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THANK YOU SENATOR ANNA MARIA RODRIGUEZ! By Eric Glazer, Esq.

THANK YOU SENATOR ANNA MARIA RODRIGUEZ! By Eric Glazer, Esq.

  • Posted: Oct 22, 2021
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THANK YOU SENATOR ANNA MARIA RODRIGUEZ!

By Eric Glazer, Esq.

A few weeks ago, I wrote a blog called  It’s Time To Stop A True Florida Farce.  The blog spoke about the fact that members of community association boards of directors can still get certified without taking an educational class.  Instead, they can sign a rather silly piece of paper that states they have read their governing documents and promise to enforce them.  What a joke.

I sent the column by e-mail to all Florida legislators, urging them to change the law and make certification through education mandatory.  Senator Anna Maria Rodriguez asked me to send her my proposed legislation.  I did.  I am happy and so proud to report that Senator Rodriguez filed Senate Bill 394 mirroring my proposed legislation.

 

There is no doubt that mandatory education will save the lives, properties and money of the millions of people who live in condominiums throughout the state.  Florida would be the first and only state to require a board member to take an educational course.  That would be an amazing bright spot for our state and no doubt would lead other states to eventually adopt similar requirements.

 

I had the pleasure of teaching my Condo Craze and HOAs Board Certification class last week in Miami and Palm Beach to so many people.  I taught the importance of having reserve accounts, having reserve studies done by qualified people and the danger in completely waiving the funding of reserve accounts year after year after year.  Interestingly enough, when I asked the crowd if the law should be changed to requiring at least some form of reserves and having the reserve study done by experts, EVERYONE RAISED THEIR HAND.  People want to be safe.  We learned a lot after the Champlain Towers disaster.

 

Think about this.  The Florida Legislature will no doubt make some massive changes to Florida law in this regard.  But if members of the Board are not required to attend an educational class, how in the world can they be expected to learn the new laws.  And by the way….I don’t want to hear the excused that these classes are burdensome.  They are offered on-line and they are offered for free.  Anyone who won’t devote a few hours a year to learning the new condo laws does not deserve to be on the board in the first place.

 

In any event, we owe a debt of gratitude to Senator Rodriguez for her efforts in taking this matter seriously.  Keep track of Senate Bill 394 and urge your local House Member and Senator to please support it.  If I never get another piece of legislation passed, this is the one that is nearest and dearest to my heart.  Education is the key to running a safe community.

 

Over a decade ago The Florida Legislature thought it was a good idea for members of condo and HOA boards to become “certified.”  Sounds like a good idea.  The problem is that the legislators  allowed for two ways to become certified. One way is by going over to your computer and printing a form that is on the DBPR’s website that basically says I read my governing documents and promise to enforce them.  You sign the form and you are now certified.  That’s it.  That’s all you have to do.  If you are a director of a condo, the form does not require you to acknowledge the existence of Florida Statute 718.  If you are a member of an HOA board the form does not require you to acknowledge the existence of Florida Statute 720.  The form is a joke.  The procedure is a joke and an embarrassment to The State of Florida.  In fact, many associations still have illegal provisions in their governing documents.  The current law actually allows you to become certified if you promise to enforce the illegal provisions in your governing documents.

 

As my kids go back to school today, I’m proud to say that the second way of becoming certified is by taking a course approved by the DBPR.  As so many of you now, I am most proud of the fact that I have certified over 20,000 board members throughout the state. Better yet, the attendees love it.  They learn about the requirement to fund reserves, Kaufman language, access to records, mandatory financial reporting, the role of the community association manager, legal ways for the board members to vote and hold meetings, preparation of budgets, the importance and hierarchy of your governing documents, rule making, actions of board members that constitute criminal conduct, ways directors can be removed from the board, the Marketable Record Title Act and the importance of preserving your governing documents in an HOA, obligations to maintain insurance, mandatory websites, material alterations, screening, approval and denial of occupants AND SO MUCH MORE.

 

It is an insult to every director who has been certified by taking a course to allow other directors the ability to get certified by signing a stupid self-serving form.  We are now repeatedly learning the hard way throughout our state that lack of knowledge can lead to catastrophic consequences in our communities.

 

MANDATORY EDUCATION FOR BOARD MEMBERS CAN SAVE LIVES. Florida has always led the way when it came to making community association laws that the rest of the country follows.  The State of Florida has the opportunity to become the first state in the country to require that directors become educated before assuming the incredible responsibilities that come with being in charge of our communities.  There is no excuse any longer for a Board member not to take an educational class.  Many law firms, like mine, teach the class on-line.  A board member never even has to leave his or her home in order to become certified.

