Requires condominium associations to conduct structural surveys and reserve studies, fund reserves at 15%, and plan for repairs.

Plain-English Summary

This Rhode Island bill would require condominium associations — the organizations that manage condo buildings and common areas — to regularly conduct two important types of professional assessments: structural surveys (physical inspections of the building to identify safety issues or deterioration) and reserve studies (financial analyses that estimate how much money will be needed for future repairs and replacements). These requirements are aimed at making sure condo buildings are properly maintained and that money is set aside before problems become emergencies.

A key financial requirement in the bill is that condo associations must fund their reserve accounts at a minimum of 15% of their annual budget. Reserve funds are essentially a savings account that associations use to pay for major repairs — things like roof replacements, elevator upgrades, or structural fixes. By requiring associations to set aside at least 15%, the bill aims to prevent situations where a building falls into disrepair because there simply isn't enough money available when something breaks down or wears out.

The bill would most directly affect condo owners and residents in Rhode Island, as well as the boards and property managers who run condo associations. Owners could see changes to their monthly fees (called HOA dues) if their association currently saves less than the 15% threshold. On the positive side, the bill is designed to protect owners from sudden, large special assessments — one-time emergency charges — that can arise when buildings are underfunded and face unexpected major repairs.

The bill has been introduced and referred to the Senate Housing and Municipal Government Committee, where it will be reviewed before any further action is taken.