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A HISTORY OF CONFLICTING CHOA CLAIMS & NON-COMPLIANCE WITH STATE, FEDERAL & GOVERNING DOCS REQUIREMENTS

CHOA's history is long and varied. This page includes the organization's legal documents and varying claims made about the applicability of these documents, unmet requirements for state licensing of homeowners associations, apparently unmet requirements for federal reporting, and unmet state requirements for financial reporting to members. Perhaps of particular interest is CHOA's recent claim that it never acted as a voluntary association.  Extensive evidence that it did operate as a voluntary association is also included here. 

CHOA HAS ALTERNATED BETWEEN ASSUMING VOLUNTARY AND MANDATORY STATUS

ARTICLES OF INCORPORATION, BYLAWS AND INCONSISTENT COVENANT CLAIMS
CHOA DOCUMENTS ACKNOWEDGED VOLUNTARY STATUS

October 01, 2003

OFFICIAL LETTERS, NEWSLETTERS & MINUTES CONFIRMING VOLUNTARY STATUS

The button below provides a sample of fourteen official CHOA documents spanning 2003-2016 that confirm CHOA's acknowledged voluntary status and demonstrate that contributions are requested, rather than required. You will find the following:
 

  • October 2003 Christina News (official newsletter) including a two page Q&A with Mr. Mezer, CHOA's attorney, which includes this plain question: "Is the association a voluntary association?"  He answer "Yes."  The same newsletter asks what happens if some don't want to sign the amendments.  Mr. Mezer says unless something changes, "the homeowners association will have no authority over those lots."
     

  • December 2003 letter from the management company signed on behalf of the CHOA board stating, "If you would like to make a voluntary payment, and help your neighbors carry the load, it will be greatly appreciated."
     

  • February 2007 Christina News (official newsletter) which addresses those not paying their voluntary assessments this way, "If you are one of those who has withheld your contribution to the homeowners association..." and "If we all contribute...our individual burden will be reduced... ."
     

  • May 2007 letter from CHOA president saying, "We request this assessment payment not in a forced, coercive way, but rather under a voluntary approach." She also says, "CHOA is considered a voluntary association."
     

  • July 2007 Christina News (official newsletter) urging, "Let's shoot for 100% contributions under our voluntary approach... " and separately to "our assessment request" and "contributing members."
     

  • September 2007 letter from the CHOA president addressed, "Dear Homeowner" and indicating, "We have not yet received your contribution to the Christina Homeowner Association... ."
     

  • December 2007 official newsletter saying, "Thanks to all who have contributed this year" and referring to "your contributions" and "contribution records" in several subsequent mentions.
     

  • February 2008 Christina News Bulletin (official newsletter) reminding us plainly, "CHOA is a voluntary association... ." The same newsletter provides three pages of names and addresses of contributors to provide recognition, and invites those not on the list to make a contribution prior to the next newsletter to be recognized in the next mailing. 
     

  • June 2011 board meeting minutes, speaking of dues, “…[W]e are in a non-mandatory region or subdivision. Dues are not mandatory. … We have a lawyer working on helping us become a ‘mandatory’ region.” (Also notes deed restrictions are enforceable. This applies only to those which had not already expired, which could be enforced by owners with unexpired covenants in the same development phase. Most covenants had expired by that time, but some were still in force.)
     

  • June 2012 board meeting minutes explain, “[The CHOA president] is conferring with our lawyer, Andy [Reed], about the process of making dues mandatory.”
     

  • May 2013 board meeting minutes state, “{Board member] Al [Pisaneschi] reported that we are a voluntary status for dues.”
     

  • February 2016 board meeting minutes raise the issue again this way: “Regarding the voluntary HOA from the 2003 judgment. To make mandatory we need 51+% approval.”  Note: 51% was the requirement for all three phases who had residents in the lawsuit.  Three other phases had a 100% approval requirement since a HOA was not mentioned in their covenants. There is no record that covenants for the seventh phase were ever assigned to CHOA from the developer.
     

  • May 2016 board meeting minutes report ,"[board members] Marie [Kellum] and Joe {Misiaszek] met with the lawyer; he provided documents and suggestions regarding our desire to adopt new bylaws and establish mandatory membership and dues... ." They discussed whether, "to try to establish the mandatory membership all at once or in phases."
     