 

I urge the members of The Florida Legislature to amend the condominium, co-op and HOA statutes to remove the ability to become “certified” by signing a form and instead require attendance at an educational course.  I already drafted the proposed legislation and it’s ready to be filed.  With all my heart, I believe lives can be saved, financial disasters can be avoided and it is in the best interest of the millions of Floridians who live in a community association.  Readers: please contact your legislators if you agree.

 

 

 

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The Florida Bar task force said Florida Condo Associations Need Reserves in Place for Major Safety Repairs!

The Florida Bar task force said Florida Condo Associations Need Reserves in Place for Major Safety Repairs!

  • Posted: Oct 19, 2021
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The Florida Bar task force said Florida Condo Associations Need Reserves in Place for Major Safety Repairs!

 

Here are seven findings of the 179 page report of the Surfside task force:

1- The absence of uniform maintenance standards outside of boards should be established.

2- Efforts to make condo repairs of life safety issues should no longer require a full vote of the association membership.

3- Thorough and consistent inspections should be required.

4- Boards should be empowered to borrow money to pay for life safety repairs.

5- Local governments can no longer rely upon sovereign immunity to protect themselves from civil claims.

6- The Florida legislature can no longer raid the $4 door tax trust fund by diverting that money to the general fund.

7- Thirty percent of that money should go towards educating boards and owners about repairs to make buildings safe

 

 

A task force report prepared by a section of the Florida Bar recommended that lawmakers overhaul the state’s condominium laws following the Surfside building tragedy that killed 98 people, urging a process to address inspections and ensure proper reserves are in place to make major safety repairs, among other issues.

The task force was formed by The Real Property, Probate and Trust Law Section of the bar, convening lawyers who deal with condominium and association laws. Its purpose was to recommend ways to prevent future failures, not to investigate or place blame for the 12-story building collapse.

“The lack of uniform maintenance standards or protocols, and the unguided discretion given to boards of directors to determine when, how, and if life safety inspections should be performed, requires legislative intervention,” concluded the 179-page report that was released earlier this week.

 

Champlain Towers was 40 years old and in need of major repairs when it collapsed on June 24. It’s led to officials looking at the need to ensure other aging structures are safe. The task force said 912,376 Florida condo units housing more than 2 million people are at least 30 years old, including more than 105,000 older than 50 years and nearly 328,000 built between 40 and 50 years ago.

Overall, Florida has more than 1.5 million condo units operated by 27,599 condo associations, the report said.

 

Among recommendations are giving association boards the right to make special assessments for major repairs to protect resident safety without a full association vote. It also requires associations to build up reserves for such projects as recommended by engineers in order to be able to pay for repairs. Those would be in addition to accounts in place for routine maintenance.

While the report said the vast majority of condominium associations are operating in a reasonably safe manner, there needs to be more consistency with inspections and the information provided in them needs to be available to residents.

“Unit owners and boards may also resist such maintenance because of cost, lack of reserves, disruption and inconvenience,” the report said.

The report also recommended allowing condominium boards to borrow money to pay for life safety repairs so the cost could be spread out over years.

Local governments should also have a higher level of accountability for inspection reports, including stripping them of sovereign immunity protections, which limit civil claims against government agencies to $200,000.

 

“Condominium residents should be entitled to rely on the inspections and reports performed by or on behalf of local governments, and local governments should not be able to avoid responsibility for the content and conclusion of building inspection reports,” it said.

Current law has limitations on associations and unit owners to take civil action against developers for design and construction flaws. Those limitations should be lifted, the report said.

The state division that oversees condominium education and compliance is largely funded by a trust fund built on a $4 per unit fee. The task force recommends the Legislature not be able to “sweep” the trust fund for other state budget purposes.

It also recommends that 30 percent of the trust fund be used to educate association boards and residents about obligations to make repairs to ensure buildings are safe.

 

Thank You, for the Article:  MARY ELLEN CAGNASSOLA 

 

 

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What happens when a board member who is in attendance at a board meeting fails to cast a vote on a matter brought before the board for a vote?

What happens when a board member who is in attendance at a board meeting fails to cast a vote on a matter brought before the board for a vote?

  • Posted: Oct 18, 2021
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What happens when a board member who is in attendance at a board meeting fails to cast a vote on a matter brought before the board for a vote?

by 

A director of the association who is present at a board meeting at which action on any corporate matter is taken is presumed to have assented to the action taken unless he or she votes against such action or abstains from voting. A director who abstains from voting on any action taken on any corporate matter is presumed to have taken no position with regard to the action. A vote or abstention for each member present must be recorded in the minutes of the meeting. Condominium: Section 718.111(1)(b), Florida Statutes Cooperative: Section 719.104(8)(b), Florida Statutes

 

Owners and the Board of Directors

Every association board I know want’s the owners in the community they serve to be informed and involved.  That is why we send out notices of board meetings and offer owners the ability to take part in those meetings by Zoom or in person.

