HOA projects

If the project was repairing or replacing items indicated in a reserve study and didn't require additional funding over 5% of the annual expenses, then no. If adding to the complex, then, again, it depends on how much money is been expense against the budget.

Should the Board let people know what is happening in their community, absolutely!

Someone is pulling your leg, or legally speaking, flat-out lying to you. There is NO SUCH law!

Why would you automatically believe something as absurd as this? Make them show you said law, as in California code whatever. if they can't or refuse to, you and your neighbors need to get together and blast the information out of them. Not with guns, but with a special homeowners meeting or letter to tge community.

You don't say what this project is or how much it was supposed to cost, but a 5% overage might not be that unusual. Perhaps a new building code was enacted that will increase the cost because you have to be in compliance. Or certain supplies have become harder to get- you do remember there are supply shortages that are raising the cost of everything, yes?

Or your board thought they could get the work done on the cheap, forgetting some contractors underbid to get the contract and then nickel and dime you to death. Much like people who want to do a home improvement project in your home. Whatever is going on, the board does owe homeowners an explanation and it should be accurate.

Moral of the story - trust but verify

This past summer our Board had a $428,000 retaining wall project completed. We do not have a 5% rule, nor do we need to have an association vote. The public relations with the owners were extensive and as a result we did not have one complaint. Our treasurer wrote a number of articles that were in the monthly newsletter, along with our Landscape chair describing the landscaping additions. The board that is keeping information from you is making a mistake and needs to be challenged. Good luck.

A lot of this will depend on what your covenants say. State law my also be applicable if these topics are not addressed in your covenants or if your state law supersedes.