AZHOC - Arizona Homeowners Coalition
Voice for homeowner rights and justice.
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Ammendments

Hi Dennis, I am a homeowner in a small HOA community. (60 homes) Our new board of directors is being driven by an over zealous and self serving community manager which has resulted in a...
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Records request

Dennis, At the start of every month, I put in a request to see the CHECK REGISTRY for the prior month. For months now, our Community Manager (CM) has been cooperative, providing it to me...
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Mr.

My HOA CCRs state maximum 5% increase in assessment dues. For next year they have increase by 8.2% due to the Consumer Price Index (CPI). They state this is permitted by law. My Question is:...
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HOA Questions

Our HOA Manager has said the HOA will be turned over to the homeowners in 4 years. Nothing they have told us to date has been factual. There is always something lingering. Since this announcement,...
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  • From Dennis Legere on Denied Access to Inspect the Books and Records of the Non-Profit HOA Corporation

    Lora,
    I cannot tell you how many times I hear similar stories from homeowners from across this state. Existing law that for any contract that clearly represents a conflict of interest of any board member they must declare that conflict prior to the discussion and vote by the board. If they fail to declare the conflict of interest it nullifies any contract put in place without that declaration. Current law already requires the association to provide access to any association record within 10 days of that request. All invoices from contractors are association records. Get the minutes of the meeting where the board awarded the contract for landscaping to a company owned by board members. If no record of a declared conflict of interest by the affected board members exist in that official record of the meeting , you have a legitimate cause for action. I would definitely petition the ADRE in the dispute resolution process on the two separate and specific violation of law. ($1,000).

    If you want to go in that direction, contact me separately at azhoatruth@gmail.com and I’ll help you frame the petition, the choice of which avenue you take is yours alone. You can pay $500 per issue with ADRE or $350 to $400 per hour for an attorney to file a claim in Justice or Superior Court.

    I’ve introduced legislation this session SB-1387 to strengthen the conflict-of-interest laws and provide for the duties of the boards to their communities.
    Dennis

    Go to comment
    2023/02/02 at 2:26 pm
  • From Rhonda Wakai on Who can see signatures?

    Thank you!!

    Go to comment
    2023/01/31 at 2:53 pm
  • From Dennis Legere on Who can see signatures?

    Rhonda,

    Any petition no matter what for is not secret and can and must be viewed by the board to confirm the eligibility of the signatures. Nothing stops the board from contacting any signee but if they try and intimidate that individual, they violate their duty to the association. To treat all homeowners fairly.
    Dennis

    Go to comment
    2023/01/31 at 1:20 pm
  • From Dennis Legere on Full Financial Audit

    Todd,

    As a member of the Board io hope you understand that the Management company works for you and not the other way around. The management company has no right to defy any direct action by the board and by doing what they did would raise some significant concern over what they are trying to hide by their actions. Obviously, you had some reason for concern that is simply reinforced by the action of the management company. Audits are expensive but not mandatory and totally at the discretion of the board alone. The management company can either do what the board requested or be fired. Nothing else matters. Your contract with them can be terminated with or without cause but , insubordination is surely cause for termination. They can either arrange for the forensic audit immediately or be fired.
    Dennis

    Go to comment
    2023/01/31 at 1:17 pm
  • From lisam on Which board members should have access to email account user name and passwords?

    Do I have to give all board members the user name a password to all accounts, like electric, water, corporation commission, etc.?

    Go to comment
    2023/01/18 at 2:43 am
    • From Dennis Legere on Which board members should have access to email account user name and passwords?

      Lisam,
      Sorry I did not understand that part of your question. Accounts like this are association accounts and at least two current board members should have access to those accounts, to protect the association. If something happens to you and no-one else has access to these accounts, then the association would have a hard time re-establishing a new account. As with signature authority for association financial accounts you have to reassign that authority or change passwords if board members with access to those accounts leave the board.
      Dennis

      Go to comment
      2023/01/18 at 6:17 am
  • From Dennis Legere on Which board members should have access to email account user name and passwords?

