Bill Text: CA AB3182 | 2019-2020 | Regular Session | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Housing:governing documents: rental or leasing of separate interests: accessory dwelling units.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2020-09-28 - Chaptered by Secretary of State - Chapter 198, Statutes of 2020. [AB3182 Detail]
Download: California-2019-AB3182-Amended.html
Any governing document that purports to prohibit the rental or leasing of any of the separate interests in a common interest development to a renter, lessee, or tenant is void and unenforceable. Except as otherwise provided in this section, an owner of a separate interest in a common interest development shall not be subject to a provision in a governing document or an amendment to a governing document that prohibits, has the effect of prohibiting, or unreasonably restricts the rental or leasing of any of the separate interests, accessory dwelling units, or junior accessory dwelling units in that common interest development to
a renter, lessee, or tenant.
Bill Title: Housing:governing documents: rental or leasing of separate interests: accessory dwelling units.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2020-09-28 - Chaptered by Secretary of State - Chapter 198, Statutes of 2020. [AB3182 Detail]
Download: California-2019-AB3182-Amended.html
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Amended
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Senate
July 15, 2020 |
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Amended
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Assembly
May 07, 2020 |
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Amended
IN
Assembly
May 04, 2020 |
CALIFORNIA LEGISLATURE—
2019–2020 REGULAR SESSION
Assembly Bill
No. 3182
| Introduced by Assembly Member Ting |
February 21, 2020 |
An act to amend Section 4740 of the Civil Code, relating to common interest developments.
LEGISLATIVE COUNSEL'S DIGEST
AB 3182, as amended, Ting.
Common interest developments: governing documents: rental or leasing of separate interests.
Existing law, the Davis-Stirling Common Interest Development Act, defines and regulates common interest developments. Existing law provides that an owner of a separate interest in a common interest development shall not be subject to a provision in a governing document or an amendment to a governing document that prohibits the rental or leasing of any separate interest in that common interest development to a renter, lessee, or tenant unless that governing document, or amendment thereto, was effective before the date the owner acquired title to the owner’s separate interest. Existing law permits an owner of a separate interest of a common interest development, despite the above provision, to expressly consent to be subject to a governing document or an amendment to a governing document that prohibits the rental or leasing of any of the separate interests in the common interest
development to a renter, lessee, or tenant. Existing law specifies that an owner’s right to rent or lease the separate interest shall not be deemed to have terminated if the transfer meets one of specified conditions, including that the transfer is exempt for purposes of reassessment by the county tax assessor. Existing law makes these provisions applicable only to a provision in a governing document or a provision in an amendment to a governing document that became effective on or after January 1, 2012.
This bill would instead make void and unenforceable any governing document that purports to prohibit the rental or leasing of any of the separate interests in a common interest development. The bill would also provide that an owner of a separate interest in a common interest development is not subject
to a provision in a governing document or an amendment to a governing document that effectively prohibits
prohibits, has the effect of prohibiting, or unreasonably restricts the rental or leasing of any of the separate interests interests, accessory dwelling units, or junior accessory dwelling units in that common interest development to a renter, lessee, or tenant. tenant, except as otherwise provided. The bill would make the specify that the bill’s provisions inapplicable to
do not prohibit a common interest development from adopting a provision in a governing document that prohibits transient or short-term rentals of 30 days or less. less or adopting reasonable rental restrictions that have the effect of limiting the total number of rentals to 25% of the separate interests in the common interest development, subject to certain exceptions.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 4740 of the Civil Code is amended to read:4740.
(a)(b) An owner of a separate interest in a common interest development shall not be subject to a provision in a governing document or an amendment to a governing document that either effectively prohibits or unreasonably restricts the rental or leasing of any of the separate interests in that common interest development to a renter, lessee, or tenant. Notwithstanding any other provision of this section, a common interest development is not prohibited from doing either of the following:
(1) Adopting a provision in a government document that prohibits transient or short-term rental of a separate property interest for a period of 30 days or less.
(2) Adopting reasonable rental restrictions that have the effect of limiting the total number of rentals to 25 percent of the separate interests in the common interest development. An association may adopt a higher percentage to do any of the following:
(A) Facilitate buyers to qualify for loans insured by the Federal Housing Administration or guaranteed by the Department of Veterans Affairs, the Federal National Mortgage Association, or the Federal Home Loan Mortgage Corporation.
(B) Facilitate association loan financing.
(C) Facilitate obtaining or maintenance of insurance at industry-recognized community association rates.
(c) For the purposes of this section, an accessory dwelling unit or a junior accessory dwelling unit shall not be construed as a separate interest and shall not be subject to any rental percentage cap in a governing document or an amendment to a governing document.
(c)Prior to renting or leasing a separate interest as provided by
this section, an owner shall provide the association verification of the date the owner acquired title to the separate interest and the name and contact information of the prospective tenant or lessee or the prospective tenant’s or lessee’s representative.
(d) This section For purposes of this section, the right to rent or lease the separate interest of an owner shall not be deemed to revise, alter, or otherwise affect the voting process by which a common interest development adopts or amends its governing documents.
have terminated if the transfer by the owner of all or part of the separate interest meets at least one of the following conditions:
(1) Pursuant to Section 62 or Section 480.3 of the Revenue and Taxation Code, the transfer is exempt, for purposes of reassessment by the county tax assessor.
(2) Pursuant to subdivision (b) of, solely with respect to probate transfers, or subdivision (e), (f), or (g) of, Section 1102.2, the transfer is exempt from the requirements to prepare and deliver a Real Estate Transfer Disclosure Statement, as set forth in Section 1102.6.
(e)This section shall not apply to a provision in a governing document that prohibits the short-term rental of a separate property interest for a period of 30 days or less.
(e) Before an owner rents or leases their separate interest as provided in this section, the owner shall provide the association with verification of the date the owner acquired title to the separate interest and the name and contact information of the prospective tenant or lessee or the prospective tenant’s or lessee’s representative.
(f) Nothing in this section shall be deemed to revise, alter, or otherwise affect the voting process by which a common interest development adopts or amends its governing documents.
