Hawaii Senate Bill 2338 (Prior Session Legislation)

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Spectrum: Partisan Bill (Democrat 2-0)
Status: Introduced on January 22 2016 - 25% progression, died in committee
Action: 2016-01-29 - Re-Referred to CPH, JDL/WAM.
Pending: Senate Commerce, Consumer Protection, and Health Committee
Text: Latest bill text (Introduced) [HTML]

Establishes term limits on board members. Requires that violations of the declaration, bylaws, rules, and regulations of condominium associations be demonstrated by clear and convincing evidence. Requires employees of managing agents who serve condominium associations to be licensed as real estate brokers. Subjects improper spending by board members and association election fraud to investigation and penalties by the commission. Imposes penalties for directors, associations, and managing agents who violate association rules, election protocol, or spending limits. Suspends unit owners' obligation to pay disputed association fees and fines until resolution of the dispute. Limits association and board powers, including requiring an association and board to obtain sixty-seven per cent of the common interest before authorizing a substantial change in use of a condominium. Adds requirements to association and board meeting minutes, record maintenance, accessibility of documents to unit owners, and posting of notice of meetings. Reduces to 12.5 per cent the portion of condominium owners by common interest required to call by petition a special meeting for the purpose of removing a board member as well as the portion unit owners needed to submit a proposed bylaw amendment to modify the composition of the board. Imposes education requirement for board members. Authorizes unit owners to record association meetings. Limits options on standard proxy form for association elections. Imposes record keeping requirements and improves unit owners' access to records. Requires an annual management audit of managing agents and a forensic audit in even numbered years. Authorizes the electronic transfer of association funds if the IP address of the transferor can be verified. Makes amendments to the maintenance, disposal, and fees related to association records.

Condominiums; Owners Associations; Board of Directors; Term Limits; Standard of Evidence; Property Management License; Common Interest; Condominium Education Trust Fund; Fees; Audits

Sen. Suzanne Chun Oakland [D]

Sen. Maile Shimabukuro [D]

Date	Chamber	Action
2016-01-29	Senate	Re-Referred to CPH, JDL/WAM.
2016-01-25	Senate	Referred to CPH/JDL, WAM.
2016-01-25	Senate	Passed First Reading.
2016-01-22	Senate	Introduced.

Type	Source
Summary	http://www.capitol.hawaii.gov/measure_indiv.aspx?billtype=SB&billnumber=2338&year=2016
Text	http://www.capitol.hawaii.gov/session2016/bills/SB2338_.HTM