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L.A.’S PREMIERE SOURCE OF INFORMATION FOR COMMUNITY ASSOCIATIONSThe Trend Issueinside this issue• SB 209 & Electric Vehicles 101• How Strong and Stable is Your Bank?• The Latest HUD How-To on FHA Approvalsave the dateHOA MarketplaceSeptember 27July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTuesday, September 27, 20115:00 p.m – 9:00 p.m.Skirball Cultural Center 2701 N. Sepulveda Blvd., Los AngelesCome to be judge and jury at our special educational program for HOA Boards!Service Providers in the following areas will be on hand toshowcase their products & services and answer your questions:Asbestos RemovalAssessment CollectionAttorneysBird ControlConcrete & Asphalt ResurfacingConstruction DefectConstruction Mgmt. & ConsultingContractorsDryer Vent CleaningEmergency ServiceEnvironmental TestingFencingFinancial InstitutionsInsuranceInsurance Claims AssistanceInternet ServicesIrrigationLandscapingLaundry ServicesLead Paint RemovalMaintenance & RepairMold RemediationPaint SuppliersPainting ContractorsPest ControlPlumbingPromotional ItemsReserve StudiesRoofingSecurity ServicesSecurity HardwareTelecommunicationsTree ServicesWaterproofingSPONSORS TO DATEHORS D’OEUVRESWolf, Rifkin, Shapiro, Schulman & Rabkin, LLPCORPORATEDESSERTPacific Western BankEDUCATIONSteven G. Segal Insurance Agency, Inc.INDIVIDUAL REGISTRATION REQUIREDFREE ADMISSION & PARKING: For Community Association Board Members,HOA Managers and Homeowners living in association-governed communities.MAKE RESERVATIONS: PHONE: 323-254-9526 FAX 323-254-9903 ONLINE WWW.CAI-GLAC.ORGName(s) _______________________________________________________________________________Association __________________________________ E-mail ___________________________________Phone ______________________________________ Address __________________________________2 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgNEWSWORTHY:6 Charging Up in the Parking Lot:The New Electric Vehicle Charging Station Law10 Electric Vehicles 101: Will My Property Need EVstructure?14 Termites and Taxes16 Attractive Summer Landscape Trends22 Reducing Fuel for Brush Fires24 Reading Is Fundamental26 How Strong and Stable Is Your Bank?28 Priority if Assessments Liens:A Pitfall of Judicial Foreclosures and Money Judgments30 The Latest HUD How-To on FHA Approval32 Top 12 Budgeting MistakesCHAPTER UPDATE:4 Note From the Editor’s Desk5 President’s MessageNOTEWORTHY:2 Homeowners Association Marketplace –A World of Progress11 CAI State Legal Forum13 CAI Fiesta Bowl Highlights17 Golf Tournament Highlights23 CLAC Contributors for 201135 CAI-GLAC Membership Recruiter Contest36 Low-Cost Mediation Service36 Essentials of Community Leadership WorkshopFYI31 CAI-GLAC Membership News34 2011 Upcoming Events34 Recruiters of the Month34 Advertisers Index34 Advertising InformationOn the CoverThe Ritz CarltonPhoto courtesy of Sherry BransonKevin Davis Insurance ServicesThis publication seeks to provide a CAI-GLAC’s membership with information on community association issues. Authors are responsible fordeveloping the logic of their expressed opinions and for the authenticity of all facts presented in articles. CAI-GLAC does not necessarily endorse or approvestatements of fact or opinion made in these pages and assumes no responsibility for those statements. By submission of editorial content to CAI-GLAC,the author acknowledges and agrees to abide by the editorial and policy guidelines.Copyright © 2011. All rights reserved. Reproduction in whole or in part without written permission is prohibited. CAI is a national, not-for-profit associationcreated in 1973 to educate and represent America’s residential community association industry.National Office Address: 6402 Arlington Blvd. #500, Falls Church, VA 22042Tel: 888/224-4321 • Web Site: http://www.caionline.org2011 BOARD OF DIRECTORSOFFICERSMatt Davidson, CCAM ® , PresidentAction Property Management, 800/400-2284Jeffrey A. Beaumont, Esq., President ElectBeaumont Gitlin Tashjian, 818/884-9998Matt Ober, Esq.,Vice PresidentRichardson & Harman, PC, 626/449-5577Catherine Gemind, CMCA ® , AMS ® , PCAM ® , SecretaryValencia Management Group, 661/295-9474Katy Krupp, TreasurerFenton, Grant, Mayfield, Kaneda & Litt, LLP, 949/435-3800DIRECTORSPamella De Armas, SAX Insurance Agency, Inc.Virginia Kemp, Carlton Square HOAGregg Lotane, CCAM ® , PCAM ® , Merit Property ManagementKatie Marcoe, CCAM ® , Seabreeze Management CompanyKay Murphy, 700 South Lake HOADiana Stiller, PCAM ® , 101 Ocean Condominium HOADavid Swedelson, Esq., Swedelson & GottliebApril Tronson, Servpro of Burbank, Chatsworth,Van Nuys & Crescenta ValleyCHAPTER EXECUTIVE DIRECTORJoan Urbaniak, CMCA ®2011 COMMITTEE CHAIRSCOMMUNITY OUTREACHMeigan Everett, CMCA ®Power Property ManagementEDUCATIONGregg Lotane, CCAM ® , PCAM ®Merit Property ManagementFINANCE COMMITTEEJolen Zeroski, CMCA ® , Union BankGOLF TOURNAMENTGary Lieberman, Payne Pest ManagementTeresa Agnew, Gifted…creative marketing solutionsLEGISLATIVE ACTION COMMITTEELisa Tashjian, Esq., Beaumont Gitlin TashjianMARKETPLACETim McHale, ACE Duraflo Pipe Restoration, Inc.Matt Ober, Esq., Richardson & Harman, PCMEMBERSHIPTina Chu, Esq., Adams Kessler PLCMEDIATION SERVICESMatthew Grode, Esq.,Gibbs, Giden, Locher, Turner & Senet, LLPPROGRAMS/LUNCHEONSKaren Kokowicz, CCAM ® , CMCA ® , PCAM ® ,Coro Community Management & ConsultingPUBLIC RELATIONSRobert Gavela, Park West Landscape MaintenancePUBLICATIONSSherry Branson, Kevin Davis Insurance ServicesFOCUS NewsmagazineSherry Branson, Kevin Davis Insurance ServicesMembership DirectoryStephen S. Grane, Alante/MCS Insurance ServicesWeb SiteLynne Collmann, Savoy Community AssociationSATELLITE PROGRAMSGail Jones, CCAM ® , CMCA ® , AMS ® , PCAM ®Valencia Management GroupMichael Lewis, , CCAM ® , CMCA ® , AMS ® , PCAM ®Concept Seven, LLCSOCIALPamella De Armas, SAX Insurance Agency, Inc.Alba Monroy, ABM Property ManagementCAIGREATER LOS ANGELES CHAPTER2753 West Broadway, Los Angeles CA 90041Office: 323/254-9526 Fax: 323/254-9903www.cai-glac.orgJuly/August 2011 • 3

