management co take over

Started by MargaretB2 • 5 replies • 1776 views

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MargaretB2 (Florida)
Posts: 1

Posted:

my HOA has very little homeowners participation with 2 overwhelmed Board Members. Hired a MC that cost an arm and leg for any service rendered and referred everything to an Attorney that cost even more money. switched MC who promised to do a better job and ended up where we started. Board Members have no communication of action taken if any 2/3 of home assessment not collected gets offended when asked to provide invoices of services provided. As a result Reserved Cash acct was removed from MC access.
MC said that this action is not allowed. Is this true.

Looking for some assistance on how to handle the situation with the less cost to HOA as possible.
looking for an agency to handle violation,collection letters and file any legal matters.

please help. thanks

TimB4 (Tennessee)
Posts: 21,059

Posted:

To address this issue will require membership involvement.
There is no agency to handle violations, collections or the filing of legal matters. That is the responsibility of the Board.
The Board consists of, and elected by, members of the Association who are willing to become involved in the running of the Association.

If the membership is apathetic and has little to no desire to become involved with the Association, then what you are dealing with is what needs to be done. The only other option is to petition the court to place the Association into receivership (which I do not recommend). If successful, the members will pay the cost of the receiver as well as legal fees, etc. Often, the court will name a management company as the receiver.

Again, the only answer to address the issue is to gather support from the membership and become involved with the running of YOUR association.

I know this isn't what you wanted to hear.
Hope it helps,

Tim

NpS (Pennsylvania)
Posts: 4,216

Posted:

Quote:

Posted By MargaretB2 on 08/27/2015 11:12 PM
As a result Reserved Cash acct was removed from MC access.
MC said that this action is not allowed. Is this true.

False.

Our reserves are in a different bank than our operating account. Only directors can sign. The MC issues a check every month from the OP account to the reserve account. We send copies of reserve account statements to MC so they can maintain the books.

Because we do things this way, our fidelity insurance is a lot less than it would be if MC had access to reserves.

Very bad advice from MC.

Sikubali jukumu. Read all posts at your own risk.

CyrstalB (Maryland)
Posts: 457

Posted:

Management companies are full of BS. You can not believe any single thing they tell you. Typically they do not bother to read your HOA's documents, instead they say whatever they can pull out of the arse's to shut the HO up and get them off their backs. Because they think that all HOA Homeowners are stupid.

RogerB (Colorado)
Posts: 5,067

Posted:

Quote:

Posted By CyrstalB on 08/28/2015 5:02 AM
Management companies are full of BS. You can not believe any single thing they tell you. Typically they do not bother to read your HOA's documents, instead they say whatever they can pull out of the arse's to shut the HO up and get them off their backs. Because they think that all HOA Homeowners are stupid.

It appears you have had a bad experience with a MC and are now assuming every managemen company is bad. FYI, that is totally false

TimB4 (Tennessee)
Posts: 21,059

Posted:

Quote:

Posted By CyrstalB on 08/28/2015 5:02 AM

Management companies are full of BS.

Crystal, Just as it's incorrect to label all individuals who serve as Director a specific way based on the experience someone had with one Director (or their entire Board), it is just as incorrect to do the same with management companies.

Perhaps you said it best in another thread:

Quote:

Posted By CyrstalB on 08/25/2015 5:56 AM

yes please perpetuate the hatred and ignorance some more. We do not have enough of it in this country.

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