MANAGER
QUALIFICATIONS

QUESTION: We have a management company comprised of one person. He has disclosed no training or qualifications. I understand that such people do not need qualifications, but is he not obliged by law to disclose this information during the yearly disclosures? Is there anything we can do about this?

ANSWER:There is no requirement that managers be certified. However, there is a requirement that they disclose whether or not they are certified. Although certification is no guarantee of competence, it shows the manager has basic knowledge of the industry.

Certifications. Professional certifications are offered through the California Association of Community Managers (CACM), Community Associations Institute (CAI), and the National Board of Certification of Community Association Managers (NBC-CAM).

Board Expectations. Even though your manager is not currently certified, he may be taking classes that will lead to certification. If not, your board may be satisfied with the level of service he is providing for the fee charged. Another point to consider, the manager may already have enough experience that he has no need for certification, i.e., he's been managing HOAs for 15 or 20+ years.

PAID PROFESSIONAL
DIRECTORS?

QUESTION: Since no one in our association is willing to serve on the board, can we hire professional board members?

ANSWER: Theoretically yes but you would need to amend your governing documents to allow for paid non-member directors.

In the event you found individuals willing to serve as professional directors, it is unlikely they would do so unless your association signed a written agreement holding them harmless from their own negligent acts and indemnifying them against third party lawsuits. If they were smart, they would also require that your association provide them with professional liability insurance.

Higher Dues. Since professional directors don't work for free, your dues will go up.

FEEDBACK RE
UNTRAINED BOARDS

Agonizing Over Apples & Oranges. Directors with no experience but willing to learn is fine when the condo is new and needs no repairs. We watched our board over the last six years agonize over bids for this or that, not realizing they were often comparing apples with oranges. They have no idea of alternative ways of doing things. We have a management company but the girl assigned to us has all the repair savvy of the usual 20-year old. We have taken to attending every board meeting (my husband is an ex-homebuilder, property manager, and electrical engineer) just to make sure they understand what they are reading. If you ask, so why isn't he on the board--it's because he's not very tactful telling other people... well, anything. We really enjoy your column and have learned a lot. -Sylvia W.

RESPONSE: Unfortunately experienced volunteers, your husband excepted, often take the General Sherman approach to service. When Civil War General William T. Sherman was being considered as a candidate for the presidential election of 1884, he declined, saying, "If drafted, I will not run; if nominated, I will not accept; if elected, I will not serve." Because volunteers are usually inexperienced, knowledgeable managers are worth their weight in gold. Boards should not skimp when it comes to hiring good management.

Duty to Remain Informed. I look forward to your newsletter every Sunday. It's a wonderful resource, insightful, on-target, and often, damned funny. I loved your response to the writer who complained about the pot-growing resident. Yes, as directors (even as members) we have a duty to remain informed. No, we don't need to be legislated into it (which would fail anyway). But you really nailed it when you suggested the qualification most needed by anyone who thinks of running for a CID board is a healthy sense of humor. -Tim P.

RESPONSE: I agree, further legislation is not the answer. Even courts use untrained citizens to decide cases ranging from capital punishment to civil actions involving millions. Using volunteers is an imperfect system but it’s better than the alternatives.

	Sincerely yours,      Adrian J. Adams, Esq.    Adams Kessler PLC
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