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BOARD OF DIRECTORS MEETING

OF

THE HUNTSVILLE AREA ASSOCIATION OF REALTORS®

May 24, 2016

CONSENT AGENDA

(Items listed on the Consent Agenda are expected to be routine and non-controversial and, unless the Board directs that an item be held for further discussion, the entire CONSENT AGENDA will be acted upon

for block approval. If the Board directs that an item listed on the CONSENT AGENDA be held for further discussion, the item will be addressed under “Other Business.”)

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HAAR Consent Agenda May 24, 2016

ITEM PAGE Approval of the March 2016 Minutes 3-6 Approval of the April 2016 Minutes 7-13 Committee Reports 14 April-May Membership Report 15 April Statistics 16

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HUNTSVILLE AREA ASSOCIATION OF REALTORS® OFFICERS & DIRECTORS MEETING MINUTES

March 29, 2016 9:30 am

Present: President Kathy Mann, President-Elect Larry Carroll, MLS President Valerie Miles, Opie Balch, Martha Bishop, Ginny Brandau, Paul Buxton, Loraine Cordule, Thelma Dawson, Sha Jarboe, Mike James, Jay Jones, Lori Mayhall, Jeff Nixon, Landa Pennington, Cindi Peters, Monica Sanford, Rod Schumann, Bill Stewart, Regina Underwood, Sharita Whitehead, Mark Williams Excused Absences: Jim Johnson, Jean Nelson, Chris Husler Absent: Lynn Kilgore Legal Counsel: Bo Harrison Staff: Josh McFall, Katy Fitzgerald, Arely Jaimes, Rhonda Ricketts, Page Brooks

At a meeting of the Officers and Directors, held at 535 Monroe Street, Huntsville, AL., 35801, the meeting was called to order by President Kathy Mann at 10:10am Central Standard Time.

The Pledge of Allegiance and invocation were led at the NALMLS O&D meeting. MOTION: To approve the HAAR Consent Agenda. Motion Carried. MOTION: To approve the Motions that were passed in the NALMLS Officers and Directors Meeting. Motion Carried. TREASURERS REPORT a The Treasurer’s report was given by President Kathy Mann. There being no questions, the financials are to be filed for audit. Auditors Report: These findings were presented at the March Finance & Budget meeting and the auditors will present the findings at the April Membership Meeting. Notes from James Moody, CPA for Presentation of the Audit: Dent Moses completed the audits of the 2015 HAAR and NALMLS financial statements, and the 2015 non-profit and corporate tax filings have been prepared and filed. Dent Moses expressed a “clean” opinion of the financial statements for each organization. Both organizations report their financial statements on the income-tax basis of accounting. Both organizations reported an increase in revenues due to increased membership, and both organizations reported a positive net income after expenses were paid. Dent Moses also reported that the IRS completed an examination (audit) of HAAR’s 2013 Form 990 and 990T in the summer of 2015. The audit covered a variety of tax reporting matters including payroll taxes, income taxes, and related party transactions between HAAR and NALMLS. The IRS issued a “no change” report at the conclusion of the audit last summer. Investment Update: These findings were presented at the March Finance & Budget meeting on the investment account performance and market activity for the past year. Grant Thompson of Morgan Stanley gave an update to the Finance & Budget on the investment account performance and recapped the financial market activity for the past year. The HAAR investment has at 1.43% on return for the month of March. The year to date return is -0.68% and the performance since inception (10/10/14-3/7/16) is -1.13%.

MOTION from Finance & Budget: Motion: To approve the proposed amendment 1 with the amount to be “X” dependent on what the budget is each fall and to allow the proposed amendment to be retroactive to January 1, 2016.

Proposed Amendment 1:

State Directors a. State Directors, unless otherwise reimbursed, shall be reimbursed for travel up to $1,430 per year per State Director, with receipts being required, provided they attend the State Directors’ meeting in its entirety, and are present at the time of adjournment.

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b. Eligible travel allowances must be provided for in the annual budget or otherwise approved in advance in accordance with the Association’s Financial Policies.

