Can An HOA Board Dissolve by allowing everyone to OPT OUT?

WCOA2024

New Member
Jurisdiction
Texas
Our small HOA (Austin, Texas) with no common areas, but some shared irrigation controllers (ie - we have about 3 irrigation controllers and several homes are irrigated off each of the same controller, but water usage is billed to individual owners through their home water utility bill), is fiscally insolvent.

Many members no longer use the HOA irrigation system and have installed their own.

No more than 1 or 2 owners, plus 3 officers attend meetings in the 4 years I have lived here.

CCR is silent on OPT OUT.

We want to dissolve the HOA as quickly and inexpensively as possible, as we have no funds and many owners have paid assessments in advance, so we actually have debt. We thought maybe we can simply, as a board, allow every member who wants to OPT OUT, do so, leaving the remaining members (none of which ever attend meetings), to stay and manage the HOA as they see fit.

Can anyone direct me to Texas Regs or anything that can support or prevent the board from doing this? Can we amend our CCR for this purpose. FYI, this HOA is so small and limited be have no by laws - since the inception in 1995.

Right now we are not fiscally solvent and are in need of a special assessment. Horrible 'professional' management is costing us $5000/ year (over 25% of our budget) for writing about 4 checks a month and sending out assessment notices 4 x a year to our 20 members. We cannot find another company willing to take on such a small HOA and no one wants to do the HOA management themselves.
 
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Here is the Texas statute that applies to homeowners associations. Somewhere in there lies the answer to your question.


Additional information from the Texas State Law Library.

 
Our small HOA (Austin, Texas) with no common areas, but some shared irrigation controllers (ie - we have about 3 irrigation controllers and several homes are irrigated off each of the same controller, but water usage is billed to individual owners through their home water utility bill), is fiscally insolvent.

Many members no longer use the HOA irrigation system and have installed their own.

No more than 1 or 2 owners, plus 3 officers attend meetings in the 4 years I have lived here.

CCR is silent on OPT OUT.

We want to dissolve the HOA as quickly and inexpensively as possible, as we have no funds and many owners have paid assessments in advance, so we actually have debt. We thought maybe we can simply, as a board, allow every member who wants to OPT OUT, do so, leaving the remaining members (none of which ever attend meetings), to stay and manage the HOA as they see fit.

Can anyone direct me to Texas Regs or anything that can support or prevent the board from doing this? Can we amend our CCR for this purpose. FYI, this HOA is so small and limited be have no by laws - since the inception in 1995.

Right now we are not fiscally solvent and are in need of a special assessment. Horrible 'professional' management is costing us $5000/ year (over 25% of our budget) for writing about 4 checks a month and sending out assessment notices 4 x a year to our 20 members. We cannot find another company willing to take on such a small HOA and no one wants to do the HOA management themselves.

Your COMPLEX issues won't be resolved gratis.

The HOA will require the services of a licensed attorney.

Your efforts would best be utilized by finding one, ASAP.
 
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