POLICY REGARDING EXAMINATION OF BOOKS AND RECORDS

Of The Galena Territory Association, Inc.

I.  It shall be the policy of the Board of Directors of The Galena Territory Association (“the GTA”) to establish the following uniform procedure for the examination of books and records of the GTA by voting members of the GTA.

II.  The examination of books and records of the GTA is subject to the Bylaws of the GTA, the Illinois General Not-for-Profit Corporation Act of 1986 and the Illinois Common Interest Community Association Act of 2010 (“the Acts”).

III. The books and records contemplated and regulated under either the terms of this policy or as regulated by the Acts as those records which meet the proper purpose requirement thereunder are as follows:

1. The General Declaration of Covenants and Restrictions of the GTA and all amendments and supplements thereto.
2. The Bylaws of the GTA as, from time to time, amended.
3. The Rules and Regulations of the GTA as, from time to time, amended.
4. The annual audit of the GTA.
5. Monthly financial records of the GTA.
6. Minutes of the regular and special meetings of the members of the GTA.
7. Minutes of the regular and special meetings of the Board of Directors of the GTA.
8. Minutes of regular and special meetings of committees having any of the authority of the Board of Directors of the GTA.
9. All maps and deeds of the GTA.
10. Such other books and records required to be made available for examination by the Acts, as, from time to time amended, not already listed above.
11.  Contracts that have been entered into by the Board of Directors of the GTA, with the exception of employment contracts with current or former employees of the GTA.
12. Detailed and accurate records in chronological order of the receipts and expenditures affecting the common areas, specifying and itemizing the maintenance and repair expenses of the common areas and any other expenses incurred, and copies of all contracts, leases, or other agreements entered into by the Board of Directors of the GTA.
13. With a written statement of proper purpose, ballots and proxies related thereto, if any, for any election held for the Board of Directors of the GTA and for any other matters voted on by the owners within the preceding one year.
14. Other such books and records as determined by the Board of Directors of the GTA as having a proper purpose for examination. The burden of proof of showing that the member has a proper purpose for examining documents is on the member, pursuant to the Illinois General Not-for-Profit Act of 1986.

IV. It shall be the further policy of the Board of Directors of the GTA that the following books and records are not open to examination; as such items do not meet the proper purpose requirement under the Illinois General Not-for-Profit Corporation Act of 1986. The Board of Directors notes that a proper purpose as contemplated by this policy is one that is related to the member's membership interest in the Association and not for commercial use or for other personal or financial gain. The following is a list of those books and records not open to examination:

1. Personnel and payroll records of the GTA.
2. Records and documents relating to contract negotiations, both before and following negotiation thereof, whether successful or unsuccessful; except as described in Section III, item 11 above, or as specifically authorized for examination by the Board of Directors.
3. Documents involving lawsuits in litigation.
4. Private letters to GTA members and other individuals.
5. All individual member account information.
6. Any minutes or records maintained of executive sessions of the Board of Directors, except as specifically authorized by the Board of Directors.
7. All records of the Security Department including, but not limited to, records, reports, communications, and other similar documents.
8. Documents supplied by individual members containing personal information not related to the business of the GTA.
9. All privileged attorney-client communications.
10. Any records which the law specifically bars the Association from disclosing.

V.  It shall, finally, be the policy of the Board of Directors of the GTA that the following procedures shall be employed regarding access to those records available for examination as identified in Section III above and any other records authorized and approved for review by the Board of Directors:

1. Any member shall apply in writing to the Board of Directors for permission to examine, identifying those particular records the member wishes to examine; and
2. The member shall state the particular purpose or reason for wanting to examine the particular record(s) identified; and
3. The Board of Directors shall review each request within 30 days and vote approval or disapproval on each request at the next regular meeting of the Board of Directors following such request; and
4. Upon approval by the Board of Directors, the member shall make an appointment with management to examine those particularly identified records with said appointment to occur during the regular business hours of the GTA; and
5. A GTA staff member shall be present during all such examinations; and
6. No original documents may be removed from the GTA office.
7. Any member so examining such records shall pay all costs of the Association necessary to provide access to such records, including, but not limited to, costs of materials and staff time.

To the extent that they are carrying out the duties and responsibilities of their offices, the directors of The Galena Territory Association are exempt from the above-mentioned policy.

APPROVED: June 26, 2004

LAST REVISED: January 29, 2011