Common Ownership Communities - Reserve Accounts and Reserve Studies - Alterations

HB 1269 requires condominiums, homeowners associations (HOAs), and cooperative housing corporations in Maryland to conduct regular reserve studies assessing costs for major repairs to structural, mechanical, and plumbing components. These studies must be updated every five years and include detailed cost estimates for future replacements. The bill also allows members (not just the governing board) to declare financial hardship, extending relief periods, and mandates adding funds to reserve accounts if communities deviate from required funding levels. It applies to newer properties in Prince George’s, Montgomery, and other counties with phased implementation timelines based on when the community was established. The goal is to ensure communities maintain sufficient funds for capital repairs through standardized budgeting and assessment requirements.