DianaF (Ohio)
Posts: 3
Posts: 3
Posted:
I live in Ohio, does anyone know if it is illegal for us to be paying a board member, who is also the secretary, an income?
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Board Secretary being paid
Started by DianaF • 4 replies • 2165 views
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hoatalk (California)
Posts: 599
Posts: 599
Posted:
Please search this forum for the word compensation (search link on upper right) and you will see many conversations on this subject.
Here's some subjects to look at when you search:
Board President wants vote to cut her dues
Our treasurer is being paid
Dues for Board Members?
Can board members receive compensation?
Here's some subjects to look at when you search:
Board President wants vote to cut her dues
Our treasurer is being paid
Dues for Board Members?
Can board members receive compensation?
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BrianB (California)
Posts: 2,820
Posts: 2,820
Posted:
in general, a BOARD member cannot be paid.
someone doing duties can be, but they cannot be a BOARD member.
So, does this person sit on the board? No pay. Do they have a vote on board issues, or express opinions on board work/issues? no pay. Were they elected? No pay.
Or, do they simply come to the meetings, and do the work that the board directs them to do? Were they hired through an open process by the board? If all these apply, and they don't vote, express opinions, etc, then, it may be okay for them to be paid.
someone doing duties can be, but they cannot be a BOARD member.
So, does this person sit on the board? No pay. Do they have a vote on board issues, or express opinions on board work/issues? no pay. Were they elected? No pay.
Or, do they simply come to the meetings, and do the work that the board directs them to do? Were they hired through an open process by the board? If all these apply, and they don't vote, express opinions, etc, then, it may be okay for them to be paid.
SwanB (Washington)
Posts: 199
Posts: 199
Posted:
We had a similar situation when I bought my home in the HOA. The Board Secretary was a volunteer position but was also the paid office staff person. It was really messed up and the individual holding both positions was not very good at drawing the lines between when she was performing the duties of one position and the duties of the other. Even though the office staff position was a 'secretarial' position as far as all the tasks performed by this person (and every other person in the job since). The Board circumvented the sticky situation by calling the paid position an assistant security position. However none of the members ever knew this or any job description with this title was ever written or documentation of this position was found to be created and funded.
There was a proposal for an assistant security position to be created and funded from a particular source but no action on the position was recorded or the source for the proposed position ever pursued or created. And this proposal occured after this individual was working in the paid position as 'whatever'.
There was a proposal for an assistant security position to be created and funded from a particular source but no action on the position was recorded or the source for the proposed position ever pursued or created. And this proposal occured after this individual was working in the paid position as 'whatever'.
RogerB (Colorado)
Posts: 5,067
Posts: 5,067
Posted:
Diana, normally it is not illegal to pay a Board member for performing services providing these are not duties specified to be done by them as a Board member. However, this does create the appearance of a conflict of interest and must be handled very carefully.
I suggest:
1. That the Board member who wishes to be considered for non-Board duties shall not be involved in any manner in the actions and decisions made by the Board.
2. Competative sealed bids be obtained using a RFP.
3. The person is hired as an Independent Contractor and must provide such insurance as required by the Board or the HOA's controlling documents.
I suggest:
1. That the Board member who wishes to be considered for non-Board duties shall not be involved in any manner in the actions and decisions made by the Board.
2. Competative sealed bids be obtained using a RFP.
3. The person is hired as an Independent Contractor and must provide such insurance as required by the Board or the HOA's controlling documents.
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