New Legislative Requirements for HOA Boards– “FinCEN”
Beginning January 1, 2025, the U.S. Department of the Treasury will begin enforcing the provisions of the Corporate Transparency Act (“CTA”). The Financial Crimes Enforcement Network (“FinCEN”) clarified that Community Associations ARE required to file Beneficial Ownership Interest (BOI) reports under the CTA. HOA’s have until January 1, 2025 to complete the requirement. What does it mean to you/the association? Paperwork to be filed with the government. To learn more about this new law, click or type the following link to a PDF, published by the Federal Government. https://drive.google.com/file/d/1-ENd7EL0YT80r9rU9wPJ9AY9wKEHKPPM/view?usp=sharing Sharper is taking this requirement seriously and has taken proactive steps to ensure that your association is in compliance. Note: there is a fine of $500 per day for non-compliance, up to two years of imprisonment, and an additional $10,000 fine. As your managing agent, Sharper can file on your behalf. We have the information necessary to file, including but not limited to: Agency, EIN, Governing Documents, Contact Information, Registered Address, and Compliance Tracking. What Sharper Will Do: What Each Board Member Board Needs To Do: The fee charged to the association for this service is $250. Sharper will also charge an annual maintenance fee of $200 for all updates to remain in compliance each year. This includes monitoring expired Identification Cards and accounting for all Board member changes. Please work with your manager or a member of our staff to ensure you, and the rest of your Board, are coming into compliance with this new law.
Board Training Opportunity – October 23rd
The last of the 2024 quarterly Board Training sessions will be held on Wednesday, October 23rd, 6 p.m. at the Wells Fargo Plaza, 2nd Floor Training Room at 7900 Xerces Avenue in Bloomington, MN 55431. This free 90-minute session will focus on financials and insurance. Led by Sharper’s director of business development and education, Josh Reams, and Insurance Warehouse principal Eric Skarnes, topics will include: Insurance Basics: Financial Fundamentals: If you are interested in reserve your spot for this free training opportunity, email clientcare@sharpermanagement.com
Board Training Opportunity – July 24th
The next session in the quarterly series of Board Training opportunities will be held on Wednesday, July 24th, 6 p.m. at the Wells Fargo Plaza, 2nd Floor Training Room at 7900 Xerces Avenue in Bloomington, MN 55431. The 90-minute session will be led by director of business development and education, Josh Reams, CMCA, AMS, PCAM – and will focus on Governing Documents If you are interested in reserving your spot, please email: clientcare@sharpermanagement.com
Board Tips: Make Your Meetings Matter
There’s no denying that we live in a culture of meetings. The ease and accessibility of virtual meetings have furthered exasperated the reactionary notion of “let’s get together to talk it through.” As we approach the spring/summer season and the cadence of Board meetings increase, step back and consider two things – Frequency and Productivity. Meeting Frequency – how often are you meeting as an association Board? This will certainly vary. Your Governing Documents may dictate a number of meetings to be held within a calendar year. The size and complexity of your community may require more or less meeting regularity. And situational issues or projects may dictate the volume necessity for a “meeting of the minds.” Consider the notion, however, that the more often you meet, the less productive you may be. Fewer meetings force focus – and therefore motivation to have tangible outcomes and measurable initiatives. Consider evaluating your meeting productivity. If you find that decisions are often times delayed or tabled, if your meetings are more social than business, and certainly if you have a limited number of items on your docket, consider having fewer meetings. See how it goes. The results might surprise you! Productivity = Action List – to ensure that the meeting was, in fact, constructive with measurable outcomes, it is helpful to have a summary identifying assigned tasks. Make a list! As Managers, we refer to this as an “Action Item List.” These can even be incorporated into the Meeting Minutes if it reflects a New Business decision or resolution of the Board. Towards the end of a meeting, it is natural for people to just want to get home. Verbally summarizing and capturing, in writing, all action items is imperative. To make your meetings matter, reconsider frequency and have measurables/outcomes. You’ll find the two go hand-in-hand!
