As I wrote a few months ago, South Carolina homeowners have access to federal funds that have been allocated to assist homeowners in financial distress as a result of the COVID-19 pandemic. It has now been confirmed that the program will include paying debts associated with HOA or condominium assessments, late fees, interest, liens, and foreclosure-related costs. As anticipated, the State of South Carolina has been awarded $144,650,807.00 by the U.S. Department of Treasury’s Homeowner Assistance Fund (HAF), which was established under Section 3206 of the American Rescue Plan Act of 2021. What does that mean for an HOA … Continue reading
Should Meeting Minutes Include Names of Members in Attendance?
A question came up during a recent online discussion about whether the names of members attending a board meeting should be listed in the minutes, and perhaps even show what time the member arrived. Here’s not one, not two, but THREE answers! First, the good news is there’s no wrong answer. At the end of the day, the minutes are what the specific body within your organization decides by majority vote it wishes to have in its minutes. Different organizations have different style minutes. Second, if you follow (or try to follow) Robert’s Rules of Order there is no answer, … Continue reading
New Appellate Decision Related to Application of Insurance Proceeds in Older Condominiums
Earlier this week, the North Carolina Court of Appeals issued a decision in Grooms Property Management v. Muirfield Condominium Association. The case dealt with interpreting and applying insurance provisions in the declaration of an older condominium governed by the NC Unit Ownership Act, and determining the association’s obligation to purchase insurance and the application of proceeds in the event of a total destruction. The condominium building in question had been entirely destroyed by fire, and the cost of complete exterior and building repairs was estimated to be between $1.36 and $1.46 million. The Declaration in this case required the association … Continue reading
Remote Online Notarization Coming (Again)!
With the passage of NC House Bill 776, North Carolina joins 37 other states in adopting rigorous RON (Remote Online Notarization) policies. This brings the end to end security measures and accurate closing procedures that lenders and other industry stakeholders demand, while offering the convenience and safety customers desire. The process revolves around the software platform, one of the most common being Pavaso. This swiss-army knife solution combines the teleconferencing abilities of Zoom with document management and signing capabilities of Docusign and adds encryption and recordkeeping and identification verification. This special suite of tools works together to solve the hardest … Continue reading
CARFAX for Condos
Last month, a federal judge approved a $1.2 billion settlement for unit owners and affected families in the Champlain Towers South condo collapse in Surfside, Florida. The 2021 collapse was the deadliest condominium collapse in United States history and the third deadliest structure failure in United States history. While the collapse is still under investigation, a leading factor in the collapse appears to be structural support degradation and corrosion caused by water intrusion. Champlain had obtained an engineering report in 2018 which found major errors in the construction of the pool deck, which had allowed rainwater to penetrate into and … Continue reading
An Ode to the Surviving Spouse
Losing any loved one is difficult, but losing a spouse adds another dimension of not only grief, but anxiety, fear and confusion about the future. A marriage is a team effort – duties are delegated with respect to finances, home maintenance, social graces, and the many other elements of domestic life. And so, when one spouse dies, in addition to the grief felt, the survivor is often overwhelmed by taking on new duties which were delegated to their partner prior to their death. There are, of course, many family dynamics and there can be many variations and complexities, but in … Continue reading
NC Community Association Legislative Update – June 21, 2022
ADOPTED BILL HAS IMPORTANT HOA/CONDO FIXES AND CHANGES TO HOW CONDOS ARE CREATED Due to other more pressing issues, several important bills impacting community associations were not addressed by the General Assembly in 2021. Those proposals have seen quick action this week, been adopted, and sent to the Governor for signature. Senate Bill 278’s(“SB278”) important features include that it: (1) “rescues” many older associations from concerns about the Marketable Title Act due to appellate decisions in 2021, (2) makes clear the NC Condominium Act applies to older condos when pursuing unpaid assessments, and (3) changes how condominiums are created. (The … Continue reading
North Carolina Supreme Court Issues Important Solar Panel Case
Harmony Taylor & David Wilson In a case of wide-reaching impact, the North Carolina Supreme Court on Friday, June 17, 2022, issued its decision in Belmont Association, Inc. v. Farwig. An earlier blog discussed the factual background and decision from the Court of Appeals in detail. By way of brief summary, the homeowners in this case installed solar panels on the front facing façade of their roof without approval and the homeowners association commenced fines. Nothing in the declaration explicitly regulated solar collectors, but the association, pursuant to its general authority over architectural matters and aesthetics, refused to allow … Continue reading
Robert’s Rules of Order Fast Track
My newest book, Robert’s Rules of Order Fast Track, is now available! My first book The Complete Idiot’s Guide to Parliamentary Procedure Fast-Track (2012) has been very popular, and Penguin asked for a new edition of the book updated for the new Robert’s Rule of Order and to include a discussion of virtual and electronic meetings. Proper meeting procedure is more important than ever—especially in these contentious times. With that in mind, the book also covers dealing with problem members and problem chairs. To better reflect its focus, the book has been renamed Robert’s Rules of Order Fast Track: The … Continue reading
A Loved One Has Died, What Should I Do?
Whether it be a parent, grandparent, or otherwise, when a loved one dies, creating a “to do” list is not the first thing often on a grieving family member’s mind. However, we do live in a check it off the list, “get it done” type of world and so I often have family members call me the day of or day after the death of a loved one asking for counsel. I get questions such as “should we go to the courthouse?”, “when is the reading of the Will?” and “should I pay [enter outstanding bill here]?”. All of these … Continue reading
Is it “safe” for community associations to allow food trucks on common areas?
