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What to do about condo fee increases?

 
 
Linkat
 
Reply Fri 15 Jul, 2011 11:30 am
We just had a condo meeting where the board discussed a 35% increase in monthly condo fees. Unfortunately neither my husband or I could attend (me at work; him southball coaching), but one of our close friends filled us in.

It seems on the surface there are some items that need to be repaired. By what was discussed many of these are "cosmetic" and they seem to be taking the most expensive route. For example, tearing up entire walkways rather than repairing the area that is damaged.

In any case, I understand that the board can increase rates without the residents' approval. Is there a way the residents can get together to stop this increase? I know at least a few that have been laid off and others like me who's net salary has decreased so any increase in fees will be a burden.
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Type: Question • Score: 2 • Views: 1,705 • Replies: 5
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joefromchicago
 
  1  
Reply Fri 15 Jul, 2011 11:49 am
@Linkat,
You can check the condo association bylaws, but I doubt that there's anything in there about the unit owners overturning a decision by the board.

Usually, if there are large one-time expenses, a condo board will vote for a special assessment, not an increase in the regular assessment. That's unusual, but it's not beyond the board's authority. Your best option, then, is to vote out the current board members at the next election and install a board that will roll back the fee increase.
Linkat
 
  1  
Reply Fri 15 Jul, 2011 12:09 pm
@joefromchicago,
Thanks - that is what I figured and that is my understanding as well. We are reading through our condo docs now (or my husband is) I will read tonight. I was hoping maybe by pulling together a petition, we could influence the board.

We have our condo on the market currently so IF we are lucky this will not directly impact us. They are considering a special assessment. We just had one this year and will finish paying it end of year.

I had thought of running on the board and would, but with working full time and two kids, I honestly do not have any extra time.
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Linkat
 
  1  
Reply Fri 15 Jul, 2011 01:00 pm
I just found this under Mass laws:

Section 18. (a) If fifty per cent or more but less than seventy-five per cent of the unit owners agree to make an improvement to the common areas and facilities, the cost of such improvement shall be borne solely by the owners so agreeing.

(b) Seventy-five per cent or more of the unit owners may agree to make an improvement to the common areas and facilities and assess the cost thereof to all unit owners as a common expense, but if such improvement shall cost in excess of ten per cent of the then value of the condominium, any unit owner not so agreeing may apply to the superior court of the county in which the property is located, on such notice to the organization of unit owners as the court shall direct, for an order directing the purchase of his unit by the organization of unit owners at fair market value thereof as approved by the court. The cost of any such purchase shall be a common expense.

It addresses agreeing to additional costs, does this mean if I get 75% of the owners to agree NOT to pay for these repairs, then we the board would be forced not to increase condo fees?
joefromchicago
 
  1  
Reply Fri 15 Jul, 2011 02:16 pm
@Linkat,
I don't think so. It looks like the statute's purpose is to allow unit owners to make needed repairs by sidestepping a recalcitrant or non-functioning board. That doesn't sound like the case with your association. You have a functioning board. If you can get 75% of the unit owners to agree with you about the new fee increase, then you shouldn't have any problems defeating the current board members in the next election and installing a board more to your liking.
Linkat
 
  1  
Reply Fri 15 Jul, 2011 02:19 pm
@joefromchicago,
Thanks
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