High Point Regional Association of REALTORS by tog11712

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									                          Shared Services
                              
               A REALTOR Association Partnership Initiative
                        Case Study Examples
Within this section are just several of the numerous examples of shared services
partnerships across the country, whereby local associations are partnering with each
other, state associations are partnering with each other and with local associations in
their state, and the National Association is partnering with all entities of the REALTOR 
organization. This collection of case study examples is just a starting point and will
continue to grow as the shared services initiative becomes an option for more and more
REALTOR association entities.

Shared Services                                                                    Page

Executive and Administrative

     Small board (170 members) provides professional services for a                 1
      smaller (80 members) neighboring board
     Small board (341 members) provides executive services for two                  3
      smaller local associations
     Small board (280 members) provides executive services for two                  4
      smaller neighboring boards (80 and 50 members)

     Medium urban board (1300 members) provides executive and                       5
      administrative services for a small (130 member) neighboring board
                                                                                     7
     State association (2,905 members) provides local associations within
      the state the option of converting from a local association of
      REALTORS® to a council of the state association.
     Large state association (53,530 members) provides services for 32 of          14
      its 91 local associations in the state through two programs: Multi-Board
      Management and Professional Standards
Standardized Forms

     A group of associations participants in a regional forms committee to         25
      develop and print standardized, shared forms

Technology

     Small board (400 members) fostered a relationship with a local                26
      technology expert who developed the expertise to provide technology
      support services for firms and neighboring boards




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Education

     Small board (400 members) partners with a local college to present    27
      distance learning CE and GRI courses by interactive television
MLS

     Small board (111 members) shares MLS information with and             28
      purchases MLS services from a neighboring larger association (1,000
      members)




Definitions
Large Board: 2000+ members
Medium Board: 500 to 1999 members
Small Board: 499 or fewer members


Large State: 15,000+ members
Medium State: 5,500 to 14,999 members
Small State: 5,499 or fewer members




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                              Shared Services
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                   A REALTOR Association Partnership Initiative
                            Case Study Examples

Jefferson-Lewis Board of REALTORS
Watertown, New York
Lance Evans, EO


Small Board (170 members) provides professional services for a smaller (80
members) neighboring board.

The Jefferson-Lewis Board of REALTORS in upstate New York provides executive and
administrative services for the neighboring St. Lawrence County Board of REALTORS .
Services include: executive officer involvement; member data POE; Professional
Standards training and administration; phone line support; MLS oversight; and
continuing education courses.

Prior to contracting with the Jefferson-Lewis Board, the St. Lawrence County Board
tried to “go it alone” to meet the minimum service criteria. First, they contracted with a
local housing council for professional services; an arrangement that was terminated
when the local council obtained a major program grant and, as a result, was no longer
able to provide the services. Efforts to hire through a temporary help agency as well as
hire an independent contractor were unsatisfactory, primarily because no one was
available to train the new staff.

Jefferson-Lewis Board members who were involved in real estate transactions in the
other board’s territory saw a critical need for greater coordination of the St. Lawrence
County Board’s activities.

Since the Jefferson-Lewis Board was already providing POE member data services, it
seemed a natural progression to propose a broadened package of services. The
Jefferson-Lewis Board’s first proposal was turned down, but within the year, when the
St. Lawrence County’s experience with temporary help proved unsatisfactory, a second
proposal was made and accepted. Personal networking relationships, and lots of
informal preliminary discussion facilitated formalization and implementation of the
agreement. Merger was not an option either board wanted to attempt; the St. Lawrence
County Board wanted to maintain its own identity, and the Jefferson-Lewis Board did
not want to get involved in the paperwork and complications of working out a merger.
Geography does not favor a merger because although the St. Lawrence Board is small
in term of number of members, its territory is one of the largest in the state with some
members as far as 100 miles from the Board office.

The Jefferson-Lewis Board EO meets twice monthly with the St. Lawrence County
Board of Directors. He also travels to the Board to conduct Professional Standards
training and hearings. He carries a copy of all of the Board’s records and forms on a
laptop computer for quick access. For example, at professional standards hearings,




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                              Shared Services
                                
                   A REALTOR Association Partnership Initiative
                            Case Study Examples

there is no delay in processing paperwork because forms are completed electronically
during the hearing and printed out on-site.


The St. Lawrence County Board members have experienced an increase in value for
their dues dollars. They now have well-coordinated board activities and, with phone line
support, they can talk to an “actual person” instead of leaving a voice-mail message and
hoping for a timely callback. Jefferson-Lewis Board members are pleased with the
enhanced professionalism that has been fostered by the agreement. Networking
relationships between the Boards’ members are promoted through joint meetings and
social events. Communications between the state and national association have bee
improved for the St. Lawrence County Board, as they now have professional staff who
can alert members about important issues and explain the impact.

In order to make the time commitment necessary to provide executive services for the
other Board, the Executive Officer reported that it was really necessary to take a look at
the tasks he was performing and delegate some to other staff. He recommended
“taking a look at the tasks you are doing, questioning why you must do the task, and
then train other staff to take on those tasks.”

In developing procedures for the other board, he recommended putting aside the
assumption that what works in one board will work in the other. It’s best to examine
both boards’ procedures, get input from members and staff, and develop new ways of
doing things.

