CALIFORNIA ASSOCIATION OF REALTORS®
BOARD OF DIRECTORS
520^th SESSION
OCTOBER 12 - 13, 2007

The following is a summary of the significant action items approved by the CALIFORNIA ASSOCIATION OF REALTORS® Board of Directors at its October 2007 meeting.  Some additional information items are included, but do not necessarily represent Association policy.  A complete set of minutes isavailable for review upon request.  For more information please Contact Us.

Award Selection
1. To approve the selection of Sharon Bowler, Citrus Valley, as the recipient of the 2007 California Distinguished REALTOR® Award, the highest recognition that C.A.R. can bestow on a member.

C.A.R. Scholarship Foundation/C.A.R. Education Foundation
1. It was reported for information only that the C.A.R. Scholarship Foundation awarded scholarships totaling $10,750.  The C.A.R. Education Foundation raised $2,000 from the booth in the California REALTOR® EXPO Exhibit Hall.  An additional $10,600 in contributions for the C.A.R. Education Foundation has been received from participating local Associations.

California REALTOR® EXPO Advisory
1. It was reported for information only that the CALIFORNIA REALTOR® EXPO 2007, "REALTOR® 2.0: The Next Big Thing," was a tremendous success.  Attendance for Tech Tuesday was 1,200.  The Exhibit Hall included 367 exhibit booths, and there were 19 generous sponsoring companies.  Overall attendance was 12,000.

Common Interest Development
1. That C.A.R. "SPONSOR" legislation to provide that the rights of an owner in a common interest development to own, occupy, lease or sell his or her ownership interest shall not be changed throughout the duration of such ownership.

CREPAC Trustees
1. That the following Nominees for CREPAC Trustee and Alternate be elected:

NOMINEES FOR CREPAC TRUSTEE
(November 2007- November 2010)
Dawn O'Rourke, Region 1, Humboldt Association of REALTORS®
Dorothy Jackson, Region 6, Bay East Association of REALTORS®
Susan Davis, Region 12, Fresno Association of REALTORS®
Wendy Furth, Region 18, Southland Regional Association of REALTORS®
Candice Carpenter, Region 21, South Bay Association of REALTORS®

NOMINEES FOR CREPAC ALTERNATE
(November2007 - November 2008)
Terriann McGowan, Region 4, North Bay Association of REALTORS®
Brian Malone, Region 13, Glendale Association of REALTORS®
Nancy Donahue-Jones, Association Executive, Region 14, Southwest Riverside County Association of REALTORS®
Mary Funk, Region 18, Southland Regional Association of REALTORS®
Heide Wolf-Reid, Region 19, Santa Clara County Association of REALTORS®
Jimmy La Peter, Region 23, Pacific West Association of REALTORS®
Susan Marshall, Region 24, San Diego Association of REALTORS®
Cas Pinkowski, Region 32, Orange County Association of REALTORS®

2. It was reported for information only that the CREPAC Trustees recommended to the REALTORS® Political Action Committee (RPAC) Trustees of N.A.R. that they fund $153,500, for 45 federal candidates.
3. It was further reported for information only that CREPAC has contributed $45,400 to bi-partisan candidates for the Assembly and Senate, as well asto the Democratic and Republican Parties.

IMPAC Trustees
1. That the following Nominees for IMPAC Trustee and Alternate be elected:

NOMINEES FOR IMPAC TRUSTEE
(November 2007-November 2010)
M. Chris Kutzkey, Region 2, Siskiyou Association of REALTORS®
Eva Garcia, Region 3, Sacramento Association of REALTORS®
Mary Chatton Brown, Region 5, Contra Costa Association of REALTORS®
Richard Tegley, Region 14, Inland Valleys Association of REALTORS®
Alice McCain,Region 18, Southland Regional Association of REALTORS®

