Laws are shifting; stay in gear and in the clear

September 5, 2024 Sasha Cancél
Laws are shifting; Stay in gear and in the clear

Imagine driving at top speed on a race track—the stakes are high, the twists and turns unpredictable. In much the same way, the legal landscape for community associations is constantly evolving, requiring property managers and boards to stay sharp, adapt quickly, and maintain control. Just like a skilled driver adjusts gears to stay ahead in the race, understanding and implementing new regulations around HOA documents, meeting protocols, and online voting can keep your community on the right track.

The year 2024 marks some major shifts in HOA laws across the U.S., from mandating digital accessibility to more stringent voting procedures. These changes aren’t just a minor detour—they require property managers to review their strategies and revamp their operations. Staying up to date with the latest state-specific legislation is crucial to ensure compliance and to maintain a smoothly running community.

 

Florida’s Digital Revolution (Bill 1203, 2024)

Florida has shifted into high gear with House Bill 1203, setting a precedent for digital transformation in community associations. This bill mandates that HOAs with over 100 parcels must post their governing documents—such as covenants, budgets, and rules—on their websites by January 1. For larger associations (over 1,000 parcels), audited financial statements are also required.

This means that transparency is no longer optional. Homeowners and residents can access these crucial documents online, ensuring they remain informed about their community’s operations. For property managers, this is a race toward more efficient governance—no more chasing down paperwork or fielding endless requests for documents.

Additionally, meeting notices and agendas must be posted online at least 14 days before any scheduled meeting, with all documents up for discussion accessible online seven days prior. This gives residents the ability to review materials in advance, promoting more engaged and informed participation in decision-making. Failing to comply could result in hefty penalties, including criminal charges. Property managers are effectively on notice—shift into compliance or risk major consequences.

And when it comes to financial transparency, homeowners are entitled to request a detailed accounting of any money owed to the association once every three months, which must be fulfilled within 15 business days. Any delays or refusals can lead to fines being waived, adding a new layer of accountability to community management. Florida’s laws create a system where both property managers and residents must work in tandem, ensuring everyone is on the same track.

 

California’s New Take on Meetings (AB 648, 2023)

In California, the focus shifts toward improving accessibility through virtual meetings. AB 648 allows for remote meetings, making it easier for board members and residents to stay involved even if they cannot attend in person. However, California currently does not permit online voting, so while the state is moving forward with digital meetings, traditional voting methods still apply.

 

Virginia Steps Up Resident Empowerment (HB 1816, 2023)

Virginia is taking steps to empower its HOA members by increasing transparency and providing access to association records. HB 1816 focuses on creating a document repository, allowing members to easily access critical information about financials, meeting minutes, and other governance matters. The legislation also restricts fines and enforces fair conflict resolution processes. With these changes, residents can be more engaged, informed, and confident in their association’s management.

 

Texas Introduces Fairness in Assessment Liens (HB 886, 2023)

In Texas, the introduction of HB 886 puts more emphasis on fairness in financial dealings. Homeowners must receive three monthly notices of delinquency before any liens can be filed, giving them the opportunity to resolve issues before legal action is taken. This change in the law emphasizes fairness and ensures that residents are treated equitably during disputes with their HOA or condo board. While the law does not address digital voting, Texas remains a state that encourages transparency and accountability.

 

Why Staying Informed Matters

Keeping up with HOA communications best practices, particularly as they pertain to new laws around digital platforms and online voting, ensures that your community stays compliant, transparent, and engaged. From making it easier for residents to access important documents to allowing members to cast votes from anywhere, understanding these shifts is essential.

Documents Go Digital:

More states are requiring online document repositories for easy member access.

Enhanced Participation:

Laws mandating online voting make it easier for residents to have a say in decisions.

Meetings Go Virtual:

Remote meetings are becoming the norm in many states, offering flexibility but requiring clear procedures.

Staying up to date with state-specific laws isn’t just about compliance; it’s about ensuring your community continues to thrive in a rapidly changing world. Property managers, like drivers in a fast-paced race, need to keep a hand on the gearshift, anticipating changes and adapting quickly to maintain control.

By embracing these new regulations, property managers can provide a better experience for their communities, reduce legal risks, and steer clear of any unexpected roadblocks.

 

The information shared in this article is for educational purposes and not legal advice; consult your lawyer/legal counsel before making any decisions.

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