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgnoTe From The eDiTor’s Desk...Summer is half over and, as we transition into fall, it’s timeto take stock of the year and where we are headed throughthe remaining months.It seems as if every car manufacturer is coming out with electric vehicles thesedays. With more of these vehicles on the road, big changes are needed inhow community associations handle the needs of the electric vehicle owners.Jeff Beaumont and Russell Higgins write about the “Electric Vehicle Charging(EVC) Station Law,” which would prevent condo associations from prohibitingEVC Charging Stations.How much does an EVC charging unit cost? How does it work? These questionsand more are answered by Todd Ritter as he explains in detail the variousins-and-outs of charging an electric vehicle.Summer is the time where insects are out in full force. What to do? Isaac Camachowrites about the latest trends in pest control to keep you in-the-know.Beautiful landscaping is a top priority in Southern California. We can neverlearn enough information about landscaping and how to keep our gardens andplants in top-notch shape. Lindsay Biren writes an article with watering tips.With brush fire season right around the corner, it’s always good to hear tipson how to protect your community association from brush fires. Kristen Raiggives a first-person account of how her community association got ready thisyear for fire season.Even though we had a good rainy season last year, one never knows what thenext year brings. Water conservation is a top priority in the world of landscaping,and Dirk Foster tells how a FOCUS article inspired him to make sprinklerchanges at his condo association.Since the banking crisis, the stability of banks and the economy have been oneveryone’s mind. Julia Marquez writes an article detailing how you can determineyour bank’s stability. What factors should you look at? How can you tellif you are with a financially secure bank? Julia has the answers.Foreclosures are still big in the news. Wayne Pariser talks about the best ways tohandle foreclosures and liens from a lawyer’s point-of-view.In the latest update on the FHA approval process, Jon Eberhardt writes anarticle giving us recent developments in an ever-changing arena.In the second part of our budget series, Sue Nelson helps us avoid the toptwelve pitfalls and land mines in the budgeting process.This issue is full of useful information, and we hope that you enjoy it!Sherry Branson, EditorThanks To oUr2011 sUper sponsorsPLATINUMAnderson Group Int’l Restoration& Remediation ContractorASR ConstructionBeaumont Gitlin TashjianCollins Builders, Inc.Pacific Western BankPreferred Commercial Painting, Inc.R.W. Stein Painting, Inc.Securitas Security Services USA, Inc.Steven G. Segal Insurance Agency, Inc.Wolf, Rifkin, Shapiro,Schulman & Rabkin, LLPGOLDFenton, Grant, Mayfield, Kaneda & Litt, LLPFerris Painting, Inc.Hi Tech Painting & Decorating, Inc.Mutual of Omaha Bank/CondoCertsPayne Pest ManagementPopular Association BankingSBS Lien ServicesSky Security Services, Inc.SILVERAssociation Reserves, Inc.Fenceworks, Inc.First Bank Association ServicesPCW Contracting Services, Inc.Reserve Studies IncorporatedRodent Pest TechnologiesSAX Insurance AgencySelect PaintingStay Green Inc.Swedelson & GottliebThe Home Depot USA/Behr PaintTimothy Cline Insurance Agency, Inc.Union BankVinyl ConceptsBRONZEAccurate Termite & Pest ControlAmerican Technologies, Inc.Berg Insurance Agency, Inc.DM Construction ServicesGibbs, Giden, Locher, Turner & Senet, LLPMarina Landscape Inc.Patriot Environmental Laboratory Services, Inc.Professional Services Construction, Inc.Silldorf & Levine, LLPThree Phase ElectricUniversal Protection ServiceCAI-GLAC does not necessarily endorse or approve statements of fact or opinion made in thesepages and assumes no responsibility for those statements. Authors are responsible for developingthe logic of their expressed opinions and for the authenticity of all facts presented in articles.We thank our 2011 sponsors who have made a substantialcontribution to ensure our continued success this year. Contactthe Chapter Office at 323/254-9526 to sponsor a program oran event.4 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgmessage From The presiDenT...As the recession drags on and thereis little encouraging economic newsrelative to a recovery in housingprices in the near term—and government budgets at the city,state, and national levels are caught in what seems to be endlesssquabbling—the Common Interest Development (CID) industrysoldiers on. Our elected officials could learn a thing ortwo from the thousands of volunteers who, with the help ofprofessional managers and service providers, struggle to makethe tough decisions to cut costs and maintain essential servicesfor their residents and clients. They continue to develop andapprove budgets in spite of the fact that they have seen homevalues in their communities fall, once paying members fallinto foreclosure, and revenues decline in the face of increasingdemands. Many of our member service providers have comeup with innovative ways to help their association clients savemoney, whether it’s by managers bringing some services in-house,providers holding their fees steady for years at a time, creativeways to conserve on utility costs by upgrading common arealighting and irrigation controls, or high-tech building componentsdesigned to last longer with less preventive maintenance.This recession has demonstrated to me that contrary to muchof the negative press that unfortunately seems to get the loudermicrophone, there are lots of CID leaders and practitioners outthere doing the right thing by their associations and for theirhomeowners on a regular basis. CAI-GLAC offers a wealthof educational opportunities to help CID leaders make wellinformed decisions, and I hope you have taken advantage ofsome of them. To help keep you on the cutting edge, you canvisit the Chapter’s Web site at www.cai-glac.org for upcomingevents and links to a variety of resources. We are also lookingforward to our Homeowners Association Marketplace, whichwill be held at the Skirball Cultural Center on September 27(Details on inside front cover). This event offers an excellentopportunity to learn about an amazing variety of service providersand products all in one place, take advantage of some great freeeducation from leaders in the industry, and find out more aboutwhat CAI-GLAC has to offer. I’m sure that this event is goingto be a great success and would love to see you there. So keep upthe good work and thank you for your support of CAI-GLACand the CID industry.Matt Davidson, Chapter PresidentCommunity Associations Institute Greater Los Angeles Chapter Mission Statement:CAI-GLAC will provide education resources and opportunities to all of its members with the guiding principles being the improvement of the quality of lifewithin community associations, the promotion of professionalism within the industry, and the advocacy of legislation which will benefit community associations.July/August 2011 • 5

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgCharging Up in The parking LoT:The new eLeCTriC vehiCLe Charging sTaTion Lawby Jeffrey A. Beaumont, Esq. & Russell W. Higgins, Esq.With the costs and problems of fossil fuels multiplying andenvironmental concerns growing with every added oil spill andsubtracted iceberg, all-electric vehicles are an increasinglyattractive idea. The President has set a goal of adding onemillion plug-in vehicles in America’s driveways by 2015, andmodels already range from the electrifying Tesla Roadster® to thenew Chevy Volt® and Nissan Leaf ®, and there is no end in sight.However, plug-ins need specialized charging (EVC) stations,and there are only about 1000 of those at present — and tens ofthousands will be needed in order to reach the President’s goal.EVC stations range from the size of a gasoline pump (for a fast,half-hour charge) down to the size of a parking meter (for anovernight charge). EVC stations can be installed in the homegarage, but are notably absent from almost any common interestdevelopment where parking is accomplished on common areas.That may be about to change.Sponsored by Senator Corbett, Senate Bill 209 adds a new sectionto the Davis-Stirling Act. This new law would prevent communityassociations from prohibiting or restricting installation of EVCcontinued on page 86 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgLOs AnGELEs ORAnGE COunty InLAnD EmpIRE KERn COunty CEntRAL COAstA Full Service community ASSociAtion lAw FirmGeneral legal counselGoverning Document AmendmentsEnforcementLegal OpinionsContractsDispute Resolutioncivil litigationEnforcementInsurance Bad FaithConstructionAssessment collectionsJudicial ForeclosureTurning Common InterestsInto Common Ground866.788.9998www.bgtlawyers.comJeffrey A. Beaumont, Esq.July/August 2011 • 7

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgCharging Up in The parking LoT: The new eLeCTriC vehiCLe Charging sTaTion Lawcontinued from page 6stations (including on common areas) by homeowners. The billwould permit associations to impose reasonable restrictions,such as architectural guidelines, and if the EVC is to be installedon common areas, the bill requires the installing owner to payfor installation, maintenance and repairs, as well as electricity,and to compensate associations for costs of any damage. TheEVC station (which may supply one or more electric vehicles)must meet all applicable safety standards and all local permittingand similar requirements. The bill also requires any ownerwishing to install an EVC on common areas to carry liabilitycoverage to protect the association. An association that violatesthe law faces damages and a $1,000 civil penalty, as well as attorney’sfees.The bill is similar to the recent solar energy system legislation(e.g., Civil Code Section 714) in structure and effect. The statedpurpose of SB-209 is to “remove obstacles to the use of electricvehicle charging stations,” and its author cites the example of anassociation in Hawaii that denied an owner permission to installan EVC. The law provides that any covenant, condition, orrestriction that “effectively prohibits or restricts” installationof an EVC is void and unenforceable. However, there is anexception for “reasonable restrictions” — placing the “burden ofproof ” on the association to show that any restriction regardingEVCs passes the reasonableness test: that the restriction does“not significantly increase the cost the station or significantlydecrease its efficiency or specified performance.” Any associationapproval process must also move quickly: except for “reasonable”delays for information gathering, any application not deniedwithin 60 days is deemed approved.But to further eliminate resistance, the law states that associationsshall approve the installation as long as the installing owneragrees in writing to do the following: comply with architecturalstandards, use a licensed contractor, provide insurance coveringthe association, and pay for the electricity. Once the EVC isinstalled, the owner (and his or her successors in title) becomesresponsible for any damage to the station, surrounding property(including common areas, exclusive use areas, and separateinterests) caused by the installation, repair, removal, or replacementof the EVC. The owner is also responsible for maintenance,repair, and replacement of the EVC, and the cost of electricityfor the EVC, and for carrying a million-dollar liability insurancepolicy, in perpetuity.continued on page 98 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgCharging Up in The parking LoT: The new eLeCTriC vehiCLe Charging sTaTion Lawcontinued from page 8Unfortunately, the law also has the effect of granting exclusive use of the EVC location to asingle owner, which interferes with the rights of all other owners and conflicts with the 67%membership approval requirement of Civil Code Section 1363.07. It may also cause a raretype of “regulatory taking,” in which the regulation expressly requires one property owner toallow another the use of his or her real property. In such cases, for example, the SupremeCourt has found that building codes compelling property owners to permit installation ofcables required compensation for property owners; airports have also been required tocompensate landowners for noise, risk, and other invasions. Therefore, the very foundation ofthe law itself is questionable.Nevertheless, the future is here, and beginning January 1, 2012, EVCs may begin to transformcommon area driveways and subterranean garages into power stations — and enterprisingassociations can also profit by amping up their parking areas. At least one leading EVC vendorsells “subscriptions” to vehicle owners, allowing them to charge up at any participating EVC,anywhere in the country, with the swipe of a key fob. But simultaneously, the owner of theEVC receives up to 80% of the subscription fees! Forward-thinking associations may catchlightning in a bottle, and improve their bottom lines. But in any event, the future has arrivedand as they say, resistance may be futile.Jeffrey A. Beaumont, Esq. is the managing partner and Russell Higgins, Esq. is an attorney atBeaumont Gitlin Tashjian in Woodland Hills. They can be reached at jbeaumont@bgtlawyers.comand rhiggins@bgtlawyers.com, respectively.July/August 2011 • 9

