FAQ for Board Members
Full Service Management

What is the easiest way to find information on your website?

Go directly to the Search Bar which can always be found on the home pageand type in any unique key wordsYou should be directed to the page that contains the information you are seekingSome of these pageare cross-referenced to other relevant pages.

 

There are several HOA management companies that use the word "Coast" in their name. Is Coast Management of California related to any other management company using the name "Coast"?

No. We realize that company names can sometimes be confusing. Our name is Coast Management of California.

 

Does Coast Management of California manage properties other than homeowner associations?

No. Our staff specializes in the management of common interest developments consisting of condominiums, planned developments, stock cooperatives, mobile home park common interest developments, and commercial and industrial condominium properties.

 

If we hire your company to manage our homeowner association, how can we be assured that we will not experience the turnover of HOA managers. Our homeowner association has had more than one management company in the past. In each case, the turnover of managers has been extremely high which has caused nothing but problems for our HOA. How can we avoid this if we hire your HOA management company?

While no management company can guarantee there will not be turnover of employees, our firm minimizes turnover by doing the following: (1) Not overloading managers with too many management accounts, (2) Paying generous salaries, (3) Providing generous employee benefits, (4) Providing managers with Friday afternoons off, (5) Providing clerical and other support, and (6) Providing a company culture that managers appreciate. When association managers are off on Fridays, an owner of the company becomes the backup manager. See: HOA Portfolio Manager Benefits.

 

Is your company able to manage homeowner associations that are not located close to your office?

Most of the time the answer is yes because the location of our management staff is more important than the location of the office. Our managers work from home in various locations. Another important point is that we have contractors and vendors all over Southern California. Finally, we offer remote or online management services for those associations wishing to minimize the cost of HOA management. Call us to discuss your requirements.

 

Does your management company provide training for your HOA portfolio managers?

Absolutely. Manager training and education is a top priority with Coast Management of California. Our goal is to have the best educated , trained , and motivated staff in the industry, which is the reason we offer all managers and assistant managers who join our company, a comprehensive course that consists of twenty sessions of two hours each. See: HOA Portfolio Manager Training.

 

Sometimes I would like to talk to the owner of the company that manages our community association. Our management company is so large that I can never talk to the owner. He is always too busy which means I end up talking to a manager that has limited knowledge and authority. Will this happen if I hire your company?

Absolutely not. Every client is very important to us. You will always be able to reach one of the owners on the same or following day if you call or send an email. We know this is important to our clients. It is also important to us that we respond and get things done quickly.

 

If we hire your company to manage our HOA, how certain is it that we will reach a person when we call? Our HOA has had more than one management company in the past. In each case, when we call, we get a voicemail response which may or may not result in the call being transferred to a person. We want to talk to someone when we have a problem. What is your procedure when a homeowner calls?

Our office is open from 9:00 am to noon and from 1:00 pm to 5:30 pm Monday through Friday. During these hours, phone calls are received by a member of our staff and directed to the appropriate person in our company. It would be highly unusual for the call to go to voicemail, and if that should happen, the call would be returned within 10 to 30 minutes. When the office is closed, we have a 24/7/365-day emergency line available to all residents. Board members are provided cell phone numbers.

 

Our community association is currently managed by a very large HOA management company. While the assigned manager is satisfactory, there are times that our board would like to talk to one of the owners of the management company who can better answer our questions. Because of their large size, this is impossible. The top management has no time for us because we are only a 26 unit property. If we hire your firm, would we have reasonable access to the owners?

Absolutely. If you hire our company, the board will receive the cell phone numbers of the owners of our company. We are large enough to provide your HOA with first-class service, but small enough to be available to you when you need assistance.

 

We are a small HOA with a limited budget. Can you design a package of essential services that fit into a small budget?

Probably. We will need to review your budget and ask a few questions in order to submit a proposal. Contact us for a written proposal.

 

Our condominium association management company was just shut down leaving us with a serious situation. They were treating their HOA managers as independent contractors instead of employees and not paying payroll taxes or providing the proper insurance the IRS and FTB now want the taxes paid and they are looking to our association in addition to the closed down management company for all of the back taxes, penalties, and interest. Can you assist us?

Any community association that hires an HOA management company that treats their managers as independent contractors is asking for huge legal problems. Call us. We can assist your association.

 

Can your management company help our HOA board establish operating rules?

Absolutely. We have an extensive library of attorney approved operating rules that can be made available to your homeowner association. See: Adopting and Amending Operating Rules and Operating Rules Available.

 

Can you provide us with a guideline for how long we should keep HOA corporate records?

