1 | 1 | | 24 LC 55 0141 |
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2 | 2 | | Senate Bill 356 |
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3 | 3 | | By: Senators James of the 35th, Rhett of the 33rd and Davenport of the 44th |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | To amend Chapter 3 of Title 44 of the Official Code of Georgia Annotated, relating to |
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7 | 7 | | 1 |
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8 | 8 | | regulation of specialized land transactions, so as to provide for protections of homeowners2 |
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9 | 9 | | in community associations; to revise provisions concerning the foreclosure of liens by3 |
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10 | 10 | | condominium associations and property owner's associations; to provide definitions; to4 |
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11 | 11 | | provide for limitations on the ability of community associations to foreclose liens; to provide5 |
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12 | 12 | | for a right of redemption following a foreclosure sale on a home by a community association;6 |
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13 | 13 | | to provide for the waiver of assessments owed by homeowners to community associations7 |
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14 | 14 | | in the event of death or disability; to provide for action and relief; to create the office of the8 |
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15 | 15 | | Community Association Ombudsman; to provide for powers and duties of the ombudsman;9 |
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16 | 16 | | to provide procedures concerning the submission of complaints to the ombudsman by10 |
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17 | 17 | | homeowner and community associations; to provide procedures concerning the resolution11 |
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18 | 18 | | of such complaints; to provide for the submission of certain recommendations made by the12 |
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19 | 19 | | ombudsman with respect to such complaints to community associations; to provide13 |
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20 | 20 | | procedures concerning the approval or rejection of such recommendations by community14 |
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21 | 21 | | associations; to provide for the monitoring of elections for boards of directors for community15 |
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22 | 22 | | associations; to provide for annual registration of community associations and related fees;16 |
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23 | 23 | | to provide for applicability; to provide for related matters; to repeal conflicting laws; and for17 |
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24 | 24 | | other purposes.18 |
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25 | 25 | | S. B. 356 |
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26 | 26 | | - 1 - 24 LC 55 0141 |
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27 | 27 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: |
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28 | 28 | | 19 |
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29 | 29 | | SECTION 1.20 |
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30 | 30 | | Chapter 3 of Title 44 of the Official Code of Georgia Annotated, relating to regulation of21 |
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31 | 31 | | specialized land transactions, is amended in Code Section 44-3-109, relating to lien for22 |
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32 | 32 | | assessments, personal obligation of unit owner, notice and foreclosure, lapse, right to23 |
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33 | 33 | | statement of assessments, and effect of failure to furnish statement, by revising subsection (c)24 |
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34 | 34 | | as follows:25 |
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35 | 35 | | "(c) Not less than 30 days after notice is sent by certified mail or statutory overnight26 |
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36 | 36 | | delivery, return receipt requested, to the unit owner both at the address of the unit and at27 |
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37 | 37 | | any other address or addresses which the unit owner may have designated to the association28 |
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38 | 38 | | in writing, the lien may be foreclosed by the association by an action, judgment, and29 |
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39 | 39 | | foreclosure in the same manner as other liens for the improvement of real property, subject30 |
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40 | 40 | | to the limitations set forth in Code Section 44-3-270 and to |
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41 | 41 | | superior liens or encumbrances,31 |
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42 | 42 | | but any such court order for judicial foreclosure shall not affect the rights of holders of32 |
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43 | 43 | | superior liens or encumbrances to exercise any rights or powers afforded to them under33 |
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44 | 44 | | their security instruments. The notice provided for in this subsection shall specify the34 |
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45 | 45 | | amount of the assessments then due and payable together with authorized late charges and35 |
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46 | 46 | | the rate of interest accruing thereon. No foreclosure action against a lien arising out of this36 |
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47 | 47 | | subsection shall be permitted unless the amount of the lien is at least $2,000.00. Unless37 |
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48 | 48 | | prohibited by the condominium instruments, the association shall have the power to bid on38 |
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49 | 49 | | the unit at any foreclosure sale and to acquire, hold, lease, encumber, and convey the same.39 |
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50 | 50 | | The lien for assessments shall lapse and be of no further effect, as to assessments or40 |
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51 | 51 | | installments thereof, together with late charges and interest applicable thereto, four years41 |
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52 | 52 | | after the assessment or installment first became due and payable."42 |
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53 | 53 | | S. B. 356 |
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54 | 54 | | - 2 - 24 LC 55 0141 |
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55 | 55 | | SECTION 2. |
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56 | 56 | | 43 |
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57 | 57 | | Said chapter is further amended in Code Section 44-3-232, relating to assessments against44 |