(Submitted March 2002)




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                             Shared Services
                               
                  A REALTOR Association Partnership Initiative
                           Case Study Examples

High Point Regional Association of REALTORS
High Point, North Carolina
Jo Anna Edwards, EO


Small board (341 members) provides executive services for two other smaller
local associations; one of the smaller board neighbors (65 members), and the
other (51 members) is located in a rural area about 90 miles distance.

The High Point Regional Association (341 members) provides executive services to two
other local associations, the neighboring Thomasville Board (65 members) and the
Alleghany Board (51 members), located approximately 90 miles away in a rural,
mountainous area. The two smaller associations contract with the High Point Regional
Association and pay fees for the services. The Executive Officer functions as EVP for
all three associations, each of which operates as a separate entity.

The Thomasville Board’s contract with the High Point Regional Association was a result
of NAR’s mandated minimum service criteria, requiring access to professional executive
staff. The High Point Association was already supplying MLS services at the time
(1994), so the agreement was an outgrowth of the existing relationship. The Board was
able to meet minimum service criteria and maintain its identity.

The Alleghany Association was formed in 2001 when the North Carolina Association
discontinued the “member-at-large” membership category. A group of REALTORS in
the Sparta area, about 90 miles distance from the High Point Regional Association,
organized a local association. One of the members of the newly forming local board
sought advice from the High Point Regional’s Executive Officer; what began as a
volunteer advisory role evolved into a formal, contractual arrangement to provide
professional services. Personal networking relationships facilitated initial contact
between the Executive Officer and volunteers from the newly forming association.

Members of the Alleghany Board, formerly members-at-large of the state association,
now receive customized services and members feel that they have someone they can
talk to who is specifically focused on providing member services.

Forming the relationships with both of the smaller boards was very amicable and
proceeded without major obstacles to overcome. For the newly forming Alleghany
Board, it took about six months to complete necessary organizational steps and bring
the bylaws up to standard; the contract with the Thomasville Association was completed
in about half that time. Ongoing, the major challenge for the Executive Officer is in
running three separate organizations, each with its own Board of Directors, bylaws, etc.

(Submitted March 2002)




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                              Shared Services
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                            Case Study Examples

Yakima Association of REALTORS
Yakima, Washington
Jeannette Witham, EO


A small board (280 members) provides executive services for two smaller
neighboring boards (80 and 50 members).

The Executive Officer of the Yakima Association of REALTORS provides executive
staff services for the Lower Yakima Valley Association (50 members) of REALTORS
and the Kittitas County Association (80 members) of REALTORS.

The relationship with the Lower Yakima Valley Association evolved from NAR
professional standards mandates regarding the minimum member pool for appointing a
hearing panel. The Yakima Association executive oversees professional standards
matters for the Board, including training classes. The Yakima Association presents
member orientation programs for the Association and charges a $10 per head fee.

The relationship with the Kittitas County Association started with provision of
professional standards services and has expanded to other services, such as newsletter
publication, communication facilitation with the state and national associations, bylaw
compliance, and access to legal counsel. The Yakima Association also manages MLS
billing for Kittitas County; originally this function was performed by volunteers and then
contracted to an accountant, but the Yakima Association was able to provide MLS
billing at a lower fee. At one point, the two organizations considered the possibility of
merging, but decided against it. The service agreement fosters an amicable
relationship, as the smaller Board is able to maintain its identity and control over local
market issues.

As a side benefit, the service relationships have fostered networking among the
members of all three organizations. The three boards caucus together at state
association meetings and include each other in their social events and functions.

Overall, it took about a year to define the service package, negotiate the agreements,
and implement service provision. In developing the service contracts, the executive
officer stressed the importance of clearly defining the hours’ commitment, keeping track
of hours worked on behalf of the other organizations, and building flexibility into the
contract so that the scope of the time commitment can be adjusted or cancelled on a
agreed upon advance notice.

(Submitted March 2002)




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                             Shared Services
                                
                  A REALTOR Association Partnership Initiative
                           Case Study Examples


Toledo Board of REALTORS
Toledo, Ohio
Paul Hiett, EVP


Medium urban board (1300 members) provides executive and administrative
services for a small (130 member) neighboring board; the smaller local board
receives professional services and maintains its own local identity.

The Toledo Board of REALTORS provides executive and administration services to
the Wood County Board, which is located about 20 miles distance in Bowling Green, a
small town that includes the campus of Bowling Green State University.

The Wood County Board of REALTORS pays an annual fee to the Toledo Board of
REALTORS for executive and administrative services, which include: Professional
Standards administration; newsletter (the Wood County Board supplies the content);
assistance with budgeting; staff executive support for the board of directors and
committees; dissemination and interpretation of communications from the national and
state associations (i.e. explaining “what it means for the local REALTOR); bylaws
compliance; board re-certification assistance; and MLS administration.

The Wood County Board contracted for services from its larger neighbor in order to
meet NAR mandated minimum service criteria, requiring access to professional staff.
Additionally, the Wood County Board President was very active in the state association
and aware of the need to bring greater organization and better services to the local
board. The Wood County Board already had an agreement with the Toledo Board to
share MLS data, as market areas overlap, and members wanted access to MLS
information for both areas without the necessity of joining two associations. Because of
this relationship, geographic proximity, and market overlap, the Toledo Board was
positioned as the most likely source for services.

The Toledo Board proposed a menu of services from which the Wood County Board
selected those that would be included in the package of services and formalized the
relationship with a one-year renewable contract. Within a short time frame, 3 to 4
months, the contract details were finalized and the two organizations held only one
formal organizing meeting. However, a lot of informal communication and discussion led
up to the formal meeting and contract signing. The time commitment for the Toledo
executive was intense in the early stages of implementation, as bylaws needed to be
brought into compliance and other “housekeeping” matters had to be cleared up. After
this initial phase, the time commitment decreased substantially.

Volunteerism remains at a high level at the Wood County Board with members
performing “staff” functions such as organizing continuing education classes, RPAC



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                                 Case Study Examples
fundraising, and dues billing, which is facilitated by the state association’s provision of
pre-printed dues statements. Recently the Wood County Board rented office space to

create a physical location for the Board; records and documents are now housed in the
office rather than passed amongst volunteer leaders.

Both organizations have benefited from the arrangement. The Toledo Board has a
source of non-dues income. Important personal relationships are fostered through
networking opportunities such as joint meetings, and a joint caucus at the state
association convention. The Wood County Board benefits through access to
professional staff support, more meaningful communications with the state and national
association, and, although a side-development, a physical location. Most important for
the Wood Country Board members is that they have been able to maintain their identity
as a separate organization; a concern that the Toledo Board was very attuned to.


As a result of the success of working with the Wood County Board, the Toledo Board
has proposed a similar arrangement to another nearby board. That board, which has
400 members and covers a wide geographic area encompassing 7 counties, is currently
staffed by a real estate broker who functions as part-time “elected secretary” and is paid
a small fee. The needs of the board and its members are growing in scope and
complexity, and outstripping the part-time staff person’s availability and expertise.

The Toledo Board executive stressed three aspects that were critical to the success of a
service-provider relationship: alignment of expectations about what services can and
will be provided and the executive’s time commitment; candid discussion about the
organizations’ issues; and an accurate picture of the service-purchaser’s situation in
terms of records, policy compliance, and potential liabilities.

(Submitted March 2002)




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                              Shared Services
                                 
                   A REALTOR Association Partnership Initiative
                            Case Study Examples

Maine Association of REALTORS
Augusta, Maine
Cindy Butts, EVP


State association (2,905 members) provides local associations within the state
the option of converting from a local association of REALTORS to a council of
the state association.

The Maine Association of REALTORS created a council structure and amended its
bylaws to allow local associations within the state the option of converting from a local
association to a council of the state association. The council structure allows members
to receive the same level of services at a reduced dues fee, since a number of
administrative expenses are eliminated with the council structure.

If a local association votes to dissolve the association to allow formation of the local
council within the state association, the new council structure can be implemented,
subject to agreement of the state association’s conversion policies and dues structure.

The benefits of a council structure to the local association are as follows:

      Reduced expenses – when a local association legal structure is eliminated, the
       following expenses no longer exist: audit/CPA charges, insurance, legal
       expenses, some postage expenses

      Services that retain local identity are continued –
       -Live new member orientation courses are maintained in the local area
       -Professional standards continues to be conducted with local committee
       members in local area
       -Local membership meetings are maintained
       -Training expenses are available for sessions such as leadership seminars
       -Local president and president-elect receive travel expenses to attend one NAR
       meeting each
       -Scholarship auction and awards continue

      State association continues to offer education during the year in the local area

      Membership continues to have full-time access to professional staff by phone
       and e-mail

      Councils have the same representation at the state association as local
       associations, as provided in the state bylaws (same representation on the state
       executive committee and board of directors, annual visitation by state legal
       counsel at local membership meetings, ability to choose a local REALTOR of


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                             Shared Services
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                           Case Study Examples

   the Year, ability to participate in the state foundation’s Matching Grant program for
   local affordable housing effort, etc.)

      Councils continue to control the local cash reserves that existed when the board
       was legally dissolved (established as a dedicated fund)

      Council members continue to annually elect a president and president-elect from
       among the council trustees. (The trustees are elected by the state board of
       directors from a slate of trustees provided by a council nominating committee.)

   Annually a council board reviews what services should continue and recommends
   council dues. The council can elect at any time to become a local association again,
   should there ever be reasons to do so.

   The local association members who have converted to councils believe this new
   structure ensures that their dues are not being used to duplicate services that no
   longer need to be duplicated, while maintaining the service levels and reducing
   dues.

   These Councils are not recognized by NAR as existing (they are Unassigned
   Territories for the purposes of NAR), so there is no Delegate Body representation at
   the NAR level except where the State Association President votes the number of
   Unassigned Territory members.


Councils of the Maine Association:
   Aroostook Council of the Maine Association of REALTORS®: Covers the largest
   geographic county in Maine (two hour drive from Council border to border). Gave up
   charter. 27 REALTOR® members.

   Mountains Council of the Maine Association of REALTORS®: Covers rural
   mountain area, including the Sugarloaf ski area. The Androscoggin Valley Board of
   REALTORS® gave up towns within their jurisdiction to allow that to be an
   Unassigned Territory of the State Association, which then allowed the firms in that
   area to be covered by a Council. Several new firms joined REALTORS® with the
   formation, as they could be served “locally” rather than drive (45 min – 1 hour) to
   attend Androscoggin Valley meetings. 82 REALTOR® members.

   York County Council of the Maine Association of REALTORS®: Covers the
   Southernmost section of the State, and the second largest in Maine. Gave up
   charter. 516 REALTOR® members.

   In addition, the state association manages three other local associations that
   maintain their local board charters: the Maine Commercial Association of


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   REALTORS® (statewide commercial overlay), the Merrymeeting Board of
   REALTORS® (163 members) and the Western Maine Board of REALTORS® (140
   members).

(Submitted August 2002)




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                              Shared Services
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                            Case Study Examples

           BYLAWS OF THE MAINE ASSOCIATION OF REALTORS®, Inc.
                  (Relevant Council sections of the Bylaws only)


ARTICLE II       MEMBERSHIP

   Section 1.    CLASSIFICATION

          The Members of this Association shall consist of nine classes:
          1. Member Boards
          2. Board Members
          3. Member Councils
          4. Council Members
          5. Individual Members
          6. Institute Affiliate Members
          7. Affiliate Members
          8. Life Members
          9. Honorary Members
          10. Student Members
          11. REALTOR® Emeritus Members

   Section 2.    MEMBER BOARDS - A Member Board shall be any Board within the
State of Maine, all REALTOR® Members of which hold membership in this Association
and in the National Association of REALTORS®.

  Section 3.  BOARD MEMBERS - A Board Member shall be any REALTOR®
Member of a Member Board as herein defined.

    Section 4. MAR MEMBER COUNCILS – A Member Council shall be any Council
within the State of Maine, all REALTOR® Members of which hold membership in the
Association and in the National Association of REALTORS®.

  Section 5. MAR COUNCIL MEMBERS – A Council Member shall be any
REALTOR® Member of a MAR Member Council as herein defined.

     Section 5.1 REALTOR® MEMBER DEFINED - REALTOR® Members shall be:
(1) any individual engaged in the real estate profession as a principal, partner, corporate
officer, or branch office manager acting on behalf of the firm’s principal(s), and licensed
or certified individuals affiliated with said REALTOR® Member whose place of business
is located in an area outside the jurisdiction of any Member Board who meets the
qualifications for REALTOR® membership established by the state association, or (2)
individuals who are employed by or affiliated as independent contractors with
REALTOR® Members and who are deemed qualified for REALTOR® Membership by
the Member Board or as part of a Member Council.



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    Secondary REALTOR® membership shall also be available to individuals who hold
primary membership in a board/association in another state and who desire to obtain
direct membership in the state association without holding membership in a local
board/association in the state.

    Section 6. INDIVIDUAL MEMBERS - An Individual Member shall be any
individual engaged in the real estate profession as a principal, partner, officer of a
corporation or branch office manager whose place of business is located in an area
outside the jurisdiction of any Member Board and who hold REALTOR® Membership in
this Association. These members may choose membership in a Member Council.

   The Board of Directors may establish procedures and standards whereby
salespersons and licensed or certified appraisers employed by or affiliated as
independent contractors with an Individual Member may become Individual Members in
the Association.


ARTICLE IV        RIGHTS AND PRIVILEGES

   Section 1.      VOTING - Only REALTORS®, Individual Members, REALTOR®
Emeritus Members and Life Members in good standing and whose financial obligations
are paid in full shall be entitled to vote in the Association.

    Section 2.     ELECTIVE OFFICE - Only REALTORS®, Individual Members,
REALTOR® Emeritus Members and Life Members in good standing and whose
financial obligations are paid in full shall be entitled to hold elective office in the
Association.


ARTICLE VI        ADMINISTRATION

    Section 1. BOARD OF DIRECTORS - The Association’s Board of Directors shall
consist of the following: (a) the elective officers of the Association, (b) the National
Association Directors from Maine, (c) the Immediate Past President, (d) the President
of each Member Board and each Member Council for the duration of his or her
term of office, (e) the Directors-at-Large from each of the Member Boards and
Member Councils, (f) the Directors-At-Large from the Individual Members, and (g) the
Directors-At-Large from the three largest real estate firms in Maine.

   Section 1.1 DIRECTORS-AT-LARGE - Directors-At-Large shall be elected by and
from each Member Board and Member Council on the basis of one Director-At-Large for
each eighty (80) REALTOR® Members or any fraction thereof, plus one additional
Director-At-Large for each one hundred twenty-five (125) REALTOR® Members or
major fraction thereof in excess of the first eighty (80) REALTOR® Members. Director-



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                                    Shared Services
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At-Large entitlements shall be calculated annually on December 15, for the new elective
year commencing January 1.

   Directors-At-Large for Individual Members shall be elected by and from the
Individual Members on the basis of one Director-At-Large for each eighty (80)
REALTOR® Members or any fraction thereof, plus one additional Director-At-Large for
each one hundred twenty-five (125) REALTOR® Members or major fraction thereof in
excess of the first eighty (80) REALTOR® Members. Directors-At-Large for Individual
Members shall be conducted after solicitation of candidates from among the Individual
Members and a membership vote by whatever mechanism determined by the MAR
President and allowable under State Corporate Law.

   The three Directors-At-Large from the three largest firms in Maine shall be
determined according to the number of REALTOR® members reflected in MAR’s
membership records database effective December 15, for the new year commencing
January 1. Directors are named annually prior to January 1 from the corporate officers,
owners or managers of the firm who are REALTORS®.