The association’s board represents the owners of your association and has the important job of making decisions on behalf of the association. The board has a duty to protect the property value of the association’s owners along with the safety of visitors and residents to the association. They have a responsibility for oversite of association funds and association management.

The board is also charged with complying with and enforcing the associations governing documents, to do this they have the ability to hire professionals and advisors, including; managers, engineers accountants, attorneys and contractors and while in some cases the law requires then association to seek bids, it never requires the association to hire the low bidder. Instead, it is the board’s responsibility to choose the vendor and bid they feel fits the needs of the association best.

In many cases owners only take notice of board’s action when it effects their pocketbook; for example, when they receive a notice of special assessment, or their maintenance fees are increased. By that time the vote has most certainly been cast, as the meeting to discuss and approve the project or budget have already been held. The best time to get involved, so that you understand why an increase or assessment is necessary, and have a chance to provide input, is early. Attend board meetings, especially those to discuss projects, review contractor recommendations, and make decisions about what needs to be done.

The recent events at Surfside serve to point out what happens when important projects and/or maintenance are delayed due to unit owner objections to costs or project necessity.  These delays are often caused by a small group of very vocal unit owners that think they speak for the owners, when in fact it is the board that speaks for the owners, as they are the sole elected representatives of the owners.

At best the delays caused by these small vocal groups cost additional time and money, at worst they can be catastrophic. It’s important for owners to support the board when the time comes to proceed and that they participate early in the process, providing input and asking the questions they feel should be addressed before decisions are made and not after.

Royale Management Services, Inc. has been serving South Florida since 1984. The company was founded to provide high quality management and accounting services for business and individuals, Royale Management Services, Inc. expanded to the Community Association and Home Owner’s Association Management business in 2000.

Our team members are highly trained in all aspects of community association management and customer service. We take pride in delivering property management services that work!

Royale Management Services, Inc.
2319 N Andrews Avenue
Fort Lauderdale, FL 33311

Phone: (954) 563-1269
Toll Free: (800) 382-1040

Email: cam@rmsaccounting.com

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Is Your Association Prepared? Expect Supply Shortages – KBR Legal

Is Your Association Prepared? Expect Supply Shortages – KBR Legal

  • Posted: Oct 16, 2021
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Is Your Association Prepared?

Expect Supply Shortages  

There’s news once again reporting food and product supply shortages are on the horizon, if not already here, due to what can only be described as a logistics disaster. This morning’s news reported that there are thousands of shipping crates snarled in a logistical nightmare waiting to be off loaded with no relief in sight. One news source reported 250,000 crates are waiting to off load.  While no one is yelling “fire in a crowded theater,” (yet) it likely makes sense to get ahead of your association’s inventory needs. That said, hoarding is never a good idea. But, keeping extra inventory on hand may make sense until the supply chains are working correctly again.

   Sources for the following include CBS News, the Wall Street Journal and Axios:

“American families are going to face a two-pronged assault:

1. Empty shelves at toy and grocery stores
2. Inflated prices on the toys and groceries that are available

  At this very moment, there are 250,000 shipping containers stuck at sea off the east and west coasts, waiting to be unloaded and it could be months before they get to store shelves. But Biden is presiding over one of the biggest supply chain bottlenecks since WWII: [via CBS News]

  • Ships cant dock because ports are full
  • Ports are full because there aren’t enough truck drivers to take the shipping containers away
  • When truckers do arrive, the ports are poorly staffed and they can’t offload fast enough, resulting in truck drivers who used to pick up 20 loads/week, now only able to take six
  • The cost of shipping a container from China to the U.S. is now $20,000, four times higher than this time last year.

  It’s already begun: Stores across the country are already restricting supplies. Try not to have flashbacks to March 2020, but Costo and Walmart have announced they are limiting sales of toilet paper in some stores. And around the country, there are shortages of goods on shelves in Target, Costco, Home Depot, and Sears.

 Warning about your Christmas feast: Axios is reporting that food supplies will also be impacted: “Grocery stores could have limited quantities of a number of products heading into the holidays after some of the country’s biggest food manufacturers say they’re short on supply.”

The Boy Scout motto “Be Prepared” comes to mind!

 

 Rembaum’s Association Roundup

The community association legal news that you can use!

