Common Interest Development (CID) is descriptive not only of a certain type of real estate and form of home ownership, but also of a lifestyle — there is no one structural type, architectural style, or standard size for CIDs. All CIDs are similar in that they allow individual owners the use of common property and facilities and provide for a system of self-governance through an association of the homeowners within the CID.
The most common type of association of homeowners is the nonprofit mutual benefit corporation, in which the members of the corporation vote for a board of directors that run the affairs of the corporation. As the association is usually a corporation, bylaws establish the rules by which the corporation will be run. Additionally, the Declaration of the Covenants, Conditions and Restrictions (CC&Rs), contains the ground rules for the operation of the association. Rules and regulations can also be just as enforceable in an association as the CC&Rs, bylaws and applicable laws.
Several types of assessments, either being a regular or special one, may apply to the association. The best place to look for the different types of assessments that may apply to a CID is in the CC&Rs of the association. Once a year, the association will send each owner a copy of the assessment collection policy. However, mandated by California Civil Code, the board of directors can increase the amount of the assessment.
In other words, a successful and viable CID is generally one in which homeowners assume an active role, not only by attending association meetings, voting and paying dues on time but also by running for elected offices, serving on committees and participating in group activities. While governing documents help establish a foundation, involved owners build the CID and make it a community.
For more information, please refer to CalBRE/Bureau Information.
