Bipartisan bill seeks to limit authority of HOA boards in Minnesota
At the State Capitol, there is a bipartisan effort to limit the authority of homeowner association (HOA) boards and make their dealings more transparent.
In Minnesota, 1.5 million people live in HOAs. Complaints include that people are being foreclosed on for unpaid fees.
Among the reforms proposed are standards for rules and fines, bar foreclosures for less than $2,500, plain language rules for rights and responsibilities and no board conflicts of interest.
DFL Rep. Kristin Bahner is one of the legislators backing the changes.
"In some cases, the dreams has become their worst nightmare as they become part of an HOA. Everything from really egregious and awkward rules, capricious regulations, folks being foreclosed on for very small amounts," Bahner said.
The Senate bill is backed by Republican Sen. Eric Lucero of St. Michael.
As the legislature enters its final weeks, backers say they have receieved a lot of public support.
Legislators held 14 listening sessions around the state.
"We heard from board presidents, treasurers, homeowners, really thoroughly said this needs to happen. We need to have better rules and regulations," Bahner said.
But an industry organization is campaigning against these changes.
"We feel the reform legislation is unnecessary, as boards of directors are already governed by the Minnesota Common Interest Ownership Act (Ch. 515B) and by each HOA's governing documents, with the vast majority of HOA leaders doing a good job of managing those rules," the HOA Leadership Council said in a statement.
The reform proposals are moving forward in both the Minnesota House and Senate
You can watch WCCO Sunday Morning with Esme Murphy and Adam Del Rosso every Sunday at 6 a.m. and 10:30 a.m.
