In Virginia, homeowners have a right to request association records, but the process can vary depending on the community’s policies. Moreover, not all documents are available for inspection. Both owners and board members must understand the requirements and limitations of records requests to ensure compliance.
Can Homeowners Request Association Records in Virginia?
Homeowners associations and condominiums are led by board members, so residents don’t always know what’s going on in the community unless they attend every meeting.
To quickly get back in the loop, owners usually review the association’s records. In Virginia, as in most states, HOAs and condo associations must comply when owners request copies of HOA records.
According to Section 55.1-1815 of the Virginia Property Owners’ Association Act and Section 55.1-1945 of the Virginia Condominium Act, associations must make certain records available to owners for examination or copying. That said, the owner must have a legitimate membership-related purpose for requesting these records. Additionally, either the owner or their authorized agent may file the request.
Reasons to Request HOA Documents
Homeowners are stakeholders in the community, which means they have an investment to protect. To achieve this, they must stay in the know about the association’s affairs and finances.
Reviewing an association’s records ensures that the board is doing its job right. It is a way to promote accountability. Financial records, in particular, can show signs of fraud, embezzlement, or other crimes.
Additionally, owners can examine meeting minutes and contracts to get progress updates on projects. If a particular project has stalled, for example, these documents can reveal the cause of the delay.
If nothing else, most owners need a copy of these documents for resale or refinancing. Lenders and buyers may ask to inspect these documents as part of their due diligence.
How to Request Community Association Records
The process for requesting HOA documents can vary from one association to another. Owners should check their governing documents or community policies. They can also approach their HOA board or manager for instructions.
That said, requesting association records involves some general steps.
1. Submit a Request in Writing
Most communities require owners to submit a formal written request. This request must be specific. Owners can’t just ask for “governing documents” or “financial records.” They might also have to state the year or financial period for the records they wish to see.
Additionally, some associations require the request to include a reason for inspecting or copying the records. Under Virginia law, the request must have a proper purpose related to the membership. It can’t be for commercial purposes.
The notice period is five (5) business days for professionally managed communities and 10 business days for self-managed ones.
2. Acknowledge Receipt
Once the HOA board receives the request, it must acknowledge it to the owner. This lets the owner know that the request is already under review. If possible, the board should tell the owner how long they need to wait for the response.
3. Pay the Fee
Owners might need to pay a fee for copies or for retrieving the records. This fee can vary depending on the association. It is important to check the governing documents for any caps.
4. Comply With Request
Virginia law does not impose a specific deadline for complying with an owner’s request for association records. Instead, board members should check their bylaws for guidance.
For inspections, Virginia law specifies that they may occur only during reasonable business hours or at another time and place mutually agreed upon by both parties.
5. Document
To protect the association against future false claims of noncompliance, it is important to document the outcome. This can come in the form of an acknowledgment receipt that the owner must sign.
Who Can Request Association Records?
According to Virginia law, an owner (or their authorized agent) may inspect and copy HOA records if they meet the following requirements:
- Be a member in good standing.
- Have a proper purpose related to their membership in the association.
- Submit a written request.
- Identify why they are requesting the records (their purpose) and which specific records they want.
- Provide advance notice (5 business days for professionally managed HOAs and 10 business days for self-managed ones).
- Review the records during reasonable business hours or at another mutually agreed-upon time and place.
What Documents are Available for Inspection?
Generally, owners may examine and copy all books and records, subject to exceptions. These typically include:
- Financial records
- Income and expense records
- Dues and assessment records
- Membership list and member addresses
- Recorded lien records
- Board meeting minutes
- Governing documents
- Budgets
- Contracts that are no longer under negotiation
- Reserve records
- Policies and procedures
- Actual salaries of the six highest-paid employees earning more than $75,000 (for HOAs only)
- Aggregate salary information for all other employees
Can the HOA Withhold Documents for Inspection?
An association may withhold certain documents if they involve the following:
- Personnel matters about specific employees
- Medical records
- Contracts, leases, or commercial transactions that are currently being negotiated
- Pending or probable litigation
- Government enforcement proceedings
- Communications with the HOA’s attorney that are protected by attorney-client privilege or attorney work product
- Information whose disclosure would violate another law
- Executive session minutes and confidential executive session records
- Reports, correspondence, or documents prepared for executive session
- Other owners’ individual files
That said, the association board can’t withhold the entire document simply because a portion of it is confidential. Instead, it should redact only the confidential parts. The rest of the document should be available for examination.
Can the HOA Charge a Fee for an HOA Records Request?
According to Virginia law, an association may charge reasonable fees for copies, materials, and labor. These fees can’t exceed the association’s actual costs. Moreover, they must follow a cost schedule officially adopted by the board.
This schedule must list the charges and apply equally to all members in good standing. If an owner makes a request, the association must provide this cost schedule to them.
Furthermore, the association may require reimbursement for reasonable costs incurred in reviewing and redacting confidential information before releasing records.
Other Ways to Access HOA Records
Approaching the HOA board is the most common way to request association records, but it’s not the only way. Owners can also explore other options.
- Upon Purchase. Associations typically furnish a copy of the governing documents and financial records to new homeowners as part of the resale package. Of course, throughout the years, many members lose their copies.
- HOA Website or Owner Portal. If an HOA maintains a website or owner portal, a copy of the association’s records may be found there. Owners can simply download the document/s they need.
- Public Records. Some documents, such as the CC&Rs and Articles of Incorporation, are publicly available for review. Owners can check their county recorder’s office or the Secretary of State’s website, depending on the document they seek.
On Both Sides
Virginia law allows homeowners to request association records for examination or copying. This allows them to keep board members accountable and stay informed on community matters. On their part, board members should strive to meet such requests while still operating within their limits.
National Realty Partners is a leading provider of HOA management services in Virginia, Maryland, and Washington, DC. We can help your board enforce rules. Call us today at 703-435-3800 or request a proposal online!
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