Mini govornment vs. service based business

I am a member of our community BOD. I am also the owner of a service based business. Prior to my involvement with our HOA I have never served in a similar capacity elsewhare. One thing that I have noticed, and do not like about our HOA is the mindset of Mini-govornment. While we are structured similar to, and our meetings are run modeled after the govornment, we are not a govornmental agency. I have noticed that some members get elected to a directors position, and proceed as though they have been flown to Washington D.C. Because our structure is so govornment like, and we do have certian power over the people it is easy to proceede as though one has been elected to the senate, but HOA is not govonrnment. HOA is all about community development on a neighborhood level. I would like to plant a seed here in the minds of whom so ever will consider this... We are NOT govornment we ARE a service based business. We accept a fee (dues) and provide services to the customer (members) if our fee does not represent a good value to our customer base, our business (HOA) will no doubt experience troubles with the customer. In my experience as an owner of a service based business, if you provide your customers with $49 worth of service and charge $50 you will have a unhappy, and inconsistant customer base. Whareas if you charged $49 for service and provide $50 worth of services the customers roll on in. People love a good value.
I would encourage other BOD members to consider ways to make the dues collected by the comminity represent an excellent value to the members. Dont look at your board as mini govt. change the minset to a service based approach. Homeowners in many communities can be counted on to come out of the woodwork to complain to high heaven every year when the dues go up 5% I believe that this primarily due to the customers perception that he/she is not recieving a good value on the monies spent. People love to spend money......if they percieve the expense as a good deal. Under the mini-gvt. mindset the obligation to provide this kind of good deal and value is often time overlooked.

John, I realize the point you are making but do not agree with your comments. An HOA Board is a governing body only on a smaller scale than the federal, state, county and city governing bodies. I agree that an HOA should also be run with the attitude of providing services but so should all governing bodies. The Board members I know serve because they want to help their neighborhood. They spend many hours with not pay. They provide $1000's worth of service for $0.00 but the members still don't show up for meetings.

Those who complain do not volunteer; rather they complain and will do so when they are recieving a good value for their money. An HOA will not please all the members all the time; no matter how much they try and the amount of the benefits the complainers receive.

John, I agree that many, possibly most, members have no idea of where the money goes and think they're paying too much.

We've spent the last 6 months working on updating and repairing all of our community property. More work is scheduled. Now we're beginning to focus on the CC&R's, the portion that we're responsibile for. Our master asc takes care of all but the
no-street parking issues.

The no parking apparently had not been enforced for a long time. I've been on the board for 1 year and 4 months, was elected pres in October, and my goal, which the other board members support, is to bring our community back into top shape.

Some of our streets are very narrow and we have people parking on both sides of the street with one wheel on the sidewalk. We have to maintain all our streets and sidewalks. This parking situation makes it difficult to drive down the street, and would be very difficult for a large fire truck or other emergency vehicle to pass.

Letters went out to violators from our MC. Many complied immediately, but a few are attacking. I respond with a personal note when they email attacking the MC. I very politely explain to them that our duty is to enforce the covenants evenly and fairly.

One response was that they had been there for 10 years and the no parking was never enforced, so why now. (I know from an original board member that they were enforced at one time.) This person also asked why we aren't taking care of our delapidated docks, and why are the parks so bad, and what is happening with our dues money.

There is a parking island 1/2 block from this resident, with plenty of spaces. The resident has 6 cars with a 2 car garage. They park 3 in front of their house and one across the street in front of a neighbor. (That neighbor was sent a violation letter and he informed us who owned the car. He said he didn't appreciate the neighbors parking in front of his house but was afraid to complain.) Cars may be kept in the driveway, garage, or the parking islands.

She said that they didn't want to park in the island in the cul-de-sac due to being afraid of vandalism. (No vandalism has occured in any of our cul-de-sac parking areas in at least 3 years and we are a gated community. We have had 2 cars stolen from driveways, and 3 vandalized in driveways.

She said that she would park on her grass if we thought that was more aesthetically appealing than seeing cars on the street.

