21 Reasons for Virtual (Zoom) Board Meeting
By Charles Mitchell, CMCA
As a management firm, we were initially wary of conducting board meetings virtually via Zoom or similar platforms at the start of the COVID-19 pandemic. Now, we enthusiastically support the use of virtual meetings for the reasons outlined in this article, which we hope will serve as a helpful tool for boards and managers in evaluating how virtual meetings might benefit their communities.
#1 VIRTUAL MEETINGS ARE LEGAL
Beginning January 1, 2024, it is legal for HOAs to conduct board meetings virtually (via Zoom) without a physical location. In short, an association is no longer legally required to provide a place to meet if it wants to use Zoom for a board meeting. Matt D. Ober, Esq., wrote, "California law has finally caught up with technology with the passage of Assembly Bill (AB) 648, which takes effect on January 1, 2024."Display footnote number:1
The conditions for conducting a board meeting virtually (Zoom) are as follows:
- The meeting notice must include:
- Clear technical instructions on how to participate by teleconference.
- The telephone number and electronic mail address of a person who can provide technical assistance with the teleconference process, both before and during the meeting.
- A reminder that a member may request individual delivery of meeting notices, with instructions on how to do so.
- Every director and member must have the same ability to participate in the meeting as if the meeting were held in a physical location.
- Any vote of the directors must be conducted by roll call vote.
- Any person entitled to participate in the meeting shall be given the option of participating by telephone.Display footnote number:2
Reason number #1 to consider conducting virtual (Zoom) board meetings without a physical location is because it is legal to do so.
#2 EASY AND FAST FOR A BOARD TO MEET
In-person board meetings require a place to meet (if you don’t have a clubhouse) like a library meeting room, city meeting room, restaurant banquet room, hotel conference room, resident’s home, etc. Most, if not all of these require a reservation in advance. The law requires a board to give four days’ notice to residents before conducting a board meeting [California Civil Code Sections 4920 (a).]. It can be difficult to book a room, even if you have a clubhouse that is rented out to residents, with just four days’ notice. However, a virtual meeting requires no prior reservation. Virtual meetings make it easy and fast for a board to meet. If a board needs to meet in four short days, a virtual meeting makes that possible.
#3 OUT OF TOWN BOARD MEMBERS MAY ATTEND A MEETING
A board member who is out of town may still want to attend a board meeting. A virtual meeting makes this possible. The board member is still able to listen to a meeting, give input, and vote.
#4 EASIER TO MAKE QUORUM
It is in the best interest of a board/association for a board member who is out of town to attend a board meeting. Why? A board meeting can’t be called to order unless a quorum of a board is present. If a meeting isn’t called to order, no business may be conducted, and the meeting must be rescheduled. The work of the association grinds to a halt, and residents and the board are frustrated as a result. A virtual meeting allows an out-of-town board member to attend a meeting and make a quorum.
#5 MORE RESIDENTS ATTEND BOARD MEETINGS
Since 1994, we have observed that most homeowners do not attend board meetings. Apathy afflicts most, if not all associations. The best way that we have seen to consistently increase the attendance of residents at a meeting is to offer them the opportunity to attend virtually. When virtual meetings began to be offered to homeowners at the outset of the COVID-19 pandemic, we noticed an immediate increase in the number of owners in attendance. Want to engage more residents in the meetings of the HOA? Offer them virtual meetings.
#6 EASIER FOR RESIDENTS TO ATTEND BOARD MEETINGS
Why do more homeowners attend board meetings virtually? It is easier than attending an in-person meeting. What’s easier than sitting in front of a computer screen at home pretty much dressed as you please?
#7 MORE RESIDENTS SPEAK UP AT VIRTUAL MEETINGS ("STAGE FRIGHT")
Not only is it in the best interest of your homeowners’ association that more people attend your board meetings, but that people speak up when they do attend. A board needs to know what owners are thinking and their concerns. Is it easier to speak up at an in-person meeting or at a virtual meeting? Many people have "stage fright" in front of a group of people at an in-person meeting. Residents are far more likely to speak up from the comfort of their homes than in front of a group of people they probably don’t know.
#8 VIRTUAL MEETINGS MAKE IT EASY TO SHOW EVERYONE DOCUMENTS, IMAGES, ETC.
Do you want more homeowners to understand why the monthly assessment amount is the number it is? Then at a board meeting, display on the screen what each of the expenses is for all to see. You can show that financial document easily at a virtual meeting. But you can’t do that easily at an in-person meeting. Virtual meetings make it easy to show everyone documents, images, etc. Perhaps your homeowners’ association needs owners to vote in favor of a special assessment to repair the buildings. At a virtual meeting you can easily show residents images of the damage, the proposed repair bids, and the costs in order to try and convince them.
#9 MANAGERS CAN ACCESS MANAGEMENT’S SERVER DURING THE MEETING AND PRESENT INFORMATION FOUND THERE
At a board meeting, a homeowner asks an unexpected question about the election policy of the homeowners’ association. But no one brought a copy of it to the meeting. The manager may be able to access management’s server in order to locate a copy and display it on the screen to answer the owner’s question. The board at a meeting unexpectedly asks the manager if any correspondence has been sent to a resident in the prior year. The manager may be able to access management’s server to locate any prior correspondence and display it on the screen.
#10 SAVES MONEY ON OFFICE EXPENSES
When Charles Mitchell began as a manager trainee almost 30 years ago, one of the first disputes he observed between management and the board was the cost of copies. Just last week, one of our board members expressed his unhappiness about the cost of copies. Obviously, boards care about copy costs. At an in-person meeting we hand out copies of the agenda, board packet, selected documents, etc. to homeowners who attend. At virtual meetings, there is no copying expense. Want to reduce your office expenses? Then consider virtual board meetings.
