NOTE:  This bill has been prepared for the signature of the appropriate legislative
officers and the Governor.  To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
      history, or the Session Laws.
      
      
      HOUSE BILL 11-1124
      
      
      BY REPRESENTATIVE(S) Williams A., Duran, Fields, Hullinghorst,
      Pace, Ryden, Todd;
      also SENATOR(S) Carroll.
      
      
      Concerning conflicts of interest of members of the executive
           board of a unit owners' association.
       
      
      Be it enacted by the General Assembly of the State of Colorado:
      
           SECTION 1.  32-1-804.3 (4), Colorado Revised Statutes, is
      amended to read:
      
           32-1-804.3.  Candidates for director - self-nomination and
      acceptance form.  (4)  The self-nomination and acceptance form or letter
      shall state must contain the name of the special district in which the
      election will be held, the special district director office sought by the
      candidate, the term of office sought if more than one length of a director's
      term is to be voted upon at the election, the date of the election, and the full
      name of the candidate as it is to appear on the ballot, and whether the
      candidate is a member of an executive board of a unit owners'
      association, as defined in section 38-33.3-103, C.R.S., located within
      the boundaries of the director district for which the candidate is
      running for office.  Unless physically unable, all candidates and
      witnesses shall sign their own signature and shall print their names, their
      respective residence addresses, including the street number and name, the
      city or town, the county, telephone number, and the date of signature on the
      self-nomination and acceptance form or letter.
      
           SECTION 2.  38-33.3-209.5 (1) (b) (II), Colorado Revised Statutes,
      is amended, and the said 38-33.3-209.5 is further amended BY THE
      ADDITION OF A NEW SUBSECTION, to read:
      
           38-33.3-209.5.  Responsible governance policies - due process for
      imposition of fines.  (1)  To promote responsible governance, associations
      shall:
      
           (b)  Adopt policies, procedures, and rules and regulations
      concerning:
      
           (II)  Handling of conflicts of interest involving board members,
      which policies, procedures, and rules and regulations must
      include, at a minimum, the criteria described in subsection (4) of
      this section;
      
           (4) (a)  The policies, procedures, and rules and regulations
      adopted by an association under subparagraph (II) of paragraph (b)
      of subsection (1) of this section must, at a minimum:
      
           (I)  Define or describe the circumstances under which a
      conflict of interest exists;
      
           (II)  Set forth procedures to follow when a conflict of
      interest exists, including how, and to whom, the conflict of
      interest must be disclosed and whether a board member must
      recuse himself or herself from discussing or voting on the issue;
      and
      
           (III)  Provide for the periodic review of the association's
      conflict of interest policies, procedures, and rules and
      regulations.
      
           (b)  The policies, procedures, or rules and regulations
      adopted under this subsection (4) must be in accordance with
      section 38-33.3-310.5.
      
           SECTION 3.  Safety clause.  The general assembly hereby finds,
      determines, and declares that this act is necessary for the immediate
      preservation of the public peace, health, and safety.
      
      
      
      
      
      ________________________________________________________
      Frank McNulty                      Brandon C. Shaffer
      SPEAKER OF THE HOUSE                     PRESIDENT OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
      
      
      ____________________________  ____________________________
      Marilyn Eddins                      Cindi L. Markwell
      CHIEF CLERK OF THE HOUSE                 SECRETARY OF
      OF REPRESENTATIVES                         THE SENATE
      
      
      
      
                  APPROVED________________________________________
      
      
      
      
      
                                    _________________________________________
                                    John W. Hickenlooper
                                    GOVERNOR OF THE STATE OF COLORADO