AN ACT Relating to condominiums; adding a new chapter to Title 64 RCW; adding a new section to chapter 64.32 RCW; and adding a new section to chapter 58.17 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. As used in this chapter unless the context requires otherwise:

(1) "Association" means all of the unit owners acting as a group in accordance with the declaration. The association may be a corporation, the only shareholders or members of which shall be the unit owners. If the association is a corporation, each unit owner's proportion of ownership and voting rights in the corporation shall be the same as the unit owner's undivided interest in the common elements.

(2) "Building" means a structure containing one or more units.

(3) "Common elements" means such parts of the property as are designated in the declaration as common elements and, unless otherwise provided in the declaration, includes:

(a) The land described in the declaration and subjected to this chapter;

(b) The foundations, columns, girders, beams, supports, main walls, roofs, halls, corridors, lobbys, basements, attics, crawl spaces, stairs, stairways, fire escapes, and entrances and exits of a building;

(d) The installations of central services such as power, light, gas, hot and cold water, heating, refrigeration, air conditioning and incinerating;

(e) The elevators, tanks, pumps, motors, fans, compressors, ducts and in general all apparatus and installations existing for common use; and

(f) All other parts of the property which are necessary or convenient to the existence, maintenance, or safety of the property and are for the use or benefit of more than one unit.

(4) "Common expenses" includes expenses of administering, insuring, maintaining, repairing and replacing the common elements, including any reserves therefor, and expenses declared common expenses by the provisions of this chapter or by the declaration.

(5) "Common profits" means the balance of all income, rents, profits, and revenues from the common elements remaining after the deduction of the common expenses.

(6) "Condominium" means the property subjected to this chapter pursuant to a declaration.

(7) "Declarant" means the person or persons executing a declaration pursuant to section 2 of this act, and any person who succeeds to rights as a declarant under the declaration.

(8) "Declaration" means the instrument and any amendments thereto by which the property is subjected to this chapter, as hereinafter provided.

(9) "Foreclosure" means a judicial foreclosure, trustee's sale, or forfeiture of a mortgage, or a deed or bill of sale in lieu of any of the foregoing.

(10) "Land" means the material of the earth, whatever may be the ingredients of which it is composed, whether soil, rock, or other substance, whether or not submerged, and includes free or occupied space for an indefinite distance upwards as well as downwards, but subject to limitations imposed by applicable law upon the use of water under which the land may be submerged or airspace above the land.

(11) "Limited common elements" means those common elements designated in the manner provided by the declaration as reserved for the exclusive use of a certain unit or units.

(12) "Majority" or "majority of unit owners" means the unit owners with more than fifty percent of the votes in accordance with the percentages assigned to the units in the declaration for voting purposes.

(13) "Mortgage" means a mortgage, a deed of trust, a real estate contract or a security agreement, given in good faith and for value.

(14) "Mortgagee" means a mortgagee, a deed of trust beneficiary, a real estate contract vendor, or a secured party.

(15) "Person" includes any individual, corporation, partnership, trustee, or other legal entity.

(16) "Property" means the interests in land, any buildings, improvements, and other structures, all easements, rights and appurtenances belonging thereto, and all articles of personalty intended for use in connection therewith, which have been subjected to this chapter. Such interests may be fee simple absolute or qualified, leasehold or periodic estate, or any combination thereof, or in any other manner in which real property may be owned, leased, or possessed in this state, but "property" shall not include a mortgagee's interest.

(17) "Unit" means a space which is defined in the declaration as a unit, which is a part of the property, and is intended for use as a residence; as an office; for storage or placement of boats, airplanes, vehicles, or other personal property; for operation of any industry or business; or for any other independent use not prohibited by law, and which has direct access to a public street or highway or to a common element which has direct access to a public street or highway. A unit shall be wholly or partially enclosed within one or more buildings or, in the case of storage or placement of boats, airplanes, vehicles, or other personal property, may be entirely unenclosed. In interpreting declarations and survey maps and plans, if the boundaries of a unit are wholly or partially enclosed within a building or buildings, the portion of the boundaries which are intended to coincide with physical walls, floors, ceilings, windows, and doors shall be the interior surfaces of those walls, floors, ceilings, windows, and doors as originally constructed or as reconstructed substantially in accordance with the survey map and plans rather than the description of the boundaries contained in the declaration or survey map and plans, regardless of settling or lateral movement and regardless of minor variances between the physical boundaries and the boundaries expressed in the declaration, and survey map and plans. If the boundaries of a unit are partially defined by physical boundaries, the portion of the boundaries of a unit which are not defined by physical boundaries shall be construed consistently with the physical boundaries to accomplish the intent of the declaration.

