Old | New | Differences | |
---|---|---|---|
1 | 1 | ||
2 | 2 | ||
3 | 3 | EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. | |
4 | 4 | [Brackets] indicate matter deleted from existing law. | |
5 | - | Underlining indicates amendments to bill. | |
6 | - | Strike out indicates matter stricken from the bill by amendment or deleted from the law by | |
7 | - | amendment. | |
8 | 5 | *hb0705* | |
9 | 6 | ||
10 | 7 | HOUSE BILL 705 | |
11 | 8 | N1 4lr2554 | |
12 | 9 | HB 331/23 – ENT | |
13 | 10 | By: Delegate Terrasa | |
14 | 11 | Introduced and read first time: January 26, 2024 | |
15 | 12 | Assigned to: Environment and Transportation | |
16 | - | Committee Report: Favorable | |
17 | - | House action: Adopted | |
18 | - | Read second time: February 23, 2024 | |
19 | 13 | ||
20 | - | ||
14 | + | A BILL ENTITLED | |
21 | 15 | ||
22 | 16 | AN ACT concerning 1 | |
23 | 17 | ||
24 | 18 | Real Property – Cooperative Housing Corporations, Condominiums, and 2 | |
25 | 19 | Homeowners Associations – Virtual Meetings 3 | |
26 | 20 | ||
27 | 21 | FOR the purpose of requiring a person conducting a meeting of a cooperative housing 4 | |
28 | 22 | corporation, condominium, or homeowners association by telephone conference, 5 | |
29 | 23 | video conference, or similar electronic means to provide a participant a reasonable 6 | |
30 | 24 | opportunity to participate in the meeting; requiring certain participants in a meeting 7 | |
31 | 25 | of a cooperative housing corporation, condominium, or homeowners association to 8 | |
32 | 26 | have equal access to any available chat function; specifying that a meeting of a 9 | |
33 | 27 | cooperative housing corporation, condominium, or homeowners association by 10 | |
34 | 28 | electronic transmission may be held only in accordance with certain provisions of 11 | |
35 | 29 | law; and generally relating to cooperative housing corporations, condominiums, and 12 | |
36 | 30 | homeowners associations. 13 | |
37 | 31 | ||
38 | 32 | BY repealing and reenacting, without amendments, 14 | |
39 | 33 | Article – Corporations and Associations 15 | |
40 | 34 | Section 5–6B–19 16 | |
41 | 35 | Annotated Code of Maryland 17 | |
42 | 36 | (2014 Replacement Volume and 2023 Supplement) 18 | |
43 | 37 | ||
44 | 38 | BY repealing and reenacting, with amendments, 19 | |
45 | 39 | Article – Corporations and Associations 20 | |
46 | 40 | Section 5–6B–25.1 21 | |
47 | 41 | Annotated Code of Maryland 22 | |
48 | - | (2014 Replacement Volume and 2023 Supplement) 23 2 HOUSE BILL 705 | |
42 | + | (2014 Replacement Volume and 2023 Supplement) 23 | |
43 | + | ||
44 | + | BY repealing and reenacting, without amendments, 24 | |
45 | + | Article – Real Property 25 | |
46 | + | Section 11–109 and 11B–111 26 | |
47 | + | Annotated Code of Maryland 27 | |
48 | + | (2023 Replacement Volume) 28 2 HOUSE BILL 705 | |
49 | 49 | ||
50 | 50 | ||
51 | 51 | ||
52 | - | BY repealing and reenacting, | |
52 | + | BY repealing and reenacting, with amendments, 1 | |
53 | 53 | Article – Real Property 2 | |
54 | - | Section 11– | |
54 | + | Section 11–139.3 and 11B–113.6 3 | |
55 | 55 | Annotated Code of Maryland 4 | |
56 | 56 | (2023 Replacement Volume) 5 | |
57 | 57 | ||
58 | - | BY repealing and reenacting, with amendments, 6 | |
59 | - | Article – Real Property 7 | |
60 | - | Section 11–139.3 and 11B–113.6 8 | |
61 | - | Annotated Code of Maryland 9 | |
62 | - | (2023 Replacement Volume) 10 | |
58 | + | SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6 | |
59 | + | That the Laws of Maryland read as follows: 7 | |
63 | 60 | ||
64 | - | SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11 | |
65 | - | That the Laws of Maryland read as follows: 12 | |
61 | + | Article – Corporations and Associations 8 | |
66 | 62 | ||
67 | - | ||
63 | + | 5–6B–19. 9 | |
68 | 64 | ||
69 | - | 5–6B–19. 14 | |
65 | + | (a) This section applies to any meeting of a cooperative housing corporation, the 10 | |
66 | + | governing body of a cooperative housing corporation, or a committee of a cooperative 11 | |
67 | + | housing corporation, notwithstanding anything contained in the documents of the 12 | |
68 | + | cooperative housing corporation. 13 | |
70 | 69 | ||
71 | - | (a) This section applies to any meeting of a cooperative housing corporation, the 15 | |
72 | - | governing body of a cooperative housing corporation, or a committee of a cooperative 16 | |
73 | - | housing corporation, notwithstanding anything contained in the documents of the 17 | |
74 | - | cooperative housing corporation. 18 | |
70 | + | (b) Subject to the provisions of subsection (e) of this section, all meetings of the 14 | |
71 | + | cooperative housing corporation shall be open to the members of the cooperative housing 15 | |
72 | + | corporation or their agents. 16 | |
75 | 73 | ||
76 | - | (b) Subject to the provisions of subsection (e) of this section, all meetings of the 19 | |
77 | - | cooperative housing corporation shall be open to the members of the cooperative housing 20 | |
78 | - | corporation or their agents. 21 | |
74 | + | (c) All members shall be given reasonable notice of all regularly scheduled open 17 | |
75 | + | meetings of the cooperative housing corporation. 18 | |
79 | 76 | ||
80 | - | (c) All members shall be given reasonable notice of all regularly scheduled open 22 | |
81 | - | meetings of the cooperative housing corporation. 23 | |
77 | + | (d) (1) This subsection does not apply to a meeting of a governing body that 19 | |
78 | + | occurs at any time before the members, other than the developer, have a majority of votes 20 | |
79 | + | in the cooperative housing corporation. 21 | |
82 | 80 | ||
83 | - | (d) (1) This subsection does not apply to a meeting of a governing body that 24 | |
84 | - | occurs at any time before the members, other than the developer, have a majority of votes 25 | |
85 | - | in the cooperative housing corporation. 26 | |
81 | + | (2) Subject to paragraph (3) of this subsection and to reasonable rules 22 | |
82 | + | adopted by a governing body, a governing body shall provide a designated period of time 23 | |
83 | + | during a meeting to allow members an opportunity to comment on any matter relating to 24 | |
84 | + | the cooperative housing corporation. 25 | |
86 | 85 | ||
87 | - | (2) Subject to paragraph (3) of this subsection and to reasonable rules 27 | |
88 | - | adopted by a governing body, a governing body shall provide a designated period of time 28 | |
89 | - | during a meeting to allow members an opportunity to comment on any matter relating to 29 | |
90 | - | the cooperative housing corporation. 30 | |
86 | + | (3) During a meeting at which the agenda is limited to specific topics or at 26 | |
87 | + | a special meeting, the comments of members may be limited to the topics listed on the 27 | |
88 | + | meeting agenda. 28 | |
91 | 89 | ||
92 | - | (3) During a meeting at which the agenda is limited to specific topics or at 31 | |
93 | - | a special meeting, the comments of members may be limited to the topics listed on the 32 | |
94 | - | meeting agenda. 33 | |
90 | + | (e) (1) A meeting of a cooperative housing corporation may be held in closed 29 | |
91 | + | session only for the purpose of: 30 | |
95 | 92 | ||
96 | - | (e) (1) A meeting of a cooperative housing corporation may be held in closed 34 | |
97 | - | session only for the purpose of: 35 HOUSE BILL 705 3 | |
93 | + | (i) Discussing matters pertaining to employees and personnel; 31 | |
94 | + | ||
95 | + | (ii) Protecting the privacy or reputation of individuals in matters not 32 | |
96 | + | related to the business of the cooperative housing corporation; 33 | |
97 | + | HOUSE BILL 705 3 | |
98 | + | ||
99 | + | ||
100 | + | (iii) Consulting with legal counsel on legal matters; 1 | |
101 | + | ||
102 | + | (iv) Consulting with staff personnel, consultants, attorneys, board 2 | |
103 | + | members, or other persons in connection with pending or potential litigation or other legal 3 | |
104 | + | matters; 4 | |
105 | + | ||
106 | + | (v) Conducting investigative proceedings concerning possible or 5 | |
107 | + | actual criminal misconduct; 6 | |
108 | + | ||
109 | + | (vi) Considering the terms or conditions of a business transaction in 7 | |
110 | + | the negotiation stage if the disclosure could adversely affect the economic interests of the 8 | |
111 | + | cooperative housing corporation; 9 | |
112 | + | ||
113 | + | (vii) Complying with a specific constitutional, statutory, or judicially 10 | |
114 | + | imposed requirement protecting particular proceedings or matters from public disclosure; 11 | |
115 | + | or 12 | |
116 | + | ||
117 | + | (viii) Discussing individual owner assessment accounts. 13 | |
118 | + | ||
119 | + | (2) If a meeting is held in closed session under paragraph (1) of this 14 | |
120 | + | subsection: 15 | |
121 | + | ||
122 | + | (i) An action may not be taken and a matter may not be discussed if 16 | |
123 | + | it is not permitted by paragraph (1) of this subsection; and 17 | |
124 | + | ||
125 | + | (ii) The minutes of the next meeting of the cooperative housing 18 | |
126 | + | corporation shall include: 19 | |
127 | + | ||
128 | + | 1. A statement of the time, place, and purpose of a closed 20 | |
129 | + | meeting; 21 | |
130 | + | ||
131 | + | 2. A record of the vote of each board or committee member by 22 | |
132 | + | which the meeting was closed; and 23 | |
133 | + | ||
134 | + | 3. A statement of the authority under this subsection for 24 | |
135 | + | closing the meeting. 25 | |
136 | + | ||
137 | + | 5–6B–25.1. 26 | |
138 | + | ||
139 | + | (a) (1) Notwithstanding language contained in the governing documents of the 27 | |
140 | + | cooperative housing corporation, the board of directors may authorize any meetings of the 28 | |
141 | + | cooperative housing corporation, the board of directors, or a committee of the cooperative 29 | |
142 | + | housing corporation to be conducted or attended by telephone conference, video conference, 30 | |
143 | + | or similar electronic means. 31 | |
144 | + | ||
145 | + | (2) If a meeting is conducted by telephone conference, video conference, or 32 | |
146 | + | similar electronic means[, the]: 33 4 HOUSE BILL 705 | |
98 | 147 | ||
99 | 148 | ||
100 | 149 | ||
101 | - | (i) Discussing matters pertaining to employees and personnel; 1 | |
150 | + | (I) THE equipment or system used must permit any member, board 1 | |
151 | + | member, or committee member in attendance to hear and be heard by all other members 2 | |
152 | + | participating in the meeting IN ACCORDANCE WITH T HE GOVERNING DOCUMEN TS; 3 | |
102 | 153 | ||
103 | - | (ii) | |
104 | - | ||
154 | + | (II) THE PERSON CONDUCTING THE MEETING SHALL ALLOW 4 | |
155 | + | ALL PARTICIPANTS A R EASONABLE OPPORTUNIT Y TO: 5 | |
105 | 156 | ||
106 | - | (iii) Consulting with legal counsel on legal matters; 4 | |
157 | + | 1. BE HEARD BY ALL OTHER MEMBERS PARTICIPATIN G 6 | |
158 | + | IN THE MEETING ; AND 7 | |
107 | 159 | ||
108 | - | (iv) Consulting with staff personnel, consultants, attorneys, board 5 | |
109 | - | members, or other persons in connection with pending or potential litigation or other legal 6 | |
110 | - | matters; 7 | |
160 | + | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 8 | |
161 | + | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 9 | |
111 | 162 | ||
