FL Community Association Manager Continuing Education

● Determine the number of members to be appointed to the screening committee. Document their authority as a committee. ○ Appoint and train committee members. ● Train staff.

specified a maximum or minimum transfer fee. They instead must allow their membership to agree on such fees. ● Ensure that the screening reports remain confidential. The information acquired in the screening process becomes documents that may not be accessible to an association member seeking to review or copy records.

FICTIONAL HOMEOWNERS’ ASSOCIATION

screening policies. Some may give you comic pause or even be vaguely similar to an experience you’ve had. Let us now look at how a fictional community association, the Amazing Awesome Community Association, Inc. (AACA), might apply their newly amended documents in its quest to let ‘good people in and keep undesirables out.’ Some directors are very excited about their new authority to ensure that only the right people get into the community. At the next board meeting, the board appoints three members to the resident screening committee all of whom they believe share their values. The new committee is presented with some fresh new applications for purchase (new owners) and for lease (renters). The committee recommendation The application is denied by a vote of two to one. Since the committee is strictly an advisory to the board, the final decision to approve or deny rests with the board of directors. Upon hearing the result, and without waiting for the board to act on the committee’s recommendation, the lessor contacts the committee chairperson and expresses indignation and threatens to sue the association. Requested legal intervention The committee chair immediately calls the association’s attorney to request a legal interpretation defending the committee’s decision. The attorney reminds the committee that the legal firm was only recently hired and that had no role in amending the documents and in fact, has serious concerns about some of the provisions. Subsequently, the association’s attorney issues an opinion that reads as follows: “Article X, Section 5 of the association’s declaration of covenants, rights, and restrictions states that the association reserves the right to reject any person seeking to purchase or lease a residence or reside in the association, who has been convicted of a felony within the United States or its territories, within ten years from the date of their application to the association and have not had their civil rights restored. There have been recent court decisions that have ruled against associations that have denied applications for ownership because the applicant had been convicted of a felony. The courts have questioned how a person who has been convicted of a non-violent felony, such as embezzlement, and has paid their debt to society, can materially affect the association in a negative manner. Courts have also questioned how a non-violent criminal act that occurred many years ago could constitute a problem for an association. Therefore, it is my opinion that it is highly questionable that denial of an applicant for lease on the basis of a non-violent felony that occurred over eight years ago would be withheld, if challenged in a court of law.”

The following is a narrative based on a fictional homeowners’ association, its screening committee members, president, owners, attorney, and applicants. The intent of this narrative is to provide examples of how an association may approach their applicant screening process and point out a variety of concerns with the process. It should help you, the student, to understand some of the intricacies of an attempt to create and implement The association AACA is a 51-unit homeowners’ association, located in an exclusive tropical area along the Intracoastal. It is extremely affluent, well- educated, and ethnically heterogeneous. This diverse group appears to get along quite well. Recently, however, some fractures began appearing in its idyllic existence. Surprisingly, conflicts have arisen resulting from the implementation of the new screening related amendments. Shortly after the board meeting, a lease application is received from a middle-aged individual who had served a three-year sentence for embezzlement of a large sum of money from a church where they served as treasurer. They have had no subsequent issues with the law since their release eight years ago. The owner of the unit for rent (lessor) is the president of the AACA board. The screening committee provides the 14-day required notice to the applicant, by both regular and certified mail. The applicant and the lessor appear at the meeting, which is open to members to attend. The screening committee meeting The lessor introduces the prospective renter, who is well-dressed. The lessor goes on to state that they have known each other for over 20 years, and while acknowledging the fact that the renter made a mistake (arrested for embezzlement of church funds), supported the fact that they paid their debt to society and has been completely rehabilitated. “They will be a great addition to our community,” the lessor asserts. The committee debate Application #1 New renter applicant In a closed meeting, the committee considers the application and the applicant. Comments and attitudes from the screening committee include: ● “I am a deacon in my church and anyone who stole from a house of worship should not be permitted to own or live in our community.” ● Another committee member explains that the new document amendment prohibits only convicted violent criminals and that embezzlement, although a terrible crime, is not a violent one. ● A third member, who does not like the lessor, informs the other members that, “My lack of trust for the lessor and the idea of having an ex-con living in the community will result in my vote to deny the application.”

Application #2 New owner applicant

The screening committee meeting The applicant attended the screening committee meeting and hands each member a sunflower.

A month later, a purchase application arrives from a former heir to a substantial family fortune. Unfortunately, this individual was disinherited because of a lifestyle choice.

EliteLearning.com/CAM/Florida

Book Code: CAMFL1524

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