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Started by SheilaR5 • 14 replies • 205 views

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SheilaR5 (California)
Posts: 42
Posted:
Looking for some insight. Our entire community received a 4 page letter from the new Board of Directors filled with lies about the previous Board of Directors and essentially blaming them for every issue within the community. The new Board also runs a Facebook page and divides the community on the daily. Since the entire new Board started (No one on the old Board re ran for the Board) they have fired the Property Management Co, the General Contractor and the Landscapers. They have had many Non Noticed Meetings, they pitched an Umbrella at the Pool and brought out all the Personal Homeowners documents out of storage and went thru the boxes on a busy summer pool day, they have refused legal training, will only use Facebook for community news etc. Lastly, our community’s insurance had quadrupled so the old board had to pay for it out of the reserves and impose a special assessment to pay the reserves back. The new board is insisting that the community vote on a special assessment to pay it back. They have been told multiple times by legal that it HAS to be paid back and does not go to vote yet they still are dragging their feet and requiring a vote. They have stalled so long that it is due back in 4 months and then will require ANOTHER special assessment for yet another insurance increase. So tired of the drama of this new all female board. Too late now to even do a payment plan.
SheliaH (Indiana)
Posts: 6,964
Posted:
What does the new board being all female have to do with anything??? Focus on what they DO (or not). And use paragraphs- this was a little hard to read. I know you're unhappy with the way things are going, but word salads can slow things down.

Now then - you don't say how long all thus has been going on, so let's start with the meetings. I assume your documents state how soon homeowners must be advised of regular board meetings- how much lead time, if any, are you getting? Did 5he board say why it's having so many meetings on short notice? Did you ask them .

Did the board give a reason why it fired these contractors? What are they doing to hire new ones- or are they going to try the self managed route? If that's the case, you're correct tgat some training on effective HOA management would be in order, especially regarding the special assessment. You probably do need a homeowner vote to approve it and you're right that the money must be replaced.

Since no one on the old board chose to run for reelection, I suspect there's a lot of backstory you're leaving out, so you may as well sum that up so we can understand how you got here. Someone voted in these people so if you're having second thoughts, you and your neighbors will have to find a way to rein them in or work together to call or a recall. Check your documents to see what's required.

But before you get to that point, take a good look at what they're doing and prioritize which missteps are most important and work your way down. The biggest may be lack of transparency- having meetings at the last minute can reduce the number of people prople who show up to watch the proceedings and see how ratchet they are.
If it is not right do not do it; if it is not true do not say it. Marcus Aurelius
SheilaR5 (California)
Posts: 42
Posted:
The entire old board’s time was up and no one wanted to run again. I do not know why they did not run again but I know it should not have had all 5 seats up at once. They have fired everyone per there facebook posts “They do not want anyone that the old board hired on”. This has been going on for 6 months now. Constant FB posts from the ladies bashing the old board and multiple letters of the same. Today, 4 pages long of ramblings about the old board. I am definitely regretting my vote.
KerryL1 (California)
Posts: 14,550
Posted:
Not providing notices for board meetings is not legal whether they're execs utile session or regular board meetings. Terri of CA has gone to small claims court and prevailed became her HOA's board didn't follow Cal. Corp Code, Opmn Meeting Act or even their own governing documents. So that'll be one option to consider.

A 2nd is a recall of the Board. I've never been involved in one so know almost nothing. Start with your Bylaws for info. and your Election rules. then Go toDavis-striling.com, Index. recalls.

A 3rd option is to review your Bylaws and ElectionRules about whether directors must have "staggered terms." This means that 2 directors are elected every year and 3 others are elected every year, assuming 2-year terms. If electing all 5 directors at the last section violated your By a;ws, a group of you could try a letter to the Board demanding that an election be held a your annual meeting time to "reestablish" staggered terms.

What. needs to happen is h joint unified action by a lot of you owners. It might be worth it to collect a few hundred dollars and see if an HOA attorney y can advise you.

Yes, with Shelia, beak into paragraphs.

What size is your HOA????
DeanJ
Posts: 1,786
Posted:
Quote:
Posted By SheilaR5 on 10/15/2024 6:47 PM
The entire old board’s time was up and no one wanted to run again. I do not know why they did not run again but I know it should not have had all 5 seats up at once. They have fired everyone per there facebook posts “They do not want anyone that the old board hired on”. This has been going on for 6 months now. Constant FB posts from the ladies bashing the old board and multiple letters of the same. Today, 4 pages long of ramblings about the old board. I am definitely regretting my vote.

I suspect there is a lot more going on than being disclosed.

Usually when an entire board tosses in the towel they had enough from a disgruntled community and the nuts get control.

This may be your hint to sell and get out while the getting out is good.
TerriS6 (California)
Posts: 3,284
Posted:
I've heard and read that it's easier to recall an entire board than just one or two directors.
Inexcusable if any of them is divulging confidential information.
Might be useful to write down any/all laws they have broken to better assess the situation.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Boards can't "fire" other board members. They can remove them from their officer positions, though. They can also remove and replace committee members.

In my experience, activist homeowners who get themselves elected often end up doing more damage than the "terrible board" that they replaced. (A nearby community whose situation I'm familiar with has had to spend thousands of dollars cleaning up the legal and financial messes made by the activists in less than a year. And that doesn't include the promises the activists made to the community that, let us say, did not play out as advertised and that will upset the membership when they find out that they're not getting the shiny new toys that they were counting on.)
TerriS6 (California)
Posts: 3,284
Posted:
I would keep a close eye on your association's books.
MarshallT (New York)
Posts: 414
Posted:
I would encourage every member who cares to work together and hire an attorney to help you navigate this. You might have to replace the entire board, but that means you'll need other members to serve.
KerryL1 (California)
Posts: 14,550
Posted:
I urge you to follow Marshall's advice.

TimB4 (Tennessee)
Posts: 21,059
Posted:
Quote:
Posted By CathyA3 on 10/16/2024 6:55 AM
Boards can't "fire" other board members. They can remove them from their officer positions, though. They can also remove and replace committee members.

Unfortunately, many individuals serving on an HOA/COA board don't understand the difference between Officers and Directors.
There is also the human aspect if one is fired from an Officer position, they may simply toss up their hands completely.

There are times that a Director can be removed by a Board.
1) If the Board appointed the individual to serve a vacancy, the board can remove them.
2) If the Bylaws specify that a Director can be removed for missing x meetings, the board can remove them when that time is met (varies by State).
For CA See: REMOVING DIRECTORS from the Davis-Stirling site.
KerryL1 (California)
Posts: 14,550
Posted:
Tim's #1, while typical, our Calif. Bylaws state that the Board may NOT remove a director whom they placed as a board member.
CathyA3 (Ohio)
Posts: 6,299
Posted:
Our board also cannot remove a director, only the membership can. Once a director is appointed in my community, that person is treated the same as the person whose position they filled.

I think this is actually better for the community. An appointed director who can be removed by the board is much more likely to rubber stamp whatever decision the rest of the board makes. You lose some diversity of opinions. and that's not in a community's best interest.
KerryL1 (California)
Posts: 14,550
Posted:
Agree with Cathy, which is why our restated Bylaws ('22) state that owners elect such replacements.
KerryL1 (California)
Posts: 14,550
Posted:
Agree with Cathy, which is why our restated Bylaws ('22) state that owners elect such replacements.

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