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Subject: How does an HOA handle minor repairs/etc?

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AlexL1
(Florida)

Posts:295

12/30/2007 4:22 PM
If an HOA was large enough, they could hire a full time handy man to continually repair things as needed, i.e. painting spots here and there... putting in a light bulb here, repairing a light fixture, etc etc. But if an HOA is small, HOW is this work done? It seems very expensive to hire an electrician that is bonded, insured, etc to come to put in a light bulb. The cost would be very prohibative. Individuals are not allowed to do this minor work due to so-called "liabilities", etc. are there any solutions? How do other HOAs (smaller ones)handle this important part of maintenance?

RobertR1
(South Carolina)

Posts:5164

12/30/2007 5:00 PM
Alex, I expect they cheat a little. I know we did and do. No need for licensed electricians to change light bulbs, etc. Also you might be able to find a part-time handyman. The problem with this is everyone wants him to do something for them. There is a need and there are reliable people out there to fill this need, look around.....word of mouth should do it.

DonnaS
(Tennessee)

Posts:5671

12/30/2007 5:15 PM
Alex, Are you talking about a condo? HOAs would not have lightbulbs, etc in need of changing unless it is a villa or condo? Thanks!

PaulM
(Pennsylvania)

Posts:1347

12/31/2007 6:25 AM
AlexL1: Not sure we understand what your HOA consists of (condos, singles) nor the maintenance you are referring to... What is important however, is what your documents state as far as the maintenance the association is required to perform and pay for. I cannot believe that lightbulbs or replacing light fixtures is part of assn. responsibility, nor funding to come from Capital Reserve Fund or assessment fees. You state individuals are not allowed to do this minor work due to liability...do your documents state this directive? Or is this someone's belief or opinion? You need to post what your docs state to assist us in our responses.

SusanW1
(Michigan)

Posts:5202

12/31/2007 6:33 AM
Start networking with a contractor who does minor home repairs to be on call for your needs. He could come by once a month and do all those little repairs that you have on your list. No, you don't want residents getting on ladders and doing anything. The liability is the issue. Be sure this is a licensed and insured handy man. Around here, these guys make a ton of money doing small jobs like what you have described.

GloriaM
(North Carolina)

Posts:829

12/31/2007 9:45 AM
Alex: Only a condo or a townhome HOA would pay for the type of repairs you illustrated. Single Family Homes would only hire if they had a clubhouse, pool or common area that would required such a repair. By hiring a subcontractor the HOA saves on not only the per hour rate, but also on benefits, workmens comp insurance. Of course with all things the HOA would have to weigh the plus and minus in their particular situation.

BradP
(Kansas)

Posts:2491

12/31/2007 10:40 AM
Alex: As some have suggested you can cheat a little. Changing a light bulb is easy and can be done by a volunteer. Rewiring a fixture is another story. Yes liability is an issue. I would suggest getting bids from appropriate trades, perhaps negotiating a special per hour rate for them to be your on call electrician or plumber. In this scenario you can call them when you need work to be done and they would charge you a predetermined rate. Or as some suggested hire a part time handyman.

AlexL1
(Florida)

Posts:295

12/31/2007 1:13 PM
I am, of course, referring to a condo complex and yes, the HOA is responsible for the light bulbs in the garage locations, the club house locations, the post al area location and the pool and lighting ALL around and in the compound. If one bulb goes out, it is a disgusting waste of money to hire an electrician to come to change the one light bulb(just for example).

PaulM
(Pennsylvania)

Posts:1347

01/01/2008 7:35 AM
AlexL1: You have now afforded us more info to assist you. Since the Association (resident/membership) is responsible for light bulbs, and the other small fixit jobs you mentioned (?), IMHO, try this possible solution: 1) Contract with a local business maintenance person (w/his own liability insurance, since he is in business) for a short time--trial 6 mo. basis. 2) Encourage residents to call (Board/Committee person?) with the location/type of maintenance required 3) Collect repair requests and contact your person to complete several repairs on site at one time. There are concerns, however, with having one come onsite perhaps 1x week or 2x month to do what is required--namely, if a light is burned out in a stairwell for instance, and there is an accident due to 'improper lighting', would your association/Board be responsible if there is a law suit? Check with your liability insurance on this one. The other possibility would be to have him come to replace All Lightbulbs at the same time, whether burned out or not, perhaps 1x year... That way, the possibility of a burned out bulb for a lengthy time is minimized. Now to the cost of having one do it. Check your docs to learn the wording and if these small jobs are part of Association common expenses or listed in capital assets. If so, the cost for maintenance of this should be budgeted for and set aside from the collected fees. And, if the fee needs to be raised, then so be it. There must be other Condo Assns. out there with the same concerns. Where are you and how do you handle this?

AlexL1
(Florida)

Posts:295

01/01/2008 3:03 PM
Paul M.... Yes.. I believe that your last comment is the ONLY way we can do it here and will begin working on that...Thanks....

RobertR1
(South Carolina)

Posts:5164

01/01/2008 3:30 PM
AlexL, One thing I want to add here is don't consider much about how your association is run and expect it to work from year to year. Keep you ears and eyes open for anything that appears to do the job better. Get control of the maanagement and actively look for opportunities to make it better. We are close to Parris Island and we got to know a marine that was retiring and starting a homerepair business. We now use him almost exclusively and it has worked out great for both of us. He now has a Mexican crew that works their butts off and they have all learned to do as their boss tells them and do things the way he wants them. I feel sure withing the next year or so he will be too big to do a lot of the day to day stuff. He now has ten men and usually works about three jobs. It was alucky break for us.

CarolG
(Alabama)

Posts:11

01/04/2008 8:06 AM
hi we are self managed condo of 96 units. I am the property manager. For 20 years we were managed by management co. Four years ago we when to self management. We have a Board and an Accountant. We have set up a small office on site. We have met all of the legal aspects. The one thing you want to do is to have Workers comp Ins. We have our workers comp with State Farm. We do a blanket w/c covering any worker that works on the property. It is called a audit workers comp coverage. When you take out the policy it is based on a money amount. at the end of the year State Farm will ask for the amount of money paid out to workers(Thur tax returns) then. the condo is refunded for any overage of coverage. You know workers comp is based on so much per 100.00 of salary. We have several men we contact for these jobs. We have been blessed. If it is a larger job that needs libialty we hire an out side company. Most jobs our outside maintenance men handle. We pay them by the hour. We make it worth their while by paying top hourly wadge. This I can tell you has worked well. We have been able to do more maintenance than ever before. We do send 1099's to some of the workers. Workers comp is of most importance to protect the Assoc If any one is interested in more reply

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