In Nebraska, certain planned communities are governed by a homeowners association (HOA). Their powers and responsibilities vary based on the property type and governing documents.
Who Regulates HOAs in Nebraska?
In Nebraska, HOAs are regulated by a specific statute governing HOAs. Most HOAs are registered as nonprofit corporations that are governed by the Nebraska Nonprofit Corporation Act found in Chapter 21 of the Nebraska Statutes. This act governs all nonprofit corporations in the state of Nebraska.
HOAs traditionally have documents that regulate themselves. Every HOA is different, however, the governing documents typically include: Articles of Incorporation, Bylaws, Declaration of Covenants, Conditions and Restriction, and other rules.
HOAs in Nebraska may be subject to applicable federal laws such as:
HOAs may be subject to certain state laws such as:
How to Find HOA Regulations in Nebraska
HOA governing documents are not public records in Nebraska and are kept with the HOA. The only exception is if the HOA seeks a certain tax exemption which requires filing the bylaws with the IRS.
Documents filed with the Nebraska Secretary of State can be accessed online by conducting a Business Search. Viewing any document can be completed by paying a fee after searching for the name of the business.
HOA Powers in Nebraska
In Nebraska, HOAs have the power to:
- Regulate common areas
- Foreclose on a home for unpaid liens
- Collect payments for common assessments
- Levy reasonable fines
Also, HOA governing documents can grant more powers such as restrictions on exterior paint colors, fencing, membership, and parking requirements.
Can an HOA Impose Fines on a Homeowner in Nebraska?
In Nebraska, HOAs can impose fines on a homeowner for late payment of assessments and violation of its rules. Before imposing fines, HOAs must provide homeowners a proper notice of the fine and an opportunity to be heard. Notice and hearing requirements are determined by the HOA’s governing documents.
An HOA cannot fine a homeowner for (or generally prohibit) any of the following:
- Installing solar energy devices
- Installing satellite dishes and antennas
- Displaying the American flag as long as it is consistent with federal law
Reasonable rules and regulations about the placement, manner, and display of the American flag, solar panels, and satellite dishes and antennas may be included in the HOAs governing documents.
Can an HOA Take a Homeowner’s House in Nebraska?
An HOA in Nebraska can foreclose on a home within its community. HOAs have the power to place a lien on a property when the owner neglects to pay their dues. If a lien goes unresolved, the HOA can foreclose on the house.
There are two ways an HOA can foreclose on a home:
- Judicial Foreclosure. The HOA files a lawsuit against the homeowner to obtain a court order granting permission to sell the home and settle the HOA lien.
- Nonjudicial Foreclosure. The HOA would not go through state court but simply follow specific procedures listed in their governing documents.
There is no state statute on if an HOA can evict a homeowner or tenant. If an HOA directly leases a residence to a tenant, they may be able to evict the tenant.
For example, an HOA may be able to evict a tenant if the lease was not properly authorized by the HOA. In addition, the HOA may have other powers or restrictions regarding rental properties in its governing documents.
Can an HOA Enter a Homeowner’s Property in Nebraska?
HOAs in Nebraska can enter a homeowner’s house as reasonably necessary to maintain the units, common elements, or shared utilities.
Units are solely used by the property owners but have certain spaces that require maintenance by the HOA, such as balconies. Common elements are the shared spaces in and around the house that are collectively owned by the HOA, such as a pool. Shared utilities may include water or sewage that are provided directly through the HOA.
Before entering a property, except in the case of an emergency, an HOA should give prior notice to the homeowner. Typically, an HOA will give 1-2 weeks’ notice, but notice requirements are determined by the governing documents.
Where Do Homeowners File Complaints Against Their HOA in Nebraska?
The appropriate agency to file a complaint against an HOA depends on the type of complaint.
If a homeowner feels they are a victim of housing discrimination, they can file a complaint with the Nebraska Equal Opportunity Commission, the U.S. Department of Urban Housing, or file a private lawsuit in Nebraska state or federal court.
For complaints concerning HOA fees, a homeowner can file a complaint with the Nebraska Real Estate Commission, the Federal Trade Commission, or the Consumer Financial Protection Bureau. Under the Fair Debt Collection Practices Act, homeowners may also file in state or federal court within one year of the violation date.
A homeowner can bring all other complaints to state court in the appropriate jurisdiction by filing a claim.
Joining and Leaving an HOA in Nebraska
In Nebraska, no state provision governs joining or leaving an HOA. These processes are outlined in the HOA’s governing documents. Documents explaining the HOA and its membership rules should be presented at the closing for a new owner’s home purchase.
Typically, there are two types of HOAs that regulate joining and leaving clauses:
- Mandatory HOAs. When a person buys a home, they automatically become a member required to abide by any HOA rules listed in the governing documents. This usually includes that a homeowner is not able to leave the HOA freely.
- Voluntary HOAs. When a person buys a home, membership is a choice for each homeowner. If they choose to become a member, they may leave at any time by stopping their payments with the HOA.
To leave a mandatory HOA, a homeowner can sell their house or try to petition the court to have their home removed. However, there is no guarantee the petition will be granted.
How to Dissolve an HOA in Nebraska
The process for dissolution of an HOA in Nebraska may be set forth in the HOA’s governing documents. If it is not, dissolution is authorized if it is approved by all three requirements:
- The board
- HOA members by ⅔ or majority vote
- Each person whose approval is required by the governing documents for dissolution must approve the plan in writing
HOAs must give notice to members before voting with a copy of the plan for dissolution. The plan for dissolution is used for distributing assets and debts of the HOA.
