SCA Homeowners Bylaws
Latest Update 2019
The Stelle Community Association is a Non-Profit Corporation formed to own, operate, manage and control the common properties of Stelle as a Homeowner’s Association for the benefit of its members, and to collect, manage and apply funds to provide general and municipal services to its Members at the lowest possible cost.
TABLE OF CONTENTS
ARTICLE I – NAME AND LOCATION
The name of the corporation is Stelle Community Association, Inc. hereinafter referred to as the SCA. The principal office of the SCA shall be located in Stelle, Illinois 60919, and meetings of Members may be held at such places as may be designated by the Board of Directors.
ARTICLE II - SEAL
The corporate seal of the SCA shall be in circular form, shall bear the name “Stelle Community Association, Inc.” and the date “1983”.
ARTICLE III – DEFINITIONS
“COMMON AREA” shall mean and refer to all real Property and SCA infrastructure, which shall include the Streets, Water and Sewer systems, parks and greenbelts, and all improvements thereon, owned or leased by the SCA for the use and enjoyment of the Members.
“COMMUNITY CENTER” shall mean and refer to the duplex building on Lot 127 which is owned and maintained by the SCA.
“COVENANT” shall mean and refer to the agreement between the SCA and its Members to abide by the SCA Governing Documents.
“FOUNDING DOCUMENTS” shall mean and refer to the Articles of Incorporation of the SCA and these SCA Bylaws, all as filed and recorded, and all as may be duly amended from time to time.
“GENERAL SERVICES AGREEMENT” shall mean and refer to a contract between the SCA and the Members of the SCA to provide services for the Members by procuring items, service and maintenance for SCA operations and assets, and, as determined by the Members, to follow all SCA Policies and provide funds for the cost of said services to the SCA. This contract shall be in writing and approved by the Members. Payment of an SCA General Services invoice for said services shall constitute acceptance of this contract.
“GOVERNING DOCUMENTS” shall mean and refer collectively and severally to these Bylaws, all adopted Policies as recorded, the General Services Agreement, the Water Services Agreement and all as may be duly amended from time to time.
“LOT” shall mean and refer to each Property in the 2nd and 3rd Resubdivisions of Stelle Subdivision #1, which is assigned a separate Parcel Identification Number (PIN) by Ford County.
“LIVING UNIT” shall mean and refer to any portion of a structure situated upon a Lot designed and intended for use and occupancy as a residence.
“MEMBERS” shall mean and refer to Members of the SCA, which shall consist of all Residents and all Property Owners, and which are comprised of Class A and Class B Members as defined in Article IV of these Bylaws.
“OWNER” shall mean and refer to the record holder of the fee simple title to any Lot subject to these Bylaws as defined in Article X of these Bylaws.
“PIN” shall mean and refer to Parcel Identification Number assigned by Ford County to each Lot in Stelle.
“POLICY” shall mean and refer to the written rules and guidelines of, for, and by the Members of the SCA. Policies shall be approved by the Members through procedures defined in Article V of these Bylaws. Policies shall contain the intention, the specifics, and the consequence of violation, within the body of the written Policy.
“POLL” an informal vote on a defined topic, taken by a show of hands at a regular or special community meeting, following a 15-day posting of information. Approval requires 51% of the designated Class participating in the poll. If a member is unable to attend the meeting to vote, they may submit their vote in writing to the SCA Board Secretary prior to the meeting.
“PROPERTY” shall mean and refer to all real Property which becomes subject to these Bylaws, together with other real Property as may from time to time be thereto annexed.
“REFERENDUM” shall mean and refer to the legislative process and procedure defined in Article V of these Bylaws, by which Members may create or change Policies, Agreements, Directors and these Bylaws.
“RESIDENT” shall mean and refer to an occupant of a Living Unit in Stelle who is 18 years of age or older.
“SEWAGE TREATMENT PLANT” shall mean and refer to the Sewage Treatment Facility, including the building, equipment and infrastructure owned and operated by the SCA, which supplies waste water treatment to all Properties in Stelle.
“STELLE” shall mean and refer to the 2nd and 3rd Resubdivisions of Stelle Subdivision #1.
