I'm in Michigan. The only thing the petition was for was to call a
special meeting, and we followed the guidelines which says this is
allowed in the bylaws.
I agree the board had the legal power to pass the assessment off in the
budget, but a meeting can be called to 1) amend the bylaws (so that
can't raise the budget to whatever they want, for example) or to 2)
recall board members. We haven't even gotten that far.
Why would that matter? The meeting could be for anything.
That's the plan. The contract is not yet signed.
I'm in Michigan, and have had trouble finding laws regarding my state.
The point I tried to make is that a petition is probably irrelevant to
the legal process for the meeting. The petition publicizes the issue,
and the signatures tell you who supports your plan. The actual meeting
- if you were in Florida - has to be announced in a particular format,
including agenda items, and the notice has to be given a minimum time
(two weeks?) prior to the meeting. Recall of board members may also
require votes of more than a majority of owners, allow or disallow
Just on the face of what you have written, and not having seen the
place, I would be inclined to bite the bullet and go with the repairs
vs. buying into a divisive issue and bad blood for years. That opinion
formed by living with deadbeats who own million dollar boats but would
let the condo fall down around them rather than make needed and
appropriate repairs. I also have the experience of being assaulted by a
loonie board member who perceives board membership as a license to do
anything to anyone. If you have a close split and a bunch that doesn't
want to spend money on anything, you may wind up 1. on the board, 2.
having owners attracted who do not want to maintain the place and run it
into the ground. Our assn. has about half who don't want to do
anything, has had speculators come in, get on the board, vote for their
cronies and flip the property for more than 100% profit. The owners who
give a damn wind up doing roof repairs themselves. I kid you not! Good
I looked around a bit on the Michigan.gov website, and found a statute
pertaining to condominiums but not one specific for HOA's, here:
Your documents might refer to a specific statute.......have fun :o)
What do the state statutes say?
I live in Arizona, I was on an HOA board for 6 months. Arizona law says that
the HOA board can raise the dues in any calendar year 20 % with out home
owner participation. The board decided to ignore run away costs even when
there were proposals to cut and control the costs. Cost $5k a month to mow
the lawn and dress the landscaping. And the water bill was $6k a month
through the summer months. The management company employed by my ex
residence spends a lot of money training the board member on how to become
brain washed into their thinking. They see nothing wrong with a 20% forever
increase in dues. It keeps the property values up, which it does.
Find out what the statutes are follow them. Look at the last two years
financial statements. Look for something like a "legal fund". If there is
over $100,000.00 in that line item you better find an attorney, cause they
are ready to fight. Where I lived there was less than $20k in the legal
fund. Not so interested in fighting. Importunely your likely to find the
board is mere puppets for the management company. Where I lived 20% of the
220 homes were having trouble paying the dues. 7% were more than $500 in the
rear, that is more than a year. I protested the 20% and was told by the pres
and the others that the costs would force out the people who could not pay
and get ones that could. Unfortunely the tables turned on them, the people
like me that sold the new owners made them rentals.
Rentals were less than 6% when I bought in, more than 12% a year later.
God bless, cross the "i's" and dot the "t's". Perfect is acceptable, you
have a very bumpy road ahead. Make no mistake the management company will
fight you with your own money.
Where I live, there are two boards. The first one is the HOA board,
which is responsible for doing little things like the annual block
party, etc., and they get the proceeds from the annual HOA dues to fund
The second is the board of Trustees for the SID (Sanitary Improvement
District), and they are responsible for things such as streets, sewers,
parks, etc. Their vastly larger budget comes in the form of property
This probably varies in your area, but just thought I'd mention it so
you don't go shouting at the wrong folks.
HomeOwnersHub.com is a website for homeowners and building and maintenance pros. It is not affiliated with any of the manufacturers or service providers discussed here.
All logos and trade names are the property of their respective owners.