Special Assessment - HOA

You should probably check to see what your bylaws state. For my condo association in MI, the board reserves the right to approve special assessments as they see fit. Because we want our co-owners to be involved and the community to have a say, we will typically put it up for a vote at the annual meeting.

Nick: A meeting must be called with 14 days' notice to inform the homeowners of your intent to have a Special Assessment. They must be informed as to the exact purpose for the SA. If I'm not mistaken HOAs do not need homeowner approval. The Board of Directors has the authority to vote to have a SA.
Barb K

Lance when you make such a definitive statement such as, "No board members do NOT have the right to vote in a special assessment", are you talking State law, your Association's rules or the rules of Nick's Association?

Even after the State of Ohio changed the rules requiring the majority of homeowners to vote each year to allow special assessments in their Association; if one is allowed and is needed the BOD decides on the amount and whether to have one, not the homeowners.

Barbara:

I think in your original post it would have been helpful to state that you were referencing the state of Florida. I wish my association was like that, however, I don't know if it is a great idea to give the board that much authority to levy a special assessment. I do know my association requires a 2/3 homeowner vote and a meeting has to be called for that specific purpose.

Getting a loan for the HOA isn't a good idea. It causes even more debt. That loan payment now has to be added into the bills paid each month. That doesn't necessary mean avoiding a SA entirely. You may have to have one to afford the loan payments. The HOA may have to vote to raise dues to cover the additional monthly loan payment. Alot of HOA's like mine are cutting it pretty close each month covering their bills. Adding an additional $500 may not seem like much but it can be. That $500 could be used to cover legal costs of collecting unpaid dues or to cover an unexpectant bill. It's also not all that easy for a HOA to get a loan and the process may be similar to having a SA.
If your concerned about having enough "turnout" to the special meeting. (Special meetings are usually required in order to have a SA) try this approach. Our lawyer drafted 2 separate petitions. The first petition was an agreement that it was okay for the homeowner to cast their vote WITHOUT having to attend the special meeting. The Second petition was for the actual vote. Ironically, you have to give up your right to congregrate for the special purpose in order to allow yourself to vote on your time! This approach worked for us and enabled us to go door to door.
Make sure the SA is for the exact cost of a project and it is divided amongst ALL the homeowner's equally. You know some won't pay. You may want to "adjust" the total amount to collect to reflect this and then divide that equally if you really need to meet your goal. Otherwise, you may be held up waiting on each individual to pay up. It's not exactly "fair" to the people paying, but if they want something done, it's the price they have to pay.