Management Toolkit

Selecting a management company is a critical step that many community associations repeat at least once every 5 years, yet most community association volunteer Boards approach management transitions without a clear plan. While it is not entirely unreasonable to rely on the outgoing and incoming management companies to sort out their transition, that approach ignores the practical reality of almost all management changes: some things fall apart and it takes time to pick up the pieces. Most associations can benefit from professional assistance to coordinate management transitions.

Whether or not your association chooses to obtain professional assistance, here are 8 high-level essentials for every management transition:

Creating a Needs Assessment
Creating a Transition Plan
Identifying Potential Management Companies + Company Statistics
Coordinating RFPs with responses to specific criteria
Coordinating Reference Checks
Coordinating Interviews
Contracting
Follow-Up Success Checks

Read Great Expectations: What to Expect from your Management Company to learn more about preparing for a management company transition and general management services expectations.

The Management Evaluation Toolkit includes four resources:

You pay for what you get is meaningless if you don't understand what you're paying for, nor what you're actually getting.

ADDITIONAL RESOURCES

High-Level Community Association Manager (CAM) Competencies

- Foundational:
  - Communication
  - Interpersonal Skills
- Management:
  - Physical Building / Building Systems
  - Building Operations
  - Legal
  - Financial
  - Information
- Professional
  - Ethics
  - Professional Development

DETAILED COMMUNITY ASSOCIATION MANAGER (CAM) COMPETENCIES

From the CMRAO Competency Profile Report

Foundational

- Communication
  1. Engage in collaboration and teamwork in the delivery of management services.
  2. Manage time and workload to meet the contractual obligations of the community association management agreement.
  3. Apply sound and practical judgment in daily matters.
  4. Apply strategies to resolve conflict.
  5. Identify the need for and employ strategies to maintain personal well-being.
  6. Demonstrate a professional presence.
  7. Demonstrate respect for rights, dignity, and diversity.
  8. Manage expectations in an empathetic manner.
- Interpersonal Skills
  1. Adapt communication strategies to suit different audiences.
  2. Develop and maintain professional relationships in the delivery of management services.
  3. Communicate clearly and concisely orally and in writing.
  4. Engage in active listening.
  5. Facilitate communication by demonstrating common courtesy and consideration in professional interactions.
  6. Maintain privacy and confidentiality involving community association matters as per legislation.

Management

- Physical Building / Building Systems
  1. Apply knowledge of building systems in the management of properties.
  2. Conduct general inspections of the property to identify maintenance and repair requirements.
  3. Manage inspections, testing, maintenance, repair, and replacement obligations of the community association.
  4. Explain the requirements and process of the Reserve Fund Study.
  5. Assist in the development and implementation of the Reserve Fund Study.
  6. Explain the requirements and process of the Performance Audit.
  7. Explain the warranty process for new condominiums to the Board of Directors.
- Building Operations
  1. Develop, implement, and update the community association's annual operating plan.
  2. Execute the administrative requirements of owners’ meetings.
  3. Execute the administrative requirements of Board of Directors’ meetings.
  4. Support the Board of Directors to align decisions or policies with governing documents and legislation.
  5. Follow established procedures for addressing violations to governing documents in a consistent and equitable manner.
  6. Advise the Board of Directors in making informed decisions in the best interest of community association.
  7. Analyze and present quotations and contracts to the Board of Directors to allow for effective decisions.
  8. Administer contracts on behalf of the community association.
  9. Implement chargebacks to unit owner’s accounts in accordance with the governing documents and applicable law.
  10. Explain the requirements of cost sharing agreements.
  11. Adhere to contractual obligations of community association management agreements.
  12. Coordinate ongoing development and implementation of standard operating procedures.
  13. Explain the principles and the requirements of insurance.
  14. Support the insurance claims process.
  15. Support the insurance appraisal and renewal process.
  16. Implement and update the Fire Safety Plan.
  17. Manage health and safety compliance requirements.
  18. Recognize, act on, and report actual and potential workplace and occupational safety risks.
  19. Assist in the development and implementation of emergency procedures.
  20. Manage staff employment and performance.
  21. Coordinate projects to achieve desired outcomes.
  22. Analyze, prioritize, and address issues.
  23. Manage vendors and monitor performance.
- Legal
  1. Integrate knowledge of the legal and regulatory framework in which a community association operates into management activities.
  2. Understand hierarchy of documents governing community associations.
  3. Apply the Fair Housing Act to all management activities.
  4. Support legal processes and counsel to protect the interests of the community association.
  5. Apply the agency relationship between the licensee and the community association.
  6. Adhere to legal trust requirements related to condominium funds to ensure the assets of the corporation are protected.
  7. Apply the relevant state and federal law to all management activities
- Financial
  1. Prepare, present, and implement the annual budgets.
  2. Collect the common expenses.
  3. Interpret financial statements and explain variances to the Board of Directors to enable informed decisions.
  4. Monitor financial status and report concerns to the Board of Directors.
  5. Monitor Reserve Fund spending and balance relative to the Reserve Fund Study.
  6. Support the Board of Directors in the Reserve Fund investment process.
  7. Support the annual financial audit process.
  8. Review general ledger to ensure accurate expense reporting.
  9. Implement the financial controls to protect the community association's financial assets.
- Information
  1. Ensure required notices and filings are completed in accordance with the applicable legislation.
  2. Support the transition of the community association from one management provider to another.
  3. Manage client records in accordance with applicable legislation.
  4. Prepare Status Certificates.
  5. Execute the administrative requirements of the prescribed forms.

Professional

- Ethics
  1. Comply with the Code of Ethics regulations.
  2. Demonstrate honesty and integrity when offering or providing community management services.
  3. Provide reasonable accommodation for persons with disabilities.
  4. Establish and maintain professional boundaries.
  5. Recognize limits of personal expertise and professional responsibilities and obtain expert support as deemed necessary by the Board of Directors.
  6. Recognize and disclose real and perceived conflicts of interest.
  7. Recognize and act in the best interest of the community association.
  8. Demonstrate accountability and accept responsibility.
  9. Recognize, act on, and report harmful incidents to the appropriate authority.
  10. Administer the requirements of the governing documents in a fair and consistent manner.
- Professional Development
  1. Maintain awareness of emerging trends that may affect the management of community associations.
  2. Maintain awareness of emerging relevant and applicable legislation.
  3. Enhance professional knowledge and skills on a regular basis.

FOOD FOR THOUGHT

Consider this excerpt from the Condo Law Handbook (page 105):

...I have also counseled many clients who were unhappy with their manager’s performance that they can, and should, change managers or management companies to get better performance, but they have been unwilling to consider a change, and were unwilling to even express their dissatisfaction with the manger because of concerns that a change would cost more money, or would be disruptive to the community. Even if you don’t want to change managers, providing constructive feedback to your manager, or asking them to modify their conduct to better meet your needs, should be a routine part of the relationship between a Board and its manager.

MANAGEMENT TOOLKIT

🛒 Purchase the Toolkit

Management Evaluation

Request for Proposal (RFP)

Example Management Contract

CIC Governance Matrix

Illuminate YOUR Community! Connect with the SMAARTE Group!

Need some practical advice to understand a project?
Want a jump start to reinvigorate your governing documents?
Interested in gauging owner and resident satisfaction or increasing engagement?
Does service delivery from your management company meet all your expectations?
Illuminate your community! Get SMAARTE