NOMINEES FOR IMPAC ALTERNATE
(November 2007- November 2008)
Cynthia Wood, Region 4, North Bay Association of REALTORS®
Michael Godfrey, Region 6, Bay East Association of REALTORS®
Leannah Hunt, Region 9, Silicon Valley Association of REALTORS®
Carol Banner, Region 15, Rim of the World Association of REALTORS®
Richard Stone, Region 16, Arcadia Association of REALTORS®
Rebekah Owen, Region19, Santa Clara County Association of REALTORS®
Les Fishman, Region 21, Palos Verdes Association of REALTORS®
Vicky Campbell, Region 24, San Diego Association of REALTORS®

2. It was reported for information only that IMPAC has contributed $20,000 to the REALTORS® Committee on Air Quality to help defeat point-of-sale fireplace/woodstove retrofits as well as provide REALTOR® involvement in the development of emission reduction rules in the South Coast Air Quality Management District.

Legislative
1. That C.A.R. adopt the following positions on February 8, 2008 Ballot Propositions:
-- Proposition 91, "Transportation Funding" -- "NEUTRAL"
-- Proposition 92, "Community Colleges Funding, Governance and Fees" -- "NOT REAL ESTATE RELATED."
-- Proposition 93, "Limits on Legislators Terms in Office" -- "NOT REAL ESTATE RELATED."

NOTE: In October 2005 C.A.R. adopted a "NOT REAL ESTATE RELATED" position on the Safe, Reliable High-Speed Passenger Train Bond Act for the 21st Century.

Membership
1. That the following applicants be granted C.A.R. Honorary Member-for-Life status:

Arcadia AOR
Ingeborg Rothschild

Atascadero AOR
Frank Sanchez
Richard Summers

Bakersfield AOR
Tresa Destefani
Ted Hand
Virginia Jeffries
Lloyd Plank
Stan Redmond
Robert Wegis

Bay East AOR
Al Antunes
Audrey Giovanetti
Babe King
BettyMcCoy

Beverly Hills/Greater LA AOR
Hjalmar Erickson
Mildred Foreman
Christine Forrest
Samuel Fox
Caroline Lembec

Burbank AOR
Yvonne Falge
Rosemary Forsyth

CA Desert AOR
Peggy Wick
Chopsy Samuelson

Contra Costa AOR
Shirley Amato
Doris Bohren
Patti Compton
Dick Green
Moses Guillory
Bill Kendall
Wally Krivoy
Mary Linney
Janie Olofson
Robert Rose
Lydia Siapno
Jeanne Trambley
Herb Trenbath
Marv Wiegman
Dot Yardley

Downey AOR
Chuck Gugliuzza

East Valley AOR
Robert Ramos

El Dorado AOR
Mary Cox
Corinne Haglund
Wilma Klein

Delta AOR
Sylvia Amaral

Greater Antelope Valley BOR
Bill Proffitt

Marin AOR
Zel Bauer
Berwyn Forsythe
Jeanne Scott

Mariposa AOR
Delores Ann Hahn

Merced AOR
Richard Duewell
Kay Stahl

Monterey County AOR
Emily Stephenson

North Bay AOR
Art Bowen
Jean Delzell
Sarah Gianelli
Harold Griffith
Julian Heckler
Donald Kelly
Cecil Rolls
Willo Rose
Les Ryan
Gilbert Saydah
William Schlangen
Gordon Walker
Walter Walker
Lucy Webb
Marlene Werra
Barbara Whitson
Patricia Williams

North San Diego AOR
Jeanne Bowyer
Bob Zigich

Orange Belt AOR
Barbara Cranmore
Marion Davis

Orange County AOR
Ruth Clark
Margie Harbert
Clare Hoefler
Tom Martin
Lenore Shepardson

Pacific West AOR
Jacqui Graves
James Harvey
Augie Lopez

Palos Verdes Peninsula AOR
Charlene Phelps

Placer AOR
Paula Ahart
Joseph Bruno
John DuPriest
Elsie Feathers
Bill Johnson
Barbara Lee
Wayne Robinson

