Arizona 2024 2024 Regular Session

Arizona House Bill HB2575 Comm Sub / Analysis

Filed 02/16/2024

                      	HB 2575 
Initials SJ/AC 	Page 1 	Caucus & COW 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
Second Regular Session 
House: GOV DP 7-1-1-0 
 
HB 2575: homeowners' associations; powers 
Sponsor: Representative Biasiucci, LD 30 
Caucus & COW 
Overview 
Outlines powers of homeowners' associations. 
History 
Statute defines an association as a nonprofit corporation or unincorporated association of 
owners that is created to own and operate portions of a planned community as prescribed in 
its own declaration. An association has the power to assess association members to pay the 
costs and expenses incurred in the performance of the association's obligations under its own 
declaration (A.R.S. § 33-1802). 
Provisions 
1. Permits, unless otherwise prescribed in an association's declaration, an association to: 
a) adopt and amend bylaws and rules; 
b) adopt and amend budgets for revenues, expenditures and reserves; 
c) collect assessments for common expenses from their members; 
d) hire and discharge managing agents and other employees, agents, and independent 
contractors; 
e) institute, defend or intervene in litigation or administrative proceedings on behalf of 
itself or two or more members on matters affecting the association, planned 
community or their members' interests; 
f) make contracts and incur liabilities; 
g) regulate the use, maintenance, repair, replacement and modification of common 
areas; 
h) grant easements, leases, licenses and concessions within common areas; 
i) impose and receive any payments, fees or charges for the use, rental or operation of 
common areas; 
j) impose reasonable charges for the preparation and recordation of amendments to the 
declaration or statements of unpaid assessments; 
k) provide for the indemnification of its officers and executive board of directors; 
l) maintain directors' and officers' liability insurance; 
m) exercise any other powers granted by community documents; and  
n) exercise powers that may be exercised in Arizona by legal entities of the same type as 
the association. (Sec. 1) 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note