Idaho HB 708 would have dissolved every HOA over ten years old — it died without a hearing
Idaho HB 708 would have dissolved every HOA over ten years old — it died without a hearing
2026-09-07 · Idaho · Legislation · Did not pass
What happened. House Bill 708 of the 2026 Idaho session died in the House Business Committee without a hearing. Its official status page records exactly two actions: introduced, read first time and referred for printing on 16 February 2026; reported printed and referred to the Business Committee on 17 February 2026. Nothing further was entered before the Legislature adjourned sine die on 2 April 2026.1
It is dead, and it stays dead. Idaho's 2026 session was the Second Regular Session of the Sixty-eighth Legislature, and Idaho bills do not carry over — a revival requires a new bill number in a future session.
This one is worth reading anyway, because it is the most aggressive HOA measure Idaho has seen and its sponsor has said publicly he intends to bring the idea back.
What it would have done
HB 708 would have added a new Idaho Code § 55-3204C titled “Automatic dissolution of homeowner's associations.” Subsection (1) is the whole design in two sentences:
- H.B. 708 (2026), proposed Idaho Code § 55-3204C(1)Any homeowner's association that has been in existence for ten (10) years or more, pursuant to the date of filing of the articles of incorporation, as of July 1, 2026, shall automatically dissolve on July 1, 2029, unless its members vote against such dissolution pursuant to the provisions of this section. Any homeowner's association that has been in existence for less than ten (10) years as of July 1, 2026, or that is created after July 1, 2026, shall automatically dissolve after ten (10) years from the date of filing of the articles of incorporation unless its members vote against such dissolution.
The default was dissolution. Continuing in existence required an affirmative act.2
The vote, and the plan of dissolution
Under subsection (2), an association would have had to hold a membership meeting before its dissolution date, on notice under Idaho Code § 30-30-505 stating that a purpose of the meeting was to consider automatic dissolution, and accompanied by a copy or summary of a plan of dissolution. Dissolution would not occur if a majority of the eligible voters voted against it — a majority of everyone entitled to vote, not a majority of those voting.
Subsection (3) addressed the common areas. Unless the declaration provided otherwise, all common property — common areas, limited common areas, other property or improvements owned or maintained by the association, or property owned in common by members — would remain dedicated to the members' common use, and the plan of dissolution would provide for transferring the assets to a successor entity, the lot owners, or a local government.
The recurring cycle most coverage missed
Subsection (4) is the provision that turns this from a one-time event into a permanent feature. If members voted against dissolution, the association “shall continue under the same terms” — and would then automatically dissolve ten years after the date of that successful vote. Dissolution “shall occur every ten (10) years thereafter while a homeowner's association is in existence unless and until the members fail to vote against such dissolution.”
So every association in Idaho would have carried a rolling decennial referendum on its own existence, in perpetuity, with a turnout requirement that made apathy fatal. The bill also carried an emergency clause, taking effect on 1 July 2026 had it passed.
The mechanics the bill did not resolve
These are worth setting out, because they are what any successor bill will have to answer.
- Unincorporated associations. The clock ran from “the date of filing of the articles of incorporation.” Idaho expressly recognises unincorporated homeowner's associations in § 55-3204, and they file no articles.
- The covenants themselves. The bill disposed of assets. It said nothing about what happens to the recorded declaration, or who enforces it, when the entity charged with enforcement ceases to exist.
- A local government that does not want the asset. Transfer to a local government was one of three permitted destinations, with no mechanism for acceptance.
- Reserves and obligations. Private roads, water systems, stormwater facilities and lender-required reserve accounts would have needed a destination able to hold and fund them.
- Mortgage marketability. Secondary-market and FHA project review assumes an association exists to insure and maintain common elements. A pending dissolution vote is a disclosure item.
Where the pressure came from, and where it went
The bill was introduced by the House Business Committee at the request of Rep. Jeff Ehlers, R-Meridian, per the statement of purpose.3
Its filing produced organised local reaction. In Eagle, a city council member convened a new HOA networking group for local board members whose first meeting was dominated by concern about the bill.4 The Community Associations Institute's Idaho legislative action committee opposed it and records it as having died in committee.5
The idea did not stop when HB 708 stalled. A second bill, HB 963, was introduced on 27 March — six days before adjournment — carrying a variation that would have converted associations into limited “joint ownership associations” rather than dissolving them. It also died. This column covers it separately.
What a bill that failed means for boards
Two things, and neither depends on the bill returning.
First, the default rule is the whole fight. HB 708 did not propose that Idahoans be allowed to dissolve their associations — Idaho law already permits dissolution under the Nonprofit Corporation Act. It proposed to flip which outcome happens when nobody acts. An association that cannot reliably assemble a quorum was, under this bill, an association that would cease to exist.
Second, the grievance behind it is documented elsewhere. Idaho's Attorney General settled with two associations and a management company over undisclosed transfer fees in May 2026, and the Legislature has spent four sessions removing subjects from unilateral covenant control. Boards that run open meetings, keep minutes, disclose fees accurately and answer records requests are not the ones generating the constituent calls that produce bills like this.
What to watch next
Rep. Ehlers told local press in February 2026 that the bill was being reworked and that he intended to bring it back — a statement made mid-session, before HB 708 actually died, and not reaffirmed publicly since adjournment.4 No 2027 bill or routing slip exists. The 2027 session convenes in January.
Related Idaho HOA Topics
- H.B. 708, 2026 Reg. Sess. — bill status showing referral to House Business and no further action ↩
- H.B. 708 as introduced — full text of proposed Idaho Code § 55-3204C ↩
- H.B. 708 Statement of Purpose / Fiscal Note (RS33345) ↩
- KIVI-TV, Eagle's new HOA networking group meets amid concerns over House Bill 708 ↩
- Community Associations Institute, Idaho 2026 legislative session report ↩
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