Colorado SB 15-177, construction
defects reform, is aimed at reducing the number of law suits entered into by
HOAs and to define, improve upon, and reduce the cost of dispute
resolution. This particularly impacts HOA home owners as it requires the
approval of home owners prior to the HOA spending its' funds on
litigation. Too often HOA Boards at the encouragement of their lawyer
enter into costly litigation without the knowledge or approval of home
owners. The consequences can be burdensome special assessments and
increases in HOA dues to pay for the litigation and replenish reserve funds.
The Colorado HOA Forum, representing
home owner interests, supports this legislation as currently proposed.
The Bill is opposed by the Community Association Institute (CAI) with a
membership comprised mostly of property managers and HOA and trial lawyers.
Lakewood, CO and most recently
Lone Tree, CO have enacted local ordinances similar to the proposed SB
15-177.
We have monitored press releases on
both the Lakewood and Lone Tree efforts. The press (Denver Post,
Denver Business Journal, and TV news) has again mentioned that opposition
to the subject Bill is strong among HOA organizations and HOA home
owners. We challenged the media to identify just one HOA organization
(members being HOAs) and/or one HOA home owner's organization (mostly home
owners as members). TO DATE NEITHER COULD IDENTIFY ONE!
THERE IS NO HOA OR HOA HOME OWNER's ORGANIZATION IN THE STATE TO OUR
KNOWLEDGE OR THE MEDIA'S EXCEPT THE COLORADO HOA FORUM, NONE,
LET ALONE ANY WHO OPPOSE SB 15-177.
This happens time and again with HOA
issues: those representing the home owner's opinion being organizations
and trial lawyers that are a hindrance to and block any HOA legislative reform
such as the CAI.
This misrepresentation of who
represents HOA home owners exemplifies why our issues for legislative
reform and SB 15-177 have such controversy and difficulties in
gaining support: the opposition identified basically doesn't exist
and/or misrepresents itself as supportive of home owners.
Below is a link to the latest
article from the Denver Business Journal that suggests opposition from phantom
organizations such as home owner groups and HOA entities:
http://www.bizjournals.com/denver/blog/real_deals/2015/02/lone-tree-to-take-up-construction-defects.html
We ask the press to once again get
it right and verify who represents home owners and those who reject
legislative reform that promotes home owner's rights and good governance.
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