The Most Critical Phase in a Community’s Evolution

 

Without hesitation, we can tell you that the single most critical phase in any Community Association’s history are that which deals with “Transition.”  Transition does not occur on any single day, week, month, or year.  Transition occurs over the course of time and correlates with the phased assumption of responsibility and control of every aspect of Community Association life by the members of the Community. 

 

Transition is multi-dimensional, as it typically includes not only the assumption of the responsibility for the physical assets of the Community but as well places upon the membership the responsibility of governing and administrating the project. 

 

Helping Board Members into a Smooth Transition Phase

 

In New Jersey, there are applicable statutes which dictate the phased assumption of control of the Association’s Governing Board.  Unit Owner representatives on the Board increase as closings of Units within the project occur.  Within 60 days after 75% of the Units have been sold control of the Governing Board is turned over to the membership.  The rationale for a slow and gradual assumption of control is to allow the Unit Owner Board to receive proper training from the developer.  Experience shows, however, that this rarely occurs.  Newly elected Unit Owner Trustees are quite often inexperienced in Community Association matters and struggle to comprehend the responsibilities placed upon them in taking their Community through Transition.