Advanced distribution of 2025 Budget

Does anyone have a state regulation requiring distribution of the 2025 budget 30 days in advance of the annual meeting . In new Jersey I came across the following.

(5) The board of directors shall mail a meeting notice and copies of the proposed annual budget of expenses to the members not less than 30 days prior to the meeting at which the budget will be considered. If the bylaws provide that the budget may be adopted by the board of directors or trustees, the members shall be given written notice of the time and place at which the meeting of the board of directors or trustees to consider the budget will be held. The meeting shall be open to all members.

Hi John

Is that in the condo docs, condo law or the PREFDA for the state.

My condo docs does not have that verbiage. I was looking for this in NJ condo and PREFDA and could not find it. Would you be able to supply a link? That will help! Thanks in advance.

In CA, the Annual Budget Report must be distributed to members between 30-90 days prior to the end of each fiscal year. civil code 5300.
Members have a right to receive a financial report 120 days after the end of each fiscal year containing balance sheet, income statement, and cash flow report. Corp code 8321, civil code 5305.

What do your documents say? That's where you should always start.

Our community must receive the upcoming year's budget 30 days in advance. Since the calendar year is our fiscal year, we must get them by Dec. 1.

Sounds like a great method to pass a budget the owners want to pay vs a budget the owners need to pay.

Hi John,

Are you a condo or HOA? I think the information applies to a HOA.

So if you are a HOA it applies. In NJ the way the laws are written that there a lot of flex points. So if the state law is more restrictive it wins over the docs. If the docs are more restrictive it wins out. HOWEVER the situation is what the intent of the law is. Sometimes the state law is trying to force less restrictive measures than what the docs have. So the entire item is flipped opposite of what I said earlier. Also the state law sometimes clearly defers to the governing docs as what should be done.

So we have this law that you quoted and it looks like its HOA and we still need what your docs say and if you are condo or HOA.

This is a bit different, Most HOA CC&Rs do recognize a petition. Most do recognize in person voting and properly executed proxies.

If the budget is voided, then what? Does no increase occur the following year or does the board enact a different budget? Can the board amend the budget prior to the meeting if the natives are restless?

An HOA is a corporation with owner voting rights. Most corporations with ownership interests, both for profit and non-profit, allow for proxies.

There is really no research I have to support that statement, but if you would like to do the research to prove me incorrect, have at it. Bit, I don’t believe you will find may web search returns on petitions vs proxies at annual meetings.

Since CA initiated absentee voting in all CA HOAs, in '06, more and more of them, when revising their old bylaws have and are removing not only proxies, but cumulative voting, write in candidates, and nominations from the floor at the Annual Meeting.

With so many HOAs in CA, and, I assume, HOAs in other states being able to vote absentee or electronically, proxies are used less than In the olden days in HOAs.

I have no interest in proxies or petitions in HOAs , Dean.

My HOA held its annual meeting and election last night. Of 200+ condos, 93 ballots were turned in to our PM's office or mailed in for our inspectors of election.
Due to health stuff, I attended by Zoom and randomly watched up close our 3 inspectors open all double envelopes containing secret ballots and tabulate them. Interesting.