Lack of Board Participation

Started by MicheleS3 • 10 replies • 1212 views

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MicheleS3 (Florida)
Posts: 30

Posted:

I'm in Florida and I have some concerns about self managing and the HOA board. A little background: We are a relatively new community (about 4 years old)of 142 single family homes. We currently have 14 homes in various stages of foreclosure. We are not a fancy community; no pool, playground, clubhouse, etc. Because this is FL we have waterways for drainage purposes, which require maintenance. We have a small entrance which requires mowing, watering, lighting. We self manage and are having such a difficult time! We've gone from 8 board members to two! We have tried so many things to get homeowners to participate. The most participation we get is complaints about one thing or another - usually something a neighbor did that someone didn't like.

Okay - question is; I have been told that in FL you must maintain a 3 person board or the state can take over your HOA and administer it. At a cost, of course. I'm wondering if a management company might not be a good idea. I do believe we would have to increase the dues of each HO by at least $100.00 per year, which will probably not be easy in this economic slump. We already have about 15 HO's who have not paid their dues for 2008.

Does anyone know what would happen if a proper board cannot be maintained? Thanks for your time - I'm looking forward to your answers.

SusanW1 (Michigan)
Posts: 5,202

Posted:

With so little "assets" to care for, it might be wise to hire sub contractors to fill your needs: maitenance, clerical, etc. without actually hiring a management company. What are your dues per year per household?

By doing this, then your board could meet every 3 months, just to go over how and if the contracted jobs are being done.

You are going to have to go out into your Members and invite someone particular to ask to be on the board. Fill your vacancy by "By invitation". Yes, you must follow the legal requirements in the minimum number of board members for your HOA.

MicheleS3 (Florida)
Posts: 30

Posted:

We do have subs who perform the mowing and maintain the waterways. Since we are a small community with no extras to speak of the BOD handles the clerical work, which is basically paying a few bills and making sure our insurance is kept up. Also an occasional newsletter and setting up the annual HO meeting. Last meeting 19 people showed up and we could not elect a board because we couldn't get enough voter participation. We even had a Family Fun Day over the summer trying to generate some interest in the board. About 5 people signed up, but since that time we have either been unable to contact them or they have been busy and couldn't commit!

I'm particularly worried about what happens when you cannot maintain a board.

DonnaS (Tennessee)
Posts: 5,671

Posted:

Michelle,

In simple words, "you don't want to go there". I mean, the consequences of not mainting a Board would be extremely costly for your membership. Below I have posted the first 2 paragraphs of what can happen. There is a similar section in S.S. 617, which are the Statutes for NOT FOR PROFIT CORPS, which is what your association is filed under. Get someone appointed, this can be an ugly road to go down if your members do not get themselves involved.

"720.3053 Failure to fill vacancies on board of directors sufficient to constitute a quorum; appointment of receiver upon petition of member.--

(1) If an association fails to fill vacancies on the board of directors sufficient to constitute a quorum in accordance with the bylaws, any member may give notice of the member's intent to apply to the circuit court within whose jurisdiction the association lies for the appointment of a receiver to manage the affairs of the association. The form of the notice shall be as follows:

NOTICE OF INTENT TO APPLY FOR RECEIVERSHIP

YOU ARE HEREBY NOTIFIED that the undersigned member of (name of homeowners' association) intends to file a petition in the circuit court for appointment of a receiver to manage the affairs of the association on the grounds that the association has failed to fill vacancies on the board of directors sufficient to constitute a quorum. This petition will not be filed if the vacancies are filled within 30 days after the date on which this notice was sent or posted, whichever is later. If a receiver is appointed, the receiver shall have all of the powers of the board and shall be entitled to receive a salary and reimbursement of all costs and attorney's fees payable from association funds.

(name and address of petitioning member)

RichardW4 (Florida)
Posts: 5

Posted:

You have a problem that is faced by many associations. FL statutes allow a receiver to take over your associaiton by court order. BUT, that is a very expensive way to go as you will now have the court costs, the cost for the receiver (that may exceed $150 per hour) and the regular fees to operate your associaiton. You need a board! Your members must understand that they must volunteer their service to the association. With out volunteering, each home will suffer loss in value. If you go to http://talkwithcam.com/?p=19 , there is a 21 minute podcast on owner apathy. In truth, FL law does not like or permit entertainment expenses to be part of the budget. However, in the case you describe, it could be a nice thing to invite the owners for cookie and coffee and have a guest speaker, say from a management company or an attorney to talk on apaty. If for nothing else, start knocking on doors and talk to the owners about spporting the associaiton.

KirkW1 (Texas)
Posts: 1,665

Posted:

If need be then raise your dues so you can start feeding some meals to these people. Serve something at your next annual meeting. Have some door prizes for the attendees.

Throw a block party with free hamburgers and hot dogs, and a bounce house if you have kids in the neighborhood. Invite the police and fire departments to send a car or truck over for display.

SusannaM (Florida)
Posts: 366

Posted:

MicheleS, as Donna points out the HOA as a not-for-profit FL corp needs at least 3 Directors, Pres, Secretary, and Treasurer. You guys must fill these 3 posts. Most HOA By-Laws in FL require that Directors be members of the Assoc. after transition from developer.

MicheleS3 (Florida)
Posts: 30

Posted:

We had a huge Family Fun Fair during the summer. We had it catered, had the fire dept. bring a truck for the kids, had a bounce house, music - the works! Guess what??? Six people signed up, but when we later contacted them to set up a meeting and get the election started they all had other plans, were too busy, out of town, etc.

DonnaS (Tennessee)
Posts: 5,671

Posted:

I am starting to think that HOAs will need to change the system on how we get Board members and volunteers to run our HOAs.

So I got my thinking cap on, and thought

, how can we change this mess. The light bulb lit. YEA! How about we do it just like jury duty. List all of the members and give them numbers. When your number is called, it's your turn , like it or not unless you can get a Dr's excuse. I like this alot.

I know that this sounds far fetched and everyone, including all of my posting buddies, will come up with all kinds of reasons that this would not work. But I'll bet if we get George and all of his co-workers working on this around the cooler, they could get creative and fill all of the blanks in.

SusannaM (Florida)
Posts: 366

Posted:

Donna, good idea!! seriously....
Richard, thanks for the link but cannot find that particular podcast.

KirkW1 (Texas)
Posts: 1,665

Posted:

Oops, sorry, I forgot to mention, that I wouldn't bother with sign up stuff. Just send out fliers that the day is coming. Place a few signs out as well. And whoever shows up shows up. And I wasn't intending that this be a blindside means of forcing people into work for the HOA. Just let them enjoy themselves.

I firmly believe that a large part of our problem is that not knowing one's neighbors has hit epidemic proportions. In one area near me the kids in the neighborhood don't know each other. That is because:

We send them to huge schools

They never just run free

They are all scheduled for various after school activities

People always drive from home to anyplace they go

who knows what else?

The thing is that it is all that much easier to ignore people you don't know. If they don't like what you do, you just don't care since you don't know them anyway. And why should I help the nameless twit on the street?

Look at why small towns are the way they are. Part of it is because everyone knows each other. The person who keeps to his/herself is the oddity (and talked about). But they band together to help each other out.

As I see it, if people care about each other they will:

be more likely to notice something out of place (and report the same)

be more likely to consider the impact of their project on their neighbor

be more likely to help out

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