“STREET INFRASTRUCTURE” shall mean and refer to the physical streets, curbs and drainage swales belonging to the SCA. All Lots shall equally bear financial responsibility for the cost of maintenance, repair and upkeep of the Street Infrastructure, as determined by the Members via the legislative process and procedures defined in Article V of these Bylaws.
“STREETS” shall mean and refer to Streets in Stelle, including the right of way on either side of the paved surface of the Streets, which are owned by the SCA.
“WATER SERVICES AGREEMENT” shall mean and refer to a contract between the SCA and the Property Owner to provide water and sewer services for the Property Owner and, as determined by the Members, to follow all water-related Policies and provide funds for the cost of said services to the SCA. This contract shall be in writing and approved by the Members. Payment of an SCA Water Services invoice for said services shall constitute acceptance of this contract.
“WATER/SEWER INFRASTRUCTURE” shall mean and refer to the Water Treatment Plant, Sewage Treatment Plant, water mains, sewer line and associated infrastructure. All Lots shall equally bear financial responsibility for the cost of maintenance, repair and upkeep of the Water/Sewer Infrastructure, as determined by the Members via the legislative process and procedures defined in Article V of these Bylaws.
“WATER TREATMENT PLANT” shall mean and refer to the Water Treatment Facility, including the building, equipment and infrastructure owned and operated by the SCA, which supplies potable drinking water to all Properties in Stelle.
ARTICLE IV - MEMBERS, VOTING, AND MEETINGS
1. MEMBERSHIP: There shall be two Member Classes:
A. “CLASS A” Members as defined in these Bylaws, shall be all Residents having established residence in Stelle for six months. There shall be one Class A vote per Resident. Class A Members shall only vote on non-financial matters, such as electing the Board of Directors and SCA Policies that have no financial consequence;
B. “CLASS B” Members as defined in these Bylaws, shall be all legal Owners. There shall be one Class B vote per PIN. Class B Members shall only vote on financial matters, such as fees and rates increases and SCA Policies which have financial consequences; and
C. A Referendum may only be voted on by one Member Class. Each Referendum shall specify which Member Class shall be balloted.
2. VOTING: All votes shall be by written ballot cast either in person at the Annual, Quarterly or a duly called Special Meeting, or by online voting. Online votes must be received 24 hours before the time of vote.
Ballots shall be counted at the meeting by Members who are not Board Members or candidates. Voting results shall be publicly posted within one day following the vote. Voting shall be overseen by the SCA Secretary or their designated representative to determine eligible voters.
The SCA Treasurer shall provide the Secretary with the current Accounts Receivables Report. Any Member who is ninety or more days late on any SCA amount due, may not vote unless they pay, or provide proof of payment, of said past due amount before ballots are counted at the meeting where the vote is taking place.
3. MAJORITY REQUIRED FOR REFERENDUMS AND ELECTIONS: A majority vote, as determined in Article V, is required to approve any Referendum or election, and shall be final and binding. If a Member’s ballot is invalid, the vote shall not be counted for the purposes of determining a majority.
4. CANDIDATES FOR BOARD OF DIRECTORS: Any Member of the SCA, eligible to vote, may be a candidate for election to the SCA Board of Directors.
5. GENERAL ELECTION DATES: General elections for the Board of Directors shall be conducted during the Annual Meeting.
6. ASSUMPTION OF POSITION: Each elected candidate shall immediately assume their position on the SCA Board at the conclusion of the General Election.
7. ANNUAL MEETING: The SCA shall hold Annual Membership Meetings during the month of January, within the community of Stelle, Illinois.
8. QUARTERLY MEETINGS: The SCA shall hold Quarterly Membership Meetings within ten days of the last day of the months of April, July and October, within the community of Stelle, Illinois.
9. SPECIAL MEETINGS: The Board of Directors may hold Special Meetings of the Membership within the community of Stelle, Illinois.
10. MEMBER MEETING NOTICES: Notices designating the time, date and location of each Meeting of the Membership, shall be publicly posted and distributed into SCA mailboxes of Members subject thereto, at least fifteen days before any meeting.
ARTICLE V - LEGISLATIVE PROCESS AND PROCEDURES
1. All legislation binding upon the Members shall first be ratified by written ballot of the designated voting Member Class, at either an Annual, Quarterly or Special Meeting, with the proposed Referendum clearly stated on the meeting notice.
