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Here are the updated (April 18) Club Donatello Rules and Regulations:

THE CLUB DONATELLO OWNERS ASSOCIATION Rules and Regulations

WELCOME to the Club Donatello, San Francisco's finest Proprietary Interest Association.

The following are the most frequently asked questions (FAQ’s) about the Rules & Regulations established by the Club Donatello Owners Association and its Board of Directors for the benefit of all our Proprietary Interest Owners.

The Club Donatello Owners Association Rules & Regulations are encompassed within the scope of these questions and answers, and supplement the Declaration of Covenants, Conditions and Restrictions ("CC&R's") for Proprietary Interest Ownership (the "Declaration"), but do not change your obligations as an Owner under either the Declaration or the other Governing documents.

The Rules & Regulations may be amended from time to time by the Board of Directors of the Association with 30 days advance notice provided to all Owners so that there is a reasonable opportunity for input to any such changes prior to any final action for implementation by the Board of Directors.

You are fully responsible for your families, your Guest's, and your own compliance with the Rules and Regulations, as this will permit the Proprietary Interest ownership program to operate effectively. Any failure by you, or any of your Guests, to fully and properly comply with the Rules & Regulations may result in the suspension of your rights and privileges as an Owner, and/or the imposition of monetary fines.

 We sincerely hope that no such action will ever be necessary as part of your ownership experience with the Club Donatello Owners Association.

DEFINITIONS

To assist you in understanding the Rules & Regulations, the legal terms used in the Declaration have been dispensed with here in favor of the question and answer format and plainer language.  

If there is any conflict between any of the following provisions or the Rules & Regulations and any provision of the Declaration, however, the provisions of the Declaration shall control.

REGULAR TIME RESERVATIONS

1.     For each Proprietary Interest Unit ("PIU") I own, how many nights/days of use am I entitled to?
You are entitled to reserve seven (7) nights/days for each PIU you own, within the Anniversary Year, which is based on the recording date of your Grant Deed of ownership. This does not include Bonus Time, which is discussed in more detail below. A sample of a PIU Grant Deed is at the end of this section marked "Exhibits" and is shown as Exhibit A.

2.     What is my Anniversary Year?
It is the one-year period, which occurs each year beginning on the date your original deed to your Proprietary Interest was recorded. For example, if your Proprietary Interest Deed is recorded on July 10th, your Anniversary Year will be July 10th of the current year through July 9th of the following year. This is the period of time in which you need to either use your time at the Club Donatello or "bank" or "exchange" your PIU time.
The banking and exchange process is discussed in more detail on page 9.

3.     If don't use all 7 nights in my Anniversary Year period, may I carry over the unused nights to the next Anniversary Year? 

No. However, there are options for you to consider in your planning of use during your Anniversary Year, and through the various exchange companies affiliated with the Club Donatello, the banking, exchanging and/or splitting of time can be accomplished. The responsibility for making and following through on all such arrangements is exclusively yours. The Club Donatello Reservations Team is available to assist you in exploring these arrangements. The earlier in your Anniversary Year that you start that process, the greater the likelihood that you will be able to make good use of your Club Donatello time.

4.     Do I have to make a reservation in order to use a Unit?    

Yes. You can contact the Club Donatello Reservations Department at anytime at the telephone numbers of 1-800-258-2366, or (415) 885-8809, or send an E-mail or FAX Reservation Request Form to (415) 885-8886. Mail requests are to be sent to: Club Donatello Reservations Department, 501 Post Street, San Francisco, CA 94102 or an E-mail Reservation Request Form to: reservations@clubdonatello.org, or go to the Club Donatello WEB site at: www.clubdonatello.org and click on Reservations. Club Donatello Team Members are available in the Club Reservations Department in the Lower Lobby between the hours of 8 AM – 6 PM during Monday - Friday. A sample of a completed Reservations Request Form is shown in the "Exhibits" section marked as Exhibit B.

Your reservation request needs to state the following:
(a)        Your arrival and departure dates
(b)        The number(s) of people in your party and their name(s)
(c)        The requested bed configuration(s) - king, twin/full, sofa with sleeper, rollaway bed
(d)        Non-smoking or smoking room

If you are making a reservation request for another person(s), you need to provide their names, address(es), telephone number(s) and E-mail address of such person(s).

5.     May I request a specific Unit in the 45 rooms of the Club Donatello?

Yes, based on availability. You will be assigned a Unit by the Club Reservations Team based on availability of units. If you do have a preference for a particular Unit, and/or bed configuration, including some rooms with sofa beds to accommodate more people, or adjoining rooms, or a non-smoking/smoking room, please let the Club Reservations Team Member know this at the time of your initial reservation request, they will make every effort to accommodate you based on availability.

6.         May I provide the Club Donatello in advance with a desired profile of my Club Room amenities, such as location and types of beds or similar accommodation requests?

Yes. Based on availability, you can let us know at anytime in advance if you usually prefer a king-sized bed or 2 double separate beds, any additional sleeping requirements (rollaway bed/s, sofa sleeper, cribs) a smoking or non-smoking room, being close to the elevator for ease of walking distance, South side or North side of the building.
If this profile of Club Room amenities is one which you would like us to put into the Owner's computer file as a standard request for you, please let us know at the time of giving us this information, and we will store that information for all future reservations requests.

7.     How much advance notice must I give for my reservation request?
A reservation request for Regular Time must be received less than one year in advance of the first night of the requested reservation. Any requests received earlier than one year in advance cannot be considered, as that is in advance of your Anniversary Year eligibility.
As reservation requests are confirmed on a first-come, first-served basis and availability for the dates requested, the more advance notice you give, the more likely it is that you will receive the reservation time requested.

