Mgmt case study #1 – update2

Management Case Study #1 update2 — BOD good faith conduct

George K. Staropoli, December 31, 2021

MUST READ FOR CONCERNED MEMBERS

SCG BOARD UNEQUIVALLY DEMONSTRATED THAT IT’S A ROGUE BOD

SCG members, as a PUD, do not have title to any of the assets of the association. SCG, as represented by its board, owns title. Members have  beneficial interest, but not title to some $22 million in revenues, $21 million in reserve funds (cash equivalents), and $64 million in assets as reported on its IRS 990 filing for 2019.

The tone of  Thursday’s board CHAT meeting was clearly secretive for the Directors only and to say as little as possible for member consumption — on a “need to know basis” and the members didn’t need to know.  The president came across as the man-in-charge and making statements that ignored the statutes and governing documents; misstating that the CHAT was not a legal board meeting, just a chat amongst the directors, with a few acceptable attendees allowed to speak. 

Much to the arrogance and  naiveté of the president and the directors, I have had over 10 years dealing with Arizona legislature, proposing bills, and testifying for HOA reforms.  I played an important role in the establishment of OAH hearing HOA member complaints, vehemently opposed by CAI. The SCG “clique” has some 13 CAI members, former and current.

Read this important update that serves a warning to all those large active-adult or master planned HOAs that this could be happening to you.

advocates sue State of AZ for unconstitutional HOA amendments bill – SB1454

Staropoli & Brown v. State of Arizona, CV 2013-009991, July 16, 2013

Arizona Center for Law in the Public Interest, Attorneys for the Plaintiffs

Timothy M. Hogan, Joy E. Herr-Cardillo

 

flag-arizonaNATURE OF THE ACTION

 1. This action seeks a Declaratory Judgment that Senate Bill 1454 enacted by the Fifty-first Legislature, First Regular Session 2013 (“SB 1454”) is unconstitutional because it violates Article 4, pt. 2 §13 of the Arizona Constitution,

 PARTIES

 2. Plaintiff George K. Staropoli is a citizen of the State of Arizona. Mr. Staropoli is an activist who advocates on behalf of homeowners on issues and legislation involving homeowner associations (HOAs).

 

Read the complaint here . . .