Page 1, between lines 1 and 2, insert:
“Section 1. Section 33-1201, Arizona Revised
Statutes, is amended to read:
33‑120133-1201. Applicability
A. This chapter applies to all condominiums created
within this state on or after January 1, 1986.
B. This chapter applies to all condominiums created
before January 1, 1986 to the extent that either of the following applies:
1. This
chapter does not conflict with the declarations, articles or bylaws of the
condominium.
2. The
provision of law specifically states that it applies to condominiums created
before January 1, 1986.
C. With respect to condominiums created before
January 1, 1986, this chapter applies to the extent the provisions of this
chapter are not in conflict with former chapter 4.1 of this title, in effect
before January 1, 1986, or declarations, bylaws or plats of condominiums
adopted pursuant to former chapter 4.1 of this title. The provisions
of former chapter 4.1 of this title and the declarations, bylaws or plats
adopted pursuant to that chapter control, except as provided in subsection D of
this section.
D. The provisions of former chapter 4.1 of this
title, in effect before January 1, 1986, do not apply to condominiums created
on or after January 1, 1986. The repeal of chapter 4.1 of this title
does not invalidate condominiums created pursuant to chapter 4.1 of this title
or future amendments to declarations, bylaws and plats of these condominiums if
the amendments are permitted by this chapter. Except for amendments to the declaration that are allowed
and adopted pursuant to section 33-1227, amendments shall be
adopted in conformity with the procedures and requirements specified in the
declarations, bylaws and plats which were adopted pursuant to former chapter
4.1 of this title. If amendments grant to a person any rights,
powers or privileges permitted by this chapter, all correlative obligations,
liabilities and restrictions in this chapter also apply to that person.
E. Any unit owners' association created before
January 1, 1986 may elect to be subject to the provisions of this chapter by
amending its condominium documents to conform with the requirements of this
chapter. The amendment must be adopted in conformity with the
condominium documents and must be permitted by this chapter. If an
amendment grants to a person a right, power or privilege permitted by this
chapter, all correlative obligations, liabilities and restrictions in this
chapter also apply. 33‑1201
Sec. 2. Section 33-1227, Arizona Revised
Statutes, is amended to read:
33‑122733-1227. Amendment of declaration
A. Except in cases of amendments that may be
executed by a declarant under section 33‑1220, by the association under
section 33‑1206 or section 33‑1216, subsection D, or by certain
unit owners under section 33‑1218, subsection B, section 33‑1222,
section 33‑1223 or section 33‑1228, subsection B, and except to the
extent permitted or required by other provisions of this chapter, the
declaration, including the plat, may be amended only by a vote of the unit owners to which at least sixty‑seven
per cent of the votes in the association are allocated, or any larger majority
the declaration specifies as
prescribed in subsections C through G of this section. The
declaration may specify a smaller percentage only if all of the units are restricted exclusively to
nonresidential use. The declaration may also provide
that the consent of the declarant is required to an amendment during any period
of declarant control pursuant to section 33‑1243. Within
thirty days after the adoption of any amendment pursuant to this subsection,
the association shall prepare, execute and record a written instrument setting
forth the amendment.
B. An action to challenge the validity of an
amendment adopted by the association pursuant
to this section after the
period of declarant control shall not be brought more than one
year after the amendment is recorded. An
action to challenge the validity of an amendment adopted during the period of
declarant control shall not be brought more than one year after the termination
of declarant control.
C. An amendment to the declaration shall be recorded
in each county in which any portion of the condominium is located and is effective only on recordation
in the same manner as required for the declaration under section 33‑1211.
An amendment to the declaration is not
effective until recorded unless by its terms it becomes effective on a date
specified in the amendment that is after the date it is recorded.
D. Except to the extent expressly permitted or required
by other provisions of this chapter, an amendment shall not create or increase
special declarant rights, increase the number of units or change the boundaries
of any unit, the allocated interests of a unit or the uses to which any unit is
restricted, in the absence of unanimous consent of the unit owners.
E. An amendment shall not terminate or decrease any
unexpired development right, special declarant right or period of declarant
control as prescribed in this chapter unless
the declarant approves.
F. Amendments to the declaration required by this
chapter to be executed by the association shall be executed on behalf of the
association by any officer of the association designated for that purpose or,
in the absence of designation, by the president of the association. 33‑1227
G. Notwithstanding
any provisions in the declaration or other condominium documents and including
condominiums created before January 1, 1986, the following apply:
1. Unless
the declaration specifies a smaller percentage, the unit owners may amend the
declaration, including by adding or removing use restrictions, if at least SIXTY-SIX
PER CENT of the unit owners vote in favor of the amendment at a meeting of the
unit owners.
2. The
association shall deliver to the unit owners, at least thirty but not more than
sixty days before the meeting, both written notice of any meeting called for
the purpose of amending the declaration and the text of any proposed amendment.
3. An
amendment adopted by the association is effective on recording. the documents
relating to the amendment are to be kept with the other books and records of
the association for at least one year after recording of the amendment.
Sec. 3. Title 33, chapter 9, article 2, Arizona Revised Statutes, is amended by adding section 33-1227.01, to read:
33-1227.0133-1227.01. Amendment to declaration by members
A. Notwithstanding
any provision in the community documents, for any association in which the
declarant owns or controls less than THREE per cent of the separate Units, the
association may amend the declaration by a VOTE OF AT LEAST TWO-THIRDS OF THE
MEMBERSHIP.
