Who Are The HOA Board Of Directors?

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The HOA board plays an important role in the continuous operation of a planned community or condo development. But, what are the specific roles and responsibilities of this board?

What Is an HOA Board?

Homeowners associations are governing bodies formed within communities whose members consist of homeowners or residents. These associations are responsible for a number of things, including but not limited to common area maintenance, dues collection, and rule enforcement. And the people calling the shots and working behind the scenes of these generally faceless organizations are called the HOA board of directors.

Board members don’t rise to power on their own. Homeowners in the association elect their neighbors to the board. How long each member serves on the board will depend on the governing documents of the association. Typically, the bylaws outline the terms of office, including candidate qualifications and term limits.

What Are the Duties of HOA Board Members?

Because the board acts as the leaders of the community, they naturally have responsibilities to fulfill. These HOA board responsibilities can vary in some ways, but they generally include the following:

  • Oversee and maintain the common areas of the community
  • Manage the finances of the association
  • Plan the annual budget
  • Maintain the reserve fund and ensure it remains at a healthy level
  • Understand the governing documents of the association
  • Enforce the rules and covenants of the community
  • Adopt and enforce new rules as necessary
  • Hire and manage vendors
  • Calculate and collect dues and assessments
  • Organize community events
  • Ensure the association remains in compliance with federal, state, and local laws
  • Develop an emergency preparedness plan
  • Resolve homeowner issues
  • Communicate with residents
  • Keep association records and make them available to homeowners

You will find the exact roles of the board and the extent of its powers outlined in state laws or the governing documents of the association.

Individual HOA Board Member Responsibilities

While the board itself acts as a united body, it is composed of different roles and positions. These can include but are not limited to the president, vice president, secretary, and treasurer. Each of these positions comes with its own HOA board member duties.

President

The president is the head honcho of the HOA board. Because of the nature of their responsibilities, the president must have strong leadership and communication skills.

In a homeowners association, the president:

  • Acts as the presiding officer at board or annual meetings
  • Facilitates interactions within the board and outside of it
  • Functions as the liaison between the board and the management company (if applicable)
  • Helps prepare the meeting agendas
  • Plans the annual budget alongside the treasurer
  • Co-signs all checks with the treasurer
  • Signs association documents and contracts
  • Appoints and heads committees
  • Calls for votes

Vice President

Much like in other organizations, the vice president’s role in an HOA is to support the president. As such, if the president is indisposed, the vice president steps in to make sure the association continues to run smoothly. This means the vice president should know how to handle all of the president’s duties listed above.

In addition to the president’s responsibilities, an HOA vice president also:

  • Serves as the liaison between the board and the committees
  • Helps secure bids from potential vendors
  • Assists in the decision-making process of the board

Secretary

The role of a secretary in a homeowners association is an important one. Due to the nature of their responsibilities, a secretary must be organized, a good communicator, and meticulous.

In a homeowners association, a secretary:

  • Prepares and sends notices to all members of the association (including meeting notices, violation notices, delinquency notices, and the like)
  • Helps prepare the meeting agendas
  • Takes the minutes of the meeting
  • Keeps all association records in an organized and systematic manner
  • Updates the community website with important information
  • Writes and sends newsletters (if applicable)

Treasurer

When it comes to all things financial, the treasurer is the one to call. Since the treasurer mostly handles the association’s money, they should be detail-oriented, methodical, and trustworthy.

In a homeowners association, a treasurer:

  • Plans the annual budget with the president
  • Calculates and collects homeowner dues and assessments
  • Issues timely payments to vendors
  • Co-signs all checks with the president
  • Helps create the association’s investment plan
  • Keeps accurate financial records
  • Prepares financial statements and reports
  • Maintains the reserve fund and ensures it remains at a healthy level
  • Assists with an audit of the association’s records
  • Develops collection methods for delinquent accounts

Do HOA Board Members Get Paid?

The job of a board member can be challenging. More often than not, board members have to juggle their HOA responsibilities with their personal and professional lives outside of the community. As such, the question of receiving compensation for their work frequently comes up.

In general, though, HOA boards do not get paid. Board members are homeowners who volunteer to serve the association in a leadership capacity. Additionally, board members don’t get perks or benefits. They pay dues and follow the rules just like any other homeowner.

Serving on the Board

The lack of compensation, coupled with the responsibilities of the HOA board, can definitely turn some homeowners off from the idea of serving. But, joining the board is one of the best things you can do for your community. If you want to make a difference in your association, taking on a leadership role would certainly be a step in the right direction.