(18) "Unit designation" means the number, letter, or combination thereof in the declaration identifying the unit.

(19) "Unit owner" means the person or persons owning a unit and the undivided interest in the common elements appurtenant thereto. Ownership of a unit shall be limited to those property interests which were subjected to the provisions of this chapter. Subject to section 2 of this act, ownership of a unit and the undivided interests in the common elements appurtenant thereto may be held in any manner in which real property may be owned, leased, or possessed in this state.

NEW SECTION. Sec. 2. All of the owners, lessees, or possessors of property may subject their interests to this chapter by executing and recording a declaration or amendment thereto as provided in section 9 of this act. This chapter shall be applicable only to property interests so subjected. Interests in property which are subjected to this chapter and from which the units are created may be different from interests in property which are subjected to this chapter and from which any portion or portions of the common elements appurtenant to the units are created: PROVIDED, HOWEVER, That all parts of the property which are units, the access thereto from public rights of way, and the buildings, shall be created from identical interests in property subjected to this chapter: PROVIDED, FURTHER, That the provisions of this section shall not prohibit such access being by easement created from interests which are identical to the unit interests.

NEW SECTION. Sec. 3. Each unit, together with its undivided interest in the common elements, shall not be considered as an intangible or a security or any interest therein but shall for all purposes constitute and be classified as real property.

NEW SECTION. Sec. 4. Each unit owner shall be entitled to the exclusive ownership and possession of such owner's unit, but any unit may be jointly or commonly owned by more than one person. Subject to the limitations authorized by this chapter, each unit owner shall have the common use or benefit of the common elements with the other unit owners.

NEW SECTION. Sec. 5. (1) Each unit owner shall be entitled to an undivided interest in the common elements in the percentage expressed in the declaration, which percentage shall be equal to the value of the unit divided by the value of all of the units. Each unit owner's vote in the association shall be in proportion to the unit's percentage interest in the common elements.

(2) The percentage of the undivided interest of each unit owner in the common elements as expressed in the declaration shall not be altered except in accordance with section 9(13) of this act. The percentage of the undivided interest in the common elements shall not be separated from the unit to which it is appurtenant even though such interest is not expressly mentioned or described in a conveyancing instrument for the unit. Nothing in this section or this chapter shall be construed to detract from or limit the powers and duties of any assessing or taxing unit or official which is otherwise granted or imposed by law, rule, or regulation.

(3) The common elements shall remain undivided and no unit owner or any other person shall bring any action for partition or division of any part thereof, unless and to the extent the property has been removed from the provisions of this chapter as provided in section 15, 23, or 28 of this act. Any covenant to the contrary shall be void. Nothing in this chapter shall be construed as a limitation on the right of partition by joint owners or owners in common of a unit as to the ownership of such unit.

(4) Subject to the limitations authorized by this chapter, each unit owner shall have a nonexclusive easement for, and may use the common elements in accordance with, the purpose for which they were intended without hindering or encroaching upon the lawful rights of the other unit owners.

(5) The necessary work of maintenance, repair and replacement of the common elements and the making of any addition or improvement thereto shall be carried out only as provided in the declaration consistent with this chapter.

(6) The association and its authorized representative shall have access to each unit from time to time during reasonable hours as may be necessary for the maintenance, repair, or replacement of any of the common elements therein or accessible therefrom, or for making emergency repairs therein necessary to prevent damage to the common elements or to another unit or units.

(7) The declaration may empower the association and its authorized representative to grant easements and rights of way over, across, and under the common elements.