RATIONALE: The amendment will allow the state director to choose which of the AAR meetings they wish to attend and to submit receipts for reimbursement. When F&B set the 2016 budget, the travel reimbursement for the AAR Winter Meeting was set at mileage and $50 per diem. The AAR Summer meeting was set at mileage and $50 per diem only as this meeting would be a 1 day regional meeting. The Annual Conference was budgeted for registration and per diem as this meeting will be held in Huntsville, AL. The total 2016 budgeted travel for State Directors is $14,320. Motion Carried. PRESIDENT REMARKS i Officer Vacancy: The Secretary/Treasurer is open and Bylaws state that the Board of Directors can appoint that position or can be voted on by special election. It is this body’s pleasure to determine how we will fill that vacancy. MOTION: Move to do a special election to fill the Secretary/Treasurer position and allow members to vote. Motion seconded Motion Carried. NOTE: The nominating committee per Bylaws is composed of the last five presidents, who have agreed to serve. Two At Large Positions serve on this committee to be voted on by membership. The vote from the floor will take place at the April 7th Membership Meeting. Valerie Miles is a past president in the last five years and is also a standing Officer of HAAR. Instead of making a motion to change the Bylaws, Valerie Miles will recuse herself as past president on the nominating committee. Timeline: April 7th Membership Luncheon, the two At Large members will be nominated from the floor. Kathy will appoint an election committee which is comprised of three members. April 21st the nominating committee will meet and hold open nominations. The report from the committee with all of the names will be electronically transmitted to each member eligible to vote, which will be at least 3 weeks preceding the election. May 13th through the 16th the elections will be held and May 17th the election committee will reveal the results. MOTION: To endorse Landa Pennington for the position of the Northern Regional RVP. Motion seconded. MOTION Carried REALTORS in Action Service Day April 22nd: Several local organizations have been selected by REALTORS in Action to assist on this day. Request this body sign up. CEO REMARKS i Echoed Kathy’s remarks about REALTORS in Action Service Day and encourage participation. April is a very busy month and a multitude of projects are being worked on by Staff here. The Education Committee has a series for Brokers and also It Takes a Team. The MLS Department is helping people with Instanet. The Membership Department is taking in memberships at astronomical numbers every day. The deadline for REALTOR Emeritus status is on April 8th. This would have been Roy Claytor’s 40th year thus eligible for this award and Arely is working on this. Josh was able to attend Associations Executive Institute in San Antonio and gather a lot of great information and new and innovative ideas. One of the most notable things was they made two announcements: REALTORS Campaign is in negotiations with the ABC show, Modern Family network show to employ them to share comments about REALTORS and why use a REALTOR. There are big changes coming to the core standards requirements from NAR. One of the big changes is: Beginning 2017, we will have 18 months to submit. Another change is all associations must offer Professional Development in their education program, advocacy is being taken out and replaced with Vote, Act and Invest, calls for action and investment to ARPAC. More changes coming in the next few months and notices will be going out. Martha Bishop: It Takes a Team Update…only 3 weeks away. It will be a great event similar to first one last year but not the same. Cost is $12 and includes a meal and the show. Mayors from Huntsville and Madison will be there and other celebrity guests. Please go online and register. There are sponsorships still available and VIP table that may be reserved. MOTION: To request the Alabama Association of REALTORS do a resolution in honor of Roy Claytor. MOTION passed.

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COMMITTEE REPORTS c ARPAC Committee Chair, Ginny Brandau, -Directors are at 72% in ARPAC Investments. There will be a raffle on the 7th of April. The phone bank will be done on the afternoon of the 19th and anyone not attending the training is welcome to participates. We have one committee that is 100%. Affiliate Director, Martha Bishop, - The Affiliate Counsel has a meeting set for May 17th from 9:00am to 11:30am. Speaker will be from Genworth Mortgage Insurance - “Shut the Door on Fraud”. Both REALTORS and Affiliates are invited to attend. Next meeting will be on June 14th from 9:00am to 10:30am. Speaker will be Cynthia Smith with local USDA Office and she will be speaking on the USDA’s latest guidelines. REALTORS always welcome.

