North Carolina 2025 Session Status: In Committee Bipartisan · 5 D · 2 R cosponsors

HB 993 — Homeowners' Associations Organization and Reporting Act.

Last action — Passed 1st Reading

  1. ✓
    Introduced
  2. 2
    In Committee
  3. 3
    Passed House
  4. 4
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill is in committee in the House. Introduced April 10, 2025. It must pass committee before a floor vote.

Next likely step: a committee vote, then a floor vote in the House.

Odds of enactment

Low chance

Based on the sponsor, cosponsors, and committee posture, this bill has a low chance of becoming law.

Upgrade to see the exact probability and what's driving it.

A statistical estimate from our own model of past outcomes — an insight, not a guarantee. Policymaking is volatile.

Prognosis

Advancing 42% · moderate confidence
  • In Committee

    Current position in the legislative process.

  • 7 sponsors

    2 primary, 5 co-sponsors signed on.

  • Bipartisan support

    Sponsored across 2 parties (5 D · 2 R) — cross-party backing.

Based on stage, sponsorship breadth, committee status, recorded votes, and cross-state momentum — a description of the observable signals, not a prediction.

Bill Text

What changed in the latest version

269 added · 259 removed

Plain-language change summary

The updated version of Bill HB 993 includes a change that clarifies how unit owners' associations should be organized, specifying that they can be structured as either a profit or business corporation, a nonprofit corporation, or a limited liability company. Additionally, a new requirement has been introduced, mandating that nonprofit associations submit annual reports to the Secretary of State. This change is important because it promotes transparency and accountability among these associations, ensuring they are properly managed and providing necessary information to their members and the state.

