Coming Home Magazine

CO M M U N I T Y A S S O C I AT I O N In the United States, homeowners' association (HOA) describes a non-profit organization that runs, manages, and maintains a neighborhood, building, or another collective of homes. While the same term is standard in areas of Mexico, an HOA isn't usually a legal entity. Instead, many communities appoint a legal administrator, usually a civil organization, to act as their legal business, and that company can manage the community's operational, financial, and legal affairs. British Columbia, Canada, uses the term strata corporation. Similar to an HOA, a strata corporation is a legal entity that manages and maintains the common property of a strata community. Just like in an HOA, those who own a strata lot are automatically members of the strata corporation. Commonly used among other Canadian provinces include the terms homeowners' association and residents' association. A phrase recognized in the United States, Canada, and Mexico, a condo owners' association (COA) represents an ownership structure. All condo owners not only own their units, but also share in the ownership and responsibility of maintaining common structural elements and amenities. In a condo association, the individual owners own a percentage of shared property. This is called "tenants in common" in Canada. CO M M U N I T Y L E A D E R S H I P BO DY An HOA's board of directors is a group of elected volunteers authorized to act on the community's behalf, creating and enforcing guidelines, setting goals, and protecting resident rights. In the United States, the members of the board are often referred to as board members or board directors. In Mexico, homeowners elect a board of directors to operate on behalf of the civil association. Usually, only the president role is necessary and the other members fall under board officers. Most Canadian condo associations call their leadership body a board of directors, too. However, in British Columbia, Canada, a strata council acts as the managing body for the strata corporation. This leadership entity, comprised of elected volunteers, makes decisions to enable the strata corporation to run smoothly and within the law's Strata Property Act. O F F I C I A L D O C U M E N T S Throughout the United States, community association residents may receive a set of governing documents upon purchasing a property with an HOA. A guidebook for residents and leaders, the governing documents are a collection of legally binding forms, including the declaration, bylaws, rules and regulations, articles of incorporation, and other materials, that govern day-to-day functions. Members of condo associations and strata corporations in Canada must also abide by a set of guidelines. Official strata documents are known as bylaws, and many strata corporations have additional rules and policies, as well. In Mexico, the condominium regime is a comparable set of legal forms that contains bylaws, rules, regulations, architectural controls, fees, and much more. No matter where you are, these documents are crucial to be aware of, as violating the rules and regulations of a community can result in warnings, fines, or legal consequences. I M P O RTA N T M E E T I N G S It's typically required that community associations in the United States host an annual meeting once a year. The main meeting for an HOA, it's an opportunity to address large-scale topics and educate residents on upcoming goals. Residents, board members, and management representatives attend to do things like electing new board members, presenting the annual budget, hearing committee reports, and celebrating success. Community associations host the same type of meeting in Canada and Mexico. In Canada, it's called the annual general meeting; in Mexico, it's called a general or ordinary assembly for condo associations. L AW S In the United States, HOAs are subject to state statutes, governing documents, and local or municipal regulations when conducting business. Likewise, operations and processes within community associations in Canada must adhere to provincial legislation. And in Mexico, the condominium regime law can and does change from state to state. The governance of North American community associations is tied to a combination of state, provincial, and national regulations, reflecting the diverse legal frameworks that shape community management practices in each country. Exploring the varied terminology used to describe these communities in the United States, Canada, and Mexico gives you a better understanding of the cultural and legal aspects that define these neighborhoods across North America. By learning the lay of the land and equipping yourself with this vocabulary and knowledge, it's easier to assimilate to a new community, speak the language of a neighbor, and positively impact your association for years to come. COMING HOME MAGAZINE 35

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