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgeLeCTriC vehiCLes 101: wiLL my properTy neeD evsTrUCTUre?by Todd RitterWith current electric vehicles, such as the Chevy Volt® andNissan Leaf ®, starting to showing up on the 405 Freeway andanother 33 different varieties on the way, along with Californiabill SB 209 just signed into law by Governor Brown, the needfor electric vehicle charging stations is real and here. It’s a factthat approximately half of Los Angeles’ residents live in a multiunitdwelling (MUD). Considering deeded parking and commonarea power consumptions alone, this issue of how andwhere to charge electric vehicles (EVs) could pose significantissues within HOA communities and homeowners that want EVs.WATT* DO THEY DO AND HOW DO THEY WORK?Electric Vehicle charging stations are currently at three levels ofpower delivery: Level I, Level II and DC fast charging.(EVSE) Electric Vehicle Service EquipmentLevel I will deliver 110/120 Volts at 15 or 20 amps, and is thesame as plugging the EV into a common electrical wall socket.Charging at this level takes about 10 hours for a Chevy Volt® at16kwH and 20 hours for a Nissan Leaf ® at 24kwH to completea full battery charge from empty.*Word used intentionally by the author in place of ‘What.”Level II charging delivers 220/240 volts at40 amps and can charge a battery at a muchfaster rate than Level I. It takes about fourhours for a Chevy Volt® at 16kwH and sevenhours for a Nissan Leaf ® at 24kwH tocomplete a full battery charge from empty.Level II is what most EV consumers wantto use to charge their vehicles.The new standard SAE J1772 ElectricVehicle Conductive Charge Coupler thatis attached to the EVSE unit via a 15-18-foot cord is the Electric Power ResearchInstitute (EPRI)-approved standard that allPlug-in Electric Vehicles (PEV) manufacturers will comply too.DC Fast Charge delivers 480 Volts. This type of charging isintended for “fast” or “quick” charging that can replenish avehicle’s batteries in a matter of minutes. This type of chargingis more appropriate for publicly-available charging or commercialinstallations, but is not well-suited to residential needs incontinued on page 11HOA Banking Made Simple• Cash Management Solutions• Homeowner Association Loans• Lockbox Processing• Online Access• Multiple Payment OptionsOver 75 full-service branch locationsin California to serve your HOABanking needs.Annette Abernethy(310) 996-9105aabernethy@pwbonline.comPartner with Strength. Partner with Pacific Western Bank.Tonya Guyot(310) 996-9106tguyot@pwbonline.comwww.pacificwesternbank.comMemberFDIC10 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgeLeCTriC vehiCLes 101: wiLL my properTy neeD evsTrUCTUre?continued from page 10single-family or multi-family residences due to the equipmentandpower-required costs associated with it.Watt* do the units cost?The prices range from $1,500 -$3,000, depending on the EVSEmanufacturer and the unit’s capabilities, such as monthlyreporting software, wireless point-of-sale credit card transactionshardware, unit aesthetics etc.Federal, State and Local Incentives for EVSEUnfortunately, Non–Profits (HOAs) do not qualify for anyinfrastructure incentives. Homeowners who purchase refuelingequipment (EVSE) are eligible for a maximum tax creditof $1,000 because electricity qualifies as an alternative fuel.The credit expires December 31, 2011. As of Spring 2011,the State of California and regional governments in the LosAngeles metropolitan area do have an incentive programfor charging station installations. The incentive program isthe City of Los Angeles rebate program. The program coversup to $2,000 in costs for purchasing and installing a chargingstation. Applicants are required to purchase or lease an EV,purchase a Level II charger, and install a time-of-use meter attheir home. The rebate offer applies to EV drivers in single-familyand multi-family residences. The program expires June 30, 2013.The ChallengesMUDs face electricity infrastructure challenges when installingcharging stations. As most utility companies, electrical engineers,building owners and electricians will agree, every building isunique and electrical upgrades are difficult to make. Also, howHOAs recoup common area electrical usage and infrastructurecosts is another hurdle.Supplying Power to the BuildingMost transformers that convert electricity from high voltage fortransmission to low voltage for residential use have been upgradedover the years, thus rendering it difficult to make any meaningfulinferences about building age and transformer capacity. Theintroduction of new technology has often been followed byincreases in transformer capacity, such as an EVSE unit, that willconsume large amounts of electricity at 40 amps each, the sameas adding a jacuzzi to a condo unit.EVs will inevitably require increases in transformer capacity.The most recent city-wide transformer upgrade effort for theCity of Los Angeles occurred in the early 2000s. Transformerssupplying multi-family buildings typically have 10% to 15%continued on page 12*Word used intentionally by the author in place of ‘What.”July/August 2011 • 11

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgeLeCTriC vehiCLes 101:wiLL my properTy neeD evsTrUCTUre?continued from page 11excess capacity, or overhead, which is enough to sustain a fewelectric vehicles, but is insufficient to sustain more then 5-10PEVs. Transformer size is dictated by the amount of energyrequired to sustain the building’s population with 10-15%overhead.HOA Level II Charging Stations will require a Utility GradeEVSE Infrastructure Plan.• Permitting• Electrical Engineering• Electrician Assessment • Electrical Panel Upgrades• Electricity Metering • Unit Installation, TOU reporting,commissioning, training etc.With 33 different PEVs entering the Los Angeles market in thenext two years, along with California Bill SB209 passing, a planof action is a community’s best plan. For more information,please visit www.evchargerinstall.com.Todd Ritter is president and partner of The AST/Morgner GreenTeam. He can be reached at todd@astgreenteam.com.Solve Your DamagingPest Problems withGuaranteed Results.Animal & Insect Pest ManagementInc., has a team of experts tohelp you manage all your pestproblems large or small. All ofour Urban Wildlife Professionalsare State Certified PesticideApplicators, extensively trainedin pest identification, damagerecognition, managementmethods and safety.In addition, our Biologistdevelops precision pestmanagement programsthat ensure the mosthumane, ecologicallysound and legalmethods are used toguarantee results.Call Today For a FREE Consultation 888 344 6567InsectsBees, Wasps,Ants, SpidersRodentsGophers, Mice, Rats,Ground SquirrelsTrappingRaccoons, Coyotes,Skunks, OpossumsSpecialtyRabbits,Birds, BatsVisit us online www.animalinsectpm.comQuestions? info@animalinsectpm.com12 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgFiesta Bowl Game Night Fun—Wow!Ninety-five chapter members and friends met atthe CenterPointe Club in Playa Vista for an evening ofBingo, Speed Networking and Friendly Feud (similar toFamily Feud). Bingo games were won by Jessie Monroy,Gina Lowrey and Stephanie Chung; Meigan Everett wasthe Speed Networking winner; and the Vinyl ConceptsTeam (Kevin Thomasula (Captain), Jennifer Cleveland,Meigan Everett, Gina Lowrey and Barbara Powell)triumphed in the final round of Friendly Feud.Our thanks to the Social Committee for a jobwell done! Co-chairs Pamella De Armas (SAXInsurance Agency) and Alba Monroy (ABM PropertyManagement), Bill Hatch and Rebecca Miller(ASR Construction), Adriana Hernandez (AdamsKessler, PLC), Sara Raz (Anderson Group International),Tiffani Reynolds (Rodent Pest Technologies, Inc.),Tony Sayegh (Gothic Grounds Management),Stephanie Sanders(Dunn-Edwards Paints)and Laura Terpack(Accurate Termite &Pest Control).Thanks to OurSponsorsMargarita BarAnderson GroupInternational Restoration& Remediation ContractorBingo CardsASR ConstructionGamesABM Property ManagementDesign Build AssociatesG4S Secure Solutions USAPCW ContractingServices, Inc.Vinyl ConceptsFiesta BuffetHi Tech Painting &Decorating, Inc.Pacific Western BankRodent Pest Technologies, Inc.Prize Basket Contributors5 Star Elevator Service Inc.Anderson Group InternationalASR ConstructionBerg Insurance Agency, Inc.Centurion GroupGothic Grounds ManagementHA Just WaterproofingTimothy Cline InsuranceAgency, Inc.July/August 2011 • 13

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTermiTes and Taxesby Isaac CamachoIn Southern California termites are like taxes; we all get themand, though they come in relatively small amounts at a time,they build up and consume our hard-earned money. Just liketax evasion can get you into a whole lot of trouble, so can termiteevasion. Approaching the unwanted critters with knowledgeand expertise is key to resolving the problem correctly, effectivelyand with minimal adverse effect to your pocketbook.Here are some quick facts about termite control that can helpyou make the smart decisions.Most termite control that is done in multi-family structurestoday is a form of localized treatments for termite eradication.When performed accurately and regularly, localized treatmentscan be an effective method of termite control for multi-familystructures. Most of the work and cost associated with localizedtreatments is in the inspection itself. Once termite infestationsare found, treatments are as simple as drilling into the infectedwood member, injecting termiticide and filling the drill hole.The majority of time and labor is spent in finding the problems.Hence, when acquiring a regular termite control contract, avoidincluding that any one building be inspected in its entirety morethan once a year. Even after swarming, new termite infestationsrarely become a major issue within the first year of a new colony.After the entire building has been inspected once, spot inspectionsand treatments as needed for one year is sufficient to getgood control of the termite situation in the community.Make wood repairs part of your termite control program toreduce the likelihood of having major damage in the future.Performing regular wood repairs and treating under damagedwood is also a great method of keeping termites under control.Termites like their food (wood) as soft and moist as they canfind it. By repairing and replacing old and damaged wood,you reduce the likelihood that a new swarm will choose yourcommunity as a new home. When planning wood repairs, askcontinued on page 1514 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTermiTes anD Taxescontinued from page 14your termite company to treat under the damaged wood; thismakes it very likely that you can treat right at the source of theproblem. In short, plan to build in some additional money tohandle wood repairs after termite inspections and treatmentsare done. Never acquire a contract for wood repair unless thecontractor has already provided you the specs of work for eachbuilding. Allowing a contractor to extrapolate a wood repairsbid from only one inspection, or just a few inspections, can bedangerous and costly. Termite inspection reports contain a lotuseful information—use them throughout the entire project.In a termite control program, the reports can be just as valuableas the service itself. Inspection reports will help you seewhere your largest problem areas are, how large the problemsactually are, and how much damage is present on the property.Acquiring a termite control program is a great opportunity toreceive a full-scale view of damage throughout the communityall at once. Being able to “see” all wood repairs needed in theentire community at one time will give you the ability to planand wisely allocate resources to areas where they are needed themost first. Acquiring the right contracts at the right time willreduce future costs in repairs and sometimes treatment. Savingscan be directed to termite prevention to secure and protect agood standing in termite control for a long period of time.Termites swarm high and look for cool dark places to start theirnew colonies. This is why most major termite infestations arecommonly found in eaves and attics. There are products andtreatment methods available (which actually do work) and preventtermite infestations from recurring. The products work best onunpainted exposed wood, such as the wood in your attics. Treatingyour attics for termite prevention is the treatment of most valuewhen it comes to termite control. Do remember, however, thatbefore termites can be prevented, they have to be treated—always start at step one.In short, termite activity is always changing and so are your community’sneeds. What you may have been doing in the past isnot always the best option today. Take the time to consider yourtrusted termite professional’s recommendations and options;get informed, and make the decision of best overall value.Isaac Camacho is the Director of Sales and Marketing at AccurateTermite & Pest Control in Inglewood. He can be reached atIsaac@accuratetermitecontrol.com.July/August 2011 • 15

