Agenda for 20 Minute Presentation on the Budget

Introduction

Hello Board and fellow homeowners, renters and other interested people,

Here at Casa La Villa, my Internet skills have vastly improved, along with the encouragement to finish up my 1st year of law school.  I’m sure the Board and members will all agree that this Internet Open forum with hyperlinks to actual Department of Real Estate booklets, ect. sure beats simple verbal, paper or telephone meeting comments. 3.6.2016 9:49 AM Email    If I’m not at the meeting, the Board may reach me at 310.508.0111.

When I served on the Board at the Gardens HOA, we were 100% funded  in our Reserves, never had a special assessment and never had executive session.  I obtained my first computer from a fellow Board.  When I was on a Los Angeles  Neighborhood Council  the City Attorney taught us the Brown Act, which is very well summarized in the video at right.  The Board is encouraged to watch and learn under Section 5 of the 12.9.2009 settlement agreement.   Please note also, that in the agreement under Section 13 below, any member is entitled to submit written public comment and have the board review it a each MONTHLY meeting, thus I will send certified written copies of this document to each board member and 1st class to every member and resident so as to meet the agenda requirements.  IMHO fiduciary responsibility will “demand” that the elected Board members and paid staff will click and review the links and video’s.

I’m sorry to inform the board of item # 1 below.  Which IMHO demonstrates probably the biggest issue we have here.

Thanks,

Steve

Items to Review

  1.   We are Missing $21k from our reserve fund that our HOA Attorney Randy Scro, Esq. (Scro)  confirmed  1 minute
    1. More details
  2. How can we prevent the loss of any of our hard earned money in the Future?  
    1. Unfortunately Scro didn’t think it made sense to attempt to recover the funds lost as he alleged Properties West and Gordon Inman were in bankruptcy
      1. Pacer.com did not show that
        1. Attorney Malpractice?
      2. Do we have a fidelity bond per Page 14  Section 9 of our CC & R’s?
        1. State Farm on Fidelity Bonds
          1. Employee Dishonesty — Provides coverage in the event of a direct physical loss to Business Personal Property and money and securities caused by a dishonest act committed by an employee. If an association contracts someone to manage the property for them, i.e. a Property Management firm, the association would need to obtain a Fidelity Bond from the Bond Department State Farm Website
        2. Statute of Limitations?
        3. File Police Report
  3. The members and I thank the Board for taking on fiduciary Responsibilities   for the $500/month we are paying in dues and special assessments.
    1. Take a 3 minute glance at Civil Code §5500   on what it means to review our HOA finances
    2. Review definition of Fiduciary Responsibility – 30 seconds
    3. Do the Board members understand that Fiduciary includes transparency?
      1. If not, let’s spend the 20 minutes watching the Brown Act video
      2. Does the Board understand that the budget cannot be discussed in secret per our bylaws, cc & r’s and Civil Code 4935
      3. I’m also just using 15 minutues of the 20 minutes so that I can speak up when the board discusses this – as done at EVERY open government meeting and is provided in the 12.9.2009 settlement agreement Section 13.
  4. Video from Davis-Stirling on Management Software – Could save $450/month   2:23 minutes
  5. Take the Wells Fargo ONLINE Banking Tour – This might assist our HOA with accurate record-keeping in a transparent (sunshine) way so Board Members and Members can be easily shown where the money has gone and protect us from potential losses in the future.   Civil Code 5200 et seq  5 minutes
    1. Online Tour Overview – It’s FREE there are NO service charges!
      1. 57% of smartphone users do online banking Pew
      2. 95% of adults with household income over $50k use the Internet.  75% of those do online banking Pew
      3. Interpacific has online bill pay
    2. Account Summary and Activity
    3. Bill Pay  –  We only pay 4 or 5 bills/month – Insurance, Trash, Gardener, Water, Electric
    4. Transfer and Pay
    5. Mobile Banking – 24/7 worldwide access
    6. Financial Management Tools
  6.    Video on Quicken Software    1:20 minutes
  7.    Glance at Board Training.Info  ♦  Condo Board Training Video’s gleaned from Google  2 minutes
    1. Quick review of Condo Management Classes from the Community Assoc.  Institute   1 minute
    2. silldorf-levine.com    Whom  the Board has on retainer  – They have FREE seminars, lunch & learns, Board Orientation  1 minute
  8.    Property Management
    1. Contract says:
      1. §1.2 The HOA retains primary responsibility for EVERYTHING
      2. §2.7 HOA retains full responsibility for budget
      3. §3.1 Assists – not responsible for Maintenance
      4. §4.4 They only assist, not make final decesion
      5. §14.4 Board agrees that they have carefully read and reviewed the contract
    2.  Mr. Jerry O’Donnell put these in for a reason.  The contract is principal by agent (Article II Introduction).  The HOA is in control, just like Employer – Employee
    3. Assists – NOT the final authority.
      1. Can’t  practice of law?  1 minute
        1. youtu.be
        2. Transcript
          1. Public Site
        3. Usury?
          1. Board Training.Info
        4. We need to view the actual law, practices and opinions and not just what some clerk says over the telephone or email without even a real citation.  Like being told we can’t fix a budget error of $5k in the Insurance Premiums…  It’s OUR decision, our Fiduciary Responsibility, our standard of living, property values and being able to live comfortably in retirement.  Soon our dues and assessments will be more that our mortgages!   Learn More ===> Davis Stirling Newsletter 4.17.2016
      2. Mary Ann Repucci was at the court and heard the Judge say it was $5k and thus there was no  litigation on claim splitting?
  9. I’m sure Interpacific wants us to have the most in the way of checks, balances  and internal controls as they once had Interpacific once had a convicted embezzler working for them!
    1. Internal Controls. As a matter of prudence, if you have one person or entity handling all of your money and generating all of your financial statements, you need an independent third party looking over your books. While audits and reviews don’t always catch embezzlement, they sometimes do. In addition to performing a review, your CPA can suggest internal controls to reduce your risk of loss. Learn More ===>  Davis-Stirling.com a NON Government Website in their 4.10.2010 newsletter    Just like www.Enhanced-Silver.com is a non government agency
    2. Appoint a treasurer and committee people as authorized in our bylaws that Gordon Inman – Properties West put together circa 2004 to allow us to own vs rent and our 4.2012 Meet & Confer moderated by the Board’s attorney Randy Scro, Esq.
    3. Our lenders have a right to get an CPA audited statementCC & R’s page 46 Section 6.  Gordon Inman and Properties West did this for a reason.
      1. With the dues increases and special assessments we will soon require a CPA review §5305
  10. Blog Condo Assoc. Com on value of home – related to financials and balance in reserve fund
  11. Kelly Richardson Esq, a former HOA attorney’s article on allowing members to speak     1 minute
  12. Do we really need and can afford Earthquake Coverage with a 20% – $250,000 Deductible –  1 minute
    1. More detail
    2. Review Directors & Officers liability
    3. Building Ordinance Coverage?
    4. How about inviting our State Farm Agent to a meeting?
    5. Los Angeles Time 4.16.2016 Retrofitting – Graphic – Parking on Ground Floor seems to be the problem.  Does it apply to us?
      1. Yes!!!   I received a letter on 4.20.2016   Learn more on the public website ===> BoardTraining.Info
      2. How will we keep the estimated 60 to $130k safe in reserves if we don’t do the transparancey and make sure we don’t lose another $21k? San Francisco Retrofit
  13. Maintenance
    1. How about looking into Solar for the tax credits and possible savings
      1. ·  Residential Energy Efficient Property Credit· 
      2. Nonbusiness Energy Property Credit
  14. Optional Readings – those without a time shown –  IMHO it comes as part of the Board’s fiduciary responsibilities
  15. Please advise in the comments section below under what rules of  – King v Burwell —-  Plain Meaning Rule   the budget can be discussed in Executive Session? 
    1. Or, selection of Officers?  Is this to be a secret meeting under I?   Davis Stirling and Brown Act provide that budget gets discussed in front of all homeowners.  Secrecy hasn’t worked.  We lost $21k and have constant assessments.
    2. Please include links to reputable websites, citations, court rulings and CA State Law.Please review Civil Code 4935 explanation first ,  Davis Stirling is based on the Brown Act and when I was on the City Attorney trained us on the Brown Act.
  16. Please also review the comments – public open forum below from myself and the other members.

