Representative A. Cory Maloy proposes the following substitute bill:


1     
COMMUNITY ASSOCIATION REGULATION AMENDMENTS

2     
2022 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Wayne A. Harper

5     
House Sponsor: A. Cory Maloy

6     

7     LONG TITLE
8     General Description:
9          This bill amends provisions of the Condominium Ownership Act and the Community
10     Association Act.
11     Highlighted Provisions:
12          This bill:
13          ▸     amends and enacts provisions regarding rules an association of unit owners may
14     establish regarding:
15               •     a unit owner's display of a religious or holiday sign, symbol, or decoration;
16               •     the display of a for-sale sign or a campaign sign in a window of the owner's
17     condominium unit;
18               •     the content or design criteria of a political sign; and
19               •     water-efficient landscaping;
20          ▸     amends provisions regarding association records;
21          ▸     amends provisions regarding rules an association may establish regarding:
22               •     a lot owner's display of a religious or holiday sign, symbol, or decoration;
23               •     a lot owner's display of a political sign; and
24               •     an activity of a lot owner within the confines of a dwelling or lot;
25          ▸     prohibits an association from establishing a rule prohibiting or restricting:
26               •     a lot owner from displaying a for-sale sign; or
27               •     the conversion of a grass parking strip to water-efficient landscaping;
28          ▸     requires an association to establish a rule supporting water-efficient landscaping;
29          ▸     amends provisions regarding association of unit owners records;
30          ▸     enacts provisions regarding electric vehicle charging systems;
31          ▸     amends provisions regarding solar energy systems; and
32          ▸     makes technical and conforming changes.
33     Money Appropriated in this Bill:
34          None
35     Other Special Clauses:
36          This bill provides a coordination clause.
37     Utah Code Sections Affected:
38     AMENDS:
39          57-8-8.1, as last amended by Laws of Utah 2021, Chapter 197
40          57-8-17, as last amended by Laws of Utah 2018, Chapter 395
41          57-8a-218, as last amended by Laws of Utah 2021, Chapters 102 and 197
42          57-8a-227, as last amended by Laws of Utah 2018, Chapter 395
43          57-8a-701, as enacted by Laws of Utah 2017, Chapter 424
44     ENACTS:
45          57-8-8.2, Utah Code Annotated 1953
46          57-8a-801, Utah Code Annotated 1953
47          57-8a-802, Utah Code Annotated 1953
48     Utah Code Sections Affected by Coordination Clause:
49          57-8-3, as last amended by Laws of Utah 2020, Chapter 398
50          57-8-8.2, Utah Code Annotated 1953
51          57-8a-102, as last amended by Laws of Utah 2020, Chapter 398
52          57-8a-801, Utah Code Annotated 1953
53     

54     Be it enacted by the Legislature of the state of Utah:
55          Section 1. Section 57-8-8.1 is amended to read:
56          57-8-8.1. Equal treatment by rules required -- Limits on rules.
57          (1) (a) Except as provided in Subsection (1)(b), a rule shall treat similarly situated unit
58     owners similarly.
59          (b) Notwithstanding Subsection (1)(a), a rule may:
60          (i) vary according to the level and type of service that the association of unit owners
61     provides to unit owners;
62          (ii) differ between residential and nonresidential uses; or
63          (iii) for a unit that a unit owner leases for a term of less than 30 days, impose a
64     reasonable limit on the number of individuals that may use the common areas and facilities as
65     the rental unit tenant's guest or as the unit owner's guest.
66          (2) (a) If a unit owner owns a rental unit and is in compliance with the association of
67     unit owners' governing documents and any rule that the association of unit owners adopts under
68     Subsection (4), a rule may not treat the unit owner differently because the unit owner owns a
69     rental unit.
70          (b) Notwithstanding Subsection (2)(a), a rule may:
71          (i) limit or prohibit a rental unit owner from using the common areas and facilities for
72     purposes other than attending an association meeting or managing the rental unit;
73          (ii) if the rental unit owner retains the right to use the association of unit owners'
74     common areas and facilities, even occasionally:
75          (A) charge a rental unit owner a fee to use the common areas and facilities; and
76          (B) for a unit that a unit owner leases for a term of less than 30 days, impose a
77     reasonable limit on the number of individuals that may use the common areas and facilities as
78     the rental unit tenant's guest or as the unit owner's guest; or
79          (iii) include a provision in the association of unit owners' governing documents that:
80          (A) requires each tenant of a rental unit to abide by the terms of the governing
81     documents; and
82          (B) holds the tenant and the rental unit owner jointly and severally liable for a violation
83     of a provision of the governing documents.
84          (3) (a) A rule may not interfere with the freedom of a unit owner to determine the
85     composition of the unit owner's household.
86          (b) Notwithstanding Subsection (3)(a), an association of unit owners may:
87          (i) require that all occupants of a dwelling be members of a single housekeeping unit;
88     or
89          (ii) limit the total number of occupants permitted in each residential dwelling on the
90     basis of the residential dwelling's:
91          (A) size and facilities; and
92          (B) fair use of the common areas and facilities.
93          (4) Unless contrary to a declaration, a rule may require a minimum lease term.
