Many new board members want to serve their communities but don’t always know what is involved in HOA management. To clear up any confusion, SpectrumAM has put together a basic overview of the roles and responsibilities associated with serving on your HOA’s board of directors.

 

Board Member Roles

In an HOA, all board members have an individual role with different responsibilities. There are five main HOA board officer positions, as listed below:

  • President: The HOA president’s main purpose is to manage the board itself and make sure everyone is acting within the association’s governing documents.
  • Vice President: An HOA’s vice president performs many of the same functions as the president. When the president is not present, the vice president takes the president’s leadership position.
  • Treasurer: The treasurer assumes responsibility for the HOA’s funds and other financial records.
  • Secretary: The secretary organizes association documents, develops meeting agendas, and maintains meeting minutes and other official records.
  • Member-at-Large: The Member-at-Large’s duties typically entail serving as an intermediary between the board and homeowners.

Depending on the size of the HOA, there could be several board members in the same role – i.e., multiple treasurers, secretaries, etc.; however, the essential duties remain the same.

Responsibilities

Beyond the parliamentary procedural expectations, board members have other primary duties related to the association’s management.

The legal duties a board member has to the members of their association are specific:

  • Compliance with federal and state laws. Board members should always review local, state, and federal laws before passing any rules or sending bylaws to homeowners for approval.
  • Enforce HOA documents. Board members must constantly monitor the association and establish, publicize, or enforce rules as needed.
  • Communicate to the members of the association. To adequately communicate necessary information to the HOA’s members, board members must attend and participate in meetings and inform homeowners of the decisions reached at those meetings.

Fiscal Duties

Additionally, board members have fiscal duties comprised of financial measures and regular housekeeping matters they must perform to manage their community well. These may include:

  • hiring and maintaining a well-qualified attorney, auditor, and insurance agent,
  • utilizing the reserve study to make crucial decisions regarding the upkeep of the association, and
  • ensuring the HOA has adequate insurance coverage at all times.

Some of the regular, day-to-day financial duties of board members includes developing a workable budget, establishing sound fiscal policies, and maintaining accurate records that make it easy to keep up with cash flow. Determining an accurate assessment rate and collecting assessments is another major board duty. These practices are often the “nuts and bolts” of association management.

 

By reviewing the information above, new board members can get a better understanding of how to fulfill their role within the association. At SpectrumAM, we appreciate our board members and are happy to answer any questions you may have.