Notices- What does the word 'FIX' mean?

Started by DarleneN • 5 replies • 1692 views

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DarleneN
Posts: 25

Posted:

I'm working on the draft letter to be mailed in early January and I have a question. Can I put both pieces of information in the same envelope at the same time ?? In a word "what does "Fix" versus "Send" mean.

I would like to send the assessment along with a jpg file showing both the completed 2014 budget and the projected 2015 budget. I would also like to announce the annual meeting date in the same letter.

The new BOD has established the amount for our 2015 dues. (I believe that is the item(1) requirement.

I believe item(2) below is my delivery guide and I could do both pieces of information in early January, 2015 - Our meeting is January 25, 2015.

Please give me your opinion on timing. The statement below is typed in the By-Laws section of reporting assessments. In the Annual Meeting letter only item (2) is typed, which is the one I'd like to use for both pieces of information in the same envelope.

The former BOD president always sent out a letter for the new year assessment in November (30 days prior to the January payment). Then in December we'd get another letter with the annual meeting notice. The meeting notice would come within 30 days of the meeting. Looking at the By-Laws He quoted number(1) at the bottom of the assessment notice and he quoted item(2) at the bottom of the Annual Meeting letter. We never saw the finalized year budget until the minutes were sent in February. Yes, unfortunately he did literally everything without the other board members.

Here is the way it is written in our By-Laws: (This entire 'quote' is in the Annual Assessment section)

(c) As provided in the Declaration, to:

(1) Fix the amount of the annual
assessment against each unit at
Least thirty (30) days in advance
of each annual assessment period;

(2) Send written notice of each (This is the only thing written in the Annual Meeting section)
Assessment to every owner subject
Thereto at least ten (10) days in
Advance of each annual assessment
Period.

I thank you !!

KerryL1 (California)
Posts: 14,550

Posted:

My quick read suggests that (2) you must send the annual dues amount to owners 10 days before the first payment on the '15 assessments is due.

In the context of (1), "fix" seems to establish with Board action what the dues will be in the next year.

Your state laws may trump your own bylaws and may offer better clarity. I may have missed something is my rushing reading of your post, Darlene.

My own opinion is to send owners what their '15 assessment will be by Dec. 1 (required by law in CA). 10 days notice isn't very much. What's the amount of your annual dies?

I see no reason why you cannot send notice of the annual meeting date with the new assessment info. What size is your HOA?

SheliaH (Indiana)
Posts: 6,964

Posted:

I don't see any problems sending both letters at once - the earlier, the better. Our Bylaws require the new budget be received by homeowners 30 days in advance - specifically December 1. It also requires a 30 day advance notice of the annual meeting (February.) So, we send our notices the way your former president did.

In your case, it seems the primary issue is that the new year's budget isn't yet finalized when it's mailed in November - you can fix that by requiring the Board to finalize it in November (specify a date if necessary) so there's time to get accurate information to the homeowners 30 days in advance so they can adjust their budgets accordingly. If this is something you can do without changing the CCRs, pass a board resolution stating the same.

When I was on the Board, I suggested that we also schedule the annual meeting at the same time we approved the budget, so our property manager would know exactly when the annual meeting notices had to be mailed. Since we meet the third Wednesday of the month, I said that would prevent us haggling over a date in January and then rushing to get the notices out so we could meet the 30 day advance notice (we no longer meet in December unless there's time-sensitive Association business and homeowners are told that in the newsletter).

On a somewhat related note, sending both at the same time can save printing and postage costs. If your Bylaws or CCRs allow for electronic delivery of the same, you might want to encourage homeowners to provide their email address so you can ship the information at the appropriate time and save even more money.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

RogerB (Colorado)
Posts: 5,067

Posted:

DarleneN,
The amount of assessment "fixed", i.e., established, must be sent out in advance of the due date by atleast 10 days.

You may mail several notices in the same envelope only when all required dates are met. If your Bylaws allow, as many HOAs now do, you could send out the budgets later by email rather than incur a second mailing

KerryL1 (California)
Posts: 14,550

Posted:

With Sheila & Roger's point: Even if your own bylaws or other governing docs don't mention sending the budget electronically, you state laws might.

If like CA, Darlene, your state statute might say something like your HOA may send certain communications electronically to all owners who opt in to such a program. In our case, an owner fills out a brief form opting into receiving certain HOA info electronically. Owners also can opt out in writing.

Sending by email, of course, saves our HOA a lot in postage because there are many required items that we send out with the budget, which adds up to 30 pages!!

But some materials must be sent by US mail, e.g., election materials including ballots.

DarleneN
Posts: 25

Posted:

Thanks to all of you. I've been on the board for 4 years but the former president did it 'all', never included the other two of us. Now, it's a new board and I do the correspondence and the books. It's much better with all 3 of us working together !!

To answer some of your questions.

This condo assn. is in Wisconsin and looking up the state law, I find there is no state requirement as to letter timing.

You've seen what is in our By-Laws. So, I'm going to go with one letter for both sent within the last 10 days of Dec.

We are a volunteer board of 3 of us who work together very well. All three of us are retired. We used to be a computer programer (me), a maintenance business and apt. owner and an lastly an engineer.

We are 5 buildings each with 8 condo's (4 up & down) for a total of 40. (36 owners, 4 rentals) It is not a senior only condo but only 2 owners have kids. No common hallways, no common buildings, no pool. Just a huge pretty pond.

We have nowhere near the rules and laws and picky folks that I see referred to so often here on HOAtalk. We are fairly 'laid back'. Our landscapers tell us we have the least rules for a condo assn. they've ever seen.

The assn. is neat, clean, repaired endlessly. The 5 buildings were built between 2003 and 2010.

Our current dues are $130.00 per month - $1,560.00 per year. They've gone up once since the beginning (from $120.00)

The former pres. thought he'd bring in a MC when he no longer wanted the job but we did not want the added cost for that. 2 volunteers and myself became the new board for 2014.

We save faithfully 25% per year of the dues in our separate MM reserve acct. We do not draw from the reserve, it is a budgeted item.

Our peeps simply go and purchase little small items they need without the board. (Example: rain gutter splashes or accordion hoses etc.) We can plant our own areas if we like.

We have no dues delinquency's and once in a blue moon a late payment. I rarely, if ever fine as stated in the By-Laws. Just a phone call does it.

By some miracle, we've had some hefty increases this last year, can you believe that our trash company found they have been billing us for the wrong number of units (26 instead of 40) ever since 2003 and had no contract on file for us. But we managed to have no increase for next year with our budget planning. This board shopped prudently and did long term contracts for utilities where possible and we do much of the maintenance itself instead of the former pres. who hired each and every little thing out. The board member who used to own his own apt. building and also owned his own repair and maintenance company is very knowledgeable and does all kinds of repairs well at zero fee.

Knock on wood, it all continues this way. Compared to some of the horror stories I've read. We've got it good here. It's a quiet, beautiful place to live in spite of the frozen tundra winters here.

Thanks again. I do like to come here to read and get ideas, they are plentiful and helpful.

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