There are different types of board meetings, all including their own purpose.
ANNUAL MEETING
The purpose of an annual meeting in an HOA is to provide an opportunity for the board of directors and homeowners to come together to discuss important issues affecting the community. The annual meeting is typically held once a year and is required by law in many states.
Specific purposes of an annual meeting may include:
Electing new members to the board of directors or voting on other important issues affecting the community, such as amendments to the governing documents or changes to the association's budget.
Presenting reports on the financial status and operations of the association, including updates on maintenance and repairs to the common areas, improvements to the community, and other matters of interest to homeowners.
Providing a forum for homeowners to ask questions, voice concerns, and provide feedback on the community and its management.
Reviewing and approving the association's annual budget and setting assessments or fees for the upcoming year.
Sharing information about upcoming events, activities, or initiatives within the community.
It is important for homeowners to attend the annual meeting and participate in the decision-making process of the association. This can help to ensure that the interests of the community are being represented and that decisions are being made in the best interest of all homeowners.
REGULAR BOARD MEETINGS
The purpose of a board meeting in an HOA is for the board of directors to come together to discuss and make decisions regarding the management of the community. Board meetings are typically held on a regular basis, such as once a month, or as outlined in the bylaws.
Specific purposes of a board meeting may include:
Discussing and approving the association's budget and setting assessments or fees for the upcoming year.
Reviewing and approving contracts with vendors or service providers.
Reviewing and approving proposed changes to the association's governing documents or rules and regulations.
Addressing homeowner complaints or concerns and taking action to resolve issues within the community.
Planning and organizing community events, activities, or initiatives.
Reviewing and approving architectural review applications or requests for changes to the appearance of homes or other structures within the community.
Monitoring and addressing violations of the association's rules and regulations.
It's important for the board of directors to hold regular meetings and to make decisions in the best interest of the community. Homeowners may be able to attend board meetings as observers or may be able to address the board during a designated time for homeowner input.
BUDGET RATIFICATION MEETINGS
A Budget Ratification Meeting is a meeting session where homeowners come together to review and approve the association's proposed budget for the upcoming fiscal year. The purpose of this meeting is to provide homeowners with an opportunity to review the association's financial plans and to vote on whether or not to approve the proposed budget.
Specific purposes of a Budget Ratification Meeting may include:
Reviewing the association's financial statements, including income and expenses, reserves, and other financial information.
Reviewing the proposed budget for the upcoming fiscal year, including projected revenues, expenses, and capital expenditures.
Discussing any concerns or questions that homeowners may have regarding the proposed budget.
Voting on whether or not to approve the proposed budget.
It is important for homeowners to attend the Budget Ratification Meeting and to participate in the decision-making process of the association. This can help to ensure that the association is making financially sound decisions that are in the best interest of the community. If the proposed budget is not ratified, the board of directors may need to revise the budget and hold another Budget Ratification Meeting to seek approval from homeowners. Typically, 51% or more home owner attendance is required in order to vote against budget ratification. EXECUTIVE SESSION An executive session in an HOA is a closed meeting that is typically limited to the board of directors and other individuals specifically invited by the board. The purpose of an executive session is to discuss sensitive or confidential matters that cannot be discussed in an open meeting, such as issues related to legal matters, contracts, personnel issues, or homeowner privacy concerns.
Specific purposes of an executive session may include:
Discussing and receiving advice on legal matters, such as pending lawsuits or disputes with homeowners.
Reviewing and approving contracts with vendors or service providers.
Addressing personnel matters, such as hiring, firing, or evaluating employees or contractors.
Discussing sensitive or confidential information related to homeowner privacy concerns.
Discussing matters that may require the board to take action that would be best discussed privately.
It is important to note that executive sessions are not intended to be used as a way for the board to make decisions without input from homeowners. While executive sessions are closed to homeowners, any decisions made in executive session must be reported in open session and included in the minutes of the meeting.
For more information on community association management please contact AGM Real Estate Group
AGM REAL ESTATE GROUP
Community Association Management | Bellevue, Washington
206.622.8600