Forming an Oregon HOA

Many (mostly older) Oregon subdivisions have recorded CC&Rs, but no homeowners association to enforce or administer those CC&Rs. The Oregon Planned Community Act, ORS Chapter 94, lays out a procedure to form a homeowners association in certain types of subdivisions. The process is described in ORS 94.574. Here's a summary:

  1. The owners call for an organizational meeting to decide whether or not to create an association. 

  2. Notice of the meeting must be sent to all owners. 

  3. The notice must indicate who initiated the meeting, and a general overview of the purpose of the meeting. The notice may also include a statement that the owners will be asked to elect a board of directors and adopt Bylaws. 

  4. A majority of the owners must vote to approve the formation of the association. 

  5. Each lot in the subdivision is entitled to one vote. So, if there are 80 lots in the subdivision, at least 41 lots must vote to approve the creation of a homeowners association. 

  6. If enough votes are received, the owners should immediately vote to elect a board of directors, adopt Bylaws, and file Articles of Incorporation. 

  7. Generally, Oregon HOAs incorporate as nonprofit corporations. 

Please contact us if you have any questions about the process to form an association!