Board Responsibilities for Co-Op and Condo Owners

Many condo or co-op owners who sign up for board service quickly discover that it’s not a picnic. There are feuds to settle, decisions that have a ripple effect on everyone, books to balance and financials with no room for error. Many choose to be on boards despite the stress and pressure, even when they’ve been volunteers for a long time.

As a volunteer board member You are obligated to three legal fiduciary obligations- obedience, care, and loyalty. This means that their personal or professional interests will always be a secondary concern to the interests of the company. This also means that they must be able to verify that the company is in compliance with the law and its mission.

One of the most important aspects of the responsibilities of a board is monitoring the organization’s programs to ensure they remain true to its mission. This requires a detailed understanding of the organization’s services and programs including their participants as well as their impact. The ongoing monitoring of these activities is crucial to a board’s other key responsibilities: strategic planning and financial oversight.

It is often difficult to identify and stop the patterns of decision making that have developed over time. Once these patterns become established, they become part of the informal culture of a board. They can have devastating implications for a company. It’s crucial that board members are aware of these pitfalls and regularly read the manual for board members or other documents to ensure they are following a good governance.

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