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LoriE
(Indiana)
Posts:34
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| 04/10/2006 8:43 PM |
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aka the Sunshine law.
The board, atty and I are having a discussion whether an HOA is covered under the Indiana Open Door Law (IC 5-14-1.5). We are an Indiana corporation.
Our board is making decisions (voting) via email and the board's attorney agrees it is ok. He says HOAs do not fall under the Open Door Law because it is for public agencies.
Numerous homeowners have brought up the fact that decisions are being made behind close doors and the final decision is then read at the meeting without a discussion.
They are making decisions behind close doors. RONR states that it should be in the By-Laws.
I look forward to your response(s). |
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LoriE
(Indiana)
Posts:34
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| 12/10/2008 2:09 PM |
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| bumped ... |
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MaryA1
(Arizona)
Posts:2483
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| 12/10/2008 2:24 PM |
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Lori,
Many states have open meeting laws that apply to public bodies (city council, school board, legislature, etc) and these laws do not apply to any private corps, including nonprofits, which is what HOAs are. Unless your state, or your gov. docs. require that all meetings of the assn be open to the members, you can continue to hold closed board meetings and conduct business by email. Personally, even if the gov. docs are silent and there is no state law, I believe it's a good practice to open the meetings to the members. It provides for open communication which is a key ingredient to a healthy, happy assn. When the members know what is going on -- and have the opportunity to witness it first hand -- they are less apt to complain. Regarding the email communications; I believe the board should be very careful to document any and all actions that might be taken by email. IMO, it would also be a good idea to read into the record of the next scheduled board meeting any actions taken this way. Also, I wouldn't recommend getting into the habit of conducting business in this manner; it's so much better to hold a meeting. Unless an emergency arises, there shouldn't be a need to "meet" by email between regular meetings. A little organization goes a long way! |
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GeorgerwilliamsW
(Indiana)
Posts:767
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| 12/10/2008 3:00 PM |
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Lori, the answer to your question is, no. Homeowners associations under Indiana corporate statues are private entities and are not obligated to open board meetings to either members or to the public.
A bylaw provision is all that is needed to require that board meetings be open to members. |
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LoriE
(Indiana)
Posts:34
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| 12/10/2008 3:26 PM |
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| Thanks. |
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RobertR1
(South Carolina)
Posts:2497
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| 12/10/2008 8:55 PM |
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LoriE,
Good advice so far.
But, let me pose a question. You are a member of an association and you have a vote. You are asking a non member, albeit a lawyer, if your association is following the rules. He says they are, you have some doubts. The question is who carries the power and has the weight to make a difference. Of course you do, and that is why George mentioned about what it takes to change the rules. I am also sure George includes as you go about changing the rules, learn your documents, I bet you will find something in them that gives you authority and "How to" do what you want to do. There may be a Board but: The president serves the Board, the Board serves the owners and all owners are equal. The lawyer, manager and MC are hired hands. In effect the manager serves the Board and so does the MC and Lawyer and in the same breath the Board serves the owners. |
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