Governmental Affairs Chair, Sha Jarboe, - John Richard is here and is working really hard on our behalf making contacts and bringing back information to Governmental Affairs. Committee will be sending out questionnaires in April to candidates for several different offices up for election here locally. Sha asked O&D to help with names of candidates. They are also finalizing the group that will be doing the interviews, however anyone is welcome to sit in on these interviews. CRS President, Sharita Whitehead, - CRS is offering two half day classes April 18th. They are Real Estate Connections that Last and here comes the Judge…There Goes Your Commission. Instructor is Gee Dunsten for both. Cost is $30 for members and $40 for non-members. Details will be in the newsletter going out Saturday. WCR Past President, Monica Sanford, - 20th April annual derby event at 11:30 at the Board. Sponsor is Craig Paulus with Paulus Title. His grand prize is a weekend stay at the Ruin Bed and Breakfast in Lexington Kentucky with tickets to see The Kingland Horse Race in October. YPN Chair, Loraine Cordule, - Had their first event on March 15th and was a huge success. Next event will be on May 17th. They will participate in REALTOR Action Day. Other Business i MOTION: To approve adding Section 3 to Article III-Jurisdiction of the HAAR Bylaws, to read: Section 3: HAAR Policies and Procedures approved by HAAR Board of Directors to define/clarify the HAAR Bylaws are herein incorporated into these Bylaws. Rationale: to reflect that all HAAR policies supplement and further define our Bylaws and are officially incorporated therein. Statement from NAR Policy Department: Clarification from NAR: If you incorporate your policies and procedures into your bylaws, we would assume they would effectively become one document and the voting procedures for your bylaws, whatever they may be, would also apply to the incorporated policies and procedures. Kate Lawton Manager, Professional Standards and Administration Member Policy Department

National Association of REALTORS®

Membership tabled this Motion when it came before them last month. Question: Do we want Policy and Procedures to be a part of the Bylaws or do we want them to remain separate? Discussion: Policy and Procedures are to be abided by and it is understood. Should there be a penalty when committees violate the Policy and Procedures. This body has the power to. Bo: Your committees if they do not follow this Boards policy and procedures and committee says they don’t have to, the committee will be disbanded. Let record state some of those committee members are members of this Board. CALL for Question. Motion Passed.

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MOTION: To withdraw this Motion. MOTION Passed. Lock Box Task Force – Ginny Brandau, Chair: (members: Jeff Nixon, Chris Hulser, Pat West, Barbara Schiavone, Philip Fraley, Steve Handback and Page Brook Staff) MOTION: To issue Affiliate lockbox key to Home Inspector that require a CBS code to enter property. The following requirements must be met to be eligible to have an affiliate lockbox key issued:

1. Be an affiliate member in good standing with the Huntsville Area Association of REALTORS

2. Must have 3 REALTORS (who are in good standing with HAAR) sign off on the application for lockbox access and

attest to the character of the Home Inspector

3. Must have a current Inspector’s license with the state of Alabama

4. Must carry a minimum of $500,000 of General Liability Insurance and $500,000 E&O Insurance. HAAR shall be

named as an additional Insured.

5. Inspector is required to notify Listing agent prior to opening a lockbox in order to obtain a CBS Code or upon

previously unscheduled return visit.

6. Written permission is required by the seller, on occupied properties, for all inspections when clients are present

without their agent in attendance.

7. Violation of this agreement by the inspector will result in suspension of all key privileges.

MOTION was seconded. Discussion: Need to update Inspection Addendum (handle item 6). Costs to Affiliate: Belong as HAAR member, $400 processing fee to get the key and annual affiliate dues of $275 and $111 annual for maintenance fee and Supra charges. Friendly Amendment:

1. Be an affiliate member added to Item 1.

2. Item 7 will result in suspension of all key privileges.

Amendment Passed. Main MOTION passed as amended. Officers & Directions went into Executive Session to discuss Personnel Policy Manual. Minutes respectfully submitted by Elizabeth Pruett for Kathy Mann.

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HUNTSVILLE AREA ASSOCIATION OF REALTORS® OFFICERS & DIRECTORS MEETING MINUTES

April 19, 2016 9:30 am

Present: President Kathy Mann, President-Elect Larry Carroll, Opie Balch, Martha Bishop, Ginny Brandau, Paul Buxton, Loraine Cordule, Thelma Dawson, Chris Husler, Sha Jarboe, Mike James, Jim Johnson, Jay Jones, Lori Mayhall, Jean Nelson, Jeff Nixon, Cindi Peters, Monica Sanford, Rod Schumann, Bill Stewart, Regina Underwood, Mark Williams Excused Absences: MLS President Valerie Miles, Landa Pennington Absent: Lynn Kilgore, Sharita Whitehead Legal Counsel: Bo Harrison Staff: Josh McFall, Katy Fitzgerald, Rhonda Ricketts, Page Brooks

At a meeting of the Officers and Directors, held at 535 Monroe Street, Huntsville, AL., 35801, the meeting was called to order by President Kathy Mann at 8:30am Central Standard Time.

