"There's No Place Like Home"
New Laws Impact All Homeowners Associations

"Toto, I've a feeling we're not in Kansas anymore." Like a twister, new laws out of the 82nd Legislature have changed the rules for homeowners associations. With a Wizard of Oz theme, C.I.A. Services has scheduled several events to spread the word about how these new laws impact every homeowners association in Texas. These free seminars will explain the changes in a practical manner and provide the tools to come into compliance and stay there. Everyone will leave the seminar with a handbook with sample guidelines, policies, letters and other materials that have been expertly prepared for your immediate use.

Each event will be fun and entertaining while conveying this important information. Ralph Troiano is a dynamic speaker and has prepared a rich, audio-visual presentation. Those who have attended any of his seminars know he makes the most challenging topics understandable and provides meaningful perspective that you can relate to.

These seminars are free and open to all community leaders and industry professionals. The elected officials who have passed these laws have been invited to see the industry's responsible approach to implementing their creations. A social hour with food and refreshments will be held before each seminar to mingle with others. And each seminar will have $1,000 in cash and prizes given away as door prizes!

Here is the seminar line-up. Another seminar is being considered for the San Antonio area in September.

Full information on the seminars is on the home page of our website where you can view the seminar flyer, press release and sample slides. Advance registration is required and you can do that online or by calling 713-981-9000 in the Houston area and 210-490-0000 in the San Antonio area. These seminars are being widely publicized so we expect to reach capacity in each venue - in other words, register soon since seating is limited.

Let us help you safely travel the Yellow Brick Road.

Community Spotlight:
Atascocita West Community Improvement Association
by Brenda Alvarez

Treasurer Yolanda Rivera and President Shawn Sanders

President Shawn Sanders and Treasurer Yolanda Rivera have served on the Atascocita West board since 1999. Their dedication to the community is matched by their passion for each of their other endeavors.

Shawn is an Eagle Scout and enjoys model railroading. He has served in many capacities on the board of directors for the Gulf Coast Chapter - National Railway Historical Society which operates the Houston Railroad Museum. Shawn also serves on the Vestry at Christ the King Episcopal Church, Atascocita where he combined and installed two vintage pipe organs with the help of members of the congregation in 2009. In addition to local church involvement, Shawn serves on the Music Commission for the Episcopal Diocese of Texas and assists with transportation logistics for major music conventions including the 2008 Association of Anglican Musicians Conference and the upcoming 2016 American Guild of Organists Convention. Shawn is employed by a Houston based pipe organ technical firm which handles anything to do with pipe organs. Shawn has lived in Atascocita West since 1998 with his wife Gina and their two daughters, Kelli and Emily.

Yolanda Rivera is a retired Nurse Manager from the Harris County Hospital District. She enjoys reading, making jewelry and cooking. She has two children. Her son, a retired Marine, received the bronze star while serving in Iraq and now lives in North Carolina where Yolanda visits him and his family often. Yolanda also enjoys the time she spends with her daughter and three grandchildren that live in Houston. Yolanda is a delightful AWCIA board member who will volunteer to tackle any task and enjoys serving her community.

Shawn and Yolanda have provided long term guidance for Atascocita West but they readily acknowledge the contributions from all the board members who have served with them. They are supported by Vice President Tony Karasiewicz, Secretary Shannon Rosier and Director Roy Gordon. These five dedicated board members give their time to the community and are constantly making plans for future improvements.

Atascocita West is celebrating its 35th anniversary this year. The Board and several other active volunteers are planning a good, old street party for the community to celebrate.

C.I.A. Services is proud to be a partner with such a wonderful community for the last 14 years!

On the Leading Edge

Over the years, C.I.A. Services has been proud to be on the leading edge of the management industry in many small and large ways. The latest legislation is another example of where the new laws are forcing others to catch up to us. Here a few examples:

• Payment plans - Effective January 1st, section 209.0062 has been added to the Texas Property Code (TPC) which requires that associations offer owners "alternative payment schedules". Since C.I.A. Services was formed 27 years ago, payment plans have always been a part of our process. Owners who cannot pay their assessments in full are encouraged to contact us for a payment plan. Our management software analyzes active payment plans and produces reminder letters for missed payments and "void" letters if the owner does come current after the reminder. A decade ago, we started our multi-payment option with annual assessments where an owner can pay their annual assessment in two to four installments before the January 31st without even filling out any paperwork. We send all owners the coupons and extra return envelopes in case they would like to use the option.



