With the passing of Senate Bill 323 (recently signed by Governor Newsom), Team HMC aims to ensure that our clients are up to date on, and aware of, how their associations will be affected by these changes.
Senate Bill 323 will come into effect January 1, 2020. Listed below are the key factors that Homeowners Management Company would like to spotlight.
Senate Bill 323...
- Limits the right of an association to set qualifications for board candidates.
- Prohibits associations from ever suspending an owner's right to vote, even if they are delinquent in their assessments or in violation of the CCR's.
- Requires associations to post the requirements for running for the board at least 30 days before the nomination deadline, further lengthening the election process timeline to at least 90 days, even with the most careful of planning.
- Strictly prohibits an association from retaining its management company - or any existing service provider - from acting as the Inspector of Elections. (Even if previously allowed in the Election Rules)
- Makes all members' email addresses available to any community member upon request.
- In addition to loss of privacy and loss of rights to set reasonable standards for directors, this new law will require most common interest developments in California to go through costly bylaw amendments and election rule revisions to remain in compliance.
For more information you can visit CAI-CLAC's website and blog, here: https://caiclac.com/blog/
HMC's Community Association Managers will be discussing these issues with our client Boards of Directors in the coming weeks to take proactive steps to ensure each Association's Election Rules are revised to comply with the new law.
There are other new laws coming 1/1/2020 that every HOA Board of Directors should be aware of as well. Contact your HMC Community Association Manager for more information.