Cohousing-L Mailing List: RE: HOA Dues - Call for Experiences

[Rob Sandelin (robsan]

1. How are you controlling individual purchases by community members and
committees?

In general at Sharingwood we require approval of expenditures of 
community funds by the treasurer. What this usually means is calling up 
Stephana and telling her what you want. If she has an issue with it 
then it goes to the board.  Some Committees have their own budgets, in 
which case very large expenditures are run by the board / or the whole 
group, smaller amounts are spent as needed. For example we are spending 
several thousand dollars of the phase2 budget by hiring the cohousing 
company. (The phase 2 budget has about $34,000 in it)  The committee 
got approval from the whole to hire the cohousing company which 
includes spending the funds. The committee has spent other funds, up to 
several hundred dollars without any oversight.  It is up to the 
committees to decide what is appropriate to ask for the groups input.

2.  How are you dealing with members who are delinquent on their HOA dues?

We charge interest in unpaid assessments after 90 days. I forget how 
much. 7-8% I think.  If assessments go into arrears more than $2,500 we 
file a lien on their unit.  Never happened yet, and since assessment  
have primary lien position, I'm not sure we really need to do this.


3. How have you dealt with the issue of dues increases or special assessments?

We generally do the budget once a year at the annual meeting.  The 
budget is specced by the board and the preliminary proposal is printed 
up and distributed to everyone a month or so ahead of time.  At the 
board meeting prior to the annual meeting there are usually some 
adjustments made from feedback and the almost ready for prime time 
budget is redistributed before the annual meeting.  This seems to 
result in the wrangling  over the budget numbers happening at the board 
meetings and in person with board members rather than at the annual meeting.

Special assessments are approved by the membership at any general meeting.

Occasionally mid year we shift money around from category to category 
in the budget to cover unexpected costs.  We usually budget a capital 
improvement line item for several hundred dollars which sometimes gets 
raided to cover things like childcare overages, or ice cream socials, 
or whatever.  The treasurer  does this sort of wrangling without any 
oversight of the membership, although it is in the monthly financial 
report at each board meeting, and in the  minutes there is a financial 
report which is quite detailed which is published for all to see.  I 
don't think anyone ever reads this or cares much about these sort of 
small adjustments. We have a financial report at each general meeting 
which covers the big stuff.

We have one person who takes care of all the bookkeeping.  She does 
this out of love for the job and love for the community and we are all 
very grateful that she does.

Rob Sandelin
Sharingwood