An Articles of Dissolution must be filed by the HOA with the Nebraska Secretary of State. Once filed, the HOA is considered fully dissolved.
Sources
- 1 Nebraska Nonprofit Bylaws
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Are nonprofit bylaws public record?
Whether your Nebraska nonprofit bylaws become public or remain private depends on your organization. Technically, you could keep your bylaws off the public record because you aren’t required to submit them to the state as part of the incorporation process. However, your bylaws will automatically become public if you seek 501(c)(3) tax-exempt status. The IRS requires all 501(c)(3) applicants to attach copies of their bylaws to their applications, and all of these applications are made public. Your nonprofit may also decide to publish your bylaws to foster a sense of accountability with your donors and community.
Source Link - 2 Neb. Rev. Stat. § 18-3104 (2015)
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(i) To maintain the common area as required by the municipality’s conditions of approval for the plat or subdivision of real property; (ii) To maintain the common area or private improvements located outside of the common area on the real property in the plat or subdivision in accordance with all terms and conditions of any agreement with the municipality… (5)(a) A lien created under subsection (4) of this section shall be effective from the time the district court awards the compensation or reimbursement of costs and a notice containing the dollar amount of the lien is recorded in the office where mortgages or deeds of trust are recorded. The lien may be foreclosed in like manner as a mortgage on real estate but the municipality shall give reasonable notice of its action to all other lienholders whose interest would be affected.
Source Link - 3 Neb. Rev. Stat. § 52-2001 (2013)
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(1) A homeowners’ association has a lien on a member’s real estate for any assessment levied against real estate from the time the assessment becomes due and a notice containing the dollar amount of such lien is recorded in the office where mortgages or deeds of trust are recorded. The homeowners’ association’s lien may be foreclosed in like manner as a mortgage on real estate but the homeowners’ association shall give reasonable notice of its action to all lienholders of real estate whose interest would be affected. Unless the homeowners’ association declaration or agreement otherwise provides, fees, charges, late charges, and interest charged are enforceable as assessments under this section. If an assessment is payable in installments, the full amount of the assessment may be a lien from the time the first installment thereof becomes due.
Source Link - 4 Neb. Rev. Stat. § 66-901 (2012)
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As the use of solar energy and wind energy devices increases, the possibility of future shading and obstruction of such devices by structures or vegetation will also increase. The Legislature therefore declares that the purpose of sections 66-901 to 66-914 is to promote the public health, safety, and welfare by protecting access to solar energy and wind energy as provided in sections 66-901 to 66-914.
Source Link - 5 Over-the-Air Reception Devices Rule (OTARD Rule)
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Enforceable placement preferences must be clearly articulated in writing and made available to all residents of the community in question. A requirement that an antenna be located where reception or transmission would be impossible or substantially degraded is prohibited by the rule… A valid enforceable placement preference should not contain prohibited provisions such as prior approval or require professional installation… when an antenna is professionally installed, the installer often determines the location of the antenna at the time of installation based upon the type of antenna installed and the ability of the antenna to receive an acceptable quality signal.
Source Link - 6 4 U.S.C. § 5
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A condominium association, cooperative association, or residential real estate management association may not adopt or enforce any policy, or enter into any agreement, that would restrict or prevent a member of the association from displaying the flag of the United States on residential property within the association with respect to which such member has a separate ownership interest or a right to exclusive possession or use.
Source Link - 7 HOA Liens and Foreclosures: An Overview
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Once a homeowner becomes delinquent on the assessments, an HOA lien will usually automatically attach to that homeowner’s property. The lien typically attaches as of the date the assessments became due. But it could attach as of the date the CC&Rs were recorded or when the HOA recorded a notice of lien in the land records… If an HOA has a lien on a homeowner’s property, it may foreclose even if the home has a mortgage, as permitted by the CC&Rs and state law. The HOA can foreclose either through a judicial or nonjudicial foreclosure, depending on state law and the CC&Rs.
Source Link - 8 Can you refuse to join an HOA?
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… membership in voluntary HOAs is optional… If you enter into a voluntary HOA, you can leave whenever you want by stopping your payments, although you’ll stop receiving the benefits of the HOA… When you buy a house in a community governed by a mandatory HOA, you automatically become a dues-owing HOA member. When you become a member, you stay a member for as long as you own the property or until the HOA is dissolved (which is very rare). At your home’s closing, you will have to sign documents agreeing to abide by the HOAs rules and pay any assessments, fees, or fines associated with the HOA or incurred by violating HOA rules…. Unless you can gain enough support in your community to let you leave the HOA voluntarily, you will have to hire an attorney to try to convince a judge that you should be allowed to leave.
Source Link - 9 Neb. Rev. Stat. § 21-19,130 (1996)
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…require a greater vote or voting by class, dissolution is authorized if it is approved: (1) By the board; (2) By the members, if any, by two-thirds of the votes cast or a majority of the voting power, whichever is less; and (3) In writing by any person or persons whose approval is required by a provision of the articles authorized by section 21-19,116 for an amendment to the articles or bylaws… (e) If the board seeks to have dissolution approved by the members by written consent or written ballot, the material soliciting the approval shall contain or be accompanied by a copy or summary of the plan of dissolution. (f) The plan of dissolution shall indicate to whom the assets owned or held by the corporation will be distributed after all creditors have been paid.
Source Link - 10 Neb. Rev. Stat. § 21-19,132 (1996)
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(a) At any time after dissolution is authorized, the corporation may dissolve by delivering to the Secretary of State articles of dissolution… (b) A corporation is dissolved upon the effective date of its articles of dissolution.
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