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

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in

BarbaraC15 (Georgia)
Posts: 23
Posted:
I live in a 232 unit condominium in Georgia.

We are a gated community and have really not had much of a problem with crime.

The board president recently hired his partner/roommate as a courtesy officer. I looked through our past minutes and see no mention of this being voted on at any of our monthly board meetings. None of the owners were ever told of this hiring. I happened to find it in our 2015 budget when I was looking at it.

Also, some of the owners were told he is a bonifide police officer. He isn't, he is employed by the police department, but not as an officer.

The courtesy officer is being paid a salary of $1475.00 per month. I have asked our managment company why this was necessary and how many hours and days this person works monthly. They refuse to answer my question, saying it is none of my business. I also asked if he was hired as an employee of our association or as an independent contractor. Again, none of my business. What worries me, if god forbid, that he would be injured by a criminal. who is responsible for hospital bills, lawsuits, etc. Again, they refuse to answer my questions.

Also, our dues increased $12.00 a month, which I am guess is to pay his salary. Is there anything that can be done about this. It seems to me that the board president has done this for his own good, not the good of the Condominium complex. Especially since none of the owners knew this job position even existed.
NpS (Pennsylvania)
Posts: 4,216
Posted:
Does you condo have other employees? What do they do? Do they have job descriptions?

Sikubali jukumu. Read all posts at your own risk.
DouglasK1 (Florida)
Posts: 2,046
Posted:
Quote:
Posted By BarbaraC15 on 02/16/2015 3:40 PM

The courtesy officer is being paid a salary of $1475.00 per month. I have asked our managment company why this was necessary and how many hours and days this person works monthly. They refuse to answer my question, saying it is none of my business.

Also, our dues increased $12.00 a month, which I am guess is to pay his salary. Is there anything that can be done about this. It seems to me that the board president has done this for his own good, not the good of the Condominium complex. Especially since none of the owners knew this job position even existed.

If a majority of the board approved this, either explicitly, or as part of the approved budget, then it could be considered proper. I assume you aren't on the board? Assuming your board meetings are open, have you gone to one and asked about this? The management company works for the board and reports to them, they might not want to get in the middle of this. If enough owners are unhappy enough with this situation, then maybe it's time for them (and you) to gather support and get themselves on the board next election so you can have the association run more the way you want it to.

Escaped former treasurer and director of a self managed association.
MelissaP1 (Alabama)
Posts: 13,836
Posted:
A HOA should NEVER EVER EVER NEVER EVER EVER combine a neighborhood watch/crime monitoring and HOA funds

Former HOA President
MelissaP1 (Alabama)
Posts: 13,836
Posted:
Sorry had a computer glitch... A HOA should never ever never ever combine neighborhood watch type activity with the HOA. It' a bad idea and adds liability onto everybody. Travon Martin anyone??? That HOA was sued for a few million dollars...

It is okay to have security like cameras, secured gates, and security guards paid out of the HOA budget as professional contracted services. However, once it goes it is coming out of the HOA budget for actual insurance and requires Tax forms to claim employee. That is a concern.

You may want to point out that it is YOU and your neighbor' business. ALL HOA expenses are. It's you and your neighbor's money. My concern is that the MC telling you none of your business. They get paid by you and you neighbor's money. I think you all have a right to view the records. Something that needs to be reminded of your board and MC. The board is elected to represent the HOA members as a whole. The money they spend is NOT theirs but EVERY MEMBER's money. The MC is hired by the HOA board as a contractor to help manage the money. They are NOT members of the HOA and act only when instructed by the board.

Good luck... I have been there with my own crooked person... Not saying this is crooked. Just saying that the situation does deserve some questioning.

Former HOA President
BarbaraC15 (Georgia)
Posts: 23
Posted:
That is the problem, I couldn't find anything in the BOD monthly minutes about this being voted on by the BOD. It sounds to me like the President of the BOD decided himself, since the person hired is his live in partner.
BarbaraC15 (Georgia)
Posts: 23
Posted:
To NPS.

We have one other employee who is called the porter. He runs the trash compactor, picks up litter, that kind of general maintenance stuff.
NpS (Pennsylvania)
Posts: 4,216
Posted:
$12k per year is not an insignificant amount. How large is your budget? Was the cost of the Courtesy Officer included in the budget?

Sikubali jukumu. Read all posts at your own risk.
BillH10 (Texas)
Posts: 1,217
Posted:
Barbara, my comment is predicated on the very small amount of information in your post.

This situation does not pass a "smell" test. There may be a legitimate reason to hire someone for such duties, but, depending upon how your association operates, it should have been put out to bid.