2. Any Member may initiate a Referendum by requesting the Board of Directors initiate said Referendum. If the request is denied, a Member may post a SCA Non-Binding Referendum in the Community Center.
3. Non-Binding Referendums shall be used to poll eligible voters from one Member Class. The form, with attached proposal, research, pros and cons, shall be publicly posted for fifteen days.
A. If twenty-five percent (25%) of the polled Member Class vote in favor of the Non-Binding Referendum, the Board of Directors shall:
1) Call a Special Meeting for the Member to present their proposed Referendum; and
2) Initiate the legislative process and procedure to vote on the Referendum.
4. A sample ballot and Proxy stating the proposed Referendum, the designated voting Member Class, the basis for the majority, the time, date and location of the vote, shall serve as a Meeting Notice, and shall be publicly posted and mailed on the same day.
5. The majority required for Referendum approval shall be based on either the total of:
A. VOTES COUNTED; or,
B. ELIGIBLE VOTES OF THE ENTIRE CLASS.
6. Referendums requiring a majority of the total VOTES COUNTED:
A. Shall be distributed to each designated Class Member’s SCA mailbox or mailed by U.S. mail service, at least fifteen days before the vote;
B. Shall require a fifty-one percent (51%) majority of votes in order to:
1) Approve the General Services Agreement, the Water Services Agreement, fees, rates and changes thereof;
2) Approve non-budgeted expenditures over $1500;
3) Denote approval of non-budgeted emergency expenditures;
4) Approve any Policies and changes thereof; and,
5) Approve any election or removal of Directors.
7. Referendums requiring a majority of the total ELIGIBLE VOTES OF THE ENTIRE CLASS:
A. Shall be distributed to each designated Class Member’s SCA mailbox or mailed by U.S. mail service, at least fifteen days before the vote;
B. Shall require a fifty-one percent (51%) majority of votes in order to:
1) Approve conveyance, dedication, or mortgaging of Common Property;
2) Approve amendments to these Bylaws; and,
C. Shall require a sixty-six percent (66%) majority of votes in order to:
1) Approve a merger, consolidation or dissolution of the SCA.
ARTICLE VI - ANNUAL BUDGET AND SPENDING LIMITS
The SCA Board of Directors shall develop and approve an Annual Budget which shall be posted for fifteen days before the Annual Meeting. The Budget shall be presented at the Annual Meeting and shall include a separate budget for each of the following cost centers: Administration/Common Grounds, Community Center and Water/Sewer. In addition to funds used for day-to-day operations, reserve accounts shall be maintained for each cost center to pay for non-budgeted repair and/or replacement of existing assets and the purchase of new assets. The SCA Board of Directors shall implement the Annual Budget as soon as possible after the Annual Meeting.
1. Reserve Accounts spending shall be authorized as follows:
A. The SCA Board shall be authorized to spend from reserve accounts, up to 50 of total funds in said account each year for each cost center, for maintenance of existing assets as defined below.
i. Maintenance of existing assets shall include repair, replacement of existing asset components, restoration of existing components that will extend the life of the asset or professional services needed to maintain assets or to meet legal requirements related to the asset or for the protection of the overall assets and security of the Stelle Community Association.
B. Maintenance of existing assets requiring more than 50% expenditure of a reserve account each budget year must be authorized by a poll of Class B Members.
C. The SCA Board Treasurer shall provide a report on the transactions of each reserve account in the prior financial quarter at each Quarterly meeting of the Members, along with the current balance in each Reserve Account.
2. Non-budgeted expenses for purchase of a new asset shall be authorized from Reserve accounts as follows:
A. Total cumulative expenses for purchase of new assets up to $1500.00 may be made annually from each cost center without additional authorization.
B. Purchase Expenses of new assets totaling more than $1500.00 shall require a poll of Class B Members. In order to execute the expenditure, fifty-one percent 51% of the those participating in the poll must approve the expenditure.
C. Expenses required to remedy an emergency are automatically authorized. However, within ten days of said expenditure, the SCA Board of Directors shall issue a letter explaining said expenditure to all Class B Members.
