BE CAREFUL ABOUT THE CABLE BILL
By
Eric Glazer, Esq.
Published February 17, 2020
Last week we discussed how the expenses of your condominium or
HOA get divided among all of the owners. The blog ended by
warning you that there is one type of expense that is not
subject to the standard rules, and that’s when it comes to your
association’s bulk cable and internet bill.
In both a condo and an HOA, regardless of whether or not the
documents allow for it, the board has the right to sign a bulk
contract for cable and internet services. The question is….how
is the cost of the cable bill divided among everyone?
The condo statute 718.115 states:
The cost for the services under a bulk rate
contract may be allocated on a per-unit basis rather than a
percentage basis if the declaration provides for other than an
equal sharing of common expenses, and any contract entered into
before July 1, 1998, in which the cost of the service is not
equally divided among all unit owners, may be changed by vote of
a majority of the voting interests present at a regular or
special meeting of the association, to allocate the cost equally
among all units. The contract must be for at least 2 years.
In other words, when it comes to the cable bill that the
association receives, that bill can be shared by the unit owners
equally, even if the governing documents make the larger units
pay more than the smaller ones for monthly assessments.
The HOA statute, 720.309 is similar and states:
(2) If the governing documents provide for the
cost of communications services as defined in s. 202.11,
information services or Internet services obtained pursuant to a
bulk contract shall be deemed an operating expense of the
association. If the governing documents do not provide for such
services, the board may contract for the services, and the cost
shall be deemed an operating expense of the association but must
be allocated on a per-parcel basis rather than a percentage
basis, notwithstanding that the governing documents provide for
other than an equal sharing of operating expenses. Any contract
entered into before July 1, 2011, in which the cost of the
service is not equally divided among all parcel owners may be
changed by a majority of the voting interests present at a
regular or special meeting of the association in order to
allocate the cost equally among all parcels.
Here is where the math can get even trickier. The condo and HOA
statutes state:
Any contract entered into by the board must
provide, and shall be deemed to provide if not expressly set
forth therein, that a hearing-impaired or legally blind parcel
owner who does not occupy the parcel with a non-hearing-impaired
or sighted person, or a parcel owner who receives supplemental
security income under Title XVI of the Social Security Act or
food assistance as administered by the Department of Children
and Families pursuant to s. 414.31, may discontinue the service
without incurring disconnect fees, penalties, or subsequent
service charges, and may not be required to pay any operating
expenses charge related to such service for those parcels. If
fewer than all parcel owners share the expenses of the
communications services, information services, or Internet
services, the expense
must be shared by all participating
parcel owners.
So, owners suffering from disabilities who cannot enjoy or do
not want these cable or internet services can opt out and not
have to contribute anything toward the association’s cable bill.
The bottom line is that over the past two weeks, we have learned
that more goes into the budget sometimes that first thought. No
matter what, make sure you are doing your budgets annually and
the board is passing them at meetings that have been properly
noticed.
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About
HOA & Condo Blog
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Eric Glazer graduated from
the University of Miami School of Law in 1992 after
receiving a B.A. from NYU. He has practiced community
association law for more than 2
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decades and is the owner of Glazer
and Sachs, P.A. a seven attorney law firm with offices in
Fort Lauderdale and Orlando and satellite offices in Naples,
Fort Myers and Tampa.
Since 2009, Eric has been the host
of Condo Craze and HOAs, a weekly one hour radio show that airs
at noon each Sunday on 850 WFTL.
See:
www.condocrazeandhoas.com.
He is the first attorney in the
State of Florida that designed a course that certifies
condominium residents as eligible to serve on a condominium
Board of Directors and has now certified more than 10,000
Floridians all across the state. He is certified as a Circuit
Court Mediator by The Florida Supreme Court and has mediated
dozens of disputes between associations and unit owners. Eric
also devotes significant time to advancing legislation in the
best interest of Florida community association members.
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