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DonaldN (Connecticut)
Posts: 183
Posted:
just wondering if there are any associations out there that require through the bylaws that only resident owners can serve on the Board ?
KennethS2 (California)
Posts: 36
Posted:
Our By-Laws require that to be a Member of the Board of Directors they must be a 'member in good standing" - that is then defined as an 'owner' who has his dues paid up to date.
TimB4 (Tennessee)
Posts: 21,059
Posted:
Qualification requirements vary from Association to Association.

There are some that have that qualification to serve as a director.

Before an Association adopts such a policy they need to check their State COA/HOA laws and, if incorporated, corporate laws to make sure that the policy won't be in conflict with a State law.

Other Associations have no qualifications stipulated and anyone, within compliance of State laws, may serve on the board.
Other Associations only allow members to serve
Some, as you pointed out, resident members
Some allow members or any adult within the home.

LawrenceC1 (Georgia)
Posts: 480
Posted:
Donald,

Our bylaws state that "the directors must reside in the Community and shall be members or spouses of such members."

However, since there is no provision elsewhere in the bylaws that requires a director to resign if they move out of the community, once elected they can remain on the board even if they no longer meet qualifications.

So for us, this requirement applies only to candidates for the board during elections.

JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By LawrenceC1 on 05/23/2012 6:21 PM
Donald,

Our bylaws state that "the directors must reside in the Community and shall be members or spouses of such members."

However, since there is no provision elsewhere in the bylaws that requires a director to resign if they move out of the community, once elected they can remain on the board even if they no longer meet qualifications.

So for us, this requirement applies only to candidates for the board during elections.


There are many discussions on this chat that the spouse of an owner might well not be an owner, thus not a member.

Owner, member, spouse, resident can be quite different, thus where many issues arise.

LarryB13 (Arizona)
Posts: 4,099
Posted:
Quote:
Posted By DonaldN on 05/23/2012 1:37 PM
just wondering if there are any associations out there that require through the bylaws that only resident owners can serve on the Board ?

Resident owners meaning one must own and reside in the association to be on the board? Good way to keep investors off the board.
DonaldN (Connecticut)
Posts: 183
Posted:
I'm guessing that most bylaws only require ownership to serve on the Board - from the responses it seems that there are at least a few communities out there that also require residency.

there's an effort, that I support, currently in our condo community to change the declaration and bylaws to make both ownership and residency a qualification for serving on the Board.

opponents on our Board bring up the legality and discrimination aspects of such a change - I'm not a lawyer but my sense is that neither is an issue if a majority of unit owners are in favor.

LawrenceC1 (Georgia)
Posts: 480
Posted:
Donald,

As many other HOA bylaws require residency, adding such a clause to your bylaws is unlikely to be illegal.

And it is not discriminatory to require that those who make decisions for the community should reside in the community. This requirement is impartial and has a reasonable and rational justification.

When you draft changes to your documents for this provision, be sure to include a requirement to be "in good standing", a definition of "in good standing" to mean having no payment obligations more than 30 days past due and no outstanding covenant violations, and a corresponding process for removing a director who starts out being qualified but becomes unqualified during their term of office.
DonaldN (Connecticut)
Posts: 183
Posted:
LawrenceC1 , thanks for the response and suggestion - both excellent !!
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Quote:
Posted By DonaldN on 05/24/2012 6:22 AM
LawrenceC1 , thanks for the response and suggestion - both excellent !!

I for one believe HOA Members can pretty well change their Bylaws as they see fit.

I would also say the must be an owner/resident portion might well not be the best for every association, especially in a 2nd home, vacation type place, resort, etc. The type of places where most do not reside at year round. In these type places you could be stopping some talented, caring owners from being on the BOD and in some cases hurting the place with a BOD of full time resident/owners that have issues with the part time residents.

Where I live, owner/resident would be a good idea and quickly approved as 95% of our homes are owner/resident occupied.

One size does not fit all.

DonaldN (Connecticut)
Posts: 183
Posted:
good point - another situation would be where an association has trouble filling Board seats and there is a large percentage of non-resident owners .

a couple of the reasons that proponents of the residency requirement cite are (1) closer day to day involvement and awareness of what's going on and (2) non-resident owners who rent out their unit , which is our case, may not have the same interest in the community as resident owners.

