When an unwanted development—like a data center, industrial facility, or major mixed-use project—is proposed near your community, the board may feel compelled to fight it. But before launching a campaign against local government decisions or developers, boards need to understand whether they actually have the legal authority to act on behalf of the community.

Whether a board can advocate on off-premises issues depends largely on state law and the community's governing documents. Some states allow boards to take action on matters that would adversely affect the association, even if the project itself is beyond community borders. In Massachusetts and Rhode Island, for example, boards may have authority to engage with local planning boards or building departments if a nearby development could negatively impact the community through noise, water usage, pollution, or other factors. However, this authority varies significantly by state, so boards must first review their specific state law and CC&Rs to determine what they can legally do.

Legal experts recommend that boards also involve their owners before waging any external fight. Rather than unilaterally deciding to oppose a project, boards should poll or survey members to gauge community concern and support. This serves two purposes: it ensures the board has actual owner backing for the effort, and it may reveal that only the board—or a handful of members—care about the issue, in which case pursuing it may not be appropriate use of community resources.

If owners do support the board's involvement, boards can work with local government bodies to present their community's concerns during planning and permitting processes. But any board considering this step should first consult their attorney about what authority they possess under state law and their governing documents, and should seek owner consensus before proceeding.

This post reflects our understanding of publicly reported news and legal changes as of its publish date above — laws, rules, and market conditions continue to change. This isn't legal, financial, or insurance advice; confirm anything specific to your situation with a licensed professional.

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