Arizona Senate Bill 1454 "Making a Comeback in 2014?"

                    ARIZONA SENATE BILL 1454 MAKING A COMEBACK IN 2014?

The ink isn't even dry on the stipulation, thus voiding the HOA provisions in SB 1454 and there are already plans to bring back this legislation in 2014.

In an email obtained by ARIZONA HOA PRESS - From: Platinum Partner Law Firms

 Importance: High!

 "Platinum Partner Law Firms:  Just wanted you to have the information that we sent to our membership this morning.  This is expected to be finalized by late this afternoon or tomorrow.  We have already been in touch with Rep Ugenti and the Realtors to move forward with the same Bill during the 2014 Session."

SB 1454 was deemed as the most "controversial bill" in the 51st Legislative Session. Dave Russell, Community Manager, for Circle Tree Condominiums in Mesa, blew the lid off of SB 1454 in a KPHO news interview with Reporter Heather Moore. Russell stated, "SB 1454 allows sex offenders, convicted felons and drug-dealers into HOA rental units in crime free properties."  

When reporter Heather Moore interviewed Rep. Warren Petersen - R-Gilbert, Petersen seemed to be at a loss for words about the potential fallout of the legislation he authored.  

When asked if he knew those restrictions were keeping out a specific type of tenant, i.e. sex offenders, drug dealers and convicted felons, the freshman lawmaker struggled to answer. He said he was unaware convicted felons were the ones being turned away under the new law.

When confronted with that information, Petersen said, "I think you're using an extreme hypothetical here."

  "The legislation doesn't say anything about sex offenders," Petersen laughed.

 While Petersen called it hypothetical, CBS News found it is happening.The law doesn't take effect until September, but homeowners have already started breaking the crime-free agreements and renting to those previously not allowed, like Daniel Thresher, a registered sex offender who just moved into a designated crime-free HOA property in Mesa. Petersen was silent when it was pointed out the legislation opens up a whole new rental market for convicted felons, those previously shut out of certain communities.

George Staropoli, an HOA Homeowners Advocate, stated other issues with the new law;

"The motivation behind the acts to pass SB 1454 and the failure by the Legislature and Governor to reject the bill for the flagrant violation of the Arizona Constitution speaks for itself. And that can only be viewed as favoring HOAs and the HOA management firms.  SB 1454 raises other questions of constitutional violations not addressed in this complaint:  special laws for special groups, and a violation of the separation of powers doctrine as the supreme court has the authority to set rules and regulations affecting the judiciary, not the legislature."

George Staropoli also raised questions "Particularly disturbing was the amendments that granted special powers to HOA managers to represent HOAs in small claims court and in OAH hearings, powers that state Certified Legal Document Preparers do not possess. The litigation rights of homeowners were put at a disadvantage because they could not also have an untrained and unlicensed third-party represent them."

 

"Many may believe that SB 1454 had HOA amendments that would benefit homeowner rights and this lawsuit removed these benefits.  The loss of these perceived benefits lies not in this victory, but in the acts of Rep. Ugenti who is responsible for attaching, at the last legislative session, her defeated HB 2371 to SB 1454.  SB 1454 now became a bill with two subjects in violation of the constitution." Staropoli concluded.

HOA HOMEOWNER ADVOCATES SUE THE STATE OF ARIZONA (SB 1454)

All but one provision of SB 1454 that affect HOAs will be nullified under the settlement agreed to Friday by the Arizona Attorney General and plaintiff (Staropoli) who sued. Plaintiffs  Tim Hogan says the law violated a constitutional provision requiring bills to address only one subject. The surviving provision deals with elections signs.

Rep. Michelle Ugenti of Scottsdale added provisions to an unrelated election law that included forbidding local governments from requiring developers to establish a homeowner association and banning associations from performing background checks on tenants.

Homeowner Associations claim SB 1454 would have jeopardized the safety and security of many HOA's in Arizona. "It would appear that our Realtor Lawmakers, are changing the laws to accommodate their clients/investors, who purchased thousands of homes during the housing market crash, and now could care less about the impact to our communities, by allowing felons, sex offenders and drug  into rental units." stated an HOA (Gilbert) board president

Rep. Michelle Ugenti's integrity is now being called into question again. "She sponsored a bill that would have made it a felony if you failed to report your child missing. She wants to secure the boarder and now, she seems to care less, if the sex-offender moves in next door to our children," stated an angry Dave Russell.    

