Friday, January 4, 2013

NEW YEAR, NEW RECORD KEEPING REQUIREMENTS FOR COLORADO HOAS

Effective as of January 1, 2013, owners' associations governed by the Colorado Common Interest Ownership Act (CCIOA) must maintain the following records, in addition to the other records required to be maintained under CCIOA:

 1.  Detailed records of receipts and expenditures affecting the operation and administration of the Association;
2.  Records of claims for construction defects and amounts received pursuant to settlement of those claims;
3.  Minutes of all meetings of its unit owners and executive board, a record of all actions taken by the unit owners and executive board without a meeting, and a record of all actions taken by any committee of the executive board;
4.  Certain written communications among, and the votes cast by, executive board members;
5.  A list of the names and mailing addresses of the unit owners showing the number of votes each unit owner is entitled to vote, or the owner thereof, if the unit is a time-share;
6.  Financial statements for the past three years and tax returns for the past seven years, to the extent available;
7.  A list of the names, e-mail addresses and regular mail addresses of the current executive board members and officers;
8.  The most recent annual report delivered to the Colorado Secretary of State, if any;
9.   The Association's most recent reserve study, if any;
10.  Current written contracts to which the Association is a party and contracts for work performed for the Association within the past two years;
11.  Records of executive board or committee actions to approve or deny an request for design or architectural approval from unit owners;
12.  Ballots, proxies, and other records related to voting by unit owners for one year after the election or action;
13.  Resolutions adopted by its board of directors relating to the characteristics, qualifications, rights, limitations, and obligations of members or any class or category of members; and
14.  All written communications within the past three years to all unit owners generally as unit owners.

See, C.R.S. sec. 38-33.3-317 (repealed and reenacted, with amendments, by H.B. 12-1237, Eff. Jan. 1., 2013).

New Section 38-33.3-317 also sets forth procedures for inspection and copying of records by unit owners and their agents, identifies certain records that the Association may withhold from inspection and copying (e.g., current contracts, architectural plans, communications with legal counsel), and provides that, without the consent of the Association, information contained in the records may not be sold to third parties, used to solicit money or property (except where the money or property is to be used for solicitation of votes), or used for any other commerical purpose.

Posted By:  Brent W. Houston, Esq.