ARTICLE VII - BOARD OF DIRECTORS
1. NUMBER: The Board shall consist of five Members of the SCA.
2. DIRECTORS: Directors shall be elected by the Members. Directors must be Members who are eligible to vote.
3. TERMS AND TENURE: The term for Directors shall be two years, unless removed from office per Section 8 of this Article. There shall be no limit upon the number of terms a person may serve as a Director. Three Directors shall be elected in January during odd years, and two Directors shall be elected in January during even years.
4. BOARD OF DIRECTORS MEETINGS: All meetings of the SCA Board shall be open to Members, except when the President calls the Board of Directors into Executive Session to discuss confidential matters of personnel, delinquent accounts and litigation.
A. The Board of Directors may from time to time approve a resolution to hold regular Board meetings at a fixed date, time and place. Notice of such Board meetings shall be a public posting of the resolution for the Membership. In addition, the Monthly Meeting agenda shall be posted at least 3 days prior to the Monthly Meeting.
B. The President of the Board of Directors, or any two Directors may call a Board of Directors Meeting. The Board Secretary shall give at least one day’s notice of the time and place of said meeting to all Directors. Notice may be waived if all Directors are present when said meeting is called.
C. Minutes shall be emailed and publicly posted within five days of any SCA Board meeting.
5. QUORUM: A majority of Directors shall constitute a quorum. Once a quorum has been established, the decisions of the majority of Directors present at such a meeting shall be the decisions of the Board of Directors.
6. COMPENSATION: Any Director may be paid a reasonable salary for services provided that a Referendum by the Members has been approved, setting the amount and terms of such remuneration. Directors may be reimbursed for reasonable expenses arising out of the performance of their duties.
7. VACANCIES: Vacancies on the Board of Directors shall be filled per Article V, until the term of the vacated position is complete. Notice of vacancy, with a call for candidates, shall be publicly posted for a minimum of fifteen days before a Special Meeting shall be called to hold an election to fill the vacancy.
8. RESIGNATION AND REMOVAL: A majority of the Board of Directors may determine the absence of any Director, without communication to the Board, from one-third (1/3) of the Board meetings for six consecutive months, to be their resignation from the Board. Any vacancy thus created shall be filled per Article V of these Bylaws. Members may remove any Director from office by ballot, per Article V of these Bylaws.
9. DUTIES: The Board of Directors shall enact all binding legislation and enforce all Policies approved by the Membership. The Board of Directors may initiate new Policies through the legislative process and procedures in Article V of these Bylaws. Without limiting the generality of its powers, it shall be the duty of the Board of Directors to:
A. Exercise its powers in accordance with Governing Documents.
B. Maintain a complete record of all its corporate affairs, make said records available for inspection by any Member or his agent, and present an annual statement to the Members.
C. Supervise all Officers, agents, and employees of the SCA.
D. Designate depositories for SCA funds, designate those Officers, agents or employees who shall have authority to withdraw funds from said accounts on behalf of the SCA, and if deemed appropriate, may require such persons be bonded.
E. Appoint all committees required in these Bylaws or that the Board deems necessary.
F. Provide notice of Annual, Quarterly and/or Special meetings to every Member subject thereto per Article IV of these Bylaws.
G. Exercise its powers and duties in good faith, with a view to the interests of the SCA; and to this end, abstain from casting any vote on matters where a potential conflict of interest may exist.
ARTICLE VIII - OFFICERS
1. ENUMERATION OF OFFICERS: The Officers of the SCA shall be a president and a vice president, who shall at all times be Directors of the SCA, a secretary and a treasurer, who need not be Directors of the SCA, and any other Officers the Board of Directors may from time to time, create by resolution. All Officers must be Members who are eligible to vote.
2. ELECTION OF OFFICERS: The Board of Directors shall elect Officers at their first meeting following the Annual Meeting of the Members. An Officer may not hold more than one office; therefore, the previously held office is resigned when an Officer is elected to another office.
3. TERM: The Officers of the SCA shall hold office for a term of one year unless they resign, are re-elected, removed, or disqualified to serve. Officers shall be elected annually by the Board of Directors.
4. RESIGNATION AND REMOVAL: An Officer may resign at any time by giving written notice to the President, the Secretary or the Board of Directors. A resignation shall become effective, without acceptance, upon the date specified therein, or if no date is specified, upon the date of receipt. Any Officer may be removed from office, with or without cause, by the Board of Directors.
