Michigan CAI LAC Committee Update
2025 3rd Quarter Update
Below is a brief summary of major bills the LAC is monitoring and the LAC’s legislative goals for 2025, along with a description of recent LAC advocacy events and fundraising efforts:
Marketable Record Title Act (MRTA) – HB 4524:
Community associations have until September 29, 2025, to preserve their recorded restrictions by recording a notice of claim. Thanks to the LAC’s lobbying efforts, HB 4524 has been introduced in the Michigan House Judiciary Committee and received a positive response. The bill will clarify that (1) MRTA does not apply to condominiums organized under the Michigan Condominium Act, and (2) MRTA does not apply to HOAs created after January 1, 1950. These exemptions cover most condominiums and HOAs in Michigan. The bill is still being considered in the House, and we are hopeful that the Legislature will pass it before the September 29, 2025, deadline.
Reserve Study Bill:
The LAC is looking for a sponsor to reintroduce this important legislation. The draft proposes an amendment to Section 105 of the Condominium Act, MCL 559.205, to require most condominium associations to conduct a reserve study every five years and to set minimum standards for these studies. This bill ensures that condominium associations and their boards have the tools to make informed decisions about their reserve funds. Without these studies, many condominium associations may face significant repair costs for things like roofs or roads, which could have been avoided with proper long-term financial planning.
Homeowners Energy Policy Act Repeal Bill – HB 4363:
The LAC opposed the Homeowners Energy Policy Act (HEPA) because it limited community association self-governance and left many questions unanswered about owners’ ability to install energy-saving improvements without approval. The LAC supports a full repeal as proposed by HB 4363. If a full repeal is not possible, the LAC will continue to advocate for improvements to HEPA to better reflect the realities of community association living.
Dollar A Door Campaign – ATTENTION PROPERTY MANAGERS!
When preparing annual budgets, have your Board’s include a dollar per Unit for the LAC’s dollar a door campaign! This simple step ensures the LAC has the funds to continue its important lobbying efforts to advance the interests of community associations and their owners.
Submitted by Todd Skowronski, Esq., LAC Co-Chair