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HOA
REFORM BILL H 7119 --
ORDERED
ENROLLED
Companion
Bill To S 580
Tallahassee,
April 27, 2013
The
bill was today Ordered Enrolled and is on the way to the desk of Governor Rick
Scott. Let's just hope that our Governor will sign this very consumer-friendly
bill into law!
THE
BILL SUMMARY
q
CAM (FS 468.436):
Adding
Disciplinary proceedings for violations of
Florida
statutes Chapter 718, 719 and 720 during the course of performing community
association management services.
q
Records:
§
Records have to be made
available for inspection within 45 miles or within the county.
§
The association can
make records available to a parcel owner electronically via the Internet or by
allowing the records to be viewed in electronic format on a computer screen
and printed upon request.
§
The association must
permit a member to take photographic images of such records with a camera or
other electronic device at no charge.
§
Disallows charges of
more than $20.00 per hour for personnel fees and charges at an hourly rate for
vendor or employee time to cover administrative costs to the vendor or
association.
§
Association may only
charge up to 25 cents per page for copies made.
§
If copies are made
by an outside duplicating service vendor or association management company
personnel the association may charge the actual cost of copying, as supported
by the vendor invoice.
q
Reserve Accounts:
§
Requires the budget to
designate the components for which the reserve accounts may be used.
q
Reporting Requirement:
§
Each
homeowners' association has to report to the Division by November 22, 2013,
detailed information
about the association.
q
Officers and Directors:
§
HOA board members
are now required to certify in writing to the secretary of the association
that he or she has read the association’s declaration of covenants, articles
of incorporation, bylaws, and current written rules and policies or provide
the secretary with an educational certificate stating that the board member
has satisfactorily completed an educational curriculum administered by a
division-approved education provider.
§
Requirements for
contracts with companies where a director has a financial interest; comply
with FS 617.0832
§
Disallows kickbacks
to officers, directors, or managers.
§
Removes a director or officer charged by information
or indictment with a felony theft or embezzlement offense involving the
association’s funds or property from office.
§
Requires
every association to maintain insurance or a fidelity bond for all persons who
control or disburse funds of the association.
q
Amendment of Governing Documents:
§
30 days after
recording an amendment to the governing documents, the association shall
provide copies of the amendment to the members.
q
HOA Elections:
§
Changes
to nominations of candidates before election.
q
Transition of
Association Control on HOAs if:
§
the developer abandons or
deserts the responsibility to maintain and complete the advertised amenities
or infrastructure.
§
the developer files a petition seeking protection in
bankruptcy (chapter 7);
§
the developer loses title to the property through a
foreclosure action or the transfer of a deed in lieu of foreclosure;
§
a receiver for the developer is appointed by a
circuit court and is not discharged within 30 days after such appointment.
q
Election of
Board Members in developer-controlled HOAs:
§
Members other than the developer can elect one board
member after 50% of all parcels are conveyed to members.
q
Prohibited
Clauses in documents:
§
Prohibiting
a developer from unilaterally making amendments to the governing documents
that are arbitrary, capricious, or in bad faith; destroy the general plan of
development; prejudice the rights of existing nondeveloper members to use and
enjoy the benefits of common property; or materially shift economic burdens
from the developer to the existing
nondeveloper members.
q
Clarification
"Previous Owner":
§
For the
purposes of this subsection, the term “previous
owner” shall not include an association
that
acquires title to a delinquent property through
foreclosure or by deed in lieu of foreclosure.
THE
FINAL VERSION OF H7119/CS
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