Yes. See: Records Retention Policy for Homeowner Associations.

 

Can we save money when selling or refinancing our property by providing the lender or escrow company with copies of all association documents and financial: information, or all we required to have the management company provide everything?

All competent mortgage lenders and escrow companies will insist on receiving all documents and financial information directly from the management company. They will not accept anything from one of the parties. This is the only way they can avoid fraud and protect their license to do business. See: Lender's Questionnaire- Purpose.

 

Does your company collect delinquent assessments for community associations?

Our affiliate, Pacific Association Collections (PAC) specializes in the collection of delinquent assessments for community associations located anywhere in California. The company was founded in 1987. Call Michael Chulak for assistance or visit: Pacific-AssociationCollections.com.

 

We just experienced a complete disaster working with an assessment collection trustee. Can you refer us to a competent, collection company?

Yes. We recommend that you utilize the services of Pacific Association Collections which is an affiliate of our company established in 1987. Website: Pacific-AssociationCollections.com. Call with any questions.

 

Instead of hiring an assessment lien company, can our homeowner association simply file a small claims suit against a non-paying homeowner?

Yes. Filing a small claims suit is an alternative, but we believe it is an inferior alternative. If you file a small claims suit, the HOA will be required to pay filing and service fees, and appear in court. Also, if you obtain a judgment, (assuming they don't appeal the case), you will be required to prepare and file a document called an abstract of judgment. This effectively does what a recorded assessment lien does, but you are out additional dollars and your time. Also, the process of foreclosing on a judgment, as opposed to an assessment lien, is far more expensive and time consuming for the HOA.

 

Our HOA has an owner that is delinquent more than two months. Is there any risk to the association waiting a month or two before we start the collection process?

Very possibly. First, when an HOA board authorizes a collection action, it can easily take two months before a lien is actually recorded on the property of the debtor. The pre-lien letter or lien warning letter is very important. It encourages payment before the additional collection cost of a lien is incurred, but most importantly, a recorded lien makes the association a secured creditor instead of an unsecured creditor in the event of a bankruptcy. This can make the difference between getting paid and not getting paid. Secured creditors are paid before unsecured creditors. The cost of collection is usually paid by the debtor along with assessments owed prior the recording of a lien in more than 50% of collection cases.

 

Does your company provide reserve studies for community associations?

Our affiliate, Pacific Reserve Studies specializes in providing reserve studies for homeowner associations in Los Angeles County and Ventura County. The company was founded in 1992. Call Michael Chulak for assistance or visit: PacificReserveStudies.com.

 

Our community association has found it very difficult to get a board member to assume the responsibility of being our corporate secretary. Likewise, we have not found a firstrate HOA management company that is agreeable to taking the minutes of our meetings. What do you recommend?

Many board members don't fully appreciate the fact that the position of corporate secretary is one of the most important and responsible positions on the board of an association. See: Duties of an HOA Secretary and Minutes of Board Meetings. If, after pointing out the importance of the position, you are still not able to get a board member to serve as secretary, you can hire a recording secretary. See: HOA Recording Secretary Services. The majority of management companies do not provide the service of taking meeting minutes because (1) They usually don't attend every meeting of the board, and (2) Taking minutes usually interferes with their ability to fully participate in board meetings they do attend.

 

I own a condominium unit surrounded by other units. My water heater leaked and severely damaged my neighbor's drywall, wood flooring, and several items of expensive clothing and furniture. My current insurance agent told me I am not covered under my homeowner's policy. Is this normal?

You should have purchased Water Damage Legal Liability Insurance which is either a separate policy or an endorsement to your home owner's policy. This type of policy generally provides coverage for leaking water heaters, condensation lines, shower pans, water lines to refrigerators, angle stop valves, and more.

 

What are HOA insurance carriers looking for?

They want assurance that the board has been faithfully meeting or exceeding their duties as board members. See: What Do Condominium Association Insurance Companies Care About?

 

Is there any reason why a board member should not be the Agent for Service of Process for our homeowner association?

Yes. See: Selecting an Agent for Service of Process for Your Business or HOA.

 

Our management company told us they could save us a great deal of money by paying our HOA manager as an independent contractor instead of as an employee. They told us they could avoid paying employment taxes and Workers' Compensation Insurance. Is this a problem?

This is a huge problem especially for them. HOA managers must be classified as employees and the appropriate taxes paid. They are also required to protect their employees with Workers' Compensation Insurance. See: HOAs - Say Goodbye to Independent Contractors. You should immediately check with your insurance broker and HOA attorney to determine how this will affect your HOA.

