Treasurer - board member?

Started by LisaW1 • 3 replies • 1296 views

💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

⚡ Takes 30 seconds

Already a member? Log in

LisaW1 (Pennsylvania)
Posts: 2

Posted:

HI all! I am new to this board and have a quick question... does the HOA Treasurer necessisarily have to be a Board member? The short story of my situation is that the current Treasurer (also a board member) has requested to relinquish his duties due to lack of time. He wishes to remain on the Board, however. A third party person (not currently on the Board) has mentioned interest in the Treasurer position. Another Board member has stated to me that the member that relinquished his duties will have to step down from the Board to allow this third party person to step up as Treasurer.

Now, the member that was originally the Treasurer works for an Accounting firm and he stated to me that it makes good business sense to have someone not associated with the Board holding the books.

What are your thoughts? Do I need to kick out the old to let in the new? (side note, we are maxed out with Board members)

Thanks!

MicheleD (Kentucky)
Posts: 4,491

Posted:

I think the very first thing you need to do is pull out your governing documents and read what it states specifically in regards to board member positions and officer positions. MOST will define both fairly well enough where you won't have to guess about what to do.

If it's not clear, then the next step would be to have a trained professional read the documents and interpret them for you.

For example, according to OUR documents (the by-laws and our CC&Rs) the treasurer must be a board member. The treasurer CAN, however, assign duties to a finance committee, and the committee members do NOT have to be board members, however, they will report to a board member (the treasurer) who has oversight for them.

Also according to our documents, officers can resign their officer positions without relinquishing board membership.

In addition, we can have up to 9 board members. We currently have 6. So if our treasurer "resigned" his officer position, he can still remain on the board. If no remaining board member wished to fulfill the remaining term of the treasurer office, since we have 3 open slots, we can do a search and recruit a resident to step up to board membership and she/he can then be "elected" the office of treasurer.

Good luck. Let us know what the documents say and how it turns out.

JoeW1 (New York)
Posts: 728

Posted:

LisaW1 - A Treasurer is a position of an officer. Depending on your governing documents an officer may not need to be a Board member. Typically an officer serves at the pleasure of the Board and a Board member can only be removed from loosing his/her membership in good standing (late fees, etc.), or by the unit owners banning together to un-elect him/her. If an officer, in your case a Treasurer, chooses to relinquish the officer role, he she can remain on the Board. If you gov. docs. permit non-Board members to be officers than the Board can choose to let them. However, it does not make good sense to have someone not associated with the Board to hold the books.

LisaW1 (Pennsylvania)
Posts: 2

Posted:

Thank you for the very helpful replies!

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

✓ Ask follow-up questions
✓ Share your experience
✓ Get expert advice
✓ Access 350,000 discussions

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here