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| To amend sections 5311.01, 5311.08, 5311.081, | 1 |
| 5311.09, 5311.091, and 5311.22 and to enact | 2 |
| sections 5311.082, 5311.083, 5311.15, 5311.28 to | 3 |
| 5311.33, and 5311.99 of the Revised Code to | 4 |
| require certain unit owners association managers | 5 |
| to hold a real estate broker's license, to make | 6 |
| changes to the board meetings, record retention, | 7 |
| and budget procedure requirements of the | 8 |
| Condominium Law, and to establish a registry of | 9 |
| condominium developments and the Ohio Condominium | 10 |
| Dispute Resolution Commission. | 11 |
| Section 1. That sections 5311.01, 5311.08, 5311.081, | 12 |
| 5311.09, 5311.091, and 5311.22 be amended and sections 5311.082, | 13 |
| 5311.083, 5311.15, 5311.28, 5311.29, 5311.30, 5311.31, 5311.32, | 14 |
| 5311.33, and 5311.99 of the Revised Code be enacted to read as | 15 |
| follows: | 16 |
| Sec. 5311.01. As used in this chapter, except as otherwise | 17 |
| provided: | 18 |
| (A) "Agent" means any person who represents a developer or | 19 |
| who acts for or on behalf of a developer in selling or offering to | 20 |
| sell any ownership interest in a condominium development. "Agent" | 21 |
| does not include an attorney whose representation of a developer | 22 |
| consists solely of rendering legal services. | 23 |
| (B) "Additional property" means land, including surface and | 24 |
| air rights, or improvements to land that are described in an | 25 |
| original declaration and that may be added in the future to an | 26 |
| expandable condominium property. | 27 |
| (C) "Affiliate of a developer" means any person who controls | 28 |
| a developer or is controlled by a developer. For the purposes of | 29 |
| this division: | 30 |
| (1) A person "controls" a developer if any of the following | 31 |
| applies: | 32 |
| (a) The person is a general partner, officer, member, | 33 |
| manager, director, or employer of the developer. | 34 |
| (b) The person owns, controls, holds with power to vote, or | 35 |
| holds proxies representing more than twenty per cent of the voting | 36 |
| interest in the developer, doing so either directly or indirectly, | 37 |
| acting in concert with one or more other persons, or through one | 38 |
| or more subsidiaries. | 39 |
| (c) The person controls, in any manner, the election of a | 40 |
| majority of the developer's directors. | 41 |
| (d) The person has contributed more than twenty per cent of | 42 |
| the developer's capital. | 43 |
| (2) A person "is controlled by" a developer if any of the | 44 |
| following applies: | 45 |
| (a) The developer is a general partner, member, manager, | 46 |
| officer, director, or employer of the person. | 47 |
| (b) The developer owns, controls, holds with power to vote, | 48 |
| or holds proxies representing more than twenty per cent of the | 49 |
| voting interest in the person, doing so either directly or | 50 |
| indirectly, acting in concert with one or more other persons, or | 51 |
| through one or more subsidiaries. | 52 |
| (c) The developer controls, in any manner, the election of a | 53 |
| majority of the person's directors. | 54 |
| (d) The developer has contributed more than twenty per cent | 55 |
| of the person's capital. | 56 |
| (3) "Control" does not exist for purposes of division (C)(1) | 57 |
| or (2) of this section if a person or developer holds any power | 58 |
| described in either of those divisions solely as security for an | 59 |
| obligation and that power is not exercised. | 60 |
| (D) "Body of water" means a stream, lake, pond, marsh, river, | 61 |
| or other body of natural or artificial surface water. | 62 |
| (E) "Common assessments" means assessments that are charged | 63 |
| proportionately against all units for common purposes. | 64 |
| (F) "Common elements" means, unless otherwise provided in the | 65 |
| declaration, the following parts of the condominium property: | 66 |
| (1) The land described in the declaration; | 67 |
| (2) All other areas, facilities, places, and structures that | 68 |
| are not part of a unit, including, but not limited to, the | 69 |
| following: | 70 |
| (a) Foundations, columns, girders, beams, supports, | 71 |
| supporting walls, roofs, halls, corridors, lobbies, stairs, | 72 |
| stairways, fire escapes, entrances, and exits of buildings; | 73 |
| (b) Basements, yards, gardens, parking areas, garages, and | 74 |
| storage spaces; | 75 |
| (c) Premises for the lodging of janitors or persons in charge | 76 |
| of the property; | 77 |
| (d) Installations of central services, including, but not | 78 |
| limited to, power, light, gas, hot and cold water, heating, | 79 |
| refrigeration, air conditioning, and incinerating; | 80 |
| (e) Elevators, tanks, pumps, motors, fans, compressors, | 81 |
| ducts, and, in general, all apparatus and installations existing | 82 |
| for common use; | 83 |
| (f) Community and commercial facilities that are not listed | 84 |
| in division (F)(2)(a), (b), (c), (d), or (e) of this section but | 85 |
| provided for in the declaration; | 86 |
| (g) All parts of the condominium property that are not listed | 87 |
| in division (F)(2)(a), (b), (c), (d), (e), or (f) of this section | 88 |
| that are necessary or convenient to its existence, maintenance, | 89 |
| and safety, that are normally in common use, or that have been | 90 |
| designated as common elements in the declaration or drawings. | 91 |
| (G) "Common expenses" means expenses designated as common | 92 |
| expenses in this chapter or in the declaration. | 93 |
| (H) "Common losses" means the amount by which the common | 94 |
| expenses during any period of time exceeds the common assessments | 95 |
| and common profits during that period. | 96 |
| (I) "Common profits" means the amount by which the total | 97 |
| income received from any of the following exceeds expenses | 98 |
| allocable to the particular income, rental, fee, or charge: | 99 |
| (1) Assessments charged for special benefits to specific | 100 |
| units; | 101 |
| (2) Rents received from the rental of equipment or space in | 102 |
| common elements; | 103 |
| (3) Any other fee, charge, or income other than common | 104 |
| assessments. | 105 |
| (J) "Common surplus" means the amount by which common | 106 |
| assessments collected during any period exceed common expenses. | 107 |
| (K) "Condominium" means a form of real property ownership in | 108 |
| which a declaration has been filed submitting the property to the | 109 |
| condominium form of ownership pursuant to this chapter and under | 110 |
| which each owner has an individual ownership interest in a unit | 111 |
| with the right to exclusive possession of that unit and an | 112 |
| undivided ownership interest with the other unit owners in the | 113 |
| common elements of the condominium property. | 114 |
| (L) "Condominium development" means a | 115 |
| which two or more individual residential or water slip units, | 116 |
| together with their undivided interests in the common elements of | 117 |
| the property, are offered for sale pursuant to a common | 118 |
| promotional plan. | 119 |
| (M) "Condominium instruments" means the declaration and | 120 |
| accompanying drawings and plans, the bylaws of the unit owners | 121 |
| association, the condominium development disclosure statement | 122 |
| described in section 5311.26 of the Revised Code, any contracts | 123 |
| pertaining to the management of the condominium property, and any | 124 |
| other documents, contracts, or instruments establishing ownership | 125 |
| of or exerting control over a condominium property or unit. | 126 |
| (N) "Condominium ownership interest" means a fee simple | 127 |
| estate or a ninety-nine-year leasehold estate, renewable forever, | 128 |
| in a unit, together with an appurtenant undivided interest in the | 129 |
| common elements. | 130 |
| (O) "Condominium property" means all real and personal | 131 |
| property submitted to the provisions of this chapter, including | 132 |
| land, the buildings, improvements, and structures on that land, | 133 |
| the land under a water slip, the buildings, improvements, and | 134 |
| structures that form or that are utilized in connection with that | 135 |
| water slip, and all easements, rights, and appurtenances belonging | 136 |