112 | - | (v) Conducting investigative proceedings concerning possible or 8 | |
113 | - | actual criminal misconduct; 9 | |
163 | + | (III) PROVIDED THAT AL L PARTICIPANTS ARE G RANTED THE 10 | |
164 | + | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 11 | |
165 | + | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 12 | |
114 | 166 | ||
115 | - | (vi) Considering the terms or conditions of a business transaction in 10 | |
116 | - | the negotiation stage if the disclosure could adversely affect the economic interests of the 11 | |
117 | - | cooperative housing corporation; 12 | |
167 | + | 1. WHILE THE GOVERNING B ODY OR ITS DESIGNEE IS 13 | |
168 | + | CONDUCTING BUSINESS ; 14 | |
118 | 169 | ||
119 | - | (vii) Complying with a specific constitutional, statutory, or judicially 13 | |
120 | - | imposed requirement protecting particular proceedings or matters from public disclosure; 14 | |
121 | - | or 15 | |
170 | + | 2. DURING PRESENTATIONS ; AND 15 | |
122 | 171 | ||
123 | - | (viii) Discussing individual owner assessment accounts. 16 | |
172 | + | 3. TO AVOID INTERFERENCE FROM BACKGROUND 16 | |
173 | + | NOISE; AND 17 | |
124 | 174 | ||
125 | - | (2) If a meeting is held in closed session under paragraph (1) of this 17 | |
126 | - | subsection: 18 | |
175 | + | (IV) IF A PARTICIPANT INTE RFERES IN THE ABILIT Y TO 18 | |
176 | + | CONDUCT THE MEETING , THE PERSON CONDUCTIN G THE MEETING OR THE 19 | |
177 | + | PERSON’S DESIGNEE MAY : 20 | |
127 | 178 | ||
128 | - | | |
129 | - | ||
179 | + | 1. REVOKE THE ABILITY FO R THE PARTICIPANT TO 21 | |
180 | + | UNMUTE; AND 22 | |
130 | 181 | ||
131 | - | | |
132 | - | ||
182 | + | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 23 | |
183 | + | MEETING AFTER WARNIN G THE PARTICIPANT . 24 | |
133 | 184 | ||
134 | - | 1. A statement of the time, place, and purpose of a closed 23 | |
135 | - | meeting; 24 | |
185 | + | (3) IF A MEETING IS CONDU CTED BY VIDEO CONFER ENCE OR SIMILAR 25 | |
186 | + | ELECTRONIC MEANS , ALL PARTICIPANTS SHALL HAVE THE SAME ACCESS TO ANY 26 | |
187 | + | CHAT FUNCTION . 27 | |
136 | 188 | ||
137 | - | 2. A record of the vote of each board or committee member by 25 | |
138 | - | which the meeting was closed; and 26 | |
139 | - | ||
140 | - | 3. A statement of the authority under this subsection for 27 | |
141 | - | closing the meeting. 28 | |
142 | - | ||
143 | - | 5–6B–25.1. 29 | |
144 | - | ||
145 | - | (a) (1) Notwithstanding language contained in the governing documents of the 30 | |
146 | - | cooperative housing corporation, the board of directors may authorize any meetings of the 31 4 HOUSE BILL 705 | |
189 | + | (4) A link or instructions on how to access the meeting by telephone 28 | |
190 | + | conference, video conference, or similar electronic means shall be included in the notice of 29 | |
191 | + | the meeting. 30 | |
192 | + | HOUSE BILL 705 5 | |
147 | 193 | ||
148 | 194 | ||
149 | - | cooperative housing corporation, the board of directors, or a committee of the cooperative 1 | |
150 | - | housing corporation to be conducted or attended by telephone conference, video conference, 2 | |
151 | - | or similar electronic means. 3 | |
195 | + | [(4)] (5) No specific authorization from members shall be required to hold 1 | |
196 | + | a meeting electronically. 2 | |
152 | 197 | ||
153 | - | (2) If a meeting is conducted by telephone conference, video conference, or 4 | |
154 | - | similar electronic means[, the]: 5 | |
198 | + | (6) A MEETING OF THE GOVER NING BODY HELD BY ELECTRONIC 3 | |
199 | + | TRANSMISSION MAY BE HELD ONLY IN ACCORDA NCE WITH § 5–6B–19 OF THIS 4 | |
200 | + | SUBTITLE. 5 | |
155 | 201 | ||
156 | - | ( | |
157 | - | ||
158 | - | ||
202 | + | (b) Any member, board member, or committee member attending a meeting by 6 | |
203 | + | telephone conference, video conference, or similar electronic means shall be deemed present 7 | |
204 | + | for quorum and voting purposes. 8 | |
159 | 205 | ||
160 | - | (II) THE PERSON CONDUCTING THE MEETING SHALL AL LOW 9 | |
161 | - | ALL PARTICIPANTS A R EASONABLE OPPORTUNIT Y TO: 10 | |
206 | + | (c) (1) (i) Any matter requiring a vote of the cooperative housing 9 | |
207 | + | corporation may be set by the board of directors for a vote at the meeting, and a ballot may 10 | |
208 | + | be delivered to members with notice of the meeting. 11 | |
162 | 209 | ||
163 | - | 1. BE HEARD BY ALL OTHER MEMBERS PARTICIPATIN G 11 | |
164 | - | IN THE MEETING ; AND 12 | |
210 | + | (ii) Only those members present during the telephone conference, 12 | |
211 | + | video conference, or similar electronic meeting shall be authorized to vote a ballot in 13 | |
212 | + | accordance with this subsection. 14 | |
165 | 213 | ||
166 | - | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 13 | |
167 | - | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 14 | |
214 | + | (iii) Members who are not present at the meeting may: 15 | |
168 | 215 | ||
169 | - | (III) PROVIDED THAT ALL PAR TICIPANTS ARE GRANTE D THE 15 | |
170 | - | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 16 | |
171 | - | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 17 | |
216 | + | 1. Vote by proxy in accordance with the requirements of the 16 | |
217 | + | governing documents and this title; and 17 | |
172 | 218 | ||
173 | - | | |
174 | - | ||
219 | + | 2. Be considered present for quorum purposes through their 18 | |
220 | + | proxy. 19 | |
175 | 221 | ||
176 | - | 2. DURING PRESENTATIONS ; AND 20 | |
222 | + | (2) (i) The board of directors may set a reasonable deadline for return 20 | |
223 | + | of a ballot to the cooperative housing corporation, including return by electronic 21 | |
224 | + | transmission. 22 | |
177 | 225 | ||
178 | - | | |
179 | - | ||
226 | + | (ii) The deadline for return of the ballot shall be not later than 24 23 | |
227 | + | hours after the conclusion of the meeting. 24 | |
180 | 228 | ||
181 | - | ( | |
182 | - | ||
183 | - | ||
229 | + | (d) Notwithstanding language contained in the governing documents of the 25 | |
230 | + | cooperative housing corporation, nominations from the floor at the meeting are not required 26 | |
231 | + | if at least one candidate has been nominated to fill each open board position. 27 | |
184 | 232 | ||
185 | - | 1. REVOKE THE ABILITY FO R THE PARTICIPANT TO 26 | |
186 | - | UNMUTE; AND 27 | |
233 | + | (e) The inability of a member to join a meeting due to technical difficulties with 28 | |
234 | + | the member’s telephone, computer, or other electronic device does not invalidate the 29 | |
235 | + | meeting or any action taken at the meeting. 30 | |
187 | 236 | ||
188 | - | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 28 | |
189 | - | MEETING AFTER WARNIN G THE PARTICIPANT . 29 | |
237 | + | Article – Real Property 31 | |
190 | 238 | ||
191 | - | (3) IF A MEETING IS CONDU CTED BY VIDEO CONFER ENCE OR SIMILAR 30 | |
192 | - | ELECTRONIC MEANS , ALL PARTICIPANTS SHALL HAVE THE SAME ACCESS TO ANY 31 | |
193 | - | CHAT FUNCTION . 32 HOUSE BILL 705 5 | |
239 | + | 11–109. 32 | |
240 | + | 6 HOUSE BILL 705 | |
241 | + | ||
242 | + | ||
243 | + | (a) The affairs of the condominium shall be governed by a council of unit owners 1 | |
244 | + | which, even if unincorporated, is constituted a legal entity for all purposes. The council of 2 | |
245 | + | unit owners shall be comprised of all unit owners. 3 | |
246 | + | ||
247 | + | (b) The bylaws may authorize or provide for the delegation of any power of the 4 | |
248 | + | council of unit owners to a board of directors, officers, managing agent, or other person for 5 | |
249 | + | the purpose of carrying out the responsibilities of the council of unit owners. 6 | |
250 | + | ||
251 | + | (c) (1) A meeting of the council of unit owners or board of directors may not be 7 | |
252 | + | held on less notice than required by this section. 8 | |
253 | + | ||
254 | + | (2) The council of unit owners shall maintain a current roster of names and 9 | |
255 | + | addresses of each unit owner to which notice of meetings of the board of directors shall be 10 | |
256 | + | sent at least annually. 11 | |
257 | + | ||
258 | + | (3) Each unit owner shall furnish the council of unit owners with his name 12 | |
259 | + | and current mailing address. A unit owner may not vote at meetings of the council of unit 13 | |
260 | + | owners until this information is furnished. 14 | |
261 | + | ||
262 | + | (4) A regular or special meeting of the council of unit owners may not be 15 | |
263 | + | held on less than 10 nor more than 90 days’: 16 | |
264 | + | ||
265 | + | (i) Written notice delivered or mailed to each unit owner at the 17 | |
266 | + | address shown on the roster on the date of the notice; or 18 | |
267 | + | ||
268 | + | (ii) Notice sent to each unit owner by electronic transmission, if the 19 | |
269 | + | requirements of § 11–139.1 of this title are met. 20 | |
270 | + | ||
271 | + | (5) Notice of special meetings of the board of directors shall be given: 21 | |
272 | + | ||
273 | + | (i) As provided in the bylaws; or 22 | |
274 | + | ||
275 | + | (ii) If the requirements of § 11–139.1 of this title are met, by 23 | |
276 | + | electronic transmission. 24 | |
277 | + | ||
278 | + | (6) Except as provided in § 11–109.1 of this title, a meeting of a governing 25 | |
279 | + | body shall be open and held at a time and location as provided in the notice or bylaws. 26 | |
280 | + | ||
281 | + | (7) (i) This paragraph does not apply to any meeting of the governing 27 | |
282 | + | body that occurs at any time before the meeting at which the unit owners elect officers or a 28 | |
283 | + | board of directors in accordance with paragraph (16) of this subsection. 29 | |
284 | + | ||
285 | + | (ii) Subject to subparagraph (iii) of this paragraph and to reasonable 30 | |
286 | + | rules adopted by the governing body under § 11–111 of this title, a governing body shall 31 | |
287 | + | provide a designated period of time during a meeting to allow unit owners an opportunity 32 | |
288 | + | to comment on any matter relating to the condominium. 33 | |
289 | + | HOUSE BILL 705 7 | |
290 | + | ||
291 | + | ||
292 | + | (iii) During a meeting at which the agenda is limited to specific topics 1 | |
293 | + | or at a special meeting, the unit owners’ comments may be limited to the topics listed on 2 | |
294 | + | the meeting agenda. 3 | |
295 | + | ||
296 | + | (iv) The governing body shall convene at least one meeting each year 4 | |
297 | + | at which the agenda is open to any matter relating to the condominium. 5 | |
298 | + | ||
299 | + | (8) (i) Unless the bylaws provide otherwise, a quorum is deemed 6 | |
300 | + | present throughout any meeting of the council of unit owners if persons entitled to cast 25 7 | |
301 | + | percent of the total number of votes appurtenant to all units are present in person or by 8 | |
302 | + | proxy. 9 | |
303 | + | ||
304 | + | (ii) If the number of persons present in person or by proxy at a 10 | |
305 | + | properly called meeting of the council of unit owners is insufficient to constitute a quorum, 11 | |
306 | + | an additional meeting of the council of unit owners may be called for the same purpose if: 12 | |
307 | + | ||
308 | + | 1. The notice of the initial properly called meeting stated: 13 | |
309 | + | ||
