| 1 | 1 | | 1.1 A bill for an act |
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| 2 | 2 | | 1.2 relating to common interest communities; creating a common interest community |
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| 3 | 3 | | 1.3 ombudsperson; classifying certain data; appropriating money for the Office of the |
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| 4 | 4 | | 1.4 Common Interest Community Ombudsperson; proposing coding for new law in |
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| 5 | 5 | | 1.5 Minnesota Statutes, chapter 45. |
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| 6 | 6 | | 1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: |
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| 7 | 7 | | 1.7 Section 1. [45.0137] COMMON INTEREST COMMUNITY OMBUDSPERSON. |
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| 8 | 8 | | 1.8 Subdivision 1.Definitions.(a) For purposes of this section, the terms defined in this |
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| 9 | 9 | | 1.9subdivision have the meanings given. |
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| 10 | 10 | | 1.10 (b) "Association" has the meaning given in section 515B.1-103, clause (4). |
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| 11 | 11 | | 1.11 (c) "Common interest community" has the meaning given in section 515B.1-103, clause |
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| 12 | 12 | | 1.12(10). |
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| 13 | 13 | | 1.13 (d) "Data on individuals" has the meaning given in section 13.02, subdivision 5. |
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| 14 | 14 | | 1.14 (e) "Nonpublic data" has the meaning given in section 13.02, subdivision 9. |
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| 15 | 15 | | 1.15 (f) "Ombudsperson" means the common interest community ombudsperson. |
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| 16 | 16 | | 1.16 (g) "Private data on individuals" has the meaning given in section 13.02, subdivision |
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| 17 | 17 | | 1.1712. |
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| 18 | 18 | | 1.18 (h) "Unit" has the meaning given in section 515B.1-103, clause (35). |
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| 19 | 19 | | 1.19 (i) "Unit owner" has the meaning given in section 515B.1-103, clause (37). |
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| 20 | 20 | | 1.20 Subd. 2.Establishment.A common interest community ombudsperson position is |
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| 21 | 21 | | 1.21established within the Department of Commerce to facilitate resolution of disputes between |
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| 22 | 22 | | 1Section 1. |
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| 23 | 23 | | REVISOR MS/KR 25-0168101/08/25 |
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| 24 | 24 | | State of Minnesota |
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| 25 | 25 | | This Document can be made available |
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| 26 | 26 | | in alternative formats upon request |
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| 27 | 27 | | HOUSE OF REPRESENTATIVES |
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| 28 | 28 | | H. F. No. 856 |
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| 29 | 29 | | NINETY-FOURTH SESSION |
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| 30 | 30 | | Authored by Moller, Mekeland, Bahner, Igo, Dotseth and others02/17/2025 |
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| 31 | 31 | | The bill was read for the first time and referred to the Committee on Commerce Finance and Policy 2.1unit owners and associations. The ombudsperson is appointed by the governor, serves in |
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| 32 | 32 | | 2.2the unclassified service, and may be removed only for just cause. The ombudsperson must |
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| 33 | 33 | | 2.3be selected without regard to political affiliation, must be qualified and experienced to |
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| 34 | 34 | | 2.4perform the duties of the office, and must be skilled in dispute resolution techniques. The |
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| 35 | 35 | | 2.5ombudsperson must not be a unit owner, be employed by a business entity that provides |
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| 36 | 36 | | 2.6management or consulting services to an association, or otherwise be affiliated with an |
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| 37 | 37 | | 2.7association or management company. A person is prohibited from serving as ombudsperson |
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| 38 | 38 | | 2.8while holding another public office. |
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| 39 | 39 | | 2.9 Subd. 3.Duties.(a) The ombudsperson must advocate on behalf of unit owners and |
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| 40 | 40 | | 2.10compile complaints against common interest communities made by unit owners. Upon the |
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| 41 | 41 | | 2.11request of a unit owner, the ombudsperson must provide dispute resolution services in |
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| 42 | 42 | | 2.12disputes between a unit owner and an association concerning chapter 515B or the governing |
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| 43 | 43 | | 2.13documents of the common interest community or association, except where: (1) there is a |
