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Delegate presents bill to let small condo associations skip reserve studies with member vote
Summary
House Bill 12-01 would let certain condo associations use an 80% member special-assessment vote instead of a mandatory reserve study and would exempt small single-family HOAs (50 or fewer homes that only maintain roads) from reserve-study rules; sponsor requested an editorial amendment and cited no fiscal impact to state or local governments.
Delegate Bridal presented House Bill 12-01 at the Economic Matters Committee hearing, proposing two carve-outs to Maryland's statewide reserve-study requirement for common‑ownership communities. The bill would let a residential condominium association avoid a reserve study if 80% of members vote to fund repairs through a special assessment, and would exempt single‑family HOAs composed of 50 or fewer homes that are responsible only for road maintenance.
The sponsor said the measure responds to repeated inquiries about the mandate and that many long‑standing communities have relied successfully on special assessments. He asked the committee to adopt an amendment changing language on page 6, line 22 from “or” to “and” so that all four listed conditions must be met for the second exemption.
According to the sponsor, the fiscal note shows no impact on state or local government operations; he argued the bill could have “positive and significant impacts on smaller condo associations and HOAs.” There were no questions from the committee and no witnesses opposing the bill at the hearing; the chair closed the bill hearing without further discussion.
If the committee advances the measure, the bill would change how some small homeowner associations plan and pay for capital repairs but would leave the underlying reserve‑study framework intact for larger, multi‑unit communities.