310 | + | A. That the procedure authorized by this paragraph might be 14 | |
311 | + | invoked; and 15 | |
312 | + | ||
313 | + | B. The date, time, and place of the additional meeting; and 16 | |
314 | + | ||
315 | + | 2. A majority of the unit owners present vote in person or by 17 | |
316 | + | proxy to call for the additional meeting. 18 | |
317 | + | ||
318 | + | (iii) 1. An additional meeting called under subparagraph (ii) of 19 | |
319 | + | this paragraph shall occur not less than 15 days after the initial properly called meeting. 20 | |
320 | + | ||
321 | + | 2. Not less than 10 days before the additional meeting, a 21 | |
322 | + | separate and distinct notice of the date, time, place, and purpose of the additional meeting 22 | |
323 | + | called under subparagraph (ii) of this paragraph shall be: 23 | |
324 | + | ||
325 | + | A. Delivered, mailed, or sent by electronic transmission if the 24 | |
326 | + | requirements of § 11–139.1 of this title are met, to each unit owner at the address shown 25 | |
327 | + | on the roster maintained under paragraph (2) of this subsection; 26 | |
328 | + | ||
329 | + | B. Advertised in a newspaper published in the county where 27 | |
330 | + | the condominium is located; or 28 | |
331 | + | ||
332 | + | C. If the condominium has a website, posted on the homepage 29 | |
333 | + | of the website. 30 | |
334 | + | ||
335 | + | 3. The notice shall contain the quorum and voting provisions 31 | |
336 | + | of subparagraph (iv) of this paragraph. 32 | |
337 | + | 8 HOUSE BILL 705 | |
338 | + | ||
339 | + | ||
340 | + | (iv) 1. At the additional meeting, the unit owners present in 1 | |
341 | + | person or by proxy constitute a quorum. 2 | |
342 | + | ||
343 | + | 2. Unless the bylaws provide otherwise, a majority of the 3 | |
344 | + | unit owners present in person or by proxy: 4 | |
345 | + | ||
346 | + | A. May approve or authorize the proposed action at the 5 | |
347 | + | additional meeting; and 6 | |
348 | + | ||
349 | + | B. May take any other action that could have been taken at 7 | |
350 | + | the original meeting if a sufficient number of unit owners had been present. 8 | |
351 | + | ||
352 | + | (v) This paragraph may not be construed to affect the percentage of 9 | |
353 | + | votes required to amend the declaration or bylaws or to take any other action required to 10 | |
354 | + | be taken by a specified percentage of votes. 11 | |
355 | + | ||
356 | + | (9) At meetings of the council of unit owners each unit owner shall be 12 | |
357 | + | entitled to cast the number of votes appurtenant to his unit. Unit owners may vote by proxy, 13 | |
358 | + | but the proxy is effective only for a maximum period of 180 days following its issuance, 14 | |
359 | + | unless granted to a lessee or mortgagee. 15 | |
360 | + | ||
361 | + | (10) Any proxy may be revoked at any time at the pleasure of the unit owner 16 | |
362 | + | or unit owners executing the proxy. 17 | |
363 | + | ||
364 | + | (11) A proxy who is not appointed to vote as directed by a unit owner may 18 | |
365 | + | only be appointed for purposes of meeting quorums and to vote for matters of business 19 | |
366 | + | before the council of unit owners, other than an election of officers and members of the 20 | |
367 | + | board of directors. 21 | |
368 | + | ||
369 | + | (12) Only a unit owner voting in person or by electronic transmission if the 22 | |
370 | + | requirements of § 11–139.2 of this title are met or a proxy voting for candidates designated 23 | |
371 | + | by a unit owner may vote for officers and members of the board of directors. 24 | |
372 | + | ||
373 | + | (13) Unless otherwise provided in the bylaws, a unit owner may nominate 25 | |
374 | + | himself or any other person to be an officer or member of the board of directors. A call for 26 | |
375 | + | nominations shall be sent to all unit owners not less than 45 days before notice of an election 27 | |
376 | + | is sent. Only nominations made at least 15 days before notice of an election shall be listed 28 | |
377 | + | on the election ballot. Candidates shall be listed on the ballot in alphabetical order, with 29 | |
378 | + | no indicated candidate preference. Nominations may be made from the floor at the meeting 30 | |
379 | + | at which the election to the board is held. 31 | |
380 | + | ||
381 | + | (14) Election materials prepared with funds of the council of unit owners 32 | |
382 | + | shall list candidates in alphabetical order and may not indicate a candidate preference. 33 | |
383 | + | ||
384 | + | (15) Unless otherwise provided in this title, and subject to provisions in the 34 | |
385 | + | bylaws requiring a different majority, decisions of the council of unit owners shall be made 35 | |
386 | + | on a majority of votes of the unit owners listed on the current roster present and voting. 36 HOUSE BILL 705 9 | |
194 | 387 | ||
195 | 388 | ||
196 | 389 | ||
197 | - | ( | |
198 | - | ||
199 | - | ||
390 | + | (16) (i) A meeting of the council of unit owners to elect a board of 1 | |
391 | + | directors for the council of unit owners, as provided in the condominium declaration or 2 | |
392 | + | bylaws, shall be held within: 3 | |
200 | 393 | ||
201 | - | [(4)] (5) No specific authorization from members shall be required to hold 4 | |
202 | - | a meeting electronically. 5 | |
394 | + | 1. 60 days from the date that units representing 50 percent 4 | |
395 | + | of the votes in the condominium have been conveyed by the developer to members of the 5 | |
396 | + | public for residential purposes; or 6 | |
203 | 397 | ||
204 | - | | |
205 | - | ||
206 | - | ||
398 | + | 2. If a lesser percentage is specified in the declaration or 7 | |
399 | + | bylaws of the condominium, 60 days from the date the specified lesser percentage of units 8 | |
400 | + | in the condominium are sold to members of the public for residential purposes. 9 | |
207 | 401 | ||
208 | - | ( | |
209 | - | ||
210 | - | ||
402 | + | (ii) 1. Before the date of the meeting held under subparagraph 10 | |
403 | + | (i) of this paragraph, the developer shall deliver to each unit owner notice that the 11 | |
404 | + | requirements of subparagraph (i) of this paragraph have been met. 12 | |
211 | 405 | ||
212 | - | (c) (1) (i) Any matter requiring a vote of the cooperative housing 12 | |
213 | - | corporation may be set by the board of directors for a vote at the meeting, and a ballot may 13 | |
214 | - | be delivered to members with notice of the meeting. 14 | |
406 | + | 2. The notice shall include the date, time, and place of the 13 | |
407 | + | meeting to elect the board of directors for the council of unit owners. 14 | |
215 | 408 | ||
216 | - | ( | |
217 | - | ||
218 | - | ||
409 | + | (iii) If a replacement board member is elected, the term of each 15 | |
410 | + | member of the board of directors appointed by the developer shall end 10 days after the 16 | |
411 | + | meeting is held as specified in subparagraph (i) of this paragraph. 17 | |
219 | 412 | ||
220 | - | (iii) Members who are not present at the meeting may: 18 | |
413 | + | (iv) Within 30 days from the date of the meeting held und er 18 | |
414 | + | subparagraph (i) of this paragraph, the developer shall deliver to the officers or board of 19 | |
415 | + | directors for the council of unit owners, as provided in the condominium declaration or 20 | |
416 | + | bylaws, at the developer’s expense: 21 | |
221 | 417 | ||
222 | - | 1. Vote by proxy in accordance with the requirements of the 19 | |
223 | - | governing documents and this title; and 20 | |
418 | + | 1. The documents specified in § 11–132 of this title; 22 | |
224 | 419 | ||
225 | - | 2. | |
226 | - | ||
420 | + | 2. The condominium funds, including operating funds, 23 | |
421 | + | replacement reserves, investment accounts, and working capital; 24 | |
227 | 422 | ||
228 | - | (2) (i) The board of directors may set a reasonable deadline for return 23 | |
229 | - | of a ballot to the cooperative housing corporation, including return by electronic 24 | |
230 | - | transmission. 25 | |
423 | + | 3. The tangible property of the condominium; and 25 | |
231 | 424 | ||
232 | - | | |
233 | - | ||
425 | + | 4. A roster of current unit owners, including mailing 26 | |
426 | + | addresses, telephone numbers, and unit numbers, if known. 27 | |
234 | 427 | ||
235 | - | (d) Notwithstanding language contained in the governing documents of the 28 | |
236 | - | cooperative housing corporation, nominations from the floor at the meeting are not required 29 | |
237 | - | if at least one candidate has been nominated to fill each open board position. 30 | |
428 | + | (v) The replacement reserves delivered under subparagraph (iv)2 of 28 | |
429 | + | this paragraph for a residential condominium shall be equal to at least the reserve funding 29 | |
430 | + | amount recommended in the reserve study completed under § 11–109.4 of this title as of 30 | |
431 | + | the date of the meeting. 31 | |
238 | 432 | ||
239 | - | (e) The inability of a member to join a meeting due to technical difficulties with 31 | |
240 | - | the member’s telephone, computer, or other electronic device does not invalidate the 32 | |
241 | - | meeting or any action taken at the meeting. 33 | |
242 | - | 6 HOUSE BILL 705 | |
433 | + | (vi) 1. This subparagraph does not apply to a contract entered 32 | |
434 | + | into before October 1, 2009. 33 | |
435 | + | 10 HOUSE BILL 705 | |
243 | 436 | ||
244 | 437 | ||
245 | - | Article – Real Property 1 | |
438 | + | 2. A. In this subparagraph, “contract” means an 1 | |
439 | + | agreement with a company or individual to handle financial matters, maintenance, or 2 | |
440 | + | services for the condominium. 3 | |
246 | 441 | ||
247 | - | 11–109. 2 | |
442 | + | B. “Contract” does not include an agreement relating to the 4 | |
443 | + | provision of utility services or communication systems. 5 | |
248 | 444 | ||
249 | - | (a) The affairs of the condominium shall be governed by a council of unit owners 3 | |
250 | - | which, even if unincorporated, is constituted a legal entity for all purposes. The council of 4 | |
251 | - | unit owners shall be comprised of all unit owners. 5 | |
445 | + | 3. Until all members of the board of directors of the 6 | |
446 | + | condominium are elected by the unit owners at a transitional meeting as specified in 7 | |
447 | + | subparagraph (i) of this paragraph, a contract entered into by the officers or board of 8 | |
448 | + | directors of the condominium may be terminated, at the discretion of the board of directors 9 | |
449 | + | and without liability for the termination, not later than 30 days after notice. 10 | |
252 | 450 | ||
253 | - | ( | |
254 | - | ||
255 | - | ||
451 | + | (vii) If the developer fails to comply with the requirements of this 11 | |
452 | + | paragraph, an aggrieved unit owner may submit the dispute to the Division of Consumer 12 | |
453 | + | Protection of the Office of the Attorney General under § 11–130(c) of this title. 13 | |
256 | 454 | ||
257 | - | (c) (1) A meeting of the council of unit owners or board of directors may not be 9 | |
258 | - | held on less notice than required by this section. 10 | |
455 | + | (d) The council of unit owners may be either incorporated as a nonstock 14 | |
456 | + | corporation or unincorporated and it is subject to those provisions of Title 5, Subtitle 2 of 15 | |
