2005 Legislation
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HOUSE BILL NO. 137 – Homeowners assn, special assessment

HOUSE BILL NO. 137

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Bill Status



H0137...........................................................by BUSINESS
HOMEOWNER'S ASSOCIATION - Amends existing law relating to homeowner's
association liens to provide for special assessments against real property
for the enforcement of a rule, regulation, covenant, condition or
restriction of the homeowner's association.
                                                                        
02/08    House intro - 1st rdg - to printing
02/09    Rpt prt - to Bus
02/22    Rpt out - rec d/p - to 2nd rdg
02/23    2nd rdg - to 3rd rdg
02/28    3rd rdg - PASSED - 38-31-1
      AYES -- Anderson, Bastian, Bell, Bilbao, Black, Block, Boe, Cannon,
      Chadderdon, Clark, Collins, Deal, Edmunson, Eskridge, Garrett,
      Henderson, Jaquet, Jones, Lake, Martinez, Miller, Mitchell, Nonini,
      Pasley-Stuart, Pence, Ring, Ringo, Roberts, Rusche, Sayler,
      Shepherd(2), Smith(30), Smith(24), Smylie, Snodgrass, Stevenson,
      Trail, Wills
      NAYS -- Andrus, Barraclough, Barrett, Bayer, Bedke, Bolz, Bradford,
      Crow, Denney, Ellsworth, Field(18), Field(23), Hart, Harwood,
      Henbest, Kemp, LeFavour, Loertscher, Mathews, McGeachin, McKague,
      Moyle, Nielsen, Raybould, Rydalch, Sali, Shepherd(8), Shirley,
      Skippen, Wood, Mr. Speaker
      Absent and excused -- Schaefer
    Floor Sponsors - Jaquet & Snodgrass
    Title apvd
    Held for reconsideration
03/01    Motion to Reconsider - PASSED
    Reconsidered - FAILED - 34-36-0
      AYES -- Anderson, Bastian, Bell, Bilbao, Black, Block, Boe,
      Chadderdon, Collins, Deal, Edmunson, Field(23), Garrett, Henderson,
      Jaquet, Jones, Martinez, Miller, Mitchell, Nonini, Pasley-Stuart,
      Pence, Ring, Ringo, Rusche, Sayler, Shepherd(2), Smith(30),
      Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills
      NAYS -- Andrus, Barraclough, Barrett, Bayer, Bedke, Bolz, Bradford,
      Cannon, Clark, Crow, Denney, Ellsworth, Eskridge, Field(18), Hart,
      Harwood, Henbest, Kemp, Lake, LeFavour, Loertscher, Mathews,
      McGeachin, McKague, Moyle, Nielsen, Raybould, Roberts, Rydalch, Sali,
      Schaefer, Shepherd(8), Shirley, Skippen, Wood, Mr. Speaker
      Absent and excused -- None
    Floor Sponsor - Jaquet
    Filed in Office of the Chief Clerk

Bill Text


                                                                        
                                                                        
  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-eighth Legislature                   First Regular Session - 2005
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                     HOUSE BILL NO. 137
                                                                        
                                   BY BUSINESS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO HOMEOWNER'S ASSOCIATION  LIENS;  AMENDING  SECTION  45-810,  IDAHO
  3        CODE,  TO  PROVIDE  FOR  SPECIAL ASSESSMENTS AGAINST REAL PROPERTY FOR THE
  4        ENFORCEMENT OF A RULE, REGULATION, COVENANT, CONDITION OR  RESTRICTION  OF
  5        THE HOMEOWNER'S ASSOCIATION.
                                                                        
  6    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  7        SECTION  1.  That  Section  45-810, Idaho Code, be, and the same is hereby
  8    amended to read as follows:
                                                                        
  9        45-810.  HOMEOWNER'S ASSOCIATION LIENS. (1) Whenever a homeowner's associ-
 10    ation levies an assessment or special assessment against a lot for the reason-
 11    able costs incurred in the maintenance of  common  areas  consisting  of  real
 12    property owned and maintained by the association, or for enforcement of a duly
 13    adopted  and  recorded  rule,  regulation,  covenant, condition or restriction
 14    regarding the use of real property owned by a homeowner, the association, upon
 15    complying with subsection (2) of this section, shall  have  a  lien  upon  the
 16    individual  lot or other real property subject to the rules of the homeowner's
 17    association for such unpaid assessments or special assessments accrued in  the
 18    previous twelve (12) months.
 19        (2)  (a) An  association claiming a lien under subsection (1) of this sec-
 20        tion shall, upon thirty (30) days' written notice actually received by the
 21        owner or reputed owner, file in the county in which the lot or  some  part
 22        thereof is located a claim containing:
 23             (i)   A  true  statement of the amount due for the unpaid assessments
 24             or special assessments after deducting all just credits and offsets;
 25             (ii)  The name of the owner, or reputed owner, if known;
 26             (iii) The name of the association; and
 27             (iv)  A description, sufficient for identification, of  the  property
 28             to be charged with the lien.
 29        (b)  A  special  assessment may be levied upon the lot or other real prop-
 30        erty subject to the rules of the homeowner's association for  the  purpose
 31        of  enforcement  of  a homeowner's association rule, regulation, covenant,
 32        condition or restriction regarding the use of the real property,  provided
 33        however,  that  such  rule, regulation, covenant, condition or restriction
 34        has been:
 35             (i)   Duly adopted and recorded upon the record of the real  property
 36             such  that the owner of the real property took possession of the real
 37             property with notice of the rule, regulation, covenant, condition  or
 38             restriction,  or  subsequent  to  ownership  of the real property the
 39             owner duly consented or lacked objection  to  the  rule,  regulation,
 40             covenant, condition or restriction; and
 41             (ii)  Uniformly  enforced  upon all parcels of real property affected
 42             by such rule, regulation, covenant, condition or restriction.
 43        (c)  Special assessments shall not be deemed liquidated  damages  and  may
                                                                        
