Q: In California can a HOA levy a Special Assessment of $280K for a beautification project?
This is a suburban area with 56 homes in the association. If they get the majority of the votes, what remedy is left for the homeowners that can’t afford it?
A:
In California, an HOA (Homeowners Association) can generally levy a special assessment for a beautification project, provided that the process complies with the HOA's governing documents (such as the CC&Rs - Covenants, Conditions, and Restrictions) and California law. However, a special assessment of $280,000 for 56 homes, which amounts to $5,000 per household, could be considered a significant financial burden.
If the special assessment is approved by a majority vote of the HOA members, homeowners who cannot afford the assessment still have a few potential remedies:
1. Challenge the assessment: Homeowners can challenge the special assessment if they believe it violates the HOA's governing documents or California law. This may require legal assistance.
2. Request a payment plan: Homeowners facing financial hardship can request a payment plan from the HOA to spread the cost of the assessment over a longer period.
3. Seek a hardship waiver: Some HOAs may offer hardship waivers for homeowners experiencing financial difficulties. However, the availability and criteria for such waivers vary among HOAs.
4. Attend HOA meetings and vote: Homeowners should actively participate in HOA meetings and vote on decisions that affect the community. They can voice their concerns and propose alternative solutions to the beautification project that may be more affordable.
If these remedies fail and the homeowner cannot pay the special assessment, the HOA may have the right to place a lien on the property and potentially initiate foreclosure proceedings. Homeowners in this situation should seek legal advice to understand their rights and explore additional options.
A:
A member has a right to contest levied assessments and negotiate payment plans with the Association.
There is a cap on special assessments not to exceed 5% of the budgeted growth expenses of the association for the fiscal year unless approval for a greater special assessment is first obtained.
The regular assessment cannot be more than 20% greater than the amount of assessment levied for the previous fiscal year without first obtaining member approval for a greater increase.
This is merely a discussion of general laws and not legal advice. For legal advice, more specific facts and investigations are needed. I recommend you consult with an attorney for more details.
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
