NASHVILLE, Tenn. (WTVF) — A Tennessee lawmaker is co-sponsoring a bill that would require homeowners associations to purchase fidelity bonds after an investigation into Gasser Property Management prompted the Tennessee Bureau of Investigation to look into potential criminal charges.
Representative Caleb Hemmer is co-sponsoring the legislation, which would require HOAs to purchase a fidelity bond — a type of crime insurance — so homeowners could be made whole if a similar situation occurred again. Hemmer represents several communities that were formerly managed by Gasser Property Management.
Stone Creek Park subdivision is among the communities that severed ties with Gasser Property Management. HOA President Alyson White says the community has since discovered and slowly worked to pay back more than $50,000 in outstanding vendor contracts and bills left behind by the former property manager.
White said the HOA filed an insurance claim to recoup missing HOA dues, but the claim was denied due to a lack of sufficient proof of theft.
"We were completely taken with all this money," White said.
"Now we are waiting for an arrest, perhaps, or TBI to get involved and do something," White said.
"I want to see justice done quicker and done more than anyone at this point," Rep. Caleb Hemmer said.
The financial strain has had real consequences for the community. Debris from January's ice storm remains piled high in the subdivision. Without available funds, White says she personally covered the cost of some cleanup.
"I paid him out of my pocket, yeah, and we couldn't get it all," White said.
White says a fidelity bond would have made a significant difference.
"Had we have had that in a bond or an insurance policy, we would've been fine. We would've been able to recoup not only what we lost in our reserve account but we would've been able to pay off the vendors that hadn't been paid," White said.
Hemmer acknowledged the situation exposed a gap in existing protections.
"It really was a gray area and I appreciate your reporting on this," Hemmer said.
"This just kind of fell through the cracks that no one thought could happen and unfortunately it did and a lot of people got harmed and we don't want to see that happen again," Hemmer said.
White supports the bill, though she remains cautious about its impact.
"I definitely think it will be harder for fraud to happen. I don't think it will stop it," White said.
"This is a great start. If we can get something going then we'll see what happens in the future," White said.
White also questions what enforcement of the bill would look like and says the HOA may explore taking out a fidelity bond regardless of whether the legislation passes.
I have been following claims against Gasser Property Management for months. The company is at the center of more than a million dollars in missing money.
Have you had an experience with a property management company you'd like to share? Contact investigative reporter Amanda Roberts at Amanda.Roberts@NewsChannel5.com.
This story was reported on-air by Amanda Roberts and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
