What are the liability risks/concerns?

A self-managed COA's Board decides it wants to form a property maintenance committee of interested Owners who will do the mowing and landscaping needed. As this would have to be done regardless, it decides to pay whatever members pitch in and work for doing so, and will 1099 any who receive money from the Association.

What are the liability risks/concerns?

Does the decision to pay them affect this? If so, what's the difference between this situation - the Association paying an Owner to do something the Association needs done - and paying an Officer, such as the Treasurer, for the work they do?

What Melissa said.

I know you want to save money (which I'm sure is the main reason behind this), but I'd be concerned about injury (e.g. someone pertaining his or while from stepping into a hole while mowing the lawn), scrambling to get a replacement if the person who's supposed take leaves this week doesn't or refuses because she's honked off with the board about something else). Finally there are the homeowners who will try to get their association assessments reduced because they're shoveling snow for the association. That could mess up the budget.

And how do you fire the people who do an awful job? These are association members, so are you ready to deal with the "You can't fire me so I'm not going to pay my assessments until You reimburse me for extra stuff I did.". Of course , he probably didn't ask permission....

If your question is about risk, the people you really need to speak to are at the association insurance , and maybe the association attorney. This decision could affect your coverage and the premium, and not in a good way.

Self management can work, but don't be cheap. If I work all day, it's one thing for me to work in my own garden when I get home, but to get out and mow the common area lawn????

Agree with the bonded, licensed and insured.

If you insist on using volunteers to do physical labor, then you need to carry workers comp insurance in addition to liability. Unskilled workers can hurt themselves, hurt others, and damage the common elements or people's personal property. It's very different from paying someone who sits in front of a computer, although all of your volunteers should be covered by workers comp or equivalent.

Soapbox, or Why I Believe Using Volunteers is Short-sighted

* You don't get professional quality work. Nor do you have any kinds of warranties or guarantees - in fact unprofessional work may void any existing warranties that you do have. Nor do you have any recourse if your workers wake up one morning and say "the heck with it".

* Volunteer labor is not "free". In addition to insurance, you'll also pay in the future for poorly done work. Volunteers also require hands-on management from the board, unlike professional work crews who have their own supervisors.

* It's not sustainable. Just because you have a few eager beavers now is no guarantee that you'll have some in the future. Most people don't buy condos in order to do yard work or to have any kind of unpaid side hustle or time commitment.

* It misleads homeowners about the true cost of ownership by "hiding" essential expenses. In addition, it makes it more difficult to raise assessments to their proper levels in the future because you've been living in dreamland. This last is especially worrisome for those communities that require homeowner approval of assessment increases.

* You're setting up future boards for conflict and controversy with it's finally time to pay the piper. And the piper always needs to be paid.

In short, you get what you pay for, and the cheapskate spends the most.

And a final thought...

One issue we've had with volunteers, committees, and the like is that homeowners can believe that their roles give them the same authority as the board. If you have homeowners doing yard work, then they'll feel free to do whatever yard work they think should be done. Or they'll make other decisions that are the responsibility of the board, all without bothering to inform anyone.

(We had a couple homeowners make up a parking notice, add the property manager's name ("on behalf of the board") and distribute it around the community. We found out about it when angry homeowners called the PM's office and the office of the builder who built the homes in this community! Good times...)

It's a recipe for chaos unless you spend time riding herd on your volunteers. And then you'll get hurt feelings, angry words, and people stomping off in high dudgeon. Board members get enough of that nonsense without adding to it.

Yes.

Paying someone (or waiving assessments which shouldn't be done but equates to the same thing) has the individual waiving any rights under the federal Volunteer Protection Act of 1997.

Make sure that they know that.

Additionally, a 1099 might not be proper.
It could be considered that they are employees of the Association, requiring a W-2. Additionally, now the Association is subject to all the payroll taxes a regular business is subject to.

See: Independent Contractor (Self-Employed) or Employee? from the IRS

In my former HOA volunteers did the mowing and trimming. It is about 25 stand alone homes that cover several acres. It consists of roadways and areas around a couple of ponds, and the entry to the development. Sorry I can't be more accurate on the amount of mowing but it is a lot. The HOA owns the tractor mower and the shed that houses it. Gas and maintenance comes from the HOA funds. Some of the volunteers are board members. No payment is made to the volunteers and dues are collected from them just as everyone else. It seems to work very well but there may be issues behind the scenes that I am not aware of. The volunteers are mostly retired fellows who enjoy doing it. From my point of observation, many hours are spent by these gentleman getting the mowing done. It appeared to be ongoing during the growing season. The volunteers also keep the fencing repaired and are diligent in maintaining the sanitary sewer. Professionals are called when issues arise that is beyond their expertise.

This arrangement works pretty well but it may not be feasible for many HOAs. Having able-bodied mostly retired fellows in the volunteer pool is what makes it work.

Yes, that position here has already been spoken for.