Condo Association Management Blog

Your governing documents hold the answers to your questions. Follow those closely. It may be tough for owners to hear that more of their hard-earned money is needed. Here's my free consulting--hold several town meeting to educate the needs of the association. Have experts there to corroborate. For example, if you are needing money for new roofs, have your roofing expert come to the meeting and explain the needs, the products to be used, etc. You may have to pay your experts for their time, but it is well worth it in my experience. This helps the owners feel a part of the decision and the process.

great answer Sherry !

I'm curious - when is your year-end? My docs say that changes in any rules and regulations need to be given with a 30-day notice to each individual owner, but that's not budget.  
 
My documents don't say anything about a time-frame which gives the board the option of doing what they think is best. The sooner the better. In this economy I would want to know as many months in advance as possible. Rental properties by law usually give a 60-day notice to renters. 
 
Being that the newly raised HOA assessment needs to be in your projected yearly budget, my docs would say this budget needs to be presented to the owners ON or BEFORE the annual meeting. Because half of our owners don't attend our annual meeting, this means that our budget really should be sent out with the 21-day-in-advance notice of the annual meeting and its full agenda so the owners can look it over. Our owners approve the budget at the annual meeting. 
 
My docs also say that any unusual expenses anticipated to be over $1,000 in the next two years must be explained in writing in the annual report. 
 
Our board throws the budget together at the last minute - it sounds like yours has done some advanced planning. 
 
I googled "rent increase notice", and there are lots of examples that might be helpful to send to your owners, one being: "Over the past (x amount of time) several improvements have been made to the building, e.g., roof, windows, (insert your own). However, these improvements, and future improvements, cannot be made without an increase in your rent. A rent increase is never popular but it is necessary to continue to provide updated features. Therefore it is necessary to increase your rent to $_____ effective (more than 30 days later)."  
 
As a reminder you may want to include when assessments are due. Ours are the 1st of each month but we have until the 6th. On the 7th day a $10 late fee is added.  
 
 

I'm an ex-condo manager for 10 years and now use my expertise to coach BOD's to make their associations great. If you were my client, I'd ask you these questions? 
 
1) What do your docs say? Follow them. 
2. If they are silent, then what makes prudent business sense to give owners the head up. 
 
You are on the right track. I think a meeting 60 days prior to budget approval (with your experts), then your general meeting when you approve the budget. Your document most likely allow for proxy's. I've seen BOD's go door to door 2-3 days prior to the meeting and ask for signed proxy's so that they will have a quorum and can conduct the business of the association.  
 
The short of it is, follow the docs, give owners the opportunity to participate, and get the budget passed so your association can be financially sound. This sounds like it is your goal. Go for it!

Our BOA has passed the 2010 Budget, and added unnecessary expenses and increases the monthly fee. Our complex paid 2 Associations POA and HOA. How can we address a letter to the Board complain about these increases.

what's a POA? Is HOA a Homeowners Association?

Our 21 unit condo association is in the middle of collecting on a 12 month special assessment fee. We have completed what we specifically stated we needed to do, ie, paint and decking, but we still need a new door and landscaping.  
Can we vote to re appropriate the remainder of the money, or do we need to refund and vote on another special assessment?