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Input Please - Community funds being allocated to Limited Common Grounds without Board vote

Started by TamaraW12 replies • 1608 views

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TamaraW (Ohio)
Posts: 193
Posted:
Come to find out the new Board President is making decisions about community funds by herself with out vote of the Board. We are talking about a planned (and in action) $11,000 to go to remove/replace/dispose of tree's on limited common grounds. Grounds that Homeowners are financially responsible for. However this expense is going to come out of community funds. We/the community don't have the money and common grounds are in need of repair.

What do you all think of this? Is there any recourse the Board/Board President can face?
EllenS1 (Florida)
Posts: 1,148
Posted:
Tamara,

Your post is somewhat confusing. You say the area is common grounds but then you say grounds that homeowners are respomsible for???? But they aside no member of the board, president or not, cannot or should not make a unilateral decision. I would definitely take your concern to all the board members and if you have a PM to them as well. There are times when a president thinks he or she runs everything. Cite your documents and show your president exactly what can or cannot be done in that office. I have no idea how large your association is but I would not hesitate to pass out fliers door to door to advise everyone. We had an issue several years ago where the board decided to ask for a special assessment for $15,000 to remove and prune trees on their proprety (tho they claimed it was for the entire association property). They went door to door to get the votes before any information was given so I went door to door with a flier informing owners of what was up. The special assessment was voted down in large numbers. Good luck!
TracieS (Colorado)
Posts: 460
Posted:
A bit more info, please.

My association is getting ready to pay for tree removal that is the homeowner's responsibility. After repeated notices that the trees need to come down, they haven't. Rather than let it go further, the association is going to just cut them down, THEN BILL THE OWNERS (which our docs allow).

Are these trees impacting some piece of property? Are they a hazard to the roofs or fencing? Are they diseased? Have the owners been notified that "their" trees are coming down?
TamaraW (Ohio)
Posts: 193
Posted:
I understand we are confusing, I was going to copy and paste the bylaws on here, but in best explanation:

We have Common Grounds our community funds go to ex.....park, roads, lawncare (mowing and fertilization)our pond our fence, trees on the common grounds and such.

Limited Common Grounds are to be maintained and repaired at the Homeowners expense aside from lawncare.

The best way to put it is......we are single family homes in a condo environment. I can post the bylaws if that would help anyone help me.

We are not talking about a special assessment, we are talking about community funds allocated for the common grounds (which would be what our dues go for) going to Limited Common Grounds that the homeowners are financially responsible for.

I have brought this to the attention of the Board members and PM......even though some Board members are speaking out about this next to me, the President is not listening. In response to my email with my concerns I received the following response......lol.......WOW, is all I can say. Not to mention this was my first address to the Board about this issue...........

Tamara,

You need to calm down. As far as the **** St. trees you have already said your peace and we listened so please let it go. As far as the other issue with insurance on the tree. I do not have insurance on my tree and have never heard of this but be that as it is. You need to stop being so invovled with matters.
Please get a job or a life and quit stressing over these matters. Say your peace once and let it go.
TamaraW (Ohio)
Posts: 193
Posted:
Quote:
Posted By TracieS on 09/14/2009 8:19 AM
A bit more info, please.

My association is getting ready to pay for tree removal that is the homeowner's responsibility. After repeated notices that the trees need to come down, they haven't. Rather than let it go further, the association is going to just cut them down, THEN BILL THE OWNERS (which our docs allow).

Are these trees impacting some piece of property? Are they a hazard to the roofs or fencing? Are they diseased? Have the owners been notified that "their" trees are coming down?

Our community allows the first paragraph, but they are not carrying it out that way. Instead of billing the homeowners directly in a special assessment, they are taking it out of community funds. Which specifically goes against our bylaws.

The tree's have been neglected of water, therefore they were made succeptable to a said borer. They are not ash tree's, but some ornamental cherry tree. They only line one street in our community.

Community members are not being made aware of this.
EllenS1 (Florida)
Posts: 1,148
Posted:
Tamara,

Why don't or haven't you made community owners aware?
TamaraW (Ohio)
Posts: 193
Posted:
I just got things confirmed today. I just decided to express the facts to the Board today. Apparently after that email I received (form of bullying) I am going to be disregarded. So my next step is to include the community with a flier. Another Board Member, who I am standing next to on this with, is putting that together. Her, I and another BM will pass them out to the community this week.