Board Training Opportunity – April 24th
The second in the quarterly series of Board Training opportunities will be held on Wednesday, April 24th, 6 p.m. at the Wells Fargo Plaza, 2nd Floor Training Room at 7900 Xerces Avenue in Bloomington, MN 55431. The 90-minute session will be led by director of business development and education, Josh Reams, CMCA, AMS, PCAM. This session will focus on defining the roles and responsibilities of the Board, and property management practices. Topics include: · Roles & Responsibilities of the Board· Officer Positions & Duties· Legal Obligations & Protections· Committees· Property Management Practices· Organizational Tools & Tips If you are interested in reserving your spot, please email:clientcare@sharpermanagement.com
A Look Ahead to 2024 & Back at 2023
2023 has been another great year for Sharper Management! To name just a few successes— Continued growth in welcoming 31-new clients. In doing so, we passed a milestone of 200 associations managed. We also continue a strong retention rate of existing clients. We opened a satellite office in Maple Grove. This summer we rolled out significant upgrades to our software platform and web portal offering – perhaps most notably, a wonderful architectural request tracking and approving feature. This winter we will be integrating new software to help streamline the scheduling and management of our maintenance team. We continue our passion for training. We offered four sessions attended by nearly 200 Board members, representing over 60 different associations This spring we also rolled out our Educational Video Library, featuring 90 videos on dozens of different topics. We had another successful Sharper Scramble Golf Tournament and for the first time ever we topped $10,000 in proceeds, which were donated to the Multiple Myeloma Research Foundation. Sharper was also a feature of our industry’s trade organization (Community Association Institute) annual Vision Awards – receiving nine nominations. See Vision Awards article for details. The achievements of 2023 are many. What we continue to be most proud of, however, is the cohesion and growth of our talented team. We welcomed five new managers this year, each of them a seasoned veteran, uniquely talented, with years of industry experience. We also added positions in our Accounting, Maintenance and Client Care departments. And in an industry plagued by retention issues, we continue to excel in our staff retention. As we look to 2024, we have lots of exciting things on the horizon. See the 2024 Event Calendar article below. We look forward to sharing updates with you through these quarterly newsletters. All of us at Sharper would like to thank you for being a valued client. We thank you for being a part of a great 2023 and look forward to an exciting 2024. And, finally, we wish you and your family a safe, healthy and happy Holiday Season! Legislative Changes Effecting HOAs The 2023 legislative session in Minnesota was an active one. There were a number of significant bills that will, and have, impacted community associations in the state. Some legislative items went into effect this year. See our July newsletter for a detailed listing. As we approach 2024, there is one significant bill that effects some standard day-to-day operations and governance of your association. Violations & Rule Enforcement – in effort to create more uniformity in how rule violations are notified, fines assessed and appeals processed, the Minnesota Common Interest Ownership Act (MCIOA) was amended to create further standards. What it Says – any fine associated with a rule violation has to meet seven specific criteria or it could be challenged in a court. Homeowners are also entitled to a more consistent processes for an appeal and hearing of said fine. Who it Affects – all associations that are currently under MCIOA, which is any association built after June 1, 1994 – and any condominium association regardless of when it was established. What it Means – Any fine and certain assessments must be accompanied by a dated, written notice to the Owner that includes seven specific pieces of information. (1) states the amount and reason for the fine or assessment (2) for fines levied under section 515B.3-102(a)(11) [VIOLATION OF GOVERNING DOCUMENTS], specifies: (i) the violation for which a fine is being levied and the date of the levy; and (ii) the specific section of the declaration, bylaws, rules, or regulations allegedly violated; (3) for assessments levied under section 515B.3-115(g) or 515B.3-1151(g) [DAMAGE TO COMMON ELEMENTS OR A UNIT], identifies: (i) the damage caused; and (ii) the act or omission alleged to have caused the damage; (4) states that all unpaid fines and assessments are liens which, if not satisfied, could lead to foreclosure of the lien against the owner’s unit; (5) describes the unit owner’s right to be heard by the board or a committee appointed by the board; (6) states that if the assessment, fine, late fees, and other allowable charges are not paid, the amount may increase as a result of the imposition of attorney fees and other collection costs; and (7) informs the unit owner that homeownership assistance is available from the Minnesota Homeownership Center When it Goes into Effect – January 1, 2024