    Section 2. EXECUTIVE COMMITTEE - There shall be an Executive Committee of
the Board of Directors consisting of the following: (a) the President, (b) President Elect,
(c) First Vice President, (d) the Treasurer, (e) the Immediate Past President and (f) the
President of each Member Board and Member Council for the duration of his or her
term of office. The President shall serve as Chairman of the Executive Committee.

ARTICLE VII      DUES

    Section 1. MEMBER BOARD DUES AND MEMBER COUNCIL DUES- The
annual dues of each Member Board and Member Council as defined in Article II of
these Bylaws shall be an amount equal to (1) an amount established annually by the
Board of Directors times the number of REALTOR® Members who hold primary
membership in the Board or Council, plus (2) an amount equal to an amount
established annually by the Board of Directors times the number of individuals with real
estate licenses and licensed or certified appraisers who are employed by or affiliated
with Designated REALTOR® Members of the Board or Council who are not themselves
REALTORS® or Institute Affiliate Members of the Board or Council, State or National
Associations, plus (3) an amount equal to an amount established annually times the
number of Affiliate Members of the Board or Council. In calculating the dues payable by
a Member Board or Member Council, non-members, as defined in the preceding
sentence, shall not be included in the computation of dues if dues have been paid in
another Board or Council to which dues have been remitted. The dues payable by a
Member Board or Member Council to the State Association shall be reduced by an
amount equal to an amount established annually by the Board of Directors times the
number of REALTOR® Emeritus (as recognized by the National Association), Past
Presidents of the National Association and recipients of the Distinguished Service
Award who are Members of the Board or Council.



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    Section 1.1 LICENSEE DEFINED - An individual shall be deemed to be licensed
with a REALTOR® if the license of the individual is held by a REALTOR® or by any
broker affiliated with a REALTOR® or by an entity in which the REALTOR® has a direct
or indirect ownership interest and which is engaged in soliciting and/or referring clients
or customers to the REALTOR® for consideration on a substantially exclusive basis,
provided that such licensee is not otherwise included in the computation of dues
payable by the principal, partner or corporate office of the entity.

   Section 2.    INDIVIDUAL MEMBER DUES

a. The annual dues of each Individual Member actively engaged in the real estate
business as a sole proprietor, partner or corporate officer or branch office manager of a
real estate firm in areas not within the jurisdiction of a Member Board shall be an
amount established annually by the Board of Directors plus an amount equal to an
amount established annually by the Board of Directors times the number of individuals
(a) with real estate licenses and licensed or certified appraisers employed by or
affiliated with such Individual Members and who are not themselves Individual Members
and (b) are not Institute Affiliate Members of the State or National Associations,
provided, however, that if two or more Individual Members are principals of the same
firm, partnership or corporation, then only the Individual Member designated from time
to time in writing by the firm, partnership or corporation shall be required to pay that
portion of the dues which is computed on the basis of the individuals licensed with such
firm, partnership or corporation; the dues of the remaining Individual Members who are
principals of such firm, partnership or corporation shall be an amount established
annually by the Board of Directors.

b. The annual dues of each Individual Member other than a sole proprietor, partner or
corporate officer shall be an amount established annually by the Board of Directors.


   Section 8. DUES ASSESSMENTS – The Board of Directors may assess the
members by class, provided that notice of the classes of membership to be assessed,
the amount of the assessment for each of the classes to be assessed, the purpose of
the assessment and when the assessment is due shall be noticed to all affected classes
of members at least 30 days prior to the approval of the assessment by the Board of
Directors.




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Texas Association of REALTORS®
Austin, Texas
Benny McMahan, EVP
(August 2002)

The Texas Association of REALTORS® (TAR) is considered a large state association
with 53,530 members. TAR provides services for 32 of its 91 local associations in the
state through two programs: Multi-Board Management and Professional Standards.

TAR started the Multi-Board Management program in 1995 to assist smaller
associations in the state who were in danger of losing their charters as a result of NAR’s
Organizational Standards for Boards and Associations.

The TAR Multi-Board Management program offers the following administrative services
to participating local associations:

. dues billing/collection
. membership records maintenance
. newsletter
. records maintenance
. minutes preparation
. professional standards services
. new member training
. government relations services/political affairs
. calls to action
. RPAC promotion/collection of reports
. establish and maintain web site
. education session coordination

There are some optional services as well, such as budget assistance,
bookkeeping/accounting, tax preparation, and MLS billing.

A participating local association has various responsibilities that it needs to fulfill in
regard to each of the above-mentioned services. Additionally, there are two more
requirements that all participating local associations must fulfill: 1) At least one board
officer or director must attend TAR’s Board Officers Leadership Conference; 2) All
governing documents must be in compliance and submitted with the Multi-Board
Management agreement as follows:
. Articles of Incorporation
. File letter from IRS granting tax-exempt status under Section 501 (c)6 or letter
indicating taxes are current
. Recent filing of Form 990 with the IRS or other IRS filings
. Sales tax re-sale exemption certificate

TAR provides multi-board management services to 17 local associations in the state.


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From the time a local association contacts TAR, expressing an interest in venturing into
a multi-board relationship, it takes about one to two months for the program to get up
and running at the local association.