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| 44 | 44 | | 2.14pending complaint based on the same issue filed in any court or administrative tribunal; or |
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| 45 | 45 | | 2.15(2) the issue has already been or is currently in arbitration, mediation, or another alternative |
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| 46 | 46 | | 2.16dispute resolution process. |
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| 47 | 47 | | 2.17 (b) The ombudsperson must assist unit owners to understand the rights and responsibilities |
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| 48 | 48 | | 2.18for unit owners under chapter 515B and the governing documents of the specific unit owner's |
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| 49 | 49 | | 2.19association, including by publishing materials related to the rights and responsibilities. The |
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| 50 | 50 | | 2.20ombudsperson must maintain a website containing, at a minimum: |
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| 51 | 51 | | 2.21 (1) the text of chapter 515B and any other relevant statutes or rules; |
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| 52 | 52 | | 2.22 (2) information regarding the services provided by the Office of the Common Interest |
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| 53 | 53 | | 2.23Community Ombudsperson, including assistance with dispute resolution; |
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| 54 | 54 | | 2.24 (3) information regarding alternative dispute resolution methods and programs; and |
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| 55 | 55 | | 2.25 (4) any other information that the ombudsperson determines is useful to unit owners, |
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| 56 | 56 | | 2.26associations, common interest community boards of directors, and common interest |
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| 57 | 57 | | 2.27community property management companies. |
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| 58 | 58 | | 2.28 (c) When requested or as the ombudsperson deems necessary, the ombudsperson must |
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| 59 | 59 | | 2.29provide reports and recommendations to the legislative committees with jurisdiction over |
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| 60 | 60 | | 2.30common interest communities. |
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| 61 | 61 | | 2.31 Subd. 4.Powers limited.(a) In the course of assisting to resolve a dispute, the |
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| 62 | 62 | | 2.32ombudsperson may, at reasonable times, enter and view premises within the control of the |
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| 63 | 63 | | 2.33common interest community. |
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| 64 | 64 | | 2Section 1. |
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| 65 | 65 | | REVISOR MS/KR 25-0168101/08/25 3.1 (b) The ombudsperson and the commissioner are prohibited from rendering a formal |
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| 66 | 66 | | 3.2legal opinion regarding a dispute between a unit owner and an association. The ombudsperson |
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| 67 | 67 | | 3.3and commissioner are prohibited from making a formal determination or issuing an order |
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| 68 | 68 | | 3.4regarding disputes between a unit owner and an association. Nothing in this paragraph limits |
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| 69 | 69 | | 3.5the ability of the commissioner to execute duties or powers under any other law. |
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| 70 | 70 | | 3.6 Subd. 5.Data.(a) Data maintained on individuals by the office of the ombudsperson |
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| 71 | 71 | | 3.7under this section are private data on individuals or nonpublic data. Data on individuals |
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| 72 | 72 | | 3.8may be released only with the consent of the individual or by court order. |
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| 73 | 73 | | 3.9 (b) Data maintained by the office that does not relate to the identity of a unit owner or |
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| 74 | 74 | | 3.10other individual may be released at the discretion of the ombudsperson responsible for |
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| 75 | 75 | | 3.11maintaining the data. |
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| 76 | 76 | | 3.12 EFFECTIVE DATE.This section is effective July 1, 2025. |
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| 77 | 77 | | 3.13 Sec. 2. APPROPRIATION; OFFICE OF THE COMMON INTEREST COMMUNITY |
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| 78 | 78 | | 3.14OMBUDSPERSON. |
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| 79 | 79 | | 3.15 $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of |
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| 80 | 80 | | 3.16commerce to establish and maintain the Office of the Common Interest Community |
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| 81 | 81 | | 3.17Ombudsperson. This appropriation is added to the base. |
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| 82 | 82 | | 3.18 EFFECTIVE DATE.This section is effective the day following final enactment. |
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| 83 | 83 | | 3Sec. 2. |
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| 84 | 84 | | REVISOR MS/KR 25-0168101/08/25 |
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