HOA News, Advice, and Tips
Internal Audit and Controls… What & Why? An internal auditors’ role includes monitoring, assessing, and analyzing organizational risk and controls; and also reviewing and confirming information and compliance with policies, procedures, and laws. Working in partnership with management, internal auditors provide the board, the audit committee, and executive management assurance that risks are mitigated and […]
Continue ReadingSet your goals, make your plans, and live your dreams! Community association board members are often faced with competing factions in the community who demand that the board fulfill their demands. Without a clear mission statement and goals, the board may have difficulty determining what course of action is best for the majority of members […]
Continue ReadingEver attend a community association meeting where there was a vote on an emotional issue? As you watched the losing side, did you worry that deep divisions might sour neighborhood spirit? Ever watched a meeting where only a few people knew the rules of the process? Ever wondered if there was a better way? There […]
Continue ReadingThis growing influence of community associations has prompted many states to implement laws that regulate the administrative and executive powers that are being assumed by homeowners associations throughout the country. One of these laws is the requirement for community association boards to become transparent to all community members especially in terms of finances and processes […]
Continue ReadingIt is understandable that a Board occasionally experiences situations involving conflict or escalated disagreement. After all, any time you are dealing with decisions that may affect someone’s home or neighborhood, emotions can run high. Honest, effective communication is one of the best ways to alleviate conflict and potential confrontations. One of the key components to […]
Continue ReadingIn my many years of community association management, I have worked with numerous wonderful boards. And these same boards were the leaders in the most successful associations I ever managed. Their backgrounds were varied, and they all were interested in the success of their association. When I think back to what made them that successful, […]
Continue ReadingEvery community association should have a financial plan that sets forth the proposed expenditure of funds for the maintenance of the common areas/elements under the association’s control and for the management and operation of the association itself. The financial plan, or budget, is the foundation document for the association’s financial operation and stability. It provides a preview of the coming year’s expenses, and provides a benchmark by which the current year’s expenditures can be judged and evaluated.
Continue ReadingServing on a board of directors is not a job for the timid. Board members must interface with their membership, management team, association vendors and other members of the public pragmatically at all times.
Continue ReadingDirectors and Officers (D&O) policies are usually invoked by directors or officers who have been sued. Board directors are often adamant about obtaining large D&O policies (frequently, $1 to even $5 million), to protect themselves. As a matter of law, directors cannot be sued for negligence – they can only be liable for gross negligence or intentional bad acts (an intentional tort or a criminal act).
Continue ReadingThe annual meeting is the event when the board members and homeowners of a HOA gather to discuss the most important things that concern the community, as well as the highlights of the previous year. It represents a very important time for every homeowner, and boards need to plan ahead in order to be able […]
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