Bill Text: NJ A4766 | 2014-2015 | Regular Session | Introduced
Bill Title: Requires certain common interest community associations to publish certain information; requires that homeowners' association contracts for management and maintenance include 24-hour emergency services.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2015-11-16 - Introduced, Referred to Assembly Housing and Community Development Committee [A4766 Detail]
Download: New_Jersey-2014-A4766-Introduced.html
Sponsored by:
Assemblywoman NANCY F. MUNOZ
District 21 (Morris, Somerset and Union)
SYNOPSIS
Requires certain common interest community associations to publish certain information; requires that homeowners' association contracts for management and maintenance include 24-hour emergency services.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning common interest community associations and amending P.L.1993, c.30.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 4 of P.L.1993, c.30 (C.45:22A-46) is amended to read as follows:
4. The bylaws of the association, which shall initially be recorded with the master deed shall include, in addition to any other lawful provisions, the following:
a. A requirement that all meetings of the executive board, except conference or working sessions at which no binding votes are to be taken, shall be open to attendance by all unit owners, and adequate notice of any such meeting shall be given to all unit owners in such manner as the bylaws shall prescribe; except that the executive board may exclude or restrict attendance at those meetings, or portions of meetings, dealing with (1) any matter the disclosure of which would constitute an unwarranted invasion of individual privacy; (2) any pending or anticipated litigation or contract negotiations; (3) any matters falling within the attorney-client privilege, to the extent that confidentiality is required in order for the attorney to exercise his ethical duties as a lawyer, or (4) any matter involving the employment, promotion, discipline or dismissal of a specific officer or employee of the association. At each meeting required under this subsection to be open to all unit owners, the participation of unit owners in the proceedings or the provision of a public comment session shall be at the discretion of the executive board, minutes of the proceedings shall be taken, and copies of those minutes shall be made available to all unit owners before the next open meeting.
b. The method of calling meetings of unit owners, the percentage of unit owners or voting rights required to make decisions and to constitute a quorum. The bylaws may, nevertheless, provide that unit owners may waive notice of meetings or may act by written agreement without meetings. The executive board or association shall cause to be delivered, through regular or electronic mail, or personal delivery, a meeting notice to the homeowners not less than seven days prior to any meeting.
c. The manner of collecting from unit owners their respective shares of common expenses and the method of distribution to the unit owners of their respective shares of common surplus or such other application of common surplus as may be duly authorized by the bylaws.
d. The method by which the bylaws may be amended, provided that no amendment shall be effective until recorded in the same office as the then existing bylaws. The bylaws may also provide a method for the adoption, amendment and enforcement of reasonable administrative rules and regulations relating to the operation, use, maintenance and enjoyment of the units and of the common elements, including limited common elements.
e. A requirement that an executive board or association shall provide, upon request by a unit owner, the following information: the roster of current board members; contact information for each current board member, consisting of a private electronic mail address by which a board member can be contacted directly by unit owners; board election dates and application forms for candidacy; the most recently adopted annual budget; and insurance information for any policy held by an association, including the names of insurance companies, the name of the broker or provider of the insurance policy, and any applicable policy numbers. The association shall provide the information to the homeowner electronically within one business day of the submission of the request, or, if the homeowner requests a paper copy, within two business days of the submission of the request. When inspection of an insurance policy is requested by a unit owner, an association shall provide the homeowner with an electronic copy of the insurance policy within 24 hours of the submission of the request, or, if the homeowner requests a paper copy, within two business days of the submission of the request.
f. A requirement that any contract for maintenance, management, or operation services entered into by the executive board or association shall provide for 24-hour emergency maintenance or management services, as applicable, which shall include a 24-hour emergency maintenance or management telephone hotline for use by unit owners.
g. A requirement that an executive board or association shall maintain financial records in accordance with generally accepted accounting standards and principles. The records shall be open to inspection by unit owner or their authorized representatives at reasonable times, and written summaries of such records shall be supplied at least annually to the unit owners or their authorized representatives. The failure of the association to permit inspection of its financial records by unit owners or their authorized representatives entitles any persons prevailing in an enforcement action to recover reasonable attorney's fees from the person in control of the books and records who, directly or indirectly, knowingly denied access to the books and records for inspection. The records shall include, but not be limited to (1) a record of all receipts and expenditures; and (2) an account for each unit owner, designating the name and current mailing address of the unit owner, the amount of each assessment, the dates on which and amounts in which the assessments come due, the amount paid on the account, and the balance due.
h. Any amendment, revision, modification, or replacement of any existing bylaws of the association, after the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), shall include the provisions required under each subsection of this section, even when the original bylaws were adopted prior to the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill).
(cf: P.L.1993, c.30, s.4)
2. This act shall take effect immediately.
STATEMENT
This bill establishes additional requirements on homeowners' associations subject to "The Planned Real Estate Development Full Disclosure Act, "N.J.S.A. 45:22A-21 et seq., concerning management companies and public inspection of certain association documents. The bill also requires an association to provide certain annual accounting information to unit owners and modernizes the requirements to allow for the inspection of the association's records by unit owners.
Specifically, the bill requires that an association provide, upon request by a unit owner, the following information:
(i) roster of current board members;
(ii) contact information for each current board member, consisting of a private electronic mail address by which a board member can be contacted directly by association members;
(iii) board election dates and application forms for candidacy;
(iv) the most recently adopted annual budget;
(v) insurance information for any policy held by an association, including the name of insurance companies, the name of the broker or provider of the insurance policy, and any applicable policy numbers.
Regarding contracts with management companies, the bill requires that any contract for maintenance, management, and operation services entered into by the association provide for 24-hour emergency maintenance or management services, as applicable, which must include a 24-hour emergency maintenance or management telephone hotline for use by association members.
Finally, the bill establishes that, when inspection of an insurance policy is requested by an association member, an association shall provide the unit owner with an electronic copy of the insurance policy within 24 hours of the submission of the request. If the unit owner requests a paper copy, an association must provide the policy to the requester within two business days of the submission of the request.
This bill is applicable to condominiums, cooperatives, and generic homeowners' associations while having no effect on residential home or apartment owners that do not belong to a common interest community. The bill is not retroactive, but the new requirements outlined in the bill must be adopted by associations the next time any change is made to the existing bylaws, or when new bylaws are adopted.