8.     What might prevent me from obtaining a confirmed reservation?
A Unit might not be available at the time you are seeking because that same time was previously reserved by other Owners, or scheduled maintenance/repairs may be taking place in certain Club Rooms. If you seek a reservation for a period of time, which starts at least 1 week after your request is received, you will have priority over requests for other Owners requesting Bonus Time. If you seek a reservation for a period, which starts less than 1 week after your request is received, then your reservation request and any Bonus Time requests will both be treated on a first-come, first-served basis. Your reservation request will not be confirmed nor will occupancy of a Unit be permitted if you are delinquent in the payment of any amounts owed to the Association, or your use rights have been suspended by the Board.

9.     How will I know if my reservation request has been confirmed?
Reservation requests will be confirmed either by mail, or by telephone, FAX or E-mail In any case, you will receive a "Reservation Confirmation Number", and you are responsible for keeping this information and bringing it with you when you check-in for use of your reservation at the Front Reception Desk of the Donatello.
No reservation request will be honored unless you have a written or electronically documented confirmation number, and/or your reservation has been confirmed with you by the Club Donatello Reservations Department.

10.   Do I have to reserve a whole week at a time?

No. You may make a reservation request for an entire week, or you may request a reservation for amounts of days/nights less than a week, and for I night at a time.
This is one of the unique and very attractive benefits of being a Club Donatello Owner.

11.     If I do not reserve all of my 7 nights/days consecutively, may I make a subsequent reservation request for my unused time?            

Yes. If you do not reserve all of your 7 nights/days consecutively in one reservation request, you may make one or more reservation requests for the balance of your time. Except for weekend use (which includes either a Friday or Saturday night, or a Sunday night if part of a holiday weekend), you may have more than one reservation outstanding at a time. For weekend use, you may have only one reservation request outstanding within your Anniversary Year, as the period of time you purchased for the 7 days/nights includes only 1 weekend. If reservation requests for weekend use exceed availability, the Club Donatello Reservations Department will give preference to those Owners who have not yet secured a weekend reservation.

12.     Is there a penalty for cancellation of a reservation?
You may cancel your reservation, without penalty, by giving personal, or telephonic/electronic notice to the Club Reservations Department at least 72 hours prior to the Cheek-in Time (3 PM) of the first day of your scheduled reservation arrival. If you do not cancel your reservation at least 72 hours prior to the Check-in Time (3 PM) of the first day of your scheduled reservation arrival, your account will be charged. Your Owners Regular Time account will be charged for the entire time for which you made the reservation, unless another Owner, Exchange Guest, or paying Guest is able to use the time during one or more days of the reservation, in which case, you would only be charged for the number of days that the Unit is not actually used during the time that you had reserved.

Obviously, if you need to cancel a reservation for any reason, it is very important that you stop in, call, FAX, and/or E-mail such communications to the Club Reservations Department as soon as possible. If this cancellation occurs earlier in your Anniversary Year cycle, it is somewhat easier to try and reschedule you for use of your Regular Time during the balance of your Anniversary Year. However, if such cancellation occurs later in your Anniversary Year cycle, it becomes increasingly difficult to try and reschedule you for use of your Regular Time during the diminishing balance of your Anniversary Year.

Please remember that you may not accrue or carryover unused time from one Anniversary Year to any other Anniversary Year.

BONUS TIME RESERVATIONS

Subject to availability, and the administrative discretion of the Club Management, you may be entitled to reserve and occupy a Unit during one or more additional time periods beyond your Regular Owners Time. This is known as Bonus Time.

Weekend and/or Weekday Bonus Time may be available only if time has not been reserved by other Owners eligible to reserve Regular Time or Bonus Time, and you have used all of your Regular Time amount.

All Bonus Time reservations require a credit card guarantee to be provided at the time of the reservation confirmation to cover the required charges for use of Bonus Time, and/or any penalties in cases of late cancellations as described further in the questions and answers below.
 
1.     How do I request Bonus Time?
Subject to availability and a confirmation that you have used all of your Regular Time, you may telephone, FAX, E-mail, mail, or stop by the Club Donatello Reservations Department with your reservation request for use of Bonus Time. The same information requirements for making a Regular Time reservation request are needed (see #4, on page 2.)

2.     How much advance notice must I give?
A reservation request for Bonus Time must be at least more than 1 week prior to the first night/day of the requested visit, as any such requests less than 1 week prior to the first night/day cannot be considered. However, there are times when less than the required 1 week period of time is permissible and you may call the Club Reservations Department, and check to see if there have been any late cancellations. Based on any such last minute availability, this may enable you to be placed on the On-Call Waiting List for possible use of Bonus Time.

3.     How will I know if my Bonus Time reservation request has been granted?
Bonus Time reservation requests are confirmed on a first-come, first-served basis. Bonus Time reservation requests will be confirmed by the Club Reservations Department in the same manner as for Regular Time reservation confirmations. (Please see #9 on page 4)

4.     Is there a limit on the number of nights/days of Bonus Time use?    

No. Bonus Time cannot be guaranteed for more than two (2) consecutive nights. Subject to availability, an Owner may request that a confirmed Bonus Time reservation be extended for additional and successive one (1) day/night periods (from Check-Out Time on the last day of the original reservation or any extended Bonus Time period to Check-In Time on the next succeeding day), provided such request is made not more than 24 hours in advance of Check-in Time on the date sought for the extension.

