What began as a routine look at deterioration in a parking structure quickly turned into a much bigger project for the board of a 200-unit condo in Rego Park. With engineers on site to address mandated facade repairs, the condo board decided to deal with garage repairs — only to uncover failed waterproofing, cracked and flaking concrete and an unexpected electrical hazard.
Built in the 1980s, the condo has an underground single-level concrete garage where the roof is an outdoor asphalt parking lot. “You would think the majority of damage would be overhead,” says Michel Monteiro, senior project engineer at Cowley Engineering, the firm engaged by the board. Most of the damage, however, was on the slab on grade, the concrete poured directly onto the ground.
The structure’s original waterproof coatings had failed, allowing salt and de-icing chemicals to enter cracks and accelerate the deterioration. A large portion of slab needed to be repoured. “What started originally as minor cracks expanded, causing significant spalling and corrosion to the reinforcement,” Monteiro says. Spalling, the flaking or breaking away of concrete, is often associated with corrosion of steel reinforcements inside the structure.
Facing a cost of $1.6 million, the condo board is paying for the work with a loan and an assessment. In addition to financing, there was also the logistical challenge of moving cars offsite during the repairs. With close to 130 cars to work around, the project was completed in phases. To help accommodate vehicle owners, the property manager sought out public parking for 50 or 60 cars while each phase was completed.
Originally the concrete work was going to be partial depth repairs, but during the excavation the contractor uncovered an unexpected problem — live electrical conduits buried in the concrete. “Typically these conduits are buried within the soil beneath the slab,” Monteiro says. In this case, the live electrical wiring was two inches below the surface. Work was immediately halted in order to carry out a ground penetration radar (GPR) scan, a type of concrete X-ray to rule out other hidden dangers.
The discovery of buried electrical wires delayed the project by about three months as wiring was refitted overhead. The GPR scan did not identify live conduits in other parts of the garage, which meant the second and third phases of the project were unaffected. In addition to the new concrete on the garage floor, repairs have also been made to the perimeter of the building where water was getting into the garage from above.
In our work with leaders, professionals, and high performers who care deeply about what they do, we listen closely to how people talk about work. What consistently stands out is not what is said, but what is avoided.
Most workplaces are full of meetings, emails, and updates, yet the conversations that would actually improve how people work and how they feel while doing it rarely happen. Instead, people adapt, carry more, stay quiet, and tell themselves this is just how it is. Over time, that silence shows up as burnout, disengagement, and erosion of trust, both in the organization and in oneself.
There are three types of conversations we see people generally avoid. Although there are plenty of topics people don’t like talking about at work, these conversations left unspoken carry a real cost to workplace culture.
Conversation 1: “This Is Not Sustainable”
Many professionals are not struggling because they lack discipline, resilience, or time-management skills. They are struggling because the volume, pace, and emotional load of the work no longer match their capacity. Psychologists often describe this as role overload, when expectations quietly exceed human capacity over time. Instead of naming that mismatch, they internalize it. They say yes, stay late, and absorb temporary demands that quietly become permanent. They develop a pattern of being overworked and underrested.
This conversation is avoided because of what it might signal. People fear being seen as less committed, less capable, or not cut out for the role. They genuinely fear reprisal and judgment. For leaders, this conversation is a strategic opportunity that allows for clearer priorities, more honest trade-offs, and better decisions about where energy is actually needed. For individuals, it restores agency. This is not about doing less or finding excuses. It is about doing the work in a sustainable way, so the work gets done and the people stay well while doing it.
Two approaches people often find helpful:
Name the pattern, not the pressure – Instead of focusing on how overwhelmed you feel in the moment, anchor the conversation in what you are noticing over time. E.g., “I want to talk about the pace and volume of work I’ve been carrying over the last few months. I’m noticing some patterns that don’t feel sustainable long term.”
Lead with impact, not complaint – Framing the conversation around quality, effectiveness, and outcomes helps others understand that this is about doing good work, not avoiding it. E.g., “I care deeply about the quality of my work, and right now, the current workload is starting to impact how consistently I can deliver at that level.”
Conversation 2: “I Need to Manage Up”
This is the conversation many people feel they are not allowed to have. Not every manager is equipped, supported, or ready to lead people. Managers may be stretched thin, some were promoted without training, and some are navigating pressures their teams never see.
People avoid this conversation because it feels risky. They worry about damaging the relationship, being labeled difficult, or limiting future opportunities. So instead, they adapt, over-prepare, redo work, and spend cognitive and emotional energy trying to anticipate expectations. This kind of invisible labour is expensive, consuming energy that never appears on a workload plan or performance review, and it feels off because it doesn’t seem fair or right.
Managing up is often misunderstood as ego stroking or politically self-serving. In reality, it is about clarity, understanding what your manager is accountable for, how decisions are made, and what constraints exist. This might look like asking for clearer priorities, naming trade-offs clearly, or setting boundaries around what can realistically be done well. It is not about calling someone out, but rather working within the reality of the system.
When this conversation is avoided, frustration compounds, but when handled with skill and care, trust can increase, and capacity is improved on both sides.
Two approaches people often find helpful:
Name the work around the work – Instead of talking about tasks or priorities, name the invisible effort that’s been happening behind the scenes. E.g.,“I want to talk about the decision-filling, the second-guessing, and the extra checking I’ve been doing, and whether that’s actually the best use of my energy or yours.” This reframes over-functioning as a process issue, not a personal one, and creates shared curiosity instead of defensiveness.
Name what you don’t want this conversation to become – This removes fear before it has a chance to take hold. E.g., “I want to say upfront that this conversation is not about avoiding responsibility. It’s about making sure I’m using my capacity in a way that actually serves the team.”