94          (5) Unless otherwise provided in the declaration, an association of unit owners may by
95     rule:
96          (a) regulate the use, maintenance, repair, replacement, and modification of common
97     areas and facilities;
98          (b) impose and receive any payment, fee, or charge for:
99          (i) the use, rental, or operation of the common areas, except limited common areas and
100     facilities; and
101          (ii) a service provided to a unit owner;
102          (c) impose a charge for a late payment of an assessment; or
103          (d) provide for the indemnification of the association of unit owners' officers and
104     management committee consistent with Title 16, Chapter 6a, Utah Revised Nonprofit
105     Corporation Act.
106          (6) (a) Except as provided in Subsection (6)(b), a rule may not prohibit a unit owner
107     from installing a personal security camera immediately adjacent to the entryway, window, or
108     other outside entry point of the owner's condominium unit.
109          (b) A rule may prohibit a unit owner from installing a personal security camera in a
110     common area not physically connected to the owner's unit.
111          (7) (a) A rule may not abridge the right of a unit owner to display a religious or holiday
112     sign, symbol, or decoration inside the owner's condominium unit.
113          (b) An association may adopt a reasonable time, place, and manner restriction with
114     respect to a display that is visible from the exterior of a unit.
115          (8) (a) A rule may not:
116          (i) prohibit a unit owner from displaying in a window of the owner's condominium
117     unit:
118          (A) a for-sale sign; or
119          (B) a political sign;
120          (ii) regulate the content of a political sign; or
121          (iii) establish design criteria for a political sign.
122          (b) Notwithstanding Subsection (8)(a), a rule may reasonably regulate the size and
123     time, place, and manner of posting a for-sale sign or a political sign.
124          (9) An association of unit owners:
125          (a) shall adopt rules supporting water-efficient landscaping, including allowance for
126     low water use on lawns during drought conditions; and
127          (b) may not prohibit or restrict the conversion of a grass park strip to water-efficient
128     landscaping.
129          [(7)] (10) A rule shall be reasonable.
130          [(8)] (11) A declaration, or an amendment to a declaration, may vary any of the
131     requirements of Subsections (1) through (5), except Subsection (1)(b)(ii).
132          [(9)] (12) This section applies to an association of unit owners regardless of when the
133     association of unit owners is created.
134          Section 2. Section 57-8-8.2 is enacted to read:
135          57-8-8.2. Electric vehicle charging systems -- Restrictions -- Responsibilities.
136          (1) As used in this section:
137          (a) "Charging system" means a device that is:
138          (i) used to provide electricity to an electric or hybrid electric vehicle; and
139          (ii) designed to ensure a safe connection between the electric grid and the vehicle.
140          (b) "General electrical contractor" means the same as that term is defined in Section
141     58-55-102.
142          (c) "Residential electrical contractor" means the same as that term is defined in Section
143     58-55-102.
144          (2) Notwithstanding any provision in an association's governing documents to the
145     contrary, an association may not prohibit a unit owner from installing or using a charging
146     system in:
147          (a) a parking space:
148          (i) assigned to the unit owner's unit; and
149          (ii) used for the parking or storage of a vehicle or equipment; or
150          (b) a limited common area parking space designated for the unit owner's exclusive use.
151          (3) An association may:
152          (a) require a unit owner to submit an application for approval of the installation of a
153     charging system;
154          (b) require the unit owner to agree in writing to:
155          (i) hire a general electrical contractor or residential electrical contractor to install the
156     charging system; or
157          (ii) if a charging system is installed in a common area, provide reimbursement to the
158     association for the actual cost of the increase in the association's insurance premium
159     attributable to the installation or use of the charging system;
160          (c) require a charging system to comply with:
161          (i) the association's reasonable design criteria governing the dimensions, placement, or
162     external appearance of the charging system; or
163          (ii) applicable building codes;
164          (d) impose a reasonable charge to cover costs associated with the review and
165     permitting of a charging station;
166          (e) impose a reasonable restriction on the installation and use of a charging station that
167     does not significantly:
168          (i) increase the cost of the charging station; or
169          (ii) decrease the efficiency or performance of the charging station; or
170          (f) require a unit owner to pay the costs associated with installation, metering, and use
171     of the charging station, including the cost of:
172          (i) electricity associated with the charging station; and
173          (ii) damage to a general common area, a limited common area, or an area subject to the
174     exclusive use of another unit owner that results from the installation, use, maintenance, repair,
175     removal, or replacement of the charging station.
176          (4) A unit owner who installs a charging system shall disclose to a prospective buyer of
177     the unit:
178          (a) the existence of the charging station; and
179          (b) the unit owner's related responsibilities under this section.
180          (5) Unless the unit owner and the association or the declarant otherwise agree:
181          (a) a charging station installed under this section is the personal property of the unit
182     owner of the unit with which the charging station is associated; and
183          (b) a unit owner who installs a charging station shall, before transferring ownership of
184     the owner's unit, unless the prospective buyer of the unit accepts ownership and all rights and
185     responsibilities that apply to the charging station under this section:
186          (i) remove the charging station; and
187          (ii) restore the premises to the condition before installation of the charging station.
188          Section 3. Section 57-8-17 is amended to read:
189          57-8-17. Records -- Availability for examination.