| to the land or to the land under a water slip. | 137 |
| (P) "Conversion condominium development" means a condominium | 138 |
| development that was operated as a rental property and occupied by | 139 |
| tenants immediately prior to the submission of the property to the | 140 |
| provisions of this chapter. | 141 |
| (Q) "Convertible unit" means a unit that may be converted | 142 |
| into one or more units and common elements, including limited | 143 |
| common elements. | 144 |
| (R) "Declaration" means the instrument by which property is | 145 |
| submitted to the provisions of this chapter. "Declaration" | 146 |
| includes all amendments to that declaration. | 147 |
| (S) "Developer" means any person who directly or indirectly | 148 |
| sells or offers for sale condominium ownership interests in a | 149 |
| condominium development. "Developer" includes the declarant of a | 150 |
| condominium development and any successor to that declarant who | 151 |
| stands in the same relation to the condominium development as the | 152 |
| declarant. | 153 |
| (T) "Exclusive use area" means common elements that the | 154 |
| declaration reserves for delegation by the board of directors to | 155 |
| the use of a certain unit or units, to the exclusion of other | 156 |
| units. | 157 |
| (U) "Expandable condominium property" means a condominium | 158 |
| property in which the original declaration reserves the right to | 159 |
| add additional property. | 160 |
| (V) "Leasehold condominium development" means a condominium | 161 |
| development in which each unit owner owns a ninety-nine-year | 162 |
| leasehold estate, renewable forever, in the owner's unit, in the | 163 |
| land upon which that unit is situated, or in both, together with | 164 |
| an undivided leasehold interest in the common elements, with all | 165 |
| leasehold interests due to expire at the same time. | 166 |
| (W) "Limited common elements" means the common elements that | 167 |
| the declaration designates as being reserved for use by a certain | 168 |
| unit or units, to the exclusion of the other units. | 169 |
| (X) "Offer" includes any inducement or solicitation to | 170 |
| encourage a person to acquire a condominium ownership interest in | 171 |
| a condominium development. | 172 |
| (Y) "Par value" means a number, expressed in dollars, points, | 173 |
| or as a percentage or fraction, attached to a unit by the | 174 |
| declaration. | 175 |
| (Z) "Purchaser" means a person who purchases a condominium | 176 |
| ownership interest for consideration pursuant to an agreement for | 177 |
| the conveyance or transfer of that interest for consideration. | 178 |
| (AA) "Sale of a condominium ownership interest" means the | 179 |
| execution by both parties of an agreement for the conveyance or | 180 |
| transfer for consideration of a condominium ownership interest. | 181 |
| "Sale of a condominium ownership interest" does not include a | 182 |
| transfer of one or more units from the developer to another | 183 |
| developer, a subsidiary of the developer, or a financial | 184 |
| institution for the purpose of facilitating the sale or | 185 |
| development of the remaining or unsold portion of the condominium | 186 |
| property or additional property. | 187 |
| (BB) "Unit" means the part of the condominium property that | 188 |
| is designated as a unit in the declaration, is delineated as a | 189 |
| unit on the drawings prepared pursuant to section 5311.07 of the | 190 |
| Revised Code, and is one of the following: | 191 |
| (1) A residential unit, in which the designated part of the | 192 |
| condominium property is devoted in whole or in part to use as a | 193 |
| residential dwelling consisting of one or more rooms on one or | 194 |
| more floors of a building. A "residential unit" may include | 195 |
| exterior portions of the building, spaces in a carport, and | 196 |
| parking spaces as described and designated in the declaration and | 197 |
| drawings. | 198 |
| (2) A water slip unit, which consists of the land that is | 199 |
| under the water in a water slip and the land that is under the | 200 |
| piers or wharves that form the water slip, and that is used for | 201 |
| the mooring of watercraft. | 202 |
| (3) A commercial unit in which the property is designated for | 203 |
| separate ownership or occupancy solely for commercial purposes, | 204 |
| industrial purposes, or other nonresidential or nonwater slip use. | 205 |
| (CC) "Unit owner" means a person who owns a condominium | 206 |
| ownership interest in a unit. | 207 |
| (DD) "Unit owners association" means the condominium | 208 |
| association or other organization that administers the condominium | 209 |
| property and that consists of all the owners of units in a | 210 |
| condominium property. | 211 |
| (EE) "Watercraft" has the same meaning as in division (A) of | 212 |
| section 1547.01 of the Revised Code. | 213 |
| (FF) "Water slip" means a channel of water between piers or | 214 |
| wharves. | 215 |
| (GG) "Manager" or "managing agent" means a person that is | 216 |
| responsible, alone or in concert with others, for the management | 217 |
| of a condominium property. | 218 |
| Sec. 5311.08. (A)(1) Every condominium property shall be | 219 |
| administered by a unit owners association. All power and authority | 220 |
| of the unit owners association shall be exercised by a board of | 221 |
| directors, which the unit owners shall elect from among the unit | 222 |
| owners or the spouses of unit owners. If a unit owner is not an | 223 |
| individual, that unit owner may nominate for the board of | 224 |
| directors any principal, member of a limited liability company, | 225 |
| partner, director, officer, or employee of that unit owner. | 226 |
| (2) The board of directors shall elect a president, | 227 |
| secretary, treasurer, and other officers that the board may | 228 |
| desire. | 229 |
| (3) Unless otherwise provided in the declaration or the | 230 |
| bylaws, all meetings of the unit owners association are open to | 231 |
| the unit owners, and those present in person or by proxy when | 232 |
| action is taken during a meeting of the unit owners association | 233 |
| constitute a sufficient quorum. | 234 |
| (4)(a) All meetings of the board of directors shall be open | 235 |
| to all unit owners. A portion of each board meeting shall be | 236 |
| allocated for comments by unit owners. A unit owner may send an | 237 |
| agent or a representative, as authorized by a notarized statement | 238 |
| of the unit owner, to attend a board meeting in the unit owner's | 239 |
| place. | 240 |
| (b) At least five days prior to a meeting of the board of | 241 |
| directors, the board shall post a notice of the meeting in the | 242 |
| common areas of the condominium property and on the web site | 243 |
| maintained by the association or managing agent, if the | 244 |
| association or managing agent has a web site. The board also shall | 245 |
| send notice to a unit owner who has requested to be included in a | 246 |
| mailing list, by electronic mail to the unit owner's electronic | 247 |
| mail address or by traditional mail to the unit owner's home | 248 |
| mailing address, as requested by the unit owner. The board shall | 249 |
| make all public materials provided to board members for the | 250 |
| meeting available to unit owners upon request. | 251 |
| (c) A meeting of the board of directors may be held by any | 252 |
| method of communication, including electronic or telephonic | 253 |
| communication provided that each member of the board, and each | 254 |
| unit owner that participates, can hear, participate, and respond | 255 |
| to every other member of the board or unit owner. | 256 |
| | 257 |
|
directors
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| 259 | |
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| record. | 261 |
| (B) The unit owners association shall be governed by bylaws. | 262 |
| No modification of or amendment to the bylaws is valid unless it | 263 |
| is set forth in an amendment to the declaration, and the amendment | 264 |
| to the declaration is filed for record. Unless otherwise provided | 265 |
| by the declaration, the bylaws shall provide for the following: | 266 |
| (1)(a) The election of the board of directors of the unit | 267 |
| owners association; | 268 |