Conversation 3: “I Am Disconnected From This Work”
Disengagement builds slowly through misalignment, repeated compromise, or work that no longer fits who someone is in this season of their life. People will continue to show up, meet expectations, and remain reliable, but the sense of connection, the part that fuels motivation, begins to erode. This is not a character flaw, but information signaling that something needs attention, whether that is role design, growth opportunities, values alignment, or simply recovery from prolonged strain.
Leaders who are unable to have this conversation often lose people without ever understanding what happened. For individuals, naming disconnection allows for reflection and intentional choice.
Two approaches people often find helpful:
Name the gap rather than the feeling – Instead of leading with emotion, this approach frames disconnection as a misalignment between effort and meaning. E.g., “I’ve been reflecting on the gap between how much energy I’m putting into my work and how connected I feel to it. The gap isn’t a crisis, but it is growing, and I think it’s important for us to talk about.”
Name the change, not the disengagement – This approach names that something has shifted without labeling it as a problem yet. E.g., “I’ve noticed that the way this role fits me has changed over time. I’m noticing some shifts, and I think it would be helpful to think about what that might mean going forward.”
What Leaders May Not Always See
People are not avoiding these conversations because they are weak, entitled, or uncommitted. These conversations are often avoided because the environment doesn’t feel safe enough to have them. If honesty is met with defensiveness, minimization, or subtle penalty, people learn quickly. Staying silent becomes a form of self-protection, and over-functioning becomes the norm.
When we normalize conversations about capacity, clarity, and connection, we create conditions where people can do meaningful work without sacrificing themselves in the process.
Our Final Invitation
Difficult conversations are necessary and part of any team or group. Having these important conversations signals that we care. When we handle them with intention, they strengthen engagement, improve productivity, and create workplaces where people want to stay and contribute.
These conversations tend to find their way to the surface eventually. The difference is whether we create space for them early and openly or later, after concerns have accumulated. When we choose to address things earlier, it often makes everything that follows easier for everyone involved.
By Kelly G. Richardson, Esq., HOA Homefront Column
Here are five pending bills that would not help HOAs:
SB 1238 would create many problems. It proposes to add to Civil Code 2295 a legally incorrect statement that HOA managers are fiduciaries to the HOA BOARDS and members, since managers are fiduciaries to the ASSOCIATION, not to boards or individual members.
The bill also adds three additional categories to the disclosures currently required under Civil Code section 4525 for prospective buyers. The three new items would contain specifics regarding 1. the number of “exterior elevated elements” in the association and how many involve “imminent repairs;” 2. those requiring non-imminent repair, and 3. any requiring over $10,000 of repairs. Balconies are only one of the three “elevated exterior elements” in most condominium buildings, so it’s unclear why the bill omits stairs and elevated bridges.
Additionally, the bill would add several provisions prohibiting HOAs from spending reserve funds on litigation or threatened litigation with members or relatives of member. This provision would deny associations the right to temporarily borrow from reserves to prosecute OR DEFEND lawsuits with HOA members. The reason for singling out members’ relatives for protection is unclear.
Last, the bill would greatly expand the “elevated exterior elements” disclosures, requiring report preparers to make far more detailed judgments on building components than they may be willing to make.
AB 1184, the “Homeowner Association Accountability and Transparency Act of 2026,” proposes significant changes to existing law. It would disallow board email deliberations; require specific litigation disclosures be in Annual Budget Reports; require case names be identified in executive session minutes in which the case was discussed; require open session board meeting recordings to be available to members; require specific information items be contained in board minutes; require election results announcements state each elected director’s term; and ban charges for unredacted documents requested and sent electronically to members. The bill makes many technical changes to board governance which volunteer directors will likely miss.
AB 739 proposes to heighten scrutiny of management fees by creating a new Civil Code 5378, requiring HOAs to email to requesting members a list of management fees. The bill would also add to the board’s monthly financial reviews an annual review of the management fees charged to the HOA. This bill if passed will further spotlight extra charges management companies use to make ends meet and make the management sector’s current revenue model much more difficult.
AB1684 would add another “protected use” by creating Civil Code 4737, which would prohibit HOAs from prohibiting or restricting installation, upgrade, replacement, or use of cooling systems. The bill would allow HOAs to force removal of illegal installations, but not to “restrict” installations. This could create a major problem if HOAs cannot impose any reasonable restrictions (allowed regarding solar installations and electric vehicle charging stations). Condominium associations would be unable to stop owners from installing systems that could harm the building or adversely affect neighbors.
SB 222 would create a new “protected use” by creating Civil Code 4737, which would prohibit HOAs from banning heat pumps or from completely banning replacement of carbon burning appliances with electric appliances. I haven’t heard of HOAs banning heat pumps or replacement of carbon (gas/wood/oil) heating systems with electric systems, so this may not affect most HOAs.
Savvy co-op and condo boards are always on the lookout for ways to soften today’s hard insurance market — a brutal world of rising premiums, shrinking coverage and, above all, microscopic scrutiny of a building’s claims record.
An Upper West Side condo built in 2010 suffered three major leaks over four years. Though none was catastrophic — the largest insurance claim was for $60,000 — the carrier took a dim view of the building’s track record.
The condo board brought in Sophie Bird, a senior vice president at insurance brokerage IMA Financial Group, who instantly saw the writing on the wall. “For the carrier,” Bird says, “the pattern indicated that there was a larger, more serious problem,” adding that buildings with multiple insurance claims on their loss record can have trouble renewing coverage, especially in the current hard market.
