Governing Document Primer - Condominiums and HOAs

The term “governing documents” refers to a host of documents, some of which are recorded, some which are filed with the state, and others are merely distributed to owners. In general, governing documents include: the Declaration/CC&Rs, Bylaws, Plat, Articles of Incorporation, and Rules/Regulations/Resolutions. Understand that there is a hierarchy to these documents. For example, the board cannot adopt a rule or regulation that conflicts with provisions in the CC&Rs. See the attached charts to better understand the hierarchy:

Oregon

Washington

Let’s discuss each:

1. Plat

The plat map is the graphical depiction of the community. For planned community subdivisions, the plat is a birds-eye view of lot lines, easements, roads, and other property interests. Condominium plats are slightly different. Condo plats include the elevation drawings of the structures, and show the boundaries between the units, limited common elements, and general common elements. Often, plats will have notations regarding ownership of common areas, maintenance obligations, and references to the CC&Rs. Plats are recorded with the county recorders office.

2. Declaration/CC&Rs

Think of the CC&Rs as the constitution of the community. When you purchase property in a community association, you do so subject to the conditions in the CC&Rs and the other governing documents. The CC&Rs usually include: a description of the property, what you can and can’t do on your lot or on common property, the authority to assess regular dues, provisions related to insurance, and who is to maintain, repair and replace property throughout the community. Like the plat, CC&Rs are also recorded with the county recorder.

3. Articles of Incorporation

This document establishes the corporate structure for the community association. Typically, the association incorporates as a nonprofit corporation. Incorporation can provide protection against liability, allow the association to hold title to property, and simplify the process of securing insurance policies. Articles of incorporation are filed with the secretary of state.

4. Bylaws

The bylaws are the operating guidelines for the association and typically include: meeting requirements, quorum requirements, number of officers and directors, and provisions governing books and records. Usually, the bylaws are recorded in the county recorders office.

5. Rules/Regulations/Resolutions

This is a broad category, and refers to those documents that are typically adopted by the board of directors without a vote of the owners (note: some associations may have owner approval requirements). Examples include: architectural guidelines, collections resolutions, enforcement procedures, and house rules. These documents are not recorded, which is why it is critical that owners receive and are on notice of these documents. Keep resolutions simple, be sure to cite to the authority for adopting the rule or regulation, and make sure owners know the reasons for adoption.