FL HOA New Board Member questions

AnneB4 (Florida)
Posts: 19

Posted:

I've just been named to my HOA board (not sure if condolences or congratulations are in order.I have a couple of questions. I've seen lots of discussions about conducting business through email. Our new President wants to make every little decison at a board meeting, even the ones to do with day to day running of the association, light fixtures needing to be replaced, replacement locks to be bought, etc. I have no problem with reporting decisions in the meetings, but I think nothing will get done if we have to wait for a meeting. We only met once a month. Am I out of line in thinking some decisons just need to be made in email to get things moving?

We have 266 homes and several of our delinquent homeowners live out of the country. Does anybody have any suggestions for collecting monies owed, other than placing a lien on the house?

Our previous president, verbally resigned in a fit of frustration. He wants to get back on the board. The HOA attorney is telling him he can't since we fall under the auspices of a non-profit and he "delivered" a resgination, however, resignations is one of the things that follows HOA statues not non-profit.Waht can be done to get him back on the board.

Any suggestions would be appreciated. Thanks

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Anne

I am not nor do I play a lawyer especially in FL.

I say if the person resigned from the BOD (verbally or written) then they are off the BOD and a BOD vacancy exists. Now if your BOD has the power to select/vote on someone filling that vacancy then appoint the guy that resigned to be back on the BOD. I assume after he resigned the BOD elected a new Pres. so even with an appoint/vote he is not back in as the Pres. as that was filled with a BOD vote. Even if no BOD vote/new Pres. I say the person does not get that post back by being appointed/voted BOD.

Bottom line is I say he might could get back on the BOD but not automatically as President.

CarolR11 (Colorado)
Posts: 2,563

Posted:

Since your HOA is sizable, do you have a CAM? If so, doesn't s/he have authorization to make purchases? Perhaps up to a certain amount?

I'm no lawyer either, but why can't your board vote at an open meeting to re-appoint Mr. X to the Board? And it does depend on what your bylaws say or FL statutes say. In CA, per our Corps. Code, Board resignations must be in writing OR approved by the board if verbal. But, FL . . .?

TimB4 (Tennessee)
Posts: 21,062

Posted:

Quote:

Posted By AnneB4 on 02/22/2014 1:03 PM

Our new President wants to make every little decison at a board meeting, . . . We only met once a month. Am I out of line in thinking some decisions just need to be made in email to get things moving?

I am not an attorney and I do not work in the legal profession. Decisions should be made at Board meetings. In fact, statutes require it (see FL 720.303 FL 718 has similar language) Although applicable statutes typically allow for "actions without a meeting" (which is what a decision by e-mail would be), those type of actions are typically only for matters that can not wait until the next scheduled board meeting or a special meeting of the Board.

My suggestion would be, at the meeting when an item is first being discussed, make a motion to authorize certain positions to make decisions on their own or for a specific purpose. We do that all the time. For example, we had a street sign damaged and needed replaced. We made a motion and voted to authorize the individual looking in replacement signs to purchase the replacement if the amount was kept under $100. Your Association could do similar authorizations. If more than one person really wants a say in something go ahead and assign both to the project with authority to purchase once all the parties are in agreement on what to purchase.

Quote:

Posted By AnneB4 on 02/22/2014 1:03 PM

We have 266 homes and several of our delinquent homeowners live out of the country. Does anybody have any suggestions for collecting monies owed, other than placing a lien on the house?

When you say "live out of country" do you mean that they work for someone and that has them out of country (like the military or State department) or is it that you have a lot of foreign investors owning property within your Association?

If it's military personnel, you may be limited on what actions you may do as SERVICEMEMBERS CIVIL
RELIEF ACT. However, if you do know who the service member is attached to, there may be other options.

If it's government workers, you may be able to get an e-mail address. We have a member who works for the State Dept who happens to be stationed in Africa. The address we had was a diplomatic drop box and mail took months to get there. I was able to contact the State Dept. and get the member e-mail address. We now communicate via e-mail and the assessments have been brought current.

If it's foreign nationals, then you simply may have no other choice but to file a lien and then exercise that lien by foreclosing. Check with your Associations attorney to make sure you follow proper procedures.

Quote:

Posted By AnneB4 on 02/22/2014 1:03 PM

What can be done to get him back on the board.

If there is an opening and if your governing documents allow it, Per FL 720.306 (9)(c) if Fl 720 does not apply, check the statute that does apply for similar authority):

Unless otherwise provided in the bylaws, any vacancy occurring on the board before the expiration of a term may be filled by an affirmative vote of the majority of the remaining directors, even if the remaining directors constitute less than a quorum, or by the sole remaining director. In the alternative, a board may hold an election to fill the vacancy . . .

However, considering that your attorney said the past president can't get back on the Board, you may need to check with the attorney as there may be more specifics to the issue than you are aware of.

Hope this helps,

Tim

PeterD3 (Florida)
Posts: 708

Posted:

Quote:

Posted By TimB4 on 02/22/2014 3:48 PM

Posted By AnneB4 on 02/22/2014 1:03 PM

Our new President wants to make every little decison at a board meeting, . . . We only met once a month. Am I out of line in thinking some decisions just need to be made in email to get things moving?

I am not an attorney and I do not work in the legal profession. Decisions should be made at Board meetings. In fact, statutes require it (see FL 720.303 FL 718 has similar language) Although applicable statutes typically allow for "actions without a meeting" (which is what a decision by e-mail would be), those type of actions are typically only for matters that can not wait until the next scheduled board meeting or a special meeting of the Board.

My suggestion would be, at the meeting when an item is first being discussed, make a motion to authorize certain positions to make decisions on their own or for a specific purpose. We do that all the time. For example, we had a street sign damaged and needed replaced. We made a motion and voted to authorize the individual looking in replacement signs to purchase the replacement if the amount was kept under $100. Your Association could do similar authorizations. If more than one person really wants a say in something go ahead and assign both to the project with authority to purchase once all the parties are in agreement on what to purchase.

Quote:

Posted By AnneB4 on 02/22/2014 1:03 PM

We have 266 homes and several of our delinquent homeowners live out of the country. Does anybody have any suggestions for collecting monies owed, other than placing a lien on the house?

When you say "live out of country" do you mean that they work for someone and that has them out of country (like the military or State department) or is it that you have a lot of foreign investors owning property within your Association?

If it's military personnel, you may be limited on what actions you may do as SERVICEMEMBERS CIVIL
RELIEF ACT. However, if you do know who the service member is attached to, there may be other options.

If it's government workers, you may be able to get an e-mail address. We have a member who works for the State Dept who happens to be stationed in Africa. The address we had was a diplomatic drop box and mail took months to get there. I was able to contact the State Dept. and get the member e-mail address. We now communicate via e-mail and the assessments have been brought current.

If it's foreign nationals, then you simply may have no other choice but to file a lien and then exercise that lien by foreclosing. Check with your Associations attorney to make sure you follow proper procedures.

Quote:

Posted By AnneB4 on 02/22/2014 1:03 PM

What can be done to get him back on the board.

If there is an opening and if your governing documents allow it, Per FL 720.306 (9)(c) if Fl 720 does not apply, check the statute that does apply for similar authority):

Unless otherwise provided in the bylaws, any vacancy occurring on the board before the expiration of a term may be filled by an affirmative vote of the majority of the remaining directors, even if the remaining directors constitute less than a quorum, or by the sole remaining director. In the alternative, a board may hold an election to fill the vacancy . . .

However, considering that your attorney said the past president can't get back on the Board, you may need to check with the attorney as there may be more specifics to the issue than you are aware of.

Hope this helps,

Tim

While I may agree with the 'spirit' of your opinion Tim, there is no language in 720.303 that says (or requires) "Decisions should be made at Board meetings".

Nor does 617.0821 specify the conditions or circumstances in which action can (or should) be taken without a meeting.

Again I do understand the spirit of your opinion but the current FL laws do not support your 'requirements'.

