What can you really do to the Board?

Started by GlenM4 • 14 replies • 854 views

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GlenM4 (Tennessee)
Posts: 141

Posted:

First year on the board, and I am finding out just how bad they are. My question is what can I do?

So first there is meetings(board members only) and there is voting taking place in these meetings. The Bylaws say there should be just regular meetings and Special meetings..Which require 10% member attendance.

Directors are spending money on items that have not been voted on. They say they don't need to vote on spending every little dime.

There is 0 documents on the items they are doing except for maybe a text message that says were going to do this but nothing was submitted to the board.

All in all ... what can i do ? Sue my hoa, and pay my self? seems kind of dumb..

GeorgeS21 (Florida)
Posts: 3,808

Posted:

Did you do a search on HOAT?

I did one re TN law ... here's link: http://www.hoatalk.com/Forum/tabid/55/forumid/1/postid/231206/view/topic/Default.aspx

Bottom line - MOST states require HOA Board meetings, UNLESS the Board is meeting with an attorney, to be open to all members of the association.

Sounds like you first need to do you research, then stand up at the meeting and present your findings ...see what response you get.

If you are ignored, refer to your Bylaws and see what is required to remove a board member ... sometimes it can be done by the association - have to go down the recall path.

GlenM4 (Tennessee)
Posts: 141

Posted:

I have done the research, and i have told the board of the findings. They ingnore and told me they dont need a vote. I am on the board i never got ant documents to the spending.

Are you suggesting during a member meeting i voice this consern. We have 1 a year. Rest of time its privite meetings.

SheliaH (Indiana)
Posts: 6,964

Posted:

Yes you should express your concern and if your documents call for open meetings, I suggest you gather together your neighbors and invite them to the next meeting. Speak your piece and show them the citation in the documents that require open meetings. Remind them the board (including you) are responsible for managing the association in a transparent and prudent manner, which means you do need to vote on expenditures, hiring specific vendors, and anything else concerning the association.

If a bunch of homeowners show up, it may be difficult for your colleagues to blow them off - that sort of thing tends to piss people off and if they're mad enough, they can check the documents to see how board members can recalled or call a special homeowners meeting to do so. It's a matter of how much will they have and frankly, if this has been going on for years and no one seems to think it's necessary to have open board meetings or have more information on where the money's going, you have bigger problems than this board.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

GlenM4 (Tennessee)
Posts: 141

Posted:

I am pretty sure they care , I have seen people speak up about this issue last year. But the people speaking up just knows its wrong and not really good at understanding the bylaws or CC&Rs. This is why i joined this year to help open up the HOA so the community does not feel excluded from the HOA.

Problem is the HOA is not doing bad things with the money, its just not done right. I think they are good people and have good intentions but have no clue on doing it correctly. Unfortunately , when i bring up the concerns to them privately they disregard them, and i feel like if i bring this up during a meeting of members the members are going to get very angry and cause a lot of tension in the community.

I guess maybe i will try informing the board one last time, with all the documents and etc. after that go to next member meeting and like you said say my piece and go from there.

SheliaH (Indiana)
Posts: 6,964

Posted:

Well, if they don't understand the Bylaws or CCRs, they might want to start by reading them and ask about anything they don't understand. It's true the documents are often written in legalese which IS a pain to get through - one thing the board might consider is talking to the attorney about revising them so they're written in plain English (that will probably require homeowner approval, but I would hope this is one people would be happy to accept).

In the meantime, what's wrong with the board running a series on the newsletter or on the association website (if you have one) about Bylaws and CCRs, the difference between the two and why they matter? It would be written in plain english and could prompt some great suggestions from the homeowners as to what might need to be clarified, added or changed. Get enough comments and you might have the beginning of a special committee chartered by the board to review the documents in detail and propose changes to the board.

I'm sure your colleagues ARE good people, but there is a right and wrong way to do things and if they cannot or refuse to do things the right way, they need to move over and let someone else do the job. I realize you don't want to cause a commotion, but sometimes that's what's necessary to make change. It doesn't have to lead to a shouting match - the fact that the homeowners are there and watching may be enough to keep the board on its toes, and that's as it should be. Good luck to you, whatever happens.

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

GeorgeS21 (Florida)
Posts: 3,808

Posted:

Another suggestion - while obviously a PITA, a well written letter addressing all the issues to the Board - FORMALLY - delivered by registered USPS - will get their attention - they will likely be MAD.

On the other hand, if you really are sincere, then it may be the only way to get their attention - BUT, you had better be RIGHT - and, willing to take it to the next level, including membership recall process - legal action as a last resort.