    Lisam,
    What you did was a very smart move on your part, to separate your personal email account, from your association account. It protects your personal account from being subpoenaed in any litigation against the association. You have absolutely no obligation to provide the rest of the board with the username and password to that account. If they want to see anything in that account, you can send it to them if appropriate. I would advise any board member to only communicate via e-mail on an association only account.
    There are systems with shared e-mail accounts where everyone can see all the correspondence on that account. Each has a separate log in , but all share the same account.

    Dennis

    Go to comment
    2023/01/17 at 10:47 pm
  • From Priscilla Tramontana on Sub-HOA

    Thank you, Dennis. I probably did not make my question clear. Our CC&Rs currently do allow for a sub-association to be formed. I am wondering if we, the newly formed sub-association, would have the option to choose our Property Management Company, or could the master association force us to use the Management Company used by the master association?

    Go to comment
    2023/01/17 at 8:55 am
    • From Dennis Legere on Sub-HOA

      Priscilla,
      This situation is very rare and nothing in law addresses it. As I stated earlier as a separate entity you are free to choose the management company of your choice. All of this will depend on exactly how your CC&R’s are written. To even have this option available in the CC&R’s is also very rare and unusual. If you send me a copy of your CC&R’s to the e-mail address on the web site, I’ll look them over and give you the appropriate feedback.
      Dennis

      Go to comment
      2023/01/17 at 11:04 am
  • From Dennis Legere on Sub-HOA

    Priscilla,

    To accomplish what you are considering, if I understand you correctly, you will need to amend your CC&R’s to allow this separation. This will require the general approval of the specified number of owners in the master community (typically 2/3of all owners) and 100% of the owners in the new community under current Arizona law. This clearly is not an easy task. If you are able to achieve this, then you will be free to choose any community manager that you want.
    While I’m not sure what and why you are trying to do this, I sure hope that you have hired an attorney to help guide you thru this process. I’m not aware of any community that has ever succeeded with such an effort. Maybe you should first look to understand why you are even considering such a move, and if that move will be any better than what you currently have. While the grass may look greener on the other side it seldom actually is. You will still be an HOA with a board and CC&R’s and will still be subject to the master association in some way.
    If your issue is that you do not like the community manager, the right way to fix this is to address it with the board and if they do not fix it then recall and remove the board members and replace them with board members that will properly manage the community managers or replace them.
    Dennis

    Go to comment
    2023/01/17 at 8:27 am
  • From Dennis Legere on Election Campaigning

    I know of no pro-bono attorneys willing to represent homeowners. The ADRE process is still cheaper than any other type of legal challenge. Unfortunately the courts are the only option for homeowners to enforce the law, and there is no state agency that oversees thes communities.
    Dennis

    Go to comment
    2023/01/15 at 4:44 pm
  • From Dennis Legere on Election Campaigning

    Ann,
    Your association’s rule is invalid because it clearly violate state law. Any homeowner can campaign door to door on any political activity including association specific political activity. This would also apply to any common property of the association. Limitations may be OK for non-residents campaigning for general political activity but not for residents, for any reason.
    Dennis

    Go to comment
    2023/01/15 at 4:40 pm
    • From Ann Stone on Election Campaigning

      Thanks for your response, Dennis. The association allows door-to-door solicitation, but during the Meet the Candidates board meeting they advised homeowners to post “no solicitors” signs on their front doors. The GM has already warned one candidate to stop having conversations on association property without officially reserving a meeting room, per the governing documents. If we don’t get new board members this election, we will be forced to go the AzDRE. This is one of many problems we are dealing with from our overly controlling board members.

      Go to comment
      2023/01/17 at 12:31 pm
      • From Dennis Legere on Election Campaigning

        Ann,
        I’m sorry for your situation. I try very hard to enact legislation that is clear, but I cannot control what attorneys tell these board or make any of these board comply with the law. Work to get a new board. hopefully you will get someone that takes their responsibility to the community seriously. My top priority legislation this year is one that establishes the responsibility of the board to comply with the law, and to treat members fairly.
        Dennis

        Go to comment
        2023/01/17 at 1:19 pm
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