Above all, no officer/board member should have been, or be involved with in any way, the hired employee, once, twice, or thrice removed.
BarbaraC15 (Georgia)
Posts: 23
Posted:
to:NPS

The cost on the 2015 annual budget is $1475.00 per month, which is $17,700 a year. As I mentioned before, it seems right after this new position was created (meaning it never existed before) our dues were raised $12.00 per month per unit, which I am guessing was raised to pay for this new position. Who is benefiting from this? Our board president. More money in his and his partners pocket for a job that is not needed.
BarbaraC15 (Georgia)
Posts: 23
Posted:
to BillH

I don't know how else to give more details about this. I only knew about it because I saw it on our 2015 annual budget. As I mentioned before, there is nothing in our minutes for the past 6 months showing there was even a vote on this by the BOD.
JohnB26 (South Carolina)
Posts: 1,001
Posted:
who votes for or approves your budget ?

if members - so be it

if BOD - vote the bums out

if line item added AFTER budget established and approved - criminal issue
JonD1
Posts: 2,350
Posted:
Barbara:

I think you need to gather more information before you form your opinions.

You speculate the $12 increase per month is to cover the cost of this hire. Those numbers don't work out.

Do you have monthly board meetings? Do you attend? If not perhaps you should start?

My guess you do not.

And to be clear the MC told you "it was none of your business" or is that what you heard them say. Not the answer I would expect from any professional service provider.

And just what is your history with the board if any? How about the MC have you dealt with them in the past?

As you don't know at this point when this person was hired, who did the hiring, was it board approved, was there a need for these services, what is the rate of payment, what their dutires would be, how many hours they work for the $1,400 per month, hard to determine good, bad or indifferent.

KerryL1 (California)
Posts: 14,550
Posted:
Barbara, IMO, the president engaged in a conflict of interest by hiring his roommate (or whatever the relationship). IF the Board DID vote, and you see no evidence that it did, the Prez should have recused himself due to this COI.

This hire should be in your Board's minutes somewhere.

I disagree with others who seem to want this to just slide. But read your governing documents. Does the president alone have the authority to hire contractors or employees? Or is this the Board's job. In my HOA and in most I've read about here, the president alone wouldn't have hiring authority.

Do you think it's possible that the decision to hire this person WAS made at a meeting--at an executive session, for example?? By the Board voting?
AmandaR2 (South Carolina)
Posts: 566
Posted:
Barbara,
I do understand your suspicions, IMO further investigation is warranted. But I do think you need to be very careful before any accusations are to be made, get all the facts first. Like JonD said gather more information before forming opinions. If this truly is a case of wrong doing don't let it slide.
NpS (Pennsylvania)
Posts: 4,216
Posted:
Quote:
Posted By KerryL1 on 02/17/2015 9:50 AM
Does the president alone have the authority to hire contractors or employees? Or is this the Board's job. In my HOA and in most I've read about here, the president alone wouldn't have hiring authority.

Even if the Prez alone had the authority, the potential COI should have stopped him from being the sole decision maker. IMO, the Board owes you an explanation.

Sikubali jukumu. Read all posts at your own risk.
JonD1
Posts: 2,350
Posted:
It is clear to me Barbara has a lot more to this story.

How does Barbara know the President hired his whatever?
She states it was not mentioned in the minutes.
My guess the name and relationship to the President would not be noted in the budget where she claims she discovered this.

Hopefully, Barbara's source is not the neighborhood rumor mill.

Again, make the time to attend your next meeting and request an explanation rather than making accusations. Don't want to end up with egg on your face.

KerryL1 (California)
Posts: 14,550
Posted:
One thing you might try, Barbara, is writing a certified letter to the Board, return reply requested and flat out ask them how this decision was made, where can you find minutes about this decision, etc. Ask to see a copy of the contract with this person, too.

You might write the same letter to your PM.

How many are on your board?
TimB4 (Tennessee)
Posts: 21,062
Posted:
Barbara,

I agree with others who say that there is likely more to this story.

However, the questions I think you should be asking are:

1) To see a copy of the contract (salary may be redacted).
2) To have the Association certify that 1099-misc. are being issued if the individual is an independent contractor.
OR
3) To have the Association certify that a W-2 is being issued, employer taxes are being paid and workers compensation insurance is being paid.

It's possible that, if the Association is not doing 2 or 3 above, that the rest of the Board will see this as an issue and stop the practice (especially since I suspect the individual would be classified as an employee).

If you think that the income isn't being reported, you can always contact the IRS.
BarbaraC15 (Georgia)
Posts: 23
Posted:
Thanks for all of your replies. I just had cataract surgery today and can barely see a thing. I will read all of your replies hopefully tomorrow and will reply. Again, thank you for your help
KerryL1 (California)
Posts: 14,550
Posted:
Also had cataract surgery recently. You'll most like read just fine tomorrow, but all of your friends will look older and you see the dust on your baseboards!

tim's idea are good especially if GA permits H/Os to read executed contracts.
BarbaraC15 (Georgia)
Posts: 23
Posted:
Everythig still very blurry, but I will try to type, lol

Very Good News. We had our annual voting for the BOD last week and the results are in.