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgaTTraCTive sUmmer LanDsCape TrenDsby Lindsay BirenSummertime is here, kids are home from school and your attentionto the outdoors is at its peak. The smell of fresh cut grass,the shade from beautiful blooming trees and the sweet aroma ofperennials and seasonal flowers are a delight for all your senses.Ah yes, we all love the summertime. It’s a time to get outdoorsand finally enjoy the beautiful surroundings of your homeownersassociation, resorts, shopping centers and your friends’ andfamily’s beautiful landscape.Working in the landscape industry, I can tell you that this isthe time of year when it is the most important for homeownersassociations to be re-evaluating their water usage. Just as youand I enjoy a nice cold beverage on a hot summer day, so doesyour landscape. The question now is how much water does yourlandscape actually need so that it will continue to thrive withoutdrowning, drying out or burning in the hot summer heat?Determining the proper amount of water your landscape needscan be a tricky dance to learn. Most people know landscapeneeds to be watered, but many people may not know that eachtype of plant material needs a unique amount of water to optimizeits health and appearance. For example; grass and groundcovers require more water than shrubs and perennials. This isimportant to keep in mind when associations are looking atways that they can become more water-friendly. In fact, it isnot uncommon for associations to remove sections of turf andgroundcover from common areas and replace them with waterresistant plants, shrubs and perennials. This helps them not onlyenhance and beautify their property but also save water, and weall know that saving water these days also means saving money.Another suggestion to save water while improving your landscapeis to re-evaluate the irrigation system itself. Most peopleknow that we have sprinklers, but many people may not knowcontinued on page 21Specializing inCommunity Associations(800) 464-2817info@adamskessler.com16 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTITLEWolf, Rifkin, Shapiro,Schulman & Rabkin, LLPNOVICEServproLUNCHBeaumont Gitlin TashjianBREAKFASTCertaPro PaintersCHAMPIONSHIP24 Hour RestorationPacific Western BankPreferred Commercial PaintingTOURING PROR.W. Stein Painting, Inc.DRINK CARTSAbsolute Security &Technologies, Inc.Sherwin-Williams PaintCONTEST HOLESAbatix Corp.CBC Cleaning & RestorationCollins Builders, Inc.Vista Paint Corp.MEET & GREET HOLESAdams Kessler PLCAlliance Environmental Group, Inc.American Environmental Group, Inc.American Technologies, Inc.ASR ConstructionBehr Paint Corp./ The Home Depot USADM Construction ServicesHi Tech Painting & Decorating, Inc.Patriot EnvironmentalLaboratory Services, Inc.SBS Lien ServicesSilldorf & Levine, LLPStay Green Inc.Union BankVerizonCLUB PROAnderson Group InternationalRestoration & RemediationContractorDel Mar PacificGeneral ContractorsSteven G. SegalInsurance AgencyVinyl ConceptsSOUVENIR PHOTOSSecuritas SecurityServices USA, Inc.July/August 2011 • 17

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgJune 13—Golf Extraordinaire!What a difference a month makes! June was the perfect month to hold our annual golf tournament at Braemar Country Club in Tarzana. We had arecord crowd of members and guests who came out bright and early to enjoy 18 holes of golf, while another 22 participated in the Novice 9—a clinic with agolf pro, followed by nine holes of golf. Everyone met up afterwards at the golf banquet for dinner, awards and raffle.Our thanks to the Golf Committee for its good planning and hard work: Co-chairs Teresa Agnew (Roseman & AssociatesAPC) and Gary Lieberman (Payne Pest Management), as well as Committee members Caesar Aguirre (Concrete Hazard Solutions),Ean Belafsky (CertaPro Painters), Isaac Camacho (Accurate Termite & Pest Control), Ryan Dudasik (Empire CommunityPainting), Julia Gomes (Alliance Environmental Group), Kevin Hughes (Securitas Security Services USA, Inc.), Jay McMullen(Allstate Landscaping Services), Brian Moreno, Esq. (Richardson & Harman, PC), April Tronson (Servpro of Burbank, Chatsworth,Van Nuys and Crescenta Valley), Daisy Vasquez (Securitas Security Services USA, Inc.), Stephen Winterrowd (CertaPro Painters ofLos Angeles), Irma Zaldivar (Patriot Environmental Laboratory Services, Inc.) and Jolen Zeroski (Union Bank).We couldn’t have done it without the support of our sponsors listed on page 17 and the help of our volunteers: DianaAdamian, Kris Barger, Lindsay Biren, Danny Guardado, Bobby Hong, Diana Kitsinian, Sabrina Lewis, Kathy Lung, LaurenPotts, Ashley Ryan, Stephanie Sanders, Brittany Smith, Laura Tice, Michelle Urbina and Vicki Voelker.It’s never too early to mark your calendar for June 11, 2012!Reverse RaffleWinnerMike RobertsClosest-to-the-Pin-Novice 9Jenny TronsonClosest-to-the-Pin #2Rich Wilson (Men’s) andSuzie Wilson (Women’s)with Hole SponsorsJennifer Cobarruviasand Bruce WhiteABATIX CORP.Closest-to-the-Pin #17Matt Kittleson (Men’s)Chris Albrecht (Women’s)with Hole SponsorsAndie McNamara andRebecca CollinsCOLLINS BUILDERS, INC.Closest-to-the-Pin #6Mark Hart (Men’s)Alba Monroy (Women’s)Hole Sponsor Robert Luceannouncing winners withGolf Co-chairGary LiebermanVERIZONLongest Drive Men’sMatt Kittleson withTeresa AgnewGolf Co-chairHole SponsorVISTA PAINTCORPORATIONLow Net FoursomeScott Mourer, Chad Sivcovich,Tim Desmond andDean MorrisonANTIS ROOFING &WATERPROOFING FOURSOMELow Gross FoursomeMark Reider, Russell Hoffman,Curt LaBarre, Chris DiNinoLABARRE OKSNEE INSURANCE/UNON BANK FOURSOMEAccurate Hole Women’s #14Meigan Everett withHole Sponsors Debbie Glasnow,Margie O’Hern andGordon GlasnowCBC CLEANING& RESTORATIONLongest DriveWomen’sBonnie Sharp withTeresa Agnew GolfCo-chairHole SponsorVISTA PAINTCORPORATIONNovice 9 Lowest ScoreJenny Tronson, Kim Alfieri,Barbara Best, April TronsonSERVPRO FOURSOMEAccurate Hole Men’s #14Jullian Sakai (standing in forWinner Matt Whitcher)with Hole SponsorsDebbie Glasnow, Margie O’Hernand Gordon GlasnowCBC CLEANING & RESTORATIONAmericanTechnologies, Inc.Winning Display18 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgJuly/August 2011 • 19

CAI GreAter Los AnGeLes ChApter • www.cai-glac.org20 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgaTTraCTive sUmmer LanDsCape TrenDscontinued from page 16that irrigation methods and technologies have evolved andthat there are ways other than sprinklers to deliver the properamount of water to your landscape. For example; sprinklers ormp rotators are typically used to water turf areas while otherareas, such as planters and slopes, may need to have water deliveredby bubblers or a drip system. You may be asking yourself how itis that each of these options is decided upon.In the landscape industry we use a measure called evapotranspiration(or ET for short) to determine the amount of water that eachsection of your landscape needs. Evapotranspiration is a bigfancy word that basically means the rate at which water evaporatesfrom soil. The four main factors within a microclimate thataffect the level of ET on a regular basis are the temperature,solar radiation, humidity and wind. Due to the short amountof distance in a microclimate these four factors can mean thedifference between your neighbor having azaleas in bloom forfour months out of the year while yours only bloom for sixweeks. These factors also play a large role in the amount of wateryour landscape needs. So how do we take all of the informationwe have learned so far to optimize your water usage? The answeris easy. We use smart weather-based irrigation controllers tohelp manage your irrigation system.You have heard about them before. Your association may evenalready have them. Smart weather-based irrigation controllersare a fantastic tool that can be programmed to know whattype of plant material is being watered, what type of irrigationcomponent will be used, the location of plant material (i.e.direct sun, shade or slope) and what the evapotranspirationlevel is within the given microclimate. All of this information iscompiled together to tell your irrigation controller how muchwater should be dispensed to give your landscape the exactamount of irrigation it needs to quench its thirst withoutdrowning it, drying it out or burning it. Pretty amazing, isn’t it?So this summer I challenge you to take the extra step to re-evaluatethe water usage at your homeowners association. Call on thelandscape experts to learn what you can do to make your propertywater-friendly. Whether your plan of action is to reduce turfand groundcover and install drought-tolerant plant material orto install smart weather-based irrigation controllers, you andyour neighbors can all be happy and proud to have beautifullandscape while saving precious water and controlling costs.Lindsay Biren is a business developer at American HeritageLandscape located in Canoga Park. She can be reached atlbiren@americanheritagelandscape.com. July/August 2011 • 21