Food trucks are very on trend right now, and many homeowner and condominium associations are considering inviting them to gatherings and community wide parties. Hopefully, boards think before they make a call and reach out to their attorney or manager to make sure that they are proceeding legally. Here are some thoughts to consider when choosing when or how to invite a food truck to your next community event. First, boards generally have the right to decide whether or not to invite or allow food trucks on the common area. Common areas, such as pool decks, clubhouses, community parking lots … Continue reading
It’s Pool Season! Are You Ready?
Pool season is often a homeowner’s favorite time of year, as the weather is warm and they are able to be outside socializing with family and friends. What better way to beat the heat than the community pool! While pool amenities can offer an outlet for relaxation and socialization for the members, it can often be a source of angst for the Board and manager. Here are a few short tips to make sure you are prepared for the season: Review and revise your pool rules. Community associations can almost always create reasonable rules and regulations to govern their common … Continue reading
Drone Surveillance in Community Associations
Ah, spring. Flowers are blooming, birds are chirping, and the sound of power saws, stone cutters and earth moving equipment fills the air. This country is in the midst of a construction boom, and more homeowners than ever before are undertaking home improvement projects. In community associations, these improvements usually require some type of architectural approval to make certain that, once constructed, the new pool, patio or pergola will be aesthetically pleasing and harmonious with surrounding structures. The process is supposed to start with the owner submitting an architectural request, but sometimes owners don’t know or care to do so. … Continue reading
How to Avoid Yellow Card Hell
My parliamentary articles tend to be general. Most often, they address broad procedural issues of widespread concern. This one is rather specific, as it addresses a practice most often encountered by state affiliates of the National Education Association (NEA), although some other types of organizations have similar procedures. Different meetings have different methods of recognition, most often due to past practice or convention standing rules. The NEA and its state affiliate meetings have long used recognition cards for those wishing to speak. Unlike voting cards (described in Voting Cards at Conventions & Annual Meetings), recognition cards are different and explained … Continue reading
Is It Time for a Post-Pandemic Bylaws Review?
The following article from Mark Athitakis appeared on May 15, 2022 in Associations Now from the American Society of Association Executives (ASAE). The full article can be found by clicking here. Is It Time for a Post-Pandemic Bylaws Review? Antiquated bylaws can lock associations into a structure that makes little sense today. One expert explains why now is a good time for a refresh. Among the many things the pandemic has exposed are problems with association bylaws. Meetings were upended and the makeup of membership changed, but an association’s governing documents haven’t always adapted to that new reality. “Some [associations] have … Continue reading
Happy Birthday to the Author of Robert’s Rules of Order
Today (May 2, 2022) is 185 years since the birth of Henry Martyn Robert, the author of the original Robert’s Rules of Order. He was born May 2, 1837, in Robertville, SC, served in the Union Army, and eventually rose to General in the Army Corps of Engineers. Robert’s first edition, published in 1876, was far different than today’s Robert’s Rules of Order Newly Revised (12th Edition) published by the Robert’s Rules Association. For starters, it was only 176 pages. Robert’s stated intent was to create a “very brief pocket manual, so cheap that every member of a church or … Continue reading
Tips on Filling Out the Fannie Mae/Freddie Mac Questionnaire
Effective early this year Fannie Mae and Freddie Mac, the two largest purchasers of residential real estate mortgages from lenders, started requiring information regarding the structural integrity and plans for addressing deferred maintenance for almost all condominium buildings. This is in direct response to the tragedy of the partial collapse of the Champlain Towers in Florida. Is the Association legally obligated to complete the questionnaire? Unless the governing documents of the Association require it (which is highly unlikely) the Association is not obligated to complete the questionnaire; however, not filling out the questionnaire will almost certainly result in 60-70% of … Continue reading
Federal Legislation Introduced to Address Financing Condo Safety Repairs
On April 18, 2022, Representatives Charlie Crist and Debbie Wasserman Schultz (both U.S. Representatives from Florida) introduced the Securing Access to Finance Exterior Repairs (“SAFER) in Condos Act of 2022. The bill is designed to address one of the main problems identified following the partial collapse of Champlain Towers South in Surfside, Florida, last year. Although many condominiums may need significant structural repairs, a recurring problem has always been the ability to obtain financing to pay for the costs of those repairs. Following the collapse, many condominium associations have begun to evaluate their own buildings in earnest and investigate their … Continue reading
Voting Cards at Conventions & Annual Meetings
Although COVID-19 is (hopefully) waning, there are still concerns about immediately going back to the way things used to be done at annual meetings. For instance, the most common method pre-pandemic of voting during large meetings was by voice. On any matter to be decided, the presiding officer would ask all those in favor to say “AYE,” and those opposed to say “NO.” With continuing concerns about the virus, both leaders and health professionals have questioned whether hundreds or thousands of delegates should all be yelling in a crowded room at the same time, masked or not. There are alternatives … Continue reading
New Appellate Decision Impacts Declaration Amendments
In a decision issued today (April 5, 2022), the North Carolina Court of Appeals makes potentially significant changes to how amendments to declarations are adopted. As a result, associations considering declaration amendments should consult their attorney to make certain the process meets the new standards for adoption. Bryan v. Kittinger is a “published opinion,” which means the decision is controlling legal authority and can be cited in other cases. Interestingly, though the opinion impacts associations, there is no association involved as a named party in the case. Instead, this dispute is between two lot owners in the Sleepy Hollow Subdivision … Continue reading