Bill > SB481

This bill enacts the "Missouri Homeowners' Association Act", establishing comprehensive regulations for planned communities in Missouri. The legislation defines key terms like "lot", "association", and "declarant", and applies to all planned communities starting January 1, 2026. The bill requires homeowners' associations to be organized as nonprofit corporations, establishes rules for amending governing documents, and sets procedures for budget adoption and assessment collection. Notably, the act limits restrictions on assessment increases, allows associations to recover legal fees in collection disputes, and provides mechanisms for handling delinquent payments, including the ability to demand rental payments directly from tenants of delinquent lot owners. The bill also creates guidelines for board elections, ensures continuity of board leadership, and mandates transparency in budgeting by requiring annual budget proposals and ratification meetings. Additionally, the legislation preserves declarant rights during community development and provides a framework for dispute resolution, including optional non-binding mediation before judicial proceedings. The act aims to provide clear, standardized governance for homeowners' associations while protecting both association and individual property owner interests.