Community E-ssentials

October 2004 NUMBER 35   Volume 3 Issue 11  
HOME
CONTENTS
Allocating Insurance Deductibles
Trial of the Month: In-home Business
Avoiding Toxic Mold Insurance Claims
Boomer Shock
Recover Deductions After a Disaster
Q & A
Q & A

Q:  What are the maintenance responsibilities of the association as opposed to owners? In our single family community, owners have expected us to resolve issues regarding soil compaction around their foundations and mail box tampering. We do not believe that these issues are the association’s responsibility, but owners seem to think otherwise.

A:  The duties and obligations of the association, and, thus, the board of directors, are set forth in the association’s declaration of covenants, conditions and restrictions. In a community of single family detached homes, the association’s responsibilities usually revolve around covenant enforcement, architectural control, and maintenance of common area such as open space, roads, and recreational facilities. Sometimes, the association’s responsibility does extend to certain maintenance on lots, such as landscaping. Therefore, depending on your declartion, the association may have some obligation with respect to soil compaction around the foundations of individual homes. You should have the association’s attorney review the governing documents to determine the extent of the association’s obligations. If mailboxes are on individual lots, the association most likely does not have an obligation to address tampering. However, it may have responsibility if the mailboxes are centrally located at a kiosk or on common area.

Townhome and condominium associations typically have greater maintenance responsibility than single family detached communities, especially for such things as grading and landscaping. Every community has different responsibilities based upon its documents. Therefore, every board member should take the time to review the community’s governing documents to understand the association’s responsibilities and be able to communicate those to owners. You should consider having a maintenance chart depicting the division of maintenance responsibility between owners and the association prepared and adopted in order to avoid misunderstandings. As communication is so important in common interest communities, you should also consider periodically including a description of the association’s responsibilities in a letter or newsletter to owners.


Q:  If an association’s governing documents are silent about fine authority, what enforcement options are available to the association?

A:  Even if an association’s governing documents do not expressly provide for fining authority, the association has authority to impose fines for covenant and rule violations under the Colorado Common Interest Ownership Act (“CCIOA”). Therefore, an association may use imposition of fines as a means for covenant or rule enforcement. However, no fine may be imposed until after the association provides the alleged violating owner with notice of the violation and the opportunity to have a hearing to dispute the violation.

Other enforcement options include warning letters, loss of right to use recreational amenities (if governing documents allow for this), and filing a legal action against the violating owner. Whichever enforcement route an association chooses to follow, it should ensure that the same enforcement process is used for all owners. Otherwise, the association may run into claims of selective enforcement and discrimination.

The best way to ensure uniform enforcement is by adopting an enforcement policy that sets out procedures to be used for addressing violations, how complaints are to be submitted and investigated, the hearing process and a fine schedule. If the association does, in fact, adopt such policy, it should be drafted or reviewed by the association’s legal counsel to ensure compliance with due process and other relevant laws.

* Please email or fax your questions with your name and contact information to: QAcolumnist@ortenhindman.com or 303.432.0999. Due to the volume of questions received, we cannot guarantee an answer.

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Upcoming Classes:

School of Association Leadership
BOD 202-Governing Documents & Statutes: What You Need to Know
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October 26, 6:00-9:15 pm

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October 6, 12:00-2:30 pm

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The Community Associations Institute (CAI) is a nonprofit organization that provides education and resources to community associations. To find out more about CAI visit www.caionline.org
 
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Published by Orten & Hindman, P.C.
Copyright © 2004 Orten & Hindman, P.C.. All rights reserved.
These materials have been prepared by Orten & Hindman, P.C. for informational purposes only and are not legal advice. This information is not intended to create, and receipt of it does not constitute an attorney-client relationship. Internet subscribers and online readers should not act upon this information without seeking professional counsel. Please do not send us confidential information until you speak with one of our attorneys and get authorization to send that information to us. If you wish to initiate possible representation, please contact Tom Hindman or Loura Sanchez.
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