Please Examine Abusive Practices in HOAs and Evaluate Causes

Knowing of numerous homeowners who believe they were: 1. unfairly treated by their HOA Boards, 2. unable to obtain appropriate documentation, and 3. among other slights were dealing with HOA Boards who didn’t follow proper procedures and often used the HOA attorney to intimidate the homeowner, I would ask the HOA task force to address several questions.

Is there commonality in these cases where homeowners are emotionally and/or financial damaged? What is it about the power dynamics and legal structure of HOAs that allows a group of decision-makers to harm others? Many homeowners have valid concerns about the decisions made that directly affect their lives. Yet, the "powers in charge" choose to ignore their duties and often disparage those questioning their authority.

It has been publicly observed that HOAs are receiving a transfer of unrestricted municipal powers, which are easily corrupted by the lack of oversight. In addition, HOAs are becoming increasingly unaffordable. Many of the complaints about HB 1137 are based on the simple request of notifications that cause increased cost of postage and staff time. Yet, there is a cost of doing business inside the legal structure of an HOA that is not understood and/or desired.

As well, the cost of added facilities and infrastructure costs (sidewalks and roads) are increasingly being transferred to homeowners in individual developments. HOAs with extensive recreational facilities are beginning to have the look and feel of private country clubs. There are indications that those living in newer HOAs will not support municipal or county recreation because they are already paying higher taxes to the Metro District for their added amenities and/or new schools or retail centers. The continued maintenance of roads and sidewalks and who pays is coming into question.

There does not appear to be coordination between the State, county, and developers regarding increased traffic on State highways and county roads to accommodate increased residential developments. In the past four weeks there have been three FATAL accidents near our home. The two-lane roads are dangerous with blind spots, wildlife and entry points into the county roads and State highways where drivers are substantially over the speed limits.

I could go on. We are witnessing the abdication of Municipal and State coordination with the transfer of major responsibilities to developers. There is little interest in homeowner input in any stage of development or in the administration of HOAs.

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Thank you for visiting the community engagement tool for the HOA Homeowners’ Rights Task Force.  

Pursuant to HB23-1105, this project has now concluded. On behalf of the Department of Regulatory Agencies and the Division of Real Estate, thank you for your interest and participation.