NEW SECTION. Sec. 6. Each unit owner and the unit owner's tenants, licensees, and invitees, and any other person who uses the property, shall be subject to and comply with the provisions of the declaration, the bylaws and the rules and regulations adopted pursuant to the declaration and with any covenants, conditions, and restrictions set forth in the conveyancing instrument to the unit. Subject to the provisions of the declaration, the association may impose charges for late payments of assessments and charges or fines for violations of the declaration, bylaws, rules or regulations of the association. Failure to comply with any of the foregoing shall be cause for an action to recover sums due, for damages or for injunctive relief, or any combination thereof, maintainable by the association, its authorized representative, or an aggrieved unit owner.

NEW SECTION. Sec. 7. (1) Subsequent to recording the declaration as provided in this chapter, and while the property remains subject to this chapter, no lien shall arise against the property. During such period, liens or encumbrances shall arise or be created only against each unit and the percentage of undivided interest in the common elements appurtenant to such unit in the same manner and under the same conditions as liens or encumbrances may arise or be created upon or against any other separate parcel of real property subject to individual ownership. No statutory lien for improvement shall attach to a unit unless the unit owner or the owner's authorized representative has expressly consented to or requested the improvement, except that such express consent shall be deemed given by any unit owner in the case of emergency repairs. Improvements to the common elements, if authorized by the association or its authorized representative, shall be deemed to be performed or furnished with the express consent of each unit owner for the purpose of any statutory lien.

(2) In the event a lien against two or more units becomes effective, the unit owners of the separate units may remove their unit and the percentage of undivided interest in the common elements appurtenant to such unit from the lien by payment of an amount in proportion to their respective percentages in the common elements established in the declaration for the units affected. Such partial payment shall not prevent the lienor from proceeding to enforce the lienor's rights against any unit and the percentage of undivided interest in the common elements appurtenant thereto not so paid.

NEW SECTION. Sec. 8. The common profits of the property shall be distributed among, and the common expenses shall be charged to, the unit owners according to the percentage of the undivided interest in the common elements.

NEW SECTION. Sec. 9. The declaration shall contain:

(1) A description of the interests, land and other property to be subjected to this chapter;

(2) The name by which the condominium shall be known and the number of units;

(3) The unit designations;

(4) A description of the common elements;

(5) A description of the limited common elements, if any, stating to which units their use is reserved;

(6) The value of each unit, and the percentage of undivided interest in the common elements appurtenant to each unit for all purposes, including voting;

(7) A statement of restrictions, if any, on the use of all or any of the property;

(8) The name and address of the residence or place of business of the person initially designated to receive service of process on the association. A post office box number is not sufficient for the purpose of this subsection. Such person or address can be changed from time to time upon recording in the county in which the property is located an instrument executed by a person authorized to do so by the association;

(9) The percentage of votes by the unit owners required to determine whether to repair, reconstruct, or rebuild to substantially the same condition as immediately before the damage or destruction or to sell or otherwise dispose of the property in the event of damage or destruction of all or part of the property;

(10) A provision authorizing and establishing procedures for subdividing and/or combining any unit or units, common elements, or limited common elements. The declaration may contain procedures providing for reasonable reallocation of the percentages of interest in the common elements among subdivided or combined units, but must include provisions which require the owners of the affected units to consent to such reallocation;

(11) A provision requiring the adoption of bylaws for the administration of the property or for other purposes not inconsistent with this chapter and procedures for the amendment thereof not inconsistent with this chapter. Administration of the property shall be by the association or, if the declaration so provides, by the person or persons designated in the manner set forth in the declaration, which such person or persons shall be the association's authorized representative or representatives;

(12) Any further details in connection with the property which are not inconsistent with this chapter; and

(13) The method by which the declaration may be amended, consistent with this chapter: PROVIDED, That (a) except as the declaration otherwise provides in connection with subdivision or combination of units, and except as the declaration otherwise provides for amendments referred to in section 28 of this act, the affirmative vote or written consent of unit owners holding one hundred percent of the votes shall be required for an amendment altering the value of a unit stated in the declaration or its percentage of undivided interest in the common elements; and (b) unless a greater percentage is required by the declaration, and except as the declaration otherwise provides for amendments referred to in subsection (10) of this section or section 27(1) or section 28 of this act, the affirmative vote or written consent of unit owners holding not less than sixty percent of the votes shall be required for any other amendment.

