SENATE BILL REPORT
HB 1054
As of March 2, 2023
Title: An act relating to the authority of owners' associations in common interest communities to regulate or limit occupancy by unrelated persons.
Brief Description: Addressing the authority of owners' associations in common interest communities to regulate or limit occupancy by unrelated persons.
Sponsors: Representatives Walen, Simmons, Ryu, Bateman, Ramel, Doglio, Macri, Gregerson, Springer, Thai, Kloba and Donaghy.
Brief History: Passed House: 2/6/23, 67-26.
Committee Activity: Law & Justice: 3/09/23.
Brief Summary of Bill
  • Prohibits an association of unit owners in a common interest community from regulating or limiting the number of unrelated persons that may occupy a unit.
SENATE COMMITTEE ON LAW & JUSTICE
Staff: Ryan Giannini (786-7285)
Background:

A common interest community (CIC) is a form of real estate in which each unit owner or homeowner has an exclusive interest in a unit or lot and a shared or undivided interest in common area property. In Washington, several statutes govern residential CICs, such as condominiums, cooperatives, leasehold CICs, miscellaneous communities, and plat communities.
 
The Washington Uniform Common Interest Ownership Act (WUCIOA) took effect July 1, 2018, and is applicable to CICs created on or after that date. A CIC created prior to the effective date of WUCIOA may choose to opt in to WUCIOA.
 
CICs created before July 1, 2018, typically are regulated by their governing documents and remain subject to the following acts:

  • the Horizontal Property Regimes Act (HPRA), which apples to residential condominiums created on or before July 1, 1990;
  • the Washington Condominium Act (WCA), which applies to condominiums created after July 1, 1990; and
  • the Homeowners' Association Act (HOAA), which provides a framework for the formation and legal administration of homeowners' associations created before July 1, 2018.

 
A CIC is administered by an association of unit owners or a homeowners' association—an organization consisting of property owners and homeowners within the CIC. An association of unit owners derives its authority from several documents, including the declaration of covenants, conditions, and restrictions; the association's bylaws and articles of incorporation; and the deeds to the property within a development.
 
An association's duties include managing and maintaining common areas for the benefit of the community, imposing and collecting assessments on unit owners, and enforcing restrictive covenants that govern the community. A unit owners' association may adopt rules and regulations concerning property use in the community and impose fines for violations of those rules.
Summary of Bill:

An association of unit owners in a common interest community is prohibited from regulating or limiting the number of unrelated persons that may occupy a unit. An association may regulate or limit the number of unrelated persons that may occupy a unit as a short-term rental.
Appropriation: None.
Fiscal Note: Not requested.
Creates Committee/Commission/Task Force that includes Legislative members: No.
Effective Date: Ninety days after adjournment of session in which bill is passed.