HI HB1053

Authorizes condominium association boards to borrow or reallocate funds from replacement reserve funds to pay for association-wide operating expenses, provided the reserve fund maintains a minimum of 50% of required estimated replacement reserves.

Requires written notice to all unit owners and written consent from unit owners representing at least 50% of common interest before borrowing or reallocating reserve funds.

Mandates a repayment schedule for borrowed or reallocated funds over a maximum of one year, unless the amount exceeds 100% of estimated replacement reserves.

Prohibits borrowing or reallocating replacement reserves for: repair and maintenance projects occurring within one year of borrowing, or operating expenses that primarily benefit the board, its officers, or their families.

Requires all authorized borrowing or reallocation to be restored before any additional authorization if replacement reserves fall below 100% of estimated replacement reserves; effective July 1, 3000.