New Subdivision - Board Member Help!!

I purchased a home in a subdivision in Baton Rouge Louisiana back in 2007. The neighborhood is somewhat small having only a total of 129 lots. At present only 40 to 50 are occupied. I was placed on the board by the builder as the president of the HOA board as well as them assigning two other gentleman as president and secretary with a brokerage firm as the treasurer since they have not completed the subdivision as of yet. I must say I am trying my best to make sure i put forth my best effort to do the job at hand. However I have so many things that have come up of which the most frustrating is the community seems not to be interested in volunteering hence the builder/developer assigned us three. We have had a couple of meetings which were conducted by the builder/developer of which basically turned out to be nothing more than a complaining session by the homeowners. They complained about everything from pety simple to solve issues to major concerns. What disturbed me is that safety was number one on the list so i compiled all the information i could on forming a neighborhood watch and even had police officers speak on the subject and give pointers. The result? Not one person was willing to volunteer to be a part of the watch group!! Another thing that was frustrating at the two meetings was the lack of knowledge the homeowners had about HOA's. (most are first time buyers it seems) They all were disgruntled about things that the HOA would not be responsible for such as repairing fences when some kids kicked out some boards. Or wanting to get the Board to cut grass in the small servitude at the rear of their properties (approx 3ft) because it wasn't thier property. I could problably mention many more that I am faced with but this should give you an idea of what i am faced with.

I did create a Google groups site for the community to help me make available forms and post updates on various items in the community as well as the guidelines for the subdivision, as well as the statement i requested from the treasurer. I got lots of thanks and acolades from various owners but still no one wishes to obligate themselves to assist with anything but they do all want benefits to come from the HOA.

Help....suggestions welcomed...

For starters......where do i start!!

Susan, it's not nice to give him the impression that turn over will magically turn on homeowner involvement!

It doesn't.

Most likely it won't.

Part of the problem comes from the misunderstanding people have regarding the HOA board. They think that the HOA and/or the board is some sort of quasi-government entity or agency set up to keep things running smooth and that they have no more requirement for involvement with them than they do with their mayor or city council members or alderman, or whatever they're called in your'alls areas. We're here to report problems to; we're here to FIX what's broken and respond to their complaints.

They do not realize that they are as responsible for the subdivision just as much as the board is.

So sometimes it helps to have a few "mixers" -- social type get togethers where the board "educates" the residents regarding everyone's roles and responsibilities.

Sometimes that helps. Sometimes not. But if people can regularly get together for POSITIVE things, and mingle with their neighbors, there's a greater degree of awareness of WHO the neighborhood is. What sort of neighborhood culture is evolving and how they, as particular homeowners, fit in.

It's worth try.

Best of luck to you!

After 12+ years, we are still battling homeowner apathy.

It's actually pretty easy to hold a fairly low cost "get together."

Bribes also help.

People like almost anything if it's free.

One of the things we've done is go to many of the businesses in the area and solicit them for free items that we can either use as prizes in drawings or sponsorship for parts of the event, like supplying paper plates, bowls and plastic tableware for a resident Chili Cook-off.

We also invite local city council members or school board members.

We've also recruited nearby scouting groups to run games for the kiddos.

We usually have a mock up of the subdivision layout and people submit pictures ahead of time. Then people try to match the pictures to the lots.

Fun things like that.

Anyway, often if you can get the fellowship going, the rest of it gets easier to bear. Notice I didn't say it gets easier, just easier to bear!

=}

Susan I don't disagree that there is such a mentality before takeover. And I was being a little tongue in cheek about it, but in many cases, it does carry over and they should be prepared for that and possibly look at some strategies to reduce that.

For whatever reasons, or rather, for a variety of reasons, homeowners do not see board members as part of "us."

They tend to look at the board as a sort of "nanny" and not part of "them."

And "nanny" is a polite term for what we are called sometimes.

Granted, the majority of owners obviously support us or we would not be getting their support year after year.

But the residents who get violation notices or fines for failure to pay (or worse) are generally the most vocal and will be the loudest with the "us against them" mantra.

