Condo Association Management Blog

You are extremely lucky and better off financially because previous boards computed your HOA fees incorrectly. "Bite the bullet" and pay the higher fee, then hope that one or more of the two bedroom owners don't ask the board for a refund of their overpayments for ten years which will be paid by the ten one bedroom owners. In short, keep quiet about this. 
 
 
 
In California, a developer must file a series of documents (collectively referred to as "CC&Rs") with the Department of Real Estate ("DRE") prior to selling any common interest properties to the public. Employees at the DRE read the CC&Rs and either approve them as written or require revisions. During the review process, they are supposed to ensure that allocations of expenses are done "fairly," which is a very vague term. As you mention in your question, some expenses are allocated ratably among all owners and others are allocated on your percentage interest in your community. You can learn each unit's percentage interest from one of the leagl documents the developer was required to file: the condominium plan, which you should have received at the time of your purchase, but is also available at city hall. The condominium plan contains a drawing of each unit in your community along with a table that details each owner's percentage interest. You may find that this percentage can vary slightly among otherwise similar units. 
 
 
 
You should, however, request all available details of how your monthly fee for 2011 has been computed. Management companies usually prepare your annual budget for review and approval by the board, but they are not required to compute the fee to be paid by each owner. Thus, you need to know who prepared this calculation and exactly how it was prepared. I have developed an Excel spreadsheet with pertinent formulas for my building, and I provide this to each owner each year so that they understand exactly how their fee (and that of all their neighbors) was computed. 
 
 
 
If you wish to discuss further, contact me at ldavis@cfoexec.com

I would suggest you thoroughly review your declaration (CCRs) to see if it's outlined how assessments must be calculated. If it isn't then the board can calculate as they choose and you have no complaint. If it is outlined and they are not following the requirements set forth in the CCRs then you have a problem. The best way to tackle it would be to get all (or a majority) of the 1-br owners together to confront the BOD, unless you are prepared to spend a bundle on a lawsuit. I don't believe CA has a gov't agency to oversee HOAs.

You’re Blog / Website is great; would be great to keep in contact as we are in the same industry. Looking forward to reading more and talking again soon.Lighting Maintenance Contractors

I also live in San diego and if the board did this without a vote to change the ccr rules and regs they are breaking the law- if they can do this and not be held accountable they will do other modifications and get away with it when it suits their needs not the paying membership