| (b) The number of persons constituting the board; | 269 |
| (c) The terms of the directors, with not less than one-fifth | 270 |
| to expire annually; | 271 |
| (d) The powers and duties of the board; | 272 |
| (e) The compensation of the directors; | 273 |
| (f) The method of removal of directors from office; | 274 |
| (g) The election of officers of the board; | 275 |
| (h) Whether or not the services of a manager or managing | 276 |
| agent may be engaged. | 277 |
| (2) The time and place for holding meetings; the manner of | 278 |
| and authority for calling, giving notice of, and conducting | 279 |
| meetings; and the requirement, in terms of undivided interests in | 280 |
| the common elements, of a quorum for meetings of the unit owners | 281 |
| association; | 282 |
| (3) By whom and the procedure by which maintenance, repair, | 283 |
| and replacement of the common elements may be authorized; | 284 |
| (4) The common expenses for which assessments may be made and | 285 |
| the manner of collecting from the unit owners their respective | 286 |
| shares of the common expenses; | 287 |
| (5) The method of distributing the common profits; | 288 |
| (6) By whom and the procedure by which administrative rules | 289 |
| governing the operation and use of the condominium property or any | 290 |
| portion of the property may be adopted and amended. These rules | 291 |
| may govern any aspect of the condominium property that is not | 292 |
| required to be governed by bylaws and may include standards | 293 |
| governing the type and nature of information and documents that | 294 |
| are subject to examination and copying by unit owners pursuant to | 295 |
| section 5311.091 of the Revised Code, including the times and | 296 |
| location at which items may be examined or copied and any required | 297 |
| fee for copying the information or documents. | 298 |
| (C)(1) The unit owners association shall be established not | 299 |
| later than the date that the deed or other evidence of ownership | 300 |
| is filed for record following the first sale of a condominium | 301 |
| ownership interest in a condominium development. Membership in the | 302 |
| unit owners association shall be limited to unit owners, and all | 303 |
| unit owners shall be members. Until the unit owners association is | 304 |
| established, the developer shall act in all instances in which | 305 |
| action of the unit owners association or its officers is | 306 |
| authorized or required by law or the declaration. | 307 |
| (2)(a) Not later than sixty days after the developer has sold | 308 |
| and conveyed condominium ownership interests appertaining to | 309 |
| twenty-five per cent of the undivided interests in the common | 310 |
| elements in a condominium development, the unit owners association | 311 |
| shall meet, and the unit owners other than the developer shall | 312 |
| elect not less than one-third of the members of the board of | 313 |
| directors. | 314 |
| (b) When computing undivided interests in expandable | 315 |
| condominium properties for purposes of divisions (C) and (D) of | 316 |
| this section, the undivided interests in common elements shall be | 317 |
| computed by comparing the number of units sold and conveyed to the | 318 |
| maximum number of units that may be created, as stated in the | 319 |
| declaration pursuant to division (C)(8) of section 5311.05 of the | 320 |
| Revised Code. | 321 |
| (D)(1) Except as provided in division (C) of this section, | 322 |
| the declaration or bylaws of a condominium development may | 323 |
| authorize the developer or persons the developer designates to | 324 |
| appoint and remove members of the board of directors of the unit | 325 |
| owners association and to exercise the powers and responsibilities | 326 |
| otherwise assigned by law, the declaration, or the bylaws to the | 327 |
| unit owners association or to the board of directors. The | 328 |
| authorization for developer control may extend from the date the | 329 |
| unit owners association is established until sixty days after the | 330 |
| sale and conveyance to purchasers in good faith for value of | 331 |
| condominium ownership interests to which seventy-five per cent of | 332 |
| the undivided interests in the common elements appertain, except | 333 |
| that in no case may the authorization extend for more than five | 334 |
| years after the unit owners association is established if the | 335 |
| declaration includes expandable condominium property or more than | 336 |
| three years after the unit owners association is established if | 337 |
| the declaration does not include expandable condominium property. | 338 |
| (2) If there is a unit owner other than the developer, the | 339 |
| declaration of a condominium development shall not be amended to | 340 |
| increase the scope or the period of the developer's control. | 341 |
| (3) Within sixty days after the expiration of the period | 342 |
| during which the developer has control pursuant to division (D)(1) | 343 |
| of this section, the unit owners association shall meet and elect | 344 |
| all members of the board of directors of the association. The | 345 |
| persons elected shall take office at the end of the meeting during | 346 |
| which they are elected and shall, as soon as reasonably possible, | 347 |
| appoint officers. | 348 |
| (E) The board of directors, or the developer while in control | 349 |
| of the association, may take any measures necessary to incorporate | 350 |
| the unit owners association as a not-for-profit corporation. | 351 |
| (F) If the services of a manager or managing agent are | 352 |
| engaged, the manager or managing agent shall comply with section | 353 |
| 5311.15 of the Revised Code. | 354 |
| Sec. 5311.081. (A) Unless otherwise provided in the | 355 |
| declaration or bylaws, the unit owners association, through the | 356 |
| board of directors, shall do both of the following: | 357 |
| (1) Adopt and amend budgets for revenues, expenditures, and | 358 |
| reserves in an amount adequate to repair and replace major capital | 359 |
| items in the normal course of operations without the necessity of | 360 |
| special assessments, provided that the amount set aside annually | 361 |
| for reserves shall not be less than ten per cent of the budget for | 362 |
| that year unless the reserve requirement is waived annually by the | 363 |
| unit owners exercising not less than a majority of the voting | 364 |
| power of the unit owners association; | 365 |
| (2) Collect assessments for common expenses from unit owners. | 366 |
| (B) Unless otherwise provided in the declaration, the unit | 367 |
| owners association, through the board of directors, may exercise | 368 |
| all powers of the association, including the power to do the | 369 |
| following: | 370 |
| (1) | 371 |
| and fire managing agents, attorneys, accountants, and other | 372 |
| independent contractors and employees that the board determines | 373 |
| are necessary or desirable in the management of the condominium | 374 |
| property and the association; | 375 |
| (2) Commence, defend, intervene in, settle, or compromise any | 376 |
| civil, criminal, or administrative action or proceeding that is in | 377 |
| the name of, or threatened against, the unit owners association, | 378 |
| the board of directors, or the condominium property, or that | 379 |
| involves two or more unit owners and relates to matters affecting | 380 |
| the condominium property; | 381 |
| (3) Enter into contracts and incur liabilities relating to | 382 |
| the operation of the condominium property; | 383 |
| (4) Regulate the use, maintenance, repair, replacement, | 384 |
| modification, and appearance of the condominium property; | 385 |
| (5) Adopt rules that regulate the use or occupancy of units, | 386 |
| the maintenance, repair, replacement, modification, and appearance | 387 |
| of units, common elements, and limited common elements when the | 388 |
| actions regulated by those rules affect common elements or other | 389 |
| units; | 390 |
| (6) Cause additional improvements to be made as part of the | 391 |
| common elements; | 392 |
| (7) Purchase, encumber, and convey units, and, subject to any | 393 |
| restrictions in the declaration or bylaws and with the approvals | 394 |
| required by division (H)(2) or (3) of section 5311.04 of the | 395 |
