A board of directors shall govern the district corporation. Subject to paragraphs (2) and (3) of this subsection: except as provided in item (ii) of this paragraph, the board of a district corporation consists of at least 11 members; or the governing body of the county or a municipal corporation in the county in which a district is established may determine a different number of members for the board if the district is connected with a business improvement district in another county, state, or in the District of Columbia. Subject to paragraph (3) of this subsection, appointment procedures shall be provided in the local law establishing the district. Owners of nonexempt property shall elect owner members. Commercial tenants shall elect commercial tenant members in accordance with an election process that is established by the governing body of the county or a municipal corporation in the county in which the district is located. To the extent practicable, the election process shall reflect the diversity of businesses and other organizations in the district. From among its members, the board shall elect a chair and other officers. A majority of the voting members of the board is a quorum. The board may act on a resolution only by the affirmative vote of a majority of the voting members. A member of the board: may not receive compensation as a member of the board; but shall be reimbursed for expenses incurred in performing the member’s duties. The board shall exercise its powers by resolution. The board shall file an annual report with the governing body of the county or a municipal corporation in the county that includes: a financial statement for the preceding year; a proposed operating budget for the current fiscal year; any proposed revisions to the business plan; and a narrative statement or chart showing the results of operations in comparison to stated goals and objectives.