SECOND CCIOA BILL INTRODUCED–Revoking the Lien Rights of Small and Limited Expense Communities

4 responses to “SECOND CCIOA BILL INTRODUCED–Revoking the Lien Rights of Small and Limited Expense Communities”

1. Are they trying to bankrupt these communities? Who is sponsoring this bill? I manage 2 limited expense communities and both have adopted ALL SB 100 policies, including HB 13-1276 as they are good business policies and the Association’s wish to follow CCIOA as close as possible. It is not an easy task to get votes to amend the declaration to now be subject to CCIOA in order to file liens and collect past due assessments, especially when the community is 400+homes and requires 67% to vote in favor. Come on! Focus on important issues the HOAs are facing!
2. This is ridiculous. Most small or limited expense communities don’t have these problems. As usual, government wants ridiculous, not thought out solutions, for a few bad apples. And why subject all of CCIOA? If they want owners subject to the collections/lien bill, then amend CCIOA to subject small our limited expense communities to be subject just to that. The three HOAs I’m in have no problems at all.
3. Has this been a problem? If so, I was not aware of it. I would need to hear all the arguments, but my initial feeling is that this is a heavy-handed “solution” to a “problem” that doesn’t exist. You know, a solution looking for a problem. What group or groups is or are behind this? Amending the declaration will be a boon for attorneys, I can tell you that, as most will view this as an opportunity to perform a complete re-write for the communities they represent, at a cost of thousands of dollars, and then, the amended document would still have to be approved by 2/3 of the owners. Wouldn’t it be easier to pass a law saying that all CICs are governed by CCIOA, without singling out any particular ones, and without threatening them? Any way, this whole CCIOA thing has gotten ‘way out-of-hand, with annual amendments by every Tom, Dick and Harry who knows little or nothing about the operation of CICs. And without enforcement provisions or penalties, the entire body of law is followed only by attorneys, as the common homeowner is virtually shut-out from invoking its provisions, unless he or she wishes to spend thousands of dollars and years of time pursuing it.
4. This bill is devistating for the small HOA. There are 42 homes in our HOA and we have been functioning very well for 20 years. We do not have any paid administrators. We do not have an attorney on retainer. While collecting dues has not been a problem to date, this bill would hinder our ability to collect past due bills. The costs associated with this bill could wipe out our reserves.