Common interest developments: ballots: quorums.

The Davis-Stirling Common Interest Development Act governs the establishment and management of common interest developments. These provisions require that a common interest development be managed by an association and that elections related to the governance or administration of the common interest development conform to specified requirements, including the establishment of a quorum. Existing law provides for votes on specified matters to be held by secret ballot and requires the ballots to be sent, with 2 preaddressed envelopes, to each member of the association, in accordance with the model used by California counties for ensuring confidentiality of "vote by mail" ballots. This bill would clarify that the ballots are mailed in accordance with the model used by California counties for ensuring confidentiality of "voter absentee" ballots, and would specify that each ballot be placed into an inner envelope that is sealed and then placed into an outside mailing envelope addressed to the inspector for the election. This bill, until January 1, 2014, would provide that, notwithstanding governing documents to the contrary and except for associations whose governing documents provide for a reduced quorum for a 2nd election utilizing the same ballot, as provided, the quorum required for purposes of a 2nd election of directors would be 40% of the association's voting power, as specified. The bill would also provide that if an election of directors could not be held due to the failure to obtain a quorum, as specified above, the quorum required for additional elections would be 33%. This bill would require that these provisions be disclosed in the members' election materials mailed to the members, including what the quorum for a 2nd or additional election of directors will be if there is a failure to obtain a quorum in the initial election. This bill would also provide that these provisions do not apply to any election other than an election of directors. The bill would authorize associations to continue using the quorum requirements for an election of directors in the current governing documents, as provided. The Common Interest Development Open Meeting Act provides that any member of the governing association of a common interest development may attend meetings of the board of directors of the association, except as specified. This bill would allow the board of directors to participate in a meeting through the use of conference telephone or electronic video screen, if all participating board members are able to hear one another and members of the association speaking before the board. This bill would also make technical, clarifying changes to that provision.