Page 21 - New England Condominium February 2019

NEWENGLANDCONDO.COM NEW ENGLAND CONDOMINIUM - FEBRUARY 2019 21 MEET MORE THAN 175 EXHIBITORS IN ONE DAY, UNDER ONE ROOF. (Wear comfortable shoes.) SEAPORT WORLD TRADE CENTER, BOSTON — WEDNESDAY, MAY 22, 10-3:30 FREE REGISTRATION: NE-EXPO.COM THE NEW ENGLAND CONDOMINIUM EXPO 2019 WHERE BUILDINGS MEET SERVICES lots, for which the association contracts a landscaper and a guy with a snowplow. In this version of bedrock New England democracy, the board calls a meeting of unit holders when a major decision has to be made, and a vote is taken to deter- mine how to proceed. And, according to Ryan, the unit owners actually show up! Making the decision to self-manage your co-op corporation or condominium association is a big one, and one not made lightly. Much depends on the complexity of the individual situation. Large, ameni- ty-laden properties might find it difficult to do. There also has to be a willingness on the part of the residents to assume the responsibilities generally associated with a managing agent. There’s no magic wand to be waved. The decision, though, does not appear to rest on the perceived sav- ing in purchasing goods and services that many owners attribute to having good management. Instead, the financial deci- sion should rest on a comparison of what the cost of management is on a per-unit basis, and whether that cost is equal to, greater or lesser than a do-it-yourself ap- proach. In the end, going it alone also re- quires the commitment to actually do it yourself – the flip side of the same coin. n A J Sidransky is a staff writer/reporter for New England Condominium, and a pub- lished novelist. then members of those groups run for board positions in order to advance the interests of their smaller group. It’s not hard to see how this can lead to problems, as those members clearly do not have the whole of the associa- tion in mind when governing. “Serving on a dysfunctional board is ex- hausting for the members who may well opt to resign rather than continue to ‘fight the fight,’” says Davis. “That level of dysfunction also typically leads to increased expenses for the association, as board members may have more cause for requesting legal opinions to support or offset arguments among them- selves. Occasionally, when there is a bad actor on a board who is causing so much difficulty that it interferes with the function of the asso- ciation, there may be a political effort waged to have that member recalled by membership through a statutory process. If the board is split by faction, it will be up to the political savvy of willing directors to form coalitions of support in order to get things done by ma- jority.” Key to communication is listening. And if board members are not listening to each other, bringing in a neutral party may help to open their ears. “When board members are diametrically opposed, it may be time to call in a professional from a field related to the argument at hand,” advises Straits. “Even if that professional is saying the same thing as a particular board member, the others may be more open to hearing the message if articu- lated by an experienced outsider. “And,” Straits continues, “many arguments come down to the individual communica- tion styles of specific board members. It can be helpful for each member to reiterate what they ‘heard’ another member say, as it can be surprising to hear members repeat what they thought they had just heard. If differing members can realize their differences in com- munication styles, it can help push through and resolve issues. But, at certain times, there is no resolution that is satisfactory to every- one. When that happens, the board members need to understand that it is their fiduciary responsibility to support the decision of the majority.” While mediation can occasionally be helpful in placating feuding residents, it’s rarely useful in the board context, according to Fleiss. “Formal mediation by an indepen- dent third-party facilitator may even result in agreement purely for the sake of agreeing; that is, an agreement that is not necessarily in the best interests of the building and its residents. Plus, formal mediation typically involves financial costs – including to com- pensate the mediator – which boards may be hesitant to incur. But informal ‘mediation’ by fellow board members, relevant profes- sionals – architects, accountants, attorneys, for example – or managing agent can assist MANAGING BOARD... continued from page 16 and two are over 70. “There are also many subcommittees,” he says. “Almost everyone serves on a subcommittee before becoming a board member.” In Jordan’s experience – and he has served for many years – it wasn’t always that way. “Many years ago, the demograph- ics were older for board members,” he re- calls. “Committee involvement has gotten younger people involved. Last election we had nine people running for three posi- tions, and many candidates were younger people. “Older members,” he continues, “share institutional knowledge with younger members for better decision making. Usu- ally we are not really far apart on things anyway. Differences of opinion tend to be about approach rather than age.” The main flashpoints tend to be about capital im- provements. “Older board members tend to be more conservative and cautious, but they are willing to listen.” Jordan also says that the board tries to spend money on things that don’t exclude people. So for in- stance, they have both indoor and outdoor play areas for children where pizza nights are held weekly – but residents without young children aren’t excluded from the activity. They are also rewriting some house rules right now and seeking cross-age par- ticipation. Enza Guida is the secretary/treasurer of Bay Park Towers, a 254-unit condominium located in the Edgewater section of Miami. She has lived in the property for approxi- mately four years, and this is her first year on the board. The building has a five-mem- ber board. Guida explains that when she moved into the property, the board was dominated by older residents. During a renovation of the lobby, many residents felt that the board didn’t give them a say in the project, mak- ing decisions without input from the other owners. People wanted change, and more of a voice – so they spoke with their bal- lots at the next board election and voted in several younger members. The result of the turnover is that four of the current board members are in their 40s or 50s. “Young- er people bring ideas,” Guida says. “New board members pushed through the idea of redoing the floors, and the older members like the idea. There’s more listening going on than before. The new board wants to lis- ten to opinions and voices.” Perhaps in the end, diversity by age, as in other areas, adds to a board’s ability to govern fairly and effectively. Younger people bring fresh ideas, and older people bring prudence and experience. These two factors can balance governance. “As an at- torney for co-op and condo communities, I like a mixed board,” Hakim says. “You get both experience and energy.” n A J Sidransky is a staff writer/reporter for New England Condominium and a published novelist. spection he usually covers. To date, there haven’t been any conflicts. Everyone gets along. We don’t keep an attorney on re- tainer, but if we need legal services, we have someone we can call.” Comparing his experiences in both a large co-op and a small condo, Emmers says: “Living in a big building is easier. In a small building there are times when I would like more help, but everyone is so collegial that it makes me feel good about doing things.” In an interesting twist, Kathy Ryan lives in a 67-unit condominium com- munity in Johnston, Rhode Island, which is self-managed and has been for the 19 years that she has lived there. She has also sat on the board for 16 of those 19 years. The board has seven members and meets once a month. At that meet- ing they handle the day-to-day business of the association, as well as dealing with any complaints from unit owners. Com- plaints and comments are left in a “black box” by residents. All monthly bills are reviewed and paid by the treasurer. The treasurer also completes the annual taxes, so there’s no need for a bookkeeper. There are no in- terior common areas, so there’s no need for a paid cleaning staff. The common areas consist of the lawns and parking SELF-MANAGEMENT continued from page 15 continued on page 22