original fees decision

we are 30+ years Florida HOA, in the process of revitalizing our governing documents, which draws attention to the past. some homeowners have requested the formal decision on the distribution of operational costs as part of their approval of the revitalization ballot. that decision is not in our governing documents. would/should it be recorded at the time that the HOA was formed??
any help would be appreciated, thanks folks
jim anderson

Or, perhaps, are those asking the question asking for information on how the operating costs are allocated to the owners? On the basis of square footage, or ???

"Distribution of operating costs" sounds a lot like a budget to me, and I've rarely seen budget items spelled out in the governing documents. The only exceptions I've seen are an article that lists the types of insurance that must be carried and some language giving the association the right (but not obligation) to include things like utilities.

A community can change some of these items over time. For instance, they may transition from self-management to hiring a community manager - and they wouldn't want to have to amend the CC&Rs whenever the board changes their minds about it.

Some of these things may be appropriate for homeowner approval. Others such as insurance are not, since most homeowners lack the knowledge to make good decisions. Even things like hiring a manager should be in the hands of the board and not the homeowners, IMHO. Homeowners are always in favor of cutting costs until it's time to step up and actually do the work themselves. If a community is self-managed, then the bulk of the work is going to fall onto the board and they should be the ones to determine whether or not they have the time and skills needed.

The assessment for each lot is to be made strictly on the basis of what the Declaration, Articles of Incorporation and Bylaws say.

Have your governing documents legally expired? Or does no one know for sure?

If they are legally expired, then I believe the HOA is starting anew. Also the bar for revitalizing is much higher.

If they are not legally expired, and the Board is therefore taking action to extend the present governing documents before they expire, then I do not think any amendment should be attempted at this time.

You all are working with an attorney right? You're asking questions here just to get a handle on the vocabulary and basics of the legalities here, right?

Another thing to check is the requirements for amending assessment rules. In my community (condos), any change to how assessments are calculated requires *unanimous* approval by the membership. If one tier of assessment percentages changes, they all have to change - hence the need for total buy-in.

An HOA that currently assesses a flat rate for all lots may have different requirements. But I would assume that a lot people believe that they're paying too much while their neighbors are paying too little - or at least enough of them believe this that achieving the necessary support may be tough. Other things to consider: the number of out-of-town owners and the general level of apathy among the membership. If these are at a sufficiently high level, even measures that have wide support may not get the necessary votes.

Bottom line: assessments are basically a zero-sum game. If you're going to pay less, then somebody else has to pay more. This can discourage cooperation.