The proposed bill seeks to amend various sections of Minnesota Statutes concerning common interest communities (CICs), focusing on the rights and responsibilities of unit owners and associations, as well as the governance of these communities. Key changes include the establishment of a dispute resolution process, new requirements for meeting notices, and limitations on late fees and attorney fees. The bill introduces conflict of interest standards for board members, mandates regular elections, and ensures that associations maintain transparency in their financial dealings. Additionally, it clarifies the conditions for terminating a common interest community, differentiating between communities with and without common elements, and specifies the voting thresholds required for such actions.

Significant insertions in the bill include provisions that enhance the disclosure requirements for unit owners, such as the necessity for a fact sheet from the attorney general outlining rights and responsibilities, and the anticipated monthly common expense assessments. The bill also prohibits local governments from mandating the creation of homeowners associations as a condition for residential development permits. The effective date for all changes is set for January 1, 2026, ensuring that the new regulations are implemented uniformly across all common interest communities in Minnesota.

Statutes affected:
Introduction: 515B.1, 515B.2, 515B.3, 515B.4, 394.25
1st Engrossment: 308C.003, 515B.1, 515B.2, 515B.3, 515B.4, 394.25
2nd Engrossment: 515B.1, 515B.2, 515B.3, 515B.4
3rd Engrossment: 515B.1, 515B.2, 515B.3, 515B.4