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58 | 58 | | lot owners as constituting liens in favor of association, additional charges against lot owners,45 |
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59 | 59 | | procedure for foreclosing lien, and obligation to provide statement of amounts due, by46 |
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60 | 60 | | revising subsection (c) as follows:47 |
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61 | 61 | | "(c) Not less than 30 days after notice is sent by certified mail or statutory overnight48 |
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62 | 62 | | delivery, return receipt requested, to the lot owner both at the address of the lot and at any49 |
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63 | 63 | | other address or addresses which the lot owner may have designated to the association in50 |
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64 | 64 | | writing, the lien may be foreclosed by the association by an action, judgment, and court51 |
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65 | 65 | | order for foreclosure in the same manner as other liens for the improvement of real52 |
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66 | 66 | | property, subject to the limitations set forth in Code Section 44-3-270 and to |
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67 | 67 | | superior liens53 |
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68 | 68 | | or encumbrances, but any such court order for judicial foreclosure shall not affect the rights54 |
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69 | 69 | | of holders of superior liens or encumbrances to exercise any rights or powers afforded to55 |
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70 | 70 | | them under their security instruments. The notice provided for in this subsection shall56 |
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71 | 71 | | specify the amount of the assessments then due and payable together with authorized late57 |
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72 | 72 | | charges and the rate of interest accruing thereon. No foreclosure action against a lien58 |
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73 | 73 | | arising out of this subsection shall be permitted unless the amount of the lien is at59 |
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74 | 74 | | least $2,000.00. Unless prohibited by the instrument, the association shall have the power60 |
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75 | 75 | | to bid on the lot at any foreclosure sale and to acquire, hold, lease, encumber, and convey61 |
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76 | 76 | | the same. The lien for assessments shall lapse and be of no further effect, as to assessments62 |
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77 | 77 | | or installments thereof, together with late charges and interest applicable thereto, four years63 |
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78 | 78 | | after the assessment or installment first became due and payable."64 |
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79 | 79 | | SECTION 3.65 |
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80 | 80 | | Said chapter is further amended by adding a new article to read as follows:66 |
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81 | 81 | | S. B. 356 |
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82 | 82 | | - 3 - 24 LC 55 0141 |
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83 | 83 | | "ARTICLE 867 |
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84 | 84 | | Part 168 |
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85 | 85 | | 44-3-260.69 |
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86 | 86 | | As used in this article, the term:70 |
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87 | 87 | | (1) 'Community association' or 'association' means an organization or corporation of71 |
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88 | 88 | | homeowners or residential property owners of a particular residential community created72 |
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89 | 89 | | for the purpose of managing or regulating such residential community, including, without73 |
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90 | 90 | | limitation enforcing covenants set forth in a declaration of such residential community.74 |
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91 | 91 | | Such term shall include a condominium association and a property owners' association.75 |
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92 | 92 | | (2) 'Condominium association' means an organization or corporation formed pursuant76 |
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93 | 93 | | to the Georgia Condominium Act for the purpose of exercising the powers of an77 |
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94 | 94 | | association of any condominium under such Act.78 |
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95 | 95 | | (3) 'Declaration' means a recordable instrument creating restrictive covenants upon real79 |
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96 | 96 | | property within a particular residential community which are administered by a80 |
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97 | 97 | | community association in which membership is mandatory for all unit owners in such81 |
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98 | 98 | | residential community.82 |
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99 | 99 | | (4) 'Governing documents' means the instruments that govern the administration or83 |
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100 | 100 | | operation of the community association of a particular residential community, including,84 |
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101 | 101 | | without limitation, the declaration of such residential community and the bylaws and85 |
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102 | 102 | | articles of incorporation of such community association.86 |
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103 | 103 | | (5) 'Property owners' association' means a corporation formed pursuant to the Georgia87 |
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104 | 104 | | Property Owners' Association Act for the purpose of exercising the powers of an88 |
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105 | 105 | | association of property owners under such Act.89 |
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106 | 106 | | (6) 'Residential community' means a residential subdivision, planned community, or90 |
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107 | 107 | | condominium.91 |
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108 | 108 | | S. B. 356 |
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109 | 109 | | - 4 - 24 LC 55 0141 |
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110 | 110 | | (7) 'Unit' means a portion of a residential community intended for any type of92 |
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111 | 111 | | independent ownership and use that is subject to a declaration and managed or regulated93 |