Rancho Southeast AOR
Philip Tjia

San Mateo AOR
Andrew Breslin
Richard Renwick
George Studle

Santa Clara AOR
John Van Hooser
Walter Sano

Santa Maria AOR
Jean Allen-Faust
Jack Salling
Anna Strawhun

Shasta AOR
Loeta Rhodes

Silicon AOR
Helga Ausman
Donald Bacci
Esmail Essabhoy
Thomas Foy

South Bay AOR
Alpha Wagoner

South Tahoe AOR
Bernie McDonald

Southland Regional AOR
Bess Barber
Judith Ellsworth
Stanley Jones
Rose Keller
Virginia Moscosco
Nadine Mosier
Peggy Skelly
Irene Tomlinson
Lillian Weinstock

Trinity AOR
Audrey Bush Hall
William Derryberry

Ventura AOR
John Bazaldua
Peach Whelchel

MLS Working Group
1. That a statewide hybrid MLS with a single data base be created.  This system could be used as a primary MLS at a local Association's option, or as an aggregated data base by local Associations or Regional MLSs.  Further that a mutual benefit non profit corporation be chartered for the purpose of overseeing the development and ongoing operations of the hybrid system.  Further that the following be formed
a. An MLS Rules working group of the MLS Committee to recommend statewide rules to be used in either model.
b. An MLS Statewide Governance working group to recommend a specific governance structure.
c. An MLS Standards Subcommittee Group to report through the MLS Committee to recommend data standards.
d. An AE working group to recommend the most efficient and member-oriented approach on which services should be retained at the local level.These groups will report back to the C.A.R. Board of Directors for review and approval of their recommendations in January.

Finally, that the previously approved $500,000 also fund minor expenses of the working groups.  (Note that none of the $500,000 approved at the June 2007 meeting has been used).

Mortgage Broker Licensing Task Force
1. That C.A.R. "SPONSOR" legislation requiring a prominent disclosure by a licensee to all parties whenever a broker, business entity or licensee both represents a buyer and originates a loan in a "1-4" transaction.

Nominating and Election Process Task Force
1. That the final report and recommendations of the Nominating and Elections Process Task Force dated October 10, 2007 be approved.

Note: The Report of the Nominating and Elections Process Task Force includes the following recommendations for action.

1. That formal campaign activities may begin the day following the mid-year Board of Directors Meeting.
2. That the Candidates, when submitting their candidate application, shall provide the names of all the members serving on their Campaign Steering Committee, and that none of these members may serve on the Nominating Committee in that year.  If there are any updates to the list of names, the candidates are to report any changes to C.A.R. by May 1.
3. That Regions may not endorse candidates for C.A.R. Office until after the January Candidates Forum, with the exception of the candidate's own Region.
4. That candidates shall be invited to attend all meetings of the Strategic Planning and Finance Committee subsequent to the submission of their official candidate application to C.A.R.  Attendance shall be at the candidate's own expense, and the candidate shall be in the role of an observer during committee deliberations and discussions.
5. That the Leadership of the Nominating Committee (Chair, Vice Chair and Ex-Officio) will jointly receive and review the Candidate Application and any attachments or related disclosures and documentation.
6. That the Leadership of the Nominating Committee (Chair, Vice Chair, and Ex-Officio) will receive any reports of violation of the C.A.R. Campaign Guidelines, evaluate the validity of the complaint, and determine if the issue should be addressed by the full Nominating Committee, which shall have the authority to interpret and enforce the Campaign Guidelines.  The Nominating Committee shalldetermine the appropriate action, up to and including the possibility that the Nominating Committee would decline to nominate a candidate.
7. That each candidate shall be required to sign a waiver of confidentiality with respect to certain personalfinancial, legal, or criminal background information that may be discovered through the standard public records search process undertaken by the Association for each candidate, or which may otherwise come to the attention of the Nominating Committee.  This waiver of confidentiality would apply in the following circumstances:
a. a candidate is not nominated by the Nominating Committee to be elected and is nominated from the floor of the Board of Directors
b. an office holder is found by theNominating Committee to be ineligible to continue to hold office or to be nominated for that office were they seeking the nomination and has not resigned from that office
c. an office holder has experienced the occurrence of a new criminal allegation, charge or offense, adverse changes in personal or business financial status, or significant legal issues or health conditions
The waiver would enable the Nominating Committee, through its Leadership (Chair, Vice Chair and Ex-Officio), to release only those details to the Board of Directors which are related specifically and directly to the finding that the candidate or office holder has not been or would not be nominated, or has become ineligible to hold office.  The Nominating Committee Leadership shall consult with legal counsel before releasing such information.

