Although homeowner associations are created as nonprofit corporations, this does not mean the associations do not engage in financial transactions or require the services of a certified public accountant (CPA). For example, it is common for an association’s governing documents to require a financial audit or review on an annual basis, and associations are required to file tax returns every year. Further examples of situations in which it may be beneficial to consult a CPA include:
Most community associations have a set of guidelines that spell out its architectural design standards and review processes. These guidelines should reflect a balance between individual rights and the good of the entire association. They generally explain:
- The association’s authority to review designs.
- Changes that must be approved.
- The design review process.
1. Know the Rules – Understand and comply with the restrictive covenants, by-laws, and other rules and regulations.
2. Know that you must pay your assessments on time.
The annual meeting – the most important meeting of the year – is approaching. Often the annual meeting is one of the only times the community gathers. As president of your community association, what can you do to get the most out of the annual meeting, make it positive for the community and as...