4 out of 5 board members were unseated, including the crooked president. So hopefully, the new board will get rid of the Courtesy Officer.

Again, thanks everyone for all of your help.
NpS (Pennsylvania)
Posts: 4,216
Posted:
When your eyesight is better, maybe you can become courtesy officer ... lol
Nice outcome. Congrats.

Sikubali jukumu. Read all posts at your own risk.
DouglasK1 (Florida)
Posts: 2,046
Posted:
Quote:
Posted By BarbaraC15 on 02/18/2015 7:15 AM

4 out of 5 board members were unseated, including the crooked president. So hopefully, the new board will get rid of the Courtesy Officer.

Great news! Hopefully the homeowners will stay engaged, attend board meetings, and generally keep up with what is happening in the association.

Escaped former treasurer and director of a self managed association.
KerryL1 (California)
Posts: 14,550
Posted:
Nice, Barbara! If only the ex prez appointed this courtesy officer, and your governing documents say that Boards should vote on contracts, then (I'm not in the legal profession). I'd say the "contract" with the C.O is voidable--the Board can get out of it.
JohnC46 (South Carolina)
Posts: 14,265
Posted:
Barbara

Great work in correcting a wrong. Now after all this, WTF is a Courtesy Officer?
BarbaraC15 (Georgia)
Posts: 23
Posted:
John,

I had asked the same question to the management company. On our 2015 budget, it says On Site Personnel - then Courtesy Officer. I guess it is a fancy word for a security officer. But then as I said the person isn't any real kind of officer, lol.
JonD1
Posts: 2,350
Posted:
Barbara

While some seem to be lining up congratulate you on the outcome of your election I will hold off jumping on the bandwagon due to the absence of any real evidence or facts supporing your views.

Just how did you learn this position was in fact filled by the President's whatever?

Why would you not have attended a board meeting to enquire as to whether this was voted on or if in fact the president acted alone as you sem to allow people to think? Any evidence of that claim?

Seems clear from the comments you have made your opinion of the President was quite low. Is this based an anything concrete?

I hope the membership voted the way they did based on something more substantial than what you have offered here. You have no real idea of who hired this position, when or how.
You have no idea what this position was. Do you know the rate of pay? Do you know the hours worked per month? Do you know if any person has actually performed this work? Was ANY payment actually made? Have you seen checks made out to this person? You offered nothing I would form an opinion on.

The grass is always greener on the other side till you get there. Hopefully, those who voted and those who now make up your board offer an improvement over those leaving their positions.

Did you offer to serve? Have you ever served?

In my view based on what you have stated here the jury is still out.
BarbaraC15 (Georgia)
Posts: 23
Posted:
jonD

In answer to your first question, my neighbor was walking his dog one night and was approached by a man also walking, with a jacket that said security on it. My neighbor asked him who he was and what he was doing. He gave him his name and said he was the security guard.

Our board meetings are not open meetings. You have to request permission to attend one, and the last time I requested to do that I wasn't given an answer for 3 months.

Yes I do have a low opionion about the board president. For example, last year at our Annual meeting he told everyone if there were any problems in the complex to email him and gave his email address. A few months later(a renter) was moving in above me. Our documents do not allow rentals. I emailed him to tell him another illegal renter was moving in and he replied with a very nasty email calling me names and telling me to mind my own business, that he was not the Condominium Police. And, he has been very nasty to other owners, not just me.

I had nothing to do with the way other owners voted. My guess is they can see what kind of person he is.

Our financial report from December shows the courtesy officer was paid $1475.00 for the month of December.

Yes I have served on the board about 6 years ago.
JerryD5 (Colorado)
Posts: 218
Posted:
As for the former president and the courtesy officer, if he was unseated it will be interesting to see what the new board does.

What really bothers me is your statement that your meetings are not open and you have to be invited to attend. Whose idea is that and will that change with the new board? You have a shady HOA if they don't allow people to attend meetings (if that is truly the way it is).

Good luck and keep us posted on the developments.
BarbaraC15 (Georgia)
Posts: 23
Posted:
Our annual meeting is open, but as far as the montly BOD meetings you have to request permission to attend.
BillH10 (Texas)
Posts: 1,217
Posted:
Barbara, are those "invited to attend" rules in your Bylaws or CC&Rs, or is this something imposed by a Board in the past.