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112 | 112 | | by a community association.94 |
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113 | 113 | | (8) 'Unit owner' means the owner of a unit.95 |
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114 | 114 | | Part 296 |
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115 | 115 | | 44-3-270.97 |
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116 | 116 | | Notwithstanding any provision of law to the contrary, no foreclosure action against a lien98 |
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117 | 117 | | on a unit in favor of a community association shall be permitted if the amount of the lien:99 |
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118 | 118 | | (1) Is less than $2,000; or100 |
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119 | 119 | | (2) Consists solely of fines imposed by the community association for the failure to101 |
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120 | 120 | | comply with the provisions of the declaration or with the rules or regulations adopted by102 |
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121 | 121 | | the community association, including, without limitation, fines imposed or levied103 |
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122 | 122 | | pursuant to Code Section 44-3-76 or 44-3-223, and any late charges, interest, or costs104 |
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123 | 123 | | associated with such fines.105 |
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124 | 124 | | 44-3-271.106 |
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125 | 125 | | (a) A unit owner may redeem a unit from any purchaser at a sale foreclosing a lien on such107 |
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126 | 126 | | unit in favor of a community association, including, without limitation a lien arising out of108 |
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127 | 127 | | Code Section 44-3-109 or Code Section 44-3-232, by paying the amounts required for109 |
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128 | 128 | | redemption, as set forth in this Code section, not later than 120 days after the date of such110 |
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129 | 129 | | sale.111 |
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130 | 130 | | (b) A person who purchases a unit at a sale foreclosing a lien on such unit in favor of a112 |
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131 | 131 | | community association shall not transfer ownership of such unit to a person other than the113 |
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132 | 132 | | unit owner during the redemption period provided in subsection (a) of this Code section.114 |
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133 | 133 | | S. B. 356 |
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134 | 134 | | - 5 - 24 LC 55 0141 |
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135 | 135 | | (c) To redeem a unit that was purchased at the foreclosure sale by the foreclosing115 |
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136 | 136 | | community association, the unit owner shall pay to the community association:116 |
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137 | 137 | | (1) All amounts owed by the unit owner to the community association at the time of the117 |
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138 | 138 | | foreclosure sale, plus interest on such amount from the date of foreclosure to the date of118 |
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139 | 139 | | redemption at the rate stated in the declaration for delinquent assessments or, if no such119 |
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140 | 140 | | rate is stated, at an annual interest rate of 10 percent;120 |
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141 | 141 | | (2) The costs incurred by the community association in foreclosing the lien and121 |
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142 | 142 | | conveying, after redemption, the unit to the unit owner, including reasonable attorney's122 |
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143 | 143 | | fees;123 |
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144 | 144 | | (3) Any assessments levied against the unit by the community association after the date124 |
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145 | 145 | | of the foreclosure sale;125 |
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146 | 146 | | (4) Any reasonable cost incurred by the community association in connection with its126 |
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147 | 147 | | ownership of the unit, including, without limitation mortgage payments and costs of127 |
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148 | 148 | | reasonable and necessary repair maintenance; and128 |
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149 | 149 | | (5) The purchase price paid by the community association at the foreclosure sale less any129 |
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150 | 150 | | amounts owed to the community association by the unit owner that were satisfied out of130 |
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151 | 151 | | such sale proceeds.131 |
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152 | 152 | | (d) To redeem a unit that was purchased at the foreclosure sale by a person other than the132 |
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153 | 153 | | foreclosing community association, the unit owner shall:133 |
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154 | 154 | | (1) Pay to the community association:134 |
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155 | 155 | | (A) All amounts owed by the unit owner to the community association at the time of135 |
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156 | 156 | | the foreclosure sale, less the sale price received by the community association at the136 |
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157 | 157 | | foreclosure sale, and plus interest on such net amount from the date of foreclosure to137 |
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158 | 158 | | the date of redemption at the rate stated in the declaration for delinquent assessments138 |
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159 | 159 | | or, if no such rate is stated, at an annual interest rate of 10 percent;139 |
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160 | 160 | | (B) The costs incurred by the community association in foreclosing the lien, including140 |
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161 | 161 | | reasonable attorney's fees; and141 |
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162 | 162 | | S. B. 356 |
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163 | 163 | | - 6 - 24 LC 55 0141 |
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164 | 164 | | (C) Any unpaid assessments levied against the unit by the community association after142 |
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165 | 165 | | the date of the foreclosure sale; and143 |
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166 | 166 | | (2) Pay to the person who purchased the unit at the foreclosure sale:144 |