• Contingent collections - Effective January 1st, section 209.0064 has been added to the TPC which discourages contingent collections with a third party collections agent. It doesn't prohibit using collection agencies but specifies that a property owner is not liable for that agency's fee. In other words, previously, if a $1,000 debt was turned over, the agency would collect $1,400 and give $1,000 to the association. Under the new law, the agency would collect $1,000 and turn over $600 to the association. As a company, we have discouraged use of collection agencies and seldomly used attorneys with true contingent collection arrangements. Not because it wasn't effective but because we and the association would loose control of the debt once turned over under that arrangement. In those situations, delinquent owners were frequently subjected to harsh collection techniques.



• Right to vote - Effective September 1st, section 209.00592 has been added to the TPC which prohibits an association from withholding voting rights from any owner for any reason. Most Bylaws allow a Board to withhold certain rights, including votes, for several reasons including unpaid assessments. In most cases, withholding voting rights has not been automatic - the Board needed to make a specific decision to withhold voting rights. It has almost always been our recommendation that voting rights not be withheld. Now it will be the law.



• Absentee ballots - Most Bylaws allow two voting methods: in person and by proxy. A proxy is where you assign your voting rights in writing to another person to attend the meeting to vote on your behalf. That takes effort, a friend who will be attending and trust in that persons judgment. Why can't I just mail in my vote? We've been using absentee ballots since the 1980's even where Bylaws only allowed proxy voting. How have we legally done this? Rather simply, actually, we provided a proxy assigned to the Secretary of the Association with instructions to cast my votes as I have marked on the proxy. The result is a directed proxy (legal) which, to any owner, looks like an absentee ballot. Effective September 1st, section 209.00593 has been added to the TPC to give every owner the right to vote by absentee ballot in every election or member vote.



• Online voting - The new TPC section noted above also allows voting by "electronic ballot" when the owner can be confirmed. Since 2000, we have provided our owners with the additional option to vote online through our website. In order to validate the owner, online voters must provide their personal identification number (PIN). When we mail the meeting notice, we provide a 6 digit, randomly generated PIN which is good for this meeting only. Our online voting is actually more secure than voting in person since we don't check IDs on people who attend the meeting to vote.



• Public website - Effective January 1st, section 207.006 has been added to the TPC which requires that all dedicatory instruments be posted online if an association or management company maintains a publicly accessible website. Since we launched our website 11 years ago, all dedicatory instruments for all of our communities have always been posted. Our website is totally open so nobody needs a user ID or password to access the information. The law allows two exceptions. (1) If an association doesn't have a website, they are not required to create one - this makes sense for small self-managed associations. (2) The law only applies to publicly accessible sites - if an association or management company doesn't want to post documents, they can require password access and no longer be publicly accessible - that isn't in the spirit of the law.



• Software - At C.I.A. Services, we are very proud of our proprietary management software, RedDog. Several things in the new laws will be easier for us because we are able to quickly respond to the changes with new RedDog features. We already mentioned that RedDog generates PINs to allow secure online voting as allowed under section 209.00593. Also, section 209.0063 specifies how partial payments from owners must be applied - we can no longer use the long-accepted business approach of applying payments to the oldest invoices first. RedDog will be able to easily handle that while other management companies are waiting for a "Texas patch" from their national software provider. Finally, section 209.0051 requires that board meeting notices be posted at least 72 hours in advance (we'll do it on our website and emailed to each owner that has provided an email address for this purpose. The emailing step will be a burden for most management companies and self managed associations. RedDog will be modified to identify email addresses provided for meeting notifications and generate the emails.

CAI Radio Show
by Amanda Jensen, CMCA, AMS

Did you know there is a talk radio show just for you, the homeowner? Community Spotlight Radio is a talk show produced by volunteers of the Community Associations Institute comprised of community managers, board members and business partners. We produce shows that matter to you! With focus on educating and informing our listeners, we bring forth topics of valuable information to shed a positive light on homeowner associations and homeowners with interests that impact our communities throughout the Greater Houston area.

Whether you want to be a savvy board member or an informed homeowner, tune in to Houston Talk 650 AM every Saturday from 4:00 p.m. to 5:00 p.m. Missed it? Every show is recorded then produced as a podcast so you may listen on-line at your convenience. For more information about the show, visit www.communityspotlightradio.com or listen to all podcasts at www.communityspotlightpodcast.com. Archive shows include topics such as foreclosure practices, emergency management, community benefits of boy and girl scouts and include guest speakers such as Houston Mayor Annise Parker and Homeland Security's Office of Emergency Management. Sign up for email updates and join us on Facebook!

