[This letter was reviewed and approved by our attorney for
accuracy]
At the
Thursday, July 25th Board of Directors Meeting, members submitted a petition to
the President of the Board for the purpose of asking the membership to vote on
an amendment to the Bylaws. This
amendment seeks to impose caps on annual increases in dues and assessments as
well as special assessments.
Per SVCA
Bylaws Article II Section 2, a petition signed by 10% of the membership compels
the Association to call an SGM. The
signatures with the submitted petition were vetted by staff. Of the 725 submitted signatures, 65 were
disqualified, leaving 660 valid signatures which is greater than the required
minimum number. A Special General
Meeting (SGM) has been scheduled for Saturday, September 21st at 1:00 p.m. in
the Dance Barn.
Prior to
receipt of the petition, the Board sought the opinion of our attorney as to the
legality of the proposed bylaw amendment in light of recent amendments to the
Washington Common Interest Ownership Act (“WUCIOA”). Our attorney stated, “This legislation [ESB
5334 amendment toWUCIOA] supports the notion that the Board has the
power to adopt a budget and associated level of assessments that it deems to be
in the best interests of the community association. It strengthens the
argument that the petition for bylaw amendment is invalid. However, there
is yet no case law to confirm my assessment. This remains a matter
ultimately to be determined by a court.”
Therefore,
members should be aware that if this measure passes, it may ultimately be found
to be invalid, potentially resulting in significant legal costs to the
Association and its membership.
Leslie McRoberts
President,
Sudden Valley Board of Directors