B. THIS SECTION DOES
NOT APPLY TO THE MODIFICATION OF PROVISIONS OF THE COMMUNITY DOCUMENTS THAT DO
ANY OF THE FOLLOWING:
1. EXPRESSLY REQUIRE
DECLARANT CONSENT.
2. REGULATE THE
TRANSITION FROM DECLARANT CONTROL OF THE condominium TO NONDECLARANT OWNER
CONTROL.
3. AFFECT THE USE OF
AND ACCESS TO THE AMENITIES OF THE condominium AND ANY PROPERTY NOT OWNED BY
THE association FOR THE GUESTS AND INVITEES OF THE DECLARANT OR OF THE MEMBERS
AS PROVIDED IN THE COMMUNITY DOCUMENTS, INCLUDING USE AND ACCESS FOR MARKETING
PURPOSES AND USE OF AND ACCESS TO EASEMENTS.
4. AFFECT THE USE OR
DISPOSITION OF COMMON AREAS IN THE condominium.
5. aFFECT THE AMOUNT OR
LEVEL OF ASSESSMENTS ON LOTS OWNED BY THE DECLARANT.
Sec. 4. Section 33-1229, Arizona Revised
Statutes, is amended to read:
33‑122933-1229. Rights of secured lenders
The declaration may require that all or a specified number or
percentage of the mortgagees, beneficiaries of deeds of trust or sellers under
contracts, as defined in section 33‑741, for conveyance of real property
encumbering the units approve specified actions of the unit owners or the
association as a condition to the effectiveness of those actions, but this requirement for approval
shall not operate to either:
1. Deny or delegate control over the general
administrative affairs of the association by the unit owners or the board of
directors.
2. Prevent the association or the board of directors
from commencing, intervening in or settling any litigation or proceeding, or
receiving and distributing any insurance proceeds pursuant to section 33‑1253.
33‑1229
3. For
condominiums created before or after January 1, 1986, prevent the amendment of
the declaration if the amendment is made pursuant to section 33-1227.”
Renumber to conform
Page 7, between lines 9 and 10, insert:
“Sec. 7. Title 33, chapter 16, article 1, Arizona Revised Statutes, is amended by adding section 33-1817, to read:
33-181733-1817. Amendment to declaration
Notwithstanding any
provisions in the declaration or other community documents, the following
apply:
1. Unless
the declaration specifies a smaller percentage, the members of an association
may amend the declaration, including by adding or removing use restrictions, if
at least SIXTY-SIX PER CENT of the members vote in favor of the amendment at a
meeting of the members.
2. The
association shall deliver to the members of the association, at least thirty
but not more than sixty days before the meeting, both written notice of any
meeting called for the purpose of amending the declaration and the text of any
proposed amendment.
3. An
amendment adopted by the association is effective on recording. The documents
relating to the amendment are to be kept with the other books and records of
the association for at least one year after recording of the amendment.
Sec. 8. Title 33, chapter 16, article 1, Arizona Revised Statutes, is amended by adding section 33-1818, to read:
33-1818. Amendment to declaration by members
A.
Notwithstanding any provision in the community documents, for any planned
community in which the declarant owns or controls less than THREE per cent of
the separate lots, the members of the planned community may amend the
declaration by a VOTE OF AT LEAST TWO-THIRDS OF THE MEMBERSHIP.
B. THIS SECTION DOES
NOT APPLY TO THE MODIFICATION OF PROVISIONS OF THE COMMUNITY DOCUMENTS THAT DO
ANY OF THE FOLLOWING:
1. EXPRESSLY REQUIRE
DECLARANT CONSENT.
2. REQUIRE THE
EXCLUSIVE USE OF ONE OR MORE BUILDERS FOR THE PLANNED COMMUNITY.
3. REGULATE THE
TRANSITION FROM DECLARANT CONTROL OF THE PLANNED COMMUNITY TO NONDECLARANT
OWNER CONTROL.
4. AFFECT THE USE OF
AND ACCESS TO THE AMENITIES OF THE PLANNED COMMUNITY AND ANY PROPERTY NOT OWNED
BY THE PLANNED COMMUNITY FOR THE GUESTS AND INVITEES OF THE DECLARANT OR OF THE
MEMBERS AS PROVIDED IN THE COMMUNITY DOCUMENTS, INCLUDING USE AND ACCESS FOR
MARKETING PURPOSES AND USE OF AND ACCESS TO EASEMENTS.
5. AFFECT THE USE OR
DISPOSITION OF COMMON AREAS IN THE PLANNED COMMUNITY.
6. aFFECT THE AMOUNT OR
LEVEL OF ASSESSMENTS ON LOTS OWNED BY THE DECLARANT.
C. THIS SECTION DOES
NOT APPLY TO:
1. A PLANNED COMMUNITY
THAT PRESCRIBES A MINIMUM AGE FOR OWNERSHIP OR OCCUPANCY OF THE PLANNED COMMUNITY
IN COMPLIANCE WITH FEDERAL LAW.
2. A PLANNED COMMUNITY
IN WHICH OWNERSHIP INCLUDES THE REQUIREMENT OF MEMBERSHIP IN A MASTER
ASSOCIATION IN ADDITION TO REQUIRING MEMBERSHIP IN THE PLANNED COMMUNITY
ASSOCIATION.
3. A PLANNED COMMUNITY
WITH SEVEN HUNDRED FIFTY OR MORE UNITS.”
Renumber to conform
Amend
title to conform
