Board members have a fiduciary responsibility to the homeowners association. The Board members are held responsible for ensuring the operations of the community association are properly managed, but few have time for the details involved with the day-to-day operations.
The best way for Board members to ensure the day-to-day operations are properly executed is to hire a professional HOA management company. A successful home owners management company will not only properly manage the community, but will help the community association raise its property value. Plus, there are countless benefits of having professional management, including prompt communication, timely reports, and an increased sense of community.
A homeowner's association board should expect an HOA management company to be a reliable partner who understands their needs, knows how to get things done, anticipates issues and concerns, and who has a track record of finding reliable solutions. When looking for a new management company, the Board members need to find out what services each company provides to their clients. The list below outlines just a few of the services that should be expected from all professional community association management firms.
1. Communicate openly and honestly with the homeowners association board
2. Respond to information and maintenance requests promptly
3. Be easily accessible by phone and email
4. Prepare for Board and homeowners meetings
5. Vigorously pursue delinquent homeowners fees
6. Produce complete, readable, and timely financial reports
7. Consistently act with the HOA's best interests in mind
8. Understand homeowners association rules and governing documents
9. Create an annual operating budget
10. Be an expert in homeowners association management
If you are a Board member and your management company does not provide these services to you, it's time to start looking at a new firm. In the end, it is the Board members' responsibility to find a good HOA management company and it is the Management Company's responsibility to ensure the community association runs smoothly and efficiently.