Alaska HOA Laws and Regulations
Know your association’s laws
Know your association’s laws
Homeowners’ associations in Alaska, otherwise known as Common Interest Communities (CIC), must be registered as non-profit organizations and are therefore governed as such. The Common Interest Ownership Act was adopted in 1985 to provide additional rules and regulations specifically regarding Common Interest Communities.
Section 10 of the Alaska Statutes provides information regarding the laws that govern non-profit organizations. Together with the Common Interest Ownership Act, they make up the primary laws regarding HOA creation and management.
To start a homeowners’ association or a common interest community, the community Articles of Incorporation must be filed with the state commissioner. The articles of incorporation provide detailed data about the community including a name, members, and all proposed rules and regulations that homeowners must follow. Section 10.20.151 of the Alaska Statutes provides a list of all information that needs to be included before filing such as:
The primary responsibility of the common interest community or homeowners’ association is to protect the property values of the community and to maintain common areas. To provide a budget for necessary repairs and maintenance costs, the community association may legally collect fees from unit owners. If dues become delinquent, the board of directors may place liens on the property and, in extreme cases, evict and foreclose on the property.
The board of directors is the sole entity responsible for the creation, adaptation, and enforcement of community declarations and bylaws. Ratification of any association regulations must be consistent with the community bylaws as well as with federal, state, and local laws.
The board of directors is also responsible for preparing and maintaining community documents and financial records. Any records must be reasonably available to all association members. Financial documents must be filed annually. There will be a yearly meeting of all community members to discuss budgetary changes. Once a new budget is proposed, the board must provide a summary to all unit owners followed by a community meeting to discuss any changes before implementation.
In communities consisting of more than 12 units, the board of directors must consist of at least three members, with a majority being unit owners within the community. At board meetings, 50% of the voting parties must be present to make a quorum unless otherwise stated by community bylaws.
Homeowners have the right to remove a person from the board of directors at any time, for any reason with a 2/3 vote of all eligible owners present in an association member meeting. That does not mean 2/3 of all homeowners in the community, just 2/3 of owners present at the meeting. At a full member meeting, at least 20% of voting parties must be present to make quorum unless otherwise stated by community bylaws.
In Alaska, the homeowners have the right to terminate the common interest community or homeowners’ association if they see fit. If 80% of the homeowners vote to dissolve the community association, all common property will be sold off and divided up amongst unit owners.
All laws that govern common interest communities can be found within the Alaska Statutes but when it comes to proper association management, it helps to have a professional on your side. CSM has a team of experienced professionals that have worked with communities in almost every state in the US. Specializing in HOA financial management, we can help your board of directors manage association finances, write and submit documents, and prepare for audits. If you have any questions regarding state HOA laws and regulations, give us a call at (865) 315-7505, contact us online or email us at email@example.com.