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ChristyH1 (Texas)
Posts: 8
Posted:
TEXAS HOA, 55& over park, many owners reside out of state, question on state law requirements in relating to changing bylaws

One of the parks where we own lots simply posts a notice on the bulletin board if there is a vote to amend the bylaws, which, as per our existing bylaws, can only be voted on at the annual member meeting. They refuse to notify any owners by email or mail, insisting that if you don't bother to attend the monthly meetings in person, you don't need to be notified, and that if you cannot attend the annual member meeting, you give up any right to vote on the bylaws amendments. If your lot is eligible for two votes, you and the other owner MUST attend and vote at that meeting, or if only you can attend, only your vote is allowed. The board insists only Covenants require notice and absentee ballot provisions. Are there any Texas state laws that require notice be sent by mail or email when bylaws are up for amendment vote, or any Texas laws that require owners to be provided another method of voting if they are unable to attend the annual member meeting?

ElleN (Idaho)
Posts: 4,420
Posted:
Figure out if this is a subdivision of stand alone homes where TPC 209 applies, or a condominium where TPC 81 or TPC 82 applies. Do this by reading the Declaration of CC&Rs and seeing if they say which statute applies. Also see https://statutes.capitol.texas.gov/Docs/PR/htm/PR.209.htm

Is this HOA incorporated?

What year was this HOA's Declaration recorded with the county clerk?

Does this HOA seem to be a condominium association?

This is just the tip of the iceberg when it comes to learning what owners' rights are. Continue to ask questions here. But also answer all questions people here put to you.
ChristyH1 (Texas)
Posts: 8
Posted:
The HOA is an incorporated non-profit, recorded back in 1984, is individual lots, not houses nor condominiums, labeled "a recreational vehicle and mobile home subdivision", "goverened by Texas Property Code".
ElleN (Idaho)
Posts: 4,420
Posted:
ChristyH1, so far my opinion is that this association is likely subject to Texas statute TPC 209 and definitely subject to Texas statute BO 22.

Do your bylaws expressly state that an annual meeting is not required? Do your bylaws require notice of board meetings? What I say below may change based on how you respond to these questions.

For now, I recommend you send the following letter or one a lot like it (no emotion; just the facts; obsequiously polite):

Dear Board of Directors,

This association is incorporated pursuant to the laws of Texas, notably Business Organizations Code Chapter 22 ("BO 22"). Section BO 22.156 (a) states:

A corporation other than a church shall provide written notice of the place, date, and time of a meeting of the members of the corporation and, if the meeting is a special meeting, the purpose or purposes for which the meeting is called. The notice shall be delivered to each member entitled to vote at the meeting not later than the 10th day and not earlier than the 60th day before the date of the meeting. Notice may be delivered personally or in accordance with Section 6.051(b).

Please begin complying with BO 22.156 (a). If you do not intend to do so, please let me know by March 31.

Thank you,

name
address
phone
email addie


Texas statute TPC 209 has // a lot // more to say on this, and in your favor. However I advise you try to confirm whether TPC 209 actually applies. I do not want to guess. Guessing could waste a lot of time.

Meanwhile to continue to inform yourself, I suggest you do keyword searches (like for the word "notice") of the following:

https://statutes.capitol.texas.gov/Docs/BO/htm/BO.22.htm

https://statutes.capitol.texas.gov/Docs/PR/htm/PR.209.htm

KerryL1 (California)
Posts: 14,550
Posted:
Often Bylaws will note that there is more than one type of a meeting of the members.

1. Annual Meeting of the members (or "Association"). This usually is for the action of directors.

2. Special Meetings of the members. Typically and maybe in Texas, it's this type of meeting where owners vote on things like amendments to the Bylaws, etc. Check to see if this type of meeting is in your Bylaws, Christy.
ChristyH1 (Texas)
Posts: 8
Posted:
I do believe that the park is subject to these laws, and I've read and read, but I know that state law trumps bylaws, so does the STATE law specifically require that when voting on amending the bylaws, is it appropriate to ONLY post the notice at the hall and to ONLY allow members to vote in the meeting itself, no option for absentee ballot and no individual notice requirement?

My opinion is that the park should notify ALL owners, either by email or mail, AND post the notice at the hall, and that all owners be given an opportunity to vote either in person, or by absentee ballot, on something as important as amending bylaws.

I might add that our bylaws state the annual member meeting is always the 2nd Thursday of Feb and the bylaws can only be amended by those in attendence, but I want to know if state law requires notice and the opportunity to vote if someone simply cannot be on site on that single day a year. They insist that they don't have to give notice that a vote on amending the bylaws will be held, nor give absentee voting options, and have the opinion, that if you cannot be on site that day, you SHOULD have no say in the wording of the Bylaws.

