(1) Existing law, the Davis-Stirling Common Interest Development Act, governs the formation and operation of common interest developments, and requires a common interest development to be managed by an association, as specified. Existing law, unless otherwise provided by the governing documents, authorizes the board of directors of the association to hire a managing agent, defined as a person who, for compensation or in expectation of compensation, exercises control over the assets of a common interest development. Existing law requires the association to distribute an annual policy statement, containing certain information, to the members within 30 to 90 days before the end of the fiscal year.
This bill would require the annual policy statement to include a statement of all fees charged by the managing agent.
(2) Existing law requires the Department of Consumer Affairs and the Department of Real Estate, to the extent existing funds are available, to develop an online education course for the board of directors of an association regarding the role, duties, laws, and responsibilities of directors and prospective directors, and the nonjudicial foreclosure process.
This bill would require the Department of Real Estate to develop an education course for executive officers, as defined, of the association that is validated by the Secretary of State on specified review requirements, fiduciary duties, management duties, and the fine details of the Davis-Stirling Common Interest Development Act. Commencing on the date of the development of the education course, the bill would require an executive officer to complete 12 hours of the education course within a specified timeframe.

Statutes affected:
01/05/26 - Amended Assembly: 5310 CIV, 5310 CIV