of how the CID defines conflict of interest and what it allows. The Rules and Regulations of the CID may also have provisions on the operation of the corporation, the might be relevant to the research necessary to answer this question. You may find that within the bylaws of this association the definition of conflict of interest extends only to situations where the Board member will "personally" profit from the contracting of business. In this case you would decide that this situation does not indicate conflict of interest. Even if it does not, it might be recommended to indicate to the Board the value of disclosure of the relationship.
At the Board Meeting, the Board requests that the Manager obtain 3 bids for sealing the asphalt of the parking areas. It has been 7 years since the asphalt was sealed.The Board President states that the asphalt is in relatively good condition, with a few minor cracking and pot holes and a few areas puddling occurs. The parking area services a high end luxury planned unit development. The Board indicates to the Manager that they want to maintain the property in first class condition. The entire parking area is approximately 185,000 s.f. You are the Manager and are at the Board Meeting where this topic is presented.This item wasn't on the agenda but was introduced appropriately by a Board Member to be addressed on the agenda under new business. The Board President turns to the Manager and asks that the Manager obtain 3 bids for sealing of the asphalt to be presented in 60 days so that the Board can authorize the work. What is your response to the Board?
The Manager should advise the Board that in his/her professional opinion the Board should consider engaging an asphalt consultant to make a proper assessment of the parking lot repair needs. There would be many benefits in having a professional make this evaluation. Additionally, once the scope of work is clearly defined, a proper RFP could be prepared and bid to various vendors assuring for an apples to apples bid. Once the bids are received the Board would be prepared to award the work. A Manager is typically not familiar with the various types of asphalt sealing products and could make a grave mistake of simply calling several contractors and asking them to give a bid.
List the ways a Managing Agent can prepare for an appearance in small claim court on behalf of the CID
The Managing Agent, if provided for by the management agreement may act on behalf of the board in small claims court by providing the following as evidence: - copies of the contract that authorizes Roland to act for the common interest development (where permitted by state law) - proof that proper notice to an owner in a letter or legal document was given - documentation of how the owner responded to the complaint
Class-Action Lawsuit against Coca-Cola (2000)In 1999, four past and current African-American employees of Coca-Cola Company filed a class-action lawsuit in federal court charging the company with discrimination.The claimants, representing more than 2,200 former and current African-American employees who had held salaried positions since 1985, accused the company of paying African-Americans less, offering them fewer promotions, and giving them lower performance evaluation scores than Caucasians. In fact, African-American employees were paid an average of $26,000 a year less than their white counterparts holding similar jobs. You be the judge—how would you address the discrepancies between how Caucasian and African-American employees were treated at Coca-Cola?
The U.S. District Court in Atlanta approved a $192.5 million agreement to settle the class-action lawsuit. This provided an average of $38,000 to each of 2,200 current and former African-American employees. The agreement also established several policies and procedures to improve Coca-Cola's diversity efforts
Which conflict resolution style believes "only the strong survive"?
The adversarial style of conflict resolution believes "only the strong survive."
Describe some the advantages of using a timed agenda.
The agenda is an organizational tool that also allows you set a projected duration to each portion of the meeting. The Managing Agent should persuade the Board to use a timed agenda as it facilitates the best use of volunteers' time. As the Board director proceeds from one agenda item top the next, he/she should read out loud the projected expected time for the ensuing item. The director should also keep track of the time during the deliberations and note the actual time devoted to the item. This enables a better record of how to allot the agenda items for future meetings as well as encouraging the individuals at meeting to stay on focus during discussions.
Define the role of a member in the association (for example, the unit owner) in the decisions of the Board of Directors.
The basic principle of a common interest development is that no one owner can act in isolation from the group. This means for one that they cannot break the terms of membership set out in the documents of the CID. Members may be nominated to the Board of Directors. Part of effective relationship management of the agent/board interaction is to understand that debate within the community is a natural part of the member/board decision making process.
Describe the advantages of having a management agreement that spells out the relationship between the Managing Agent and CID in as detailed a manner as possible.
The benefit of a detailed management agreement lies in part in that it clarifies to whom the Managing Agent reports.
What are the potential advantages or disadvantages of a high degree of participation among members of the association for the CID?
The benefits to having highly active and vocal volunteer participation in the association is that in fostering the belief in owners that their voice matters helps build strong community "buy in" (participation, or a sense of "investment"),which in turn will create the best pool of candidates from which Boards and committees are appointed. The disadvantage to vocal participation is that it can bog down the ability of a CID to make decisions if membership contests the decisions of the Board of Directors.
Which conflict resolution style believes "you must give a little to get a little"?
The compromising style of conflict resolution believes "you must give a little to get a little."
The M24 is effective against point targets out to how may meters?
The contrast error occurs when a rating is based on how the employee's performance compares to that of another employee, and not an objective rating standard.
Steve, who is a member of the Board, cannot understand why he is credited with receiving only 100 votes (enough to seat him as a board member) when more than 50 of his friends agreed to vote for him and gather proxies from others. He expected to get at least 300 votes after securing promises from his neighbors to work on his campaign. Steve wants to find out who actually followed through with their promise and he intends to "give the others a piece of his mind" (although he will not disclose this part of his intent to the Board.) He states he feels the count was inaccurate and requests to examine the proxy ballots. Does Steve have a right to do this?