457 | + | the Corporations and Associations Article which are not inconsistent with this title. The 16 | |
458 | + | council of unit owners has, subject to any provision of this title, and except as provided in 17 | |
459 | + | item (22) of this subsection, the declaration, and bylaws, the following powers: 18 | |
259 | 460 | ||
260 | - | (2) The council of unit owners shall maintain a current roster of names and 11 | |
261 | - | addresses of each unit owner to which notice of meetings of the board of directors shall be 12 | |
262 | - | sent at least annually. 13 | |
461 | + | (1) To have perpetual existence, subject to the right of the unit owners to 19 | |
462 | + | terminate the condominium regime as provided in § 11–123 of this title; 20 | |
263 | 463 | ||
264 | - | (3) Each unit owner shall furnish the council of unit owners with his name 14 | |
265 | - | and current mailing address. A unit owner may not vote at meetings of the council of unit 15 | |
266 | - | owners until this information is furnished. 16 | |
464 | + | (2) To adopt and amend reasonable rules and regulations; 21 | |
267 | 465 | ||
268 | - | ( | |
269 | - | ||
466 | + | (3) To adopt and amend budgets for revenues, expenditures, and reserves 22 | |
467 | + | and collect assessments for common expenses from unit owners; 23 | |
270 | 468 | ||
271 | - | (i) Written notice delivered or mailed to each unit owner at the 19 | |
272 | - | address shown on the roster on the date of the notice; or 20 | |
469 | + | (4) To sue and be sued, complain and defend, or intervene in litigation or 24 | |
470 | + | administrative proceedings in its own name on behalf of itself or two or more unit owners 25 | |
471 | + | on matters affecting the condominium; 26 | |
273 | 472 | ||
274 | - | (ii) Notice sent to each unit owner by electronic transmission, if the 21 | |
275 | - | requirements of § 11–139.1 of this title are met. 22 | |
473 | + | (5) To transact its business, carry on its operations and exercise the powers 27 | |
474 | + | provided in this subsection in any state, territory, district, or possession of the United 28 | |
475 | + | States and in any foreign country; 29 | |
276 | 476 | ||
277 | - | (5) Notice of special meetings of the board of directors shall be given: 23 | |
477 | + | (6) To make contracts and guarantees, incur liabilities and borrow money, 30 | |
478 | + | sell, mortgage, lease, pledge, exchange, convey, transfer, and otherwise dispose of any part 31 | |
479 | + | of its property and assets; 32 | |
278 | 480 | ||
279 | - | (i) As provided in the bylaws; or 24 | |
280 | - | ||
281 | - | (ii) If the requirements of § 11–139.1 of this title are met, by 25 | |
282 | - | electronic transmission. 26 | |
283 | - | ||
284 | - | (6) Except as provided in § 11–109.1 of this title, a meeting of a governing 27 | |
285 | - | body shall be open and held at a time and location as provided in the notice or bylaws. 28 | |
286 | - | ||
287 | - | (7) (i) This paragraph does not apply to any meeting of the governing 29 | |
288 | - | body that occurs at any time before the meeting at which the unit owners elect officers or a 30 | |
289 | - | board of directors in accordance with paragraph (16) of this subsection. 31 | |
290 | - | HOUSE BILL 705 7 | |
481 | + | (7) To issue bonds, notes, and other obligations and secure the same by 33 | |
482 | + | mortgage or deed of trust of any part of its property, franchises, and income; 34 | |
483 | + | HOUSE BILL 705 11 | |
291 | 484 | ||
292 | 485 | ||
293 | - | (ii) Subject to subparagraph (iii) of this paragraph and to reasonable 1 | |
294 | - | rules adopted by the governing body under § 11–111 of this title, a governing body shall 2 | |
295 | - | provide a designated period of time during a meeting to allow unit owners an opportunity 3 | |
296 | - | to comment on any matter relating to the condominium. 4 | |
486 | + | (8) To acquire by purchase or in any other manner, to take, receive, own, 1 | |
487 | + | hold, use, employ, improve, and otherwise deal with any property, real or personal, or any 2 | |
488 | + | interest therein, wherever located; 3 | |
297 | 489 | ||
298 | - | (iii) During a meeting at which the agenda is limited to specific topics 5 | |
299 | - | or at a special meeting, the unit owners’ comments may be limited to the topics listed on 6 | |
300 | - | the meeting agenda. 7 | |
490 | + | (9) To hire and terminate managing agents and other employees, agents, 4 | |
491 | + | and independent contractors; 5 | |
301 | 492 | ||
302 | - | (iv) The governing body shall convene at least one meeting each year 8 | |
303 | - | at which the agenda is open to any matter relating to the condominium. 9 | |
493 | + | (10) To purchase, take, receive, subscribe for or otherwise acquire, own, 6 | |
494 | + | hold, vote, use, employ, sell, mortgage, loan, pledge or otherwise dispose of, and otherwise 7 | |
495 | + | use and deal in and with, shares or other interests in, or obligation of corporations of the 8 | |
496 | + | State, or foreign corporations, and of associations, partnerships, and individuals; 9 | |
304 | 497 | ||
305 | - | ( | |
306 | - | ||
307 | - | ||
308 | - | ||
498 | + | (11) To invest its funds and to lend money in any manner appropriate to 10 | |
499 | + | enable it to carry on the operations or to fulfill the purposes named in the declaration or 11 | |
500 | + | bylaws, and to take and to hold real and personal property as security for the payment of 12 | |
501 | + | funds so invested or loaned; 13 | |
309 | 502 | ||
310 | - | (ii) If the number of persons present in person or by proxy at a 14 | |
311 | - | properly called meeting of the council of unit owners is insufficient to constitute a quorum, 15 | |
312 | - | an additional meeting of the council of unit owners may be called for the same purpose if: 16 | |
503 | + | (12) To regulate the use, maintenance, repair, replacement, and 14 | |
504 | + | modification of common elements; 15 | |
313 | 505 | ||
314 | - | 1. The notice of the initial properly called meeting stated: 17 | |
506 | + | (13) To cause additional improvements to be made as a part of the general 16 | |
507 | + | common elements; 17 | |
315 | 508 | ||
316 | - | A. That the procedure authorized by this paragraph might be 18 | |
317 | - | invoked; and 19 | |
509 | + | (14) To grant easements, rights–of–way, licenses, leases in excess of 1 year, 18 | |
510 | + | or similar interests through or over the common elements in accordance with § 11–125(f) 19 | |
511 | + | of this title; 20 | |
318 | 512 | ||
319 | - | B. The date, time, and place of the additional meeting; and 20 | |
513 | + | (15) To impose and receive any payments, fees, or charges for the use, rental, 21 | |
514 | + | or operation of the common elements other than limited common elements; 22 | |
320 | 515 | ||
321 | - | 2. A majority of the unit owners present vote in person or by 21 | |
322 | - | proxy to call for the additional meeting. 22 | |
516 | + | (16) To impose charges for late payment of assessments and, after notice 23 | |
517 | + | and an opportunity to be heard, levy reasonable fines for violations of the declaration, 24 | |
518 | + | bylaws, and rules and regulations of the council of unit owners, under § 11–113 of this title; 25 | |
323 | 519 | ||
324 | - | (iii) 1. An additional meeting called under subparagraph (ii) of 23 | |
325 | - | this paragraph shall occur not less than 15 days after the initial properly called meeting. 24 | |
520 | + | (17) To impose reasonable charges for the preparation and recordation of 26 | |
521 | + | amendments to the declaration, bylaws, rules, regulations, or resolutions, resale 27 | |
522 | + | certificates, or statements of unpaid assessments; 28 | |
326 | 523 | ||
327 | - | | |
328 | - | ||
329 | - | ||
524 | + | (18) To provide for the indemnification of and maintain liability insurance 29 | |
525 | + | for officers, directors, and any managing agent or other employee charged with the 30 | |
526 | + | operation or maintenance of the condominium; 31 | |
330 | 527 | ||
331 | - | A. Delivered, mailed, or sent by electronic transmission if the 28 | |
332 | - | requirements of § 11–139.1 of this title are met, to each unit owner at the address shown 29 | |
333 | - | on the roster maintained under paragraph (2) of this subsection; 30 | |
528 | + | (19) To enforce the implied warranties made to the council of unit owners by 32 | |
529 | + | the developer under § 11–131 of this title; 33 | |
334 | 530 | ||
335 | - | B. Advertised in a newspaper published in the county where 31 | |
336 | - | the condominium is located; or 32 | |
337 | - | ||
338 | - | C. If the condominium has a website, posted on the homepage 33 | |
339 | - | of the website. 34 8 HOUSE BILL 705 | |
531 | + | (20) To enforce the provisions of this title, the declaration, bylaws, and rules 34 | |
532 | + | and regulations of the council of unit owners against any unit owner or occupant; 35 12 HOUSE BILL 705 | |
340 | 533 | ||
341 | 534 | ||
342 | 535 | ||
343 | - | 3. The notice shall contain the quorum and voting provisions 1 | |
344 | - | of subparagraph (iv) of this paragraph. 2 | |
536 | + | (21) Generally, to exercise the powers set forth in this title and the 1 | |
537 | + | declaration or bylaws and to do every other act not inconsistent with law, which may be 2 | |
538 | + | appropriate to promote and attain the purposes set forth in this title, the declaration or 3 | |
539 | + | bylaws; and 4 | |
345 | 540 | ||
346 | - | ( | |
347 | - | ||
541 | + | (22) To designate parking for individuals with disabilities, notwithstanding 5 | |
542 | + | any provision in the declaration, bylaws, or rules and regulations. 6 | |
348 | 543 | ||
349 | - | 2. Unless the bylaws provide otherwise, a majority of the 5 | |
350 | - | unit owners present in person or by proxy: 6 | |
544 | + | (e) A unit owner may not have any right, title, or interest in any property owned 7 | |
545 | + | by the council of unit owners other than as holder of a percentage interest in common 8 | |
546 | + | expenses and common profits appurtenant to his unit. 9 | |
351 | 547 | ||
352 | - | A | |
353 | - | ||
548 | + | (f) A unit owner’s rights as holder of a percentage interest in common expenses 10 | |
549 | + | and common profits are such that: 11 | |
354 | 550 | ||
355 | - | | |
356 | - | ||
551 | + | (1) A unit owner’s right to possess, use, or enjoy property of the council of 12 | |
552 | + | unit owners shall be as provided in the bylaws; and 13 | |
357 | 553 | ||
358 | - | (v) This paragraph may not be construed to affect the percentage of 11 | |
359 | - | votes required to amend the declaration or bylaws or to take any other action required to 12 | |
360 | - | be taken by a specified percentage of votes. 13 | |
554 | + | (2) A unit owner’s interest in the property is not assignable or attachable 14 | |
555 | + | separate from his unit except as provided in §§ 11–107(d) and 11–112(g) of this title. 15 | |
361 | 556 | ||
362 | - | (9) At meetings of the council of unit owners each unit owner shall be 14 | |
363 | - | entitled to cast the number of votes appurtenant to his unit. Unit owners may vote by proxy, 15 | |
364 | - | but the proxy is effective only for a maximum period of 180 days following its issuance, 16 | |
365 | - | unless granted to a lessee or mortgagee. 17 | |
