CONCERNING THE CAA LETTER & BILL

To: All Members of ACTION

On or about July 12, 2002, most members of the ACTION Apartment Association received a letter and a bill from the California Apartment Association. I received one as well. It is my intention to ignore the bill because it is not accurate. You should be advised as follows:

The Board of Directors of ACTION unanimously decided to sever our interests with the California Apartment Association because the amount of money that the California Apartment Association requires, which is a charge to each member of ACTION, was not economically viable in relation to the services received. Specifically, the California Apartment Association is not involved with the facts and circumstances of the City of Santa Monica, and we obtain from other sources the information that we receive concerning legislative updates. We have chosen to take a different path than the California Apartment Association and are no longer affiliated with the statewide organization.

It is true that the California Apartment Association recently formed a Los Angeles Chapter. However, they only have a phone machine, not a live person to answer any questions and again their concern is a statewide concern mainly representing large property owners and not the small apartment owners that comprise the majority of owners in Santa Monica. It is also true that when we originally joined the California Apartment Association there were at least twenty-five thousand members. Now there are less than ten thousand members as ten other Chapters have dropped out. In fact, there is at present no Chapter from Southern California in the CAA. Should you desire to become a member of CAA and pay $230 as requested you can do so, but the Board of Directors is not endorsing the charge nor are you obligated to pay it.

ACTION has been in existence long before we ever joined CAA and we will continue to be in existence for quite some time with a monthly magazine, monthly meetings, and a well-staffed office to answer your questions. We will also continue prosecuting lawsuits on behalf of our members.

We truly hope that the letter from CAA is not misleading and that this clarifies any possible confusion generated by the CAA letter and its request for money.

Yours very truly,
Gordon P. Gitlen, President