What are the most important Arizona statutes regarding community associations and how can I get copies?
The Arizona Revised Statutes that govern planned communities are listed below:
- ARS Sections 33-1801 through 33-1808 (Planned Communities Act).
- ARS Sections 10-3101 through 10-11702 (non-profit corporations).
- ARS Sections 33-439 (solar energy devices).
- ARS Sections 41-1491 through 41-1491.37 (Arizona Fair Housing statutes).
- ARS Sections 12-1361 through 12-1366; 12-552; 33-2001 through 33-2003 (construction defects).
Click here to review these online.
In January, the association raised my monthly fee by 10%. Why did they increase my monthly fees if they had a profit of $15,000 last year? Can the association increase fees without homeowners approval?
In response to your first question regarding the net profit for 2006, this is a question only the board can answer. It's best to make an inquiry at the next board meeting. As for the authority to increase the annual assessment rate, according to the CC&Rs Article 6, Section 6.3, the board can increase the annual assessment up to 10% without a vote from the homeowners.
I'd like to paint my house using one of the newer colors I've seen in other communities. Who do I see about this?
At the May and June 2007 meetings, the board announced they are exploring this option and will send residents a questionnaire in the near future.
My neighbor has an awful backyard. What can I do?
Meet with your neighbor to discuss your concerns. If this is not possible, contact the City of Chandler Neighborhood Services Unit at 480-782-4532 for assistance.
I rent a home in this community. Am I permitted to attend the HOA meetings?
Absolutely! Although only homeowners can vote on issues, you are welcome to attend the meetings. As a tenant, your landlord should provide you with a copy of the community's governing documents. If you do not have a copy, click here.
I notice dogs running through the park without a leash, isn't there an city ordinance for this?
Yes. The City of Chandler has a leash law. Dogs may not be loose unless they are being used for livestock control or hunting. In Chandler, dogs outside of the residence must be in a suitable enclosure or confined on a leash no longer than six feet in length. Leash laws are enforced by the Maricopa County Animal Care & Control office at 602-506-7387. Any dog at-large may be impounded for a violation.
What can I do about my neighbor's barking dog?
It is unlawful for dog owners to harbor a dog which barks or howls on a consistent basis and disturbs the peace of neighbors. Chandler police should only be contacted about barking dogs if the barking persists on a continual basis for no apparent reason. Dogs barking intermittently between the hours of 6 a.m. and 10 p.m. are generally not deemed a problem. The Chandler Police Department suggests residents with concerns about barking dogs first contact the owner to resolve the matter. If you need to report a barking dog, call Chandler Animal Control at 480-782-4130.
The minutes for the board meetings do not identify how each member votes on issues. How do we know who to vote for in an annual election if we do not know how individual board members vote on issues?
Since homeowners are essentially stakeholders in the association, they should have direct access to all books, minutes, and voting records of the board.
What recourse do I have with our HOA's practice of selective enforcement? It appears that I'm getting violation notices while they overlook violations of other homeowners.
If you believe there is selective enforcement, you may want to consult an attorney and get a written opinion to present to the board. Click here for information on handling disputes.
I was very concerned to learn that the HOA did not pay property taxes and file tax returns for the last four years. Who is responsible for this and how can we prevent this from happening again?
The ultimate responsibility belongs to all members of the board but primarily to the President and the Treasurer. It's the responsibility of the President and the Treasurer to oversee the financial aspects of the association. The board cannot transfer its fiduciary responsibility to a community management company.
All board members are required to comply with the governing documents and federal and state laws.
Not to do so is a breach of contract and a breach of fiduciary responsibility. Simply put, the Bylaws and CC&Rs are contracts between the association and the homeowners. Homeowners agree to comply with various rules and pay monthly assessments. The association agrees to act in the best interest of the community. Beware of those that neglect their fiduciary responsibilities. Once trust is compromised, the board is forced to explain each and every action.
