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SarahE (Arizona)
Posts: 3
Posted:
In reviewing our HOA 2006 year end financial report we noted $640 was recorded for the filing of liens against homeowners who are delinquent in the payment of their dues. (We are a small association with 130 homes; each filing fee with the County Recorder is only $10.)

We checked the County Recorder's website and find that no liens have been filed since 2002.

We asked the Treasurer (who forwarded our request to the President)if we could view the filed liens. Our intent was not to learn the names of the liened homeowners, but merely to assure ourselves as to whether or not the liens were filed.

We have been met with rude refusals saying it is none of our business. We have been asked why we want to see the liens. So far we have not stated that we are concerned about the fact that monies were paid for filings and no filings were made. We have tried so far to take the tact that we just want to view them. We do not want to make any accusations until we have uncontrovertible proof.

The ByLaws state that all records of the HOA are to be made available to a member who requests such a viewing at a reasonable time.

Our HOA does not keep records in proper order or form. Annual elections are scheduled for next month and several of us are considering running for office. We realize making a difference may be an almost impossible goal but we can at least clean up the organizational record keeping.

Any suggestions on our situation and how we should proceed? Thank you all.
RogerB (Colorado)
Posts: 5,067
Posted:
Sarah, it is reasonable to require a reason for requesting to view these documents. Why not simply state "I saw the cost of $640 for filing liens and want to know what this cost included"? The cost of filing probably includes more than just the County's fee per page. Attorney fees and/or managing agent fees may also be involved. For example we charge $100 which includes all costs to file a Notice of Lien and later a Release of Lein.
SarahE (Arizona)
Posts: 3
Posted:
Thank you for your good reply.

Our association doesn't have a management company and there were no funds paid out to lawyers, thus raising our question.
HaroldS (Arizona)
Posts: 906
Posted:
If your county filing fee is $10 and your board did the filing, that would be 64 liens filed against your 130 homes - an outrageous amount. However, if an attorney was involved, that could be as little as one lien filed. Is the county up to date on posting?
That same year end statement should show dues income. How does that compute against your yearly fee times 130 homes? If that many homes are delinquent, that would have an impact on your revenue income.
Check your state laws about disclosure. Some states, including Arizona, do not require a board to give out personal information and/or pending litigation (Does anyone know - can filing a lien be considered the first step toward pending litigation?) To support that line item expense, they should be able to tell you X number of liens have been filed without giving out personal information.
By all means, get involved and organized to change the board. Harold
RonaldW (South Carolina)
Posts: 901
Posted:
Posted By RogerB on 01/12/2007 9:11 AM

Sarah, it is reasonable to require a reason for requesting to view these documents. Why not simply state "I saw the cost of $640 for filing liens and want to know what this cost included"?


I agree with Roger on this.

Hint: When asking (and this applies to more than just HOA boards), include you reason with the initial request. The board (in this case) has already told you "no", now it's awkward for them to change their mind and provide the information. If you had given a reason the first time you asked, the board would have likely said (to each other) "we can't refuse this request, she has the right to an answer."


Ron
SC
SarahE (Arizona)
Posts: 3
Posted:
Harold, Roger, Ron - your responses are most helpful.

In retrospect you are so right we should have just stated our intention from the beginning. We were trying to avoid conflict or a perceived allegation with an already annoyed Board.

BrianB (California)
Posts: 2,820
Posted:
Just a note: Recording a lien may be $10. Filing charges may or may not be included. There may also be a charge for the time used: travel cost to the courthouse, cost for the forms, notary signatures, etc.. $640 is more than I spend to file a lien, but I can rack up the charges a bit with legitimate expenses from $10.

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