What Did CAI Oppose in North Carolina’s 2025 Legislative Session?
Before diving in, it is important to understand that North Carolina’s 2025 legislative session is a carryover session. According to CAI’s own report, bills that were not passed in 2025 were carried forward for consideration during the 2026 legislative session. In other words, this is not just history. Much of this legislation is still alive and can still impact North Carolina HOA homeowners in 2026.
I recently obtained and reviewed the Community Associations Institute (CAI) North Carolina Mid-Session Report for 2025. The report provides a rare look at which homeowner association reform bills the HOA industry was actively opposing.
Here is what CAI said.
HB 372 – Home-Based Business Fairness / HOA Revisions
CAI states: “In its current form, this bill unreasonably restricts the operations of associations and management companies…”
CAI specifically objects to provisions that would:
• Cap management company contracts at 2 years
• Prohibit certain automatic renewal provisions
• Restrict HOA authority over vehicles parked on public roads
• Protect certain tutoring, educational, and music lesson activities from HOA enforcement
• Limit document copy charges
• Create additional foreclosure hurdles
Translation:
CAI opposed legislation that would limit management company contracts, reduce HOA enforcement authority, lower document fees, and make HOA foreclosure more difficult.
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HB 444 – Homeowners Association Reform Bill
CAI states: “This bill does not align with CAI’s Alternative Dispute Resolution Public Policy, Assessment Increase Limitations Public Policy or Government Regulation of Community Associations Public Policy.”
CAI specifically objects to provisions that would:
• Cap management company contracts at 2 years
• Restrict automatic renewal clauses
• Allow associations to terminate manager contracts
• Limit assessment increases without homeowner approval
• Require pre-litigation dispute resolution
• Create additional foreclosure protections
• Require the North Carolina Department of Justice to collect HOA complaint information
Translation:
CAI opposed legislation that would limit assessment increases, add homeowner protections before foreclosure, require dispute resolution, and create a state system to track HOA complaints.
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HB 993 – Homeowners’ Associations Organization and Reporting Act
CAI states: “This bill runs counter to the intent of CAI’s Government Regulation of Community Associations Public Policy.”
CAI specifically objects to provisions that would:
• Require all associations to incorporate
• Require HOA registration with the state
• Require annual reporting
• Penalize associations that fail to file required reports
Translation:
CAI opposed legislation that would increase state oversight, transparency, registration, and reporting requirements for homeowners associations.
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The most revealing statement may be found on the final page of the report:
“CAI depends on professional lobbyists funded by community associations, businesses, and individuals to create the best public policy for the community association industry in North Carolina.”
Notice what CAI says it advocates for: “The community association industry.”
Not homeowners.
Not residents.
Not owners.
The community association industry.
Whether you agree or disagree with CAI’s positions, homeowners deserve to know what legislation the HOA industry is supporting and what legislation it is opposing.
Read the bills. Read the reports. Follow the lobbying.
An informed homeowner is a stronger homeowner.
