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JuleneC (Colorado)
Posts: 1
Posted:
Good morning, I have been selected to a committee to write a format for Rules and Regulations. I am new to HOA’s and have no idea where to start. We are looking to change the Rules and Regulations we have in place now. Does anyone have any rules and regulations that are not so strict that the HOA is susceptible to lawsuits? Any help would be appreciated.
RogerB (Colorado)
Posts: 5,067
Posted:
Julene,
Since you are new to HOA's I suggest you not take on the task of drafting these governing documents. Are you knowledgeable about CCIOA? Do you know what Rules are required by CCIOA? Do you have experience drafting documents? If you answer yes to these questions perhaps you and another person experienced in the HOA's functions could create a reasonable initial draft.
SusanW1 (Michigan)
Posts: 5,202
Posted:
WHY are the rule and regs being changed? Can you be more specific? (If it ain't broke, then don't fix it)

Hopefully you will hold some informal meetings where residents can give input about what R/R will make your HOA run more smoothly. Then the Committee can work up a draft and submit it to the board, then for adoption, bu whatever group OK's R & R (board or members)

As far as getting into trouble legally, your HOA lawyer can look them over or a parlimentarian can help determine if they confict with any state statutes or your own CCRs.

DorothyO (Washington)
Posts: 293
Posted:
Could someone please explain to me what Rules and Regulations mean in this context? I've not been clear on the difference between rules, regulations and resolutions. Are these Rules and Regulations that have been passed in the past by the BOD, and now want to be changed to something else? All of them?

Dorothy
JohnK3 (Pennsylvania)
Posts: 967
Posted:
Quote:
Posted By DorothyO on 05/06/2009 5:08 PM
Could someone please explain to me what Rules and Regulations mean in this context? I've not been clear on the difference between rules, regulations and resolutions. Are these Rules and Regulations that have been passed in the past by the BOD, and now want to be changed to something else? All of them?

Dorothy

Dorothy,

Some of these terms are used differently by various HOAs. Here's how we look at them:

Rules would be our CC&Rs and ByLaws which typically can only be changed by a Membership vote. Resolutions are interpretations of the main docs which we accomplish via BOD action.

For instance, a Rule we have is that fines can be levied for late/non payment of dues. By Resolution, our BOD set the guidelines as to when, how much, process, etc. for collection.

Hope that helps.
MaryA1 (Arizona)
Posts: 7,043
Posted:
Dorothy,

My interpretation is a little different than John's.

The CCRs (sometimes called covenants) are generally referred to as "restrictions" and would require a membership vote to change, while "rules" are board adopted "restrictions" and operating procedures that do not require a membership vote. I agree with John on his definition of "resolutions" although some boards will adopt an interpretation of a restriction as a rule. I've never seen anything ever mentioned in the CCRs about resolutions, but I think they are meant to have more meaning than a rule although both are equally enforceable.

CCRs = covenants, conditions, restrictions, assessments, charges, servitudes, liens, reservations and easements
DorothyO (Washington)
Posts: 293
Posted:
John and Mary,
Thank you both. Here's what I've learned.

Our Bylaws state: "Adoption of Rules and Regulations: The Board is empowered to adopt, amend, and revoke on behalf of the Association detailed administrative rules and regulations necessary or convenient from time to time to ensure compliance with the general guidelines of the Declaration of Covenants, Conditions and Restrictions, and to promote the comfortable use and enjoyment of the subdivision."

With that, and with what my Offical HOA Handbook, Washington Edition, produced and distributed by the Northwest HOA Law Center says, I think these terms, resolutions, rules and regulations encompass both of your interpretations.

I'm thinking, the term used for the "rules" of the covenants is "Restrictions," as Mary said. According to the above Bylaws the term "rules" is being used in an administrative sense. A rule can be adopted by the Board to ensure compliance, and the preferred formalized procedure for that is through Resolution, as John said, especially for anything substantive.

Of course, the rule has to be consistent with the recorded documents, has to be reasonable and relevant, and should be presented to the owners before final adoption of the Resolution.

Which is why the original post of, "We are looking to change the Rules and Regulations we have in place now," made no sense, unless she was talking about the CC&R's, instead of the administrative rules.

And that's why we love the English language!

Dorothy
MaryA1 (Arizona)
Posts: 7,043
Posted:
Dorothy,

True, the English language is like no other!

Although I would see nothing wrong with informing the members of a proposed resolution, it is not a requirement if the CCRs give the board the authority to adopt rules. Frankly, the rule of thumb in most assn's is that if the members are not required to vote on something the board can do it w/o informing them first. Of course, things are different in a small assn because the BOD ususally has contact with a higher % of the members. Transparency is key. When the board does something w/o first informing the members they should definitely inform the members afterwards. How many members really care if fodder for another thread!
DorothyO (Washington)
Posts: 293
Posted:
Mary,
That is true. I think the barometer of "need to know" in advance is in the substantive nature of the rule. If it is going to be a rule of significant substance, for example, violation fees being raised from $10 a month to $50, that would be worthy of advance notice. Advance notice and any consequent Association comment doesn't mean Board reversal. It just diffuses the knee-jerk reaction of secrecy, and fosters, as you say transparency. But I can't think of too many instances where the pre-informed format would be necessary. As for who really cares? Ah, well, la di da. . .

Dorothy

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