190          [(1) (a) Subject to Subsection (1)(b), an association of unit owners shall keep and make
191     documents available to unit owners in accordance with Sections 16-6a-1601 through 1603,
192     16-6a-1605, 16-6a-1606, and 16-6a-1610:]
193          [(i)] (1) (a) Subject to Subsection (1)(b) and regardless of whether the association of
194     unit owners is incorporated under Title 16, Chapter 6a, Utah Revised Nonprofit Corporation
195     Act[; and], an association of unit owners shall keep and make available to unit owners:
196          [(ii) including keeping and making available to unit owners a copy of the association of
197     unit owners':]
198          [(A) declaration and bylaws;]
199          (i) each record identified in Subsections 16-6a-1601(1) through (5), in accordance with
200     Sections 16-6a-1601, 16-6a-1602, 16-6a-1603, 16-6a-1605, 16-6a-1606, and 16-6a-1610; and
201          (ii) a copy of the association's:
202          (A) governing documents;
203          (B) most recent approved minutes; [and]
204          (C) most recent budget and financial statement[.];
205          (D) most recent reserve analysis; and
206          (E) certificate of insurance for each insurance policy the association of unit owners
207     holds.
208          (b) An association of unit owners may redact the following information from any
209     document the association of unit owners produces for inspection or copying:
210          (i) a Social Security number;
211          (ii) a bank account number; or
212          (iii) any communication subject to attorney-client privilege.
213          (2) (a) In addition to the requirements described in Subsection (1), an association of
214     unit owners shall:
215          (i) make documents available to unit owners in accordance with the association of unit
216     owners' governing documents; and
217          (ii) (A) if the association of unit owners has an active website, make the documents
218     described in [Subsection] Subsections (1)(a)(ii)(A) through (C) available to unit owners, free of
219     charge, through the website; or
220          (B) if the association of unit owners does not have an active website, make physical
221     copies of the documents described in [Subsection] Subsections (1)(a)(ii)(A) through (C)
222     available to unit owners during regular business hours at the association of unit owners' address
223     registered with the Department of Commerce under Section 57-8-13.1.
224          (b) Subsection (2)(a)(ii) does not apply to an association as defined in Section 57-19-2.
225          (c) If a provision of an association of unit owners' governing documents conflicts with
226     a provision of this section, the provision of this section governs.
227          (3) In a written request to inspect or copy documents:
228          (a) a unit owner shall include:
229          (i) the association of unit owners' name;
230          (ii) the unit owner's name;
231          (iii) the unit owner's property address;
232          (iv) the unit owner's email address;
233          (v) a description of the documents requested; and
234          (vi) any election or request described in Subsection (3)(b); and
235          (b) a unit owner may:
236          (i) elect whether to inspect or copy the documents;
237          (ii) if the unit owner elects to copy the documents, request hard copies or electronic
238     scans of the documents; or
239          (iii) subject to Subsection (4), request that:
240          (A) the association of unit owners make the copies or electronic scans of the requested
241     documents;
242          (B) a recognized third party duplicating service make the copies or electronic scans of
243     the requested documents;
244          (C) the unit owner be allowed to bring any necessary imaging equipment to the place
245     of inspection and make copies or electronic scans of the documents while inspecting the
246     documents; or
247          (D) the association of unit owners email the requested documents to an email address
248     provided in the request.
249          (4) (a) An association of unit owners shall comply with a request described in
250     Subsection (3).
251          (b) If an association of unit owners produces the copies or electronic scans:
252          (i) the copies or electronic scans shall be legible and accurate; and
253          (ii) the unit owner shall pay the association of unit owners the reasonable cost of the
254     copies or electronic scans and for time spent meeting with the unit owner, which may not
255     exceed:
256          (A) the actual cost that the association of unit owners paid to a recognized third party
257     duplicating service to make the copies or electronic scans; or
258          (B) 10 cents per page and $15 per hour for the employee's, manager's, or other agent's
259     time making the copies or electronic scans.
260          (c) If a unit owner requests a recognized third party duplicating service make the copies
261     or electronic scans:
262          (i) the association of unit owners shall arrange for the delivery and pick up of the
263     original documents; and
264          (ii) the unit owner shall pay the duplicating service directly.
265          (d) Subject to Subsection (9), if a unit owner requests to bring imaging equipment to
266     the inspection, the association of unit owners shall provide the necessary space, light, and
267     power for the imaging equipment.
268          (5) If, in response to a unit owner's request to inspect or copy documents, an
269     association of unit owners fails to comply with a provision of this section, the association of
270     unit owners shall pay:
271          (a) the reasonable costs of inspecting and copying the requested documents;
272          (b) for items described in [Subsection] Subsections (1)(a)(ii)(A) through (C), $25 to
273     the unit owner who made the request for each day the request continues unfulfilled, beginning
274     the sixth day after the day on which the unit owner made the request; and
275          (c) reasonable attorney fees and costs incurred by the unit owner in obtaining the
276     inspection and copies of the requested documents.
277          (6) (a) In addition to any remedy in the association of unit owners' governing
278     documents or as otherwise provided by law, a unit owner may file an action in court under this
279     section if:
280          (i) subject to Subsection (9), an association of unit owners fails to make documents
281     available to the unit owner in accordance with this section, the association of unit owners'
282     governing documents, or as otherwise provided by law; and
283          (ii) the association of unit owners fails to timely comply with a notice described in
284     Subsection (6)(d).
285          (b) In an action described in Subsection (6)(a):
286          (i) the unit owner may request:
287          (A) injunctive relief requiring the association of unit owners to comply with the
288     provisions of this section;
289          (B) $500 or actual damage, whichever is greater; or
290          (C) any other relief provided by law; and
291          (ii) the court shall award costs and reasonable attorney fees to the prevailing party,
292     including any reasonable attorney fees incurred before the action was filed that relate to the
293     request that is the subject of the action.