 

We had an excellent HOA manager and management company that recently provided us with a termination notice because one of the owners has been extremely rude and insulting toward them. This is the second management company that we have lost due to this owner's rude and insulting attitude and behavior. This is costing us money. What do you suggest?

First class HOA management companies will not put up with this kind of behavior. Sadly, the world is full of low class individuals who cause problems for others, including costing them money. I suggest that your association adopt a rule that prohibits interference with HOA vendors and contractors so the association can fine the individual for his or her poor behavior. Sometimes, the threat of a substantial fine is required to change a person's behavior.

 

Does your HOA management company sometimes decide not to offer management services to a homeowner association? If so, what are the reasons?

Our HOA has had difficulty keeping and attracting HOA management companies. I cannot comment about your homeowner association board because I have no facts to evaluate, but following is a list of the most common reasons a first-class management company would not want an association as its client: (1) The board refuses to follow the law which puts both the association and the management company at high risk of becoming a defendant in a costly lawsuit, (2) The board treats its contractors and vendors, including the management staff, with disrespect, and (3) The board has unrealistic expectations about the level of service they are entitled to receive, given the compensation they are willing to pay. Another reason is that sometimes a management company makes a proposal for management services and the board does not respond for a long period of time. While time has elapsed, the management company may have accepted other business resulting in an inability to provide sufficient staff to properly service the HOA. Some management companies will accept an unlimited number of management accounts. The better management companies will limit the number of management accounts they accept so they can provide excellent service.

 

Our HOA board is aware that the laws pertaining to community associations not static. How do HOA management companies stay current on the laws an court cases that affect associations?

First-rate homeowner association have either an in-house HOA attorney or a qualified attorney on retainer in order to keep the managers and staff up-to-date on all relevant statutes and court cases. A management company should not be required to hire outside legal counsel for its HOA clients except in rare situations.

 

Our HOA board is in need of an HOA attorney for consultations. Can you recommend someone that is not too expensive and knows the law?

Absolutely. Call for a recommendation. We know of several good HOA attorneys and law firms, and few that I would not recommend.

 

Our HOA in Glendale pays one of the board members who is president of the association a monthly fee. Our financial reports do not identify her as receiving any money, but she most definitely receives a check every month. Our current management company does not provide her with a 1099 or W2 as a condition of their employment. Can our HOA get into trouble given what is taking place?

Absolutely. Your homeowner association, the entire board, the management company, and this individual are involved in tax fraud which is a serious crime. As a homeowner, you should be aware that the consequences of tax fraud are severe. Whether you are a board member or not, you should immediately consult with an attorney.

 

Is it true that HOA boards cannot increase an association's assessments by 20% per year without a vote of the membership if they fail to distribute the annual budget on time?

Yes. This is a common mistake that boards make. See: Budget Required and Budgets for Homeowner Associations.

 

Our HOA is very small, we are self-managed and take our own minutes. Can you provide us with some guidelines for minutes?

Yes. See: Minutes of Board Meetings, Minutes Checklist, Distribution of HOA Minutes, and Before You Decide on Self-Management.

 

What can happen if the board of directors of a homeowner association fails to take or maintain minutes of their board meetings?

The board of directors of all corporations in California, including the non-profit mutual benefit corporations utilized by California homeowner associations, are required by law to take and maintain minutes of all board meetings. Minutes are the official records of the proceedings of a corporation's actions. See: Board's Failure to Take and Maintain Minutes.

 

What is the effect of having a suspended HOA?

A suspended HOA means trouble. Suspension of an association's corporate status is very serious. See: Has Your HOA Been Suspended?

 

Would your management company be able to manage a community association that has filed for bankruptcy or is in receivership?

Yes. We have experience managing properties in bankruptcy and in receivership. It would not be a problem for our firm.

 

Is it advisable for a homeowner association to hire a litigation manager when it has been sued and the association's insurance company has hired a law firm to defend the association?

Absolutely. See: Reasons HOA Defendants Hire Litigation Managers and Reasons HOAs Get Sued.

 

There are times when our entire board would like to discuss a topic with you. Is it possible for us to arrange a short Zoom meeting with you during an evening or weekend?

Absolutely. However, you must remember that according to California law, whenever a quorum of the board meets to discuss association business, the gathering is considered a board meeting. This means that a notice of the meeting and an agenda must be provided to every owner a minimum of 4 days in advance so they may attend. If the meeting qualifies as an executive session meeting , a 2 day notice must be provided with an agenda even though non-board members are not allowed to attend. If the meeting qualifies as an emergency meeting, a notice and agenda are not required. See: Agenda Required for Meeting and Executive Session Meetings.

