HOA and condo boards across the country are increasingly concerned about nearby development projects—from data centers to mixed-use developments—that could affect their communities through noise, water usage, or other impacts. But before your board launches a campaign against a proposed project outside your community's borders, you need to understand what authority you actually have to take such action.
Whether a board can act on external issues depends heavily on state law and your governing documents. In some states like Massachusetts and Rhode Island, boards have broad authority to take action on matters that would adversely impact the association, including opposing nearby developments. However, other states may impose different limits. Your first step should be reviewing both your state's laws and your community's CC&Rs and bylaws to determine what your board is legally permitted to do.
Even if your board has the legal authority to act, experts recommend involving your owners before launching into a fight. A board might poll owners to gauge whether the community actually cares about the issue, rather than assuming opposition based on board members' concerns alone. If owners don't support the effort, boards should carefully consider whether spending community resources on an outside battle makes sense.
If your community does support taking a stand on a nearby proposal, boards can engage with local planning boards and building departments to voice concerns about potential adverse effects. This proactive approach may be more effective than reacting after a project is already approved. Before your board decides to act, consult your governing documents and consider consulting with an attorney licensed in your state to understand your specific rights and obligations.
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