Compensating Members

Started by SueW6 • 5 replies • 1309 views

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SueW6 (Michigan)
Posts: 814

Posted:

I'm new to this subdivision association that own a very large, valuable parcel of land on a sought-after lake. There is a beach and play area, plus a small lagoon which owners can park their boats (waiting list)

Annual meeting is this week. I
am supposed to get bylaws then. I requested an agenda and financial report and was given a very vague answer about both. I have a feeling this association has been handled very loosey-goosey for many years. The president and secretary are husband/wife. They set the date for the annual meeting according to their own schedule. They are not elderly, in fact, the man is on our city council!

There is a beach clean-up today. It is 43 degrees and raining here in Michigan, so I won't be there. The newsletter said that anyone staying for the entire cleanup time will have their membership fee waived. $75.

I find that ludicrious. What about the elderly and handicapped resients. I believe this is illegal.

Your thoughts?

MelissaP1 (Alabama)
Posts: 13,836

Posted:

Never ever waive HOA dues. It causes a HUGE mess. My new board offered to waive fees on homes where the owner has died. They would not charge for that month. Which was a bad idea. It was better we bought flowers or a gift than waive dues. Explain to them the consequences of waiving dues. It means that if they were to place a lien, then that month would not be part of it.

We have a policy of 6 months we lien. Imagine if we took a month out of that? We could face a lawsuit for that willy nilly of the account handling.

Former HOA President

MelissaP1 (Alabama)
Posts: 13,836

Posted:

I say volunteer or don't volunteer, don't compensate....

Former HOA President

BobD4 (up north)
Posts: 1,002

Posted:

Quote:

Posted By SueW6 Michigan
I'm new to this subdivision association that own a very large, valuable parcel of land on a sought-after lake. There is a beach and play area, plus a small lagoon which owners can park their boats (waiting list) . . . The newsletter said that anyone staying for the entire cleanup time will have their membership fee waived. $75. I find that ludicrious. What about the elderly and handicapped resiDents. I believe this is illegal. Your thoughts ?

SueW6 Michigan : what's to prevent the elderly/'challenged' from hiring a substitute to get the abatement ? Or just dragging themselves and their intravenous lines down to do the work ?

Seriously, good time to read & understand what you have bought into. Could you be subject to
( Michigan ) Act 137 of 1929 : “The Michigan Summer Resort Owners Act”aka “INCORPORATION OF SUMMER RESORT OWNERS : Act 137 of 1929”

Section 17. The corporation's board of trustees is authorized to enact bylaws, subject to repeal or modification by the members. Section 12. Any person who shall violate the corporation's bylaws "shall be deemed guilty of a misdemeanor" and, upon conviction, shall be punished by a fine of up to $25.00 or imprisonment in the county jail for up to 30 days.

Section 14. To assure enforcement of this authority, the corporation's board of trustees is authorized to appoint a marshal "whose duties shall be to enforce the by-laws" and who "shall have the authority of a deputy sheriff in maintaining peace and order and the enforcement of law on the lands under the jurisdiction of the corporation." (Emphasis added.) Section 15.

Could a peace officer just arrest you ?

TimB4 (Tennessee)
Posts: 21,059

Posted:

My understanding is that the Board may not waive assessments.

I've never seen governing documents that allow this.

My suggestion is to make the board aware of your concerns. Specify that the policy discriminates against the handicap and elderly. Additionally, such a policy can place the Association at a financial risk, Not collecting enough in assessments can force the Association to not properly fund the reserves or delay required maintenance.

Then extend a hand and explain that you are aware that any Association can be a pain to run without assistance and that you are willing to help where you can. Perhaps even offer to serve on the Board.

KerryL1 (California)
Posts: 14,550

Posted:

Tim gives good advice--and Melissa too. I believe one of the duties of every board is to collect assessments or dues. Our CC&Rs don't have a clause that says "except..."

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