💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

RandalR (Tennessee)
Posts: 98
Posted:
Anyone got any good legal options on how to overturn a Boards decision on pool hours? About five years ago the Board decided to close our only pool from 5-7pm Mon-Thur supposedly to save money (a whopping $12/day) and supposedly because no one was ever using it during those hours. Very conveniently our neighborhood swim team just happened to decide that they would like to use it during those hours and the Board gave it to them. Evidence now supports the claim of the whole thing being a setup in order for a couple of Board members to get in good standing with them in order to get preferential treatment for their own kids! For the past four years the swim team has managed to keep enough swing votes to keep this ridiculous practice going. Now it appears that it's going to happen again this year despite the fact that effective this year, our association dues have been increased by about 50% and will now include the use of the pool/tennis courts. (Before you had to pay an additional $300 to be a member of the recreation association) I estimate that this new rate structure is going to create a reserve deficit in excess of $25K. Our only opportunity to decrease that amount is to sell associate memberships to people outside the neighborhood but with these evening pool closures, nobody (except maybe a dozen of the outside families of swim team members) will join. Anyone got any good ideas short of a Board recall vote (which in itself would be near impossible due to the fact that our Bylaws still require a petition signed by 75% of the neighborhood for such an action)!

HaroldS1 (Arizona)
Posts: 314
Posted:
Randall - we've had previous discussions about swim clubs closing and using HOA pools. Do a search for "swim club".
How was this 50% dues increase effected? Your documents probably does not allow that much of an increase without a special vote from the members. Sounds like the new dues makes membership for the pool and tennis courts mandatory. Again, how could they do this without a vote? What per cent of your owners belonged to and paid into this pool/tennis club? Does this swim club pay anything toward chemicals or maintenance? Do they provide their own insurance and hold your HOA harmless? I would be screaming loudly - especially now if I am forced to pay for the pool and be told I can't use it at certain times. You need to start canvassing the owners and get that 75% for a new election. Harold
BradP (Kansas)
Posts: 2,640
Posted:
Randal:

I, as Harold, would be screaming at these guys. First of all they let someone else use HOA property without paying to do themselves a favor (conflict of interest). Whose insurance was covering these kids when they were in the pool, was there a contract, was there proof of insurance. If not they put the entire association and every homeowner at risk.

You already know this, but HOA property exists for the residents not outside groups. If they are not willing to listen to reason I would recall them. I, as a homeowner, would not feel good about my property being put at risk.
JM2 (Oregon)
Posts: 439
Posted:
Hi Randal:

I don't think that screaming will do the trick...but a petition from members, requesting that these hours be "open swimming hours" would be in order, as well as the investigation into the Swim Club's payment of costs, insurance, etc. It would make sense, if the swim club is using the pool, that they not only pay for the cost of the chemicals but a proportionate amount of the "wear & tear" on the equipment.

While it's understandable that the swim club might use the pool if they are paying a reasonable amount of rent and paying their own insurance, I'm not sure that the 5-7 PM hours aren't an optimal time for moms & dads to send kids to the pool, as well as for adults coming home from work to want to swim (cool off &/or excercise) before dinner.

A written petition, signed by members who would want to use the pool during those hours, and who would want to make sure that the swim club paid a fair share and their own insurance, would go a long ways toward helping the board to understand the problem. If they chose to ignore the petition, then there would be a core of people with the energy to pursue the 75% petition to remove board members... The best solution would be to get people to be as reasonable as possible in this situation.

JPM
ThomasR2 (Ohio)
Posts: 1
Posted:
We have a swim team in our HOA. The team practices in the morning before the pool opens at its regular time of noon. We have three or four meets during the summer. These meets are held on Thursday evenings. Fortunately we have two pools, so one is available for other association members. We use the other pool for swim lessons during the mornings. They do pay for their own insurance and certified lifeguards. If the other pools is closed for a maintenance issue, the swim team does take precedence. Most of our swim team members are part of the HOA. The other team members and visiting swim teams are considered a guest of the HOA.
HaroldS1 (Arizona)
Posts: 314
Posted:
Everyone seems to agree the swim club should pay it's way for use of HOA property. And doing their practice when the pool is not open (and has never been open those hours - not the manufactured closing hours Randal's HOA made.)
But I'm surprised no one is concerned about the arbitrary making the pool/tennis membership mandatory and/or the doubling of dues. Unless done and approved properly, this is not allowed in any CC&Rs I've seen. Harold
BradP (Kansas)
Posts: 2,640
Posted:
Harold:

I guess I didn't pay too much attention to that since the headline was about the Swim Team. However, after re-reading this I would agree that something isn't right. I would be curious how they approved this rate hike without homeowner approval?
RandalR (Tennessee)
Posts: 98
Posted:
Our HOA has always been voluntary (dumb idea 20 years later). When I moved here in 2001 dues were $60/yr, last year they were up to $130/yr. If you wanted to use the pool/tennis then you had to come up with an additional $300/yr. Even when voluntary only ~220 out of 263 ever paid their dues. Last years Board attempted to revise the covenants to make dues mandatory. Over a year later they're still trying to get the 132 signatures necessary. Threat of legal action by some residents caused them to write in a clause exempting current residents from having to pay mandatory dues if it did pass. So mandatory dues (if it does ever pass) will only impact future residents. Our covenants and bylaws are so generic that they're essentially worthless, and the Board doesn't want them changed.

