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ShannonJ (Virginia)
Posts: 14
Posted:
Hello all,

We are a community in VA. Our governing documents include bylaws and CCR. However sometimes after most homes were sold a "HOA handbook" was developed by the management company and developer. this handbook is to serve to clarify bylaws and offer additional verbiage on interpretation.

The question is this: are homeowners legally bound to follow the handbook contents? As an example the bylaws may say do not store trash cans outside. The guidebook may say further clarify by saying...trashcans may only be stored outside on trash day between the hours of 10am and 3pm.

Some see the handbook as providing clarification, others say that this hourly restriction is not included in the Bylaws and thus not applicable. Which is accurate? Is the handbook legally part of our governing documents?

thanks in advance for reading!
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Shannon

There is a priority of documents. In order:

1. Federal, state, local laws.

2. CC&R's (Covenants). Can be changed by the homeowners.

3. Bylaws. Can be changed by the homeowners.

4. Rules and Regulations (R&R's). Can be changed by the BOD without homeowner approval.

One cannot override the other but one can be tighter then the other. Examples:

1. Local law might say no fences over 6 feet tall and any type fence allowed. CC&R's or Bylaws or R&R's can say no fence over 4 feet tall and only certain types allowed.

2. CC&R's or Bylaws or R&R's cannot say fences can be over 6 feet tall as this would be against the law.

3. CC&R's can say no trash bins are to be visiible from the street, as do ours. R&R's could dictate hours the trash bins can be out for collection. Ours say 6pm the night before collection until 6pm the day of collection. Put the bins out earlier or leave them out later, the HOA could fine the owner.

Some HOA's are the type that will go around with a stop watch and this is a recipe for trouble even when within their rights.

Hope this helps.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Shannon

Opps...I say the handbook is at best, Rules and Regulations (and probably not even that) thus the CC&R' and Bylaws rule over it.

NancyG3 (North Carolina)
Posts: 342
Posted:
Hi Shannon: A couple of things. Has the developer turned the Assn over to the homeowners? If not, as long as the developer is in charge they can do most anything and do not need a vote from the homeowners, but they have to file the changes with the Register of Deeds in your County. I see the handbook as Rules and Regulations. Check the handbook and see if any of the rules change any CCRs, if so, contact the MC and/or developer and ask if these changes of the CCRs have been filed as they change your Declarations. You can also contact the Secretary of State and ask them. Read your CCRs and you should see statements "Declarant reserves unto itself during the Development Period".

Regarding the trash cans, this could be a Town, City etc. ordinance which overrides the Declarations. Call the Town and check this out. Our town has this ordinance. Hope this helps. Nancy
TimB4 (Tennessee)
Posts: 21,059
Posted:
Shannon,

Welcome to the Forum.

As others have explained, the Board is allowed to adopt resolutions, which are really just formal written decisions, that affect many other things. Typically these include rules for use of the amenities, clarification of items within the CC&Rs or Bylaws, regulations/rules for the common area and guidelines for what architectural changes will be allowed or not. Additionally, procedures for association records, disclosure statements, collection of assessments and the process for hearings may be adopted by resolution. A resolution may not be in conflict with the CC&Rs, Articles of Incorporation or Bylaws.

The authority to adopt additional rules are typically within the CC&Rs, the Articles of incorporation and
VA laws.

Typically, the handbook is used as a method of publishing these resolutions to the membership.

Here is a good summary of the various laws that apply to VA Homeowner Associations that may be helpful.

When does the membership take control of the Association from the developer?
When this happens, the elected board may always change the rules currently listed within the handbook.
Perhaps you will volunteer and be one of the board members.

Hope this helps,

Tim
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Shannon

Nancy did say one thing important. If the declarant is still in control of your association they can change any bloody document they wish to change without owner approval.

As I said earlier, they cannot override laws.

Hope this helps.

ShannonJ (Virginia)
Posts: 14
Posted:
You guys are awesome - thanks!

The hoa was turned over to the community several years back. Most homeowners never received the handbook initially, as it was put together some time after the homes were sold. We are a small community with @ 45 SFH and no amenities.