NEW SECTION. Sec. 10. To subject property to this chapter, there shall be recorded in the official records of the county in which the condominium is located: (1) A declaration, and (2) a survey map and plans simultaneously with the recording of the declaration. In addition, prior to the conveyance of a unit, excluding conveyances for security, a statement of an engineer or surveyor as herein provided shall be recorded which includes such unit. The survey map and plans shall contain a reference to the recording number of the declaration and shall be executed and acknowledged by the declarant. The survey map shall contain a written description of the land submitted to this chapter, and shall show the boundary of the surface of the land submitted to this chapter and the location of any existing building or buildings described in the declaration. The plans shall identify each existing unit and shall show the vertical and horizontal boundaries and dimensions of each existing unit in sufficient detail to locate the boundaries of each existing unit in relation to the boundaries of the surface of the land. The declaration or survey map and plans shall describe each existing unit in three dimensions by planes or other spatial boundaries which surround the unit and which can be determined by surveying techniques. The plans shall indicate which unit boundaries are intended to coincide with physical walls, floors, ceilings, windows, and doors. A registered engineer or registered land surveyor shall execute and verify a statement that the survey map and plans as filed or amended accurately depict the identification, location, boundaries, and dimensions of the existing units, and that with respect to any existing unit or units which are wholly or partially enclosed within a building, the boundaries and dimensions as shown in the plan of such units are the boundaries and dimensions as built. The engineer's or surveyor's statement may be contained in the filed survey map and plans or an amendment thereto or may be recorded separately. If the engineer's or surveyor's statement is recorded separately, it shall contain a reference to the recording number of the declaration, the survey map and plans, and any amendments to either of them. The survey map and plans shall be in the style, size, form, and quality prescribed by the recording officer of the county where they are to be filed.

NEW SECTION. Sec. 11. Local ordinances, resolutions, or laws relating to land use shall be construed to treat like structures, lots, or parcels in like manner regardless of whether the ownership thereof is divided by sale of units created under this chapter rather than by lease of units.

NEW SECTION. Sec. 12. Deeds or other conveyances of each unit shall include a description of the unit which sets forth the name of the condominium in which the unit is located, the recording data for the declaration, the county in which the condominium is located, and the unit designation. Such description shall be a sufficient legal description of that unit and of all rights, obligations, and interests appurtenant to that unit which were created by the declaration, the survey map and plans, or the bylaws. Deeds or other conveyances of any interest in any unit need not contain a reference to rights reserved under section 28 of this act or the effect of the exercise of such rights.

NEW SECTION. Sec. 13. At the time of the first conveyance of each unit, every mortgage, lien, or other monetary encumbrance affecting such unit and any other unit, including the percentage of undivided interest of the unit in the common elements, shall be paid and satisfied of record, or the unit being conveyed and its percentage of undivided interest in the common elements shall be released therefrom by recorded partial release or recorded partial conveyance, unless the seller shall first provide to the purchaser title insurance against loss on account of the mortgage, lien, or encumbrance, which title insurance shall be written by a person authorized to transact title insurance business in this state. General property taxes and assessments which are payable, but not yet delinquent, shall not be subject to the provisions of this section.

NEW SECTION. Sec. 14. The declaration, any amendment thereto, any instrument by which the property may be removed from this chapter and every instrument affecting the property or any unit shall be entitled to be recorded in the official records of the county in which the condominium is located. Neither the declaration nor any amendment thereof shall be valid unless so recorded.

NEW SECTION. Sec. 15. (1) In addition to the declarant's rights under section 28 of this act, all or any of the property may be removed from this chapter by all unit owners executing and recording in the official records of the county in which the condominium is located an instrument to that effect: PROVIDED, That all mortgagees and holders of liens affecting any of the units shall have consented thereto in an instrument recorded in the official records of the county in which the condominium is located. Upon such removal, mortgages and liens on a unit shall be transferred to the percentage of the undivided interest of the owner of that unit in the property as hereinafter provided;

(2) Upon removal of the property from this chapter pursuant to this section, the property removed shall be owned in common by the unit owners. The undivided interest in the property owned in common by each unit owner shall be the percentage of the undivided interest owned by such owner in the common elements immediately prior to such removal.

