|
2009 was another dramatic year in the California Legislature. Amid a budget crisis, veto threats, and last minute amendments, the Governor signed several bills that will impact common interest developments in 2010. But the outlook for CIDs is good: some of the most objectionable bills have not passed, and the new laws will have only a modest impact. The bills below have been signed into law, and become effective on January 1st:
AB 121 - Signed
Under certain conditions, AB 121 allows creditors to extend judgment liens on specified personal property by filing a continuation statement in the office of the Secretary of State. The statement must be filed no earlier than six months before the lien is scheduled to expire.
 See AB 121
AB 313 - Signed
AB 313 prohibits associations from levying assessments based upon the taxable value of the separate interests within the association. Association that levied assessments based upon taxable value on or before December 30, 2009 would be exempted. This bill was sponsored by an association in southern California to protect their assessment model. ECHO opposed this attempt to carve association-specific exemptions into the Civil Code. Unfortunately, the bill received broad bi-partisan support and was signed by the Governor.
See AB 313
AB 370 - Signed
AB 370 increases fines for unlicensed contractors from $1000 to $5000 for first offenses, and raises several other penalties. The potential liability of unlicensed labor is a constant threat to homeowner associations. ECHO supported this effort to reduce the number of unlicensed contractors, and the bill was signed by the Governor in October.
See AB 370
AB 473 - Vetoed
AB 473 would have required an owner of a multi-family dwelling with five or more units to arrange for recycling services. Although this bill was designed for apartment complexes, it did not specifically exclude common interest developments from the definition of multi-family dwellings. ECHO took a support if amended position to secure the CID exclusion. Ultimately, the bill was vetoed by the Governor.
See AB 473
AB 899 - Signed
AB 899 accomplishes three things: it places all annual association disclosures into a single table in the Civil Code, it requires an association to distribute that table upon request, and it expands the number of documents that an association may distribute electronically. ECHO introduced AB 899 to improve the clarity of disclosure requirements, and to reduce costs to associations. You can read more about the new electronic delivery options here. The bill received bi-partisan support and was signed into law in October.
See AB 899
AB 927 - Signed
AB 927 extends the expiration date of provisions regulating the filing of a complaint for damages, by an association, against a developer for construction defects. Those provisions include filing a notice regarding the commencement of legal proceedings, participating in a dispute resolution process, and preparing a case management statement
See AB 927
AB 1061 - Signed
AB 1061 renders void and unenforceable any provision in the governing documents of an association that has the effect of prohibiting low water-using plants. In keeping with his green vision for California, Governor Schwarzenegger signed this bill in October. Although ECHO initially objected to the bill, we adopted a support position after it was amended to allow associations to enforce landscaping rules and regulations. Association boards should review their rules and governing documents to see how this bill may affect their communities. Boards should also consider adopting landscaping policies that allow them to regulate new plantings.
See AB 1061
AB 1328 - Vetoed
AB 1328 would have extended contract length restrictions for water or energy efficiency programs to 5 years for associations when the board reasonably anticipates that the contract would result in verifiable savings to the association. Boards would have been required to provide notice of the contract length before approving it.
See AB 1328
SB 23 - Signed
SB 23 strengthens the safety requirements contained in the Mobilhome Parks Act, requiring an owner or operator of an existing park or a special occupancy park to adopt an emergency preparedness plan on or before September 1, 2010. The bill contains several posting requirements for park owners and operators, and a knowing violation of the act is a misdemeanor offense. Park owners and operators should review the requirements carefully to ensure that they are in compliance.
See SB 23
For a brief synopsis of the bills on ECHO's 2009 watch list, please look at our Legislation at a Glimpse page. Be sure to check back regularly to stay informed on developments in California CID legislation, and what new bills may affect your common interest development in 2010.
|