I'm just saying that if the board can develop a more face-to-face, relaxed and "we are your neighbors" mindset from the very beginning, even before the take over, then that goes a long way for the residents to look at you as part of "us" and not part of "them."

The trick is to give the 75% just enough time to be able to say that you listened. Of those some will actually just go away not as upset as before. And a large number of the remaining people won't help at all if you don't listen tot eh complainers.

But if you really work with the people who will do something then you will find that (eventually) they will start to be louder then the complainers. Especially if you try to deal with their complaints. And often you don't have to fix the complaint, you have to fix something else.

Eventually we will have to figure out something to do with our management company. But I will be darned if I know the solution as yet.

Then I am completely misunderstanding some very basic things here.

It's my understanding, at least from our documents, that if one owns a lot, then one is a member of the association. Period.

Just because the developer hasn't turned over the management of the HOA to the homeowners, doesn't mean the HOA doesn't exist and the residents aren't members (if they own the property).

In our case, the pre-transition HOA simply means that the Developer has more votes and, therefore, has more control over certain things (like votes, etc).

But that's it.

The membership still exists.

So they do still look to the developer prior to turn over, frankly, because he still has a lot of infrastructure things in the development for which he, as the bond holder, is responsible.

He deals with the roads, the sewers, the installation of street lights, the architectural approval on new building, any common area development and/or maintenance, etc etc etc.

In many cases, the developer installs a resident-filled board in order that he doesn't have to deal with what he considers petty things in terms of violation notices and possibly the actually collection of dues and payment of bills. He can pull HIS resources out of that, and sort of "palm" them off for "freebie" handling by the BoD.

Three developer-APPOINTED board members and a meeting LED by the developer does not make for an elected board and Member power or chance for input.

This group is in limbo until it's one way or the other about WHO is running this HOA. In the meantime, the developer is seen as the total caretaker, whose job it is to handle everything. And he's getting "paid" (with dues money) to do that. That's the mentality that is being played out here.

Thanks for all the feedback of which was very helpful coming from various aspects of different folks experiences!! Thanks so much and I can see now this forum is going to be a very good asset to help me with my tasks at hand.

Let me help with more specifics:

All of the owners when buying into the subdivision were given copies of the HOA Rules & Regulations. It seemed very few of them read them or even leafed through them at the first meeting that was scheduled by the builder/developer so the representative that officiated the meeting tried to go over some of the highlights that the then assigned Realtor / Manager had outlined as some of the problems referring to the guidlines individually before all in attendance. They allowed questions / complaints on each one that was discussed.

As for the Realtor / Manager, we only saw signs of her presence when we got the notices in our mailboxes reminding us that our HOA dues needed to be paid. Then again when she placed notices, again in our mailboxes, reminding folks to pay in a timely fashion to avoid fines. She also left one that mentioned that there were several violations that she had noticed and encouraged all to read the "CCRS" guidelines and make the proper corrections to these infractions.

I called her (Paid HOA Manager/Coordinator)one day to ask if she would be kind enough to drop by so that I could ask a few questions. She obliged me some weeks later. I basically asked her whom was responsible for issuing warnings for some of the unsightly things that had begun to appear in the subdivision that were in direct opposition to the "CCRS" guidelines that I had read over and actually caused me to decide to buy into this subdivision. (I recently moved out of a very poorly kept subdivsion that had reached the point of declining "resale value" due to the poor neighborhood sites - which when i bought weren't allowed in the community) She stated that she was the person that was to do that so I asked why has one home owner been allowed to place his fence nearly 3ft. over his property line taking away from the nature walk of the community? Her reply was "I'll check into that". I asked why had no citations been issued for the Neighbors that were continuosly parking on the street when each house has 4 parking spaces causing the narrow streets of the community to be difficult to travel through. Her answer, "I will check into that". Several houses had installed satelite dishes on the fronts of the houses which were unsitely and truthfully somewhat silly to me if you value your curbside appeal. Her answer, "I'll see about checking into that". I pointed out a family that did an addition with a "tin" roofed covering attached to the house next door to me that was in direct violation to the "ACC" guidelines. Her reply, "I'll check into that too with the developer". As you can see this fairly frail old lady was no doubt aware but fearful of doing the tasks she was being paid to handle until things were turned over to the homeowner's association. I truly felt for her. She also indicated that one of the reasons that she was hessitant to place notices was because there were no fine amounts that had been finalized to be destributed prior to such actions being taken.

