The start of a new year is a natural time for a board to step back from daily business and decide what should be done better. The resolutions below are practical, measurable, and suited to any Florida homeowners or condominium association.
This article is general information and is not legal advice. The association's attorney should be consulted.
Review the Governing Documents and Set Goals
1. Review the governing documents. Declarations and bylaws are often decades old. Provisions may conflict with current Florida law, refer to outdated technology, or no longer reflect how the community lives. A review with the association's attorney can show which provisions are no longer enforceable and which need amendment.
Amendments must follow the procedure in the documents. In a homeowners association, unless the documents or law provide otherwise, a governing document may be amended by the affirmative vote of two-thirds of the voting interests under section 720.306. Owners should be told why a change is proposed well before the vote.
2. Set specific, realistic goals. "Save money" and "improve satisfaction" are wishes, not goals. A useful goal states what will be done, by when, and how success will be measured, such as rebidding the landscaping contract before renewal or holding a set number of social events during the year. Owner surveys can measure satisfaction before and after.
Communicate and Be Transparent
3. Communicate more often. Owners should know what the board is working on, what projects are coming, and how to raise a concern. A regular newsletter, a current website, and timely meeting notices go a long way. Board meeting notices must be posted at least 48 hours in advance, and 14 days' notice is required for meetings where special assessments or rule changes about the use of parcels or units will be considered.
4. Work toward transparency. Financial information builds trust. Each HOA member must be given a copy of the annual budget or notice that it is available at no charge, and an annual financial report is required under section 720.303. Condominium owners have similar rights under chapter 718. Official records requests must be answered within 10 working or business days. Personal information that the law protects, such as owners' telephone numbers and email addresses, should never be published.
Make Smarter Financial Decisions
5. Budget from actual results. A budget should start with the prior year's actual costs, then account for contract increases, insurance, and inflation. Existing contracts should be reviewed for overlap and renewal terms, and larger contracts should be bid as required by law.
6. Strengthen collections and reserves. Clear notices, convenient payment options, and a written collection policy applied to every owner reduce delinquencies. Reserve contributions should be funded as planned, and condominiums must follow the reserve and structural integrity reserve study requirements in section 718.112. More on this subject appears in
consequences of not having cash reserves.
Review Insurance
7. Review insurance with the agent. Property, general liability, directors and officers, and crime or fidelity coverage should be reviewed every year. Florida law requires associations to maintain insurance or a fidelity bond covering everyone who controls or disburses association funds, with limited exceptions. Wind and flood exposure, deductibles, and replacement cost values should be checked against current conditions, since construction and repair costs change quickly.
Keep Learning
8. Pursue education. Florida now requires training for association directors. Under section 720.3033, a newly elected or appointed HOA director must complete approved education within 90 days and continuing education each year after that. Condominium directors also have certification and annual continuing education requirements under chapter 718. Beyond what is required, directors benefit from seminars by attorneys, accountants, and industry groups, and from reading the documents of their own community.
The board's duties are described further in
the role of the board of directors.
Start the Year With Support
Resolutions are easier to keep with help. Budgets, communication, records, and board education are supported for the communities managed by Condominium Associates. Boards may
request a proposal or
contact us.
