The Critical Importance of Board Member Education


Janet L. Newcomb, President, Springhurst Townhomes HOA and Richard Williamson, Treasurer, San Lorenzo Community Association


When association members accept positions on their


community’s board of directors, there is a presumption that they understand their duties and responsibilities to the non-profit corporation. Unfortunately, this is all too often not the case. A homeowners


association (HOA) is of the same duties as a


unique organization. In addition to being a neighborhood community,


any other


it’s an organization that carries with it many and responsibilities


business or California corporation. Specific HOA-related education prepares board members to be successful in their important roles.


Why You Should Care


HOAs are subject to laws and regulations which have become increasingly complex since passage of the foundational Davis-Stirling Common Interest Development


Act (Act) in 1985, including many court decisions which have interpreted the Act. The Act was rewritten in 2012, with revisions effective January 1, 2014. It continues to be revised and updated frequently. Many


members are often not familiar with the many other laws that


affect HOAs, such as the Corporations


HOA board Code,


health and safety laws, etc. They are not aware of what they don’t


know. Even board members who have


attended past HOA educational events may not be familiar with the latest changes including Senate and Assembly bill modifications to the Act. This can be dangerous for board members and HOAs. Ignorance of the law can create unnecessary problems for communities and, in some cases, even personal liability for board members.


Understanding the Board Member Role Board members need


good to perform their jobs


authoritative information effectively. They are expected to


anticipate issues, solve problems, meet the expectations of their residents, protect property values, and act within the scope of their authority – all while complying with pertinent laws and regulations. The Community Association Institute (CAI) – national


and regional – both provide many


opportunities to learn everything HOA directors need to know in order to do their jobs and prevent the many problems uneducated board members may encounter.


In addition to complying with laws and regulations, it is critical for board members to understand their HOA’s governing documents – Articles of Incorporation, Bylaws, CC&Rs, and Rules and Regulations. Have you read them? Do you understand them? Do they need to be updated? Has legal counsel reviewed your governing documents to ensure they are compliant with the latest legal requirements? This is an important place to start for all new board members.


Preventing Liability for Your Association


Following laws and regulations, in addition to adhering to responsible business


practices, is critical for lawsuit


prevention and any necessary defense to protect the HOA and the homeowner members. Your residents are not going to be happy if special assessments are used to pay for a court judgment. The best way to avoid litigation is to follow the law, regulations and governing documents; stay current on the


26 November | December 2024


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32