HOA Blog : Board Process

Closed Meetings
September 14, 2009By Kelly G. Richardson

Dear Kelly:
Over the years we have lived in several CIDs, served on several Boards and enjoyed participating.  When we moved to this community I attended several Board meetings but slowly became discouraged and stopped going.

After the Open Forum part at the start of the meeting, our Board immediately leaves the room and goes into Executive Session. Several hours later they return and the meeting is adjourned.  Many of our neighbors feel that, for some reason, our Board wants to keep everything secret!

Boards that I served on were more "user friendly."  We seldom felt the need for an "executive session" and openly discussed items with any resident interested enough to attend our meetings.  We felt it was important to keep everyone informed -- after all, it was their money we were spending.

I enjoy reading your column -- you provide a great service to HOA.  So, how do we solve this problem?

E.A., Newport Beach

Dear E.A.:
Executive session is often over-used, in spite of the law's very clear restrictions on what can be discussed in executive session.  Under Civil Code Section 1363.05(b) (in the Open Meeting Act portion of the Davis-Stirling Act), only a very few items can be handled in executive session: Litigation (or threatened), association employee issues, member discipline or member payment plans to catch up arrearages, and formation of contracts.  That is it -- only those topics.

In addition to being illegal, the overuse of executive session discourages members, as you have experienced yourself, and destroys trust and confidence in the board.  As volunteer directors, preserving your neighbors' trust in your should be paramount.

Association business, except for executive session topics, should be conducted in the open, with members watching -- quietly.

If the Board works in closed session due to fear of interruptions, then adopt and enforce reasonable meeting conduct rules.  Meetings should be open.

The answer is to educate the community on proper common interest development practices.  Hopefully your Board will also read this column, and learn more about the proper use of executive session.

Best regards,

Kelly G. Richardson, Esq.

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