where is our money going

Started by JaimeB • 9 replies • 1672 views

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JaimeB (Texas)
Posts: 4

Posted:

I have been living at ascension point now for 3 years and im not really sure the reasons why i pay HOA dues.
#1- Our pool gets closed down all the time by the city because its nasty
#2- All the lights are out around the complex
#3- the mail boxes do not work properly
#4- The landscaping is not kept well at all
#5- Our one and only maintance man is way over weight to do the duties on property that really need to be done
#6- we pay a porter to just blow leaves in the nasty pool everyday, sometimes picks up some trash on the ground
#7- The Manager knows nothing that goes on around here! Never walking the property
#8- We have not had a face lift around here since 2000
we pay 175 in hoa each month what do we do to get something done around here? Please Help!
Oh and at that we have TERMITES!! real bad!

MelissaP1 (Alabama)
Posts: 13,836

Posted:

First off, the HOA is ONLY funded by the owners FOR the owners. If your HOA is like mine, the dues barely cover the electricity bill nevermind owner's desires. I think you need to review what your HOA is responsible for. Termites isn't one of them unless it's in the CC&R's or your in a condo. Pest control is your responsibility.
Your manager not doing anything may be a result that they are NOT responsible to do anything. A Management company is a PAID contractor hired by the HOA board to handle the money and maintain records. They are NOT responsible for fixing anything or making improvements. They do whatever the board tells them to do, which is most likely approving checks to be written to contractors who do the necessary work.
You should read my other post on General HOA Information I just posted. You may be able to to discern better what your HOA should be doing and what it can do. A HOA isn't there to just pay money into and cater to every need/want. It's a group thing.

Former HOA President

PaulM (Pennsylvania)
Posts: 1,347

Posted:

JaimeB:
Your documents should explain in detail what the association fee covers: it may be pool, lawn maintenance, lighting, and general maintenance on property--or, it may be only some of these.

Your payment of $175 in HOA fees sounds as though you should be getting 'something' for your monthly fee payment. Again, your docs. should dictate clearly just what the HomeOwnersAssociation is responsible to maintain.

If all the above is to be maintained, and it is not being done properly, the Board has a fudiciary responsibility to spend the association's funds wisely. Request copies of: latest financial report, Committee reports, Board meeting minutes to learn what money is going out and for what purpose. Your docs should also state that at minimum, an annual meeting is to be held. This is usually when the budget is presented for the coming year and should be showing expenses by category which would explain 'where your money is going'.

Keep us informed. There are many here who have a lot of info to offer you.

hoatalk (California)
Posts: 603

Posted:

JaimeB: Welcome to the group. You can get a good overview of HOA living at the website of one of our sponsors, CommunityAssociations.net. They have posted great videos that give an overview of what to expect. You will have to copy and paste the web addresses below into your browser. There is a video for condos and one for HOA (single family homes).

Welcome Home for Condo Owners: http://www.communityassociations.net/video/welcome_home_condo_page.htm

Welcome Home for HOA Owners: http://www.communityassociations.net/video/welcome_home_hoa_page.htm (variation on condo version)

Insurance for Owners: http://www.communityassociations.net/video/insurance_HO_button.htm

The bottom line: Educate yourself then get involved by volunteering. What many owners don't realize is that the HOA is not some service company that takes care of your property. When you bought your property, you became an equal member in the HOA with the same responsibilities and duties as every other member, including your neighbors nice enough to volunteer for the Board. They are giving their time, without pay, to run the HOA but you have the same responsibility they do. In other words You are the HOA too. If the HOA is not working then the ONLY way to fix it is by VOLUNTEERS fixing it. If no one volunteers then nothing will get done and generally, only the owners may volunteer.

You are in a partnership with your neighbors to run the Association and you agreed to this partnership when you signed to buy your home. The owners vote in the Board to represent them and actually run the community association, just like we vote in Congress, etc. The Board then needs owner volunteers to get things done or they have to raise dues to hire the help. Your HOA is a non-profit organization and every dollar of dues should either be spent on operations or put in reserve for future expenses.

