STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Assemblywoman ANNETTE QUIJANO
District 20 (Union)
Co-Sponsored by:
Assemblywoman Reynolds-Jackson and Assemblyman Atkins
SYNOPSIS
Requires licensure of community management entity that contracts to conduct management services for planned real estate development association.
CURRENT VERSION OF TEXT
As reported by the Assembly Housing Committee with technical review.
An Act requiring the licensure of community management entities and supplementing P.L.1993, c.30 (C.45:22A-43 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. The Commissioner of Community Affairs shall establish a system for the licensure of a community management entity that intends to contract with the association of one or more planned real estate developments to perform management services for the development. The commissioner shall establish experiential prerequisites that a person or entity shall be required to meet prior to obtaining a license as a community management entity. Following the effective date of this section, an entity shall not enter a new contract to serve as the community management entity for an association in the State unless the entity has obtained a license from the commissioner pursuant to this section. If a person or entity is found to be in violation of this requirement, the commissioner shall impose a penalty on the person or entity in an amount not to exceed $4,000 per contract in violation.
b. As used in this section:
“Community management entity” means a person or entity who, for valuable consideration or the expectation thereof, performs management services for the association of a planned real estate development.
“Management services” means services or functions provided or performed on behalf of an association which include, but are not limited to:
(1) Acting with the authority of an association in its business, legal, financial, or other transactions;
(2) Executing the resolutions and decisions of the executive board of an association;
(3) Collecting or disbursing moneys, preparing budgets, or otherwise administering the finances or other property belonging to an association; or
(4) Arranging, conducting, or coordinating meetings; negotiating contracts or otherwise arranging for the purchase of goods or services on behalf of an association.
c. The commissioner shall adopt the regulations necessary to effectuate the provisions of this section pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) on or before the first day of the seventh month next following enactment of P.L. , c. (C. ) (pending before the Legislature as this bill).
2. This act shall take effect on the first day of the seventh month next following enactment.