| Revised Code, acquire an interest in other real property and | 396 |
| encumber or convey that interest. All expenses incurred in | 397 |
| connection with the acquisition, encumbrance, use, and operation | 398 |
| of that interest are common expenses. | 399 |
| (8) Acquire, encumber, and convey or otherwise transfer | 400 |
| personal property; | 401 |
| (9) Hold in the name of the unit owners association the real | 402 |
| property and personal property acquired pursuant to divisions | 403 |
| (B)(7) and (8) of this section; | 404 |
| (10) Grant easements, leases, licenses, and concessions | 405 |
| through or over the common elements; | 406 |
| (11) Impose and collect fees or other charges for the use, | 407 |
| rental, or operation of the common elements or for services | 408 |
| provided to unit owners; | 409 |
| (12) Impose interest and late charges for the late payment of | 410 |
| assessments; impose returned check charges; and, pursuant to | 411 |
| division (C) of this section, impose reasonable enforcement | 412 |
| assessments for violations of the declaration, the bylaws, and the | 413 |
| rules of the unit owners association, and reasonable charges for | 414 |
| damage to the common elements or other property; | 415 |
| (13) Adopt and amend rules that regulate the collection of | 416 |
| delinquent assessments and the application of payments of | 417 |
| delinquent assessments; | 418 |
| (14) Subject to applicable laws, adopt and amend rules that | 419 |
| regulate the termination of utility or other service to a | 420 |
| commercial unit if the unit owner is delinquent in the payment of | 421 |
| an assessment that pays, in whole or in part, the cost of that | 422 |
| service; | 423 |
| (15) Impose reasonable charges for preparing, recording, or | 424 |
| copying amendments to the declaration, resale certificates, or | 425 |
| statements of unpaid assessments; | 426 |
| (16) Enter a unit for bona fide purposes when conditions | 427 |
| exist that involve an imminent risk of damage or harm to common | 428 |
| elements, another unit, or to the health or safety of the | 429 |
| occupants of that unit or another unit; | 430 |
| (17) To the extent provided in the declaration or bylaws, | 431 |
| assign the unit owners association's rights to common assessments, | 432 |
| or other future income, to a lender as security for a loan to the | 433 |
| unit owners association; | 434 |
| (18) Suspend the voting privileges and use of recreational | 435 |
| facilities of a unit owner who is delinquent in the payment of | 436 |
| assessments for more than thirty days; | 437 |
| (19) Purchase insurance and fidelity bonds the directors | 438 |
| consider appropriate or necessary; | 439 |
| (20) Invest excess funds in investments that meet standards | 440 |
| for fiduciary investments under Ohio law; | 441 |
| (21) Exercise powers that are: | 442 |
| (a) Conferred by the declaration or the bylaws of the unit | 443 |
| owners association or the board of directors; | 444 |
| (b) Necessary to incorporate the unit owners association as a | 445 |
| not-for-profit corporation; | 446 |
| (c) Permitted to be exercised in this state by a | 447 |
| not-for-profit corporation; | 448 |
| (d) Necessary and proper for the government and operation of | 449 |
| the unit owners association. | 450 |
| (C)(1) Prior to imposing a charge for damages or an | 451 |
| enforcement assessment pursuant to division (B)(12) of this | 452 |
| section, the board of directors shall give the unit owner a | 453 |
| written notice that includes all of the following: | 454 |
| (a) A description of the property damage or violation; | 455 |
| (b) The amount of the proposed charge or assessment; | 456 |
| (c) A statement that the owner has a right to a hearing | 457 |
| before the board of directors to contest the proposed charge or | 458 |
| assessment; | 459 |
| (d) A statement setting forth the procedures to request a | 460 |
| hearing pursuant to division (C)(2) of this section; | 461 |
| (e) A reasonable date by which the unit owner must cure the | 462 |
| violation to avoid the proposed charge or assessment. | 463 |
| (2)(a) To request a hearing, the owner shall deliver a | 464 |
| written notice to the board of directors not later than the tenth | 465 |
| day after receiving the notice required by division (C)(1) of this | 466 |
| section. If the owner fails to make a timely request for a | 467 |
| hearing, the right to that hearing is waived, and the board may | 468 |
| immediately impose a charge for damages or an enforcement | 469 |
| assessment pursuant to division (C) of this section. | 470 |
| (b) If a unit owner requests a hearing, at least seven days | 471 |
| prior to the hearing the board of directors shall provide the unit | 472 |
| owner with a written notice that includes the date, time, and | 473 |
| location of the hearing. | 474 |
| (3) The board of directors shall not levy a charge or | 475 |
| assessment before holding any hearing requested pursuant to | 476 |
| division (C)(2) of this section. | 477 |
| (4) The unit owners, through the board of directors, may | 478 |
| allow a reasonable time to cure a violation described in division | 479 |
| (B)(12) of this section before imposing a charge or assessment. | 480 |
| (5) Within thirty days following a hearing at which the board | 481 |
| of directors imposes a charge or assessment, the unit owners | 482 |
| association shall deliver a written notice of the charge or | 483 |
| assessment to the unit owner. | 484 |
| (6) Any written notice that division (C) of this section | 485 |
| requires shall be delivered to the unit owner or any occupant of | 486 |
| the unit by personal delivery, by certified mail, return receipt | 487 |
| requested, or by regular mail. | 488 |
| (D) Not later than thirty days after the board of directors | 489 |
| adopts a budget in accordance with division (A)(1) of this | 490 |
| section, the board shall provide to all the unit owners a summary | 491 |
| of the budget including an explanation of the amount and method of | 492 |
| calculating and funding reserves, if applicable. | 493 |
| Sec. 5311.082. (A) The division of real estate and | 494 |
| professional licensing in the department of commerce shall | 495 |
| establish and maintain a registry, in the form of a database, of | 496 |
| the names of unit owners associations in the state. Information in | 497 |
| the database shall be available for public viewing. The division | 498 |
| shall include access to the information in the database on the | 499 |
| division's web site and in other materials, as determined by the | 500 |
| superintendent of real estate and professional licensing. | 501 |
| (B) The division shall perform all of the following duties: | 502 |
| (1) Adopt, amend, and rescind rules in accordance with | 503 |
| Chapter 119. of the Revised Code to carry out sections 5311.082 | 504 |
| and 5311.083 of the Revised Code governing the registration of | 505 |
| unit owners associations; | 506 |
| (2) Prescribe the form and content of all applications to be | 507 |
| used for registration and renewal of registration pursuant to | 508 |
| section 5311.083 of the Revised Code; | 509 |
| (3) Review applications for registration and issue | 510 |
| registration certificates to unit owners associations that meet | 511 |
| the requirements for registration pursuant to section 5311.083 of | 512 |
| the Revised Code; | 513 |
| (4) Collect all fees related to the registration and renewal | 514 |
| of registration certificates for unit owners associations; | 515 |
| (5) Maintain a written record of each unit owners association | 516 |
| registered with the division, which shall include such | 517 |
| documentation as required by the division. The record shall be | 518 |
| available for inspection by the public through the web site and | 519 |
| copies shall be made available pursuant to division (B) of section | 520 |
| 149.43 of the Revised Code. | 521 |
| (6) Hire all division personnel necessary to implement | 522 |
| sections 5311.082 and 5311.083 of the Revised Code. | 523 |
| Sec. 5311.083. (A)(1) The board of directors of a unit owners | 524 |
| association shall apply to the division of real estate and | 525 |
| professional licensing in the department of commerce to register | 526 |
