Can an HOA Board Remove an Amenity in California?

Question:

Some on our board are trying to remove the community jacuzzi due to energy costs. It would cost a minimum of $5,000 fill it in. Without a jacuzzi, the area is dead space without lighting. In addition, each unit already has a private patio, so without a jacuzzi, the area has no real value. Essentially it would just be a large concrete patio with no lighting, bad landscaping, and dilapidated furniture. Costs to make the area a usable space were estimated at around 50K. Can the board remove a working amenity without replacing it with something of equal value?

Thanks

– Kara

 

Answer:

Hi Kara,

California law currently does not address this. However, the HOA board does generally have the authority to eliminate an amenity provided it follows theĀ Business Judgment Rule. Check your association’s governing documents as well for added guidance. Your governing documents may stipulate other requirements, such as seeking the approval of the membership.

 

Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.

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