For at least the last dozen years or so, there have been two camps of displeased Privatopians: Those who want to take on the community association industry and try to reform HOAs to make them more democratic and more accountable to those owning property within their jurisdiction. And those who see HOAs as essentially FUBAR with abolition the only way to deal with them.
The latter group will undoubtedly be pleased to learn proposed amendments to an Arizona bill, S.B. 1326 this week would ban new detached unit CIDs going forward. (Condos are not within the scope of the bill). This is a very important development because to my knowledge, it is the first piece of state legislation that would bar future formation of CIDs with mandatory membership HOAs -- and the restrictive covenants upon which they are based.
This is also an important development because it could be a harbinger of an emerging realization in Sunbelt states like Arizona -- where practically all new freestanding homes built of the past 15-20 years are within CIDs with mandatory HOAs -- that privatizing local government may be great in theory but suffers from inherent defects in the real world.
The chances of S.B. 1326 moving forward are slim given that it would likely face a solid wall of opposition from residential developers, local governments and of course the so-called "community association" industry. But the fact that legislation that would effectively close the door on the future expansion of Privatopia in Arizona is even being considered shows "the times they are a changin."
Thanks to Pat Haruff for the link.