  • September 2016 board meeting minutes say, re. discussion with attorney on changing status to mandatory, “if dues become mandatory… .” (There is some discussion in these minutes over the status of the 2000 amendments.) 

(We don't have a complete set of records from CHOA but thank homeowners who have contributed documents from their files. Other documents were obtained through official records requests to the former CHOA board, and we appreciate past CHOA president Joe Misiaszek's assistance in obtaining them.)

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CHOA DOCUMENTS LATER ASSERTED MANDATORY STATUS
WITHOUT NEW COURT RULING OR VOTE TO SUPPORT STATUS CHANGE

October 06, 2017

COLLECTION THREATS BEGIN DESPITE UNCHANGED STATUS

By October 2017, CHOA was asserting mandatory status without a new court order or vote, threatening homeowners with collection actions including liens. As shown above, through 2016, CHOA maintained it was a voluntary association while also stating its desire to become mandatory. At the April 2018 board meeting, CHOA president Joe Misiaszek was asked by a homeowner what had changed in 2016 to cause CHOA to become a mandatory association. He said nothing had changed, that it had always been mandatory. The prior section demonstrates decisively that this is not the case. A discussion recorded in the August 2016 minutes about the nature of the 2000 covenant amendments might be related to the shift in thinking. Tens of thousands of dollars of donated money went to pay Pilka & Associates, the 2016-spring 2018 CHOA attorneys, in pursuit of dues not owed to the association. A number of homeowners either gave into the threat or paid monies claimed in order to sell their homes.  

The two document samples here from former CHOA board attorney Daniel Pilka, to homeowners show the following.

  • CHOA claimed that the covenants, which as shown on the Seven Phases page are now expired, give CHOA the right to collect dues along with interest and attorney fees, and they threaten a property lien if the amounts are not paid within 45 days.
     

  • CHOA claimed that no attorney representing the association has acknowledged CHOA's voluntary status. Documentation that this is false, with CHOA attorney, Mr. Steven Mezer, is provided in the Voluntary section of this page. Mr. Mezer is the attorney who, according to an April 2006 letter from board members to homeowners, was representing CHOA. Another CHOA attorney, Andy Reed, would echo this voluntary status as recorded in 2011-12 board meeting minutes. In addition, when CHOA first spoke to current CHOA attorney Mr. Pilka, CHOA documented that he advised directors in how CHOA could become mandatory.

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August 27, 1980

ARTICLES OF INCORPORATION

In 1980, CHOA established articles of incorporation. The new corporation does not name any of the seven phases nor make reference to covenants or deed restrictions. It does foresee different "classes" of membership, and allows for people not living in Christina to be members.

October 06, 1980

ORIGINAL BYLAWS

CHOA's original bylaws allowed any homeowner in Christina (not just our seven phases) to apply to become members, and while all members were expected to pay dues, no one was required to apply for or become a member. People interested in Christina who were not residents of Christina were also welcome to apply for membership. Holding a deed in Christina (restricted or not) was not a requirement of membership. The bylaws were incorporated into the minutes of the first board meeting of Christina Homeowners Association.  (As shown in the September 28, 2017 board meeting minutes, CHOA president Joe Misiaszek indicated that "CHOA was formed by a unanimous vote of those homeowners in Christina who attended a meeting at Scott Lake Elementary School in the summer of 1980. There were about 200 homeowners at the meeting, representing about 90% of the properties that had been sold at the time." The minutes provided with the bylaws, below, establish that 1) residents were not given notice of the meeting for a valid vote to have been taken, and 2) no such vote was taken at this meeting. As this October 1980 meeting was the first board meeting and actually occurred in the fall, there was no other summer 1980 meeting to which this comment might refer.)

