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Idaho, Alabama, and New Hampshire had anywhere from 1,000 to 2,000 homeowners' associations in 2020. The state of Utah held over 3,000 HOAs.
You may have heard horror stories about how an HOA board can be corrupt or overly restrictive. While some HOAs have dishonest members, many want to support their communities.
Still, many people are apprehensive about their HOAs. A lot of nervousness comes from misunderstanding what an HOA board of directors does. Let's clear away the mystery with a list of your neighborhood HOA board's duties.
What Is an HOA Board, and How Is It Structured?
The HOA board is a group of people that run the homeowner's association. The HOA board is a group of volunteers, so they don't get paid for this job.
They can receive compensation for expenses during work. There are usually four core members that comprise the board:
- President
- Vice president
- Board secretary
- Board treasurer
The president oversees HOA meetings and decisions. They have the final say over all decisions. The vice president is second-in-command and works closely with the president.
A vice president's second job is to run things when the president is indisposed. Board secretaries handle all HOA documentation, such as records, and communicate with other board members and residents.
Board treasurers manage the association's money and finances. They're in charge of budgeting and taxes.
HOA Board of Directors Responsibilities
There are three general board member responsibilities. The first is maintaining common areas.
Homeowners are responsible for their home's upkeep. But the HOA board sets covenants, conditions, and restrictions that everyone in the community agrees to uphold.
The board, however, hires contractors to maintain the streets and pavement. They also contact landscapers to care for green spaces.
Managing Finances
Most financial duties fall to the treasurer. But the entire HOA board of directors often cooperates to plan budgets, distribute funds, keep financial records, and pay association expenses.
Choose the HOA Director
There is one other member integral to an HOA board: the manager. Not all HOAs choose a manager, but many find it helpful to have one. An HOA manager is hired (and paid) by the board to manage the association.
The board member's role is to make choices that will benefit the community. HOA managers aren't part of the board but are in charge of daily operations within the association and neighborhood.
Here are some tasks the board may appoint the manager:
- Enforce CC&R violations
- Sending violation notices to residents, managing disputes between involved parties, and following up
- Overseeing architectural work within the community
- Handling maintenance requests from community members
- Maintaining financial records
- Communicating with residents
- Alerting residents of new developments in the HOA and neighborhood
Does Your HOA Need a Helping Hand?
An HOA board exists to make large-scale decisions that help the neighborhood. The HOA manager may run day-to-day operations within the association and among the community.
The manager may be a member of the neighborhood, but a third party, like Property Management Incorporated, can also take over some of those duties.
Our management staff is experienced in handling administrative responsibilities. Contact us, and we'll address your questions and concerns.