Kathy Mann: Requested a moment of silence and asked everyone to include the family of HAAR member, Barbra Hubler in their thoughts and prayers. The Pledge of Allegiance was led by Kathy Mann. MOTION: To approve the HAAR Consent Agenda. Motion was seconded. Discussion: There is a comment on Page 7 of the Consent Agenda regarding allowing members to add names (or an opinion) to be made part of the official minutes. After a lengthy discussion the following motion was made: MOTION: To table this Motion until we get a legal opinion Motion was seconded. No Discussion Motion Passed.

MOTION: To approve Consent Agenda with the exception of the above mentioned section on page 7. Motion was seconded. Point of Information: There was a question and lengthy discussion regarding the stipulation in the wording of the rationale (of the motion on page 7) about the approved funds that HAAR budgeted for the AAR event. The following motion was made: Amendment to Motion: To approve the Consent Agenda, excluding discussion regarding AAR Convention. No Discussion Motion Passed. Bo Harrison: From Robert’s Rules of Order there is a section about “The Minutes” which read; “The records of the proceedings of an assembly is usually called minutes or of the legislative body is called a journal. In ordinary society unless the minutes are published they should contain mainly a record of what was done at the meeting not what was said by the members.” That is just lead in paragraph to Robert’s discussion of minutes. Whether there is any case law I would be surprised, commentary on it maybe. Minutes should contain what was done and not what was said. TREASURERS REPORT a The Treasurer’s report was given by President Kathy Mann. The HAAR balance sheet currently reflects total assets of $1,530,960 compared to $77,520 in liabilities. 96% of the current assets are in cash, CD, money market or restricted reserves. Line 1226 on the Balance Sheet (located under Other Assets) reflects the Morgan Stanley Investment of $246,385. The HAAR Profit & Loss statement: Income line 1503 - Application Fees of $13,800 reflects 36 members for 2016 (budgeted for the year at 253). Income line 1515 - Member Benefits Partner Program of $3,575 reflects 17 renewing partners.

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Income line 152516 - HAAR Dues 2016 reflects dues collection for primary & secondary members. Full dues have been collected on 1,756 members and prorated dues have been collected on 31 new members. The 2016 dues have exceeded the 2016 annual budget by $1,053 and the February 2015 dues income by $7,420. Income line 1505 - Investment Income and Expense line 1755 - Investment Expense were added to the accounts during the audit. These represent the activity of the transactions in the investment account. The final expenses for Installation Banquet came thru in March. The event netted $406. The non-dues revenue collected as of February 2016 is $85,409 compared to February 2015 of $75,509. The HAAR Profit & Loss Statement reflects total income of $298,999 and total expense of $117,112 as of February 2016. The Net Income is $177,378 which is $32,857 more than budgeted for February.

There being no questions, the Treasurer’s Report will be filed for audit. Question asked by Mark Williams if Zillow still owed an outstanding sponsorship balance of $2,500 from Bill Stewart’s installation Banquet. President, Kathy Mann, responded that Katy Fitzgerald would research this and provide a report at the next meeting. MOTION from Finance & Budget:

Motion: To require each committee or renter to pay for their music licensing fees for their events. RATIONALE: Any establishment that wants to broadcast or plays music, needs public performance rights -- the right to play music that the general public will hear in one way or another. Public performance rights licensing are handled by two very large companies named ASCAP and BMI. They simplify the licensing process. Each one handles a catalog of about 4,000,000 songs. Technically, anyone performing music publicly anywhere has to have a license. Copyright laws require music users to get permission from songwriters and composers who can charge a fee before their music is played publicly. If you do not have a license and you get caught, you can be sued.

SESAC, ASCAP, and BMI are three, separate and distinct Performing Rights Organizations (PRO). Each organization represents different copyright holders (songwriters, composers, publishers) and licenses only the copyrighted works of its own respective copyright holders. If you hold a license with one of the companies (ASCAP, BMI or SESAC) you do not have authorization to use the copyrighted music of another. ASCAP (American Society of Composers, Authors and Publishers) BMI (Broadcast Music Incorporated) SESAC (Society of European Stage Authors and Composers) Each committee, event or renter will be required to purchase a music license from their budget if they are to broadcast or play music at their events. Comes from Committee does not require a second MOTION Carries.

