Friday, May 13, 2016

Legislator pushing for more oversight of homeowners associations | Local news |

Legislator pushing for more oversight of homeowners associations | Local news |

"Farnsworth’s bills would add regulations to the operation of HOAs. SB 1496 deals with HOA directors, stipulating that if a member of the board of directors is removed from their position, he or she cannot be reappointed to that post. It’s an issue that has been raised by homeowners. The other bill is SB 1498, which would require HOAs to provide ample warning time for homeowners before charging late fees and inform homeowners of their right to dispute the fees through a state process. HOAs would also have to maintain members’ voting records for one year. Both bills have passed the Legislature. Gov. Doug Ducey signed SB 1498 into law. The other bill has not yet been signed."


See the post immediately below.

1 comment:

IC_deLight said...

They need to regulate the vendors.

1. Management companies don't get to collect "late fees" - it's pure rent seeking and the management company is seeking to get paid for not collecting - and will push policies to create false arrearages.
2. Management companies don't get to own the insurance policy that the HOA is supposedly covered under. This is a tying arrangement designed to prevent HOA boards from firing management companies.
3. If management companies want insurance coverage they need to have their own policies as opposed to being covered under the HOA policy.
4. All HOA "rules", bylaws, restrictive covenants, forms, etc. must be online and available for any HOA member or any member of the public to download and inspect - no hiding behind "member only" firewalls.
5. Management companies cannot require homeowners to waive all rights to privacy in order for the homeowner to gain access to dedicatory instruments or payment systems.
6. No contingent fee HOA attorneys. Any such fee agreements should be deemed against public policy and the HOA should be barred from collecting any fees in cases where the attorneys are representing the HOA pursuant to a agreement in which payment by the HOA is contingent upon payment by the homeowner.