#11 NO COST FOR A MEETING ROOM
If you don’t have a clubhouse or resident’s home to meet in, then you are probably paying to meet somewhere. If so, you are most likely paying at least $50 to meet there. If you meet monthly, that’s $600 a year! With virtual meetings, there is no cost for a meeting room.
#12 LOWER YOUR LEGAL FEES
The most important service provider a homeowners’ association has is its legal counsel. It is inevitable that some legal issue will come up at your association that requires you meet with your attorney at a board meeting. If a board meets with their legal counsel virtually, then you will not be charged for their travel time to and from your meeting. Not having to pay for travel time will lower your legal fees.
#13 PREVENTS RESIDENTS FROM DISRUPTING A BOARD MEETING
Homeowners usually act civilly at board meetings. But what do you do when they don’t? At an in-person meeting you can ask homeowners to stop. And if they do not, you can take a recess for a few minutes for them to cool down and then restart the meeting. If they continue to act uncivilly, then you will probably have to adjourn the meeting. As a result, decisions are put off and another meeting must be scheduled; and your management will probably charge you for the extra meeting. At a virtual meeting, all you have to do if someone continues to act uncivilly after being warned is mute them. You can then continue to make decisions and don’t have to reschedule the meeting or pay management for an extra meeting. It’s less painful and more productive for all concerned.
#14 IN-PERSON INTIMIDATION OF BOARD AND MANAGER IS AVOIDED AND THEY FEEL SAFE
A board should make decisions that are in the best interest of a homeowners’ association. It’s more difficult to do so if a homeowner comes to an in-person meeting and tries to intimidate the board physically or verbally. The board and manager will not feel safe in that situation. A virtual meeting limits physical intimidation. If a resident speaks in a threatening manner and persists after being warned, their mic may be muted.
#15 THE POTENTIAL FOR IN-PERSON GUN VIOLENCE AT A MEETING IS REMOVED
On August 24, 2022, a condominium owner with a grievance shot and killed the manager and wounded a maintenance person. At a different homeowners’ association, on December 22, 2022, a condominium owner with a grievance shot and killed five board members. Board members and managers are vulnerable to gun violence at in-person meetings, but not at virtual meetings. The potential for in-person gun violence at a meeting is removed at a virtual meeting.
#16 THE POTENTIAL OF SPREADING A CONTAGIOUS ILLNESS IS ELIMINATED
Why did boards start using virtual meetings? So that a board meeting is not a super spreader event of COVID-19 for those who attend and live in the community. During the winter months, many boards meet in closed spaces with poor air circulation. If someone comes to a board meeting with the flu or the common cold, won’t he spread it to others at the meeting? Wouldn’t conducting a virtual meeting prevent the spread of the flu or a cold at that meeting? The potential of spreading a contagious illness at a meeting is eliminated by meeting virtually.
#17 BOOKKEEPERS MAY ATTEND MEETINGS AND ANSWER QUESTIONS
Who is better at answering bookkeeping questions than the bookkeeper/accountant assigned by management to your homeowners’ association? Usually, the manager, and not the bookkeeper, attends a board meeting. If a board wants to speak to the bookkeeper about a specific bookkeeping question at a meeting, meeting virtually makes it easy and inexpensive to do so. Bookkeepers may easily attend meetings and answer bookkeeping questions when virtual meetings are used.
#18 SERVICE PROVIDERS MAY EASILY AND INEXPENSIVELY ATTEND MEETINGS
Your homeowners’ association needs to replace all of the roofs before winter. There is not enough money in the reserve account, so homeowners will need to vote in favor of a special assessment. Owners are more likely to vote in favor of a special assessment if they hear information from the construction manager, legal counsel, and bank representative. It’s easy and inexpensive for these service providers to attend a virtual meeting.
#19 NOT DRIVING TO AND FROM A MEETING DRAMATICALLY REDUCES A MANAGER’S STRESS
Sometimes I ask new acquaintances if they have ever met a homeowners’ association manager. Usually, the answer, "no." Why? One reason most people have never met a manager is because being one is stressful. So, managers don’t stick around long. At a recent staff meeting, the topic of virtual meetings came up and one of our managers spontaneously blurted out, "Thank goodness for virtual meetings!" This manager is no longer experiencing the stress associated with driving to and from an on-site meeting after having worked most of the day. Want to lower the stress of your overworked manager? Don’t require them to work the day and then drive to and from an on-site meeting. Your manager might remain longer in the industry.
#20 VIRTUAL MEETINGS ARE SAFER FOR MANAGERS
Managers sometimes don’t feel safe walking to and from their vehicles at night due to the possibility of being a victim of crime. In addition, a manager usually drives in traffic to an on-site board meeting. Driving in traffic may result in an automobile accident for the manager. Virtual meetings are safer for a manager.
#21 DRIVING LESS MILES BURNS FEWER FOSSIL FUELS
Most of the vehicles on the road today still use fossil fuels, which in turn contributes to global warming. Managers (and service providers) driving to in-person meetings will probably use fossil fuels and contribute to global warming, but managers attending virtual meetings do not. Want to play a part in managing global warming? Then consider virtual meetings.
We hope all of these reasons explain why we now enthusiastically support virtual meetings. Boards may discuss these reasons with their managers to demonstrate the value of meeting virtually.
Charles Mitchell, CMCA, is the founder of NAM Association Management, Inc. (dba "Neighborhood"), where he is involved in manager and board training, as well as meeting with potential clients.