MANDATORY WATER REDUCTION

MANDATORY WATER REDUCTION

This week Governor Brown imposed unprecedented mandatory water restrictions. To address the worsening drought, he ordered a 25% reduction in water usage throughout the state. Because of growing scarcity, water rates will likely spike which will adversely affect association budgets. That means boards need to look for ways to save water.

Master Metered HOAs. This is particularly difficult for master metered developments since they have no control over water usage by members inside their units. Boards can, however, hire a plumber at HOA expense to inspect all units in the complex for water leaks, for high water usage toilets, and to install water savers on showers and faucets. If presented properly to the membership, everyone should cooperate.

Some of my clients have already implemented inspection programs and made a complete list of leaky faucets, valves, supply lines, drains, toilets, shower heads, etc. throughout the development. The list also includes units that need water saving devices. Arrangements can then be made to make repairs, change toilets and install water-saving devices at a discounted rate to owners if they agree to the repairs.

For those who refuse, boards can hold hearings, impose fines, and send lawyer letters to persuade the recalcitrant to cooperate.
Common Areas. For PUDs and condominium associations alike, landscaping is an obvious source of savings. It can be addressed in a variety of ways such as (i) installing drought resistant plant materials, (ii) installing artificial turf where appropriate, and (iii) replacing old irrigation systems with "smart" systems to reduce water usage.

RECOMMENDATION: Boards should meet with plumbers, legal counsel and management to set up an inspection/repair program for all plumbing in the development along with retrofitting with low-water devices.Boards should also meet with landscapers for ideas on how best to reduce water usage. 

ABANDONED PERSONAL PROPERTY

QUESTION: We foreclosed on an owner but he left behind personal property. During the 90-day redemption period can he get his property or would it be considered trespassing? If he doesn't retrieve his belongings, when and how can they be removed? 

90-Day Hold. When real property is sold subject to a right of redemption (Civ. Code §5715(b)), the association's right to possession is deferred until the redemption period has expired and after its title has perfected. (First Nat. Trust & Sav. Bank of San Diego v. Staley, (1933) 219 Cal. 225, 227; Code Civ.Proc. §1161a (b)(2) & (3).) 

Accordingly an association has no right to either evict an owner or the owner’s tenant, or to enter the property to remove personal property until after the 90-day redemption period expires. Once the redemption period ends and title transfers, the association can dispose of personal property using legally proscribed methods.

Abandoned Personal Property. Personal property abandoned on residential premises can be removed as provided for in Civil Code, §§1951.3 and 1980 through 1991. The process requires notice to the former owner (or tenant) of his right to reclaim the abandoned property. The association must allow for recovery within 15 to 18 days of the notice (depending on how notice is given) and indicate that it may be disposed of by public auction thereafter.

The property must be left in the vacated premises or stored elsewhere during the reclamation period. After that period has passed, if the property is believed to be worth less than $700, it may be disposed of as the association sees fit. If it is worth $700 or more, it must be sold at public auction. The proceeds, after all costs are deducted, go to the county which allows the owner to claim the excess within a year.

"Lost Property." The law makes a distinction between property which is “abandoned” and that which is “lost.” Abandonment requires intent to leave the property behind. (Civ. Code §2080.7.) Without intent to abandon, the property is deemed lost and the association would follow procedures in Civil Code §2080 through 2080.10 which involve informing the owner, if known, and, if the owner is unknown and the property unclaimed, turning it over to the police or sheriff. If the police/sheriff will not accept the property, the association can follow the procedures for abandoned property described above.

Commercial Premises. Disposal of personal property from commercial premises follows procedures beginning in Civil Code §1993.

RECOMMENDATION: Because the law has specific and sometimes complicated requirements, always consult an attorney to be sure proper notices are given and procedures followed.