Bill Text: MI HB6535 | 2021-2022 | 101st Legislature | Introduced
Bill Title: Housing: condominium; condominium association rules prohibiting installation of energy saving improvements; prohibit. Amends secs. 6, 10 & 47 of 1978 PA 59 (MCL 559.106 et seq.) & adds sec. 47b.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-12-01 - Bill Electronically Reproduced 12/01/2022 [HB6535 Detail]
Download: Michigan-2021-HB6535-Introduced.html
HOUSE BILL NO. 6535
A bill to amend 1978 PA 59, entitled
"Condominium act,"
by amending sections 6, 10, and 47 (MCL 559.106, 559.110, and 559.147), sections 6 and 10 as amended by 2000 PA 379 and section 47 as amended by 1987 PA 31, and by adding section 47b.
the people of the state of michigan enact:
Sec. 6. (1) "Co-owner" means a person, firm, corporation, partnership, association, trust, or other legal entity or any combination of those entities , who that owns a condominium unit within the condominium project. Co-owner includes land contract vendees and land contract vendors , who that are considered jointly and severally liable under this act and the condominium documents, except as the recorded condominium documents provide otherwise.
(2) "Developer" means a person engaged in the business of developing a condominium project as provided in this act. Developer does not include any of the following:
(a) A real estate broker acting as agent for the developer in selling condominium units.
(b) A residential builder who acquires title to 1 or more condominium units for the purpose of residential construction on those condominium units and subsequent resale.
(c) Other persons exempted from this definition by rule or order of the administrator.
(3) "Energy-saving improvement or modification" includes, but is not limited to, all of the following:
(a) A clothesline.
(b) Geothermal.
(c) Heat pumps.
(d) Insulation.
(e) Reflective roofing.
(f) Energy efficient appliances.
(g) Solar water heaters.
(h) Electric charging stations for vehicles.
(i) Energy efficient windows.
(j) Energy efficient insulation materials.
(4) (3) "Escrow agent" means a bank, savings and loan association, or title insurance company, licensed or authorized to do business in this state or a representative designated to administer escrow funds in the name, and on behalf, of the escrow agent.
(5) (4) "Expandable condominium" means a condominium project to which additional land may be added in accordance with this act.
(6) (5) "General common elements" means the common elements other than the limited common elements.
Sec. 10. (1) "Record" means to record pursuant to under the laws of this state relating to the recording of deeds except that the provisions of the land division act, 1967 PA 288, MCL 560.101 to 560.293, do not control divisions made for any condominium project.
(2) "Renewable energy generating system" means any of the following:
(a) A photovoltaic generation system, a wind generation system, or a solar-thermal generation system with a capacity of up to 150 kilowatts and used to offset home or personal vehicle energy usage.
(b) Necessary equipment for grid interconnection and home energy storage.
(3) (2) "Residential builder" is means a person licensed as a residential builder under article 24 of the occupational code, 1980 PA 299, MCL 339.2401 to 339.2412.
(4) (3) "Size" means the number of cubic feet, or the number of square feet of ground or floor space, within each condominium unit as computed by reference to the condominium subdivision plan and rounded off to a whole number. Certain spaces within the condominium units including, without limitation, but not limited to, attic, basement, and garage space may be omitted from the calculation or partially discounted by the use of a ratio, if the same basis of calculation is employed for all condominium units in the condominium project, that basis is used for each condominium unit in the condominium project, and that basis is disclosed in appropriate condominium documents furnished to each co-owner.
(5) (4) "Time-share unit" means a condominium unit in which a time-share estate or a time-share license exists.
(6) (5) "Time-share estate" means a right to occupy a condominium unit or any of several condominium units during 5 or more separated time periods over a period of at least 5 years, including renewal options, coupled with a freehold estate or an estate for years.
(7) (6) "Time-share license" means a right to occupy a condominium unit or any of several condominium units during 5 or more separated time periods over a period of at least 5 years, including renewal options, not coupled with a freehold estate or an estate for years.
(8) (7) "Transitional control date" means the date on which a board of directors for an association of co-owners takes office pursuant to an election in which the votes that may be cast by eligible co-owners unaffiliated with the developer exceed the votes which may be cast by the developer.
Sec. 47. (1) Subject to the prohibitions and restrictions in the condominium documents, a co-owner may make improvements or alterations within a condominium unit that do not impair the structural integrity of a structure or otherwise lessen the support of a portion of the condominium project. Except as provided in section sections 47a , and 47b, a co-owner shall not do anything which would change the exterior appearance of a condominium unit or of any other portion of the condominium project except to the extent and subject to the conditions as the condominium documents may specify.
(2) If a co-owner acquires an adjoining condominium unit, or an adjoining part of a condominium unit, then the co-owner may remove all or part of an intervening partition or create doorways or other apertures therein, notwithstanding that the partition may in whole or in part be a common element, so long as a portion of any bearing wall or bearing column is not weakened or removed and a portion of any common element other than that partition is not damaged, destroyed, or endangered. The creation of doorways or other apertures shall must not be deemed considered an alteration of condominium unit boundaries.
