Connecticut State Department of Consumer Protection

Frequently Asked Questions for Community Association Managers

  1. Who is required to be registered with the Department of Consumer Protection under the Community Association Manager's Act?
  2. What are association management services?
  3. What are the requirements for registration?
  4. Where can I find the course and/or examination described above?
  5. How do I apply?
  6. When does my registration expire?
  7. How much does it cost?
  8. Is continuing education required?
  9. What are the required provisions of the contract between the association and the manager?
  10. Can I provide other services to the association?
  11. What is a commercially available insurance policy?

 

 
Answer:  A person who provides association management services for a fee and includes any partner, director, officer, employee or agent of such person who directly provides association management services on behalf of such persons
 
 
Answer:  means services provided to an association for payment including one or more of the following: (A) Collecting, controlling or disbursing funds of the association or having the authority to do so; (B) preparing budgets or other financial documents for the association; (C) assisting in the conduct of or conducting association meetings; (D) advising or assisting the association in obtaining insurance; (E) coordinating or supervising the overall operations of the association; and (F) advising the association on the overall operations of the association.
 
 
Answer:  Any person seeking an initial certificate of registration must submit a state and national criminal record check to the Department along with a completed application. State record check can be obtained from:

State Police Bureau of Identification

1111 Country Club Rd

Middletown, CT 06457

https://portal.ct.gov/despp.

A Federal Bureau of Investigation (FBI) Identification Record/Criminal Background Check.
Information can be obtained at: https://www.fbi.gov/services/cjis/identity-history-summary-checks

Each new applicant for registration must take a nationally recognized course and pass the National Board of Certification for Community Association Managers examination within one year from date initial registration is issued.

Any person issued an initial certificate of registration prior to 10/1/2012 who has held such certificate for less than ten years as of 10/1/2012, must take a nationally recognized course and pass the National Board of Certification for Community Association Managers examination on or before 10/1/2014.

Any person issued an initial certificate of registration before 10/1/2012 who has held such certificate for 10 or more consecutive years must complete a nationally recognized course on Community Association Management on or before 10/1/2014, but is exempt from the National Board of Certification for Community Association Managers examination.

Question 4. Where can I find the course and/or examination described above?

Answer: Current education and course information can be found at this link:https://www.caionline.org/LearningCenter/Education-for-Managers/Pages/default.aspx

Question 5. How do I apply?

Answer: Visit the Department’s website www.ct.gov/dcp and obtain a registration application. Fill it out and forward to the Department at 450 Columbus Boulevard, Suite 801, Hartford CT 06103.
 
 
Answer: Community association registrations expire January 31 every year.
 
 
Answer: The initial registration and application fee is $160.00 ($60 application fee + $100 initial registration fee). Fee is non-refundable and non-transferable. The renewal fee is $200.00 annually.
 
 
Answer: Currently there is no continuing education requirement.
 


Answer: No contract between a person contracting to provide association management services and an association which provides for the management of the association shall be valid or enforceable unless the contract is in writing and;

(1) Provides that the person contracting to provide management services shall be registered as provided in sections 20-450 to 20-462, inclusive, and shall obtain a bond as provided in section 20-460; and

(2) Provides that the person contracting to provide management services shall not issue a check on behalf of the association or transfer moneys exceeding a specified amount determined by the association without the written approval of an officer designated by the association; and

(3) Provides that the person contracting to provide management services shall not enter into any contract binding the association exceeding a specified amount determined by the association, except in the case of an emergency, without the written approval of an officer designated by the association.

No contract to provide management services may be sold or assigned to another person without the approval of a majority of the executive board of the association.


Answer: A community association manager may not provide services other than association management services for compensation to an association for which the community association manager also provides association management services unless:

(1) Such other services are provided pursuant to a written agreement between the person providing the other services and the association;

(2) the agreement discloses the relationship between the community association manager and such other person; and

(3) the agreement sets out the compensation for such services or one or more rates or formulas for which the compensation can be determined based on the services actually rendered under the agreement.

A community association manager may not enter into or offer to enter into any association management agreement which requires an association to obtain services other than association management services from the community association manager.
Any discounts, rebates, commissions or other consideration received by a community association manager on account of any goods or services furnished to an association or a unit owner or owners shall, except where prohibited by applicable law, ordinance or regulation, be credited to the association or a unit owner or owners, as appropriate, and not retained by the community association manager.
 
 
Answer: No person who provides association management services under the provisions of sections 20-450 to 20-462, inclusive, shall control, collect, have access to or disburse funds of an association unless, at all times during which the person controls, collects, has access to or disburses such funds, there is in effect, a commercially available insurance policy complying with the provisions of this section that provides protection of such funds belonging to an association from theft by a community association manager, a community association management company or its employees.

The commercially available insurance policy referred to in subsection (a) of this section shall:
(1) Be written by an insurance company authorized to write such policies in this state;
 
(2) except as provided in subsection (c) of this section, cover the maximum funds that will be in the custody of the community association manager at any time while the policy is in force, and in no event be less than the sum of three months' assessments plus reserve funds;
 
(3) name the association as obligee;
 
(4) cover the community association manager and all partners, officers, employees of the manager and may cover other persons controlling, collecting, having access to or disbursing association funds as well;
 
(5) be conditioned upon the persons covered by the policy truly and faithfully accounting for all funds received by them, under their care, custody or control, or to which they have access;
 
(6) provide that the insurance company issuing the policy may not cancel, substantially modify or refuse to renew the policy without giving thirty days' prior written notice to the association and the department, except in the case of a nonpayment of premiums, in which case ten days' prior written notice shall be given;
 
(7) contain such other provisions as the department may, by regulation, require.

The community association manager shall furnish a certificate of each policy required under this section, and every renewal or replacement thereof, on or before the date on which he commences providing association management services requiring a policy to any association or prior to the expiration of any prior policy furnished under this section.

A separate policy shall be furnished for each association for which a community association manager provides association management services including the handling of funds.