AB 739: Common interest developments: managing agent fees.

Existing law, the Davis-Stirling Common Interest Development Act, governs the formation and operation of common interest developments, and requires a common interest development to be managed by an association, as specified. Existing law, unless otherwise provided by the governing documents, authorizes the board of directors of the association to hire a managing agent, defined as a person who, for compensation or in expectation of compensation, exercises control over the assets of a common interest development. Existing law requires, unless the governing documents impose more stringent requirements, the board of directors of the association to review various financial documents and statements on a monthly basis. Existing law requires an association to make association records available for inspection and copying by a member of the association or the members designated representative, as specified.

This bill would require the board of directors of the association to review, on an annual basis, a statement of fees charged by the managing agent, as specified. The bill would include this statement of fees as association records.

This bill would incorporate additional changes to Section 5200 of the Civil Code proposed by SB 1238 to be operative only if this bill and SB 1238 are enacted and this bill is enacted last.