The 2007 dues of $215 were approved by a simple majority at the annual meeting in January. There were only about 40 households present and about 60 proxies in play. (That's a big turnout for our HOA) The Board presented the $215 as being a "balanced budget" and any attempt to discuss the fuzzy math was quickly squelched.
Their balanced budget assumed that we'd somehow magically jump to having 250 household start paying their dues since it now included the pool/tennis! There's already talk of how they're planning on raising the dues next year.

Pool has always been a point of contention in the neighborhood. When everyone had kids it was a great thing. Now that most of the kids have gone off to college, many of those same parents no longer want their money going to fund it. For many it's "out of sight, out of mind" which is why it's hard to mount a challenge to whatever goes on down there. In any given year only about 70 households have ever joined the pool. Less than 40 of the 125 swimmers are even from our neighborhood! Last year there was not a single resident on the swim teams governing committee! (This year they're going to put the wife of one of the Board members on it.)

We used to collect $65 from each swimmer whose family was not a member of the HOA or had not purchased an out of neighborhood associate membership ($300). If you did purchase an associate membership then the $65 was applied towards the $300 fee. Any attempt to raise the "contribution" has always been shot down by the Board members that keep the swim team afloat.

The swim team has busted the sewer pump controller twice (~$1000 repair each time) and each time the Board has opted to cover the repair costs for them. We purchased 4 new sets of pool furniture last year for about $5K and the furniture already looks 5 years old. The furniture gets dragged across the concrete 4x per day, the umbrellas get thrown up against the fence and snag on the barbed wire outriggers, etc., etc., etc. We updated our electrical panel to try and provide more electricity for the swim meets but we still have to rent light generators because our electrical system still can't handle the load. Who ends up paying for it? The Association! The swim team certainly can't be held accountable for any damage or expenses, after all they're just children! The Association even gives them seed money each year to cover start up expenses until they can collect all their fees. They are supposed to reimburse us but last year fell short by $600. That amount was still due as of January but my bet is that it will be "forgiven" or buried in the books.

As for insurance, the swim team only pays for "special event" insurance when they hold their 2-3 swim meets each year and that only started last year. We found out from our insurance carrier last year that if there had ever been any accidents at the special events then we would have been liable. I guess we should consider ourselves lucky that the Board didn't feel we should pay for that too. I think this year the Board is also going to start picking up the tab for the 2-3 porta-potties that they're having to bring in for the swim meets. The swim team has a real sweet deal going for them as long as they continue to control the Board. If they can't pay their own way and operate like all the other teams in the area and practice in the mornings, then it's time to resort to some more drastic means to put an end to this insanity once and for all. Our only source of income to offset the deficit we're facing is to sell more Associate memberships and closing our pool during the evenings certainly is not a selling point, especially with two other local neighborhoods also selling associate memberships for the same price.

More suggestions and options please!!!! Apologize for the lengthy dissertation but those of us that want our pool back are at wits end!

GeraldJ (Tennessee)
Posts: 6
Posted:
You and your friends need to follow the lead of the residents that threatened legal action over your covenants. Did an attorney actually contact your board or was the threat of legal action enough to get them to grandfather your current residents? You should do the same. Contact your local bar association and sign up for one of their free consults. But make sure the board finds out that your group is serious enough to actually contact an attorney over the issue. Maybe that will get their attention and make them reconsider continuing such an asinine policy as closing your pool to residents during prime evening hours.

If the consult doesn't get their attention, pay the attorney to actually draft a letter to both the board and the swim team to advise that he has been retained for the purpose of pursing legal action against both entities (doesn't mean you actually have to do it). A swim team doesn't have the resources to hire an attorney to fight a civil action and the board needs to realize that any lawsuit that is actually filed against the HOA will jeopardize their ability to obtain liability insurance in the future. Who wants to insure a board that lets themselves get sued over something like that? If the board is stupid or stubborn enough to fight you all over an issue like this then they need to be recalled no matter what it takes. I've never heard of a swim team getting this kind of preferential treatment. Make them swim in the mornings like every other swim team.

I for one will never live in another neighborhood that has a swim team. Loved the kids but the parents were another matter!

