Property owners' associations; Real Estate Board to develop classification. (HB346)

Introduced By

Del. Ken Plum (D-Reston) with support from co-patron Sen. Janet Howell (D-Reston)


Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law


Department of Professional and Occupational Regulation; the Real Estate Board; classification of property owners associations. Requires the Real Estate Board to develop regulations to classify property owners' associations based on (i) the number of lots that are encompassed in the development, (ii) the value of assets, (iii) the associations use of professional staff, and (iv) whether the governing board is elected. Read the Bill »


Bill Has Failed


01/04/2008Prefiled and ordered printed; offered 01/09/08 087780684
01/04/2008Referred to Committee on General Laws
01/10/2008Impact statement from DPB (HB346)
01/28/2008Assigned GL sub: Housing
02/12/2008Left in General Laws


Ben Dover, Homeowner writes:

Two questions:

What is the purpose of this bill? And who does this bill serve?

This appears to be a "stage setting" bill for the benefit of property management companies.

What possible purpose is served by "classifying" HOAs? And WHY classify HOAs on the basis of whether or not they use "professional" staff UNLESS such use is intended to induce more HOAs to hire "professional" management? (Perhaps by giving HOAs with this "classification" MORE POWER?)

Do a google search on "Koger Management" and see what the use of a "professional" management company did for HOAs in Northern VA last year.

This bill must have been on CAI's Christmas list and (for that reason alone) should be deep six'ed.


Gettin Hosed writes:

Ben Dovers posting is a serious comment on what appears to be the trade associations goals of increasing their membership roles and money grab. The trade association I believe is CAI, which by last reading, is a for profit organization, eg: trade association. Like all trade associations they are out for the benefit of their members, management companies, law firms who make a living off HOA's and the like.
Oversight of management companies by the Commonwealth is in order. To avoid the "burrowing in" to a single agency ,maybe the oversight needs to be made up of members assigned from all of the State Agencies with responsibility, Ag and Consumer Affairs, State Corp Commission and Real Estate Board (and others if appropriate). Each complaint would be reviewed by a "lottery" to select the member for sitting on the panel from personnel from each agency. The group will have to meet and vote in public.
Maybe that will keep another "Koger" like situation from happening. (For those who aren't aware, the papers reported missing funds taken from the HOA's managed of about $2.3 million with both the IRS and FBI now involved.

Koger Victim in NOVA writes:

If you think THIS bill is bad, look at Terrie Suit's HB 516.

Ms. Suit appoints the fox (CAI affiliated HOA managers and lawyers) to manage the henhouse.

Ms. Suit's political contributions include $7,000 from the Va Association of Community Managers (a CAI affiliated trade association WITHIN a trade association), $5,000 fro the Great Eastern property management company, $1,500 from the Princess Ann property management company, and $1,250 from Pia Trigiani, a CAI affiliated lawyer from Northern Virginia and a member of CAI's Legislative Action Committee.

I wonder whether Ms. Suit has any homeowners in her district?

Mr. Plum's bill is bad, but if it's intended to set the stage for something, that "something" may be Ms. Suit's HB515.

Terry Bartholomew writes:

I can't see anything good for the homeowner coming out of this bill. It is one more example of special interests (A.K.A. "The Industry") using the power of the State to advance their own power. Classification seems to me to be just the precursor to more draconian bills down the road. After all didn't the Nazis have to classify everyone before they built the ovens?

Rod Koozmin writes:

This seems to be a bill for the home owners association and against the home owners. We have here in Reston the Reston Association which is very hard for the average citizen to participate in. They recently changed from 30% required to change documents to 20% required. The Reston association comes up with it's own agenda and then promotes it something the average citizen cannot do. So I fear any empowerment of this industry.

Mr Plum has refused to listen to thousands of citizens who have signed a petition for Virginia town status for Reston which would give more power to the individual wanting to have a say in the regulations that regulate the lives of citizens in Reston.