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DavidJ21 (Arizona)
Posts: 22
Posted:
I'm the type of person that if I was the CEO of American Airlines I would fly coach at least 50% of the time. Now I know this leadership style is the minority, but when I was on our board I specifically put any item that could be seen as conflict of interest or self-serving at the bottom of the list.

Recently we have had a board member who stepped up to be President, go down the path of fixing his problems while ignoring and failing to communicate with the longstanding issues with other units. The President doesn't live on-site at our condos, but has a son that does and lives in his unit

Recently they have discussed a "transfer fee" for the resale condos. IMHO it was conceived with the intention of trying to get others to pick up the tab for his son to limit his dues. They asked for feedback with the transfer fee being as high as $2,000. These are $100,000-$200,000 condos, but possibly worth less, we had some sell for less than $10k in the GFC.

I politely informed them that under FL COA law, that transfer fees are basically banned but you can have a maximum of $150, which has to be used for things like background checks, not as slush fund for other activities you want to do. We already have this fee in our regs which is $50, but we don't enforce it. My PM told me I was wrong about all this. I called her out on the spot and I asked her how many condo properties she had and she said 2. I told her she is confused with HOA law which does all transfer fees. She has made lots of errors in her tenure.

Our condos have lots of serious issues including some being below grade and having water intrusion issues (CMU foundations not waterproofed), possible mold, and definitely 100% termites. We had a roofing project done and there were supposed to be gutters added to a few select units that had signs of termites and water intrusion issues or dampness. Magically gutters ended up on all units with boardmembers in them, none of which had water intrusion issues. And magically the units speced for gutters didn't get them. I called them out on this (told them the optics here are bad) and magically the response was, "we now have plans to add gutters everywhere."

More recently I found out that the President wants to build a set of concrete stairs leading up to the back of his son's unit. His son uses his patio as a main entrance and exit, even though he has a formal front door. Obviously, the stairs would have to be permitted, and some railing would have to be installed as well. Many other unit owners could make the case if they have stairs why shouldn't we have special stairs to ours as well.

Again the optics are bad to me, especially when we consider the other issues we have. I see the stairs as clear self-dealing, he will probably try to make some specific argument. To make matters worse, this board member has consistently said things that are derogatory in nature. He believes anyone not involved with the board is in the "peanut gallery". When other units have issues he told me he wanted to "make people jump through hoops"

Our condo has been a mess and I was the first person who actually lived in our condos for quite some time. Most people who live at our condos don't want to be involved with the board because we have lots of issues and they know it is a lot of work. The result is we have mostly had people who don't live on-site be board members, but they don't actually address any of the issues on-site. It is quite a bit easier to be a volunteer board member when you don't actually address anyone's issues, but you do address your own issues.

Looking for ideas. I stepped off our board for a variety of reasons. The current president was always trying to get me to have a meeting without it being a board meeting, I told him numerous times no. This is just one of many reasons I have left. He has been on the board for about 12+ years. I would be happy to go on the board but we need some new blood and I don't really want to be involved with a person like this. We have a heck of a time finding board members in general. He has been in the role for a year, they have a board of 2. I found a board member to replace me when I left. I found a board member to fill three while I was acting president. Again, if the board member would actually go out and seek board members and talk to people maybe he could have a full board, but he has not interest in engaging with what he calls "the peanut gallery".
TimB4 (Tennessee)
Posts: 21,062
Posted:
self dealing goes as far as members and other directors allow it to.

ElleN (Idaho)
Posts: 1,338
Posted:
Quote:
Posted By DavidJ21 on 02/17/2025 11:10 PM

Recently they have discussed a "transfer fee" for the resale condos. IMHO it was conceived with the intention of trying to get others to pick up the tab for his son to limit his dues. They asked for feedback with the transfer fee being as high as $2,000. These are $100,000-$200,000 condos, but possibly worth less, we had some sell for less than $10k in the GFC.

I politely informed them that under FL COA law, that transfer fees are basically banned but you can have a maximum of $150, which has to be used for things like background checks, not as slush fund for other activities you want to do. We already have this fee in our regs which is $50, but we don't enforce it. My PM told me I was wrong about all this.
It sounds like what the board is seeking is a "capital contribution fee," assessed to buyers who complete their condo purchase, and with the proceeds typically going directly to the reserve account. If so, I do not see that FS 718 limits this.
ElleN (Idaho)
Posts: 1,338
Posted:
Quote:
Posted By ElleN on 02/18/2025 6:05 AM
It sounds like what the board is seeking is a "capital contribution fee," assessed to buyers who complete their condo purchase, and with the proceeds typically going directly to the reserve account. If so, I do not see that FS 718 limits this.
The attorney at this site says I am wrong: https://www.tcpalm.com/story/life/columnists/2024/04/13/hoa-qa-is-a-capital-contribution-charged-to-new-owners-legal/72588059007/

Other sites also say the OP is correct.
JackS20 (North Carolina)
Posts: 271
Posted:
join the board is the solution and vote down spending on the stairs. better yet find a 2nd person and take over the board from this idiot
DeanJ
Posts: 1,786
Posted:
Why are Americans so conspiracy driven today when something occurs they don’t like?

Unless you are stating the transfer fee goes solely to paying the president’s assessment, there is no self dealing in your scenario. The funds go into the general account to be used for the benefit of all the owners.

If it is illegal and you don’t like it, fight it.

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