Homeowners also bear some responsibility and have an obligation to attend meetings, ask questions, and become "informed homeowners." Out of 128 homes in the community, only five homeowners are in attendance at the monthly meetings (not counting board members). Homeowners can make a difference by attending board meetings and being informed voters at the annual elections.
What can be done about cars running the stop sign at Holguin and Weatherby? This creates a dangerous situation for residents and especially children crossing the streets.
This is a potentially dangerous situation. According to the official minutes of the association meetings, this situation was brought to the board's attention by residents over the past few years. There doesn't seem to be any documentation showing what action was taken, if any. Your only other alternative is to contact the City of Chandler regarding this problem.
What can I do with large items that won't fit into my trash container?
Chandler as a FREE curbside bulk materials service available twice a year for residents. Chandler will collect bulk materials right at your curb. If you would like more information on scheduling a free bulk collection, call the Solid Waste/Recycling hotline at 782-3510 or click here for more information.
How do I find out about what my HOA is doing?
First, you have a statutory right to request the records of your HOA. Click here for more information. Second, you can also learn about liens filed by the HOA by checking the Maricopa County records Web site. Click here for these records. Type in the business name, Sienna Heights and then select the dates January 1, 1999 to present and click search. You should see a list of liens filed against homeowners in this community. If you've had legal action taken against you by the HOA and you've brought your account current, check these records to make sure the lien has been removed.
Is it okay if I just stop paying my assessments to the HOA?
Please do not try this tactic. The HOA has legal weapons that you do not have. You could lose your home or end up paying many times the amount due. Do you want to risk your home or your savings in such an unfair fight? We do urge you to fight abusive situations, but the best tactic is to reclaim your HOA by electing a caring and responsive board.
What is the normal period of time it should take for the community manager to return my phone calls and respond to my emails?
Twenty-four hours is a reasonable response time under normal circumstances. Even if the manager is out of the office for several days, there should always be someone else in the office to take care of the manager's communities in their absence. Should a question require legal input or a search of records, two to three days should still be sufficient for an answer.
How much authority does the president of the board have? Can they arbitrarily withhold routine reports from the Board of Directors members? Can they legally direct legal counsel from dealing with anyone but the president?
Many people are confused about or simply do not understand the authority of an officer (such as President, Vice President, Treasurer, etc.) versus the authority of a single Director or the Board of Directors. The normal misconception is that the President of a community association has all sorts of power and authority not shared by the other Directors on the Board. The President does not have authority over other Board members and the President does not "run" the Board.
The Board of Directors as a whole is the entity that carries all of the important powers. The entire Board makes decisions and creates policy for the association. Normally, the officers (President, Treasurer, etc.) are elected by the directors, and they serve at the discretion and direction of the entire Board. Each officer's powers are limited by what decisions and tasks the Board has set for that officer to perform. The President is a director and only has one vote on the Board of Directors, the same as any other director.
Therefore, a President does not have the authority to instruct an attorney to deal only with the President. Instead, that should be a decision made by a vote of the required majority of the Board. In fact, any decision by, for the benefit of, or on behalf of, the association is made by a majority vote of the Board.
The President is the liaison with the community management company and does have signature authority for contracts that are approved the Board. The President does not have the authority to enter into contracts for the community without Board approval.
It is very rare that the President has some greater authority to go against what the other Directors want and it is likely that your President has overstepped his/her authority in taking unilateral action without the approval of the entire Board.
I'd like to pay my monthly assessment with a credit card. Is this possible?
Some management companies accept credit card payments. Unfortunately, Premier Community Management, Inc., currently under contract to the association, is not set up to accept credit card payments.
When was the last time we had a reserve study?
The only time the community had a reserve study was in 2001. The Board is responsible for having the study updated every two to three years. However, it was voted down in 2003 and 2006. The Board made the wise decision to update the study this year and it's in the process of being finalized. Every homeowner should demand that this study be updated every two to three years. If not, it may adversely affect the sale of your home. Arizona law requires the HOA provide a copy of the updated reserve study to all new homeowners.
