Management in Times of Crisis

“An Ounce of Prevention is Worth a Pound of Cure.”

- Olde Proverb

There are people who are calm in a crisis and there are a people who … are less calm. Let's hope your condominium association never suffers through a major crisis, but they do occur, so your association should be ready.

What if a hurricane/tornado hits your Association? What if a strong snow storm hits and wipes out electricity for a week or more? What if a strong electrical storm hits, lightening strikes and several unit/s buildings are destroyed? What if an earthquake hits? (New Hampshire averages a 5.0 or greater earthquake every 60 years. The last ones were in 1940 in the Ossipee region, two a couple of days apart. Some would say we're due.)

Your Board of Directors should have a plan ready to implement in times of true emergencies. Here are a few suggestions.

Have a policy that allows your Board to invoke temporary emergency powers in response to damage caused by an event where, based upon the advice of emergency management officials and/or licensed professionals, the board would have the ability to shut down or shut off elevators, electricity, water, sewer, or air conditioners. Allow for gas powered generators to be used until further notice by the board of directors.

Allow the Board to determine any portion of the condominium property is unavailable for entry or occupancy to protect the health, safety, or welfare of such persons.

Require the evacuation of the condominium property in the event of a mandatory evacuation order in the municipalitywhere the condominium is located. Specifically note that should any unit owner or other occupant of a condominium fail or refuse to evacuate the condominium property where the Board has required evacuation, the Association shall be immune from liability or injury to persons or property arising from such failure or refusal.

Grant permission for the Board of Directors to take action to contract for the removal of debris, and in order to prevent or mitigate the spread of mold or mildew, to remove and dispose of wet drywall, insulation, carpet, cabinetry, or other fixtures on or within the condominium propertyand to remove personal property from a unit.

Regardless of any provision to the contrary, and even if such authority does not specifically appear in the declaration or bylaws of the association, allow the Board to levy special assessments without a vote of the owners.

Allow a board to borrow money and pledge association assets as collateral to fund emergency repairs and carry out the duties of the association when operating funds are insufficient. (Such short-term borrowing can always be retired by the passage of a special assessment once the emergency is under control and a meeting of the Owners can be called.)

Allow the Board to conduct board meetings and association meetings with notice given as is practicable, includingradio, United States mail, the Internet, public service announcements, and posting on the condominium property.

Permit the Board, on behalf of the association to enter into agreements with local counties and municipalities to assist yourcounty and municipality with debris removal and other emergency aid options, such as opening a clubhouse for a relief or a staging ground for emergency personnel.

Contract, on behalf of any unit owner or owners, for items or services for which the owners are otherwise individually responsible, but which are necessary to prevent further damage to the condominium property. In such event, the unit owner or owners on whose behalf the board has contracted are responsible for reimbursing the association for the actual costs of the items or services, and the association may use its lien authority to enforce collection of the charges. Without limitation, such items or services should include the drying of units, the boarding of broken windows or doors, and the replacement of damaged air conditioners.
Crises are serious situation. Let's hope you never have to suffer through one, but you should be ready for one. Boards work hard to run associations on a day-to-day basis for normal situations. But things aren't always normal.