Hiring a company to write your rules?

Young 22 home town-home community in NC
Some of you are aware of the turnover we've had recently both with our annual meeting and subsequent resignations.

The current 4 member board and a couple of homeowners are working to hire a management company to do the work (rules writing, upholding of said rules, etc) of the board. This isn't the subject of this email though.

One of the things they want the MC to do is to come up with actual rules and regs, which we still don't have after 18 months, for a few good reasons and a few bad.

Do any of you know of MCs or other companies that can be hired to help a community come up with R&R's that fit the community without creating a year(s) long contract with said company? I believe we could hire our lawyer to do this work but I'd like to see if there are other options that wouldn't cost $300/hr.

If you're wondering why we can't write those using homeowner time, we've tried and that's just resulted in a lot of foot dragging. I may end up offering to take the lead on this but first have to get past the "let's hire a MC and everything will become wine and roses again" battle.

Oh, the reason this is still a thing while that battle is ongoing is that there's one rule in particular that we need in order to keep our HOA insurance.

As a management company, I have often been tasked with putting together a community handbook, basic information and rules taken directly out of the CCRs and any architectural guidelines they may have. While we aren't in the governance business, we are most certainly in the compliance business. This is not done for free, we do charge a fee. Prior to the first violation being written, we have clear direction on what rule are to be adhered to and which ones are not, there is no middle ground.

We do not add rules that aren't aren't in to CCRs and what ever the board wants added must go through California's notice process.

Start with your documents - there probably are some CCRs that could benefit from some rules to flesh them out. For example, the CCRs require prior approval of exterior changes, so your rules might dictate what type of changes would warrant prior approvals and the process.

In some cases, you may be able to adopt some city or county rules as the community rules. I live in a townhouse community and that's what we did with our parking rules and pet rules.

Bring your homeowners into the process - run a poll to find out what areas are more problematic and ask for suggestions on how to address them. A few may be willing to work as a committee to do more research and make suggestions for the board for final approval.

The ultimate failure of CICs is choosing not to spend the time and money required to establish appropriate governance and oversight. The OP expressed that the volunteers are "tapped out" on this which is absolutely fine, but there's no need to reinvent the wheel or write your own pet rules. For goodness sake, start from a template from one or more of the thousands of other organizations that have already invested the time to do this work.

Everyone replying to this thread with ideas for the OP and his peer volunteers to do the work has missed the point: the OP is ready, willing and potentially able to contract out the help. It's the right decision. Stop stretching volunteers past their breaking point. Running a CIC is equivalent to running a business. It's not free. Homeowners should to understand the value of the money they spend, but they must also understand the necessity of spending it.

Regards,
Steve

I honestly don't know you would call (vendor) to write rules. I wrote up a simple set of rules for a new policy, and gave it to the PM to review and make comment on. Her comment was - bring the attorneys in. We did. All of a sudden, a ton of WHEREASs, THEREFOREs, and NOTWITHSTANDINGs were added to the incredibly simple policy that I had drafted up, and no one can readily read it!

What most people don't realize is that many HOA's don't come with a set of Rules and Regulations, especially older and smaller HOA's. Larger, national builders will be better prepared. They will have in place a full set of governing docs, including Rules and Regulations and Architectural Guidelines.

Easiest way, based on experience, is take the CCRs and convert into a Word document. Cut and paste each of the restrictions and architectural guidelines into an Excel spreadsheet. You use that to identify what the Board wants enforced with compliance violations. Paste what will be enforced into Word using different identifying headers. Examples can be found on the internet or through Steve's outstanding site. Along with the rules, you have to create a fine schedule and a method to enforce. I might tend to staying away from rules that aren't already in the CCRs, especially since people are "footing dragging" the project.

Something like this, I would probably charge in the neighborhood of $1000.00.

Totally true! If you hire a lawyer insist they do NOT legalese the document!!!! Keep the language simple

We can agree to disagree on this, but sometimes I think people make things a lot more complicated than they need to be. I personally say one SHOULD start with their documents because they need to know if the board even has the authority to enact additional rules and regulations. If your CCRs already have rules that are pretty fleshed out, such as with exterior change requests, that’s one area you don’t have to deal with.

If your city or county already has regulations on not parking on the grass and cleaning up after your pet, cut and paste them from the appropriate website, pass a board resolution adopting those rules as the community rules for that subject, then post them on the community website with an effective date (immediately or beginning X date). How complicated and time-consuming is that?

