As you may be aware, Homeowner Associations and other businesses will be required to file a Beneficial Ownership Information for with FinCEN under The Corporate Transparency Act. While CAI has filed a lawsuit to exclude Homeowner Associations from the types of businesses and corporations that have to comply with this Act, the lawsuit is not finalized and Homeowner Association will need to comply with the FinCEN registration by January 1, 2025.
Read MoreThe 2024 legislative session was a busy one as it relates to legislation that affects Homeowner Associations. Below are the new laws created during the 2024 legislative session that will affect various aspects of Homeowners Associations. Our office is in the process of amending the Collection Policy, Parking Management, and all other applicable policies for our clients. If your community needs these policies amended as well, please feel free to contact us and we will be happy to work with you.
Read MoreWe recommend that pool rules be adopted and mailed or emailed to all Owners and residents. If the Board of Directors isn’t clear on the legalities of certain rules such as adult swim times or unaccompanied children in the pool area, please ensure to obtain the Association attorney’s legal advice as pool rules can at times produce liability if not properly worded or if illegal rules are enacted.
Read MorePlease remember that single-family communities are now subject to SB23-178 that became effective August 7, 2023. The requirements not only include allowing at least 80% drought-tolerant plants, vegetable gardens in the front, side, and back yards & astroturf in the backyards, but also require that Associations adopt three pre-approved garden design plans either from their local municipality, from Colorado State University Plant selection website or…
Read MoreThe last few weeks have proven to be very busy with regards to Homeowner Association business. Please note the following updates and recommendations regarding Associations, including the Corporate Transparency Act. Just as Associations were beginning to contemplate how to best address the reporting requirements of this Act, a federal judge recently ruled that this Act is unconstitutional…
Read MoreIt is very important to properly reflect in a Managing Agent’s software or Association’s records when an account is transferred to legal collections, as accepting payments for accounts that are in legal collections, or speaking to Owners whose accounts are in legal collections regarding their account may negatively impact the Association’s ability to collect the full outstanding balance.
Read MoreAs 2023 is drawing to a close, we wish to address our clients and the Managers of the same and say, thank you, for a great year, for the relationships that have grown and blossomed, and for the trust that you place in our firm on a daily basis. We are extremely honored to serve as legal counsel and be a resource to you the clients and the managers that you partner with for the day to day operations of your community.
Read MorePlease remember to follow the revised HB22-1137 Collection Policy for each individual Association. There may be variations present in each Association’s policy, therefore it is important that each be followed as written. Please remember that the posting on the door of a delinquent notice is required and necessary prior to the transfer of an account to collections.
Read MoreAll Associations, whether pre or post CCIOA, are subject to a budget ratification process. Please refer to the Association’s individual governing documents for meeting notice timelines and percentages of members voting against the proposed budget for the individual requirements of each Association. If no requirements are listed in the governing documents, CCIOA provides the following…
Read MoreA vote of the Board of Directors is required prior to a file being transferred to the attorney for collections. The action should be reflected in the minutes, and if the Association utilizes a signed form, it should be transferred with the file, along with the required record of the actions taken before the transfer of the file to the attorney for collections.
Read MoreGovernor Polis signed into law SB23-178, which is a bill regarding landscaping changes using water-wise means. The law will take effect August 9, 2023, and it applies to detached, single family HOAs. SB23-178 mandates that Associations allow the Owners of detached single-family homes…
Read MoreLoss Assessment Insurance is a very affordable policy that each Owner can purchase as part of their HO-6 Policy to cover any Special Assessments that an Association may pass for an insurable loss. If Owners have Loss Assessment Insurance, they can file a claim for the Special Assessment.
Read MoreWe understand that Board of Directors may be hesitant to spend money for the review of the contract, however, if for whatever reason the contract is breached, the monetary liability that an Association will have far outweigh the cost of the contract review prior to execution of the contract.
Read MoreThere are many reasons why an Association may choose to pass a Special Assessment. Upon the need to do so, it is imperative that the Association follow the proper steps in imposing a Special Assessment. Please note the following recommendations in considering a Special Assessment…
Read MoreAs HB22-1137 is now law, collection practices by an Association have to be adjusted with regard to Application of Payments; Monthly Balance Notices; Delinquent Notice Postings; Owner Representative; Records Maintenance; and Updated Collection Policies. With the numerous changes in the legislation and practices, we encourage all Associations to…
Read MoreSmall but important updates have recently been made to two bills, the first is SB22-059: Proxy Expiration Dates, which requires a proxy to terminate eleven months after its date unless, the proxy itself indicates an earlier termination date, and the second is HB22-1040: Common Amenities, which requires Associations to give electronic or written notice to each unit owner as soon as reasonably possible…
Read MoreHomeowner Associations (HOA) must keep records of when notices are mailed, emailed, texted or posted. This needs to include time, date, manner, etc. On a monthly basis, the Association must send, at the Association’s own expense, to each Owner with a delinquent account an itemized list of all assessments, fees, fines, and charges owed. This monthly notice must be sent via…
Read MoreWhen an Owner becomes delinquent, and the file is transferred to the attorney for collections, the Owner should begin sending their checks to the law firm for processing. However, many Owners will still send their checks to the management company, which can cause issues for the HOA if the check is not first closely inspected to ensure that it can be deposited.
Read MoreWhile a proposal/bid can be signed in order to start the process of retaining a contractor, a proposal alone is not a proper contract because it doesn’t include all the elements of a contract.While a proposal/bid can be signed in order to start the process of retaining a contractor, a proposal alone is not a proper contract because it doesn’t include all the elements of a contract.
Read MoreAs managers and board of directors know, associations are required to follow the collection policy for each association. The association’s collection policy is the document that outlines the process for how collections are handled. Each policy will outline how many Notices are sent prior to an owner’s account being turned over to legal counsel.
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