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OPEN MEETING BILL SIGNED INTO LAW

Becomes Effective January 1, 2008

Governor Schwarzenegger signed SB 528 into law.
Section 1363.05 of the Civil Code is amended
BILL NUMBER: SB 528 CHAPTERED
BILL TEXT
CHAPTER 250
FILED WITH SECRETARY OF STATE SEPTEMBER 26, 2007
APPROVED BY GOVERNOR SEPTEMBER 26, 2007
PASSED THE SENATE AUGUST 30, 2007
PASSED THE ASSEMBLY AUGUST 27, 2007
AMENDED IN ASSEMBLY JULY 2, 2007
AMENDED IN ASSEMBLY JUNE 13, 2007
AMENDED IN SENATE APRIL 24, 2007
INTRODUCED BY Senator Aanestad
FEBRUARY 22, 2007
An act to amend Section 1363.05 of the Civil Code, relating to
common interest developments.
LEGISLATIVE COUNSEL'S DIGEST

SB 528, Aanestad.

Common interest developments: open meetings.

Existing law requires that a common interest development be
managed by an association. The Common Interest Development Open
Meeting Act provides that any member of the governing association of
a common interest development may attend meetings of the board of
directors of the association, except as specified. The act also
requires that notice of the time and place of a meeting be given to
members at least 4 days prior to the meeting, except in the case of
an emergency meeting, as described.
This bill would require the above notice to contain the agenda for
the meeting. It would prohibit the board of directors from
discussing or taking action on any item at a nonemergency meeting
unless the item was placed on the agenda included in the notice. The
bill would provide that these provisions do not prohibit a resident
who is not a member of the board from speaking on issues not on the
agenda. The bill would also permit the board of directors, an agent
of the board, or a member of the board's staff, to briefly respond to
statements made or questions posed by a person speaking at a
meeting, ask a question for clarification, make a brief announcement,
or make a brief report on his or her own activities, as specified.
The bill would further permit the board of directors or a member of
the board of directors, subject to rules or procedures of the board
of directors, to provide a reference or factual information to its
managing agent or other agents or staff, request its managing agent
or other agents or staff to report back to the board of directors at
a subsequent meeting or to place a matter of business on a future
agenda, or direct its managing agent or other agents or staff to
perform administrative tasks that are necessary to carry out these
provisions. This bill would also permit the board of directors to
take action on any item of business not appearing on the agenda
posted and distributed if (1) a majority of the board of directors
present at the meeting determines that an emergency situation exists,
(2) the board determines, by a specified vote, that there is a need
to take immediate action and that the need for action came to the
attention of the board after the agenda was posted and distributed,
or (3) the item appeared on an agenda that was posted and distributed
for a prior meeting that occurred not more than 30 calendar days
before the date that action is taken on the item and, at the prior
meeting, action on the item was continued to the meeting at which the
action is taken. The bill would require the board, before discussing
any item pursuant to these provisions, to openly identify the item
to the members in attendance at the meeting. The bill would make
technical changes.

THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

SECTION 1. Section 1363.05 of the Civil Code is amended to read:
1363.05. (a) This section shall be known and may be cited as the
Common Interest Development Open Meeting Act.
(b) Any member of the association may attend meetings of the board
of directors of the association, except when the board adjourns to
executive session to consider litigation, matters relating to the
formation of contracts with third parties, member discipline,
personnel matters, or to meet with a member, upon the member's
request, regarding the member's payment of assessments, as specified
in Section 1367 or 1367.1. The board of directors of the association
shall meet in executive session, if requested by a member who may be
subject to a fine, penalty, or other form of discipline, and the
member shall be entitled to attend the executive session.
(c) Any matter discussed in executive session shall be generally
noted in the minutes of the immediately following meeting that is
open to the entire membership.
(d) The minutes, minutes proposed for adoption that are marked to
indicate draft status, or a summary of the minutes, of any meeting of
the board of directors of an association, other than an executive
session, shall be available to members within 30 days of the meeting.
The minutes, proposed minutes, or summary minutes shall be
distributed to any member of the association upon request and upon
reimbursement of the association's costs for making that
distribution.
(e) Members of the association shall be notified in writing at the
time that the pro forma budget required in Section 1365 is
distributed, or at the time of any general mailing to the entire
membership of the association, of their right to have copies of the
minutes of meetings of the board of directors, and how and where
those minutes may be obtained.
(f) Unless the time and place of meeting is fixed by the bylaws,
or unless the bylaws provide for a longer period of notice, members
shall be given notice of the time and place of a meeting as defined
in subdivision (j), except for an emergency meeting, at least four
days prior to the meeting. Notice shall be given by posting the
notice in a prominent place or places within the common area and by
mail to any owner who had requested notification of board meetings by
mail, at the address requested by the owner. Notice may also be
given, by mail or delivery of the notice to each unit in the
development or by newsletter or similar means of communication. The
notice shall contain the agenda for the meeting.
(g) An emergency meeting of the board may be called by the
president of the association, or by any two members of the governing
body other than the president, if there are circumstances that could
not have been reasonably foreseen which require immediate attention
and possible action by the board, and which of necessity make it
impracticable to provide notice as required by this section.
(h) The board of directors of the association shall permit any
member of the association to speak at any meeting of the association
or the board of directors, except for meetings of the board held in
executive session. A reasonable time limit for all members of the
association to speak to the board of directors or before a meeting of
the association shall be established by the board of directors.
(i) (1) Except as described in paragraphs (2) to (4), inclusive,
the board of directors of the association may not discuss or take
action on any item at a nonemergency meeting unless the item was
placed on the agenda included in the notice that was posted and
distributed pursuant to subdivision (f). This subdivision does not
prohibit a resident who is not a member of the board from speaking on
issues not on the agenda.
(2) Notwithstanding paragraph (1), a member of the board of
directors, a managing agent or other agent of the board of directors,
or a member of the staff of the board of directors, may do any of
the following:
(A) Briefly respond to statements made or questions posed by a
person speaking at a meeting as described in subdivision (h).
(B) Ask a question for clarification, make a brief announcement,
or make a brief report on his or her own activities, whether in
response to questions posed by a member of the association or based
upon his or her own initiative.
(3) Notwithstanding paragraph (1), the board of directors or a
member of the board of directors, subject to rules or procedures of
the board of directors, may do any of the following:
(A) Provide a reference to, or provide other resources for factual
information to, its managing agent or other agents or staff.
(B) Request its managing agent or other agents or staff to report
back to the board of directors at a subsequent meeting concerning any
matter, or take action to direct its managing agent or other agents
or staff to place a matter of business on a future agenda.
(C) Direct its managing agent or other agents or staff to perform
administrative tasks that are necessary to carry out this
subdivision.
(4) (A) Notwithstanding paragraph (1), the board of directors may
take action on any item of business not appearing on the agenda
posted and distributed pursuant to subdivision (f) under any of the
following conditions:
(i) Upon a determination made by a majority of the board of
directors present at the meeting that an emergency situation exists.
An emergency situation exists if there are circumstances that could
not have been reasonably foreseen by the board, that require
immediate attention and possible action by the board, and that, of
necessity, make it impracticable to provide notice.
(ii) Upon a determination made by the board by a vote of
two-thirds of the members present at the meeting, or, if less than
two-thirds of total membership of the board is present at the
meeting, by a unanimous vote of the members present, that there is a
need to take immediate action and that the need for action came to
the attention of the board after the agenda was posted and
distributed pursuant to subdivision (f).
(iii) The item appeared on an agenda that was posted and
distributed pursuant to subdivision (f) for a prior meeting of the
board of directors that occurred not more than 30 calendar days
before the date that action is taken on the item and, at the prior
meeting, action on the item was continued to the meeting at which the
action is taken.
(B) Before discussing any item pursuant to this paragraph, the
board of directors shall openly identify the item to the members in
attendance at the meeting.
(j) As used in this section, "meeting" includes any congregation
of a majority of the members of the board at the same time and place
to hear, discuss, or deliberate upon any item of business scheduled
to be heard by the board, except those matters that may be discussed
in executive session.