Nevertheless, we are fortunate to have owners who are enthusiastic about improving certain aspects of the building. So, the question is: Can the board accept voluntary contributions of money and/or labor from willing owners to accomplish projects for which there is no money in the budget, such as repainting the fitness room and replacing a shabby piece of lawn around the front entrance to the building, without creating a second class of owners and/or liability issues?
—A Helping Hand
“Second, the board can accept voluntary contributions of money and/or labor from unit owners to accomplish projects which are not being funded by the association. You should check with your association accountant as to whether any cash contributions may be subject to income taxation. The making of such voluntary contributions does not create a “second class of owners.”
“Finally, if unit owners are volunteering their own labor to perform projects on the association property, you should check with the association’s insurance agent as to whether any injury suffered by a volunteer or caused by a volunteer to another would be covered under the association’s liability insurance coverage; and even if covered, the board may wish to consider requiring such volunteers to sign a waiver of liability and indemnity to the association with respect to their work on the property.
“While volunteerism is a positive aspect of community living, the board must be mindful of the fundamental need to organize its finances without having to depend significantly on the “kindness” of its members and should take reasonable steps to address possible liability concerns even with volunteer workers.”