Sec. 47b. (1) Notwithstanding any prohibitions and restrictions in the condominium documents, a co-owner may replace, maintain, install, or operate an energy-saving improvement or modification or a renewable energy generating system in the co-owner's condominium unit, including to common elements and to the route from the public way to the door of the co-owner's condominium unit, at his or her expense. The replacement, maintenance, installation, or operation of an energy-saving improvement or modification or a renewable energy generating system must not impair the structural integrity of a structure or otherwise lessen the support of a portion of the condominium project. The co-owner is liable for the cost of repairing any damage to a common element caused by the replacement, maintenance, installation, or operation of an energy-saving improvement or modification or a renewable energy generating system, unless the damage could reasonably be expected in the normal course of the replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system. The replacement, maintenance, installation, or operation of an energy-saving improvement or modification or renewable energy generating system must comply with all applicable state and local building code requirements, permit requirements, and health and safety laws and ordinances and must be made as closely as reasonably possible in conformity with the intent of applicable prohibitions and restrictions regarding safety and aesthetics of the proposed modification in the condominium documents.
(2) The replacement, maintenance, installation, or operation of an energy-saving improvement or modification or a renewable energy generating system that affects the exterior of the condominium unit must not unreasonably prevent passage by other residents of the condominium project. A co-owner who replaces, maintains, installs, or operates an energy-saving improvement or modification or a renewable energy generating system to the exterior of the condominium unit shall notify the association of co-owners in writing of the co-owner's intention to convey or lease his or her condominium unit to any person at least 30 days before the conveyance or lease. Not more than 30 days after receiving a notice from a co-owner under this subsection, the association of co-owners may require the co-owner to remove the energy-saving improvement or modification or renewable energy generating system at the co-owner's expense. If the co-owner fails to give timely notice of a conveyance or lease, the association of co-owners may, at any time, remove or require the co-owner to remove the energy-saving improvement or modification or renewable energy generating system at the co-owner's expense. However, the association of co-owners may not remove or require the removal of the energy-saving improvement or modification or renewable energy generating system if a co-owner intends to resume residing in the unit within 12 months or a co-owner conveys or leases his or her condominium unit to a person who wishes to retain the energy-saving improvement or modification or renewable energy generating system.
(3) If the replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system affects the exterior of the condominium unit, the co-owner shall maintain liability insurance, underwritten by an insurer authorized to do business in this state and naming the association of co-owners as an additional insured, in an amount adequate to compensate for personal injuries caused by the replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system to the exterior of the condominium unit. The co-owner is not liable for acts or omissions of the association of co-owners under this subdivision and is not required to maintain liability insurance with respect to any common element. The association of co-owners is responsible for the maintenance, repair, and replacement of the energy-saving improvement or modification or renewable energy generating system only to the extent of the cost currently incurred by the association of co-owners for the maintenance, repair, and replacement of the common elements covered or replaced by the energy-saving improvement or modification or renewable energy generating system. All costs of maintenance, repair, and replacement of the improvement or modification exceeding that currently incurred by the association of co-owners for the maintenance, repair, and replacement of the common elements covered or replaced by the energy-saving improvement or modification or renewable energy generating system must be assessed to and paid by the co-owner or the condominium unit serviced by the energy-saving improvement or modification or renewable energy generating system.
(4) Before the replacement, maintenance, installation, or operation of an energy-saving improvement or modification or renewable energy generating system to a common element or exterior of a condominium unit, the co-owner shall submit plans and specifications for the replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system to the association of co-owners for review and approval. The association of co-owners shall determine whether the proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system substantially conforms to the requirements of this section and shall not deny a proposed replacement, maintenance, installation, or operation of an energy-saving improvement or modification or a renewable energy generating system without good cause. If the association of co-owners denies a proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system, the association of co-owners shall list, in writing, the changes needed to make the proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system conform to the requirements of this section and shall deliver that list to the co-owner. The association of co-owners shall approve or deny the proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system not later than 60 days after the plans and specifications are submitted by the co-owner proposing the replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system to the association of co-owners. If the association of co-owners does not approve or deny the submitted plans and specifications within the 60-day period, the co-owner may make the proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system without the approval of the association of co-owners. A co-owner may bring an action against the association of co-owners and the officers and directors to compel those persons to comply with this section if the co-owner disagrees with a denial by the association of the co-owner's proposed replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system.
(5) An association of co-owners may adopt reasonable rules and regulations regarding the placement of an energy-saving improvement or modification or a renewable energy generating system if those rules do not prevent or adversely affect any of the following:
(a) The replacement, maintenance, installation, or operation of the energy-saving improvement or modification or renewable energy generating system.
(b) The functioning of the energy-saving improvement or modification or renewable energy generating system.
(c) The cost or efficiency of the energy-saving improvement or modification or renewable energy generating system.
