SB 1022 April 16, 2025 ACT TODAY

This was amended in House yesterday in Committee of the Whole. Both the House and Senate must still vote on it.

This Bill is not supported by SCOV.

This will happen in next 2-4 days. 

Contact your AZ Representative and Senator and House and Senate leadership to OPPOSE SB1022.

Rep. Kevin Volk  KVOLK@AZLEG.GOV

Rep. Rachel Keshel  RKESHEL@AZLEG.GOV

Speaker Steve Montenegro SMONTENEGRO@AZLEG.GOV

 

Sen. Vince Leach SLEACH@AZLEG.GOV

President Warren Petersen WPETERSEN@AZLEG.GOV

 

Summary of Legislative Update – SB1022 (as amended 4/15/22) BILL

The proposed amendment to SB1022 would prevent homeowners' associations (HOAs), including planned communities and condominiums, from filing legal actions in Justice or Small Claims Court. Instead, all such actions (including those related to assessments, fines, or liens) would have to be filed in Superior Court.

Potential Impact on SCOV

At first glance, this amendment might not seem to directly impact SCOV operations, but on closer inspection, it could have several notable effects:

  1. Increased Legal Costs for the Association and Homeowners
    If SCOV were to pursue collections or enforcement actions (e.g., unpaid assessments or fines), doing so in Superior Court would involve more formal legal procedures and higher filing and attorney fees. While the cost can be passed to the individual homeowner, it might create a higher financial burden for both the association and the affected residents.

  2. Stronger Legal Protections for Homeowners
    The shift to Superior Court may give homeowners more robust due process protections. They would have greater ability to defend themselves with legal representation in a more formal judicial setting, potentially leading to fairer outcomes in disputed cases.

  3. Administrative and Time Burden for SCOV
    Justice and Small Claims Courts typically offer simpler, faster resolutions for minor legal matters. Requiring cases to go through Superior Court could result in longer timelines and more administrative work for SCOV staff and board members.

  4. Reduced Legal Leverage in Minor Cases
    The higher threshold to bring a case in Superior Court could mean that SCOV might opt not to pursue smaller infractions or unpaid fees due to the cost and complexity, which could affect overall compliance.

Impact on Policy and Procedure
If this amendment becomes law, SCOV would likely need to update its enforcement procedures, legal contracts, and possibly governing documents to reflect the change in jurisdiction and legal process.