| the association on forms prescribed by the division. With the | 527 |
| application, the applicant shall submit any information required | 528 |
| by the division and a registration fee as specified in rules | 529 |
| adopted by the Ohio condominium dispute resolution commission | 530 |
| pursuant to division (A)(2) of section 5311.31 of the Revised | 531 |
| Code. In no event shall the registration fee exceed three dollars | 532 |
| for each unit. | 533 |
| (2) The director of commerce, by rule adopted in accordance | 534 |
| with Chapter 119. of the Revised Code, may reduce the amount of | 535 |
| the registration fee required by this section in any year if the | 536 |
| director determines that the total amount of funds the fee is | 537 |
| generating at the amount specified in the rules adopted by the | 538 |
| commission exceeds the amount of funds the division and the | 539 |
| commission need to carry out their powers and duties under this | 540 |
| chapter. If the director so reduces the amount of the registration | 541 |
| fee, the director shall reduce it for all owners or other persons | 542 |
| required to pay the fee under division (A)(1) of this section. If | 543 |
| the director has reduced the fee under division (A)(2) of this | 544 |
| section, the director may later raise it up to the amounts | 545 |
| permitted under division (A)(1) of this section if, in any year, | 546 |
| the director determines that the total amount of funds the fee is | 547 |
| generating at the reduced amount is insufficient for the division | 548 |
| and the commission to carry out their powers and duties under this | 549 |
| chapter. | 550 |
| (B) Upon receipt of the completed application form, | 551 |
| documentation, and registration fee, the division shall issue a | 552 |
| certificate of registration to the unit owners association. The | 553 |
| board of directors of the unit owners association shall display | 554 |
| the certificate in a conspicuous place on the premises of the | 555 |
| condominium property for which the registration was obtained. If | 556 |
| no appropriate place for displaying the certificate exists on the | 557 |
| premises, the board of directors shall keep the certificate of | 558 |
| registration on file and available for public inspection at the | 559 |
| board's office or at the office of the unit association's managing | 560 |
| agent. | 561 |
| (C)(1) Except as otherwise provided in this division, each | 562 |
| registration issued pursuant to this section shall expire annually | 563 |
| on the thirty-first day of August and may be renewed. The renewal | 564 |
| fee shall be the same as the initial registration fee prescribed | 565 |
| under division (A) of this section. | 566 |
| (2) The board of directors of a unit owners association that | 567 |
| fails to timely file its renewal with the division also shall be | 568 |
| required to pay a late penalty fee in an amount equal to fifty per | 569 |
| cent of the renewal fee prescribed under division (C)(1) of this | 570 |
| section. | 571 |
| (D) All registration and renewal fees collected pursuant to | 572 |
| this section shall be paid into the state treasury to the credit | 573 |
| of the division to be used by the division to carry out its powers | 574 |
| and duties under this chapter and by the commission. | 575 |
| Sec. 5311.09. (A)(1) The unit owners association shall keep | 576 |
| all of the following: | 577 |
| (a) Correct and complete books and records of account that | 578 |
| specify the receipts and expenditures relating to the common | 579 |
| elements and other common receipts and expenses; | 580 |
| (b) Records showing the allocation, distribution, and | 581 |
| collection of the common profits, losses, and expenses among and | 582 |
| from the unit owners; | 583 |
| (c) Minutes of the meetings of the association and the board | 584 |
| of directors; | 585 |
| (d) Records of the names and addresses of the unit owners and | 586 |
| their respective undivided interests in the common elements; | 587 |
| (e) Records showing the names and addresses of the members of | 588 |
| the board of directors and association officers; | 589 |
| (f) Records of all actions taken without a meeting of the | 590 |
| board of directors; | 591 |
| (g) The original or restated documents described in division | 592 |
| (B)(1)(b) of this section; | 593 |
| (h) All financial statements and tax returns, which shall be | 594 |
| kept for a minimum of three years; | 595 |
| (i) All current contracts into which the condominium | 596 |
| development has entered; | 597 |
| (j) Records of approvals or denials for requests for design | 598 |
| or architectural approval from the board of directors or the unit | 599 |
| owners association; | 600 |
| (k) Ballots, proxies, and other voting records of the board | 601 |
| of directors and the unit owners association, which shall be kept | 602 |
| for a minimum of one year. | 603 |
| (2) Within thirty days after a unit owner obtains a | 604 |
| condominium ownership interest, the unit owner shall provide the | 605 |
| following information in writing to the unit owners association | 606 |
| through the board of directors: | 607 |
| (a) The home address, home and business mailing addresses, | 608 |
| and the home and business telephone numbers of the unit owner and | 609 |
| all occupants of the unit; | 610 |
| (b) The name, business address, and business telephone number | 611 |
| of any person who manages the owner's unit as an agent of that | 612 |
| owner and, if that person is required to be licensed under section | 613 |
| 4735.02 of the Revised Code, a copy of that person's license as a | 614 |
| real estate broker or salesperson. | 615 |
| (3) Within thirty days after a change in any information that | 616 |
| division (A)(2) of this section requires, a unit owner shall | 617 |
| notify the association, through the board of directors, in writing | 618 |
| of the change. When the board of directors requests, a unit owner | 619 |
| shall verify or update the information. | 620 |
| (B)(1) When elected members of a board of directors of a unit | 621 |
| owners association take control of the association, the declarant | 622 |
| or developer shall deliver to the board correct and complete | 623 |
| copies of all of the following: | 624 |
| (a) The books, records, and minutes referred to in division | 625 |
| (A) of this section; | 626 |
| (b) The declaration, the bylaws, the drawings prepared | 627 |
| pursuant to section 5311.07 of the Revised Code, as recorded, and | 628 |
| any articles of incorporation of the unit owners association, as | 629 |
| recorded; | 630 |
| (c) Except in the case of a conversion condominium, | 631 |
| documents, information, and sources of information concerning the | 632 |
| location of underground utility lines, and plans and | 633 |
| specifications that are not proprietary or copyrighted, of the | 634 |
| buildings, other improvements, and structures of the condominium | 635 |
| property that are reasonably available to the developer, but only | 636 |
| in connection with condominium developments declared on or after | 637 |
| 638 | |
| condominium developments that are declared prior to that date but | 639 |
| originally built or constructed on or after that date. | 640 |
| (2) The board of directors may commence a civil action on | 641 |
| behalf of the unit owners association in the court of common pleas | 642 |
| of the county in which the condominium property is located to | 643 |
| obtain injunctive relief or recover damages for harm resulting | 644 |
| from the declarant's or developer's failure to comply with | 645 |
| division (B)(1) of this section. | 646 |
| Sec. 5311.091. (A)(1) Except as otherwise prohibited by this | 647 |
| section, any member of a unit owners association or any manager or | 648 |
| managing agent of the condominium property may examine and copy | 649 |
|
the | 650 |
| (A) of section 5311.09 of the Revised Code pursuant to reasonable | 651 |
| standards set forth in the declaration, bylaws, or rules the board | 652 |
|
promulgates, which may include | 653 |
| 654 | |
| 655 | |
|
be examined or copied | 656 |
| for copying the documents or the supervision of examination. A | 657 |
| member of the unit owners association, manager, or managing agent | 658 |
