As with all associations, expenses go up each year as reflected in the annual budget. First and foremost, these expense increases should always be offset by matching assessment increases. The reasoning being, that these gradual yearly assessment increases are viewed much more favorably by the membership, than an extreme increase down the road. When these…
Without a doubt, a small book could be written just on the utilization of proxies for a homeowner association annual meeting. On Amazon, there is a book on the use of proxies for annual meetings of businesses, or more precisely, profit corporations. However, there are no specific books for the use of proxies and homeowner…
Transcribing Minutes should be transcribed as soon as possible after the board of directors’ meeting. This improves accuracy and makes compiling the minutes much more efficient. Review the notes and agenda. Make concise adjustments where needed. It is acceptable to clarify points by adding additional information. Once transcribed, double-check notes about decisions made, the motions,…
The board meeting minutes are a written record of the board meeting of the homeowner association board of directors. Meeting minutes are essentially the formal summary of what transpired during a board of directors meeting. Meeting minutes are typically recorded and maintained by the board secretary. The board secretary is the designated custodian of the…
Issues can sometimes arise when homeowner association boards of directors implement resolutions, procedures, and rules and regulations that are in addition to what is mandated by their declaration of covenants, bylaws, or articles of incorporation. These implementations, or subsidiary documents, can also be in addition to established state statutes. These subsidiary documents typically originate due…
Continued from Part One Request for admissions Or a request to admit, are written statements sent from one litigating party to another litigating party to seek either an admission or denial on a specific claim of the lawsuit. A request for admissions, while similar to interrogatories, is different in purpose. This difference is that each…
Most homeowner associations (HOAs) seldom become involved in litigation other than collection-related litigation involving delinquent members. However, it is beneficial for the board of directors to have an understanding of certain aspects of this legal process. The discovery phase or simply discovery is one major aspect of civil litigation. Discovery can be one of the…
Minutes must be taken in executive session if actions are taken. It is preferable for the board secretary to keep a completely different set of minutes for the executive session. Executive session minutes should be approved in the executive session of the next board of directors meeting. If one set of meeting minutes are compiled…
A common misconception with a few homeowner association (HOA) members is that there is something improper or something is being done improperly when the board of directors enters into executive session. A common question is why would anything have to be secret and kept from the homeowners? This misconception is not just held by some…
There are typically four categories of resolutions for a homeowner association (HOA): Policy: Policy resolutions address member’s rights and duties. For example, rules for the use of common areas and amenities. Architectural guidelines and enforcement procedures would be another example. However, issues such as these in the majority of cases are best addressed with amendments…