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgreDUCing FUeL For BrUsh Firesby Kristen Raig, CMCA ® , AMS ® continued on page 23Rolling Hills, an equestrian community of single-family homesover three square miles was designated a very high fire hazardzone (VHFHZ) in 2008. The topography is hilly with deepcanyons filled with dense brush. To the south, the community isbounded by a 1,400-acre nature preserve.Since the VHFHZ designation, the Rolling Hills CommunityAssociation (RHCA) Board of Directors started to take an activerole in addressing fire risks in the community. This has resultedin several programs implemented both on their own and withcommunity partners over the past five years to mitigate fire risksand educate the members of the community.The association worked on its own as well as partnering with theCity of Rolling Hills and the L.A. County Fire Department tomitigate risks in common areas, facilitate reduction of fire fuelon private property and educate homeowners and local vendorsabout fire safe landscaping.The logical place to start was the association-controlled areas,primarily the 30 miles of bridle trails and two riding ring lotswhich collectively covered 13 acres. This was no small featbecause native vegetation had been allowed to grow nearlyunchecked for more than 20 years.Landscape crews and a herd of goatsworked for more than three weeksclearing underbrush, removing lowtree limbs and thinning dense overgrowth.The association asked theCity of Rolling Hills to share thecosts for fire fuel mitigation at theriding rings. A display of beforeand-afterphotos was posted at theannual members meeting as an exampleof how to manage canyon land andmitigate fire risk without causingerosion or compromising the nativehabitat.At 8:30 p.m. on August 27, 2009,a day after the start of the StationFire, a fire started just south ofRolling Hills. It burned througha portion of the nature preserve and up the canyon, but thanksto the quick response of the fire department, water-dropping22 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgreDUCing FUeL For BrUsh Firescontinued from page 22helicopters and an evening with no wind, the fire was put outwithin hours and only one structure was lost and two homeswere damaged. It was a wake-up call that our efforts to addressfire risk had only just begun. Thankfully, the city, association staffand community volunteers had just completed disaster training,so all were more prepared to run an Emergency Operations Centerand work with fire and sheriff personnel.Immediately after the fire, and at the recommendation of thefire department, the association replaced all street signs withreflective signs, and specifications for all new residence signswere changed to be reflective.The association also requested that the fire department havesomeone from the forestry unit do a ride-along through thecommunity with the association’s maintenance foreman andmake recommendations to clear vegetation and reduce fuelladders in roadside easements. A fire ladder is when vegetationallows a fire to climb from the ground into the tree canopies byclimbing a fuel ladder of tall bushes or low tree branches. TheRHCA spent more than $50,000 over two fiscal years to eradicatefuel ladders and cut back vegetation in the association easements.Once the RHCA had exhausted its options on associationcontrolledproperty, it was time to address the fire fuel on privateproperty. The city council and association board formed an ad-hoccommittee just before the August 2009 fire to address theirshared concerns about fire risks. The committee agreed to hirea consultant to assess the community and help come up with aplan. The committee decided to create a way that made brushclearing and fire fuel mitigation a clear and simple process forhomeowners. To do this, the association, city and L.A. CountyFire Department held two education workshops, one for propertyowners and one for landscape contractors, to teach the principalsof fire-safe landscaping and fuel reduction. The contractorworkshop included a demonstration, and participants weregiven a certificate of completion and put on a list of contractorsavailable to homeowners through the association.This spring, the association offered free green waste chippingfor the entire community of 690 homes. We sent out noticesto homeowners to have all green waste put out on the roadsideby a set date. It took two crews five days to chip all of the greenwaste and nearly all the wood chips were recycled by the homeownersor the association as mulch within the community. Thisprogram was wildly popular. We estimate that one-third of thehomeowners participated. Since it was also fairly economical,compared to some of our other efforts, and cost just over$10,000, the board intends to make this an annual event.To further incentivize homeowners to reduce dense brush onthe properties adjacent to the nature preserve, the board createda matching fund where homeowners can apply to the RHCAand be reimbursed for fire fuel mitigation costs up to $1,000 fora lot less than three acres and $1,200 for a lot that is three acresor more.If the matching fund program gets a positive response, the boardis considering expanding it to the whole community and hasalready allocated funding for the 2011-12 fiscal year.While we won’t ever be able to remove the risk of fire from ourcommunity, through partnership with other agencies we canmake the community safer and help our constituents prepareand protect their investment.Kristen Raig is the general manager of the Rolling Hills CommunityAssociation, which is the homeowners association for the City ofRolling Hills, and was established in 1936. It is a gated communityon the Palos Verdes peninsula.Our Thanks to 2011 CLAC ContributorsAscot HOABeven & Brock, Inc.Castlegate HOACentury Woods COAHeritage Townhomes OALos Robles Condo Assn.Old Orchard I HOAPacific Grove AssociationPlaya Pacific HOARichardson & Harman, PCRoss Morgan & Company, Inc.S.B.S. Lien ServicesSeabreeze P.V. Maint. Corp.Sky Community AssociationSouthern Oaks SocietyStudio Village HOAThe Brentwood at Kiowa HOATara Hill HOAThe Californian on Wilshire HOAVista Townhomes HOAWolf, Rifkin, Shapiro, Schulman & Rabkin LLP$9,89444% of the commitmentas of 6/30/2011July/August 2011 • 23

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgreaDing is FUnDamenTaLby Dirk Foster, CCAM ® , CMCA ® , AMS ® , PCAM ® continued on page 25I joined the common interest development industry as a managerin 2004, after more than 15 years in a completely different field.I was lucky enough to be hired by a management company withamazing vision and an incredible training program for newportfolio managers. I tried to remember everything my trainingmanager said and totally focused on the way I was taught to dothings, not realizing just how large and comprehensive theindustry actually was. It was my first experience in the corporateworld, and I was eager to learn how to do things the “companyway.” I also wanted to be recognized for my potential since myabilities as a community manager were still developing. Havingcome from a very well-developed and information-rich environmentin my previous career (and still not completely graspingthe scope of the one I had ventured into), I found myself (duringmy training) striving a bit too far for recognition by commentingto the company’s very bright and innovative vice president thatI thought the industry really needed a publication for managersand homeowners. He smiled, recognizing my ambition washeart-felt, and responded to me that there were several publicationsavailable. He then suggested that I ask a few of my moreseasoned co-workers for their reading recommendations.Soon after, it wasn’t unusual for me to spend part of my lunchtimelooking over various trade magazines generously left in thebreak room. Sometime that year, I saw a publication I hadn’trecalled seeing there before — FOCUS Magazine. Since I wasn’ta CAI member at the time, I didn’t realize that FOCUS was theGreater Los Angeles Chapter’s publication and that working inOrange County I wouldn’t normally have seen it. The articlethat caught my eye was entitled, Smart Controllers – Wireless ETIrrigation Technology, and it really stuck with me. It was shortand to-the-point, perfect for a quick-read at break. It didn’t goin-depth, but outlined the benefits these controllers providedfor water management and conservation, the products availableat the time (including their manufacturers), and costs I couldexpect to incur if purchasing one—very helpful when biddingsomething out for the installer to purchase. I was inspired to doadditional research on my own at home and learned quite a bitmore about these products, but never had the opportunity toactually recommend one to a board of directors.I eventually moved on from my portfolio manager positionto become the operations director of a luxury high rise inImagine a bank that enhancesand protects the financial health of yourcommunity association.Our dedicated expertsunderstand the needs ofassociations. We canFinance your essentialprojects, including:• Building Repairs• Improvement ProjectsWe offer state-of-the-artLock Box servicesas well as a full arrayof other depositoryservices.ContactLarry Hooper714-864-5171lhooper@bpop.comassociationbankers.com©2010 A Division of Banco Popular North America. Member FDIC.24 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgreaDing is FUnDamenTaLcontinued from page 24Marina del Rey, and eventually on to become the generalmanager of the Two Eleven Spalding Condominium Association,the position I still hold today. I had been a CAI member for awhile by then and had tried to read FOCUS whenever possible.Not long after transitioning to my GM position and settling in,I came across the article Water Conservation in the Landscape inthe May-June 2006 issue of FOCUS. It highlighted several waysto save water, but the part about self-programming weathersensitivetime clocks reminded me of the article from 2004 andinspired me to do some new on-line research about irrigationcontrollers.When my board was considering a complete landscape remodelin 2008, the articles and my subsequent research promptedme to suggest that they consider installing a smart controllerto improve water savings. We asked the landscape architect toprepare the specifications both ways and had the contractorsprovide proposals and estimate water use for both conventionaland smart irrigation controllers. It was an easy choice for myboard once they saw that the initial investment would pay foritself within the first year and that subsequently we stood torecognize increased savings in the years to come. The controllerhas been installed for almost a year now, and the water savingswe have already realized has more than covered its cost. I mighthave eventually learned about smart irrigation controllers elsewherehad I not read the FOCUS articles, but reading about thecontrollers had a much greater impact and gave me a ready referencewhen I needed it.Although I don’t always have a lot of time to read and, after along day/week at work, an industry trade magazine isn’t alwaysmy first choice, I made a commitment to myself to learn as muchas I could about anything that would make me a more effectiveasset to my boards. Reading industry-specific subject matter is afundamental part of keeping that commitment to myself, and Iam certain that, by continuing to read FOCUS Magazine, I willuncover additional gems of information that can be applied to asituation or project for the benefit of the association.Dirk Foster, CCAM®, CMCA®, AMS®, PCAM® is the on-sitegeneral manager of the Two Eleven Spalding CondominiumAssociation, the oldest “built-as” condominium in Beverly Hills.He can be reached at bh211spalding@sbcglobal.net.Who else can say – our account executives know communitymanagement backwards and forwards.Who else can say – our relationship managers speak yourlanguage and understand your business.Who else can say – our technology group has revolutionizedthe business of association management.ExpEriEncEHOA Banking • HOA Loans • Internet Cash ManagementOnline Payment Systems • Dedicated Customer ServiceLisa Ann Rea CMCA AMSRegional Account Executive805.907.8452Toll Free 866.800.4656, ext. 7500lisa.rea@cabanc.comcabanc.comCommunity Association Banc is a division of Mutual of Omaha Bank. Member FDIC. Equal Housing LenderNational Corporate Member of Community Associations Institute.Z3445Equal Housing LenderJuly/August 2011 • 25