I can think of no more effective way to sow the seeds of discontent than to limit the ability of a property owner to attend a meeting of the Board of Directors--with very limited as to scope Executive Sessions excepted, of course.

What do your documents say about attendance at Board meetings? I am not familiar with GA codes and laws regarding HOA's (guess I should get familiar, our daughter and son-in-law live in an HOA in the Atlanta area), are there words in Open Meetings Acts or similar legislation on this topic?
BarbaraC15 (Georgia)
Posts: 23
Posted:
Our bylaws say nothing about this.

This is what they say

REGULAR MEETINGS
The Board of Directors shall meet regularly each month at 7pm. No notices shall be required for such regular monthly meeting of the board of directors.

There is nothing said about owners having to ask or be able to attend a meeting and nothing saying that they are open meetings.

I couldn't find anything about open meetings.
JonD1
Posts: 2,350
Posted:
Quote:
Posted By BarbaraC15 on 02/18/2015 4:02 PM
jonD

In answer to your first question, my neighbor was walking his dog one night and was approached by a man also walking, with a jacket that said security on it. My neighbor asked him who he was and what he was doing. He gave him his name and said he was the security guard.

Our board meetings are not open meetings. You have to request permission to attend one, and the last time I requested to do that I wasn't given an answer for 3 months.

Yes I do have a low opionion about the board president. For example, last year at our Annual meeting he told everyone if there were any problems in the complex to email him and gave his email address. A few months later(a renter) was moving in above me. Our documents do not allow rentals. I emailed him to tell him another illegal renter was moving in and he replied with a very nasty email calling me names and telling me to mind my own business, that he was not the Condominium Police. And, he has been very nasty to other owners, not just me.

I had nothing to do with the way other owners voted. My guess is they can see what kind of person he is.

Our financial report from December shows the courtesy officer was paid $1475.00 for the month of December.

Yes I have served on the board about 6 years ago.

Well Barbara thank you for taking the time to respond and for also providing some more details.

I hope this change of board members serves the best interests of your community.

I also hope the new board investigates the courtesy officer, the arrangement they were hired under,
the need for any such service or not and take whatever action is best.

Alls well that ends well.

Please keep us informed how things play out.
KerryL1 (California)
Posts: 14,550
Posted:
Barbara, even if your own documents are silent about whether or not H/Os may attend Board meetings, surely your state laws say SOMETHING. Look it up!!!
JonD1
Posts: 2,350
Posted:
Member Meetings
Georgia’s HOA act requires HOAs to hold member meetings as directed by the association's bylaws. The HOA must hold member meetings at least annually. The HOA must provide at least 21-day notice for regular meetings and seven-day notice for special meetings. Meeting notices must include the place, purpose and time of the meeting and be delivered to all members through the U.S. mail. The board must provide reports on all activities, including finances, to the membership at annual meetings. The act also requires HOA boards to produce and maintain detailed minutes for all meetings.
KerryL1 (California)
Posts: 14,550
Posted:
Uh-oh. I see Jon replied only with reference to Member (Homeowner) meetings.

What you want to look up, Barbara, is whether members (H/Os) may attend meetings of the Board!! It's probably near the section that Jon cited of the GA HOA Act.
BarbaraC15 (Georgia)
Posts: 23
Posted:
I looked at the Georgia Condo Act and couldn't find any rules about monthly board meetings. It only mentioned about annual meetings.
KerryL1 (California)
Posts: 14,550
Posted:
This is from an attorney-authored blog called "GA HOA & Condo law." the undated article is "Behind Closed Doors...."

In a nutshell, apparently Boards are not required to hold "open meetings" in GA, Barbara. The authors, however, point out that:

"Generally speaking, conducting closed meetings of the Board is not in the best interest of the Board members or the Association. People tend to expect the worst if information is kept from them. Rather, a Board should be encouraged to have open meetings so member can observe and learn what the Board is doing. By allowing owners to attend meetings, Boards encourage owners’ enthusiasm to learn about the operation of the Association and help to develop new potential Board members and volunteers."

They, then, agree with BillH & JerryD, who replied to your post, Barbara.

Your situation, I'd say, is a perfect example of what CAN (not will) happen, when Boards make decisions in secret. If GA lets H/Os inspect signed contracts, try that to see if you or the new Board can get rid of this "officer."

Remember to take Tim's advice too!
BarbaraC15 (Georgia)
Posts: 23
Posted:
KerryL

Thanks for the info. I found the whole article and I am going to forward it to our newly elected board.
KerryL1 (California)
Posts: 14,550
Posted:
Good idea to pass the a article on to the new Board. Maybe they'll actually let you homeowners in on their decision-making processes!

Meantime, do request a copy of the contract for the c. officer. But you might have to check GA laws again to see if you're entitled to executed contracts.

🎯 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