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DanielR3 (Arizona)
Posts: 5
Posted:
Hi all,

My parents are in the process of buying a house in our single-family HOA subdivision. Since they currently live out of town, I've been dealing with the HOA with regards to a steel shade structure in the backyard of that house, and so the realtors have been providing me with the communications between the sellers and the association.

That structure has steel posts and a corrugated aluminum roof. The HOA's "Design Guidelines" document states:

"Attached structural additions require the material and color selection to closely match the architectural construction of the existing house structure. This could include a matching of the existing house roof form and material."

The structure was built without the association's approval. A letter the seller later received from the management company states:

"the Board of Directors approved the metal shade structure contingent upon it being attached to the house, painted to match the color of the house and maintaining the ten-foot setback from the rear property line and five-foot setbacks to any adjacent side property line. A variance was granted for the non-compliant steel roof on the metal shade structure. The structure is to be maintained in an aesthically pleasing manner at all times and if future major repairs or replacement is needed then the structure must adhere to the current Design Guidelines of Continental Reserve at that time. Any major repairs or replacement will require the prior approval of the Architectural Review Committee." (Feb 17th)

So, in short, they granted a variance for the non-compliant roof to help this guy sell his house. This seller happens to have been a board member, up until they moved out.

Meanwhile, I've been working with the architecture committee about a steel/wood shade structure I'm trying to build. Everything is in agreement, except they are requiring that the support posts are built up and finished with stucco, in order to "match the existing house structure." So, I have an appeal written to the board and am waiting to hear their decision, which will be made in an executive session.

So, there are two potential issues I have:
1. The arch. committee says I am asking for a variance with regard to my steel posts. But, in the letter to the seller, a variance was granted for a steel roof (mine has a wooden pergola-style roof, no problem there), but the letter does not mention any objection to the steel posts. So, if that letter sets precedent, I don't even need a variance.
2. Rules are supposed to be enforced uniformly, and the denial of my project looks especially suspicious given that the owner of the other property was on the board.

I appreciate any thoughts!

Danny
DanielR3 (Arizona)
Posts: 5
Posted:
Hi, me again.

After doing a bunch more reading on this site and elsewhere, it sounds like the documentation I have (letters to the other homeowner) are the key here...otherwise it's just a he-said-she-said hissy fit, whining about how the rules shouldn't apply to me...

The issue here is that the design guidelines aren't specific, and the committee/board have dealt out contradictory interpretations of them, at essentially the same time....the letter approving the other structure was dated Feb 17th, and my denial Feb 19th.

Just hoping someone with experience can tell me if I'm crazy! I am not one to try to whine and cry to try and get around the rules...I just think I'm getting screwed here.
DonaldN (Connecticut)
Posts: 183
Posted:
I'll give you my 2 cents based on my experience with our HOA and what I'm about to say may be true of all HOAs - they're autonomous and there's no entity that can enforce the bylaws if the Board decides to break them - the only solution that I can see is to bring a lawsuit against the Association/Board - double edge sword though, nobody wants to be on the Association black list and most people can't afford to sue.

One of the problems is apathy - very few, if any, of the residents here care or know what the bylaws say - what gets resident attention is if something isn't fixed or if the fees go up - that's about it .

Good Luck !!! - I'm curious to see what others say .
TimB4 (Tennessee)
Posts: 21,062
Posted:
Quote:
Posted By DanielR3 on 04/11/2014 10:29 AM

So, in short, they granted a variance for the non-compliant roof to help this guy sell his house. This seller happens to have been a board member, up until they moved out.

No, they approved the structure contingent on many many items.

Quote:
Posted By DanielR3 on 04/11/2014 10:29 AM

Meanwhile, I've been working with the architecture committee about a steel/wood shade structure I'm trying to build.

Do you currently own the home or is this contingent on the purchase?

Quote:
Posted By DanielR3 on 04/11/2014 10:29 AM

1. The arch. committee says I am asking for a variance with regard to my steel posts. But, in the letter to the seller, a variance was granted for a steel roof (mine has a wooden pergola-style roof, no problem there), but the letter does not mention any objection to the steel posts. So, if that letter sets precedent, I don't even need a variance.

You are incorrect. You are not maintaining the structure that was previously approved, you are making changes to it. Therefore, you need approval for the exterior change. By making the changes, you reopened the issue and the ARC can now force you to comply with the covenants as written.

I know that you are seeing the issue one way and the ARC is seeing it another. My suggestion, pick your battles. It is highly likely that the Association didn't have the authority to approve the steel posts in the first place (as nobody, including the Board, can waive a covenant unless that document grants such authority).

