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FrankP14 (Florida)
Posts: 2
Posted:
Can an HOA board close off an entire gym for an hour per day, four days a week, for the exclusive use of 4 or 5 residents who pay a nonresident to teach a class? We have 350 homes, and it seems illegal for the HOA board to do this. Nothing in our documents says the board can give a paid contractor free use of any part of our amenity center. Although it does mention renting out spaces in our Amenity Center.
ElleN (Idaho)
Posts: 4,420
Posted:
Quote:
Posted By FrankP14 on 06/19/2024 11:03 AM
Can an HOA board close off an entire gym for an hour per day, four days a week, for the exclusive use of 4 or 5 residents who pay a nonresident to teach a class? We have 350 homes, and it seems illegal for the HOA board to do this. Nothing in our documents says the board can give a paid contractor free use of any part of our amenity center. Although it does mention renting out spaces in our Amenity Center.
Post exactly what your documents say.

Clarify whether "Amenity Center" includes the gym.

Remember people at this forum do not have your governing documents in front of them. Nor do they know whether this is a condominium subject to FS 718 or a HOA subject to FS 720 or something else. Which is it? Which statute applies often makes a difference.

When posting a response here, name the person to whom you are responding.

Answer all questions that seem reasonably related to your query.

KerryL1 (California)
Posts: 14,550
Posted:
What are these "spaces" in your Amenity Center? What size are they? What are they used for?.

Yes, please write what comprises this "amenity center." What activities are held there? What equipment, if any, is there?

This has nothing to do with a "paid contractors." It's about access to all who pay dues. in my opinion, IF ALL units or homes pay equal dues, which, of course, include protecting & maintaining all common area amenities, no owners should be locked out during any portion of their open hours.

WHO decided this special elite group of owners could monopolize this area? The Board? If so, surely their decision to approve this blatant kind of favoritism was made in an open meeting as required by FL statutes, right? Therefore, the decision was memorialized in the minutes for that meeting. What do those meeting minute say?
ChrisS29 (Florida)
Posts: 48
Posted:
I would think if someone is making money teaching a class then the Association is entitled to something for providing the space, which could be a rental fee.

Also, has your HOA made sure that allowing a non-resident to conduct business on the premises isn't an insurance liability?
ChrisS29 (Florida)
Posts: 48
Posted:
You say "free use", but is it really free is the question.
KerryL1 (California)
Posts: 14,550
Posted:
I think it'll help, Chris, once FrankP tells us what "spaces" may be rented out.
KerryL1 (California)
Posts: 14,550
Posted:
Maybe I caused confusion? In my Multi-story condo HOA, there is a "Lounge" that holds about 60 people It has a big screen TV and a modest kitchen w/fridge, microwave/toaster oven and decent counter space.Any resident may use it at any time- 8a-11p.

But residents also may reserve/rent this space and there's a clear form to fill out and rules. There'a non-refundable fee based on the # of expected guests, and a refundable cleaning deposit.

But none of our other common area amenity ares may be reserved for private use, e.g., the pool/spa area, the BBQ area, the Billiard Room, the gym.
KerryL1 (California)
Posts: 14,550
Posted:
Maybe I caused confusion? In my Multi-story condo HOA, there is a "Lounge" that holds about 60 people It has a big screen TV and a modest kitchen w/fridge, microwave/toaster oven and decent counter space.Any resident may use it at any time- 8a-11p.

But residents also may reserve/rent this space and there's a clear form to fill out and rules. There'a non-refundable fee based on the # of expected guests, and a refundable cleaning deposit.

But none of our other common area amenity ares may be reserved for private use, e.g., the pool/spa area, the BBQ area, the Billiard Room, the gym.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Quote:
Posted By ChrisS29 on 06/19/2024 1:32 PM
... snip ...

Also, has your HOA made sure that allowing a non-resident to conduct business on the premises isn't an insurance liability?

That's my major concern. Is the HOA covered if this activity is considered "business use" (very possibly not)? Do the classes involve physical activity (yoga, Pilates, etc.)? Has the association required signed waivers of liability as a condition of participation (probably not)? Does the instructor carry the necessary insurance and/or licenses, if appropriate?

Also, if the association chooses to charge a rental fee, they need to consider the tax implications of that income. They also need to make sure that if they're opening the facility to non-members that they aren't crossing over into ADA territory (this could be an issue if the restrooms are not accessible).

This activity could be a whole lot different than a resident reserving space for a private party, which is typically a one-off and not a recurring event.

So I don't see the issue as closing off a common area so much as it is the potential liability risks to the association.

It's a can of worms...

LoriM15 (Florida)
Posts: 1,009
Posted:
To me, the big question is are these fitness classses open to others besides the five or six that have been attending. We hold several fitness classes a week where an instructor gets paid to teach the class, but they are advertised to the community and open to anyone who wants to come (and pay). In this case, it's a community sponsored event so the "private" use of the clubhouse isn't really private to a small group. Our insurance does cover these activities. If someone who didn't know these classes were offered by the association, they might think it was a private group using the room.

We've had the issue of private lessons on our tennis courts and we discourage it, but we can't completely control it if we don't see the money changing hands.
KerryL1 (California)
Posts: 14,550
Posted:
I can see Cathy's interest in insurance, and others about who/how the instructor is paid, etc.

But the OP's specific question is: Can/should the Board close off a common area amenity to almost all residents (for NON-community events) to be monopolized by 4-5 residents?

All owners pay to maintain it, and into reserves to repair and replace items in it. I just can't think of any reason why these few owners should benefit at the expense of the many. IF there is a policy in place about renting out this particular area that's different story.
KellyM3 (North Carolina)
Posts: 2,239
Posted:
Quote:
Posted By FrankP14 on 06/19/2024 11:03 AM
Can an HOA board close off an entire gym for an hour per day, four days a week, for the exclusive use of 4 or 5 residents who pay a nonresident to teach a class? We have 350 homes, and it seems illegal for the HOA board to do this. Nothing in our documents says the board can give a paid contractor free use of any part of our amenity center. Although it does mention renting out spaces in our Amenity Center.

Hi Frank,

It's not a good for the HOA to close for multiple days per week so residents can receive private training in a commonly funded, common amenity like a gym. That regularity of usage should require the residents to secure their own gym memberships to receive training.

I've no concern about calling it a business activity because it's not a business activity for those booking the gym and hiring the trainer. The trainer isn't engaging in business activity against HOA rules anymore than a plumber is conducting business on HOA property getting paid to make a repair.
TerriS6 (California)
Posts: 3,284
Posted:
Exclusive use of a common area requires a vote of the membership.

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