THE VIRGINIAN-PILOT
Copyright (c) 1994, Landmark Communications, Inc.
DATE: Saturday, October 8, 1994 TAG: 9410060370
SECTION: REAL ESTATE WEEKLY PAGE: 08 EDITION: FINAL
COLUMN: COMMON GROUND
SOURCE: G. ROBERT KIRKLAND and MICHAEL INMAN
LENGTH: Medium: 86 lines
Q. My husband and I own a condo that we use as rental property. Recently, our management proposed an idea to have cable television installed in every unit.
It was brought before the board and voted on by the owners.
Fifty-nine percent were in favor of this. As a result, our management claims that all residents must pay an additional $14 with our condo fee.
Several of the owners are very upset about this. There is no mention in our documents in regards to cable television.
Is it possible this extra money for cable TV can be added to our condo fee?
A. The association cannot impose this extra charge in the manner you describe unless your documents have specific provisions.
The Virginia Condominium Act states: ``To the extent that the condominium instruments expressly so provide, any common expense paid or incurred in making available the same off-site amenities of paid subscription television service to some or all of the unit owners shall be assessed equally against the condominium units involved . . . ''
This section of the code provides that the assessment may happen when the documents of the association specifically provide for the charge for cable television.
Thus, it would appear that the board has exceeded its authority if your document does not have such a provision.
You should immediately contact the manager or the board and ask them to provide you with the section of the documents that provide the authority required by the Virginia Act.
If that authority does not exist, then you and the other owners should notify the board of your intent to challenge the additional assessment.
However, there is a way for the board to accomplish this change legally. The declaration and/or bylaws need to be amended to provide the specific authority for the association to incur the charge for cable television.
The process is the same as for any amendment.
First, the appropriate language needs to be drafted and then reviewed by the association's legal counsel.
Second, the proposed amendment needs to be published to all unit owners in accordance with the requirements of the documents for amendments.
Third, a meting of the owners should be called to discuss and debate the amendment.
Fourth, the amendment must be signed by at least two-thirds of the owners or such larger majority as your documents may require.
The number of signatures required differs from association to association and may be different for the declaration and the bylaws.
The board should be absolutely sure that it has followed the exact procedure and format to amend the documents as specified by the Condominium Act and the documents.
Assuming that the amendment is approved, then the amendment needs to be signed by the appropriate officers and recorded in the Clerk's Office of the Circuit Court in your city.
With all these steps taken, the board needs to meet again and follow the necessary steps to approve the additional motions for assessing for cable television.
With the constant revisions that are made to the Virginia Condominium Act, the Property Owners Association Act and the Cooperative Act, it is important that associations take the time before undertaking a task such as this to consult with their attorneys and other professionals.
The outcome of this problem could have been that the association had a bill for cable and no money to pay it.
Even worse, it could have resulted in a suit against the board. We believe in the old carpenter's adage: ``Mark twice and cut once.''
By checking carefully, you can avoid a number of problems. MEMO: G. Robert Kirkland, president of a Virginia Beach property management
consulting firm, and attorney Michael A. Inman specialize in Virginia
community association issues and are affiliated with the Southeastern
Virginia chapter of the Community Associations Institute. G. Robert
Kirkland, president of a Virginia Beach property management consulting
firm, and attorney Michael A. Inman specialize in Virginia community
association issues and are affiliated with the Southeastern Virginia
chapter of the Community Associations Institute.
Send comments and questions to them at Real Estate Weekly, 150 W.
Brambleton Ave., Norfolk, Va. 23510.
To submit questions by phone, call 446-2033; fax: 446-2531.
by CNB