 

Can the board of directors of an HOA meet without the management company representative in attendance?

Yes. In order to save money, many small HOAs limit the number of board meetings their management company is expected to attend each year. That does not prevent board from meeting as often as needed to conduct business. Minutes should always be taken at every board meeting and an approved, signed copy should always be provided to the management company. Corporate minutes are required to be retained and the management company will need them whenever a homeowner sells or refinances their property.

 

Does your company offer an early meeting discount?

Yes. We offer a discount to associations that hold their board meetings during business hours, ending no later than 5:30 pm.

 

What is the difference between homeowner associations, community associations, and condominium associations?

We have written an article on the subject because the terms are confusing. Please see: Community Association or Homeowner Association.

 

Can a condominium be a detached home?

Yes. While condominiums are usually attached, they can also be detached, freestanding homes. A condominium is a form of ownership and a type of common interest development. It often surprises homeowners to learn that their detached home is a condominium and that they do not own an individual lot. When someone owns a detached condominium, all of the homes are usually located on one or a few lots and what appears to be an individual lot is actually an area over which a unit owner has an exclusive or non-exclusive easement. The only way to determine the type of ownership is to read an association's CC&Rs and condominium plan or tract map.

 

What is the definition of a board meeting?

The definition of board meeting is defined in the Davis-Stirling Act. It is a legal term. See: Board Meeting Definition.

 

Are there any homeowner associations that do not have any common area?

While the number is small, there are some common interest developments that have CC&Rs, but no common area. These associations are not subject to the Davis-Stirling Act. They are subject to their recorded CC&Rs and general state and local laws.

 

Does your HOA management company provide developer to homeowner transition services?

Yes. We provide homeowner association transition services and board training seminars that include a question-and-answer session. We offer our services by Zoom or in person.

 

Can you recommend a good mediator that has extensive experience?

Yes. See: SouthernCaliforniaMediator.net.

 

Our association has some unique requirements. Can you customize your service for us?

Yes. In nearly all cases we can provide the service you require. We are highly flexible and attempt to provide all necessary management services for our clients.

 

Can your management company provide our homeowner association with a sample collection policy?

Yes. The sample provided is not intended to be legal advice. See: Homeowner Association Assessment, Lien, and Collection Policy.

 

What is the difference between full -service HOA management and remote or online management services?

Remote or online HOA management is similar to full service management but eliminates the costs associated with an on-site presence. It provides an HOA board of directors with the ability to self-manage if desired, but provides all of the essential back-office services. Coast Management of California offers this service throughout California and beyond. For additional information: RemoteHOAManagement.net

 

Will your company help our community form a Neighborhood Watch Group?

Absolutely. Contact our office for details.

 

What should we do if a homeowner dies inside one of the units?

In the event that a resident dies, only the executor of the estate or police can enter the property or make arrangements to allow someone else to enter the property Neither the association nor any board member should provide access with only one exception If a genuine emergency such as a gas leak or water leak exists, the association should have a licensed, insured contractor enter the premises in order to address the emergency. It is the executor's responsibility to settle the affairs of the deceased and to distribute any property including the unit to entitled beneficiaries.

 

Does your firm charge extra to attend board meetings on Saturday?

No.

 

Can your management company provide one of our homeowners with sufficient training that he or she would be able to perform the services of inspector of elections?

Yes. If we are providing your homeowner association with management services, we can provide the necessary training.

 

What functions can our management company perform in connection with board elections or other secret ballot elections?

Only two. The management company may mail Nomination Applications to the owners, but they should be returned directly to the inspector of elections in order to reduce the possibility that the management company might be drawn into any dispute regarding the election process. A better practice would be to have the inspector of elections mail out the Nomination Applications. The management company can also mail a copy of the Election Rules to every member of the association. Owners are entitled to a copy of the Election Rules by mail or by means of their being posted on the association's website.

 

If our association hires, Coast Management of California, can we continue to use our own vendors and contractors?

Yes. Our interest is in making certain that all contractors are properly licensed and insured and treat our clients fairly. Otherwise, we have no interest in changing your contractors or vendors. However, if you are unhappy with your contractors or vendors, we are in a position to provide recommendations to your board of directors and will always offer suggestions on how to reduce costs. Our company maintains a list of approved contractors and vendors, and a list of unapproved contractors and vendors.

 

What is the difference between a vendor and a contractor?

