GET THE JUMP ON 2010 - WHAT'S NEW IN THE DAVIS STIRLING ACT?

What are the changes to the Davis Stirling Act Coming in 2010?

The legislative year is essentially over with regard to bills that will be signed, vetoed, die, or be resurrected uncharacteristically, at least as to changes in the Davis Stirling Act (Civil Code Sections 1351-1378). There are some changes which have already been incorporated into The Davis Stirling Act In Plain English, my best selling publication. This book covers the Act, explanations of how laws came about and how they shake down in the process of implementation, and what they mean - in plain English. And this year I have added forms to the book, including the Assessment and Reserve Study Worksheet, the Statutory Collections Policy, and the brand new "Disclosure Index" for Disclosure Items that must go out with disclosure packages sent by HOA and Condo Associations beginning in 2010. This new index "reorders" things in a way I would not have chosen, but what the heck, at the least it will provide one law that "dictates" what should be included in the annual disclosure package, which means it will be more clear to folks trying to sort through the whole Act to find out what they should do as board members or managers. There are not a lot of places you can go to find that out for free other than this Condoguru website.

I will soon be updating the website "Disclosure Checklist" and forms on this website - however, I hesitate to do it too soon as people tend to get confused when new laws are incorporated into current requirements. So look for that to happen by December sometime, to be ready for the turnover into the New Year's disclosure requirements. I will likely add it to the Davis Stirling Act in Plain English once the Disclosure Checklist is reformed to match the legislature's list.

In the meantime, you should know that besides the new "Disclosure Index" which has received the most "buzz" becomes a requirement next year, there are some changes to the Assessment and Reserve Study Worksheet (form) as well. HOAs and Condo associations will have to disclose the percentage of interest the board expects to get on CID funds and also the inflation rate it has used in calculations for the coming year. These things all become effective January 1, 2010 (and also see the following list).

Other additions to the Davis Stirling Act:

**The section on what HOAs can and cannot do with regard to low-water-use landscaping has been expanded.

**The notice requirements for consent to electronic notice are now more sophisticated as to "form of consent" that is required before the HOA or Condo association can use email as a form of notification. There has to be an "electronic signature" and "unrevoked consent". Compliance with these things are not easy to figure out unless you have help trailing through the maze of applicable laws which fall outside the Davis Stirling Act but are referenced within it.

Anyway, the Davis Stirling Act in Plain English is ready for 2010! And available at the CondoGuru website on the publications page and the Webstore.

There are other changes outside the Davis Stirling Act that directly affect HOAs and Condos, such as the changes to the Small Claims Court laws that allow a judge to issue a court order with regard to election challenges, and new FHA/HUD and related form changes and restrictions. Access the blogs on the main page for more on these items! )