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Arizona HOA Glossary

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Transcend Community Management

Transcend Community Management’s Arizona HOA glossary defines 54 terms homeowners and board members see in CC&Rs, statements, meeting notices and legal guides, from absentee ballot to xeriscape. Definitions are short and plain, with links to deeper guides for Maricopa and Pinal County communities. Your governing documents may define some terms differently.

HOA terms A–B

Absentee ballot

A ballot mailed or delivered in advance so owners can vote without attending. Arizona HOAs must offer them; see elections and recall.

ACC / ARC

Architectural Control (or Review) Committee that reviews exterior changes. See the architectural request guide.

ADRE

Arizona Department of Real Estate, which accepts HOA dispute petitions. See ADRE hearings.

Amendment

A formal change to the declaration or bylaws, adopted by the vote required in the documents and recorded with the county.

Annual meeting

The yearly member meeting, usually for elections and budget review. See annual meetings.

Assessment

The amount each owner pays to fund the association, also called dues. See HOA dues explained.

Autopay

Recurring automatic payment of assessments through the portal or app. See autopay setup.

Board of directors

Volunteer owners elected to govern the association and make its decisions.

Board Liaison

Transcend’s point of contact who works directly with an association’s board.

Budget

The board-adopted annual plan of income and expenses, including reserve contributions. See the HOA budget guide.

Bylaws

Rules for how the association operates internally: meetings, elections, officers and board terms.

HOA terms C–D

CC&Rs (Declaration)

Covenants, Conditions and Restrictions: the recorded document that binds every lot and sets owners’ main obligations.

Collections policy

The board’s written procedure for late and unpaid assessments. See collections policy.

Common area

Property owned or maintained by the association for all members, such as parks, pools, retention basins and entry landscaping.

Common elements

In a condominium, everything except the units, owned in shares by all unit owners.

Community manager

A professional who carries out the board’s decisions and handles daily operations, finances and owner service.

Condominium

Ownership of a unit plus a share of the common elements, governed in Arizona by the Condominium Act.

Conflict of interest

A situation where a director’s personal interest could affect a board decision. See conflicts of interest.

D&O insurance

Directors and officers liability insurance protecting volunteer board members. See HOA insurance.

Declarant

The developer that created the community and controls it until turnover. See developer turnover.

Design guidelines

Board-adopted standards for exterior colors, materials, landscaping and improvements.

HOA terms E–H

Executive session

A closed portion of a board meeting allowed only for limited topics. See executive session rules.

Fee Lock

Transcend’s Lifetime Guarantee: the base management fee for base services doesn’t increase while the association auto-renews and stays on our Remote Management option. See Fee Lock.

Fiduciary duty

A director’s duty to act in good faith and in the association’s best interest. See fiduciary duty.

Fine (monetary penalty)

A charge for a rule violation, allowed only after notice and an opportunity to be heard. See violations and fines.

Flood irrigation

Older Valley irrigation method that floods yards or common areas on a schedule, often from SRP.

Governing documents

The declaration, articles, bylaws, rules and design guidelines that together govern the community.

HO-6 policy

Condo owner insurance for the unit interior and belongings. See HO-6 insurance.

Haboob

An intense dust storm common in Arizona’s monsoon season that can damage landscaping and pools.

Homeowner Team Coordinator

Transcend’s team member who works directly with homeowners on questions and requests.

HOA terms L–O

Late charge

A fee on an overdue assessment, capped in Arizona at the greater of $15 or 10% of the unpaid amount. See assessment limits.

Lien

A legal claim on a property for unpaid assessments. See liens and foreclosure.

Limited common element

A condo common element reserved for certain units, like a balcony or assigned parking space.

Master association

An umbrella association over a large community that may include sub-associations.

Minutes

The official written record of actions taken at a meeting.

Monsoon

Arizona’s summer storm season, bringing wind, dust and flash flooding. See monsoon preparedness.

Open meeting law

Arizona rules requiring HOA meetings to be open with proper notice. See open meeting law.

Operating fund

Money for day-to-day expenses, separate from reserves.

HOA terms P–R

Planned community

A development with a mandatory owners association governed by the Planned Communities Act.

Portal

Secure online access for homeowners, boards and title companies. See portal login.

Proxy

Authorization for someone else to vote for an owner; not allowed in Arizona planned communities after declarant control.

Quorum

The minimum number of members or directors needed to conduct business.

Recall

Removing a director by petition and member vote under Arizona law.

Reserve fund

Savings for major repairs and replacements like roofs, paint, paving and pool equipment.

Reserve study

A professional analysis of components and funding needs. See the reserve study guide.

Resale disclosure

The package an HOA provides when a home sells. See resale disclosures.

Retention basin

A landscaped low area that holds stormwater runoff, common in Valley HOAs.

Rules and regulations

Board-adopted rules that carry out the CC&Rs, such as pool, parking and trash rules.

HOA terms S–Z

Special assessment

A one-time charge for an unplanned or major expense. See special assessments.

Sub-association

A neighborhood association within a master-planned community with its own documents and dues.

Transfer fee

A fee charged at sale if the declaration authorizes it, disclosed in the resale package.

Turnover

The transfer of association control from the developer to an owner-elected board.

Violation

A breach of the governing documents. See responding to a violation notice.

Xeriscape

Water-wise desert landscaping using native and drought-tolerant plants. See water conservation.

Frequently asked questions

What is the difference between CC&Rs and bylaws?

CC&Rs are recorded against every lot and set owners’ obligations, while bylaws govern how the association operates internally, such as meetings and elections.

What is the difference between an assessment and a special assessment?

A regular assessment funds the annual budget; a special assessment is a separate charge for a specific, usually unplanned or major, expense.

What does ACC stand for in an HOA?

ACC usually stands for Architectural Control Committee, the group that reviews exterior changes; some communities call it the ARC.