After a brief victory yesterday homeowners, associations, HOA members and HOA activists were geared up when they learned that this proposed legislation is coming back in 2014. These groups are already rallying supporters, lawmakers and hiring attorneys to defeat the proposed legislation next year.   

Last year, House Bill 2513 contained similar HOA restrictions and was authored by then-Rep. Steve Urie, a real-estate agent.It was vetoed by Gov. Jan Brewer. However, the language in that bill kept popping up. The Arizona Association of Realtors asked Petersen to revive the legislation this year in HB 2337. When that didn't work, they tried again with HB 2371, and when that didn't pass, it showed up in HB 2518, where it also failed. The HOA language ultimately slipped through on the last day of session in a hodgepodge of amendments to SB 1454 which sparked the lawsuit. Every one of the sponsoring lawmakers just happens to be a real-estate agent.

-Sue Jones

AZHOAPRESS

 

ARIZONA STATE REPRESNITIVE MICHELLE UGENTI (District 13) ARIZONA HOA BILL 1454 PASSES WITH OPPOSITION

NEW ARIZONA HOA bill allows sex-offenders & Felons into HOA Rental Units and Planned Communities Statewide (Sponsor Rep. Michelle Ugenti)

“It’s hard to believe that our Arizona Lawmakers and the Governor would pass such a dangerous bill” stated one community manager we had spoken with via telephone. At first glance the HOA amendment to SB 1454 looks seemingly harmless and protects property manager and homeowners, until you decipher it stated one Phoenix HOA Board President. 

“If not for this one sentence explained the board president “shall not assess, levy or charge a fee or fine or otherwise impose a requirement on a member's rental property any differently than on an owner‑occupied property in the association.”

What this language means, is if your HOA has rental “requirements” or restrictions, such as no convicted sex offenders, child molesters and drug dealers in rental units, those rules just went out the window. You cannot prevent these types of folks from purchasing units, which they rarely do, but now this law states we must allow them occupancy into our rental units regardless of their criminal history, despite our crime prevention programs and regardless of our rules.

“Arizona State Representative Michelle Ugenti (District 29) is responsible for this disaster” stated Fran Tremblay, a now frightened HOA Homeowner. “I moved here because the condominium association had rules to keep the criminal element out. I’m elderly and now I’m afraid to live in my own home thanks to our local politicians and their special interest groups.” Tremblay further stated “Ugenti has 3 children of her own and sponsors something this dangerous to children and the elderly; she needs to be ousted from office!”  

The Arizona Association of Realtors and the National Association Residential Property Managers were among the leading “stakeholders” in AZ HB 2371 (”HOA Omnibus Bill”) and lobbied the bill’s sponsor Representative Michelle Ugenti to get the bill passed this session. When HB 2371 failed to move, and was removed from the Senate Calendar due to harsh opposition,  it was added as amendments to several other House and Senate Bills to push it along. 

Many opponents of the HOA amendments to Arizona Senate Bill 1454, which is a campaign finance bill are calling foul play on Representative Michelle Ungenti (a realtor herself) and her cast of constituent realtor buddies such as Senator Gail Griffin (R) who also added the amendment herself into Senate Bill 2518 which also failed. 

“We have been fighting this damn bill for years.” stated one Gilbert HOA board member. Last year the same type of legislation was vetoed by Governor Jan Brewer as Arizona House Bill 2513 it essentially kills our crime prevention programs. There is little doubt the other language in the bill such as “tenant shall not be required to sign a waiver” their talking about the crime free lease addendum, which is the backbone of our now worthless crime free program. This addendum allows us as the association; to abate the drug-dealers and criminals who reek havoc in multi-dwelling condominium complexes.

One Association Manager has sent notice to the Governor and other state officials asking for a declaratory judgment from the court as the HOA amendment is not germane to the campaign finance bill and cited it violated article 4, Part 2, Section 13 of the Arizona Constitution. “Brewer and Michelle Ugenti need to admit their error and correct this before it becomes law. All it takes is just one sex offender or one drug dealer to wipe out everything we have done to abate crime in our community” stated one Mesa HOA community manager.      

