Two New Florida Real Estate Laws Took Effect on October 1
This article is meant for readers to keep up to date with new real estate laws which may affect them directly.
HB 919 concerns homeowners’ associations. The aim of the law is to enhance the transparency of Homeowners Associations (HOAs). In essence, the bill creates a bill of rights for homeowners. It lays out strict provisions for HOA officers and directors. The bill mandates the removal of an officer if they are charged with specific crimes. For example, certain HOA board members have been either guilty or been accused of taking kickbacks for capital projects. Additionally, some have been guilty of the crimes of forgery related to elections, theft or embezzlement of HOA funds, destruction of records, and obstruction of justice. The aim of the law is to make HOAs more accountable to residents.
To better protect residents, HB 919 also requires 30 days’ notice before issuing a fine. The HOA must now also hold a committee hearing before imposing fines on residents. This expanded time frame allows homeowners to better prepare themselves in their defense from any charges. Homeowners will now, also, have the ability to rectify any violation. If the homeowner is guilty of breaking a rule, paying the fine within the 30-day period will reduce the fine by half. The bill also serves to keep HOAs decisions transparent in all its details. For example, contractor’s bidding for a project will now have their bids wide open for all homeowners to view.
HB 919 also contains provisions that will make possible conflicts of interest more transparent. Additionally, it strengthens existing laws concerning the removal of HOA officers. The bill stiffens punishments for HOAs for providing false information, attempting to influence votes through bribery or intimidation, or altering ballots.
Another bill, SB 170, offers extra muscle to those challenging government ordinances.
The bill requires counties and cities and counties to produce a “business impact estimate” prior to passing an ordinance, with exceptions. The estimate must be published on the local government’s website and include certain information, such as the proposed ordinance’s purpose, estimated economic impact on businesses, and compliance costs. Homeowners may ask: but how does this affect me? The answer is any ordinance which affects local businesses, for example, could lead to higher costs at retail outlets.
HB 170, also, requires the suspension of the state or local law while the case is heard in the courts. And the law requires that the legal challenge be given priority over cases deemed less important.
To add even more punch to HB170, the law states that the court may award up to $50,000 to a plaintiff who prevails in court.