| desiring to examine or copy the information shall submit a notice | 659 |
| five days in advance of the date of examination. | 660 |
| (2) Unless otherwise provided in the declaration or bylaws | 661 |
| pursuant to division (B)(6) of section 5311.08 of the Revised | 662 |
| Code, the board of directors may establish a policy requiring a | 663 |
| unit owner, manager, or managing agent that requests records in | 664 |
| accordance with division (A)(1) of this section to pay a | 665 |
| reasonable charge for copies of the records or supervision for | 666 |
| examination of the records. | 667 |
| (B) The unit owners association is not required to permit the | 668 |
| examination and copying of any of the following from books, | 669 |
| records, and minutes: | 670 |
| (1) Information that pertains to condominium property-related | 671 |
| personnel matters; | 672 |
| (2) Communications with legal counsel or attorney work | 673 |
| product pertaining to pending litigation or other condominium | 674 |
| property-related matters; | 675 |
| (3) Information that pertains to contracts or transactions | 676 |
| currently under negotiation, or information that is contained in a | 677 |
| contract or other agreement containing confidentiality | 678 |
| requirements and that is subject to those requirements; | 679 |
| (4) Information that relates to the enforcement of the | 680 |
| declaration, bylaws, or rules of the unit owners association | 681 |
| against unit owners; | 682 |
| (5) Information the disclosure of which is prohibited by | 683 |
| state or federal law. | 684 |
| Sec. 5311.15. (A) No manager or managing agent of a | 685 |
| condominium development containing more than ten units shall | 686 |
| manage or be hired by a unit owners association pursuant to | 687 |
| sections 5311.08 and 5311.081 of the Revised Code unless the | 688 |
| manager or managing agent holds an active real estate broker's | 689 |
| license or real estate salesperson's license issued under Chapter | 690 |
| 4735. of the Revised Code. | 691 |
| (B) A real estate salesperson may not perform the duties of a | 692 |
| manager or managing agent pursuant to division (A) of this section | 693 |
| unless the salesperson is affiliated with a broker who has | 694 |
| executed a management agreement with the unit owner's association. | 695 |
| Sec. 5311.22. (A) Unless otherwise provided in the | 696 |
| declaration or bylaws, each unit owner may exercise that | 697 |
| percentage of the total voting power of all unit owners on any | 698 |
| question for which the vote of unit owners is permitted or | 699 |
| required that is equivalent to the undivided interest in the | 700 |
| common elements appurtenant to the owner's unit. | 701 |
| (B) Fiduciaries who are owners of record of a unit or units | 702 |
| may vote their respective interests as unit owners. Unless | 703 |
| otherwise provided in the declaration or bylaws, if two or more | 704 |
| persons, whether fiduciaries, tenants in common, or otherwise, own | 705 |
| undivided interests in a unit, each person may exercise the | 706 |
| proportion of the voting power of all of the owners of the unit | 707 |
| that is equivalent to the person's proportionate undivided | 708 |
| interest in the unit. | 709 |
| (C) A fiduciary for a unit owner or of the estate of a unit | 710 |
| owner may vote as though the fiduciary were the unit owner when | 711 |
| the fiduciary has furnished to the unit owners association proof, | 712 |
| satisfactory to it, of the fiduciary's appointment and | 713 |
| qualification as an executor under the last will of a deceased | 714 |
| unit owner, an administrator of the estate of a deceased unit | 715 |
| owner, a guardian, committee, or conservator of the estate of a | 716 |
| minor or incompetent who is a unit owner, a trustee in bankruptcy | 717 |
| of a unit owner, a statutory or judicial receiver or liquidator of | 718 |
| the estate or affairs of a unit owner, or an assignee for the | 719 |
| benefit of creditors of a unit owner. | 720 |
| (D) When any fiduciary or representative of a unit owner who | 721 |
| is not described in division (C) of this section has furnished the | 722 |
| unit owners association with satisfactory proof of authority, that | 723 |
| person may vote as though a unit owner. | 724 |
| (E) Unless otherwise provided in the declaration or bylaws, | 725 |
| votes allocated to a unit may be cast by a directed or undirected | 726 |
| proxy executed by a unit owner, provided that a person shall not | 727 |
| cast votes representing more than fifteen per cent of the votes in | 728 |
| the unit owners association pursuant to undirected proxies. | 729 |
| Sec. 5311.28. (A) There is hereby created the Ohio | 730 |
| condominium dispute resolution commission, consisting of the | 731 |
| following seven members, who shall be appointed by the governor, | 732 |
| with the advice and consent of the senate: | 733 |
| (1) Two members shall be unit owners and members of a unit | 734 |
| owners association, but not members of a unit owners association | 735 |
| board of directors. One of these members shall be from a small | 736 |
| association and one shall be from a large association. | 737 |
| (2) Two members shall be members of a unit association board | 738 |
| of directors. One of these members shall be from a small | 739 |
| association and one shall be from a large association. | 740 |
| (3) One member shall be a certified public accountant. | 741 |
| (4) One member shall be a real estate attorney. | 742 |
| (5) One member shall represent the public and be a | 743 |
| noncondominium property homeowner. | 744 |
| (B)(1) Within a reasonable time, the governor shall make | 745 |
| initial appointments to the commission. The initial members of the | 746 |
| commission shall serve staggered terms ending on the thirtieth day | 747 |
| of June one, two, three, four, or five years after appointment, as | 748 |
| determined by the governor. Thereafter, terms of office shall be | 749 |
| for five years, commencing on the first day of July and ending on | 750 |
| the thirtieth day of June. Each member shall hold office from the | 751 |
| date of appointment until the end of the term for which appointed. | 752 |
| No more than four members shall be members of any one political | 753 |
| party. No member of the Ohio condominium dispute resolution | 754 |
| commission shall serve concurrently as a member of the Ohio real | 755 |
| estate commission or the Ohio real estate appraiser board. Each | 756 |
| member, before entering upon the duties of office, shall subscribe | 757 |
| to and file with the secretary of state the constitutional oath of | 758 |
| office. The governor may remove any member for misconduct, neglect | 759 |
| of duty, incapacity, or malfeasance in accordance with section | 760 |
| 3.04 of the Revised Code. All vacancies that occur shall be filled | 761 |
| in the manner prescribed for the regular appointments to the Ohio | 762 |
| condominium dispute resolution commission. Any member appointed to | 763 |
| fill a vacancy occurring prior to the expiration of the term for | 764 |
| which the member's predecessor was appointed shall hold office for | 765 |
| the remainder of such term. Any member shall continue in office | 766 |
| subsequent to the expiration date of the member's term until the | 767 |
| member's successor takes office, or until a period of sixty days | 768 |
| has elapsed, whichever occurs first. No member shall hold office | 769 |
| for more than two consecutive full terms. | 770 |
| (2) Annually, upon the qualification of the member appointed | 771 |
| in such year, the Ohio condominium dispute resolution commission | 772 |
| shall organize by selecting from its members a chairperson and | 773 |
| vice-chairperson and shall do all things necessary and proper to | 774 |
| carry out and enforce this chapter. | 775 |
| The Ohio condominium dispute resolution commission may do all | 776 |
| of the following: | 777 |
| (a) Administer oaths; | 778 |
| (b) Issue subpoenas; | 779 |
| (c) Summon witnesses; | 780 |
| (d) Compel the production of books, papers, records, and | 781 |
| other forms of evidence; | 782 |
| (e) Fix the time and place for hearing any matter related to | 783 |
| compliance with sections 5311.08, 5311.081, 5311.083, 5311.09, and | 784 |
| 5311.091 of the Revised Code. | 785 |
