SLCC Board Education Requirements
- Jul 2
- 1 min read
SLCC Board Education Requirements
Davis-Stirling
Under the California Davis–Stirling Common Interest Development Act, HOA boards have both governance/training expectations and specific financial disclosure obligations.
Board Training / Education Requirements
California does not currently require mandatory certification for HOA directors, but the law does encourage and support board education.
Specific Davis–Stirling board training provisions
1. Civil Code § 5400 – Director Education Course
Directs the California Department of Consumer Affairs and Department of Real Estate to develop an online course for HOA directors and prospective directors. ([FindHOALaw][1])
Topics include:
fiduciary duties
board responsibilities
HOA laws
governance procedures
foreclosure process
2. Fiduciary Duty Training (practical expectation)*
Boards are expected to understand:
governing documents
reserve funding
elections
open meeting laws
financial oversight
enforcement procedures ([Davis-Stirling][2])
3. Reserve Study Education
Boards must review reserve studies and understand reserve funding obligations. Reserve studies are required at least every 3 years and reviewed annually. ([Berding Weil][3])
Reserve Funding Disclosures
Boards must disclose:
Current reserve balance
Percent funded
Estimated remaining life of components
Deferred maintenance issues
Special assessment risks
Whether reserves are adequate
([LS Carlson Law][4])
Member Access to Financial Records- Members generally have inspection rights to:
bank statements
general ledgers
executed contracts
invoices
reserve accounts
check registers
annual financial reports
meeting minutes
The HOA must comply within statutory timelines unless records are privileged or protected.
Open Meeting Financial Transparency
Boards must discuss and approve major financial decisions in open session, including:
budgets
contracts
reserve expenditures
special assessments
([Davis-Stirling][7])