8. That Nominating Committee Members shall not hold a current leadership position (i.e. current Regional Chair, Executive Committee, Committee Liaison, Chair, Vice Chair, or on SPF as a member) and/or positions that would conflict with the scheduled times of the Nominating Committee meetings.  The Nominating Committee Alternates shall prioritize their schedule to attend all Nominating Committee meetings should a conflict arise in their schedule.
9. That the Nominating Committee Members and Alternates should not be a part of a Candidate's Campaign Steering Committee and should have a completely unbiased and uncommitted role to any candidate while serving on the Nominating Committee.
10. That the Nominating Committee Members and Alternates should be encouraged to attend candidate forums or events to become familiar with the Candidates in order to make an informed decision.
11. That all candidates seeking office shall have served at least five full year terms as a member of the C.A.R. Board of Directors. (Note:  This change will require a Bylaws amendment).
12. Candidates and Elected Officers shall demonstrate to the satisfaction of the Nominating CommitteeLeadership (Chair, Vice Chair and Ex-Officio), on an annual basis, that their personal and business financial status is sound, and that they are capable of being subjected to the demands of serving in the position sought.  The Nominating Committee Leadership shall also determine that there are no criminal charges or convictions, and no pending litigation involving the candidate or officeholder, which could reasonably represent a source of embarrassment or liability to C.A.R., or would present a conflict with the policies of C.A.R. which the candidate or officeholder would be called upon to uphold in their capacity as an officer.  The Nominating Committee Leadership may consider any other issues which would be reasonable and relevant to the determination of the individual's ability to serve as an Officer, and shall determine if any issue should be addressed by the full Nominating Committee.In addition, as stated in the Bylaws, candidates and officeholders shall be in compliance with all provisions of the Association's Bylaws before, during, and after the election, and during their entire term of office.  Officeholders shall report the occurrence of any new criminal allegations, charges or convictions, adverse changes in personalor business financial status, or significant legal issues or health conditions, to the Executive Vice President/State Secretary and the Nominating Committee Leadership within 48 hours.  In the case of the Executive Vice President/State Secretary, the report shall be made to the President, President-Elect and Treasurer within 48 hours.
13.  The Nominating Committee Leadership shall report significant new information that may come to their attention regarding the candidates or officeholders to the full Nominating Committee as soon as reasonably possible. 

Real Estate Business Services
1. That the following slate of nominees for a two-year term on the REBS Board of Directors be approved, and the C.A.R. President be instructed to elect these individuals on behalf of C.A.R.:
Liz Fitzgerald, Dana Point, Christie's Great Estates
Maxine Jennings, Dublin, Real Estate Services
Richard Mendenhall, Columbia, Missouri, Re/Max Boone Realty
Joel Singer, Los Angeles, California Association of REALTORS®
John Wong, San Francisco, Prudential California Realty

Note: The following REBS Directors have continuing terms through 2008:
Gary Thomas, Aliso Viejo, RE/MAX Real Estate Services
Alan Arora, Los Angeles,Real Estate Business Services
Tony Agurs,  El Cajon, The Agurs Group, Inc.
Linda Lang, Laguna Hills, Orange County  Association of REALTORS®

Standard Forms Advisory
1. It was reported for information only that the Standard Forms Advisory Committee received reports from 12 Regional Representatives.  The comments were all positive regarding the November 2007 forms release.  The Committee decided to create a joint study group with the WINForms Users Advisory Groupto consider the impact of electronic forms on the standard forms process.  The Standard Forms Advisory Committee recommends that in early 2008 a study group should be formed to propose revisions to the RPA for release in 2010.  In response to comments at the Forum on Forms, the Committee has directed staff to make modifications to the Request for Repair form draft that was presented at the Forum on Forms prior to its release in November.  Finally, the Committee reviewed all of the 42 comments received.