Motion: To approve up to $800 for the initial expense of the ARPAC investor board plus an additional $100 per year to be included in the future budgets. RATIONALE: The board will be a 4 x 12 foot display that lists the names of each investor within their respective investment category: Hall of Fame, Golden R, Crystal R, Sterling R, Alabama Circle, President’s Circle (refer to sketch below). The names will be printed on a mat board and will attach with to the display with Velcro. The display will be hung in the hall between conference rooms A & B. The initial expense of creating the board is approximately $800. An additional $100 for printing name plates has been requested for future budgets. The expense will go to HAAR line 1839 – Member Relations.

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Comes from Committee does not require a second MOTION Carries.

Motion: To add American Express as one the credit cards we accept. RATIONALE: Several requests have been made to accept American Express. In discussing the processing rate with NAR, AmEx would charge 2.75%. This is the negotiated rate between NAR and AmEx and is much lower than using an external processor or bank processor. These fees cannot be passed on to members as this would violate the contract between NAR and the credit card companies.

Card Company MasterCard VISA DISCOVER American Express

Negotiated Rate 2.28% 2.28% 2.35% 2.75%

Settlement Timeframe

2-3 Days to process

2-3 Days to process

2-3 Days to process

4-5 Days to process

Disputes Timeframe for the POE

7 days 7 days 3 days

Comes from Committee does not require a second MOTION Carries. PRESIDENT REMARKS i

AAR Convention Update - ZELDA LANZA

Zelda and Cindi Peters attended the EC meeting at AAR in Montgomery on April 18th, 2016 to present a proposal. Zelda presented the proposal to the EC of AAR and was asked a few questions, some of which Zelda could answer and some she could not. There was discussion on the following:

how many would attend the event,

the building capacity

Increment weather was discussed regarding if the Lumberyard was covered.

Would there be a registration, a ticket and how much will be charged.

The event is planned for 3 hours and is a reception; however, there is no requirement to stay the full 3 hours if it interferes with dinner. Zelda has not received an answer to the proposal nor a timeline as to when an answer would come. Kathy Mann – Kathy emailed the letter the Board of Directors requested for her to send to AAR and it was emailed to all Board Members. She received a response from Shaun Reeves. “Thank you for your concern over the state staff as you know you called me on Monday to express these same sentiments. She spoke with Jeremy after talking with Kathy. She says we will and do support and oversee our State Association Staff 100% as I would expect you to support and oversee your local staff. I am very sure you understand there are boundaries that need to be held concerning staff. For this reason nothing more needs to be said about these staff issues period. Kathy, as for the Annual Convention there is no one who wants to have a fabulous convention more than I do. HAARs frustration and wanting to get things done for this event is noted. I know it may be difficult to understand but this one night event is not the only thing on AARs radar. AAR and Jeremy are in the middle of a highly volatile legislative session among other things. I am very sure if our members had to choose that staff fight that legislation or plan a party, I think they would choose protecting their industry. Our association is like a

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big ship and it is more difficult to turn a big ship than a small boat. In order to shorten the process, I contacted Zelda yesterday and asked her as the chair of the State Convention Committee, to attend the EC meeting this Monday and bypass the normal process of presenting to the State Convention Planning Committee. Zelda agreed to attend and I have express to Zelda to present a very detailed and transparent plan to the EC for this event so that we can do our best to work with the Huntsville Association of REALTORS while looking out for the best interest of all the 12,500. Kathy Mann responded with: Your response is noted. AAR does owe a response regarding Jeremy’s actions and unprofessional behavior. After this convention issue is settled I will call Shawn and follow up with her and exactly what actions were taken.

Election Update - KATHY MANN

We have updated the timeline for the nomination process for our Secretary/Treasurer. Announcements went out to membership on April 13th. On April 27th the Nominating Committee will meet to allow members to come in for open nominations at 9am on April 29th. A report from the committee with all names nominated shall be electronically transmitted to members eligible to vote, three weeks preceding the election. May 20th through May 23rd elections will be open and will close on Monday at 5pm. On May 24th the election committee will meet to verify the results and hopefully have results ready for the Board Meeting on May 24th.

