IDAHO – Idaho Legislature adopts new restrictions on HOA fines
The Idaho Legislature recently adopted Senate Bill 1310 that places new limits on fines issued by property owners’ associations. The stated purpose of the new law, which will become Idaho Code Section 55-115, is to place “reasonable requirements” on owners’ associations to protect homeowners from invalid fines before a lien foreclosure occurs.
The new rules have broad application and will affect developers, property owners, volunteer association board members, and property management companies. Although some of the restrictions in the new law are clearly defined, the law is silent on several issues and creates pitfalls for unprepared parties.
So what are the new restrictions? First, no “fine” may be imposed for a violation of an association’s CC&Rs unless the “authority” to impose the fine is clearly set forth in the CC&Rs. The new law does not define what constitutes a fine. Merely changing the name in the CC&Rs from a “fine” to a “fee” or a “penalty” likely will not avoid the requirements of the new law. Read more: