HAR §16-104-47. Creation of road maintenance funds

(a) The application for registration and the public offering statement shall include a complete description of any fund which is created to provide for the maintenance of roads within the subdivision. This description shall include the following information: 104-10 (1) A description of the method by which decisions are made about the use of such funds, including what voting rights each property owner has, whether a property owner must join a community association or similar organization in order to vote, whether there are any other conditions which must be met prior to exercising the right to vote, and how much each owner must pay to the fund and how often; and (2) A description of how the funds will be managed and by whom, where the funds will be deposited and whether the funds will be federally insured in that depository, whether interest will be earned on deposit and what kind of reports on the funds will be made to property owners. (b) The disclosures concerning road maintenance funds, if applicable, shall be separately stated and identified in language clear to owners and prospective owners. [Eff 8/8/87] (Auth: HRS §484-10) (Imp: HRS §484-10) SUBCHAPTER 8 PRACTICE AND PROCEDURES