It's important to have the study updated so that we know the current market value of our community assets and so that we can determine if we are contributing enough money to the reserve account to cover the cost of any major repair or replacement of these assets.
Why is the Board trying to remove one of their members? What did he do wrong?
Apparently, the Board wants to remove one of their members because he asked to review HOA documents. The Board voted, in Executive session, not to allow him access to these records. As a result, he obtained legal advice that confirmed his right to review the records.
Arizona law protects homeowner's and Board member's rights to review HOA documents. Arizona wants to ensure that all business of the HOA is open to the community and especially to Board members since they have to make their decisions based on the best information available to them. In addition, according to the Arizona Revised Statutes, a request for HOA records does not meet the criteria for discussion in the Executive session.
Action by any Board to remove a fellow board member is a drastic step that should be reserved for a serious moral or ethical breach of duty. Perhaps there was a more professional way for the Board to resolve this situation. The Board must realize that they set an example for the community. Unfortunately, they did not live up to their potential in this case.
The May HOA newsletter stated the Board spent $7,000 of our money on legal fees. I don't understand why better decisions couldn't have been made on our behalf.
The Board should strive for the common good of the homeowners and avoid actions that divide the communiity. They must act in good faith, exercise honest judgment, base decisions on the best interests of the community, and perform in an informed prudent manner. The Board should consider alternative courses, avoid conflicts, and costly legal actions. Is it wise to spend $7,000 of homeowners funds in order to keep another Board member from seeing association records? This is a question that each and every homeowner must ask themselves. It's your money. How do you want it spent?
I've been meaning to write in since the special meeting in April but just now got the chance. I think what the Board did is disgusting. It sends a clear message to the rest of us that we'd better not buck the board. I voted not to remove Mr Wilson and I'm sorry that he was subjected to this type of bullying by the board. I just hope he doesn't file a lawsuit.
I'm sure that Mr Wilson will appreciate your kind and supportive words.
I agree with the previous post wholeheartedly. The people on our Board should have done a better job in this situation. I stopped going to board meetings years ago because I didn't like the negative attitude of the board members.
Unfortunately, the only way to change this is to replace the Board. The elections are in August at the annual meeting. It's an excellent opportunity to elect homeowners that will truly work in the best interest of the community.
One of the board members moved out of the community over a year ago and their house is in foreclosure. Is this person still eligible to be on the board?
No. Once the title transfers to the foreclosure company, this person is no longer considered an owner and cannot serve on the board. The Board should ask for their resignation immediately and comply with the Bylaws and the CC&Rs.
Should committee meetings be open to the community?
Absolutely! The Arizona Revised Statutes states, "All meetings of the association and the Board are open to all members of the association." When the association conducts closed meetings, they are in violation of A.R.S. 33-1804.
Must the Board report all of its spending in the financial reports? My Board has not fully accounted for several large expenditures.
Yes. Each board member has a fiduciary responsibility to ensure that all income and expenditures are reported in the HOA's financial reports and made available to the homeowners. After all, the money belongs to the homeowners and the Board is accountable to the community.
The board is accountable to the community since they are managing homeowner's funds. If you believe that your board has not accounted for all expenditures, you can address the issue with the board and press for a financial audit (not a compilation). An audit will reveal financial discrepancies. The board is obligated to investigate and resolve the discrepancies. Not to do so is a breach of their fiduciary responsibility and gives the association a bad name.
Does the President control the board. I thought each board member was an independent representative for the community. Can the President tell them what to do?
No. The members of the board are independent representatives for the community and are charged with two principal functions: decision making and oversight. They are not employees and therefore do not take direction from the President.
Board members are required to make decisions in good faith and with the degree of care that an ordinary person would use under similar circumstances. Each member has a responsibility to examine and evaluate each issue before them and determine whether or not it is in the best interest of the community and will protect property values. Board members are required to act when they see a potential violation of law and failure to take action may result in liability for breach of duty of oversight.
Any President that expects to "run or control" should be removed from this position. This type of behavior is unprofessional, unethical, and should not be tolerated by other board members.
