ARIZONA HOUSE OF REPRESENTATIVES

Fifty-seventh Legislature

First Regular Session

House: COM DPA 10-0-0-0

☐ Prop 105 (45 votes)	     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes)	☐ Fiscal Note


HB 2322: condominiums; commercial structures; residential structures

Sponsor: Representative Weninger, LD 13

House Engrossed

Overview

Provides requirements for the allocation of common expenses for condominiums that include commercial structures that are separate from residential structures.

History

A condominium association imposes an assessment on each unit owner to defray the cost of common expenses.  Common expenses are expenditures made by or financial liabilities of the association. Generally, common expenses include costs for maintaining, repairing and replacing the common elements of the community. Statute dictates that any common expense associated with the maintenance, repair or replacement of a limited common element to be equally assess against the units to which the limited common element is assigned and a common expense benefitting fewer than all of the units to be assessed exclusively against the units benefitted (Title 33, Chapter 9, A.R.S.).

Provisions

1.   Stipulates, for condominiums that include a commercial structure that is separate from a residential structure, all the following apply:

a)   any common expense or portion of a common expense that exclusively benefits the commercial structures must be assessed exclusively against the units in the commercial structures;

b)   any common expense or portion of a common expense that exclusively benefits the residential structures must be assessed exclusively against the units in the residential structures;

c) any common expense or portion of a common expense that benefits both the commercial and the residential structures must be assessed in proportion to the structures benefitted on a pro rata basis; and

d)   in any dispute over the allocation of a common expense or portion of a common expense, the association must make available as allocation of a common expense or portion of a common expense. (Sec. 3)

2.   Prohibits the association from withholding a record based on the pendency of litigation relating to common expense allocations if the record would otherwise be available to a unit owner. (Sec. 3)

3.    Defines pertinent terms. (Sec. 3)

4.   Applies the requirements for allocation of common expenses to any condominium existing after the effective date. (Sec. 2)

5.   Makes technical and conforming changes. (Sec. 1, 2, 3)

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8.   ---------- DOCUMENT FOOTER ---------

9.                     HB 2322

10.  Initials PB           Page 0 House Engrossed

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