294          (c) (i) In an action described in Subsection (6)(a), upon motion by the unit owner,
295     notice to the association of unit owners, and a hearing in which the court finds a likelihood that
296     the association of unit owners failed to comply with a provision of this section, the court shall
297     order the association of unit owners to immediately comply with the provision.
298          (ii) The court shall hold a hearing described in Subsection (6)(c)(i) within 30 days after
299     the day on which the unit owner files the motion.
300          (d) At least 10 days before the day on which a unit owner files an action described in
301     Subsection (6)(a), the unit owner shall deliver a written notice to the association of unit owners
302     that states:
303          (i) the unit owner's name, address, telephone number, and email address;
304          (ii) each requirement of this section with which the association of unit owners has
305     failed to comply;
306          (iii) a demand that the association of unit owners comply with each requirement with
307     which the association of unit owners has failed to comply; and
308          (iv) a date by which the association of unit owners shall remedy the association of unit
309     owners' noncompliance that is at least 10 days after the day on which the unit owner delivers
310     the notice to the association of unit owners.
311          (7) (a) The provisions of Section 16-6a-1604 do not apply to an association of unit
312     owners.
313          (b) The provisions of this section apply regardless of any conflicting provision in Title
314     16, Chapter 6a, Utah Revised Nonprofit Corporation Act.
315          (8) A unit owner's agent may, on the unit owner's behalf, exercise or assert any right
316     that the unit owner has under this section.
317          (9) An association of unit owners is not liable for identifying or providing a document
318     in error, if the association of unit owners identified or provided the erroneous document in
319     good faith.
320          Section 4. Section 57-8a-218 is amended to read:
321          57-8a-218. Equal treatment by rules required -- Limits on association rules and
322     design criteria.
323          (1) (a) Except as provided in Subsection (1)(b), a rule shall treat similarly situated lot
324     owners similarly.
325          (b) Notwithstanding Subsection (1)(a), a rule may:
326          (i) vary according to the level and type of service that the association provides to lot
327     owners;
328          (ii) differ between residential and nonresidential uses; and
329          (iii) for a lot that an owner leases for a term of less than 30 days, impose a reasonable
330     limit on the number of individuals who may use the common areas and facilities as guests of
331     the lot tenant or lot owner.
332          (2) (a) If a lot owner owns a rental lot and is in compliance with the association's
333     governing documents and any rule that the association adopts under Subsection (4), a rule may
334     not treat the lot owner differently because the lot owner owns a rental lot.
335          (b) Notwithstanding Subsection (2)(a), a rule may:
336          (i) limit or prohibit a rental lot owner from using the common areas for purposes other
337     than attending an association meeting or managing the rental lot;
338          (ii) if the rental lot owner retains the right to use the association's common areas, even
339     occasionally:
340          (A) charge a rental lot owner a fee to use the common areas; or
341          (B) for a lot that an owner leases for a term of less than 30 days, impose a reasonable
342     limit on the number of individuals who may use the common areas and facilities as guests of
343     the lot tenant or lot owner; or
344          (iii) include a provision in the association's governing documents that:
345          (A) requires each tenant of a rental lot to abide by the terms of the governing
346     documents; and
347          (B) holds the tenant and the rental lot owner jointly and severally liable for a violation
348     of a provision of the governing documents.
349          (3) (a) A rule criterion may not abridge the rights of a lot owner to display a religious
350     [and] or holiday [signs, symbols, and decorations] sign, symbol, or decoration:
351          (i) inside a dwelling on a lot[.]; or
352          (ii) outside a dwelling on:
353          (A) a lot;
354          (B) the exterior of the dwelling, unless the association has an ownership interest in, or
355     a maintenance, repair, or replacement obligation for, the exterior; or
356          (C) the front yard of the dwelling, unless the association has an ownership interest in,
357     or a maintenance, repair, or replacement obligation for, the yard.
358          (b) Notwithstanding Subsection (3)(a), the association may adopt a reasonable time,
359     place, and manner [restrictions] restriction with respect to [displays] a display that is:
360          (i) outside a dwelling on:
361          (A) a lot;
362          (B) the exterior of the dwelling; or
363          (C) the front yard of the dwelling; and
364          (ii) visible from outside the [dwelling or] lot.
365          (4) (a) A rule may not prohibit a lot owner from displaying a political sign:
366          (i) inside a dwelling on a lot; or
367          (ii) outside a dwelling on:
368          (A) a lot;
369          (B) the exterior of the dwelling, regardless of whether the association has an ownership
370     interest in the exterior; or
371          (C) the front yard of the dwelling, regardless of whether the association has an
372     ownership interest in the yard.
373          [(4) (a)] (b) A rule may not regulate the content of a political [signs] sign.
374          [(b)] (c) Notwithstanding Subsection (4)(a)[: (i)], a rule may reasonably regulate the
375     time, place, and manner of posting a political sign[; and].
376          [(ii)] (d) [an] An association design provision may not establish design criteria for a
377     political [signs] sign.
