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Many cities REQUIRE new developments to have an HOA; a part of this is to build the infrastructure required by new developments without the city having to bear the costs. The age of the development, as well as its size often determines how strict the covenants are or are not. State and local law takes dominance over HOA restrictions to the extent of things mandated or forbidden by local or state law. However, HOA rules can be more strict than law. For example, if the city allows backyard poultry, the HOA does not have to allow it, unless it is phrased in such a way that it is a guaranteed right (pretty rare). On the other hand, if the city says "no poultry," the HOA cannot allow it.
Specific cases in point: some HOAs in Arizona had rules preventing flagpoles; the state legislature wrote new HOA law that guaranteed the right to display a US flag, but allowed the HOAs to govern the height and location of flagpoles (for example, a 20' limit on height of a pole would be allowed, and the HOA can specify setbacks, but they can no longer say "no flagpoles." Some municipal employees are required to keep their work car/truck at their residence, and in cases, these vehicles will not fit within a garage or sometimes even on the driveway. Many HOAs have "no parking on the street" rules. Again, the legislature wrote new law guaranteeing the right of municipal employees who are required to keep their work vehicle at their home the right to park on the street. The HOA can still fine for privately owned vehicles parked on the street, but not publically owned ones.