Joe Foster's Blog

New proposed legislation for condo and homeowner associations take aim at delinquent owners

The Florida Legislature doesn’t meet for another couple of weeks, but lawmakers and lobbyists are already drafting new legislation for condominium and homeowner reform. The big question is: Will the changes most wanted by condominium and homeowners stand a chance of becoming law this year?

Some have suggested that Florida needs more laws to protect associations from owners who stop paying maintenance fees, especially at a time when condo and homeowners associations face enormous financial problems due to foreclosures. With that in mind, there's a good chance lawmakers will try to offer Florida associations and owners more power.

Of course, it's too early to predict which laws will be passed, and which will be rejected. The best way for owners to protect their interests and rights is to stay on top of proposed legislation — and consider contacting state representatives directly to voice their concerns and opinions.

Several bills have already been introduced in the House and Senate covering dozens of proposals supported by formidable lobbying groups, such as the Community Association Leadership Lobby (CALL) and the Community Association Network (CAN). Both CAN and CALL are associated with the state's largest community association law firms, so they have a strong chance of making into the law books.

Some proposals aim to make homeowners association laws more in check with condo laws, for example, disallowing convicted felons from serving on HOA boards. Others seek to fine-tune the existing laws. Earlier this month, Senator Mike Fasano, R-New Port Richey, introduced a glitch bill that largely attempts to clarify laws — more specifically, the language of the laws — that were passed last year.

For example, Fasano's bill, which was drafted with the help of CALL lawyers, would amend statutes to permit owners to consent to the disclosure of personal identifying information. That will mean associations would be allowed to publish membership directories that may include names, addresses and phone numbers of owners.

Below are some of the bills that are worth watching:

Rent collection from delinquent owners: CAN supports legislation that would clarify that condo associations have the right to collect the full rent from a tenant living in a unit of an owner behind in maintenance payments until those payments are current. The current law is vague, says CAB, and can possibly be interpreted to allow the collection of only a portion of the monthly rent.

Liens against delinquent owners: The law currently allows cooperative associations to file a lien if an owner does not pay fees charged by management companies and incurred by the association during the collection process. Fasano's bill seeks to add a similar provision to the condominium and HOA statutes.

No pools, Internet and cable TV for delinquent owners: Sen. Gwen Margolis, D-Sunny Isles, introduced a bill that adds teeth to a law passed last year allowing condo associations to prevent owners behind in payments from using the community amenities including, but not limited to recreational facilities, pools, gyms, meeting rooms, as well as cable television service, Internet service and valet service.

Association employee records: The bill would specify that although personnel records of association employees are not available for inspection by owners, the owners will be permitted to inspect employee agreements and budgetary and financial records that indicate the compensation paid to employees.

As the world of real estate evolves and reinvents itself, it’s no surprise that the associations have to make their own adjustments to ensure basic survival.

Portions of this blog were taken from the column of Daniel Vasquez, a writer for the Sun Sentinel.