In addition to its Multi-Board Management program, TAR offers its local associations a
Professional Standards administration program. This program was established in 1998
and enables TAR to handle professional standards complaints from start to finish – from
the moment a call comes in until its completion through the professional standards
process. Currently 15 local associations – along with the 17 local associations to which
TAR provides multi-board management services – handle their professional standards
complaints through TAR. These 32 associations account for approximately 28,000
members, which includes approximately 16,000 members of the Houston Association of
REALTORS®.

A sample copy of TAR’s Multi-Board Management application form is attached.




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                    TEXAS ASSOCIATION OF REALTORS®
                            1115 San Jacinto Blvd., Suite 200
                                Austin, Texas 78701-1906
                            1-800-873-9155 / 480-8200 (Austin)
                                   (512)370-2390 (fax)


                        AGREEMENT FOR
           MULTI-BOARD MANAGEMENT PROGRAM SERVICES

Parties:

   (a) Provider:            Texas Association of REALTORS®, Inc.

   (b) Provider’s Address: 1115 San Jacinto, Suite 200
                           P.O. Box 2246
                           Austin, Texas 78768-2246

   (c) Recipient:

   (d) Recipient’s Address:


Term:

   (a) Commencement Date:

   (b) Termination Date: December 31, 20

   (c) Automatic Renewal: This agreement shall automatically renew on a year to year basis upon
                            the same terms and conditions unless either party provides written notice
                            of termination to the other party at least thirty (30) days prior to the end
                            of the calendar year of the term or renewal period.

Consideration:              Recipient shall pay Provider a fee of $65.00 per REALTOR® and
                            REALTOR® Associate member and a fee of $50.00 per Affiliate
                            Member each year that this agreement remains in effect. Fees are due
                            and payables to Provider at the time dues from Recipient’s members are
                            received by Provider or Recipient. If a person becomes a member of
                            Recipient's Association after the first quarter of a calendar year, the fee
                            payable to Provider for such member shall be prorated on a quarterly
                            basis.




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1. Provider shall provide Multi-Board Management Program Services for Recipient for
   the Consideration specified beginning on the Commencement Date and continuing until
   such time as this agreement is terminated in accordance with the Provisions of this
   agreement.

2. “Multi-Board Management Program Services” means those services specified on the
   attached Addendum A entitled “Description of Multi-Board Management Program
   Services.” Provider may from time to time amend, add to, modify, or delete any of the
   Multi-Board Management Program Services to be provided under this agreement by
   providing written notice to Recipient of the amendment, addition, modification, or
   deletion at least thirty (30) days prior to the effective date of the amendment, addition,
   modification, or deletion.        If Recipient objects to the amendment, addition,
   modification, or deletion, such amendment, addition, modification, or deletion shall not
   take effect. Objections must be made in writing and not later than thirty (30) days
   from the date Recipient receives written notice of the amendment, addition,
   modification, or deletion or it shall be deemed that Recipient has no objection.

3. Recipient shall strictly comply with all Rules of the Multi-Board Management Program.

4. “Rules of the Multi-Board Management Program” mean those rules specified on the
   attached Addendum B entitled “Rules of the Multi-Board Management Program.”
   Provider may from time to time amend, add to, modify, or delete any of the Rules of the
   Multi-Board Management Program by providing written notice to Recipient of the
   amendment, addition, modification, or deletion at least thirty (30) days prior to the
   effective date of the amendment, addition, modification, or deletion. If Recipient
   objects to the amendment, addition, modification, or deletion, such amendment,
   addition, modification, or deletion shall not take effect. Objections must be made in
   writing and not later than thirty (30) days from the date Recipient receives written
   notice of the amendment, addition, modification, or deletion or it shall be deemed that
   Recipient has no objection.

5. Recipient authorizes Provider to deduct all Consideration due under this agreement
   from the dues payments Provider collects from Recipient’s members at the time such
   dues are received by Provider.

6. There shall be no increases in the Consideration during the term of this agreement. If
   this agreement is renewed automatically on a year to year basis, Provider may increase
   the Consideration during the renewal period at will by providing written notice to
   Recipient least thirty (30) days prior to the last calendar day of the year that the
   increase is to be effective.

   7. Either party may terminate this agreement at any time, with or without cause, by
      providing written notice to the other party. The termination shall not be effective
      until the last day of the calendar year in which the notice is given. There shall be no



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proration of Multi-Board Management Program Services or Consideration upon
termination.

8. This instrument contains the entire agreement of the Parties and cannot be changed
   except by written agreement.

9. This agreement may not be assigned by either party without written permission of the
   other party.

10. This agreement is binding upon the Parties and their successors or administrators.

11. Should any clause in this agreement be found invalid or unenforceable by a court of
    law, the remainder of this agreement shall not be affected and all other clauses shall
    remain valid and enforceable.

12. All notices under this agreement shall be in writing and effective when mailed or
    received by facsimile at the Addresses of the Parties.


Executed this ______ day of _________________________, 19______



TEXAS ASSOCIATION OF REALTORS®, INC._
Provider

By:     ______________________________________________
   Name


   Title


   ______________________________________________
   Recipient (Board Name)

By:     ______________________________________________
   Name


   Title




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                                    ADDENDUM A
            TO AGREEMENT FOR MULTI-BOARD MANAGEMENT PROGRAM
                     Between the Texas Association of REALTORS® (Provider) and
                                                                        (Recipient)


MULTI-BOARD MANAGEMENT PROGRAM SERVICES

Provider shall provide the following:
I.     Dues Billing/Collection
       A.      Prepare and distribute dues billing in October-November of each year. Receive
               and track dues payments, crediting the funds directly to Recipient’s membership
               records, and make the necessary payments to Texas Association of
               REALTORS® (TAR) and NATIONAL ASSOCIATION OF REALTORS®
               (NAR). Dues checks with list of members processed to be mailed to Recipient as
               soon as possible.

