Homeowners Association Manual

by Marc W Dunbar

Overview

Information on Single-family Subdivisions, Townhouse and Cluster Developments, Mobile Homeowners Associations, and Master Community Associations.

A homeowners association is designed to preserve the common welfare and the property values of the community. In a properly operated community, it does. In a poorly run community, it does not. The proper operating procedures are not difficult, but they are often overlooked or misunderstood. This manual provides a step-by-step explanation of the requirements for meetings, membership voting, and the necessary parliamentary procedures. It serves as a guide to help ensure that the association carries out its responsibilities fairly and effectively. You will learn:

• the concept and purpose of a homeowners association
• the rights and responsibilities of individual owners
• how to run effective meetings
• what documents you need for meetings
• the rules of procedure and proper decorum
• the role of the board of directors
• the role of committees

Product Details

ISBN-13:	9781561643134
Publisher:	Globe Pequot Publishing
Publication date:	10/01/2004
Series:	Homeowners Association Manual
Edition description:	5th Edition
Pages:	174
Product dimensions:	6.07(w) x 9.08(h) x 0.75(d)

Table of Contents

	Introduction	xi
1	Understanding the Homeowners Association Concept	1
1.1	General	1
1.2	Responsibility of the Individual Member	2
1.3	Interrelationship of the Parts	3
1.4	The Law and Legal Principles	3
1.5	The Declaration of Convenants and Restrictions	5
1.6	Articles of Incorporation	6
1.7	Bylaws of the Association	7
1.8	Rules and Regulations	8
1.9	Policy Statements and Resolutions	8
1.10	Priority and Consistency of the Documents	9
2	Membership Meetings-The Homeowners Forum	11
2.1	General	11
2.2	Annual and Regular Meetings	12
2.3	Special Meetings	12
2.4	Agenda and Order of Business	13
2.5	Conducting the Meeting	15
2.6	Reports	16
2.7	Unfinished Business	17
2.8	New Business and General Discussion	18
2.9	Adjournment	19
2.10	Minutes and Records	20
3	Documents and Organization for Membership Meetings	22
3.1	General	22
3.2	Notice and Proof of Notice for Meeting	23
3.3	Content of Meeting Notice	24
3.4	Time of Notice	25
3.5	Proxies	26
3.6	Designation of Voter	27
3.7	Check-in Procedures	28
3.8	Presiding Officer Selection	29
3.9	Pre-meeting Preparations	30
3.10	Recording and Taping Membership Meetings	31
4	Rules of Procedure and Proper Decorum	33
4.1	General	33
4.2	Meeting Organization	34
4.3	Motions and Seconds	35
4.4	Subsidiary and Incidental Motions	36
4.5	Privileged and Unclassified Motions	37
4.6	Reconsideration	38
4.7	Priority of Motions	39
4.8	Matters Out of Order	40
4.9	Waiving the Rules	41
4.10	Debate	42
4.11	Decorum	43
5	Voting and Determination of the Collective Will	45
5.1	General	45
5.2	General Consent Voting	46
5.3	Voice Votes	46
5.4	Voting by Show of Hands	46
5.5	Roll Call	47
5.6	Ballots	47
5.7	Ballot Preparation	48
5.8	Voting and the Presiding Officer	49
5.9	Determining the Results	50
5.10	Recount and Reconsideration	50
6	The Board of Directors of the Homeowners Association	52
6.1	General	52
6.2	Transition from Developer Control	53
6.3	Election and Selection	53
6.4	Eligibility	54
6.5	Term	55
6.6	Number	56
6.7	Resignation and Removal	57
6.8	Fiduciary Relationship and Responsibility	57
6.9	Indemnification	58
7	Meetings and Procedures of the Board of Directors	60
7.1	General	60
7.2	Quorum and Absent Board Members	60
7.3	Notice to Board Members	61
7.4	Notice to Association Members	62
7.5	Agenda and Meeting Procedures	62
7.6	Written Action	63
7.7	Membership Participation	64
7.8	Minutes and Records	64
8	Officers of the Association	66
