Bill To Exempt Mixed-Use Communities From 67% Cap On Required Votes To Amend Association Declaration Introduced
Yesterday afternoon, Senator Morse introduced SB 07-063 – “Concerning the Exemptions of Mixed-Use Communities From Provisions Governing Amendments to The Declaration Establishing A Common Interest Community Under The ‘Colorado Common Interest Ownership Act.’” (The House sponsor of this bill is Representative Massey.) The bill has been assigned to the Senate Business, Labor & Technology Committee. (The members of the seven member committee are as follows: Chair Senator Veiga, Vice-Chair Senator Tochtrop, Senator Kester, Senator Schwartz, Senator Takis, Senator Taylor, and Senator Wiens.)
This bill would amend Section 217 of CCIOA, which currently caps the percentage of affirmative votes that may be required to amend an association declaration at 67 percent. Last year, SB 89 established exemptions to this cap for phased and declarant-controlled communities. SB 63 would add mixed-use communities to these existing exemptions. In addition, the bill would statutorily define “mixed-use community” as a “common interest community that contains two or more of the following elements: residential, commercial, business, retail, office, agricultural, recreational, or industrial.”
Last session, the Senate version of SB 89 contained exemptions for mixed-use communities as well as phased and declarant-controlled communities. (The Colorado Association of Homebuilders (“CAHB”) was the primary proponent for these exemptions.) However, the House sponsor, Representative Carroll, was concerned that these exemptions were too broad. Through various negotiations, the version of SB 89 that former Governor Owens signed into law exempted just phased and declarant-controlled communities from the 67% cap. The language of SB 63 is almost identical to the language that SB 89 contained concerning exempting mixed-use communities put forth by CAHB last year.
At this point, we haven’t yet taken a position on this proposed legislation. Representative Carroll may still have concerns that this proposed exemption is too broad. In addition, it is interesting to note the title, which is very specific. This narrow title protects SB 63 from amendments not directly addressing exempting mixed-use communities from the 67 % cap, as amendments to the bill must fit under the bill’s title. We’ll keep you posted.So if this passes... Could HOA boards require 100% agreement to ammend an HOA declaration? What is the definition of a "declaration"? Bylaws? Dues? ACC design guidlines?
