Idaho Legislature: Ask Legislators to VOTE YES on H0361 - Homeowner's associations, boards (posted 03/06/25)

• Bill: legislature.idaho.gov/s…

• Contact Legislators (linked below):

(Check the linked page or use My Bill Tracker for the bill’s current status.)

_____________________

H0361 clarifies and strengthens homeowner rights with respect to HOAs, spelling out the process for turning over homeowner's association responsibilities to the property owners and establishing more transparent and balanced HOA governance rules.

Homeowners associations (HOAs) operate as private organizations in some ways; however, membership usually isn’t optional. HOAs can use government resources to impose their will on the property owners within their boundaries. H0361 helps establish clear legal limits to prevent residential HOAs (incorporated or unincorporated) from violating individuals’ property rights.

Details:

• Defines term "Declarant" (the entity filing initial community documents/covenants – commonly known as CC&Rs).

• Affects HOAs formed after July 1, 2025.

• Specifies how long the declarant retains control over the HOA.

  • Once 75% of lots are owned by individual homeowners: Within 180 days, at least one-third of board positions must be elected by owners.

  • Once the development is 95% built and owner occupied: Within 12 months, full control must be transferred to homeowners.

  • Declarant generally retains architectural review authority during the period of declarant control.

  • Owners may seek injunctive relief if declarants fail to comply with law.

• Board Membership and Proxy Votes:

  • Only one owner per lot may serve serve concurrently on the HOA board.

  • No single owner may hold proxies representing more than 50% of total votes.

  • Board members may not be in the same household.

• Does not apply to HOAs with fewer than 20 residences or during the declarant control period of the HOA.

• Financial transparency: HOAs must provide timely assessment account statements, annual fee disclosures, and financial reports to members without charging fees.

• With some exceptions, each HOA is subject to the records and reports requirements of the Idaho nonprofit corporation act (part 11, chapter 30, title 30, Idaho Code).