Question: I need information on HOA policies and procedures with regards to fining. Can you help me?
Answer: Generally, the board has the authority to enact reasonable rules and enforcement procedures. They should include:
- Clearly definition of the issue (parking, pets, failure to pay HOA fees)
- Consequences for failing to obey like fines or curtailing use of amenities
- Appeal process
Fines need to be reasonable. Any rule or resolution that is contemplated by the board should be reviewed by an attorney that specializes in HOA law in your state for compliance with your governing documents, state and federal law. There a number of sample rules at www.Regenesis.net in the Policies section.
Question: Our board likes to do a lot of business by email so now revising minutes is being done by email. By the time the minutes get back to me (board secretary) they have been rewritten by various board members to change wording or to add items not discussed. The president is the worst offender. My understanding is that minutes are taken and prepared by the secretary. Then, corrections and additions are to happen at the next board meeting. Is this correct?
Answer: Minutes should be revised only at a board meeting, not by way of an email circuit. Of course, as secretary, you need to make sure you are taking complete and accurate minutes. There are some things that belong and others that don't. Minutes should record board actions, not discussions. There are many meeting minutes articles at www.Regenesis.net in the Article Archive in the Meeting and Ask the HOA Expert sections.
Question: Our board has taken to publishing names of delinquent members in the HOA newsletter and board meeting minutes. Is this advisable?
Answer: There are many reasons why members don’t pay their fees and the solution varies: Millie is on disability, Joe’s Social Security is inadequate, Mary just lost her job, Bill declared bankruptcy, Gertrude has been trying to sell her condo for two years and Arnold is withholding payment until repairs get done on his unit.
What happens if the collection information the board posts is not correct? This kind of misinformation libels someone who may sue for defamation of character.
Your board is ill advised to pursue this collection tactic. It's totally unnecessary and mean spirited. With a properly designed and enforced Collection Policy, there are effective ways for the HOA to get the job done without humiliation. There is a sample Collection Policy at www.Regenesis.net in the Policy Samples section.
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Published: October 26, 2011
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Richard Thompson owns Regenesis, a management consulting company that specializes in condominium and homeowner associations. He is a nationally recognized expert on HOA management issues.Regenesis publishes The Regenesis Report, a monthly newsletter for HOA boards, developers and managers. To subscribe, go to Regenesis.net. He can be contacted by email at . |