HOUSE FILE 350

BY  WATTS

A BILL FOR

An Act relating to the rights of members of a residential cooperative, owners of a condominium, or owners of certain other residential property. 
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

   Section 1.  NEW SECTION.  335.26  Display of American flag or campaign signs.
   A regulation or restriction pertaining to the use of residential property that prohibits the display of the American flag or the display of a political sign within six weeks of the day of an election, is void as against the public policy of this state and shall not be given legal or equitable effect.
   Sec. 2.  Section 499A.2A, Code 2011, is amended to read as follows:
   499A.2A  Bylaws.
   1.  The initial bylaws of the cooperative shall be adopted by the cooperative’s board of directors. Prior to the admission of members to the cooperative, the power to alter, amend, or repeal the bylaws or adopt new bylaws is vested in the board of directors. Following the admission of members to the cooperative, the power to alter, amend, or repeal the bylaws or adopt new bylaws is vested in the members in accordance with the method set forth in the bylaws.
   2.  The bylaws may contain any provisions for the regulation and management of the affairs of the cooperative not inconsistent with law or the articles of incorporation. However, the bylaws must provide for:
   1.  a.  The number of members of the board of directors and the term of the members.
   2.  b.  The election of a president, vice president, treasurer, and secretary by the board of directors.
   3.  c.  The qualifications, powers and duties, terms of office, and manner of electing and removing board members and officers and filling vacancies of such members.
   4.  d.  The method of amending the bylaws.
   3.  The bylaws shall not prohibit or restrict a member from:
   a.  Displaying the flag of the United States on residential property in which the member has a separate ownership interest or a right to exclusive possession or use.
   b.  Displaying political signs for six weeks prior to the day of an election.
   Sec. 3.  Section 499B.15, Code 2011, is amended to read as follows:
   499B.15  Contents of bylaws.
   1.  The bylaws must provide for at least the following:
   1.  a.  The form of administration, indicating whether this shall be in charge of an administrator or of a board of administration, or otherwise, and specifying the powers, manner of removal, and, where proper, the compensation thereof.
   2.  b.  If the form of administration is a board of administration, board meetings must be open to all apartment owners except for meetings between the board and its attorney with respect to proposed or pending litigation where the contents of the discussion would otherwise be governed by the attorney-client privilege. Notice of each board meeting must be mailed or delivered to each apartment owner at least seven days before the meeting. Minutes of meetings of the board of administration must be maintained in written form or in another form that can be converted into written form within a reasonable time. The official records of the board of administration must be open to inspection and available for photocopying at reasonable times and places. Any action taken by a board of administration at a meeting that is in violation of any of the provisions of this subsection is not valid or enforceable.
   3.  c.  Method of calling or summoning the co-owners to assemble; what percentage, if other than a majority of apartment owners, shall constitute a quorum; who is to preside over the meeting and who will keep the minute book wherein the resolutions shall be recorded.
   4.  d.  Maintenance, repair, and replacement of the common areas and facilities and payments therefor including the method of approving payment vouchers.
   5.  e.  Manner of collecting from the apartment owners their share of the common expenses.
   6.  f.  Designation and removal of personnel necessary for the maintenance, repair, and replacement of the common areas and facilities.
   7.  g.  The percentage of votes required to amend the bylaws.
   2.  The bylaws shall not prohibit or restrict an owner from:
   a.  Displaying the flag of the United States on residential property in which the owner has a separate ownership interest or a right to exclusive possession or use.
   b.  Displaying political signs for six weeks prior to the day of an election.
   Sec. 4.  NEW SECTION.  558B.1  Display of American flag or campaign signs.
   A restriction, reservation, condition, exception, or covenant in a subdivision plan, warranty deed, or other instrument of or pertaining to the transfer, sale, lease, or use of residential property that prohibits the display of the American flag or the display of a political sign within six weeks of the day of an election, is void as against the public policy of this state and shall not be given legal or equitable effect.
EXPLANATION
   This bill provides that a person whose residence is part of a cooperative or condominium, or whose residence is governed by a restrictive covenant or other restrictive conditions may display the American flag on that property under the person’s control. The person may also display political signs for six weeks prior to the day of an election.