2018 Legislative Update
All new legislation effective as of August 3, 2018
House Bill 2262: Amends sections 33-1228 of the Condominium Act.
1. In the event of a termination of a condominium, the unit owners’ interests are valued at the fair market values of their units, limited common elements, and common element interests, plus an additional five percent (5%) of the total amount for relocation costs for owner-occupied units.
2. The association shall select an independent appraiser to determine the total fair market value.
3. The determination of the independent appraiser shall be distributed to the unit owners and is final unless disapproved by unit owners within sixty days.
4. Any unit owner may obtain a second independent appraisal at the unit owner’s expense, and if the appraisal amount differs from the association’s appraisal amount by five percent (5%) or less, the higher appraisal is final.
5. If the amount determined by the second appraiser is more than five percent (5%) higher than the association’s appraisal amount, the unit owner shall submit to arbitration at the association’s expense, and the arbitration amount is the final sale amount.
6. An additional five percent of the final sale amount shall be added for relocation costs for owner-occupied units.
PB&J: This new legislation adds an additional five percent (5%) to the final sale price of a unit in the event of termination for owner-occupied units. Tenant occupied or unoccupied units will not receive the additional funds. This will help to assist owners with moving expenses in the event of termination. This legislation also increases the time period for review of the association’s independent appraisal from thirty (30) to sixty (60) days, thus allowing the owners additional time to obtain an independent appraisal.
Senate Bill 1465: Amends A.R.S. §36-2061.
Sober Living Homes
1. The Arizona Department of Health Services is required to to certify and license each sober living home in Arizona using rules and minimum standards adopted by a recognized national organization.
2. The licensure of a sober living home is for one (1) year. Any person operating a sober living home without a license shall pay a civil penalty of up to one thousand dollars ($1,000) for each violation.
3. A sober living home must comply with all federal, state, and local laws.
PB&J: Under the Fair Housing Act, an association must allow sober living homes within the community. Prior to this legislation, sober living homes in Arizona were largely unregulated. Associations have had difficulty enforcing violations of the community rules with improperly run sober living homes. This new legislation provides standards and guidelines for the operation of a sober living home.
House Bill 2240: Amends A.R.S. §12-1551.
1. Provides that judgments are now valid for ten (10) years, increased from five (5) years.
PB&J: Allows an association an additional five (5) years to collect on a judgment before renewal. PBJ provides renewal at no cost to the Association.