Fine policy missing

Since the authority to impose monetary penalties is already in the covenants, a formal policy on how the penalties would be applied would be done by the board, typically without a need for membership approval.

With declaration providing the authority to impose monetary penalties, The board doesn't really need a policy to actually impose the penalties.
However, the board may need a policy to defend their actions if the issue is challenged in court.

Keep in mind that I'm not saying that the board/Association shouldn't have such a policy (they should).
I'm saying that, realistically, it likely isn't an issue unless the subject is challenged through the courts (hence the reason to have one).

Most of the issues brought up on this site appear to be associated with failure to obtain prior approval for exterior changes or failure to pay assessments on time.
These are the two main areas where a board is likely to impose monetary penalties.

The main thing to keep in mind is that if your brother follows procedures for exterior changes (obtaining approval before making the change) and pays their assessments on time they will likely not have to worry about monetary penalties. Perhaps your brother will serve on the board and can create such a policy for the Association.

Thanks for the info. We were just curious. My brother won’t be doing anything to be fined over but we thought adding fine amounts and procedures would be considered an amendment to the declaration.

If your declaration gives the assn. the authority to enforce, the board may vote for a Schedule of Fines that would be in your Rules & Regulations. CA requires such changes or additions to our Rules be sent out for 28-day comment period to owners before that Board approves the Schedule at a subsequent meeting. I think Texas requires something similar, but I’m not sure.

Thank you. We thought everything related to hoa rules, enforcement etc should have been laid out at the inception of the subdivision being established. My brother, in previous years, at closing on different homes says he had to sign a boatload of documents relating to the hoa. Not so in his current home. Thanks for the information.

In some states it is the seller who is to provide the articles of incorporation and the CC&Rs at closing. Other states it is the buyer who has to find a copy since they are public.

It is, but sometimes one has to know how to read the legalese. This HOA's governing documents give the authority to fine. The governing documents also authorize the board to make decisions on behalf of the association, unless state statutes, the Declaration, Articles of Inc or Bylaws require a vote of the owners.

Where the governing documents give the board a discretionary power, the courts have said this discretion must be exercised reasonably.

Where the governing documents (meaning Declaration et cetera) give a HOA the authority to fine, Texas statutes have several requirements. Search TPC 209 for "fine" at https://statutes.capitol.texas.gov/SOTWDocs/PR/htm/PR.209.htm . Notably, consideration of fines and board votes on fines must occur in an open board meeting. Anyone who actually has a fine imposed on her/his lot has certain statutory rights.

Thank you.

Also read the declaration to Owners' rights & duties and the rights & duties of the association of the Association. (Not sure what the wording is in Texas).

I would be very unusual, from what I've seen on this forum, that owners can vote to approve or disapprove every single rule, fine, etc. It would have been unrealistic for the developer to lay out even single thing. Topics, issues, annoyances emerge for owners when the project has been occupied for a while. Tendencies & trends in the larger society affect rules.

Our condo high rise HOA opened in 2001. there was no rule of any kind about smoking materials. About a year later, the Board made a rule that there'd be no smoking in our INTERIOR common areas, like hallways, lobbies, party rooms, gym. Ugly signs were posted everywhere. By about 2010 another rule was made that no smoking was allowed in any common area whatsoever, including the exteriors.

In about 2015, a rule was made that residents could no long use any smoking materials on their exclusive use common area balconies, patios & decks.

Last year these all were incorporated into our restated declaration, and prohibition against the use of smoking materials, including but not limited to marijuana, in condo units was added.

The fine has been changed over time from $50 to $100. Our Rules & Regs have been revised a lot and are going out for Owners comments soon. the smoking fine will be raised to at least $200.

But in place when he bought was the fact that the Declaration said the HOA could impose fines. Boards can create rules and fine policies as long as they do not go outside the bounds of the bylaws or declaration.

They don’t have bylaws yet. The declaration doesn’t say anything about how to fine or how much to fine. Just says they can fine.

BrS, a covenant is for all intents and purposes a contractual term. A covenant denotes an agreement between and among owners and a corporation/association. One has to read the Declaration as if one were reading a contract. One often has to apply the rules of contractual/covenant interpretation established by case law.

Long-time posters here know the case law so well that they are able to apply long-established, court made "rules of interpretation" to your situation. For example, if the HOA's Declaration and Bylaws were silent about fines, then in Texas, the Board would not have the authority to impose fines.

Oh I’m aware. They literally do not have bylaws. The people running the hoa apparently are not sure how to so it’s haphazard and unorganized.