MarieS4 (Texas)
Posts: 5
Posts: 5
Posted:
If members are asking to see our financial books what would that all be and can just anyone see the books
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Financial Books
Started by MarieS4 • 6 replies • 1580 views
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GlenL (Ohio)
Posts: 5,491
Posts: 5,491
Posted:
Marie, welcome and yes your fellow homeowners are entitled under TX law to inspect the books. I would suggest you do an internet search on Texas HOA Laws or visit (http://newhoalaw.com/) and look at HB2761 - Record production and copying, board meeting notice, board meeting minutes, voting.
Studies show that 5 out of 4 people have problems with fractions
TimB4 (Tennessee)
Posts: 21,059
Posts: 21,059
Posted:
Marie (Amin?) are you in a condominium or single family homes?
MarieS4 (Texas)
Posts: 5
Posts: 5
Posted:
single family
JohnC46 (South Carolina)
Posts: 14,265
Posts: 14,265
Posted:
Marie
Often the best reply to such a request is a question of why and what do you wish to see? Some requests might be quite easy to show. Other requests might be witch hunt and near impossible to answer.
When in doubt, answer a question with a question.
Often the best reply to such a request is a question of why and what do you wish to see? Some requests might be quite easy to show. Other requests might be witch hunt and near impossible to answer.
When in doubt, answer a question with a question.
TimB4 (Tennessee)
Posts: 21,059
Posts: 21,059
Posted:
Marie,
In another thread, you posted the following:
Financial Records typically are:
General Ledger (or check book)For both Operating and Reserve Funds.
Bank Statements (if kept). Associations should but may not retain statements after reconciling.
Receipts for expenditures
Federal and State Tax Returns
Reports (Balance Sheets, Summaries, Income/Expense Statements, etc.)
Audits
Signed Contracts
Normally, you are allowed to see the individual ledger of assessment payments for your lot but not the ledgers of your neighbors. However, State laws vary. Therefore, if the Statutes are not clear, you will need to check with an attorney.
In another thread, you posted the following:
Quote:
Posted By MarieS4 on 07/29/2014 4:05 PM
Glen.. please ignore my lack of knowledge I am new at this... But does financial records mean the Treasurer's reports only or does mean the check book and register, bank statements and all receipts.
Glen.. please ignore my lack of knowledge I am new at this... But does financial records mean the Treasurer's reports only or does mean the check book and register, bank statements and all receipts.
Financial Records typically are:
General Ledger (or check book)For both Operating and Reserve Funds.
Bank Statements (if kept). Associations should but may not retain statements after reconciling.
Receipts for expenditures
Federal and State Tax Returns
Reports (Balance Sheets, Summaries, Income/Expense Statements, etc.)
Audits
Signed Contracts
Normally, you are allowed to see the individual ledger of assessment payments for your lot but not the ledgers of your neighbors. However, State laws vary. Therefore, if the Statutes are not clear, you will need to check with an attorney.
BillH10 (Texas)
Posts: 1,217
Posts: 1,217
Posted:
Marie, with respect to financial records of the association, they should be available to association property owners. The Texas Legislature made that very clear in the changes to the laws in 2011.
The issue of redacting financial records can be complex. In the associations we manage, and in the association in which we live, the financial records are open upon request with the exception that the specific account status of other property owners is not made available except to the Board. What is provided to any property owner is summary information, and redacted data in which the specific identifying information (address, parcel, etc.) is partially or completely redacted but the amount past due is displayed--for example, the report will state Past Due Account #1, Street Name, Amount Past Due, etc. The process for managing past due accounts is also made available and reviewed in detail with the requesting party. We also discuss the steps in the documented collection process which have been taken, what will take place next and when. All of that can be discussed in a way that Joe and Suzy do not have their financial problems made public and the members of the association are comfortable the Board and management company are conducting due diligence to collect monies owed the association.
It is not clear from your questions what is taking place in the association you are involved with. If you are involved as an elected party in the HOA, I strongly recommend the Board retain a property attorney. There are many here in Texas. If you are a homeowner, are seeking information, and are encountering push back, please tell us what you are seeking, why you wish to see it (if you wish to share that information) and what reaction you are getting when you request the information from those who have access to it.
The issue of redacting financial records can be complex. In the associations we manage, and in the association in which we live, the financial records are open upon request with the exception that the specific account status of other property owners is not made available except to the Board. What is provided to any property owner is summary information, and redacted data in which the specific identifying information (address, parcel, etc.) is partially or completely redacted but the amount past due is displayed--for example, the report will state Past Due Account #1, Street Name, Amount Past Due, etc. The process for managing past due accounts is also made available and reviewed in detail with the requesting party. We also discuss the steps in the documented collection process which have been taken, what will take place next and when. All of that can be discussed in a way that Joe and Suzy do not have their financial problems made public and the members of the association are comfortable the Board and management company are conducting due diligence to collect monies owed the association.
It is not clear from your questions what is taking place in the association you are involved with. If you are involved as an elected party in the HOA, I strongly recommend the Board retain a property attorney. There are many here in Texas. If you are a homeowner, are seeking information, and are encountering push back, please tell us what you are seeking, why you wish to see it (if you wish to share that information) and what reaction you are getting when you request the information from those who have access to it.
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