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orghow sTrong anD sTaBLe is yoUr Bank?by Julia MarquezIf there was anything positive that came out of the bankingcrisis of 2008, it was a new awareness about the importanceof a bank’s strength and stability. Since then, legislative andregulatory changes have been enacted to help prevent futuredebacles. But it still pays to do your own research and duediligence about the banks you do business with, so you candecide for yourself how strong and stable they really are.Here are a five key factors to consider when you’re evaluating abank:1. Liquidity. Your bank should be well capitalized and able tomeet your short and long-term operating needs, even in aneconomic downturn. Strong, stable banks lend money to qualifiedborrowers whether the economy is up or down. A bank shouldmeet or exceed Federal standards for being Well Capitalized:• Tier 1 leverage ratio 5.00% or higher• Tier 1 risk-based capital ratio 6.00% or higher• Total risk-based capital ratio 10.00% or higherA bank should also show profitable operations for the prior yearand current quarter— with an ROA better than 0.33%.HOAHIGH RISECOMMERCIALSouthern California’s Most TrustedConstruction Service Provider• RECONSTRUCTION PROJECTS• HIGH-RISE SPECIALISTS• WATERPROOFING SYSTEMS & LEAK REPAIRS• WOOD REPLACEMENT & STRUCTURAL REPAIRS• DECK SYSTEMS, REPAIRS & MAINTENANCE• WINDOW & DOOR REPLACEMENT• STUCCO, MASONRY & EFIS• PAINTING & EXTERIOR COATINGS• CONCRETE, ASPHALT & EPOXY INJECTION• POOL AND SPA REPAIRS & REPLACEMENT• ROOF SYSTEMS, REPAIRS & TITLE 24 ROOFCOATINGS• INTERIOR AESTHETIC UPGRADES & TENANTIMPROVEMENTSEXTRAORDINARY SERVICE ~ EXCEPTIONAL RESULTS981 W. 18th Street ~ Costa Mesa, California 92627949.548.9969 ~ FAX 949.548.9711customerservice@pcwservices.comLicense # 699611VISIT OUR NEW WEBSITE AT PCWSERVICES.COM2. Lending Practices. One theme that emerged from theturbulence in the financial sector is that conservative lendingand credit policies often lead to more stable financial institutions.Banks that had the discipline to avoid the short-termgains of the risky residential subprime lending market in favorof more rigorous mortgage lending standards fared far better inthe crisis.How a bank treats its loan portfolio is another indication ofits business philosophy. Does it make risky loans, and then sellthem off to other institutions? Or does it underwrite loans thatit keeps on the bank’s books, creating long-term relationshipswith customers?3. Longevity. Stable, secure banks have often been in businessfor several decades, if not longer. They’re experienced in operatingin different economic cycles. They also have a consistentstrategy for operating in market sectors rather than aggressivelychasing business in the latest trendy sectors of the moment, onlyto drop that specialization when it cools.4. Reference. Ask to speak to a few of a bank’s long-termclients, clients who have been with the bank through up anddown cycles. How a bank treats its clients in a downturn maybe more important than how it treats its clients when times aregood.Another resource to use in your evaluation is the FDIC Website at fdic.gov. You’ll find details about any enforcement actionsagainst a bank. There are major and minor actions, but anyregulatory action against a bank should be read to determine ifit is serious.5. Staff Tenure. Working with a financial institution that hasa staff of experienced employees with long tenure is anotherdemonstration of stability. Bankers who work with the sameclients grow to deeply understand their business over time.And employees that have worked at a financial institution formany years know how to operate effectively and efficientlyinside the organization, which also helps their clients.This article is intended to provide general information aboutevaluating a bank’s strength and stability, and is not consideredfinancial advice from Union Bank. Always consult yourfinancial advisor.Julia Marquez is Vice President and senior relationship manager.Julia can be reached at julia.marquez@unionbank.com.continued on page 2726 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgHow Strong and Stable IS Your bank?continued from page 26What to look for in a bank Ratio UnionBankAsset QualityProvides predictable strength of earnings Net loans charged-off/average 0.46%loans 2because loans made will be repaid. total loans, 1Q11Nonperforming loans/total 1.68%Peer Banks 11.63%3.33%Reserve Coverage RatioReserve for loan losses/total loansshows how much a bank has set aside tocover potential credit loss.Reserve for loan losses/total 2.48% 3.14%loans 2Capital RatiosTangible common equity ratio indicateshow much common equity is supportinga company.Tier 1 common capital ratio shows whatpercent of a bank’s Tier 1 capital iscomprised of common equity — thehighest quality type of capital andfavored heavily by regulators.Total risk-based capitalTier 1 risk-based capital15.41%12.84%Minimum to beWell-Capitalized10.0%6.0%1Internally developed calculation based on SNL data, or SNL methodology and company reports.2As of March 31, 2011July/August 2011 • 27

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgprioriTy oF assessmenTs Liens:a piTFaLL oF JUDiCiaL ForeCLosUres anD money JUDgmenTsby Wayne Pariser, Esq.If an association does not create a new lien after a judicialforeclosure or money judgment, it can lose its priority overother creditors. An assessment, special or regular, becomes adebt of the unit owner when the association levies it (CivilCode § 1367.1(a)). However, the association does not have asecurity interest in the unit until the association records aNotice of Delinquent Assessment with the County Recorder’soffice, after first providing the statutorily-required notice tothe owner. Recording the Notice of Delinquent Assessmentcreates a lien on the unit, enabling the association to forecloseon the unit if the unit owner’s account is not brought current(Civil Code § 1367.1(d) & (g)). The assessment lien is effectivewhen the Notice of Delinquent Assessment is recorded and issenior to (i.e., has priority over) all other creditors’ liens that arerecorded after the Notice of Delinquent Assessment, unless theCC&Rs contain a clause subordinating the association’s lien toany others (e.g., lenders/mortgagees) (Civil Code § 1367.1(f )).The inverse is that the association’s lien is junior to any liens recordedbefore the Notice of Delinquent Assessment. In otherwords, any previously recorded liens have priority over theassociation’s lien.An assessment lien may be enforced in any manner permittedby law (Civil Code § 1367.1(g)), which includes non-judicialforeclosure, judicial foreclosure, and lawsuits for a money judgment.Non-judicial foreclosure, the most commonly utilized, is asale of the unit by a trustee to satisfy payment of the assessment,without any legal proceedings in court. Judicial foreclosure isa legal proceeding by which a court renders a judgment for theamount owed and for sale of the unit to satisfy payment of thatamount. (An association might choose judicial foreclosure topreclude the owner’s right to demand binding arbitration to determineany dispute over the assessment (Civil Code §§ 1367.1(c)(1)(B) & 1367.4(c)(1)) or to obtain the money judgment if thevalue of the unit is not sufficient to cover the previously recordedliens and the association’s lien.) If the unit’s value is insufficientto cover the previously-recorded liens, the association canforego foreclosure, sue the owner for a money judgment only,and collect from the owner’s other assets.In a recent case, the California Court of Appeal considered theeffect of a judicial foreclosure judgment on the priority of theassociation’s lien over a later recorded lien of another creditor.continued on page 29www.FirstBankHOA.com* CDARS is a service mark of Promontory Interfinancial Network, LLC.FDIC Insured up to $50 million per Tax ID.28 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgprioriTy oF assessmenTs Liens: a piTFaLL oF JUDiCiaL ForeCLosUres anD money JUDgmenTscontinued from page 28In Diamond Heights Village Association, Inc. v. Financial FreedomSenior Funding Corp. ( June 7, 2011) 11 Cal. Daily Op. Serv.6930, 2011 Daily Journal D.A.R. 8297, the court ruled thatwhen an assessment lien is enforced through judicial action,the resulting judgment supersedes the assessment lien, andcollection requires enforcement of the judgment. Accordingto the Court, when a final judgment is entered, the lien itself isno longer enforceable because the judgment creates a new debtor liability, distinct from the lien and the assessment. In otherwords, the judgment extinguishes the association’s previousrights and remedies, substituting in their place only the rightsgranted by the judgment.establish the priority of its security interest in the unit. Afterthe association recorded its Notice of Delinquent Assessmentand won its judicial foreclosure judgment, the unit ownerobtained a reverse mortgage, giving a deed of trust (i.e., lien)to the lender. The court held that the deed of trust had priorityover the association’s rights because the judicial foreclosurejudgment replaced the previously-recorded assessment lien and,hence, does not relate back to the date of the assessment lien.The court intimated, but did not expressly state, that had theassociation created a judgment or execution lien, the new lienwould have related back to the date of the assessment lien, givingit priority over the deed of trust.To have a security interest in the unit after obtaining the judgment,the association must create a new judgment or executionlien on the unit. A judgment lien is created by recording anAbstract of Judgment (Code Civil Proc. §§ 674 & 697.310). Anexecution lien is created by levying execution of the judgmentto have the property sold and having the levying officer recorda Notice of Levy (Civil Code Proc. §§ 697.710 & 700.015(a)).In Diamond Heights Village Association, Inc. v. Financial FreedomSenior Funding Corp., the association did neither, relying onits previously-recorded Notice of Delinquent Assessment toWhenever an association obtains a judgment to collect an assessment,whether a judicial foreclosure judgment or a straightmoney judgment (even a small claims court judgment), it shouldimmediately have recorded the documents necessary to create anew lien on the unit (Abstract of Judgment and/or Notice ofLevy) to protect the priority of the association’s lien over theliens of other creditors.Wayne Pariser is a partner with Pariser & Pariser, LLP, a lawfirm that provides a wide range of legal services to communityassociations. He can be reached at wdp@pariserandpariser.com."Why see the generalist when you cansee the SPECIALIST ?"BEST SERVICEBEST PRICEVoted Best In our Class!• DECK COATINGS (MAINTENANCE AND REPAIR)• DECK RECONSTRUCTION (DRY ROT, STUCCO)• BELOW GRADE AND PLANTER WATERPROOFINGOVER 5 MILLION SQUAREFEET OF DECKCOATINGS ANDWATERPROOFINGINSTALLED, REPAIREDAND REHABILITATED.HOA APPROVED. WE DOIT ALL!Call: 888-388-WICR (9427) www.wicr.netJuly/August 2011 • 29

