All posts by Steve Tinnelly

Health & Safety Code Section 1597.41. Restrictions on Family Day Care Homes.

(a) Every provision in a written instrument relating to real property that purports to restrict the conveyance, encumbrance, leasing, or mortgaging of the real property for use or occupancy as a family daycare home is void, and every restriction in that written instrument as to the use or occupancy of the property as a family daycare home is void.

(b) An attempt to deny, restrict, or encumber the conveyance, leasing, or mortgaging of real property for use or occupancy as a family daycare home is void. A restriction related to the use or occupancy of the property as a family daycare home is void. A property owner or manager shall not refuse to sell or rent, or refuse to negotiate for the sale or rental of, or otherwise make unavailable or deny, a detached single-family dwelling, a townhouse, a dwelling unit within a dwelling, or a dwelling unit within a covered multifamily dwelling in which the underlying zoning allows for residential use to a person because that person is a family daycare provider.

(c) Except as provided in subdivision (d), a restriction, whether by way of covenant, contract, condition upon use or occupancy, or by transfer of title to real property, that restricts directly or indirectly limits the acquisition, use, or occupancy of a detached single-family dwelling, a townhouse, a dwelling unit within a dwelling, or a dwelling unit within a covered multifamily dwelling in which the underlying zoning allows for residential use as a family daycare home is void.

(d)

(1) A prospective family daycare home provider who resides in a rental property shall provide 30 days’ written notice to the landlord or owner of the rental property prior to the commencement of operation of the family daycare home.

(2) A family daycare home provider who has relocated an existing licensed family daycare home program to a rental property on or after January 1, 1997, may provide less than 30 days’ written notice when the department approves the operation of the new location of the family daycare home in less than 30 days, or the home is licensed in less than 30 days, so that service to the children served in the former location not be interrupted.

(3) A family daycare home provider in operation on rental or leased property as of January 1, 1997, shall notify the landlord or property owner in writing at the time of the annual license fee renewal, or by March 31, 1997, whichever occurs later.

(4) Notwithstanding any other law, upon commencement of, or knowledge of, the operation of a family daycare home on an individual’s property, the landlord or property owner may require the family daycare home provider to pay an increased security deposit for operation of the family daycare home. The increase in deposit may be required notwithstanding that a lesser amount is required of tenants who do not operate family daycare homes. The total security deposit charged shall not exceed the maximum allowable under existing law.

(5) Section 1596.890 shall not apply to this subdivision.

(e) During the license application process for a small or large family daycare home, the department shall notify the applicant that the remedies and procedures in Article 2 (commencing with Section 12980) of Chapter 7 of Part 2.8 of Division 3 of Title 2 of the Government Code relating to fair housing are available to family daycare home providers, family daycare home provider applicants, and individuals who claim that any of the protections provided by this section or Section 1597.40, 1597.42, 1597.43, 1597.45, 1597.45 or 1597.46 have been denied.

(f) For the purpose of this section, “restriction” means a restriction imposed orally, in writing, or by conduct and includes prohibition.

(g) This section does not alter the existing rights of landlords and tenants with respect to addressing and resolving issues related to noise, lease violations, nuisances, or conflicts between landlords and tenants.

SB-10 (Wiener) Planning and zoning: housing development: density.

Would allow for high density housing (up to 10 units) on a single parcel within a planned development.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law makes void and unenforceable any covenant, restriction, or condition contained in any deed, contract, security instrument, or other instrument affecting the transfer or sale of any interest in a planned development, and any provision of a governing document, that effectively prohibits or unreasonably restricts the construction or use of an accessory dwelling unit or junior accessory dwelling unit on a lot zoned for single-family residential use that meets specified standards.

This bill would add Civil Code Section 4752 to make void and unenforceable any covenant, restriction, or condition contained in any deed, contract, security instrument, or other instrument affecting the transfer or sale of any interest in a planned development, and any provision of a governing document, that effectively prohibits or unreasonably restricts a use or density authorized by an ordinance adopted pursuant to Government Code Section 65913.5. The bill would provide that it does not apply to provisions that impose reasonable restrictions that do not make the implementation of an above-described ordinance infeasible.

** SB 10 was amended on June 24, 2021, to remove changes to the Davis-Stirling Act.

**UPDATE: SB 10 was signed by the Governor on September 16, 2021. Its changes to the law take effect January 1, 2022.

View more info on SB 10
from the California Legislature's website

AB 1584 (Committee on Housing and Community Development) Housing Omnibus.