The corporate Code provides an "absolute right" for directors to see all association records. However, in the case of Chantilles vs. Lake Forest, a board member claimed that he needed full access to association records in order to fulfill his fiduciary duty. Yet the court recognized the owners' right to an expectation of privacy in the casting of their vote for board directors (a constitutional right supported by case law). In the end, the court ruled that in balancing the two rights (the right of the director to full access to association records vs. the right of the homeowner to privacy in voting), the board director lost out. The court reasoned that Mr. Chantilles did not need to see how members voted to fulfill his fiduciary duty. Other US state courts would likely rule the same way.
The number and types of committees, and their authority will typically be provided for by what authority?
The role of committees in a common interest development will usually be defined in the bylaws of the association.
Under what circumstance might it be beneficial to the community of members to simplify the rules of order for meetings?
The rules of order can be contrary to the informal nature of some meetings. Adapting parliamentary procedure to the needs of your community will ensure greater participation.
Removing a Board member from duty is potentially the responsibility of what authority? By what documents will the procedure of Board member removal be detailed?
The steps the Board must take to removing board members will vary from community to community, but is usually defined by the Bylaws of the association.
What is active listening?
The term active listening describes communication in which the listener is as active in the process as the speaker. The goal of active listening is for you to hear and understand other people, and to let them know you've heard and understood them.
Theory Z combines approaches from what two cultures?
Theory Z combines approaches from American and Japanese cultures.
The California Hills, a PUD outside of Riverside, Calif., has completed three off our phases of development. There are currently 65 owned units. The final phase of the development will build out 25 more units. What type of management would best serve this community?
This community presents a complex management challenge that may best be met with full agency management services. If this CID is still under developer control they may be interested in keeping the financial records/budgets.
List three types of interview questions.
Three types of interview questions include: behavioral, job knowledge, and worker requirements.
What are the two types of harassment?
Title VII prohibits two types of harassment: sexual harassment and harassment based on a protected class.
Evelyn, a homeowner, has done some digging and found out that a member of the Board, Mary, voted "no" on every assessment increase for the last few years. Evelyn is for progress and she wants Mary off the Board. Evelyn is able to convince 60% of the owners of her small association (40 members) to sign a petition to unseat Mary. Is the petition legally effective for the purpose of removing Mary from the Board?
To remove Mary from the board there either has to be cause (such as would support a court order, e.g. competency, criminal act or something like that), or the owners must vote on the question Mary's removal. Mary should be given notice of the removal action and provided with an opportunity to defend herself and her actions. In several states within the United States, owners can petition the board to ask for a recall meeting, and the association would have an obligation in most cases to hold one. Some states require only 5% of the voters to sign such a petition (as is the case in California) and others require a higher percentage before the board must take action. A board member cannot simply be "fired" by either the board or a number of owners.
In what circumstance would a CID have a use for a sergeant at arms?
Unruly, abusive, or disorderly attendees interfere with the conducting of the business of the CID at meetings, and should not be tolerated. It is not uncommon for common interest developments to use security, or off-duty policy officers, or simply to designate a sergeant at arms to remove disruptive persons.
What are "articles of incorporation" and what do they establish for the CID?
Where they are required, their purpose is to define principles of ownership in the development as a corporation.
A small apartment building with six units in Washington, D.C., was converted to condominiums five years ago. The first floor was intended to be leased as office space but is currently vacant. The building was built in 1948.What type of management would best serve this community? List the range of circumstances where you think this community may potentially benefit from the services of a management company.
While the small size of this condo conversion might be make it feasible for self management or financial-only management, the age of the community indicates that some maintenance challenges may be at work. To meet these challenges full service management may benefit the community.
The basic guidelines of membership roles/responsibilities in the CID are mostly found in what part of the governing documents?
Within the CC&Rs, and in the Rules and Regulations of the association. Many of the guidelines for membership roles/responsibilities and behavior for the CID are defined in the Rules and Regulations, and changes in these rules and regulations will happen in accordance with trends in the community.
The board of Cantrell Commons has established a standing committee dedicated to architectural control. The committee has decided to extend a patio fence twelve inches into the common areas. Does the Architectural Control Committee (ACC) require board approval for this fence?
Yes. Committees report their findings for Board approval. The recommendation of the ACC may also require Board approval.
Sally Homeowner gets very disruptive at the Board meeting when the Board refuses to allow her to address the Board or talk - she won't be quieted, and at each attempt to quiet her becomes more animated - can the Board eject her from the meeting?
Yes. If Roberts' Rules of Order have been adopted there is a provision for removal by Sgt. Of Arms. (NOTE: the Board should set Rules for meetings. To adopt Robert's Rules of Order in its entirety would make meetings very cumbersome.)
Board Member John is going out of the country for two months and so in order to make sure a quorum of board members is going to be available - he gives his proxy as a board member to Board Member Sam. a. Do you think this would be a violation of his fiduciary duty? b. Can Board Member John give Sam proxy for quorum purposes only?
a. Answer will vary. b. This will vary. Some state's corporate law may allow or disallow proxies for board meeting. Usually if allowed the proxy is only good for a short period of time (Arizona - 30 days). Another solution would be for John to attend the meeting remotely by telephone.