DouglasK1 (Florida)
Posts: 2,046

Posted:

This is advice that is given on a lot of threads, but if you feel that the board members are not doing their job, you need to find others similarly minded and get active about electing better replacements. This could involve email, mail, going door to door, etc. to get new directors elected.

If you can't find support for this, then you might need to resign yourself to the fact that in a democracy, if not enough people give a rat's behind, you end up with what you have.

Escaped former treasurer and director of a self managed association.

KerryL1 (California)
Posts: 14,550

Posted:

I'm not sure if TN requires open board meetings or not. Glen needs to find out. If TN DOES requires open BOARD meetings, this is where you follow Sheila's advice, in my opinion:

"I suggest you gather together your neighbors and invite them to the next [board] meeting. Speak your piece and show them the citation in the documents that require open meetings. Remind them the board (including you) are responsible for managing the association in a transparent and prudent manner, which means you do need to vote on expenditures, hiring specific vendors, and anything else concerning the association.
If a bunch of homeowners show up, it may be difficult for your colleagues to blow them off..."

AugustinD
Posts: 5,144

Posted:

Quote:

Posted By DouglasK1 on 04/19/2018 9:57 AM
This is advice that is given on a lot of threads, but if you feel that the board members are not doing their job, you need to find others similarly minded and get active about electing better replacements. This could involve email, mail, going door to door, etc. to get new directors elected.

If you can't find support for this, then you might need to resign yourself to the fact that in a democracy, if not enough people give a rat's behind, you end up with what you have.

I concur with finding a like-minded majority. Else I think it's likely the OP will just be beating his head against the wall, and things can get ugly.

GlenM4 (Tennessee)
Posts: 141

Posted:

I think tn has that policy, but i dis not look into it cause our bylaws clearly state our meeting types. Regular, annual, spehcal .. we can have action with no meeting but requires written consent from all board members.

GlenM4 (Tennessee)
Posts: 141

Posted:

I also agree with finding like-minded people. So that maybe what i work on next. Thanks for all the help

KerryL1 (California)
Posts: 14,550

Posted:

The point here, Glen is: Do your bylaws or TN law require that your regular, special, or emergency BOARD meetings be open to owners (Members) so they can attend?

GlenM4 (Tennessee)
Posts: 141

Posted:

Yes 100%

JanetB2 (Colorado)
Posts: 4,219

Posted:

Quote:

Posted By GlenM4 on 04/19/2018 4:44 AM
First year on the board, and I am finding out just how bad they are. My question is what can I do?

Not all are bad!!! Yes you do have some of the few who will abuse their power or have chips on their shoulders where being an HOA officer makes them feel too important and have a potential “god complex”. However, I would contend those are rare.

So first there is meetings(board members only) and there is voting taking place in these meetings. The Bylaws say there should be just regular meetings and Special meetings..Which require 10% member attendance.

The BOD meeting generally require the majority of the BOD to approve. However, the BOD needs to consider the fact under MANY State Laws that they have a “Fudiciary Duty” towards the HOA. Essentially they need to treat each issue with the attitude of what would I do if this was all my own personal property. As a property owner NOT on the BOD would I have an issue with my assessment $$$ spent on items which the BOD (which most states require via law to approve) and which is being spent WITHOUT required approval. And OMG if someone in my HOA sued with regards to “Fudiciary Duty” could I potentially be held “PERSONALLY LIABILE” because I did not follow BOTH the Governing Documents and State Laws.

Directors are spending money on items that have not been voted on. They say they don't need to vote on spending every little dime. Bet they are glad they are not in my HOA ... because I would have hammered them long before now. YEP ... what would they tell the Judge with regards to their actions violating CCR’s and State Laws ... LOL.

There is 0 documents on the items they are doing except for maybe a text message that says were going to do this but nothing was submitted to the board. Again ... they would have ZERO evidence to protect themselves in a Court of Law. That down the road could be a costly mistake which ALL owners could end up paying for in a lawsuit if the HOA is found guilty.

All in all ... what can i do ? Sue my hoa, and pay my self? seems kind of dumb. Depends on your State Statutes. In more and more states the entity who wins the lawsuit against the HOA cannot be held liable for costs. You need to research because in my State if the HOA was violating the governing documents and State Laws along with Fudiciary Duty ... The HOA would loose the lawsuit and any OWNER who sued cannot be held liable for any HOA costs for such lawsuit. Developer’s in my last HOA learned this lesson the hard way ... developers paid all party attorney fees. In these states if you file a lawsuit ... have an estimated high probablity of winning.

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