SB393: SB393 "HOA Accountability and Training Act"; enact

26 LC 63 0028 Senate Bill 393 By: Senators Kemp of the 38th, James of the 28th, Jones II of the 22nd, Howard of the 35th, Jackson of the 41st and others A BILL TO BE ENTITLED AN ACT To amend Article 6 of Chapter 3 of Title 44 of the Official Code of Georgia Annotated, the1 "Georgia Property Owners' Association Act," so as to prohibit a property owners' association2 from exercising enforcement authority over traffic laws, ordina nces, or regulations; to3 authorize requests to law enforcement agencies to enforce traff ic laws, ordinances, or4 regulations within a privately owned residential area; to provide for training; to provide for5 rules and regulations; to provide for a short title; to provide for related matters; to repeal6 conflicting laws; and for other purposes.7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 SECTION 1.9 This Act shall be known and may be cited as the "HOA Accountability and Training Act."10 SECTION 2.11 Article 6 of Chapter 3 of Title 44 of the Official Code of Georgia Annotated, the "Georgia12 Property Owners' Association Act," is amended in Code Section 44-3-231, relating to powers13 and duties of association and legal actions against agent or em ployee of association, by14 revising subsection (a) as follows:15 S. B. 393 - 1 - 26 LC 63 0028 "(a) Except to the extent prohibited by the instrument and subject to any restrictions and16 limitations specified therein, the association shall have the power to:17 (1) Employ, retain, dismiss, and replace agents and employees to exercise and discharge18 the powers and responsibilities of the association;19 (2) Make or cause to be made additional improvements on and as a part of the common20 area;21 (3) Grant or withhold approval of any action by one or more lot owners or other persons22 entitled to occupancy of any lot if such action would change the exterior appearance of23 any lot, or any structure thereon, or of any other portion of the development or elect or24 provide for the appointment of an architectural control committ ee to grant or withhold25 such approval; and26 (4)(A) Enforce all lawful provisions of the property owners' associa tion instrument in27 accordance with and pursuant to all powers granted by this article, by Chapter 2 or 3 of28 Title 14 as may be applicable, and as provided for in the instrument, including, but not29 limited to, by an action to recover sums due; for damages; for injunctive relief, without30 regard to whether other remedies may exist or be adequate, provided that the provisions31 of Code Section 44-3-223 and the instrument are complied with; or for any other remedy32 available at law or in equity to the association.33 (B) Notwithstanding subparagraph (A) of this paragraph, a prop erty owners'34 association shall not have the authority to enforce any state o r local traffic laws,35 ordinances, or regulations, including, but not limited to, park ing violations under36 Article 10 of Chapter 6 of Title 40; provided, however, that th e property owners'37 association may elect to have such laws, ordinances, or regulations enforced by a local38 law enforcement agency within a privately owned residential area in accordance with39 Code Section 40-6-3."40 S. B. 393 - 2 - 26 LC 63 0028 SECTION 3.41 Said article is further amended by adding a new Code section to read as follows:42 "44-3-236.43 (a) On or before January 1, 2028, the Secretary of State shall develop and implement or44 approve a training program of at least four hours in duration for members of the board of45 directors or other governing body of a property owners' associa tion which shall include46 instruction on the following topics:47 (1) Member roles and fiduciary duties, including, but not limited to, financial literacy;48 (2) Best practices for record keeping, document retention, and meetings;49 (3) Conflicts of interest;50 (4) Compliance with this article and association instruments, articles of incorporation,51 and bylaws, including, but not limited to, voting requirements, quorums, and enforcement52 of provisions within such instruments, articles, and bylaws;53 (5) Contract procurement and oversight; and54 (6) Effective communication and conflict resolution.55 (b) Each member of the board of directors or other governing body of an association shall56 complete the training set forth in subsection (a) of this Code section within 90 days of his57 or her initial appointment or election to such board or body.58 (c) The Secretary of State is authorized to promulgate rules and regulations to implement59 the provisions of this Code section.60 SECTION 4.61 All laws and parts of laws in conflict with this Act are repealed.62 S. B. 393 - 3 -