| (3) The Ohio condominium dispute resolution commission shall | 786 |
| meet at least once each calendar quarter to conduct the business | 787 |
| of the commission. | 788 |
| (4) A majority of the members of the commission shall | 789 |
| constitute a quorum. | 790 |
| (5) Members of the Ohio condominium dispute resolution | 791 |
| commission shall receive no compensation but shall be reimbursed | 792 |
| for their actual and necessary expenses incurred in the discharge | 793 |
| of their duties. | 794 |
| (C) The division of real estate and professional licensing in | 795 |
| the department of commerce shall provide the Ohio condominium | 796 |
| dispute resolution commission with meeting space, staff services, | 797 |
| and other technical assistance required by the commission in | 798 |
| carrying out its duties pursuant to sections 5311.29 to 5311.33 of | 799 |
| the Revised Code. | 800 |
| (D) As used in this section: | 801 |
| (1) "Small association" means a condominium development with | 802 |
| fifty units or less; | 803 |
| (2) "Large association" means a condominium development with | 804 |
| more than fifty units. | 805 |
| Sec. 5311.29. The Ohio condominium dispute resolution | 806 |
| commission or the superintendent of real estate and professional | 807 |
| licensing may compel, by order or subpoena, the production of any | 808 |
| book, paper, or document in relation to any matter over which the | 809 |
| commission or superintendent has jurisdiction and which is the | 810 |
| subject of inquiry and investigation by the commission or | 811 |
| superintendent. The commission or the superintendent also may | 812 |
| compel, by order or subpoena, the attendance of witnesses to | 813 |
| testify in a hearing held pursuant to section 5311.32 of the | 814 |
| Revised Code. For those purposes, the commission or superintendent | 815 |
| shall have the same power as judges of courts of common pleas to | 816 |
| administer oaths, compel the attendance of witnesses, and compel | 817 |
| the production of any book, paper, or document. Service of the | 818 |
| subpoena may be made by sheriffs or constables, or by certified | 819 |
| mail, return receipt requested, and the subpoena shall be deemed | 820 |
| served on the date delivery is made or the date the person refused | 821 |
| to accept delivery. Witnesses shall receive, after their | 822 |
| appearance before the commission or superintendent, the fees and | 823 |
| mileage provided for under section 119.094 of the Revised Code. If | 824 |
| two or more witnesses travel together in the same vehicle, the | 825 |
| mileage fee shall be paid to only one of those witnesses, but the | 826 |
| witnesses may agree to divide the fee among themselves in any | 827 |
| manner. | 828 |
| In addition to the powers granted to the commission and | 829 |
| superintendent under this section, in case any person fails to | 830 |
| file any statement or report, obey any subpoena, give testimony, | 831 |
| answer questions, or produce any books, records, or papers as | 832 |
| required by the commission or superintendent under this chapter, | 833 |
| the court of common pleas of any county in the state, upon | 834 |
| application made to it by the commission or superintendent setting | 835 |
| forth such failure, may make an order awarding process of subpoena | 836 |
| or subpoena duces tecum for the person to appear and testify | 837 |
| before the commission or superintendent, and may order any person | 838 |
| to give testimony and answer questions, and to produce books, | 839 |
| records, or papers, as required by the commission or | 840 |
| superintendent. Upon the filing of such order in the office of the | 841 |
| clerk of the court of common pleas, the clerk, under the seal of | 842 |
| the court, shall issue process of subpoena for the person to | 843 |
| appear before the commission or superintendent at a time and place | 844 |
| named in the subpoena, and each day thereafter until the | 845 |
| examination of such person is completed. The subpoena may contain | 846 |
| a direction that the witness bring with the witness to the | 847 |
| examination any books, records, or papers mentioned in the | 848 |
| subpoena. The clerk shall also issue, under the seal of the court, | 849 |
| such other orders, in reference to the examination, appearance, | 850 |
| and production of books, records, or papers, as the court directs. | 851 |
| If any person so summoned by subpoena fails to obey the subpoena, | 852 |
| to give testimony, to answer questions as required, or to obey an | 853 |
| order of the court, the court, on motion supported by proof, may | 854 |
| order an attachment for contempt to be issued against the person | 855 |
| charged with disobedience of any order or injunction issued by the | 856 |
| court under this chapter. If the person is brought before the | 857 |
| court by virtue of the attachment, and if upon a hearing the | 858 |
| disobedience appears, the court may order the offender to be | 859 |
| committed and kept in close custody. | 860 |
| Sec. 5311.30. (A) The Ohio condominium dispute resolution | 861 |
| commission is a part of the department of commerce for | 862 |
| administrative purposes. The director of commerce is ex officio | 863 |
| the executive officer of the commission, or the director may | 864 |
| appoint the superintendent of real estate and professional | 865 |
| licensing to act as executive officer of the commission. | 866 |
| (B) The commission or the superintendent, except as otherwise | 867 |
| provided, shall do all of the following: | 868 |
| (1) Hear and investigate all of the following: | 869 |
| (a) General complaints and disputes between a unit owner and | 870 |
| a unit owners association or board of directors; | 871 |
| (b) Requests by a majority of unit owners in a unit owners | 872 |
| association or upon a motion of the board of directors of a unit | 873 |
| owners association to audit the elections of the unit owners | 874 |
| association; | 875 |
| (c) Disputes over access to records of a unit owners | 876 |
| association or board of directors. | 877 |
| (2) Establish and maintain an investigation and audit section | 878 |
| to investigate complaints and conduct inspections, audits, and | 879 |
| other inquiries as in the judgment of the commission or | 880 |
| superintendent are appropriate. The investigators or auditors have | 881 |
| the right to review and audit the records described in division | 882 |
| (A)(1) of section 5311.09 of the Revised Code during normal | 883 |
| business hours. | 884 |
| (C) The commission or superintendent may, in connection with | 885 |
| investigations and audits under division (B) of this section, | 886 |
| subpoena witnesses as provided in section 5311.29 of the Revised | 887 |
| Code. | 888 |
| (D) All information that is obtained by the commission, | 889 |
| superintendent, investigators, and auditors performing | 890 |
| investigations or conducting inspections, audits, and other | 891 |
| inquiries pursuant to division (B) of this section and all | 892 |
| reports, documents, and other work products that arise from that | 893 |
| information and that are prepared by the commission, | 894 |
| investigators, auditors, or other personnel of the department, | 895 |
| shall be held in confidence by the superintendent or commission, | 896 |
| the investigators and auditors, and other personnel of the | 897 |
| department. | 898 |
| Sec. 5311.31. The Ohio condominium dispute resolution | 899 |
| commission shall perform all of the following duties: | 900 |
| (A) Adopt, amend, and rescind such rules in accordance with | 901 |
| Chapter 119. of the Revised Code as are necessary in carrying out | 902 |
| sections 5311.29 to 5311.33 of the Revised Code, including rules | 903 |
| relative to the following: | 904 |
| (1) Transacting the commission's business and managing its | 905 |
| affairs; | 906 |
| (2) Establishing registration and renewal fees pursuant to | 907 |
| section 5311.083 of the Revised Code; | 908 |
| (3) Establishing procedures for receiving, reviewing, and | 909 |
| responding to complaints filed pursuant to section 5311.32 of the | 910 |
| Revised Code; | 911 |
| (4) Conducting investigations in response to complaints filed | 912 |
| pursuant to division (A) of section 5311.32 of the Revised Code; | 913 |
