Community management companies and the managers they hire can be a large part of the success of a homeowner’s association and board of directors. Unfortunately, the reverse effect can also take place. That is why it’s important to understand the roles of the community manager and the board, and how they best work together to help your association thrive.

Today, we wrap up our two-part series on defining HOA roles, as we take a look at the responsibilities of the Board of Directors.

The board of directors has the authority on all matters concerning the association. The board sets policies and enforces them, preserves the common areas and architectural integrity, and has a fiduciary duty to the association. Refer to the following descriptions for clarification on the roles of community managers and board of directors.

  • The board of directors set policies. If homeowners disagree with a policy or rule, they may either talk with the board or the manager. Please note that effective communication works best. Spend time writing a letter or an email explaining your concern, rather than arguing about the policy with board members or community managers.
  • Board members sign checks. Since the money comes from the association’s funds, and community managers are not members of the association, it makes sense that only board members sign checks not managers.
  • The board of directors handles the finances of the community. Although the management company collects assessments and distributes payments to vendors on behalf of the association, the management company does not hold the money. Each association has their own bank account and the board is in control of the finances.

Even though there are specific roles for each the board of directors and community manager, they must all work together for the good of the association. Strengthening your community by holding events, inviting neighbors to meetings, or simply introducing yourself to others not only builds relationships, but makes it easy to talk with neighbors and understand what is happening within your association.

View HOA Roles Defined – Part 1 Community Manager here.