SallyH3 (Colorado)
Posts: 4
Posts: 4
Posted:
I'm on the Board of the HOA.
Our small management company was bought out by a large nationwide firm, which hasn't gone well. We were still managing to get things done, even though the responses became slower and more cumbersome. One of the main issues was paying our bills. We are a sub HOA and we pay $18K per month to the Master. The new company was so late in paying these bills that the Master HOA went to collections to get the back dues from us. This issue has gone on for months, and still is not resolved. The new MC should pay the late fees and penalties, but it's been crickets.
The new Management Co. also wasn't properly moving money into the operating fund for our town homes (we have both towns and single fams) which almost caused us to lose our town home insurance, because that bill wasn't paid either. At one point, due to this mismanagement, our TH op fund was almost 0.
Then, our Manager, who was part of our old management company, and the only one who was holding it all together (or trying to) resigned. Now, we have NO manager, the Management company put one of their "directors" in charge, until allegedly they can find someone to hire to fulfill the roll of Manager for our community. It's chaos.
No invoices have been uploaded for approval. We have vendors who are not getting paid, because of this. The vendors are so frustrated they have been sending the invoices directly to the Board members, who then send it to Management, who is supposed to upload it and pay it upon our approval, but they have not done this. They IGNORE emails instructing them to do this.
The "director" who is supposed to be our "contact" does not return calls, and email responses have been over 48 hours, if at all, and then she still gets it wrong. Example: our Board rejected a bid for concrete shaving, and told Management to send it back to the vendor for correction. Instead of following our direction, she told the Vendor to go ahead and do the project, and the price we rejected.
We have regularly scheduled Meetings, and she completely blew off her duties to the Board by (1) ignoring that we were scheduled, (2) not notifying Homeowners that there was a meeting, (3) not reaching out to the Board to determine what we wanted on the Agenda.
We are not in a position to fire them, it's really messy and difficult to replace a MC, especially now, when we (the Board) is in the middle of some very large projects: Play area repairs, major landscaping, and we also have CD's that we would have to break (I think?) if we fired them.
So, other than firing them on the spot, what can be done to make this MC perform, what is in our contract (which I think they must adhere to, even though they took over from the original MC) and force them to hire an actual Manager for our large community?
As a Board, we are furious, but one member keeps saying "let's give them time to get it together" However, it's been a clown car show since they took over 7 months ago, and now that our old Manager is gone, it's made it actually impossible for the Board to do their job.
Our small management company was bought out by a large nationwide firm, which hasn't gone well. We were still managing to get things done, even though the responses became slower and more cumbersome. One of the main issues was paying our bills. We are a sub HOA and we pay $18K per month to the Master. The new company was so late in paying these bills that the Master HOA went to collections to get the back dues from us. This issue has gone on for months, and still is not resolved. The new MC should pay the late fees and penalties, but it's been crickets.
The new Management Co. also wasn't properly moving money into the operating fund for our town homes (we have both towns and single fams) which almost caused us to lose our town home insurance, because that bill wasn't paid either. At one point, due to this mismanagement, our TH op fund was almost 0.
Then, our Manager, who was part of our old management company, and the only one who was holding it all together (or trying to) resigned. Now, we have NO manager, the Management company put one of their "directors" in charge, until allegedly they can find someone to hire to fulfill the roll of Manager for our community. It's chaos.
No invoices have been uploaded for approval. We have vendors who are not getting paid, because of this. The vendors are so frustrated they have been sending the invoices directly to the Board members, who then send it to Management, who is supposed to upload it and pay it upon our approval, but they have not done this. They IGNORE emails instructing them to do this.
The "director" who is supposed to be our "contact" does not return calls, and email responses have been over 48 hours, if at all, and then she still gets it wrong. Example: our Board rejected a bid for concrete shaving, and told Management to send it back to the vendor for correction. Instead of following our direction, she told the Vendor to go ahead and do the project, and the price we rejected.
We have regularly scheduled Meetings, and she completely blew off her duties to the Board by (1) ignoring that we were scheduled, (2) not notifying Homeowners that there was a meeting, (3) not reaching out to the Board to determine what we wanted on the Agenda.
We are not in a position to fire them, it's really messy and difficult to replace a MC, especially now, when we (the Board) is in the middle of some very large projects: Play area repairs, major landscaping, and we also have CD's that we would have to break (I think?) if we fired them.
So, other than firing them on the spot, what can be done to make this MC perform, what is in our contract (which I think they must adhere to, even though they took over from the original MC) and force them to hire an actual Manager for our large community?
As a Board, we are furious, but one member keeps saying "let's give them time to get it together" However, it's been a clown car show since they took over 7 months ago, and now that our old Manager is gone, it's made it actually impossible for the Board to do their job.