Hence, I decided to do some research on some of the other subdivisions surrounding us to see what thier average fine amounts were for the most common regulations that they are faced with. Once I had gotten these I went through the process of doing a ratio comparison to get an average and then compiled a list for all of the possible violations that the "CCRS" indicated fines may be assesed on. I then presented them to the regional manager of KB Homes to set before his directors at thier next meeting and they were presented. At a later date I was informed that they had been finalized and accepted just as submitted and they would present them at the next meeting before the Home Owners. They did just that although I had talked with several other home owners that basically felt good about the amounts and fairness of them being within reason with the primary purpose being something to motivate owner's should they become laxed in responding to violation notices.

This basically ended the excuse not to do anything by the manager since she claimed no fine amounts had been set so I went back to here and asked now why aren't any of the infractions being addressed. (by way of email) Until this day she hasn't responded. Next I went back to the Regional Manager of KB Homes asked that he look into the matter and if necessary replace her with someone that maybe could handle the discomforts involved with requesting things be kept in tact for our home values to stay in tact. (majority of the houses in the subdivision sold for a bit over $200,000 which is pricey for the median incomes in this area)He planned and notified of another meeting for all to attend. Once at the meeting he explained that hit was hard for her (manager of HOA) to see all the infractions and issue notices to them. He apologized for all the unsightly Architectural infractions and insured that they would begin handling these since they were the worst. The regional manager did follow up coming and going to each house himself that had inadequately made additions. Some folks corrected theirs while others didn't but said they would. He made sure and came to myself and the two other home owners that have from the start been most involved with trying to stay on top of protecting our investments in the subdivision. Now as of the last meeting the results are:

1) KB annouced they are pulling out of Louisiana and the subdivision (75 lots of the 129) would be sold as soon as they find a new builder/developer to purchase them. They assured that they would include the floorplans in the sale and insure that the builder continues to use the same materials by way of contractual terms of the sale.

2) They announced that they no longer would be employing the lady manager of the HOA but instead utilize a gentleman of whom was her broker to handle the accounts and collection of dues. The actual HOA duties of administering and protecting our investment as outlined in the "CCRS" would be by way of three people of whom they already have predetermined they plan to assign as the board members until the new builder / developer takes ownership of the subdivision to complete it. (Still haven't found a buyer by the way!!) You guessed it they asked myself to accept the task of President, and the two other gentlemen mentioned above as the ones showing interest in maintaining the values, to be vice pres. and secretary respectively. All in attendance agreed that we would be the best suited for the jobs.

3)No further common grounds work would be done beyond completing that which was currently in the process of being done and the new owner would complete the rest. Hence the nature walk & trails are in limbo incomplete.

4) We as in myself and the two others were then given all of the contact information for the KB officials and so forth and told to begin our duties as the board members, making sure to send copies or decisions made to the "accountant" / "treasurer" and he in turn would send a reply of "sounds good - go ahead as long as we were not violating any laws that could affect KB - Shaw group as the current owners". Basically we were told to get any receipts for office supplies we use etc to the "accountant" and he would reimburse us upon of verification and approval of the funds requested. (we haven't asked for any funds for the few things we have done thus far)

Now you guys see why I needed pointers. More details to come as I have much more I want input and suggestions on. Please once you have read the above if you see anything wrong or have suggestions on what has come to pass so far please, please, explain giving details so that i can share it with the other two gentleman with me referred to as our HOA Board Members. Thanks in advance!!