                                           2
                                                                        
  1        only  be  assessed in a manner reasonably proportionate to the enforcement
  2        necessary to establish compliance as reasonably determined by the associa-
  3        tion.
  4        (d)  When a claim has been filed and recorded pursuant to this section and
  5        the owner of the lot subject to the claim  thereafter  fails  to  pay  any
  6        assessment  or  special assessment chargeable to such lot, then so long as
  7        the original or any subsequent unpaid  assessment  or  special  assessment
  8        remains  unpaid,  such claim shall automatically accumulate the subsequent
  9        unpaid assessments or special assessments without the necessity of further
 10        filings under this section.
 11        (ce)  The claim shall be verified by the  oath  of  an  individual  having
 12        knowledge  of  the facts and shall be recorded by the county recorder. The
 13        record shall be indexed as other liens are required by law to be indexed.
 14        (df)  Within twenty-four (24) hours after recording a lien  on  the  prop-
 15        erty,  the  association  shall serve, by personal delivery to the owner or
 16        reputed owner or by certified mail to the last known address of the  owner
 17        or reputed owner, a true and correct copy of the recorded lien.
 18        (3)  The lien may be continued in force for a period of time not to exceed
 19    one  (1)  year  from the date the claim is filed and recorded under subsection
 20    (2) of this section; provided however, that such period may be extended by the
 21    homeowner's association for not to exceed one (1) additional year by recording
 22    a written extension thereof. For the purpose of determining the date the claim
 23    is filed in those cases when subsequent unpaid assessments or special  assess-
 24    ments  have  accumulated under the claim as provided in subsection (2) of this
 25    section, the claim regarding each  unpaid  assessment  or  special  assessment
 26    shall  be deemed to have been filed at the time such unpaid assessment or spe-
 27    cial assessment became due. The lien may be enforced by the board of directors
 28    acting on behalf of the association.
 29        (4)  This section does not prohibit a homeowner's association from  pursu-
 30    ing an action to recover sums for which subsection (1) of this section creates
 31    a  lien  or  from  taking a deed in lieu of foreclosure in satisfaction of the
 32    lien.
 33        (5)  An action to recover a money judgment for unpaid assessments or  spe-
 34    cial  assessments  may  be  maintained without foreclosing or waiving the lien
 35    securing the claim for unpaid assessments  or  special  assessments.  However,
 36    recovery  on  the action operates to satisfy the lien, or the portion thereof,
 37    for which recovery is made.
 38        (6)  As used in this section, "homeowner's association" means any incorpo-
 39    rated or unincorporated association:
 40        (a)  In which membership is based upon owning or possessing an interest in
 41        real property; and
 42        (b)  That has the authority, pursuant to  recorded  covenants,  bylaws  or
 43        other  governing  instruments, to assess and record liens against the real
 44        property of its members.
 45        (7)  In order to file a lien as provided in this  section,  a  homeowner's
 46    association  that  is an unincorporated association must be governed by bylaws
 47    which provide for at least the following:
 48        (a)  A requirement that the homeowner's association hold at least one  (1)
 49        meeting each calendar year;
 50        (b)  A  requirement that notice of any meeting of the homeowner's associa-
 51        tion be published and distributed to all members of the homeowner's  asso-
 52        ciation;
 53        (c)  A  requirement  that the minutes of all homeowner's association meet-
 54        ings be recorded;
 55        (d)  A method of adopting and amending fees; and
                                                                        
                                           3
                                                                        
  1        (e)  A provision providing that no fees or assessments of the  homeowner's
  2        association  may  be  increased  unless  a  majority of all members of the
  3        homeowner's association vote in favor of such increase.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE

                             RS 14646

This bill amends Idaho Code to provide for special assessments
against real property for the enforcement of a validly created and
recorded rule, regulation, covenant, condition, or restriction of
a homeowner's association.


                           FISCAL NOTE

None.



Contact
Name:   Rep. Jaquet 
        Rep. Snodgrass
Phone:  332-1000


STATEMENT OF PURPOSE/FISCAL NOTE                    H 137