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HB26-1316 • 2026

Private Membership Club Covenants

On and after January 1, 2027, the bill prohibits the recording of a new covenant or declaration that purports to encumber residential property by requiring the owner to acquire and pay for membership

Budget
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Rep. E. Hamrick
Last action
2026-03-24
Official status
House Committee on Transportation, Housing & Local Government Postpone Indefinitely
Effective date
Not listed

Plain English Breakdown

The bill summary states it applies as introduced and may change if amended before final passage.

Rules for Private Club Membership Covenants

Starting January 1, 2027, this law stops new property rules from forcing owners to join private clubs and requires existing clubs collecting fees to share budget details with those owners.

What This Bill Does

  • Prohibits recording any new rule after January 1, 2027, that forces a residential owner to buy membership in a private club.
  • Makes such forced membership rules void and unenforceable if recorded on or after the start date.
  • Requires private clubs collecting fees from owners to share specific budget and operation information with those owners.
  • Mandates that clubs post financial details online, mail them to owners, and provide this data at no cost within 90 days of their fiscal year ending.
  • Allows property owners to stop paying dues if a club fails to follow these disclosure rules.

Who It Names or Affects

  • Owners of residential properties in Colorado
  • Private membership clubs such as country, golf, or sports clubs that charge fees
  • Developers recording new covenants for real estate

Terms To Know

Covenant
A recorded rule between property owners that sets restrictions or requirements for everyone in a community.
Private Membership Club
A privately owned group like a country club, golf course, or sports club where members pay fees to use facilities and services. This does not include unit owner associations or clubs run by metropolitan districts.

Limits and Unknowns

  • The ban on forced membership only applies to new rules recorded after January 1, 2027.
  • This law does not apply to unit owners' associations or recreational clubs owned by a metropolitan district.
  • If voters file a petition against this bill before August 12, 2026, it will go on the ballot and may not take effect.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

L.006

HOU Transportation, Housing & Local Government

Passed [*]

Plain English: This amendment adds a new rule to the bill that specifically bans covenants forcing homeowners to pay club dues or fees.

  • The bill will now prohibit recording any new agreement on residential property if it requires the owner to join and pay for membership in a private club.
L.007

HOU Transportation, Housing & Local Government

Passed [*]

Plain English: This amendment requires private membership clubs that charge fees to residential property owners to share detailed financial information and meeting records with those owners.

  • Clubs must provide the total amount of dues they expect to collect this year and how much was actually collected last year.
  • Clubs must show a monthly fee breakdown, including any price changes from the previous year and why prices are going up or down.
  • Clubs must share their operating budgets for both current expected costs/income and actual past costs/income.
  • Clubs must provide meeting minutes from last year's executive board and member meetings.
  • The amendment text does not explain how owners can request this information or what happens if a club refuses to share it.
  • It is unclear exactly which types of residential properties are covered beyond the general term 'owner'.
L.008

HOU Transportation, Housing & Local Government

Passed [*]

Plain English: This amendment changes how private membership clubs share information with property owners and requires them to file a yearly certificate proving they follow the new rules.

  • Clubs must post required information on a website or portal that paying members can access, instead of just sending physical notices.
  • The time limit for certain actions is shortened from ninety days to sixty days.
  • Private membership clubs must file an annual certificate with the county clerk stating they are following all new requirements.
  • This yearly certificate must be filed within sixty days after the club's fiscal year ends and listed against every property affected by the club.
  • The amendment text does not explain what specific information must be posted on the website or portal, only that it is required.
  • It is unclear from this text alone which other parts of the bill might have been changed to match these new requirements.
L.009

HOU Transportation, Housing & Local Government

Passed [*]

Plain English: This amendment adds new rules requiring private membership clubs to notify owners, hold meetings before raising fees, and conduct regular surveys about club services.