EdJ,

Thx for the update! Now I can understand the situation you're in much better. Don't be surprised to find yourself out of a board position when a new developer buys the s/d! KB has pretty much written off this project although they still want to be kept in the loop until it's sold. However, a new developer will no doubt want to have the controlling interest on the BOD as long as they are in control of the assn. But, while you and your fellow board members are in control, I would suggest thoroughly reading the CCRs and any applicable state laws to thoroughly familiarize yourself with what you can and cannot do. I would also suggest sending a letter to all h/o's explaining the nature of HOAs and pointing out some of the more common violations. Make certain to stress the importance of paying the monthly assessments and the consequences of delinquency. Since the board is already concerned with adopting a fine schedule you should also work on adopting a collection policy. This would cover all the steps that will be taken to collect delinquent assessments and unpaid fines. The policy should be sent to all h/o's.

Good luck!

BTW, where in LA are you located? I lived a number of years in Baton Rouge. We really loved it there -- especially the cajun food!

I meant to add that in regards to satellite dishes, you face a very uphill battle in doing anything about them regardless of where they are placed. The FCC (at the direction of Congress) has preempted restrictions in all be a very few cases.

While you can restrict placement, said restriction can not cause the resident any extra cost or delay. Also, the change can not cause a loss of signal. And the burden of proof that none of this would happen is on the entity that wishes to enforce some restriction.

In short, you should not attempt any enforcement action no matter how aggravating it may be. You stand to quickly be on the losing end of the deal. And yes, the FCC has been active in pursuing this issue. Further, if someone wins the preemption has given them recourse to recover their expenses incurred, and presumed damages if you have delayed their ability to enjoy the services.

EdJ,

Kirk is correct in saying you cannot restrict satellite dish antennas. Here is the websit where you can download the Information SHeet. I suggest you do so; read it and abide by it. Please note that if the HOA is trying to enforce their restriction by claiming it is permitted under the rule, the burden of proof is on them!

www.fcc.gov/mb/facts/otard.html

Okay now let me help with the details someone asked for to help me better.

The individual that stated each home owner is already a part of the HOA is correct as that is what it states in the "Act of Sale" document completed at closing in this state. Upon close you automatically become a member of the HOA organization possessing 1/129 share-vote etc. Meaning there are 129 lots in the subdivision hence each owner has 1/129 share in all say on decisions. However, if I am understanding correctly, it further explains that the Directives of the HOA will be reserved to the rights of the Developer/builder until at least 75% of the subdivision has been completed for the purpose of the builder/developer having say in matters of ordinances, laws, zoning, etc. as they continue to have to "pass" inspection on all these levels during construction. Once the 75% mark has been met the H/O's will begin full directorship of the board as well as the last board member of "Treasurer" will be turned over to either handle the funds deposits and accounting for the board or hire an outside manager to either handle the books with the treasurer assiting where needed. (left to the majority vote on paid accountant / manager or not) At present we have only 54 H/O's which is a ways off from 75% hence the current status.

Now as for the installment of myself and the two others that someone mentioned. According to the developer's representative that presented this to us for acceptance. (this was done because WE / H/O's insisted that someone that would have our interest at heart be included even if limited authority is given) The terms are that we are installed for the remainder of this year and through the completion of the subdivision as will be stated in the transaction of the terms of Purchase agreement of the potential buyer for the purpose of already having someone in place that is familiar with the issues thus far of the HOA / ACC members which as he stated, "any builder/developers gladly accept and even request the home owners actively take care of the violations and fines to relieve them of such time consuming responsibilities"! So yes basically free workers....but then again I will gladly be a member that works for free since it helps with maintaining what i have invested in NOW as opposed to letting the issues sit and fester until the 75% has been met. Not to mention it allows me to keep tabs on the builder/developer's progress on the sale,records on our funds,changes in policy, warranty claims, insurance claims, etc. of which I being a fellow homeowner immediately can post to the "private members only" website that requires registry by homeowners and then approval by myself if they answer all the questions that identify them as the actual owner of a house in the subdivision. In a nut shell we have control of all the HOA "policing" as someone put it as well as "notices of violations", "1st warnings","Fine Notice","court filings for leins in behalf of unpaid fines on behalf of the HOA - treasurer must sign this one", "meetings" and so forth. The only thing we don't have authority is the distribution and collection of funds since their is an accountant/manager that handles "collecting dues","collecting fines","preparing quarterly accounts record statement mailed to President to post on website and or place in mailboxes of H/O's", "cut checks for community Light bill, water bill,insurance bill,petty cash for expenses HOA members present receipts for", and "sign as a member of the developer/builder's representative when votes have determined that legal action is to be taken to collect dues or fines etc.

