What the Board Is Responsible For

Now that the difference between governance and operations is clear, it’s time to focus on the board’s role.

For HOA and condo boards, responsibility begins with leadership, decision-making, and oversight. The board’s role is to guide the direction of the association—not to manage the day-to-day work required to carry that direction out.

Leadership and Decision-Making

At its core, the board is responsible for making decisions on behalf of the community. These decisions shape how the association operates over time and reflect the long-term needs of the community.

Board responsibilities typically include setting policies, approving budgets, establishing priorities, and making decisions that provide clear direction for the association.

Fiduciary Responsibility

Boards also have a fiduciary responsibility to act in the best interest of the association as a whole.

This means making informed decisions, protecting the association’s financial health, and ensuring the community is prepared for future obligations, such as major repairs or reserve funding needs. While management companies provide support and guidance, ultimate responsibility rests with the board.

Oversight and Accountability

Another important responsibility is oversight.

Oversight means monitoring performance, asking informed questions, and ensuring that board decisions are carried out properly and in alignment with board direction. Oversight isn’t about doing the work—it’s about maintaining accountability.

When boards remain focused on oversight rather than execution, roles stay clear and decision-making is more effective.

Governance Responsibilities and Committees

Boards are also responsible for governance-related actions such as conducting board meetings, following the association’s governing documents, and complying with required procedures.

In many community associations, boards appoint committees to support their work. Committees help gather information, focus on specific areas, and bring recommendations forward—but the board retains final decision-making authority.

Vendor Decisions and Appeals

Boards often review vendor proposals, evaluate options, and select the service providers they believe are the best fit for the association. While management companies may gather bids or make recommendations, the final decision rests with the board.

Boards may also be responsible for hearing homeowner appeals or making judgment calls related to enforcement and exceptions. These decisions require careful consideration and consistency, as they directly affect the community and its members.

Staying Focused on Governance

One of the most common challenges boards face is knowing how involved to be after a decision has been made. When issues arise, it can feel natural for board members to step in and help resolve them directly.

Strong boards stay focused on governance. They lead by setting direction, making informed decisions, and maintaining accountability—while relying on the management company to handle execution.

Why This Role Matters

Ultimately, the board is responsible for the health and stability of the association. When boards remain focused on their leadership role, decisions are clearer, accountability is stronger, and the community is better positioned for long-term success.

Next, we’ll look at how the management company supports this work by handling day-to-day operations and providing expert guidance.