Academy/Community Management Companies
Manager vs board responsibilities
The board decides. The manager carries it out. Here is where that line actually sits, and what happens when it moves.
The board decides what the association will do; the manager carries it out. Directors set policy, approve budgets, and adopt rules. The manager implements those decisions, administers day to day operations, and advises the board, but has no vote and no authority beyond what the board specifically grants.
Who decides, who does
A community association manager runs the operation. The board runs the association. Those are different jobs, and the manager's job description makes the split explicit: the manager's role is to implement the policies the board sets, oversee day to day operations, and advise the board so it can make good decisions, not to make those decisions itself.
"The manager does not set policy. That is done by the board of directors."
Source: Responsibilities of a Community Manager, CAI, HOAresources
The manager is described as an advisor, not a member of the board. Recommendations from the manager are inputs to a board decision, never the decision itself. The manager also manages the association's common areas and business operation, not individual homes, which is what separates this role from a rental property manager.
Where the boundary actually shows up
In practice, the split shows up in small moments. A manager who enforces the rules the board adopted is doing the job correctly. A manager who quietly decides which rules to stop enforcing, or which owner disputes to wade into, has crossed from administering into policymaking.
A well functioning manager will not get involved in a dispute between homeowners unless an association rule is actually implicated, and will not give technical or legal advice outside what they are qualified to answer. If a manager is doing either of those things routinely, that is a sign the board has let the relationship drift rather than something the manager is entitled to do on its own initiative.
How the board should give instructions
Because the manager reports to the board as a body, not to any single director, instructions to the manager should come from the board collectively, in writing, and on the record. That is also the standard the manager's own code of conduct is measured against.
"at the direction of and with the full knowledge of the elected Board"
Source: Standards of Professional Conduct, Community Association Managers International Certification Board
A single director calling the manager to authorize a repair, waive a fine, or change a vendor is not a board instruction, even if that director means well. It is one opinion from one member of a group that is only supposed to act together.
Delegating tasks is not delegating the duty
Hiring a manager does not transfer the board's own fiduciary duty to that manager. The board remains the party that owes care and loyalty to the association, and the legal protection that shields good faith board decisions from second guessing, known as the business judgment rule, attaches to the board's own informed choices, not to whatever the manager does independently. How that protection is defined and applied varies by state; treat it as a general common law concept and check how courts in your state describe it.
The practical risk is not usually a manager acting badly on purpose. It is a board that stops paying attention and lets the manager quietly absorb decisions the board was supposed to keep making.
Check yourself
Answer before you read the explanation, recalling it is what makes it stick.
The manager decides on their own to stop citing owners for parking violations, reasoning that nobody was enforcing it anyway. What is true?
A homeowner emails the manager asking whether a proposed fence violates the CC&Rs. What should the manager do?
One board member calls the manager and tells them to authorize a $15,000 roof repair immediately. What should the manager do?
Sources
- Standards of Professional Conduct, Community Association Managers International Certification Board
- Responsibilities of a Community Manager, CAI, HOAresources
- How Community Managers and Property Managers Have Distinct Roles, CAI, HOAresources
- Association Manager (Managing Agent), FindHOALaw
- Fiduciary Relationship and the Business Judgment Rule, Florida Condo & HOA Law Blog
- California HOA Management Company Red Flags Fact Sheet, MBK Chapman
Related elsewhere in the Academy
Community Management Companies
Next, see exactly which tasks a manager is expected to stay out of: What doesn't a manager do?
What a manager may do without board approval, and where a question crosses into legal judgment that belongs with an attorney, varies by state and by your association's own governing documents.