2. Basis
Community Declaration (CC&R’s)
Covenants, Conditions, and Restrictions
Recorded against every Privately Owned Site
Contract between Owner and the HRCA
Supplemental Declaration
Articles of Incorporation
Bylaws
3. Terms
Duty: binding legal obligation
Power: ability to accomplish objective
Liability: corporate and/or personal
4. Delegate Responsibilities
Community Declaration
Delegates elect Directors
One vote for each privately owned site
Serve as Delegate for a District
Authorize the Board of Directors to convey property with 2/3 voting
approval
Authority to approve increase in the assessments greater than 120%
from preceding year with 2/3 voting approval
5. Delegate Responsibilities
Community Declaration
Authority to approve increase in Maximum Common
Assessment (cumulative CPI based) (2/3 voting approval)
Authority to approve Special Assessments for capital
expenditures (2/3 voting approval)
May amend the Articles of Incorporation
May Amend the Bylaws
6. Delegate Expectations
Attend Annual and Special Meeting of Delegates
Attend monthly Delegate Meeting
Read updates and HRCA Newsletters
Represent their District
7. Director Duties and Powers
Acting through the Board, HRCA shall have these duties and
powers:
Duties:
Accept property and facilities from Declarant
Pay taxes
Maintain casualty insurance
Maintain liability insurance
Obtain fidelity coverage for persons handling cash
8. Directors’ Duties
Other insurance (e.g. workers’ compensation)
Prepare budgets
Levy and collect assessments
Provide audit
Assist Architectural Committee as outlined in Article X.
Follow all applicable local, State and Federal Laws
9. Director Power
Acquire property and construct
improvements
Adopt rules and regulations
Enforce the Declaration and rules and regs
Provide Public Functions
Provide special services for members
Charge for facilities and services
Grant easements
10. Director Power
Convey and dedicate property (with approval of 2/3 Delegate
voting power)
Borrow money and mortgage property (with approval of 2/3 of
Delegate voting power)
Employ managers
Engage employees, agents, and consultants
11. Director Power
General corporate powers
Trash collection
Regulate use of HRCA facilities
Manage the affairs of the Association
Delegate authority but not responsibility
13. Director Responsibilities
(Finance)
Limitations of assessments (thresholds to exceed requires 2/3 voting
power of Delegates)
Annual Budgets
Special assessments for capital expenditures (requires 2/3 voting
power of Delegates)
Reimbursement assessments
Late charges and interest
15. Director Responsibilities
(Architectural)
Appoint Architectural Committee Members
Approve Rules and Guidelines
Appoint Tribunals for appeals
Hear and make determinations on Tribunal recommendations
(improvements to property and non-compliance)
Lawsuits to enforce architectural matters
Estoppel Certificates
16. Director Expectations
Attend monthly Board Working Session
Attend Delegate Meetings
Attend Board Meetings
Attend other meetings (Metro District, Team Highlands
Ranch, etc.)
Understand Director Roles
Represent HRCA at community events and activities
Understand Director Roles, Duties, Powers, and
Responsibilities
Lead Special Projects in support of the HRCA Strategic
Objectives
17. Directors Have Liabilities
Fiduciary Duty
Duty of undivided loyalty
Conflict of interest
Uniform and consistent enforcement of rules
Uniform and consistent enforcement of
collections
Corporate liability
Personal liability
