Page 8 - WFL Cooperator Fall 2019

8 THE WESTERN FLORIDA COOPERATOR —FALL 2019 FLCOOPERATOR.COM CONT... PAVING the way for YOUR community Ranger Construction Provides Unmatched Service, Professionalism and Quality Contact us for a NO-CHARGE estimate and personalized “one on one” service with one of our professionally trained estimating staff EMAIL: Adam.pacitti@rangerconstruction.com or CALL (561) 793-9400. For Palm Beach County ask for Beatriz Ramirez For Broward and Dade Counties ask for Mariana Betancur ing to take personally.” Communication, and the ability to calmly articulate why one board member may disagree from another – or a near- consensus – is critical. “Some disputes are caused by a lack of understanding among board members as to the regulation and operation of the association and the func- tion of the board, which can be due to the inexperience of some of the directors,” explains Elizabeth Bowen, a shareholder with the law firm of Siegfried Rivera in Coral Gables, Florida. “To this end, a good management company with the ability to effectively communicate with a board re- garding the needs of the association is im- portant. “Truth be told,” Bowen continues, “some board members assume their posi- tion with aspirations of control and world domination – even if that world only con- sists of the association. Those board mem- bers are potentially the most difficult per- sonalities to incorporate into what should be a ‘team.’ It is important for the mem- bers of the board to be reminded that their function is to effectuate the administration and governance of the association pursu- ant to their best business judgment. Some- times that purpose gets lost if directors come with personal agendas. Many times, association general counsel can act as an experienced ‘voice of reason’ and assist the board in attempting to move through its difficulties to keep the corporation moving forward.” “In a harmonious board, members are genuinely committed to either supporting or opposing matters that come to them based on whether or not those matters are in the best interests of the building and its residents,” adds attorney Michael E. Fleiss of Schwartz, Sladkus, Reich, Greenberg, Atlas LLP in New York City. “Also, the members are free of hardline or absolut- ist positions when it comes to the building and building-related issues. For example, instead of insisting that maintenance or common charges must never be increased, or that the lobby must be renovated before any other project is undertaken, they are willing to adjust if necessary to best ad- dress the conditions and situations with which they are presented. This does not necessarily mean abandoning wholesale the positions they espoused when running for the board, or their deeply-held views about how best to manage the building, but it does mean being open to consider a variety of possible options. “Finally,” Fleiss continues, “effective board members respect the views of ex- perts regarding matters within those ex- perts’ fields. Few board members – even long-serving ones – can master all of the details of the many subjects with which they must deal. That’s why boards retain architects, accountants, lawyers and man- aging agents, and why successful boards have different members with construction, financial and legal backgrounds. Harmo- nious boards give appropriate weight to the expert opinions of their members and of the professionals they hire.” Fighting Toward Consensus While some minor conflict can be al- lowed to simply blow over, some intra- board squabbles are not likely to fix them- selves without some kind of intervention. In these instances, members who find themselves outside the conflict, or even third parties, may need to insert them- selves into the melee in order to guide it to a reasonable solution. It’s important to handle matters inter- nally before they spill out and create issues among the broader association. “Gener- ally, there are an odd number of members on a board so that when a vote needs to be taken, the board can move forward” without being stuck with a tied vote, notes Robin B. Steiner, President of manage- ment firm RMR Residential Realty in New York City. “But, while it shouldn’t happen, sometimes the losing side of a vote will ex- press their disdain for the decision to the community at large, and, all of a sudden, gossip is circulating at breakneck speed.” “Occasionally, board members can’t see the big picture due to their perception of certain people, and will be unable to make rational decisions” adds Edie Davis, Senior Property Manager with Maine Properties in Scarborough, Maine. “In the rare occa- sion that a vote reaches a stalemate, I have had mediators come in to resolve con- flicts.” Sometimes, factions develop among the ownership unrelated to board dealings, and then members of those groups run for board positions in order to advance the interests of their smaller group. It’s not hard to see how this can lead to problems, as those members clearly do not have the whole of the association in mind when governing. “Serving on a dysfunctional board is exhausting for the members who may well opt to resign rather than continue to ‘fight the fight,’” says Davis. “That level of dysfunction also typically leads to in- creased expenses for the association, as board members may have more cause for requesting legal opinions to support or offset arguments among themselves. Oc- casionally, when there is a bad actor on a board who is causing so much difficulty that it interferes with the function of the association, there may be a political effort waged to have that member recalled by membership through a statutory process. MANAGING... continued from page 1