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgThe LaTesT hUD how-To on Fha approvaLby Jon EberhardtOn June 30 th , 2011, HUD issued Mortgagee Letter 11-22,solidifying policy choices regarding the certification of HOAsfor HUD’s FHA-approved list. The actual mortgagee letterwas really a pointer that said; “Read the Book.” Not sinceHUD’s “Total Scorecard” has there been a more definitive“How-To” guidebook in a subject area. There are now ninetyfiveglorious pages of instructions on how to submit packagesfor HOA approval.Rather than take a look at the definitive work (which is availablefor your reading pleasure on www.hud.gov), here is a quickoutline of substantive changes that can brief you on what youwould choose to know from the small missive.Five Items you need to know about new Condo Guidelinesfrom HUD:1. Eligibility to Submit Revised. One of the first items thatstood out on Page 10 is a graphic of who is actually eligibleto submit packages to HUD. HUD now wants someonewith authority to actually submit packages. HUD requeststhat a project consultant, an HOA management companyor a board of directors submit a package for HRAP approval.Lenders can submit packages, but they require certificationfrom either the management company or the HOA itself. Keepin mind that a lender is still able to do DELRAP or DirectEndorsement Lender Review Approval Process approvals ofHOAs. However, the warranties include the certification ofthe package by the HOA or management company.2. Rental Restriction Waiver Made Permanent. As of the lastmonths of 2010, HUD attorneys pointed out that restrictingnumbers of rental units violated ownership rights and, therefore,could not be tolerated for HOAs approved by HUD. Indirect conflict with this policy was the idea that many of theserestrictions were put in place to insure owner occupancy requirementsspecifically to meet HUD’s standards. To break out ofthe conundrum, HUD issueda temporary waiver grantingHOAs certain rights regardingrental restrictions. The new mortgageeletter makes permanentthese waivers. The old waiverwas only active for a year. HOAs gainingapproval under this waiver need notnow worry that permanent changes to CC&Rs are required.3. Pre-sold Requirements. HUD had issued a temporary reductionin the percentage of pre-sold units required for initial HOAapproval to 30%. The new mortgagee letter reverts back to therequired 50% of units pre-sold before HUD approval is granted.4. State and Local Regulation Certification. HUD nowrequires confirmation by the submitting source that to theirknowledge the HOA conforms to all state and local regulations.This is an interesting item because many HOAs in Californiacannot be said to conform to such regulations. It is very easyto look up an HOA on the Secretary of State’s Business Entitywebsite – and HUD is now making such discovery part of itsapproval process. If an HOA has not filed statements of informationor taxes with the State of California they will not beafforded HUD approval.5. Appendix A – Gotcha! This document will now be requiredfor all submissions to HUD. It essentially states that you didn’tlie or mislead HUD regarding the submission of the package.Gone are fictitious delinquency factors or inflated reserve figures.HUD wants you to tell it like it is and sign your name to the factthat this is the whole truth and nothing but the truth.Jon Eberhardt is the president of Condo Approvals, LLC, whichspecializes in FHA and VA approvals. Jon can be reached atJonE@CondoApprovalsLLC.com.30 •July/August 2011

CAI-GLAC MEMBERSHIP NEWSweLCome new Cai-gLaC memBers! – as oF JULy 15, 2011CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgBUSINESS PROFESSIONALSAppFolio, Inc.Garden View, Inc.RECRUITERCAI NationalCAI NationalCOMMUNITY ASSOCIATIONS707 S. Orange Grove HOA CAI NationalHarte Terrace HOA Judy Campion, CCAM ®CMCA ® , AMS ® , PCAM ®COMMUNITY MANAGERSCarrie BallesterosCAI NationalMerit Property ManagementTracie Blankenship, CMCA ® , AMS ® CAI NationalMerit Property ManagementRishi Idnani Lindsey Knoten, CMCA ®The Ritz-Carlton at L.A. LiveCOMMUNITY MANAGERS, CONT.Gregg LandisBel Air Glen HOAAmanda McClellandABM Property ManagementKathleen McGrathBowker & Roth Property ServicesJulie NicholsonEmpire West HOADanny PadillaCardinal Management GroupSharon Topping, CCAM ®Merit Property ManagementMANAGEMENT COMPANIESCT Prop Management, Inc.RECRUITERCAI NationalAlba MonroyCAI NationalCAI NationalAdrian OesterreichTeresa AgnewBevin Berube, Esq.oUr Thanks To renewing Cai-gLaC memBers! – as oF JUne 30, 2011BUSINESS PROFESSIONALSAdams Kessler PLCAnderson Group InternationalAmtech Elevator ServicesBethco Builders, Inc.Bilt-Well Roofing & SolarBoyd & AssociatesBusiness Support SpecialistsCity National Security ServicesData Systems ServicesDavid Lazarus, CPAG4S Secure Solutions USAGibbs, Giden, Locher, Turner & Senet, LLPJames Hardie Building ProductsJeffrey Hall Financial & Insurance ServicesKevin Davis Insurance ServicesPacific Western BankPrecision Environmental, Inc.Richardson & Harman, PCSattar Insurance Services, LLCCOMMUNITY ASSOCIATIONS4277 Coldwater Canyon HOABentley Manor HOACroydon Park HOAHarbor Ridge Towne Homes Assn.Harbor Terrace HOALe Parc HOAMarineland Community AssociationPark Crest HOAPlaya Pacific HOASouth Bay Estates HOASummerwind HOAThe Colony at Westwood HOAVilla Romano HOAWellworth Townhomes HOACOMMUNITY MANAGEMENT COMPANIESAberdeen Management Company, Inc., AAMCBeven & BrockHarris PropertiesCoastManagement.netJenkins Properties Management, Inc.Management Professionals, Inc.McCabe Property Management, Inc.COMMUNITY MANAGERSPamela AzarPAZAR CorporationOmar BayterVillage Northridge HOADoug Byrd, CMCA ® , AMS ®Century Hill AssociationMarek Cabrera620 South Gramercy Place HOABarbara Carter, CCAM ®Sierra Towers HOAAlana EllisCardinal Management GroupDirk Foster, CCAM ® , CMCA ® , AMS ® , PCAM ®Two Eleven Spalding Condo Assn.Carolyn Garton, CCAM ®Baldwin Real Estate ManagementDebra Hannaman, CMCA ®Ross Morgan & Company, Inc.Lesley Millender-Irwin, CMCA ® , AMS ®Manhattan Village HOA.Pete Ong, Jr., CCAM ® , CMCA ® , AMS ® , PCAM ®Campion and CompanyCOMMUNITY MANAGERS, CONT.Joanne Peña, CCAM ® , CMCA ® , AMS ® , PCAM ®Horizon Management CompanyRichard Perry, CMCA ®CoastManagement.netIlena PimentalHorizon Management CompanyAlexandria Pollock, CCAM ® , CMCA ® , AMS ®Sky Community AssociationAlex Roman, AMS ®Encino Oaks HOARobert Sides, CCAM ® , AMS ® , PCAM ®Regatta Seaside HOAGerry Suenram, CMCA ®EVO HOAEd VanVanco PropertiesVida VesceraRoyce Property ManagementIda Worth, CMCA ® , AMS ®Ross Morgan & Company, Inc.COMMUNITY ASSOCIATION VOLUNTEERSVirginia KempJohn R. NicholsonRichard ReeceBarbara WalkerJuly/August 2011 • 31

