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Community Management Contract is Proprietary?

Hi all. I’ve just recently found this site and absolutely LOVE all of the information on it. Over the past year, I’ve gotten as involved as I can with our HOA and I’ve been more than a bit disturbed by the lack of transparency, the failed commitments, and the falsities that are coming out of our association. I’m currently running for a position on our HOA board and our community management company is none to happy about it. I had requested to review the contract our association has with this company and was told that it was not available for my review (as a homeowner exercising her rights under A.R.S. 33-1805) because it is proprietary information. Can anyone tell me if that’s a valid reason to refuse my request? Thanks!

3 Responses

  1. dennisl

    Amy,

    Any signed contract by the association is a record of the association. During bid proposal reviews each proposal is proprietary and confidential but once the association decides on a vendor and sign a contract it is a record of the association subject to records request. Far too many board members fail to actually read their own contracts with community managers and failing to do so is in my belief a breach of fiduciary duty to their community. Place you records request to view the contract and the association. And it’s agent has 10 business days to provide you access to that record or they violate the law. File a petition with ADRE on this violation of law to force the association to provide that record.. compliance with the law is not optional..
    Dennis

  2. Karen Rossmann

    Community managers should be treated like any other vendor to the association same as the pool guy and trash collector. These people like to supersede the board with their importance and never seem to work on behalf of the association, only who they want to support on the board. They aren’t even licensed or have any oversight in AZ. They aren’t like property managers who have to be licensed by the ADRE.

    1. DennisL

      Karen
      You are absolutely correct. Boards have to remember that the community managers work for them and not the other way around. To assume that the community manager knows anything other than how to keep the books and pay bills or keep records is a bad assumption by any board. When it comes to advice on how to run the community you would be better off listening to trained monkeys. The responsibility to treat members fairly and to act reasonably relative to rule making and enforcement and fiscal responsibility belongs to the board alone and they cannot and should not abdicate that responsibility to un-licensed community managers. I have never been an advocate for the licensing of community managers mostly because in the states that do have licensing requirements the homeowners are no better off than in states that do not. The issue is when a state decides to licensing community managers organizations like ACCM and CAI get to right the rules for themselves that simply legitimize their incompetence. My preference has always been to better inform board members of their responsibility to manage the community managers. I’ve not found one community management company in this state that is any better than any other. The only hope communities have is how their boards control their community managers and make them do and act as they want their community to be managed. When this happens any community manager will do. The boards are accountable to the members of their community and need to be held accountable for their actions. The community managers have absolutely no accountability to the members of the community.
      Dennis

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