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167 | 167 | | (A) The purchase price paid by such person at the foreclosure sale;145 |
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168 | 168 | | (B) The cost incurred by such person in recording the foreclosure deed and conveying,146 |
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169 | 169 | | after redemption, the unit to the unit owner, including reasonable attorney's fees;147 |
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170 | 170 | | (C) Any assessments levied against the unit by the community association after the148 |
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171 | 171 | | date of the foreclosure sale that were paid by such person; and149 |
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172 | 172 | | (D) Any amounts paid by such person as ad valorem taxes, penalties, and interest on150 |
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173 | 173 | | the unit after the date of the foreclosure sale.151 |
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174 | 174 | | (e) If a unit owner redeems a unit in accordance with the provisions of this Code section,152 |
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175 | 175 | | the purchaser of the unit at the foreclosure sale shall immediately execute and deliver to153 |
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176 | 176 | | the unit owner a deed transferring the unit to the unit owner. If a purchaser fails to comply154 |
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177 | 177 | | with the provisions of this subsection, a unit owner may bring an action against such155 |
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178 | 178 | | purchaser for an order compelling the conveyance of such unit to such unit owner. If a unit156 |
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179 | 179 | | owner is the prevailing party in an action brought pursuant to this subsection, such unit157 |
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180 | 180 | | owner shall be entitled to recover the costs incurred in bringing such action, including158 |
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181 | 181 | | reasonable attorney's fees.159 |
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182 | 182 | | (f) The redemption rights conferred by this Code section are personal privileges and not160 |
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183 | 183 | | property or property rights. The privileges shall be exercised in the manner prescribed in161 |
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184 | 184 | | this Code section and such privileges may not be waived in a deed, declaration, judgment,162 |
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185 | 185 | | or any agreement.163 |
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186 | 186 | | (g) This Code section shall only apply to liens in favor of a community association that are164 |
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187 | 187 | | foreclosed on or after July 1, 2024.165 |
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188 | 188 | | 44-3-272.166 |
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189 | 189 | | (a) As used in this Code section, the term:167 |
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190 | 190 | | S. B. 356 |
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191 | 191 | | - 7 - 24 LC 55 0141 |
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192 | 192 | | (1) 'Disability' means a medically determinable physical or mental impairment caused168 |
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193 | 193 | | by injury or illness that renders a person unable to engage in any substantial gainful169 |
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194 | 194 | | employment.170 |
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195 | 195 | | (2) 'Disabled' means a person who is unable to engage in any substantial gainful171 |
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196 | 196 | | employment as a result of a medically determinable physical or mental impairment172 |
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197 | 197 | | caused by injury or illness.173 |
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198 | 198 | | (3) 'Personal representative' shall have the same meaning as provided in Code174 |
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199 | 199 | | Section 53-1-2.175 |
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200 | 200 | | (b)(1) Each community association created pursuant to a declaration executed on or after176 |
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201 | 201 | | July 1, 2024, shall waive all assessments or installments thereof that become due and177 |
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202 | 202 | | payable by any unit owner if such unit owner:178 |
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203 | 203 | | (A) Dies with an insolvent estate, provided that the personal representative of such unit179 |
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204 | 204 | | owner's estate certifies in writing to the community association that such unit owner's180 |
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205 | 205 | | estate is insolvent; or181 |
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206 | 206 | | (B) Becomes disabled, which causes a financial hardship on such unit owner, provided182 |
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207 | 207 | | that such unit owner certifies in writing to the community association that, because of183 |
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208 | 208 | | such disability, he or she is experiencing a financial hardship.184 |
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209 | 209 | | (2) A waiver of such assessments or installments thereof under paragraph (1) of this185 |
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210 | 210 | | subsection shall begin on the date such unit owner dies or becomes disabled and shall186 |
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211 | 211 | | continue for a period of not less than 12 months; provided, however, that, if such waiver187 |
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212 | 212 | | is granted because of a disability of a unit owner, such waiver shall terminate if the188 |
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213 | 213 | | financial hardship on such unit owner resulting from such disability ceases to exist prior189 |
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214 | 214 | | to the expiration of such 12 month period.190 |
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215 | 215 | | (c) If a unit owner previously paid any assessments or installments thereof that are191 |
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216 | 216 | | required to be waived by a community association pursuant to subsection (a) of this Code192 |
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217 | 217 | | section, such unit owner or such unit owner's estate shall be entitled to a refund of such193 |
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218 | 218 | | assessments or installments thereof, provided that the written certification that the estate194 |
