From Capitol Hill/Legislation

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As you know, Community Association Institute’s Colorado Legislative Action Committee (“CLAC”) has been working on Senate Bill 11-122 (“SB 122”). If passed, SB 122 would destroy the ability of homeowner associations (“HOAs”) to assign junior lien rights to investors. This would have a detrimental impact on the finances of many HOAs in Colorado. SB 122 – A Gamble HOAs Can’t Afford Colorado to Take more fully explains the issue. 

CLAC has been working on another bill that could significantly blunt the negative impact of SB 122 on associations. While progress has been made, stakeholders have not yet approved a final rework of the legislation. As a result, we must take immediate action to defeat SB 122.

SB 122 is scheduled to be heard before the Senate Judiciary Committee on Tuesday morning. Please take a moment right now to call and email members of the Senate Judiciary Committee to ask them to vote NO on SB 122. Please make these contacts on Monday. 

Continue Reading SB 122 CALL TO ACTION: Contact Members of the Senate Judiciary Committee on Monday

As we informed you in our January 31st blog entry, Senate Bill 11-122 (“SB 122”) was introduced for a second year in a row by Senator Lundberg. The bill, as currently written, would destroy the lien assignment market for HOAs – drying up an important revenue stream for associations in these tough economic times. Continue Reading SB 122 Scheduled for Hearing on Tuesday – Stay Tuned for Important Updates

Yesterday, the Colorado House of Representatives passed an amended version of HB 1110. As we fully described in our January 21, 2011 blog entry, HB 1110 amends the Colorado Revised Nonprofit Corporation Act to apply certain governance provisions of CCIOA to “Residential Nonprofit Corporations.” Continue Reading Amended Version of HB 1110 Clears the Colorado House

The Senate Judiciary Committee is not going to hear testimony on SB11-122 today as was originally scheduled. The Judiciary Committee will re-schedule the hearing for a later date. 

SB11-122, as written, would impact the redemption rights of junior lienors, such as homeowner associations. The delayed hearing date for SB11-122 will allow for further discussions about…

House Bill 1197, sponsored by Representative Deb Gardner, was introduced today in the Colorado House of Representatives.  

The bill, as originally introduced, addresses: (1) calculation of an association’s superlien; (2) timeframe for a lender to pay an association’s superlien; (3) penalties that may be assessed for failure to pay the superlien; (4) affect of payment of the superlien on subsequent foreclosures; (5) the ability of associations to foreclose on a superlien and junior lien in the same action; (6) the affect on a senior lien by an association’s foreclosure; and (7) the requirement of an association to provide ledgers evidencing delinquencies.Continue Reading HB 1197 Introduced Today Addressing HOA’s Superlien

Community Association Institute’s Colorado Legislative Action Committee (“CLAC”) has been working on Senate Bill 122 (“SB 122”). If passed, SB 122 would destroy the ability of homeowner associations (“HOAs”) to assign junior lien rights to investors. This would have a detrimental impact on the finances of many HOAs in Colorado. SB 122 – A Gamble HOAs Can’t Afford Colorado to Take more fully explains the issue. Continue Reading SB 122 – CALL TO ACTION

The Colorado Division of Real Estate (“Division”) has published an HOA Information Office Legislative Summary and Resource Handout (“Summary”). In that Summary, the Division has noted that pre-CCIOA communities (associations created before July 1, 1992) that have not elected to be treated as CCIOA communities – are not required to register. However, the Division is urging those communities to voluntarily comply with the HOA registration requirements. Continue Reading Division of Real Estate: Pre-CCIOA Communities Exempt from HOA Registration

The Federal Housing Finance Agency (“FHFA”) has issued a News Release announcing the creation of a Proposed Rule that will be published in the Federal Register addressing private transfer fee covenants. The Proposed Rule would limit Fannie Mae, Freddie Mac and the Federal Loan Banks from “dealing in mortgages on properties encumbered by certain types of private transfer fee covenants and in certain related securities.”Continue Reading FHFA Excludes Community Associations from Proposed Rule on Transfer Fees

As we fully described in our January 21, 2011 blog entry, House Bill 1110 amends the Colorado Revised Nonprofit Corporation Act to apply certain governance provisions of CCIOA to “Residential Nonprofit Corporations.” While it was clear that the intent of the legislation was never to include homeowner associations within the definition of Residential Nonprofit Corporation, the broad definition in the original version of the bill did capture associations.Continue Reading HB 1110 Amended to Exclude HOAs