557 | + | 11–139.3. 16 | |
366 | 558 | ||
367 | - | (10) Any proxy may be revoked at any time at the pleasure of the unit owner 18 | |
368 | - | or unit owners executing the proxy. 19 | |
559 | + | (a) (1) Notwithstanding language contained in the governing documents of the 17 | |
560 | + | council of unit owners, the board of directors may authorize any meetings of the council of 18 | |
561 | + | unit owners, the board of directors, or a committee of the council of unit owners or the board 19 | |
562 | + | of directors to be conducted or attended by telephone conference, video conference, or 20 | |
563 | + | similar electronic means. 21 | |
369 | 564 | ||
370 | - | (11) A proxy who is not appointed to vote as directed by a unit owner may 20 | |
371 | - | only be appointed for purposes of meeting quorums and to vote for matters of business 21 | |
372 | - | before the council of unit owners, other than an election of officers and members of the 22 | |
373 | - | board of directors. 23 | |
565 | + | (2) If a meeting is conducted by telephone conference, video conference, or 22 | |
566 | + | similar electronic means[, the]: 23 | |
374 | 567 | ||
375 | - | ( | |
376 | - | ||
377 | - | ||
568 | + | (I) THE equipment or system used must permit any unit owner, 24 | |
569 | + | board member, or committee member in attendance to hear and be heard by all others 25 | |
570 | + | participating in the meeting IN ACCORDANCE WITH T HE GOVERNING DOCUMEN TS; 26 | |
378 | 571 | ||
379 | - | (13) Unless otherwise provided in the bylaws, a unit owner may nominate 27 | |
380 | - | himself or any other person to be an officer or member of the board of directors. A call for 28 | |
381 | - | nominations shall be sent to all unit owners not less than 45 days before notice of an election 29 | |
382 | - | is sent. Only nominations made at least 15 days before notice of an election shall be listed 30 | |
383 | - | on the election ballot. Candidates shall be listed on the ballot in alphabetical order, with 31 | |
384 | - | no indicated candidate preference. Nominations may be made from the floor at the meeting 32 | |
385 | - | at which the election to the board is held. 33 | |
572 | + | (II) THE PERSON CONDUCTING THE MEETING SHALL AL LOW 27 | |
573 | + | ALL PARTICIPANTS A R EASONABLE OPPORTUNIT Y TO: 28 | |
386 | 574 | ||
387 | - | (14) Election materials prepared with funds of the council of unit owners 34 | |
388 | - | shall list candidates in alphabetical order and may not indicate a candidate preference. 35 HOUSE BILL 705 9 | |
575 | + | 1. BE HEARD BY ALL OTHER S PARTICIPATING IN T HE 29 | |
576 | + | MEETING; AND 30 | |
577 | + | ||
578 | + | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 31 | |
579 | + | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 32 | |
580 | + | HOUSE BILL 705 13 | |
581 | + | ||
582 | + | ||
583 | + | (III) PROVIDED THA T ALL PARTICIPANTS A RE GRANTED THE 1 | |
584 | + | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 2 | |
585 | + | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 3 | |
586 | + | ||
587 | + | 1. WHILE THE GOVERNING B ODY OR ITS DESIGNEE IS 4 | |
588 | + | CONDUCTING BUSINESS ; 5 | |
589 | + | ||
590 | + | 2. DURING PRESENTATIONS ; AND 6 | |
591 | + | ||
592 | + | 3. TO AVOID INTERFERENCE FROM BACKGROUND 7 | |
593 | + | NOISE; AND 8 | |
594 | + | ||
595 | + | (IV) IF A PARTICIPANT INTE RFERES IN THE ABILIT Y TO 9 | |
596 | + | CONDUCT THE MEETING , THE PERSON CONDUCTIN G THE MEETING OR THE 10 | |
597 | + | PERSON’S DESIGNEE MAY : 11 | |
598 | + | ||
599 | + | 1. REVOKE THE ABILITY FO R THE PARTICIPANT TO 12 | |
600 | + | UNMUTE; AND 13 | |
601 | + | ||
602 | + | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 14 | |
603 | + | MEETING AFTER WARNIN G THE PARTICIPANT . 15 | |
604 | + | ||
605 | + | (3) IF A MEETING IS CONDU CTED BY VIDEO CONFER ENCE OR SIMILAR 16 | |
606 | + | ELECTRONIC MEANS , ALL PARTICIPANTS SHALL HAVE THE SAME ACCESS TO ANY 17 | |
607 | + | CHAT FUNCTION . 18 | |
608 | + | ||
609 | + | (4) A link or instructions on how to access the meeting by telephone 19 | |
610 | + | conference, video conference, or similar electronic means shall be included in the notice of 20 | |
611 | + | the meeting. 21 | |
612 | + | ||
613 | + | [(4)] (5) No specific authorization from unit owners shall be required to 22 | |
614 | + | hold a meeting electronically. 23 | |
615 | + | ||
616 | + | (6) A MEETING OF THE GOVER NING BODY HELD BY ELECTRONIC 24 | |
617 | + | TRANSMISSION MAY BE HELD ONLY IN ACCORDA NCE WITH § 11–109 OF THIS TITLE. 25 | |
618 | + | ||
619 | + | (b) Any unit owner, board member, or committee member attending a meeting by 26 | |
620 | + | telephone conference, video conference, or similar electronic means shall be deemed present 27 | |
621 | + | for quorum and voting purposes. 28 | |
622 | + | ||
623 | + | (c) (1) (i) Any matter requiring a vote of the council of unit owners may be 29 | |
624 | + | set by the board of directors for a vote at the meeting, and a ballot may be delivered to unit 30 | |
625 | + | owners with notice of the meeting. 31 | |
626 | + | 14 HOUSE BILL 705 | |
627 | + | ||
628 | + | ||
629 | + | (ii) Only those unit owners present during the telephone conference, 1 | |
630 | + | video conference, or similar electronic meeting shall be authorized to vote by ballot in 2 | |
631 | + | accordance with this subsection. 3 | |
632 | + | ||
633 | + | (iii) Unit owners who are not present at the meeting may: 4 | |
634 | + | ||
635 | + | 1. Vote by proxy in accordance with the requirements of the 5 | |
636 | + | governing documents and this title; and 6 | |
637 | + | ||
638 | + | 2. Be considered present for quorum purposes through their 7 | |
639 | + | proxy. 8 | |
640 | + | ||
641 | + | (2) (i) The board of directors may set a reasonable deadline for return 9 | |
642 | + | of a ballot to the council of unit owners, including return by electronic transmission. 10 | |
643 | + | ||
644 | + | (ii) The deadline for return of the ballot shall be not later than 24 11 | |
645 | + | hours after the conclusion of the meeting. 12 | |
646 | + | ||
647 | + | (d) Notwithstanding language contained in the governing documents of the 13 | |
648 | + | council of unit owners, nominations from the floor at the meeting are not required if at least 14 | |
649 | + | one candidate has been nominated to fill each open board position. 15 | |
650 | + | ||
651 | + | (e) The inability of a unit owner to join a meeting due to technical difficulties with 16 | |
652 | + | the unit owner’s telephone, computer, or other electronic device does not invalidate the 17 | |
653 | + | meeting or any action taken at the meeting. 18 | |
654 | + | ||
655 | + | 11B–111. 19 | |
656 | + | ||
657 | + | Except as provided in this title, and notwithstanding anything contained in any of 20 | |
658 | + | the documents of the homeowners association: 21 | |
659 | + | ||
660 | + | (1) Subject to the provisions of item (4) of this section, all meetings of the 22 | |
661 | + | homeowners association, including meetings of the board of directors or other governing 23 | |
662 | + | body of the homeowners association or a committee of the homeowners association, shall 24 | |
663 | + | be open to all members of the homeowners association or their agents; 25 | |
664 | + | ||
665 | + | (2) All members of the homeowners association shall be given reasonable 26 | |
666 | + | notice of all regularly scheduled open meetings of the homeowners association; 27 | |
667 | + | ||
668 | + | (3) (i) This item does not apply to any meeting of a governing body that 28 | |
669 | + | occurs at any time before the lot owners, other than the developer, have a majority of votes 29 | |
670 | + | in the homeowners association, as provided in the declaration; 30 | |
671 | + | ||
672 | + | (ii) Subject to item (iii) of this item and to reasonable rules adopted 31 | |
673 | + | by a governing body, a governing body shall provide a designated period of time during a 32 | |
674 | + | meeting to allow lot owners an opportunity to comment on any matter relating to the 33 | |
675 | + | homeowners association; 34 HOUSE BILL 705 15 | |
389 | 676 | ||
390 | 677 | ||
391 | 678 | ||
392 | - | ( | |
393 | - | ||
394 | - | ||
679 | + | (iii) During a meeting at which the agenda is limited to specific topics 1 | |
680 | + | or at a special meeting, the lot owners’ comments may be limited to the topics listed on the 2 | |
681 | + | meeting agenda; and 3 | |
395 | 682 | ||
396 | - | (16) (i) A meeting of the council of unit owners to elect a board of 4 | |
397 | - | directors for the council of unit owners, as provided in the condominium declaration or 5 | |
398 | - | bylaws, shall be held within: 6 | |
683 | + | (iv) The governing body shall convene at least one meeting each year 4 | |
684 | + | at which the agenda is open to any matter relating to the homeowners association; 5 | |
399 | 685 | ||
400 | - | | |
401 | - | ||
402 | - | ||
686 | + | (4) A meeting of the board of directors or other governing body of the 6 | |
687 | + | homeowners association or a committee of the homeowners association may be held in 7 | |
688 | + | closed session only for the following purposes: 8 | |
403 | 689 | ||
404 | - | 2. If a lesser percentage is specified in the declaration or 10 | |
405 | - | bylaws of the condominium, 60 days from the date the specified lesser percentage of units 11 | |
406 | - | in the condominium are sold to members of the public for residential purposes. 12 | |
690 | + | (i) Discussion of matters pertaining to employees and personnel; 9 | |
407 | 691 | ||
408 | - | (ii) 1. Before the date of the meeting held under subparagraph 13 | |
409 | - | (i) of this paragraph, the developer shall deliver to each unit owner notice that the 14 | |
410 | - | requirements of subparagraph (i) of this paragraph have been met. 15 | |
692 | + | (ii) Protection of the privacy or reputation of individuals in matters 10 | |
693 | + | not related to the homeowners association’s business; 11 | |
411 | 694 | ||
412 | - | 2. The notice shall include the date, time, and place of the 16 | |
413 | - | meeting to elect the board of directors for the council of unit owners. 17 | |
695 | + | (iii) Consultation with legal counsel on legal matters; 12 | |
414 | 696 | ||
415 | - | ( | |
416 | - | ||
417 | - | ||
697 | + | (iv) Consultation with staff personnel, consultants, attorneys, board 13 | |
698 | + | members, or other persons in connection with pending or potential litigation or other legal 14 | |
699 | + | matters; 15 | |
418 | 700 | ||
419 | - | (iv) Within 30 days from the date of the meeting held under 21 | |
420 | - | subparagraph (i) of this paragraph, the developer shall deliver to the officers or board of 22 | |
421 | - | directors for the council of unit owners, as provided in the condominium declaration or 23 | |
422 | - | bylaws, at the developer’s expense: 24 | |
701 | + | (v) Investigative proceedings concerning possible or actual criminal 16 | |
702 | + | misconduct; 17 | |
423 | 703 | ||
424 | - | 1. The documents specified in § 11–132 of this title; 25 | |
704 | + | (vi) Consideration of the terms or conditions of a business 18 | |
705 | + | transaction in the negotiation stage if the disclosure could adversely affect the economic 19 | |
706 | + | interests of the homeowners association; 20 | |