“They were warned…. all of them were warned of the serious ramifications of this bill Ugenti included! We sent emails, made phone calls, we even posted Youtube videos of HB 2371 & SB 1454 showing them the evils of the bill’s and emailed them the links.” stated another community manager in Mesa. 

One Phoenix HOA has stated that they are so fed up with Arizona’s corrupt politicians they have asked the Department of Justice and the FBI to investigate the “unlawfulness of the bills passing and who’s palms were greased to make it fly.”

Many HOA’s we have talked to claim that by allowing criminals into rental units and their communities, is simply going to dearly cost the homeowners in the end. Associations have echoed that they are increasing security, installing extra lighting and installing surveillance cameras to abate the forthcoming crime wave, this cost of course will be passed along to the homeowners via increased HOA dues and special assessments.

The Arizona Association of Realtors and the National Association of Residential Property Managers have made claims for years about “abuses of the HOA” and even have made claim regarding “identity theft” as reasons not to allow HOA’s any information on tenants. This is utter nonsense stated an HOA official, who claimed these groups don’t want the HOA to learn that they have moved in a drug-dealer or a child molester into their rental unit in our community, it’s all about money she stated.

When the housing market crashed investors purchased units for next to nothing and now want to move in any tenant they wish, regardless of their backgrounds. One manager recalls his out of control and dangerous condominium complex in the East Valley. “It was nothing but a breeding ground for criminals, drug deals, drug induced suicides, vandalisms and even the murder of a 19 year old pregnant woman…it was a very scary place indeed.”

 After a pregnant woman was shot to death during a drug deal gone wrong, this East Valley HOA joined the crime free program however, it wasn’t very effective and crime actually increased. Once we found out that despite our rules about not renting to drug dealers, felons and sex offenders the investors, property managers and agents were still doing it. 

“We revised our rules and required that photo ID, criminal background checks and crime free lease addendums now had to be turned into the HOA office stated the HOA manager. It took several years and the removal of 68 convicted felons living in rental units to do it, but we now have a safe and clean place for residents to call home. I can’t believe this new law will no doubt destroy our community that we have worked so hard to make safe.”

HOA officials are asking for help from homeowners, associations and residents within HOA’s to contact the Governor’s office and voice their concerns with the new bill before it becomes law in September 2013.

-  We attempted to reach Rep. Michelle Ugenti at her office and were advised by a staffer that she was unavailable for comment however, we were told to contact the bill’s author Warren Peterson. As of of Friday June 28, 2013 we received no call back from Governor Brewer’s office and her office would not give any comments on the HOA provisions contained in SB 1454.

   

Arizona Governor Jan Brewer Signs New HOA Bll

Arizona Governor Jan Brewer has signed a sweeping new HOA bill that allows sex-offenders & Felons into HOA Rental Units and Planned Communities Statewide

  “It’s hard to believe that our Arizona Lawmakers and the Governor would pass such a dangerous bill” stated one community manager we had spoken with via telephone. At first glance the HOA amendment to SB 1454 looks seemingly harmless and protects property manager and homeowners, until you decipher it stated one Phoenix HOA Board President. 

  “If not for this one sentence explained the board president ““shall not assess, levy or charge a fee or fine or otherwise impose a requirement on a member's rental property any differently than on an owner‑occupied property in the association.”

  What this language means, is if your HOA has rental “requirements” or restrictions, such as no convicted sex offenders, child molesters and drug dealers in rental units, those rules just went out the window. You cannot prevent these types of folks from purchasing units, which they rarely do, but now this law states we must allow them occupancy into our rental units regardless of their criminal history, despite our crime prevention programs and regardless of our rules.

  “Arizona State Representative Michelle Ugenti (District 29) is responsible for this disaster” stated Fran Tremblay, a now frightened HOA Homeowner. “I moved here because the condominium association had rules to keep the criminal element out. I’m elderly and now I’m afraid to live in my own home thanks to our local politicians and their special interest groups.” Tremblay further stated “Ugenti has 3 children of her own and sponsors something this dangerous to children and the elderly; she needs to be ousted from office!”  