A vendor is someone that purchases products, usually at wholesale and then sells those products and/or services to another company or person. Vendors are suppliers. Vendors do not require a contractor's license. A contractor usually refers to someone that has a contractor's license issued by the Contractors State License Board as a general building contractor, general engineering contractor, residential remodeling contractor, or specialty contractor that performs the following types of work: electrical, fire protection, asbestos abatement, plumbing, solar, and more than 30 other specialty areas. Licensed contractors are required to pass an exam and be bonded.

 

Our homeowner association needs to restate our CC&Rs but we are not sure where to start. Can you assist us with the process?

Yes. We can provide you with a checklist of topics to consider from a management perspective and we can recommend an attorney who will not overcharge for the service. See: Reasons to Amend or Restate Your Association's CC&Rs and Why CC&Rs Must Be Updated. The Perfect Analogy.

 

Converting Common Area Attic Space to Unit Ownership

It is possible and generally desirable to convert common area attic space to unit ownership by amending the CC&Rs of the association. This requires a vote of the membership utilizing the two envelope, secret ballot process. Such a conversion almost always increases the value of the units because storage space has value and being able to raise ceiling heights, likewise, increases values. Whether any physical modifications will be required vary from building to building. See: HOAInspectorofelections.org.

 

What can happen if a condominium owner installs a washer/dryer in a unit not originally designed to accommodate clothes washers and dryers?

The following can take place: (1) Since most condominium buildings are master metered for water, all other owners will be required to pay for the increased water usage by the unit with the washer; (2) The owner with the washer will not use any common area laundry facilities, thus reducing the laundry income to the association; (3) The chance of flooding will increase because most condominium building plumbing systems are not designed for the extra soap and water that will be flowing through the building's plumbing system. The cost of damage is likely to be paid, at least in part by the HOA which means all owners will pay some of the costs; (4) Vibration of the machines are likely to create a nuisance; (5) Clogged dryer exhaust lines may create a fire hazard; and (6) The insurance premium for the association's master policy may be increased thus affecting all owners.

 

Does your management company maintain a list of contractors and vendors that you do not recommend?

Yes. We maintain an approved list and a "do not use" list developed by the owners of the company starting in 1987. The list is invaluable.

 

Do you have anyone on staff who is familiar with mold inspections and remediation?

Yes. While our firm does not perform mold inspections or mold remediations, Michael Chulak has completed a professional course of study in mold inspections and the remediation of mold.

 

Do you have anyone on staff who is familiar with lead abatement?

Yes. While our firm is not involved in the lead abatement business, Michael Chulak has completed a professional course of study that meets EPA and HUD requirements for certified renovators.

 

Does your management company provide management services to Tenant in Common (TIC) homeowner associations?

Absolutely. We provide management services to TICs, Tenancy in Common homeowner associations located anywhere in California.

 

If we decide to hire an on-site manager, can Coast Management of California train and supervise our manager and handle any payroll responsibilities?

Absolutely.

 

Are Common Interest Developments required to adopt Operating Rules?

No. Homeowner associations mayor may not adopt operating rules. Operating rules are intended to supplement CC&Rs and Bylaws not to amend them.

When a board of directors adopts operating rules, there is normally a fine schedule included to help the board enforce the rules. Most professional HOA management companies have a library of attorney approved operating rules that they make available to their community association clients. See: Adopting and Amending Operating Rules. Associations are required to adapt elections rules: Election Rules Required.

 

Can our community association establish an operating rule that allows the board to have all units inspected once every year for dripping faucets, valves, and supply lines in order to minimize our water bill and any resulting damage?

Unless your association's CC&Rs prohibit such a rule, the board may establish one and it is highly recommended that they do so. Since leaks can result in the loss of thousands of gallons of water each year for just one unit. Dripping angle stop valves may be a sign they need to be replaced. See: Angle Stop Valves - Replacements.

 

Our board of directors wants the disciplinary process, including the holding of hearings relating to alleged violations of the CC&Rs and Operating Rules, to be perceived by our members as being absolutely fair and objective. Can we hire your company to preside over disciplinary hearings, leaving the board members to vote on the evidence?

Absolutely. We understand the disciplinary hearing process very well, including the requirements for both procedural due process and substantive due process.

 

Does your firm use an in-house accounting staff to prepare monthly financial reports for its HOA clients, or an outside accounting firm?

Coast Management of California has a Chief Financial Officer (CFO), but uses an affiliated firm to perform bookkeeping services for HOA clients. The outside company reports to our CFO.

 

Are homeowner associations required to file tax returns?

Yes. Homeowner associations are required to file both state and federal tax returns. For assistance in filing current or late state and federal tax returns: NationwideAccounting.net

 

I like your website and what you offer, but our property is in Northern California. Can you still provide us with management services?