Realtors in Action Update - KATHY MANN

Last year, it was changed from the primary focus of assisting Realtors, to also include community involvement, now that NAR requires community involvement, as part of Core Standards. This committee is best suited to take on the responsibility of community involvement and was part of the original requirements for this committee when it was first begun. There are funds that this committee has that will only be used to support Realtors and this year we have had 3 or 4 agents that have been assisted by the Realtors in Action committee.

CEO REMARKS i April is a very busy month as you can see if you have been reading the weekly newsletters. In addition to all of our events our membership is growing at a great rate. Our membership department is taking in members almost daily. Last week there was something like 10 new members in a day. Continue to encourage the staff for they are all very busy. During the financial report I expected a cheer or a jeer because that was a great report. Back in February we had an energy audit done of the building. Rod Schuman helped with this. Alabama Sustainability offered this audit for an energy star rating. HAAR scored a 64 out of a possible 100 which I think is pretty good and the report also came back as no change needed. So we are doing a great job in our building in conserving energy. We have a posting for the Director of Administration position and it closes tomorrow at 5pm. It has been posted on NAR, al.com and the Chamber website. A new candidate will be selected in the very near future that that role. We have begun all of the reorganization of staff positions and titles on April 1st so we have spent the month of April realigning staff and figuring out their new roles and taking on new responsibilities. We hope to have all of this in place by the middle of May. Another thing that Realtors in Action is doing is “stock the pantry” and we need your help. Boys and Girls Club is NAR’s charity for the year so the Realtors in Action committee put out a list to stock a college pantry. This does not currently exist so the RIA are helping to start this. There are drop offs here at the board, Rise Real Estate in Madison, Real Estate Row, Re/Max Alliance, Capstone Realty and Keller Williams Huntsville. The list is basically what a college student would need to go to college. Recently, I was reviewing the Strategic Plan because I am filling out the dreaded Core Standards right now, and if you pull up the Agenda, we have Strategic Plan so I checked off everything we have under that except 2 action items that we have

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already done for the year. The only 2 that I did not have was the NAR Diversity Grant and an editorial on Realtor Issues. We have either planned or implemented every one of those action items and it is only April. The sky is the limit for what our Association can do and our members are willing to serve and do things and it is very encouraging in my seat and I hope it is for you as well as a board member. I am thankful for all of your and all that you do, as we have very difficult discussions and very difficult decisions to make but I am thankful that you are in support of the membership at large and I think the membership is feeling that. Last week I attended number 23 in my brokerage sales meeting visits since I got here since November, and there is such energy that I feel everywhere I go for a renewed interest in the board. I have people come up to me and say, I am interested in”xyz” where can I get plugged in with that? If you would help us share that and I know you do but people look up to you as board members to encourage them. Let’s get members who are neither serving on committees nor attending events and let’s get them back involved. COMMITTEE REPORTS c Question about Realtors in Action: Yes it is this Friday and T-Shirts will be ready for pickup by tomorrow with instructions on your station. We have over 60 volunteers signed up. ARPAC Committee Chair, Ginny Brandau – A big announcement: HAAR is going to be movie stars this afternoon. NAR is sending a production team to Huntsville to film our phone bank where it will be presented at the major meetings at 360, which is sort of an information program at midyear, saying what’s going on. We are one of three; there is also a Florida Board and Minnesota Board. HAAR is very much honored to be able to do this phone bank and the President of NAR is planning to call in to the phone bank to encourage the volunteers at 12:30. A really good spot light will be on Huntsville today. In keeping track of committees and groups that are 100%; the ARPAC and Investment Committee are both 100%. I have not got to track of all of the companies, but so far Ben Porter Main and Ben Porter Madison have informed me they are now 100%. As Directors we are not 100% and that is not great so we need to work on that. We have a new crystal R as of yesterday – Chris Husler. As of the end of March report we have done $32,905.91 which is 38% of goal. Our participation is 37% which is 679 and the phone bank this afternoon we have got a little over 600 names who have never contributed or not contributed in the last 3 years. Based on our participation it is probably based on the same people every year. Currently either their pledges are already committed 3 Golden R’s, 2 Crystal R’s, 6 Sterling R’s, 5 Hall of Fames, and 4 Presidents Awards. Affiliate Director, Martha Bishop – Not really new news, but we are still having our May 17th meeting from 9-11:30 on Mortgage Fraud and then on June 14th another meeting from 9 – 10:30 on the new guidelines. This is an affiliate meeting but all Realtors and their assistants are welcome. If there is anything the Board would like for me to accomplish with the affiliates I would welcome that. I do not want to be a member that sits and listens and does nothing. It Takes a Team will be a week from today. If you have not bought your ticket please do so today. It’s going to be a great event. It was great last year and it’s going to be great again this year. It will be the same format but different content. A couple of people that will be there that I am really excited about is Gary Huckabee. I’m also interested in hearing Brandi Click who is in charge of Ditto Landing. Tickets are only $12 and it includes your lunch. 11am to 1pm at the Jackson Center. $250 will reserve a table for 8.

