Opted into POA

As many of you may recall our BOD (Georgia) have been diligently working to opt from HOA to a POA with very little success, until just recently when the board decided to act on the advice provided to the board from a renowned POA attorney.

After his interpretation of our governing documents was provided, was when I questioned his “legal advice” in regards to the rights as a HO.

I addressed my concerns to the PM as well as the other two board members on several occasions, with little regard to my interpretation of the governing documents. Basically my views/opinion, “didn’t hold much water” when compared to the legal advice being obtained by the PM and a POA attorney.

Too make a long story short. The POA attorney basically said that “the board can use their authority (as board members) to allow those (in good standings to vote on the POA)”, therefore approving the POA, based upon the votes that were received and those HO in good standings, as of the deadline. The board dismissing the other purposed amendments, but hopefully will be executed with future boards. We(board, PM and POA attorney) all agreed that the POA will benefit the association considerably, even though 2/3’s of the ENTIRE ASSOCIATION didn’t vote, YES or NO. By not voting SOME would say that “they” had spoken, although that is were I strongly disagree.

This decision STILL weighs in heavily in my mind as I believed ALL (as stated in our covenants means ALL lot owners, regardless of those in good standings, when amending the covenants. I came to the conclusion that we weren’t approving anything that wouldn’t potentially increase property values and benefit the majority of Lot owners. Therefore, I decided to exercise this right also.

Our governing documents can and should still be amended (as purposed). They would be vital in the future growth and development of this community, “IF” pursued and approved based upon the votes collected. As a HO first and foremost, I truly believe that the purposed amendments would benefit those who own property within our association.

This has certainly been a learning experience. I’m overjoyed to know that the community and I will prosper even “IF” future boards DON’T perform their fiduciary duty as board members. This has made my purpose (IMO) as a board member (past two years) worth all the endless hours and countless late nights discussing our options to opt-into a POA or to simply “wash our hands” of the entire process? Which wasn’t so much a choice as it was becoming more of a certainty.

I thank you all for your advice and suggestions. I continue to learn so very much from all of you.

Thank you once again
Chuck W

GloriaL,

I will attempt to provide you with the necessary information so your BOD can properly address the community, at the annual meeting in March. I’m not sure “IF” the annual meeting in March would be the appropriate time to present such information to the residents. I would suggest having a detailed agenda as too what will be covered/addressed distributing it and stick to the agenda, alleviating any opportunity for HO to complain potentially “burning-up” valuable time HOA time.

Do have a monthly newsletter? You may even want to interpret/define what a POA is prior to the meeting. Explain how a POA will ultimately benefit the community and why it would be adviced. That way HOs can begin to investigate what a POA is and have questions prepared to be answered at the meeting, when/if you’ll have the POA attorney present to answer any question concerning the POA.

Our governing documents requires 2/3’s approval to opt into the Georgia POA, this maybe different according to your covenants, you would need to check to be certain. IDK!

I would highly suggest hiring a POA attorney. Email me at [email protected] and I can provide you with his name and phone number perhaps you can request his presents at your upcoming meeting in March or even relevant information pertaining to a POA appose to an HOA/COA, etc. He can also prepare all the documents/ paperwork necessary to amend the covenants, involved in Opting into a POA.

In hind sight, I would have informed the HO (more than we did) as to the degree to which opting into a POA would be most beneficial to them, and why. I truly believe that would have substantially made a difference in collecting ballots, especially in such a large community that we have. Although the majority of the ballots that were returned were in favor of the POA, especially the BOD, more than half didn’t return a ballot at all, many of those were homeowners that were delinquent in their assessments therefore,weren't members in good standings!

I would also make a point of notifying all lot/unit owners that any unreturned ballot is neither YES or a NO vote for opting into a POA. All ballots must be returned either YES or NO, a unreturned ballot is NOT considered to be a NO vote! UNLESS THE GOVERNIG DOCUMENTS SPECIFY SUCH.