NEW SECTION. Sec. 16. The removal provided for in sections 15 and 28 of this act shall in no way bar the subsequent resubmission of the property to this chapter.

NEW SECTION. Sec. 17. The association or its authorized representative shall keep complete and accurate books and records of the receipts and expenditures affecting the common elements, specifying and itemizing the maintenance and repair expenses of the common elements and any other expenses incurred. Such books and records and the vouchers authorizing payments shall be available for examination by the unit owners, their agents or attorneys, at any reasonable time. All books and records shall be kept in accordance with good accounting procedures from and after the date the declaration is recorded. The provisions of this section shall apply to the declarant during any period the declarant exercises any functions of the association and such application may not be waived or modified in whole or in part.

NEW SECTION. Sec. 18. No unit owner shall be exempt from liability for contribution towards the common expenses by waiver of the use or enjoyment of any of the common elements or by abandonment of the owner's unit.

NEW SECTION. Sec. 19. Each unit and its undivided interest in the common elements shall be deemed to be a parcel and shall be subject to separate assessments and taxation by each assessing entity for all types of taxes authorized by law, including but not limited to special ad valorem levies and special assessments. A building, the property, and the common elements, or any of them, shall not be deemed to be a parcel for any purpose.

NEW SECTION. Sec. 20. (1) Notwithstanding any ordinance to the contrary, the declaration may provide for the collection of all sums chargeable by the association against any unit. The collection may be enforced in any manner provided in the declaration, including but not limited to (a) the severing of any or all utility services after not less than ten days written notice to the delinquent unit owner to the effect that unless such assessment is paid within such notice period any or all utility services will be severed until such assessment is paid, and (b) the collection of such sums by such lawful method of enforcement as may be provided in the declaration.

(2) All unpaid sums charged by the association against any unit shall constitute a lien on that unit. The lien shall be prior to all other liens except only (a) tax liens on the unit in favor of any assessing entity and/or special district, and (b) the liens of all mortgages of record against the unit. Such lien may be enforced judicially by the association or its authorized representative in the manner set forth in chapter 61.12 RCW. During the foreclosure the unit owner shall be required to pay a reasonable rental for the unit, if so provided in the declaration, and the plaintiff in such action shall be entitled to the appointment of a receiver to collect the same. The association or its authorized representative shall have power, unless prohibited by the declaration, to purchase the unit at foreclosure sale, and to acquire and hold, lease, mortgage and convey the same. Upon an express waiver in the complaint of any right to a deficiency judgment, the period of redemption shall be eight months after the sale. The association, or its authorized representative, may bring suit to collect such sums in any court of competent jurisdiction. Such action may be maintained on the debt without foreclosing or waiving the liens securing such sums.

(3) Where the holder of a mortgage of record or other purchaser of a unit obtains the right of possession of the unit as a result of foreclosure, such possessor and the possessor's successors and assigns shall not be liable for the sums chargeable by the association to such unit which became due prior to such right of possession. Such unpaid sums shall be deemed to be common expenses collectible from all of the unit owners, including such possessor and the possessor's successors and assigns.

NEW SECTION. Sec. 21. In a voluntary conveyance the grantee of a unit shall be jointly and severally liable with the grantor for all unpaid sums chargeable by the association against the unit up to the time of the grantor's conveyance, without prejudice to the grantee's right to recover from the grantor the amounts paid by the grantee therefor. Any such grantee shall be entitled to a statement from the association or its authorized representative setting forth the amount of the unpaid sums charged against the unit and such grantee shall not be liable for, nor shall the unit conveyed be subject to a lien for, any unpaid sums charged against the unit in excess of the amount therein set forth.

NEW SECTION. Sec. 22. If required by the declaration or a majority of the unit owners, or at the request of a mortgagee having a mortgage of record encumbering a unit, the association or its authorized representative shall obtain insurance for the property against loss or damage by fire and such other hazards under such terms and for such amounts as shall be reasonably required. Such insurance coverage shall be written on the property in the name of the association, if incorporated, or its authorized representative as trustee for each of the unit owners in the percentages established in the declaration. Premiums shall be a common expense. Provision for such insurance shall be without prejudice to the right of any unit owner to insure such owner's unit and the contents thereof for such owner's benefit.