Since many owners are out of state during some or all of the year, and often, one or both may not be able to travel to Texas during that specific time period, due to illness, etc, my opinion is that it is short-sighted, divisive and unfair to modify bylaws that affect a heck of a lot of how this park is run, without approval of 67 percent of ALL owners, not just those in physical attendence that day. HOWEVER, my opinion doesn't rule the day, Texas law either addresses this or doesn't. . . and that's what I really would like to know.
ElleN (Idaho)
Posts: 4,420
Posted:
Quote:
Posted By ChristyH1 on 03/18/2024 2:53 PM
I do believe that the park is subject to these laws, and I've read and read, but I know that state law trumps bylaws, so does the STATE law specifically require that when voting on amending the bylaws, is it appropriate to ONLY post the notice at the hall
No, it is not appropriate. See what I quoted above from BO 22.

Quote:
Posted By ChristyH1 on 03/18/2024 2:53 PM
and to ONLY allow members to vote in the meeting itself, no option for absentee ballot
TPC 209 requires that owners be offered the option to vote //either// by proxy //or// by absentee ballot.

The answers to all your questions are in TPC 209 and BO 22.

If you do not want to read or even keyword search these statutes, then you will need an attorney to make any headway on this.

ChristyH1 (Texas)
Posts: 8
Posted:
I read and read before posting here, and everything I can find says the bylaws ARE dedicatory instruments, so I felt that amending bylaws would require proper notice and options to vote, but the head of the bylaws committee continues to insist that posting a notice on the board IS proper notic,e and that since the bylaws don't require any option to vote outside the meeting, they don't have to allow absentee voting, and quite simply, they don't consider bylaws to be under the portions of the law requiring these things. Hopefully, I've been insistent enough and by providing them copies of the laws, highlighted, they actually will believe me now and quit falling back on the tired old, "well, we never did it that way before."
DouglasK1 (Florida)
Posts: 2,046
Posted:
Quote:
Posted By ChristyH1 on 03/18/2024 12:18 PM
TEXAS HOA, 55& over park, many owners reside out of state, question on state law requirements in relating to changing bylaws

If your lot is eligible for two votes, you and the other owner MUST attend and vote at that meeting, or if only you can attend, only your vote is allowed.

I find this part interesting, under what conditions does a lot get more than one vote?

Escaped former treasurer and director of a self managed association.
ChristyH1 (Texas)
Posts: 8
Posted:
That IS the way the bylaws are currently written. They actually state "owner and spouse" each get a vote. Of course, that's 1980's language, so even though my personal opinion is it should be one vote per lot, it will be up to the membership to decide how they want to update that part of the bylaws. So far I haven't found wording in state law that forces it to one vote per lot, overriding covenants and bylaws.
ElleN (Idaho)
Posts: 4,420
Posted:
Quote:
Posted By ChristyH1 on 03/19/2024 1:23 PM
I read and read before posting here, and everything I can find says the bylaws ARE dedicatory instruments, so I felt that amending bylaws would require proper notice and options to vote, but the head of the bylaws committee continues to insist that posting a notice on the board IS proper notic,e and that since the bylaws don't require any option to vote outside the meeting, they don't have to allow absentee voting, and quite simply, they don't consider bylaws to be under the portions of the law requiring these things. Hopefully, I've been insistent enough and by providing them copies of the laws, highlighted, they actually will believe me now and quit falling back on the tired old, "well, we never did it that way before."
ChristyH1, your first step (confirming what the statutes and bylaws say) is correct. But the second step is convincing an un-informed board to comply with the statutes and bylaws, and here is where the battle really begins. Owners can write a just-the-facts letter citing the law and asking the board to comply, like the draft letter I posted a few days ago. I do recommend such a letter, since the courts expect people to always just ask such-and-such party to do xyz first.

If the board ignores this, further steps are necessary.

The best HOA attorneys advise that the least expensive, least costly way to fight a rogue board like yours is to campaign intensively and replace the directors at the next election.

Alternatively you can hire a lawyer. The lawyer will send several letters, escalating the tone, as the courts expect. Early on the HOA attorney might get involved and might actually fix the problems you named.
ChristyH1 (Texas)
Posts: 8
Posted:
I think I just needed a small amount of affirmation that the way I read the law was actually correct, that I wasn't missing some glaring exception or change that would make my arguments, well, void. I did attend a town hall and then the annual member meeting, where they attempted to pass the amendments by a written ballot by those in attendence, and luckily, the amendments were NOT passed, unfortunately only by a small majority, so they still feel they are needing to push these messy, in some place flat out in conflict with state law, amendments through.