That’s precisely what happened to the condo, which was pushed into the dreaded “non-admitted” market — a last resort for buildings that insurers consider too risky — where coverage comes with higher premiums and less favorable terms. The condo’s annual insurance costs nearly tripled, ballooning from $50,000 to $130,000.
Bird’s task was to find specific steps the board could take to assure the carrier that the water problems wouldn’t continue, with the goal of keeping premiums steady — or, even better, bringing them down. Poring over the claims, she found a hidden culprit: the condo’s own governing documents.
“They made the association responsible for the cost of repairs for anything original to the units, including the floors,” Bird explains. “Since this was a relatively new development and few unit-owners had renovated, that meant most of the apartments had original floors. Every time water damage struck, the condo was footing the bill for repairs.”
And watching its insurance premiums go into the ionosphere.
Bird and her team saw a way out. “We spoke with the board and the property manager and pointed out that the governing documents were working against them,” she says. “We suggested that they look at amending the bylaws to make the unit-owners responsible for their floors and insure them on their homeowners’ policies. That would shift risk away from the building and, over time, improve the way insurers viewed them.”
Amending the condo’s governing documents required a supermajority vote, and convincing reluctant unit-owners wasn’t easy. “We helped the board make the case that bringing down the number of claims would bring down premiums, which would result in significant savings over the years (for everyone),” Bird says. “This was about making an investment in the building’s financial health.”
Eventually the amendment passed, and Bird’s team was able to go back to the carrier with a new message. “We said, ‘Here are the past claims, and a lot of the repair costs were for the floors. Now that unit-owners are responsible for them, you won’t be paying these claims going forward.’”
The strategy worked; in the first year alone, the building’s premiums dropped by $15,000. Bird is optimistic there will be more reductions ahead. “And if the insurance market softens in the next few years,” she adds, “it will improve their pricing even further.”
When a condo or co-op resident runs for a seat on their board, the decision to do so generally comes from a desire to ‘step up’ and participate in the governance of the place they call home, and the building or association community as a whole.
Often, the residents willing to serve on their board aren’t necessarily those with finely-honed skills and formal education in law, finance, and practical business management. And they don’t have to be—with competent management, legal, and accounting professionals on their side, a board composed of ‘civilian’ members can absolutely meet its oversight responsibilities and run a solvent, functional building or association.
But having said that, it’s also worth considering that a solid, practical base of knowledge in law, finance and management can be invaluable to a board, enabling them to interact more confidently with contractors and other professionals, make prudent financial decisions, and understand the implications of legislation and legal decisions impacting their community.
A Little Knowledge…
Given that, what base of knowledge does a board member—especially a newly elected one—need in order to contribute most effectively to the administration of their community? Most experts agree that understanding financial reporting, and to a slightly lesser extent, the laws and regulations governing shared interest communities in their area are the biggest help.
“Every board member needs to develop a basic skill set,” says Steve Silberman, a CPA and partner with PBG, a financial services firm located in Glenview, Illinois. “At a minimum, they need to learn to read and understand a financial statement, rather than just relying on the treasurer. The board has a fiduciary responsibility over the financial information of the association or corporation, so all the board members need to understand their finances.
“Revenue, minus expenses, equals net income,” says Jayson Prisand, an accountant and principal with Prisand Mellina Unterlack & Co, an accounting firm located in Plainview, New York. “That’s pretty much the starting point. The primary goal of maintenance or common charges is always to pay for expenses. It seems obvious, but if you don’t have the revenue, how can you pay for the expenses? Board members have a clear need to understand these basic processes. Cash and reserves and their differences are also important concepts in terms of short-, medium-, and long-term planning. Board members must know short-term concepts and goals for operating, and long-term concepts for capital projects. Especially in the current environment, they should understand inflation, and in New York City (and everywhere really), local regulations. It’s not an easy task.”
“The other concept they need to understand is fund accounting,” Silberman continues. “Operating accounts are based on fund accounting. They must also understand what a reserve fund is. A major issue for boards is the possible co-mingling between operating accounts and reserves. That requires understanding the difference between accrual versus cash-basis accounting. Most board members, regardless of their overall knowledge of accounting, understand ‘cash-basis’ accounting, as that’s how a personal checkbook works; income is accounted for when received, and expenses accounted for when paid. By contrast, accrual is more true to [a community’s] current financial position, because it records income when earned and expenses when incurred.”
“Financial literacy,” says Mark Love, principal of M. Love & Associates, CPA, with three offices in Massachusetts, “requires knowledge of matters involving finance, accounting, budgeting, taxes, investments, insurance, debt, financial planning, capital planning, and even economics.”
Michael S. Simone, an attorney and principal of The Simone Law Firm, based in Cinnaminson, New Jersey, focuses in a little more: “Board members must ensure that their association has a budget, and then make certain to run a monthly budget variance report to monitor the progress of the budget throughout the year. Understandably, everyone wants dues to be as low as possible, but an association needs to avoid having too many special assessments. Having special assessments every year is a red flag indicating that the budget is not properly funded. Furthermore, given the current stricter mortgage regulations, an association that does not have a properly funded budget might result in a potential buyer not being able to obtain a traditional mortgage.” Understanding basic accounting and financial principles is necessary for this.
Are All Board Members Equal?
Do all board members require the same level of knowledge of financial, management, legal and accounting issues? In a word, no.
However, according to Prisand, “Those board members who don’t have the most in-depth financial knowledge shouldn’t necessarily be the treasurer. The treasurer should have a solid grounding in financial data in their background. That’s not to say they couldn’t otherwise do the job, but you’re managing money—everybody’s money. There is always reliance on the management company, but don’t give them carte blanche. Overall, at least one person on the board needs to have a more complete, more complex understanding of finances and financing.”
