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AnnS12 (Wisconsin)
Posts: 67
Posted:
In 2008 at the annual meeting the owners voted to transfer the responsibility for our front porches/stoops to the association. They agreed to 1 %5.00 increase to pay for the stoops and concrete repairs. Every year we spend approx $6,000 on concrete replacement However the vote was done orally and they didn't get mortagees approval In 2018 our attorney gave us this opinion

attorney in his report stated:
“However, an amendment to the Declaration must obtain the "written consent" of at least 75 percent unit owners and their mortgage holders. Accordingly, this amendment is not valid because the vote was done orally, not by written consent, and more importantly, the consents of the mortgage holders were not obtained.”

According to our bylaws
The limited common elements are reserved for the exclusive use of the owner or occupant of the Unit to which they are appurtenant. The limited common elements consist of the outside deck, patio or porches, if any immediately adjacent and appurtenance to each unit to which is has access by a door from the unit and the driveway immediately adjacent and appurtenance to the garage door to each unit.

The board in 2018 did nothing about this. We have now found this out and have communicated to the owners that the stoops/porches are their responsibility.
Their complaint is that in 2008 the board after this decision decided to put an epoxy coating on all the stoops. This was supposed to have a lifetime warranty. However the company that did this went out of business so we have no recourse there. Through the years some the stoops have needed to have the epoxy removed and a non slip coating was applied. This was done voluntarily by a previous board member. He is now longer able or willing to do this. So we have some porches with epoxy and some with the non slip coating.

We notified the owners that the stoops/porches resolution was illegal and therefor they are responsible for them. Their complaint is valid that the board put this coating on so whey should they have to pay to fix it.
We've tried to explain that either way they are paying for it.

We are wondering if anyone has any idea how we can address this.

CathyA3 (Ohio)
Posts: 6,299
Posted:
As your attorney indicated, unit owners can't "vote to transfer responsibility" in contradiction of your governing documents. Instead, you must amend them. You will need 75% of owners to vote Yes to pass the amendment; 25% No means the amendment has failed, and anything in between means "undecided". If the amendment passes, it must be recorded with your county - and the amendment is not in effect until it is recorded.

It sounds like you have a good handle on this, and the membership doesn't. You may need to go through the formal amendment process, take the vote, and let the chips fall where they may. However...

We amended our Declaration, and the entire process took about a year. It also took about $1000 in legal expenses. Owners need to understand that they will spend this money whether or not the amendment fails.

For this reason, I'd recommend poling the entire community first (assuming that your annual meeting was not attended by a majority of owners, meaning the results of the vote may not represent majority opinion). If the result of this poll isn't very close to 75% Yes, you may want to rethink spending the money at all.

Owners who want to object can hire their own lawyers and have them explain the facts to them. But the results of the official poll may be enough to convince them.

AugustinD
Posts: 3,698
Posted:
Ha. The attorney is correct about the amendment procedure et cetera. All the veterans here at hoatalk would agree with the attorney. But, As the Soap Opera (with ba-ad legal implications) continues: In violation of the covenants, the HOA takes some maintenance responsibility for a non-common area element, setting the wheels in motion for possibly some bad stuff contract-wise, and per the case law. In one layperson's word: Estoppel. In another layperson's phrase: Course of conduct. All that stuff to read about a ibt before meeting with the attorney again. Does the HOA have to continue maintaining the non-common area elements, or at least continue applying a new epoxy?

My advice for now: Quote the covenants to the Owners. Explain why the vote back in 2008 was not valid. Explain that the Board does not feel the HOA is responsible for the coating any longer. Say nothing more.

If an Owner wants to sue, the Owner can lawyer up ($3000 just for a review of the governing docs), have their lawyer send the demand letters, and so on. Until your Board receives said demand letters, stand firm.

Note the ever-so-clever strategy of forcing the Owner to cough up $3000 or so, on a gamble that he or she is legally correct (never mind the gamble of going to court) when the Owner's paying for a re-coating is likely cheaper.

I look forward to the responses of certain others who post here at hoatalk.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Owners also need to understand that transferring maintenance of porches and stoops will result in an increase in assessments (your reserve requirements will rise immediately, and you'll probably need to pay for a new reserve study as well to accommodate this change).

I'm always amazed that so many people don't understand that "the HOA pays" means that "homeowners pay". The only advantages to having the HOA do it are that the HOA can get better pricing through bulk bids and that things will be maintained consistently.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Pondering here... but depending on the age of the community, that epoxy on the porches may have voided any warranty on the concrete.

Did the association' attorney have any opinion about this? Because now that I think about it, the epoxy is clouding what should be a straightforward issue. If I were on the board currently, I'd want to get some guidance because it's possible that the 2008 board messed up pretty badly.
AugustinD
Posts: 3,698
Posted:
Quote:
Posted By CathyA3 on 04/16/2021 8:33 AM
Pondering here... but depending on the age of the community, that epoxy on the porches may have voided any warranty on the concrete.
Concrete can be warrantied? I suppose, but this HOA's infrastructure seems pretty old for a concrete warranty to still be valid.

Or you think Owners might claim the Board's epoxy decisions (and regrettably, multiple years tending to establish a course of conduct yada) may have damaged the underlying concrete?

I agree with CathyA3's points regarding explaining to the Owners that they are going to pay either way and surveying before trying to amend (if there is interest in re-attempting amendment).
BillH10 (Texas)
Posts: 1,217
Posted:
Ann

Just because a class of common elements is named Limited Common Elements does not automatically mean the unit owner is responsible for maintenance of the LCE.

Is responsibility for maintenance of Common and Limited Common Elements explicitly spelled out elsewhere in your documents?

I have seen modern documents (perhaps 15 years old and newer) list which party, Association or owner, is responsible for maintenance of Common and Limited Common Elements. Great relief to find it spelled out in black and white on a list.

I have seen many older documents which are silent and which have created a good deal of discussion and fumbling about over the years. How one Association has interpreted responsibility for maintenance of front doors for example, is different from another, 2 miles away, with virtually the same boilerplate early '80s Bylaws and CC&Rs.

While I agree with the advice of the attorney regarding the '08 verbal decision regarding maintenance, it would be good to understand exactly what your documents say regarding maintenance responsibilities overall.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Quote:
Posted By AugustinD on 04/16/2021 8:44 AM
Posted By CathyA3 on 04/16/2021 8:33 AM
Pondering here... but depending on the age of the community, that epoxy on the porches may have voided any warranty on the concrete.
Concrete can be warrantied? I suppose, but this HOA's infrastructure seems pretty old for a concrete warranty to still be valid.

Or you think Owners might claim the Board's epoxy decisions (and regrettably, multiple years tending to establish a course of conduct yada) may have damaged the underlying concrete?

I agree with CathyA3's points regarding explaining to the Owners that they are going to pay either way and surveying before trying to amend (if there is interest in re-attempting amendment).

Yes, concrete can be warrantied, but the OP's community is probably beyond that period.

The other issue is that application of certain products make it impossible to use different products that also claim to extend the usable life of the concrete. So when repairs are needed, you may be stuck with replacing the concrete altogether, which is usually the costliest solution.

I don't know that the owners have an issue that is worth fighting legally. I do know that without the expoxy coatings, the current board could simply say "this is user responsibility per the Declaration and the previous vote was not valid" - and owners would be less likely to fight it. We know how legal wrangling can end up costing a lot more than whatever the underlying issue is worth. :-)
AugustinD
Posts: 3,698
Posted:
The details here are still sinking in for me. Going beyond the epoxy, the HOA has replaced the concrete in some, but not all, of these stoops/porches, all without apparent authority from the covenants:
Quote:
Posted By AnnS12 on 04/16/2021 7:52 AM
In 2008 at the annual meeting the owners voted to transfer the responsibility for our front porches/stoops to the association. They agreed to 1 %5.00 increase to pay for the stoops and concrete repairs. Every year we spend approx $6,000 on concrete replacement
Messy messy. Some owners maybe got all new concrete stoops/porches. Meanwhile, the HOA has collected extra money // for years // pretty explicitly (albeit without authority from the covenants) for maintenance of the stoops/porches.

And if someone trips on a porch/stoop where the concrete has cracked, whose insurance covers?

I'd be inclined to try hard to get an amendment at this point, to help clear things up.

Also, uniformity in appearance is a good thing, in general.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Quote:
Posted By BillH10 on 04/16/2021 8:53 AM
Ann

Just because a class of common elements is named Limited Common Elements does not automatically mean the unit owner is responsible for maintenance of the LCE.

Is responsibility for maintenance of Common and Limited Common Elements explicitly spelled out elsewhere in your documents?

I have seen modern documents (perhaps 15 years old and newer) list which party, Association or owner, is responsible for maintenance of Common and Limited Common Elements. Great relief to find it spelled out in black and white on a list.

I have seen many older documents which are silent and which have created a good deal of discussion and fumbling about over the years. How one Association has interpreted responsibility for maintenance of front doors for example, is different from another, 2 miles away, with virtually the same boilerplate early '80s Bylaws and CC&Rs.

While I agree with the advice of the attorney regarding the '08 verbal decision regarding maintenance, it would be good to understand exactly what your documents say regarding maintenance responsibilities overall.

Related to this: the difference between Common Elements and Limited Common Elements may depend on the structure of the concrete surface.

Example: in my community, driveways function as Limited Common Elements via restrictions (ie, exclusive use for the owner of the unit) but they are defined as Common Elements so that the association can maintain them. This is because many of the driveways are part of a single sheet of concrete, and a unit owner can't repair or replace his driveway without affecting the driveways on either side.

