COLUMN: Barbara Holland

Q. Our association is in debt. We are losing money because of two restaurants and golf courses.

Board members plan to assess each household $700 over and above our annual dues of $840. We do not mind a small raise to stay current with inflation but feel the extra assessment is excessive and unnecessary.

Could you share any thoughts or tell us of any regulations that would help our situation?

A. The law states that a budget is approved unless a majority of owners, or any larger percentage of voters specified in the governing documents, reject the budget. If the membership rejects the budget, the previous budget would prevail until a new budget is submitted that the membership does not reject.

Since you indicate that your association is in debt, the increase may well be warranted.

Your association may want to hire a specialist to analyze the economic value of the restaurants and golf courses. If, in fact, they are losing money, which is causing the association's deficit, a specialist may be able to present alternatives to their operations, such as leasing or selling them to a third party. The specialist may recommend new management.

Q. A year ago, the home next to ours was sold. The new neighbors erected a trapeze between our homes.

The structure towers above our two-story home and can be seen as far away as the freeway. Needless to say, the structure has taken all privacy away from our back yard. It is noisy and unsightly and was installed with no regard for the association's covenants.

The association has offered no specifics regarding its efforts to remove the structure, only that it is working on a resolution. Aside from seeking a legal remedy, is there any help that you can offer?

A. One of the reasons why you may not have received a definitive answer from your association pertains to the law and its timetables.

The owner would have to receive a series of letters before legal action could be initiated. The letters may have been sent by the association and then by the association's legal counsel. The issue may have been sent to the ombudsman's office, to a mediator or arbitrator, or to District Court. Obviously, this takes time and money.

The association should be able to state at what stage of the process it is in. Ask them. If they are uncooperative, contact the ombudsman's office at 486-4480 for assistance.

Questions for Barbara Holland may be sent to Association Q. & A., P.O. Box 7440, Las Vegas, NV 89125. Her fax number is 385-3759.

Barbara Holland, Certified Property Manager, is president and co-owner of H&L Realty and Management Co. She is a member of the Institute of Real Estate Management and is the author of two books on the subject. Holland is a past president of the Greater Las Vegas Association of Realtors.

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