RESERVES AND CIVIL CODE 5551 BY: MR. KEVIN LEONARD, RS, ASSOCIATION RESERVES
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019 brought about a new legislative requirement that will affect many communities across California. When Governor Newsom signed SB 326 into law last year, a new, significant expense and inspection became a requirement for a large number (but not all!) of California communities that are organized as condominiums.
California Civil Code 5551, which went into effect January 1, 2020 only applies to communities that fit all of the following criteria: 1. Organized as a California condominium; 2. Association contains three or more multifamily dwelling units; and 3. Association areas of maintenance or repair responsibility must include exterior elevated structures (decks, balconies, stairs, walkways and their railings) that: a. Extend beyond the exterior walls of the building; b. Have a walking surface six or more feet above ground; c. Are designed for human occupancy or use; and d. Are supported in whole or in substantial part by wood or woodbased products. If your community has determined it fits the criteria, then a qualified inspector must be hired to conduct an inspection. The Code defines the inspector as a licensed structural engineer or architect. The inspector is required to inspect a random and statistically significant sample of elements that fit the criteria noted earlier. “Statistically significant” is defined specifically by the Code as a “sufficient number of units inspected to provide 95 percent confidence that the results from the sample are reflective of the whole, with a margin of error of no greater than plus or minus 5 percent.” The inspection is to be completed of “load-bearing components together with their associated waterproofing systems” by the “least intrusive method necessary”. This inspection may involve removing a portion of the building envelope to access the structural elements. Additionally, the Code references the possible use of
moisture meters, borescopes and infrared technology as possible tools to use in conjunction with the visual inspection. Depending on the observations made, the inspector may need to conduct a more intrusive investigation to ensure 95 percent confidence can be achieved. This inspection is not to be confused with California Civil Code Section 5550’s requirement for a “reasonably competent and diligent visual inspection” which is for budgetary planning purposes (a part of Reserve Study & budgeting process). The requirement under Section5551 is is intended for generally identifying whether the structural elements are safe or not. Both inspections are important pieces in the operation of a condominium association, but they are conducted by different professionals for different purposes. The report that is then produced by the licensed structural engineer or architect to comply with Civil Code Section 5551 will include the following information: 1. Identification of what elements fit the criteria to be inspected at the association; 2. Report on physical condition of the elements, including any “immediate threat to the health and safety of the residents”; 3. Anticipated life span remaining of the structural elements & waterproofing systems; and 4. Recommendations for any repairs or replacements of structural elements & waterproofing systems. CONTINUED ON PAGE 16 ISSUE THREE 2020 • CONNECT MAGAZINE
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