5. VACANCIES: The Board of Directors shall elect an Officer to fill any office vacancy. The Officer elected to such vacancy shall serve until the term expires.
6. DUTIES: The duties of the Officers are as follows:
A. PRESIDENT: The President shall preside at all meetings of the Board of Directors and of the SCA (unless the Board designates another Director or SCA Member to preside at such meetings); ensure orders and resolutions of the Board of Directors are carried out; sign all mortgages, leases, deeds and other written instruments; co-sign all promissory notes and contracts as the Membership may approve from time to time; and shall perform such duties as shall be required by the Board.
B. VICE PRESIDENT: The Vice President shall act in the place and stead of the President in the event of his/her absence, inability or refusal to act on the will of the majority of the Board, and shall perform such duties as shall be required by the Board.
C. SECRETARY: The Secretary shall ensure minutes be kept of all meetings and proceedings of the Board and of the Members; serve as custodian of SCA files and records; keep the corporate seal of the SCA and affix it on all papers requiring said seal; ensure that required notices be served to Members; ensure maintenance of accurate records containing all SCA Member names, addresses and PINs in which said Members hold an interest; and, perform such duties as required by the Board.
D. TREASURER: The Treasurer shall ensure that all monies of the SCA be deposited in and disbursed from appropriate accounts, within the limits of the annual budget, or as directed by resolution of the Board of Directors; co-sign any promissory notes and contracts; ensure that proper account books be maintained; be chief Officer responsible for the annual preparation of the budget, income statement, and balance sheet statement to be presented to the Members at the Annual Meeting. Any expenditure by the SCA that is not approved in the annual budget shall have the Treasurer’s signature.
ARTICLE IX - STANDING COMMITTEES
In addition to the Board of Directors, the SCA shall include three standing Committees consisting of: the Administration/Common Grounds Committee, the Community Center Committee and the Water/Sewer Committee. The Standing Committees’ role is to assist, inform and make recommendations to the Board of Directors.
1. NUMBER AND TERMS: Each standing Committee shall consist of one or more persons. Standing Committee appointees shall serve a one-year term of office. There shall be no limit to the number of terms.
2. METHOD OF SELECTION: The Board of Directors shall post a notice calling for volunteers to serve on the standing Committees, and appoint volunteers to the standing Committees within 30 days following the Annual Meeting. In the event there are no volunteers, the Board shall assume the duties of said Committee until such time as a Committee is appointed.
3. CHAIRPERSON: Each standing Committee shall appoint a Chairperson from among its appointees, to communicate with the Board of Directors on a regular basis, and to ensure a Committee report be presented at Quarterly Meetings of the Membership.
4. REMOVAL: Any standing Committee appointee may resign at any time by giving written notice to the SCA President, Secretary or the Board of Directors. A resignation shall become effective, without acceptance, upon the date specified therein, or if no date is specified, upon the date of receipt. Any standing Committee appointee may be removed from said Committee with or without cause by the Board of Directors.
5. MEETINGS AND NOTICES: All standing Committee meetings shall be open to all Members, except when the Chairman calls the standing Committee into Executive Session to discuss confidential matters of personnel.
A. Any standing Committee may from time to time approve a resolution to hold regular Committee meetings at a fixed date, time and place. The only required notice of such Committee meetings shall be a public posting of said resolution for the Membership.
B. The standing Committee Chairman or any two Committee appointees may call a meeting of their Committee. At least one day’s notice of the time and place of said meeting shall be given to all Committee appointees and posted publicly. Notice to Committee appointees may be waived if the entire Committee is present when said meeting is called.
ADMINISTRATION/COMMON GROUNDS COMMITTEE
The Administration/Common Grounds Committee shall supervise the use, maintenance and improvement of all Streets, parks and Common Areas throughout the community.