2024 Sharper Event Calendar
Mark your calendars for the following Sharper events, which are all free to you as a valued client and Board member. Board Training Opportunity – January 24 The first in our quarterly Board Training sessions will be Wednesday, January 24, 2024, 6 p.m. at the Wells Fargo Plaza, 2nd Floor Training Room at 7900 Xerces Avenue in Bloomington, MN 55431. The 90-minute session will be led by director of business development and education, Josh Reams, CMCA, AMS, PCAM. This session will focus on defining associations and association meetings. Topics include: If you are interested in reserving your spot, please email clientcare@sharpermanagement.com 2024 Save-the-Dates Board Training Schedule: January 24 – Board Training: Associations Defined & Association Meetings February 21 – New Client Orientation April 24 – Board Training: Roles & Responsibilities of the Board & Property Management Practices July 24 – Board Training: Associations Defined & Governing Documents July 26 – July Sharper Scramble Golf Tournament August 22 – New Client Orientation & Board Member Appreciation BBQ October 23 – Board Training: Insurance & Financials
Board Training Opportunity – October 25th
The next Board Training opportunity is set for Wednesday, October 25th, at 6 p.m. at the Wells Fargo Plaza at 7900 Xerxes Avenue in Bloomington. This free 90-minute session will focus on financials and insurance. Led by Sharper’s director of business development and education, Josh Reams, and Insurance Warehouse principal Eric Skarnes, topics will include: Insurance Basics: · Defining Policy Types & Coverages · Understanding Deductibles · Marketplace Update Financial Fundamentals: · Setting & Managing Operating Budgets · Reserve Fund Requirements · Understanding Reserve Studies · Basic Financial Reports · Audit/Review & Tax Requirements If you are interested in reserving your spot for this free training opportunity, email clientcare@sharpermanagement.com
2023 Sharper Events: Save-the-Dates
Join us for the following events throughout 2023. All events are FREE to Board members serving Associations managed by Sharper. Board Training Schedule: April 19 – Roles & Responsibilities of the Board & Governing Documents July 12 – Associations Defined & Property Management Practices October 25 – Insurance & Financials March 22 – New Client Orientation May 18 – Board Member Appreciation BBQ July 14 – Annual Sharper Scramble Golf Tournament August 16 – New Client Orientation
Sharper Dominates at Industry Gala & Award Ceremony
For the second consecutive year, Sharper had a huge night at the annual Community Association Institute (CAI) Holiday Gala and Vision Awards ceremony. CAI, the international trade organization for community associations and regarded as the national experts in education programs, publications, association governance, and advocacy, and the accreditation body holds this annual event to recognize and celebrate managers, business partners, and homeowner leaders. This year the event was held on December 1st and was attended by nearly 500 industry professionals. Multiple awards were given out to both associations and individual managers. Nominations are submitted by CAI members, and a special voting committee reviews all nomination applications for specific criteria. The awards are a high honor and significant recognition by industry experts for industry professionals. Sharper had nominations for all ten award categories, and we took home half of them for the second year! Please join us in congratulating the following award winners: Above & Beyond – Michelle Waldroff. This award recognizes an individual for substantive achievement in performing tasks and services beyond the typical job description and scope of responsibilities. Financial Impact – Matthew Vitek. This award recognizes a manager who positively impacted a community(s) in a significant manner, such as budget management, capital improvement project management, insurance claim navigation, etc. Advanced Manager of the Year – Melissa Cushing. This award recognizes a manager with over 7 years of experience that excelled in all aspects of community association management functions. Outstanding Community – 1666 Coffman (Manager Lorie Mestas). This award recognizes an association that values community building. CAI Volunteer of the Year – Natalie Martynow. This award is selected by the CAI-MN Board of Directors and recognizes a member that generously volunteers a significant amount of time and contributes their talents to ensure the Chapter’s success. Among the other 90+ nominations submitted this year, congratulations to Sharper’s finalists and runner-ups, which include: Lorie Mestas for Excellent in Service; Jeremy Schulz for Rookie of the Year; Tracy Shaver for Intermediate Manager of the Year; and Association of the Year nominees Ridgewood Condominium Association and The Henley Condominium Association. What a beautiful night for the industry and for Sharper Management!