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219 | 219 | | S. B. 356 |
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220 | 220 | | - 8 - 24 LC 55 0141 |
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221 | 221 | | of such unit owner is insolvent required under paragraph (1) of subsection (a) of this Code195 |
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222 | 222 | | section or the written certification of financial hardship required under paragraph (2) of196 |
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223 | 223 | | subsection (a) of this Code section, whichever is applicable, was provided to the197 |
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224 | 224 | | community association within 12 months of the date such unit owner died or became198 |
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225 | 225 | | disabled.199 |
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226 | 226 | | (d)(1) If a community association fails to waive or refund any assessments or200 |
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227 | 227 | | installments thereof that are required to be waived or refunded under the provisions of201 |
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228 | 228 | | this Code section, the unit owner or the personal representative of the unit owner's estate202 |
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229 | 229 | | may bring an action against such community association for a declaration that such203 |
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230 | 230 | | assessments or installments thereof are required to be waived and for recovery of any204 |
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231 | 231 | | amount of such assessments or installments thereof that are required to be refunded. 205 |
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232 | 232 | | Such relief shall not be granted unless the court determines in such action that:206 |
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233 | 233 | | (A) The unit owner either:207 |
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234 | 234 | | (i) Became disabled, which caused a financial hardship on such unit owner; or208 |
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235 | 235 | | (ii) Died with an insolvent estate; and209 |
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236 | 236 | | (B) The written certification that the estate of such unit owner is insolvent required210 |
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237 | 237 | | under paragraph (1) of subsection (a) of this Code section or the written certification211 |
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238 | 238 | | of financial hardship required under paragraph (2) of subsection (a) of this Code212 |
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239 | 239 | | section, whichever is applicable, was provided to the community association within 12213 |
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240 | 240 | | months of the date such unit owner died or became disabled.214 |
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241 | 241 | | (2) A unit owner or the personal representative of a unit owner's estate who prevails in215 |
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242 | 242 | | an action brought pursuant to this subsection shall be entitled to recover the costs incurred216 |
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243 | 243 | | in bringing such action, including reasonable attorney's fees.217 |
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244 | 244 | | Part 3218 |
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245 | 245 | | 44-3-280.219 |
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246 | 246 | | S. B. 356 |
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247 | 247 | | - 9 - 24 LC 55 0141 |
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248 | 248 | | (a) There is created within the Department of Community Affairs the Office of the220 |
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249 | 249 | | Community Association Ombudsman.221 |
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250 | 250 | | (b) The commissioner of community affairs shall appoint the ombudsman, who shall be222 |
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251 | 251 | | an attorney admitted to practice before the Georgia Supreme Court. The ombudsman shall223 |
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252 | 252 | | serve at the pleasure of the commissioner of community affairs.224 |
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253 | 253 | | (c) Neither the ombudsman nor any full-time employee of the ombudsman's office shall:225 |
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254 | 254 | | (1) Actively engage in any other business or profession that directly or indirectly relates226 |
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255 | 255 | | to or conflicts with his or her work in the ombudsman's office;227 |
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256 | 256 | | (2) Serve as the representative, or an executive, officer, or employee, of any political228 |
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257 | 257 | | party, executive committee, or other governing body of a political party;229 |
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258 | 258 | | (3) Receive remuneration for activities on behalf of any candidate for public office;230 |
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259 | 259 | | (4) Engage in soliciting votes or other activities on behalf of a candidate for public231 |
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260 | 260 | | office; or232 |
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261 | 261 | | (5) Become a candidate for election to public office unless he or she first resigns from233 |
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262 | 262 | | his or her office or employment.234 |
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263 | 263 | | (d) The ombudsman shall maintain his or her principal office at a place convenient to the235 |
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264 | 264 | | commissioner of community affairs, which will enable the ombudsman to expeditiously236 |
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265 | 265 | | carry out the duties and functions of his or her office. The ombudsman may establish237 |
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266 | 266 | | branch offices elsewhere in the state upon the concurrence of the commissioner of238 |
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267 | 267 | | community affairs.239 |
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268 | 268 | | 44-3-281.240 |
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269 | 269 | | The ombudsman shall have the powers necessary to carry out the duties of his or her office,241 |
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270 | 270 | | including, without limitation:242 |
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271 | 271 | | (1) Employing professional and clerical staff as necessary for the efficient operation of243 |
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272 | 272 | | the office;244 |