378          (5) (a) A rule may not prohibit a lot owner from displaying a for-sale sign:
379          (i) inside a dwelling on a lot; or
380          (ii) outside a dwelling on:
381          (A) a lot;
382          (B) the exterior of the dwelling, regardless of whether the association has an ownership
383     interest in the exterior; or
384          (C) the front yard of the dwelling, regardless of whether the association has an
385     ownership interest in the yard.
386          (b) Notwithstanding Subsection (5)(a), a rule may reasonably regulate the time, place,
387     and manner of posting a for-sale sign.
388          [(5)] (6) (a) A rule may not interfere with the freedom of a lot owner to determine the
389     composition of the lot owner's household.
390          (b) Notwithstanding Subsection [(5)] (6)(a), an association may:
391          (i) require that all occupants of a dwelling be members of a single housekeeping unit;
392     or
393          (ii) limit the total number of occupants permitted in each residential dwelling on the
394     basis of the residential dwelling's:
395          (A) size and facilities; and
396          (B) fair use of the common areas.
397          [(6)] (7) (a) A rule may not interfere with [an] a reasonable activity of a lot owner
398     within the confines of a dwelling or lot, including backyard landscaping or amenities, to the
399     extent that the activity is in compliance with local laws and ordinances, including nuisance
400     laws and ordinances.
401          (b) Notwithstanding Subsection [(6)] (7)(a), a rule may prohibit an activity within the
402     confines of a dwelling [on an owner's lot] or lot, including backyard landscaping or amenities,
403     if the activity:
404          (i) is not normally associated with a project restricted to residential use; or
405          (ii) (A) creates monetary costs for the association or other lot owners;
406          (B) creates a danger to the health or safety of occupants of other lots;
407          (C) generates excessive noise or traffic;
408          (D) creates unsightly conditions visible from outside the dwelling;
409          (E) creates an unreasonable source of annoyance to persons outside the lot; or
410          (F) if there are attached dwellings, creates the potential for smoke to enter another lot
411     owner's dwelling, the common areas, or limited common areas.
412          (c) If permitted by law, an association may adopt rules described in Subsection [(6)]
413     (7)(b) that affect the use of or behavior inside the dwelling.
414          [(7)] (8) (a) A rule may not, to the detriment of a lot owner and over the lot owner's
415     written objection to the board, alter the allocation of financial burdens among the various lots.
416          (b) Notwithstanding Subsection [(7)] (8)(a), an association may:
417          (i) change the common areas available to a lot owner;
418          (ii) adopt generally applicable rules for the use of common areas; or
419          (iii) deny use privileges to a lot owner who:
420          (A) is delinquent in paying assessments;
421          (B) abuses the common areas; or
422          (C) violates the governing documents.
423          (c) This Subsection [(7)] (8) does not permit a rule that:
424          (i) alters the method of levying assessments; or
425          (ii) increases the amount of assessments as provided in the declaration.
426          [(8)] (9) (a) Subject to Subsection [(8)] (9)(b), a rule may not:
427          (i) prohibit the transfer of a lot; or
428          (ii) require the consent of the association or board to transfer a lot.
429          (b) Unless contrary to a declaration, a rule may require a minimum lease term.
430          [(9)] (10) (a) A rule may not require a lot owner to dispose of personal property that
431     was in or on a lot before the adoption of the rule or design criteria if the personal property was
432     in compliance with all rules and other governing documents previously in force.
433          (b) The exemption in Subsection [(9)] (10)(a):
434          (i) applies during the period of the lot owner's ownership of the lot; and
435          (ii) does not apply to a subsequent lot owner who takes title to the lot after adoption of
436     the rule described in Subsection [(9)] (10)(a).
437          [(10)] (11) A rule or action by the association or action by the board may not
438     unreasonably impede a declarant's ability to satisfy existing development financing for
439     community improvements and right to develop:
440          (a) the project; or
441          (b) other properties in the vicinity of the project.
442          [(11)] (12) A rule or association or board action may not interfere with:
443          (a) the use or operation of an amenity that the association does not own or control; or
444          (b) the exercise of a right associated with an easement.
445          [(12)] (13) A rule may not divest a lot owner of the right to proceed in accordance with
446     a completed application for design review, or to proceed in accordance with another approval
447     process, under the terms of the governing documents in existence at the time the completed
448     application was submitted by the owner for review.
449          [(13)] (14) Unless otherwise provided in the declaration, an association may by rule:
450          (a) regulate the use, maintenance, repair, replacement, and modification of common
451     areas;
452          (b) impose and receive any payment, fee, or charge for:
453          (i) the use, rental, or operation of the common areas, except limited common areas; and
454          (ii) a service provided to a lot owner;
455          (c) impose a charge for a late payment of an assessment; or
456          (d) provide for the indemnification of the association's officers and board consistent
457     with Title 16, Chapter 6a, Utah Revised Nonprofit Corporation Act.
458          [(14)] (15) A rule may not prohibit a lot owner from installing a personal security
459     camera immediately adjacent to the entryway, window, or other outside entry point of the
460     owner's dwelling unit.
461          (16) An association:
462          (a) shall adopt rules supporting water-efficient landscaping, including allowance for
463     low water use on lawns during drought conditions; and
464          (b) may not prohibit or restrict the conversion of a grass park strip to water-efficient
465     landscaping.
466          [(15)] (17) (a) Except as provided in Subsection [(15)] (17)(b), a rule may not prohibit
467     the owner of a residential lot from constructing an internal accessory dwelling unit, as defined
468     in Section 10-9a-530, within the owner's residential lot.
