S.B. 147 Summary

• Establishes a new section 514B-__ requiring condominium associations to follow specific procedures when imposing fines for violations of declaration, bylaws, or house rules, including providing notice that describes the violation, references the violated rule, and includes an appeal process.

• Requires fines to be reasonable and allows unit owners to appeal fines to the board within 30 days of receipt; fines that are appealed can be challenged in small claims court within 30 days after the board's final disposition.

• Defines a fine as "collectable" only after the appeal period expires without an appeal being filed, after a fine is upheld on appeal with no small claims case initiated, or after 90 days pass without small claims court invalidating the fine.

• Prohibits associations from charging attorneys' fees on fines before the fine is deemed collectable, and allows associations to exercise other remedies without prejudice to the fine determination.

• Amends section 514B-104(a)(11) to require fines be imposed in accordance with the new fine procedures and modifies section 514B-146 to simplify dispute procedures for assessments and clarify that only collectable fines can be applied to payments.

• Effective July 1, 2050.