Tilex Out - Mold Claims In

Not so long ago, the appearance of a black smudge on a bathroom ceiling triggered a search for a sponge and a bottle of Tilex.  These days, it is more likely to trigger calls to a lawyer and an industrial hygienist, extensive testing for “toxic mold” and a law suit.  In fact, in the landlord-tenant arena, mold has replaced lead paint as the de facto defense of tenants fighting eviction actions.  Fortunately for landlords (and community associations), the mold defense – “I’m withholding my rent (or suing my condominium association) because of the toxic mold growing in my bathroom” – is not a slam dunk.  Tenants or condominium owners pursuing those claims must clear four legal hurdles in order to prevail.  Read more

HOA eVoting

As governmental entities, homeowner associations hold regular elections to populate their boards and periodic votes on governing document amendments. The traditional method includes holding annual meetings, special meetings or ballot-by-mail. These methods are cumbersome and often expensive to pull off. Moreover, establishing a legal quorum to transact business has proven to be problematic for many HOAs due to apathy.   Read more

Financial Reports: The Need, the Problem and the Solution  (Although written for California law, the article is an excellent guide to financial mnagement)

The oldest surviving forms of the Greek language are crude scratchings on clay tablets found buried in the ruins of ancient Greek palaces destroyed 3,200 years ago. Known as Linear B, this primitive script does not recount Homeric deeds nor record mythological fables nor preserve primitive philosophy. Translated, these ancient tablets tell us "Kokalos repaid the following quantity of olive oil to Eumedes...648 liters." Hardly soaring prose, this passage would fit perfectly in your association's financial reports beside the journal entry "Arthur Koenig/Reimbursement for carport damage...$543.92." What did these illiterate barbarian kings over three thousand years before the California.   Read more

Managing Micromanagement - Part III:  The Why and How:  A Guide to Make Everyone's Life a Little Better

For the past two issues we have been discussing micromanagement: Why Boards do it, how they do it, what it costs us as an industry and what we can do about it in the long run. As promised, here are some tips for managers in the trenches on dealing with their micromanagers on a shorter-term or day-today basis. Short Term Solutions: The professional manager’s day-to-day guide in dealing with micromanagement: Act, don’t react One reason we find micromanagement so frustrating is because we are reacting to it, not acting on it. Reacting to micromanagement puts us on the defensive.  Read more  (PDF)

Hiring Professionals - A Winning Approach

One of the key questions facing volunteer community association boards is, “When should we hire a professional to assist us?” This question oftentimes will apply to professional management companies, construction professionals, vendors and service providers, accountants, attorneys and reserve consultants.  One of the features of community association boards is that they are governed by a volunteer group of committed homeowners who may not be versed in the intricacies of operating a business. As a result, there is often a diverse and wide variety of individual experience in association governance – a combination that can lead to enthusiastic, albeit sometimes ill-fated, approaches to cost containment. Generally speaking, a common reason volunteer boards do not hire professionals to assist them in their governance responsibilities is that the board is “trying save money.” However, in the end, efforts to replace or refuse to utilize professional assistance can end up costing more and may also expose volunteer boards to unnecessary and personal liability.   Read more

Uh-oh, Our Builder Filed Bankruptcy. Now What?

In the Association context, the term “Declarant” usually refers to the developer of the community. While the project is being developed, the Declarant is responsible for the management of the Association. Also, the Declarant initially holds the voting rights and appoints the first Board of Directors. When the Declarant is finished building the community and sells 75% of the units that may be created, “transition” occurs and control of the Homeowners Association is turned over to owners in the community. But wait! What happens if the Declarant files for bankruptcy protection before completing the project?   Read more

Paints and Coatings: Application Checklist

If maintenance managers do not plan properly, paint and coating projects can be time-consuming, wasteful, and disruptive for building occupants and visitors. Coordinating the various elements of a project — paints and coatings, application equipment, personnel and facility activities — is one of the biggest challenges managers face. To ensure projects go smoothly, managers need to focus on specifying the right paints and coatings for the job, provide crews with the proper tools and equipment, and schedule the project to avoid disrupting facility operations.   Read more

Co-op/Condo Insurance and Reducing Liability: A Print 'Em Out Checklist

Co-op and condo apartment buildings large and small face the inevitable fact that it's not a matter of whether your building suffers an insurance-related loss, but when. So how do you manage an unforeseeable occurrence before it happens? By doing a building and grounds checkup at least twice a year. Patricia Batih, an executive at the insurance company Mackoul & Associates and a former personal-insurance underwriter, here offers 10 tips for foreseeing the unforeseeable. "You can easily do these in preparation for the summer and winter seasons," she says, "to determine the risk factors your building may face."  Read more

15 Common Mistakes Made By New Board Members

The winter months is the traditional period of time reserved for annual meetings and the election of new officers and directors. This has evolved over the years as the best time to hold elections, as most of the owners are in residence at this time of year and their involvement is usually much greater. The operation of an association is one of our purest forms of democratic government. Simply put, owners nominate and elect fellow residents to represent their interests on the Board of Directors/Administration in order to govern their association according to the Declaration of Condominiums and its Bylaws.  Read more   (PDF)