469          (b) Subsection [(15)] (17)(a) does not apply if the construction would violate:
470          (i) a local land use ordinance;
471          (ii) a building code;
472          (iii) a health code; or
473          (iv) a fire code.
474          [(16)] (18) A rule shall be reasonable.
475          [(17)] (19) A declaration, or an amendment to a declaration, may vary any of the
476     requirements of Subsections (1) [through (13)], (2), (6), and (8) through (14), except
477     Subsection (1)(b)(ii).
478          [(18)] (20) A rule may not be inconsistent with a provision of the association's
479     declaration, bylaws, or articles of incorporation.
480          [(19)] (21) This section applies to an association regardless of when the association is
481     created.
482          Section 5. Section 57-8a-227 is amended to read:
483          57-8a-227. Records -- Availability for examination.
484          [(1) (a) Subject to Subsection (1)(b), an association shall keep and make documents
485     available to lot owners in accordance with Sections 16-6a-1601 through 1603, 16-6a-1605,
486     16-6a-1606, and 16-6a-1610:]
487          [(i)] (1) (a) Subject to Subsection (1)(b) and regardless of whether the association is
488     incorporated under Title 16, Chapter 6a, Utah Revised Nonprofit Corporation Act[; and], an
489     association shall keep and make available to lot owners:
490          [(ii) including keeping and making available to lot owners a copy of the association's:]
491          [(A) declaration and bylaws;]
492          (i) each record identified in Subsections 16-6a-1601(1) through (5), in accordance with
493     Sections 16-6a-1601, 16-6a-1602, 16-6a-1603, 16-6a-1605, 16-6a-1606, and 16-6a-1610; and
494          (ii) a copy of the association's:
495          (A) governing documents;
496          (B) most recent approved minutes; [and]
497          (C) most recent budget and financial statement[.];
498          (D) most recent reserve analysis; and
499          (E) certificate of insurance for each insurance policy the association holds.
500          (b) An association may redact the following information from any document the
501     association produces for inspection or copying:
502          (i) a Social Security number;
503          (ii) a bank account number; or
504          (iii) any communication subject to attorney-client privilege.
505          (2) (a) In addition to the requirements described in Subsection (1), an association shall:
506          (i) make documents available to lot owners in accordance with the association's
507     governing documents; and
508          (ii) (A) if the association has an active website, make the documents described in
509     [Subsection] Subsections (1)(a)(ii)(A) through (C) available to lot owners, free of charge,
510     through the website; or
511          (B) if the association does not have an active website, make physical copies of the
512     documents described in [Subsection] Subsections (1)(a)(ii)(A) through (C) available to lot
513     owners during regular business hours at the association's address registered with the
514     Department of Commerce under Section 57-8a-105.
515          (b) Subsection (2)(a)(ii) does not apply to an association as defined in Section 57-19-2.
516          (c) If a provision of an association's governing documents conflicts with a provision of
517     this section, the provision of this section governs.
518          (3) In a written request to inspect or copy documents:
519          (a) a lot owner shall include:
520          (i) the association's name;
521          (ii) the lot owner's name;
522          (iii) the lot owner's property address;
523          (iv) the lot owner's email address;
524          (v) a description of the documents requested; and
525          (vi) any election or request described in Subsection (3)(b); and
526          (b) a lot owner may:
527          (i) elect whether to inspect or copy the documents;
528          (ii) if the lot owner elects to copy the documents, request hard copies or electronic
529     scans of the documents; or
530          (iii) subject to Subsection (4), request that:
531          (A) the association make the copies or electronic scans of the requested documents;
532          (B) a recognized third party duplicating service make the copies or electronic scans of
533     the requested documents;
534          (C) the lot owner be allowed to bring any necessary imaging equipment to the place of
535     inspection and make copies or electronic scans of the documents while inspecting the
536     documents; or
537          (D) the association email the requested documents to an email address provided in the
538     request.
539          (4) (a) An association shall comply with a request described in Subsection (3).
540          (b) If an association produces the copies or electronic scans:
541          (i) the copies or electronic scans shall be legible and accurate; and
542          (ii) the lot owner shall pay the association the reasonable cost of the copies or
543     electronic scans and for time spent meeting with the lot owner, which may not exceed:
544          (A) the actual cost that the association paid to a recognized third party duplicating
545     service to make the copies or electronic scans; or
546          (B) 10 cents per page and $15 per hour for the employee's, manager's, or other agent's
547     time.
548          (c) If a lot owner requests a recognized third party duplicating service make the copies
549     or electronic scans:
550          (i) the association shall arrange for the delivery and pick up of the original documents;
551     and
552          (ii) the lot owner shall pay the duplicating service directly.
553          (d) If a lot owner requests to bring imaging equipment to the inspection, the association
554     shall provide the necessary space, light, and power for the imaging equipment.
555          (5) Subject to Subsection (9), if, in response to a lot owner's request to inspect or copy
556     documents, an association fails to comply with a provision of this section, the association shall
557     pay:
558          (a) the reasonable costs of inspecting and copying the requested documents;
559          (b) for items described in [Subsection] Subsections (1)(a)(ii)(A) through (C), $25 to
560     the lot owner who made the request for each day the request continues unfulfilled, beginning
561     the sixth day after the day on which the lot owner made the request; and
562          (c) reasonable attorney fees and costs incurred by the lot owner in obtaining the
563     inspection and copies of the requested documents.
