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DeanaD (New Jersey)
Posts: 3
Posted:
Our Board has been speaking about this for many years because some of the townhomes are rented. Majority of the homeowners feel that a Board Member should reside in the community and not be a landlord. What are other associations positions on this?
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By DeanaD on 09/13/2011 10:17 AM
Our Board has been speaking about this for many years because some of the townhomes are rented. Majority of the homeowners feel that a Board Member should reside in the community and not be a landlord. What are other associations positions on this?

If the majority of the homeowners feel that way, then why did they elect this person to the board? If the majority of the homeowners feel the person who is not a resident should not be on the board, then don't elect or re-elect this person.

If you are still under developer control, then you likely don't have much choice in the matter anyway.
DeanaD (New Jersey)
Posts: 3
Posted:
Apologies if confusing.....the homeowner does not live in our community. He is the landlord. He ran during the last election and lost but it has caused an issue within our community. I am presuming he will run again because his reasons are self serving. Just interested if any other HOA has had this issue.
PetunkaM (Florida)
Posts: 1,009
Posted:
Deana,

If your By-laws state that any member can run you cannot prevent him from running regardless where he lives. But, you do not have to elect him.
Usually, there are other problems with absentee owners serving on the Board. If they live far away they cannot fully participate and/or attend meetings. And, investors, who do not reside in a community may have opposing views on improving the property, for instance.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
The HOA is for the actual homeowners only. (There are other HOA's this isn't a requirement). I say as long as they OWN a property and are NOT the renter/tenant, they have every right to run and be elected to the board. If you don't like it, then don't vote for them to be on the board the next election cycle. Being on the property doesn't make a difference as long as you have an interest in the property.

Former HOA President
JohnM48 (Pennsylvania)
Posts: 89
Posted:
Unfortunately, our docs allow for anyone to be a board member. We have one non-resident, non-owner on the board. This individual was not elected, but rather appointed by the board to fill a vacated board post (as per our docs).

This has caused quite a stir among our homeowners - myself included until I met the guy and discussed his motives & involvement. Although I've come to like the guy and appreciate his input, the issue is one of involvement - he's never around except on meeting nights.

In our case, the guy in question recognizes the problems his seat on the board is causing and will be voluntarily stepping down in the near future.

In the next review of our docs, I'll be proposing that we change this provision.

Association President
MelissaP1 (Alabama)
Posts: 13,836
Posted:
I think this rule is confusing to some when interpreted. It would seem that anybody with an interest to be on the board of a HOA can run and be elected. Which to me translates that someone walking down the sidewalk could decide they want to come in and run for a HOA position. That is why I think this rule is mis-intrepreted.

What I believe the true intent of such a rule came from the old developer paperwork. When the HOA is developer controlled, they could have non-members on their boards. That is because they may want to use an associate in their company, a realtor, or other business interest source to be on the board. When the HOA's is turned over to the members, they haven't done much in the way of changing those documents. Most use the same documents or modify the existing ones with just removing the developer references. This is where this rule may be overlooked.

HOA means "Homeowners Association" by default. That means that it is the home OWNERS that are members in an association to upkeep and manage their property/home values. It doesn't make sense to allow someone from "off the street" or a Renter to be part of the HOA. They really don't have an interest overall. Plus these people don't pay the dues or are bound by the legal contract to be a member. (CC&R's).

I would say the translation of such rules about not being a member is leftovers from the former developer or they were adapted with the intent of allowing long-term tenants of absentee landlords to participate. Those are the only 2 reasons why I would see a non-member being allowed on the HOA BOARD. A renter can be on a committee but not on a board postion in my opinion. There's barely enough volunteers as it is and not going to begrudge a good tenant some kind of oportunity.

Review and update your documents is a good idea to do every 5 years or so. Technology changes and things need updated. It's a good time to review and form a committee to get into making changes.

Former HOA President
TimB4 (Tennessee)
Posts: 21,059
Posted:
Dean,

If there are no qualifications that have to be met to serve on the board (member, resident, current on assessments, etc.) then there is nothing that prevents anyone from being a candidate for election or from being appointed to the Board.

To correct this, the membership needs to amend it's bylaws, or CC&Rs, and specify what the minimum qualifications to serve on the board would be.

My Association doesn't have any restrictions. This of course means you could be elected or appointed to serve on our Board. I had tried circulating a petition to place requirements that a Director needed to be a member of the Association but didn't get the support needed. The main reason given to me for lack of support was that many couples only have one person on the deed. Per our governing documents, a member is the owner listed on the deed. Therefore, a requirement that only members may serve would prevent many spouses, significant others, adult children living at home, etc., from serving.

Basically, the more qualifications you have the smaller the pool of volunteers available to serve.

Tim
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By DeanaD on 09/13/2011 10:29 AM
Apologies if confusing.....the homeowner does not live in our community. He is the landlord. He ran during the last election and lost but it has caused an issue within our community.

Why has this caused an issue?

If the majority of the homeowners do not want to elect someone to the board who does not reside in the community, that's their right. The fact that there are other homeowners who are unhappy with the result is too bad. If the non-resident homeowner who didn't get elected is unhappy, too bad. They all have to live with it. People may not be happy with election results at any level, be it national, state, or local. But that's what majority rule is all about.

PetunkaM (Florida)
Posts: 1,009
Posted:
In the next review of our docs, I'll be proposing that we change this provision. (John)

John,

Are the qualifications for Board members stated in your By-laws or the Articles of Incorporation or, both?
BradP (Kansas)
Posts: 2,640
Posted:
Deana:

to your question, if he owns the property he has a right to be a board member whether he resides there or not. I guess you could enact a bylaw or covenant that the board members have to reside in the lot they own within the community, that would be a question for a lawyer on legalities...

As for the other discussion, our documents allow non-members to be board members. If it is an issue within a community simple change your documents or don't vote for non-members.
JohnM48 (Pennsylvania)
Posts: 89
Posted:
Quote:
Posted By PetunkaM on 09/13/2011 2:54 PM
In the next review of our docs, I'll be proposing that we change this provision. (John)

John,

Are the qualifications for Board members stated in your By-laws or the Articles of Incorporation or, both?

Petunka,

Our by-laws state that a BoD member does not have to be a member of the association - a leftover from the developer's days. No actual qualifications are mentioned.

Association President
MelissaP4 (Texas)
Posts: 1
Posted:
Oh my gosh!..........that is BS!
You at least have to be an owner of a unit (whether, you live there or not,ie: Rent it Out). I would definitely get that changed right away........our contract states that you have to have 50% live vote, not thru proxy, but show up to the vote in person in order to change any regulations to the HOA Agreement.........THAT IS THE HARD PART, GETTING 50% INTERESTED, WHEN YOU ONLY HAVE DOOR TO DOOR ACCESS TO THE HOMEOWNERS ACTUALLY LIVING IN THEIR PURCHASED UNIT.

I live in a townhome community in Central Texas.
JohnM48 (Pennsylvania)
Posts: 89
Posted:
It sure is Melissa. Thankfully, we can accept proxy voting. Our members are very unhappy about that clause, and very vocal about it. I expect that we'll have little problem getting that off the books.

Association President

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