 

Excerpt from Agenda
Excerpt from Agenda
Officer Selection
Officer Selection

 

Excerpt of 12.9.2009 Settlement Agreement
Excerpt of 12.9.2009 Settlement Agreement

 

7 comments on “Public Comment 4.27.2016

  1. Francisco once said that one reason we need to have a property manager at $500/month is to send HOA documents to escrow.

    See page 20 of their contract and note that they charge around $600 when they do that.

    Civil Code 1368 clearly says what documents are required. Why do we need Interpacific to read that?

    Civil Code 4580 talks about transfer fees.

    IMHO Interpacific should leave the meeting when we discuss anything related to their contract. Conflict of Interest and all.

  2. I may be bringing a support person to the meeting. This person may or may not be the executor of the trust that owns my unit. The authority is AB 1720 See also Los Angeles Times 4.17.2016 Conference of CA Bar Assoc – Argument For

    Let alone that we have no rules prohibiting it and in fact non owners can be directors. Ie Cindy Dean

    Considering the physical threats, extortion, false imprisonment (Josh Stone Circa 2005), perjury and sexual assault I’ve received, Judge Sheldon in Long Beach and Judge Mirich in San Pedro suggested it long ago.

    If I’m not able to find a support person or the executor of the trust that owns my condo can’t come, I maybe at LAPD Harbor Division and you can reach me by phone 310.508.0111.

  3. Sent: Monday, March 7, 2016 9:32 AM

    Good Morning,

    Everything is done in Open Session, only delinquencies and violations if the HOA has any are held in Executive Session. The Organizational meeting is part of the election agenda in Open Session.

    Sincerely,

    Yasmin Fahid
    Property Manager
    Interpacific Asset Management

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