LawrenceC1, what are some of the reasons your community favors resident owner Board members ?
HeleneN (Connecticut)
Posts: 84
Posted:


Donald

Don't shoot yourself in the foot. You could have highly qualified people residing within your community that for business reasons or estate planning their names are not on the deed.

Here we require 3 out of our 5 board memebers to be owners. The other 2 must be qualified residents(living with an owner) It doesn't matter whether they are a spouse, partner, brother, sister, or an adult child. Since we don't allow renters we don't have that issue.

We also are aware that sometime down the road we will not have a resident who is willing to serve on the board. Since unit owners don't like outsiders on the board they may continue to step up to the plate when needed.
LawrenceC1 (Georgia)
Posts: 480
Posted:
Quote:
Posted By DonaldN on 05/24/2012 8:08 AM
...what are some of the reasons your community favors resident owner Board members ?


We are a self-managed community and board members serve as the "Management Company." In that role, board members must monitor activity and compliance in the neighborhood, and an absentee landlord can't do that without going out of their way to travel to the subdivision, if they are even close enough to stop by at all.

Our board must handle day-to-day tasks such as counter-signing checks, meeting with contractors, depositing checks at the bank, checking the association P.O. box, etc. Absentee landlords are not around to do any of these things, and it's not fair to dump this work on the board members who live in the community.

Board meetings accomplish more and are less prone to dissension when we all meet face-to-face. Absentee landlords calling in on a speaker phone are much less effective.

The local police will not take action for unauthorized persons using our facilities without a board member present when they arrive. An absentee landlord can't be present to help out.

Enforcing covenant restrictions and collecting dues is made much easier if there is a friendly relationship between the board members and the homeowners. We sponsor parties and other social events to foster a sense of community, and an absentee landlord isn't usually around to participate.

In general, absentee landlords are not as interested in making sure things are working in the community. If the neighborhood watch is floundering, or the restriction on noxious activity isn't being enforced, an absentee landlord is less likely to be concerned, dumping all this on the other board members (although there are exceptions).

Absentee landlords usually have a single-issue focus on property values (things that affect potential buyers) and are concerned less about quality-of-life issues (that affect current residents). Certainly every homeowners wants to maintain high property values, but the HOA and the board ought to have interests beyond only that.

HelenH2 (Missouri)
Posts: 18
Posted:
You may want to check your insurance policy. The Board of Directors and Committees are covered under our HOA if they are sued, but likely not the case in all insurance policies. For example, if your Board or Committee members did something that someone disagreed with and sued you, your insurance policy should represent the Board or Committee.

KatherineP1 (Maryland)
Posts: 3
Posted:
Can an HOA legally require you to be a board member? I am in MD.
LawrenceC1 (Georgia)
Posts: 480
Posted:
Quote:
Posted By KatherineP1 on 05/31/2012 7:57 AM
Can an HOA legally require you to be a board member? I am in MD.


Katherine,

The answer to that would be in your governing documents, but I would be extremely surprised if you found such a requirement there.

I can say for certain that there is no state law that requires such service in any state, including Maryland.

That's not to say that this might not be a good idea! One of the biggest problems with most HOAs is apathy and the difficulty finding people to serve. A bylaw that said every homeowner had to take a turn on the board could be a good thing. ;-)

DavidK23 (Nevada)
Posts: 1
Posted:
I was recently elected to our Board. The member I defeated in the election also had his live in girl friend and his brother serving on our Board. There was no disclosure about the brother and one brother nominated appointment of his brother(different last name). So out of 5 Board members 3 were of the same family. Some Board members have been on the Board for 15 years or more and all past 5 years except the recently appointed brother who was not even an owner at the time of his appointment. Since then they are playing a shell game of property ownership through the use of a trust..Help!
BruceF1 (Connecticut)
Posts: 2,535
Posted:
Quote:
Posted By DonaldN on 05/23/2012 1:37 PM
just wondering if there are any associations out there that require through the bylaws that only resident owners can serve on the Board ?

There are some HOAs that require that board members reside in the community.

Personally, I think such a requirement is excessive simply because if an owner feels that a candidate should be a resident to serve on the board, then that owner simply should not vote for a candidate who is not a resident.

Whether you seek to deny a non-resident board membership by means of a change in the bylaws or by means of letting the owners decide at the annual election, the result is the same. Whatever the majority of owners want is how it will turn out.
SpokA (Georgia)
Posts: 1
Posted:
I can understand your problem because same thing has been happened also with me.then importunately a property dealer met with me and said about property management tulsa.

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