Is it okay for directors to attend budget committee meeting?
Q: At a recent meeting of the budget committee of our condominium association, a member of the committee objected to the presence of more than half plus one of the directors of the association who were not members of the committee.
The objection was that instead of a budget committee meeting this would become a board meeting because of the presence of the majority of the directors. This person argued that a condominium board meeting is defined by condominium Rule 61B-23.001(1)(a), and also defined in Chapter FS 718, as any gathering of the members of the board of directors, at which a quorum of the members is present for the purpose of conducting association business.
The committee was discussing the 2011 budget, which this person pointed out was a condominium business.
The directors in question were not at the committee table and were seated in the back of the room with other unit owners. All the directors that were not members of the committee were asked to leave the room.
Upon consultation, the association's attorney indicated that board members do not lose their rights as unit owners simply because they are board members and can attend a committee meeting as unit owners.
Further, the meeting does not become a board meeting and the board members should not have been required to leave, simply because there were more than half plus one of them present.
The member of the budget committee who ejected the directors disagrees with the association's attorney based on the above definition of a board meeting. Who is correct?
A: The reference for the situation is FS 718.112. I can find reasons for both answers. The statute clearly says that anytime a quorum of directors "is present," the meeting shall be open to the members.
It also says that a budget meeting must be noticed and open to the members. The only thing missing from a budget meeting is the method of keeping minutes.
Both the board meeting and the budget meeting have similar meeting notices for the members to attend; both a board meeting and the budget meeting would be open to the members. A report must be made to the board of the business conducted at the committee meeting. This report should be similar to minutes but presented to the board.
My sense is that you should follow the advice of the attorney as long as the directors do not interfere with the committee business. It is a good question, and if the attorney had said that it was improper, I would have then said they should leave. But because the attorney approved the attendance, I will agree with the attorney and not the chairman.
Call in pro about carpet exposed to elements, concrete underneath
Q: I live in a three-story condo with carpeted walkways exposed to the elements. They are now carpeted, but the carpet is wearing and should be replaced soon. From one source, we have heard that we can replace the carpet, but another source has told us there are restrictions and we cannot carpet because the carpet retains moisture and causes the reinforcing bars to rust. I have been unable to find anything on this subject.
Do you know of any state, county or city regulation relating to this? If so, can you point me to the source?
A: There may be local codes, but I am not familiar with any laws that restrict carpet. But that does not give you a green light to replace the old carpet with new carpet. It is an engineering and maintenance problem and in the long run will be very expensive to repair the underlying concrete.
There needs to be some type of water sealer and a slope where water can run off the walk. Coverings such as carpet and tile or other materials can allow water to soak to the concrete and will after time crack the concrete.
Once a crack is in the concrete the water can cause the rebar (the reinforcing bars) to rust. Once the rust starts, it expands and will open the crack wider and the damage will accelerate.
I suggest that the board engage an engineer to inspect the area. He/she can then recommend the best covering and waterproofing material to use. Sometimes a rubberized membrane material can be used, but you must keep in mind that some materials may be slippery. The best answers will come from the professionals.
Assessment, maintenance fees are assessed to unit, not owner
Q: Regarding nonpayment of assessments and maintenance fees, when a person sells their unit, in what order does the condominium get what is due them? Do taxes get paid first, mortgage, utilities, etc?
A: Keep in mind that fees are charged to the unit and not the owner. In a normal sale, all fees that are delinquent should be paid. An estoppel letter is sent to the association to be returned with the amount due. At the closing the agent would deduct the amount listed in the estoppel letter and send it to the association.
If for some reason title is transferred without notification to the association, the new owner would have the responsibility to pay the delinquent amounts as it is charged against the unit.
If title is transferred because of foreclosure enforcement, the association may be second in line and lose the delinquent funds. It is an order of priority as to who gets paid first.
Richard White is a licensed community associations manager. Write to him at 6039 Cypress Gardens Blvd., No. 201, Winter Haven, FL 33884-4115. Please include your name and city.
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