Condo Association Management Blog

Check your docs. If I were you, I would remove that person from the Board.

Obviously illegal. Complain to the state regulator of HOAs and Condos.

And send a copy of your letter to the state regulator to your treasurer also. In addition, we wonder why your broker didn't give you a copy of the latest statement before you closed. Ask your broker and include him on your copy list.

Sorry for writing so many comments but, I want to suggest that your letter to the regulator be straight foward, without any personal attacks. Be as friendly as possible. Don't come of as a trouble maker.

Dept of Bus Reg (DBPR)

When our budjet came out,it did not show the Manager getting a 6% raise every year. She is making over 100,000.00 a year with 6% raise every year. 
 
Also we have a web site that been accessable to codo owners and they put a protected password so we cant access it anymore. The board backs her 100%

I live in a 4 unit self managed condo association. We had a President/treasurer who also wouldn't provide financials, I discussed it with the other three owners before a meeting in order to confront him. Unfortunately, we found out at that meeting there had been illegal conversion of all reserves for his personal use. Most condo rules will state you can have access to books with reasonable notice. Send the treasurer a registered letter, copy all owners and quote your condo or state rules. I implore you to find out as soon as possible to ensure that the money being collected is being used fairly.

It sounds as this is a illegal act from entire board of directors or a single director - yes entire board - they all work in concert and if one person as a director holds back important information to owners its as they all hold back- _ I would contact every known agency and file a complaints against entire board for allowing this to happen- if management company can be held liable in state of hoa - you also file complaint against them too. Now if CCr or bylaws allow this, I would never ever buy into place without knowing all the in's and outs of a hoa property- it definitly a learning curve for new owners

It is conceivable that record keeping is difficult for the person selected as Treasurer. There may be no formal set of records.  
 
The treasurer may be embarrassed or may intend to put everything together but just can't get it together. Maybe she or he are procrastinators. It may not be a nefarious plot to steal your money.

Paul: If your property manager is being paid $100,000, then your condo or HOA must be huge. If you are the person with only six owners than you certainly are being ripped off.  
 
Your recourse is to the State and/or the courts. If you are the six unit HOA you should immediately get a lawyer, but only with extensive HOA-Condo experience. It's a special part of law. Not every lawyer can handle it, but too many will say they can.

I am sorry to say, that the "financial report" might be just a work of fiction. You must get copies of the latest bank statements which will tell you where the money is or is not. Sorry to say, but most likely the entire board is in it together. These boards are unpoliced allowing legalized theft and the financial rape of owners hard earned dollars. Until we have laws with teeth, making it a crime to willfully and unlawfully with hold hard data of financial records this will continue. Yes, you must contact every agency you can regarding this violation.

I had the same experience of a board refusing to give an itemized breakdown of expenses. All they would issue were vague and generalized listings of expenses. The president of the association has a landscaping contract with many additional billings for projects. His "contract" seems to go on in perpetuity with no competitive bids. He controls the place with an iron fist and weak laws provide limited means to address this. The only other choice is to sue, which would ultimately hurt our residents. I would never live in an association again, even though I like the concept of community. It is the ultimate form of a dictatorship with weak laws that reduce liability and accountability. Perhaps a lawsuit is the only answer.

What State are you in? You need to first check your State statutes and see what your HOA is required to release. While some owners simply want financial information and that's great, other's are simply fishing to find something wrong. Our HOA has a "Request for Records Inspection" procedure and form in place when this issue comes up. Most Boards should be in the process of finalizing their 2012 budgets. Our bylaws require us to have the new budget in our owners hands by December 1 or their fees don't go up for 30 days.  
 
 
 
For the owner who commented that their board President has a landscaping business- why don't your bylaws state that no active business can conducted for profit for any of the board members?

I'd like to take this opportunity to impress on condo owners that when records are requested and none are forthcoming or they are incomplete, that owners send a certified letter with a return receipt to every board member with the request. (They should copy individual owners as well if possible and practical.) Then, when you take it to a higher level, you will have hard evidence about what you requested and when *otherwise it's "he said" "she said"). If you receive no response, make a note of that in your own records. If you do receive a response that is ambiguous or doesn't include the information you need, keep that communication, too. Every time you request information from the board, put it in writing and send it certified mail. You need a paper trail if you are going to make any headway on a legal basis. Most states have requirements for condo boards to provide complete financial informaion. If what you receive is incomplete, incomprehensible or if you don't receive anything, keep a documented record and take it to court. 
 
 
 
These kinds of things never fix themselves and they never get any better, only worse. Owners have to be on their toes at all times in order to avoid incompetence and downright corruption on the board. If it goes far enough you will need a lawyer, but that is a good investment to ward off future problems regarding board finances. It will pay for itself. 
 
 
 
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If ask I am always willing to share finances with owner...This information is available at Board Meetings as well. Be sure to insist the Treasurer read finances at these meetings...

A lot of thanks for all your valuable work on this article.