Connecticut Condo Laws: What Is Coming Next

 With the end of the General Session, Governor Malloy has signed into law several bills affecting residents of Connecticut common interest communities.

These new laws represent significant progress by giving condo owners more control and awareness of the management of their community interest association. CCOC is clearly aware that additional legislation is needed to ensure that the rights of condo owners are fully protected.

To accomplish that, CCOC will continue to work with the Governor’s Office, the Attorney General’s Office, the CT Chapter of the Community Association Institute, and key legislators.

Rep. James Albis, 99th Assembly District, a champion of Connecticut condo owners, was instrumental in assisting CCOC accomplish its goals for this year. Our proposals received nearly unanimous support from members of the General Assembly. House and Senate representatives were open to emails and phone calls and always available to listen to reason and explanation for the bills being proposed.

These new laws addressed some of the major concerns brought to CCOC from Connecticut condo owners.

PA 13-289 signed by Governor Malloy is a major step in CCOC’s efforts on behalf of condo owner holding community association managers accountable for compliance with the laws governing common interest communities.

This legislation authorizes the Real Estate Commission to place a community association manager on probation, issue the manager a letter of reprimand or revoke, suspend, or refuse to renew a manager’s registration for a “a knowing and material violation of any provision of The Condominium Act (Chapter 825 of the General Statutes) or The Common Interest Ownership Act (Chapter 828 of the General Statutes).

As many of CCOC’s past articles have cited, there are many Boards of Directors and property managers that are conscientious and hardworking. Conversely, in other instances,  unit owners were unable to receive an agenda prior to the meeting even though prior law cited meeting materials distributed to the directors are to be made available to unit owners at the same time. This was circumvented by some boards/managers by distributing these materials to the board on the evening of the meeting. Effective 10/1/2013 an agenda shall be made available to unit owners no later than 48 hours prior to the meeting.

PA13-289 also specifies how an association is to provide a proxy form to unit owners [watch for future articles on this subject] and enforces the ability for unit owners to receive financial reports to include all reserve accounts.

CAI’s Legislative Action Committee was a major influence working diligently on PA 13-156.

Condo associations will now be reimbursed for nine months of condo fees. If the foreclosure takes longer, the association can continue to receive 9 months of fees every year.

Through the hard work of many spearheaded by Rep. Arthur J. O’Neill, PA 13-182 revised voting requirements governing the rejection or approval of proposed budgets and special assessments by unit owners in common interest communities. The new law creates an exception for common interest communities that have at least 2,400 residential units and were established before July 3, 1991. The bill provides that, for these communities and master associations, a proposed budget or assessment is approved unless a majority of unit owners participating in the vote rejects it and at least one-third of unit owners entitled to vote on the measure vote to reject it. This is a major victory for residents of Heritage Village and, at the same time, does not affect the many smaller common interest communities in Connecticut.

In the fall of 2012 CCOC had more than 40 comments posted citing concerns, problems, and issues from condo owners. In culling through these comments, your emails and phone calls; language for proposed bills for the 2013 session were developed.

As a start to our next legislative agenda, we will, once again, solicit seeking input from all condo owners.  Some problems CCOC has been made aware of are:

  1. Recourse for unit owners to have issues addressed without having to hire legal counsel. CCOC will continue to explore mediation programs that would resolve disputes without superior court action.  Rep. Ablis’ proposal to establish two mediation pilot programs was not successful.  CCOC will continue to explore this and other similar alternatives.
  1. There is a need for legislation that would require all Associations to regularly conduct a professional audit of their year-end financial records.
  1. Legislation for unit owners who are unable to have repairs that are the responsibility of an association performed timely.

With the passage of PA 13-289, CCOC will seek to network with the Real Estate Commission and the Department of Consumer Protection regarding the complaints received against community association managers and the resolution of these complaints.  This, hopefully, will alert CCOC to continuing issues to further strengthen existing legislation.

We need your feedback. We encourage all members to email CCOC with suggestions or problems.  Complaints should be based on fact, not innuendo. Copies of emails and/or correspondence substantiating your problem should be included.