January 15, 1988

FIRST AMENDED BYLAWS

In 1998, while legally nothing about CHOA's voluntary, apply-for-membership, status had changed, companies identifying themselves as successor companies to two of the three the developers responsible for most of the seven subdivisions now associated with CHOA attempted to assign covenant rights to CHOA subject to CHOA being the "duly authorized and official organization formed by property owners." For CHOA to have had that status would have required votes of 51%-100% by phase per the terms of the covenants. That same year, the bylaws asserted control of the seven neighborhoods and provided for collection of dues without distinguishing between neighborhoods based on whether covenants authority agreements had been executed or according to the differing original deed restrictions for the neighborhoods, some of which didn't provide for dues collection or for pre-approval for construction or for tree removal, and others which did allow such control by a properly formed homeowners association. The court determined CHOA was not a duly authorized organization, explaining that it had not established that it had received the consent of the requisite number of homeowners, and saying that despite its name, it was not a homeowners association in the eyes of the Florida statutes. The case was appealed, and on remand another judge applied a higher evidentiary standard, concluding there was proof that CHOA had not received the required vote of homeowners and was not a validly formed homeowners association ab initio under the Florida statutes. Both legal rulings state that CHOA did not have the authority to assess dues, despite this assertion in its bylaws. Out of an abundance of caution, we requested information about any votes that would give CHOA the authority of a homeowners association subsequent to the court rulings. Upon review of available documentation from CHOA, we agree with the findings of the court.

CHOA's directors, officers and agents are reported to the state annually (except in 2011, when CHOA failed to report, and therefore had to file for reinstatement in 2012), and these reports are available for viewing online. These records show that CHOA has not been consistent in following its 1998 bylaws, appearing to violate provisions for

  • having a minimum of four directors, a requirement not met in 30% of the years reported (as compared with covenants and amendments that require 5 directors; the bylaws say the covenants standards apply where the documents are in conflict);*

  • having the officer roles of president, vice-president, secretary, and treasurer filled. a requirement not met in 60% of the years reported;* and

  • allowing a director to serve a maximum of eight consecutive years, a requirement that has been violated twice.

In addition, CHOA president Joe Misiaszek announced at the March 2018 board meeting that he had assumed the treasurer's duties, which is also in violation of the bylaws. ​

While the bylaws call for only dues-paying members to vote for directors, this is in conflict with underlying covenants that do not permit this restriction. As stated in the bylaws, when they are in conflict with the covenants, the covenants govern so the vote may not be restricted according to dues status.

*It is possible CHOA reported less than the full slate of directors. 

IN 2016, CHOA STATES DESIRE TO BECOME MANDATORY

The minutes from CHOA's May 12, 2016 board meeting acknowledge that CHOA has voluntary status as the board expresses interest in becoming a mandatory association. The board reports that its new attorney, who was identified by current CHOA director Ramona Blankenship, met with then directors Marie Kellam and Joe Misiaszek (who would become CHOA's president). The attorney advised them on how to become mandatory. This further contradicts 2018 board meeting statements by Joe Misiaszek that no attorney has advised that CHOA is voluntary. (A prior CHOA attorney, Steve Mezer, documented voluntary status in a CHOA newsletter, another board attorney is documented as having done so in board minutes in 2011-12, and many other CHOA official communications also document CHOA's voluntary status.)

August 27, 2016

IN 2016, CHOA SHOWS ORIGINAL DEED RESTRICTIONS, NOT 2000 AMENDMENTS TO COVENANTS

As late as 2016, CHOA still acknowledged that there was no broad adoption of the amendments to the covenants drafted in 2000, maintaining the unamended original deed restrictions as the only covenants on its website through at least August 2016, even though most of these expired in 2002-2008. These original deed restrictions, not drafted by CHOA, are provided on this site for the seven phases. The covenant amendments drafted in 2000 were posted to the CHOA website after August 2016, even though amendments cannot stand once the underlying covenants have expired. A screenshot of the website with a datestamp of August 27, 2016 from the Internet Archive, a non-profit that archives web pages for historical purposes, is provided here. 

  

In its letter to Christina Woods Phase 1 homeowners, one of the oldest phases with covenants expiring the earliest, CHOA explained that any new covenant amendments would rely on the underlying original deed restrictions, and deed restrictions must be renewed for any CHOA-drafted covenant amendments to apply. CHOA acknowledged again that amendments did not extend the underlying expiration date when attempting to extend Christina Woods Phase 6 covenants. This documentation, along with a discussion of expiration dates for each phase, is provided for the seven phases.  Since CHOA did not claim on its website that the 2000 covenant amendments, for which only 30% voted, were in effect until late 2016, and it had documented that some of the underlying covenants it listed on its website had already expired, it makes sense that CHOA was operating as a voluntary association (even if it believed itself to have been properly formed, a claim disputed by the courts in 2003 and 2007). 

