1. Review the Condominium Documents.
An electric vehicle charging station (EVCS) will likely need to be located on the common elements or be hooked up to common elements. The condominium documents almost always require Board approval before a co-owner can make a modification to the common elements. The Board should review the condominium documents to determine the proper procedure for handling a common element modification request. Prior to making any determination, the Board should review the EVCS product specifications, building plans and any other information the Board believes will be pertinent to its decision. The Board may want to discuss the request with an engineer or other building professional as well. There may be aesthetic, monetary or safety reasons that may preclude a Board from allowing an EVCS. Some states such as California have laws that indicate charging stations must be allowed, subject to reasonable restrictions; however, Michigan is currently not one of them.
2. Enter into a Written Modification Agreement.
If the Board has authority to grant a common element modification request and desires to do so, the co-owner and the Board should enter into a written agreement setting forth the terms by which the charging station will be allowed. The Board should consult with the Association’s attorney and have the attorney draft the modification agreement. The modification agreement should be recorded in the Register of Deeds and be kept as part of the Association’s permanent books and records.
3. What Should be Included in the Written Modification Agreement?
While not an exhaustive list, a common element modification agreement for an EVCS often addresses the following issues:
- Has the co-owner obtained municipal approval, i.e. building permits?
- Will a designated parking spot need to be assigned to the co-owner?
- Who will be responsible for paying for the electricity for the EVCS and how much will be paid?
- Who will be responsible for maintenance, repair and/or replacement of the EVCS?
- Who will be responsible for obtaining insurance coverage on the EVCS? Who will be responsible for any damage to person or property caused by the EVCS? Will the co-owner be required to indemnify and hold harmless the Association for any damage caused by the EVCS?
- Will the co-owner have exclusive use of the EVCS or will other co-owners have access to it?
- Will the co-owner be required to remove the EVCS and return the common elements to their prior condition if they move?
Need assistance with preparing an EVCS modification agreement for your association? Contact us at 248.644.4433 or firstname.lastname@example.org.