Someone stated that we need to make sure that we have guidelines on the steps for being disciplined on violations. What we three H/O's - Board members decided was to post those steps verbatum from the CCRS as a link on the website listing the fine amounts as well. (can also be downloaded for printing if the patron wishes although they have it in their regulations booklet already) Other things that we have uploaded with option to save a digital file of or print are as follows. Subdivision Plat Maps, City Parish Drainage Study, Police Department Sex Offenders Report for 2 mile radius(updated qtrly), Floorplans & original pricing of homes new, Cumulative Market Analysis of our Subdivision updated every QTR, CCRS Booklet, Contact numbers for all Utility companies,government officials and Reps for our parish,city councilman etc., Although I haven't gotten as much as many of the other guys that are seasoned at doing this duty I am trying my best to make sure everyone has access to what they need as a H/O. Suggestions are always welcomed to help me improve.

Mary asked what city....We are located in Baton Rouge, La. of which I too am fond of as I am a native of Louisiana, born in New Orleans and a resident of Baton Rouge since the age of 3rd grade. (I am now 41 years of age so Baton Rouge has become my home) Despite the Hurricane season I love my city. Thanks for asking.

As for the mention of the meetings indicating the developer/builder hasn't given us authority to run the HOA you may have missed that those two meetings were by the Manager they had in tact along with a representative from KB Homes and these two meetings were last year prior to the current set up we have now with Us three H/O's being the members of the board for our Association. I gave the information to help u guys understand where we came from and my plight now since then. All we do now is send a copy of all notices and correspondence of the HOA board members to the treasurer to have on file for builder/developer should any issues come up down the road. The builder/developer pay the treasurer/accountant/broker to review these before filing them just in case we are off base with the guidlines. He hasn't yet had to correct us but has commented on the process so far being within reason and professional as he put it. (doesn't mean he read it but at least acknowledged our efforts...LOL)

Will eagerly check this post tomorrow to see what further information i hope you guys continue to give from the kindness of your hearts to give me the courage to keep at this despite my being nervious in some cases with all that comes with this task.

By the way, we just had a resident dismantle a shed this year that was erected over 5 years ago.

It flew "below the radar," and no one knew it existed until this past spring.

She tried to keep it with the claim of "statute of limitations," but was shot down.

The contract (Deed Restrictions) DO NOT allow for the statute of limitations and do not allow for previous non-enforcement means they get a "pass."

Her shed is now gone.

She was more than welcome to put one up that was in compliance, but she has yet to put in for that.

Hers was a flat-top shed, with corrugated metal siding and roof, just at 6-feet high (which is why nobody noticed it for so long, it was "hidden" by her privacy fence.

It had a dirt floor and no concrete footers.

Now it is a tomato garden.

Boy, isn't that the truth. I think most builders are doing that in this economy! I hear the same story from numerous communities around Vegas.

Your PM may not have the CONTRACTUAL OBLIGATION to enoforce covenants, but you, as a fiduciary of your community have very right to vote with your dollars! There are plenty of people out there who actually like doing their job and take pride in the management of "their" community. I can't believe the PM wouldn't have a clue about specific major eyesores in your community, and I would consider that totally unacceptable.

Our PM company uses a program called "C3" to do all association accounting, billing, statements, vehicle registration, tenant registration, AND covenant enforcement. I'm not promoting any particular program, but you might want to check that your current PM uses a similar system. If he/she is relying on the "add it to a pile on my desk" filing system, it's time for the Board to issue an RFP for new management. You shoudl also be receiving various reports from this bookkeeping system at every Board meeting/exec session. It'll help you to evaluate whether the PM is doing the job he/she is being paid to do.