425 | 707 | ||
426 | - | 2. The condominium funds, including operating funds, 26 | |
427 | - | replacement reserves, investment accounts, and working capital; 27 | |
708 | + | (vii) Compliance with a specific constitutional, statutory, or judicially 21 | |
709 | + | imposed requirement protecting particular proceedings or matters from public disclosure; 22 | |
710 | + | or 23 | |
428 | 711 | ||
429 | - | | |
712 | + | (viii) Discussion of individual owner assessment accounts; 24 | |
430 | 713 | ||
431 | - | 4. A roster of current unit owners, including mailing 29 | |
432 | - | addresses, telephone numbers, and unit numbers, if known. 30 | |
714 | + | (5) If a meeting is held in closed session under item (4) of this section: 25 | |
433 | 715 | ||
434 | - | (v) The replacement reserves delivered under subparagraph (iv)2 of 31 | |
435 | - | this paragraph for a residential condominium shall be equal to at least the reserve funding 32 | |
436 | - | amount recommended in the reserve study completed under § 11–109.4 of this title as of 33 | |
437 | - | the date of the meeting. 34 10 HOUSE BILL 705 | |
716 | + | (i) An action may not be taken and a matter may not be discussed if 26 | |
717 | + | it is not permitted by item (4) of this section; and 27 | |
718 | + | ||
719 | + | (ii) A statement of the time, place, and purpose of a closed meeting, 28 | |
720 | + | the record of the vote of each board or committee member by which the meeting was closed, 29 | |
721 | + | and the authority under this section for closing a meeting shall be included in the minutes 30 | |
722 | + | of the next meeting of the board of directors or the committee of the homeowners 31 | |
723 | + | association; and 32 | |
724 | + | 16 HOUSE BILL 705 | |
438 | 725 | ||
439 | 726 | ||
727 | + | (6) (i) If the number of lot owners present in person or by proxy at a 1 | |
728 | + | properly called meeting is insufficient to constitute a quorum, an additional meeting of the 2 | |
729 | + | lot owners may be called for the same purpose if: 3 | |
440 | 730 | ||
441 | - | (vi) 1. This subparagraph does not apply to a contract entered 1 | |
442 | - | into before October 1, 2009. 2 | |
731 | + | 1. The notice of the initial properly called meeting stated: 4 | |
443 | 732 | ||
444 | - | 2. A. In this subparagraph, “contract” means an 3 | |
445 | - | agreement with a company or individual to handle financial matters, maintenance, or 4 | |
446 | - | services for the condominium. 5 | |
733 | + | A. That the procedure authorized by this item (6) might be 5 | |
734 | + | invoked; and 6 | |
447 | 735 | ||
448 | - | B. “Contract” does not include an agreement relating to the 6 | |
449 | - | provision of utility services or communication systems. 7 | |
736 | + | B. The date, time, and place of the additional meeting; and 7 | |
450 | 737 | ||
451 | - | 3. Until all members of the board of directors of the 8 | |
452 | - | condominium are elected by the unit owners at a transitional meeting as specified in 9 | |
453 | - | subparagraph (i) of this paragraph, a contract entered into by the officers or board of 10 | |
454 | - | directors of the condominium may be terminated, at the discretion of the board of directors 11 | |
455 | - | and without liability for the termination, not later than 30 days after notice. 12 | |
738 | + | 2. A majority of the lot owners present vote in person or by 8 | |
739 | + | proxy to call for the additional meeting; 9 | |
456 | 740 | ||
457 | - | (vii) If the developer fails to comply with the requirements of this 13 | |
458 | - | paragraph, an aggrieved unit owner may submit the dispute to the Division of Consumer 14 | |
459 | - | Protection of the Office of the Attorney General under § 11–130(c) of this title. 15 | |
741 | + | (ii) An additional meeting called under item (i) of this item shall 10 | |
742 | + | occur not less than 15 days after the initial properly called meeting; 11 | |
460 | 743 | ||
461 | - | (d) The council of unit owners may be either incorporated as a nonstock 16 | |
462 | - | corporation or unincorporated and it is subject to those provisions of Title 5, Subtitle 2 of 17 | |
463 | - | the Corporations and Associations Article which are not inconsistent with this title. The 18 | |
464 | - | council of unit owners has, subject to any provision of this title, and except as provided in 19 | |
465 | - | item (22) of this subsection, the declaration, and bylaws, the following powers: 20 | |
744 | + | (iii) 1. Not less than 10 days before the additional meeting, a 12 | |
745 | + | separate and distinct notice of the date, time, place, and purpose of the additional meeting 13 | |
746 | + | called under item (i) of this item shall be: 14 | |
466 | 747 | ||
467 | - | (1) To have perpetual existence, subject to the right of the unit owners to 21 | |
468 | - | terminate the condominium regime as provided in § 11–123 of this title; 22 | |
748 | + | A. Delivered, mailed, or sent by electronic transmission, if 15 | |
749 | + | the requirements of § 11B–113.1 of this title are met, to each lot owner at the address shown 16 | |
750 | + | on the roster maintained by the homeowners association; 17 | |
469 | 751 | ||
470 | - | (2) To adopt and amend reasonable rules and regulations; 23 | |
752 | + | B. Advertised in a newspaper published in the county where 18 | |
753 | + | the homeowners association is located; or 19 | |
471 | 754 | ||
472 | - | | |
473 | - | and | |
755 | + | C. If the homeowners association has a website, posted on the 20 | |
756 | + | homepage of the website; and 21 | |
474 | 757 | ||
475 | - | (4) To sue and be sued, complain and defend, or intervene in litigation or 26 | |
476 | - | administrative proceedings in its own name on behalf of itself or two or more unit owners 27 | |
477 | - | on matters affecting the condominium; 28 | |
758 | + | 2. The notice shall contain the quorum and voting provisions 22 | |
759 | + | of item (iv) of this item; 23 | |
478 | 760 | ||
479 | - | (5) To transact its business, carry on its operations and exercise the powers 29 | |
480 | - | provided in this subsection in any state, territory, district, or possession of the United 30 | |
481 | - | States and in any foreign country; 31 | |
761 | + | (iv) 1. At the additional meeting, the lot owners present in 24 | |
762 | + | person or by proxy constitute a quorum; and 25 | |
482 | 763 | ||
483 | - | (6) To make contracts and guarantees, incur liabilities and borrow money, 32 | |
484 | - | sell, mortgage, lease, pledge, exchange, convey, transfer, and otherwise dispose of any part 33 | |
485 | - | of its property and assets; 34 | |
486 | - | HOUSE BILL 705 11 | |
764 | + | 2. Unless the bylaws provide otherwise, a majority of the lot 26 | |
765 | + | owners present in person or by proxy: 27 | |
487 | 766 | ||
767 | + | A. May approve or authorize the proposed action at the 28 | |
768 | + | additional meeting; and 29 | |
488 | 769 | ||
489 | - | (7) To issue bonds, notes, and other obligations and secure the same by 1 | |
490 | - | mortgage or deed of trust of any part of its property, franchises, and income; 2 | |
491 | - | ||
492 | - | (8) To acquire by purchase or in any other manner, to take, receive, own, 3 | |
493 | - | hold, use, employ, improve, and otherwise deal with any property, real or personal, or any 4 | |
494 | - | interest therein, wherever located; 5 | |
495 | - | ||
496 | - | (9) To hire and terminate managing agents and other employees, agents, 6 | |
497 | - | and independent contractors; 7 | |
498 | - | ||
499 | - | (10) To purchase, take, receive, subscribe for or otherwise acquire, own, 8 | |
500 | - | hold, vote, use, employ, sell, mortgage, loan, pledge or otherwise dispose of, and otherwise 9 | |
501 | - | use and deal in and with, shares or other interests in, or obligation of corporations of the 10 | |
502 | - | State, or foreign corporations, and of associations, partnerships, and individuals; 11 | |
503 | - | ||
504 | - | (11) To invest its funds and to lend money in any manner appropriate to 12 | |
505 | - | enable it to carry on the operations or to fulfill the purposes named in the declaration or 13 | |
506 | - | bylaws, and to take and to hold real and personal property as security for the payment of 14 | |
507 | - | funds so invested or loaned; 15 | |
508 | - | ||
509 | - | (12) To regulate the use, maintena nce, repair, replacement, and 16 | |
510 | - | modification of common elements; 17 | |
511 | - | ||
512 | - | (13) To cause additional improvements to be made as a part of the general 18 | |
513 | - | common elements; 19 | |
514 | - | ||
515 | - | (14) To grant easements, rights–of–way, licenses, leases in excess of 1 year, 20 | |
516 | - | or similar interests through or over the common elements in accordance with § 11–125(f) 21 | |
517 | - | of this title; 22 | |
518 | - | ||
519 | - | (15) To impose and receive any payments, fees, or charges for the use, rental, 23 | |
520 | - | or operation of the common elements other than limited common elements; 24 | |
521 | - | ||
522 | - | (16) To impose charges for late payment of assessments and, after notice 25 | |
523 | - | and an opportunity to be heard, levy reasonable fines for violations of the declaration, 26 | |
524 | - | bylaws, and rules and regulations of the council of unit owners, under § 11–113 of this title; 27 | |
525 | - | ||
526 | - | (17) To impose reasonable charges for the preparation and recordation of 28 | |
527 | - | amendments to the declaration, bylaws, rules, regulations, or resolutions, resale 29 | |
528 | - | certificates, or statements of unpaid assessments; 30 | |
529 | - | ||
530 | - | (18) To provide for the indemnification of and maintain liability insurance 31 | |
531 | - | for officers, directors, and any managing agent or other employee charged with the 32 | |
532 | - | operation or maintenance of the condominium; 33 | |
533 | - | ||
534 | - | (19) To enforce the implied warranties made to the council of unit owners by 34 | |
535 | - | the developer under § 11–131 of this title; 35 12 HOUSE BILL 705 | |
536 | - | ||
537 | - | ||
538 | - | ||
539 | - | (20) To enforce the provisions of this title, the declaration, bylaws, and rules 1 | |
540 | - | and regulations of the council of unit owners against any unit owner or occupant; 2 | |
541 | - | ||
542 | - | (21) Generally, to exercise the powers set forth in this title and the 3 | |
543 | - | declaration or bylaws and to do every other act not inconsistent with law, which may be 4 | |
544 | - | appropriate to promote and attain the purposes set forth in this title, the declaration or 5 | |
545 | - | bylaws; and 6 | |
546 | - | ||
547 | - | (22) To designate parking for individuals with disabilities, notwithstanding 7 | |
548 | - | any provision in the declaration, bylaws, or rules and regulations. 8 | |
549 | - | ||
550 | - | (e) A unit owner may not have any right, title, or interest in any property owned 9 | |
551 | - | by the council of unit owners other than as holder of a percentage interest in common 10 | |
552 | - | expenses and common profits appurtenant to his unit. 11 | |
553 | - | ||
554 | - | (f) A unit owner’s rights as holder of a percentage interest in common expenses 12 | |
555 | - | and common profits are such that: 13 | |
556 | - | ||
557 | - | (1) A unit owner’s right to possess, use, or enjoy property of the council of 14 | |