8.1	General	66
8.2	Election of Officers	67
8.3	President	67
8.4	Secretary	68
8.5	Treasurer	69
8.6	Vice President	70
8.7	Registered Agent and Office	70
8.8	Other Officers	71
8.9	Scope of Authority	72
8.10	Proper Performance of Duties	72
8.11	Eligibility	73
8.12	Resignation and Removal	73
8.13	Compensation	74
9	Committees of the Association	75
9.1	General	75
9.2	Nominating Committee	76
9.3	Committee Appointments	77
9.4	Committee Authority	77
9.5	Committee Meetings and Minutes	78
9.6	Committee Reports	79
9.7	Special Councils	79
9.8	Social Clubs	80
10	Budget, Finances, and Insurance	82
10.1	General	82
10.2	General Operations	83
10.3	Capital Expenses and Deferred Maintenance	83
10.4	Developing the Proposed Budget	84
10.5	Notice and Adoption of the Budget	84
10.6	Annual Financial Report and Financial Filings	85
10.7	Funding the Budget	86
10.8	Time for Payment and Delinquency	87
10.9	Enforcement	87
10.10	Association Casualty Insurance	88
10.11	Association Liability Insurance Coverage	89
10.12	Liability Insurance and Fidelity Bonding for Officers and Directors	90
10.13	Workers' Compensation Insurance	91
11	Amending the Documents and Adopting the Rules	92
11.1	Amending the Homeowners Association Documents	92
11.2	Proposing Amendments to the Documents	93
11.3	Adopting and Recording Document Amendments	93
11.4	Amendments to the Articles of Incorporation	94
11.5	Modification to the Common Property and Common Expense Responsibilities of Owners	94
11.6	Authority and Scope of Rules	95
11.7	Adopting and Amending Rules	95
12	Enforcing the Documents and Preserving the Community Concept	97
12.1	Covenants	97
12.2	Covenants for Operation and Maintenance	98
12.3	Preserving the Residential Community Concept	98
12.4	Violation and Uniform Enforcement	99
12.5	Authority to Exercise Architectural Control	99
12.6	Age and Occupancy Restrictions	100
12.7	Fines and Penalties	101
12.8	Formal Judicial Action	102
13	Rights and Responsibilities of Individual Owners	103
13.1	General	103
13.2	Use of the Common Area	104
13.3	Guests and Tenants of a Parcel Owner	105
13.4	Membership and Voting Rights in the Association	105
13.5	Participation in Association Affairs	106
13.6	Access to Association Records	106
13.7	Financial Obligations	107
13.8	Sale and Transfer of the Parcel	108
14	Style and Format for Association Forms and Documents	109
14.1	Membership Meeting Forms
Form 14.1-1	Notice of Members' Meeting	111
Form 14.1-2	Proof of Notice Affidavit	112
Form 14.1-3	Agenda for Members' Meeting	113
Form 14.1-4	General Proxy	114
Form 14.1-5	Limited Proxy	115
Form 14.1-6	Voting Certificate	116
Form 14.1-7	Ballot for Board Election	117
14.2	Membership Meeting Sample Documents
Form 14.2-1	Pre-meeting Checklist	118
Form 14.2-2	Chairman's Meeting Guide	119
Form 14.2-3	Sample Motions	122
Form 14.2-4	Minutes of Membership Meeting	125
Form 14.2-5	Roster of Association Members	128
14.3	Board of Directors Meeting Forms
Form 14.3-1	Notice to Board Members	129
Form 14.3-2	Notice to Association Members	130
Form 14.3-3	Waiver of Notice by Directors	131
Form 14.3-4	Agenda of Board Meeting	132
14.4	Board of Directors Sample Documents
Form 14.4-1	Minutes of Board Meeting	133
Form 14.4-2	Written Action by Board Members	135
Form 14.4-3	Resolution of Procedure	136
Form 14.4-4	Policy Statement	137
14.5	Committee Resolutions and Reports
Form 14.5-1	Resolution Creating Committee	138
Form 14.5-2	Declaration Creating Committee	139
Form 14.5-3	Nominating Committee Report	140
Form 14.5-4	Committee Report	141
14.6	Budget and Finance Forms
Form 14.6-1	Budget	142
Form 14.6-2	Annual Financial Report	144
Form 14.6-3	Claim of Lien	146
Form 14.6-4	Satisfaction of Lien	147
	Index	149