Would allow the board of directors to amend the governing documents to remove any prohibitive rental restrictions without a vote of membership and would extend the deadline to July 1, 2022.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law prohibits a common interest development from adopting or enforcing a provision in a governing document, or amendment to a governing document, that restricts the rental or lease of separate interests within a common interest to less than 25 percent of the separate interests. The act requires a common interest development to comply with the prohibition on rental restrictions regardless of whether the common interest development has revised its governing documents to comply with the act and requires a common interest development to amend its governing documents no later than December 31, 2021.

This bill would amend Civil Code Section 4741 to require the common interest development board, without approval of the members, to amend any declaration or other governing document no later than July 1, 2022, that includes a prohibited restrictive covenant, as provided. The bill would require a board to provide general notice of the amendment at least 28 days before approving the amendment and would require any decision on the amendment to be made at a board meeting, after consideration of any comments made by association members.

**UPDATE: AB 1584 was signed by the Governor on September 28, 2021. Its changes to the law take effect January 1, 2022.

View more info on AB 1584
from the California Legislature's website

AB-611 (Quirk-Silva) Safe at Home program: homeowners’ association

Would protect the confidentiality of association members in the Safe at Home program.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law establishes an address confidentiality program for victims of domestic violence, sexual assault, stalking, human trafficking, or elder or dependent adult abuse, commonly known as the Safe at Home program, under which an adult person, or a guardian on behalf of a minor or an incapacitated person, states that they are a victim of domestic violence, sexual assault, stalking, human trafficking, or elder or dependent adult abuse, and designates the Secretary of State as the agent for service of process and receipt of mail. Under existing law, when the Secretary of State certifies the person as a program participant, the person’s actual address is confidential.

This bill would add Civil Code Section 5216 to require the association of a common interest development to accept and use the address designated by the Secretary of State as the Safe at Home participant’s substitute address for association communications and to withhold or redact information that would reveal the name and address of the Safe at Home participant in specified communications of the association.

**UPDATE: AB 611 was signed by the Governor on August 31, 2021. Its changes to the law take effect January 1, 2022.

View more info on AB 611
from the California Legislature's website

SB-591 (Becker) Senior citizens: intergenerational housing developments.

Would permit the establishment of an intergenerational housing development if at least 80 percent of the occupied dwelling units are occupied by at least one senior citizenand up to 20 percent of the occupied dwelling units are occupied by at least one caregiver or transition age youth.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law requires the covenants, conditions, and restrictions or other documents or written policy of a senior citizen housing development to set forth the limitations on occupancy, residency, or use on the basis of age. Existing law requires that the limitations on age require, at a minimum, that the persons commencing any occupancy of a dwelling unit include a senior citizen who intends to reside in the unit as their primary residence on a permanent basis. Existing law defines “senior citizen housing development” for these purposes as a residential development for senior citizens that has at least 35 dwelling units. Existing law defines “qualifying resident” or “senior citizen” to mean a person 62 years of age or older, or 55 years of age or older in a senior citizen housing development.

The bill would add Civil Code Section 51.3.5 to permit the establishment of an intergenerational housing development if (1) at least 80 percent of the occupied dwelling units are occupied by at least one senior citizen, as specified, and up to 20 percent of the occupied dwelling units are occupied by at least one caregiver or transition age youth, as defined, and (2) the development is an affordable rental housing development, as defined, and has received an allocation of low-income housing tax credits from the California Tax Credit Allocation Committee.

This bill would prohibit a housing facility or community from evicting or terminating the lease of a family with children in order to comply with the requirement that at least 80 percent of the occupied units be occupied by at least one senior citizen.

**UPDATE: SB 591 was signed by the Governor on September 28, 2021. Its changes to the law take effect January 1, 2022.

View more info on SB 591
from the California Legislature's website

AB-1466 (McCarty) Real property: discriminatory restrictions.

Would require an association to provide a Restrictive Covenant Modification form with the governing documents.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law requires a county recorder, title insurance company, escrow company, real estate broker, real estate agent, or association that delivers a copy of a declaration, governing document, or deed, to place a cover page or stamp on the first page of the previously recorded document stating that if the document contains any restriction that unlawfully discriminates based on any of the characteristics specified above, that document is void.

