The document outlines the duties, responsibilities, and expectations of HRCA Delegates and Directors. Delegates elect Directors and have authority to approve certain assessments and amendments with 2/3 voting approval. Directors' duties include accepting property, maintaining insurance, preparing budgets, enforcing rules and collecting assessments. Their powers include acquiring property, adopting rules, and conveying property with Delegate approval. Directors are responsible for finances, architectural matters, and representing the HRCA. They have fiduciary duties and can face corporate or personal liability.

1. HRCA Delegates’ and
Directors’ Duties,
Responsibilities, and
Expectations

2. Basis
 Community Declaration (CC&R’s)
 Covenants, Conditions, and Restrictions
 Recorded against every Privately Owned Site
 Contract between Owner and the HRCA
 Supplemental Declaration
 Articles of Incorporation
 Bylaws

3. Terms
 Duty: binding legal obligation
 Power: ability to accomplish objective
 Liability: corporate and/or personal

4. Delegate Responsibilities
Community Declaration
 Delegates elect Directors
 One vote for each privately owned site
 Serve as Delegate for a District
 Authorize the Board of Directors to convey property with 2/3 voting
approval
 Authority to approve increase in the assessments greater than 120%
from preceding year with 2/3 voting approval

5. Delegate Responsibilities
Community Declaration
 Authority to approve increase in Maximum Common
Assessment (cumulative CPI based) (2/3 voting approval)
 Authority to approve Special Assessments for capital
expenditures (2/3 voting approval)
 May amend the Articles of Incorporation
 May Amend the Bylaws

6. Delegate Expectations
 Attend Annual and Special Meeting of Delegates
 Attend monthly Delegate Meeting
 Read updates and HRCA Newsletters
 Represent their District

7. Director Duties and Powers
Acting through the Board, HRCA shall have these duties and
powers:
 Duties:
 Accept property and facilities from Declarant
 Pay taxes
 Maintain casualty insurance
 Maintain liability insurance
 Obtain fidelity coverage for persons handling cash

8. Directors’ Duties
 Other insurance (e.g. workers’ compensation)
 Prepare budgets
 Levy and collect assessments
 Provide audit
 Assist Architectural Committee as outlined in Article X.
 Follow all applicable local, State and Federal Laws

9. Director Power
 Acquire property and construct improvements
 Adopt rules and regulations
 Enforce the Declaration and rules and regs
 Provide Public Functions
 Provide services to sub-associations
 Provide special services for members
 Charge for facilities and services
 Grant easements

10. Director Power
 Convey and dedicate property (with approval of 2/3 Delegate
voting power)
 Borrow money and mortgage property (with approval of 2/3 of
Delegate voting power)
 Employ managers
 Engage employees, agents, and consultants

11. Director Power
 General corporate powers
 Trash collection
 Regulate use of HRCA facilities
 Manage the affairs of the Association
 Delegate authority but not responsibility

12. Director Responsibilities
(Finance)
 Maintenance funds
 Other funds
 Deposits
 Disbursements
 Common Assessments
 Funding reserve funds
 Supplemental common assessments

13. Director Responsibilities
(Finance)
 Limitations of assessments (thresholds to exceed requires 2/3 voting
power of Delegates)
 Annual Budgets
 Special assessments for capital expenditures (requires 2/3 voting
power of Delegates)
 Reimbursement assessments
 Late charges and interest

14. Director Responsibilities
(Finance)
 Notice of default and acceleration of assessments
 Lawsuit to enforce assessments
 Lien to enforce assessments
 Estoppel certificates

15. Director Responsibilities
(Architectural)
 Appoint Architectural Committee Members
 Approve Rules and Guidelines
 Appoint Tribunals for appeals
 Hear and make determinations on Tribunal recommendations
(improvements to property and non-compliance)
 Lawsuits to enforce architectural matters
 Estoppel Certificates

16. Director Expectations
 Attend monthly Board Working Session
 Attend Delegate Meetings
 Attend Board Meetings
 Attend other meetings (Metro District, Team Highlands
Ranch, etc.)
 Understand Director Roles
 Represent HRCA at community events and activities
 Understand Director Roles, Duties, Powers, and
Responsibilities
 Lead Special Projects in support of the HRCA Strategic
Objectives

17. Directors Have Liabilities
 Fiduciary Duty
 Duty of undivided loyalty
 Conflict of interest
 Uniform and consistent enforcement of rules
 Uniform and consistent enforcement of
collections
 Corporate liability
 Personal liability