564          (6) (a) In addition to any remedy in the association's governing documents or otherwise
565     provided by law, a lot owner may file an action in court under this section if:
566          (i) subject to Subsection (9), an association fails to make documents available to the lot
567     owner in accordance with this section, the association's governing documents, or as otherwise
568     provided by law; and
569          (ii) the association fails to timely comply with a notice described in Subsection (6)(d).
570          (b) In an action described in Subsection (6)(a):
571          (i) the lot owner may request:
572          (A) injunctive relief requiring the association to comply with the provisions of this
573     section;
574          (B) $500 or actual damage, whichever is greater; or
575          (C) any other relief provided by law; and
576          (ii) the court shall award costs and reasonable attorney fees to the prevailing party,
577     including any reasonable attorney fees incurred before the action was filed that relate to the
578     request that is the subject of the action.
579          (c) (i) In an action described in Subsection (6)(a), upon motion by the lot owner, notice
580     to the association, and a hearing in which the court finds a likelihood that the association failed
581     to comply with a provision of this section, the court shall order the association to immediately
582     comply with the provision.
583          (ii) The court shall hold a hearing described in Subsection (6)(c)(i) within 30 days after
584     the day on which the lot owner files the motion.
585          (d) At least 10 days before the day on which a lot owner files an action described in
586     Subsection (6)(a), the lot owner shall deliver a written notice to the association that states:
587          (i) the lot owner's name, address, telephone number, and email address;
588          (ii) each requirement of this section with which the association has failed to comply;
589          (iii) a demand that the association comply with each requirement with which the
590     association has failed to comply; and
591          (iv) a date by which the association shall remedy the association's noncompliance that
592     is at least 10 days after the day on which the lot owner delivers the notice to the association.
593          (7) (a) The provisions of Section 16-6a-1604 do not apply to an association.
594          (b) The provisions of this section apply regardless of any conflicting provision in Title
595     16, Chapter 6a, Utah Revised Nonprofit Corporation Act.
596          (8) A lot owner's agent may, on the lot owner's behalf, exercise or assert any right that
597     the lot owner has under this section.
598          (9) An association is not liable for identifying or providing a document in error, if the
599     association identified or provided the erroneous document in good faith.
600          Section 6. Section 57-8a-701 is amended to read:
601          57-8a-701. Solar energy system -- Prohibition or restriction in declaration or
602     association rule.
603          (1) As used in this section, "detached dwelling" means a detached dwelling for which
604     the association does not have an ownership interest in the detached dwelling's roof.
605          (2) (a) A governing document other than a declaration may not prohibit an owner of a
606     lot with:
607          (i) a detached dwelling from installing a solar energy system[.]; or
608          (ii) a dwelling attached to other dwellings from installing a solar energy system, if:
609          (A) the association does not have an ownership interest in the dwelling's roof or
610     building exterior;
611          (B) the association does not have a maintenance, repair, or replacement obligation in
612     the dwelling's roof or building exterior; and
613          (C) all lot owners with attached dwellings in the building agree to the installation of the
614     solar energy system.
615          (b) A governing document other than a declaration or an association rule may not
616     restrict an owner of a lot with:
617          (i) a detached dwelling from installing a solar energy system on the owner's lot[.]; or
618          (ii) a dwelling attached to other dwellings from installing a solar energy system on the
619     roof of the dwelling's building, if:
620          (A) the association does not have an ownership interest in the dwelling's roof or
621     building exterior;
622          (B) the association does not have a maintenance, repair, or replacement obligation in
623     the dwelling's roof or building exterior; and
624          (C) all lot owners with attached dwellings in the building agree to the installation of the
625     solar energy system.
626          (3) A declaration may, for a lot with a detached dwelling:
627          (a) prohibit a lot owner from installing a solar energy system; or
628          (b) impose a restriction other than a prohibition on a solar energy system's size,
629     location, or manner of placement if the restriction:
630          (i) decreases the solar energy system's production by 5% or less;
631          (ii) increases the solar energy system's cost of installation by 5% or less; and
632          (iii) complies with Subsection (6).
633          (4) (a) If a declaration does not expressly prohibit the installation of a solar energy
634     system on a lot with a detached dwelling, an association may not amend the declaration to
635     impose a prohibition on the installation of a solar energy system unless the association
636     approves the prohibition by a vote of greater than 67% of the allocated voting interests of the
637     lot owners in the association.
638          (b) An association may amend an existing provision in a declaration that prohibits the
639     installation of a solar energy system on a lot with a detached dwelling if the association
640     approves the amendment by a vote of greater than 67% of the allocated voting interests of the
641     lot owners in the association.
642          (5) An association may, by association rule, for a lot with a detached dwelling, impose
643     a restriction other than a prohibition on a lot owner's installation of a solar energy system if the
644     restriction:
645          (a) complies with Subsection (6);
646          (b) decreases the solar energy system's production by 5% or less; and
647          (c) increases the solar energy system's cost of installation by 5% or less.