Love concurs. “To be sure, at least one board member, generally the treasurer or the president, should have a moderate to semi-high level of understanding and awareness of these financial matters.”
Another area about which board members should have basic technical understanding is what their governing documents say and require relative to the financial management and maintenance of the property. “The first thing every board member should look at and understand are the bylaws and declarations of their association,” says Silberman. “The bylaws, etc., hold information about financial audits, what to do with excess cash from operations, and other details of financial management under the laws and regulations governing the association.” A law degree is not necessarily required for this, but as with the treasurer’s position, it certainly doesn’t hurt to have an attorney on the board. If that’s not possible, the community’s legal counsel can be tapped to provide any needed clarification.
Training Available
There are several organizations whose mission it is to help educate board members in the unique aspects of governing a building or HOA—including this publication, and its companion annual and biannual Expos, which offer rosters of free educational seminars, expert panel discussions, and legal advice booths. (Visit coopexpo.com for more information, registration, and descriptions of seminars.)
Another valuable resource —and the largest U.S. organization devoted to board education—is the Community Associations Institute (CAI). “CAI has over 40,000 members,” says Simone. “Their courses are offered both online and in-person, and are an excellent way to learn more about the role of being a board member. Further there is a web forum group where associations post problems and issues they are being confronted with, which is another way to learn from other potentially similar association’s issues.”
Along with these, “Boards should avail themselves of all manner of tutorials, workshops, seminars, and education courses on financial, operational, and management of an HOA,” says Love. “There are hundreds available at many organizations dedicated to the shared-interest sector.”
Spreading the Knowledge
In cases where a building or association is fortunate enough to have an accountant, attorney, financial or real estate professional as a board member—or even as a non-board resident—is it advisable for that person to help board members understand what can often be complex matters? The answer might depend on the community.
One co-op shareholder on Manhattan’s Upper West Side who is a professional commercial mortgage broker shares anonymously that in the 30 years he’s lived in his building, the corporation has refinanced its underlying mortgage twice. On both occasions, while not serving on the board, this shareholder offered his expertise to review the refi and advise the board in their decision making. The board turned down his offer both times—and in his opinion, they made serious mistakes, including the prepayment clause on the original refinance some 20 years ago, which precluded the corporation from taking advantage of lower interest rates when they had the chance.
On the other hand, Silberman says, “Boards could and should take advantage of members’ knowledge base. Depending on the size of the community, they might also have a finance committee or subcommittee apart from the board that would allow those with financial background but not on the board to serve on that committee, thereby bringing more people with knowledge into the equation.”
Prisand cautions that sometimes a little knowledge can cause friction. “I work with all types of people on boards. Senior fortune-500 types to housewives. Sometimes those with knowledge can present a different kind of problem; they think at too high a level. It’s not plain vanilla—every building is different—but it’s important to keep it fairly simple.” In the end it ‘takes a village’ to effectively run a village.
A Pressing, if Not-so-New Issue
Another issue has come to the fore for boards in the aftermath of the deadly Surfside, Florida, building collapse in 2021: reserves, and reserve studies. The high dollar amounts—and high stakes—make this yet another area where board members need to have at least a working knowledge and basic understanding of both their building’s physical condition, and the financial planning needed to properly maintain it.
According to Silberman, “Boards should plan for a reserve study, and a plan for investment of those funds. They need an investment policy, and should understand the financial and accounting principles underpinning that policy, including why and how reserve money is invested, its safety and liquidity, and yield. If you’re funding a reserve project, you’ll have a better idea of why the money is invested the way it is.” That knowledge of investment strategy is a good partner to understanding the financial principles relating to your regular operations as well.
It all boils down to boards and board members being as informed as possible about what goes into governing and administering their community from day to day, from its physical upkeep to financial decision-making and long-term planning. Reading—and understanding—your governing documents, consulting your legal and financial professionals when necessary, and taking advantage of educational and training opportunities are all great ways to make the most of your tenure, and make your board the best it can be.
A J Sidransky is a staff writer/reporter for CooperatorNews, and a published novelist. He can be reached at alan@yrinc.com.
Q: A shareholder in a Queens co-op was physically assaulted by another shareholder in the laundry room. The victim filed a police report, but nothing came of it, and the co-op board has apparently not done anything to discipline the aggressive shareholder. The co-op’s proprietary lease states that objectionable conduct will not be tolerated. If the shareholder attacks again, could the board be sued? Can the aggressor’s lease be terminated?
A: Typically, when a verbal or physical confrontation happens in a common area such as a laundry room, each party involved will give a different version of events, replies the Ask Real Estate column in The New York Times. Therefore, a board of directors may have difficulty determining what actually happened and who is at fault.
If the shareholders involved in the dispute disagree about what happened and there is no hard evidence,such as a surveillance tape or an eyewitness account, the board can send a letter to the allegedly aggressive shareholder stating the accusation against him and reminding him that the alleged conduct violates the law and the co-op’s proprietary lease, says Steven Sladkus, a partner at the law firm Schwartz Sladkus Reich Greenberg Atlas.
Caution is advised. If the person accused of the assault is denying it and there is no proof, “the board shouldn’t become the judge and jury all of a sudden,” Sladkus says. “The board has to be fair about this if there’s no proof.”
If, on the other hand, there is hard evidence to support the victim’s claim, the aggressive shareholder’s lease could be threatened with termination for “objectionable conduct.” The proprietary lease will state how this could happen — a vote of the board of directors or the shareholders, or both.
