Running a homeowners association requires knowledge of the laws in your state. In Vermont, there are a handful of state laws that apply to such associations. Learn about these Vermont HOA laws here.
For Common Interest Communities
The Vermont Common Interest Ownership Act regulates the creation, powers, operation, and management of common interest communities established after January 1, 1999. This includes condominiums and planned communities such as homeowners associations.
Some of the provisions within this Act can also apply to common interest communities established prior to January 1, 1999. But, such provisions only apply to events and circumstances that take place after December 31, 2011.
You can find the Vermont Common Interest Ownership Act under Title 27A of the Vermont Statutes. It contains four articles, each one broken down further into sections.
Article 1: General Provisions
- Short title
- [Reserved.]
- Definitions
- Variation by agreement
- Separate titles and taxation
- Local ordinances, regulations, and building codes
- Eminent domain
- General principles of law applicable
- Construction against implicit repeal
- Uniformity of application and construction
- Severability
- Unconscionable agreement or term of contract
- Good faith
- Remedies to be liberally administered
- Adjustment of dollar amounts
- Relation to Electronic Signatures in Global and National Commerce Act
- New common interest communities
- [Reserved.]
- Exception for small projects and limited expense liability planned communities
- Preexisting common interest communities
- [Reserved.]
- Amendments to governing instruments
- Applicability to nonresidential and mixed-use common interest communities
- Out-of-state common interest communities
- Small condominiums; exception; access to mixed funding sources
- Other exempt real estate arrangements
- Covenants; cost-sharing agreements
Article 2: Creation, Alteration, And Termination Of Common Interest Communities
- Creation of common interest communities
- Unit boundaries
- Construction and validity of declaration and bylaws
- Description of units
- Contents of declaration for a common interest community
- Leasehold common interest communities
- Allocation of allocated interests
- Limited common elements
- Plats and plans
- Exercise of development rights
- Alterations of units
- Relocation of boundaries between adjoining units
- Subdivision of units
- Easement for encroachments
- Use for sales purposes
- Easement rights
- Amendment of declaration
- Termination of common interest community
- Rights of secured lenders
- Master associations
- Merger or consolidation of common interest communities
- Addition of unspecified real estate
- Master planned communities
- Termination following catastrophe
Article 3: Management Of The Common Interest Community
- Organization of unit owners’ association
- Powers of unit owners’ association
- Executive board members and officers
- Transfer of special declarant rights
- Termination of contracts and leases of declarant
- Bylaws
- Upkeep of common interest community
- Meetings
- Quorum
- Voting; proxies; ballots
- Tort and contract liability
- Conveyance or encumbrance of common elements
- Insurance
- Surplus funds
- Assessments for common expenses
- Lien for sums due association; enforcement
- Other liens
- Association records
- Association as trustee
- Rules
- Notice to unit owners
- Removal of officers and directors
- Adoption of budgets; special assessments
- Litigation involving declarant
Article 4: Protection Of Purchasers
- Waiver
- Liability for public offering statement requirements
- Public offering statement; general provisions
- Common interest communities subject to development rights
- Time shares
- Conversion buildings
- Common interest community securities
- [Reserved.]
- Resales of units
- Escrow of deposits
- Release of liens
- [Reserved.]
- Express warranties of quality
- Implied warranties of quality
- Exclusion or modification of implied warranties of quality
- Statute of limitations for warranties
- Effect of violations on rights of action
- Labeling of promotional material
- Declarant’s obligation to complete and restore
- Substantial completion of units
For Condominiums
The Vermont Condominium Ownership Act regulates the creation, operation, and management of condominium associations that explicitly opt to adhere to the provisions of this Act by recording a declaration in the county recorder’s office where the property is located.
You can find the Vermont Condominium Ownership Act under Title 27, Chapter 15 of the Vermont Statutes. It consists of three subchapters, each with its own set of sections.
Subchapter 1: Condominium Ownership
- Short title
- Definitions
- Application of chapter
- Status of the apartments or sites
- Ownership of apartments or sites
- Common areas and facilities
- Compliance with covenants, bylaws and administrative provisions
- Certain work prohibited
- Liens against apartments or sites; removal from lien; effect of part payment
- Common profits and expenses
- Contents of declaration
- Contents of deeds of apartments or sites
- Copy of the floor plans to be filed
- Blanket mortgages and other blanket liens affecting an apartment or site at time of first conveyance
- Recording
- Termination, dissolution
- Resubmission
- Bylaws
- Contents of bylaws
- Books of receipts and expenditures; availability for examination
- Waiver of use of common areas and facilities; abandonment of apartment or site
- Separate taxation
- Priority of lien
- Joint and several liability of grantor and grantee for unpaid common expenses
- Insurance
- Disposition of property; destruction or damage
- Actions
- Personal application
- Severability
Subchapter 2: Protection Of Tenants In Conversion Of Rental Units
- Definitions
- Applicability
- Conversion building; notice to tenants
- Exclusive right to purchase
- Comparable housing
- Relocation costs
- Waiver prohibited
- Circumvention of this subchapter
- Violations
Subchapter 3: Protection Of Tenants In Conversion Of Mobile Home Parks
- Definitions
- Conversion of mobile home parks permitted
- Notice of intent to convert a mobile home park
- Election period
- Notice of conversion
- Leaseholder conversion period
- Protection of purchasing leaseholders
- Protection of nonpurchasing leaseholders
- Protection of tenants
- Stabilization of lot rent
- Enforcement
- Waiver prohibited
- Circumvention of this subchapter
- Protection against harassment
- Violations
Vermont HOA Laws on Corporate Governance
The Vermont Nonprofit Corporation Act applies to non-profit corporations in the state. This Act regulates the corporate structure and procedure of condominiums and homeowners associations that establish themselves as non-profit corporations.
You can find the Vermont Nonprofit Corporation Act under Title 11B of the Vermont Statutes. It contains 16 chapters, namely:
- General Provisions
- Incorporation
- Purposes And Powers
- Name
- Office And Agent
- Members And Membership
- Members, Meetings And Voting
- Directors And Officers
- Amendment Of Articles Of Incorporation And Bylaws
- Merger
- Sale Of Assets
- Distributions
- Dissolution
- Foreign Corporations
- Records And Reports
- Applicability
Vermont HOA Laws on Records Inspection
Under the HOA laws of Vermont, homeowners associations must make association records available to owners for copying and inspection (Section 3-118). This includes minutes of meetings, detailed records of receipts and expenditures, membership lists, financial statements, and tax returns, among other things. But, an association may withhold certain documents such as medical records, personnel records, salary records, contracts under negotiation, litigation proceedings, minutes of meetings held in executive session, and the like.
Vermont HOA Laws on Fair Debt Collection
The Vermont Consumer Fraud Act protects consumers from unfair debt collection practices. It contains provisions similar to the federal Fair Debt Collection Practices Act, which considers homeowners as consumers and HOA dues as debts. The state-level Act regulates debt collection practices carried out by creditors, attorneys, or collection agencies.
Fair Housing
Like many states, Vermont has its own Fair Housing laws that protect citizens from housing discrimination. The Vermont Fair Housing and Public Accommodations Act prohibits discrimination based on race, color, national origin, sex, sexual orientation, gender identity, religious creed, disability, marital status, or age. It also protects persons with one or more minor children, persons who are the recipient of public assistance, or persons who are victims of sexual assault, abuse, or stalking.
The Act contains similar provisions as the federal Fair Housing Act and the Americans with Disabilities Act. Victims of housing discrimination can file a private lawsuit in state or federal court. They may also report the matter to the U.S. Department of Housing and Urban Development or the Vermont Human Rights Commission.
