by Raymond Daniel Burke | Mar 16, 2017
Senate Bill 809 and House Bill 1369, now pending in the Maryland General Assembly, would require a condominium council of unit owners to provide at least 30-days notice to all unit owners of any sale, including a tax sale, of a common element. The bills would add new Subsection 11-108(d) to the Maryland Condominium Act. The legislation would also add new Subsection 14-804(e) to the Tax Article to provide that a council of unit owners must give at least 30-days notice to the unit owners when a tax lien has been imposed on a common element.
The proposed law would create a similar notice requirement for homeowner associations with respect to a sale of any common area in the community by adding new Section 11B-106.2 to the Maryland Homeowner Association Act. Proposed new Subsection 14-804(e) of the Tax Article would also require notice by a homeowner association when a tax lien is imposed on any common area.
by Raymond Daniel Burke | Mar 10, 2017
House Bill 789, now pending in the Maryland General Assembly, would reduce the percentage of affirmative votes required to amend condominium bylaws. Under Section 11-104(e) of the Maryland Condominium Act, condominium bylaws may only be amended upon a vote of two-thirds (66 2/3 percent) of the unit owners. The proposed legislation would reduce this to 55 percent. Significantly, it would also permit the bylaws themselves to establish an even lower percentage. Additionally, the bill would limit the voting to members in “good standing, ” which is defined as not being more than 90 days in arrears as to assessments, and not in violation of any provision of the declaration, bylaws or rules and regulations. This, of course, could have the affect of further reducing the number of votes required for a bylaw amendment.
The proposed legislation contains similar provisions to reduce the percentage vote required for bylaw amendments under Section 11B-116 of the Maryland Homeowners Association Act.
by Raymond Daniel Burke | Feb 28, 2017
House Bill 496, now pending in the Maryland General Assembly, would give express authority to Homeowner and Community Associations in Baltimore County to bring a court action seeking relief from or abatement of an alleged nuisance. Under current Section 14-125 of the Real Property Article, “community associations” have authority to seek injunctive or other relief in the Circuit Court for Baltimore County for abatement of a nuisance. However, a community association” is limited to a “non-profit corporation.” The proposed legislation would broadly expand the definition of a “community association” to include a “non-profit association, corporation, or other organization.” Current law also requires that “community associations” be comprised of “at least 20% of the total number of households as members, with a minimum of 40 or more individual households as defined by specific geographic boundaries in the bylaws or charter of the community association.” The proposed legislation would do away with these requirements, and simply require that the association, corporation or other organization be “composed of residents of a community defined by specific geographic boundaries.” As such, it could be read to apply to condominium councils of unit owners as well as homeowner associations.
by Raymond Daniel Burke | Feb 21, 2017
House Bill 500, now pending the Maryland General Assembly, provides for a proposed amendment to Section 11-104 of the Maryland Condominium Act that would allow a condominium’s bylaws to include “a restriction or prohibition on smoking tobacco products within the units or in the common elements.” The proposed legislation would also amend Section 11-111 to authorize a council of unit owners to adopt a rule imposing such a restriction or prohibition.
The bill also would also add new Section 11B-111.7 to the Maryland Homeowners Association Act, which would permit a homeowner association to “include in its declaration, bylaws, rules, or recorded covenants and restrictions a provision that restricts or prohibits the smoking of tobacco products in any multi-unit dwelling or in the common areas. A “multi-unit dwelling” is defined in the bill as “a town house, a row house, or any other individually owned dwelling unit that shares a common wall, floor, or ceiling with another individually owned dwelling unit.”
The proposed legislation would also amend Maryland Real Property Code Section 8-208 to permit landlords to include in written residential leases “a restriction or prohibition on smoking tobacco products within the dwelling unit or elsewhere on the premises.”
by Raymond Daniel Burke | Feb 13, 2017
House Bill 41 now pending in the Maryland General Assembly would require condominiums, homeowner associations and cooperative housing corporations to register annually with the Maryland Department of Assessments and Taxation. Similar to a bill that was filed during the 2016 session but did not pass, the proposed law would require registration information that includes the name and contact information for each officer, board member, and property manager. along with such other information as the Department might require. The bill proposes a $3 registration fee, and a $50 fine for failing to register.
by Raymond Daniel Burke | Nov 8, 2016
The Maryland Condominium Act, at Section 11‑109.2, makes mandatory an annual budget, and requires that the proposed budget be submitted to the unit owner membership at least 30 days before it is adopted. It is also required that the budget contain seven specific line items. These line items — income, administration, maintenance, utilities, general expenses, reserves, and capital items — must be set forth in the budget without exception and without to regard to any other line items that may be included. The adoption of the budget is required to take place at an open meeting of the owners. Here is the complete test of Section 11-109.2:
(a) Preparation and submission.—The council of unit owners shall cause to be prepared and submitted to the unit owners an annual proposed budget at least 30 days before its adoption.
(b) Items required to be included. – The annual budget shall provide for at least the following items:
(1) Income;
(2) Administration;
(3) Maintenance;
(4) Utilities;
(5) General expenses;
(6) Reserves; and
(7) Capitol items.
(c) Adoption. – The budget shall be adopted at an open meeting of the council of unit owners or any other body to which the council of unit owners delegates responsibility for preparing and adopting the budget. (more…)