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273 | 273 | | S. B. 356 |
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274 | 274 | | - 10 - 24 LC 55 0141 |
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275 | 275 | | (2) Preparing and issuing reports and recommendations to the Governor, the245 |
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276 | 276 | | commissioner of community affairs, the President of the Senate, and the Speaker of the246 |
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277 | 277 | | House of Representatives on any matter or subject within the jurisdiction of this article;247 |
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278 | 278 | | (3) Acting as a liaison between unit owners, or other affected parties, and community248 |
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279 | 279 | | associations, including the boards of directors, board members, officers, and managers249 |
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280 | 280 | | of such community associations;250 |
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281 | 281 | | (4) Monitoring and reviewing procedures and disputes concerning elections or meetings251 |
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282 | 282 | | of community associations;252 |
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283 | 283 | | (5) Providing resources to assist board members and officers of community associations253 |
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284 | 284 | | in carrying out their powers and duties in a manner consistent with this article, other254 |
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285 | 285 | | applicable law, and their governing documents;255 |
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286 | 286 | | (6) Acting as a neutral resource regarding the rights and responsibilities of unit owners256 |
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287 | 287 | | and community associations, including the boards of directors, board members, officers,257 |
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288 | 288 | | and managers of such community associations;258 |
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289 | 289 | | (7) Encouraging and facilitating voluntary meetings between unit owners and community259 |
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290 | 290 | | associations, including the boards of directors, board members, officers, and managers260 |
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291 | 291 | | of such community associations, when the meetings may assist in resolving a dispute261 |
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292 | 292 | | within a residential community;262 |
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293 | 293 | | (8) Assisting with the resolution of disputes between unit owners and their community263 |
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294 | 294 | | associations, or between two or more unit owners within a residential community, if264 |
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295 | 295 | | applicable, including mediating such disputes, issuing opinions with respect to such265 |
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296 | 296 | | disputes, and the making of recommendations on actions that can be taken by unit owners266 |
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297 | 297 | | and community associations to resolve such disputes;267 |
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298 | 298 | | (9) Receiving and compiling complaints and responses in relation to violations of268 |
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299 | 299 | | applicable law and the governing documents of community associations; and269 |
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300 | 300 | | (10) Promulgating and adopting such rules and regulations as may be necessary to carry270 |
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301 | 301 | | out the provisions of this article.271 |
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302 | 302 | | S. B. 356 |
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303 | 303 | | - 11 - 24 LC 55 0141 |
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304 | 304 | | 44-3-282.272 |
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305 | 305 | | The ombudsman shall:273 |
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306 | 306 | | (1) Develop policies and procedures to assist unit owners and community associations,274 |
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307 | 307 | | including the boards of directors, board members, officers, and managers of such275 |
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308 | 308 | | community associations, understand their rights and responsibilities as set forth in this276 |
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309 | 309 | | article, under other applicable law, and in their governing documents;277 |
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310 | 310 | | (2) Coordinate and assist in the preparation and adoption of educational and reference278 |
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311 | 311 | | material, and shall endeavor to coordinate with private or volunteer providers of these279 |
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312 | 312 | | services, so that the availability of these resources is made known to the largest possible280 |
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313 | 313 | | audience;281 |
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314 | 314 | | (3) Assist unit owners in understanding their rights and responsibilities under applicable282 |
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315 | 315 | | law and their governing documents, including, without limitation, publishing materials283 |
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316 | 316 | | related to those rights and responsibilities;284 |
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317 | 317 | | (4) Assist board members and officers of community associations in carrying out their285 |
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318 | 318 | | duties; and286 |
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319 | 319 | | (5) Compile and maintain a registration of each community association operating within287 |
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320 | 320 | | the state which includes, at a minimum, the following information:288 |
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321 | 321 | | (A) The name, address, and phone number of the community association;289 |
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322 | 322 | | (B) The name of each person who is authorized to manage the community association;290 |
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323 | 323 | | (C) The names, mailing addresses, and telephone numbers of the board members of the291 |
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324 | 324 | | community association;292 |
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325 | 325 | | (D) The number of units in the community association;293 |
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326 | 326 | | (E) The total annual assessment required to be paid by unit owners to the community294 |
