Clean Up to Housing Statutes Benefits Associations

The Housing Omnibus Act (AB 2697) signed into law on September 29, 2012, helps homeowners associations in two notable ways:

First, there has been a change to Civil Code Section 1363.05, the Common Interest Development Open Meeting Act. Previously, subdivision (l)(2)(B) required at least one board member to be physically present at an open board meeting location set up for meeting by telephone- or video- conference. Now, the onus is no longer on the board members themselves as the language of the statute has been changed to state “at least one member of the board of directors or a person designated by the board shall be present” at the conferencing location. The designee may be the association’s business agent.

Second, Civil Code Section 1368(a)(9) no longer requires the association to describe the applicability of rental restrictions in its disclosures provided to by sellers to buyers. Disclosure of provisions in the governing documents which prohibit the rental or leasing of a separate interest is still required, however.

Lauri Croce