558 | - | unit owners shall be as provided in the bylaws; and 15 | |
559 | - | ||
560 | - | (2) A unit owner’s interest in the property is not assignable or attachable 16 | |
561 | - | separate from his unit except as provided in §§ 11–107(d) and 11–112(g) of this title. 17 | |
562 | - | ||
563 | - | 11–139.3. 18 | |
564 | - | ||
565 | - | (a) (1) Notwithstanding language contained in the governing documents of the 19 | |
566 | - | council of unit owners, the board of directors may authorize any meetings of the council of 20 | |
567 | - | unit owners, the board of directors, or a committee of the council of unit owners or the board 21 | |
568 | - | of directors to be conducted or attended by telephone conference, video conference, or 22 | |
569 | - | similar electronic means. 23 | |
570 | - | ||
571 | - | (2) If a meeting is conducted by telephone conference, video conference, or 24 | |
572 | - | similar electronic means[, the]: 25 | |
573 | - | ||
574 | - | (I) THE equipment or system used must permit any unit owner, 26 | |
575 | - | board member, or committee member in attendance to hear and be heard by all others 27 | |
576 | - | participating in the meeting IN ACCORDANCE WITH T HE GOVERNING DOCUMEN TS; 28 | |
577 | - | ||
578 | - | (II) THE PERSON CONDUCTING THE MEETING SHALL ALLOW 29 | |
579 | - | ALL PARTICIPANTS A R EASONABLE OPPORTUNIT Y TO: 30 | |
580 | - | ||
581 | - | 1. BE HEARD BY ALL OTHER S PARTICIPATING IN T HE 31 | |
582 | - | MEETING; AND 32 | |
583 | - | HOUSE BILL 705 13 | |
584 | - | ||
585 | - | ||
586 | - | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 1 | |
587 | - | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 2 | |
588 | - | ||
589 | - | (III) PROVIDED THAT ALL PAR TICIPANTS ARE GRANTED T HE 3 | |
590 | - | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 4 | |
591 | - | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 5 | |
592 | - | ||
593 | - | 1. WHILE THE GOVERNING B ODY OR ITS DESIGNEE IS 6 | |
594 | - | CONDUCTING BUSINESS ; 7 | |
595 | - | ||
596 | - | 2. DURING PRESENTATIONS ; AND 8 | |
597 | - | ||
598 | - | 3. TO AVOID INTERFERENCE FROM BACKGROUND 9 | |
599 | - | NOISE; AND 10 | |
600 | - | ||
601 | - | (IV) IF A PARTICIPANT INTE RFERES IN THE ABILIT Y TO 11 | |
602 | - | CONDUCT THE MEETING , THE PERSON CONDUCTIN G THE MEETING OR THE 12 | |
603 | - | PERSON’S DESIGNEE MAY : 13 | |
604 | - | ||
605 | - | 1. REVOKE THE ABILITY FO R THE PARTICIPANT TO 14 | |
606 | - | UNMUTE; AND 15 | |
607 | - | ||
608 | - | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 16 | |
609 | - | MEETING AFTER WARNIN G THE PARTICIPANT . 17 | |
610 | - | ||
611 | - | (3) IF A MEETING IS CONDU CTED BY VIDEO CONFER ENCE OR SIMILAR 18 | |
612 | - | ELECTRONIC MEANS , ALL PARTICIPANTS SHALL HAVE THE SAME ACCESS TO ANY 19 | |
613 | - | CHAT FUNCTION . 20 | |
614 | - | ||
615 | - | (4) A link or instructions on how to access the meeting by telephone 21 | |
616 | - | conference, video conference, or similar electronic means shall be included in the notice of 22 | |
617 | - | the meeting. 23 | |
618 | - | ||
619 | - | [(4)] (5) No specific authorization from unit owners shall be required to 24 | |
620 | - | hold a meeting electronically. 25 | |
621 | - | ||
622 | - | (6) A MEETING OF THE GOVER NING BODY HELD BY ELECTRONIC 26 | |
623 | - | TRANSMISSION MAY BE HELD ONLY IN ACCORDA NCE WITH § 11–109 OF THIS TITLE. 27 | |
624 | - | ||
625 | - | (b) Any unit owner, board member, or committee member attending a meeting by 28 | |
626 | - | telephone conference, video conference, or similar electronic means shall be deemed present 29 | |
627 | - | for quorum and voting purposes. 30 | |
628 | - | 14 HOUSE BILL 705 | |
629 | - | ||
630 | - | ||
631 | - | (c) (1) (i) Any matter requiring a vote of the council of unit owners may be 1 | |
632 | - | set by the board of directors for a vote at the meeting, and a ballot may be delivered to unit 2 | |
633 | - | owners with notice of the meeting. 3 | |
634 | - | ||
635 | - | (ii) Only those unit owners present during the telephone conference, 4 | |
636 | - | video conference, or similar electronic meeting shall be authorized to vote by ballot in 5 | |
637 | - | accordance with this subsection. 6 | |
638 | - | ||
639 | - | (iii) Unit owners who are not present at the meeting may: 7 | |
640 | - | ||
641 | - | 1. Vote by proxy in accordance with the requirements of the 8 | |
642 | - | governing documents and this title; and 9 | |
643 | - | ||
644 | - | 2. Be considered present for quorum purposes through their 10 | |
645 | - | proxy. 11 | |
646 | - | ||
647 | - | (2) (i) The board of directors may set a reasonable deadline for return 12 | |
648 | - | of a ballot to the council of unit owners, including return by electronic transmission. 13 | |
649 | - | ||
650 | - | (ii) The deadline for return of the ballot shall be not later than 24 14 | |
651 | - | hours after the conclusion of the meeting. 15 | |
652 | - | ||
653 | - | (d) Notwithstanding language contained in the governing documents of the 16 | |
654 | - | council of unit owners, nominations from the floor at the meeting are not required if at least 17 | |
655 | - | one candidate has been nominated to fill each open board position. 18 | |
656 | - | ||
657 | - | (e) The inability of a unit owner to join a meeting due to technical difficulties with 19 | |
658 | - | the unit owner’s telephone, computer, or other electronic device does not invalidate the 20 | |
659 | - | meeting or any action taken at the meeting. 21 | |
660 | - | ||
661 | - | 11B–111. 22 | |
662 | - | ||
663 | - | Except as provided in this title, and notwithstanding anything contained in any of 23 | |
664 | - | the documents of the homeowners association: 24 | |
665 | - | ||
666 | - | (1) Subject to the provisions of item (4) of this section, all meetings of the 25 | |
667 | - | homeowners association, including meetings of the board of directors or other governing 26 | |
668 | - | body of the homeowners association or a committee of the homeowners association, shall 27 | |
669 | - | be open to all members of the homeowners association or their agents; 28 | |
670 | - | ||
671 | - | (2) All members of the homeowners association shall be given reasonable 29 | |
672 | - | notice of all regularly scheduled open meetings of the homeowners association; 30 | |
673 | - | ||
674 | - | (3) (i) This item does not apply to any meeting of a governing body that 31 | |
675 | - | occurs at any time before the lot owners, other than the developer, have a majority of votes 32 | |
676 | - | in the homeowners association, as provided in the declaration; 33 | |
677 | - | HOUSE BILL 705 15 | |
678 | - | ||
679 | - | ||
680 | - | (ii) Subject to item (iii) of this item and to reasonable rules adopted 1 | |
681 | - | by a governing body, a governing body shall provide a designated period of time during a 2 | |
682 | - | meeting to allow lot owners an opportunity to comment on any matter relating to the 3 | |
683 | - | homeowners association; 4 | |
684 | - | ||
685 | - | (iii) During a meeting at which the agenda is limited to specific topics 5 | |
686 | - | or at a special meeting, the lot owners’ comments may be limited to the topics listed on the 6 | |
687 | - | meeting agenda; and 7 | |
688 | - | ||
689 | - | (iv) The governing body shall convene at least one meeting each year 8 | |
690 | - | at which the agenda is open to any matter relating to the homeowners association; 9 | |
691 | - | ||
692 | - | (4) A meeting of the board of directors or other governing body of the 10 | |
693 | - | homeowners association or a committee of the homeowners association may be held in 11 | |
694 | - | closed session only for the following purposes: 12 | |
695 | - | ||
696 | - | (i) Discussion of matters pertaining to employees and personnel; 13 | |
697 | - | ||
698 | - | (ii) Protection of the privacy or reputation of individuals in matters 14 | |
699 | - | not related to the homeowners association’s business; 15 | |
700 | - | ||
701 | - | (iii) Consultation with legal counsel on legal matters; 16 | |
702 | - | ||
703 | - | (iv) Consultation with staff personnel, consultants, attorneys, board 17 | |
704 | - | members, or other persons in connection with pending or potential litigation or other legal 18 | |
705 | - | matters; 19 | |
706 | - | ||
707 | - | (v) Investigative proceedings concerning possible or actual criminal 20 | |
708 | - | misconduct; 21 | |
709 | - | ||
710 | - | (vi) Consideration of the terms or conditions of a business 22 | |
711 | - | transaction in the negotiation stage if the disclosure could adversely affect the economic 23 | |
712 | - | interests of the homeowners association; 24 | |
713 | - | ||
714 | - | (vii) Compliance with a specific constitutional, statutory, or judicially 25 | |
715 | - | imposed requirement protecting particular proceedings or matters from public disclosure; 26 | |
716 | - | or 27 | |
717 | - | ||
718 | - | (viii) Discussion of individual owner assessment accounts; 28 | |
719 | - | ||
720 | - | (5) If a meeting is held in closed session under item (4) of this section: 29 | |
721 | - | ||
722 | - | (i) An action may not be taken and a matter may not be discussed if 30 | |
723 | - | it is not permitted by item (4) of this section; and 31 | |
724 | - | ||
725 | - | (ii) A statement of the time, place, and purpose of a closed meeting, 32 | |
726 | - | the record of the vote of each board or committee member by which the meeting was closed, 33 16 HOUSE BILL 705 | |
727 | - | ||
728 | - | ||
729 | - | and the authority under this section for closing a meeting shall be included in the minutes 1 | |
730 | - | of the next meeting of the board of directors or the committee of the homeowners 2 | |
731 | - | association; and 3 | |
732 | - | ||
733 | - | (6) (i) If the number of lot owners present in person or by proxy at a 4 | |
734 | - | properly called meeting is insufficient to constitute a quorum, an additional meeting of the 5 | |
735 | - | lot owners may be called for the same purpose if: 6 | |
736 | - | ||
737 | - | 1. The notice of the initial properly called meeting stated: 7 | |
738 | - | ||
739 | - | A. That the procedure authorized by this item (6) might be 8 | |
740 | - | invoked; and 9 | |
741 | - | ||
742 | - | B. The date, time, and place of the additional meeting; and 10 | |
743 | - | ||
744 | - | 2. A majority of the lot owners present vote in person or by 11 | |
745 | - | proxy to call for the additional meeting; 12 | |
746 | - | ||
747 | - | (ii) An additional meeting called under item (i) of this item shall 13 | |
748 | - | occur not less than 15 days after the initial properly called meeting; 14 | |
749 | - | ||
750 | - | (iii) 1. Not less than 10 days before the additional meeting, a 15 | |
751 | - | separate and distinct notice of the date, time, place, and purpose of the additional meeting 16 | |
752 | - | called under item (i) of this item shall be: 17 | |
753 | - | ||
754 | - | A. Delivered, mailed, or sent by electronic transmission, if 18 | |
755 | - | the requirements of § 11B–113.1 of this title are met, to each lot owner at the address shown 19 | |
756 | - | on the roster maintained by the homeowners association; 20 | |
757 | - | ||
758 | - | B. Advertised in a newspaper published in the county where 21 | |
