Enforcement consequences of not registering: Associations that do not register — or affirmatively opt out — cannot collect fines, charge accelerated assessments, place liens on properties, or initiate foreclosure. For most associations, opting out means losing nearly all enforcement authority.
Why registration matters
Under SB 406, every Georgia property owners’ association must make a clear choice: register with the Secretary of State and maintain full enforcement authority, or become a “nonregistered owners’ association” and surrender that authority.
The $100 annual registration fee is not the issue. The issue is what you lose by not registering. An association without lien and foreclosure authority has no meaningful way to compel payment of assessments from unwilling homeowners. For communities that depend on assessments to fund maintenance, landscaping, insurance, and reserves, this is an existential question.
Registered vs. nonregistered: what each means
✓ Registered Association
- Can collect fines for covenant violations
- Can charge accelerated assessments
- Can place liens on delinquent properties
- Can initiate foreclosure (subject to the new $4,000 threshold)
- Appears in state’s public HOA directory
- Subject to full SB 406 compliance requirements
✗ Nonregistered Association
- Cannot collect fines
- Cannot charge accelerated assessments
- Cannot place liens on properties
- Cannot initiate foreclosure
- Can still collect regular assessments through civil suit
- Fewer ongoing compliance obligations
The registration process
The Secretary of State’s office will establish the formal registration system once SB 406 is signed into law. Based on the legislation, the process will require:
Step 1: Gather your governing documents
You will need to have the following documents ready before initiating registration:
- Declaration of Covenants, Conditions, and Restrictions (CC&Rs)
- Bylaws
- Any amendments to either document
- Rules and Regulations (if separate from CC&Rs)
- Plat or survey of the community boundaries
If you do not have current copies of all governing documents, contact the county recorder’s office where your community is located. All recorded documents are available as public record.
Step 2: Prepare association information
You will need to provide basic information about your association including:
- Legal name of the association
- County of location
- Number of units or lots in the community
- Current board member names and contact information
- Registered agent information (if applicable)
- Current assessment amounts
Step 3: Conduct a compliance review of your governing documents
Before registering, it is strongly advisable to identify and address any conflicts between your existing governing documents and SB 406’s requirements. While registration itself does not require amended documents, enforcement actions taken under non-compliant language may be challenged.
Use the free Covenant compliance check to identify which provisions in your documents may need to be updated before or shortly after registration.
Step 4: File with the Secretary of State
The Secretary of State’s office will accept filings online through the Georgia Corporations Division portal. The annual registration fee is $100. Registration must be renewed each year to maintain enforcement authority.
Step 5: Amend governing documents as needed
Registration gives your association its enforcement authority back — but enforcement actions taken under provisions that conflict with SB 406 may still be challenged. Document amendments should follow registration in most cases.
How to amend HOA governing documents in Georgia
Amending CC&Rs or bylaws in Georgia requires following the amendment procedure specified in the existing documents, which typically requires:
- Notice to all homeowners of the proposed amendment
- A homeowner vote, usually requiring a supermajority (67%–75% approval is common)
- Recording the amendment with the county recorder
Some associations with older documents have amendment procedures that are difficult to satisfy (requiring near-unanimous consent, for example). An HOA attorney can advise on whether judicial intervention or a consent process is appropriate when the standard amendment procedure is impractical.
Timeline recommendation: Begin your governing document compliance review immediately. Identify required amendments before the registration deadline is set by the Secretary of State. Amendments that require homeowner votes take time to organize. Starting now gives your board the most flexibility.
What about communities with inactive or dormant HOAs?
Some Georgia communities have HOA covenants on record but associations that have not been actively governed for years. SB 406 does not eliminate these covenants. However, an inactive association that fails to register will be treated as a nonregistered association and lose enforcement powers. If there are unpaid assessments or covenant violations in your community, reactivating and registering the association may be worth considering.