I see many benefits to opting into the Georgia POA that will benefit the overall well being of the community. For one your convents have NO expiration. Secondly automatic liens are filed on delinquent HO which will, ultimately “speed-up” the collection process. Not guarantee a quicker payment, but will apply a little more pressure on the HO/unit owners, for collection of assessments. MOST IMPORTANTLY, IF A UNIT/LOT OWNER FILES BANKCUPCY, an HOA is general at the bottom of the debts owed list, in which the money is owed. The POA puts the association at the top of such list of debts owned and therefore ensures payments.

I will continue to review all the information I have retained and I will post any and all information for you once I’ve had an opportunity to retrieve it myself.

Look forward to hearing from you soon enough
Good luck and keep me posted
Chuck W.

GloriaL,

Curry and Wilco?! I believe we have the same POA attorney. He is one of the best available when OPT-IN, to a POA.

Back in 2005 the board was advised (HOA attorney) to opt in a POA. At which time the current HOA attorney had made suggestions as to what should and shouldn’t be done as well as rewrote the governing documents all that was needed to be changed or what needed to be written. (Don’t know all the details).He constructed several ballots and letters and he then asked for our approval before distributing. A ballot was created and mailed to HO requesting their vote, the deadline to return such ballots was after our annual elections, which meant the newly elected board could pursue it of drop it entirely. It was in their hands.

The previous secretary, now president has been a board member ever since. So she voted to further pursue the POA. I ran last year and I too felt the POA would benefit all those residing in our community. In 2007, I decided I voted to NOT dismiss the POA due to own apathy especially since my property values would be significantly effected. The entire board voted to extend the POA ballot once last time and to take the legal advice of our new POA attorney (Jay).
It was a long road to travel. I and the board learned a lot, and all the hard work will pay off in the years to come, I’m certain of that.
The majority of our governing documents had already been rewritten, back in 2005 (HOA attorney). Jay (POA attorney) was just hired, revised the existing ballot and purposed amendments, by editing them in Laymen's Terms; essentially he took over prior to the deadline date. The board mailed the revision/purposed amendments and the new ballot (combined 1 sheet) to all the residents who hadn’t submitted a ballot voting either YES or NO.
Are documents are being filed at the county clerks office as we speak. We JUST OPTED IN on the 15th unofficially.

Even with limited funds, I would suggest writing a little something prior to the meeting and distributing it to all 27 lot owners preparing them for what you’ll be purposed in March appose to just “springing” it on them. Have HO’s prepare questions that they would like to ask “IF” the board doesn't have addressed at the meeting. I feel you will have much success obtaining more vote this way. The board has a month a ½, that’s plenty of time! I guess you need to ask yourself, how BAD do you want to OPT-IN to a POA? HMMM

I would think that this process wouldn’t take nearly as long as it had taken us. You also have fewer residents to gather ballots from.
After reading your post I would presume that you WILL NOT be running for a position on the board in March? Either way you could have the POA attorney start the process and make the deadline date after election of the new board to ensure that it continues even “IF” you aren’t elected or decide not to run. It sounds kind of “sneaky” although it will better the entire community as a result. Financially you may not be able to do this. However, it would ensure the process continues with the new board of directors. You may want to discuss this option with the attorney perhaps you can work out some sort of deal to get you started, their new to opening their OWN practice, you never know! As I always same some money is better than NO money, he’s a very intelligent man who fully understands that.

Keep me posted as to your trials and tribulations
I’ll help with as much as possible

Best of luck
Chuck W.

GloriaL,

My feelings exactly. ONE of the reasons I volunteered for the second year. I wanted to be certain the collections were being pursued as we had initiated and that we OPT-IN to the POA. It’s not so much that I’m tire. Although, it does feel as though all my HARD WORK, TIME, and WISDOM go unnoticed and not appreciated.

For me, the acknowledgment is great, but it’s much bigger than just that. I'M LOOKING OUT FOR ME AND MY FAMILY! PERIOD!

I wasn’t saying you would need to hold an additional meeting, prior to the AM. All I was suggesting was to mail or hand deliver (money saving) a letter explaining (brief information)what the purpose of the March meeting that way you are educating the residents as too what will be asked of them at the AM in March I feel that would be very beneficial to succeed in the process.

I will continue to review all the documents, I’ve retained and post them for you to review.
I wish you all the best, you’re in good hands. IMO
Chuck W.