AB38_EN

Assembly Bill No. 38–Assemblyman Gustavson

CHAPTER..........

AN ACT relating to common-interest communities; authorizing the notice of meetings of units’ owners and executive boards of associations of common-interest communities to be sent by electronic mail upon request; and providing other matters properly relating thereto.

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Section 1. NRS 116.3108 is hereby amended to read as follows:

116.3108 1. A meeting of the units’ owners of an association must

be held at least once each year. If the governing documents of a common

-interest community do not designate an annual meeting date of the units’

owners, a meeting of the units’ owners must be held 1 year after the date

of the last meeting of the units’ owners. If the units’ owners have not held

a meeting for 1 year, a meeting of the units’ owners must be held on the

following March 1. Special meetings of the units’ owners of an association

may be called by the president, a majority of the executive board or by

units’ owners having 10 percent, or any lower percentage specified in the

bylaws, of the votes in the association.

2. Not less than 10 nor more than 60 days in advance of any meeting

of the units’ owners of an association, the secretary or other officer

specified in the bylaws shall cause notice of the meeting to be hand

-delivered , [or] sent prepaid by United States mail to the mailing address

of each unit orto any other mailing address designated in writing by the

unit’s owner[. ] or, if the association offers to send notice by electronic

mail, sent by electronic mail at the request of the unit’s owner to an

electronic mail address designated in writing by the unit’s owner. The

notice of the meeting must state the time and place of the meeting and

include a copy of the agenda for the meeting. The notice must include

notification of the right of a unit’s owner to:

(a) Have a copy of the minutes or a summary of the minutes of the

meeting distributed to him upon request and, if required by the executive

board, upon payment to the association of the cost of making the

distribution.

(b) Speak to the association or executive board, unless the executive

board is meeting in executive session.

3. The agenda for a meeting of the units’ owners must consist of:

(a) A clear and complete statement of the topics scheduled to be

considered during the meeting, including, without limitation, any proposed

amendment to the declaration or bylaws, any fees or assessments to be

imposed or increased by the association, any budgetary changes and any

proposal to remove an officer or member of the executive board.

(b) A list describing the items on which action may be taken and clearly

denoting that action may be taken on those items. In an emergency, the

units’ owners may take action on an item which is not listed on the agenda

as an item on which action may be taken.

those comments. Except in emergencies, no action may be taken upon a

matter raised under this item of the agenda until the matter itself has been

specifically included on an agenda as an item upon which action may be

taken pursuant to paragraph (b).

4. If the association adopts a policy imposing a fine on a unit’s owner

for the violation of the declaration, bylaws or other rules established by the

association, the secretary or other officer specified in the bylaws shall

prepare and cause to be hand-delivered or sent prepaid by United States

mail to the mailing address of each unit or to any other mailing address

designated in writing by the unit’s owner, a schedule of the fines that may

be imposed for those violations.

5. Not more than 30 days after any meeting of the units’ owners, the

secretary or other officer specified in the bylaws shall cause the minutes or

a summary of the minutes of the meeting to be made available to the units’

owners. A copy of the minutes or a summary of the minutes must be

provided to any unit’s owner who pays the association the cost of

providing the copy to him.

6. As used in this section, “emergency” means any occurrence or

combination of occurrences that:

(a) Could not have been reasonably foreseen;

(b) Affects the health, welfare and safety of the units’ owners of the

association;

executive board; and

(d) Makes it impracticable to comply with the provisions of subsection

2 or 3.

Sec. 2. NRS 116.31083 is hereby amended to read as follows:

116.31083 1. A meeting of the executive board of an association

must be held at least once every 90 days.

2. Except in an emergency or unless the bylaws of an association

require a longer period of notice, the secretary or other officer specified in

the bylaws of the association shall, not less than 10 days before the date of

a meeting of the executive board, cause notice of the meeting to be given

to the units’ owners. Such notice must be:

(a) Sent prepaid by United States mail to the mailing address of each

unit within the common-interest community or to any other mailing

address designated in writing by the unit’s owner;

(b) If the association offers to send notice by electronic mail, sent by

electronic mail at the request of the unit’s owner to an electronic mail

address designated in writing by the unit’s owner; or

[(b)] (c) Published in a newsletter or other similar publication that is

circulated to each unit’s owner.

3. In an emergency, the secretary or other officer specified in the

bylaws of the association shall, if practicable, cause notice of the meeting

to be sent prepaid by United States mail to the mailing address of each unit

within the common-interest community. If delivery of the notice in this

manner is impracticable, the notice must be hand-delivered to each unit

within the common-interest community or posted in a prominent place or

places within the common elements of the association.

4. The notice of a meeting of the executive board of an association

must state the time and place of the meeting and include a copy of the

agenda for the meeting or the date on which and the locations where

copies

of the agenda may be conveniently obtained by the units’ owners of the

association. The notice must include notification of the right of a unit’s

owner to:

(a) Have a copy of the minutes or a summary of the minutes of the

meeting distributed to him upon request and, if required by the executive

board, upon payment to the association of the cost of making the

distribution.

(b) Speak to the association or executive board, unless the executive

board is meeting in executive session.

5. The agenda of the meeting of the executive board of an association

must comply with the provisions of subsection 3 of NRS 116.3108. The

period required to be devoted to comments by units’ owners and

discussion of those comments must be scheduled for the beginning of each

meeting. In an emergency, the executive board may take action on an item

which is not listed on the agenda as an item on which action may be taken.

6. At least once every 90 days, unless the declaration or bylaws of the

association impose more stringent standards, the executive board shall

review at one of its meetings:

(a) A current reconciliation of the operating account of the association;

(b) A current reconciliation of the reserve account of the association;

to the budget for that account for the current year;

(d) The latest account statements prepared by the financial institutions

in which the accounts of the association are maintained;

(e) An income and expense statement, prepared on at least a quarterly

basis, for the operating and reserve accounts of the association; and

(f) The current status of any civil action or claim submitted to

arbitration or mediation in which the association is a party.

7. The minutes of a meeting of the executive board of an association

must be made available to the units’ owners in accordance with the

provisions of subsection 5 of NRS 116.3108.

8. As used in this section, “emergency” means any occurrence or