@Lance Peterson as for HOAs I dealt with one in my Airbnb in Boston. Ultimately, as HOAs look to regulate, this concern will come up more and more.
Having said that - HOAs are already trying to be profitable! It's their job to maintain a surplus, so the HOA can pay for maintaining the building, upgrading as needed, etc. My HOA considered this but we never made a decision before I left. However, I would consider 5-10% of profits to be reasonable. I think the ADA concern is excessive and this person sounds like they don't know what they're talking about - someone call me out here if I'm way off base!
Of course - you need to make sure you look out for the best interests of the HOA - keeping a safe and secure place for other neighbors in the building.
There is a term for that. It's called "Extortion".
There's no reason this would need to change your HOA's non-profit status. Plenty of non-profits can charge fees, issue fines, charge dues, etc. all pretty normal while still maintaining the non-profit status.