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTop 12 BUDgeTing misTakes (Part II of the Budgeting Series)by Sue Nelson, CCAM ®One of the board’s fiduciary duties is to budget realistically andassess HOA fees that will cover the anticipated expenses of theassociation. Many boards get caught up in the desire to keepHOA fees as low as possible, often unrealistically low. However,this is often to the detriment of the association that they areobligated to guide down a fiscally-responsible path.Numerous pitfalls and landmines in the budgeting process havethe potential to wreak financial havoc for your HOA in the longrun. Some of the most common mistakes are listed below:1. The budgeting process is done backwards. The boarddecides not to raise the dues (or to raise them “x” dollars or “x”percent) and tells the manager to make the budget work. Thisoften results in HOA fees that cannot support the actual expensesand recommended reserve transfers. The proper way to determineHOA fees is to calculate anticipated expenses first: expenses +reserve transfer - other income = HOA fees.2. Not raising dues higher than the neighboring HOAs’ dues.Budgets need to reflect your association’s needs, not theneighbors’ budget (who may be making budgeting mistakes).' ( 9 ( / 2 3 0 ( 1 7 3 5 2 * 5 $ 03. Underbudgeting reserve transfers. If the reserves are lessthan 100% funded, prior reserve transfers were too low andowners in the past did not contribute their fair share. If nextyear’s reserves are funded at a level lower than recommended,this underfunding will be prolonged, and owners in the futurewill have to pay even more to catch up.4. For HOAs with variable dues – not using the HOA feecalculation in the CC&Rs. Often CC&Rs have a formulawhereby expenses such as gas, water, water heaters, paint, andinsurance are split according to square footage and other costsare evenly divided. If this is the case, even if the overall budgetdoesn’t change, the HOA fees will still need to be re-calculatedas the allocation between different sizes of units adjusts, resultingin an uneven increase or decrease in dues for the different sizedunits. However, if you have such a formula, this is the appropriatemethod to calculate the variable dues, as opposed to raising allunits “x” dollars or “x” percent.5. Using special assessments to mask HOA fee increases. Tonot increase the dues but add a special assessment to balancethe budget masks reality because those same expenses will occurthe following year and reserve transfers will more than likely increase,and what do you do then? Special assessments generallyshould be used for unanticipated or one-time expenses, and notto keep the monthly dues from appearing to increase.6. Budgeting without reviewing the current cash position.If there is no money in operating, reserve transfers have notbeen made and/or there is a large accounts payable, then thereis a cash problem. Take these issues into account and budget(or special assess) to also pay off the accounts payable, makethe past due reserve transfers and increase your operating cash.HOAs get in this position generally because the HOA feeshave historically been unrealistically low, delinquencies haveskyrocketed, and/or expenses went way up and the budgetwasn’t adjusted to reflect the new reality.7. Budgeting unrealistically high income/not budgeting fornext year’s bad debt. If there are 2 units in bankruptcy rightnow and 1 unit in foreclosure, you should probably be budgetingfor 2-3 units’ worth of bad debt contingency for next year. Also,if delinquencies are an issue, then the HOA will most likely notreceive all of the late fees, interest and collection costs charged –be realistic.continued on page 3332 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgTop 12 BUDgeTing misTakescontinued from page 328. Not budgeting for an operating contingency (over andabove bad debt contingency). This is for unknown and unbudgetedexpenses, for instance, the HOA needs added staffing,pays an insurance deductible or is slapped with a lawsuit andneeds legal representation. If the HOA has ample operatingcash, this may not be an issue as minor overruns can be absorbed,but not so if the HOA’s operating cash is low.9. Budgeting unrealistically low expenses/not taking intoconsideration infrequent operating expenses. If, for instance,there are active legal issues this year, unless somethingchanges, legal fees will no doubt be high next year also. Wishing andhoping doesn’t change reality – budget for what you can realisticallyexpect, not what you hope. And some expenses are infrequent –be sure track when employee bonuses, 5- and 10-year elevatorload tests, major tree trimming, fire/life/safety tests, reservestudy site visits, etc. are due and budget accordingly.10. Not taking into consideration delayed utility bills. If theutility bills are marked “delayed” due to meter issues, be sure tobudget for the anticipated cost with all meters working – and forthe past unbilled amounts.We’re collecting itemsfor care packages to besent to our troops!Go to www.cai-glac.org to do your part!We thank CAI-GLAC members who have served our country:Name Branch RankGuillermo Amador U.S. Army SergeantJose Bejar U.S.Navy SeamanDirk Foster U.S. Army SergeantFirst ClassLarry Hooper U.S. Air ForceAir RescueE-4Rickey Teems U.S. Air Force Senior AirmanAnd also recognize members who have served for other countries:Asaf Raz Israeli Army First Sergeant11. Using tricks with the reserves. Some boards reduce thetransfer by the amount of interest earned – this shorts thereserves. Some boards do their own studies in order to reducethe reserve transfer – this is typically not advisable on manylevels. Some HOAs try to keep operating costs lower bypaying repair costs from reserves with the justification that therepairs extend the life of the components – this is generally notadvisable. Also, most CPAs advise that taxes on reserve interestshould be paid from operating, not from reserves.12. Using reserves to pay off loans. Unless built into thereserve study, payments on loan principal and interest shouldbe over and above the reserve transfer. If an HOA uses reservemoney to pay off a loan, the HOA will most likely need anotherloan or a special assessment when the loan is paid off in order topay back the reserve deficiency that was created.By avoiding these pitfalls, you should be able to craft a budgetthat is realistic, transparent and that properly addresses theassociation’s needs.Sue Nelson is co-owner of Horizon Management Company inTorrance. She can be reached at sue@horizonmgmt.com.July/August 2011 • 33

CAI GreAter Los AnGeLes ChApter • www.cai-glac.org16 Adams Kessler PLC12 Animal & Insect PestManagement, Inc.15 Association Reserves, Inc.7 Beaumont Gitlin Tashjian29 Cacho LandscapeMaintenance Co., Inc.25 Cal Sub-Meters8 Collins Builders33 Fenton Grant MayfieldKaneda & Litt, LLP12 Ferris Painting28 First Bank Assoc. Services30 First Bank Assoc. Services30 Gayle G. Gould, CPA25 Mutual of Omaha Bank10 Pacific Western Bank26 PCW ContractingServices, Inc.ADVERTISERS INDEX34 Poindexter & Company,CPAs24 Popular AssociationBanking27 Prefeerred CommercialPainting9 R.W. Stein Painting, Inc.28 Reserve Studies Inc.14 Richardson & Harman, PC22 Royal Roofing.com11 Select Painting6 Steven G. SegalInsurance Agency21 Swedelson & Gottlieb24 Timothy ClineInsurance Agency27 Value Village Cleaners29 WICR Inc.2011 RECRUITERSOF THE MONTH:JANUARY:Jay McMullenAllstate Landscape Services, Inc.FEBRUARY:Diane Hilliard, CCAM ® , CMCA ® , AMS ® , PCAM ®Ross Morgan & Company, Inc.MARCHStephanie ChungAndersen EnvironmentalAPRILDiane Hilliard, CCAM ® , CMCA ® , AMS ® , PCAM ®Ross Morgan & Company, Inc.MAYJeffrey Beaumont, Esq,Beaumont Gitlin Tashjian2011 UPCOMING EVENTSAUGUST19 Chapter Board of Directors Meeting – 8:30 a.m.Pickwick Center, Burbank24 Luncheon Program for HOABoards and Managers – 11:30 a.m.Skirball Cultural Center, Los AngelesSEPTEMBER10 Essentials of CommunityLeadership Workshop – 8:15 a.m.San Fernando Valley16 Chapter Board of Directors Meeting - 8:30 a.m.Pickwick Center, Burbank21 Luncheon Program for HOABoards and Managers – 11:30 a.m.Skirball Cultural Center, Los Angeles27 HOA Marketplace – 5:00 p.m.Skirball Cultural Center, Los AngelesOCTOBER12 Chapter Board of Directors Meeting – 8:30 a.m.Pickwick Center, Burbank21 State Legal Forum – 8:00 a.m.Queen Mary, Long Beach26 Valencia Educational Breakfast – 8:30 a.m.Valencia Summit Clubhouse, ValenciaNOVEMBER12 Casino Night – 6:00 p.m.Sportsmen’s Lodge, Studio City16 Luncheon Program/Annual Meeting for HOABoards and Managers – 11:30 a.m.Skirball Cultural Center, Los Angeles18 Chapter Strategic Planning Meeting – 8:30 a.m.Regatta Seaside HOA29 South Bay Evening Program – 7:00 p.m.Regatta Seaside HOADECEMBER2 Holiday Happy Hour – 4:00 p.m.Bel Air Crest HOA Clubhouse, Los Angeles14 Manager Program – 11:30 a.m.Skirball Cultural Center, Los Angeles16 Chapter Board of Directors Meeting – 8:30 a.m.Pickwick Center, BurbankADVERTISING INFORMATIONDimensions & Rates:Artwork must not exceed the exact dimensions of that size ad.For more information, call the Chapter office: 323/254-9526.Ad Size Ad Dimensions Members Non-Members1/ 8page 3 1 / 2” wide x 2 ” high(horizontal) $200 $4001/ 4page 3 1 / 2” wide x 4 3 / 4” high(vertical) $300 $6001/ 2page 7 1 / 2” wide x 4 3 / 4” high(horizontal) $425 $850Full page 7 1 / 2” wide x 10” high(vertical) $800 $1,400Payment: Rates are subject to change without notice. By credit card,check or cash. Minimum three-insertion contract. Rates subject tochange without notice.Advertising Sales: Please contact the Chapter office for advertisingspecifications and deadline information at: 323/254-9526.34 •July/August 2011

CAI GreAter Los AnGeLes ChApter • www.cai-glac.orgRULESThe following rules apply to the campaign: Members in good standing can compete to recruit new members and earn pointstoward the Grand Prize. To receive credit, you must be listed as the CAI member responsible forrecruitment on the printed application form submitted, or be identifiedthrough CAI National membership reports. All completed applications and membership dues for qualified applicants mustbe received at CAI between January 1, 2011 and December 31, 2011to be counted toward the Grand Prize.THREE CONTESTS...THREE PRIZESRECRUITER-OF-THE-MONTHHelp BUILD CAI-GLACAnd Reward Yourself byRecruiting New Members in 2011Grand Prize3-day/2-night Weekend Getaway on the Central California CoastThe Build CAI-GLAC Recruiter Contest runs for 12 months and isdesigned so that current CAI members can earn valuable prizes forsharing the benefits of CAI membership with friends and colleagues.The member who has recruited the most new memberships in the previous month will berecognized at the next luncheon and awarded a FREE LUNCH. In the case of a tie,a random drawing will determine the winner.GRAND PRIZE ($1,000 value)Member with the highest number of points as of December 31, 2011wilI receivethe Grand Prize. In cases where there are two or more members with equal points,those names will be put into a bowl and randomly drawn to determine the winner.Points will accrue from January 1 through December 31, 2011 for the Grand Prize.Members earn points based on the membership category. SLIDING SCALE POINT SYSTEM CAN GIVE YOU AN EDGE.Participating members will receive: One(1) point for each business partner member recruited in a categoryalready existing in the 2011 Membership Directory, Two(2) points for a business partner in a sector of business not yetrepresented in the Chapter, Two(2) points for an individual HOA board member or communitymanager, and Three(3) points for recruiting a management company.RECRUITER RAFFLEAll 2011 recruiters (except the Grand Prize winner) will go into a raffle drawingheld in early January 2012 (when all the 2011 results are in) to win anEvening Out on the Town($500 value).July/August 2011 • 35

CAI-GLAC2753 W. BroadwayLos Angeles, CA 90041PRSRT STDU.S. POSTAGEPAIDSAN BERNARDINO, CAPERMIT #1Change Service RequestedOrder Your 2011 Condominium Bluebook Today!Price: $25.00 per copy, tax and shipping included.Order copies online at: www.cai-glac.org.