MC Calling Board meetings

Started by LillyR • 14 replies • 642 views

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LillyR (Missouri)
Posts: 19

Posted:

Hello,

I'm a new board member in a fully developed community. Recently the board members agreed to meet up a day to only discuss a community event we were planning. I originally asked if we could meet sooner no reply back from the board. So finally after the MC agreed to meet a month later. The day of the meeting our MC arrives and beings to pass out the financial reports. I then asked are we having a board meeting MC says yes I figured since you'll are here we might as well have a meeting.None of the board members called this meeting and none of us were prepared.

The MC always calls the meeting. The President does nothing.

We are a board of 3 and whenever we get ARC request/vote its like a game of who can respond the fastest.As soon as 2 members approve within 5 minutes the MC is sending the resident letters for approval. If the other member has questions before approval/denial the MC says oh well 2 members have already approved we've sent them a letter.

Advice please

MelissaP1 (Alabama)
Posts: 13,836

Posted:

This isn't that unusual when members don't understand the relationship between the HOA and the MC. The MC is to be a contractor to the HOA. They are hired to do a variety of things for the board/HOA. Often these lines get a bit blurred on BOTH ends. Which can be understandable as there is no such thing as a "Professional" HOA member. Only requirement is to be a homeowner.

So it may be time for your board to read the MC's contract. Look at what the terms of the contract is. What role are they to play? Plus may be a good time to also decide what you all do or do not want the MC to do. Not a bad idea to review your contracts and relationships with them.

Plus hope they have a copy of your CC&R's, By-laws, ACC, and Articles of Incorporation documents. They don't have to follow the rules themselves but need to understand that is how the HOA operates. Which should include who/when meetings are to be called.

Former HOA President

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Lilly
Weak BOD and strong MC, not uncommon especially if the BOD is happy. As you are new, I suggest you observe for a while before complaining. Also 2 of 3 approving is all that is needed regardless of what the 3rd thinks. All things do not need to be discussed ad nauseum. Are you wanting to micro manage everything? Sounds a bit like it.

LillyR (Missouri)
Posts: 19

Posted:

Hi. No I'm not wanting to micro manage anything.The other BOD are new as well. However, I follow the rules within our CCR. The BOD approve of any and everything that is requested. Example: Fences can't be taller than 6ft at any resident. Well guess what they approved without knowing the guidelines within the CCR. Know MC is trying stop resident from adding a 10ft tall fence.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Quote:

Posted By LillyR on 06/15/2019 10:55 AM
Hi. No I'm not wanting to micro manage anything.The other BOD are new as well. However, I follow the rules within our CCR. The BOD approve of any and everything that is requested. Example: Fences can't be taller than 6ft at any resident. Well guess what they approved without knowing the guidelines within the CCR. Know MC is trying stop resident from adding a 10ft tall fence.

Stopping the fence should not be an issue if not built. A simple letter saying a mistake was made and if in doubt, look at the 6ft restriction in the Covenants should suffice.

LillyR (Missouri)
Posts: 19

Posted:

They've already started and the homeowner says they are still installing because 2 BOD already approved.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Quote:

Posted By LillyR on 06/15/2019 2:30 PM
They've already started and the homeowner says they are still installing because 2 BOD already approved.

When you say 2 BOD Members approved are you saying the ACC approved the fence on a 2 to 1 vote? If so, the approval was proper. Are you saying the ACC did not know the height restriction or did they grant an exception you do not know about?

Our BOD is our ACC so when we approve or disapprove something, it is the entire BOD doing so. In most associations, a BOD can override an ACC decision.

Bottom line is your ACC approved it and assuming they were in error, it is going to take some doing to get out of it.

Not that this applies to your situation, but I have seen "taller" fences approved in several situations:

Property backing up to or alongside woods, parking lot, street, etc.

To keep an autistic child controlled. In this case there was a rider that when the child no longer lived there, the owner had to remove that fence and only an approved one could be installed.

SheliaH (Indiana)
Posts: 6,964

Posted:

First issue (who calls the board meeting) – you and your colleagues should call all meetings, not the property manager. Make this clear the next time you get together and if the president doesn’t want to do his/her job, it may be time for you to switch positions

As Melissa stated, the property manager works for the association, so if you don’t want to raise a huge stink, simply suggest that the next meeting is scheduled during the current one. In fact, you may want to do it on the same day and time so everyone can put it on the calendar.

