OLYMPIA — The governor has signed legislation sponsored by Sen. Mary Margaret Haugen, D-Camano Island, to ease some of the reporting requirements of small condominium associations.
“It’s a simple ‘cost nothing/do something’ idea to cut red tape so that citizens don’t have to jump through hoops to apply for something that common sense says should be automatic,” Haugen said of Senate Bill 5461.
Condominium associations are required to conduct reserve studies and update them annually, but these studies are not required if preparing them would present an unreasonable hardship. Currently, these studies are automatically considered an unreasonable hardship if it would cost more than 10 percent of the association’s annual budget.
Haugen sponsored SB 5461 at the suggestion of former 10th LD Rep. Sue Karahalios, who thought that it would be appropriate to provide an automatic waiver for condominium associations consisting of 10 or fewer units, since these associations are so small that the requirement is virtually guaranteed to meet the existing threshold of an unreasonable hardship.
“Sen. Haugen has done a great service to her constituents by sponsoring legislation that gives owners of small condominium associations the ability to continue to use their association monies directly for what they are intended; maintaining the facilities and grounds,” said Karahalios. “Waiving the costs of a reserve study and yearly updates allows many owners on fixed incomes to remain in their homes and get direct results for their money without the added financial encumbrance of a report telling the owners what they already know.”
SB 5461 received the unanimous approval of the Legislature, and will go into effect in 90 days.