Happy New Year! Hopefully the holidays were filled with nothing but joy and spirit (or spirits!) For some of us, the holidays can bring new or unforeseen challenges in the community association context, whether it be parking problems from all the visitors, frozen pipes from the ice and snow, or the architectural committee playing Grinch and over-regulating the holiday lights and displays.
But whether you sailed down the chimney unscathed, or your community association gave you a lump of coal this Christmas, one thing is for sure – 2019 can be different! Getting in the New Year spirit, here are six resolutions for how to make this the best year yet in your community association.
1. Make a Resolution
Wait, what? Are you talking in circles? The first resolution is to make a resolution?
Actually, yes. Whether you suffered through a dispute, or you are reacting to a new law passed by your legislature, or you had a strange maintenance question, chances are that in 2018 you, the Board of Directors, dealt with something on which your community does not have a specific rule. And believe me, passing a rule that governs the situation in advance makes it infinitely easier for a board to deal with than deciding how to treat it only once it crops up. When an owner shoes up with an application to put in a giant chain link fence with razor wire on top, you want to be able to say to them: “Sorry. Not only are there no other similar fences in our association, but here is our clearly written policy prohibiting chain-link fences.” Case over.
So take a look at issues that might affect your community this year. How will you treat marijuana, medical or recreational? Do you have a policy on renters, or pets? For HOAs, are your architectural guidelines clear and easy to understand, and not subject to multiple interpretations? For a condominium, do you require that owners have leases or HO-6 policies on file with your management?
Take a few minutes. Look into your crystal ball. And decide how you will act on these cases before they hit.
2. Update your Documents
Seasoned community association board members and professionals will know the corollary to number one is this: make sure you have the authority to pass those resolutions in the first place. Bylaws were written back when your community was created, often decades ago. So they may or may not grant you the authority to regulate things like airbnb, or marijuana dispensaries, or Pokemon Go.
But never fear! This is also an excellent time to consider amending those old documents to more accurately reflect the community as it exists today, as well as what you want it to look like tomorrow. When contemplating a document amendment, always keep in mind the vote requirement you will need (it varies by issue and community), whether or not the law allows for your change, and how it will impact the entire community (not just a specific case).
Here is an example: If contemplating changes to parking, determine where the parking power is (Declaration or Bylaws) and if you are a condominium or HOA – these may mean the vote required is 60%, 80%, or some other number stated in your documents. Decide if you can change the rules in the manner you wish – do the documents allow you to assign parking or rearrange locations? Is is permissible under your jurisdiction’s governing statute? And finally, think about why you are making this change. If it is a wholesale parking scheme implemented solely to stop a few owners from parking at a strange angle, then perhaps you want to re-think it.
3. Form Committees
So many times I see boards made up of a small group of people trying to accomplish it all – enforce the covenants, draw up new ones, evaluate vendors, communicate with owners, and more. Remember that the role of the Board is simply to make sure that these things all get done – NOT to do it all themselves! Especially in the era of email and social media (or just using a good old fashioned bulletin board), it is very easy to reach out and find someone who wants to chip in just a little bit. Got an entryway with a sign and small mulch bed? Find that green thumb neighbor to head up the Grounds Committee. Having trouble keeping up with the suggested changes and updates to the documents? Delegate that to your local parliamentarian and the Amendment Committee. Getting bogged down in fence and deck applications? Most documents explicitly provide for an architectural committee. Don’t think that just because you are on the Board, you alone are responsible. Recruit some help.
4. Set Benchmarks and Objective Goals
Every association wants to “save more.” We know you want to “fund the reserves” or “improve collections.” I am all in favor of the Board wanting to “make timely repairs” and “keep up the property.”
But look back on 2018. Can you clearly identify whether or not you hit your targets? Which areas did you thrive in, and which areas missed their mark? Are your contractors performing well, or lagging behind? The only way to know for sure is to set those objective criteria now, and test them as you go!
Now keep in mind that objective criteria must be reasonable, obtainable, and well thought-out. Is “fully fund the reserves this year” possible? Or is a better goal to “save 8% of revenue each month into reserves” more realistic? Instead of telling the attorney: “Collect $X this year,” consider “file liens and suits against all properties over $Y balance and in the office for Z months with no payment or plan.” Do not just hope to repair any known leaks; determine that all roof leaks must be addressed, photographed, and scheduled for repair within X days of reporting.
If you follow this resolution and make these goals, at the end of 2019, what will you have? Reliable, objective, tangible data on how you performed, and where to improve next year. In short, you will have your resolutions for 2020.
5. Learn Something New
Whether you are a long time resident and board member, a new kid on the block, or a weathered professional property manager (or even a witty blogging attorney), one thing is for certain – you don’t know everything. So embrace that and make 2019 the year you utilize some of the fabulous resources out there to learn something new about the community association world. There are webinars and live classes offered by CAI, training offered by local organizations like the Montgomery County CCOC, or more personal and tailored training offered by managers, attorneys, and other business partners. This year, resolve to go outside your comfort zone and broaden your knowledge base.
6. Get Involved!
Regardless of how you do it, whether it be volunteering, attending a meeting, writing an email (or even a letter!), or some other way, it is your community and your home. The decisions being made and the actions being taken will affect you. So resolve in 2019 to be a part of it and help make those decisions great.
Happy New Year everybody!