5.     Does Bonus Time affect any other benefits/policies regarding use of time at the Club Donatello?

Yes. While using Bonus Time, valet parking charges are at the regular posted rates for the Donatello Garage, and are not at the Regular Time discounted rate. However, the 10% discount for food and beverages in the Zingari Ristorante and Lounge on the 2nd floor and the 20% discount for beverages on the Club 1500 level are still in effect upon proper presentation of your Club Donatello Gold Owners Card during Bonus Time use.


6.     Can other Guests occupy my reserved Unit during my Bonus Time?
Yes, if you accompany them personally and they are occupying the Unit with you for the duration of the Bonus Time reserved.
No, they may not occupy the Unit without your presence for the duration of the Bonus Time reserved.

7.     Is there a charge for Bonus Time use?    

Yes. You will be charged a daily maintenance fee rate plus any incidentals or purchases you may make within the Donatello while you are here. This daily maintenance fee is just for Owners and is subject to change by the Board of Directors from time to time.

8.     What does the Club Donatello do with the maintenance fees generated from Bonus Time?
All such maintenance fees from Bonus Time usage are deposited monthly into the Operating Account of the Association to assist in defraying the overall operating costs of the Association, and this assists in keeping the Annual Dues to Owners down.

9.     Other than availability, what might prevent me from securing a confirmation of a Bonus Time reservation?
Your Bonus Time reservation request will not be confirmed if any one of these following conditions exists:
(a) you have not used all of your Regular Owners time; (b) you are delinquent in the payment of any amounts owed the Association; or (c) if your Owner's rights have been suspended by the Association.

10.     Is there a penalty for cancellation of a Bonus Time reservation?
No.    If you cancel your Bonus Time reservation at least 72 hours in advance of the scheduled Check-in Time (3 PM) of the day reserved for arrival.
Yes. If you cancel your Bonus Time reservation less than 72 hours in advance of the scheduled Check-in Time (3 PM) of the day reserved for arrival, unless we are able to have another Owner or paying Guest occupy the room for the same amount of time of your original reservation. The penalty in this case is that your credit card will be charged the daily Bonus Time maintenance fee for the total number of Bonus Time nights/days that you originally reserved, less any days that we are able to fill the room for the amount of time of your original reservation.
 

OTHER GENERAL RULES & REGULATIONS

Check-In and Check-Out Times

1.     At what time may I Check-In to my reserved Unit?
Check-In Time is after 3 PM, and is dependent on the Unit being fully ready for your arrival. If for any reason your reserved Unit is not available immediately after 3 PM, you are advised to either wait in the Club 1500 area where complimentary tea and coffee are available, or in the Donatello Lobby area, or you may check-in your bags which will be secured for you in the Bell Captain's Closet area until you return.

2     At what time must I Check-Out of my reserved Unit?
Check-Out Time is before 12:00 noon. Any requests for extension of Check-Out Time are to be made either at time of Check-in, or as early as possible during your stay, and requires approval of Club Donatello Management in advance. Should circumstances develop that involve a possible delayed Check-Out, you are required to contact the Club Management Team Member on duty and request approval for any such delay, and it may or may not be granted depending on the schedule required for cleaning and preparing the Club Room for the next Owner/Guest to be checked in.

3.     Are there any other Check-In or Check-Out procedures to follow?

Yes. You are required to present a valid credit card to the Front Desk for purposes of securing payment of Personal Charges incurred by you during your stay. If you do not have a credit card, then a minimum payment of $100 per day of your scheduled reservation period will be required as deposit at time of Check-In.

 Any delay or failure to Check-Out at the scheduled time and/or at the request of the Club Donatello Management will result in an additional daily room charge of no less than $200, or the loss of one Regular Time day from your Owners account, if same is available in your Owner's unused balance of Regular time for your current Anniversary year, plus any costs incurred by the Club Donatello in accommodating other Owners/Guests due to your failure to Check-Out as required.

Occupancy and Damage

1.     Could I be prevented from occupying my Unit?    

Yes. You may be denied occupancy of your Unit if there is any problem with the Housekeeping or Engineering & Maintenance required for your Unit, though such matters usually result in minor delays for Check-in as compared to a complete unavailability of your Unit. In such situations, an alternative room within the Club Donatello or possibly the Hotel Donatello can usually be obtained for you for the same period of time.
However, if you are not current in the payment of any amounts owed to the Club Donatello, or if your Owner's rights have been suspended by the CDOA Board of Directors, you would be prevented from occupying your Unit.
 
2.     How many adults and/or children may occupy my Unit?
The maximum allowable occupancy for a Unit is three (3) adults, or two adults and two children (both must be under the age of 16). Rollaway beds are available for placement in your Unit for a daily service fee, and are to be requested at the time of your initial reservation. Based on availability of certain Club Room units, one additional adult and/or child may be accepted at no additional per person charge, though applicable charges for additional rollaway beds will be made.

3.     What if any damage and/or loss to my Unit or any of its contents are discovered at time of Check-in?
You are required to report any such damage and/or loss to your Unit or any of its contents as soon as possible after Check-In by notifying the Club Donatello Housekeeping Department. They will come and inspect your Unit thoroughly at that time and prepare the necessary report for your signature so that no charges may be made against your account if you did not cause the damage or loss.
Any damage or loss to your Unit or to any of its contents, which is not reported promptly by you after Check-in, will be charged to your account as a Personal Charge. Damage or loss includes any smoking in a non-smoking room or on a non-smoking floor. Any such violations will include a billing of Personal Charges to the offending party(ies) of at least $350.00 to cover the necessary costs such as, but not limited to, fumigation, shampooing and special deodorizing and cleaning of fabrics and all substances requiring treatment. Additional costs, which may be incurred by the Association, will also be billed and collected from the offending party(ies).