GlenL (Ohio)
Posts: 5,491
Posted:
Tamara please understand that I'm not condoning this especially if one of the Board member's homes happens to receive this treatment but unless you can rally enough support from the H/O's to make the BOD rethink this; your only alternative is to file suit. Now OH changed some of the condo laws in 2004 and allowed the BOD to amend the documents to comply without an H/O vote.

Now I'm not an attorney so I don't know how these would apply if the documents were not amended but I suspect they would still apply. Most of the changes were to the By-Laws and if your clause about the H/O being responsible for the cost is in the Declarations then that should trump any provision in the By-Laws. (Usually there is a clause in the documents saying in case of a conflict Declarations trump By-Laws, By-Laws trump rules.) Below is the part section of 5311 I believe would apply, bold by me.

There is also sometimes a clause limiting the dollar amount of capital improvements without an H/O vote, our limit is $2,000.00. Since this is not a replacement of common elements but a change to the limited common elements it could be argued that this is a capital improvement, again I'm not an attorney nor do I play one on TV. If the president is acting without the authority of the BOD then the BOD needs to remove her from that position.

5311.081 Powers and duties of board of directors.

(A) Unless otherwise provided in the declaration or bylaws, the unit owners association, through the board of directors, shall do both of the following:

(1) Adopt and amend budgets for revenues, expenditures, and reserves in an amount adequate to repair and replace major capital items in the normal course of operations without the necessity of special assessments, provided that the amount set aside annually for reserves shall not be less than ten per cent of the budget for that year unless the reserve requirement is waived annually by the unit owners exercising not less than a majority of the voting power of the unit owners association;

(2) Collect assessments for common expenses from unit owners.

(B) Unless otherwise provided in the declaration, the unit owners association, through the board of directors, may exercise all powers of the association, including the power to do the following:

(1) Hire and fire managing agents, attorneys, accountants, and other independent contractors and employees that the board determines are necessary or desirable in the management of the condominium property and the association;

(2) Commence, defend, intervene in, settle, or compromise any civil, criminal, or administrative action or proceeding that is in the name of, or threatened against, the unit owners association, the board of directors, or the condominium property, or that involves two or more unit owners and relates to matters affecting the condominium property;

(3) Enter into contracts and incur liabilities relating to the operation of the condominium property;

(4) Regulate the use, maintenance, repair, replacement, modification, and appearance of the condominium property;

(5) Adopt rules that regulate the use or occupancy of units, the maintenance, repair, replacement, modification, and appearance of units, common elements, and limited common elements when the actions regulated by those rules affect common elements or other units;


(6) Cause additional improvements to be made as part of the common elements;


Studies show that 5 out of 4 people have problems with fractions
TamaraW (Ohio)
Posts: 193
Posted:
4 Board members homes!

Thank you for the information. I am meeting with those Board Members who oppose this tonight to make a plan of action. All information you all can give me will be carefully examined before any action, so as we are within our rights and can support them.
EllenS1 (Florida)
Posts: 1,148
Posted:
Tamara,

I would not get bogged down in all the words and legalese. Let all owners know what is up, get them mad as hell and you will win. Owners just hate it when they learn their monies are not being spent correctly.
TamaraW (Ohio)
Posts: 193
Posted:
UPDATE - This issue is now closed. I received a very direct email stating the community will not be paying for this. It is just so unfortunate that it had to be a huge drama and I had to get verbally assaulted by one of the Board
Members for presenting the bylaws that state this cannot be done.

They should know the bylaws they represent. Oh well. What can you do???

Thank you everyone for your support and help with this matter.
EllenS1 (Florida)
Posts: 1,148
Posted:
Tamara,

Good for you. There are many good boards and then some who think they can act in any way they deem appropriate. This has been a good learning experience for the board member that sent you the nasty email.

TamaraW (Ohio)
Posts: 193
Posted:
TY Ellen! There are many good Boards, I do agree. It just seems we fluctuate here between "good Board, bad Board".

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