Transfer Fees

My community charges a substantial "Capital Improvement Transfer Fee" to new buyers. Of course, Arizona allows the fee to be negotiated between buyer and seller. The money is to pay off construction debt. Operating expenses are about to go up substantially. Can a Board charge a Real Estate fee for "Capital Improvement" then turn around and use it to pay for the shortfall in Operating Expenses? -- basically, tell consumers their money is to invest in new capital, then use it instead to pay the bar tab?

And yes, I understand many Boards believe and act like they can tax and spend as they wish. I'm looking for comments on whether a Real Estate fee which comes with the Title and Deed to your home can be just a planned "Bait and Switch."

Thanks

I have the association's documents nearly memorized. My question is whether states allow Real Estate fees to be misrepresented.

Hmmm.