The Robson Ranch Carefree Villas, Unit 19 Homeowners Association recently held their first election to seat their new Board of Directors. Congratulations are in order for newly appointed members Sandy Christensen and Janet Townsend. Also voted in was Jack Sarsam, Sr Vice President of Operations, Robson Communities. With the most votes received, Jack will serve a three-year term; Sandy and Janet each will serve a two-year term. Their terms begin June 1, 2018. I want to also thank Alice Corbett and Bill Smith for volunteering to run for an open position on the Board.
The Board of Directors bears the responsibility to operate, repair, replace and maintain the common areas. Board members fiduciary duties involve three basic components: the duty of care, the duty of loyalty and the duty to act within the scope of its authority.
To meet the duty of care, an HOA Board member must make informed decisions which might require a bit of research before they vote on a matter. For example, before fining a homeowner for a rule violation, they must familiarize themselves with the association’s CCR’s and the details of the situation. The Board members must also act in a prudent and reasonable manner, basically using sound business judgement.
The duty of loyalty requires the HOA Board members to act fairly, in good faith, in the interest of and for the benefit of, the HOA as a whole rather than make decisions based on any personal interest or gain. For example, a Board member who owns a pool company should not steer contracts for pool services to family members.
The duty to act within the scope of its authority requires the HOA Board to perform the duties they are obligated to carry out but prohibits the Board from making decisions or acting on matters without the authority to do so. The authority can come from Arizona state law or the governing documents (such as the Articles of Incorporation, Bylaws or CC&R’s. For example, if the laws or governing documents do not grant the HOA Board the authority to adopt new rules and regulations, then any restrictions the Board imposes might be invalid.
Unit 19 homeowners should watch their email for future board meeting announcements.
Have a great summer!