So if some of the porches or stoops in the OP's community are also parts of a single sheet of concrete separated by a privacy wall, for example, the HOA would have to be responsible.

Looking at things this way can be helpful if the governing docs don't spell it out.
AnnS12 (Wisconsin)
Posts: 67
Posted:
Article IV of Bylaws:
The limited common elements are reserved for the exclusive use of the owner or occupant of the Unit to which they are appurtenant. The limited common elements consist of the outside deck, patio or porches, if any immediately adjacent and appurtenance to each unit to which is has access by a door from the unit and the driveway immediately adjacent and appurtenance to the garage door to each unit.
Article VII of Bylaws:
Unit owners Responsibility. The owner of each Unit shall (a) maintain in good condition and repair and replace all of the components or installations within or used by the unit, including but not limited to all utility lines and installations, the heating and air conditioning systems for the Unit, fixtures appliances, water heater, equipment, interior walls, partitions, flooring ceilings, windows, window frames and doors, including all glass and locks in window and doors, (b) paint and decorate the interior or the perimeter walls and all walls and surface areas withing the Unit; (c) keep the patio deck or porch appurtenant to the Unit in a clean and neat condition; (d) keep and maintain in good and orderly condition its Limited Common Elements and repair and replace any portion of the Common Elements damaged through the fault or negligence of such owner or such owner’s family, guests or invitees or any other occupants of the Unit. Notwithstanding the above repairs to the Common Elements shall be affected by the Association but paid for by the Unit owner if within this section.

These are our bylaws. As I stated our attorney gave us a written opinion stating that since the vote taken was illegal it is not valid.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Quote:

"Unit owners Responsibility. The owner of each Unit shall (a) maintain in good condition and repair and replace all of the components or installations within or used by the unit, including but not limited to all utility lines and installations, the heating and air conditioning systems for the Unit, fixtures appliances, water heater, equipment, interior walls, partitions, flooring ceilings, windows, window frames and doors, including all glass and locks in window and doors, (b) paint and decorate the interior or the perimeter walls and all walls and surface areas withing the Unit; (c) keep the patio deck or porch appurtenant to the Unit in a clean and neat condition; (d) keep and maintain in good and orderly condition its Limited Common Elements and repair and replace any portion of the Common Elements damaged through the fault or negligence of such owner or such owner’s family, guests or invitees or any other occupants of the Unit. Notwithstanding the above repairs to the Common Elements shall be affected by the Association but paid for by the Unit owner if within this section."

I agree with you that the owners are clearly responsible for maintaining their front porches or stoops. The language stating "repairs to the Common Elements shall by affected by the Association" refers to the previous sentence which talks about damage to the Common Elements by the owner or other occupants of the unit, not routine maintenance of the porches/Limited Common Elements. There's also a typo there - should be "effected" or "caused to happen", not "affected". {Thank you, Dr. Grammar.}

Any vote to change this would have no effect (ha!) unless the entire membership was able to vote on an amendment that changes this, 75% or more of the membership voted in favor, and the amendment was recorded in your county.

(One caveat: You're using the word "bylaws" for language that usually appears in the Covenants, Conditions & Restrictions, and the CC&Rs must be recorded to be effective. Bylaws usually cover how an association is run - the number of directors and officers, how elections are run, etc. - and may or may not have to be recorded. But there are exceptions to these general rules. Just saying for the record.)

As others have noted, the fact that past boards have maintained these porches, in violation of the governing docs, muddies the waters. It may or may not be enough to change anything ("course of conduct", or in other words, do something wrong long enough and it becomes accepted). But that's a legal question - I have no idea what a court may say about this situation.
AugustinD
Posts: 3,698
Posted:
Quote:
Posted By CathyA3 on 04/17/2021 6:17 AM
(One caveat: You're using the word "bylaws" for language that usually appears in the Covenants, Conditions & Restrictions, and the CC&Rs must be recorded to be effective. Bylaws usually cover how an association is run - the number of directors and officers, how elections are run, etc. - and may or may not have to be recorded. But there are exceptions to these general rules. Just saying for the record.)
I think this forum has seen Michigan HOAs/Condos often (always?) do what the OP's condo/HOA does: Put some or all use restrictions (like that AnnS12 quoted) in Bylaws.

AnnS12, very cool of you to quote the pertinent sections of your HOA's/Condo's governing documents (here, the pertinent section being in the Bylaws, unless AnnS12 mis-spoke). To me, this helps folks responding have more confidence that they are giving you useful information.
AnnS12 (Wisconsin)
Posts: 67
Posted:
We have not replaced any concrete. Only taken off the epoxy on some and replaced with a non slip coating. So the concrete itself is not an issue. The work was done by a volunteer owner. He choose which ones he would do. Sometimes based on if he like the owner or not. The associaiton did not pay for this.
AnnS12 (Wisconsin)
Posts: 67
Posted:
You are correct. These are in our Disclosure Documents under declarations.

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