Indiana Code Title 27. Insurance § 27-1-29.1-18
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Sec. 3. (a) A homeowners association shall prepare an annual budget.
(b) The annual budget must reflect:
(1) the estimated revenues and expenses for the budget year; and
(2) the estimated surplus or deficit as of the end of the current budget year.
(c) The homeowners association shall provide each member of the homeowners association with:
(A) copy of the proposed annual budget; or
(B) written notice that a copy of the proposed annual budget is available upon request at no charge to the member; and
(2) a written notice of the amount of any increase or decrease in a regular annual assessment paid by the members that would occur if the proposed annual budget is approved;
before the homeowners association meeting held under subsection (d).
(d) Subject to subsection (f), a homeowners association budget must be approved at a meeting of the homeowners association members by a majority of the members of the homeowners association in attendance at a meeting called and conducted in accordance with the requirements of the homeowners association's governing documents.
(e) For purposes of this section, a member of a homeowners association is considered to be in attendance at a meeting if the member attends:
(1) in person;
(2) by proxy; or
(3) by any other means allowed under:
(A) state law; or
(B) the governing documents of the homeowners association.
(f) If the number of members of the homeowners association in attendance at a meeting held under subsection (d) does not constitute a quorum as defined in the governing documents of the homeowners association, the board may adopt an annual budget for the homeowners association for the ensuing year in an amount that does not exceed one hundred percent (100%) of the amount of the last approved homeowners association annual budget. However, the board may adopt an annual budget for the homeowners association for the ensuing year in an amount that does not exceed one hundred ten percent (110%) of the amount of the last approved homeowners association annual budget if the governing documents of the homeowners association allow the board to adopt an annual budget under this subsection for the ensuing year in an amount that does not exceed one hundred ten percent (110%) of the amount of the last approved homeowners association annual budget.
(g) Subject to subsection (k):
(1) the financial records, including all contracts, invoices, bills, receipts, and bank records, of a homeowners association must be available for inspection by each member of the homeowners association upon written request; and
(2) the minutes of meetings of the homeowners association board, including the annual meeting, must be available to a member of the homeowners association for inspection upon the homeowners association member's request, which may be submitted:
(A) in person;
(B) in writing; or
(C) by electronic mail.
In addition to the right to inspect the meeting minutes of the homeowners association board, a member of a homeowners association has the right to attend any meeting of the homeowners association board, including an annual meeting of the board. However, the board of directors may meet in private to discuss delinquent assessments. The board of directors may also meet in private with legal counsel to discuss the initiation of litigation, or to discuss litigation that either is pending or has been threatened specifically in writing. As used in this subsection, “litigation” includes any judicial action or administrative law proceeding under state or federal law.
A written request for inspection must identify with reasonable particularity the information being requested. A member's ability to inspect records under this section shall not be unreasonably denied or conditioned upon provision of an appropriate purpose for the request. The homeowners association may charge a reasonable fee for the copying of a record requested under this subsection if the homeowners association member requests a written copy of the record.
(h) Subject to subsections (j) and (k), if there is a dispute between a homeowner and a homeowners association, the officers of the homeowners association must make all communications concerning the dispute available to the homeowner.
(i) Subject to subsections (j) and (k), the following apply:
(1) A homeowners association shall make all communications and information concerning a lot available to the owner of the lot or a home on the lot.
(2) If a homeowners association initiates communication with any member about another member's lot, the homeowners association must give a copy of that communication to the other member whose lot is the subject of the communication. However, this subdivision does not apply if the communication concerns suspected criminal activity, or activity that is the subject of a law enforcement investigation, involving the member whose lot is the subject of the communication.
(j) A homeowners association is not required to make:
(1) communications between the homeowners association and the legal counsel of the homeowners association; and
(2) other communications or attorney work product prepared in anticipation of litigation;
available to the owner of a lot or home.
(k) A homeowners association is not required to make available to a member for inspection any of the following:
(1) Unexecuted contracts.
(2) Records regarding contract negotiations.
(3) Information regarding an individual member's association account to a person who is not a named party on the account.
(4) Any information that is prohibited from release under state or federal law.
(5) Any records that were created more than two (2) years before the request.
(6) Information that:
(A) is provided by a member of the homeowners association about another member of the homeowners association; and
(B) concerns suspected criminal activity involving the other member.
Except as otherwise provided in this article (including subsection (j) and this subsection), other applicable law, or the governing documents of the homeowners association, a homeowners association is not required to retain a record of a written or electronic communication for any specific period of time. However, a homeowners association or a member of the board of a homeowners association shall retain for at least two (2) years after receipt, and during that period shall make available to a member of the homeowners association at the member's request, any written or electronic communication received by the homeowners association or board member that relates to a financial transaction of the homeowners association and that is not otherwise excepted from disclosure under this article or other applicable law.
(l) Nothing in this chapter:
(1) abrogates or eliminates provisions in homeowners association agreements that permit or require additional disclosure or inspection rights not required by this chapter; or
(2) prevents a homeowners association from agreeing to make disclosures or to provide inspection rights not required by this chapter.
(m) A homeowners association may not charge a fee for the first hour required to search for a record in response to a written request submitted under this chapter. A homeowners association may charge a search fee for any time that exceeds one (1) hour. The following provisions apply if a homeowners association charges a search fee:
(1) The homeowners association shall charge an hourly fee that does not exceed thirty-five dollars ($35) per hour.
(2) The homeowners association may charge the fee only for time that the person making the search actually spends in searching for the record.
(3) The homeowners association shall prorate the fee to reflect any search time of less than one (1) hour.
(4) The total amount of the fee charged by the homeowners association for a search may not exceed two hundred dollars ($200).
Cite this article: FindLaw.com - Indiana Code Title 27. Insurance § 27-1-29.1-18 - last updated June 08, 2021 | https://codes.findlaw.com/in/title-27-insurance/in-code-sect-27-1-29-1-18/
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