ARIZONA STATE SENATE
Phoenix, Arizona
covenants dissolved;
residential property
(NOW: building permits;
notice; community)
Requires a municipality or county for any permit issued to inform permit holders that a subdivision or other community may have building restrictions more stringent than those of the municipality or county. Allows property owners of a subdivision without an established association to amend the declaration by a two-thirds vote.
Background
All municipalities and counties in Arizona require a building permit before construction, additions or alterations are made to a property. The process for obtaining building permits depends upon the scope of work planned and the municipality or county’s development standards, application procedures and other requirements. Oftentimes, the proposed construction, additions or alterations to a property is located in a subdivision or other community that has building restrictions that exceed the limits set by the municipality or county. S.B. 1262 requires a municipality or county for any building permit issued to inform the permit holder that the subject of the permit may be located in a subdivision or other community that may have building restrictions more stringent than those of the municipality or county.
Currently, the declaration against a subdivision provides the structure for rules relating to voting and amending declarations and codes, covenants and restrictions. S.B. 1262 allows the property owners of a subdivision without an established homeowners association (HOA) to amend the declaration by a two-thirds vote.
There is no anticipated fiscal impact to the state general fund.
Provisions
1. Requires a city, town or county for any building permit issued to include a notice informing the permit holder that the subject of the permit may be located in a subdivision or other community that may have building restrictions more stringent than those of the city, town or county.
2. Allows property owners in a subdivision to amend the declaration by a two-thirds vote, provided the declaration does not require the formation of an HOA.
3. Exempts H0As from the residential property covenant amendment provisions.
4. Provides for a general effective date.
Amendments
Adopted by Committee
· Adopted the strike everything amendment.
Amendments
Adopted by Committee of the Whole
1. Makes the notice on the building permit relating to building restrictions apply to a subdivision or other community, rather than limiting it to a condominium or planned community.
2. Replaces provisions allowing members of a planned community association to amend the declaration by a simple majority vote of the members at a regular or special meeting with a new section of law that would allow property owners in a subdivision to amend the declaration by a two-thirds vote, provided the declaration does not require the formation of an HOA.
3. Specifies that the provisions do not apply to amendments to the declaration for an HOA.
4. Provides for a general effective date.
Senate Action
COM 3/13/02 DPA/SE 5-0-1
3rd Read 3/21/02 29-0-1
Prepared by Senate Staff
March 21, 2002