Issues HOA Boards Share

Even the seasoned HOA Board Member could use a refresher on the logistics of HOA Board issues. HOA Board-membership is unique because there are few other scenarios in which a group of volunteers assembles to manage their local community. No matter the location, all HOA boards face a set of similar demanding situations. Being prepared for these situations and knowing that you can turn to Condominium Associates for advice will help you if any of these issues occur. Here are some problems HOA Boards share and what to do about them.

Issue #1: Know Your Dues

Your board and association members may often wonder, “Are our dues reasonable? Are we getting a good value for the amount we’re paying?”  The real question you should be seeking to answer is: “Are my dues reasonable for the service level that we’re requesting?”  

It’s tempting to compare your monthly membership dues to those of neighboring associations to determine if you’re getting a good value. But membership dues reflect the needs of your community, and every association is different. The best way to overcome this stigma is to evaluate the qualities of your particular community. Take note of things like landscaping, amenities, home type, lot size, security service, and other areas.

Ask us to provide you with a breakdown outlining where your monthly dues go each month. Seeing the specific services you receive in exchange for your monthly membership dues gives you a better sense of whether or not you’re getting a good deal.

Issue #2: Member Engagement

Every board faces difficulty getting the membership involved in HOA governance. There are two ways to look at this situation. First, disengagement might be a good thing. If homeowners aren’t attending meetings, it usually means that your membership is satisfied, and the board is most likely doing a great job.

On the other hand, associations that lack membership involvement miss out on the benefits of building a tight-knit community. Be proactive and develop a greater sense of community by organizing more events within your association. Great ideas include potlucks, movie nights, pool parties, BBQs, or any other activity that makes use of your community’s amenities. Your HOA management company can help you spread the word via your community newsletter or other communication channels.

Finally, identify individuals who might make great future board member candidates. Speak to them early about getting involved, answer their questions about board membership, and encourage them to run when election time nears. By creating a stream of potential board members coming down the pipeline, you ensure that fresh energy and ideas cycle onto your board.

Issue #3: Lack of Experience

All HOA board members are volunteers with different professional backgrounds, coming together to oversee the management of your association. Though all of these people bring unique and valuable skills, they likely lack extensive knowledge about the laws and norms related to association management. The exception is unless they have direct experience in overseeing a homeowners association.

There are many resources available to educate HOA board members about running a fruitful association. Ask your property manager for a review of essential board duties and responsibilities, conduct a board member orientation session, utilize online resources at the Community Associations Institute (CAI), and ask your management company for a breakdown of roles and responsibilities outlined in your association’s governing documents. Equipped with the same level of knowledge, all your board members will quickly get on the same page so that you can move forward with decision making.

Issue #4: Conflict Resolution

Relationships are at the heart of any association. When you bring together a group of individuals who are trying to seek consensus, differences of opinion are bound to arise. What matters is how you handle these differences.

The people at your association management company are experts in conflict resolution. They know how to resolve issues amicably and efficiently. Let them act as your mouthpiece. Remember that your management company’s job is to help solve a conflict, not incite it. If your manager doesn’t excel at bringing peaceful and productive resolution, then it’s time to ask for another manager.

Homeowners association management is a people-based business. Whenever people are involved, issues are bound to arise. Remember that these issues are a natural byproduct of the process. When challenges arise, it doesn’t mean that you’re not doing your job correctly. It merely means that you’re on the right track, and there’s still a bit more work to do.

Issue #5: Legal Team Involvement

Many HOAs have questions about how to protect the association from exposure to liability. It isn’t straightforward to know when to decide on your own versus when it’s a good idea to ask your legal counsel for guidance. Because of this issue, your HOA manager should step in. Their experience and expertise overseeing HOAs in your state will come in handy, so don’t be afraid to ask.

The general rule to evaluate good business judgment is if you’re reasonably making decisions, then your liability is minimized. But if there exists even a shadow of a doubt, ask your management company and trust their judgment. They’ll let you know when it would be prudent to consult your attorney. Relying on experts is always a smart way to minimize your liability.