If you live in a planned community, you or various of you neighbors may decide to join the board of your homeowners’ association (HOA). It’s a way to get involved and to have a say in how your community maintains its quality and acts according to the rules. These are rules that all homeowners agreed to when they bought in.

Over two million people in the United States serve on HOA boards or committees! But, what does the role of a board member actually involve?

Well, first off, some background: An HOA is a nonprofit corporation that manages a common interest real estate development. The HOA comprises owners of property in the development, which elect members of a governing board to direct its activities. The board of directors has certain powers and duties. Directors also have individual duties, and may incur liability if they breach those duties.

How an HOA is Organized

HOAs are created under and regulated by state law. State laws often require the first meeting of the HOA to be held within a certain amount of time after the first unit in a development is sold. For instance, the first meeting of the HOA may have to occur within six months after the closing of the sale of the first unit in the development. All property owners, including the developer, are invited to the meeting.

Manner of Voting for HOA Board

All members of the HOA are eligible to serve on the Board, in which prospective members must be elected by a plurality of the votes of the association’s members. A member can also generally nominate himself or herself as a candidate at a meeting where election is to be held. A member is not eligible and may not submit his or her name for consideration if he or she is delinquent more than 90 DAYS or has been convicted of a FELONY and has not had civil rights restored for at least 5 years.

HOA Board’s Powers and Duties

The governing body (or board of directors) of the HOA is responsible for the management of all aspects of the association. It may delegate management of certain activities to other persons or businesses, such as a property management service, but it retains ultimate control.

As a board member, you will want to carefully review and understand all of the HOA’s governing documents, such as the bylaws, articles of incorporation, covenants, conditions, and restrictions (CC&Rs), and day-to-day operating rules

The board’s powers and duties normally include such things as:

• Enforcing provisions of the declaration, articles, and bylaws for the ownership and management of the development.
• Paying taxes and assessments that are a lien on the common area.
• Contracting for insurance on behalf of the association
• Contracting for goods or services for the common areas or for the association.
• Delegating powers to any committees, officers, or employees of the association as authorized by the governing documents.
• Preparing budgets and financial statements for the association.
• Formulating rules of operation for the common areas and facilities, and
• Conducting disciplinary proceedings against members of the association for rule violations.

If you have any questions, contact us here for residential and Home Owner’s Association legal advice. The experienced homeowners’ association attorneys at Stevens & Goldwyn, P.A. serve clients throughout Broward, Palm Beach, and Miami-Dade counties.