Arizona HOA Declaration Amendments and Design Review: A.R.S. 33-1817

What the law covers

Arizona law A.R.S. 33-1817 applies to amendments to a declaration except during the period of declarant control, or during that period with the declarant's written consent in each instance.

The declaration may be amended by the association, or by the owners if there is no association or board, through an affirmative vote or written consent of the number of owners or eligible voters specified in the declaration, including the assent of any individuals or entities specified in the declaration.

An amendment may apply to fewer than all lots or less than all property bound by the declaration if it receives the required vote or consent and the affirmative vote or written consent of all owners of the lots or property to which the amendment applies.

The law also covers design review committees, architectural committees, and similar committees in planned communities, including rules about security deposits for new construction or rebuilds of main residential structures.

The association's governing documents and later amendments may also apply.

Key requirements and limits

Amendment recording: Within thirty days after adoption of an amendment, the association or an authorized owner must prepare, execute, and record a written instrument setting forth the amendment.

Effectiveness: An amendment is effective immediately on recordation in the county where the property is located, notwithstanding any declaration provision for periodic renewal.

Committee chair: Membership on a design review committee, architectural committee, or similar committee must include at least one board member who serves as chairperson.

Security deposit trust account: The deposit is placed in a trust account. Trust account costs are shared equally between the association and the member. Interest earned becomes part of the deposit. If the project is abandoned, the board may determine the appropriate use of deposit monies.

Final approval meeting: The association or design review committee must hold a final design approval meeting, and the member or agent must have the opportunity to attend. Written acknowledgement must state that approved plans comply with rules and guidelines in effect at the time of approval and that refund requires completion according to approved plans.

On-site reviews: At least two formal on-site reviews must occur during construction, with the member or agent given the opportunity to attend both.

Approval standard: Approval of architectural designs, plans, and amendments shall not unreasonably be withheld.

No warranty: Approval of plans or construction is not a representation or warranty that they comply with governmental requirements or engineering, design, or safety standards.

Notice, hearing and deadlines

Within thirty days after adoption of an amendment, the written instrument must be prepared, executed, and recorded.

An amendment is effective immediately on recordation.

The member or member's agent must have the opportunity to attend the final design approval meeting.

The member or member's agent must be provided the opportunity to attend both on-site formal reviews.

Within five business days after the formal reviews, the association shall cause a written report to be provided specifying any deficiencies, violations, or unapproved variations.

Within thirty business days after the second formal review, the association shall provide a copy of the written report.

If the report specifies no deficiencies, violations, or unapproved variations, the association shall promptly release the deposit monies.

If the report identifies deficiencies, violations, or unapproved variations, the association may hold the deposit for one hundred eighty days or until receipt of a subsequent compliance report, whichever is less.

If a compliance report is received before the one hundred eightieth day, the association shall promptly release the deposit monies.

If a compliance report is not received within one hundred eighty days, the association shall release the deposit monies promptly from the trust account to the association.

Practical checklist for homeowners

• Read your governing documents to learn the vote or written consent needed to amend the declaration.
• Check whether any individuals or entities must assent to an amendment under your declaration.
• Keep copies of notices, approvals, and written reports related to construction projects.
• Confirm that any design review committee includes at least one board member serving as chairperson.
• Ask about security deposit trust account terms and equal cost sharing if you pay a deposit for construction.
• Attend final design approval meetings and on-site reviews when the opportunity is provided.
• Review written reports within five business days after formal reviews and within thirty business days after the second review.
• Check the official text for updates.