To learn more about CAI visit www.caihouston.org or call 713-784-5462.

Seminar Schedule

We are pleased to announce the seminars for the remainder of 2011 in our C.I.A. Services Seminar Series for Board members and volunteers. Beginning in 2012, we'll schedule them on a calendar year basis so the 2012 schedule will be released in December. All seminars in all locations are now free! Here is the line up for the rest of 2011:

	The Super-Budgeting Process "Super-Budgeting" is our term for preparing a comprehensive long term budget and business plan. This isn't something you do on the back of an envelope an hour before the budget meeting. We'll break the process down into understandable components and show you how assets and reserves fit in the picture. We'll start with a simple question that very few people can answer correctly: "How much money should our Association have in the bank?" By the end of the seminar, you'll know the correct answer for your Association. This is a critical seminar to take before you start looking at budgets. September 14, 2011 (Wednesday), 6:00 p.m. — North Office September 20, 2010 (Tuesday), 6:00 p.m. — Bandera Office September 29, 2010 (Thursday), 6:00 p.m. — Southwest Office
	Board Member Orientation This seminar is a must for all new Board members and a great refresher for seasoned veterans. It will help you get up to speed quickly by understanding your responsibilities and authorities. We'll review each of the documents that govern the way you do business. We'll give you an overview of the governing documents, basis of authority, conduct of meetings, elections, collections, deed restrictions, architectural control and many other important topics. October 18, 2011 (Tuesday), 6:00 p.m. — North Office October 27, 2011 (Thursday), 6:00 p.m. — Southwest Office November 16, 2011 (Wednesday), 6:00 p.m. — Bandera Office
	Facilities, Contracts & Maintenance If you don't know the difference between a vacuum breaker and a vacuum head and you're not comfortable wandering around a swimming pool pump room, then this seminar is for you. We'll review your major facilities and equipment including irrigation systems, pool mechanical equipment, gate operators and explain how they work (and fail). We'll move onto the essentials of bidding major contracts. When we're finished, you'll be talking like a skilled contractor! October 19, 2011 (Wednesday), 6:00 p.m. — Bandera Office November 9, 2011 (Wednesday), 6:00 p.m. — North Office November 17, 2011 (Thursday), 6:00 p.m. — Southwest Office

Each seminar begins at 6:00 p.m. and runs 2 hours. We provide deli sandwiches so you won't have to rush to eat dinner beforehand. You'll leave with knowledge you can use immediately and a great notebook with the seminar slides, samples and reference materials for your future reference and to share with others. Here are upcoming seminars.

To view the seminar descriptions and schedule, click here or visit the Library page of our website. You can register at any time by calling our office or emailing seminars@ciaservices.com.

Community of the Month

We are proud of every one of our communities so it is always hard to find just one to highlight. We start by having each of our Community Managers write a nomination for one of their communities. We then read them and take a vote. Here are our most recent selections:

• August - Bridlewood Estates Property Owners Association
  Southwest Office - Kim Moore, Community Manager
• July - Silverglen North Homeowners Association
  North Office - Roxanne Bailey, Community Manager
• June - Telfair Community Council
  Southwest Office - Libby Hodges, Community Manager

To see the full story on these communities and to see the past winners, visit the Community of the Month page on our web site.

Anniversaries

Every month we appreciate the communities that are celebrating their anniversaries with us. Here are the clients that started with us in August.

• Country Colony Community Improvement Association — 16 years
• Telfair Community Council — 5 years
• Quail Green Homeowners Association — 4 years

Our goal has always been to create a positive, long term relationship with all of our client communities. We are very proud to be managing all of these communities.

Employee Spotlight

• Congratulations to North Office community managers Linda Morris and Annette Escarenio on receiving their Association Management Specialist (AMS) designations from Community Associations Institute. Both are also working towards their Professional Community Association Manager (PCAM) designations which is the highest professional recognition available nationwide.
• Congratulations to four employees who are celebrating anniversaries with C.I.A. Services. Kim Moore and Angie Thomas both joined us 13 years ago, Annette Escarenio, has now completed 9 years and Frances McIntyre is celebrating her 6th anniversary. Kim is our Southwest Office branch manager, Angie provides a variety of support services at our North Office, Annette is a North Office community manager, and Frances is an administrative assistant at our North Office.

Linda Morris	Annette Escarenio	Kim Moore

Angie Thomas	Frances McIntyre