2010 New Laws

2010 New Laws: "HOA� AB 313
(eff. 1-1-10)
Assessments�
AB 313 prohibits an HOA from making assessments on separate interests within the common interest development based on the taxable value of the separate interests according to the local assessor’s office, unless the association was already doing so on or before December 31, 2009, in accordance with its governing documents.� An association that is responsible for paying taxes on the separate interests within the common interest development is not subject to this prohibition.

Adds Section 1366.4 to the CA Civil Code.���

HOA� AB 899�
(eff. 1-1-10)
Disclosures�
AB 899 requires an HOA to include in the Assessment and Reserve Funding Disclosure Summary a specified statement regarding the interest rate earned on reserve funds and the assumed inflation rate applied to major component repair and replacement costs.� The HOA must also provide, at an owner’s request, a new Disclosure Document Index.� Furthermore, all the disclosure documents on this Index can be provided electronically (e-mail, fax, etc.).�

Amends Sections 1350.7 and 1365.2.5 and adds Section 1363.005 of the CA Civil Code.�"