Committee hears hours of testimony on Senate Bill 400 to expand HOA member voting rights

Senate Bill 400, carried by Sen. Ken Bogner (SD 18), drew an extended hearing in the Senate Local Government Committee on Thursday as homeowners, attorneys and property managers testified in favor of changes to how associations amend covenants and handle owners’ rights.

The bill would: require notice and an opportunity to vote for property owners before covenants (CC&Rs) or easements are amended; clarify owners’ rights to vote for association officers and to speak at meetings; provide a process for amending covenants that require unanimous consent or otherwise lack amendment language; and allow associations to set higher thresholds if their governing documents require it.

Sponsor Sen. Bogner told the committee the bill grew from constituent complaints after a 2019 HOA bill; he said many disputes could be prevented if owners were notified and given a voting opportunity. Attorneys and homeowners described recurring problems where boards had allegedly amended covenants or made decisions without notifying owners. Proponents included Stephanie Baucus (attorney, Billings), homeowner Leslie Everett (Emigrant), Linda Babiak (Flathead County), Robin Hogan (online proponent who described a lawsuit she won), Todd Charlebois (homeowner), Kim Ewing (property manager, Helena), Chelsea Harrison (resident, Red Lodge) and several other owners who said the measure would create clarity and due-process protections.

Questions from committee members focused on turnout at association meetings, quorum requirements, and whether the bill’s “majority of lot owners voting” language meant a majority of those present or a majority of all owners. The sponsor and an attorney witness said the bill requires a majority of those voting, not a majority of all owners noticed. Several members asked whether the sponsor would accept amendments to require quorum standards or clearer voting procedures; the sponsor indicated willingness to work to meet the bill’s intent.

Committee members also asked about potential conflicts with ongoing litigation; attorney Stephanie Baucus said parts of the bill overlap with existing cases but argued the bill’s notice and voting protections are broader and aim to provide consistent rules statewide. The sponsor closed by saying most associations operate fine but the bill would create minimum due-process protections and that Representative Overstreet had agreed to carry the bill if passed out of committee.

No formal committee vote was recorded in the hearing excerpt; the committee closed the public hearing and moved on to other items.