HaroldS1 (Arizona)
Posts: 314
Posted:
Randal said "So mandatory dues (if it does ever pass) will only impact future residents." Changing from a voluntary association to a mandatory association requires 100% approval of all owners. Trying this "grandfathering" bit won't work. They simply cannot place such a deed restriction on your property without your consent.
RandalR (Tennessee)
Posts: 98
Posted:
One thing we found out when this mandatory dues thing started was that if you talk to a dozen lawyers, you got a dozen different answers as to how to go about transitioning from voluntary to mandatory. The Board finally found one that gave them the answers they wanted and decided that they wanted to go with him. He says all you need is a ~50.1% majority to implement it. The last thing that was reported back in January was that they had "collected a little over 100 signatures". They need 134 to constitute a majority. They also will not tell us how many more residents they have to solicit before they've contacted everyone, or have twisted as many arms as they possibly can. In theory, for those residents that live here now, it's business as usual. If you're you don't want to join the HOA then you don't have to. Eventually (20+ years?) all the homes will change hands and all these newbies will have come in under the mandatory fee structure. I agree that this grandfather clause radically changed the plan which was to get as many people paying as possible. There is one large subdivision near us where the Board simply decreed that dues would no longer be voluntary, and it seems that they've gotten away with it without any lawsuits but there's no way anyone would probably know if there were any.
RandalR (Tennessee)
Posts: 98
Posted:
The other thing I found interesting about the majority requirement for passing the revised covenants is that it only requires a 50.1% majority. For the homeowners to call a special meeting (such as to recall the Board), it takes a 75% majority of the homeowners just to get such a meeting called!
RogerB (Colorado)
Posts: 5,067
Posted:
Quote:
Posted By HaroldS1 on 04/28/2007 8:31 AM
Randal said "So mandatory dues (if it does ever pass) will only impact future residents." Changing from a voluntary association to a mandatory association requires 100% approval of all owners. Trying this "grandfathering" bit won't work. They simply cannot place such a deed restriction on your property without your consent.

I disagree with your assumption Harold. I believe the Covenants can be amended by the percentage required in the Covenants. And the reason to grandfather those who request it is because it would not be wise to take to court those who refuse to pay a manditory assessments.
HaroldS1 (Arizona)
Posts: 314
Posted:
Roger - here is a direct quote from a post by you on 3/19 on another thread:
"A competent HOA attorney will be used to provide an answer that key question. As stated in my first post "I believe it may take ALL owners signing a document, and possibly having their signature notorized." However, every owner did agree to abide with the Covenants and amendments to them when they purchased their property, so it may only require amending the Covenants. And amending the Covenants does not take approval of every owner (some takes a few as a simple majority of all owners)."
You first confirm my statement that YOU indeed believe it will take all owners to sign a document (to convert from voluntary to mandatory)- not only signed but notarized. Then you state the voluntary HOA can change the covenants because every owner did agree to abide .... when they purchased their home. HUH? What kind of agreement would I have signed when buying into an area with a voluntary HOA that would make me subject to the whims of 50.1% of my neighbors which would allow them to file deed restrictions on my property? You also frequently assert that a voluntary association is nothing more than a social club. If you truly believe a simple majority in a voluntary HOA has the power to subject every member to mandatory membership, why is there such a brouhaha and the need for "A competent HOA attorney?" Just do it. I don't think you can without 100% approval of all owners. Harold
RogerB (Colorado)
Posts: 5,067
Posted:
Harold, I agree that it may require an owners approval before they can be legally charged for an assessment. That is why I suggest grandfathering. A current owner may not sign but when they sell the new owner would be agreeing to the amended CC&Rs which are in effect at the time they purchase. Eventually those who are grandfathered would be phased out and all owners were be legally liable for assessments. I know of one HOA nearby which is doing this - now only 2 properties are not being assessed. Since I am not an attorney I would not presume to state this is the only legal procedure for conversion from voluntary dues paid by owners to manditory assessments against the property.

----------------------------------------------------------------------------
Following is the entire post I found which may clarify further what I stated:

RogerB
Posts:2215

03/21/2007 6:38 AM Quote Reply
Posted By DJ1 on 03/21/2007 3:33 AM
Do you agree that it is likely you need 100% of owners to switch?


No. The Covenants already are in place and can be amended in accordance with their specifications. All owners agreed to these Covenants when they purchased their property. I do think it may require an owner's approval for the manditory assessment; however, this would need to be determined by an experienced HOA attorney.

Your comment suggests I did not effectively communicate what would be grandfathered. It would apply only to paying the manditory assessment not to existing violations.

Any voluntary association that has existed for some time has violations since there is no effect means to force the owners eliminate the violations. Those owners would definitely be opposed to such an amendment to the CC&Rs and I suspect some would campaign strongly to defeat it. However, if the amendment passed then they, not a future buyer, could be forced to eliminate the violation(s) for which they were previously notified.

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

  • ✓ Ask follow-up questions
  • ✓ Share your experience
  • ✓ Get expert advice
  • ✓ Access 350,000 discussions
Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here