Oregon takes HOA governance seriously. The Oregon Planned Community Act (ORS Chapter 94) establishes detailed requirements for reserve planning, financial transparency, and homeowner rights that go beyond what many states require.
But here's what catches many Oregon HOAs off guard: the state requires both a reserve study and a separate maintenance plan—updated annually. And if your association hasn't reviewed its governing documents for discriminatory language under HB 2534, you may already be out of compliance.
This guide walks you through Oregon's HOA requirements, from the legal framework to practical compliance steps.
Oregon HOA Legal Framework
Oregon Planned Community Act—governs HOAs, subdivisions, and townhomes (non-condominium)
Oregon Condominium Act—governs condominiums with separate ownership of airspace units
Both chapters share many requirements, but with different timelines (e.g., 180 days for HOA financial reviews vs. 300 days for condos).
Reserve Studies & Maintenance Plans
Oregon is one of the few states that requires associations to maintain both a reserve study and a separate maintenance plan. These serve different but complementary purposes.
Reserve Study (ORS 94.595)
Evaluates the condition of common property and projects future repair/replacement costs.
- • Annual determination required
- • Must include funding plan
- • Update recommended every 3-5 years
Maintenance Plan (ORS 94.595(4))
Defines ongoing maintenance obligations and schedules—separate from reserve funding.
- • Annual update required
- • Covers routine maintenance
- • Distinct from reserve study
Which Associations Must Comply?
- Associations created after October 23, 1999: Reserve study and maintenance plan are mandatory.
- Associations created before October 23, 1999: Only required if the board adopts a resolution OR a majority of owners request it.
Key insight: The reserve study focuses on when things will need replacement and how to fund it. The maintenance plan focuses on keeping things maintained in the meantime. Both are essential for responsible long-term planning.
HB 2534: Removing Discriminatory Language
In 2021, Oregon passed House Bill 2534, requiring all HOAs and condominium associations to review their governing documents for discriminatory language. The deadline to comply was December 31, 2022.
If You Haven't Complied with HB 2534
The compliance deadline has passed, but if your association hasn't taken action, you should do so immediately. Non-compliance exposes the association to legal risk.
Required action: Either (1) amend documents to remove prohibited language, or (2) certify that documents don't contain any discriminatory restrictions.
What Must Be Removed?
HB 2534 targets language that restricts property use based on:
- Race, color, or national origin
- Religion
- Sex or sexual orientation
- Marital status or familial status
- Source of income
- Disability
- Number of occupants (including family members or unrelated persons)
Compliance Options
Option 1: Amend Documents
If discriminatory language exists, amend or restate the governing documents to remove all prohibited restrictions. Record the amendment with the county.
Option 2: Certify Compliance
If no discriminatory language exists, execute and record a declaration confirming the board has reviewed all governing documents and found no prohibited restrictions.
Financial Transparency Requirements
Oregon emphasizes financial transparency for community associations. Here's what the law requires:
Key Financial Requirements
- Budget Distribution: Board must distribute a budget summary to all owners within 30 days of adoption (ORS 94.645)
- CPA Review: If annual assessments exceed $75,000, financial statements must be reviewed by a CPA within 180 days (HOAs) or 300 days (condos) of fiscal year end
- Reserve Funding: Contributions to reserve accounts must align with the findings of the reserve study
Meetings & Voting
Open Meeting Requirements
Oregon requires transparency in HOA governance:
- All board meetings must be open to owners
- Notice: Posted 3 days in advance OR provided by a method reasonably calculated to inform owners
- Executive sessions limited to legal matters, personnel issues, and personal owner information
Action by Written Ballot: Oregon's Unique Approach
Oregon offers a powerful alternative to in-person voting: Action by Written Ballot (ORS 94.647). Unlike many states that require unanimous consent for written ballot actions, Oregon allows standard majority thresholds.
How Action by Written Ballot Works
Associations can conduct votes without holding a meeting. The approval threshold is the same as would be required at a meeting—typically a simple majority unless documents specify otherwise.
Why it matters: This makes it much easier to achieve quorum and pass resolutions, especially in communities with low meeting attendance.
Electronic Notice Limitations
Oregon permits electronic notice for most communications, but with important restrictions:
- Only valid to owner-designated email addresses (owner must opt in)
- Cannot use email for assessment collection notices
- Cannot use email for foreclosure notices
- Cannot use email for other legal actions
Enforcement & Due Process
Before your Oregon HOA can impose fines, the law requires due process:
Required Before Fining (ORS 94.630)
- ✓ Written notice of the alleged violation
- ✓ Opportunity to be heard before the board
- ✓ Fine policies must be documented in bylaws or rules
Records Access
Oregon homeowners have the right to inspect association records. The association must make records available within 10 business days of a written request (ORS 94.670).
Protected Property Rights
Oregon protects certain homeowner rights that CC&Rs cannot override:
Solar Energy Systems
Governing documents cannot prohibit solar installations (ORS 105.880). HOAs may adopt reasonable placement restrictions, but cannot impair system performance.
EV Charging Stations
HOAs cannot prohibit EV charger installation in an owner's designated parking space (ORS 94.762). Owner responsible for installation and insurance.
Rental Restrictions: A Critical Distinction
Oregon has an important rule about where rental restrictions must appear:
Where Rental Restrictions Must Be Located
Under ORS 94.625, rental and leasing restrictions must generally be in the Declaration (CC&Rs) or Bylaws to be enforceable. Restrictions contained only in board-adopted Rules are often insufficient.
Action required: If your community has rental caps or lease restrictions, verify they're properly recorded in the CC&Rs or Bylaws—not just listed in Rules.
Compliance Checklist
Oregon HOA Board Member Checklist
- 1.HB 2534 Compliance: Verify discriminatory language has been removed from all governing documents OR record a compliance certification.
- 2.Reserve Study: Conduct or update your reserve study annually. Ensure funding plan aligns with projected costs.
- 3.Maintenance Plan: Create and annually update a written maintenance plan (separate from the reserve study).
- 4.Budget Distribution: Distribute budget summary to all owners within 30 days of adoption.
- 5.CPA Review: If assessments exceed $75,000, schedule CPA review within 180 days of fiscal year end.
- 6.Meeting Notice: Post board meeting notices 3 days in advance or use another reasonable method.
- 7.Fine Policy: Ensure enforcement policies include notice and hearing procedures before any fines.
- 8.Rental Restrictions: Verify any rental caps are in CC&Rs or Bylaws, not just Rules.
The Bottom Line
Oregon's HOA laws emphasize transparency, financial planning, and homeowner rights. The dual requirement for reserve studies and maintenance plans sets a high bar for long-term planning—but it also protects homeowners from deferred maintenance surprises and special assessments.
If your association hasn't addressed HB 2534 compliance, that should be priority one. Discriminatory language in governing documents—even decades-old boilerplate—creates legal liability and harms community trust.
For board members, Oregon's requirements can feel demanding. But they exist for good reason: to ensure communities are well-managed, financially stable, and fair to all residents.