Update from Our GM, Rachael Robinson: How Fiduciary Duty Protects the Association

Governance in Practice: Fiduciary Duty, Structure & Accountability

As part of our ongoing commitment to open and transparent communication, I’ll be sharing insights on how your HOA works behind the scenes not just what we do, but why we do it.  This week, I’m diving into the cornerstone of responsible HOA leadership: fiduciary duty, the legal and ethical standard that guides every decision your Board of Directors makes, and one that management also shares in practice. Learn how fiduciary duty protects the Association, how communication between the Board and management is structured, and why these systems matter to every homeowner at Stonebridge Ranch.

Fiduciary Duty: The Foundation of Governance

The Stonebridge Ranch Community Association is governed by a seven-member volunteer Board of Directors. Each Director, whether elected or appointed, shares and must uphold the same fiduciary duty under the Bylaws, CC&Rs, Articles of Incorporation, and in accordance with the Texas Property Code, Texas Business Organizations Code, and recognized HOA industry standards and practice. Fiduciary duty exists to protect the Association as a whole. It ensures that all decisions and actions are made in good faith, with integrity, and for the collective benefit of the membership. In practice, fiduciary duty includes three core principles:

1. Duty of Care: Directors must make informed decisions with diligence and sound business judgment. This means reviewing materials, consulting qualified experts, and basing decisions on facts, not opinion.
2. Duty of Loyalty: Directors must act in the best interest of the Association, free from conflicts of interest. Personal agendas or individual alliances have no place in Board deliberations.
3. Duty to Act Within Authority: Directors must operate within the powers granted by governing documents and applicable law. This includes understanding where Board authority ends and management authority begins.

When these three duties are followed, they collectively protect both the Association and the Board itself, reducing risk, limiting liability, and strengthening homeowner confidence in leadership.

But What About Management?

You might be wondering, what about management? What about me, as your General Manager? Do I have a fiduciary duty as well? Absolutely.

As a community association manager, or more specifically, as your General Manager, I also carry a fiduciary duty to act in the best interest of the Association. My professional duty mirrors the same ethical principles expected of the Board:

• To exercise diligence and sound judgment in all operational and financial matters.
• To act with loyalty and impartiality, free from conflicts or favoritism.
• And to operate within the scope of authority granted under the Management Agreement and Board-approved policies.

It’s important to note that management’s duty is to the Association as a whole, not to any individual Board member, committee, or homeowner. Similarly, Board authority is exercised by the entire Board acting together, not by individual vested interests.

All direction, approvals, and policy decisions come from the Board as a body, through formal vote and recorded action. Management then implements those decisions faithfully, transparently, and in accordance with governing documents and best practices.

When both management and the Board operate under this unified standard, grounded in fiduciary duty, mutual respect, and shared accountability, the Association functions smoothly, risks are minimized, and community trust thrives.

Structure & Communication: Clarity by Design

It is HOA practice and standard for the Board President to serve as Chair and primary liaison between management and the full Board. This ensures communication remains organized and efficient so management can implement Board-approved directives effectively.  This structure is also defined in the executed Management Agreement between the Association and RealManage Elevated Onsite, which ensures that Board priorities are carried out consistently while respecting the authority of all Directors.  At Stonebridge Ranch, our seven Directors each serve as liaisons to their respective committees, promoting communication in areas such as Finance, Landscape & Grounds, Amenities, and Modifications. The Board President serves as the bridge between management and the full Board, ensuring information flows accurately and priorities remain aligned. Between meetings, and on a weekly basis, the Board President and General Manager maintain ongoing communication to track progress, discuss plans, action items, and prepare initiatives to present to the Board.

Who Works for Whom

It’s a common misconception that management works for individual Board members or homeowners. The management company, such as RealManage Elevated Onsite, works for the Association itself under the terms of a Management Agreement. This means management takes direction only from the Board of Directors acting as a body, not from individuals.  The Board sets policy and makes decisions by vote. Management executes those decisions and ensures compliance, transparency, and follow-through. This model exists to protect the Association. It prevents inconsistent instruction, preserves professional boundaries, avoids waste of time and resources, and ensures that staff and vendors receive clear, unified direction, which ultimately benefits the Association as a whole.

Strong governance depends on fiduciary duty, structure, and respect for defined roles. When those principles are honored, we operate with integrity, mitigate risk, and protect both the Association’s assets and its reputation.

Stonebridge Ranch’s success is built on partnership between its Board, management, committees, and homeowners, all working together under one shared mission: to preserve and enhance the beauty, strength, and value of this magnificent community.

Open Communication & Feedback

If you have any comments, thoughts, or questions, I’m always happy to help. Please don’t hesitate to reach out to me and the team at stoneb@ciramail.com.

That address is monitored by our full onsite team, including Administration, Compliance, Modifications, Lifestyle, Landscape & Grounds, and Communications. Our front desk does a fantastic job assigning emails to the appropriate department to ensure you receive the most accurate and timely response.

Communication works best when it’s a two-way partnership. Your feedback helps us continue improving and evolving together.

Quick Updates from Around the Ranch

• Stonebridge Ranch & Virginia Parkway Vehicular Damage: Following the vehicle accident earlier this year, management has continued to work closely with the Association’s insurance carrier, the City of McKinney, and our engineering partners to restore the damaged wall and surrounding area. The City’s Amended & Restated Development Agreement confirmed expanded Association ownership, allowing SRCA to recover repair costs under its insurance coverage. Childress Engineering Services will soon begin the initial structural evaluation, which will document the scope of repairs and support both permitting and insurance reimbursement. Once this phase is complete, the engineering findings will guide the next steps in construction and restoration. We appreciate everyone’s continued patience and understanding as we move this important project forward.
• Board & GM Alignment: The Board President and General Manager met on their weekly touch base to review goals, action items, discuss upcoming Board meeting prep, and align on priorities.
• Lifestyle & Social Committee: The Lifestyle Director, Social Committee Board Liaison, and GM met this week to discuss the 2026 Lifestyle Program, including new and enhanced events to continue community engagement during the Beach Club 2.0 construction phase.
• Leadership Team Meeting: The GM led a full department head weekly meeting on Monday to review progress, initiatives, and department highlights from Lifestyle, Communications, Administration, Compliance, Modifications, Maintenance, and Landscape & Grounds.

We’d Love to Hear from You!

If you have any comments, thoughts, or questions, please don’t hesitate to reach out to me and the team at stoneb@ciramail.com. That address is monitored by our full onsite team, Administration, Compliance, Modifications, Lifestyle, Landscape & Grounds, and Communications, so your message always reaches the right department.

Thank you,

Rachael Robinson

GM, Stonebridge Ranch Community Association