New HOA Laws for 2017

Senate Bill (“SB”) 918 adds a new Civil Code section 4041(a), and at first glance appears to be innocuous. It requires all common interest development owners to annually and in writing provide the HOA their contact information for sending HOA notices, and to inform the association whether the residence is owner-occupied or rented. Associations are required to solicit these notices at least 30 days prior to the annual association disclosures. If an owner does not annually provide this notification, the association must deem the residence address as the address for notifications. There are at least two major issues here – HOAs and their managers now have an additional annual notification to owners that cannot be lumped in with the Annual Budget Report and Annual Policy Statement; and off-site owners now need to tell the HOA each year of the off-site address or their notices will be sent to the tenant’s address. Thousands of future notices to landlords will be sent to the wrong location, because they do not annually notify their association as required.

Assembly Bill (“AB”) 2362 adds a new Civil Code section 4777. Under this new section HOAs intending to have pesticides applied (without using a licensed pest control operator) in common area or a residence must post notice of the impending pesticide treatment and notify adjacent residents at least 48 hours in advance. So, for example before the HOA handyman sprays an area for ants, the notice must be given. Landlords (as of 2015) and pest control operators already had a similar requirement in place, so the law now applies the requirement to common interest developments.

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