State law does not address delinquent HOA board of director members
May 30, 2009 - 9:00 pm
: Can you help answer a question for some homeowners in our community? Are there any NRS rules/stipulations that govern a board of directors from practicing even though they are behind on their own homeowners association dues (two years of nonpayment)?
A: Currently, there are no state laws addressing this issue. There have been proposed legislation that would allow such a board member to remain as a director but would take away the director's voting rights when the matter pertained to violation hearings or to delinquencies.
None of the proposed legislation is law as the proposals are still being discussed and debated in the Legislature.
Some associations have passed amendments to their covenants that would allow the board of directors to remove the director from the board after proper due process (i.e. hearing on the matter) if the director missed specific numbers of consecutive meetings or if the director had not cured a violation or did not cure a delinquency.
Interesting enough, most association governing documents allow the board to prohibit a member from voting on association issues.
If the association had a proposed amendment to the covenants, under this provision, the delinquent director would not be allowed to vote on the proposed amendment as a member of the association.
This provision does not specifically address the issue of whether the board member can be prohibited on voting on issues brought forward by the board.
Ironically, at the board meeting, the delinquent board member could vote on the proposed amendment to send the proposed amendment to the homeowners for their vote.
As the law exists now, a candidate for a board position must only disclose conflicts of interest or disclose the fact that he or she is delinquent and that this information is to be sent to the membership along with the ballots.
The current state law does not allow the associations to prohibit their names being placed on the ballot in the first place because of their noncompliance.
Barbara Holland, certified property manager, is president and owner of H&L Realty and Management Co. To ask her a question, e-mail support@hlrealty.com.