TimB4 (Tennessee)
Posts: 21,062

Posted:

Quote:

Posted By PeterD3 on 02/22/2014 4:23 PM

While I may agree with the 'spirit' of your opinion Tim, there is no language in 720.303 that says (or requires) "Decisions should be made at Board meetings".

Granted, there is no specific language stating that specifically. However per that statute I believe that this is the intent. Basically, the issue comes down to is discussing issues and making decisions by e-mail considered a meeting of the Board.

Per Herold Tribune article:

Here are just a few guidelines for use by directors of email communications:

Do not "poll" fellow board members. Less than a quorum of the board can meet, talk on the telephone or otherwise communicate with one another about association business without violating the law. Copying all directors regarding a pending matter may be fine, but even asking, "So what do you think?" can create a de facto board meeting if the question elicits responses.

As a state arbitrator ruled in 2008: "It is not possible to conduct an open meeting by email."

Quote:

Posted By PeterD3 on 02/22/2014 4:23 PM

Nor does 617.0821 specify the conditions or circumstances in which action can (or should) be taken without a meeting.

True. It only authorizes an action without meeting. However, back to the open meeting requirements, there are those who advise what I advised:

Per Sun Sentinel Article:

Boards should refrain from voting via email, unless such matters constitute an emergency, and in such case, the prior vote should be ratified at the next regularly scheduled meeting of the Board.

Peter,

As you know I am not an attorney and do not work in the legal profession. Additionally, I will certainly defer to your knowledge of FL laws over my own.

Perhaps you could provide an answers to Anne's questions.

TimB4 (Tennessee)
Posts: 21,062

Posted:

Quote:

Posted By TimB4 on 02/22/2014 5:17 PM

As a state arbitrator ruled in 2008: "It is not possible to conduct an open meeting by email."

Here is a link to that ruling (in case anyone is interested):

STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION DIVISION OF FLORIDA CONDOMINIUMS, TIMESHARES AND MOBILE HOMES Case 2008-05-2765

LarryB13 (Arizona)
Posts: 4,099

Posted:

Anne,

One of my pet peeves with HOA boards is that due to a lack of management experience they are reluctant to delegate day-to-day operations. For those HOA's, the purchase of a box of paperclips requires the same attention as a discussion on repaving the roadways.

The board should hire someone to handle the day-to-day matters. Once he/she has been given the job and a budget your board will be relieved of having to vote on whether to replace the burned out light bulbs.

I do not think that discussing board business by email is a good idea. The board should discuss its business openly in scheduled meetings and all deliberations should occur at that time.

As I said above, normal day-to-day maintenance and normal operations are not matters that should come before the board except for budgeting.

AnnH6 (Florida)
Posts: 27

Posted:

One thing your Board might be able to do to get the minor, inexpensive things taken care of is to simply allow your CAM some wiggle room to actually manage the property, limit how much to be preauthorized for any needed but minor repairs, and approve/ratify any minor repairs at the next Board meeting (with the receipts). You could even make a list of things that can be addressed between Board meetings (light bulbs, locks, batteries).

AnnH6 (Florida)
Posts: 27

Posted:

One thing your Board might be able to do to get the minor, inexpensive things taken care of is to simply allow your CAM some wiggle room to actually manage the property, limit how much to be preauthorized for any needed but minor repairs, and approve/ratify any minor repairs at the next Board meeting (with the receipts). You could even make a list of things that can be addressed between Board meetings (light bulbs, locks, batteries).

LarryB13 (Arizona)
Posts: 4,099

Posted:

Take a cue from the big boys. GM does not convene a board meeting to discuss replacement of a burned out light bulb in the restroom at the Chevrolet dealership in Joplin. The board delegates that job to it executive managers who, in turn, have delegated the tasks to others.

BellaM2 (Florida)
Posts: 61

Posted:

If tenants are living in any of the foreclosed properties, your CAM should know with the help of the HOA's Attorney start sending out "Demand for Rent" letters, means renters will start paying the Association their monthly rent, instead of paying rent to the owners. Where is the CAM/PM, should be helping the BOD. As a new BOD member start reading articles and attending BOD educational seminars. Lots of them in Florida.
BellaM2