Declarent Controlled Board

SharonB15 (Arizona)
Posts: 2

Posted:

I've lived in a new development for two years and have not yet been able to have access to the HOA budget or minutes, even though I've requested it. The HOA is still controlled by the developer, but everything I have read makes me believe that it is the homeowners right to have access to those documents. We pay dues and would like to know what is coming in and being paid out by the management company. We would like to be able to check to make sure the HOA money is not being used inappropriately. I would appreciate any thoughts on this strange situation: the homeowners pay the salaries of the management company, but their loyalty is to the developer who appointed them. It seems like there would be some regulations overseeing transitional stage. Thanks for your help.

JanetB2 (Colorado)
Posts: 4,219

Posted:

Welcome to the Forum!

What you need to do between now and release of Declarant is read your governing documents and get to know them well. I also would recommend reading your State Statutes regarding your subdivision. If you are Condo it is Chapter 9 and Planned Community is Chapter 16 both under Title 33 via the following link: https://www.azleg.gov/arsDetail/?title=33

An example if you are a Planned Community the Statute states: https://www.azleg.gov/viewdocument/?docName=https://www.azleg.gov/ars/33/01805.htm

33-1805. Association financial and other records

A. Except as provided in subsection B of this section, all financial and other records of the association shall be made reasonably available for examination by any member or any person designated by the member in writing as the member's representative. The association shall not charge a member or any person designated by the member in writing for making material available for review. The association shall have ten business days to fulfill a request for examination. On request for purchase of copies of records by any member or any person designated by the member in writing as the member's representative, the association shall have ten business days to provide copies of the requested records. An association may charge a fee for making copies of not more than fifteen cents per page.

B. Books and records kept by or on behalf of the association and the board may be withheld from disclosure to the extent that the portion withheld relates to any of the following:

1. Privileged communication between an attorney for the association and the association.

2. Pending litigation.

3. Meeting minutes or other records of a session of a board meeting that is not required to be open to all members pursuant to section 33-1804.

4. Personal, health or financial records of an individual member of the association, an individual employee of the association or an individual employee of a contractor for the association, including records of the association directly related to the personal, health or financial information about an individual member of the association, an individual employee of the association or an individual employee of a contractor for the association.

5. Records relating to the job performance of, compensation of, health records of or specific complaints against an individual employee of the association or an individual employee of a contractor of the association who works under the direction of the association.

C. The association shall not be required to disclose financial and other records of the association if disclosure would violate any state or federal law.

SharonB15 (Arizona)
Posts: 2

Posted:

Thank you very much, Janet; that's exactly what I need. We, the homeowners, will be meeting with the new management company and at least one board representative to gather information and discuss issues of concern. This statute adds some teeth to our discussions. Thanks again, Sharon.