Also remember these things when you are complaining to the Board about what needs to be done:
(1) They are UNPAID volunteers trying to serve your community. If they are pressured enough by members they can simply resign and then who will run the Association? Be nice to the Board and work with them in a spirit of helping & appreciation for their time and their commitment. You will achieve more.

(2) The Board hires the management company and has a contract with services outlined. Maybe they were not hired to walk the property. If they were paid for that and are not delivering, then that needs to be addressed by the Board. Remember that the HOA is non-profit....more services = higher dues.

You can learn alot here, then get involved. If elections are coming up, run for the Board and really make a difference.

I hope this helps.
HOATalk

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KevinH (Texas)
Posts: 53

Posted:

You should definately find out where the money is going.

Do you know if your HOA has a management company that manages the property? It is possible to have a manager, maintenance man, and porter without them being part of a sparate management company. Generally the management company ensures their name is separate from the HOA in their communications with the tenants/homeowners.

Do you know who the board members are?

If you know none of the above, write a letter to the same address your HOA payments are sent. Ask them for the most recent audit, annual budget, or annual report. Those documents should show where the money is supposed to be going.

Do you have a copy of the HOA Bylaws or Declaration of Covenants, Conditions, & Restrictions (CC&Rs)? If so, try to read through sections of it. If you need help, look online or ask on this forum. Those documents can be full of legal jargon and confusing to read, but they do state what the HOA is responsible for. It's best to become familiar with them.

One of the main purposes of an HOA is to ensure the value of the property continues to go up. This generally means keeping the property maintained and looking better than your found it. Unfortunately, since homeowners are human, this also means you get to deal with all sorts of bureaucracy, finger pointing, apathy, and other outrageous human qualities.

So.. take a deep breath, roll up your sleeves, and take ownerhsip of your piece of the pie.

Enjoy. ;-)

If you cannot see the forest for the trees, back up and get a better view. Don't start to clear a path while still blind.

JoeW1 (New York)
Posts: 728

Posted:

JaimeB - Yes, welcome. I believe HOATalk is giving good advise that you can get a good overview of HOA living at the website of one of our sponsors, CommunityAssociations.net. I believe that the recent post "General HOA Information" will only provide you generic information on how things are supposed to run. In your case, you know something is awry. You've contributed $6,300 to the upkeep of your HOA and are clearly dissatisfied. So what you could do is volunteer to turn things around, or at least give a good old college try. Forming a finance committee to work in tandem with the Board may be a good start. You say you have a porter and you're in a complex. Sounds like it's a co-op or a condo. Which one is it? How many units are there, what state are you located in?

JM2 (Oregon)
Posts: 439

Posted:

Hi Jaime:

You might want to try to find your state's health division website and see if you can find the rules on pool maintenance. Pool maintenance is not rocket science but it does involve a bit of chemistry - rather rudimentary. Your HOA may need to seek out a company that does pool maintenance, both to stay within the law as well as to deal with any liability issues, should someone become sick as a result of a poorly maintained pool.

You might also ask about reviewing the latest pool maintenance sheet, to see if it's filled out regularly (in Oregon it should be checked once per hour when the pool is open); note if there are odd entries, such as all the levels of chlorine the same for a whole day (virtually never happens that way) or if, by chance, it's already filled out for the rest of the month...

Since an improperly maintained pool can cause people to get sick, it would be well worth it to make sure that it's properly maintained.

Overall, it sounds like your property is very poorly maintained, from what you describe.

It may be worthwhile to check out the website for CAI. They do have local/state chapters as well. It's a great place to learn more about HOA's and, if you want to become a board member, a great way to get educated so that you can hit the ground running.

Here's the link to state/local chapters of CAI:
http://www.caionline.org/about/aboutchap.cfm

J. Patrick Moore, CMCA

GloriaM (North Carolina)
Posts: 829

Posted:

Jamie:

I think it may be time for your to join the board and become active in making some changes within your community.

JaimeB (Texas)
Posts: 4

Posted:

I do live in a condo!

JaimeB (Texas)
Posts: 4

Posted:

texas. and i live in a condo

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