There are different types of HOA meetings, each one with a specific purpose. Understanding the function of these meetings and what goes on in them is critical to both board members and homeowners. This will allow board members to conduct meetings more efficiently and homeowners to identify which meetings they should attend.
What Is the Meaning of an HOA Meeting?
An HOA meeting is a broad term used to describe a meeting that takes place within a homeowners association or condominium. Meetings, within the context of HOAs, come in various forms. Each type of meeting serves a specific function and comes with its own set of rules or requirements.
What do people talk about at HOA meetings? It really depends. Different types of HOA meetings have different purposes. Generally, you will find that homeowners and board members discuss association-related business at these meetings.
What Are the Different Types of HOA Meetings?
It is important to separate HOA meetings according to type. This is because each type of meeting can have distinct objectives, structures, quorum requirements, and rules. By distinguishing these meetings from one another, you can conduct more seamless and smooth meetings in your community.
Here are the different kinds of HOA meetings and their key qualities.
1. Annual Meetings
As its name suggests, an annual meeting is a meeting that takes place once every year. It is also known as a membership meeting. Most associations must hold an annual meeting as required by state law, their governing documents, or both. For instance, in North Carolina, the Planned Community Act Section 47F-3-108 stipulates the annual meeting requirement.
Purpose
What happens at an annual meeting? What is the purpose of an annual board meeting?
Typically, during the annual meeting, the HOA board addresses several issues, presents the annual budget, and discusses past year’s events. This is also when the board would discuss any upcoming projects in the community. Moreover, the HOA elections for new board members usually occur at the annual meeting.
Attendance
Annual meetings are open to all members of the association. In fact, the board should encourage homeowners to attend the annual meeting because this is when elections take place. Additionally, homeowner attendance is necessary to reach a quorum, which is discussed below.
Notice Requirements
Notice requirements will also depend on state laws and governing documents. In the same instance as above, North Carolina law requires advance notice of any meeting at least 10 days but not more than 60 days prior. The board must send this notice through hand delivery, prepaid U.S. mail, or electronic means. But, in other states, the notice period may be 30 days or something else.
Quorum Requirements
Another thing that state laws or governing documents dictate is quorum requirements. In North Carolina, unless the bylaws say otherwise, an annual meeting reaches a quorum if the persons entitled to cast 10% of the votes for the board election are in attendance or present by proxy at the start of the meeting.
Failure to Reach a Quorum
If an HOA fails to meet a quorum, the meeting can’t continue. The board also can’t conduct any sort of association business. In North Carolina, the meeting adjourns to a later date following the approval of the majority of those present. Then, at the next meeting, the quorum requirement is halved. This cycle goes on until the annual meeting manages to reach a quorum.
Of course, this may not be the structure for all associations. As such, make sure to check your own state laws and governing documents.
2. Board Meetings
Board meetings are perhaps the most widely recognized among the types of HOA meetings. State laws often require associations to hold board meetings. An HOA’s governing documents may contain similar language.
Purpose
During this meeting, the HOA board discusses various association-related matters. These can include enacting policies, going over maintenance reports, reviewing budgets, and resolving disputes.
Attendance
Board members must attend board meetings. The board can also invite the HOA manager or lawyer to attend these meetings if necessary. In many states, board meetings must be open to homeowners. For instance, Texas Property Code Section 209.0051(c) requires associations to keep board meetings open to all members.
While homeowner attendance is not mandatory, it is encouraged. Board meetings allow residents to voice their opinions on various association matters. Attendance also allows them to observe how the board handles issues, which is important for transparency.
Frequency
Most state laws don’t address how often an HOA must hold board meetings. Instead, associations should refer to their bylaws. Different associations have different requirements, going from as frequent as monthly meetings to as few as twice a year. As a general rule of thumb, though, conducting board meetings quarterly is a good idea.
Notice Requirements
As with annual meetings, the notice requirements for board meetings will depend on state laws and your governing documents. In North Carolina, boards must provide at least 10 days’ notice. A similar requirement exists in Texas.
Quorum Requirements
You must check state laws and your bylaws to meet a quorum at a board meeting. In North Carolina, unless the bylaws dictate a larger percentage, you can reach a quorum if the persons entitled to cast 50% of the votes are in attendance at the start of the meeting. More often than not, board meetings have a quorum if a majority of the board members are there.
Failure to Reach a Quorum
Your association’s bylaws will dictate what should happen if you fail to meet a quorum at your board meeting. Typically, you would postpone the meeting to a later date until you can satisfy a quorum.
3. Executive Sessions
This one is unique among the different homeowners association meetings in that it is only open to select people. Executive sessions happen as often as the board needs them. However, they usually coincide with board meetings, taking place either before or afterward.
Purpose
When the HOA board must discuss or vote on private or confidential matters, they do it at an executive session. Privileged or sensitive matters can include personnel issues, delinquent homeowners, ongoing litigation, and disciplinary hearings.
Attendance
Executive sessions are generally only open to the HOA board members. Sometimes, the board may invite the community manager or lawyer to attend.
