Purpose of the Bill

This bill aims to limit the power of local governing bodies, such as counties, municipalities, joint planning boards, and public corporations, in influencing the formation and regulation of homeowners associations (HOAs) in Minnesota.

Main Provisions

• Prohibition on Mandatory HOA Creation: Local governments cannot require the creation of a homeowners association as a condition for approving residential developments or permits.
• Regulation of HOA Documents: Local authorities are barred from mandating that any terms be included in HOA governing documents (like declarations or bylaws) unless these terms are required by existing state law.
• Restriction on Rules and Regulations: The bill prohibits local governments from insisting on the adoption, revocation, or amendment of HOA rules or regulations beyond what is required by state law.
• Incentives for HOA Membership: The bill also prevents local bodies from offering incentives to encourage properties to be included in HOAs.

Significant Changes to Existing Law

The bill amends current statutes by adding provisions that explicitly restrict the ability of local governments to require or influence the formation or operation of homeowners associations, protecting homeowners and developers from local mandates that exceed state law requirements.

Relevant Terms

• Homeowners association
• Residential development
• Governing documents
• Local government restrictions
• State law requirements