Homeowners associations must make HOA records reasonably available for examination by members. This promotes transparency, creates accountability, and fosters trust from community residents. Homeowners must understand their rights, know how to make a records request, and know what to do if their HOA refuses to comply with such a request.
Can Homeowners Examine HOA Records?
Many state laws and governing documents require homeowners associations to make their books and records reasonably available for examination. Homeowners can review HOA records and even make copies of them sometimes.
In Texas, the law mandates that most HOAs provide homeowners with access to the association’s books and records (Section 209.005). Homeowners can either request to examine these records or ask for copies of specific documents. If the HOA has a production and copying policy that outlines the charges in advance, it can charge a fee for the copies.
The right to inspect HOA records is critical to ensuring transparency and accountability. Since the HOA collects fees and manages the funds provided by homeowners, these homeowners should be able to know where their money is going and how their HOA is managing its finances and the community at large.
By denying access, HOAs are breaking homeowner trust and fostering suspicions. Board members should always lead and manage with transparency. Worse yet, denying access can land HOAs in trouble for noncompliance with state laws or their governing documents.
What Documents Can I Request from my HOA in Texas?
Texas law specifies that homeowners can have access to association records, including governing documents, meeting minutes, financial records, contracts, management certificates, administrative files, and more.
That said, some records may be kept private or confidential by an HOA. This means that an association can deny homeowners access to these documents unless there is a court order or the affected individual provides consent.
According to Section 209.005 of the Texas Property Code, these confidential records include:
- A specific homeowner’s rule violations;
- The financial information of a homeowner, including delinquent dues;
- The contact information of a homeowner, except for the address;
- Attorney’s files and records; and,
- Personnel records.
In general, the minutes of annual meetings and board meetings should also be available for inspection. Some board meetings go into executive sessions, closed meetings where confidential or sensitive matters are discussed.
According to Section 209.0051 of the Texas Property Code, HOA executive session minutes must generally consist of a summary of the meeting. This should not breach homeowners’ privacy, violate any privilege, or disclose any confidential information.
Are HOA Governing Documents Public Record?
Yes, an HOA’s governing documents are a matter of public record. Section 202.006 of the Texas Property Code requires HOAs to file all dedicatory instruments, i.e., governing documents, with the county’s real property records and any amendments with the county.
Typically, an association must file its Articles of Incorporation to register as a nonprofit corporation. In Texas, most HOAs are organized as nonprofits. Homeowners can check with their secretary of state to view the Articles of Incorporation.
How to Get HOA Documents
There are several ways homeowners can access HOA records and documents. They can check their association’s website, look through the county clerk’s records, and search the Secretary of State’s website. They can also submit a written request to their HOA. New homeowners or buyers also receive a copy upon purchase.
1. Association’s Website
Many homeowners associations have a website or online portal. The association’s records, including the governing documents and financial records, can typically be found on this website. Homeowners can log into their accounts to view these records.
According to Section 207.006 of the Texas Property Code, HOAs with at least 60 lots or that are run by a management company must post their governing documents on the HOA website.
2. County Clerk’s Records
In most states, an HOA must file its governing documents with the county clerk or recorder. The same applies to Texas. Section 202.006 requires all HOAs to file their governing documents with the county’s real property records, including any amendments to the governing documents.
3. Secretary of State’s Records
For nonprofit corporations, homeowners can access the Articles of Incorporation by going to the Secretary of State’s website. The same applies to HOAs in Texas. The Business Organizations search function will let homeowners view their association’s Articles of Incorporation and other formation documents.
4. Upon Written Request
Homeowners can examine association documents in most communities by submitting an HOA records request. Some associations allow owners to submit their requests online or through a specific channel.
In Texas, Section 209.005 requires most HOAs to give owners access to the association’s books and records. A homeowner can ask to see the records in person or request copies. An HOA may charge a fee for the copies, but their charges must be detailed in advance through a production and copying policy.
Homeowners must request the records in writing via certified mail. Texas law gives HOAs 10 business days to respond, with a possible extension of up to 15 additional days if the HOA gives proper written notice.
5. When Purchasing
Homeowners usually receive a copy of the association’s governing documents at closing. In Texas, Section 207.003 requires most HOAs to give buyers a copy of the governing documents and the resale certificate if they ask for them. The HOA may charge a fee for producing these documents.
Potential homeowners should view HOA records before buying. This allows them to assess the association’s current condition, including its financial stability.
Buyers may consider rules or restrictions non-negotiable. The state of an HOA’s financial health may also give buyers pause. Examining these documents before closing the sale allows buyers to back out before it’s too late.
What is the Process for Requesting HOA Documents?
In Texas, if a homeowner (or someone representing them) wants to access HOA records, they must send a written request by certified mail. The request must clearly describe which records they wish to see. They must send this request to the mailing address listed on the HOA’s latest management certificate.
The homeowner can inspect the records in person and then decide on copies later. The HOA must respond within 10 business days with the dates and times during regular business hours when the owner can view the records.
Alternatively, the homeowner can request copies without examining them in person. In that case, the HOA must send the requested records within 10 business days of receiving the request.
If the HOA can’t provide the records within 10 business days, it must send a written notice saying:
- That it can’t meet the 10-day deadline; and,
- When the records will be available (no later than 15 business days after sending the notice).
What Can Homeowners Do if Their HOA Denies Records Access?
Texas law permits a homeowner to seek relief in a justice court if an HOA denies a homeowner access to HOA records. This is according to Section 209.005 of the Texas Property Code.
Before an owner files a petition in the justice court, they must inform their HOA of their plan to sue and detail what records they are asking to see. If the justice court rules in favor of the owner, the judge can order the HOA to release the documents or records. The court may also order the losing party to cover the other party’s court costs and legal fees.
Avoiding Liability
In Texas, associations must follow certain laws regarding HOA records. Board members should understand these laws and their governing documents to ensure compliance. When in doubt, consulting a professional is always a good idea.
Graham Management provides exceptional and reliable HOA management services to Houston communities. Call us today at (713) 334-8000, request a proposal, or contact us online to learn more!
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