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YOU
WANT REFORM?
HERE IT COMES…
I
HOPE
By
Eric Glazer, Esq.
Published
December 10, 2012
You
may recall that a few weeks ago I blogged about the fact that
members in an HOA have far less protection than unit owners in a
condominium. With
the help of Jan Bergemann from CCFJ www.ccfj.net,
and our lobbyist, I drafted legislation that would help HOA
members throughout Florida. Here are the
specifics of the first bill we are filing:
-
Just like in condominiums, require members of
H.O.A. Boards to become certified.
Shouldn't HOA Board members be required to know the law
as well?
-
The HOA statute would be amended to prohibit
officers and directors from receiving any type of kickbacks from
vendors who are awarded HOA contracts.
-
Just like in a condominium, the HOA statute would
be amended to require HOA directors and officers who want to do
business with the association to
disclose the relationship, and have two-thirds of the
other directors vote in favor of same.
-
Just like in a condominium, directors or officers
who are arrested for stealing association funds would be removed
from the Board pending a determination of their charges.
-
Just like in a condominium, the association would
be required to purchase insurance or fidelity bonding for all
persons who handle association funds.
-
Just like in a condominium, access to records
would be available within five days and the association would no
longer be allowed to charge personnel fees at an hourly rate to
owners who want copies. Owners
would also be allowed to use a cell phone or camera of their own
to photocopy the records.
It
would be difficult to come up with any reasons why any Florida
Legislator would be opposed to such a bill and I certainly
anticipate its passage.
The
second bill we prepared and filed attempts to do the following:
- Just like in condominiums,
HOA's would now regulated by the Florida Department of
Business and Professional Regulation.
All owners would be required to pay $4.00 per year to
the Division. In
return, the Division would be able to provide document
examiners, answer questions, provide educational materials,
investigate wrongdoing and more.
- All HOA's would be
required to utilize the election procedures that
condominiums use. If
20% of eligible voters participate in the election, the
election will be valid and no longer would a 30% quorum of
unit owners be required to attend the annual meeting in
order to have a valid election.
The condo election statute works and the HOA election
procedures are woefully inadequate.
-
Developers of HOA's
seem to maintain control of the association forever;
sometimes even decades after the community is built.
Our proposed legislation would require turnover of
the association to control of the unit owners when
development of all of the parcels that will ultimately be
operated by the homeowners' association has been completed,
some of the parcels have been conveyed to members, and no
other parcels are being offered for sale by the developer in
the ordinary course of business; When some of the parcels
have been conveyed to members and no other parcels are being
constructed or offered for sale by the developer in the
ordinary course of business; When the developer files a
petition seeking protection in bankruptcy; or When a
receiver for the developer is appointed by a circuit court
and is not discharged within 30 days after such appointment,
unless the court determines, within 30 days after
appointment of the receiver, that transfer of control would
be detrimental to the homeowners' association or its
members. NO
MORE LIFETIME DICTATORSHIPS.
Over
the next two months, we will keep you advised of the progress of
the bills and what you MUST do in order to get these changes
passed. Sitting back
and doing nothing is not an option.
If you want change, we are going to ask you for some help
by getting involved and calling your local House member and
Senator demanding their support for the bills.
Let's make some noise together and make sure that this
coming legislative session is not wasted like last year's
session was. Buckle
up….there's a bumpy road ahead.
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