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h_sa_2016a_2016-02-22t13:38:10z0 Hearing Summary

Date: 02/22/2016



Final

BILL SUMMARY for HB16-1133



HOUSE COMMITTEE ON STATE, VETERANS, & MILITARY AFFAIRS


Votes: View--> Action Taken:
Adopt amendment L.001 (Attachment A) to House Bill

Postpone House Bill 16-1133 indefinitely. The moti

Refer House Bill 16-1133 to the Committee on Finan
FAIL

PASS

FAIL







01:38 PM -- HB16-1133



Representative Windholz, sponsor, presented House Bill 16-1133 to the committee. Under current law, the Division of Real Estate within the Department of Regulatory Agencies (DORA) licenses community association managers (managers), who contract with homeowners' association (HOA) to provide certain functions. The bill removes an existing exemption from licensing requirements for managers of timeshare communities and defines "small HOA community association managers" as one who serves one or more communities with a combined 30 units or less. DORA must adopt less stringent educational and examination requirements, and reduced fees, for these managers of small HOAs. The bill also requires DORA to publish certain information on their website about licensed managers, including names, penalties, license types, pending complaints and disciplinary proceedings. The bill prohibits providers of educational courses for managers from also administering licensure exams and requires DORA to certify all out-of-state education providers every two years, or whenever laws related to HOA property manager responsibility and governance are passed. The bill adds several new violations to the list of offenses by licensed managers, including failing to meet the disclosure requirements of the bill, violating the governing documents of an HOA, and failing to notify an HOA board member and DORA within specified time frames of actions that violate the law and have not been corrected.



All HOA managers are required to annually provide a copy of their license to the executive board of each HOA with whom the manager contracts. Managers must make certain disclosures of each fee, assessment, or collection received to the HOA, unit owner, or third party such as a title company or mortgagee, including transfer fees. The bill stipulates what must be included in disclosures to each party and requires that a detailed listing and justification of transfer fees be provided to the parties of a purchase and sale at least three days before closing.



Representative Windholz discussed amendment L.001 (Attachment A) and a fiscal analysis of the amendment (Attachment B).



16HouseState0222AttachA.pdf16HouseState0222AttachA.pdf 16HouseState0222AttachB.pdf16HouseState0222AttachB.pdf



01:44 PM --
Molly Foley-Healy, Brandon Helm, and Jeff Kutzer, representing Community Associations Institute (CAI), testified against the bill and answered questions from committee members.



01:55 PM --
Stan Hrincevich, representing the Colorado HOA Forum, testified in support of the bill.



01:59 PM --
Todd Fackler, representing MSI, testified against the bill and answered questions from committee members.



02:04 PM --
Brian Terhark, representing Westwind Management Group, testified against the bill and answered questions from committee members.



02:10 PM --
Jeff Andrews, representing the Colorado Hotel & Lodging Association and East West Resorts, testified against the bill.



02:12 PM --
James Phifer, representing ACCU Property Management, testified against the bill.



02:13 PM --
William Such, representing Homestead Management Group, testified against the bill.



02:16 PM --
Chris Crigler, representing CAP Management, testified against the bill and provided a handout (Attachment C).



16HouseState0222AttachC.pdf16HouseState0222AttachC.pdf



02:19 PM --
Jennie Heinz, representing Overlook Property Management, testified against the bill.

BILL: HB16-1133
TIME: 02:21:41 PM
MOVED: Neville P.
MOTION: Adopt amendment L.001 (Attachment A) to House Bill 16-1133. The motion failed on a vote of 3-6.
SECONDED:
VOTE
Foote
No
Humphrey
Yes
Leonard
Yes
Neville P.
Yes
Primavera
No
Tyler
No
Wist
No
Lontine
No
Ryden
No
YES: 3 NO: 6 EXC: 0 ABS: 0 FINAL ACTION: FAIL





02:23 PM



Representative Windholz wrapped up her presentation of the bill.

BILL: HB16-1133
TIME: 02:24:59 PM
MOVED: Humphrey
MOTION: Refer House Bill 16-1133 to the Committee on Finance The motion failed on a vote of 0-9.
SECONDED: Neville P.
VOTE
Foote
No
Humphrey
No
Leonard
No
Neville P.
No
Primavera
No
Tyler
No
Wist
No
Lontine
No
Ryden
No
YES: 0 NO: 9 EXC: 0 ABS: 0 FINAL ACTION: FAIL




BILL: HB16-1133
TIME: 02:27:29 PM
MOVED: Lontine
MOTION: Postpone House Bill 16-1133 indefinitely. The motion passed on a vote of 9-0.
SECONDED: Foote
VOTE
Foote
Yes
Humphrey
Yes
Leonard
Yes
Neville P.
Yes
Primavera
Yes
Tyler
Yes
Wist
Yes
Lontine
Yes
Ryden
Yes
Final YES: 9 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS












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