Declairative HOA Board
I belong to an HOA with 330 home lots. It has been a declarative Developer controlled HOA since it began. Several things are in question.
The Board consists of two developers. There was a director-President who is a resident that resigned last annual meeting. I was appointed by one of the Board members to replace the outgoing President. I was in the position and taking over trying to get some of the limited HOA responsibilities worked on. As part of that I asked for detailed information on our finances.
The HOA management company was not very cooperative but I continued to try to get a handle on the money since we need to coat the streets which are in need of care, and indicated I was going to expect more detailed information in the future.
Without notice one of the developer board members sent me a letter thanking me and saying my services were no longer needed. He sent the HOA company an email saying my position had been terminated. First is that action acceptable in AZ?
2nd shouldn’t there be an actual board that has meetings that we can attend and have access and input into the operation of the HOA. The developer board raised our dues last year when we have a large surplus of funds in our account and reserves.
3rd We have reached the 95% point in lot control that the developers no longer control the vote. How do we residents go about taking control of the HOA and setting it up with our Board to become a resident controlled HOA.
Thanks.
Bob Applegate
About Post Author
1 Response
Leave a Reply
You must be logged in to post a comment.
Bob,
Under the period of declarant control the declarant has the power to appoint or remove all board members without any vote from the members. You want to look closely at the terms in your CC&R’s relative to Declarant control or sometimes referred to as class B membership.
As for board meetings under the current law there is a conflict that one one place requires that all meeting of the board are open and in two other places eliminates the open meeting laws during the period of declarant control. My meeting bill would have fixed that and required the open meeting laws to apply irrespective of declarant control.
The declarant is as subject to the requirement that he wrote into the CC&R’s and if your period of declarant control the declarant is required to turn over control of the association to a board of directors elected by the members. I once again proposed legislation that would have codified that into law for planned communities. it already exist in condominiums.
Dennis