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Housing - 2005-04 - Amending Section 5.4 of the Corporation BylawsROSEMEAD HOUSING DEVELOPMENT CORPORATION RESOLUTION NO. 2005-4 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ROSEMEAD HOUSING DEVELOPMENT CORPORATION AMENDING SECTION 5.4 OF THE CORPORATION BYLAWS WHEREAS: California Corporations Code Section § 5151(c)(3) authorizes a non-profit corporation to make provision for the compensation of directors in the corporate bylaws. NOW, THEREFORE, the Board of Directors of the Rosemead Housing Development Corporation does hereby resolve as follows: Section 1: Section 5.4 of Article 5 of the Bylaws of the Rosemead Housing Development Corporation is amended to read as follows: 5.4 Compensation and Reimbursement of Directors. The directors shall receive monthly compensation of one hundred fifty dollars ($150.00) per month. The directors shall additionally be compensated for their expenditures of monies on behalf of the corporation. Section 2. This resolution shall take effect January 1, 2006. Section 3. The Secretary shall certify to the adoption of this Resolution. PASSED, APPROVED and ADOPTED this day of 2005. J aVrn6eri&,--d hai a on ATTEST: Nina Castruita, Secretary • TO: HONORABLE PRESIDENT AND MEMBERS ROSEMEAD HOUSING DEVELOPMENT CORPORATION FROM: PETER WALLIN, CITY ATTORNEY DATE: DECEMBER 20, 2005 RE: RESOLUTION No. 2005-04 - A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ROSEMEAD HOUSING DEVELOPMENT CORPORATION AMENDING SECTION 5.4 OF THE CORPORATION BYLAWS AB 11, effective January 1, 2006, provides that the compensation received by Councilmembers for serving on the City Council also constitutes compensation for serving on related boards and commissions; and that no additional compensation can be received unless it is specifically authorized by another statute. If that statute fails to specify compensation, the maximum amount of compensation for serving on the board or commission is $150 per month. By virtue of AB 11, Councilmember's' compensation for serving on the CDC will be reduced from $1,200.00 per month to $75.00 per meeting effective January 1, 2006. To provide some relief from this salary cut it is recommended that the Rosemead Housing Development Corporation begin paying compensation for service on the board. California Corporations Code §5151(c)(3) provides that the By-Laws of a nonprofit Corporation may contain any provision, not in conflict with law, for the management of the corporation's activities, including the qualifications, duties and compensation of directors. This specific statutory authorization would allow board members to be paid up to $150/month compensation. Resolution 2005-4 amends the Corporation's By-Laws to provide $150 per month compensation to board members. RECOMMENDATION That the Board of Directors adopt Resolution 2005-4. HOUSING AGENDA DEC 2 7 2005 ITEM No.