My management company have given me conflicting answers: one agent said the handbook is part of our governing documents and thus binding. Another said, consider it merely a "guide" . SInce the HoA has been turned over, there have less than 5 resolutions.

I am now on the board and trying to understand the correct message to share with homeowners.
ShannonJ (Virginia)
Posts: 14
Posted:
Hi Nancy - does this mean the handbook contents should be registered with the clerk? if not registered, then not official ?

thanks for the link.
LarryB13 (Arizona)
Posts: 4,099
Posted:
The management company and/or the developer have no authority to override the CC&R's or any bylaws, rules, or regulations adopted by the association. Therefore, the handbook they wrote is not binding on your association.

If your rules are so badly written that they need a handbook to be understood it may be time to re-write the rules. (If trash cans can never be outside, how do they get picked up on collection days?)

Perhaps your board's next resolution should be to formally declare the Handbook as not binding on the association and end the confusion.
NancyG3 (North Carolina)
Posts: 342
Posted:
Shannon: I speak for NC. Our BOD did an Architectural Control Guidelines Book (I think this is similar to your handbook) many years ago. This was done after doing a survey of the homeowners as to what they wanted because there were so many complaints about different Declarations being broken and the homeowners were not complying with the original Declarations. The BOD was told that they had received enough votes to put the guidelines into effect. Then all heck broke loose, so many complaints that the BOD knew there were going to have to be changes made and they were never filed. When a new Board came in they went to the County and the County said they weren't worth the paper they were written on because they had never been filed. Still not filed to this day because as it turned out they did not receive a majority vote. This is what I believe: they have to be filed because some of them changed the original Declarations.

Hope I helped. You may want to check with your Record of Deeds and talk with them to see if this has to be done in your State.
CarolR11 (Colorado)
Posts: 2,563
Posted:
Shannon, what's in this guidebook? Does it contain rules of all kinds, fine schedules, arch. guidelines? Or?

Our CC&Rs say that our "Project Handbook" (rules & regs) is a governing doc. I wonder if your CC&Rs say anything about a guidebook or some other doc in the future being a governing doc.

Our CC&Rs also state that our Architectural Guidelines are a governing document. Many arch. restrictions are in our CC&Rs, but the Guidelines were developed later to elaborate, e.g., what types of hard surface floors are acceptable, how they must be installed, etc. The only type of permissible window tinting also was added.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Quote:
Posted By ShannonJ on 08/02/2012 9:45 AM

The hoa was turned over to the community several years back. Most homeowners never received the handbook initially, as it was put together some time after the homes were sold. We are a small community with @ 45 SFH and no amenities.

With only 45 homes, why do you need a management company?

Since your on the Board, who authorized the MC to issue the handbook?
If it was a past board, read minutes from that year to see if you can gather what the intent was.

I would also be concerned that the handbook was put together without the memberships knowledge (again since it's so small of an Association). When we updated our guidelines and resolutions, we seek input from the membership prior to adopting them (but every Association is different).

ShannonJ (Virginia)
Posts: 14
Posted:
It actually does say "guidelines". Quoting from the introduction:

"The purpose of design guidelines is to assure residents that the standards of design quality will be maintained. This, in turn, protects property values and enhances the community's overall environment. This booklet is designed to address exterior alterations made by homeowners to their property. The authority for maintaining the quality of design in the community is founded in the bylaws."

The actual Bylaws/Declarations do not refer to these guidelines to incorporate them or make them binding. I can only assume the declarent developed them. We do not have good record keeping or minutes from prior years.

We have a MC because most board members say they "don't have time to do much and certainly not to self manage".

The guidelines may actually amend the bylaws if considered binding since they include such statements as "no screen doors allowed without ARB approval", whereas screen doors are not specifically addressed in the declarations.

ShannonJ (Virginia)
Posts: 14
Posted:
Nancy - very helpful. I think you are right about them needing to be filed.

I also like the suggestion below to make a resolution stating these documents are not binding. However, almost think that isn't necessary as I can't find proof that they are in deed binding.

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