Quick Answer
House Bill 1174 (2025 Session), the "HOA Oversight Act," would add G.S. 114-8.8 requiring the Department of Justice to receive and record complaints by members of associations organized under Chapter 47C or 47F, publish a complaint form and an annual report, and post a searchable summary. It would bar the Department from issuing rules or guidelines on association administration and from acting as arbiter. This bill has not become law. As shown on the North Carolina General Assembly bill page when we checked on November 13, 2026, it has not passed either chamber; check the bill page for any later action.
The one thing a board or management company most needs to know: the bill would collect the name of an association's management company, if any, and report how many complaints involved management companies.
At a Glance
| Item | Detail |
|---|---|
| Bill | House Bill 1174, "HOA Oversight Act" (2025-2026 Session) |
| Primary sponsors | Representatives Ward, Pike, Liu and Iler |
| Section added | G.S. 114-8.8, "Collection and report of owners' association complaint data" |
| Effective date if enacted | "This act is effective when it becomes law" |
| Status when checked | Filed April 30, 2026; first reading and referral to Rules May 4, 2026; on May 28, 2026 withdrawn from committee and re-referred to Housing and Development, Appropriations and Rules |
| Funding | $100,000 recurring from the General Fund to the Department of Justice beginning in 2026-2027 |
What the Bill Would Do
- Intake: the Department "shall receive and record complaints by members" of associations "concerning disputes with their associations," publish an electronic complaint form, and collect 11 categories of information, including the association and any management company, the nature of the complaint, the desired remedy, whether an attorney is engaged, and whether the owner received the governing documents before taking title.
- Response: the Department must give the complaint to the party complained against "in a manner that verifies receipt" and allow a response.
- Website: information on the complaint process, educational materials about association roles and rights, a searchable and filterable complaint summary with member personal data redacted (the redaction "does not apply to information concerning an association or association management company"), and an executive summary of the prior year.
- Annual report: by July 1 each year, to the chairs of the House Commerce and Economic Development committee, the chairs of the Senate Commerce and Insurance committee and the Fiscal Research Division, covering total complaints, owner-submitted complaints, county of origin, complaints involving management companies, and the nature of disputes (records, meetings, assessments, board transparency, fines, collections, liens, foreclosures, covenant content and covenant enforcement).
- Limit: the Department "is prohibited from promulgating regulations or issuing guidelines concerning homeowners association administration, governance, or governing documents" and "shall not serve as an arbiter in disputes."
What This Means in Practice
What would change
The bill creates a data and transparency function, not an enforcement function. The Department would not decide complaints. It would pass them to the association and publish aggregate and association-level information. Our reading: an association named in a complaint would be able to respond through the Department's process, and the record would be available in summary form.
For boards and managers
No action is required because the bill is not law. A board can prepare by keeping records of owner communications, hearing decisions and responses, since complaint intake asks whether the owner and association communicated and whether remedies under the governing documents were exhausted. A management company should know that the complaint record would include its name and contact information and that the annual report would count complaints involving management companies.
For owners
The bill would not give owners a new right to relief. It would give them a place to file and a published record.
What the bill does not say
- It does not create penalties for associations or managers.
- It does not set response deadlines for the association.
- It does not say how long complaint records are kept or how the Department verifies complaints before publishing association names. Open question.
- It does not change any substantive duty in Chapters 47C, 47F or 55A.
Timeline
| Date | Event |
|---|---|
| April 30, 2026 | Filed |
| May 4, 2026 | Passed first reading; referred to Rules, Calendar, and Operations |
| May 28, 2026 | Withdrawn from committee; re-referred to Housing and Development, Appropriations and Rules |
| November 13, 2026 | Date we checked the bill page: no later action shown |
Related North Carolina Law
- H 444 (2025): HOA reform bill
- S 378 (2025): HOA revisions
- G.S. 47F-3-118: records and statements
- G.S. 7A-38.3F: prelitigation mediation
- Chapter 47C Condominium Act overview
- North Carolina HOA laws complete guide
Board Checklist
- Check the bill page for movement in committee.
- Keep dated records of owner complaints and board responses.
- Document hearing notices and decisions for fines and suspensions.
- Respond to owner requests promptly and in writing.
- Management companies: confirm contact details and complaint-handling procedures are current.
- Do not change practice based on a pending bill; revisit if it passes.
Frequently Asked Questions
Is House Bill 1174 law?
No. It was filed April 30, 2026 and remains in committee as of the bill page when we checked.
What would the HOA Oversight Act do?
Require the Department of Justice to receive and record association complaints, publish a complaint form, a searchable summary and an annual report.
Would the Attorney General resolve disputes?
No. The bill says the Department "shall not serve as an arbiter" and may not issue regulations or guidelines on association administration.
Does it cover condominiums?
Yes. It defines association to include those organized under Chapter 47C or Chapter 47F.
Would management companies be named?
The complaint intake collects the management company's name and contact information, and the redaction rule does not apply to association or management company information.
How much money does it provide?
$100,000 in recurring General Fund money to the Department of Justice beginning in 2026-2027.
Where We Stand
Our position: we support this bill, with a caveat. A neutral place to file and a published record of complaint types can help boards see patterns, and the bill does not turn the Department into a regulator or arbiter. The caveat is that unverified complaints could be published against associations and managers, so the verification process matters. Tip: keep a clean communication log and respond to owners quickly, because well-documented responses are the best defense to any complaint process. This is Association Property Managers' operating view as a management company, separate from the legal summary above, and it is not legal advice.
Where This Comes From
This page is based on the House Bill 1174 status page and Edition 1 bill text read on the North Carolina General Assembly site (House Bill 1174 on ncleg.gov). We did not read the bill digest or any fiscal note.
How APM Helps
Association Property Managers provides remote HOA and condo management for associations in North Carolina, starting at a flat $99/month per community with no per-door fees or long-term contracts. See remote management in North Carolina, browse every North Carolina state-law guide, or request a free proposal, delivered within three business days. Laws and licensing rules differ by state, and we confirm the requirements for North Carolina when we build your proposal.
Legal disclaimer: This article is general information, not legal advice. Laws change and associations differ. Confirm the current statute text and how it applies to your governing documents with a licensed North Carolina attorney before acting.
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