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Subject: HOA Non-members on the Board of Directors
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Author Messages
LindaE10
(Washington)

Posts:2


01/11/2021 2:28 PM  
Our HOA By-laws allow that a person can serve as a director without being a member(Homeowner). We are getting questioned about this and I am looking for input from other HOAs. Do any of you have nonmember directors and is this working out. I haven't found any By-law templates that address this issue - they all seem to require membership for the directors. Thanks for your help.
BillH10
(Texas)

Posts:601


01/11/2021 2:35 PM  
Linda

Is it the Directors who do not have to be a member of the Association or an Officer? I have seen governing documents which allow certain officer positions to be held by those who may not be members of the Association.
LindaE10
(Washington)

Posts:2


01/11/2021 2:52 PM  
Our By-lawes state that a director does not need to be a member.
ChrisE8
(New York)

Posts:366


01/11/2021 2:56 PM  
Posted By LindaE10 on 01/11/2021 2:28 PM
Our HOA By-laws allow that a person can serve as a director without being a member(Homeowner). We are getting questioned about this and I am looking for input from other HOAs. Do any of you have nonmember directors and is this working out. I haven't found any By-law templates that address this issue - they all seem to require membership for the directors. Thanks for your help.




Having non-homeowners serve on the board is a terrible idea. Why would anyone who doesn't own a home be voting on decisions that affect homeowners?

I've definitely seen non-homeowners be allowed to serve on boards. Usually the result is that vendors/suppliers (e.g., the property manager) serves on the board. It's clearly a conflict of interest--wouldn't it be great to be able to approve contracts between the HOA and your company? Hmmm, I wonder how tough the terms of those contracts will be.
JohnC46
(South Carolina)

Posts:10366


01/11/2021 2:58 PM  
Linda

Learn the difference between a Director (a Member of the BOD) and an Officer. Typically Officers are Members of the BOD but not all Members of the BOD are officers. That having been said, some Bylaws vary.

I believe all Members of the BOD should be owners and all Officers should be Members of the BOD thus all Officers should be owners. The only place I could vary is the Treasure's position and even then, the person should be appointed by the BOD. Meaning appointed for the reason of getting a qualified person, not just some owner that does not know what the difference between Reserves and an Operating Budget means.
JohnC77
(Washington)

Posts:434


01/11/2021 3:08 PM  
Unfortunately many community associations allow non members to serve as directors. In 2020, California made it a requirement that director need also to be owners.
GeorgeS21
(Florida)

Posts:3602


01/11/2021 4:49 PM  
My current community’s Bylaws allow non owners as directors, and with the exception of the president, do not require officers to be board members.

This is because the doofuses did not modify their Bylaws following turnover from the developer.

This is a failure of the Board for 14 years - and, that of our generalist attorney.
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Forums > Homeowner Association > HOA Discussions > HOA Non-members on the Board of Directors



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