Absolutely. Our Online Management Option allows us to manage community associations anywhere in California while saving your HOA money.

 

Do you provide board training seminars?

Yes. Coast Management of California offers board training seminars throughout California by means of Zoom Meeting or in person where practical. For additional information: FreeHOASeminars.net

 

Where can our board find information about mandatory earthquake retrofit requirements?

The following California cities currently have a seismic ordinance that requires retrofit work to completed for most wood-frame soft story structures and non-ductile concrete structures: Alameda, Berkeley, Beverly Hills, Burbank, Fremont, Long Beach, Los Angeles, Oakland, Pasadena, Richmond, San Francisco, Santa Monica, Torrance, and West Hollywood. More cities may be added at any time. Information can be found at: Seismicordinances.com.

 

Can our community association hold its board meetings by Zoom?

Yes. Board meetings can be held by Zoom as long us every member is given proper notice and link instructions so they can join the meeting whether by phone or by use of a computer. In addition, at least one computer must be made available on site for those who do not have their own access so they can participate during the open meeting forum.

 

Our HOA has spent a great deal of money on attorney fees over the last several years as a result of various problems. Do you have any recommendations on how we can reduce our legal fees? It's becoming a major budget item.

While our management company is not licensed to practice law, we can provide you with solid management advice that is based upon strict compliance with the Davis-Stirling Act. Our advice is designed to keep your board and your homeowner association out of trouble, so you don't need to consult an attorney more often than absolutely necessary. What makes us different is the high-quality advice that we offer our HOA clients.

 

Our community association would like to warn all residents that they are responsible for their own security to a substantial degree. Do you have something we can send to them to put them on notice?

Yes. See: Warning and Security Disclaimer. It's a good practice to send this out to all owners and renters annually.

 

How can our homeowner association be more assured that our CC&Rs and Operating Rules will be followed by every member of the association and all renters?

Your board of directors can establish a schedule of fines that will apply to each violation of your association's is CC&Rs and Operating Rules. The schedule of fines can be established by adopting a specific Operating Rule.

 

When is Alternative Dispute Resolution (ADR) required to be offered?

There are several circumstances in which ADR is required to be offered. See: Alternative Dispute Resolution ("ADR").

 

If we hire Coast Management of California, will we be locked into a long term contract?

No. You can cancel at any time upon providing a 60 to 90 day written notice.

 

What happens if our property manager is unavailable when we need him or her?

Coast always assigns a backup manager for every property. In addition, every property manager has an assistant who is knowledgeable about every property. We also provide your board with our manager’s cell phone number. In addition, you can always call the owners of the company, 24/7/365.

 

If we hire Coast Management of California, will the transition from our existing management company be difficult?

No. We will handle every detail.

 

The developer of our community is intending on turning over the management of our homeowner association and its responsibilities to us shortly. If we hire your HOA management company, how will you help us with the transition? Most of us have never owned a home governed by a homeowner association.

We offer extensive transition services at no additional cost when you hire us as your HOA managing agent. See HOA Transition Services and All New Board Members. We also recommend: Free HOA Board Training Seminars.

 

How can Coast Management of California save our association money?

By doing the following:

  • Avoiding costly mistakes that result from inexperience and lack of knowledge;
  • Utilizing the bidding process where appropriate;
  • Taking advantage of volume discounts available to Coast;
  • Reducing collection problems; and
  • Minimizing the need to pay legal fees.

 

Does Coast Management of California offer emergency service?

Yes. We offer an emergency service 24 hours each day, 365 days each year. We also provide board members with the manager’s cell phone number for emergency use.

 

Will you assist us in preparing an annual budget for the association?

Yes. We will assist your treasurer in preparing a draft for the board’s review and approval.

 

Does Coast obtain bids for significant construction and maintenance projects?

Absolutely. Obtaining bids is standard operating procedure for major projects at Coast Management of California.

 

Does your firm assist homeowners who are selling their property or refinancing their property?

Yes. We have a highly experienced escrow division, and we can also assist your condominium community to become FHA-VA approved.

 

Will your company assist us in getting our property FHA-VA approved?

Absolutely. FHA-VA project approved is very important. The formalized approvals increase property values while tllarking it easy for owners with these loans to refinance their properties when desired.

 

Does Coast produce newsletters for its management clients?

Yes. Coast will provide newsletters at no additional cost to its management clients, subject to certain conditions.

 

Will you maintain a computer log for maintenance calls and repairs?

Yes.

 

Our homeowner association has not been able to find a roofing company that will provide us with a warranty for roof repairs. Can you help us find a roofing company that will provide a roof warranty?