4.     May I redecorate my Unit or move any of the furniture?    

No. You are not permitted to make any decorating or structural changes within your Unit, inclusive of moving or removing any furniture, wall hangings, lamps, equipment, floor coverings, draperies/sheers, or any of the contents of the Unit. You are not permitted to make any decorating or structural changes in any other areas of the Donatello building. Any requests for movement of furniture must be made to the Club Housekeeping Department and they will respond as quickly as possible and evaluate such requests depending on safety and related risk management factors for the Club Donatello. Any decisions made by the Club Housekeeping Management to move or not move furniture is to be considered as a final decision and may not be unilaterally modified by Owners or Guests. These requirements apply equally to your Guests who may be staying or visiting within your Unit or within the Donatello building.

5.     What happens if l locks myself out of my Unit or lose my Unit key?
The Club Management and Hotel Management have a passkey to all 45 Club Donatello units. In case of emergency, please contact the Front Desk immediately for assistance, and Club/Hotel Team Members may enter your Unit to respond to the emergency. If you are unaware of the emergency entry to your Unit, you will be notified as soon as is reasonably possible regarding the purposes of entry to your Unit.

Banking Exchanging/Trading Owner Time

1. How may I "bank" and exchange/trade my Club Donatello Regular Time for use in other resorts?

The Club Donatello Owners Association is currently affiliated with several different exchange companies, and this is to provide you with more flexibility for use of your Regular Time.

 The organizations involved are separately listed on our WEB page at www.clubdonatello.org, in our Guest Services books in each of the 45 Club rooms, and on a separate information sheet that can be provided to you at anytime via e-mail, FAX, or mail, or in person when you are at the Club Donatello.

You may choose to work with any one of these, or all of them, the choice is yours.  

If you wish to bank your Regular Time and exchange/trade it, please consult the specific directory of information that each of these companies will provide to you upon completion of your membership with them.

 Each of them have some similar rules and procedures for banking, exchanging/trading of time, and they also have some differences as it relates to flexibility of uses of this type of timeshare exchange, including splitting of time, and the types of resorts with which they are also affiliated in different parts of the world.

There is a charge for your membership in these organizations and for various trading/exchanging transactions so you should investigate each of them and determine which one is going to work best for you.

 The Club Donatello does not in anyway control or manage any of the operations of these companies. The Club Donatello Reservations Department works with all of these organizations and can also answer many of your questions based on our experiences over the 23 years that the Club Donatello has been in operation.

Enforcement and Amendment of Club Donatello Rules & Regulations

1. Are the Rules and Regulations subject to change?

Yes. The Board of Directors may amend the Rules & Regulations from time to time to recognize market factors, changes/improvements in operations, technology influences, changes in ownership needs and expectations, and a variety of additional factors that may require them to be amended.
You will be notified of any changes usually through an E-mail notice sent to your latest known E-mail address, and posted on the Club Donatello WEB Page at www.clubdonatello.org, and/or separate mailings to you.

2.     How are the Rules and Regulations enforced?
The CC&R’s and Bylaws authorizes the Board of Directors to require that all Owners and their Guests adhere to all of the requirements set forth in the Rules & Regulations, the CC&R's and the Bylaws. To assist the Board of Directors in the enforcement of the provisions of these documents, the Board has delegated certain enforcement authority and responsibility to the Club Management Team.

 Any Owner and/or Guest who has been advised by a representative of the Club Management Team that they are in violation of the Rules and Regulations and/or the Declaration will immediately be required to cease and desist that activity.

 If any Owner and/or Guest, after being notified by a Club Management Team representative that they are in violation of the Rules and Regulations and/or the Declaration, fails to fully comply with the Club Management Team representative's direction, the matter will be referred to the Board-appointed Committee (CC& R's, Bylaws & Rules) for consideration of the assessment of penalties and any other related action that may be required against the Owner.  

The Owner against whom such action is to be taken has the right to appear before the Board at its next regularly scheduled meeting to contest such action, as provided for in the Bylaws and the Declaration.

Operational Rules & Regulations

Housekeeping
The three (3) hour period between Check-Out Time and Check-in Time is reserved exclusively for the cleaning, inventory checking, repairing and maintaining of all the 45 Club Units. Upon your arrival to your Club Room, you will find your Unit fresh and clean and fully prepared for your use. Thereafter, housekeeping services will be provided on a daily basis as is required for a first-class hospitality environment.

Year-Round Club Donatello Use
As an Owner in good standing, you may use the Club Donatello facilities at any time during the year, which includes the Club 1500 area, and this is in addition to your Regular Time or Bonus Time. You are required to operate in compliance with all Club Donatello and Hotel Donatello Rules and Regulations whenever you are in the Donatello building.

Club 1500 & Fitness Center Area
As an Owner in good standing, you may use the Club and Fitness Center located on the 15th floor between the scheduled hours of operation, which are generally from 7 AM - 10 PM. All persons residing within your Unit are extended this privilege at no additional charge, as long as they are registered Guests. You may arrange to use the Fitness Center with outside Guests, provided that you pay the required fees and accompany such Guests and remain with them in the Fitness Center area.

You and members of your immediate family may also use the Fitness Center when you are not residing at the Club Donatello, provided that no more than two (2) persons at one time do so. If you are a Corporate Owner, your use of the Fitness Center may be restricted to two (2) designated users per day during periods when officers or employees of your corporation are not in actual residence at the Club Donatello. The Association reserves the right to establish additional rules regarding such corporate use to avoid overuse of the Fitness Center by non-resident corporate officers and employees, including the establishment of minimum periods (e.g., monthly, quarterly, etc.), during which designated users may not be changed.

