Viewing and copying records in GA HOA

Dennis,

I have not read that statute.

Typically, as a member you have a right to review (look at not receive copies for free) the following (regarding your issue):

Executed contracts
Invoices
bank statements
financial statements

The Association may withhold anything dealing with legal issues.
Therefore, if legal got involved, they may try to withhold some of the information.

I'll try and look at the statute tonight (unless someone does before I log back on).

You should also review your Bylaws as they may specify what records you are allow to see.

In my opinion, your request should be along the lines of:

Dear xxxx,

I am choosing to exercise my right under Name of Statute, specifically (section number) and the Association [name document] article x paragraph y to review the records of the Assocaition.

I previoulsy made a similar request on mm/dd/yyyy via phone/email/letter to name but have not received a response to that request.

the specific records I am interested in reviewing are:

Executed contracts dealing with the pavalian.
Bank statements from mm/dd/yyyy to present
invoices/receipts associated with the project from mm/dd/yyyy to present
Payments (or check register) from mm/dd/yyyy to present

It is my understanding from the statute that records should be made available within x busines days. However, I am certainly willing to be flexable to allow schedules to sync up.

Alternatively to reviewing the records in person, copies of the above may be provided.

I can be reached at:

Thank you.

Since you have not gotten a response from your earlier request, send this certified to the registered agent with a copy to each board member.

Dennis

What is your end game?

Dipping into the reserves to defer the cost of new construction seems more than a bit shady. In Florida, at least, that would only be proper if a majority of the homeowners voted in favor of raiding the reserves.

Thank you for your comments. Since I'm now retired I seem to have more time on my hands then many of our homeowners I take a closer look at things and ask questions. Our annual income is about $80K and has not changed from day one. 17 years and no dues increase so when our HOA BOD drops over $40K on a 20x20 concrete slab with only a roof over it (open air) I get concerned that we have paid as much as I see posted in the monthly accounts statements. Last month they dropped $11K on a "pump". Still trying to get info on that expense. A couple of comments on your response.

Our CCR & By Laws do not address any review of records. It is the 2016 GA Code that addresses the viewing and copying of records with 5 days notice to the BOD. My draft request, which has yet to be sent, proposes a date in early October. This should give them a couple extra days to pull it together.

Since early on (July 2016) I've been asking for a copy of the contract. It has never been produced. Others have also asked to see the contract. They too have not seen anything. My letter identifies at least 23 different documents I would like to review. Everything form the original Requests for Bids to seeing how the court fines were paid last Dec. and who paid the attorney. There is nothing in any monthly accounting document that shows these expenses yet they did happen. So I've covered the waterfront on documentation.

The fraud allegation comes as a result of two comments given to me from other sources. The new contractor said that since the old contractor had no Bus Lic. and was not registered with the Sec of State as a commercial contractor that he could NOT apply for a Building Permit in the county. He said that knowing that it is construction fraud as he knew before hand he couldn't get a building permit or the Certificate of Occupancy Secondly the County Permits office indicated that he violated a couple of state laws and codes and they were planning to investigate them for fraud and other violations. My original contention was they were in breach of contract but I've been told it's much more.

The county issued 4 different violation notice last year including a "stop work" notice. They did there job. Our HOA BOD ignored all of them. By this time the contractor had finished almost all of the work, had been paid and was gone. The county appeared to follow the rules and post violation notices and sent letters to our BOD. They were ignored. In Nov. 2016 the BOD was served with a summons by the Sheriff to appear in court.They did and paid a fine. An attorney was present during the hearing. We paid them also.

The state laws appear to allow us to sue. My point on the CCR/By Laws and the 75% approval vote being needed is that this will force the HOA BOD to present the facts to our HOA if they want a vote. If there was no contract, and I don't believe there is one, then the HOA BOD must get HOA approval before we start spending money on a law suit. If we have a signed contract then they can sue without HOA approval. I don't think the HOA BOD has read the section on litigation in our CCR that requires a vote.

Your are correct. There are some records and they need to be produced. Interestingly in 2014 I approached the BOD regarding conducting a financial review of records from 2014. We have NEVER had a review done much less an audit in 17 years. I got approval to do so and arranged to review records at the management office on a certain date and certain time. I even had spoken to the management company president to insure all would go smooth. On the given day I arrived with a printing calculator, pad of paper and pencils. They had no records!! Told me they were lost! They have never been produced. Can we say cover up?

