House File 594 - Introduced HOUSE FILE 594 BY COMMITTEE ON COMMERCE (SUCCESSOR TO HF 350) A BILL FOR An Act relating to the rights of members of a residential 1 cooperative, owners of a condominium, or owners of certain 2 other residential property. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1647HV (1) 84 jr/sc

H.F. 594 Section 1. NEW SECTION . 335.26 Display of American flag 1 or campaign signs. 2 A regulation or restriction pertaining to the use of 3 residential property that prohibits the display of the American 4 flag or the display of a political sign within six weeks of the 5 day of an election, is void as against the public policy of 6 this state and shall not be given legal or equitable effect. 7 Sec. 2. Section 499A.2A, Code 2011, is amended to read as 8 follows: 9 499A.2A Bylaws. 10 1. The initial bylaws of the cooperative shall be adopted by 11 the cooperative’s board of directors. Prior to the admission 12 of members to the cooperative, the power to alter, amend, or 13 repeal the bylaws or adopt new bylaws is vested in the board 14 of directors. Following the admission of members to the 15 cooperative, the power to alter, amend, or repeal the bylaws or 16 adopt new bylaws is vested in the members in accordance with 17 the method set forth in the bylaws. 18 2. The bylaws may contain any provisions for the 19 regulation and management of the affairs of the cooperative 20 not inconsistent with law or the articles of incorporation. 21 However, the bylaws must provide for: 22 1. a. The number of members of the board of directors and 23 the term of the members. 24 2. b. The election of a president, vice president, 25 treasurer, and secretary by the board of directors. 26 3. c. The qualifications, powers and duties, terms of 27 office, and manner of electing and removing board members and 28 officers and filling vacancies of such members. 29 4. d. The method of amending the bylaws. 30 3. The bylaws shall not prohibit or restrict a member from: 31 a. Displaying the flag of the United States on residential 32 property in which the member has a separate ownership interest 33 or a right to exclusive possession or use. 34 b. Displaying political signs for six weeks prior to the day 35 -1- LSB 1647HV (1) 84 jr/sc 1/ 3

H.F. 594 of an election. 1 Sec. 3. Section 499B.15, Code 2011, is amended to read as 2 follows: 3 499B.15 Contents of bylaws. 4 1. The bylaws must provide for at least the following: 5 1. a. The form of administration, indicating whether 6 this shall be in charge of an administrator or of a board of 7 administration, or otherwise, and specifying the powers, manner 8 of removal, and, where proper, the compensation thereof. 9 2. b. If the form of administration is a board of 10 administration, board meetings must be open to all apartment 11 owners except for meetings between the board and its attorney 12 with respect to proposed or pending litigation where the 13 contents of the discussion would otherwise be governed by 14 the attorney-client privilege. Notice of each board meeting 15 must be mailed or delivered to each apartment owner at least 16 seven days before the meeting. Minutes of meetings of the 17 board of administration must be maintained in written form 18 or in another form that can be converted into written form 19 within a reasonable time. The official records of the board 20 of administration must be open to inspection and available for 21 photocopying at reasonable times and places. Any action taken 22 by a board of administration at a meeting that is in violation 23 of any of the provisions of this subsection is not valid or 24 enforceable. 25 3. c. Method of calling or summoning the co-owners 26 to assemble; what percentage, if other than a majority of 27 apartment owners, shall constitute a quorum; who is to preside 28 over the meeting and who will keep the minute book wherein the 29 resolutions shall be recorded. 30 4. d. Maintenance, repair , and replacement of the common 31 areas and facilities and payments therefor including the method 32 of approving payment vouchers. 33 5. e. Manner of collecting from the apartment owners their 34 share of the common expenses. 35 -2- LSB 1647HV (1) 84 jr/sc 2/ 3

H.F. 594 6. f. Designation and removal of personnel necessary for 1 the maintenance, repair , and replacement of the common areas 2 and facilities. 3 7. g. The percentage of votes required to amend the bylaws. 4 2. The bylaws shall not prohibit or restrict an owner from: 5 a. Displaying the flag of the United States on residential 6 property in which the owner has a separate ownership interest 7 or a right to exclusive possession or use. 8 b. Displaying political signs for six weeks prior to the day 9 of an election. 10 Sec. 4. NEW SECTION . 558B.1 Display of American flag or 11 campaign signs. 12 A restriction, reservation, condition, exception, or 13 covenant in a subdivision plan, warranty deed, or other 14 instrument of or pertaining to the transfer, sale, lease, or 15 use of residential property that prohibits the display of the 16 American flag or the display of a political sign within six 17 weeks of the day of an election, is void as against the public 18 policy of this state and shall not be given legal or equitable 19 effect. 20 EXPLANATION 21 This bill provides that a person whose residence is part of 22 a cooperative or condominium, or whose residence is governed 23 by a restrictive covenant or other restrictive conditions may 24 display the American flag on that property under the person’s 25 control. The person may also display political signs for six 26 weeks prior to the day of an election. 27 -3- LSB 1647HV (1) 84 jr/sc 3/ 3