This has left a vacuum in which HOAs
are increasingly expected to replicate
the core services traditionally supplied
by municipalities, but are unable to do
so because there are no new rules of
the game. The predictability of the past,
when decision-making processes were
procedural and routine, has become
unpredictability, in which uncertainty
prevails and anger mounts.
Then, on top of it all, comes a thing
called the King IV Report on Corporate
Governance, which raises the issue of
the fiduciary responsibilities of directors,
trustees and managing agents. Central
to these are ethics, responsibility and
risk. What this means is that anyone
holding fiduciary responsibility, even
as an unpaid trustee or director, has to
make sense of this growing complexity
under the persistent shadow of the
threat of liability in terms of King IV for
failing to act responsibly when acting on
behalf of others.
Heavy stuff indeed! So where is the
good news? This comes in the form of
a structured intervention in which a
team of professionals helps the HOA