I previously posted a blog regarding the importance of the Notice of Bankruptcy. Here is a story of just how important this Notice can be and the consequences of not paying close attention to receiving this Notice.
As you can see after reading this article, the Bankruptcy Court takes very seriously the protections afforded to a…
In the past few weeks, I have received several questions relating to the responsibility of a declarant to transition an association it developed to owner control and the responsibility to produce records and other items following transition. Both of these questions are controlled by the Colorado Common Interest Ownership Act (“CCIOA”).
Termination of Declarant Control
While a declaration of covenants, conditions and restrictions or a condominium declaration for a new community will normally have specific provisions regarding declarant rights and the period of declarant control over the community, C.R.S. 38-33.3-303(5)(a)(I) addresses the outside limits on declarant control for most new communities (with the exception of large planned communities). In particular, that provision of CCIOA provides that regardless of the period of declarant control outlined in a declaration, declarant control will terminate within 60 days following the earliest of one of these events:Continue Reading Production of Documents by Declarants Following Transition to Owner Control
Just minutes ago, the Senate Local Government Committee unanimously approved a slightly amended version of House Bill 12-1237 ("HB 1237"). As you know, HB 1237 amends the association records provision of CCIOA to: (1) make it clear what records must be maintained and produced to homeowners; (2) specifically list the types of records which may be withheld from production; and (3) eliminate…
I love springtime in Colorado! The perennials in our flower beds are popping up, the trees in our yard are flowering and my allergies are truly a gift to behold. However, my love of spring is nothing compared to the how the flower fairies are feeling.
Come on – ADMIT IT – you’ve seen at least one flower fairy in your lifetime! In fact, I have it on good authority from a friendly garden gnome that the wise people have assigned one flower fairy to beautify every yard, patio and balcony located in an HOA in Colorado. Continue Reading Attention Homeowners: Please Control Your Flower Fairies
One of the most common governance questions we receive from HOA boards is whether they are permitted under Colorado law to hold a closed door “working session.” When asked why they want to prohibit HOA members/owners from attending these working sessions, we are inevitably told “homeowners are constantly interrupting us and we just can’t get anything done.”
The Colorado Common Interest Ownership Act (“CCIOA”), atC.R.S. 38-33.3-308(2)(a), provides in part that “All regular and special meetings of the association’s executive board, or any committee thereof, shall be open to attendance by all members of the association or their representatives. . .” While CCIOA does not specifically define what constitutes a “meeting,” it is safe to say that anytime a board or committee convenes to conduct business, work through HOA issues or make decisions – that constitutes a meeting which the members are entitled to attend. Continue Reading Open Meetings Shouldn’t Be Unproductive Meetings
The Federal Housing Finance Agency (FHFA) has published a Final Rule in the Federal Register that limits the ability of Fannie Mae, Freddie Mac and the Federal Home Loan Banks to deal in mortgages on properties that are encumbered by private transfer fee covenants.
A News Release from FHFA announced the outstanding news that "The final rule excludes…
What can an association do to prevent or minimize future delinquencies by homeowners who are habitually late or delinquent in the payment of their assessments? This is a question that managers and board members ask me all the time. If I can figure out a magical solution to preventing delinquencies entirely, I’ll be glad to share but not until after I retire in a remote fishing village in Alaska! One way, though, that an association may be able to reduce future delinquencies is by accelerating assessment fees.Continue Reading Accelerate your Way through Collections
The Community Associations Institute’s (CAI) – Colorado Legislative Action Committee (CLAC) has been carefully reviewing DORA’s 2012 Sunrise Review: Common Interest Community Association Managers (Sunrise Review). For those of you who have read the Sunrise Review, you know that DORA ultimately recommended the regulation of management companies.
The CLAC feels that DORA’s recommendation to regulate management companies will not provide protection to all Coloradoans living in homeowners’ associations. DORA’s conclusion that, “For the most part, community associations contract with management companies, not individual community managers” does not accurately reflect the fact that many associations around Colorado retain the services of managers who are not affiliated with a management company.Continue Reading CLAC Update on Status of Manager/Management Company Regulation
There is often confusion as to the difference between liens against property and the personal obligation of a homeowner. Typically, this issue arises when a homeowner files for bankruptcy. The Association needs to distinguish between the personal obligation the Association can collect from the homeowner, and the lien that attaches to the property and can be collected upon the sale of the property or by foreclosing against the homeowner. Continue Reading Lien and Personal Obligation – What’s the Difference?
This morning the Colorado Department of Regulatory Agencies (DORA) published the Sunrise Review on whether the licensure of community association managers in Colorado is necessary. The Sunrise Review Application submitted by CAI’s Colorado Legislative Action Committee (“CLAC”) recommended the licensure of individual community association managers.
The analysis in the Sunrise Review focused largely on whether unregulated community association managers pose potential harm to the residents living in community associations and the financial costs associated with potential regulation. The categories of “harm” outlined in the report include: Continue Reading Communication from CLAC on DORA Sunrise Review