Gail Egan – gail-ccoc@cox.net

George Gombossy – ggombossy@gmail.com

CCOC has been compiling much of the information sent by members that will be used to develop a survey that will be sent to CCOC members. We are also developing a method by which the survey will be available to non-members visiting our website. The information gleaned from the survey, in addition to data from state agencies will assist in developing proposed legislation for next year.

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17 Responses to Connecticut Condo Laws: What Is Coming Next

  1. ALAN Fishman says:

    Great work everyone.
    1. Lets see if the new Reserve Reporting Requirements will force our Association and others to REPORT RETROACTIVELY ALL PROJECTS CURRENLTY ACTIVE BUT NOT COMPLETED BY 10/1/13

    2. If the Management Companies try to look the other way and allow the cooking of books to continue, we now can file actions against the management companies.

  2. L says:

    There needs to be a law that holds Board Members liable and Property Managers for playing politics and targeting, harassing certain home owners/tenants if they do not like them. Who holds them accountable to the Rules and Regulations and Bylaws?

    Please, please make this a priority. Unit owners should not have to hire their own attorney to get resolution while the Board can use the Association’s attorney.

    Please help.

    Thank you

    • pat says:

      You are 100% right. I have been picked on by our board for years. This last time they wouldn’t let me talk at the semi annual meeting. Many people in the audience, were saying,”let her talk”. They called the police on me, and so on and so on. The board scheduled a “hearing” on my behavior. This happens at least twice a year. It has been a witch hunt on me because I was involved with the board in all capacities for 20 0f the 38 years I have lived here. I had to pay $1000 to retain an attorney, so I paid for a lawyer against me and one that was with me. Ridiculous!!! How do I stop this harassment. All I ever dis was try to give them a little experience and the boards hates that. This board also doesn’t follow bylaws “ie” 3 bids, voting discrepancies, bias, and a million more. What to do?
      Pat

    • Christine says:

      I agree!

    • Anthony says:

      I concur with L. We have a situation in which our fees were doubled to pay for a management company. The board got rid of the management company at least five years ago yet the fees remain the same?! We don’t even receive an annual budget. Most of us feel we are just throwing money into a fire. Something has to be done about it!

  3. L says:

    Bylaws were changed by Attorney and Board, however, owners did not talk about them and Board said since the Declaration was voted on that made the Bylaws approved without a meeting on them?

    Please advise

    Thank you

  4. ALAN Fishman says:

    Hi “L”
    Bylaws cannot be changed without an owner vote. The attorney and board cannot change the Bylaws on their own. But, I’ve know boards or even a few people on a board that do completely illegal stuff without any repercussions because the unit owners or other board members and management company look the other way.

    Rules and Regulations can be changed by board if the change is a “fine tuning” of what is already allowed by the bylaws or Declaration. But again, a board can do what they wish as long as no one challenges them.

  5. ALAN Fishman says:

    Hey George,
    Fix the clock on these replies.

    Alan

  6. Blanche Goodwin says:

    I have concerns about condo associations who put unit #’s on proxy votes so they know how someone voted….

    I have concerns about no regulations for what presidents of associations can say and do…often rudely…often abusing power…taking advantage of either older residents…intimidating…letters that need not be sent when a kind phone call would do…causing a communiy of fear…

    I had to spend $1150 on an attorney to get our president off my case…never went to court…but this is costly…yes it worked but not everyone had my courage…

    Appreciate all the hard work the group is doing.

    • Christine says:

      They do that with the proxies where I live also. Nothing is secret when you vote around here at my complex. Quite disgusted.

  7. Bonnie Soucy says:

    I recently had to litigate against the association because they failed to allow me submit an insurance claim for water damage which was caused by a tenant. That is not the issue here although I cited PA 9-225 and clearly showed the board violated a duty to care and apply reasonable care, the judge sided with the association and said the bylaws took precedent over CT State law!! Although I was just going through the motions to complete the circle, this ruling gives the board the authority to do just about anything even if there is a State law on the books that requires them to act. It will be interesting to see how this Oct law plays put in getting this under control. These boards are very scary to say the least!

