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Subject: Background Checks

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KenC
(California)

Posts:6

01/20/2006 5:36 PM
Anyone require them for board members? Or, how about background checks on vendors who work in your community on a regular basis? I'm a newly appointed board President of my HOA. I have a security background and have used this practice to reduce risk in the workplace but am unaware of it's use in this environment. thanks, Ken

EdR
(Texas)

Posts:170

01/23/2006 8:01 AM
I think it's an excellent idea. We've had what I consider to be a lot of strange stuff going on in our HOA, especially from the board. I hate to use the word, but it looks like there are conflicts of interest and kick-backs going on--how can those ever be determined though. However, this is a for-sure situation--last year a candidate for the board purported to have a college degree. As you know, a degree is not a requirement for being on a board, however, the problem I had with it was the lie about it. Because it is so difficult to get a transcript on someone else, we were not able to prove this, although she had told people that she had flunked out of two colleges. She got elected and is currently on the board, but I think it is such a blatant disgrace to have lied about that. She is not a good director, in fact, is seldom sober for a meeting, but this is where the conflicts and kick-backs come in--the board's intention was to weight the scale to the one side who wanted to keep an unscrupulous management company (because they are donating to their social clubs) and to meet the personal agendas and uses of certain vendors by the board. Unfortunately, in addition to other problems (fiduciary irresponsibilities), there will probably be a class action suit brought against them soon. Good people are getting off the board so they will not be involved. So, to answer your question (from my perspective, at least), if someone had done a background check on the candidates, they at least could have determined the fact that one was a liar, and that issue could have been confronted--if a person will lie about one thing (that important) they will certainly do other things and lie about them. EdR

KenC
(California)

Posts:6

01/23/2006 8:43 AM
Ed, thanks for the feedback. Your response has provided some additional help. A formal application for candidates applying to the board should be drafted. A candidate would list his/her experience, education, references, etc.. and that information could be verified in addition to a criminal history check. thanks again, Ken

RandyG
(Washington)

Posts:8

01/23/2006 11:21 AM
I think BG checks is a must for employees and substance checks is also most certainly a priority for employees and this includes seasonal life guards. BG checks for Board Members is not a good idea as it has been my experience just getting volunteers to run for the board of trustees is a problem. BG checks will start a virus called "APATHY" which is a community killer.

LisaS
(Illinois)

Posts:339

01/23/2006 11:30 AM
I agree that honesty is important. For the record...it is really easy to find out college grad info on anyone voianthe internet. Most of the information you are looking for is readily available. Here's the real problem I foresee . Who is going to willingly consent to a 'background check' or a 'criminal history check' in order to apply to be on a Board? I have nothing to hide- and I would not. I cannot imagine how the neighbor with the DUI from 20 years ago would feel...or the woman who got arrested for shoplifting 10 years ago. All their neighbors would know their 'private' business and for many it would be humiliating. Another problem is accuracy of the checks. A 'check' of my background showed I had filed for bankruptcy and been foreclosed on. However, I had not ever done either, and it was in a state I did not live in. People make mistakes. Some people change, some don't. But regardless, it seems like it should not be public business. Get adequate insuarnce top cover the Board and the Association in the event that there is a 'thief' among you, and accept the vote of the members of yoru community that but the Board in their seats. As well, unless consent to such an application process is required per your Covenants, you may well see resistance and challenge.

EdR
(Texas)

Posts:170

01/23/2006 4:14 PM
Ken: Let me clear up my answer a bit for everyone. I was on the board for five years so I've seen some great and some awful things. When the bios/resumes are sent out with the ballots to the homeowners (supposedly 15 days before an election) they are about a third of a page of general info.--how long the person has lived in the neighborhood, briefly about their children, their background and education and WHY they want to be on the board of directors. You don't even have to be potty trained to be on a board (and most of the ones on our board now act like they are not) BUT -- I believe although there are no salaries, etc., that honesty is a must because we are reaping the non-rewards of the dishonesty already--i.e., that the person who purported to have a degree (which was stupid because she doesn't need one) is dishonest and is handling her position now dishonestly. I agree it is difficult to get GOOD homeowners to be on boards, but it is difficult to remove them too. This (lying) director and her spouse participated in a campaign to force another director to resign based on their FALSE accusations that that person was having an affair with a contractor (this claim was made to allege that she was wasting HOA's monies by even speaking with him in a business atmosphere), yet SHE falsly claims to have a college degree. HOAs and boards can be nasty playgrounds for people with their own agendas, like the kick-backs and conflicts of interest. The unfortunate thing is that no one is governing these things--even though there are these great laws out there--when they are broken, who do you go to? Even if the assn. members sue--the board is still there. This is why it has to be handled carefully in neighborhoods with members. You probably cannot tell a member they can't run for the board after you find out their background is flawed. BUT wouldn't it be better for a group of homeowners to sit down with them and discuss what was found out and find out if it was not true, than to try to get them off the board after you find out they lied or had a pretty bad history? We too have had sex a offender in our subdivision. When the rest of the neighborhood found out (via the internet), the guy moved out in the middle of the night. What should be done? This is a good debate subject! EdR

RogerB
(Colorado)

Posts:3724

01/24/2006 9:57 AM
EdR, I don't believe background checks is the answer to eliminating the problems you mentioned. Preparing bios is a good idea when you have more members who are candidates than there are open Director positions. There are many HOAs that twist arms to get candidates You asked "What should be done?" Setting up good procedures under policies and procedures can eliminate many problems related to poor Directors. The guidance from an experienced managing agent can be very helpful. Roger

Roger Borcherding Official HOATalk.com Sponsor DARCO Property Management (Colorado) (303) 925-0150 *See legal notice below (end of page) or go to www.hoatalk.com/legal

KenC
(California)

Posts:6

01/24/2006 12:54 PM
First, I would like to thank everyone who responded, I appreciate your feedback. I think most people would agree that it's a good idea but no one actually does it. I've received the same feedback from my board as well. Roger's suggestion is a point well taken (developing an appropriate policy is the first step - whether it includes a background check or not). A background check is merely a tool which measures the past behavior of a person against the standards included in your policy. It's not fool proof but it does reduce risk - past behavior is the best indicator of future performance. For now, I've asked our management company to inquire about our vendor's employment process and to what extent they vett their employees. The industry appear's to be pretty competitive so I would think it's just a matter of time before these companies realize the value added to having "clear" employees - not to mention it's just a good business practice. The costs are minimal as access to information becomes more readily available. thanks for your time, Ken

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