You don’t have to write up a rule for EVERYTHING – and you shouldn’t try because the more rules, the more time you’ll need to investigate complaints, pursue appeals, and possibly Iegal action which takes even more time and money. And why pass a rule for a problem that doesn’t even exist (yet)?

Why don’t people start with common sense – these are townhouses, so space is limited and the adjoining walls can be as thin as what you get in your average apartment, so you should assume stuff like loud noises (e.g. the firecracker popping I heard in my community last night – and the 4th of July is a month away!) will get you cussed out or worse. Hopefully, this community has people who are behaving themselves, but if the board doesn't have the time, why not ask what sort of issues are becoming problems and SUGGESTIONS for rules? You might get a decent set that way to start with. And yes, the board can go to CAI and get the book on rule enforcement to use as a reference.

MichaelT21 is right – start with a simple set of rules and then you can add to them as necessary. If you start with the Golden Rule as your guide (do unto others as you would have them do to you), it may take less time than you think.

Here is a copy of our R&R's. I was quite surprised that our board made new R&R's without any home owner approval or discussion in our HOA.
They said they were just copying the CCR's, but that's not entirely true. they changed the ARC approval process to include landscaping when before it was just for building changes. I've deleted any mention of our HOA

RULES & REGULATIONS
These RULES & REGULATIONS have been drafted from the Covenants, Conditions & Restrictions (CC&R’s) where they are described in greater detail. The common goal of Owners and the Association is to protect home values, create peace and harmony between owners, and create a safe and happy environment in which to live. the HOA will enforce these Rules specifically and the CC&R’s in general by means of Violation Letters, Hearings and/or Daily Fines, as the law allows.
Southbridge Forest HOA is responsible for maintenance of the Common Areas and front entrance. Home Owners are responsible for maintaining their property as per the CC&R’s.

INSURANCE
The Association provides liability and property damage coverage for the common areas, fences, private streets and property owned and named by the Association.
The Home Owner is responsible for obtaining coverage for liability from accidents on and within their property and for loss of their home and its contents.

DUES & ASSESSMENTS
HOA dues are due and payable in two (2) semi-annual payments. These installments will be due on March 1 and September 1.

USE & RESTRICTIONS
Each home is to be used exclusively for Single Family non-transient residential purposes.
Operating an apparent business from the home is prohibited, i.e. no employees, no increase in traffic or parking, no noise or signage.
No lot or portion of any lot may be used as a Residential Institution.
Exterior maintenance, upkeep and repair of the yard, fence, walkways, shrubbery, dwelling and other improvements of each lot shall be the sole responsibility and expense of the owner of the lot. (More information found below).
No offensive, unlawful, noxious trade or activity or activity that may endanger the health or safety of any Owner shall be permitted.
No noise or disorderly conduct shall be permitted, including but not limited to shouting, singing, playing musical instruments, radio, stereo, and/or television in an unreasonable manner that disturbs any other Owner.
No temporary structure of any kind shall be permitted.
No above-ground pools shall be permitted.
No sign of any kind shall be displayed to the public view on any lot except one sign of not more than five (5) square feet advertising the property for sale or rent, or a sign used by a builder or developer to advertise the property during the construction and sales period.
All, recreational apparatus, such as basketball nets, skateboard ramps and other sports or play apparatus must be on the Owner’s lot and off the street.
Clotheslines are not permitted on any lot.
No freestanding television or radio pole, antenna, aerial or tower may be in the front of any lot. Only 1 antenna may be in the back of the lot or attached to the residence not exceeding 5 feet in height.

COMMON GROUNDS
Common Grounds are defined as all property within Southbridge Forest at the Common Area, but excluding the property owned by individual Homeowners.
The HOA will be responsible for the maintenance and upkeep of the Common Grounds and property owned by the Association.
No alterations, additions to, or decorating of, the Common Grounds shall be permitted without written consent from the Architectural Review Committee (ARC).
Owners will be held responsible for the actions of their guests and family members.

VEHICLES & PARKING
Observe posted speed limits at all times.
Permanent parking by residents is in their driveway or garage.
Guest parking shall be in the driveway or in the street.
To ensure access by emergency vehicles, any temporary parking by visitors, service vehicles, etc. shall be on the street only
No commercial vehicle in excess of one (1) ton capacity or buses, including, but not limited to, school buses, shall be parked within the property.
No boats or trailers or campers shall be parked in front of the residence on any lot, or within the front or side setback of any lot.
Only one (1) boat and trailer or one (1) camper may be parked on any lot at any one time.
No tagless or junk vehicles shall be parked on the street in front of the residence or on any lot unless in an enclosed garage.