       B.      Unreported licensee billings statements and follow-up letters to be mailed to
               Designated Brokers three times a year.

II.    Membership Records Maintenance

       A.      Provide Recipient with change of address forms and new member information
               cards. Process all additions, deletions and changes necessary to maintain Board
               membership records and update TAR files on a monthly basis. Supply Recipient
               with roster of members quarterly.

III.   Newsletter

       A.      Produce a bi-monthly (six issues a year) newsletter for Recipient’s members.
               Each newsletter will be printed on a four-page format, one color. Recipient will
               supply copy for each Issue. Stock copy will be available to fill space as needed.

IV.    Records Maintenance

       A..     Maintain a permanent record file for Recipient, to include: Articles of
               Incorporation, tax filings, Bylaws, Tax Exempt letter, and other policies and
               procedures established by Recipient’s Board of Directors. Submitting, as
               necessary, these documents for NAR and legal review.




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V.     Minutes Preparation

       A.   Type minutes of Recipient's Directors and General Membership Meetings from
            handwritten copies/notes supplied by Recipient’s Secretary. Return copy to
            Recipient.

VI.    Professional Standards Services

       A.      Type all necessary forms for professional standards matters and mail documents
               to appropriate parties.

       B.      Coordinate Grievance Committee meetings. Maintain Professional Standards
               hearing records in accordance with legal counsel recommendation. This includes
               filing of all correspondence and hearing panel decisions. Reviews by legal
               counsel. Secure hearing site. Coordinate hearings with Recipient (if applicable),
               adjoining Boards or TAR committee member appointees.

VII.   New Member Training

       A.      Supply Recipient with new member orientation kits, including videos, and
               instructor outline. Provide materials and handle meeting logistics.

VIII. Education Session Coordination

       A.      Coordinate education course scheduling. Course scheduling to be made available
               to members through newsletter.

IX.    Government Relations Services/Political Affairs

       A.      Notify Recipient members of all local, state and national political “Calls to
               Action”.

       B.      Solicit RPAC contributions, promoting all local RPAC functions and fund raising
               efforts. Track and record individual contributions as they are received.

X.     Optional Services

       A.      Bookkeeping/Accounting Service

               1.     Provide year-end financial report:
                      Assets and Liabilities (Balance Sheet)
                      Income and Expense (Income Statement)




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           2.    Prepare a chart of accounts and a 12-month spreadsheet to aid in
                 establishing the Board's annual budget, with numbers supplied by the
                 Board.



TEXAS ASSOCIATION OF REALTORS®, INC._
Provider                       Recipient (Board Name)

By: ________________________________ By:
        Name                             Name


  Title                                         Title




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                                    ADDENDUM B
      TO AGREEMENT FOR MULTI-BOARD MANAGEMENT PROGRAM SERVICE
              Between Texas Association Of REALTORS® (Provider) and
                                                            (Recipient)

      RULES OF THE T.A.R. MULTI-BOARD MANAGEMENT PROGRAM
Recipient shall comply with the following:

I.       GENERAL REQUIREMENT

         A.     Recipient’s Board Officer must attend Texas Association of REALTORS®
                (TAR) Board Officers Leadership Conference.

II.      Dues Billing/Collection

         A.     Submit all dues received locally (for new members, etc.) to Provider upon
                receipt, accompanied by information card.

         B.     Deposit dues checks in Recipient's Operating Account.

III.     Membership Records Maintenance

         A.     Change of address forms, to be mailed to Provider by the end of each month

         B.     Membership changes, deletions, etc., to be supplied to Provider by October 1 of
                each year. Such changes to be made to roster supplied by Provider.

IV.      Newsletter

         A.     Newsletter copy to be supplied as follows:

                1.     Recipients with publication date of the 1st of the month to have copy to
                       Provider by the 15th of the preceding month.

                2.     Recipients with publication date of the 15th of the month to have copy to
                       Provider by the 1st day of the month of publication.




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V.     Records Maintenance

       A.    Recipient to adopt model multi-management bylaws as supplied by provider.

       B.    Copy of current bylaws, Articles of Incorporation, tax exempt letter, policies &
             procedures to be supplied to Provider promptly upon execution of the agreement
             and promptly after any modifications.

       C.    Hold elections and meetings in accordance with bylaws. Committees appointed
             in accordance with bylaws.

VI.    Minutes Preparation

       A.    Supply to Provider copy of Board of Directors Minutes and General Membership
             Meeting Minutes within five (5) days of meetings.

VII.   Professional Standards

       A.    Maintain functioning Grievance & Professional Standards Committees.

       B.    Recipient’s Board of Directors shall review hearing panel decisions, requests for
             appeals and procedural review. Directors shall rule on and/or ratify and uphold
             discipline, if any.


VIII. New Member Training

       A.    Provide facility/audio visual equipment and facilitator for orientation session.

IX.    Education Session Coordination

       A.    Supply Provider with information regarding local providers; i.e., secondary
             schools, proprietary schools, etc.