I responded that the number of cars they have is their choice, and there is an area available for them to park off the street. That it was my fiduciary duty to enforce the CC&R's throughout the community.

I reminded her that our newsletters for the past 5 months have kept people informed that the dock replacement was out for bid, and finally that they were scheduled for replacement in Feb 2007. I had to remind her that all of our parks were over seeded this year and the grass is very green. 34 of the trees in the parks were trimmed in January, and the gates in the park were repaired and fitted with new combination locks, and the fences were scheduled to be painted within 2 weeks.

She was told that on the web site, which we promote in each news letter, has a detailed list of scheduled work, and completed work, in addition to a 2006 2007 maintenance plan. That she could read the minutes of the board meetings, and see the financial statement there. And if she needed a full financial report she could obtain that from the MC.

Then I invited her to attend our board meetings, and to work on committees to do her part to helping the community.

I'm expecting that at least 4 homeowners, the worst offendors, will come to the next board meeting, and I'll be prepared for them.

At the beginning of the meeting I introduce the board and inform the members present that they will have an opportunity to speak immediately before we vote on any issue pertaining to the community. Then after the new business portion they can address the board in a 20 minute homeowner forum. We hold that last because many times their questions are answered during the business section, so it saves time, and we let them know why it's last.

We'll ask how many wish to speak on parking. Then we'll give each family (in the case of both husband and wife attending) 5 minutes uninterruped to speak. And on to the next speaker. After they speak, I'll ask each board member in turn if they wish to speak on the subject. One board member received a violation letter and is graciously making alternate plans to get his cars off the street. (Only the first "friendly letter" has been sent. After 14 days we will send a notice of "intent to fine" if the violation is not cured in 14 days.)

Then lastly I'll inform them that this covenant is there for safety and for the aesthetics that the developer planned for the community, and that all who move into the community expect the board to protect. I'll tell them that we cannot change that covenant, however, we can grant an additional amount of time for them to make other parking plans, after which the fines will start.

Then I'll offer them the opportunity to amend the covenant. Our duty is to do what a 75% majority of the community desires (because it takes a 75% majority to amend our declaration.) They can write a petition to ask the board to amend the covenant and obtain signatures of 75% of the community. If they accomplish that, we'll write the amendment and schedule a special meeting for the community to vote on that amendment. If the amendment gets passed. then we'll know that the required majority of the community wants a change and we'll get an attorney to make the amendment.

With about 70% of the community parking off the street, and many of them complaining about the others blocking the streets and parking in front of their house, they will not get the required 75% to achieve an amendment.

The problems are that many people don't read the declarations, and some just think they can get away with what they want to do; and many don't read the newsletters to keep informed. They are completely apathetic to the community until they get hit with a violation. Then they come out swinging wildly.

Communication is very important to this board, and we've gone from quarteryly meetings to monthly, with monthly newsletters, plus the web site, and when someone asks where is our money going, we know they are not reading the newsletters, visited the web site, and have not driven through the area with open eyes where they could see the improvements.

Sorry about the length of the post but I'm hoping that someone will offer suggestions on how we may better handle the situation if we have people come to the board over this issue. We are a very friendly and welcoming board, and will never take on an adverserial demeanor.

Our attitude is that we are dealing with our neighbors and friends, and we want to treat them as neighbors and friends, and listen and consider what they have to say. But since this is a business, we conduct the meetings in a very business like manner and control it. So I believe we can diffuse any irate member by controlling the meeting with time limits, but I'm open to all suggestions.

One more thing is that we do know how to control a member who may get out of control. We will give two warnings that he/she is out of order. On the second warning we will state that if a third warning is necessary, then we will ask the person to leave the meeting. If that third time comes, then we will immediately make a motion to have the person leave. If it passes, then we will ask the person to leave and motion for a 5 minute recess.

Our meetings are in a club house that has an off duty reserve sheriff as security. If the person doesn't leave, one board member would go get the officer to remove the person.

That "You're doing fine" was meant for WilliamT.

Bill

Then teach it at the Leadership Centre. It always comes across better from someone who's "been there and done that".

Joe