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RightingWrongs

Association Dues Increase Prior to Membership Vote

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Never seen this situation before:

Board sends members notice of dues increase, along with invoice and late payment fines. Increase (of about 10%) needed for reserves. Membership vote on said increase to be held 60 days later at Annual Meeting, but that's not stated anywhere in the increase notice or bylaws. When questioned about timing, board said they could issue refunds if vote doesn't pass.  This seems backward, inefficient and less than transparent. Are there any RR that address this?

 

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If there is nothing in your bylaws about a membership vote on a dues increase, who is authorizing this vote?  If your bylaws do not stipulate what the dues amount is, they should at least specify which body (membership, board) has the right to change the dues amount. What do your bylaws say?

Note that if the bylaws do not grant the board the exclusive right to set the dues, the membership could overrule any dues increase put forth by the board which would require a majority vote with notice or a 2/3 vote or a vote of a majority of the entire membership without notice. If your rules do require this membership vote before any dues increase is final, then asking for payment followed by possible refunds seems rather premature to me.

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