BILL ANALYSIS Ó
SB 992
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Date of Hearing: June 18, 2014
ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
Ed Chau, Chair
SB 992 (Nielsen) - As Amended: May 28, 2014
SENATE VOTE : 36-0
SUBJECT : Common interest developments: property use and
maintenance
SUMMARY : Prohibits an HOA from imposing a fine or assessment
against a member who reduces or eliminates watering of
vegetation or lawns during any period during which the Governor
or has declared an emergency due to drought. Includes an
urgency clause.
EXISTING LAW
1)Authorizes the Governor to declare a state of emergency in an
area affected or likely to be affected by drought conditions.
(Government Code Section 8625 and 8558)
2)Directs the Governor to declare the termination of a state of
emergency at the earliest possible date that conditions
warrant, and all powers, granted by the Governor terminate
with the declaration. (Government Code Section 8629)
3)Authorizes a local government to proclaim, by ordinance, a
state of emergency due to drought conditions. (Government Code
Section 8558 and 8630)
4)Defines the governing documents of a CID to mean the
declaration, and any other documents such as the bylaws,
operating rules of the association, articles of incorporation,
or articles of association, which govern the operation of the
CID or HOA. (Civil Code Section 4150)
5)Makes the governing documents of a CID void and unenforceable
if they do any of the following:
a) Prohibit or include conditions that have the effect of
prohibiting low water-using plants as a group;
b) Restrict compliance with a water-efficient landscape
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ordinance adopted by a local government; or
c) Prohibit compliance with any regulation or restriction
on the use of water due to severe water shortage. (Civil
Code Section 4735)
FISCAL EFFECT : None
COMMENTS :
There are over 49,000 CIDs in the state that range in size from
three to 27,000 units. CIDs make up over 4.9 million housing
units which represents approximately one quarter of the state's
housing stock. CIDs include condominiums, community apartment
projects, housing cooperatives, and planned unit developments.
They are characterized by a separate ownership of dwelling space
coupled with an undivided interest in a common property,
covenants and conditions that limit the use of common area,
separate ownership interests, the management of common property,
and enforcement of restrictions by a HOA. CIDs are governed by
the Davis Stirling Act as well as the governing documents of the
HOA including bylaws, declaration, and operating rules.
CIDs and droughts : Under existing law the governing documents
of a CID cannot prohibit a homeowner from installing low
water-using plants as a group. In addition, HOAs cannot prevent
a homeowner from installing landscaping that complies with a
city's or county's water-efficient landscape ordinance or from
complying with any restrictions on watering that a city or
county adopts in response to severe water shortages. There is
nothing that prohibits an HOA from requiring a homeowner to
water their lawn in a case where the Governor has declared a
drought but there is no local ordinance restricting water use.
SB 992 would make it clear that if the Governor declared a state
of emergency due to a drought that homeowners could stop
watering their lawns without being fined by the HOA. The bill
does not prevent a HOA from fining a homeowner if they do not
maintain their yard or comply with requirements in state law to
keep weeds and vegetation at a minimum in high fire areas.
Existing law requires the Governor to declare an end to a state
of emergency, in this case a drought, as soon as conditions
warrant it.
In the beginning of this year, due to record low rainfall, the
Governor declared a drought emergency. The governor's
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declaration called on residents to voluntarily reduce water
consumption by 20 percent. Local governments have authority to
declare a state of emergency through an ordinance. Many cities
have enacted ordinances to restrict watering lawns to a
specified number of days per week during the drought.
The Governor issued the following directive in a subsequent
declaration:
"Homeowners Associations (commonly known as HOAs) have
reportedly fined or threatened to fine homeowners who
comply with water conservation measures adopted by a public
agency or private water company. To prevent this practice,
pursuant to Government Code section 8567, I order that any
provision of the governing document, architectural or
landscaping guidelines, or policies of a common interest
development will be void and unenforceable to the extent it
has the effect of prohibiting compliance with the
water-saving measures contained in this directive, or any
conservation measure adopted by a public agency or private
water company, any provision of Division 4, Part 5
(commencing with section 4000) of the Civil Code
notwithstanding."
Related legislation : This bill is almost identical to AB 2100
(Campos) which passed out of this committee 7-0.
REGISTERED SUPPORT / OPPOSITION :
Support
California Association of Realtors
California Landscape Contractors Association (CLCA)
East Bay Municipal Utility District
The Metropolitan Water District of Southern California
Opposition
None on file
Analysis Prepared by : Lisa Engel / H. & C.D. / (916) 319-2085
SB 992
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