New York courts typically will defer to a co-op’s decision to terminate a shareholder’s lease for objectionable conduct under the business judgment rule, as long as the board acts within the scope of its authority and follows the procedures in the proprietary lease, says Jennifer Karnes, who practices real estate law at Becker.
Lease terminations are serious matters, so the governing documents will probably contain strict provisions on how the board must carry them out. These steps can include a written notice to the shareholder and a special meeting where the shareholder can state his case.
And, yes, the board could face liability if it knew about an aggressive shareholder and failed to act.
By Kelly G. Richardson, Esq., HOA Homefront Column
Dear Kelly: Do bylaws allowing action without a board meeting supersede Davis-Stirling Act requirements? My HOA’s bylaws provide as follows: “Any action required or permitted to be taken by the Board may be taken without a meeting, if all members of the Board consent in writing to the action.” Could you address this issue? Thanks, E.H., San Diego
Dear E.H.: Civil Code Section 4910 is quite clear – except for emergency email decisions under 4910 subpart (b), HOA boards cannot make decisions except in board meetings. The 2023 published decision in LNSU #1 v. Alta Del Mar Coastal Collection allows boards to discuss business in emails so long as the decision itself is made in a board meeting. Bylaws are not allowed to contradict statutes, per Civil Code Section 4205(a): “To the extent of any conflict between the governing documents and the law, the law shall prevail.” E.H., the bylaw section you mention is often found in older bylaws, because before the Open Meeting Act became law in 2012 Corporations Code 307(b) allowed decisions outside of board meetings by unanimous written consent. However, Civil Code 4910 is more specific and bars common interest developments (HOAs) from doing what other California corporations are allowed to do. Thanks for your question, Kelly
Question: A special assessment was approved by the membership. The motion at the next monthly board meeting only approved the annual budget. There wasn’t any motion to charge the homeowners for the special assessment in this and any subsequent meeting minutes. Can a homeowner challenge the legality and validity of the special assessment? Does the board need to cure this problem? M.F., Huntington Beach.
Dear M.F.: If the special assessment was voted upon and approved by the membership, board minutes would not be the document which records that fact. There would be at least two documents required by statute. The first is the announcement by the board of election results, per Civil Code Section 5120(b), which is required to be made within 15 days of the voting. The second would be the individual notice to each member of the special assessment becoming due, which under Civil Code Section 5615 must issue not less than 30 or more than 60 days before the assessment is due. If the special assessment ballot did not state when the assessment would become due, the board’s decision on that due date should be recorded in the HOA minutes. Best, Kelly.
Kelly, what attachments, if any, are HOAs required to make to their open session minutes? If an action was approved based on a proposal or report, should a copy be included with the minutes? S.T., San Diego
Dear S.T.: Minutes are intended to record just a few things – which directors attended the meeting, what motions were made and the motions’ outcome, and what reports were received. The Davis-Stirling Act at Civil Code Section 4950(a) requires that draft minutes be available to a requesting member within 30 days of the meeting, but does not require other items, such as approved contracts or committee reports, to be attached to the minutes. It’s a good idea to make sure the minutes identify the contract or report so there is no later argument about what was approved but attaching them is not legally necessary. Best regards, Kelly
It’s a truism that nothing lasts forever—and that includes management contracts. Shared interest communities change management companies all the time, and for a variety of reasons. Those reasons can range from cost to effectiveness and everything in between, including clashes of personality. When changing management companies, there are a few things to keep in mind to improve your next experience and to avoid previous problems and disappointments. The key is doing your due diligence when choosing your next management partner and making sure your contract reflects the needs and expectations of your community.
Why Make a Change?
Among the most common reasons co-ops, condos, and HOAs switch managers or management companies is that they feel underappreciated or underserved. Grumbling typically starts among the residents. Common areas aren’t kept clean enough; management is unresponsive or unreachable; a repair wasn’t done properly. Eventually, the grumbling works its way up to the board. When the board approaches management about the problem, promises of improved performance may be made, but the situation doesn’t improve, or improves only temporarily before sliding back to an unacceptable place. Before long, both the board’s and the residents’ patience is exhausted, and the search is on for a new manager.
“Oftentimes,” says Harold Berlowe, director of sales and a project manager for Denali Management in New York City, “The impetus for change is usually lack of attention, communication, and responsiveness [from the management]. Management companies are the frontline for most communities, handling everything from the daily property issues, such as leaking roofs, broken sidewalks, fallen trees, etc., to residents’ complaints and more complicated issues like budgeting, overseeing major projects, insurance claims, delinquent owners, etc. Therefore, most communities are reluctant to make a change until the consequences from the lack of attention and responsiveness become too great.”
“It most often comes down to expectations and communication,” adds Bruno Bartoli, senior director of management services for Evergreen Management Group, located in Bedford, New Hampshire. “Boards want a management partner who is responsive, transparent, and aligned with the goals of the community. If those expectations aren’t consistently met, whether it’s slow communication, lack of follow-through, financial reporting issues, or overall service quality, boards may look for another firm when their contract expires.”
“Change in management may be driven by money and personality,” says David Goldoff, president of Camelot Realty Group, a company based in New York City that manages properties in New Jersey as well. “As the owner of a management company, you must place the right manager with the right community. There has to be the right personality connection between the manager and the board. If communication is bad, it may result in a change. I always tell board members if there’s a problem, just call me; I do a lot of reaching out. Everything is also driven by economics. If a board changes managers, often it’s for someone less expensive.”
