CS/CS/CS/HB 653 - Community Associations Summary

• Creates sprinkler system disclosure requirements for residential condominiums and cooperatives with 3+ stories lacking sprinkler systems in common areas; requires State Fire Marshal to adopt rules for warning signs.

• Prohibits kickbacks and conflicts of interest for association officers, directors, and managers; mandates removal from office if charged with certain crimes and restricts access to records until charges are resolved.

• Strengthens financial transparency and record access by requiring associations to maintain official records for 7 years, provide copies within 5-10 working days, and post certain documents on websites by July 1, 2018.

• Restricts attorney hiring and unit purchases by prohibiting associations from hiring attorneys who represent the management company and blocking board members from purchasing foreclosed units.

• Modifies condominium termination requirements including changing rejection thresholds from 5% to 10%, extending consideration timelines, and requiring 80% bulk owner approval with protections for homestead-exempt and original purchaser units.