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Meeting Spotlight: What Is an Annual General Meeting?

While a homeowners’ association (HOA) holds several meetings throughout the year, one of the most vital community gatherings is the annual general meeting (AGM). During these required meetings, the HOA board of directors, management, and homeowners get together to discuss things like the upcoming year’s budget, capital projects, and other large-scale topics.

Read on to learn more about annual general meetings and why they are necessary for the HOA to serve its community members effectively.

What Is an Annual General Meeting?

Every year, associations hold an HOA annual meeting to conduct important community business. In the United States and Canada, these meetings may be referred to as an annual general meeting or annual meeting, but they are often called the general or ordinary assembly in Mexico.

Although there are different names for these gatherings, the annual general meeting's meaning is the same for most HOAs. It’s the official meeting where homeowners address pivotal community matters, needs, and goals, including:

  • Reviewing the previous year

  • Electing new board members

  • Presenting and approving the budget

  • Hearing committee reports

  • Announcing capital projects

  • Voting to amend the governing documents

  • Discussing actions taken by the board

Read “How Do You Say HOA?” to learn more about HOA terms used in the United States, Mexico, and Canada.

Why Are Annual Meetings Important?

HOA membership is made up of homeowners who pay regular dues to support the association’s operations. In return, they enjoy the perks of community living, including HOA amenities, beautifully landscaped properties, and strong home values. However, the community has a responsibility to make decisions together to ensure these benefits continue and everything runs smoothly.

Annual meetings allow homeowners to be active community participants and exercise their rights as association members. They also keep board members accountable as they discuss the current state of the association and the impact their decisions have on the community.

Overall, annual HOA meetings are crucial because they:

  • Promote board transparency and accountability

  • Allow residents to voice their opinions and suggestions

  • Use the official HOA election process to reach decisions

  • Provide operational updates that will affect homeowners

  • Help residents connect and foster a sense of community

Learn More: “10 Top Strategies to Maintain Homeowner Happiness”

What Are the Legal Requirements for Holding an Annual Meeting?

Annual general meetings are mandated by the community’s governing documents or state law. To ensure legal compliance for HOAs, they generally must meet these annual meeting requirements:

  • Holding an AGM once per year

  • Giving adequate notice of the meeting to homeowners

  • Meeting quorum to hold the AGM and conduct voting

  • Following official meeting procedures

Refer to your state law or community’s governing documents for details on required meeting procedures. In most cases, HOA boards follow Robert’s Rules of Order to conduct meetings in a fair and orderly manner.

What Are the Key Components of an Annual General Meeting Agenda?

The agenda for an annual general meeting sets the pace and outlines main discussion points, so it’s essential to include agenda components that keep the meeting on track. Board members can use a standardized agenda template that typically consists of these elements:

  • Call to order

  • Roll call

  • Approval of last meeting’s minutes

  • Officer reports

  • Old business

  • New business

  • Election of new board members

  • Open forum

  • Adjournment

While every HOA is different, all associations have official guidelines on what should be covered during an annual meeting. With a tight and well-thought-out agenda, the meeting can remain organized and productive.

How to Prepare for an AGM

If you want to make the most of your annual meeting, preparation is key. The more you plan and prepare, the more comfortable and confident you will feel when running the meeting. There are several steps your HOA board can take to help your meeting be successful, including:

  • Reviewing your community’s governing documents

  • Including your community manager in the planning process

  • Creating a comprehensive meeting agenda

  • Sending proper notice and reminders to homeowners

  • Asking homeowners who cannot attend to submit a proxy

  • Encouraging homeowners to attend and participate

  • Doing a dry run of officer reports and presentations

The planning timeline for your annual general meeting should start about 60 days prior to the meeting. Between that time and the meeting day, work closely with your community manager to prepare meeting materials, confirm details, and get the word out to homeowners.

Common Challenges Faced During an AGM

Annual meetings are a necessary and valuable part of community living, but they can also present challenges for HOA boards. Here are some common roadblocks you might encounter and tips to help you overcome them.

Not Meeting Quorum

Many HOAs struggle to establish a quorum, which is the minimum number of homeowners required to hold the annual meeting. If your board has faced this issue in the past, some ideas that can help include:

  • Offer virtual meeting attendance

  • Allow homeowners to designate a proxy to stand in for them

  • Send reminder emails prior to the meeting

  • Offer attendance incentives, like raffle prizes

Heated Discussions

Homeowners can have strong opinions and voice them during the AGM. If you have topics planned that may cause tension, you can get ahead of heated debates by:

  • Being open and honest about the issue

  • Practicing active listening when residents share concerns

  • Remaining neutral and not taking sides

  • Proposing another time for further discussion

Going Off Topic

Annual meetings can derail when board members fail to stick to the agenda or keep homeowners focused. Tips to stay on topic include:

  • Running through the agenda ahead of time and anticipating any hiccups

  • Politely cutting off lengthy discussions or tangents

  • Encouraging residents to share through other communication channels

The Complete HOA Annual Meeting Guide

Annual general meetings cover high-priority items that are essential to the association’s success. Running these meetings efficiently and presenting information clearly will help the community thrive and reach its goals for the year. For more insider tips, check out our ebook, “The Complete HOA Annual Meeting Guide,” before your next meeting!