Animals/Pets

No animals or pets of any kind are allowed in any Unit or upon any portion of the Club Donatello or the Donatello building. Exceptions may be made for seeing-eye dogs, only when such arrangements are made in advance at the time of making the initial reservations. However, the responsibility for care and cleaning up after the seeing-eye dog, and any expenses associated with such care while in the Club Donatello, remains the complete responsibility of the Owner and/or Guest, and will be billed and collected from the Owner/Guest accordingly.

Soliciting
No commercial or personal soliciting is permitted, whether within a Proprietary Interest Unit or the common area, at any time by any Owner, Guest, Exchange User, Team Member, or member of the general public.

 Parking & Valet Services

Parking and Valet services are provided on a space-available basis in the parking structure located on the lower floors of the Donatello. This is provided at a discounted rate to Owners in good standing during their Regular Time use only. Parking is limited and is shared among all occupants.

The Club Donatello has a guaranteed right to a percentage of these parking spaces. However, if parking demand exceeds availability, with respect to the guaranteed spaces, overflow parking may be available. If the garage is completely full, you will have to park in one of several public parking facilities in the vicinity of the Donatello at your own expense.

If you park within the garage during a time not included in your Regular Time period, such as Bonus Time, you will be charged the regular posted public parking rate. Applicable parking charges are subject to change.

Your Guests/Family Members

You may permit another person(s) to occupy your Unit during your Regular Use period, without charge by the Club Donatello, however, all such time will be charged to your Owner's Regular Use account.

You may invite others to share occupancy of your Unit during your Regular Time, provided that the maximum allowable occupancy limit for the Unit is not exceeded. This is to ensure conformance with all fire/safety and building code occupancy limitations, and the preservation of appropriate peace and quiet for all other adjoining and/or adjacent Club Room occupants.

You may not permit another person(s) to occupy your Unit during Bonus time, unless they occupy the same Unit with you, including overnight stays. You may have Guests join you in your Unit during Bonus time, provided that the maximum allowable occupancy limit for the Unit is not exceeded, as noted for Regular Time use above.

The Club Donatello Reservations Department will not give access to your Unit to anyone else without written permission from the Owner in whose name there is a confirmed reservation.

If you intend for a person(s) other than yourself to use your Regular Time, or to accompany you during your Regular Time, you must inform the Club Donatello Reservations Department of this prior to your Check-In, including the name(s), address(es), E-mail address(es), and telephone number(s) of such person(s).

At time of Check-In under these arrangements for someone else to use your Regular Time, your Family/Guests will be required to provide proof of identification, sign a standard Donatello Registration Card and provide the standard credit card authorization to cover all expenses associated with their stay.

 A.     ELECTIONS, BALLOTS AND MAILING RULES

 

(1)  When required by law, elections regarding assessments legally requiring a vote, election and removal of Members of the Association board of directors or amendments to the governing documents, shall be held by secret ballot in accordance with the procedures set forth in these Rules.

(2)  Only Members of the Association in good standing may vote in an election. A Member’s good standing shall be determined as of the record date as established by the Board of Directors for each such election and voting meeting.

(3)  Members of the Association may cast one (1) vote on each of the matters to be voted upon. Units owned by more than one (1) Member may cast only one (1) vote.

(4)  Ballots and two pre-addressed envelopes with instructions on how to return ballots shall be mailed by first class mail or delivered by the Association to every Member not less than thirty days prior to the deadline for voting. In order to preserve confidentiality, a voter may not be identified by name, address, or unit number on the ballot. The Association shall use as a model those procedures used by California counties for ensuring confidentiality of voter absentee ballots, including all of the following:

a)         The ballot itself is not to be signed by the Member but is to be inserted into a sealed envelope. This envelope is then to be

inserted into a second envelope that is then to be sealed. In the upper left hand corner of the second envelope, the Member shall

print and sign his or her name and unit number.

 

b)                  The second envelope shall be addressed to the Inspectors of Election, who will be tallying the votes. The envelope may bemailed or delivered by hand to a location specified by the Inspectors of Election. The Member may request a receipt for delivery.

 (5) Only ballots received by the Inspectors of Election prior to the close of the polls shall be treated as a Member present at a meeting for purposes of establishing a quorum for the conduct of the election.

(6)
All votes shall be counted and tabulated by the Inspectors of Election in public at a properly noticed open meeting of the Board of Directors or Members. Any candidate or other Member of the Association may witness the counting and tabulation of the votes. No person, including a Member or an employee of the Association, shall open or review any ballot prior to the time and place at which the ballots are opened and tabulated. The Inspectors of Election may verify the Members signature and information on the outer envelope prior to the meeting at which the ballots are tabulated. Once a secret ballot has been received by the Inspectors of Election, it shall be irrevocable.

 

(7)     The date and time for the closing of the polls shall be designated in the notice of election given to the Members. Ballots must

 actually be received by the Inspectors of Elections no later than the designated poll closing time to be counted.

     (8)   The tabulated results of the election shall be promptly reported to the Board of Directors of the Association and recorded in the

     minutes of the next meeting of the Board and shall be made available for review by Members of the Association. Within fifteen days of

     the election, the Board of Directors shall publicize the results of the election in a communication for all Members.

     (9)   The sealed ballots shall at all times be in the custody of the Inspectors of Election or at a location designated by the Inspectors of

     Election until after the tabulation of the vote and the time allowed for challenging the election has expired. At that time custody of the

     ballots shall be transferred to the Association.