LAWNS & LANDSCAPING
The HOA shall be responsible for the maintenance and upkeep of all lawns in the common grounds and the pruning of all trees, shrubs and vines within the property owned by the association. This will include the maintenance and repair of all irrigation equipment and the setting of timers for all irrigation systems to ensure grass and flower beds are watered properly and to avoid overuse of the well water at the front entrance.
The HOA shall keep all planting beds weed-free and well-defined in areas owned by the association.
The Home Owners shall be responsible to keep their property in accordance with the Architectural and Landscaping Guidelines, and in a well-maintained, safe, clean and attractive condition at all times.
No trees measuring ten (10) inches or more in diameter at ground level may be removed without prior consent of the ARC.

ANIMALS
No livestock or poultry of any kind shall be permitted.
Dogs, cats and other common household pets, limited to three (3) may be kept.
Keeping, breeding or maintaining of dogs and cats for commercial purposes is not allowed.
Pets must be kept on or within the lot, and must be restrained on a leash when off the lot.
Pet waste must be picked up from both Private and Common Grounds and disposed of properly.
Pet areas are to be kept clean and sanitary so as not to be offensive to other residents.
Pets shall not disturb or cause a nuisance to other residents.

GARBAGE & RECYCLING
All rubbish, trash, garbage, junk and other waste shall be kept in sanitary containers.
Such containers shall be kept in a clean, odor free and sanitary condition.
Except for garbage/recycling pickup day, containers must be concealed from public view. All garbage cans shall be kept in an enclosed structure or screened by a fence or adequate plants.
Weekly pickup of garbage and recycling containers will be from the front of the house and is provided by the City of Charlotte.

FENCES AND WALLS
No fence or wall shall be erected on a lot closer to the street right-of-way line than the front of the house.
In case of a corner lot, no fence or wall shall be erected within the side yard setback adjoining the road right-of-way, except for split rail fences.
Solid or privacy fenced shall be erected entirely to the rear of the residence exclusive of decks and porches.
The following types of fenced or wall shall not be erected on any lot:
Chain link or other metal fencing is not permitted.
Any fence or wall in excess of 6 feet in height.
Any fence or wall located within the road right-of-way.
Dog runs or animal cages.

ARCHITECTURAL CONTROL
No improvements, changes, additions or alterations to structures or landscaping shall be commenced without written approval from the ARC.
The process for submission of requests and their approval are included in the CC&R’s and can be done on our Community Web Site.
All ARC will be approved within 30 days.
As a guideline, ARC approval is required for, but not limited to, the following:
Changes in any exterior color, design or shape
Exterior devices attached to or separate from the building (heating and air conditioning equipment, antennae, satellite dishes, etc.)
Window shutters
Storage sheds or areas
Roofed structures
Parking or paved areas
Hedges/mass plantings
Fences/walls
Water features
Exterior lighting

Please review the Governing Documents in their entirety for detailed explanation of the Rules and Regulations on our Community Web Site

Check your Bylaws (they dictate how the community is to be run), and you should also see the powers of the Board. In many cases, the Board has the authority to establish additional rules and regulations as long as they don't overrule the covenants and they usually don't need homeowner approval. The rules and regulations should flesh out the CCRs - for example, yours require written approval from the ARC before any exterior changes can be made to your home. The guidelines state prior approval is required, but not limited to things like fences. In general, I would interpret that as "if you can see it from the street, it may require prior approval."

The guidelines also said the request will be approved within 30 days - I would have said finalized because the request could be denied, and hopefully, thee's an appeals process for that. I do agree with you that it would have been nice to show any new proposed rules to the community for its input. When homeowners have a say in the process, the chances of more compliance go up, although that's not guaranteed. You don't say what's new or which rules you have a problem with and rules can be amended or dropped - why not tell the board how you feel and come up with suggestions?

And why do I get the feeling that you and Thad {from the discussion on rules} are the same person? You're both from Alabama and seem to have an issue with how HOA boards work. It's true some make up stuff as they go along and don't communicate at all with homeowners. However, homeowners forget they have more power than they know, and it starts with understanding your documents. Most people don't read them before or after they buy and don't understand that HOA living means you agree to comply with the community regulations when you become an owner. It's not for everyone and that's why it's best to read before you buy so you'll know what you're getting into. You don't get to ignore the rules just because you don't like them or think they're stupid. And if you don't like the board that made up the rules, run against them and if you win a spot, you can work with your colleagues into amending or dropping them. That's a democracy, children, and it's not always neat and tidy, because people are messyu.

Establish a committee to review and draft changes to, or create, rules/regulations.