1. DUTIES: The Administration/Common Grounds Committee shall supervise the day-to-day activities of employees and volunteers working to maintain and improve the Common Areas, including Streets, parks and Common Areas. The Committee shall inform and make recommendations to the Board of Directors, as well as:
A. Ensuring the safe and proper operation and maintenance of SCA-owned equipment used to maintain the common grounds;
B. Periodically inspect the Streets and recommend any necessary maintenance or improvements;
C. Periodically inspect the Common Areas, parks and trees and oversee periodic mowing, planting and watering;
D. Submit annual reviews with recommendations regarding operating costs, and other financial matters related to Admin/Common Grounds;
E. Recommend procedures and Policies to assist with the duties of the Admin/Common Grounds Committee’s duties; and,
F. Maintain accurate records of all actions taken.
COMMUNITY CENTER COMMITTEE
The Community Center Committee shall supervise the operation, maintenance and improvements of the Community Center at 127 Sun Street, including SCA public events, mail services, rentals and property.
1. DUTIES: The Community Center Committee shall oversee the day-to-day activities of employees and volunteers working in Community Center-related roles. The Committee shall inform and make recommendations to the Board of Directors, as well as:
A. Ensuring the safe and proper operation and maintenance of the SCA-owned appliances and equipment used in the Community Center;
B. Periodically inspect the building, furniture and appliances and recommend any necessary maintenance or suggested improvements.
C. Submit annual reviews and recommendations regarding quarterly events, leases, operating costs, and other financial matters related to the Community;
D. Recommend procedures and Policies to assist with the duties of the Community Center Committee;
E. Oversee the use and rental of Community Center facilities and Business Center; and,
F. Maintain accurate records of all actions.
WATER/SEWAGE COMMITTEE
The Water/Sewage Committee shall supervise the operation, maintenance and improvement of the Water Treatment Plant, Sewage Treatment Plant and the potable water and sewage lines throughout the community. The SCA responsibility for potable water lines ends just before the disconnect valve to any Lot.
1. DUTIES: The Water/Sewer Committee shall supervise the day-to-day activities of employees and volunteers working to maintain the Water Treatment Plant and/or the Sewage Treatment Plant. The Committee shall inform and make recommendations to the Board of Directors, as well as:
A. Ensuring the safe and proper operation and maintenance of the SCA-owned equipment and infrastructure of the Water and Sewage Treatment Plants;
B. Periodically inspect the operations and equipment of the Plants and recommend any necessary maintenance or changes necessary for compliance with EPA standards;
C. Submit annual reviews and make recommendations regarding operating costs, and other financial matters related to the Water and Sewerage Treatment Plants;
D. Recommend procedures and Policies to assist with the duties of the Water/Sewer Committee; and,
E. Maintain accurate records of all actions taken.
ARTICLE X - PROPERTY SUBJECT TO THESE BYLAWS
The Property subject to these Bylaws are all Lots and all Common Areas designated on the plat maps called the 2nd Resubdivision of Stelle Subdivision #1 and the 3rd Resubdivision of Stelle Subdivision #1.
ARTICLE XI - PRESERVATION OF RIGHTS
Any non-enforcement or waiver of the use of the SCA’s, the Directors’, or the Members’ rights or powers as granted in the Governing Documents does not constitute a relinquishing or forfeiture of such rights or powers.
ARTICLE XII - INDEMNIFICATION
Each SCA Officer, Director, and Board Member, in consideration of his/her services as such, shall be indemnified by the SCA to the extent permitted by law, against expenses and liabilities reasonably incurred by him/her in connection with the defense of any action, suit or proceeding, civil or criminal, to which he/she may be a party by reason of his/her past or present role in the SCA, except to the extent such liability, damage, or injury is covered by any type of insurance. The foregoing right of indemnification shall not be exclusive of any other rights to which he/she may be entitled by laws, or agreement, or vote of the Members otherwise.
ARTICLE XIII - FISCAL YEAR
The fiscal year of the SCA shall be the calendar year except the first fiscal year shall begin on the date of Incorporation.
ARTICLE XIV - INVALIDATION
Invalidation of any Article, Section, or provision of these Bylaws by judgment or court order shall in no way affect any of the other provisions which shall remain in full force and effect.
ARTICLE XV - AMENDMENTS
These Bylaws may be amended by a fifty-one percent (51%) majority of the Membership, per Article V of these Bylaws. Notice of the proposed amendment must be provided to the Membership at least fifteen days in advance of such vote. An approved amendment shall become effective as stated in such amendment and after such amended Bylaws are duly recorded in Ford County, Illinois.