Breaking Bad… or Good
Shifting an entire building or association’s administrative life from one handler to another is complicated. There are a lot of moving parts to keep track of, and depending on how it’s done, it can go well… or not so well. To reduce the chances of the latter being the case, a change should be well thought out and planned. Rash decisions can only lead to more problems, so execution is everything here.
“You should make sure you have a new company in place before you fire the old one,” says Scott Piekarsky, a partner with Offit Kurman, a law firm based in Hackensack, New Jersey. “Generally, you must give [your existing management] proper written notice as per your contract. Your [current] company may push back on a breaking of a contract—though if it’s simply the end of the contract, they can’t do that. Some contracts will even require notice if you don’t intend to renew at the end. There may be financial consequences for breaking the contract, but regardless, the existing management company must be cooperative with the new company. As the client, you must be prepared for the handover. There are records, bank accounts, etc., and it will take time to make the transition. The board should be prepared to oversee the process, and it can’t be done overnight.”
Drilling down further, Berlowe observes that “most contracts require the aggrieved party to put in writing what they believe to be a breach or breaches of the contract terms, then allowing the alleged breaching party a reasonable amount of time to cure that breach. If the breach isn’t cured in that time frame, the next step is sending written notice of such, terminating the contract on a date certain, and demanding that all data, documents, monies, etc., be turned over in a timely manner. Oftentimes, if the parties cannot agree on whether a breach has been cured, or is even curable, they negotiate a sum of money to end the contract—in effect, a termination fee—which is usually the simplest, easiest way to resolve the situation rather than going to court, paying attorneys, etc.”
The Transition
Once the cat is out of the bag, so to say, and current management has been notified that the existing contract will be broken or will not be extended, the real fun begins. Switching management companies involves a detailed, organized handoff.
“For an association to continue functioning properly, every piece of information must be accounted for,” says Bartoli. “The process includes an extensive transfer of documents. These documents include but are not limited to governing documents such as bylaws, declarations and rules, financial records including bank statements, ledgers, and budgets, and other documents, such as vendor contracts, insurance policies, maintenance records, owner rosters, past meeting minutes, ongoing project files, and compliance and violation histories.”
Goldoff recommends engaging a transfer agent to help navigate the process—a neutral third party who handles the documents and keeps track of all the loose ends. “We have a transfer agent for deliverables and receivables, and a transition document that outlines what we need. We also hand off on signatures and time stamps, and we give this transition document to the client. It’s all done by email, and sent to both companies. We introduce ourselves to the other company, regardless of whether we are the new or old manager, in the process. Today, everything is done in the cloud. We set that up for the outgoing company to dump information in specific folders in the cloud. There are also physical files to be picked up by messenger. You don’t need to transfer years and years of files anymore. For most items, we ask for permission to scan them and it all gets transferred electronically. We need two to three years’ worth.”
Protecting Data
In today’s world, data theft is a fact of life. We hear about data breaches at major institutions on an almost daily basis. Given this unpleasant reality, it’s crucial for shared interest communities to protect the vital personal information of their members as well as the information of the association or corporation itself.
“Taking extreme care when handling passwords, banking information and other important sensitive material is critical today,” says Piekarsky. “The transfer of this information must be done properly and carefully. Most companies are adept at doing this. They have trained personnel assigned to it, and have passwords for everything. As a matter of course, it’s a good idea to change all your passwords when shifting over to new managers.”
Berlowe explains that in his experience, “This information is protected and securely stored in our system immediately. User names & passwords for various accounts are obtained, then changed as soon as possible. As new bank accounts are set up for each new client, we do not need and do not request any current bank account access. The same goes for owners’ accounts and information. We set up new owners’ accounts and request they complete a new census form—either written or online—with their information, then request they set up their new account with us via our resident web portal. This information is encrypted, backed up securely, and kept confidential.”
Cybersecurity has become one of the most important parts of transitioning a community safely. According to Bartoli, “We treat data security as a top priority, because associations handle sensitive information every day, including bank accounts, owner data, vendor credentials, and internal system passwords. During a management transition, several steps are critical. They include password protection, banking security, and data transfer. All system access controlled by the prior management company should be disabled immediately. Boards should never reuse old passwords. New accounts and credentials must be generated for banking platforms, software portals, and vendor systems. Signature authority must be updated on every account. No outgoing manager should retain access to any financial platform once the transition is complete. Documents must be exchanged through secure, encrypted platforms—not email attachments. We use controlled internal systems to ensure that the data we receive or transfer is protected. Lastly, there’s the issue of internal responsibility. It’s the management company’s responsibility to safeguard the community’s data. Boards expect us to take the lead, set the standard, and follow cybersecurity best practices at every step of a transition.”
Making a management change is a difficult, stressful decision, and is often thought of as the ‘devil you know vs. the devil you don’t’ situation. However, when the time comes that it’s clear your current relationship is no longer tenable, check with your association’s attorney, do a close read of your current contract, and cross your T’s and dot your I’s. Put everything in writing, and maybe most importantly, leave plenty of time to handle the termination of the current contract and the vetting, interviewing, and decision-making process to engage a new—and hopefully better—management company.
A.J. Sidransky is a staff writer/reporter for CooperatorNews, and a published novelist. He may be reached at alan@yrinc.com.
April 15 will arrive faster than you realize, so if you haven’t filed your taxes yet, now’s the time to start combing through your records to see what expenses could end up saving you money on your return, especially if you own a home. One often-missed opportunity? Homeowners association dues.
HOA dues aren’t always tax-deductible, but under the right circumstances, they can be.
For example, if you use your home as a dedicated workspace or rent out your property, a portion, or all, of your HOA fees might qualify as a business expense. And if you’re dealing with special assessments, those, too, can affect your tax situation—particularly when it comes to capital gains down the line.