Possibly. When roofing companies are unwilling to provide a warranty, it usually means that the roof is in such disrepair they are not confident their attempt to repair the roof will be effective. It usually means you need a new roof.

 

How can we update our contact information?

Please see: HOA Homeowner Records Update form on our website.

 

Does your company make it a practice to scan all important documents and communications?

Absolutely.

 

Will you maintain a computer log for violations of the CC&Rs and Operating Rules?

Yes.

 

Will Coast Management of California make regular inspections of our property?

The number of inspections we perform is based upon our management agreement with each client.

 

Do your managers take minutes at board meetings they attend?

Generally no. We don’t think it’s a good practice to divert our manager’s attention away from business during a board meeting. Normally, the manager will complete an action list for his or her own use which should parallel the minutes taken by the Secretary of the Board or an outside recording secretary service.

 

Is there a reason most HOA management companies don't take board minutes?

Yes. There are several reasons including:

(1) While the Corporate Secretary should sign the minutes, he or she should give their full attention to the conduct of the meeting. It is difficult to pay attention to the meeting while taking minutes. (2) The manager should not take the minutes for exactly the same reasons, (3) Our minutes are clear, concise, accurate, and unbiased, (4) They are delivered within seven days as a Word Document, so you have an opportunity to make changes or additions if needed, and (5) Since board members are unpaid volunteers, most prefer not to spend their valuable time recording, typing , and distributing minutes. See: HOARecordingSecretary.com.

 

How many associations should a manager be able to handle effectively?

There is no simple answer. It depends on the following factors:

  • The number of units/lots in each association;
  • The number of meetings the manager attends each month;
  • The number of inspections the manager makes each month;
  • The knowledge and experience of the manager;
  • Whether the homes are stacked condominiums, townhomes or detached homes;
  • The geographical locations of the properties;
  • Whether the manager has a property management assistant;
  • Whether the manager has access to modern technology; and
  • Whether the manager has clerical assistance available to help with routine phone calls, mailings, etc.

Given the variables, a manager might be assigned as few as 6 associations, or as many as 20. Please see: Management Services Available.

 What is most important, is that a management company should never take on more accounts than its staff can reasonably handle.

 

Our homeowner association board would like to create job descriptions for each officer position. Can you help us develop them?

Yes. While by law, every director has equal voting power, the bylaws of some associations describe the duties and powers of the officers. If not, we have provided customary duties of each officer on our website. Boards have the right to create their own job descriptions. See: Duties of President. The other positions follow.

 

Do you meet contractors and vendors at the buildings you manage when they are working on a property?

Sometimes, but generally, no. We make every effort to utilize contractors and vendors that are trustworthy and reliable so that we are not required to pass additional labor costs on to our clients.

 

How many bids do you obtain for work to be done?

We generally obtain bids only for jobs exceeding $1,500. Contractors that do high quality work at a reasonable price are in high demand and do not make money generating bids. Management companies that waste the time of contractors find that the best contractors will make themselves unavailable to those management companies and their clients. Consequently, we obtain bids for larger jobs only. We expect contractors to treat our clients fairly, and we are rarely disappointed because they all want a continuing stream of work.

 

Our homeowner association has not been able to find a roofing company that will provide us with a warranty for roof repairs. Can you help us find a roofing company that will provide a roof warranty?

Possibly. When roofing companies are unwilling to provide a warranty, it usually means that the roof is in such disrepair they are not confident their attempt to repair the roof will be effective. It usually means you need a new roof.

 

Do board members ever perform minor jobs at the properties you manage?

No. If they were to do so, the board member would become an employee under California law. We would be required to provide the board member with workers’ compensation and liability insurance which is expensive.

 

Will you review our insurance coverage?

Yes. We have an insurance administrator who will review your insurance policies annually and will make recommendations.

 

Our HOA just received notice that our insurance has been increased by more than 30%. We did not anticipate this. Can our board pass a special emergency assessment to cover this cost?

If you cannot cover the cost by passing a non-emergency assessment, an emergency assessment would be justified. Your association cannot be without insurance which makes this a genuine emergency.

 

What is the difference between a Certificate of Liability Insurance and a Declaration Page?

There are significant differences. See: Certificates of Liability Insurance - Declaration Pages.

 

Do you recommend that homeowner associations carry workers' compensation insurance and earthquake insurance?

Absolutely. Associations that don’t carry these coverages are taking huge risks, including becoming a defendant in one or more lawsuits.

 

If we hire Coast Management of California can you place our building employees on your payroll?

