WUCIOA 301 — WUCIOA’s Impact on Developers: New Disclosure and Transition Requirements

Written By Loren Kosloske

Disclaimer: The information in this blog post is intended for general understanding and education. It should not be taken as legal advice. Always consult with a qualified attorney for guidance on specific legal matters.

Introduction

Developers ("declarants") play a crucial role in creating communities. WUCIOA updates and clarifies their obligations—benefiting both new homeowners and developers themselves.

Old Developer Obligations

Under older laws, developers faced:

  • Inconsistent requirements

  • Minimal disclosure rules

  • Vague handoff procedures to owners

What's Different Now?

Under WUCIOA, developers must:

  • Prepare detailed "public offering statements"

  • Disclose budgets and reserve studies

  • Specify warranties for construction defects

  • Turn over control of the association according to clear timelines

Public Offering Statements

New requirements include:

  • Disclosure of financial obligations

  • Governance documents

  • Planned community amenities

Transition to Owner Control

WUCIOA sets specific benchmarks for when developers must:

  • Resign from the board

  • Turn over association funds and records

Conclusion

WUCIOA protects homeowners during the critical early phases of a community's life. In the next post, we'll talk about how WUCIOA affects existing communities.

Loren Kosloske
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WUCIOA 401 — What About Existing HOAs and Condos? WUCIOA's Impact Explained
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WUCIOA 201 — How WUCIOA Modernizes HOA and Condo Operations