Last week Representative Melton introduced the second of three bills that failed to get traction last year but were prime for reintroduction this year. HB 16-1149, if adopted, would require all associations to comply with the budget veto process contained in the Colorado Common Interest Ownership Act (“CCIOA”). This process, in large part, requires the board to adopt a budget, send a summary of the budget to the owners, and set a meeting to provide the owners an opportunity to veto the budget. If the owners fail to veto the budget at the meeting, the budget is deemed approved. This bill was assigned to the House Committee on Business Affairs and Labor.
While this is not a change for post-CCIOA communities (created on or after July 1, 1992), it will have a major impact on how pre-CCIOA communities (prior to July 1, 1992) will adopt budgets. As it stands now, pre-CCIOA communities are not subject to the budget veto process, and need only follow the process set forth in their governing documents.