     (10) After tabulation, election ballots shall be stored by the Association in a secure place for no less than one year after the date of the

    election. In the event of a recount or other challenge to the election process, the Association shall, upon written request, make the ballots

    available for inspection and review by Association Members or their authorized representatives. Any recount shall be conducted in such

    a way as to preserve the confidentiality of the vote.

    (11) Except for the meeting to count the votes required by section (3), an election may be conducted entirely by mail.

B. PROXIES.
A proxy is a written authorization signed by a Member that gives another Member the power to vote on behalf of the Member in any matter upon which the Member may cast a vote. Proxies may not be used for voting on matters involving election or removal of Directors, on matters involving Assessments and/or Special Assessments as proscribed  in the CC&Rs, Article V.  Because these Rules permit absentee voting by Members it is anticipated that the use of proxies for most Owner voting purposes will be minimized.

(1)        Who May Serve As A Proxy? A proxy holder must be a Member of the Association. Members can only designate another Member to vote in the place of the Member.
(2)        Proxies Must Be in Writing and Signed by the Member. A proxy must be in writing and contain the signature of the Member. “Signature” shall include "the placing of the Member's name on the proxy (whether by manual signature, typewriting, fax transmission or e-mail attachment, or otherwise) by the Member.
(3)        Revocation of Proxy. Once a secret ballot is received by the Inspector, any proxy that any Member has given to another Member to cast the Member’s vote cannot be revoked.
(4)        Proxies Shall Not Count Towards a Quorum for Voting. A proxy shall not be considered in determining whether there is a quorum of Members participating in an election.

(5)        Delivery of Proxy. The proxy shall be delivered to the Inspectors of Election. Written instructions from the Member to the proxy holder directing the proxy holder to cast the Member’s vote shall not be delivered to the Inspectors of Election. The Inspectors of Election shall furnish a duplicate of the Member’s secret ballot and two envelopes for the proxy holder to use to cast the Member’s vote by secret ballot.

 

C. INSPECTORS OF ELECTIONS


1)         The Board shall select three independent third parties as Inspectors of Elections at least 30 days prior to the Annual Owners Meeting or any Association meeting requiring a vote by the Owners.

2)         An independent third party may be a member of the Association, but may not be a member of the Board, or a candidate for the Board, or related to a member of the Board or a candidate for the Board. One person who is currently employed by or under contract to the Association for any compensable services shall be considered to be an independent third party and is expressly authorized to act as an Inspector.

 

3)         Inspectors of Election shall do all of the following:
a.         Determine the number of Members entitled to vote.

b.         Determine the authenticity, validity and effect of proxies, if any.

c.         Receive ballots

d.         Hear and determine all challenges and questions in any way arising    out of or in connection with the right to vote.

e.         Count and tabulate all votes.

f.          Determine when the polls shall close

g.         Determine the result of the election.

h.         Perform any acts as may be proper to conduct the election with fairness to all Members in accordance with all applicable rules of the Association regarding the conduct of the election

 

4)         Inspectors of Elections shall perform their duties impartially, in good faith, to the best of their ability, and as expeditiously as practical. With three Inspectors, the decision or act of a majority shall be effective in all respects as the decision or act of all.

D. CONDUCT OF ELECTIONS
(1)        If any candidate or member advocating a point of view is provided access to Association media, newsletters, or Internet Web sites during a campaign, for purposes that are reasonably related to that election, equal access shall be provided to all candidates and members advocating a point of view, including those not endorsed by the board, for purposes that are reasonably related to the election. The Association shall not edit or redact any content from these communications, but may include a statement specifying that the candidate or member, and not the Association, is responsible for that content.

(2)        If an election is being conducted in a common area meeting space the Association shall reasonably make such space available during a campaign, at no cost, to all candidates and to all members advocating a point of view for purposes reasonably related to the election.

E. ELECTION OF DIRECTORS.

(1)        Nominations of Candidates for Director
. Candidates shall be nominated for election as a Director of the Association by (a) a nominating committee appointed as provided by the Bylaws; or (b) by any Member of the Association nominating any other Member, including himself or herself, including the Member. Only Members who meet the qualifications proscribed by the Bylaws are eligible to be nominated and elected as a Director of the Association.

(2)        Expenditure of Association Funds Not Permitted. No Association funds shall be expended to support the election of any person or persons as a Director, except

a)         Information materials identifying candidates by name only for the Board contained in any general mailing to the Members announcing the time and place of the meeting of the Members at which the election will take place, and

b)         If the Board elects to permit additional information concerning candidates for election as a Director in any such general mailing all candidates for election as a Director and any Member(s) shall be given the opportunity to submit a written statement to be included in such general mailing communicating a candidates qualifications and reasons for candidacy.

Each candidate shall be entitled to have a written statement or statements concerning his or her candidacy or any reasons for his or her candidacy made by him or by any Member up to a maximum of one hundred (100) words for each candidate. Such written statements shall be submitted to the Association at least five (5) working days in advance of the printing deadline to ensure including in the general mailing. The Association shall not edit or redact any content in any written statement. The mailing shall include a statement specifying that the candidate or Member, and not the Association, is responsible for the content of the statement.

(3)        Availability of Association Mailing List to Candidate. Upon reasonable request, the Association shall make available to any Member, at a reasonable cost, the names and addresses of Members as shown on the current mailing list used by the Association to communicate their qualifications and reasons for candidacy to the Members and to solicit votes. No mailings shall be
made after the time announced for the return of ballots

(4)        Director Candidates May Speak at Election Meeting. At any meeting at which an election for Directors is to be conducted the Chairman of the meeting shall permit all candidates to speak for a reasonable period of time on any subject reasonably related to the election prior to the closing of the polls. No campaign signs or other written materials advocating the election of any person as a Director may be displayed at the meeting place or within fifty (50) feet of the meeting place.

