Living in a planned community comes with shared amenities, common spaces and community-wide standards. A Property Owners’ Association (POA) helps manage these shared responsibilities and provides a framework for the long-term operation and maintenance of the community.
Whether you’re a new homeowner or simply want a better understanding of how the Point Hope POA operates, here’s a breakdown of the basics.
What is a POA?
A Property Owners’ Association (POA), also commonly referred to as a Homeowners’ Association (HOA), is a legal entity established to govern, maintain and preserve certain aspects of a planned community.
A POA:
Is typically organized as a not-for-profit corporation
Is governed by a Board of Directors
Maintains and operates certain common areas, open spaces and amenities
Administers and enforces the Association’s governing documents and Community Standards
Is primarily funded through assessments paid by property owners
Has mandatory membership for properties governed by the Association
The Association’s governing documents are generally attached to the land. When a property changes ownership, POA membership and the obligations associated with that property transfer to the new owner.
What are Community Standards?
Community Standards establish guidelines and requirements for the appearance, maintenance and use of properties within the community. Their purpose is to help maintain consistency, preserve the character of the community and protect its long-term quality and appeal.
At Point Hope, Community Standards may address:
Home and property maintenance
Exterior appearance
Architectural and exterior modifications
Landscaping
Signage
Other conditions that affect the appearance, use or character of the community
Community Standards are established through the Association’s governing documents, design guidelines, rules and regulations and policies adopted by the Board.
The Community Manager and Association staff are responsible for administering and enforcing these standards.
Who serves on the POA Board?
The composition and authority of the Board of Directors are established in the Association’s governing documents.
In a developing community like Point Hope:
The primary landowner or developer typically controls the Board during the early stages of development
This period is commonly referred to as the developer-control period
The developer serves as or appoints members of the Board in accordance with the governing documents
As the community develops and ownership transitions, property owners may become entitled to elect or appoint directors
The timing and process for that transition are determined by the Association’s governing documents
How is the POA funded?
The POA is primarily funded through assessments paid by property owners. These assessments provide the resources necessary to operate the Association and maintain POA-owned property and amenities.
Assessments may help fund:
Parks, trails, pools and other amenities
Landscape maintenance
Utilities
Insurance
Administrative and management services
Repairs and maintenance
Contractors and service providers
Other Association operating expenses
The Board approves the Association’s annual budget and establishes assessments in accordance with the governing documents.
In a developing community, expenses and assessments may change over time as additional properties are completed, new amenities and common areas are transferred to the Association and the POA assumes additional operating and maintenance responsibilities.
What is the developer responsible for?
The developer and the POA have different responsibilities, although the two work closely together while a community is being developed.
The developer is generally responsible for:
Planning and developing the community in accordance with applicable approvals, agreements and development plans
Establishing the POA corporation and recording its initial governing documents
Overseeing and/or developing community infrastructure, such as roads and drainage systems
Developing parks, trails and other planned amenities
Coordinating the overall buildout of the community
Serving as or appointing the Board of Directors during the developer-control period, as provided by the governing documents
As portions of the community are completed, certain amenities, common areas and responsibilities may transition from the developer to the POA.
What are the homebuilders responsible for?
Homebuilders that purchase property or homesites within the community are also members of the POA and must comply with its requirements.
Homebuilders are generally responsible for:
Following the Association’s governing documents, design guidelines, rules and regulations
Meeting applicable architectural and construction requirements
Maintaining builder-owned properties and homesites
Paying applicable assessments on properties they own
Coordinating with the developer and POA as necessary during construction
Helping new homeowners understand applicable POA requirements and responsibilities
Homebuilders may also work with the developer on home sales, marketing efforts and certain improvements or amenities within the community.
What is the Community Manager responsible for?
The Community Manager oversees the day-to-day administration and operation of the POA under the direction and oversight of the Board.
Responsibilities generally include:
Administering and enforcing governing documents, rules and policies
Overseeing POA property, amenities and common areas
Coordinating maintenance and repairs
Supporting resident communication and community engagement
Administering the collection of assessments
Coordinating Association meetings
Preparing and administering the Association’s budget, subject to Board approval
Maintaining Association and property owner records
Coordinating contractors, vendors and service providers
For most routine POA questions, requests or concerns, the Community Manager and POA staff are the appropriate first point of contact.
What are property owners responsible for?
Owning property within a POA comes with certain obligations established through the Association’s governing documents.
Property owners are responsible for:
Complying with the Association’s governing documents, rules and regulations
Maintaining their property in accordance with Community Standards
Obtaining required approval before making certain exterior or architectural modifications
Paying assessments and other authorized charges when due
Reviewing POA communications and staying informed about Association matters
Participating in Association meetings when appropriate
Communicating thoughtfully and constructively with the POA and neighbors when raising questions or concerns
As Point Hope continues to grow, the responsibilities of the POA will evolve along with the community. Property owners are encouraged to regularly review POA communications and governing documents for the most current information regarding policies, procedures, assessments and community standards.