Association Managers Licensing

I have truly enjoyed reading the posts on this site. Many of you seem to have more than a handle on your state laws and documents. But, as an Association Management Supervisor I am stricken by all the negative comments about others in my profession. I am absolutely flabbergasted by some of the reported actions of other managers. some of the things I read, if I attempted them, I would be run out of town on a rail and that would be after being sued in civil court and in criminal court.

What I would like to know if anyone cares to share, how are these people getting away with some of things that are reported? am I seemingly truly an anomoly in the business, an honest manager? I know there are other good ones out there I know many both from CO and CA where I have been or am in the industry. I also know of at least 3 in CO that have been prosecuted successfully. For example I can not imagine telling a board or homeowner that they can't see the financial documents except for maybe an individuals personal account, although with pressure it too is a semi-public document (meaning any owner in the community could see it).

At the risk of opening the flood gates of acrimony toward my profession, what are people's thoughts on this? How many of you represented here have state laws for licensing of some sort for managers? How many would support this legislation in their state? do you feel it would be of benefit to stop some of the abuse of power I see through these posts? What about having the management contract prices increase to cover the addtional costs for licensing of managers or at least their companies in some way?

Colorado does not yet have any required licensing either through the Real Estate Commission or CAI but we in the industry are pretty sure it is coming in the next few years. As a manager of over 16 years, due to the fact that it is coming some day, my company is taking the initiative and sending me through the CAI courses for their designations and then through at a minimum the Real Estate licensing for Property Managers. This is going to run the company somewhere in the neighborhood of $5000 by the time all is said and done. Not to mention that most of the course work is "101" which makes it a real challenge to justify for someone like me. It is more like a vacation than training.

How many of the posters here are managers if any besides me? Maybe I am the odd man out and it certianly seems that way in some cases by being management and not a board member. Just an aside I am also a homeowner in an association so do have a viewpoint from both sides although rarely do they differ, maybe because I do know both sides of the coin.

Everyone's thoughts are welcome and encouraged please.

Ann,

Corruption is everywhere and not every employee is good at his job. From where I sit, I believe the biggest problem is the lack of licensing for managers and mgmt co's. At least that seems to be the case here in AZ. Perhaps one day we'll get that legislation, but until then. . .

My assn is blessed with a manager who would easily fit into the "cream of the crop" category for assn mgrs. However, I know that is not the case with every assn. I believe part of the problem is really caused by the board members. All too often we see board members who are unwilling and/or really unable to perform their duties and are content to just let the manager do it all. In these situations it's quite easy for a manager to just take over and begin doing whatever they feel like doing. Remember the adage: "Power corrupts and absolute power corrupts absolutely." I like to think the stories we hear about bad managers is not a representation of the industry. Just like the stories we hear about "bad" or "errant" BOD's are also not the norm.

Please don't let this site trick you into thinking this is representative of the HOA world as a whole.

We have a mere handful of posters here, compared to the many thousands of boards and associations, and management company employees, in the U.S.

Don't forget, outside of a forum like this that's inhabited by mostly association leadership, you would see a lot of association and board bashing going on. Heck, we get our share of that here, too!

Plus, the average homeowner probably doesn't think about their association more than once a year, if that.

Most of us on here could well be what I would call "Association Junkies" (just like some sites have politics junkies) -- It's what we do, it's what's important to us, and if we can help even one more person sort through the quagmire, or approach their HOA with a different set of eyes, we done good!

I think, though, to address your questions specifically, that PMs and management companies are no more or no less "typical" than any other company. Like Mary said, there's good employees, there's bad employees.

But I also agree to an extent with Donna.

Many board members do not understand their own roles and responsibilities, much less their relationship to a management company. I think many times board members abdicate their own responsibility to the management company, some from sheer lack of knowledge, some from sheer laziness.

And then there's the old adage, people rarely share the good news. I mean, let's face it, it's sort of unusual to post things like, "My PM did her job well this month! She didn't try to take over the meeting, she had all her reports ready and shared them as required, and she didn't harass any residents!"

Tracie,

In Florida the law requires a CAM license for anyone who manages any property with more than 50 units and /or an annual budget of $100,00 or more. Smaller associations might have "managers" but they are not required to be licensed. But I as a Board member would never consider hiring a P.M. without a license.

Tracie,

Usually the person(s) resp. if something is done illegally is the HOA BOD. If they feel the manager was the real culprit then can then go after him/her. It wouldn't matter whether or not a manager was licensed. Requiring licensing means there will be a governing agency to complain to if the manager does something wrong. The result could be loss of license and/or legal action depending upon what the claim is. When licensing is required it generally means continuing education is a requirement to keep your license current.

I do think TracieS has a very valid point. If you make a rule/law, then you better have some way of enforcing the consequences. Even though there is always a civil suit, that really is a difficult way to go for any reason. As Mary might (I hope she would) agree, our state has some very nice laws, but no way to really enforce them. It does work to be able to point to something that may have some legal bearing, but if anyone forces your bluff, there is nowhere to go.

I would hope boards look for credentials, but I sure would not want to see that as the minimum threshold for consideration.

Traci - Ohio does not require PMs to be licensed. As a licensed Realtor for the past 19 years, I have really had a problem with PMs not having to be licensed and not having a Code of Ethics that they must adhere to. Since I have spent so many years as a Realtor indoctrinated in and practicing Buyer and Seller Agency requirements, I have practiced the "working in the association's best interest" theory during the 7 years that I have been a PM. However, in many situations, my adherence to protecting the association's best interest has been in direct conflict with the "policies and practices" imposed on me by the management company that I work for. Each year, my discontent, disgust, and contempt for my employer grown greater due to the fact that, in most cases, they are only interested in their interests not in what benefits the communities that they manage! If having health insurance wasn't so important, I would have already quit. I think that PMs should be licensed in all states.