NEW SECTION. Sec. 23. If, within ninety days of the date of damage or destruction to all or part of the property, or such longer period as is provided in the declaration, it is not determined by the unit owners to repair, reconstruct, or rebuild to substantially the same condition as immediately before the damage or destruction, or to sell or otherwise dispose of the property, then:

(1) The property shall be owned in common by the unit owners;

(2) The undivided interest in the property owned in common by each unit owner shall be the percentage of undivided interest owned by such owner in the common elements as of the date the damage or destruction occurred;

(3) Any mortgages or liens affecting any of the units shall be deemed transferred, in accordance with the existing priorities, to the percentage of the undivided interest of the unit owner in the common elements as provided herein; and

(4) The property shall be subject to an action for partition at the suit of any unit owner, in which event the net proceeds of sale, together with the net proceeds of the insurance of the property, if any, shall be considered as one fund. Such fund shall be divided into separate shares, one for each unit owner in a percentage equal to the percentage of undivided interest owned by each such owner in the common elements immediately before the damage or destruction. After first paying out of the respective share of each unit owner all mortgages and liens on the undivided interest in the property owned by such unit owner, the balance remaining in each share shall be distributed to each unit owner respectively.

NEW SECTION. Sec. 24. Without limiting the rights of any unit owner, actions may be brought as provided by law and by the rules of court by the association or its authorized representative on behalf of two or more of the unit owners, as their respective interests may appear, with respect to any cause of action relating to the common elements or to more than one unit. Service of process on two or more unit owners in any action relating to the common elements or more than one unit may be made on the person designated in the declaration to receive service of process on the association. Actions relating to the common elements for damages arising out of tortious conduct alleging a wrong done by the association or any agent or employee of the association shall be maintained only against the association and any judgment resulting therefrom shall be deemed a common expense. A money judgment against the association may be made a lien against all of the units by recording in the county in which the condominium is located a notice of such judgment containing the name of the condominium and the recording data of the declaration. The recording officer shall index the judgment by the name of the condominium. The lien of said judgment shall be removed from any unit and its percentage of undivided interest in the common elements upon payment of the unit owner's proportionate share thereof based on the percentage of undivided interest in the common elements owned by such unit owner. Unless a judgment is against an owner personally, no interests of a unit owner other than such owner's unit shall be subject to the claims of creditors of the association.

NEW SECTION. Sec. 25. All agreements, decisions and determinations made by the association under the provisions of this chapter and the declaration and in accordance with the voting percentages established in this chapter and the declaration shall be binding on all unit owners.

NEW SECTION. Sec. 26. This chapter shall be known as the condominium act.

NEW SECTION. Sec. 27. (1) The right to exclusive use of a limited common element may be changed only by an amendment to the declaration which is executed by the unit owners having the exclusive right to use said limited common elements and their respective mortgagees having recorded mortgages on such units: PROVIDED, That the declaration may contain procedures by which unit owners may exchange their exclusive right to use their respective storage areas or their exclusive right to use their respective parking areas, which such exchange of storage areas or exchange of parking areas shall be accomplished by recording in the official records of the county in which the condominium is located an instrument executed by such owners and delivering a copy of the recorded instrument to the association or its authorized representative.

(2) Except as otherwise provided in the declaration, a common element not previously reserved for use of a certain unit or units as a limited common element may not be so designated except with the consent of all of the unit owners to an amendment to the declaration and, if necessary, the survey map and plans: PROVIDED, That nothing herein shall prohibit the association or its authorized representative from permitting temporary exclusive use of certain portions of the common elements for use of a certain unit or units.

NEW SECTION. Sec. 28. (1) If the declaration expressly so provides, and except when all of the property is removed from this chapter under section 15 of this act, the declarant may add to the condominium any land, buildings, units or other improvements, or any combination thereof, and may withdraw from the condominium any land which is not improved with any unit or common element for the existing units (other than utility lines or roads for which easements are granted or reserved for the benefit of the units), by recording an amendment to the declaration signed by the declarant and an amendment to the survey map and plans. Said amendments shall contain the information required by sections 9 and 10 of this act, respectively, to the extent necessary to cause the declaration and survey map and plans, as so amended, to comply with said sections. Said amendments shall not require the consent of the unit owners unless and to the extent otherwise specified in the declaration. Conveyances of real property interests resulting solely from the addition or withdrawal of any property in compliance with this section shall not require any conveyancing instrument.