Quote:
Posted By DanielR3 on 04/11/2014 10:29 AM

2. Rules are supposed to be enforced uniformly, and the denial of my project looks especially suspicious given that the owner of the other property was on the board.

I agree, rules are to be enforced uniformly.
Based on what you provided, the Association was in error when they granted the initial variance.

Are there other properties that have steel posts like those on your proposed purchase? If there are, you have a fair argument for having the Association approve yours. However, if there are not, and yours is the only property with the steel posts, the Association is simply correcting it's mistake in the past.

Had you decided not to change the structure, the Association would have been stuck with it's earlier approval.
CarolR11 (Colorado)
Posts: 2,563
Posted:
This topic usually generates a lot of replies so I wonder if what you wrote isn't totally clear to us.

Is this correct, Daniel?

The seller of the house your parents want to buy is in the HOA where you also own. The seller of that house was given a variance--with lots restrictions-- to permit steel posts (etc.).

You are trying to get a variance for your own home to build with steel posts, and the ARC isn't approving it.

If I'm not missing something here is what I think. My CC&Rs state that just because the Board or ARC grants a variance in one case, it's not obligated to grant the same variance in all cases. So check your documents. If I'm not incorrect, I wouldn't spend time on thinking about this (favoritism, cronyism) and comply with your ARC after you give them your best argument for steel posts.

I do not agree with Donald's two cents. In addition, the entity that can overcome an arbitrary, abusive Board is a coalition of homeowners themselves, but that may not even be the case with Daniel's HOA.

Why, however, is the appeal decision being made in executive session, Daniel? Will you have an opportunity to speak to the board? Does all of this comply with your documents AND with AZ laws??

If Larry of AZ checks in, he may have some very accurate thoughts for you.

TimB4 (Tennessee)
Posts: 21,062
Posted:
Carol,

This is the way I understand it.

1) Seller listed home

2) Buyer (parents) made an offer

3) In creating the Disclosure statement, the Association discovered the unapproved structure (metal roof and metal supports for roof)

4) Seller convinced Association and received after the fact approval for the structure

5) unclear Buyer closed on home or is in process of closing

6) Buyers Son (Daniel) submitted paperwork to Association to change the recently approved structure with a different roof (change from metal to wood).

7) Association said no but said they would approve if a plan was submitted that addressed the metal supports (which are not in compliance)

8) Buyers Son is appealing the decision to the BOD claiming (if I understand correctly) selective enforcement as they just approved (after the fact) the existing structure 2 days earlier.
CarolR11 (Colorado)
Posts: 2,563
Posted:
I saw it the same way first, Tim, but now I'm not so sure. I think he's talking about 2 different properties (????) Daniel needs to clear this up.
DanielR3 (Arizona)
Posts: 5
Posted:
Hi, yes I guess I need to clarify!

Yes, I'm talking about two different properties. The property my parents have bought (sale is closed) has the existing steel post + steel roof pergola. It was approved contingent on all those things, and I have the letter stating those contingencies, and the email to the seller stating that all violations have not been addressed...seeing these communications was a condition for closing. Nobody is suggesting changing anything at my parents' house.

The plan for my structure was originally submitted prior to the other house going up for sale. I sent my plan in, they asked for some clarification on a few things, I provided it, and was waiting on a decision. During that process, I received, through my parents' realtor, the letter that approved the structure on the other property contingent on ____. Those contingencies were not serious issues and were easily rectified. As the excerpt in the first post says, they were explicitly granted a variance for the steel roof.

So, when I got my denial letter saying it was denied because the posts need to have stucco, I thought "wait a second...." The design guidelines are not specific, so the committee and the board have to interpret what the rules mean with respect to structures like this. The problem I have is that on the issue of steel posts, they had no comment at the other property and have made it a black and white issue with mine. They have no issue with the wooden roof in my plan...it never was a problem.

So what we have is a letter approving a structure with steel posts (no specific discussion of this aspect) sent to the seller on Feb 17th. The letter denying my proposed plan was sent on Feb 19th, and specifies steel posts as the reason for the denial. If that isn't selective enforcement I don't know what is! The fact that the seller was a board member certainly doesn't look good either.

I realize granting variances is a slippery slope. The simple solution is that the design guidelines be amended with some specific language...the board has the authority under the CCRs to do that. That still leaves the issue of what to do with me. It is certainly unethical to treat the board member's structure differently than mine.