This bill would amend Government Code Section 12956.1 to require a county recorder, title insurance company, escrow company, real estate broker, real estate agent, or association that delivers a copy of a declaration, governing document, or deed to a person who holds an ownership interest of record in property to also provide a Restrictive Covenant Modification form with specified procedural information.

**UPDATE: AB 1466 was signed by the Governor on September 28, 2021. Its changes to the law take effect January 1, 2022.

View more info on AB 1466
from the California Legislature's website

AB-1410 (Rodriguez) Associations: declared emergency: protected uses.

Would make changes to several sections of the David-Stirling Act affecting use restrictions, enforcement, elections, and speech.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law regulates governing documents and protects certain uses of a homeowner’s separate property. That law, among other things, prohibits an association from restricting a homeowner’s right to rent or lease a separate interest unless the governing document or amendment that restricts a homeowner’s right to rent or lease their separate interest existed prior to the homeowner acquiring title to the separate interest. Existing law also prohibits the governing documents of an association from establishing unreasonable restrictions on the use of a homeowner’s backyard for personal agriculture.

This bill would amend Civil Code Section 4740 to prohibit the governing documents from restricting a homeowner’s right to rent or lease their separate interest, or any portion thereof, without regard to whether such restriction existed at the time the homeowner acquired title to the separate interest. This bill would also amend Civil Code Section 4750 to extend the provision protecting a homeowner’s right to use their backyard for personal agriculture to include all of the homeowner’s separate interest.

Existing law authorizes an association to restrict a member’s actions and speech while in the common development. This bill would add Civil Code Section 4754 to prohibit any restrictions on discussions critical of the association.

~~Existing law regulates the election and necessary qualifications for a member to serve as a director of an association.~~ ~~This bill would add Civil Code Section 5101 to require every director and full-time employee of an association completes a course in ethics and harassment prevention.~~

Existing law authorizes associations to establish penalties for violation of the governing documents, and regulates how an association may enforce such penalties.

This bill would add Civil Code Section 5870 to prohibit an association from taking any enforcement action regarding landscaping of a homeowner’s separate interest during a declared emergency, or on days where the air quality is unhealthy, as determined by the State Air Resources Board. This bill would add Civil Code Section 5875 to prohibit an association from taking enforcement actions for the violation of governing documents during, and for 30 days after, a declared emergency, evacuation, shelter in place order, or quarantine. ~~This bill would also add Civil~~ Code Section 5880 to require any physical evidence used in determining a violation of the governing documents has occurred be made available to the member accused of violating the governing documents if the association seeks to impose a monetary penalty. Any photographs used to determine a violation of the governing documents has occurred would be required to contain either a time and date stamp, or digital metadata that clearly states the time and date the photograph was taken.

**AB-1410 was signed in to law September 30, 2022 and takes effect January 1, 2023.

View more info on AB 1410
from the California Legislature's website

AB-919 (Grayson) Construction defects: actions: statute of limitations.

Would shorten the statute of limitations to file a claim for construction defects from 10 years to 5 years.

Current Status: Pending

FindHOALaw Quick Summary:

Existing law specifies the requirements for actions for construction defects, which includes a statute of limitations that prohibits an action from being brought to recover under these provisions more than 10 years after substantial completion of the improvement, but no later than the date the notice of completion is recorded.

This bill would amend Civil Code Section 941 to shorten the timeframe in which an action may be brought, for underlying construction projects using a skilled and trained workforce, to no more than 5 years after substantial completion of the improvement but no later than the date the notice of completion is recorded.

*SB-919 was amended on April 13, 2021 to define “certified skilled labor” and a “non-profit housing corporation”:

(B) A skilled and trained workforce is certified for purposes of subparagraph (A) if all of the following apply:

(i) If either of the following conditions were satisfied:

(I) All contractors and subcontractors performing work on the underlying construction project were subject to a project labor agreement that required compliance with the skilled and trained workforce requirement and provided for enforcement of that obligation through an arbitration procedure.

(II) The developer provided, on a monthly basis while the underlying construction project or contract for the underlying construction project was being performed, a report demonstrating compliance with Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code to the public entity, or other body awarding work on the project, that ensured the developer’s compliance with the skilled and trained workforce requirements.

(ii) The developer for the underlying construction project required in all contracts for the performance of work on the underlying construction project that every contractor and subcontractor at every tier will individually use a skilled and trained workforce to construct the underlying construction project.

