BILL ANALYSIS                                                                                                                                                                                                    Ó



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          SENATE THIRD READING
          SB 209 (Corbett)
          As Amended  June 6, 2011 
          Majority vote 

           SENATE VOTE  :25-14  
           
           HOUSING             6-0         JUDICIARY           7-3         
           
           ----------------------------------------------------------------- 
          |Ayes:|Torres, Bradford,         |Ayes:|Feuer, Atkins, Dickinson, |
          |     |Cedillo, Hueso, Jeffries, |     |Huber, Huffman, Monning,  |
          |     |Miller                    |     |Wieckowski                |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |Nays:|Wagner, Beth Gaines,      |
          |     |                          |     |Jones                     |
           ----------------------------------------------------------------- 
          SUMMARY  :  Makes void and unenforceable any covenant, restriction 
          or conditions contained in any deed, contract, security 
          instrument, or other instrument in a common interest development 
          (CID) that prohibits or restricts the installation of an 
          electric vehicle charging stations.  Specifically,  this bill  :   

          1)Defines an "electric vehicle charging station" as the 
            following:

             a)   designed in compliance with the California Building 
               Standards; 

             b)   delivers electricity from a source outside an electric 
               vehicle into one or more electric vehicles;

             c)   may include several charge points simultaneously 
               connecting several electric vehicles to the station; and, 

             d)   any related equipment needed to facilitate charging 
               plug-in electric vehicles. 

          1)Permits the application of reasonable restrictions on electric 
            vehicle charging stations.

          2)Declares that it is the policy of the state to promote, 
            encourage, and remove obstacles to the use of electric vehicle 








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            charging stations. 

          3)Defines "reasonable restrictions" as those that do not 
            significantly increase the cost of the station or decrease its 
            efficiency or performance. 

          4)Requires electric vehicle charging stations to meet applicable 
            health and safety standards and requirements imposed by state 
            and local permitting authorities. 

          5)Requires a homeowners association (HOA) to process and approve 
            a request to install an electric charging station in the same 
            manner as an architectural modification to the property and to 
            not willfully delay or avoid approval. 

          6)Requires the approval or denial of an electric vehicle 
            charging station to be in writing.

          7)Provides that if an application is not denied within 60 days 
            from the date it is received the application will be deemed 
            approved unless the delay was a result of a reasonable request 
            for additional information. 

          8)Provides that if an electric vehicle charging station is to be 
            placed in the common area or an exclusive use common area, the 
            owner must obtain approval to install the electric vehicle 
            charging station.

          9)Provides that if an electric vehicle charging station is to be 
            placed in the common area or an exclusive use common area, the 
            homeowner must agree in writing to all the following: 

             a)   comply with the architectural standards for 
               installation;

             b)   engage a licensed contractor to install the station;

             c)   within 14 days of approval provide a certification of 
               insurance that names the HOA as an additional insurer under 
               the homeowner's insurance policy; and, 

             d)   pay for the electricity usage associated with the 
               station. 









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          1)Requires that any owner and each successive owner of the 
            parking stall on which or near where the electric vehicle 
            charging station is placed is responsible for all of the 
            following: 

             a)   cost for any damage to the station, common areas, 
               exclusive common areas, or adjacent units resulting from 
               the installation, maintenance, repair, removal or 
               replacement of the station;

             b)   cost for the maintenance, removal, repair and 
               replacement of the electric vehicle charging station until 
               it has been removed from the common area or exclusive use 
               common area;

             c)   the cost of electricity associated with the station; 
               and, 

             d)   disclosing to prospective buyers the existence of any 
               electric vehicle charging station and the related 
               responsibilities of the homeowner. 

          1)Requires any homeowner and each successive homeowner to 
            maintain an umbrella liability coverage policy for $1 million 
            and name the HOA as an additional insured under the policy 
            with a right to notice of cancellation.

          2)Provides that an HOA that willfully violates this section is 
            liable for actual damages and shall pay a civil penalty to the 
            applicant in an amount not to exceed $1000. 

          3)Provides in any action to enforce compliance with this section 
            the prevailing plaintiff is entitled to reasonable attorney 
            fees.  

           FISCAL EFFECT  :  None 

           COMMENTS  :  There are over 47,000 CIDs in the state that range in 
          size from three to 27,000 units.  CIDs make up over six million 
          total housing units which represents approximately one quarter 
          of the state's housing stock.  In the 1990s, over 60% of all 
          residential construction starts in the state were CIDs.  CIDs 
          include condominiums, community apartment projects, and housing 
          cooperatives, and planned unit developments.  They are 








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          characterized by a separate ownership of dwelling space coupled 
          with an undivided interest in a common property, restricted by 
          covenants and conditions that limit the use of common area, and 
          the separate ownership interests and the management of common 
          property and enforcement of restrictions by an association.  
          CIDs are governed by the Davis Stirling Act (Civil Code Section 
          1350 et al.) as well as the governing documents of the 
          association including the bylaws, declaration, and operating 
          rules.  Except when CIDs are first developed, no state agency 
          provides ongoing oversight to these communities.  

          The governing documents of CIDs generally require approval of 
          the HOA before an owner can make improvements or alterations to 
          their separate interests.  HOAs are required to provide a fair, 
          reasonable, and expeditious procedure for reviewing applications 
          for improvements or alterations.  In the case of the 
          installation of energy savings technology, the Legislature has 
          taken proactive steps to ensure that HOAs cannot deny a 
          homeowner's request to make changes to his or her separate unit. 
           In 2008, AB 1892 (Smyth), Chapter 40, Statutes of 2008 
          clarifies that any provision of the governing documents of a CID 
          that prohibits or restricts the installation or use of a solar 
          energy system is considered void and unenforceable.

          According to the author, existing law allows for a CID to deny 
          an application for installation of electric vehicles.  This bill 
          seeks to address that problem by making void a prohibition on 
          the installation of electric vehicles in CID governing 
          documents.  The author offers as evidence for the need for the 
          bill, a recent case in Hawaii where a homeowner in a CID was 
          denied the right to install an electric charging device.  This 
          bill is an effort to preempt a potential problem in this state 
          but making clear that the Legislature supports homeowner's 
          rights to charge electric vehicles. 


           Analysis Prepared by  :    Lisa Engel / H. & C.D. / (916) 319-2085 





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