Updated Surplus Numbers

Updated Surplus Numbers
Updated Surplus Numbers: Actual surplus 2018 per audit was $85,163.
Boards 2011-2018 implemented policies and procedures with specific goals:
stabilize owner fees, achieve maintenance objectives and achieve annual budget surpluses.
Any surplus was retained by the association.
The board elected in fall 2018 decided to increase owner fees, even in view of a large potential surplus

Average fees prior to 2019

Average fees prior to 2019
Average fees per owner prior to 2019:
RED indicates the consequences had boards continued the fee policies prior to 2010,
BLUE indicates actual fees. These moderated when better policies and financial controls were put in place by boards

Better budgeting could have resulted in lower fees

Better budgeting could have resulted in lower fees
Better budgeting could have resulted in lower fees:
RED line = actual fees enacted by boards,
BLUE line = alternate, fees, ultimately lower with same association income lower had
boards used better financial controls and focused on long term fee stability

Monday, November 23, 2009

Model Code of Ethics for our Board Members

Here is the "Model Code of Ethics" which was affirmed by the board members who were present at the November 12th meeting. It is from the CAI, reference 1, and I include a comment at the end of this post.


Model Code of Ethics for Community Association Board Members


This model code of ethics is not meant to address every potential ethical dilemma encountered by a community association board member, but is offered as a basic framework that can be modified and adopted by any common-interest community.

Board members should:

  • Strive at all times to serve the best interests of the association as a whole regardless of their personal interests.
  • Use sound judgment to make the best possible business decisions for the association taking into consideration all available information, circumstances and resources.
  • Act within the boundaries of their authority as defined by law and the governing documents of the association.
  • Provide opportunities for residents to comment on decisions facing the association.
  • Perform their duties without bias for or against any individual or group of owners or non-owner residents.
  • Disclose personal or professional relationships with any company or individual who has or is seeking to have a business relationship with the association.
  • Conduct open, fair and well-publicized elections.
  • Always speak with one voice, supporting all duly-adopted board decisions even if the board member was in the minority regarding actions that may not have obtained unanimous consent.
Board members should not:
  • Reveal confidential information provided by contractors or share information with those bidding for association contracts unless specifically authorized by the board.
  • Make unauthorized promises to a contractor or bidder.
  • Advocate or support any action or activity that violates a law or regulatory requirement.
  • Use their positions or decision-making authority for personal gain or to seek advantage over another owner or non-owner resident.
  • Spend unauthorized association funds for their own personal use or benefit.
  • Accept any gifts—directly or indirectly—from owners, residents, contractors or suppliers.
  • Misrepresent known facts in any issue involving association business.
  • Divulge personal information about any association owner, resident or employee that was obtained in the performance of board duties.
  • Make personal attacks on colleagues, staff or residents.
  • Harass, threaten or attempt through any means to control or instill fear in any board member, owner, resident, employee or contractor.
  • Reveal to any owner, resident or other third party the discussions, decisions and comments made at any meeting of the board properly closed or held in executive session.
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As I commented in the my post pertaining to the meeting notes of November 12, this is a positive thing, but lacking any enforcement procedures, it is merely a "suggestion". After observing the board for the past year, I have to say that without enforcement this is merely another "good idea".  We really need much more than a "good idea" here. It would be interesting to see if all board members would sign on if there were a strong statement of enforcement. This would of course, also provide a deterrent to fringe or unqualified individuals achieving board status, unless the entire board goes that way, in which case they could deceive the unit owners. Where there is a will there is a way, and there is strong incentive for individuals to operate out of something other than integrity, when on an HOA board.  


As someone who works with organizations to develop a "Commitment to Excellence" I do feel the need to point out that this "Model Code of Ethics" is something to be expected, something to be normal in a HOA and is an expression of a "Commitment to the Ordinary". It is something that is required, that is, it is the baseline of performance for the board. Only after the board has agreed that they are not in this for promotion of their own personal agendas, their own benefit and for the achievement of their own personal aims, only then can the real work begin. Only by putting their personal identity aside, their personal wants, needs and desires, can the real work begin. Because when all is said and done, each member of the board should be for one and only one purpose, and that is to be of service to the association.


So a deeper inquiry would be to look at the notion of "being of service" to others. Of course that inquiry isn't possible until we look beyond ourselves and that, for many of us human beings, is an impossibility. 


Reference 
1 - CAI Model Code of Ethics in pdf

4 comments:

  1. This comment has been removed by a blog administrator.

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  2. Anon 7:47 pm, you are an absolute moron. What good did that post do, other than to show the kind of mentality you have. I don't believe you are a BLMH owner, I do believe you are a child with nothing better to do, your parents should be proud of you, not.

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  3. Anon 10:57 AM. Time to give it a rest and move on. If you have it out for the CD and the current board, keep it to yourself. You had your chance at voting time, all this negativity isn't making our association look any better. If you were a prospective buyer and you read this blog and all the crap going on, whould you buy a home here, I don't think so. So lets all move on and start giving everyone a chance.

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  4. No one knows who anyone is. Everyone just keeps posting at anon. At Norm soaks up all the attention.

    I'm done with this dumb blog.

    ReplyDelete

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