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327 | 327 | | association; and295 |
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328 | 328 | | (F) The number of foreclosures that were completed by the community association on296 |
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329 | 329 | | units within its residential community.297 |
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330 | 330 | | S. B. 356 |
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331 | 331 | | - 12 - 24 LC 55 0141 |
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332 | 332 | | 44-3-283.298 |
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333 | 333 | | (a) The ombudsman shall adopt policies and procedures for submission and receipt of299 |
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334 | 334 | | complaints from unit owners and community associations regarding disputes concerning300 |
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335 | 335 | | the rights and responsibilities of unit owners and community associations or alleged301 |
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336 | 336 | | violations of the provisions of this article, other applicable law, or their governing302 |
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337 | 337 | | documents.303 |
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338 | 338 | | (b) The ombudsman shall publish a form for such complaints which, at a minimum, shall304 |
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339 | 339 | | include the following information:305 |
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340 | 340 | | (1) The unit owner's name;306 |
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341 | 341 | | (2) The name and contact information of the community association;307 |
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342 | 342 | | (3) The name of the community association management company, if any, and its contact308 |
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343 | 343 | | information, including telephone number and mailing addresses;309 |
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344 | 344 | | (4) Whether a unit owner:310 |
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345 | 345 | | (A) Was informed of the requirement of membership in a community association as311 |
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346 | 346 | | a condition of ownership, including when that information was provided and by whom;312 |
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347 | 347 | | (B) Received a copy of the governing documents of the community association and if313 |
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348 | 348 | | the copy was obtained before or after receiving title to the unit;314 |
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349 | 349 | | (C) Was denied access to the governing documents and, if so, what remedies the unit315 |
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350 | 350 | | owner took to obtain the governing documents; and316 |
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351 | 351 | | (D) Understands his or her rights and obligations under the governing documents;317 |
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352 | 352 | | (5) The nature of the unit owner's or community association's complaint; and318 |
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353 | 353 | | (6) An explanation of:319 |
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354 | 354 | | (A) Any communications between the unit owner and the community association320 |
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355 | 355 | | regarding the complaint;321 |
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356 | 356 | | (B) Any remedies the unit owner or community association sought in relation to the322 |
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357 | 357 | | complaint; and323 |
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358 | 358 | | S. B. 356 |
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359 | 359 | | - 13 - 24 LC 55 0141 |
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360 | 360 | | (C) Any actions the unit owner or community association took concerning the324 |
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361 | 361 | | complaint.325 |
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362 | 362 | | (c) Upon receiving a unit owner's or community association's complaint, the ombudsman326 |
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363 | 363 | | shall:327 |
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364 | 364 | | (1) Provide the complaint to the community association or the unit owner complained328 |
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365 | 365 | | against in a manner that verifies receipt of such complaint by the community association329 |
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366 | 366 | | or unit owner, so the unit owner or community association may determine if the unit330 |
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367 | 367 | | owner or community association desires to make a response to the complaint;331 |
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368 | 368 | | (2) Conduct an investigation into the allegations of the complaint;332 |
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369 | 369 | | (3) Offer to mediate the complaint among the affected parties, and conduct such333 |
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370 | 370 | | mediation if the affected parties agree to participate; and334 |
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371 | 371 | | (4) If practicable, issue to the affected parties his or her opinions or recommendations335 |
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372 | 372 | | with respect to the complaint. Such opinions or recommendations may include, without336 |
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373 | 373 | | limitation, a proposed course of action, including, but not limited to, waiver of any fines337 |
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374 | 374 | | imposed by a community association on a unit owner.338 |
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375 | 375 | | (d)(1) The ombudsman shall, at least annually, provide a report of all complaints339 |
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376 | 376 | | received and any opinions or recommendations issued by the ombudsman with respect340 |
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377 | 377 | | to such complaints as provided in this Code section to the Governor, the commissioner341 |
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378 | 378 | | of community affairs, the General Assembly, and to the public on the ombudsman's342 |
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379 | 379 | | public website.343 |
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380 | 380 | | (2) The report provided for in this Code section shall include categorized, filterable, and344 |
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381 | 381 | | searchable information compiled from the complaints, responses, and any opinions or345 |
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382 | 382 | | recommendations issued by the ombudsman with respect thereto. The ombudsman shall346 |