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GENERAL ASSEMBLY OF NORTH CAROLINA H.B.
GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 H 1 HOUSE BILL 993 Short Title:
993 Apr 10, 2025 SESSION 2025 HOUSE PRINCIPAL CLERK H D HOUSE BILL DRH40517-NOf-52A Short Title:
Representative Budd.
Representatives Budd, Iler, and Liu (Primary Sponsors).
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
A BILL TO BE ENTITLED AN ACT TO REQUIRE LOT OWNERS' ASSOCIATIONS AND UNIT OWNERS' ASSOCIATIONS TO INCORPORATE OR ORGANIZE AS CORPORATIONS OR LIMITED LIABILITY COMPANIES AND SUBMIT ANNUAL REPORTS TO THE NORTH CAROLINA SECRETARY OF STATE.
Rules, Calendar, and Operations of the House April 14, 2025 A BILL TO BE ENTITLED AN ACT TO REQUIRE LOT OWNERS' ASSOCIATIONS AND UNIT OWNERS' ASSOCIATIONS TO INCORPORATE OR ORGANIZE AS CORPORATIONS OR LIMITED LIABILITY COMPANIES AND SUBMIT ANNUAL REPORTS TO THE NORTH CAROLINA SECRETARY OF STATE.
These sections apply only with respect to events and circumstances occurring after October 1, 1986.
These sections applyonly with respect to events and circumstances occurring after October 1, 1986.
47C-3-102 are to be exercised by or may be delegated to a profit or business corporation, nonprofit corporation (or unincorporated association) which corporation, or limited liability company that exercises those or other powers on behalf of one or more condominiums or for the benefit of the unit owners of one or more condominiums, all provisions of this chapter applicable to unit owners' associations apply to any such corporation, (or unincorporated association) corporation or limited liability company, except as modified by this section.
47C-3-102 are to be exercised by or may be delegated to a profit or business corporation, nonprofit corporation (or unincorporated association) which corporation, or limited liability company that exercises those or other powers on behalf of one or more condominiums or for the benefit of the unit owners of one or more condominiums, all provisions of this chapter applicable *H993-v-1* General Assembly Of North Carolina Session 2025 to unit owners' associations apply to any such corporation, (or unincorporated association) corporation or limited liability company, except as modified by this section.
*DRH40517-NOf-52A* General Assembly Of North Carolina Session 2025 … ." SECTION 3.
… ." SECTION 3.
(g) Amendments.
Page 2 House Bill 993-First Edition General Assembly Of North Carolina Session 2025 (g) Amendments.
Page 2 DRH40517-NOf-52A General Assembly Of North Carolina Session 2025 (h) Delinquency;
(h) Delinquency;
– A unit owners' association organized as a business corporation shall deliver to the Secretary of State for filing annual reports as required by Chapter 55 of the General Statutes.
– A unit owners' association organized as a business corporation shall deliver to the Secretaryof State for filing annual reports as required byChapter 55 of the General Statutes.
47C-3-102, if a unit owners' association to which this section applies fails to deliver an annual report to the Secretary of State in compliance with this section, and the annual report is presumed delinquent, the following powers granted to the association are DRH40517-NOf-52A Page 3 General Assembly Of North Carolina Session 2025 suspended until the association corrects the delinquency to the satisfaction of the Secretary of State:
47C-3-102, if a unit owners' association to which this section House Bill 993-First Edition Page 3 General Assembly Of North Carolina Session 2025 applies fails to deliver an annual report to the Secretary of State in compliance with this section, and the annual report is presumed delinquent, the followingpowers granted to the association are suspended until the association corrects the delinquency to the satisfaction of the Secretary of State:
(2) Imposition and collection of any fees or charges as authorized by G.S.
Page 4 House Bill 993-First Edition General Assembly Of North Carolina Session 2025 (2) Imposition and collection of any fees or charges as authorized by G.S.
Page 4 DRH40517-NOf-52A General Assembly Of North Carolina Session 2025 (d) Notice of Delinquency;
(d) Notice of Delinquency;
responsibility and assessments for damages), G.S.
responsibilityand assessments for damages), G.S.
47F-3-121 (American and State flags and political sign displays) apply to all planned communities created in this State before January 1, 1999, unless the articles of incorporation incorporation or articles of organization or the declaration expressly provides to the contrary, and G.S.
47F-3-121 (American and State flags and political sign displays) apply to all planned communities created in this State before January 1, 1999, unless the articles of incorporation incorporation or articles of organization or the declaration expresslyprovides to the contrary, and G.S.
47F-3-120 (Declaration limits onattorneys' fees) applies to all plannedcommunities created in this State before January 1, 1999.
47F-3-120 (Declaration limits onattorneys'fees) applies to all plannedcommunities created in this State before January 1, 1999.
47F-1-103 (Definitions) also applies to all planned communities created in this State before January 1, 1999, to the extent necessary in construing any of the preceding sections.
47F-1-103 (Definitions) also applies to all planned communities created in this State before January1, 1999, to the extent necessary in construing any of the preceding sections.
"§ 47F-2-103.
House Bill 993-First Edition Page 5 General Assembly Of North Carolina Session 2025 "§ 47F-2-103.
DRH40517-NOf-52A Page 5 General Assembly Of North Carolina Session 2025 (a) To the extent not inconsistent with the provisions of this Chapter, the declaration, bylaws, and articles of incorporation or articles of organization form the basis for the legal authority for the planned community to act as provided in the declaration, bylaws, and articles of incorporation, incorporation or articles of organization, and the declaration, bylaws, and articles of incorporation or articles of organization are enforceable by their terms.
(a) To the extent not inconsistent with the provisions of this Chapter, the declaration, bylaws, and articles of incorporation or articles of organization form the basis for the legal authority for the planned communityto act as provided in the declaration, bylaws, and articles of incorporation, incorporation or articles of organization, and the declaration, bylaws, and articles of incorporation or articles of organization are enforceable by their terms.
A lot owners' association shall be incorporated organized no later than the date the first lot in the planned community is conveyed.
A lot owners' association shall be incorporated organized no later than the date the first lot in the planned communityis conveyed.
Page 6 DRH40517-NOf-52A General Assembly Of North Carolina Session 2025 (f) Incomplete Information.
Page 6 House Bill 993-First Edition General Assembly Of North Carolina Session 2025 (f) Incomplete Information.
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (h) of this section, the Secretary of State shall promptly notify the offending lot owners' association in writing.
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (h) of this section, the Secretary of State shall promptlynotifythe offending lot owners'association in writing.
If the offending lot owners' association completes an annual report containing all the information required by this section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (h) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension.
If the offending lot owners' association completes an annual report containing all the information required bythis section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (h) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension.
– A lot owners' association organized as a business corporation shall deliver to the Secretary of State for filing annual reports as required by Chapter 55 of the General Statutes.
– A lot owners' association organized as a business corporation shall deliver to the Secretaryof State for filing annual reports as required byChapter 55 of the General Statutes.
DRH40517-NOf-52A Page 7 General Assembly Of North Carolina Session 2025 (c) Delinquency;
House Bill 993-First Edition Page 7 General Assembly Of North Carolina Session 2025 (c) Delinquency;
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (c) of this section, the Secretary of State shall promptly notify the offending lot owners' association in writing.
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (c) of this section, the Secretary of State shall promptlynotifythe offending lot owners'association in writing.
If the offending lot owners' association completes an annual report containing all the information required by this section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (c) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension." (e) Filing Fee.
If the offendinglot owners' association completes an annual report containing all the information required bythis section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (c) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension." (e) Filing Fee.
47F-3-102, if a lot owners' association fails to deliver an annual report to the Secretary of State in compliance with this section, and the annual report is Page 8 DRH40517-NOf-52A General Assembly Of North Carolina Session 2025 presumed delinquent, the following powers granted to the association are suspended until the association corrects the delinquency to the satisfaction of the Secretary of State:
47F-3-102, if a lot owners' association fails to deliver an annual report to the Secretary of State in compliance with this section, and the annual report is Page 8 House Bill 993-First Edition General Assembly Of North Carolina Session 2025 presumed delinquent, the following powers granted to the association are suspended until the association corrects the delinquency to the satisfaction of the Secretary of State:
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (c) of this section, the Secretary of State shall promptly notify the offending lot owners' association in writing.
– If the Secretary of State presumes that an annual report is delinquent as provided by subsection (c) of this section, the Secretary of State shall promptlynotifythe offending lot owners'association in writing.
If the offending lot owners' association completes an annual report containing all the information required by this section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (c) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension.
If the offending lot owners' association completes an annual report containing all the information required bythis section and delivers it to the Secretary of State within 30 days after the effective date of the notice, the lot owners' association shall immediately regain any powers suspended under subsection (c) of this section and shall be allowed to collect and impose any assessments, fees, or charges that it was unable to collect or impose during any period of suspension.
DRH40517-NOf-52A Page 9
House Bill 993-First Edition Page 9
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Action History

  1. Passed 1st Reading

  2. Ref To Com On Rules, Calendar, and Operations of the House

  3. Filed

Sponsors

Sponsorship breakdown

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2 sponsors · 5 co-sponsors · 172 not signed on

Sponsors (2)

Co-sponsors (5)

Not signed on (172)

172 members have not signed on to this bill.

Show all 172 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Subjects

Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

Who sponsors HB 993?
HB 993 is sponsored by Carolyn G. Logan (Democratic), Pricey Harrison (Democratic), Mary Belk (Democratic), Ya Liu (Democratic), Frank Iler (Republican), Laura Budd (Democratic), and Neal Jackson (Republican).
What is the current status of HB 993?
This bill is in committee in the House. Introduced April 10, 2025. It must pass committee before a floor vote.
Where can I track HB 993?
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