Governmental Affairs Chair, Sha Jarboe – We are excited to be working with the phone bank this afternoon. We go hand in hand with ARPAC and want to continue working that way. This is a crazy legislative season and we are working with our group that will be doing our interviews. John Richard – everything is going good. Slowly contacting all these legislative people and being in contact and it’s going really good. CRS President, Sharita Whitehead, - Not present. WCR Past President, Monica Sanford – Chris Hulser: Just a quick announcement that tomorrow is our WCR Derby at 11:30 here at HAAR. Our main sponsor is Craig Paulus with Paulus Title who has graciously provided us with a great prize which is a weekend stay sat the Ruin Bed and Breakfast, outside of Lexington, Kentucky, with also includes tickets to see The Kingland Horse Race in October. Cost is $12 to attend and $15 for nonmembers. This benefits Harris Home for Children. There are Winners in three categories: best hat, winning horse, and best decorated horse.

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YPN Chair, Loraine Cordule – The April event is the Downtown Rescue Mission for Realtors in Action Day. The May BizFast event will be on May 17th at 9am at 1 McMullen Lane, Owens Cross Roads. Other Business: Ginny Brandau gave a report on Home Inspectors Lockbox Key Task Force We have looked at rules and fee structure for Home Inspectors getting lockbox keys and present the following classes and fees of current members for HAAR:

HAAR Membership Classes and Fees

Going back and looking at this, the Inspectors are paying dues

Realtor Member (Includes Appraisers who join as Realtor Members) $400 one time application fee Annual dues of $436---$111 to HAAR, $170 to AAR, $120 to NAR plus $35 NAR Ad Assessment Supra fees are additional

Affiliate Member (Includes Appraisers that do not join as Realtor Members) No application fee Annual Dues of $275--$105 to HAAR, $170 to AAR Affiliate Appraisers can receive sold data only (additional $88 yearly to NALMLS) and can have key by paying Supra fees) and by paying additional $400 (one time) Key processing fee to HAAR

Non Realtor Members and Assistants who want Key access Annual Maintenance Fees - $111 to HAAR only (no fees to AAR or NAR) $400 one time Key processing fee Supra fees are additional

Affiliate Home Inspector—as proposed and approved at Mar O and D $400 one time Key processing fee Annual Affiliate dues of $275--$105 to HAAR, $170 to AAR Annual Key Maintenance Fee: $111 Supra fees are additional