Hurricane Season Has Begun; Now Is the Time to Make Sure That You Have an Evacuation Plan

The 2009 hurricane season has officially begun and should serve as a reminder to coastal residents that preparation is essential in order to limit injuries and property damage from these violent and deadly storms. There is no time like the present to sit down with your family and prepare for the day when you may be forced to evacuate your home, according to the Insurance Information Institute.  Read more

Understanding Collection Of Assessments During The Recession

Community associations have never faced the current amount of delinquent assessments and mortgage foreclosures. Unlike the federal government, an association cannot print more money. Yet, the annual budget is still calculated based on 100% participation. This makes it more critical than ever for the Board to stay on top of collections. If the association does not act swiftly to collect delinquent assessments, it is the innocent owners who will suffer. Lax collection practices can cause the financial stability of an association to spiral out of control. Large delinquency rates often result in assessment increases and/or the levy of special assessments. Unfortunately, the alternative to raising assessments is usually a quickly disintegrating community.   Read more

IL: AG Madigan Condo Developer Left Disabled Resident No Access to Homes  The Illinois Attorney General's office has filed a lawsuit against a prominent Chicago-area condo developer, alleging that his Evanston condominium complex, while marketed to people with disabilities, fails to comply with state and federal accessibility laws....

PA: Residents rescued from high-rise fire
City police and fire officials said they rescued between 10 and 20 tenants from Stevens House Condominiums, including a man taken from the roof and another sick occupant who was trapped in his room with his breathing machine....

NJ: Condominium association do's, don'ts
Many condominium unit owners are aware of the central role their association's master deed and by-laws play in the association's governance. It is equally important to be familiar with the provisions of the New Jersey Condominium Act,...

VA: Wintergreen restrictions on residents called unfair  A decision by Wintergreen Resort to restrict access to its facilities has upset some Wintergreen residents who are not resort members but have used its amenities in the past....

NE: Homeowners Association To Fix Builder's Broken Promises  Angry residents near 144th Street and West Maple Road in Omaha met with their homeowner's association Saturday night. They say Triton Homes isn't making promised repairs in their development....

NV: Where's the association? Not here
The 58 homeowners who bought into Astoria Homes' Hillside community in northwest Las Vegas watched their pool water turn green and their park grass turn brown when the development entered foreclosure....

FL: Billing error costs Fort Myers Beach millions
Fort Myers Beach might have lost millions because it has not charged condominium and duplex owners a water utility fee for the past seven years....

CO: Owners must get involved to make an HOA effective  When you purchase a home in a homeowners association (HOA) you are agreeing to comply with the rules of that association and pay the fees....

SC: Island to increase fees to pay for drainage projects inside gated communities
Hilton Head Island plans to increase fees to pay for drainage projects inside its gated communities, but officials still are trying to determine how much that increase should be...

FL: Miami Beach condos struggle to drain water from flooded garages  At least four buildings on West Avenue -- Bayview Terrace and Mirador 1200, along with Mirador 1000 and the Mondraid -- were pumping water out of their garages, where cars were being towed while residents Saturday evening stand outside and watch....

CA: Little enforcement of law requiring pool upgrades  Six months ago, a new federal law began requiring owners of public and semipublic pools to upgrade their drains in an effort to prevent swimmers, especially young children, from drowning....

TN: Woman Who Sued Condo Association Gets Year In Prison  Ms. Hethcoat had sued Continental Condominiums Association alleging discrimination. She said the association had refused to sell her a condo because she had a 14-year-old son....

CA: State investigates discrimination claim against homeowners association
The state Department of Fair Employment and Housing is investigating a complaint alleging that the Hidden Valley Lake Association has discriminatory rules and practices that especially affect children and families....

VT: Free to Hang Out the Laundry
It may be difficult but not against the rules anymore. You can air all the clean laundry you want because it's your right to dry so says the Vermont Legislature....

CA: Cat search at Fresno condo goes awry
Police responding to what they thought was a report of cat burglars at a north Fresno condominium complex instead found cat searchers....

FL: Porch dispute pits Boynton Beach couple against property owners association
Like so many other homeowner disputes in South Florida, the Glasses' troubles began with a home improvement project. They wanted to put a screened porch on their home in Aberdeen Golf & Country Club so their cat could go outside without being eaten by an allig...

FL: Former Coventry Cove treasurer faces embezzlement charges
A former secretary and treasurer of the Coventry Cove Homeowner's Association is accused of embezzling more than $10,000 from the association's treasury....

FL: Condo advocates decry banking lobbyists' influence  Despite pleadings from unit owners, state legislators failed to produce any relief for condo associations in the form of new foreclosure reform during the most recent legislative session....

FL: On some condo boards, time is money
Serving on a condominium board is unpaid volunteer work and can be time-consuming given the need to learn about association laws and regulations while tending to issues of importance to unit owners. But when board members begin asking for forms of compensation...