X.     Government Relations/Legislative

       A.    Promote "Calls to Action" to membership, and promote and support RPAC fund
             raising efforts.

       B     A Governmental Affairs Committee must be appointed by Recipient or its
             leaders and the Chairman must attend the TARPAC Orientation in Austin each
             year.

       C.    President and/or Governmental Affairs Chairman must attend TAR Spring
             Meeting during a year that the Texas Legislature is in session.


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XI.      Rules - Optional Services

         A.    Bookkeeping/Accounting Services

               1.     Bi-monthly submission of list of revenues and expenses coded by assigned
                      account numbers. Responsible for conducting an outside audit of financial
                      records.

               2.     Recipient to prepare annual budget.



TEXAS ASSOCIATION OF REALTORS®, INC.
Provider                            Recipient (Board Name)

By:                                              By:
   Name                                             Name


      Title                                          Title




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Montcalm Association of REALTORS
Greenville, Michigan
Ruth Mumm, EO


A group of associations participate in a regional forms committee to develop and
print standardized, shared forms.

The Michigan regional forms committee reviews and updates real estate forms which
are printed by the Grand Rapids Association of REALTORS  print shop. Because all of
the member boards use the same forms, they are able to save money on printing and
take advantage of cost savings on large print runs while decreasing the inventory of
forms they must keep on hand. This is a significant savings particularly when forms
must be discarded and replaced because of regulatory changes.

In addition to paper forms, a CD with downloadable forms is available.

The result is that the participating boards save money on printing costs, discard less
out-of-date inventory, and members have access to downloadable, standardized forms.

The Associations that participate are: Montcalm Association of REALTORS , Battle
Creek Area Association Of Realtors®, Ionia County Board Of Realtors®, Greater
Kalamazoo Association Of Realtors®, and West Michigan Lakeshore Association Of
Realtors®.

(Submitted March 2002)




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Pen Mar Association of REALTORS 
Hagerstown, Maryland
Sandra Klimek, EO


A small size board (400 members) fostered a relationship with a local technology
expert who developed the expertise to provide technology support services for
firms and neighboring boards.

The Pen Mar Association became acquainted with a technology expert who was hired,
through a local temporary help agency, to help the association with conversion to an
electronic lock box system. As a result he became very familiar with the association’s
technology and was able to assist them with other systems. The association pays for
his consulting services on an hourly basis.

Because of his hands-on knowledge of the Pen Mar Association’s technology systems,
he has been able to provide consulting services for REALTOR  firms and neighboring
boards. Although the Association facilitates contact with the consultant, they view this
access to technology expertise as a valuable member service, not a potential non-dues
revenue source.

(Submitted March 2002)




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Pen Mar Association of REALTORS 
Hagerstown, Maryland
Sandra Klimek, EO


A small board (400 members) partners with a local college to present distance
learning CE and GRI courses by interactive television.

Through a partnership with a local college, the Pen Mar Association is able to offer
interactive distance learning courses for continuing education credit, as well as GRI.
The college provides the facilities and instructors and also handles course enrollments.
The Association receives 50% of the enrollment fee as non-dues income. Based on
the Pen Mar Association’s success, two neighboring boards also participate in the
program.

Member response has been very positive because they are able to satisfy continuing
education requirements and access education courses without the necessity of travel to
an out-of-town location. Students gather at each college broadcast distance learning
facility that is interactive so that students can ask questions and interact with the
instructor.

The state real estate licensing commission recently amended its regulations to allow
continuing education credit for distance learning courses.

(Submitted March 2002)




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Oswego County Board of REALTORS
New Haven, New York
Gene Friske, EO

Greater Syracuse Association of REALTORS
Liverpool, New York
Lynnore Fetyko, EO


Small Board (111 members) shares MLS information with and purchases MLS
services from a neighboring larger association (1,000 members).


The Oswego County Board of REALTORS in upstate New York has a reciprocal MLS
agreement with the neighboring Central New York Information Service (1,000 members)
which is a wholly owned by the Greater Syracuse Association of REALTORS ®. The
Oswego County Board and MLS have maintained its identity as a separate entity. The
Central New York Information Service (CNYIS) leases its database to the Oswego
Board. Listings that are entered in the Oswego system can be accessed through the
CNYIS MLS, and vice versa. The Oswego Board maintains its own MLS Committee
and it also participates in a joint task force with the CNYIS for the purpose of setting
common rules and policies.

Prior to setting up the reciprocal agreement, approximately one-third of the Oswego
County Board’s member firms also participated in, and paid fees to, CNYIS. In order for
listings to appear on both MLSs, firms had to enter the data twice into differing systems.
The impetus for the agreement was a feeling among dual paying members, who wanted
to eliminate double MLS fees and reduce data entry workloads. The Oswego members
wanted to update their MLS system, share listings with and gain access to the other
MLS’s information, but did not want to give up control of their data or lose their Board’s
identity.

The time frame from discussion to implementation was about one and one-half years.
Some challenges to overcome were a fear of losing control of data and consistency in
maintaining the integrity of the database. These challenges were met by setting up the
joint task force to agree on standards but still allowing each organization to have their
own MLS rules which incorporate these standards and also allow for enforcement
penalties to be set by each MLS.

The benefit for members is lower costs, reduced data entry workload, and wider
distribution of listings.

(Submitted March 2002)




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