After in depth discussion and concerns about the legislation, Representative Mac McCutcheon agreed to carry over HB 137 in the House Commerce Committee this week. This will give the HBAA an opportunity to work on compromise language for the bill. A provision of the far-reaching legislation that concerns the HBAA is one that states that all HOAs would be required to register with the Alabama Real Estate Commission and be subject to rules and regulations that the commission would then adopt. Further, the Commission would serve as an "arbiter" in complaints filed against the HOA. Additional provisions would require disclosure of receipts, debts, operating accounts, and other financial information that might directly or indirectly affect the HOA.

The HBAA is working on language that it feels could be offered as an alternative approach that is less onerous on developers and builders while achieving the goals of the sponsor. The HBAA appreciates Rep. McCutcheon's willingness to work with the HBAA and its members to find a way forward together. HBAA opposes the bill in its current form. 

House Bill 143 held the 6th slot on Tuesday's special order calendar in the House. Unfortunately, the first two bills on the calendar proved controversial enough to lead to a full day of debate. The HBAA is working with the members of the House Rules Committee to get the bill assigned to a new calendar in the coming days.

Here is a more comprehensive overview on the bills that are part of the HBAA's legislative agenda this session:

HB 46/SB 227 "Pre-Sale Agreements"

Sponsor: Rep. Chris England/Senator Gerald Allen

Description: This bill is designed to clarify that pre-sale agreements for the purchase of lots in subdivisions are enforceable.

Status: The HBAA is working to get HB 46 assigned to an upcoming special order calendar in the Senate.

HB 102/SB 195 "Alabama Housing Initiative Update"

Sponsors: Rep. Mike Hill/Senator Cam Ward      

Description: The legislation updates the Alabama Housing Initiative that was originally passed in 2009. It provides for alternative housing programs that, if passed, are projected to spur up to 2,500 new and existing home sales during the 2014 calendar year.

Status: Awaiting signature by Governor Bentley

HB 142/SB 124  "HVAC Law Revisions"

Sponsors: Rep. Jack Williams/Senator Gerald Allen

Description: Identical to the legislation introduced in the 2013 legislative session, this legislation codifies the Duct and Envelope Testing registration process and establishes a duct cleaning and filter changing company registration. Additionally, the bill allows for the transfer of surplus agency funds to the Alabama Home Builders Foundation to be used to support HVAC programs at trade schools and apprentice training programs in Alabama.

Status: HB 142 received a favorable report from the Senate Governmental Affairs Committee this week. The HBAA is working to get the bill brought before the Senate at the earliest opportunity.

HB 143/SB 150 "Plumbers Law Revisions"

Sponsors: Rep. Jack Williams/Senator Gerald Allen

Description: Identical to the legislation introduced in the 2013 legislative session, this legislation makes several changes to the plumbers law including creating alternative disciplinary action for violations and allowing the transfer of surplus agency funds to be used by the Alabama Home Builders Foundation to support plumbing programs at trade schools and apprentice training programs in Alabama.

Status: The HBAA is working to have HB 143 assigned to an upcoming special order calendar after the House failed to consider it this week. Further, the HBAA will attempt to have it added to a proposed 10 minute calendar as early as next week.  

Here is the latest on other bills that the HBAA is actively supporting:

HB 99/SB 207 "Prohibition of Business License Tax on Individual Apartments"

Sponsors: Rep. Jim Patterson/Senator Vivian Figures

Description: This legislation is similar to the legislation supported by the HBAA last session that would have restricted a municipality from charging an individual business license on each apartment in an apartment complex. The main difference in the 2014 version of the bill is that it is not a constitutional amendment, unlike the 2013 version.

Status: Enacted as Act No. 2014-15

HB 105 "Tax Payer Bill of Rights"

Sponsor: Rep. Paul DeMarco

Description: The "Tax Payer Bill of Rights" creates an independent tax tribunal to hear appeals of tax assessments issued by the Department of Revenue. Currently, appeals of tax assessments are handled by the department's internal affairs division which tends to be less objective than an independent tribunal.

Status: HB 105 was carried over by the Senate last week.  

HB 523/SB 291 "Landlord Tenant"

Sponsor: Rep. Paul Beckman/ Senator Del Marsh

Description: The "Landlord Tenant" legislation is an update to current Alabama law. Among the proposed changes are provisions to increase the length of time landlords must return deposits and termination of lease for noncompliance with the rental agreement or abandonment. The HBAA is continuing to work with the Realtors and the Alabama Apartment Association to make certain all issues regarding the landlord tenant law are addressed.

Status: HB 523 received a favorable report this week in the House Committee on Commerce and Small Business.

HB 458 "Ad Valorem/Tax Credit Housing"

Sponsor: Rep. Oliver Robinson

Description: The legislation seeks to provide a method to determine the fair and reasonable market value of occupancy rental property on which exist restrictive covenants/laws. This deals directly with Tax Credit developed multi-family projects in rural areas. By arriving at a lower ad valorem value on the property, available tax credits will be able to stretch further and help fund additional properties.

Status: HB 458 received a favorable report from the House Committee on Commerce and Small Business on Wednesday.