January 2024

MANAGEMENT TRENDS... from page 44.

members), your actions are in the best interests of the community association “…and not in the best interest of an individual board member, member of the community or of a for-profit entity.” (See National Council of Nonprofits, “Board Roles and Responsibilities”). Conflicts of interest aren’t always overt and intentional acts but can simply be a biased view that a board member brings to a vote. For example, a special assessment is proposed as a means to finance needed work that isn’t otherwise provided for in the capital reserve or budget (Say, a roof replacement that exceeds available reserve funding). A board member votes against the special assessment because it would pose a financial hardship on them (or their neighbor). Proposing an alternate means of financ ing the project would be fine, but sim ply voting against the special assess ment and roof work based on one’s own financial circumstance would be an example of breaching their duty of loyalty. Decisions of a board should always be considered as business decisions, decisions that are consistent considered as business decisions, decisions that are consistent with the needs of the business, and not in a personal interest.” “Decisions of a board should always be

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