October 29, 2016

2000 CHOA COVENANT AMENDMENTS SHOWN IN EFFECT WITHOUT RENEWING UNDERLYING DEED RESTRICTIONS FROM 2016

Thirty percent of lot holders across the seven phases supported the drafted 2000 covenants (with phase by phase approvals ranging from 15-45%, verifiable by tallying the attached document filed with the court). Given the meager support, CHOA did not claim the covenants drafted in 2000 were widely binding. It therefore maintained the unamended original deed restrictions as the only covenants on its website through at least August 2016 even though most of these original deed restrictions had expired in 2002-2008 (see Seven Phases for expiration details) and the covenant amendments could only amend unexpired covenants as documented by CHOA

   

By the end of October 2016, CHOA had removed the original deed restrictions and replaced them with the covenant amendments signed by 30% of lot owners in 2000 to amend the original deed restrictions. This did not solve the expiration problem since amendments to an expired document are also expired. Board meeting minutes indicate no new action was taken on the amendments at that time. In response to an April 2018 board meeting question from a homeowner about this change, the board represented that nothing had changed in 2016 to alter the legal status of these expired covenant amendments.

So much misinformation and so many conflicting opinions have been provided about the 2000 amendments that they are explored further here.

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Voluntary

The sections that follow were prepared in the spring of 2018 prior to the board election. The board elected in spring 2018 is seeking to clean up our legal status and will be providing details on the official CHOA website.

CHOA HAS NOT MET STATE AND FEDERAL LICENSING, REGISTRATION AND REPORTING REQUIREMENTS
OR HAD BOOKS AUDITED

May 12, 2016

STATE LICENSING REQUIREMENT

All homeowners associations must be registered online with the Florida Department of Business and Professional Regulation. 

March 29, 2018

STATE LICENSE SEARCH

The linked image shows a search performed on March 29, 2018 (and repeated on April 10, 2018) for all homeowners associations licensed in Lakeland, Florida, both current and historical. The results of this search are reported in the next item.  Many search variants were tried, all unsuccessfully:

  • Homeowners association licenses issued for Lakeland, Florida, current or expired

  • Homeowners association licenses issued for Polk County, Florida, current or expired

  • All licenses issued for Lakeland, Florida, current or expired

  • All licenses issued in the state of Florida for organizations with names that start with Christina or a spelling variant, current or expired

 You can perform your own search

March 29, 2018

CHOA IS UNLICENSED

The image linked here shows an alphabetical portion of homeowners license search results for Lakeland, Florida, both current and historical, performed on March 29, 2018 and repeated on April 10, 2018.  CHOA is not on the list of licensed homeowners associations. The variants of this search described above similarly lacked any entries for Christina Homeowners Association. 

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TAX EXEMPT ORGANIZATIONS ARE REQUIRED TO FILE WITH THE IRS

Virtually all tax exempt organizations are required to file with the IRS annually. You can read about the requirements and the rare exemptions from this requirement below. In response to a records request, CHOA provided evidence of having filed in two years.  It is unclear to what extent this requirement has been met.

March 29, 2018

CHOA IS NOT FOUND ON THE IRS TAX EXEMPT LIST

While it is possible CHOA did not disclose all tax records as required under the statute under which the prior CHOA board was operating through spring 2018, if the records provided in response to a statutory request are the only years filed, the organization would not qualify for tax exempt status. You can search for registered tax exempt organizations online or even download the whole database. Christina Homeowners Association was not found there in a search performed on March 29, 2018. This search includes both organizations who are current in their filings and those who are not. (You can also search the list of organizations eligible to receive tax deductible contributions. While some tax exempt organizations are ineligible to receive tax deductible contributions based on their particular form of organization, CHOA was not found on this list either.)

