Thursday September 07, 2023
Owning a home in a community association carries both advantages and obligations. Many individuals find a reassuring sense of structure and harmony in residing within a neighborhood overseen by a Homeowners Association (HOA). However, this structured way of life typically entails a collection of guidelines and regulations known as the HOA bylaws. In this article, we will discuss the importance of HOA bylaws and the procedures involved in modifying them.
Understanding HOA bylaws
HOA bylaws serve as the governing documents that dictate how an HOA functions and how residents should behave within the community. These bylaws are legally binding and can vary significantly from one HOA to another. They typically cover various aspects of community living, such as:- Architectural guidelines: Architectural guidelines are typically outlined, including home renovations, landscaping, and exterior aesthetics to maintain a cohesive look within the community.
- Maintenance and repairs: They establish guidelines for property maintenance, including responsibilities for common area upkeep and who pays for these services.
- Assessment fees: They specify how and when HOA fees are assessed, collected, and what they cover.
- Use of common areas: Rules regarding shared amenities like swimming pools, gyms, and community rooms are defined in these bylaws.
- Dispute resolution: Procedures for resolving conflicts within the community, such as neighbor disputes or HOA-member disagreements.
- Board elections: The process for electing the HOA board members and their roles is often outlined.
- Voting procedures: They determine how decisions are made, including voting on bylaw changes and other important matters.
Can an HOA change its bylaws?
Yes, they can be changed, but the process is usually not a straightforward one. Changing bylaws requires a well-defined procedure and, in most cases, the approval of a majority of homeowners. Here's a step-by-step guide on how HOAs can change their bylaws:- Review current bylaws: The first step is to thoroughly review the existing bylaws. Identify the specific areas that need modification or improvement. It's essential to have a clear understanding of what you want to change before proceeding.
- Proposal: Draft a formal proposal outlining the proposed changes. Be precise and clear about the reasons for the modifications and how they will benefit the community. This proposal should be in accordance with any requirements outlined in the existing bylaws regarding amendments.
- Board Approval: In many HOAs, proposed bylaw changes must first be approved by the HOA board. The board may review the proposal, hold discussions, and decide whether to present it to the homeowners for a vote.
- Homeowner Notification: Homeowners must be informed of the proposed bylaw changes in advance. Typically, this is done through a notice or letter sent to all residents, outlining the proposed changes, the reasons for them, and the date of the upcoming vote.
- Homeowner Vote: The majority of HOAs require a vote by homeowners to approve bylaw changes. Depending on your HOA's governing documents, this may require a simple majority (50%+1) or a supermajority (two-thirds or more) of the homeowners to vote in favor.
- Amend Bylaws: If the proposed changes receive the necessary homeowner approval, the bylaws are amended accordingly. The amended bylaws should be officially recorded and made accessible to all homeowners.
- Notify all parties: Inform all homeowners of the successful amendment of the bylaws and provide them with copies of the updated bylaws for their reference.
Why changing HOA bylaws is important
Bylaws and covenants don't stay relevant forever. Changes in society and the community can make it necessary to tweak an association's rules. And shifts in state laws might force associations to update their bylaws and covenants to stay on the right side of the law.Sometimes, homeowners themselves will push for changes. For example, if most of your members want to change quorum requirements for meetings, it's something your board should consider. But remember, it's crucial to make these decisions logically and with good reason – don't just change things on a whim.
So, how often should you update bylaws? Well, there's no one-size-fits-all answer. But as a general rule of thumb, it's a smart move to give your governing documents a once-over every 3 to 5 years. When you do, make sure to check if any parts are out of date or no longer comply with the law. Getting your association's legal counsel involved in this process is a wise choice to help protect the community.
Challenges in changing HOA bylaws
Any updates or changes can be a complex and challenging process. Several factors may complicate the process, including:- Resistance from homeowners: Not all homeowners may agree with proposed bylaw changes, which can lead to conflict within the community.
- Legal Requirements: Changing bylaws must be in accordance with state laws and existing governing documents. Failure to follow the correct procedures can lead to legal issues.
- Voter Turnout: Achieving the required percentage of homeowner votes can be difficult, as some residents may not participate in the process.
- Conflicting Interests: Balancing the interests of different homeowners within the community can be a delicate task, as not all residents may share the same vision for the HOA's future.
So, to answer the question, "Can an HOA change its bylaws?" – yes, they can, but the process should be well-planned and executed to ensure the best interests of the community are served. Bylaws are the cornerstone of community living and changing them should always be done with the goal of enhancing the overall quality of life for homeowners.
To learn how a professional management company like FirstService Residential can support your community, contact a member of our team.