This bill amends existing legislation to allow associations of planned real estate developments to apply to the Department of Community Affairs (DCA) for a reduction in their reserve fund obligations. The reduction can be based on risk-mitigating features of the development that may decrease the likelihood of incurring substantial expenses for the repair or replacement of capital assets. The bill introduces new legal language that specifies these risk-mitigating features, which may include characteristics such as the absence of high-rise, multifamily housing structures.

Additionally, the bill mandates that the Commissioner of Community Affairs develop rules and regulations to implement these provisions, including defining what constitutes a risk-mitigating feature. This legislative change aims to provide more flexibility for planned real estate developments in managing their financial obligations while ensuring that adequate funds are still available for necessary repairs and replacements. The bill is set to take effect three months after its enactment, with provisions for the Commissioner to take anticipatory actions to facilitate its implementation.

Statutes affected:
Introduced: 45:22A-44.3