I DID hand them MY copy of Texas HOA Law book, telling them that I was donating it to the park, since they actually DIDN'T have a copy, and suggested that they stop and read it, along with the piles of printed out copies of the State Laws I also supplied, and spoke up publicly that I felt it was a clear voilation of state law to attempt to pass re-written bylaws without proper notice and the opportunity to vote being provided to ALL owners. They chose to move forward, the vote failed, they saw me as a big part of their problem.

So, I was invited to their next committee meeting, I attended, attempted to convince them that trying to pass the bylaws with things that were in direct conflict with state law saying, "we can fix these things later" was illogical and yes, they may have spent two years trying to put this all together, but the FIRST thing they SHOULD have done was actually learn the laws pertaining to HOA's in TX! I know I irritated the crap out of them, but it was a cheap lesson compared to what they would see if someone else sues them!

If the bylaws committee doesn't come around to my thinking, I will address the board officially, at an open board meeting, I just prefer to try to bring the park into compliance quietly, quickly, without raising red flags that some sue-hungry owner might pick up and run with. I've been asked to be part of the committee, and at least one of our new board members has contacted me and asked me to provide her any and information possible that I've learned through working with our HOA here where we reside, so there is a tiny light at the end of said tunnel. Also, several members of the park thanked me for my participation and information, so I think they are getting it, that I'm not trying to be a thorn in their side, but actually trying to save them from what COULD turn into a nightmare if they don't slow down, learn and follow the law. Thank you for responding and letting me know I appear to be on the right path based on the info I provided and let's keep our fingers crossed that I can get that train slowed down and onto the right tracks, ha ha.
WendyM5 (North Carolina)
Posts: 1,522
Posted:
Quote:
Posted By ChristyH1 on 03/19/2024 2:33 PM
I just prefer to try to bring the park into compliance quietly, quickly, without raising red flags that some sue-hungry owner might pick up and run with. I've been asked to be part of the committee, and at least one of our new board members has contacted me and asked me to provide her any and information possible that I've learned through working with our HOA here where we reside,.



you need to join that committee, never expect other people to do the free volunteer work you expect out of them. When we switched to online voting with a 2 month period to vote our response rate went up to 40%. when our HOA ran it's meetings in person like yours does the response rate was so low it didnt' even meet quorum. your current board are a**holes who are power hungry. no democratically minded person acts like they do.

vis ta vie
ChristyH1 (Texas)
Posts: 8
Posted:
I WAS asked to join the committee, and attended two meetings as more of an observer, and then I basically told them flat out, I would be glad to help ONLY if everyone on the committee was in agreement that voting on the revised bylaws would include absentee balloting for every owner not present, and that we spoke to the newly elected board and made sure all were in agreement that voting would be handled properly.

At first the committee members REALLY resented me, (and I get it, as they had spent two years completely re-writing bylaws, evidently with no input from anyone with much knowledge, except a guy who kept insisting he was an expert on Robert's Rules of order and he made SURE thatthe bylaws conformed to it, ha ha. I gently explained that Robert's rules ONLY dictated HOW meetings were held, but gave NO guidance on creating bylaws and covenants!?!) As we talked, they realized I actually had experience and was way-mo familiar with laws pertaining to that HOA than they were. Once they realized that I was trying to protect the park from getting sued for passing bylaws illegally, and that I WAS right that every owner should have a say when it comes to covenants and bylaws, they were more open to listening to reason and not trying to ram THEIR ideas down the members' throats. They also understood why I spoke up publicly and questioned the logic of passing bylaws that contradicted the laws, with the idea that "we could always go back and fix that later".

It appears that the few board members that were voted out at the annual meeting, had been a real problem, so much that the ex-president announced they were selling out (I'm taking my toys and going home!), which seemed to please quite a few people. We have ONE bylaws committee member who is resistent. . . cannot seem to comprehend why we need to worry about Texas laws, since "they never worried before and had no problems. . .what's wrong with doing it the way we always did before, yada yada".....I suspect by next fall when we start meeting, he will have chosen to drop off the committee. The ex-president's wife had managed the office, so she's quit that too, paving the way for new people who want to organize and run the office professionally and properly.

I think we are now on the right path, and I appreciate the help and feedback that reassured me I was correct in my understanding of which laws applied and what they said. I never would claim to be an expert, but as I told the committee, we ALL CAN read, it's not THAT hard to understand, and that the Texas HOA law book I donated to the park, along with the copies I gave them of the laws, MUST be consulted and followed as the basic start to correct our old bylaws. You guys have been great and I REALLY appreciate it!! I imagine I WILL have questions next year when the committee starts up again, but I can breathe a little easier for now. You guys have been great and I REALLY appreciate it!!!

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