We can’t back down! Continued advocacy is critical to ensure the Governor hears our message loud and clear: Both constituents and stakeholders OPPOSE SB 406 and urge further consideration and thoughtful engagement on the issue.

Tell Governor Kemp to VETO SB 406

The detrimental provisions in SB 406 mirror similar legislation in other states, treating HOAs like state-controlled entities rather than private communities. Georgia has always treated associations as private, contract-based, and locally governed. This bill would make it more difficult to recruit volunteer board members, leading to higher costs, lawsuits, and unintended harm.

As written, SB 406 will:

• Raise costs on all homeowners within communities
• Weaken an association’s ability to maintain communities
• Impose duplicative obligations on volunteer community association board members
• Override long-standing private contracts
• Lead to lawsuits that will need to be funded by homeowners like you

Georgia law currently requires all community associations to register annually with the Secretary of State. SB 406 would establish a duplicate registration system requiring some community associations to register a second time, adding costs and creating widespread confusion. The bill also creates a complaints board with investigatory responsibilities but little authority to solve normal HOA disputes. It also lacks critical information about what this will cost or who will pay for it.

Take your advocacy a step further. Please also help spread the word about this urgent call to action by taking the following steps:

1. Simply forward this email, or click here to visit the CAI Action Center, then share this link via email with your contacts in Georgia that live or work in a community association. 
2. Post on your social media platforms, sharing the campaign link and explaining why you oppose the bill. Don’t forget to tag Governor Kemp (@GovKemp) and CAI (@CAIadvocacy) in your post and use the hashtags #WeAreCAI, #LoveWhereYouLive, and/or #LoveWhereYouWork
3. Talk to your neighbors about this campaign and urge them to participate. Don’t assume that they are already aware of GA LAC’s ongoing work and inform them of its importance.

Senate Bill 406 allows the state to limit or stop assessments, fees, liens, and foreclosures. Allowing the state to change association obligations breaks contracts, likely considered unconstitutional, and almost guarantees lawsuits ultimately paid for by homeowners. It also imposes a $4,000 minimum for an association to initiate foreclosure, diluting the only serious enforcement tool associations have to collect on unpaid assessments, shifting the burden to those homeowners who do pay. Associations have real financial obligations, and when delinquencies grow, they can make it difficult to pay for statutory and contractual obligations like insurance, utilities, and amenity maintenance. Finally, amendments added by the House Judiciary Committee interfere with a homeowners association's ability to collect attorney's fees in cases where action must be taken to enforce the rules and regulations of the association. The unintended consequence of this legislative action will be increased costs on homeowners, not the cost savings that legislators envision.

Thank you for your advocacy on behalf of Georgia’s community associations.

CAI’s Georgia Legislative Action Committee