Rent Real EstateAsk the HOA Expert
Question: Our developer still controls the HOA and wrote provisions in the governing documents which allow him to not pay monthly fees on undeveloped lots until houses are built, sold and closed. Because of this, the clubhouse and pool does not have adequate money to operate. The developer is loaning us money to make up the shortfall without our approval. It seems like the developer should contribute money or pay dues on the undeveloped lots to help cover these expenses…at least until there are enough homes to cover the costs. What do you think?
Answer: Running a clubhouse and pool operation is predicated on a certain number of owners contributing to the operation. If there aren"t yet enough paying members to pay for it, it should remain closed. But for sales purposes, the developer wants the clubhouse and pool to be operational. If the operation benefits the developer too, (and it does) he should pay his share of the costs.
The developer doesn’t have the right to loan money to the HOA without member approval. If he set up the documents in such a way to allow him to skate on paying his share, he should not now try to foist operation costs to a minority of owners. Either the facilities should remain closed or the developer should pay his share of the expenses during the sales phase.
Question: We are an age restricted retirement homeowner association. A prospective buyer inquired about handicap access. All of our facilities are handicap ready except for our swimming pool. Is there any requirement that we have our pool accessible to the handicapped?
Answer: Homeowner associations are not required to provide handicap access, just to make "reasonable accommodations" for those residents that require such. That means if a resident requires a ramp to a unit entry, the Board should approve the installation with the resident paying for it. The Board can, however, require reasonable aesthetic considerations be included with such installations. Reassigning parking places (if owned by the HOA), is another reasonable accommodation.
Modifying a pool wouldn"t be cheap and it"s unlikely that the resident would want to pay for it. But there is nothing wrong with an owner developing the costs and specifications to do it and then gathering signatures from owners who are in favor of spending the money. If the required majority endorse the idea, why not do it?
Question: Our HOA is trying to get on track after years of self management and neglect. Lots of people were well intended but hadn’t a clue of what being a board member really meant. Any advice on getting pointed in the right direction?
Answer: One of the first things to get done is a reserve study so that the scope and cost of your current and future repairs can be fully understood. (See Regenesis.net "Reserve Planning" for more on this subject.) Consider hiring a homeowner association management company to handle your business. There is simply too much going for most unpaid volunteers, even if they have the best of intentions. And no one should have to enforce rules on or collect money from their neighbors. (See Regenesis.net "Manager Issues" for things to consider when hiring a professional manager).
Above all, be patient but persistent. Change comes slowly to some. Years of management by neglect is a hard mind set to change. Encourage more flexible minds to run for the Board.
Question: We have a homeowner that has boxes and papers stacked against her patio door and windows. They are very unsightly from the outside and mildewed which is a health concern for the neighbors. It also poses a possible fire hazard. Can the Board require a homeowner to clean up the inside of their unit?
Answer: The Board indeed can require clean up of a unit or home that is a health, fire or safety hazard. Ask the adjacent neighbors to first broach the subject with the offender. If this doesn’t prompt action, ask them to write the Board a letter describing the problem and what they tried to do about it.
With those letters, the Board can turn up the heat by giving the offender a ten day deadline to clean up. After ten days, say “other legal remedies will be explored if necessary”. This usually will do the trick. If not, call the Fire and Health Departments and ask them to do an inspection. If all else fails, get the HOA lawyer involved. One way or another, the easy or the hard way, the job will get done.
For more Ask the HOA Expert Q&A, see Regenesis.net.