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which the Non Realtor Member and Assistants who want key access are not paying dues so we were kind of putting them on an uneven playing field. So our proposal is to remove the annual maintenance fee of $111 and increase the local dues by $6 making it $111 so they are not paying local dues less than the local HAAR members were. That is our proposal and presented as a MOTION. MOTION: To remove the annual maintenance fee of $111 and increase the local dues by $6 making the annual dues for Affiliate Homes Inspectors $281. MOTION seconded Discussion: What is the difference between an Affiliate Home Inspector and Non Realtor Member that wants a key? Why would the Home Inspector not be included in Non Realtor Members? Page Brooks: “The Non Realtor members are basically licensed agents. They don’t have to be a Realtor to get access to our MLS and don’t have to be a Realtor to have access to the keys. The Assistants have an Affiliate key to open the boxes of the agent they work with”. Ginny – Inspectors will not have a Realtor key they will have an Affiliate key that requires a CBS code. Kathy – so the Home Inspection member would be paying the same as a non- Realtor appraiser would be paying. Nonmembers are not members of state and national. All Supra bills are separate. MOTION Carries. FORMS – Mike James Application Form for Home Inspectors was furnished to O&D. Discussion: Are we covered under our E&O policy or does it fall back on Home Inspector? Bo: You want your client to order the Home Inspector. Stating the HAAR application protects agent…but check with your E&O policy. Going to inquire with our carrier and bring this back if it needs to be amended later. Items #7 and #8 of the task force report is where the forms committee is hung up. The forms committee is also looking to amend the Home Inspection Addendum but have gotten “in the weeds and just need to get back on track. Once finalized, Mike will bring an update back to the Board of Directors. FYI: Morgan County has been made aware that HAAR is going to be issuing keys to inspectors. Signage – Rod Schuman This is not going to be a Motion and is more of a permission to create a Task Force. I think this is something as professionals we need to look at that our members are living up to the code and our bylaws. I would like to make a recommendation that we have a Task Force to look into this and not just signage but enforcement in general. We have got to realize that we are an association that is based on ethics and we own an MLS….it is not the MLS that owns the association. Kathy will form a Task Force to study signage and policies in regards to everything that we have in place but no one is enforcing. I think there are some ways we can automate some of this. Katy provided an answer to the above sponsorship money owed by Zillow and reported that $2000 was paid 11-19-2013 Excused Absences: Valerie Miles and Landa Pennington. MOTION: To approve absence of Valerie Miles and Landa Pennington. MOTION seconded. MOTION carried. Seeing no other business the meeting was ADJOURNED. Minutes respectfully submitted by Elizabeth Pruett for Kathy Mann.

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HAAR Committee Reports 1

ARPAC- As of the end of April $39,697.09 collected which is 46% of goal 736 members invested which is 40% of goal 100% of Officers and Directors have invested

Results of phone bank -313 Completed calls, 123 Successful Calls, raised a total of $1,275. NAR came and recorded video of the phone bank and it was shared at the NAR meeting.

Currently raffling “A Wheelbarrow of Fun which contains 3 cases of beer, 8 bottles of wine, bird feeder and bird seed, two insulated drink containers, beach chair, assorted gift cards for a total value of $575. Tickets are $10 each or 4 for $35

Dueling Pianos event is August 12, current have $5500 in sponsors and need a few more.

BYLAWS- No report provided. CARAVAN- Nothing to report.

FORMS - The forms committee is waiting on details from the "coming soon" task force on forms needed. We

will review the proposed forms and submit the final versions at that time.

GRIEVANCE – Nothing to report. GOVERNMENTAL AFFAIRS - No report provided. EDUCATION COMMITTEE – No report provided. ORIENTATION- No report provided. PROFESSIONAL STANDARDS – Will present updates at May 24th meeting. REALTORS in Action – Nothing to report.

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CONSENT AGENDA HAAR MEMBERSHIP REPORT

New Members from 4/13/16 to 5/16/16

The Huntsville Area Association of REALTORS® has received the following applications: 0 Designated REALTOR® Applications 21 REALTOR® Applications 2 Affiliate Applications 1 Member Benefits Partners Applications

REALTOR Cynthia Buchanan Keller Williams-Madison Keri Clegg Keller Williams-Madison Ben Cole Capstone Realty Michelle Fernandez Keller Williams Realty Matthew Green Mike Fulton Real Estate Pamela Hill Keller Williams Realty Amanda Jordan Legend Realty Amanda Keen Keller Williams Realty Julie Kuetemeyer Keller Williams Realty Ashley Lussi Keller Williams-Madison Sheri “Jan” McClelland Keller Williams Realty Sherri McPheeters Weichert Realtors-The Sp Pl Matthew Merryman Keller Williams-Madison Karen Ogleton Capstone Realty Barbara Parks Coldwell Banker of the Valley Dollie Redding Re/Max Unlimited Michelle Sheridan Keller Williams Realty Madison Matthew Shiver Amanda Howard Real Estate Joseph Stiles Re/Max Unlimited Charlie Sullivan Leading Edge R.E. Group Melanie Taylor Keller Williams Realty *These agents are doing MLS orientation online. **No orientation required

AFFILIATE

Lacy Lane DHI Mortgage Kegan Hayes The Knight Agency-Allstate Ins

MEMBER BENEFITS PARTNERS Heather Friedman Perfectly Posh

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Alabama Housing Statistics Reporting Form

North Alabama Multiple Listing System, Inc. NALMLS