| (5) Auditing elections pursuant to division (B) of section | 914 |
| 5311.30 of the Revised Code or as part of an investigation in | 915 |
| response to complaints filed pursuant to division (A) of section | 916 |
| 5311.32 of the Revised Code; | 917 |
| (6) Conducting audits pursuant to division (B) of section | 918 |
| 5311.30 of the Revised Code; | 919 |
| (7) Resolving complaints by using informal techniques of | 920 |
| mediation, conciliation, and persuasion, including requiring the | 921 |
| parties involved in a complaint to be given prompt notice of any | 922 |
| offers to resolve disputes and responses thereto; | 923 |
| (8) Advising all parties making a complaint, or who are the | 924 |
| subject of a complaint, of any recommendations or findings of fact | 925 |
| made by the commission with respect to the complaint; | 926 |
| (9) Requesting the party who has filed a complaint or is the | 927 |
| subject of a complaint, and is affected by recommendations of the | 928 |
| commission made with respect to the complaint, to notify the | 929 |
| commission within a time specified by the commission of any action | 930 |
| the party has taken in response to the commission's | 931 |
| recommendations; | 932 |
| (10) Conducting nonpublic hearings and maintaining commission | 933 |
| proceedings and records as confidential, notwithstanding sections | 934 |
| 121.22 and 149.43 of the Revised Code when the commission | 935 |
| determines that the nature of the complaints merits that action; | 936 |
| (11) Determining the method to be used in serving notices as | 937 |
| required by section 5311.32 of the Revised Code. | 938 |
| (B) Publicize information concerning the existence and duties | 939 |
| of the commission and the procedure for filing complaints pursuant | 940 |
| to section 5311.32 of the Revised Code; | 941 |
| (C) Conduct hearings on complaints pursuant to section | 942 |
| 5311.32 of the Revised Code; | 943 |
| (D) Submit at least annually by the thirty-first day of March | 944 |
| a report on the commission's activities of the immediately | 945 |
| preceding calendar year to the governor and the majority and | 946 |
| minority leaders of the senate and house of representatives. The | 947 |
| report shall indicate the total number of complaints received, | 948 |
| initiated, and investigated under sections 5311.32 and 5311.33 of | 949 |
| the Revised Code; the total number of complaints for which | 950 |
| hearings were held; and the total number of referrals made to | 951 |
| prosecuting attorneys pursuant to section 5311.33 of the Revised | 952 |
| Code. | 953 |
| (E) Review, at least once each year, all actions taken by the | 954 |
| prosecuting attorneys in response to referrals made to them by the | 955 |
| commission or the superintendent of real estate and professional | 956 |
| licensing. The commission shall include in the report required in | 957 |
| division (D) of this section information regarding the nature of | 958 |
| the inappropriate conduct alleged in each referral and the status | 959 |
| or disposition made of each referral occurring during the | 960 |
| preceding two years. | 961 |
| (F) Perform all functions as are necessary in administering | 962 |
| and enforcing sections 5311.29 to 5311.33 of the Revised Code. | 963 |
| Sec. 5311.32. (A) Any person may file a complaint regarding | 964 |
| the activity, practice, policy, or procedure of, or regarding an | 965 |
| alleged violation of section 5311.08, 5311.081, 5311.09, or | 966 |
| 5311.091 of the Revised Code by, any board of directors of a unit | 967 |
| owners association registered pursuant to section 5311.083 of the | 968 |
| Revised Code that adversely affects or may adversely affect the | 969 |
| interest of a unit owner. All complaints shall be in writing and | 970 |
| submitted to the division of real estate and professional | 971 |
| licensing in the department of commerce on forms provided by the | 972 |
| division. | 973 |
| (B) With respect to complaints filed pursuant to division (A) | 974 |
| of this section, the division shall do all of the following: | 975 |
| (1) Acknowledge receipt of the complaint by sending written | 976 |
| notice to the person who filed the complaint not more than twenty | 977 |
| days after receipt of the complaint; | 978 |
| (2) Send written notice of the complaint within seven days | 979 |
| after receipt of the complaint to the entity that is the subject | 980 |
| of the complaint; | 981 |
| (3) Before taking further action, allow the entity that is | 982 |
| the subject of a complaint thirty days after the date the division | 983 |
| sends notice of the complaint to respond to the division with | 984 |
| respect to the complaint. | 985 |
| (C) The Ohio condominium dispute resolution commission shall | 986 |
| hear each complaint filed pursuant to division (A) of this section | 987 |
| within one hundred eighty days after its filing, unless it has | 988 |
| been resolved by the parties to the complaint. | 989 |
| Sec. 5311.33. (A) The superintendent of real estate and | 990 |
| professional licensing or the Ohio condominium dispute resolution | 991 |
| commission, on the superintendent's or the commission's own motion | 992 |
| or as a result of a complaint received pursuant to section 5311.32 | 993 |
| of the Revised Code and with good cause shown, shall investigate | 994 |
| or cause to be investigated alleged violations of sections | 995 |
| 5311.08, 5311.081, 5311.09, and 5311.091 of the Revised Code. If | 996 |
| the commission or the superintendent of real estate and | 997 |
| professional licensing believes that a violation has occurred, the | 998 |
| commission or superintendent shall do all of the following: | 999 |
| (1) Request the prosecuting attorney of the county in which | 1000 |
| the alleged violation occurred to initiate such proceedings as are | 1001 |
| appropriate; | 1002 |
| (2) In accordance with section 5311.30 of the Revised Code, | 1003 |
| audit the records of the condominium association named in the | 1004 |
| complaint to ensure compliance with this chapter. | 1005 |
| (B) The commission or superintendent, at any time, may | 1006 |
| dismiss a complaint if the commission or superintendent determines | 1007 |
| there is not good cause shown for the complaint. If the commission | 1008 |
| or superintendent dismisses a complaint, the commission or | 1009 |
| superintendent shall notify the person who filed the complaint | 1010 |
| within twenty days of reaching the commission's or | 1011 |
| superintendent's decision and identify the reason why the | 1012 |
| complaint was dismissed. | 1013 |
| (C) When necessary for the division of real estate and | 1014 |
| professional licensing in the department of commerce to perform | 1015 |
| the duties required by sections 5311.32 and 5311.33 of the Revised | 1016 |
| Code, the superintendent may issue subpoenas and compel the | 1017 |
| production of books, papers, records, and other forms of evidence. | 1018 |
| Sec. 5311.99. (A) Whoever violates section 5311.083 of the | 1019 |
| Revised Code is guilty of a misdemeanor of the third degree. | 1020 |
| (B) Whoever violates section 5311.08, 5311.09, or 5311.091 of | 1021 |
| the Revised Code is guilty of a misdemeanor of the first degree. | 1022 |
| (C) Whoever violates section 5311.081 of the Revised Code is | 1023 |
| guilty of a felony of the fifth degree, and, notwithstanding | 1024 |
| section 2929.18 of the Revised Code, the court may impose upon the | 1025 |
| offender an additional fine of not more than two thousand five | 1026 |
| hundred dollars. | 1027 |
| Section 2. That existing sections 5311.01, 5311.08, | 1028 |
| 5311.081, 5211.09, 5311.091, and 5311.22 of the Revised Code are | 1029 |
| hereby repealed. | 1030 |
| Section 3. Sections 5311.082, 5311.083, and 5311.15 of the | 1031 |
| Revised Code, as enacted by this act, shall take effect one | 1032 |
| hundred twenty days after the effective date of this act. During | 1033 |
| that period, the Superintendent of Real Estate and Professional | 1034 |
| Licensing shall collect and process applications for unit owners | 1035 |
| association registration and shall issue certificates of | 1036 |
| registration. During that time, no association is required to have | 1037 |
| a certificate of registration. | 1038 |