Common Ownership Communities - Reserve Accounts and Reserve Studies - Alterations

SB 615 requires condominiums, homeowners associations, and cooperative housing corporations in Maryland to conduct regular reserve studies and budget for major repairs. It mandates an initial reserve study within 30 days before a key meeting, followed by updates every five years, with specific deadlines based on the community’s location and establishment date (e.g., Prince George’s County communities established after 2020 must comply by 2026). The bill also allows members (not just the board) to declare financial hardship, extending relief periods, and requires boards to add funds to reserve accounts if they deviate from required funding levels for capital components. This directly affects community associations managing shared property, ensuring they plan for future costs like roof replacements or elevator repairs. The law amends Maryland’s real property and association statutes to standardize these financial planning requirements.