06/08/2026
Clarification on why most of the new HOA Bill of rights does not apply to SFOA
Until the applicability section of Chapter 515B is changed to apply to a common interest community like SFOA, the requirements are not applicable. There was an “application” section in the legislation that states the sections in the new bill “apply to common interest communities created before, on, or after the date of enactment” but the legislation did not change the “applicability” section of 515B.1-102 to make the entire chapter apply to all common interest communities. As Section 515B.1-102 provides language that makes SFOA exempt from 515B (with a couple limited exceptions as stated below) we take the position the new legislation does not apply.
The below is the analysis of why 515B does not apply to SFOA.
Section 515B.1-102(e)(2) states that this chapter (chapter 515B) shall not apply, except by election …. to the following “a common interest community that consists solely of platted lots or other separate parcels of real estate designed or utilized for detached single family dwellings or agricultural purposes, with or without common property, where no association or master association has an obligation to maintain any building containing a dwelling or any agricultural building located or to be located on such platted lots or parcels; except that section 515B.4-101(e) shall apply to the sale of such platted lots or parcels of real estate if the common interest community is or will be subject to a master declaration.”
SFOA is a common interest community that consists solely of platted lots or other separate parcels of real estate “where no association or master association has an obligation to maintain any building containing a dwelling or any agricultural building located or to be located on such platted lots or parcels.” As SFOA is not responsible for maintenance of the buildings/dwellings on the Lots and has not “elected” to be governed by 515B, the new changes to 515B do not apply to SFOA. There are only some specific exceptions where some provisions in 515B apply to all common interest communities, and these are Sections 515B.1-106, 515B.1-116, 515B.2-118, subsections (a)(5), (a)(7), and (d), and 515B.4-107. The only revisions that will apply to SFOA are the changes to Section 515B.4-107, which relate to resale disclosure documents provided by SFOA.