  8. Veritas says:

    From the previous comments I gather that some folks just don’t like to be told they are violating a rule or by-law–and especially don’t like to put or receive anything in writing. Notifying a unit owner in writing is part of good management. There is no question as to what is on a piece of paper; whereas, a “simple phone call” winds up being a “he said” “she said” issue and there is no way to prove it. Selective hearing presides. Also, requiring unit owners to put their requests/complaints in writing prevents folks from blaming the board/management company in the event the issue doesn’t turn out in favor of the complainer. To change the bi-laws is costly and time consuming because not only does every unit owner have to be officially notified but also every mortgage holder must be notified. Once by-laws are amended/changed a vote of the entire community must take place. This should only be done through an attorney and is expensive. It cannot be done in secret. Rules & Regulations may be changed/amended by the board of directors however, when done, must be sent to all unit owners with changes clearly marked/outlined.
    Serving on a board of directors is a thankless task that not only entails a lot of time and effort, but also subjects board members to telephone calls at all hours and being “accosted” by residents when you are going to get your mail. You never hear “wow, this looks nice,” or “you folks are doing a good job,” just more and more of “I don’t like the way the landscapers cut the grass,” or “why don’t you do something about XXX who parks over there?” Of course the same complainers never have time to either attend board of director meetings or volunteer when asked. Half the time residents complain about things that are really not board responsibility.
    The new law requiring notifying the entire community of the agenda of a board meeting 48 hours prior to the board meeting will require extra funds for mailing these agendas. Each time a new requirement is passed, it inevitably will cost more to implement.

    Also, the comments about the “association’s attorney,” is being portrayed in a slanted fashion. The “association” consists of the unit owners and an “association’s attorney” must be paid for out of the budget of an association (which means all of the unit owners). I don’t know of one association where they have an attorney on payroll. The only time a board of directors would hire an attorney is to protect the rights of the entire association from one particular owner or his/her actions or to represent the association in a litigation against the association. For unknown reasons,some condo owners view the “association” as an entity which is something apart from themselves instead of the community in which they actually live. It’s just amazing that people are given the rules & regulations when they purchase their units and then are shocked when notified of a violation. They just didn’t wake up this morning and find a new set of Rules & Regulations at their doors.
    Once again, because of a few unhappy residents, the majority will pay and pay and pay and pay.

    • Anonymous says:

      @Veritas:

      I was a board member for a few years and I never saw it as a thankless job. However, I will tell you it is not an easy job. You really have to have a passion for this line of work and maintain professionalism. Isn’t that how commercial businesses run? Isn’t Condo Associations a business? Remember, unit owners are your customers as they are in the commercial/business sector. Customers are not to be beaten down and thrown to the curb.

      My experience from working outside of our large scale complex and throughout the State of CT; it appears the majority of unit owners are neglected, abused, harassed and intimidated. If that is not the case, then why is CCOC trying to change the laws for the betterment of the unit owners?

      I believe it is finally catching up in the State of CT for change around the management of the Condo Industry. After 39 years, it is about time that boards and management companies now have to be accountable for their actions.

      So, I am grateful, to CCOC for their continued crusade. Now remember, CCOC is a brand new organization (4 or 5 years?) where our opposition has been around for 39 years.

      The tallest feat is to have the Board of Directors accountable for, it appears their negligence, abusive, harassing and intimidating behavior towards unit owners and believe it or not, property management companies too. Maybe create an “unfair practice” law of some sort?

      I do have to side with the property management companies not being able to control board’s actions. Because property management companies are hired by the board and if they do not perform as the board says then the management company loses their contract. And, contracts are the property management’s bread and butter.

      So in general, what is happening is that Board of Directors will place the blame on the property management companies and unit owners because they will not admit accountability for their own poor management.

      However, if a property management was ethical and saw the Board of Directors behavior, I would hope they would resign. Maybe there is a law somewhere here?