(iii) Every contractor and subcontractor on the underlying construction project actually used a skilled and trained workforce to construct the underlying construction project.

(C) This paragraph shall only apply to actions that meet both of the following conditions:

(i) The action is not for the recovery of damages related to major structural or systemic defects.

(ii) The action is against a nonprofit housing corporation.

(D) For purposes of this paragraph, the following definitions apply:

(i) “Nonprofit housing corporation” means a nonprofit housing corporation organized pursuant to Section 501(c)(3) of the Internal Revenue Code.

View more info on AB 919
from the California Legislature's website

AB-1101 (Irwin) Common interest developments: funds: insurance.

Would provide clean up language to 2018’s AB 2912 (Irwin) regarding association finances.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law requires a managing agent, at the written request of the board of directors, to deposit funds the managing agent receives on behalf of the association into a bank, savings association, or credit union in the state if specified requirements are met.

This bill would amend Civil Code Section 5380 to require the bank, savings association, or credit union to be insured by the Federal Deposit Insurance Corporation, National Credit Union Administration Insurance Fund, or the Securities Investor Protection Corporation.

Existing law prohibits transfers of greater than $10,000 or 5% of an association’s total combined reserve and operating account deposits, whichever is lower, without written approval from the board.

This bill would amend Civil Code Sections 5380 and 5502 to instead prohibit transfers of $10,000 or greater without prior written approval from the board.

Existing law requires the association to maintain fidelity bond coverage for its directors, officers, and employees, and requires the fidelity bond coverage to also include computer fraud and funds transfer fraud and, if the association uses a managing agent or management company, coverage for dishonest acts by that person or entity and its employees.

This bill would amend Civil Code Section 5806 to specifically require the association to maintain crime insurance, employee dishonesty coverage, and fidelity bond coverage, or their equivalent, for the association and the association’s managing agent or management company and would require the protection against computer and funds transfer fraud to be in an equal amount.

**UPDATE: AB 1101 was signed by the Governor on September 23, 2021. Its changes to the law take effect January 1, 2022.

View more info on AB 1101
from the California Legislature's website

SB-432 (Wieckowski) Common interest developments.

Would allow for board term limits and would require that persons assisting Inspector(s) of Elections satisfy the criteria of an independent third party.

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law provides for nomination by acclamation in an election of members of the board of directors of the association if certain conditions are satisfied, including that the association permits all candidates to run if nominated. However, an association is authorized to disqualify a person from nomination under certain circumstances, including if the person has been a member of the association for less than one year.

This bill would amend Civil Code Section 5100 to include among the permissible reasons for disqualifying a person from nomination if the person has served the maximum number of terms or sequential terms allowed by the association.

Existing law requires an association to adopt operating rules for appointing one or 3 independent third parties as inspectors of elections and that allow the inspectors to appoint and oversee additional persons to verify signatures and to count and tabulate votes, provided that the persons are independent third parties. Existing law specifies criteria for who an independent third party may be.

This bill would amend Civil Code Section 5105 to require the additional persons to be appointed and overseen by the inspectors of election to also satisfy the criteria of who may be an independent third party.

**UPDATE: SB 432 was signed by the Governor on October 7, 2021. Its changes to the law take effect January 1, 2022.

View more info on AB 432
from the California Legislature's website

FindHOALaw

All posts by Steve Tinnelly

Health & Safety Code Section 1597.41. Restrictions on Family Day Care Homes.

SB-10 (Wiener) Planning and zoning: housing development: density.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

AB 1584 (Committee on Housing and Community Development) Housing Omnibus.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

AB-611 (Quirk-Silva) Safe at Home program: homeowners’ association

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

SB-591 (Becker) Senior citizens: intergenerational housing developments.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

AB-1466 (McCarty) Real property: discriminatory restrictions.

Current Status: Chaptered

FindHOALaw Quick Summary:

AB-1410 (Rodriguez) Associations: declared emergency: protected uses.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

AB-919 (Grayson) Construction defects: actions: statute of limitations.

Current Status: Pending

FindHOALaw Quick Summary:

Related Links

AB-1101 (Irwin) Common interest developments: funds: insurance.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links

SB-432 (Wieckowski) Common interest developments.

Current Status: Chaptered

FindHOALaw Quick Summary:

Related Links