Assigned to GOV                                                                                                                    FOR COMMITTEE

 


 

 

 


ARIZONA STATE SENATE

Fifty-Fourth Legislature, Second Regular Session

 

FACT SHEET FOR S.B. 1337

 

homeowners' associations; solar, water devices

Purpose

            Prohibits any covenant or restriction contained in any deed, contract or other instrument affecting the transfer or sale of property from prohibiting the installation of a water saving device or water conservation practice. Prohibits a planned community owners association (HOA) from prohibiting the installation of a water saving device or water conservation practice.

Background

             Any covenant or restriction contained in any deed, contract or other instrument affecting the transfer or sale of property entered into after April 17, 1980, that prohibits the installation of a solar energy device is void and unenforceable (A.R.S. § 33-439).

Any HOA may not prohibit the installation of a solar energy device. An HOA can adopt reasonable rules regarding the placement of a solar energy device if the rules do not: 1) prevent installation; 2) impair the functioning of the device; or 3) adversely affect the cost or efficiency of the device. The court is required to award reasonable attorney fees and costs to any party that prevails in an action against the Board of Directors of the association for a violation of prohibiting the installation of a solar energy device (A.R.S. § 33-1816).

            Solar energy device is a system or series of mechanisms that is designed to provide heating or cooling, solar daylighting or to produce mechanical power by means of collecting and transferring solar-generated energy into such uses (A.R.S. § 41-1761).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.      Specifies that any covenant, restriction or condition in any deed, contract or other instrument affecting the transfer or sale of real property entered into after April 17, 1980, that prohibits the installation of a water saving device or water conservation practice is void and unenforceable.

2.      Prohibits an HOA from prohibiting the installation of a water saving device or water conservation practice.

3.      Allows an HOA to adopt reasonable rules regarding the placement of a water saving device or the use of water conservation practices, if the rules do not:

a)      prevent installation;

b)      impair functioning of the device or practice; or

c)      adversely affect the cost or efficiency of the device or practice.

4.      Requires a court to award reasonable attorney fees and costs to any party that prevails in an action against an HOA Board of Directors for prohibiting a water saving device or water conservation practice.

5.      Requires an HOA to provide written notice to members of any rules adopted relating to solar energy devices, water saving devices or the use of water conservation practices.

6.      Makes technical and conforming changes.

7.      Becomes effective on the general effective date.

Prepared by Senate Research

February 13, 2020

MH/CS/gs