Second issue (the fence) – the board may be the ones who approve exterior change requests like fences, but there should be a process. Going to any two board members and simply saying “I wanna build a fence – ok, do what you wanna do” is not appropriate because you get into issues like who said what, you didn’t say you were building an 8 foot fence made of brick, and so on.

These requests should be made in writing, discussed during an open board meeting or meeting of the architectural change committee, if you have one. The board can decide if the committee can make recommendations to the board to approve or disapprove, or you might authorize the committee to approve some requests and the rest can come to the board, which always retains veto power over any request. All of this should be set in writing, so there’s no confusion.

Finally, you say everyone’s new, so some education on best practices for HOA board members is warranted (developers never teach new boards these things). Most of you know what I’m about to say next – go to the Community Association Institute (CAI) website and take a look at their education materials and invest in a few books so you can learn what best practices are. There may even be a local chapter in your area you can join and attend seminars on the subject. If you don’t want to do that, there’s lots of information all over this website (revve up that search button!)

(In case you're wondering, no I don't work for CAI. I know some of you don't like some of the stances the national or state chapters have taken on issues unique to your state, but I've always liked their educational materials, so I focus on that and leave the rest alone)

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

MarkM19 (Texas)
Posts: 1,459

Posted:

Lilly,
I am only going to comment on the part of your post speaking about 2 board members doing the quick approval over email.

I started my board life in Ca. 10 years ago and about 5 years ago new laws pasted not allowing email discussion by boards outside of regular meeting. This took some adjusting to get boards to get used to this but I personally think your comment about quick answers without discussion is the reason. At a regular meeting before a vote is taken all points are able to be discussed. Once the discussion is over a vote is taken. With email this process is lost. If one member is about to leave on vacation and just makes a snap vote he does not get to hear anyone's issues that could possibly effect his earlier thoughts.

I live in Texas now and am once again the board president. I will be trying to limit email voting if at all possible for the above reason.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Lilly

To clarify. You are a BOD of 3. You got an ARC request and 2 of the 3 approved it so the MC notified the owner it was approved. Am I correct?

RichardP13 (California)
Posts: 3,868

Posted:

Some folks here don't understand the role of a manager or a management because they are self managed and probably have been for some time. Sorry, we are not just contractors. Without us, most of my associations could not function. In cases of emergencies, we are on call 24/7/365 whether we like it or not. Just a contractor, I don't think so.

I actually schedule the monthly meetings, based on a calendar I put together. Each association has a scheduled day of the month, every month. It could be the third Thursday of every month for one association, the second Tuesday for another and so on. I prepare all the financials so CPA's can do their taxes and annual reviews, I send out the annual disclosures on a timely basis, handle daily phone calls from homeowners of each associations, prepare escrow documents for resale and refinance loans.

I am sure the landscapers, pool guys, plumbers all have the same duties. In many cases, I have the others make much more than what I make.

In reference to the OP issue, if what I read, the MC is challenging the decision the Board made. If the guidelines say 6 feet and the Board or ACC approved 10 feet, the question is why?

LillyR (Missouri)
Posts: 19

Posted:

Hi John,

Our BOD is our ACC as well. They are so quick to send their approval/denial through email that they approve of things that go against our CCR. Once 2 of the ACC have approved without waiting for the 3rd party to respond or discuss the MC states oh well we've already sent a letter of approval your vote doesn't matter.

We have 30 days to approve of a ARC request. They treat every request like it's a race of who can responds the quickest without getting details.

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Quote:

Posted By LillyR on 06/18/2019 9:14 AM
Hi John,

Our BOD is our ACC as well. They are so quick to send their approval/denial through email that they approve of things that go against our CCR. Once 2 of the ACC have approved without waiting for the 3rd party to respond or discuss the MC states oh well we've already sent a letter of approval your vote doesn't matter.

We have 30 days to approve of a ARC request. They treat every request like it's a race of who can responds the quickest without getting details.

And what would change if the 3rd person voted no? Nothing. Your issue is with the power/control the MC has. Deal with that.

LillyR (Missouri)
Posts: 19

Posted:

Thank you Sheila for the great advice

MarkW18
Posts: 1,290

Posted:

Quote:

Posted By JohnC46 on 06/18/2019 9:17 AM

And what would change if the 3rd person voted no? Nothing. Your issue is with the power/control the MC has. Deal with that.

So as Lily states, the Board approves things against the wording of the CCRs, the MC says something and the Board needs to worry about the power/control of the MC.

WOW!

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