Legislature kills some HOA bills, considers others

April 13 (which was a Friday, by the way) was the last day bills considered by Nevada Legislature committees either passed for review, or died.

To keep our readers current with proposed legislative changes affecting homeowners associations, here is an update:

Senate Bill 362 reported in my column a few weeks ago died in committee. This proposed legislation would have greatly impacted association management by expanding a number of existing laws and introducing new laws.

There was much opposition to this proposed set of changes in the laws, as it would have significantly diminish any enforcement of associations' rules and regulations, and many of its changes would have significantly increased association expenses.

There were other questions of law where some of the proposed changes had constitutional and legal issues.

Other bills that died included AB 399, which would have created "private ombudsmen," who would be licensed by the state ombudsman. It appeared to be a very complex and costly proposal with potential problems and enforcement.

Finally, AB 499 died in committee. It would have included clarification to the current parking regulations; reinforcing the existing laws pertaining to the funding of the reserve account; and the election of directors when there is an equal or less amount of candidates than members to be elected.

Bills that survived are: SB 436 includes provisions that allow an association not to incur the costs of mailing out ballots for board elections when there are fewer candidates than vacated positions.

The bill also proposes modifications to the reserve study requirements and modification of the licensing regulations of the community association manager.

SB 235 proposes to delete section NRS 116.21175, which currently allows for a procedure for seeking confirmation from district court to allow an association to amend its governing documents under certain specific guidelines.

It is not an easy procedure to implement, but it is probably one worth keeping in the law, especially with some of the older association that have voting requirements of 90 percent approval of its members in order to make any changes to their governing documents.

AB 396 will consider the elimination of delegate voting in associations and would require the permission of the Commission for Common-Interest Communities (CIC) to foreclose on a lien. Although there may be support in eliminating the delegate voting, which occurs with the larger master associations, there is concern about the CIC approving foreclosures on nonpayment of association dues.

Homeowners and board members need to contact their state senators and assemblymen as to how they would like them to vote on these remaining bills.

Barbara Holland, certified property manager, is president and owner of H&L Realty and Management Co. She is a member of the Institute of Real Estate Management and is the author of two books on the subject. Holland is a past president of the Greater Las Vegas Association of Realtors. Questions may be sent to Association Q. & A., P.O. Box 7440, Las Vegas, NV 89125. Her fax number is 385-3759.