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REFERENCE TITLE: planned communities; no quorum; dissolution |
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State of Arizona Senate Fifty-sixth Legislature Second Regular Session 2024
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SB 1297 |
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Introduced by Senator Kern
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An Act
amending title 33, chapter 16, article 1, Arizona Revised Statutes, by adding section 33-1820; relating to planned communities.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 33, chapter 16, article 1, Arizona Revised Statutes, is amended by adding section 33-1820, to read:
33-1820. Association meetings; lack of quorum; dissolution; limitations
A. Beginning January 1, 2025, a planned community that fails to meet minimum quorum requirements for meetings of the association for three consecutive years shall be dissolved and the covenants, conditions and restrictions and other community documents shall be void and unenforceable beginning with the next calendar year.
B. Monies that are held by the association shall continue to be held in trust for the benefit of the members and shall be divided equally among the members within twenty calendar days after the effective date of the dissolution.
C. A planned community that fails to meet minimum quorum requirements for meetings of the association for two consecutive years may not award new contracts or plan new projects and expenditures that would not be completed until after a possible dissolution pursuant to subsection A of this section.