TAX EXEMPT ORGANIZATIONS THAT DO NOT FILE FACE PENALTIES

Tax exempt organizations that have not filed for three or more consecutive lists lose their tax exempt status. Reestablishing tax exempt status requires showing that during the three consecutive years of non-filing, a non-filing organization "exercised ordinary business care and prudence in determining and attempting to comply with its annual reporting requirement." Based on the records it released under the Florida statute under which the late 2016-spring 2018 board was operating, CHOA appears not to have filed for most of the years this requirement has been in place, suggesting no care was taken with this requirement.  The penalty for not filing is $20 a day for each day the return is late up to the lesser of $10,000 or 5 percent of the organization's gross receipts for each year that a return was not filed. This seems likely to amount to tens of thousands of dollars based on the information CHOA has released to date.

 

CHOA NOT MEETING STATE FINANCIAL REPORTING REQUIREMENTS

In addition to IRS reporting requirements, under state law, a homeowner's association has annual financial reporting requirements to its members. A mandatory homeowners association as defined in the Florida statutes is required to provide each member with a copy every year by a statutorily set deadline or provide a written notice that these reports are available upon request at no charge. Visit the linked page and search for "Financial reporting" to jump to details of this requirement. These reports, if they had been provided, would help in determining CHOA's liability for failing to file with the IRS for the many years of its existence.

April 10, 2018

CHOA NOT HAVING BOOKS AUDITED PER BYLAWS

A review of the association's financial records facilitated by the review provisions of the Florida statutes revealed that no audits have been performed in at least the last seven years, the period covered by the reviewed records. The amended bylaws require an annual audit. At its April 2018 board meeting, CHOA acknowledged that it had not had its records audited per the requirements of its bylaws.

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CHOA NOT ON TAX EXEMPT LIST
CHOA NOT MEETING STATE REQUIREMENTS FOR REPORTING TO MEMBERS
CHOA NOT LICENSED WITH THE STATE, A REQUIREMENT FOR ALL HOAS

CHOA SELECTIVELY SEEKS ENFORCEMENT

CHOA ALLOWS CURRENT BOARD MEMBERS NOT TO PAY DUES BUT REQUIRES THOSE SEEKING TO RUN OR VOTE TO PAY

May 19, 2018

CHOA SENT HOMEOWNERS NOTIFICATION THEIR VOTING RIGHTS HAD BEEN SUSPENDED BASED ON NONPAYMENT

While maintaining that dues are required and it is a mandatory homeowners association, CHOA sent letters citing Florida Statute 720.303(4) to justify suspending the voting rights of some homeowners based on dues non-payment. However, 720.303(4) does not allow for suspension of voting rights in any circumstances. Further, two judges determined that CHOA was not validly formed to be an HOA under Florida law, so it is CHOA documents, and not the inapplicable state HOA statute which should determine voting rights. At the last board meeting prior to the annual meeting, CHOA said it was operating per the rules in the proposed 2000 covenant amendments which do not provide for distinguishing between residents based on dues payment status, and which, according to our articles of incorporation, would override our bylaws, were they not expired. 

March 31, 2018

MOST BOARD MEMBERS HAVE NOT PAID ALL DUES CHOA SAYS ARE OWED

While CHOA is requiring that people wishing to serve on the board of directors or vote for board members be current on dues, over half of the board members reported to the state for the 2017-2018 fiscal year as well as over half of those reported in CHOA's state annual report in April 2018 started the year without being current on dues, and none fully paid amounts CHOA said were due. Some had their dues written down to zero while others carried balances. The dues payment records show that households with the same amount showing due and paying the same amount might have their dues written down to zero or not written down at all. Selective enforcement means the CHOA board can determine who becomes eligible for the board and who is excluded without regard to its stated criteria. 

Dues payment records for 2017-2018 were provided by CHOA president through April 2018, Joe Misiaszek. We are not posting them at this time as some residents might prefer not having their own payment records released. Homeowners who would like to see their own payment records, perhaps in comparison with similar households, are welcome to make the request at choaclearinghouse@gmail.com

FLORIDA LAW PROHIBITS SELECTIVE ENFORCEMENT

Many homeowners associations have attempted selective enforcement, or perhaps even done so by accident. The courts have ruled time and time again that HOAs may not enforce regulations on some residents that are not enforced for others. The 1979 case setting this precedent is linked below. A Google search will reveal many others.

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