Sorry for the additional explanations and comments. I try to hit the high points but there is much background I don't discuss. As a retired military pilot I try not to loose my cool but I think the HOA have lost or misspent many thousands of dollars. Our small reserve account has been cut in half in the past 3-4 months on paying for this, I've talked to a dozen or so neighbors and most do not care. One couple down the street told me they pay their dues and don't want to get involved. So be it.
DennisG

I appreciate your comments. A couple of tidbits. Our HOA is located about 25 miles NW of Atlanta. A typical upper middle class community. All homes were built between 2001 and 2004. Prices are in the $325-$400K range. All single family units with 2 or 3 car attached garage. We have a common area that has a clubhouse, large covered outdoor eating area with fireplace. A nice pool with tables, chairs, etc. We have 4 nicely maintained tennis courts, a basketball court and a play ground area. All of this is surrounded by a grass and tree buffer area. It's about 4-5 acres total.

About 2 acres is irrigated with a sprinkler system. It's on a deep well (125') depth. I rarely set it operating. All this was built before the homes were constructed. The only new construction in our common area is the Tennis Pavilion. A 20x20" 6" slab with 6 columns holding up a simple wooden roof truss. It's all open air.

All of my communications with the HOA are sent Certified except for my emails which I keep a copy what I send and any reply. Most of the time I get no reply.

The GA Secretary of State registers all commercial contractors. A record is available on line to confirm they are registered, they are current and any legal actions taken against them.

The Secretary of State also keeps all Corporation and LLC registrations.

The "company" in question no longer has a Contractor Registration or is a Corporation. Everything expired several years ago, long before our HOA BOD (the President) hired them to do the $16K Tennis Pavilion in spring 2016.

I have been asked a number of times to serve on the HOA Board and take an office. I am well over 70, and although active, I've felt that some younger people need to be involved. I have volunteered for single event projects many times. There are only a few of us old timers here. Most everyone are young professionals in their 30-40's. I've done all of this before. HOA's, school boards, PTA's etc. Not trying to shirk a duty but it's time some younger folks to take this up. Much to my amazement it is very hard to find anyone to step in and do it. As I've tried to encourage others the main answer I get is they are too busy and don't want to get involved.

We are only 189 homes. Not to many people live here. Our HOA dues have never gone up since the place was started in 2000. So our budget is $80K and we only collect money from dues. Last year I proposed, in writing, 5 possible ways to increase the HOA's income without raising dues. It was actually presented at a quarterly meeting in early 2016 and seemed to receive good comments. I had projected about a $12-$14K annual increase in revenues. What did the BOD do? NOTHING. Not a single measure was implemented. Very discouraging.

The state only requires one annual meeting, believe it or not. It's the election. An annual budget is usually sent out but there is no vote on it. We have for years had quarterly meetings which allows us to discuss current events, plans, problems, etc. The PROBLEM! No one ever shows up.

A quorum is 45 votes (one per home). Without 45 we can't conduct any business, make no motions or votes. Since I built in 2002 I've attended all but 3 meetings. Usually we have between 9 and 12 people show up. Even during the annual meeting when voting we had 14 people in attendance last December. So the same HOA BOD stays in unless someone resigns. Without a quorum there can be no vote and the BOD then selects a new person to join the BOD.

The preservation of records is spelled out in several GA State codes as well as Federal law, mostly financial stuff. The CCR and Bylaws has not a single word about it. When I asked to review the 2014 accounting records (a few costs were suspicious) my request was approved by the BOD. The management company maintains ALL our records. On the scheduled day of review I arrived and was told by the President of the management company that they had NO accounting records for 2014 and there was nothing I could review. This was in July 2015. I asked how our IRS taxes were submitted for 2014 with no records. She could not answer my question. I sent the then HOA President a letter about what had happened. He never responded.

Last fall I got a call from the Management Company President. This was about a week after I had sent our HOA President another letter regarding the costs for the Tennis Pavilion. My main request was to produce a copy of the signed contract with the pavilion's builder. He never did and has not produced one to date. Anyway my letter to him apparently went to the management company. She called and said "you are a mean person" why do keep asking for these documents? That's why I say there is a cover=up.

Our reserve fund is far below what it is supposed to be. The only options are to not do anything or to raise dues or have a special assessment to get funds back into our accounts. Yes, we have lots of apathy. Only 2 or 3 of us have been talking about the Tennis Pavilion over the past year. A neighbor raised all the accounting and cost issues on the tennis pavilion a couple months ago on our website. His posts were taken down by the moderator. When I asked her about it she said they were inflammatory and put the Board in a bad light so they were removed.

OK. I need to walk my dog and get another cup of coffee. Enough of my rant. I am awaiting a response to my last request for records. We shall see. Thanks for your comments.
DennisG