MISAPPROPRIATION OF FUNDS

As I have advertised I intend to bring to the Community’s attention matters that require accountability. Misappropriation of funds means that money was wrongfully used. It doesn’t mean it went into someone’s pockets unlawfully. What’s the point of creating an approved budget if management/board is not required to follow it or the required amending process?

Article VIII of our CCNR’s defines our budget process. Boards cannot spend freely on material, non emergency, nonbudgeted items. To do so is a misappropriation of funds. Your current board majority is guilty of that offense. And many current board members think it is OK to spend on nonbudgeted items throughout the year without amending the budget subject to the required homeowner ratification provisions. They are wrong both under the law and logically. Absent ratified budget revisions excesses are only determined at year end and their usage restricted.

I wrote a formal complaint to get it on the Board Meeting agenda in accordance with the law so that you were aware. Here’s the law.

 NRS 116.31087  Right of units’ owners to have certain complaints placed on agenda of meeting of executive board.

      1.  If an executive board receives a written complaint from a unit’s owner alleging that the executive board has violated any provision of this chapter or any provision of the governing documents of the association, the executive board shall, upon the written request of the unit’s owner, place the subject of the complaint on the agenda of the next regularly scheduled meeting of the executive board.

      2.  Not later than 10 business days after the date that the association receives such a complaint, the executive board or an authorized representative of the association shall acknowledge the receipt of the complaint and notify the unit’s owner that, if the unit’s owner submits a written request that the subject of the complaint be placed on the agenda of the next regularly scheduled meeting of the executive board, the subject of the complaint will be placed on the agenda of the next regularly scheduled meeting of the executive board.

      (Added to NRS by 2003, 2218; A 2009, 2892)

The weaponized legal counsel wrote that the board had voted to disallow my complaint on the agenda. Doris Logar ( Community Manager) when queried to see the minutes of those minutes said they didn’t exist. Read the statute above, The Board did not have the right to disallow the complaint from the agenda. And the weaponized counsel then attacked me with a complaint to Nevada’s Real Estate Division(NRED) for bothering Doris Logar and making an alleged false and fraudulent charge and harassing Doris Logar. Simply untrue and a waste of HOA funds. Look at our legal bills. They are absurd and my recommendation has been for some time to replace this counsel and management and board members that allow such abuse of power. I have filed an action against SCA for retaliating against me under the retaliation statute. While I have followed the law and acted appropriately it is a big waste of your money to allow the Community to be managed with a weaponized counsel.

I seek their replacement. They are looking out for their self interests , not yours nor the Community. They spin otherwise.

In a future post I will let you know how this plays out with Real Estate Division( NRED). But the bigger point is the board’s failure to follow NRS116.31087 and CCNRS ARTICLE VIII while wasting and misappropriating SCA money.

Elections Matter. Let’s hold board members who may be seeking reelection in 2024 accountable by not supporting them and their wrongful actions. SCA deserves better governance.

Until next time…..Robert

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