GeorgeS21 (Florida)
Posts: 3,808
Posts: 3,808
Posted:
Gonna be a long note, but please take a look. Nothing is hypothetical :-)
So, new community for us. Recall my previous postings have been either about a rental neighborhood (still have properties), and about our personal home community at the time (retained this property to rent, as well). I am still webmaster at the rental neighborhood (my exasperation level was exceeded after two years of motivating the Board (as secretary) to do the right things. I refused to be prez at the last neighborhood, and became VP to convince the new prez there would be corporate knowledge.
Platted and incorporated in 2007, 659 single family homes, private roads, conservancy area to protect from local growth, two gates (one staffed, both video, both access systems), multiple detention ponds, irrigation systems, wells, lightning, clubhouse, small gym next to the main component of the clubhouse, small office on the other side of the main component, bathrooms accessed from outside, double tennis/bball/pickleball courts, back area tables and grills, pool with separate kiddie pool, landscaping, etc - it is a nice place.
The usual sorts of things have happened over the years:
1. Builder hired real estate management company to assist in the initial development - once most lots were sold, the developer turned over to HOA and, since the market was in downturn, the real estate management company remained as the management company for the HOA
2. Management company had limited software based tools, limited access to information, etc - clearly not a community management company, but rather a commercial real estate manager - did not do a good job - always turmoil
3. Market much improved now, so management company quit last year, Board commenced a search and hired another management company - without software tools, without online access systems - the new company's strength is in the personal, friendly interface
4. HOA has always employed a generalist attorney, not an HOA attorney
So, with a bit of time on my hands, I ask questions of the prez at the new community, and, not surprisingly she asks for help (the usual apathy with a few bright spots).
I usually look for parallels - and lessons learned - from others, so would appreciate your thoughts as I ramble through this over this post, and what I am sure will be future posts.
1. Financials
- assessments paid quarterly ($800K/year)
- no online system that allows review of assessment payments, contractor billing and payment, bank balances, etc
- Reserve Study - isn't one, never has been, Board has been somewhat haphazardly adding to a fund, but there is limited discipline in the manner this is accomplished - i.e. no baseline.
- MC is not providing full financials, even after six months in the position - they manage assessment collections and pay bills (the prez signs every check), update bank account totals, etc.
- I have not been able to determine if the reserves are laddered in CDs, or what (no access, yet)
2. Board meetings are quarterly - they are always way outside the decision cycles needed
- attended first a few days ago
- Board not able to answer basic financial questions which started a feeding frenzy
- open forum at the end vice beginning; didn't work as well as at the beginning
- basic CCR/R&R/Bylaw references were inaccurate
- no one seem to have heard of FS720
- no one had heard of MRTA 1963 and FS712
- one Board member outspoken and tried controlling, but was more ignorant than most of the rest of the board - others clearly tired of him, but he just overwhelms them
3. Amenity hours
- I am concerned the amenities are open too long, too much, wrong times, etc and this is increasing oversight and cleaning cost
- they have pool contract, cleaning contract, security contract, landscaping contract - it seems like a more integrated approach might be the same or lower cost and provide more full time coverage
- biggest gripes are about bathroom cleanliness and general lodge upkeep and cleaning
- Pool hours 8 am to 10 pm
- Lodge hours 8 am to 10 pm
- Gym hours 24/7
- Bathrooms just outside gym door hours 24/7
- Tennis/Bball courts - 8 am - 10 pm
Would appreciate any thoughts the group might have - I have not started to lean in, yet. Wanted to do some factfinding :-)
So, new community for us. Recall my previous postings have been either about a rental neighborhood (still have properties), and about our personal home community at the time (retained this property to rent, as well). I am still webmaster at the rental neighborhood (my exasperation level was exceeded after two years of motivating the Board (as secretary) to do the right things. I refused to be prez at the last neighborhood, and became VP to convince the new prez there would be corporate knowledge.
Platted and incorporated in 2007, 659 single family homes, private roads, conservancy area to protect from local growth, two gates (one staffed, both video, both access systems), multiple detention ponds, irrigation systems, wells, lightning, clubhouse, small gym next to the main component of the clubhouse, small office on the other side of the main component, bathrooms accessed from outside, double tennis/bball/pickleball courts, back area tables and grills, pool with separate kiddie pool, landscaping, etc - it is a nice place.
The usual sorts of things have happened over the years:
1. Builder hired real estate management company to assist in the initial development - once most lots were sold, the developer turned over to HOA and, since the market was in downturn, the real estate management company remained as the management company for the HOA
2. Management company had limited software based tools, limited access to information, etc - clearly not a community management company, but rather a commercial real estate manager - did not do a good job - always turmoil
3. Market much improved now, so management company quit last year, Board commenced a search and hired another management company - without software tools, without online access systems - the new company's strength is in the personal, friendly interface
4. HOA has always employed a generalist attorney, not an HOA attorney
So, with a bit of time on my hands, I ask questions of the prez at the new community, and, not surprisingly she asks for help (the usual apathy with a few bright spots).
I usually look for parallels - and lessons learned - from others, so would appreciate your thoughts as I ramble through this over this post, and what I am sure will be future posts.
1. Financials
- assessments paid quarterly ($800K/year)
- no online system that allows review of assessment payments, contractor billing and payment, bank balances, etc
- Reserve Study - isn't one, never has been, Board has been somewhat haphazardly adding to a fund, but there is limited discipline in the manner this is accomplished - i.e. no baseline.
- MC is not providing full financials, even after six months in the position - they manage assessment collections and pay bills (the prez signs every check), update bank account totals, etc.
- I have not been able to determine if the reserves are laddered in CDs, or what (no access, yet)
2. Board meetings are quarterly - they are always way outside the decision cycles needed
- attended first a few days ago
- Board not able to answer basic financial questions which started a feeding frenzy
- open forum at the end vice beginning; didn't work as well as at the beginning
- basic CCR/R&R/Bylaw references were inaccurate
- no one seem to have heard of FS720
- no one had heard of MRTA 1963 and FS712
- one Board member outspoken and tried controlling, but was more ignorant than most of the rest of the board - others clearly tired of him, but he just overwhelms them
3. Amenity hours
- I am concerned the amenities are open too long, too much, wrong times, etc and this is increasing oversight and cleaning cost
- they have pool contract, cleaning contract, security contract, landscaping contract - it seems like a more integrated approach might be the same or lower cost and provide more full time coverage
- biggest gripes are about bathroom cleanliness and general lodge upkeep and cleaning
- Pool hours 8 am to 10 pm
- Lodge hours 8 am to 10 pm
- Gym hours 24/7
- Bathrooms just outside gym door hours 24/7
- Tennis/Bball courts - 8 am - 10 pm
Would appreciate any thoughts the group might have - I have not started to lean in, yet. Wanted to do some factfinding :-)