DCP: Frequently Asked Questions for Community Association Managers

Frequently Asked Questions for Community Association Managers

 
  1. Who is required to be registered with the Department of Consumer Protection under the Community Association Manager's Act?
  2. What are association management services?
  3. What are the requirements for registration?
  4. Where can I find the course and/or examination described above?
  5. How do I apply?
  6. When does my registration expire?
  7. How much does it cost?
  8. Is continuing education required?
  9. What are the required provisions of the contract between the association and the manager?
  10. Can I provide other services to the association?
  11. What is a fidelity bond?
 
 
 
Answer:  A person who provides association management services for a fee and includes any partner, director, officer, employee or agent of such person who directly provides association management services on behalf of such persons
 
 
 
Answer:  means services provided to an association for payment including one or more of the following: (A) Collecting, controlling or disbursing funds of the association or having the authority to do so; (B) preparing budgets or other financial documents for the association; (C) assisting in the conduct of or conducting association meetings; (D) advising or assisting the association in obtaining insurance; (E) coordinating or supervising the overall operations of the association; and (F) advising the association on the overall operations of the association.
 
 
 
Answer:  Any person seeking an initial certificate of registration must submit a state and national criminal record check to the Department along with a completed application. State record check can be obtained from:

State Police Bureau of Identification

1111 Country Club Rd

Middletown, CT 06457

http://www.ct.gov/despp/cwp/view.asp?a=4212&q=494532

The national criminal history may be obtained from:

http://www.fbi.gov/hq/cjisd/fprequest.htm

Each new applicant for registration must take a nationally recognized course and pass the National Board of Certification for Community Association Managers examination within one year from date initial registration is issued.

Any person issued an initial certificate of registration prior to 10/1/2012 who has held such certificate for less than ten years as of 10/1/2012, must take a nationally recognized course and pass the National Board of Certification for Community Association Managers examination on or before 10/1/2014.

Any person issued an initial certificate of registration before 10/1/2012 who has held such certificate for 10 or more consecutive years must complete a nationally recognized course on Community Association Management on or before 10/1/2014, but is exempt from the National Board of Certification for Community Association Managers examination.

 
 
 
   
Answer: Visit the Departmentís web site www.ct.gov/dcp and obtain a registration application. Fill it out and forward to the Department at 165 Capitol Ave , Hartford CT 06106.
 
 
 
Answer: Community association registrations expire January 31 every year.
 
 
 
Answer: The initial registration and application fee is $260.00 ($60 application fee + $200 initial license fee). The renewals are $ 200.00 annually.
 
 
 
Answer: Currently there is no continuing education requirement.
 
 
 
Answer: No contract between a person contracting to provide association management services and an association which provides for the management of the association shall be valid or enforceable unless the contract is in writing and;

Provides that the person contracting to provide management services shall be registered as provided in sections 20-450 to 20-462, inclusive, and shall obtain a bond as provided in section 20-460; and

Provides that the person contracting to provide management services shall not issue a check on behalf of the association or transfer moneys exceeding a specified amount determined by the association without the written approval of an officer designated by the association; and

Provides that the person contracting to provide management services shall not enter into any contract binding the association exceeding a specified amount determined by the association, except in the case of an emergency, without the written approval of an officer designated by the association.
 

No contract to provide management services may be sold or assigned to another person without the approval of a majority of the executive board of the association.

 
 
 
Answer: A community association manager may not provide services other than association management services for compensation to an association for which the community association manager also provides association management services unless: (1) Such other services are provided pursuant to a written agreement between the person providing the other services and the association; (2) the agreement discloses the relationship between the community association manager and such other person; and (3) the agreement sets out the compensation for such services or one or more rates or formulas for which the compensation can be determined based on the services actually rendered under the agreement.

A community association manager may not enter into or offer to enter into any association management agreement which requires an association to obtain services other than association management services from the community association manager.
Any discounts, rebates, commissions or other consideration received by a community association manager on account of any goods or services furnished to an association or a unit owner or owners shall, except where prohibited by applicable law, ordinance or regulation, be credited to the association or a unit owner or owners, as appropriate, and not retained by the community association manager.
 
 
Answer: No person who provides association management services under the provisions of sections 20-450 to 20-462, inclusive, shall control, collect, have access to or disburse funds of an association unless, at all times during which the person controls, collects, has access to or disburses such funds, there is in effect, a fidelity bond complying with the provisions of this section.

The fidelity bond referred to in subsection (a) of this section shall: (1) Be written by an insurance company authorized to write such bonds in this state; (2) except as provided in subsection (c) of this section, cover the maximum funds that will be in the custody of the community association manager at any time while the bond is in force, and in no event be less than the sum of three months' assessments plus reserve funds; (3) name the association as obligee; (4) cover the community association manager and all partners, officers, employees of the manager and may cover other persons controlling, collecting, having access to or disbursing association funds as well; (5) be conditioned upon the persons covered by the bond truly and faithfully accounting for all funds received by them, under their care, custody or control, or to which they have access; (6) provide that the insurance company issuing the bond may not cancel, substantially modify or refuse to renew the bond without giving thirty days' prior written notice to the association and the department, except in the case of a nonpayment of premiums, in which case ten days' prior written notice shall be given; (7) contain such other provisions as the department may, by regulation, require.





Content Last Modified on 10/31/2014 4:16:52 PM