President makes unilateral decisions in FL

In our HOA(624 members) in Florida, our president gave our executive director(ED)a 10% salary increase, a 10% bonus, and an additional $1K bonus last week. The personnel committee chair was given a copy of the letter by the president stating these payments, after it was given to the executive director. The personnel committee was blindsided, and has brought this to the attention of the board, and views this as a violation of the duties and responsibility of the personnel committee. President says he had no choice, and needed to give the ED his raise and bonus as he believes he is doing a great job. The personnel committee has collected performance evaluations that are contrary to the president's view, and was in the process of presenting the ED review & salary/bonus. Basically, the president trumped what the Personnel committee was going to present.
QUESTION: If the board (of 16) by majority vote endorses the action of the president, does that set precendent for future presidents to make unilateral decisions that have financial implications?

LIZ

The first question should be what authority does the President have to do such? He might well have such authority.

The 2nd question is what was done within the rights of the BOD?

Are you suggesting they (President and/or) the BOD did not have the power to do so?

Also keep in mind that committees not outlined/empowered by the association documents generally serve at the discretion/will of the BOD. Afterall the BOD, not the committees were elected to operate things.

Liz,

If the President has the authority to set salaries and bonuses, then there is no wrong doing.

If the President did not have this authority, then one of the two needs to happen:

1) The President's actions are considered an "action without a meeting" but still requires written approval of the entire board for it to be valid.

2) The President exceeded their authority and the following needs to occur:

a) President is removed from Office (not from the Board as that would require membership approval)
b) New President is appointed
c) Certified letter needs to be sent to the executive director stating that the President acted without authority from the Board and the raises/bonuses would not be honored.

You need to read your governing documents to determine if the President had the positional authority to do what they did.

Tim

The ED is an employee and not a member then???

Correct, the Executive Director is a staff member and not a board member. He currently makes $88K a year + 90% paid medical + bonus and apparently whatever the president decides to grant him.
The president claims he needed to take action because the personnel chair had not completed the performance evaluations.

....and yes, I am on the Master board, and recently approved by the board to be on the personnel committee (after the president's action).

If a quorum of directors does not show up at the special meeting then no business can be conducted. I would not let this guy dictate what the BOD does; it's supposed to be the other way around.

There are 16 of us on the board; 7 in favor or pres (incl pres) 4 against the pres, and 5 on the fence.
The Special Meeting topic is Alleged Unauthorized Salary Increase, and Alleged Governance and Related Matters. The meeting is open to all homeowners and there will be many in attedance to observe the discussion. But you are right, it is important for those not in favor be on record,due to any future backlash for the president's action. It's such a mess, and if the president would step down, we would be able to resolve and more forward. But he is stubborn and continues to do what he thinks is right vs. what is best for the community.

Seems pretty cut and dried for me.

At this meeting, simply state the actions of the president, THEN ask him to cite the source of his power to do such actions.

If he has acted outside (or above) his authority, then you can request his resignation right then and there.

Since this is somewhat of a disciplinary meeting about him, someone else should lead the meeting. Motion to establish a chair right from the start.

Say, Liz, what happened at Monday's Special Meeting?

So Liz, soap opera or not, is the bottom line answer that the majority of the BOD believe he operated within his jurisdiction?

Liz

While I am not the Grand Inquisitor, I did ask a question that could have been answered YES or NO. Even with your explanation, you did not answer yes or no.

Judge, I ask the witness answer yes or no...LOL

Your reply makes me believe you want him out of that position be he right or wrong, thus he can do nothing right in your eyes. Am I right or wrong? Yes or no...LOL

Come out here and say I want to "hang" someone, and while you might get a few questions why you want to hang them, many out here can tell you exactly/properly how to hang someone.

Where I in your position, be you right or wrong, I suggest waiting the 6 weeks and see what happens, including those that disagree with you get to continue in control.