Condo Media - July 2020 - 37

days after mailing of the summary.
Unless at that meeting a majority of
all the unit owners or any larger vote
specified in the declaration reject the
budget, the budget is ratified, whether
or not a quorum is present. In the event
the proposed budget is rejected, the
periodic budget last ratified by the
unit owners shall be continued until
such time as the unit owners ratify a
subsequent budget proposed by the
executive board."
Based on the foregoing, the board
need only present the opportunity for
rejection of the budget by holding the
required meeting. The board is not
required to take an affirmative vote on
the budget at that meeting. It would
be up to the unit owners who wish to
oppose the budget to present a vote of
rejection supported by 51 percent of
the votes in the association, in person
or by proxy, by way of petition or otherwise, to the board at that meeting to
reject the budget.

Unless specifically required to do so,
never put the budget to a vote, as this
seemingly innocent gesture creates an
easier opportunity for rejection.
when assessments are 10 percent higher
than the prior year and/or for capital
improvement projects over a certain
amount. Often times, these provisions
only apply to assessments made outside
of the normal budget, however, other
times it is unclear. To cover all basis, the
budget notice to owners should contain
details of any contemplated capital
improvement line item.
The takeaway here is to be familiar
with the associated bylaws for your
association regarding the budget, and

to understand the related procedures.
Unless specifically required to do so,
never put the budget to a vote, as this
seemingly innocent gesture creates an
easier opportunity for rejection, which
is certainly an unwelcome item on the
already full plate of any association.
n MARY JOY HOWES, ESQ.,
IS A PARTNER IN THE LAW FIRM
LOMBARDI LAW GROUP, LLC
IN LINCOLN, RHODE ISLAND.

PROCEDURES MAY NOT FIT ALL
It should be noted that certain associations have bylaws that may require
different procedures than outlined
in the Act, and these can cover a wide
range. For example, some documents
do require a formal vote on the budget,
while others allow for a rejection of
the budget only when objected to by
more than just the majority of unit
owners stated in the Act. It is also
important to be familiar with the
particulars regarding the timelines in
the specific association's bylaws for
when the budget must be presented to
the owners, and how soon thereafter a
meeting must occur.
Finally, often due to shortcomings in
the drafting of the original documents,
there is sometimes a disconnect in the
bylaws of any given association as to
budget affirmation by default, as explained above, versus the requirement
that a certain percentage of owners
(usually 67 percent) affirmatively
approve certain assessments. These
approvals are sometimes required for
July 2020 CONDOMEDIA

37


https://www.nsins.com/

Condo Media - July 2020

Table of Contents for the Digital Edition of Condo Media - July 2020

Contents
Condo Media - July 2020 - Cover1
Condo Media - July 2020 - Cover2
Condo Media - July 2020 - Contents
Condo Media - July 2020 - 2
Condo Media - July 2020 - 3
Condo Media - July 2020 - 4
Condo Media - July 2020 - 5
Condo Media - July 2020 - 6
Condo Media - July 2020 - 7
Condo Media - July 2020 - 8
Condo Media - July 2020 - 9
Condo Media - July 2020 - 10
Condo Media - July 2020 - 11
Condo Media - July 2020 - 12
Condo Media - July 2020 - 13
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Condo Media - July 2020 - 15
Condo Media - July 2020 - 16
Condo Media - July 2020 - 17
Condo Media - July 2020 - 18
Condo Media - July 2020 - 19
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Condo Media - July 2020 - 21
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Condo Media - July 2020 - 26
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Condo Media - July 2020 - 28
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Condo Media - July 2020 - 30
Condo Media - July 2020 - 31
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Condo Media - July 2020 - 36
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Condo Media - July 2020 - 42
Condo Media - July 2020 - 43
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Condo Media - July 2020 - 48
Condo Media - July 2020 - Cover3
Condo Media - July 2020 - Cover4
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