What documents are the Homeowners Association required to furnish to its members on an annual basis?

The homeowner association is required to deliver to its members on an annual basis the following documents:

(a) A pro forma operating budget;
(b) A summary of the reserves;
(c) A summary of the reserves funding plan;
(d) A statement of the association’s policy to defer or undertake repairs or replacement of major components, including an explanation for the decision;
(e) A statement of the association’s policy regarding special assessments;
(f) A statement of the association regarding the funding of the reserves;
(g) A statement of the association’s outstanding loans;
(h) A review of the financial statement of the association prepared in accordance with generally accepted accounting principles by a licensee of the California Board of Accountancy for any fiscal year in which the gross in come of the association exceeds $75,000;
(i) A statement of the association’s policies and practices in enforcing lien rights and legal remedies for default and payment of assessments;
(j) A summary of the association’s property, general liability, earthquake, flood and fidelity insurance policies; and
(k) A policy statement of the association regarding notices, minutes, assessments, discipline, dispute resolution, changes to property and other information.

 

See also: Ostayan v. Nordhoff Townhomes Homeowners Association, Inc. (2003) 110 Cal. App. 4th 120, where court held that the association has no duty to disclose to former owner of insurance litigation over earthquake damage; Kovich v. Paseo Del Mar Homeowners Association( 1996 ) 41 Cal. App. 4th 863, where court held the association had no duty to disclose to prospective purchaser construction defects or the existence of litigation concerning the defects.