 

 


DESCRIPTION OF INTERNAL DISPUTE RESOLUTION PROCEDURE

Civil Code Section 1363.850

 

1.   This Policy applies to a dispute between the Association and a Member involving their rights, duties, or liabilities under the Davis-Stirling Act, under the provisions of the Corporations Code relating to mutual benefit corporations (commencing with Corporations Code Section 7110), or under the Associations governing documents.

 

2.  Either party to a dispute within the scope of this Article may invoke the following procedures:

 

A)  The party may request the other party to meet and confer in an effort to resolve the dispute. The request shall be in writing.

 

B)  A Member of the Association may refuse to request to meet and confer. The Association may not refuse a request to meet or confer

 

C)  The Association’s Board of Directors shall designate a Member of the Board ora qualified Agent to meet and confer.

 

D)    The parties shall meet promptly at a mutually convenient time and place, explain their positions to each other, and confer in good faith in an effort to resolve the dispute.

 

E)     A resolution of the dispute agreed to by the parties shall be memorialized in writing and signed by the parties including the Board designee on behalf of the Association.

 

A Member of the Association will not be charged a fee to participate in the process.

 


ALTERNATE DISPUTE RESOLUTION - (Summary of Civil Code 1369.510 – 1369.590)

 

Sections 1369.510 to 1369.590 of the Civil Code require that before Owners and Associations file lawsuits against each other for declaratory relief or injunctive relief in connection with a claim for money damages under $5,000 or for enforcing the Associations governing documents, the filing party shall endeavor to submit the dispute to Alternative Dispute Resolution (ADR).

 

Forms of ADR include mediation, negotiation, and binding or nonbonding arbitration. This provision does not apply to the filing of a cross-complaint.

 

The ADR process is initiated by one party serving a request for resolution upon the other parties to the dispute. The request must include (i) a brief description of the dispute, (ii) a request for ADR, (iii) a notice that a response must be received within thirty (30) days or it will be deemed rejected, and (iv) a copy of Civil Code Sections 1369.510 to 1369.590.

 

If the individual receiving the request agrees to ADR, the process must be completed within ninety (90) days unless otherwise extended by agreement. The cost of ADR is to be paid by the participating parties. If a civil suit is filed, the filling party must submit to the court a Certificate of Compliance indications the party has complied with the requirements of Sections 1369.510 to 1369.590. Failing to do so would be grounds for challenging the lawsuit.

 

Although the prevailing party is entitled to reasonable attorneys fees and costs, the court may consider a party refusal to participate in ADR when making the award.

 

A description of the Associations internal dispute resolution process, as required by Civil Code Section 1363.850, is attached.

 

Note: Failure by any Member of the Association to comply with Alternative Dispute Resolution requirements of Civil Code 1369.520 may result in the loss of your rights to sue the Association or another Member of the Association regarding enforcement of the governing documents or the applicable law.

 


CDOA -  ASSESTMENT COLLECTION POLICY

 

Because the Association is responsible for managing, maintaining and repairing the common areas, timely payment of assessments is extremely important to the operations of the Association. Owner’s failure to pay assessments when due creates a cash-flow problem for the Association and disrupts operations. As a result, the Board has adopted the following policies for the collection of delinquent assessments.

 

Assessment Due Date. Regular assessments are payable annually in one installment due on the 1st day of December. Billing statements are sent as a courtesy. Special assessments shall be due and payable on the due date specified by the Board in the notice imposing the assessment.

 

Delinquent Assessments. Any assessment not paid when due shall become delinquent on the Delinquency date (“the Date of Delinquency”), which is January 1st of each year.

 

Late Charge. Delinquent payments of assessments will be assessed a late charge of 10% of the amount of the delinquent payment of the assessment, if the assessment is not paid within 31 days of the Date of Delinquency. A late charge will not be imposed more than once for each delinquent assessment payment.

 

Any assessment not paid by the first day after the Date of Delinquency will accrue interest at the rate of twelve percent (12%) per annum, commencing with the Date of Delinquency, until paid.

 

Liability for Collection Costs. All late charges, interest, attorney’s fees and collection costs incurred by the Association will be added to the Owner’s account and will become the liability of the Owner.

 

Enforcement Rights. Assessments are the separate debt of Owners. In addition to any other rights provided for by law or described in the Association’s CC& R’s, Bylaws or other governing documents, the Board has the right to collect delinquent assessments as follows.

 

1.                  File Suit. The Association may commence and maintain a lawsuit directly on the debt without waiving its right to establish a lien and initiate foreclosure against the Owner’s Unit for the delinquent assessments. In any action to collect delinquent assessments, late charges or interest, the prevailing party will be entitled to costs and reasonable attorney’s fees. If such costs and fees are awarded to the Association, they will become a reimbursement special assessment against the Owner. (If authorized in the CC& R’s)

 

2.                  Lien and Foreclosure. The Association may file a lien against the Owner’s Unit for the amount of the delinquent assessment, together with any late charges, interests, cost, attorney’s fees and penalties. The Association, through it’s Board, may bid on the Unit at the sale, and may hold, lease, mortgage, and convey the acquired Unit.

 

3.                  Additional Remedies. The remedies described above are in addition to and not in substitution of any other rights and remedies the Association may have.