There are also cases where a homeowner who is a directly involved party in a confidential matter can attend the meeting. For example, if a homeowner must appear at a disciplinary hearing for a violation. However, that homeowner can only attend the portion of the meeting relevant to them.
Notice Requirements
Despite being a closed meeting, homeowners still have a right to know when executive sessions take place. The board must still send out a notice of the meeting to all members. However, the minutes of this meeting are usually kept confidential as well.
4. Committee Meetings
Many associations have committees that fulfill designated roles and responsibilities. There are committees for architectural reviews, budgeting, and even social events. These committees help the board manage its workload by sharing some of its tasks.
Purpose
Just like the HOA board, committees must meet regularly. These meetings keep everyone’s goals and timelines aligned and provide updates on ongoing or upcoming projects.
Attendance
Committee members attend committee meetings along with select board members. Some board members may act as committee chairs, so their presence is valuable at these meetings. Depending on your governing documents, committee meetings may also be open to homeowners.
Notice and Quorum Requirements
Most states don’t provide guidelines for committee meetings. That said, following the same notice and quorum requirements as board meetings is a good idea. You may also find these requirements outlined within your bylaws.
5. Special Meetings
Also known as emergency meetings, special meetings are meetings that aren’t part of the regularly scheduled meetings. Special meetings don’t happen frequently — and they shouldn’t. These meetings should only occur if urgent or emergency issues can’t wait until the next board meeting.
For example, the board may call for one if a disaster happens. Homeowners may also call for one if they wish to remove a board member.
Who can call for a special meeting in an HOA? It depends on state laws and your governing documents. In North Carolina, special meetings can be called by:
- The board president
- A majority of the HOA board
- Lot owners that possess 10% of the votes in the HOA (or any lower percentage as stipulated in the bylaws)
Notice requirements will also depend on the association. However, given the nature of special or emergency meetings, advance notification isn’t always required. Typically, the meeting may also happen in person or electronically.
How to Run a Homeowners Association Meeting
While the different types of HOA meetings have different functions, all of them need to be run efficiently to ensure productivity. Not sure where you can start as an HOA? Here’s how to run a HOA board meeting.
1. Plan Meetings Ahead
If possible, the board should plan all the meetings for the year ahead of time. This applies to all the aforementioned types of HOA meetings except for emergency meetings. Doing so will help the community know when they can expect the HOA to conduct a meeting. This will give them plenty of time to prepare in advance and keep their schedules open. It also helps the board keep the number of meetings manageable.
2. Create Meeting Agendas and Assign Times
If you don’t know how to run an HOA board meeting, the first step is to set an agenda. Creating a set agenda will set the meeting up for success. It ensures that the meeting won’t go off-topic so the necessary agenda items will be covered.
Remember to distribute the meeting agenda beforehand. That way, the members can prepare their questions and review the necessary documents to participate in the discussion.
In addition, it’s best to assign times for each agenda item so the meeting can address all the necessary points of discussion. This will keep what’s supposed to be a 10-minute discussion from dragging too long and turning into an hour-long debate. Remember to wrap up the agenda item once the time runs out.
3. Take Minutes
Every meeting will require minutes. Assign someone to take them as these minutes will serve as the HOA’s official record. The minutes must include the topics that have been discussed, motions, votes, and issues brought up. It should also include basic information such as the date, time, agenda, attendance, proxies, taken or rejected motions, next steps/actions, and time of adjournment.
4. Handle Motions Gracefully
Almost every meeting will have motions, so the board must know how to handle them gracefully. Consider reviewing and following Robert’s Rules of Order and follow these guidelines:
- Members should stand to make a motion and gain the board member’s official title
- The board member must acknowledge the member and let them take the floor
- Another member can second a motion to signify it’s worth moving forward
- Members may debate the motion
- The board will ask for members who are in favor or opposed to the motion to take votes
- The presiding officer must announce the results of the vote, and it must be recorded in the minutes
5. Limit the Time Homeowners Can Speak
It’s important to hear the opinions of the homeowners to ensure community satisfaction. However, the HOA should be careful not to let them take the floor haphazardly or for too long. Otherwise, the meeting could go on forever and go off-topic.
Consider designating a specific time or venue to hear homeowner comments and questions. This could be before or after the board meeting. Also, each homeowner should only have 1-2 minutes to make sure everyone is heard. The HOA could also receive their comments and questions before the meeting so the board can organize and address them properly.
6. Remind Everyone of the Rules
HOA board meetings must be organized to be productive. Remember to remind all the attendees of the association’s meeting rules. The homeowners should know when they can speak, how they can raise their opinions, and how they must conduct themselves during the meeting. It’s also important to provide an overview of the discussion before the meeting so everyone’s on the same page. Moreover, review the action items and motions that were voted on during the wrap-up.
When It Comes Down to It
As you can see, there are varying requirements and structures for the different types of HOA meetings. No two associations are exactly alike, though. It is important to review state laws and governing documents to understand the requirements and procedures for your particular HOA.
Clark Simson Miller provides HOA management services to community associations. Call us today at 865.315.7505 or contact us online to learn more!
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