New law brings changes for HOAs

A new state law will make it easier for condominium and homeowners associations to conduct business.

On June 19, Gov. Greg Abbott signed into law Senate Bill 1168, which changes HOA laws related to foreclosures, meetings and violation notices.

Beginning Sept. 1, HOAs throughout the state will be allowed to hold board meetings electronically or by phone as long as every board member can hear and be heard and every homeowner can listen. Notice of an electronic or phone meeting must include instructions for homeowners wishing to participate.

Boards will also be allowed to take action outside of their meetings as long as all board members are allowed a reasonable amount of time to express their opinions on the issue. The law does require boards to vote on important items at an open meeting, including issues such as selling land or adopting a deed restriction.

In the Katy area, Cinco Ranch 2 HOA General Manager Laura Tate said the legislation will not significantly affect the way members conduct business at the present time.

"We always have our meeting in person," Tate said.

Tate said the group will be able to use conference calling to bring someone into a meeting if they are gone. She said the group meets once per month and only four of the seven members are needed for a quorum, the minimum number of members needed to hold a valid meeting.

Under the new law the HOA must give at least 20 days’ notice to residents of an election or vote that is scheduled to happen outside of a board meeting. Any homeowner who demands a recount of a vote must do so within 15 days of the vote and must pay for the recount.