$7,500 assessment

The president - as one person - could not have "decided" to assess the members without the support of the board - and I wonder if the membership had to agree to this too.

Were there meetings about this assessment and its need/

This sounds like a LOT of information is missing and I would encourage you to fill in the gaps.

WHAT is being funded?
Is there are Reserve Fund?

Are you saying 51% of registered Homeowner's voted in favor of this assessment? Is 51% the requirement by your CC&R's. Typically, at least in CA, anything I think over 5% of the annual budget for an assessment must be approved by 51% of the registered owners or it is declined. Doesn't matter what the Board votes. This means 18 units had to approve the vote for your complex. Was their a secret ballot process, a meeting held to discuss before mailing out the ballots, etc... If not you may want to challenge the legality of the assessment. Otherwise you are on the hook. I also wonder where your dues are going, that seems kinda of high and not having a reserve fund.

Eddie,

So you do not have Reserve Funds set up for any capital replacement or repairs?

What "refurbishments are going to be done? Did you get a breakdown? Why does it all have to be done at once.

How much is your total, annual budget? Below, this Statute part gives limits to any special assessments so do some math and let us know if the special assessment goes beyond Statute limits.

This is from the Statute 720 308 (3)

"(3) MAXIMUM LEVEL OF ASSESSMENTS.—The stated dollar amount of the guarantee shall be an exact dollar amount for each parcel identified in the declaration. Regardless of the stated dollar amount of the guarantee, assessments charged to a member shall not exceed the maximum obligation of the member based on the total amount of the adopted budget and the member’s proportionate share of the expenses as described in the governing documents.

Eddie,

That paragraph Donna provided basically says that the assessment must equal expenses and be divided up equally in the membership. They can't pad the amount required just to get extra money.

For Special Assessments:

Cost of Project divided by number of lots = each lot's share of special assessment

For Annual Assessments:

Cost of Expenses (budget) + Annual amount needed for Reserves + Annual amount for contingency
divided by number of lots = each lots annual assessment

Note: Contingencies are funds set aside to cover unexpected repairs or expenses that exceed budgeted amount. It is also used to cover expenses while waiting for assessment payments. Each Association should establish an amount they believe is required for contingencies. I've heard that a good rule of thumb is 1/12 the annual assessment.

Note: Reserves are funds set aside to cover expected repairs, maintenance and replacements of common area capital components (roads, playgrounds, roofs (if required), sidewalks, etc.). The amount needed to be set aside should be established by the Board based on a reserve study.

Tim

Eddie:

How long have you lived on this property?

Do they have monthly board meetings? If so do you attend?

For the posts you have made it seems you lack any of the important information regarding this assessment along with the necessary doucements to naswer your question.

Let me just ask a few things and offer my opinion.

Do you know how many units are no longer playing CCs?
And how long has this been a problem?

You suggest several times the President is behind all of this and is using the poor economy to her advantage. Is trhat based on anything since you then made clear the entire board supports this action.

I would guess as unit owners, unless your property is unlike most, the members of the board will be required to pay the same amount. How then is that to someones advantage?

And just doing the basis math you have 34 units each to pay $7,500 IF ( and my guess this will not happen) everyone were to pay you raise $255,000 now that might sound like lots of money but my guess you won't collect it all and what's left won't be a windfall.

You don' know whether there is a reserve. You don't know what these funds when collected are to be used for. IMO rather than asking what options you have perhaps you should be asking how did this happen.

When some don't pay others might be forced to carry those shortfalls. And rather than assume the President or the entire board is acting in some reckless manner perhaps this is what's neeeded to keep the property afloat.

One last thing you mentioned this was putting one half the property against the other half. Was the one half that pays their dues versus the other half that can't be bothered?

Once you don't pay dues you should not have a say. Once you fall into foreclousure your vote shouldn't count. Why then would I bother to care what those not paying have to say.

One last question when the vote was taken what was your vote? And if you voted against this what did you base your vote on understanding you have little knowledge of the circumstances involved.

To answer some questions while I'm still gathering docs:

The property has been in my family since the conplex was built in 89.

Currently, only 2 units are not paying their monthly dues, but more are expected to start not paying their dues because of this assessment. I don't want our community to fall apart. This could have waited another year or so or assess something smaller to address any major issues if any.

Actually 3 out of the 5 board members support the president's cause. The complex is very much split and there are some elderly people who don't want to get involved even though they are against the assessment as they are on a fixed income.

It is to the president's advantage as more of the work will be done to their places. She claims they were not built properly and spent already a lot of money on consultants, engineers and lawyers.

I did find out that these is a reserve of $22,500

I clearly voted against the project and would have preferred something smaller in scale if anything. Now is not the time to be assessing homeowners with a 7,500 assessment. Our property is not falling apart by any means. And the common areas that do need work such as the pool area, dock and front gate will not be addressed. Which leads me to believe that another assessment may follow this one soon.

I'm still gathering more information.

Eddie:

As you get the needed information the picture starts to get clear.

A reserve of just $22,000 on a property which is 22 years old is not a lot of money in my opinion.

What I would like to know leading up to this vote was the assessment explained? Were there details provided? How was the $7,500 figure arrived at?

Has this money been spent?
Have contracts been signed for work to be performed?

And the part about the building were not constructed properly who determined that?

I would ask in detail what this money is to be used for. I would have asked this before the vote in fact.

I would ask what is plan B when they fail to collect the full amount? Foreclose on owners? Many people can't pul together $7,500. Hvae they considered the legal costs of collection?

When is you next meeting? Do you attend these meetings? If not I would start.