Everything Your Community Association Needs To Know About HOA Executive Sessions
An integral part of the smooth operation of any Aurora, CO community association is meetings. HOA meetings foster a strong sense of community and help residents become more engaged in their community association. They’re also a functional necessity, as this is when all of the decisions that most significantly impact your HOA are made.
Another key reason for meetings is to ensure transparency between the HOA board and residents. However, if you’re part of a community association, one type of meeting that may seem shrouded in mystery is the executive session. These closed-door meetings may leave you with more questions than answers if you’re a resident or new to your HOA board, but luckily we’ve put together this guide to share everything your community association needs to know about HOA executive sessions.
What Are HOA Executive Sessions?
HOA board meetings are an important part of the community management process. At these meetings, the board will discuss and vote on various matters related to the HOA, such as budgeting, assessments, rules and regulations, and other matters. There are two primary types of HOA board meetings — regular sessions, which are open to all HOA members, and executive sessions, which are private meetings of the board.
Executive sessions are meetings in which confidential decisions are discussed and made. These meetings are not open to the public and are attended only by board members. These meetings may cover legal issues, delinquent payments, internal committee problems, and other serious and private matters.
Who Can Hold Executive Sessions?
All states allow HOA boards to hold executive sessions, so all community associations are eligible to hold them. However, the specific guidelines for when executive sessions are permitted vary from state to state.
For example, California gives HOA boards a broad scope of when executive sessions can take place. By contrast, Florida only allows executive sessions in two instances: when discussing litigation or when discussing personnel matters. If you’re unsure of your state’s guidelines for when you’re able to hold executive sessions and what’s allowed to be discussed, consult with your HOA management company for guidance.
What Is Discussed at Executive Sessions?
State laws and your HOA’s governing documents dictate what’s allowed to be discussed during executive session meetings. However, these meetings are generally reserved for private and confidential matters, including litigation, contracts, disciplinary action, delinquencies, personnel matters, and foreclosures.
The main goal of any executive session is to address any issues or topics that require discretion. The private nature of these meetings allows the board to make informed decisions for the benefit of the community while protecting sensitive information that may not be appropriate for an open forum.
Are HOA Executive Sessions Open to All Homeowners?
Regular board meetings are typically open to all HOA residents in an effort to promote community, engagement, and transparency. However, executive sessions are not open to members of the HOA and are typically reserved only for board members.
If desired, board members can invite relevant third parties, such as the association’s lawyer or HOA management company, to these meetings to consult. In specific instances, individual homeowners may be invited to attend the executive session if it pertains to them. For example, a resident may request to meet with the board members in an executive session to discuss their disciplinary action, unpaid fees, or pending foreclosure.
HOA board meetings can sometimes be a full-time job in and of themselves; handling the many other aspects of successful community management can be overwhelming and even impossible if your board is small, inexperienced, or otherwise just busy. Professional HOA community management is beloved by community association board members across the country because it lightens the load on Aurora, CO, board members and allows you to focus more of your time and energy on your community’s overall well-being — including executive sessions. If your community association could benefit from a professional HOA management company, call The Management Trust at 303-750-0994 or fill out our online contact form today. We’ve been one of the nation’s leading HOA management firms for 30 years, and we’d love to help your community thrive as well.