If you paid HOA fees in 2025, we’ll break down exactly when and how you can turn those expenses into a tax break. Whether you’re a full-time remote worker, part-time landlord, or somewhere in between, understanding these rules could make a meaningful difference in your return.
Are HOA fees tax-deductible?
HOA fees are used to maintain and improve the community and can include payments for maintenance of common areas, landscaping, insurance, amenities, reserve funds, and repairs.
So are these HOA fees deductible on taxes? It depends.
If you buy a property as your primary residence and are responsible for paying HOA fees on a monthly, quarterly, or yearly basis, those fees are not tax-deductible.
“However, if you use part or all of the home for business purposes such as a rental or a home office, you may be able to deduct some or all of the HOA fees,” says tax attorney John Georvasilis, of Seattle Legal Services in Seattle.
These exceptions are explained further below.
Can I write off HOA fees when working from home?
If you’re self-employed and working from a dedicated home office, a portion of your HOA fees might be tax-deductible under the home office deduction. But the space must be used regularly and exclusively for business purposes—a corner of your kitchen table doesn’t count.
“The most common way to prorate the HOA dues would be to add up your total HOA dues for the year and multiply that amount by the square footage of your home office over the total square footage of your home,” says Logan Allec, CPA and owner of Choice Tax Relief in Los Angeles.
For example, if your home office takes up 20% of your home, you may be able to deduct 20% of your annual HOA dues as a business expense.
Keep in mind that this deduction is available only to self-employed individuals filing a Schedule C (Form 1040), not W-2 employees working remotely. If you’re eligible, you’ll need to calculate the deduction using Form 8829 and retain clear records of both your business use and HOA payments. Taking the time to document it properly could help reduce your taxable income—and make that HOA fee work a little harder for you.
Can I write off HOA fees on a rental property?
If you own a rental property and lease it to a tenant, your HOA fees are tax-deductible as an operating expense.
“The HOA fees are an ordinary and necessary expense to generate your rental income,” says Allec.
This applies whether the property is rented out in its entirety or just as a portion. If you’re leasing out only a single room or unit within your home, you’ll need to prorate the deduction based on square footage.
“For instance, if you rent out a single bedroom, you can write off a portion of the HOA fees based on the square footage of that room compared to the rest of your home,” says Georvasilis.
To claim the deduction, report your rental income and expenses—including eligible HOA dues—on Schedule E (Form 1040). As always, detailed records and documentation will help you stay compliant with IRS requirements and ensure you get the maximum allowable deduction.
Can I write off HOA fees for a home I rent out part time?
According to the IRS, a house is considered a second home and not a rental property if you use it for personal purposes during the tax year for a number of days “that’s more than the greater of 14 days, or 10% of the total days you rent it to others at a fair rental price.”
So if you rent out the property for 200 days in a year, 10% of that is 20 days. If you use the property for more than 20 days for personal purposes, the IRS considers it a second home and not a rental.
In that case, “you don’t report any of the rental income and do not deduct any of the rental expenses, including HOA dues—because they’re not tax-deductible,” says Allec.
But if you didn’t use the home for personal purposes for a number of days that was more than the greater of 14 days, or 10% of the total days you rent it to others at a fair rental price, a portion of the HOA dues will be tax-deductible.
For instance, if you rented out the property 75% of the year, you can deduct 75% of your HOA fees on your tax return as a rental expense.
Are special assessments tax-deductible?
A special assessment is an additional fee that an HOA may impose to cover unforeseen expenses, like necessary renovations or updates to the property. Unlike regular HOA dues, special assessments are typically applied only in emergencies.
If the special assessment is used for repairs or maintenance, it is normally tax-deductible.
But if it is used for improvements, it is not tax-deductible.
Do HOA fees and special assessments affect capital gains taxes when I sell my house?
While monthly HOA fees are considered regular operating costs and do not affect your capital gains taxes, special assessments might—if they’re used to improve the property, according to Allec.
When you sell your home, you may owe capital gains tax on the profit from the sale. The IRS calculates this by subtracting your costbasis (what you originally paid for the home, plus certain qualifying expenses) from the sale price. The higher your cost basis, the lower your taxable gain.
This is where special assessments can come into play. If you’ve paid for improvements like a new roof for the building or major landscaping work through special assessments, those expenses may be added to your cost basis.
Keeping a record of special assessments that were used for improvements to your property “could increase your cost basis in your home, which could decrease your capital gains tax when you sell it,” says Allec.
How do I deduct HOA fees or special assessments?
To write off your HOA fees or special assessments on your taxes, it’s important to ensure that you comply with IRS regulations.
To deduct HOA fees on a home office, “use Form 8829 to calculate your home office deduction, including the portion of your deduction for HOA fees, and report your total home office deduction at the bottom of Schedule C,” advises Allec.
More details about the home office deduction can be found in IRS Publication 587.
To take a tax deduction on a rental property, use Part 1 of Schedule E to list your rental income and expenses.
As leadership visibility and social influence become core business skills, a dedicated executive communicator turns a leader’s ideas and judgment into trusted, high impact messaging across every audience—even in an age of AI.
Leadership and social influence are now critical skills. The World Economic Forum’s most recent Future of Jobs Report ranks these as the third-most-important core skills today, representing a massive 22-point increase in just two years.
In the digital age, attention is the new currency. Modern executives are the primary extension of the company brand. While the term “influencer” may cause some to cringe, the reality is that leaders have always been expected to influence. Today, leadership visibility, especially on social platforms, is a powerful vehicle for brand authority. When a leader speaks consistently and authentically, they build “attention equity,” turning digital presence into a measurable corporate asset.