 


Lien and Non Judicial Foreclosure. Upon any installment becoming delinquent and prior to the recordation of a lien, the Association will use the following procedures:

 

1.                  Notice of Delinquency. A notice will be mailed to the Owner via regular and certified mail to pay the account in full or a lien will be recorded against the Owner’s property. Included in the notice will be:

 

A copy or summary of this collection policy:

 

The method of calculation of the amount owed;

 

A statement that the Owner has the right to inspect the Association records, pursuant to Section 8333 of the Corporations Code;

 

An itemized statement of the charges owed by the Owner, including items on the statement which indicate the amount of any delinquent assessments, the fees and reasonable costs of collection, reasonable attorney’s fees, any late charges and their method of calculation, and interest, if any;

 

A statement that the Owner shall not be liable to pay the charges, interest, and the costs of collection, if it is determined the assessment was paid on time to the Association; and

 

Recording of Lien. If the Owner fails to bring the account current, a lien will be recorded against the Owner’s property.

 

Notice of Lien. Within ten (10) days following recordation of the lien, a copy of the lien will be mailed to all Owners of the record for that property as provided for in Section 2924b of the Civil Code.

 

Foreclosure. Thirty (30) days following recordation of the lien, foreclosure will begin. In lieu of foreclosure, or concurrently, a lawsuit may be filed against the Owner personally if the Board concludes such action is in the best interests of the Association.

 

Returned Checks. Returned checks are subject to a service fee.

 

No Offsets Allowed. As required by law, Owners may not offset payment of their assessments for any reason.

 

Crediting Payments. Any payment received will be credited to the outstanding balance in the following order: special assessment, reimbursement special assessments, regular assessments, monetary penalties and fines for Rules violations, late charges, attorney’s fees and costs, and interest.

 

Attorney’s Fees. If a lawsuit or foreclosure action is initiated by the Association to recover assessments, the Association is entitled to recover not only the amount in default but also reasonable costs of collection, including title company charges and attorney’s fees as provided for the statue as well as the Association CC& R’s, Bylaws or other governing documents.


NOTICE OF ASSESSMENTS AND FORECLOSURE

 

The statutorily required Notice of Assessments and Foreclosure is as follows:

 

This notice outlines some of the rights and responsibilities of Owners of property in common interest developments and the Associations that mange them. Please refer to the sections of the Civil Code indicated for further information. You may wish to consult a lawyer if you dispute as assessment.

 

Assessments become delinquent 15 days after they are due, unless the governing documents provide for a longer time. Failure to pay Association assessments may result in the loss of an Owner’s property thorough foreclosure. Foreclosure may occur either as a result of a court action, known as judicial foreclosure or without court action, often referred to as non- judicial foreclosure. For liens recorded on and after January 1, 2006, an Association may not use judicial or non- judicial foreclosure to enforce that lien if the amount of the delinquent assessments or dues, exclusive of any accelerated assessments, late charges, fees, attorney’s fees, interest, and cost of collection, is less that one thousand eight hundred dollars ($1,800).

 

For delinquent assessments or dues in excess of one thousand eight hundred dollars ($1,800) or more than 12 months delinquent, an Association may use judicial or non- judicial foreclosure subject to the conditions set forth Section 1367.4 of the Civil Code. When using judicial or non- judicial foreclosure, the Association records a lien on the Owner’s property. The Owner’s property may be sold to satisfy the lien if the amounts secured by the lien are not paid. (Sections 1366, 1367.1, and 1367.4 of the Civil Code). In a judicial or no- judicial foreclosure, the Association may recover assessments, reasonable costs of collection, reasonable attorney’s fees, late charges, and interest. The Association may not use non- judicial foreclosure to collect fines or penalties, except for costs to repair common areas damaged by a Member or a Members Guest’s, if the governing documents provide for this. (Sections 1366 and 1367.1 of the Civil Code) The Association must comply with the requirements of Section 1367.1 of the Civil Code when collecting delinquent assessments. If the Association fails to follow these requirements, it may not record a lien on the Owner’s property until it has satisfied those requirements. Any additional costs that result from satisfying the requirements are the responsibility of the Association. (Section 1367.1 of the Civil Code).

 

At least 30 days prior to recording a lien on an Owner’s separate interest, the Association must provide the Owner of record with certain documents by certified mail, including a description of its collection and lien enforcement procedures and the method of calculating the amount. It must also provide and itemized statement of the charges owed by the Owner. An Owner has a right to review Association’s records to verify the debt. (Section 1367.1 of the Civil Code)

 

If a lien is recorded against an Owner’s property in error, the person who recorded the lien is required to record a lien release within 21 days, and to provide an Owner certain documents in this regard. (Section 1367.1 of the Civil Code). The collection practices of the Association may be governed by State and Federal laws regarding fair debt collection. Penalties can be imposed for debt collection practices that violates these laws.

 


PAYMENTS

 

When and Owner makes a payment, he or she may request a receipt, and the Association is required to provide it. On the receipt, the Association must indicate the date of payment and the person who received it. The Association must inform Owners of a mailing address for overnight payments. (Section 1367.1 of the Civil Code)

 

An Owner may dispute as assessment debt by submitting a written request for Dispute Resolution to the Association as set forth in Article 5 (Commencing with Section 1368.810) of Chapter 4 of Title 6 of Division 2 of the Civil Code.

 

In Addition, an Association may not initiate a foreclosure without participating in Alternative Dispute Resolution with a neutral third party as set forth in Article 2 (commencing with Section 1369.510) of Chapter 7 of Title 6 of Division 2 of the Civil Code, if so requested by the Owner.

 

Binding arbitration shall not be available if the Association intends to initiate a judicial foreclosure. An Owner is not liable for charges, interest, and costs of collection, if it is established that the assessment was paid properly on time. (Section 1367.1 of the Civil Code)

 

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