648          (6) A declaration or an association rule may require an owner of a detached dwelling
649     that installs a solar energy system on the owner's lot:
650          (a) to install a solar energy system that, or install the solar energy system in a manner
651     that:
652          (i) complies with applicable health, safety, and building requirements established by
653     the state or a political subdivision of the state;
654          (ii) if the solar energy system is used to heat water, is certified by:
655          (A) the Solar Rating and Certification Corporation; or
656          (B) a nationally recognized solar certification entity;
657          (iii) if the solar energy system is used to produce electricity, complies with applicable
658     safety and performance standards established by:
659          (A) the National Electric Code;
660          (B) the Institute of Electrical and Electronics Engineers;
661          (C) Underwriters Laboratories;
662          (D) an accredited electrical testing laboratory; or
663          (E) the state or a political subdivision of the state;
664          (iv) if the solar energy system is mounted on a roof:
665          (A) does not extend above the roof line; or
666          (B) has panel frame, support bracket, or visible piping or wiring that has a color or
667     texture that is similar to the roof material; or
668          (v) if the solar energy system is mounted on the ground, is not visible from the street
669     that a lot fronts;
670          (b) to pay any reasonable cost or expense incurred by the association to review an
671     application to install a solar energy system;
672          (c) be responsible, jointly and severally with any subsequent owner of the lot while the
673     violation of the rule or requirement occurs, for any cost or expense incurred by the association
674     to enforce a declaration requirement or association rule; or
675          (d) as a condition of installing a solar energy system, to record a deed restriction
676     against the owner's lot that runs with the land that requires the current owner of the lot to
677     indemnify or reimburse the association or a member of the association for any loss or damage
678     caused by the installation, maintenance, or use of the solar energy system, including costs and
679     reasonable attorney fees incurred by the association or a member of the association.
680          Section 7. Section 57-8a-801 is enacted to read:
681     
Part 8. Electric Vehicle Charging Systems

682          57-8a-801. Definitions.
683          As used in this part:
684          (1) "Charging system" means a device that is:
685          (a) used to provide electricity to an electric or hybrid electric vehicle; and
686          (b) designed to ensure a safe connection between the electric grid and the vehicle.
687          (2) "General electrical contractor" means the same as that term is defined in Section
688     58-55-102.
689          (3) "Residential electrical contractor" means the same as that term is defined in Section
690     58-55-102.
691          Section 8. Section 57-8a-802 is enacted to read:
692          57-8a-802. Electric vehicle charging systems -- Restrictions -- Responsibilities.
693          (1) Notwithstanding any provision in an association's governing documents to the
694     contrary, an association may not prohibit a lot owner from installing or using a charging system
695     in:
696          (a) a parking space:
697          (i) on the lot owner's lot; and
698          (ii) used for the parking or storage of a vehicle or equipment; or
699          (b) a limited common area parking space designated for the lot owner's exclusive use.
700          (2) An association may:
701          (a) require a lot owner to submit an application for approval of the installation of a
702     charging system;
703          (b) require the lot owner to agree in writing to:
704          (i) hire a general electrical contractor or residential electrical contractor to install the
705     charging system; or
706          (ii) if a charging system is installed in a common area, provide reimbursement to the
707     association for the actual cost of the increase in the association's insurance premium
708     attributable to the installation or use of the charging system;
709          (c) require a charging system to comply with:
710          (i) the association's reasonable design criteria governing the dimensions, placement, or
711     external appearance of the charging system; or
712          (ii) applicable building codes;
713          (d) impose a reasonable charge to cover costs associated with the review and
714     permitting of a charging station;
715          (e) impose a reasonable restriction on the installation and use of a charging station that
716     does not significantly:
717          (i) increase the cost of the charging station; or
718          (ii) decrease the efficiency or performance of the charging station; or
719          (f) require a lot owner to pay the costs associated with installation, metering, and use of
720     the charging station, including the cost of:
721          (i) electricity associated with the charging station; and
722          (ii) damage to a general common area, a limited common area, or an area subject to the
723     exclusive use of another lot owner that results from the installation, use, maintenance, repair,
724     removal, or replacement of the charging station.
725          (3) A lot owner who installs a charging system shall disclose to a prospective buyer of
726     the lot:
727          (a) the existence of the charging station; and
728          (b) the lot owner's related responsibilities under this section.
729          (4) Unless the lot owner and the association or the declarant otherwise agree:
730          (a) a charging station installed under this section is the personal property of the lot
731     owner of the lot with which the charging station is associated; and
732          (b) a lot owner who installs a charging station shall, before transferring ownership of
733     the owner's lot, unless the prospective buyer of the lot accepts ownership and all rights and
734     responsibilities that apply to the charging station under this section:
735          (i) remove the charging station; and
736          (ii) restore the premises to the condition before installation of the charging station.
737          Section 9. Coordinating S.B. 152 with H.B. 189 -- Superseding and substantive
738     amendments.
739          If this S.B. 152 and H.B. 189, Electric Vehicle Charging Modifications, both pass and
740     become law, it is the intent of the Legislature that when the Office of Legislative Research and
741     General Counsel prepares the Utah Code database for publication:
742          (1) the enactment of Section 57-8-8.2 in this bill supersede the enactment of Section
743     57-8-8.2 in H.B. 189;
744          (2) the enactment of Section 57-8a-801 in this bill supersede the enactment of Section
745     57-8a-801 in H.B. 189;
746          (3) delete the enacted Subsection 57-8-3(4) in H.B. 189 and renumber remaining
747     subsections accordingly; and
748          (4) delete the enacted Subsection 57-8a-102(5) in H.B. 189 and renumber remaining
749     subsections accordingly.