Transitioning from Former Property Mngr to New Property Mngr

Started by SandraE2 • 9 replies • 1219 views

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SandraE2 (Missouri)
Posts: 7

Posted:

I have recently (July 2016) become a Trustee for our Subdivision HOA. Since that time we were informed in August that our previous property manager (of 7 years) would resign September 30th; however, we cannot get that company to turn over all the records we need to proceed with assessments for the upcoming year. Our new property manager is hanging in limbo with regard to sending our assessment invoices out by November for January collection. The prior company also keeps receiving payments from residents (even though it is after employment with us) and uses that as an excuse to hold back on giving us the records. We have entered the change in management companies on our website, but short of sending out an additional newsletter by mail, we cannot be sure that each resident has this information. Our normal procedure is to send out newsletters twice a year with notification of community meetings/summer pool information and then with assessment invoices, but without the residential address listing from the prior manager to enter into the new property manager's system, we would have to do it all manually. Is there any precedent for solving this problem of lack of cooperation between property management companies? Is there an Oversight Association/Review Board in Missouri that could influence behavior? Please advise by e-mail. Thank you.

MelissaP1 (Alabama)
Posts: 13,836

Posted:

If it was me... I would put my walking shoes on and start writing down addresses. It's public information. The names of owners should be available at the Tax assessor's office. Just need to know the lot #. However, it may lapse a bit in time due to sales process. You all may find contact information in the phone book or google. I don't see why one can't make some calls or mail letters directly to the homes.

It is a bit of debate on here about notifications being sent to the HOA home address. I am of the opinion that the HOA address is above all the LEGAL address of the member/owner and all others are "courtesy". If I was to send legal notifications in a form of a certified letter, I would send it to the HOA address. However, if the owner did not live there, I would send ALSO send a courtesy notification to that address but not necessarily go to the expense of certified. Both addresses would be delivered.

I would just set a start over date and go from there with the new company. The paperwork will have to catch up later. Plus I would emphasize that sending your payment to the wrong place does NOT excuse one from dues payment or record of receipt. It's their responsibility to make sure they send it to the right place. The other company should stamp "Return to sender" and not accept them.

Former HOA President

RichardP13 (California)
Posts: 3,868

Posted:

My suggestion is find a real estate agent who has access to some form of title reports that can gather all the information needed to find owners of each of your properties in your complex.

Curious, how many properties?

JerryD5 (Colorado)
Posts: 218

Posted:

We did this a few years ago (though earlier in the year so it didn't effect our dues). By state law, the old company was required to turn over all documents within 30 days of their contract (remember: all the business paperwork, files, ledgers, member's list, etc belong to the association not the PM). They had put all our past files in electronic format so it was somewhat easier to transfer. We left them with a small balance to closeout old vendor invoices and such. In the meantime, on the effective date of the new PM they sent out new "welcome" letters with detailed information about the new company, website, payment information. It was pretty seemless and painless.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Sandra

What is the problem?

Send out a letter notifying owners of the new MC and payment information. Follow this up with the invoices.

DouglasK1 (Florida)
Posts: 2,046

Posted:

I don't know if there are any Missouri regulars on this forum, so you might not find much help regarding what resources you have to deal with the PM. Unfortunately, many states don't regulate property managers and don't have a dedicated office that assists with these types of problems. Various things you could try include: complain to the BBB, complain to your state's attorney general, sue the PM (or at least get a lawyer to write a stern demand letter), or call the local police and see if they will get involved.

Escaped former treasurer and director of a self managed association.

LarryB13 (Arizona)
Posts: 4,099

Posted:

Quote:

Posted By DouglasK1 on 10/14/2016 11:09 AM
Various things you could try include: sue the PM (or at least get a lawyer to write a stern demand letter).

Threaten to sue the old PM for an injunction to require the him to turn over all records and other association property. It's a slam-dunk for you and a certain loss for the PM. Only a complete idiot would fight to keep property that is not theirs. Depending on state law, since this is a contractual matter your association may be able to recover all of its costs and attorney fees if it prevails.

But I am curious as to why the association has no records of its own as to who the members are and what addresses they use? It sounds like your board gave up all responsibility when they hired the old PM. I hope they do not perpetuate that mistake with the new PM.

RichardP13 (California)
Posts: 3,868

Posted:

Quote:

Posted By LarryB13 on 10/14/2016 3:24 PM

But I am curious as to why the association has no records of its own as to who the members are and what addresses they use? It sounds like your board gave up all responsibility when they hired the old PM. I hope they do not perpetuate that mistake with the new PM.

You might want to do a survey and see just how many Boards that have a management company have the records you say they should. I think the answer might surprise some.

LetA (Nevada)
Posts: 2,679

Posted:

I would like to know too, because all along the BOD in my HOA have been acting like puppets to our MC.
The secretary does not record or retain the meeting minutes, that is done by the MC and the Treasurer, all the bills are paid by the MC.
Our board does what ever the MC says even if is 2 years ahead of the reserve study.

BTW go to your county assessors office, get your property number, from that they can get the plat and you would have
all the property numbers with addresses from your HOA.

SandraE2 (Missouri)
Posts: 7

Posted:

Jerry, thank you so much for your information. This is the guidance we needed as all three of our Trustees are new and without previous HOA experience. We feel more confident now in ending the previous PM contract in a more formal manner.
Sandra

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