LORTON VALLEY HOMEOWNERS ASSOCIATION, INC. POLICY RESOLUTION 7-12

(Regarding Policies and Procedures for Responding

to Requests for Examination and Copying of the Association’s Records)

WHEREAS, Section 55-510 of the Virginia Code obligates Lorton Valley Homeowners Association, Inc. (“Association”) to provide its members who are in good standing with the Association with the right to examine and copy certain records of the Association, subject to certain procedures approved by the Board of Directors; and

WHEREAS, pursuant to House Bill 1741 from the 201 I General Assembly Legislative Session, by no later than July I, 2012, the Association must adopt a policy adopting a cost schedule that i) specifies the charges for materials and labor; (ii) apply equally to all members in good standing: and, (iii) is provided to any member requesting to review and/or copy the Association’s books and records at the time the request is made; and

WHEREAS, the Board has decided that Ie is in the best interest of the Association to adopt a written policy and procedures.

NOW, THEREFORE, BE IT RESOLVED:

A: Record Keeping and Access to Records

1. Acting on its own or through a managing agent, the Association shall prepare and keep detailed books and records of receipts and expenditures affecting its operation and administration for a minimum of one year. With respect to books, records and/or files relating to other matters, Association shall keep those books and records for such reasonable time periods as determined by the managing agent or the Board.
2. Subject to certain exceptions set forth below, members shall have the right to examine and copy these books and records, provided that their membership is in good standing, which means they must be current in the payment of assessments and other duly levied charges and compliant with all other responsibilities of membership.
3. In order to exercise these rights, members must complete the attached form and file it with the Association’s management agent or Board. After receipt of a filing, an Association representative shall have the authority to review the form and make determinations as to its completeness and satisfaction of all requirements.
4. Upon receipt of the completed form, the Association shall estimate the costs associated with responding to the request, and then provide the member with the estimate within a reasonable period of time. An estimate may include, but not be limited to, the labor costs of locating, assembling, duplicating, and supplying the records (“Processing Costs”), material costs related to copying, costs of mailing, and the labor costs related to the Association’s management staff or other representatives being present during an inspection of records (“Custodial Services Costs”). Prior to the acquisition of any rights under this policy, members must pay the estimated charges in advance. Upon receipt of payment (or clearance of a personal check), the Association shall make arrangements for a meeting at a mutually convenient time or provide the member with copies of the requested records within five days of receipt of the payment.

5. Whenever a member makes a written request to examine original records in the management office, the Association shall have a member of its managing agent with the member and serve as a custodian of the records for the protection of the documents. The Association shall include the cost of this service in the estimate and may establish reasonable limitations on how long such meetings may last.
6. After the rendering of services requested, the Association shall compare the estimate with the actual costs incurred by the Association, as set forth in the cost schedule attached hereto as Exhibit A. If the amount paid by the member exceeds the actual costs, the Association shall promptly refund the difference to the member. If the actual costs exceed the estimate, the Association shall notify the member and the member shall be obligated to pay the difference. The Association may withhold additional services and/or copies until it receives

payment.

B: Exempt Records

The following records are exempt from the membership’s right to examine and/or copy:

‘ I. Personnel records related to a specific, identified employee;

2. Any documentation which relates to a (i) contract, lease and/or other commercial transactions currently under negotiation; (ii) pending or probable litigation; (iii) matters involving state or local administrative or other formal proceedings before a government tribunal for enforcement of the Condominium Instruments or rules and regulations;
3. Written communications to or from legal counsel that are protected under the attorney-client privilege of confidentiality;
4. Any records that any law prohibits the Association from providing to a 3rd party;
5. Minutes and other records reviewed in an executive session of the Board or any other duly authorized committee or task force of the Association (collectively hereinafter referred to as “Committee”);
6. Individual member files, other than those of the requesting member;
7. Any drafts or other documents not yet approved by the Board for incorporation into the Association’s books and records.

C: Requests of Minimal Time and Cost

If the Association concludes that a request submitted by a member involves a minimum amount of time and cost to the Association, it may waive any of the above requirements. For purposes of this Resolution, “minimal requests” shall include requests for copies of:

1. Approved minutes or highlights of the most recent meeting of the Board or membership meeting;
2. Approved minutes or highlights of the most recent meeting of any Committee;
3. The Association’s current annual operating budget;
4. The Association’s most current financial management report;
5. The Association’s most recent annual audit;
6. The Association’s most recent income tax forms; and
7. The file of the requesting member.

D: Miscellaneous · 

1. Members may appeal any decision made under this policy to the full Board, . provided that the member files a written appeal of the decision within 30 days of  the date of the decision. The Board will hear and resolve the appeal.
2. The Association shall not have any obligation to create documents in response to any member’s request for records.
3. This Resolution does not apply to the records of individual Board or Committee members involved in the performance of their responsibilities or authorities.

4.  The Board shall have the right to amend the cost schedule attached hereto as Exhibit A without having to amend the entire Resolution.