This visibility is the bedrock of organizational trust. During the pandemic, weekly CEO updates became a corporate staple, fueling a rise in both workplace trust and employee expectations. This shift was underscored by the 2022 Edelman Trust Barometer, which found that 77 percent of employees trusted their employer more than government or media sources.
This shift didn’t happen in a vacuum. Communication platforms keep multiplying, and stakeholders expect more from leaders as the pace of change accelerates. Leaders need to be visible and strategic about how they show up. Every statement, post and public appearance matters, and there are far more of these moments than ever before.
The New Executive Office
Even with a high-performing executive assistant and chief of staff, today’s communication demands have outgrown the traditional executive office. That’s why a third role has become essential: the executive communicator.
This role ensures a leader’s voice breaks through the noise, reaches the right audience and advances organizational priorities at the speed of change. Working in tandem, these three roles support modern executives in unique and complementary ways: The executive assistant handles day-to-day operations and keeps things running smoothly. The chief of staff coordinates across teams and turns strategy into action. The executive communicator develops messaging that captures the leader’s vision and voice.
This partnership goes beyond messaging and provides strategic counsel. Years ago, I advised on a sensitive security program that corporate counsel deemed “completely legal.” I asked the room: “But will employees see it as ethical?” The next day, leadership shuttered the program. This level of stakeholder acumen is essential in sectors like tech, where innovation consistently outpaces the regulatory landscape.
A Role Built Around You
Most executives know what public relations and internal communications teams do. Executive communicators are different. Traditional communications teams serve the broader organization; this role serves you.
While core deliverables remain consistent (think talking points, executive briefings, presentation decks), the day-to-day work is hyper-tailored to each leader’s style and strategic priorities. If you’re a sales executive, your communications partner focuses on how you talk about pipeline, revenue and growth. If you’re a CEO with a highly visible public profile, they’re thinking about your thought leadership and how you represent the company in the market. If you’re an operations executive, they may help you translate a significant strategic shift into something the organization can rally around and execute. If you are picturing how you would partner with this person, think about the mission-critical priority for your success: I have to hit this number. This merger must succeed. The culture shift must hold. That is where your partner will focus most of their time.
Ultimately, an executive communicator should become an extension of you, just like your assistant and chief of staff. They learn how you think and help you influence others. They can build the platform for your thought leadership, but the insights have to come from you. Your expertise and experience make your messages authentic and impactful. This works best when you talk regularly, share what’s going on and both invest in getting the story right.
Finding the Right Person
Once you understand the value this role brings, the question becomes: How do you find the right person?
Executive communication requires a unique mix of skills. You need someone who thinks strategically, gets business and finance, can handle tough stakeholders and commands a room with clarity and confidence. Because the role spans so many audiences (like employees, analysts, press, customers, partners), most people don’t start here. They also don’t always have a communications background and can transition from roles across corporate strategy, investor relations, or operations.
While this role is more common in Fortune 500 companies, it’s often more vital for small and midsize companies, where the C-Suite is the brand. For organizations where budget is a limiting factor, consider one executive communicator who serves multiple leaders, focusing on mission-critical objectives.
When you’re hiring, focus on three things:
First, writing. Ask for samples or give them an assignment. This is standard practice. Look for clarity, strategic framing and the ability to adjust tone for the intended audience. If you have a strong public presence, ask them to try to capture your style.
Second, outcomes. Be specific. Are you trying to grow your social media presence? Do you need help with major organizational changes? Are you dealing with high-stakes audiences like board members or regulators? Say what matters most to you.
Third, fit. Skills matter, but so does chemistry. But notice I didn’t say personality. Chemistry is about finding the person who will operate in a way that accommodates your style. Are you looking for someone who can push back when needed, or someone to execute your vision? Be honest with your leadership style and ways of working.
Chemistry is the biggest point of failure I see in these partnerships. While trust takes time to build, you’ll usually feel a disconnect quickly. Give it six months, if the fit isn’t there by then, it’s likely not going to happen. And because this person will work lockstep with your executive assistant and chief of staff, include them in the hiring process from the start. If the chemistry doesn’t work for them, it won’t work for you.
A common question is where this role should sit within the organization. I’ve seen Executive Communicators report to public affairs, HR, strategy, marketing and more—and all can work. What matters less is the line and more is proximity: your communicator must have direct access to you, even if that’s a dotted line.
If they don’t report to you directly, establish clear role expectations upfront. Budget ownership typically sits with whichever function houses the role, but the key is ensuring your communicator has the resources and autonomy to operate at your pace, not get lost in departmental workflow. Equally important: provide regular performance feedback. Even if they don’t report directly to you, invest in their development and rewards as you would for any extension of your leadership.
What does success look like once the right person is in place? I once had an executive tell me: “I honestly didn’t know how I would work with an executive communicator; now, I’m not sure my team or I could ever be successful without one.” That level of integration is the goal. If the role feels optional, something’s wrong—either you don’t need it, or you haven’t found the right partner.
What About AI?
Everyone’s talking about AI, what will be automated versus augmented, and how work will change. AI is highly beneficial in content creation. You can generate messages quickly, test different versions and refine language. The best executive communicators will use it exactly that way: as a tool for speed and scale.
But it’s not replacing them. The stakes are too high at the executive level to rely solely on AI. Executive communicators bring human judgment that AI can’t. They ensure accuracy, cultural nuance, emotional intelligence, ethical judgment and strategic alignment that AI cannot replicate. They understand when to amplify a message, when to stay silent and how to navigate all the human messiness that comes with leadership.
