ARTICLE VII

POWERS AND DUTIES OF THE BOARD OF DIRECTORS

Section 1. Powers.  The Board of Directors shall have power to:

(a) adopt and publish rules and regulations governing the use of the Common Property and facilities, and the personal conduct of the members and their guests thereon, and to establish penalties for the infraction thereof;

(b) suspend the rights of a member, a member's family, or a member's tenants, guests, and invitees, or any of them, to use common areas and facilities during any period in which the member shall be in default in payment of any assessment levied by the Association. Such rights may also be suspended and fines imposed for violations of Association rules and regulations, as provided in paragraph (1) of Section 1 of Article XII of the Declaration of Covenants of the Association.  The voting rights of a member may be suspended for the nonpayment of regular assessments that are delinquent in excess of 90 days. Said suspension shall apply during the entire post-90-day period of delinquency. In no other case may voting rights be suspended.

(c) exercise for the Association all powers, duties and authority vested in or delegated to the Association and not reserved to the membership by other provisions of these Bylaws, the Articles of Incorporation, or the Declaration;

(d) declare the office of a member of the Board of directors to be vacant in the event such member shall be absent from three (3) consecutive regular meetings of the Board of Directors; and

(e) employ a manager, independent contractors, and such other employees as they may deem necessary, and to prescribe their duties.

Section 2. Duties.  It shall be the duty of the Board of Directors to:

(a) cause to be kept a complete record of all its acts and corporate affairs and to present a statement thereof to the members at the annual meeting of the members, or at any special meeting when such statement is requested in writing by one-half (1/2) of the Class A members who are entitled to vote;

(b) supervise all officers, agents, and employees of the Association, and see that their duties are properly performed;

(c) as more fully provided in the Declaration, to:

(1) fix the amount of the annual assessment against each lot at least thirty (30) days in advance of each annual assessment period;

(2) send written notice of each assessment to every Owner subject hereto at least thirty (30) days in advance of each annual assessment period; and

(3) foreclose the lien against any property as to which assessments are not paid within thirty (30) days after the date or to bring an action at law against the owner personally obligated to pay the same.

(d) issue, or to cause an appropriate officer to issue, upon demand by any person, a certificate setting forth whether or not any assessment has been paid. A reasonable charge may be made by the Board for the issuance of these certificates.  If a certificate states an assessment has been paid, such certificate shall be conclusive evidence of such payment.

(e) procure and maintain adequate liability, hazard and, if required, flood insurance on property owned by the Association;

(f) cause all officers or employees having fiscal responsibilities to be bonded, as it may deem appropriate; and

(g) cause the Common Property and any improvements constructed thereon to be maintained.

Annual Budget. The association must prepare an annual budget. The association shall provide each member with a copy of the annual budget or a written notice that a copy is available upon request at no charge to the member. Sec. 720.303(6), Florida Statutes.  For details consult the statute just cited.

Annual Financial Report. The association must prepare an annual financial report within 60 days after the close of the fiscal year. The association shall provide each member with a copy or a written notice that a copy of the financial report is available upon request at no charge to the member. Sec. 720.303(7), Florida Statutes.  For details on the preparation of financial reports, see the statute just cited.

Contracts in Writing-Competitive Bidding. Pursuant to Sec. 720.3055, Florida Statutes, the following contracts of an association must be in writing:

(1) Any contract for the purchase, lease, or renting of materials or equipment;
(2) Any contract for the provision of services;
(3) Any other contract that is not to be fully performed within one year after execution.
If any of these contracts requires payment by the association in excess of 10 percent of the total annual budget, including reserves, the association must obtain competitive bids.  However, the association is not required to accept the lowest bid.  An association whose covenants or bylaws provide for competitive bidding for services may operate under that provision in lieu of the above rule if that provision is at least as stringent as that rule.

The foregoing requirements do not apply to the following contracts:

(1) Those with employees of the association;
(2) Those for attorney, accountant, architect, community association manager, engineering, and landscape architect services
(3) Those with a business that is the only source of supply in the county in which the association is located.

A contract with a manager, if made through competitive bidding, may have a duration of up to 3 years.]