The residents know the issues better then any outside company or individual.

After the draft, the board can review and, if deemed prudent, have an attorney review.
A review of a draft would be far less expensive then having them create.

This is a case of "you don't know what you don't know." Even a comprehensive revision of substantially complete set of rules takes dozens of volunteer hours to do correctly. No offense, but starting from scratch is absurd. Thanks to Justin who is the only other respondent to share rules with the OP. Where's all the sharing everyone? Lots of advice, but very little in terms of examples. Please, let the rule sharing begin!

Regards,
Steve

I have complete sets on my two sites, but posting would be against the site's rules.

huh?? scroll up, there was a whole set of RR copy and pasted, not against any rule to do that.

I didn't post many, but a few, Steve, but I can see how you'd miss reading some posts--we all do. : )

I googled HOA rules & regulations an saw two useful site right away

Meant to finish, but out of time. As mentioned CAI did & probably still does have their Board Members tool Kit, with a very practical section on Rules. I think it's free.

I still have the feeling that the content of rules isn't the sticking point in MichaelH's HOA. Maybe he'll elaborate a little.

The BMTK is definitely one of CAI's better documents, but definitely not a thorough set of "how to" when it comes to rules.

Max, you're a believer, but if only to defend my honor, anyone who posts a link to anything that can be *VIEWED* for free is doing the right thing and playing by the rules. I never post links to material that has a paywall for viewing. The race to zero mentality where everything must be free to view, download, convert, use as one's own, is, as I've stated previously, a significant challenge for CIC governance.

The point-by-point answer to the OP's inquiry is:

> no, you should not hire a management company strictly out of a desire to write a set of currently unwritten rules
> no, you need not have your attorney write your rules (and will be better off for choosing not to), but you may choose to have an attorney review your rules
> yes, you can write the rules with volunteer time. Expect to spend dozens of hours coming up with a robust set of reasonable rules that includes a fine and enforcement policy
> yes, you can hire a consulting firm to help you create the rules. Expect to spend between $100 and $200/hr (typical of hourly professional fees charged by mgmt companies). This will save you dozens of hours.

I suspect that, given the examples provided, the OP is better off than before the question was posted.

Regards,
Steve

Our Community Handbook (Rules & Regs), ca. 2000, is 15 pages, including penalties, hearing, etc., of fairly large font with lotsa white space. It's for our twin tower high rise with pool, spa, gym, two "party rooms," a billiards room, a conference room, elevators, BBQ area, underground parking, underground storage lockers, Visitor Parking, a circular drive, a drive entry kiosk staffed 24/7, Unit front doors and 2 lobbies. All 200+ units have exclusive use balconies, patios or decks. There are rules about all of these. We also have rules about noise, noxious odors, window covering colors, pets, rentals, tc.

What we do not have are rules about yards, fences & driveway/street parking.

Ours was the first development by an experienced Vancouver builder in our region & perhaps in CA. An engineering/building maintenance firm wrote our Rules as well as our Maintenance Manual. I suspect that's unusual.

After about 7 years, an ad hoc committee of about 5 of us, rigorously went through it and made many recs to the Board. We deleted some really useless and unenforceable rules, and added a few that were extensions of our covenants. Unlike Steve's assertion that it would take "dozens of volunteer hours" to revise, I'd say it took perhaps ONE dozen hours of Committee meetings and then, of course, submission to the Board. We also sent the draft out to Owners and, as I recall, only one limitation was modified based on owner comments. We didn't use an attorney.

But I do think it's good idea to have an HOA attorney vet a draft. S/he may also have good ideas for additions/deletions based on experience with other HOA clients. In MichealH's case, where there feels like there may be contending forces, an hour of an HOA attorney's time would be funds well spent.

I'm terrible at math, but to me, 15 does not equal dozens.

I need to mention that the above rules include no ARC Guidelines, which is a big ugly set of documents. Unlike detached homes, where they seem often to be about exterior appearance, in a high rise virtually all the "rules" are about maintaining structural integrity and protection of other condos and common areas.

15/12 = 1.25

BillD (I like math)

So, Bill, is 1.25 "dozens?" (I like math too, but am no good at it. Is any fraction more than a dozen, but fewer than 24 "dozens?"

Bill wrote: "Any quantity (n * 12) where n is greater than 1 is more than a dozen." Of course, but I've never heard anyone refer to, let's say, 16, as "dozens." I imagine that never having heard more than 12 but fewer than 24, or more likely 48, as "dozens" is why I've never been treasurer.

I’d guess it’s a combo of poor math skills + poor written communication skills.

BillD