Yes, there is a clause in the CCRs saying that prior approval doesn't guarantee future approval. I expect that will be the board's answer. I went to the board's meeting on this past thursday, but was told that any discussion and decisions would be made in executive session and I could not be present. The CCRs give them authority to hold executive session to discuss issues of compliance.

I certainly don't want to end up in court, and I'm not sure this hill is even worth dying on. Typically, proof of selective enforcement is difficult to measure, but given the coincedental access that I have to these other letters, I think I can clearly show it here.
CarolR11 (Colorado)
Posts: 2,563
Posted:
But "compliance" generally is involved with acts that already have occurred that don't comply . Your situation doesn't fall into that category. Where are Larry & Fred of AZ when we need them?

Still, because of the ambiguity around "variance," I wouldn't die on that hill. Not worth it.
LarryB13 (Arizona)
Posts: 4,099
Posted:
Daniel,

Even though your parents' house is now a done deal, may I suggest that you record the variance letter(s) with the county recorder. This will ensure that long after this current board is gone that there will be no dispute that the board approved the structure. You do not want to be looking through shoe boxes for that document ten years from now when a new board demands removal of the structure.

With regard to your home, one thing jumped out at me: "I have an appeal written to the board and am waiting to hear their decision, which will be made in an executive session." This is a rather patent violation of Arizona's open meeting law, ARS 33-1804. The law allows executive sessions for only five specific topics and an appeal of a denial for a variance is not one of those topics.

As someone noted above, the only avenue open when the board behaves badly is through the courts. Sometimes you have few choices and have to go that way. Other times grabbing your ankles may be a better choice. It all gets down to how much time and money are you willing to put into a fight with this board? You can build the structure the way the board wants it and begin using it as soon as the construction is done or you can spend the next two to six years in court, where it is not altogether clear that you would prevail.

Please understand that I am not endorsing the board's behavior, but if it was me I think I would decide that this is not a battle worth fighting.

DanielR3 (Arizona)
Posts: 5
Posted:
Thanks for the comments. You're certainly right about the closed meeting...I'll have to bring that up. I was aware of that statute but obviously didn't read it carefully enough.
CarolR11 (Colorado)
Posts: 2,563
Posted:
I'm glad you replied, Larry, and also backed up my question about why this appeal was being done in ES. Makes me wonder if this board is ignorant or is going behind owners' back on purpose.

I also agree with Larry, Daniel, don't spend time & $$. Comply & get your shelter before it gets toooooo hot there : )
DanielR3 (Arizona)
Posts: 5
Posted:
Well, I received an answer...exactly as I expected: approval of one thing doesn't guarantee similar approval later, blah blah blah.

They also are insisting that the executive session was legal, because they received legal advice pertaining to this matter (i guess they were afraid I would sue). That certainly is fine, and they can exclude me from that meeting, but I don't think the law allows them to make a decision about my appeal without me present. Just because one thing qualifies for a closed meeting doesn't mean you can take care of other business in that same meeting, right?

The law isn't specific, but it seems like a decision rendered in an illegal meeting is unenforceable...is that correct?

I have decided this is not worth wasting any more of my time on, nor worth any money suing myself...but the board will hear my disappointment with their behavior at the May meeting. I expect them to be more careful in following the law, lest they actually get taken to court by someone more hot-headed than I.
DonaldN (Connecticut)
Posts: 183
Posted:
Quote:
Posted By DanielR3 on 04/16/2014 10:00 AM
Well, I received an answer...exactly as I expected: approval of one thing doesn't guarantee similar approval later, blah blah blah.

They also are insisting that the executive session was legal, because they received legal advice pertaining to this matter (i guess they were afraid I would sue). That certainly is fine, and they can exclude me from that meeting, but I don't think the law allows them to make a decision about my appeal without me present. Just because one thing qualifies for a closed meeting doesn't mean you can take care of other business in that same meeting, right?

The law isn't specific, but it seems like a decision rendered in an illegal meeting is unenforceable...is that correct?

I have decided this is not worth wasting any more of my time on, nor worth any money suing myself...but the board will hear my disappointment with their behavior at the May meeting. I expect them to be more careful in following the law, lest they actually get taken to court by someone more hot-headed than I.

Re-read my earlier post - other unit owners will be reluctant to join you in a fight against the Board because it's not their problem and they probably could care less - so what are you left with - continue to point out to them the error of their ways hoping for a turnaround or possibly start legal action.

My wife and I have lived in our complex for 16 years - have seen it all - I have no feel for how things are where you live, I can only share our experience - the pros still outweigh the cons for us but we're prepared to move if necessary.

Good Luck !!!

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