  • Clubs must send an email and a letter to all paying property owners at least 30 days before increasing dues or fees.
  • The notice sent to owners must include the amount of the increase, when it starts, meeting details, and how to submit comments.
  • Clubs are required to hold a public meeting for owners in their community that is held at a convenient time and location within the neighborhood.
  • Clubs must survey property owners twice a year about amenities, post the results online where owners can see them, and make plans to fix valid concerns.
  • The text does not explain what happens if a club fails to follow these new rules.
  • It is unclear how 'convenient time' or 'legitimate concerns' are officially defined in this amendment.
L.010

HOU Transportation, Housing & Local Government

Lost

Plain English: This amendment adds rules stating that private membership clubs cannot collect dues if they break the law, and it limits how much power these clubs have to place liens on homes.

  • Private membership clubs must stop collecting fees from owners while the club is not following the new laws in this bill.
  • Any unpaid fees during a time when the club was breaking the rules are lost forever and cannot be collected later.
  • If an owner sells their home, the new buyer does not have to pay any old unpaid dues that happened while the club was non-compliant.
  • Liens placed by these clubs for unpaid dues do not get special priority over other liens on the property.
  • The amendment text refers to 'this section' but does not list all the specific rules that define when a club is in compliance.
  • This amendment was marked as 'Lost,' meaning it did not pass and these changes were not made to the final bill.
L.012

HOU Transportation, Housing & Local Government

Passed [*]

Plain English: This amendment removes a specific section from the bill that would have banned new rules forcing homeowners to buy club memberships, but it does not explain what rule is being removed.

  • The amendment deletes four lines of text on page 3 of the original bill.
  • The provided text only lists line numbers and numbering changes without showing the actual words that are deleted, so it is impossible to explain exactly what rule or requirement was removed.
  • Because the specific content being struck out is missing from this document, we cannot confirm if the bill still bans membership covenants after this change.

Bill History

  1. 2026-03-24 House

    House Committee on Transportation, Housing & Local Government Postpone Indefinitely

  2. 2026-03-17 House

    House Committee on Transportation, Housing & Local Government Lay Over Unamended - Amendment(s) Failed

  3. 2026-03-02 House

    Introduced In House - Assigned to Transportation, Housing & Local Government

Official Summary Text

On and after January 1, 2027, the bill prohibits the recording of a new covenant or declaration that purports to encumber residential property by requiring the owner to acquire and pay for membership in a private membership club.
The bill requires a private membership club to provide a property owner with certain information related to the budget and operations of the private membership club by mailing information to property owners and posting the information on the private membership club's public website.
(Note: This summary applies to this bill as introduced.)

Current Bill Text

Read the full stored bill text
Second Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED

LLS NO. 26-0413.02 Christopher McMichael x4775 HOUSE BILL 26-1316
House Committees Senate Committees
Transportation, Housing & Local Government
A BILL FOR AN ACT
CONCERNING PRIVATE MEMBERSHIP CLUB COVENANTS.101
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov.)
On and after January 1, 2027, the bill prohibits the recording of a
new covenant or declaration that purports to encumber residential
property by requiring the owner to acquire and pay for membership in a
private membership club.
The bill requires a private membership club to provide a property
owner with certain information related to the budget and operations of the
private membership club by mailing information to property owners and
posting the information on the private membership club's public website.
HOUSE SPONSORSHIP
Hamrick,
SENATE SPONSORSHIP
(None),
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, add 38-30-170.5 as2
follows:3
38-30-170.5. Private club membership covenants void and4
unenforceable - disclosure related to private club budget and5
operations required - compliance - definitions.6
(1) AS USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE7
REQUIRES:8
(a) "C OVENANT" MEANS A RECORDED INSTRUMENT BETWEEN9
OWNERS OF REAL PROPERTY THAT IMPOSES MUTUAL RESTRICTIONS OR10
REQUIREMENTS ON THE OWNERS OF REAL PROPERTY FOR THE BENEFIT OF11
ALL OWNERS AND RESIDENTS WITHIN A COMMUNITY.12
(b) "D ECLARATION" HAS THE MEANING SET FORTH IN SECTION13
38-33.3-103 (13).14
(c) (I) "P RIVATE MEMBERSHIP CLUB " OR "CLUB" MEANS AN15
ORGANIZATION, A BUSINESS ENTITY , A CORPORATION , A NONPROFIT16
ASSOCIATION, OR ANOTHER ENTITY THAT:17
(A) A DMITS MEMBERS AND REQUIRES MEMBERS TO PAY18
MONETARY DUES, ASSESSMENTS, OR FEES IN EXCHANGE FOR ACCESS TO19
CLUB FACILITIES, PROGRAMS, OR SERVICES; AND20
(B) IS PRIVATELY OWNED OR OPERATED.21
(II) "PRIVATE MEMBERSHIP CLUB" INCLUDES A COUNTRY CLUB, A22
SPORTS AND RECREATION CLUB , A GOLF CLUB , A TENNIS CLUB , AND AN23
EQUESTRIAN CLUB.24
(III) "PRIVATE MEMBERSHIP CLUB" DOES NOT INCLUDE:25
(A) A UNIT OWNERS ' ASSOCIATION ORGANIZED PURSUANT TO26
HB26-1316-2-
SECTION 38-33.3-301;1
(B) A METROPOLITAN DISTRICT, AS DEFINED BY SECTION 32-1-1032
(10); OR3
(C) A RECREATIONAL CLUB , AMENITY , OR FACILITY THAT IS4
OWNED OR OPERATED BY A METROPOLITAN DISTRICT , A UNIT OWNERS '5
ASSOCIATION, OR OTHER COMMON INTEREST COMMUNITY, AS DEFINED BY6
SECTION 38-33.3-103 (8).7
(2) A COVENANT OR DECLARATION FOR A RESIDENTIAL PROPERTY8
THAT IS RECORDED ON OR AFTER JANUARY 1, 2027, AND THAT REQUIRES9
THE OWNER OF THE RESIDENTIAL PROPERTY TO JOIN A PRIVATE10
MEMBERSHIP CLUB IS VOID AND UNENFORCEABLE.11
(3) A PRIVATE MEMBERSHIP CLUB THAT COLLECTS DUES OR FEES12
FROM AN OWNER OF A RESIDENTIAL PROPERTY , WHICH RESIDENTIAL13
PROPERTY IS SUBJECT TO A COVENANT OR DECLARATION THAT REQUIRES14
THE PROPERTY OWNER TO PAY DUES OR FEES TO THE CLUB , SHALL MAKE15
THE FOLLOWING INFORMATION AVAILABLE IN ACCORDANCE WITH16
SUBSECTION (4) OF THIS SECTION:17
(a) THE AMOUNT OF DUES OR FEES THAT THE PRIVATE MEMBERSHIP18
CLUB ANTICIPATES COLLECTING FROM PROPERTY OWNERS IN THE CLUB'S19
CURRENT FISCAL YEAR , INCLUDING A TOTAL AMOUNT OF FEES AND A20
CALCULATION OF THE AMOUNT OF FEES COLLECTED PER PROPERTY OWNER;21
(b) THE ACTUAL AMOUNT OF DUES OR FEES COLLECTED BY THE22
PRIVATE MEMBERSHIP CLUB FROM PROPERTY OWNERS IN THE CLUB'S PRIOR23
FISCAL YEAR;24
(c) THE DATE ON WHICH THE CLUB'S FISCAL YEAR COMMENCES;25
