I’m here at the CAI Annual Conference and Exposition, watching Scott Canady of Tambala Strategy and Ron Perl from Hill Wallack, LLP discuss FHA condominium approvals. Legislation both at the state as well as federal level continues to impact community associations. Federally, CAI continues to work on developments with a number of different topics including:
1. The Disaster Equity Assistance Act (HR 3238), which would eliminate red tape for debris removal after a natural disaster. This bill also addresses the FEMA “limited group” standard removing FEMAs stated policy of not providing assistence to community associations.
2. The Amateur Radio Parity Act (HR 555/S.1534), which sought to protect the installation of amateur radio equipment not only on private lots but also on common elements. This passed in the house last year but failed to pass out of the Senate. HR 555 was a compromise bill allowing associations to have at least some regulation authority on amateur radio equipment, and to prohibit installation on common elements. The Amateur Radio Parity Act may come to the floor yet again this year.
3. 21st Century Flood Reform Act (HR 2874), which addresses the National Flood Insurance Program. This program has over $20 billion in debt and expires July 31, 2018. The bill passed out of the house but has not been taken up by the Senate. Failure to reauthorize this program could potentially have major impacts on housing closings.
4. FHA approvals for condominiums: Currently 5 states account for 50% of all approved condominium projects. Condominiums represent under 3% of all FHA backed loans even though condominiums represent almost 10% of the housing market.
Stay tuned for more updates.