  The Arizona Association of Realtors and the National Association Residential Property Managers were among the leading “stakeholders” in AZ HB 2371 (”HOA Omnibus Bill”) and lobbied the bill’s sponsor Representative Michelle Ugenti to get the bill passed this session. When HB 2371 failed to move, and was removed from the Senate Calendar due to harsh opposition,  it was added as amendments to several other House and Senate Bills to push it along.  

  Many opponents of the HOA amendments to Arizona Senate Bill 1454, which is a campaign finance bill are calling foul play on Representative Michelle Ungenti (a realtor herself) and her cast of constituent realtor buddies such as Senator Gail Griffin (R) who also added the amendment herself into Senate Bill 2518 which also failed. 

  “We have been fighting this damn bill for years.” stated one Gilbert HOA board member. Last year the same type of legislation was vetoed by Governor Jan Brewer as Arizona House Bill 2513 it essentially kills our crime prevention programs. There is little doubt the other language in the bill such as “tenant shall not be required to sign a waiver” their talking about the crime free lease addendum, which is the backbone of our now worthless crime free program. This addendum allows us as the association; to abate the drug-dealers and criminals who reek havoc in multi-dwelling condominium complexes.

  One Association Manager has sent notice to the Governor and other state officials asking for a declaratory judgment from the court as the HOA amendment is not germane to the campaign finance bill and cited it violated article 4, Part 2, Section 13 of the Arizona Constitution. “Brewer and Michelle Ugenti need to admit their error and correct this before it becomes law. All it takes is just one sex offender or one drug dealer to wipe out everything we have done to abate crime in our community” stated one Mesa HOA community manager.     

  

“They were warned…. all of them were warned of the serious ramifications of this bill Ugenti included! We sent emails, made phone calls, we even posted Youtube videos of HB 2371 showing them the evils of the bill’s and emailed them the links.” stated another community manager in Mesa. 

 

  One Phoenix HOA has stated that they are so fed up with Arizona’s corrupt politicians they have asked the Department of Justice and the FBI to investigate the “unlawfulness of the bills passing and who’s palms were greased to make it fly.” 

  Many HOA’s we have talked to claim that by allowing criminals into rental units and their communities, is simply going to dearly cost the homeowners in the end. Associations have echoed that they are increasing security, installing extra lighting and installing surveillance cameras to abate the forthcoming crime wave, this cost of course will be passed along to the homeowners via increased HOA dues and special assessments.

   The Arizona Association of Realtors and the National Association of Residential Property Managers have made claims for years about “abuses of the HOA” and even have made claim regarding “identity theft” as reasons not to allow HOA’s any information on tenants. This is utter nonsense stated an HOA official, who claimed these groups don’t want the HOA to learn that they have moved in a drug-dealer or a child molester into their rental unit in our community, it’s all about money she stated.

  When the housing market crashed investors purchased units for next to nothing and now want to move in any tenant they wish, regardless of their backgrounds. One manager recalls his out of control and dangerous condominium complex in the East Valley. “It was nothing but a breeding ground for criminals, drug deals, drug induced suicides, vandalisms and even the murder of a 19 year old pregnant woman…it was a very scary place indeed.”

   After a pregnant woman was shot to death during a drug deal gone wrong, this East Valley HOA joined the crime free program however, it wasn’t very effective and crime actually increased. Once we found out that despite our rules about not renting to drug dealers, felons and sex offenders the investors, property managers and agents were still doing it. 

  “We revised our rules and required that photo ID, criminal background checks and crime free lease addendums now had to be turned into the HOA office stated the HOA manager. It took several years and the removal of 68 convicted felons living in rental units to do it, but we now have a safe and clean place for residents to call home. I can’t believe this new law will no doubt destroy our community that we have worked so hard to make safe.”

  HOA officials are asking for help from homeowners, associations and residents within HOA’s to contact the Governor’s office and voice their concerns with the new bill before it becomes law in September 2013.  

   We attempted to reach Rep. Michelle Ugenti at her office and were advised by a staffer that she was unavailable for comment however, we were told to contact the bill’s author Warren Peterson. As of of Friday June 28, 2013 we received no call back from Governor Brewer’s office and her office would not give any comments on the HOA provisions contained in SB 1454.