Role of the HOA Board of Directors

WHAT IS AN HOA?

A homeowner’s association (HOA) is the organization in a community like The Farm at Brunswick that makes and enforces rules for the properties and its residents.

Those who purchase property within an HOA’s jurisdiction automatically become members and are required to pay dues, which are known as HOA fees. HOA’s determine how restrictive members can or cannot be with their properties.

  1. Our homeowner’s association (HOA) makes and enforces rules and guidelines for The Farm at Brunswick community.
  2. HOA members are the residents of The Farm at Brunswick community.
  3. The Farm at Brunswick community requires mandatory HOA membership for individuals who purchase property here.
  4. The Farm at Brunswick HOA is run by a board of directors and collects monthly fees to pay for common area maintenance and the upkeep of facilities.
  5. The Farm at Brunswick HOA will impose fines on noncompliant homeowners.

HOW HOA’S WORK

Homeowners’ associations are usually formed within communities or neighborhoods of single-family homes or multiple-unit buildings, such as townhomes. An HOA is typically established to make and enforce rules regarding the properties within the community.

HOA’s are composed of and run by the community’s residents. Membership is a requirement to buy a home within a community where an HOA has been established.

Our HOA has a board of directors who are elected to enforce and oversee the HOA’s rules and regulations. The rules are restrictive covenants and are published in a document called the Declaration of Covenants, Conditions, and Restrictions (CC&Rs). CC&Rs set certain conditions for homeowners about the maintenance of their properties.

These conditions sometimes include structural restrictions, such as the type of fences or landscape allowed, but they may also include more minor aesthetic choices like the color of paint on a house.

The CC&R document also outlines penalties for violating the guidelines set forth in the agreement. These penalties can take the shape of fees or forced compliance. In some cases, it can even be as drastic as litigation.

HOA FEES

HOA’s wield significant financial and legal power over property owners in their community. They collect monthly fees that depend on several factors, including:

  1. Type of property
  2. Number of properties in the group
  3. Location
  4. Amenities offered
  5. Operating expenses

HOA fees also contribute to the association’s reserve fund, which is set aside for major renovation projects or emergency use. In addition to regular fees, HOA’s can also impose special assessments on homeowners when the association lacks sufficient reserves to pay for unexpected repairs on common areas.

The elected board is responsible for the HOA’s finances. As such, it oversees the collection and management of fees. Along with setting dues and assessments, the board can assess fines on homeowners who break rules or damage common areas. In addition to imposing penalties, HOA’s can also place a lien on a property if a homeowner falls seriously behind on their dues.

WHAT PURPOSE DOES AN HOA BOARD SERVE?

Homeowners' Associations play a pivotal role in shaping the communities they oversee. At the heart of every HOA is its board of directors, a group of individuals entrusted with the responsibility of making decisions that affect the entire community. However, being an HOA board member is not merely a title; it comes with a set of duties, responsibilities, and ethical considerations that require careful attention and dedication. 

DUTIES AND RESPONSIBILITIES OF HOA BOARD MEMBERS

At the core of their role, HOA board members are tasked with upholding the best interests of the community they serve. This overarching duty encompasses a multitude of responsibilities.

  1. Fiduciary Obligations
    Central to the role of an HOA board member are fiduciary duties, which require acting in the best interests of the association and its members.
  2. Financial Management
    Effective financial management is crucial to the stability and long-term viability of an HOA. Board members are responsible for:
    1. Budgeting
    2. Assessments
    3. Reserve Fund planning
  3. Administrative oversight
    HOA board members oversee the day-to-day operations of the association, which may involve:
    1. Hiring and supervising property management companies
    2. Enforcing rules and regulations

POSITIONS AND RESPONSIBILITIES OF THE BOARD OF DIRECTORS

President
The President serves as the leader of the board, presiding over meetings, setting agendas, and representing the association in official matters. Presidents often act as the primary spokesperson for the HOA and may oversee special projects or committees. The position of President is an elected 2-year term.

Vice President
The Vice President assists the President and assumes their duties in their absence. They may also take on specific responsibilities delegated by the President or the board, such as overseeing committees or coordinating community events. The position of Vice President is an elected 2-year term.

Secretary
The Secretary is responsible for maintaining accurate records of board meetings, including minutes, agendas, and official correspondence. They ensure that the association's documents and records are properly organized and accessible to board members and homeowners. The position of Secretary is an elected 2-year term.

Treasurer
The Treasurer oversees the association's finances, including budgeting, financial reporting, and management of reserve funds. They work closely with the board and management to ensure transparency and accountability in financial matters. The position of Treasurer is an elected 2-year term.

Director At-Large
The Direct at-large breaks the tie when the board votes. An odd number is required and the Director at-large is one of those 5 votes. The Director at-large may also take on specific responsibilities delegated by the President or the board, such as overseeing committees or coordinating community events. The position of Director at-Large is an elected 2-year term.

CURRENT ELECTED MEMBERS OF THE HOA BOARD OF DIRECTORS

President
Louis Howe

Vice President
Bruce LoBuono

Secretary
Jeannette DAbbondanza

Treasurer
Margaret "Peg" Smith

Director-at-Large
William Bullock