How an HOA Works

The Board of Directors is elected by the Homeowners

The Board of Directors is made up of your fellow homeowners, each of whom are elected to terms of one or more years. The Board is in charge of making decisions for the community and delegating to sub-committees.

Meetings are held on a scheduled basis, and have two parts: an Open Session, which all homeowners are entitled and encouraged to attend, and a closed Executive Session in which sensitive matters such as delinquent accounts are discussed. To find out when your community's next Board of Directors meeting is being held and view previous Open Session minutes, please visit your community's website by logging in or signing up.

The Management Group is hired by the Board of Directors

The Management Group works at the direction of the Board of Directors, and performs the day-to-day business of the community. This includes overseeing community funds, assisting homeowners with information and service requests, and touring the community to ensure CC&R compliance.

Each community has a Community Manager, Homeowner Services Representative, and Accounting Services Representative:

  • The Community Manager prepares an information package before every Board of Directors meeting, tours the community to ensure CC&R compliance, and solicits contracts and bids from vendors.
  • The Homeowner Services Representative assists homeowners with information and service requests, generates and sends work orders to vendors, and works closely with the Community Manager.
  • The Accounting Services Representative assists the community manager and homeowners with accounting information and requests, and is responsible for the maintenance of financial records for your association. They are also responsible for the preparation of monthly unaudited financial statements for the Board of Directors' review and approval.

Vendors are solicited by the Management Group and hired by the Board of Directors

Vendors perform specific functions for the community, such as landscaping, painting, and pool maintenance. Many vendors are contracted to perform a service on a recurring basis, and others perform work on an item-by-item basis. Work orders are sent to vendors electronically, and once the work is completed, the vendor notifies management.

Types of vendors include:

  • Attorney
  • Banking
  • Cleaning
  • Construction
  • Electrical
  • Gates & Keys
  • Insurance
  • Landscaping
  • Painting
  • Pest Control
  • Pools
  • Security

Every vendor recommended by Valencia Management Group is required to be licensed, bonded, and insured to work on Homeowners Associations.

Want to know more?

The Community Associations Institute provides a complimentary in-depth ebook entitled An Introduction to Community Association Living which explains your rights, responsibilities, and role as a homeowner or board member.