First step is for members to call a Special Meeting
Most state laws and community Declarations require that a Special Meeting of the Members may be called by homeowners holding 20% or more of the total votes in the Association. It is important to note that any petition provided by homeowners desiring a recall should indicate that the purpose of the petition is not directly to vote on the removal of a director, but rather to demand that the Association call a Special Meeting for the purpose of allowing homeowners to vote on the proposed recall and removal of a director.
Notice
In the event a Special Meeting of the Members is called for recall purposes, the notice for such meeting should:
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Be mailed to all homeowners not less than 10 days or more than 50 days prior to the meeting, and in accordance with the Association’s Bylaws.
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Be physically posted in the community.
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Be posted on the Association’s website and emailed to all homeowners who have provided an email address to the Association and requested such electronic notice.
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Indicate that the purpose of the meeting is to vote upon the proposed recall and removal of the Board and clarify if the entire Board or only specific individual directors will be subject to the removal vote at the meeting.
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Include a proxy form.
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Include a clear agenda and outline the process that will occur at the meeting including the process to allow homeowners and directors to address the membership and how any vacancies will be filled if a director is removed.
At the Meeting
Make sure the Association provides ample time for check-in. There needs to be a system in place to issue ballots to homeowners at the check-in and to verify proxies. A sheet should be provided to allow those homeowners who wish to speak at the meeting to sign up. The Association should follow its Conduct of Meeting Policy and agenda with respect to time limits and ground rules for speaking at the meeting. Board members who are subject to the recall vote should also be given an opportunity to address the homeowners and state their case.
After the relevant parties have been given an opportunity to speak, the vote should be conducted, and the ballots counted. Implement a fair and impartial system to count the ballots and allow observers from each side to observe the count. The ballots must be retained in the Association’s records.
Voting Requirements
The Association’s governing documents, typically the Bylaws, should outline the vote required to remove a director from office. Directors can be removed with or without cause. Most state laws provide that a director for a HOA community may be removed by a vote of 67% of the homeowners present and voting at the meeting, or by proxy – assuming the Association’s quorum requirements are met. Proxies are only utilized during meetings (physical or virtual) when members are unable to attend but want to participate nonetheless. A proxy designates another individual to step into the shoes of the proxy-issuing owner and attend the meeting in such person’s place. Pursuant to most state law, an owner is deemed present at a meeting if such owner issues a proxy to an individual who actually attends the meeting. Proxies may be issued to count towards quorum only, or proxies may allow the proxyholders to vote on agenda items, including elections. A proxy is not a ballot and the proxy holder must be provided with a physical ballot in exchange for the proxy at the meeting.
Next Steps
After the vote, all parties should recognize that the homeowners have spoken and accept the results. If one or more of the directors are removed, a vote will typically be held at the meeting to elect a replacement director(s). However, as stated above, the replacement process should comply with the requirements of the Association’s Bylaws and be outlined on the agenda that is sent to homeowners along with the meeting notice. This will ensure that everyone is on the same page regarding the process to fill any vacancies resulting from the vote.
Please Vote Below