What happens to the status of a pre-CCIOA community (i.e. community created before July 1, 1992) if it amends its governing documents? One prevalent myth on this issue is that the community becomes a post-CCIOA community and will be subject to all provisions of CCIOA. But this is nothing more than a myth and not at all true.
An amendment of the declaration, or even a complete rewrite, does not bring a pre-CCIOA community into the purview of a post-CCIOA community. However, CCIOA does provide a process associations can use to elect treatment under CCIOA.
Section 118 of CCIOA provides a process that may be utilized by pre-CCIOA associations to become post-CCIOA communities and therefore be subject to all CCIOA rights and responsibilities. This process first requires the board of directors to adopt a resolution accepting CCIOA and agreeing to submit this issue for a vote of the owners.
The vote can occur at either an annual or special meeting of the members and requires approval by at least 67% of the owners present at such meeting (as long as quorum is present). The meeting notice must specify the purpose (or one of the purposes) of the meeting is to vote on the option of electing treatment as a common interest community organized after June 30, 1992, and thereby accepting all provisions of CCIOA. In addition, a copy of CCIOA must be provided with the meeting notice.
If the proposed election is approved by the requisite number of owners, a statement of election accepting all CCIOA provisions must be signed by the president (or vice president) and the secretary. The statement must contain the following information and representations:
- name of the association;
- statement indicating the association has elected to accept all provisions of CCIOA;
- date of the meeting and statement that quorum was present at such meeting;
- representation that the requisite number of owners approved the election; and
- names and addresses of directors and officers.
Once the above document is created and executed, it must be recorded with the county in which the association is located. Once recorded, the community is officially treated as a post-CCIOA community.
If you have questions about having your community elect treatment under CCIOA, please contact a Altitude Community Law attorney at 303.432.9999.