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Minnesota Senate passes bill reining in HOAs
Minnesota Senate passes bill reining in HOAs

Yahoo

time06-05-2025

  • Business
  • Yahoo

Minnesota Senate passes bill reining in HOAs

Sen. Susan Pha, DFL-Brooklyn Park, and Sen. Eric Lucero, R-Saint Michael, present their bill aimed at reining in HOAs at a meeting of the Senate Housing and Homelessness Prevention committee on March 12, 2025. Photo by Madison McVan/Minnesota Reformer. The Minnesota Senate approved legislation Tuesday that would cap homeowners' association fees, require board members disclose conflicts of interest and establish new rules to settle contentious HOA disputes. The bill (SF1750) now heads to the House. More than 1.5 million Minnesotans belong to an HOA, and the majority of newly-constricted homes are in HOAs. The Reformer has reported on the stories of homeowners who were surprised with huge bills for repairs they didn't think were necessary. At least one property management company also owns a construction firm, raising questions about conflicts of interest. Last year, the Legislature put together a working group of lawmakers, homeowners, property management companies and other stakeholders to come up with recommendations for HOA reforms. Many of those suggestions were incorporated into the bill. The legislation would require HOA boards or property managers to solicit at least three written bids for all repair jobs valued at more than $50,000. It would also block cities from requiring HOAs as a condition for approving a housing development. Some of the provisions are aimed at increasing transparency: HOAs must create and distribute a schedule of fines and fees, and they must adopt a dispute resolution process so homeowners have an opportunity to contest fines. It would also provide a path for dissolving HOAs, particularly in communities of single-family detached homes with no shared property, like a community center or pool. Some senators — Republicans and Democrats — expressed concerns over the burden of the new regulations on HOA boards, which are usually staffed by volunteers. For HOAs that hire property management companies to run their daily operations, homeowners may see increased fees as the property managers bring the community documents into compliance with the new laws. 'HOAs wield enormous power — setting rules, levying fines, and even initiating foreclosures — yet they operate with little oversight and often without the basic transparency we expect from any governing body,' said Sen. Susan Pha, DFL-Brooklyn Park, one of the authors of the bill.

HOA reform bill clears first hurdle in state Senate
HOA reform bill clears first hurdle in state Senate

Yahoo

time13-03-2025

  • Business
  • Yahoo

HOA reform bill clears first hurdle in state Senate

Sen. Susan Pha, DFL-Brooklyn Park, and Sen. Eric Lucero, R-Saint Michael, present their bill aimed at reining in HOAs at a meeting of the Senate Housing and Homelessness Prevention committee on March 12, 2025. Photo by Madison McVan/Minnesota Reformer. A bill that would place limits on the power of homeowners' associations advanced out of the Senate Housing and Homelessness Prevention committee Thursday on a unanimous vote. The Reformer has reported on the stories of homeowners who received massive, unexpected bills for repairs. In some communities, the property management company also owns a construction company, raising concerns about conflicts of interest. The bill (SF1750/HF1268) would require homeowners' association boards to create a schedule of fines and fees and distribute it to homeowners; ensure homeowners can contest an HOA fine; provide reasonable time to correct rule violations; and outlaw the practice of charging homeowners for asking questions. It also would require property management companies to disclose conflicts of interest — for example, their financial stake in a construction firm — to HOA boards and homeowners. HOA board members who testified said the requirements would increase the burden on unpaid board members and make it even harder to recruit volunteers. Sen. Rich Draheim, R-Madison Lake, said he hoped the bill would send a message to industries that they should clean up wrongdoing so the state doesn't have to step in. 'The libertarian in me is bothered that we have to do this, but I don't think we have a choice,' Draheim said before voting to advance the bill. The legislation will now go to the judiciary committee, and must also clear the state and local government committee before going to the Senate floor. The House version of the bill is awaiting a housing committee hearing. The Senate housing committee also passed the 'More Homes, Right Places Act,' (SF2231/HF2140) which would direct cities to designate zones along main roads to allow higher-density residential development, and a bill that would eliminate parking minimums statewide (SF1268/HF1309).

Beets by they: Funding for PFAS alternative considered
Beets by they: Funding for PFAS alternative considered

Yahoo

time06-02-2025

  • Business
  • Yahoo

Beets by they: Funding for PFAS alternative considered

The Brief Lawmakers have proposed $10 million in grants to build businesses offering alternatives to the forever chemicals known as PFAS. FOX 9 has investigated the impacts and origins of PFAS for several years and Minnesota lawmakers made it illegal to use in a large number of products, effective this year. A company hopes to start a business in Renville, Minn., making a water-resistant coating -- like those made with PFAS -- using beet waste. They're asking the state for startup funding. ST. PAUL, Minn. (FOX 9) - An entire industry could grow in Minnesota to replace the dangerous chemicals known as PFAS. Crunching numbers A bipartisan idea would kickstart a business building an alternative, but a budget crunch makes it no sure thing. Lawmakers agree this is probably a worthwhile idea, but they're not sure whether now is the right time for an investment from the state. Minnesota-made The health and environmental consequences from PFAS forever chemicals spread from Minnesota around the globe. A safer alternative may also come out of the state. "I think that we all know that PFAS is something we're dealing with and we definitely want it removed from our packaging," said Sen. Susan Pha, (DFL-Brooklyn Park.) Beets by they Legislators proposed $10 million in grants to companies that can produce safer alternatives, but right now they only know of one making moves in western Minnesota. And they saw it in action during a Senate jobs committee hearing. "It is the plastic-y coating," said the bill's chief author, Sen. Andrew Lang, (R-Olivia). "It's not plastic. They actually told me it's edible. I don't know if it tastes very good." Cellucomp is the company making a water-resistant coating out of beet waste, which is abundant in the Renville area where they'd build a manufacturing facility if they get a $5 million grant. They'd initially create about 20 jobs, but with hopes of expansion. "We'd like to commit to that," said Christian Kemp-Griffin of Cellucomp. "Of course, to scale and to make it really successful, that's, getting the product the cost we need it to sell it at scale, then we need some help." State competitions? Some lawmakers pointed out it's a big taxpayer investment for just a few jobs. But Minnesota will compete with the Dakotas to get the facility started and potentially build an entire industry. And the environmental groups that got PFAS products banned are excited at the prospect. "Minnesota has an opportunity to be a leader in manufacturing safe products for global sale and this also means growth of jobs in multiple sectors," said Avonna Starck of Clean Water Action. All or nothing? The bill got unanimous approval in committee, but it has a few more stops and because of the budget situation, it may end up with less funding or none at all.

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