      Lastly, regarding the new agenda law, an agenda will be made available to a unit owner within 48 hours. So the unit owner needs to request the agenda and it will be “made available”. There does not need to be a mass mailing to increase costs. Plus, emailing the agenda is minimal to no cost at all.

      To amend the bylaws, could be a joint effort from unit owners to work together to amend bylaws which can create minimal cost in lawyers fees.

  9. Ivy League says:

    Kudos to “Veritas” for providing an accurate and thoughtful statement regarding condo “problems.” Granted, some Boards and property managers may overstep their bounds and COCC is a wonderful vehicle to help those communities in trouble. But many more of us are faced with a few malcontents who constantly waste our time and the Association’s money and who feel they are entitled to disregard the Rules & Regulations. These are the people who spread false assumptions about the Board and its function. It is indeed a thankless job. Bravo(or Brava)Veritas!

  10. Veritas says:

    Why is CCOC trying to change laws? I believe when the largest complex in CT — Heritage Village complained about rate increases, budgets and special assessments; their legislator in Hartford took the “ball and ran with it,” and allowed government/politics to enter the picture and create changes which not only affect Heritage Village, but also impact every condo complex in CT–regardless of size or financial stability. Subsequently, CCOC has become a forum wherein some people vent their issues—often in a one-sided fashion and politicians love to take up causes—even if the cause may be unilateral. Most condo boards and management companies are responsible and reasonable. Those who accuse boards &/or management companies of “harassing” or “picking on them” never seem specific about the issues themselves. Are those complaining violating their rules/by-laws? What have they done to remedy the situation (other than complain and/or accuse others of unfairness). Here’s a bit of reality: condo living is not for everyone. If you are a person who feels that rules were made for others and you continue to break them and/or dismiss them–why on earth would you choose to live in a condo community?
    I reiterate—the rules/by-laws are no secret. They are (by CT law) made available to purchasers when deposits are placed on a unit. The purchaser has 7 days in which to review those documents and if he/she does not like them—may then opt out of the purchase, no questions asked and immediately get their deposit back. How can it be any easier?
    Rules and regulations are created for reasons, i.e., leashes on pets, cleaning up after dogs, not leaving them outdoors tethered to a tree or fence, etc., protects residents from stepping on feces, and those people who fear animals from being confronted by an animal whose fondness is not shared with the owner and unattended dogs left barking and disturbing neighbors. Blankets, towels, things hanging from porches/railings; children’s toys, lounge chairs, blankets, personal items not being left out at the end of the day, creates a tidy appearance and is respectful to those around you. It also helps landscapers not run over these things. Some complexes prohibit commercial vehicles, trailers, boats, etc. from being on the premises- – this also creates an aesthetic accord of community and residents from having to look at advertising, construction debris, apparatus, etc. Those are just a few of many examples. In order for society to exist harmoniously there are laws (rules)created by government. The same applies to a smaller society called a condo community which has by-laws/rules created and, at times, amended by their government–boards of directors. Like society, there are law breakers; also in condo communities– rule breakers. In both instances violators are never guilty and it is always “the other guy.”

  11. in Vino Veritas says:

    @Veritas:

    I don’t know what state you live in, but in CT, the only laws politicians “love” to pass seem to be those giving carte blanche to the management companies to hire contractors for projects with no accounting or oversight. The CIOA pushed through legislation in 2010 that caused our board to basically give a big middle finger to all the owners.

    “You don’t like our new budget? Too bad, the new law lets us pass whatever we like!”

    As a result of the 2010 changes, regardless of how the majority of voting owners feel, unless we can get most of the owners in the building to vote no, everything passes by default: budgets, projects, increases. The board gets to do whatever it wants, which means the management company gets access to whatever monies it wants, as do various overpaid contractors.

    If you like that idea, I have to wonder if you work fo a management company, a condo law office, a contractor, and if you actually live in a house, not a condo.

  12. Anthony says:

    If a homeowner paid 200,000 for a unit and the association opts not to renew FHA approval, you could find yourself owing 195,000 for a unit now valued at 50K! In my opinion the association should make up the difference between what you owe and the current value since it is their decision not to renew.

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