Yes. Any employee that works at least 10 hours per week can be placed on our payroll at an additional cost.

 

What property management software do you use?

We use Appfolio which is a first-class software designed specifically for property management companies.

 

How often do you generate financial reports?

You will receive a comprehensive financial report on approximately the tenth day of each calendar month, and a year-end report that you can provide directly to your tax preparer.

 

Can you track building operating expenses for each individual unit?

Yes.

 

Do you earn money on your trust accounts?

All trust accounts are non-interest bearing accounts. However, accounts do earn analysis credits that offset bank charges.

 

What happens if our assigned property manager is unavailable when we need him or her?

We always have a backup manager for every property and every manager has an assistant who is knowledgeable about every property.

 

Do you use licensed contractors for all work?

We use licensed contractors for jobs of $500 or more as required by law, but often use handymen to do smaller jobs in order to save our clients money. Many handymen are equally skilled as licensed contractors, and sometimes even more skilled, while charging less. All workers are required to have a business license, workers’ compensation insurance for their employees, and liability insurance.

 

How often do you pay contractors and vendors?

We write and mail checks weekly. Paying contractors each week results in better service.

 

Does your management company have anyone on staff with construction experience?

Yes. Our President and CEO was licensed as a general contractor for more than 50 years and has extensive knowledge and experience with construction and maintenance.

 

Does your company have anyone on staff who has knowledge and experience with HOA insurance?

Yes. We have an insurance administrator who has more than 20 years of direct experience with homeowner association insurance in California. He can advise your board on nearly any issue dealing with HOA insurance.

 

Do you handle assessment collections in-house or do you use an outside HOA assessment collection company?

Most of our collection work is handled in-house by our collections manager. Some functions may be handled by Pacific-AssociationCollections.com which is owned by our collections manager. Pacific-AssociationCollections.com provides collection services to management companies and community associations located throughout California.

 

Our condominium association has an uncollected judgment against a former unit owner. Can you help us collect it?

Coast Management of California has an affiliate, Pacific-Rim Commercial Collections that collects unpaid judgments throughout California. Call us if you have any questions about any collection matter.

 

Are contractors and vendors required to pay a fee to Coast Management of California before they are permitted to provide services to your management clients?

Absolutely not. While several of our competitors require the payment of a fee to become a “Certified Vendor”, we have no such requirement. While every contractor and vendor that works on properties managed by our company must be investigated, we consider that to be our responsibility, and require no payment from them.

 

Does your company belong to any professional organizations?

Yes. We are members of the Greater Los Angeles Chapter of Community Associations Institute (CAI), the Channel Islands (Ventura) Chapter of Community Associations Institute (CAI), and the California Association of Community Managers (CACM).

 

Can your company help us with the mediation of a dispute between two homeowners?

Yes. Please visit: Southern California Mediations for complete information about mediations.

 

What is hearsay evidence and is it permitted to be introduced at HOA disciplinary hearings?

There is no requirement that HOA boards follow the "Rules of Evidence" used by California Courts. As a result, boards may receive hearsay evidence and make their own determination as to how much or little weight to give such evidence. See: Hearsay Evidence at Disciplinary Hearings.

 

I was recently elected to my board of directors and as treasurer of the board. What are the overall responsibilities of the treasurer?

The overall responsibilities of each officer position can be found with our HOA articles on this website: Duties of HOA Treasurer - Chief Financial Officer.

 

I was recently elected to my board of directors and as secretary of the board. What are the overall responsibilities of the secretary?

The overall responsibilities of each officer position can be found with our HOA articles on this website: Duties of HOA Secretary - Corporate Secretary.

 

Do volunteer directors and officers of homeowner associations receive any legal protections against personal liabilities that arise while they are performing their duties?

Yes. See Protection of HOA Directors and Officers Against Personal Liability.

 

Can community associations prohibit the displaying of flags of other countries?

No. Foreign flags are protected in California by Civil Code Section 4710. Such flags can be up to 16 square feet in size and may not be displaced in the common area. Owners can be restricted to one flag located on exclusive use or separate property.

 

What hours are you open for business?

Monday through Friday from 9:00 am to Noon and 1:00 pm to 5:30 pm. Board members are provided the cell phone numbers of our Property Supervisors so they can be reached directly in the event of an emergency.

 

Does Coast Management of California contribute to any charitable organizations?

Yes. We contribute to St. Jude Children’s Research Hospital and Shriners Hospitals for Children. See Charitable Contributions.

 

Will your management company provide services to a mutual water company?

Absolutely. We can provide the required services anywhere in California.

We appreciate your business.

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Coast Management of California

818-991-1500