(2) The declaration may contain any restrictions on the type, location, size, permitted use, and any other characteristic of the land, buildings, units or other improvements which may be added, or the land which may be withdrawn, and any conditions to the manner in which such additions or withdrawals are to be made. No portion of the land may be withdrawn unless it is described as being subject to withdrawal in the declaration, said description to be by metes and bounds or by a lot or lots or a parcel or parcels on a recorded plat. Unless the declaration provides for a time limit during which such additions or withdrawals must be made, no property may be added to or withdrawn from the condominium after seven years following the date the declaration is recorded.

(3) If the declaration permits the declarant to add units, it shall provide the manner, consistent with section 5 of this act, in which the percentages of interest in the common elements shall be reallocated as a result of any such addition. In no event may the ratio of the percentages of interest in the common elements among existing units not being added be materially changed as a result of the addition or withdrawal of any property.

(4) The declaration may provide that any of its provisions pertaining to the procedures or requirements for adding property to or withdrawing land from the condominium may not be amended or revoked without the declarant's prior written consent.

NEW SECTION. Sec. 29. (1) Unless otherwise provided in the declaration, assessments for common expenses shall commence upon the closing of the sale of the first unit in the condominium. After assessments have commenced, all common expenses, except for assessments made under subsection (2) of this section, shall be assessed against all units in proportion to their percentages of undivided interest in the common elements as set forth in the declaration. Until assessments commence, the declarant shall pay all common expenses.

(2) The declaration may provide that: (a) Expenses for the maintenance, repair, or replacement of a limited common element shall be paid by or assessed to the unit or units to which that limited common element's use is reserved, equally, or in such other proportion as the declaration provides; and/or (b) the cost of utilities shall be assessed in proportion to usage.

NEW SECTION. Sec. 30. This chapter shall apply to all declarations recorded after the effective date of this act. This chapter shall also apply to any declaration recorded pursuant to chapter 64.32 RCW prior to the effective date of this act when such declaration expressly so provides by specific reference to this chapter, or when so approved by the affirmative vote or written consent of all apartment owners, which election shall be set forth in an instrument executed by the association or its authorized representative and recorded in the official records of the county in which the property subjected to chapter 64.32 RCW is located.

NEW SECTION. Sec. 31. The declarant and persons appointed by or through declarant to exercise the rights or powers of the association shall be fiduciaries for the unit owners with respect to actions taken for the association pursuant to powers reserved by or for the declarant in the declaration.

NEW SECTION. Sec. 32. A new section is added to chapter 58.17 RCW to read as follows:

If performance of an offer or agreement to sell, lease, or otherwise transfer a unit is expressly conditioned on the recording of a declaration meeting the requirements of section 9 of this act, and a survey map and plans and verified statement meeting the requirements of section 10 of this act, then the offer or agreement is not subject to RCW 58.17.200 or 58.17.300, and does not violate any provision of chapter 58.17 RCW. All payments on account of an offer or agreement conditioned as provided in this section shall be deposited in an escrow or other regulated trust account and no disbursement to sellers shall be permitted until such declaration, survey map and plans, and verified statement are recorded.

NEW SECTION. Sec. 33. A new section is added to chapter 64.32 RCW to read as follows:

No horizontal property regime and no condominium may be created under the provisions of this chapter after the effective date of this act: PROVIDED, That the provisions of this chapter shall govern the rights and obligations in any horizontal property regime created prior to the effective date of this act, including without limitation, any amendment, modification, or change to such a horizontal property regime, unless such horizontal property regime is made subject to the provisions of chapter 64.-- RCW (sections 1 through 31 of this act) pursuant to section 30 of this act.

NEW SECTION. Sec. 34. Sections 1 through 31 of this act shall constitute a new chapter in Title 64 RCW.