(d) T HE CLUB 'S OPERATING BUDGET FOR THE CURRENT FISCAL26
YEAR;27
HB26-1316-3-
(e) A LIST , BY TYPE , OF THE CLUB 'S CURRENT ASSESSMENTS ,1
INCLUDING BOTH REGULAR AND SPECIAL ASSESSMENTS;2
(f) THE CLUB'S ANNUAL FINANCIAL STATEMENTS, INCLUDING ANY3
AMOUNTS HELD IN RESERVE FROM THE PRIOR FISCAL YEAR;4
(g) A LIST OF ALL CLUB INSURANCE POLICIES, INCLUDING, BUT NOT5
LIMITED TO, PROPERTY INSURANCE , GENERAL LIABILITY, PROFESSIONAL6
LIABILITY, AND FIDELITY POLICIES . THE LIST SHALL INCLUDE THE7
COMPANY NAMES , POLICY LIMITS , POLICY DEDUCTIBLES , ADDITIONAL8
NAMED INSUREDS, AND EXPIRATION DATES OF THE POLICIES LISTED.9
(h) ANY RELEVANT BYLAWS, ARTICLES, AND RULES OF THE CLUB;10
AND11
(i) T HE MINUTES OF THE EXECUTIVE BOARD AND MEMBER12
MEETINGS FROM THE PRIOR FISCAL YEAR.13
(4) (a) A PRIVATE MEMBERSHIP CLUB SHALL MAKE THE14
INFORMATION DESCRIBED IN SUBSECTION (3) OF THIS SECTION AVAILABLE15
BY:16
(I) POSTING THE INFORMATION IN A CONSPICUOUS MANNER ON THE17
PRIVATE MEMBERSHIP CLUB 'S PUBLIC WEBSITE AND SENDING AN18
ACCOMPANYING NOTICE OF THAT WEBSITE ADDRESS TO EACH PROPERTY19
OWNER THAT PAYS DUES OR FEES TO THE PRIVATE MEMBERSHIP CLUB VIA20
FIRST CLASS MAIL OR EMAIL; AND21
(II) MAILING OR PERSONALLY DELIVERING THE INFORMATION TO22
EACH PROPERTY OWNER THAT PAYS DUES OR FEES TO THE PRIVATE23
MEMBERSHIP CLUB.24
(b) A PRIVATE MEMBERSHIP CLUB SHALL MAKE THE INFORMATION25
DESCRIBED IN SUBSECTION (3) OF THIS SECTION AVAILABLE AT NO COST TO26
THE PROPERTY OWNERS.27
HB26-1316-4-
(c) A PRIVATE MEMBERSHIP CLUB SHALL MAKE THE INFORMATION1
DESCRIBED IN SUBSECTION (3) OF THIS SECTION AVAILABLE TO PROPERTY2
OWNERS WITHIN NINETY DAYS AFTER THE END OF THE PRIVATE3
MEMBERSHIP CLUB'S FISCAL YEAR AND PROVIDE UPDATED INFORMATION4
EACH FISCAL YEAR THEREAFTER.5
(5) (a) I F A PRIVATE MEMBERSHIP CLUB DOES NOT MAKE THE6
INFORMATION DESCRIBED IN SUBSECTION (3) OF THIS SECTION AVAILABLE7
OR OTHERWISE VIOLATES THIS SECTION, ANY COVENANT THAT REQUIRES8
A PROPERTY OWNER TO PAY DUES OR FEES TO THE PRIVATE MEMBERSHIP9
CLUB IS VOID AND UNENFORCEABLE UNTIL THE PRIVATE MEMBERSHIP10
CLUB MAKES THE INFORMATION DESCRIBED IN SUBSECTION (3) AVAILABLE11
IN ACCORDANCE WITH SUBSECTION (4) OF THIS SECTION.12
(b) (I) I F A PRIVATE MEMBERSHIP CLUB IS NOT IN COMPLIANCE13
WITH THIS SECTION , A PROPERTY OWNER IS NOT REQUIRED TO PAY ANY14
DUES OR FEES TO THE PRIVATE MEMBERSHIP CLUB AND MAY BRING A CIVIL15
CLAIM FOR RELIEF AGAINST THE PRIVATE MEMBERSHIP CLUB.16
(II) A PROPERTY OWNER THAT PREVAILS IN A CIVIL CLAIM AGAINST17
A PRIVATE MEMBERSHIP CLUB PURSUANT TO THIS SECTION MAY BE18
AWARDED ACTUAL DAMAGES, PUNITIVE DAMAGES, AND ATTORNEY FEES.19
SECTION 2. Act subject to petition - effective date. This act20
takes effect at 12:01 a.m. on the day following the expiration of the21
ninety-day period after final adjournment of the general assembly (August22
12, 2026, if adjour nment sine die is on May 13, 2026); except that, if a23
referendum petition is filed pursuant to section 1 (3) of article V of the24
state constitution against this act or an item, section, or part of this act25
within such period, then the act, item, section, or part will not take effect26
unless approved by the people at the general election to be held in27
HB26-1316-5-
November 2026 and, in such case, will take effect on the date of the1
official declaration of the vote thereon by the governor.2
HB26-1316-6-