5 Key Condo Board of Directors Responsibilities & Roles

Annual tasks for homeowners association board members checklist

Being a homeowners association board member can feel like a lot of work - but it doesn't have to! Find out what the typical annual tasks for board members are with our free checklist. 

To be successful, condominium and homeowner associations need a dedicated board of directors. The people serving on the board need to understand their roles and responsibilities. They must remain committed to fair representation of the residents they have been elected to serve. 

community association boardThe volunteer board of directors must approach the operation of their association as a business. It’s their responsibility to protect the investment and interests of all the owners. This includes maintaining the common property, managing the finances, and creating policies that promote harmony between the people living in the community.  
 
To make this happen, the board must meet regularly to set goals, interpret, and administer the bylaws and make decisions on behalf of their community. Effective condominium and homeowner association boards are those whose members are respectful of each other and work together with a spirit of cooperation. 

What are the fundamental homeowners association board roles and what are their responsibilities? 

There are five fundamental positions on an association board that should be filled. They are:  

  • President 

  • Vice president 

  • Secretary 

  • Treasurer  

  • Community association manager 

Each position has unique responsibilities. And the person that fills each role should have a certain skillset to be successful in their position. To better understand each role and determine which you’d be best suited to, let’s break them down.  

President  

The association board president is responsible for the successful operation of the community. They set the agenda and chair the annual meeting and board meetings. Working to maintain order and keep the discussion on topic.  

The president is responsible for the daily execution of the association’s business. They act as the primary board contact for the community association manager. 

Good communications skills are an asset for this role. They are often the board member that needs to mediate when disagreements between other members arise. Other beneficial qualities are fairness, openness, leadership skills, and being a team player. As the president, they must collaborate with a wide variety of people and personalities and can’t be afraid to delegate tasks. 

Vice president  

It’s no surprise that the vice president takes over the president’s duties in their absence. But they don’t sit idly by waiting for that day to come. The president is often juggling many tasks at once.  to help lighten the load, the vice president will take on additional duties and responsibilities as needed.  

A vice president should be flexible, organized, and have good time management skills. This is important because their role is most susceptible to looking different from day to day.  

Secretary  

Association meeting minutesMinutes of a condominium association are public documents. The secretary’s job is to accurately record the proceedings of board meetings in minutes and distribute them to the board for approval. Once approved, the management company makes them available to those who need them for real estate transactions, mortgages, insurance, and legal purposes. 

Being a good listener with strong attention to detail is an essential quality for the person who decides to take on this role. Being responsible and organized is also a huge benefit. 

Treasurer  

The financial health of an association is important to all owners. No one wants to see the monthly contributions increase due to mismanagement of the funds. The treasurer is the board member most involved with the preparation of the budget draft, which is reviewed, adjusted, and approved by the board.  

Then it is the treasurer who closely monitors the monthly financial reports, provided by the management company, and ensures the expenditures align with the budgeted amounts. Realistic budgets and fiscal management are imperative. 

While someone with an interest or even experience working with financials would be ideal for this role, it’s not a requirement. Attention to detail is key when looking for someone to fill the treasurer position. 

Community Association Manager  

Contracting a reputable, experienced management company lightens the board’s workload immensely. The property manager is the board’s link to the management company. They attend board meetings and are a resource to the board as they set policies, determine maintenance requirements, and manage the common property in compliance with the bylaws. The property manager implements the decisions of the board, supported by an administrative team that includes an administrator, accountant, and full-service office. 

Your board is responsible for hiring the community management company. The right community management company will find the community association manager that best suits your community’s needs.  

The needs of your association board may vary 

Of course, there may be other areas of board responsibility depending upon the community, but these are the essential five positions on a typical association board. In addition, there may be a need to monitor parking or pets, prepare newsletters or supervise maintenance or landscaping contractors.  

You may be on the board of a large community that would benefit from the addition of association commissions. Built of residents, commissions assist boards by addressing specific community issues and task and serve as an advisory role.

association commission

Commissions can be formed to deal with a variety of community issues, and they go a long way in improving the effectiveness of an association board. They are also a great way to get the residents involved and more invested in the success of the community.  

Clear understanding goes a long way 

Both the board and the community as a whole should have a clear understanding of the roles on the association board. This will contribute to a well-functioning leadership for the association while helping residents to understand how the board works.  
 
Elected board members will have a variety of skillsets and experience as volunteers. The support of a strong management company will provide the guidance and knowledge to ensure the board successfully fulfills their duties. All of this leads to a thriving community that people are proud to call home.  
 
To better understand how the right property management company can bring out the best of your board, let’s talk.  

 

Wednesday July 05, 2023