Page 5 - Chapter 11_Zoning_101_7_26_2018_Paperback_Flip_Neat

ZONING 101

HOA Architectural Review Committee A HOA Committee that
reviews additions and improvements to homes in the community
to assure compliance with the HOA Covenants and Restrictions.

HOA Covenants, Conditions, and Restriction (CC&Rs) A
restriction on the use or development of land, or which requires
affirmative actions to be performed like the payment of dues to a
Homeowners Association, maintenance of common open space,
etc. This is set forth in a recorded agreement, and that runs with
the land and is binding upon subsequent owners of the property.
When there is a conflict between local governing laws and the
HOA covenants, the stricter of the two take precedent.

HOA Governance Usually HOA's are structured as private
corporations or private unincorporated associations (commonly as
non-profit ones). HOA's are governed by federal and state statutes
applicable to corporations (or unincorporated associations if so
structured), as well as the HOA's own "governing documents".

HOA Board of Directors Initially the board is composed of
developer-appointed members, in order to maintain the character
of the community that the developer has for it. As the percentage
of ownership shifts from the developer toward owners, the
corresponding percentage changes from developer-appointed
members to homeowners elected at an annual meeting, and
ultimately the board will consist solely of homeowner-elected
members. Usually the board (or parts of it) will be elected at an
annual meeting of the homeowners, as specified in the Bylaws.

HOA Management Many homeowners associations hire
management companies to handle the governing duties of the
association. Management services are typically divided into three
categories: financial only, full management, and on-site
management. Financial services typically cover administration of
bank accounts, bookkeeping, assessment collection, and the HOAs
budget.

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