Current Status: Pending

FindHOALaw Quick Summary:

Existing law requires an association to prepare an annual budget report and a policy statement. Existing law also requires the association to either deliver to all members the full report or a summary of the report that includes specified information, on the first page, whenever the annual budget report or a policy statement is prepared.

This bill would amend Civil Code Section 5300 to require the annual budget report to include a high-level summary breakdown of what the regular assessments fund and a statement regarding compensation of a management company. The bill would also amend Civil Code Section 5320 to require a summary of an annual budget or policy statement to also include a high-level breakdown that describes what the regular assessments fund.

Existing law prohibits increases in regular assessments for any fiscal year, unless the board complies with certain requirements, including certain information in its annual budget report. Existing law prohibits an association from increasing regular assessments by more than 20 percent, without the approval of a majority of a quorum of members.

This bill would amend Civil Code Section 5605 to prohibit an association from increasing a regular assessment, unless the board includes the above-referenced information pertaining to regular assessments. The bill would, instead, prohibit a board from imposing a regular assessment for the association’s preceding year, adjusted for inflation, without the approval of the majority of a quorum members.

Existing law requires the association to notify a member 10 days before a meeting to consider or impose discipline on a member, or a monetary charge, as a means of reimbursing the association for costs incurred by the association in the repair of damage to the common area and facilities caused by a member. Existing law also  requires the notification to include, among other information, the nature of the alleged violation, or nature of the damage to the common area and facilities.

This bill would add Civil Code Section 5860 to require the association to make any physical evidence used to determine a violation of the governing documents has occurred available to the member at least 5 business days before the hearing or deadline for the member’s response, if the association seeks to impose a monetary penalty against a member for violation of the governing documents.

Current Status: Chaptered

FindHOALaw Quick Summary:

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law requires that a common interest development manager or management firm annually provide specified disclosures to the board of directors, including the manager’s name and address, whether the manager is certified, and whether the manager holds an active real estate license.  This bill would amend Business and Professions Code Section 11504 to require a prospective manager or management firm to disclose to the board of directors whether the manager receives a referral fee or other monetary benefit from a third-party provider for distributing documents pursuant to Civil Code Section 5300.

This bill would also amend Civil Code Section 5300 to require that the Annual Budget Report contain the completed Document Disclosure Form (Civ. Code § 4528), including the costs associated with providing each document listed on the form.  The bill would amend Civil Code Section 4530 to modify the Document Disclosure Form to inform the seller that he or she is not required to purchase all of the documents listed on the form and may purchase some or all of the documents, as desired.

Existing law requires a prospective managing agent to provide a written statement disclosing certain information to the board of directors no more than 90 days before entering into a management agreement. This bill would amend Civil Code Section 5375 to require that the managing agent disclose whether or not the manager or management firm receives a referral fee or monetary benefit from a third-party document provider.

This bill would add Civil Code Section 5375.5 to provide that a manager shall disclose, in writing, any potential conflict of interest when presenting a bid for service.  “Conflict of interest” is defined as a referral fee or other financial benefit that could be derived from a business or company providing products or services to the association or any ownership interests or profit-sharing arrangements with service providers recommended to, or used by, the association.

Finally, this bill would add Civil Code Section 5376 to require the manager, management company, or its third-party agent to facilitate the delivery of escrow documents and disclosures in accordance with Civil Code Section 4530, if the managing agent is contractually responsible for delivering those documents.

**UPDATE: AB 690 was signed by the Governor on July 25, 2017. Its changes to the law will become operative on January 1, 2018. 

Current Status: Chaptered

FindHOALaw Quick Summary:

Under existing law, an amendment to the CC&Rs is generally effective after certain requirements are met, except as provided.  This bill would amend Civil Code § 4270 to clarify that the exceptions for approving, certifying, or recording an amendment includes alternative procedures established in Sections 4225, 4230, 4235, and 4275.  This bill would also renumber Civil Code § 4750.10, pertaining to clotheslines and drying racks, to 4753.   Existing law also requires the association distribute to its members an Assessment and Reserve Funding Disclosure Summary form containing specific information regarding funding for the repair and replacement of major components during the next 30 years.  This bill would amend Civil Code § 5570 to correct a typo in the reference to the statutory definition of “major component” from § 55530 to § 5550.

**UPDATE: SB 944 was signed by the Governor on September 27, 2016. It’s changes to the law will become operative on January 1, 2017. 

Current Status: Chaptered

FindHOALaw Quick Summary:

This bill would add Civil Code § 4041 to require the owners of a separate interest to annually provide the association with written notice of all of the following: 1) the mailing address to which notices from the association are to be delivered, 2) a secondary address to which notices from the association are to be delivered, 3) the name and address of their legal representative, if any, including any person with power of attorney or other person who can be contacted in the event of the owner’s extended absence, and 4) whether the property is owner-occupied, rented, vacant, or undeveloped land.  The association shall solicit the annual disclosure and update the association’s records at least 30 days prior to making the association’s annual disclosure in accordance with Civil Code § 5300.  If an owner fails to make these disclosures, the property address shall be deemed the mailing address.

**UPDATE: SB 918 was signed by the Governor on September 28, 2016. It’s changes to the law will become operative on January 1, 2017. 

Current Status: Chaptered

FindHOALaw Quick Summary:

Existing law requires an association to prepare and distribute to all of its members an annual budget report and the Assessment and Reserve Funding Disclosure form pursuant to Civil Code § 5570. (See “Reserve Disclosures.”) AB 1516 would make technical changes to that form. Specifically, the word “funding” will be replaced with the word “funded” in two (2) locations on the form. (See Civ. Code § 5570(a)(7).)

*UPDATE: AB 1516 was approved on September 28, 2015 and its changes to the law become effective on January 1, 2016.