759 | - | the homeowners association is located; or 22 | |
760 | - | ||
761 | - | C. If the homeowners association has a website, posted on the 23 | |
762 | - | homepage of the website; and 24 | |
763 | - | ||
764 | - | 2. The notice shall contain the quorum and voting provisions 25 | |
765 | - | of item (iv) of this item; 26 | |
766 | - | ||
767 | - | (iv) 1. At the additional meeting, the lot owners present in 27 | |
768 | - | person or by proxy constitute a quorum; and 28 | |
769 | - | ||
770 | - | 2. Unless the bylaws provide otherwise, a majority of the lot 29 | |
771 | - | owners present in person or by proxy: 30 | |
772 | - | ||
773 | - | A. May approve or authorize the proposed action at the 31 | |
774 | - | additional meeting; and 32 | |
770 | + | B. May take any other action that could have been taken at 30 | |
771 | + | the original meeting if a sufficient number of lot owners had been present; and 31 | |
775 | 772 | HOUSE BILL 705 17 | |
776 | 773 | ||
777 | 774 | ||
778 | - | B. May take any other action that could have been taken at 1 | |
779 | - | the original meeting if a sufficient number of lot owners had been present; and 2 | |
775 | + | (v) This item (6) may not be construed to affect the percentage of 1 | |
776 | + | votes required to amend the declaration or bylaws or to take any other action required to 2 | |
777 | + | be taken by a specified percentage of votes. 3 | |
780 | 778 | ||
781 | - | (v) This item (6) may not be construed to affect the percentage of 3 | |
782 | - | votes required to amend the declaration or bylaws or to take any other action required to 4 | |
783 | - | be taken by a specified percentage of votes. 5 | |
779 | + | 11B–113.6. 4 | |
784 | 780 | ||
785 | - | 11B–113.6. 6 | |
781 | + | (a) (1) Notwithstanding language contained in the governing documents of the 5 | |
782 | + | homeowners association, the governing body may authorize meetings of the homeowners 6 | |
783 | + | association, the governing body, or a committee of the homeowners association to be 7 | |
784 | + | conducted or attended by telephone conference, video conference, or similar electronic 8 | |
785 | + | means. 9 | |
786 | 786 | ||
787 | - | (a) (1) Notwithstanding language contained in the governing documents of the 7 | |
788 | - | homeowners association, the governing body may authorize meetings of the homeowners 8 | |
789 | - | association, the governing body, or a committee of the homeowners association to be 9 | |
790 | - | conducted or attended by telephone conference, video conference, or similar electronic 10 | |
791 | - | means. 11 | |
787 | + | (2) If a meeting is conducted by telephone conference, video conference, or 10 | |
788 | + | similar electronic means[, the]: 11 | |
792 | 789 | ||
793 | - | (2) If a meeting is conducted by telephone conference, video conference, or 12 | |
794 | - | similar electronic means[, the]: 13 | |
790 | + | (I) THE equipment or system used must permit any lot owner, board 12 | |
791 | + | member, or committee member in attendance to hear and be heard by all others 13 | |
792 | + | participating in the meeting IN ACCORDANCE WITH T HE GOVERNING DOCUMEN TS; 14 | |
795 | 793 | ||
796 | - | (I) THE equipment or system used must permit any lot owner, board 14 | |
797 | - | member, or committee member in attendance to hear and be heard by all others 15 | |
798 | - | participating in the meeting IN ACCORDANCE WITH T HE GOVERNING DOCUMEN TS; 16 | |
794 | + | (II) THE PERSO N CONDUCTING THE MEE TING SHALL ALLOW 15 | |
795 | + | ALL PARTICIPANTS A R EASONABLE OPPORTUNIT Y TO: 16 | |
799 | 796 | ||
800 | - | | |
801 | - | ||
797 | + | 1. BE HEARD BY ALL OTHER S PARTICIPATING IN T HE 17 | |
798 | + | MEETING; AND 18 | |
802 | 799 | ||
803 | - | | |
804 | - | MEETING; | |
800 | + | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 19 | |
801 | + | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 20 | |
805 | 802 | ||
806 | - | 2. PARTICIPATE IN THE MEETING TO THE S AME EXTENT 21 | |
807 | - | AS IF THE MEETING WE RE CONDUCTED IN PERS ON; 22 | |
803 | + | (III) PROVIDED THAT ALL PAR TICIPANTS ARE GRANTE D THE 21 | |
804 | + | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 22 | |
805 | + | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 23 | |
808 | 806 | ||
809 | - | (III) PROVIDED THAT ALL PARTICIPANT S ARE GRANTED THE 23 | |
810 | - | ABILITY TO UNMUTE TH EMSELVES, THE PERSON CONDUCTIN G THE MEETING OR 24 | |
811 | - | THE PERSON’S DESIGNEE MAY MUTE ALL PARTICIPANTS : 25 | |
807 | + | 1. WHILE THE GOVERNING B ODY OR ITS DESIGNEE IS 24 | |
808 | + | CONDUCTING BUSINESS ; 25 | |
812 | 809 | ||
813 | - | 1. WHILE THE GOVERNING B ODY OR ITS DESIGNEE IS 26 | |
814 | - | CONDUCTING BUSINESS ; 27 | |
810 | + | 2. DURING PRES ENTATIONS; AND 26 | |
815 | 811 | ||
816 | - | 2. DURING PRESENTATIONS ; AND 28 | |
812 | + | 3. TO AVOID INTERFERENCE FROM BACKGROUND 27 | |
813 | + | NOISE; AND 28 | |
817 | 814 | ||
818 | - | 3. TO AVOID INTERFERENCE FROM BACKGROUND 29 | |
819 | - | NOISE; AND 30 | |
815 | + | (IV) IF A PARTICIPANT INTE RFERES IN THE ABILIT Y TO 29 | |
816 | + | CONDUCT THE MEETING , THE PERSON CONDUCTIN G THE MEETING OR THE 30 | |
817 | + | PERSON’S DESIGNEE MAY : 31 | |
820 | 818 | 18 HOUSE BILL 705 | |
821 | 819 | ||
822 | 820 | ||
823 | - | (IV) IF A PARTICIPANT INTE RFERES IN THE ABILIT Y TO 1 | |
824 | - | CONDUCT THE MEETING , THE PERSON CONDUCTIN G THE MEETING OR THE 2 | |
825 | - | PERSON’S DESIGNEE MAY : 3 | |
821 | + | 1. REVOKE THE ABILITY FO R THE PARTICIP ANT TO 1 | |
822 | + | UNMUTE; AND 2 | |
826 | 823 | ||
827 | - | | |
828 | - | ||
824 | + | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 3 | |
825 | + | MEETING AFTER WARNIN G THE PARTICIPANT . 4 | |
829 | 826 | ||
830 | - | 2. IF NECESSARY, REMOVE THE PARTICIPA NT FROM THE 6 | |
831 | - | MEETING AFTER WARNIN G THE PARTICIPANT . 7 | |
827 | + | (3) IF A MEETING IS CONDU CTED BY VIDEO CONFER ENCE OR SIMILAR 5 | |
828 | + | ELECTRONIC MEANS , ALL PARTICIPANTS SHALL HAVE THE SAME ACCESS TO ANY 6 | |
829 | + | CHAT FUNCTION. 7 | |
832 | 830 | ||
833 | - | ( | |
834 | - | ELECTRONIC MEANS | |
835 | - | ||
831 | + | (4) A link or instructions on how to access the meeting by telephone 8 | |
832 | + | conference, video conference, or similar electronic means shall be included in the notice of 9 | |
833 | + | the meeting. 10 | |
836 | 834 | ||
837 | - | (4) A link or instructions on how to access the meeting by telephone 11 | |
838 | - | conference, video conference, or similar electronic means shall be included in the notice of 12 | |
839 | - | the meeting. 13 | |
835 | + | [(4)] (5) No specific authorization from lot owners shall be required to 11 | |
836 | + | hold a meeting electronically. 12 | |
840 | 837 | ||
841 | - | ||
842 | - | ||
838 | + | (6) A MEETING OF THE GOVER NING BODY HELD BY ELECTRONIC 13 | |
839 | + | TRANSMISSION MAY BE HELD ONLY IN ACCORDA NCE WITH § 11B–111 OF THIS TITLE. 14 | |
843 | 840 | ||
844 | - | (6) A MEETING OF THE GOVER NING BODY HELD BY ELECTRONIC 16 | |
845 | - | TRANSMISSION MAY BE HELD ONLY IN ACCORDA NCE WITH § 11B–111 OF THIS TITLE. 17 | |
841 | + | (b) Any lot owner, board member, or committee member attending a meeting by 15 | |
842 | + | telephone conference, video conference, or similar electronic means shall be deemed present 16 | |
843 | + | for quorum and voting purposes. 17 | |
846 | 844 | ||
847 | - | ( | |
848 | - | ||
849 | - | ||
845 | + | (c) (1) (i) Any matter requiring a vote of the homeowners association may 18 | |
846 | + | be set by the governing body for a vote at the meeting, and a ballot may be delivered to 19 | |
847 | + | members with notice of the meeting. 20 | |
850 | 848 | ||
851 | - | ( | |
852 | - | be | |
853 | - | ||
849 | + | (ii) Only those lot owners present during the telephone conference, 21 | |
850 | + | video conference, or similar electronic meeting shall be authorized to vote a ballot in 22 | |
851 | + | accordance with this subsection. 23 | |
854 | 852 | ||
855 | - | (ii) Only those lot owners present during the telephone conference, 24 | |
856 | - | video conference, or similar electronic meeting shall be authorized to vote a ballot in 25 | |
857 | - | accordance with this subsection. 26 | |
853 | + | (iii) Lot owners who are not present at the meeting may: 24 | |
858 | 854 | ||
859 | - | (iii) Lot owners who are not present at the meeting may: 27 | |
855 | + | 1. Vote by proxy in accordance with the requirements of the 25 | |
856 | + | governing documents and this title; and 26 | |
860 | 857 | ||
861 | - | | |
862 | - | ||
858 | + | 2. Be considered present for quorum purposes through their 27 | |
859 | + | proxy. 28 | |
863 | 860 | ||
864 | - | 2 | |
865 | - | ||
861 | + | (2) (i) The governing body may set a reasonable deadline for return of 29 | |
862 | + | a ballot to the homeowners association, including return by electronic transmission. 30 | |
866 | 863 | ||
867 | - | (2) (i) The governing body may set a reasonable deadline for return of 32 | |
868 | - | a ballot to the homeowners association, including return by electronic transmission. 33 HOUSE BILL 705 19 | |
864 | + | (ii) The deadline for return of the ballot shall be not later than 24 31 | |
865 | + | hours after the conclusion of the meeting. 32 | |
866 | + | HOUSE BILL 705 19 | |
869 | 867 | ||
870 | 868 | ||
869 | + | (d) Notwithstanding language contained in the governing documents of the 1 | |
870 | + | homeowners association, nominations from the floor at the meeting are not required if at 2 | |
871 | + | least one candidate has been nominated to fill each open position in the governing body. 3 | |
871 | 872 | ||
872 | - | (ii) The deadline for return of the ballot shall be not later than 24 1 | |
873 | - | hours after the conclusion of the meeting. 2 | |
873 | + | (e) The inability of a lot owner to join a meeting due to technical difficulties with 4 | |
874 | + | the lot owner’s telephone, computer, or other electronic device does not invalidate the 5 | |
875 | + | meeting or any action taken at the meeting. 6 | |
874 | 876 | ||
875 | - | (d) Notwithstanding language contained in the governing documents of the 3 | |
876 | - | homeowners association, nominations from the floor at the meeting are not required if at 4 | |
877 | - | least one candidate has been nominated to fill each open position in the governing body. 5 | |
878 | - | ||
879 | - | (e) The inability of a lot owner to join a meeting due to technical difficulties with 6 | |
880 | - | the lot owner’s telephone, computer, or other electronic device does not invalidate the 7 | |
881 | - | meeting or any action taken at the meeting. 8 | |
882 | - | ||
883 | - | SECTION 2. AND BE IT FURTHER ENACTED, That this Ac t shall take effect 9 | |
884 | - | October 1, 2024. 10 | |
877 | + | SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 7 | |
878 | + | October 1, 2024. 8 | |
885 | 879 | ||
886 | 880 | ||
887 | - | ||
888 | - | ||
889 | - | Approved: | |
890 | - | ________________________________________________________________________________ | |
891 | - | Governor. | |
892 | - | ________________________________________________________________________________ | |
893 | - | Speaker of the House of Delegates. | |
894 | - | ________________________________________________________________________________ | |
895 | - | President of the Senate. |