Maryland Lacking on HOA Regulations

More than 57 million Americans live in communities governed by homeowners' associations.

But as Jessica Forres reports, Maryland lags behind other states when it comes to regulating these associations.



In the Worman's Mill neighborhood of Frederick, Maryland, flashing snowflakes and lights decorate the outside of three adjacent townhomes.

Debra Sachs has the most colorful display...

HOW CAN YOU SELL A PIG WITH GIFTS ON HIS BACK AND IT'S NOT TACKY, EVEN STANDING ALONE IT'S TACKY I DON'T DOUBT IT BUT IT'S ALSO INCREDIBLY TEMPORARY…

But she and her two neighbors received letters from their homeowner's association asking them to remove the decorations or face a fine of $25 dollars a day. Donald Suhaka, a neighbor, says it's the first he's ever lived in a community with an HOA.

I HAVE TO SELL MY HOUSE AT SOME POINT SO I SHOOT MYSELF IN THE FOOT WHEN I SAY THIS BUT I WOULD CHECK WITH AT LEAST TEN OR FIFTEEN PEOPLE CUZ EVERYONE OF THESE PEOPLE IS UPSET WITH THIS THIS PLACE.

The dispute was resolved last night when their association decided to give up the fight.

Jeanne Ketley is with Maryland's Homeowner's Association… a non-profit group advocating for more homeowner rights in the state.

MARYLAND VIRTUALLY HAS NO LAWS PROTECTING PEOPLE THAT ARE ENFORCEABLE. THERE'S LOTS OF LAWS ON THE BOOKS BUT BECAUSE THERE'S NO ENFORCEMENT AGENCY THERE'S NO REALLY ENFORCEMENT CAPACITY FOR HOMEOWNER ASSOCIATION ISSUES.

In Maryland, she says, associations can foreclose on your property if you don't pay your dues.

WHEN YOU BUY INTO A CORPORATION, YOU SAY YOU'RE GOING TO LIVE BY THE RULES OF THE CORPORATION AND YOU SOMETIMES YOU'VE LEFT THE UNITED STATES AND YOU NOW LIVE IN CORPORATE LAND.

The Community Associations Institute says more than 70% of people are happy with their HOA.

Jessica Forres WAMU 885 News

10 comments:

Anonymous said...

Awesome blog and great reading!

Anonymous said...

In my HOA in Damascus, MD our board did not even hold a regular Annual Meeting as required by our governing documents or election.

The Board President Lillian Dangerfield, has contracted with a church=friend of hers to be our HOA bookkeeper. She never got three different quotes from other firms to keep the hiring competitive.

Anonymous said...

The Maryland Office Of Attorney General's Office reported yesterday that they had acted on a complaint against the Preakness Dr HOA Board members Ms Lillian Dangerfield and Mr John Devine for refusing or failing to provide Board meeting minutes to residents and for not holding a 2008 Annual membership meeting and elections as provided in the Preakness Dr HOA governing documents.

The Office claimed Ms. Dangerfield, current HOA President, had agreed to send the Office copies of the minutes since September 2008 and would schedule an Annual Meeting and Board elections by April 2009.

Devine, who had been past HOA President for almost 6 years, had not compiled any officially approved Board meeting minutes during his tenure. Devine is an employee of Lockheed Martin in the Transportation Division in Gaithersburg.

During Devine's tenure as President, he had given an easement right of way to an outsider through the HOA Common Area for the sum of one dollar. He did NOT take an official board vote or otherwise notify the community of this action beforehand. He acknowledged that he did not obtain an attorney's opinion before giving the easement right to this non-hoa individual.

Later the outsider built a house on a lot where he ran a sewer line through the HOA Common Area.
HOA residents living next to this newly built home complained that their yards became flooded during heavy rains from stormwater run-off.
They blamed this on the improved lot and faulted Devine for not giving them a chance to review the easement transaction before Devine decided to consumate the transaction for one dollar!

Anonymous said...

I understand that the Maryland Homeowners Association (MHA)is meeting this Saturday to possibly support legislation that would create an Ombudsman program that would oversee HOA and Condo owner complaints. However, the proposed bill does not give the ombudsman any real power or authority to regulate, fine or otherwise take action against derelict boards and officials.
My question is why would the MHA give their support to something that is virtually meaningless to consumers?
Similar ombudsman programs in Virginia and Florida have already proven their worthlessness and have received criticism for the same.

Anonymous said...

At our April 2009 Preakness Dr HOA Board Meeting, current Treasurer and past President John Devine stated that it wasn't necessary to hold an annual budget meeting or for the board to take a vote to set the assessment fees for the coming year.

He and current President Lillian Dangerfield just decided all of this for the community without an open board meeting and claim they are sending out assessment bills to residents for 2009 to boot.

Devine gave a treasurer's report that did not accurately state the HOA reserve fund balance. In fact, the HOA has not been following a professional reserve study that recommends the HOA set aside annual amounts towards common area improvements and maintenance. The 2006 and 2007 HOA audits note there is at least a $23K shortfall in the capitol reserve account.

Prospective real estate purchasers are entitled to this information as one way to gauge the governance of the HOA they may choose to live in and that is supposedly supporting the resident real estate values by proper fund accounts.

Anonymous said...

The Preakness Dr HOA Oct 14, 2009 Annual Meeting heard former HOA Prez and current Board member Arnold Lenkersdorf, 10610 Budsman Terrace, complain about local kids playing on skateboards at the intersection of Budsman and Preakness.

Lenkersdorf proclaimed they know enough to get out of his way when he is driving home from work!

Another resident, Trudy King, complained that the HOC residents were dumping garbage into the wooded area behind the townhomes in the Preakness Dr HOA area. And, don't cut their yard grass.

For whatever reason, Lenkersdorf and King seem to be painting this picture as an us against them mentality. Worse, Lenkersdorf seems to imply that the street impacted skateboards may suffer harm from the bumper of his car.

What type of sickness is this?

Anonymous said...

Who knows where to download XRumer 5.0 Palladium?
Help, please. All recommend this program to effectively advertise on the Internet, this is the best program!

Anonymous said...

The Washington Post recently reported on the benefits of agencies created to help those of us living in the midst of abusive HOAs.

"Established in July 2008, Virginia's Office of the Common Interest Community Ombudsman reviews complaints by homeowners groups, condominium associations, timeshare owners and co-ops. The one-person office received 322 formal complaints through October, along with 2,600 e-mails and calls. Of the formal complaints filed, nearly 93 percent have been closed with little or no action taken."
http://www.washingtonpost.com/wp-dyn/content/...

Anonymous said...

Preakness Dr HOA is now being advised by local Attorney Kate Dresser also a federal employee, who has convinced the Board that residents need to mail-in all issues to a P.O. Box and should no longer accept communications in any other fashion, including by email, conversation on the street, phone calls, or even at the monthly HOA meeting!
She claims no government politician would accept a constituent complaint or issue via home phone call or "on-the-street" conversation.

Anonymous said...

Beware: HOA Fund thefts are on the rise!

A rep of the Community Association Institute recommends:

a dual check approval process

contract oversight

monthly reconciliation of bank statement

regular audits

Dont sign a management contract without having it reviewed by an HOA representing attorney. Some management firms include language that gives them ultimate control over HOA accounts.

This happened in our case when we were trying to terminate with MTM early due to performance issues.

Read more:

http://www.thedenverchannel.com/news/22243059/detail.html