By-laws Steps

Started by DavidT3 • 8 replies • 1161 views

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DavidT3 (Texas)
Posts: 18

Posted:

We are in the process of adopting by-laws - we have beena round since '02 and they should have been done a long time ago. But our new board has charged full steam ahead to get them done.

Here soon, we are going to sit and consult with a lawyer about our proposed by-laws. However, just to pick some brains, what are the usual steps in adopting by-laws for a HOA? How many homeowners have to approve the by-laws, what other steps are taken in this process?

Any help, thoughs or experiences would be appreciated-

BrianB (California)
Posts: 2,820

Posted:

You've been running since 02, and you don't have a set of rules on how to elect a board, how the board does business, terms of the board, powers, offices defined, etc.? wow...

DavidT3 (Texas)
Posts: 18

Posted:

We originally had CCRs that addressed alot of that stuff......however, there were no set penalties to address violations, late dues, etc. That is the reason we are putting the by-laws into motion.

Past boards drug their feet......

MaryA1 (Arizona)
Posts: 7,043

Posted:

Quote:

Posted By DavidT3 on 05/21/2008 7:15 AM
We originally had CCRs that addressed alot of that stuff......however, there were no set penalties to address violations, late dues, etc. That is the reason we are putting the by-laws into motion.

Past boards drug their feet......

David,

Penalties, violations, late assessments should all be addressed in the CCRs. The bylaws basically outline how the business of the HOA is operated and generally address: requirements for meetings, quorums, elections of the BOD and officers, filling vacancies, notices, duties of officers, committees, indemnification requirements. If you dont' have bylaws I would suggest the board adopting a set ASAP. You may want to consult with an attorney. Some states may require the bylaws be recorded and/or noticed in a local newspaper. However, it appears your CCRs should also be amended to address the items you mention.

DavidT3 (Texas)
Posts: 18

Posted:

Quote:

Posted By MaryA1 on 05/21/2008 7:23 AM

After doing some digging, it looks as if the CCRs give the board the authority to set our own fines, steps, etc. We do not have a good set of instructions in the CCRs about the election of officers, filling vacancies, notices, etc. Hypothetical - if we put out a set of by-laws that addresses only the elections (stuff mentioned above), what has been everyone experiences with requiring votes, etc.

I feel like I am babbling......if this does not make sense, let me know and I will try to phrase it differently.

RogerB (Colorado)
Posts: 5,067

Posted:

David, I would create two documents - By-laws for organizational structure and Rules and Regulations for delinquent accounts, Covenant violations, etc. You can view examples of these at www.CypressGreensHOA.com.

DavidT3 (Texas)
Posts: 18

Posted:

Roger,
Those are some good examples of documents on the web site. I noticed that on your bylaws for organizational structure, it stated that it was approved by the homeowners at a meeting. As far as your rules and regulations, who approved those? Was that a board decision or was it also put out to the ownership.

We have 56 homes in our neighborhood......my fear is how long it will take to get some of our apathetic homeowners out of the house and to the meeting. Anytime we hold a vote, we have to have two meeting because we never have a majority at the first one.

RogerB (Colorado)
Posts: 5,067

Posted:

David, the By-laws were approved at a duly called meeting of the members. The Rules and Regulations required approval by the Board of Directors. However, they were also approved at a members meeting since without the support of the homeowners R&Rs are not effective. You are in the vast majority when it comes to HOA apathy. We use proxies to insure a quorum to hold member meetings. Usually we hold only one member meeting is held each year - the Annual Meeting. Budget ratification, election of officers, and plans for the coming year, and amendments (with prior notice) are agenda items.

SusanW1 (Michigan)
Posts: 5,202

Posted:

David - get ahold of a parlimentarian who can help you create your bylaws so they are not in conflict and/or don't duplicate your CCRS or state statutes. The Articles and CCRs should be the "bones" of your HOA, and the bylaws flesh out the rest of the needed guidelines, and the rules and regulations will be more flexible and easier to change.

In any case, you need someone to look at what you already have and what those bylaws need to contain.

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