Strategic Planning and Finance
1. That the Statement of Income and Expenses by program for the eight months ending August 31, 2007 be approved.
Total C.A.R.
Revenue of $28,555,600
Expenses of $ 17,935,600
An excess of income over expenses of $10,620,000
Political Activities Fund
An excess of income over expenses of $1,728,200
Issues Action Fund
An excess of income over expenses of $1,387,400
The C.A.R. Balance Sheet as of August 31, 2007
Total assets of $58,593,800 (of which $41,461,100 are current assets)
Total liabilities of $5,670,200 (of which $4,383,700 are current liabilities)
C.A.R. Fund Balance of $52,923,600

2. That the Projected Statement of Income and Expenses by program for the year ending December 31, 2007 be approved.
Total C.A.R.
Revenue of $32,643,700
Expenses of $27,813,500
An excess of income over expenses of $4,830,200
Political Activities Fund
An excess of income over expenses of $1,243,300
Issues Action Fund
An excess of income over expenses of $1,129,100.  This amount will be allocated to IMPAC as approved by the Directors.

3. To approve a 2008-2010 strategic plan and 2008 budget with the following criteria:
A. C.A.R. Revenue $29,078,600
C.A.R. Cost $27,655,300
Net Surplus $1,423,300
B. Political Activities Fund Revenue $1,604,000
C. Issues Action Fund Revenue $1,604,000
Issues Action Fund Transfer to IMPAC   $689,200
D. 116 budgeted C.A.R. staff positions
E. Membership dues, including $115 for operating programs, $10 for the Political Activities Fund and $10 for the Issues Action Fund, are set at a total of $135 per member (predicated on 2008 year-end membership of 172,200)
F. New member fee continues to be at $30 per new member (unchanged from 2007)
G. A 2008 Capital Budget (funded with Association reserves) totaling $146,4004. To approve for members in areas not serviced by local associations an additional $30 in membership dues. This amountwould be in excess of the dues approved for members coming through the local associations.

5. To approve a 2007 budget augmentation to develop and promote a commercial website for REALTOR® members who practice commercial real estate with a total revenue of $28,800, total expenses of $14,200 and a capital budget of $5,000.
6. That $100,000 be approved to conduct consumer research to determine possible features of a consumer website.
7. That $360,000 be approved for an additional 4 percent pension contribution to the C.A.R. and REBS employee pension plan for 2007, augmenting the previously approved budget of ten percent.

Taxation
1. It was reported for information only that C.A.R. staff will explore the option of expanding the use of the Mello-Roos Law to allow funding for environmental mitigation and/or affordable housing, while otherwise prohibiting PTTs, and report back to the committee in January of 2008.

Other
The following special awards and resolutions were presented at the Board of Directors Session:

2007 Committee Liaison Awards
Jeannie Anderson, Association Leadership
David Barca, Industry Information & Membership Services
Tom Carnahan, Legal Issues & Information
Frank Nelson, Public Policy
Richard Stone, Industry Information & Membership Services
Susan Tilling, Public Policy
Rick Violett, Political

2007 Outstanding Committee Chairs
Malcolm Bennett, Federal Issues
Steve Goddard, Legislative
Greg Haas, IMPAC
Tim Muetterties, Housing Affordability Fund

2007 President's Award
MLS Working Group
Gary Thomas, Chair
Paul Ballard
Wes Burk
Heath Hilgenberg
Jim Link
Ted Loring
Walt McDonald
David Parry
Mike Silvas
Stan Smith
Ann Throckmorton
Cynthia Wood
Kay Wilson-Bolton
Joan Young

A Special Resolution of Grateful Appreciation was adopted by the Board of Directors in recognition of John Liberator for his many years of outstanding service as the Chief Deputy Commissioner of the Department of Real Estate.