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383 | 383 | | redact from such report any personal or private information of the affected parties, such347 |
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384 | 384 | | as names, addresses, and telephone numbers of individuals, contained in the complaints,348 |
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385 | 385 | | responses, or in any opinions or recommendations issued by the ombudsman with respect349 |
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386 | 386 | | thereto.350 |
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387 | 387 | | S. B. 356 |
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388 | 388 | | - 14 - 24 LC 55 0141 |
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389 | 389 | | 351 |
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390 | 390 | | 44-3-284.352 |
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391 | 391 | | (a) If, in connection with a complaint received pursuant to Code Section 44-3-283, the353 |
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392 | 392 | | ombudsman recommends that any fines imposed by a community association against a unit354 |
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393 | 393 | | owner be waived, such recommendation shall be submitted by the board of directors of the355 |
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394 | 394 | | community association to the entire membership of the community association for approval356 |
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395 | 395 | | or rejection. Unless a majority of such members rejects such recommendation within 120357 |
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396 | 396 | | days from the date such recommendation is issued by the ombudsman, such358 |
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397 | 397 | | recommendation shall automatically be approved and such fines imposed by the359 |
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398 | 398 | | community association against the unit owner, together with all late fees, interest, and other360 |
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399 | 399 | | charges associated with such fines, shall be waived. During such 120 day period, the361 |
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400 | 400 | | community association shall not take any effort to collect such fines and shall not impose362 |
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401 | 401 | | any further late fees, interest, or charges with respect to such fines.363 |
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402 | 402 | | (b) This Code section shall only apply to community associations created pursuant to a364 |
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403 | 403 | | declaration executed on or after July 1, 2024.365 |
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404 | 404 | | 44-3-285.366 |
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405 | 405 | | (a) Fifteen percent of the total membership in a community association, or six unit owners,367 |
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406 | 406 | | whichever is greater, may petition the ombudsman to appoint an election monitor to attend368 |
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407 | 407 | | a meeting of the community association to be held for the purpose of electing members of369 |
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408 | 408 | | the community association's board of directors and to conduct at such meeting the election370 |
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409 | 409 | | of such members of the board of directors.371 |
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410 | 410 | | (b) Upon receiving a petition for the appointment of an election monitor from a sufficient372 |
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411 | 411 | | number of unit owners pursuant to subsection (a) of this Code section, the ombudsman373 |
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412 | 412 | | shall appoint an employee of his or her office, a person who specializes in community374 |
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413 | 413 | | association election monitoring, or an attorney licensed to practice in this state as the375 |
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414 | 414 | | S. B. 356 |
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415 | 415 | | - 15 - 24 LC 55 0141 |
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416 | 416 | | election monitor who shall attend the community association meeting and conduct the376 |
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417 | 417 | | election of the members of the board of directors.377 |
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418 | 418 | | (c) The ombudsman shall, by rule or regulation, establish procedures for the appointment378 |
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419 | 419 | | of election monitors under this Code section and the scope and extent of the monitor's role379 |
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420 | 420 | | in the election process.380 |
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421 | 421 | | 44-3-286.381 |
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422 | 422 | | (a) Each community association shall register annually with the ombudsman on a form382 |
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423 | 423 | | prescribed by the ombudsman, which shall include the information required to be383 |
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424 | 424 | | maintained pursuant to paragraph (5) of Code Section 44-3-282.384 |
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425 | 425 | | (b) Each community association shall pay an annual registration fee to the ombudsman in385 |
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426 | 426 | | the amount of $25.00 per unit within the residential community of such community386 |
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427 | 427 | | association. All such annual registration fees received by the ombudsman pursuant to this387 |
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428 | 428 | | subsection shall be paid into the state treasury; provided, however, that it is the intent of388 |
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429 | 429 | | the General Assembly that such fees shall be annually appropriated to the Department of389 |
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430 | 430 | | Community Affairs for the purpose of paying the expenses of the Office of the Community390 |
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431 | 431 | | Association Ombudsman and other costs associated with carrying out the provisions this391 |
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432 | 432 | | part."392 |
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433 | 433 | | SECTION 4.393 |
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434 | 434 | | All laws and parts of laws in conflict with this Act are repealed.394 |
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435 | 435 | | S. B. 356 |
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436 | 436 | | - 16 - |
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