Wednesday, December 26, 2007

Scrutiny of Community Journalists


The Scrutiny of Community Journalists

The question is, what type of community journalism are you getting from your local reporter(s)?



December 26, 2007


Community journalism can be viewed as a form of reporting news and information for a certain geographic area, with the purpose to serve the best interests of the community - a vehicle for journalists working with citizens, communities and institutions for social change. However, change is not what local governing bodies usually want or advocate, - in fact, we have witnessed several "political assassinations in efforts to maintain the status quo - we have seen several hence the need for the adoption of watchdog journalism when engaging in edifying community journalism.

Watchdog journalism refers to forms of activist journalism aimed at holding accountable public personalities and institutions whose functions impact social and political life, as compared to lapdog journalism, used as a conceptual opposite to watchdog journalism. Tools of the trade include community Immersion and affinity groups.

During community immersion, reporters live or spend time in the community to study its geography, demographics, determine citizen needs, interests, aspirations, and generally to interact with community members as a step towards building trust, whereas community conversations take place in affinity groups, such as the Coto Discussion Forum or the LagBolgzz – Laguna Woods Village Discussion Forum. Community conversations allow journalists to probe for insights without becoming intrusive or invasive.

The Nieman Foundation for Journalism at Harvard University was founded in 1938 "to promote and elevate the standards of journalism in the United States."

The premise that great questions are a key to great journalism and that the goal of watchdog journalism is to see that people in power provide information the public should have drive the Nieman Watchdog Journalism Project - “The Nieman Watchdog Journalism Project grows from this premise and this goal: to help the press ask penetrating questions, critical questions, questions that matter, questions not yet asked about today's news” (NiemanWatchdog.Org, 2007).

Given the widespread “paraphrasing” of community news, and that arguably, the fastest growing form of housing in the United States, since the mid-1960s, is common-interest developments (CID/HOAs), a category that includes planned-unit developments of single-family homes, condominiums, and cooperative apartments - the Community Associations Institute (CAI) trade association estimated that HOAs governed 23 million American homes and 57 million residents in 2006 – we apporached the editors of the NiemanWatchdog.Org Web site suggesting watchdog journalism for community reporters covering CID/HOAs. The editors were receptive, thought the idea had merit and asked us to prepare a set of questions for local governing bodies listed below.

The question is, what type of community journalism are you getting from your local reporter(s)?

COMMUNITY WATCHDOG JOURNALISM QUESTIONS



1. QUESTION: How do you know that you (the board of directors) are providing the best possible service?

REASONING: Most responses will focus on cosmetics rather than on the substantive. Such as “based on recent surveys”, etc.

We recommend that HOAs manage to the Triple constraint. That is, they need to develop a Scope of Service so that homeowners know what to expect from their association fees. Then, clear instructions are issued to the property manager, and legal counsel. Board of directors with limited business experience will manage to the “legalese”, rather than common sense, and thus the legal fees go through the roof.

A HOA’s budget is a function of the Scope of services rendered, legal counsel and property management competence. This is illustrated by the equilateral triangle below. In order for the HOA board of directors to cost efficiently improve the quality of services while increasing the budget, property management and legal cost must be constrained. In most cases, the budget increases, but the increase is consumed in either legal fees or property mismanagement (Financial Controls Manual)








2. QUESTION: Do you consider your community safe? What percentage of your association fees is allocated to security? How do they compare to the fees paid by the Safest City in America such as Thousand Oaks, California population 110,00 $2,200,000/year security budget (2005)

REASONING: In general, HOAs spend 25-30% of their yearly budget on security, then typical governing documents specifically say that "the association does not provide any security". The management structure lends itself quite nicely to mismanagement, fraud or both. For example, it is not unusual to witness turf battles between the property management and the security company. Most security companies invoice for their services based on time sheets. However, most security companies do not have a “time and attendance audit program” and in fact, we know of one who has directed employees not to document tardiness or absences. These instructions came after the same company over-invoiced the property management for $168,000. The property manager did not detect the error

Other attributes associated with HOA security programs are:

Gated communities are intended to provide security by removing the crime of opportunity - ones we are familiar with provide an opportunity for crime!

Lack of comprehensive Scope (Information Security Study )

Security focuses on CC&R enforcement at the expense of asset protection

Most of security violators (theft, vandalism) is perpetrated by a small number of homeowners (not outsiders)

Most if not all security programs do not consider safeguarding homeowner confidential information (Security Audit Template, How to safeguard resident’s personal information)

Cost of a typical “HOA safety program) is over 1,200 times more than that spent per capita by the city of Thousand Oaks, CA

3. QUESTION: How often do you use consultants? How do you decide which consultants to use?

REASONING: Most HOA directors do not have any practical business experience. At best, their qualification may be to have memorized archaic regulations contained in the governing documents (CC&Rs). Typical organizations do not have actionable due diligence plans, resulting in the blind-leading-the-blind syndrome. ( Due Diligence IT Template)

4. QUESTION: Are you concerned with conflict of interest or fraud within the HOA? Are directors required to sign a Rights and Responsibilities document? Are Board of director’s candidates required to be certified?

REASONING: Apple pie question, with predictable response. The facts are that HOA are an excellent target for rampant conflict of interest, fraud, etc. This may be due to naiveté, incompetence, greed, or all of the above. Aside from audit reports issued by an independent accounting firm, there is no systemic methodology or know-how available to the HOA directors to prevent fraud, or conflict of interest (Accounts Payable Audit Template)

If Peter’s Principle can be applied to the corporate world, the HOA principle applies here when selecting a HOA board of directors!

5. QUESTION: Who typically runs your HOA meetings? Elections?

RESPONSE: More often than not, legal counsel and/or management company representatives, rather than directors, manage meeting and elections. A case of the fox guarding the hen house?



6. QUESTION: How do you fight apathy? How do you build a shared vision?

REASONING: Invariably, HOA board of directors likes to discuss controversial subject behind closed door. The California Civil Code (1363.05c). States that all owners have the right to attend all meetings of the Board other than when one of 5 topics (see below) is being discussed.

For all such meetings they need to give all owners a minimum of 4 days notice. Further they need to general note any matter discussed in executive session in the minutes of the immediately following meeting that is open to the entire membership

i) Ongoing litigation

ii) Formation of contracts with third parties (not performance issues under such contracts)

iii) Member Discipline

iv) Personnel Matters

v) Consideration of a request from a past due member for a Payment Plan

In general owners are not encouraged to attend meetings, they do not received meeting minutes and have difficulty getting access to audited financial results, and when confronted, independent auditors typically refer you back to the board of directors.

7. QUESTION: What do you do to minimize legal action within the Association?

REASONING: If we live in a litigious society, this is not much more evident that when you are part of a HOA. You have neighbors suing each other, suing the board, the property manager and vice versa.

8. QUESTION: How do you build a sense of pride in the community?

REASONING: There are countless factors affecting how one builds a sense of community within a HOA, including demographics, local county government, residents and the board. The best way to create pride in the community is resident involvement and having a shared vision. However, if such involvement is a function of the current board, the results will be as expected, partisan.

9. QUESTION: Do members of the community trust that a legitimate violation of the CC&Rs will be handled in a professional manner?

10) QUESTION: Do you think your county taxes and your homeowner dues are
about balanced? Would you rather have a town tax and no county tax? (If questions are within a town or city, ask the questions the other way around) Would you rather have a county tax and a village tax, and no homeowner dues?



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