GUIDELINES FOR THE WORK OF THE BOARD OF DIRECTORS
This body was created to serve as an intermediary between the co-owners and the administrator.
Despite the fact that in residential use it is not compulsory to integrate boards of directors and, where they exist, they are not empowered to authorize or not the budget execution ordered by the general assembly of co-owners, many analysts consider them key.
According to German Molino, president of the College of Horizontal Property Administrators of Bogotá, the complexity of the operation of the legal entity in the buildings and complexes determined the need to establish them.
The manager explains how this body created in Law 675 of 2001 works with the fundamental function of serving as an intermediary between the co-owners and the administrator.
Their integration must always be three or more owners, but always in an odd number.
According to the horizontal property regulations, the directors of administration may have alternates and for this purpose, the wording of the management of each of them must be very clear.
In the terms of Law 675 of 2001, its specific functions are to appoint the administrator, in certain cases, and review with him the annual accounts, the report for the assemblies, the budget for the new term, the balance sheet and the budget execution; in addition, it must call the meeting of the extraordinary general assembly.
The regulations grant them other powers that as long as they do not go against the law, nor the functions of the assembly and the administrator, will be welcomed. If the building statute so prescribes, the council must impose sanctions on those who fail to comply with non-pecuniary obligations, of course, under the principle of due process.
It must be taken into account that the board of directors does not represent the co-owners before the authorities and third parties. It only carries out coordination, orientation and advice to the administration on duty.
The co-owners always ask if the directors should be compensated with economic benefits or by making discounts on the common expenses. However, in many cases, this kind of recognition is neither practical nor economical. But if the co-owners want, at the meeting of the ordinary general assembly they can evaluate their work in the immediately previous period and, in this way, authorize recognitions that do not mean damages to the patrimony.
Finally, it must be taken into account that the constitution of the councils is mandatory in buildings or complexes of commercial or mixed-use of more than thirty private units, without taking into account parking spaces and deposits.
THE ASSEMBLY ELECTS THE DIRECTORS
The co-owners gathered in the general assembly elect the members of the council. The profile of the candidates to integrate this body are in the horizontal property regulations; However, ethical principles must be taken into account, including that they do not have financial obligations and investigations for violations of the rules of coexistence, or relationships or other affinities with other directors or with the administrator or fiscal auditor.
The form of election of the directors will also be determined by the horizontal property regulations.
FUNCTIONS ALSO HAVE LIMITS
It is customary to include functions for the board of directors in horizontal property regulations, many of them contrary to those established by law. Therefore, conflicts of jurisdiction are generated with the general assembly, the administrator and the fiscal auditor.
German Molino, president of the College of Horizontal Property Administrators of Bogotá, notes that he is empowered to advise the administrator and ensure that he complies with the law, the regulations and what is ordered by the assembly.
In addition, you must review the physical state of the building or complex on a monthly basis, and the budget execution for its maintenance; Likewise, it must be aware that the health and safety controls with respect to the possession of pets are complied with and, incidentally, control –but not prevent– the investment of the money ordered by the assembly for co-ownership.
The council meetings will be held in the manner stipulated in the regulations, normally every month.
The indefinite number of meetings should not be allowed, as there are other obligations that require more attention.