The free e-magazine for Community Association Managers, Board Members, Owners & Developers

Have an association related question? Find your answer at

RembaumsAssociationRoundup.com

 

Condo Board Member Certification via Zoom on October 22nd

Kaye Bender Rembaum offers free certification courses for homeowners’ association and condominium association board members. Please click here for more information!

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“The Great Resignation: A New Idea for Keeping Employees On the Job,” Human Resources Executive by Becker

“The Great Resignation: A New Idea for Keeping Employees On the Job,” Human Resources Executive by Becker

  • Posted: Oct 16, 2021
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“The Great Resignation: A New Idea for Keeping Employees On the Job,” Human Resources Executive

Ned Bassen / Becker 

By now, it appears well-established that employers generally may require COVID-19 vaccines for employees returning to work and may ask employees physically entering the workplace if they have been diagnosed with or tested for COVID-19. Employers also may require employees to come to work post-pandemic for legitimate nondiscriminatory reasons.

With the return to work looming, while many employers are discussing a “hybrid” remote/in-office work combination future, some employers either want employees back to the office full-time or for larger periods of time than employees would like.

But, what are employers’ rights when employees, especially millennials, don’t want to come back to the office and want to instead continue working remotely for their organization?

Not everyone wants to return to the pre-pandemic, 9-5 office lifestyle.

How (and sometimes when) to bring employees back into the office is a vexing decision that employers are currently or soon to be facing, along with how to give employees flexibility.

One recent study found that a “whopping 58% of workers say they would “absolutely” look for a new job if they weren’t allowed to continue working remotely in their current position.

The U.S. Department of Labor has reported that workplace resignations set a 20-year record in April 2021, with 4 million employees quitting their jobs. The global employment website Monster has said that 95% of employees are considering changing their jobs. (Read more on that here.)

Resigning employment has now reached such a new high level that quitting work post-pandemic has been labeled “The Great Resignation of 2021.”

What should employers do to ease the burden from employee departures when there will be difficulty finding qualified replacements?

To view the complete article, please click here.

 

For over 45 years, Ned Bassen has honed his expertise in labor and employment law. He is well-versed in litigating on behalf of and counseling defense contractors, financial institutions, universities and other nonprofit institutions and representing individuals accused of wrongdoing in connection with employment. His defense in such matters has included bankruptcy, employment discrimination, unlawful competition, poaching, corporate raiding, misappropriation of trade secrets, non-competes and other restrictive covenants, false claims, employment defamation and arbitration in the U.S. and internationally.

To learn more about Ned, please click here.

 

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New Requirements For Collection of Delinquent Assessments

New Requirements For Collection of Delinquent Assessments

  • Posted: Oct 08, 2021
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Requirements For Collection of Delinquent Assessments

Robert L. Kaye, Esq., BCS | Legal Morsels

The Florida Legislature has revised the procedures for collecting delinquent assessments, which add additional steps and delays for the owner to pay before legal action can commence and/or attorney’s fees can be recovered. Senate Bill 56 has revised Sections 718.116 and 718.121 for condominiums; 719.108 for cooperatives; and, Section 720.3085 for homeowners’ associations. With these changes, the collection procedures for all of these types of communities will be substantially the same. The new laws are effective July 1, 2021.
Initially, the new provisions have revised the time for the notices sent by the association attorney for condominiums and cooperatives to 45 days for both the pre-lien first letter and the post-lien notice of intent to foreclose. (Homeowners’ associations were already at 45 days.)
The most important and significant addition to this statutory change is the addition of a new notice requirement by associations before they may refer a matter to the association attorney for collection and recover the attorney’s fees involved. This written notice is required to be mailed by first class mail to the address of the owner on file with the association. If the address on file is not the unit or parcel address, a copy must be sent there as well. The association is also required to keep in its records a sworn affidavit attesting to the mailing. The new statute contains a form for that notice which is required to be substantially followed.
As the respective statutory provisions now indicate, associations must incur a minimum of 120 days of collection efforts before a foreclosure action can begin, with a total of three (3) separate required statutory notices. This includes the: (i) initial 30 day notice of the intent to refer the matter to the association attorney (for which no attorney’s fees can be charged to the owner); (ii) 45 days for the pre-lien notice period; and, (iii) 45 days for the pre-foreclosure lien period. As such, in order to best protect the interests of the association, it is recommended that the first 30-day notice be sent at the earliest possible date in the association collection process. This will typically be when the governing documents indicate the assessment to be “late”. Careful review of the governing documents by legal counsel should be undertaken to determine whether there is a specific “grace period” indicated in the documents before the assessment is considered late. Once that determination is made, the board should adopt a formal collection policy that incorporates these new statutory requirements, which will also need to be mailed to all owners. A new provision has also been added that begins with “If an association sends out an invoice for assessments. . .” to unit or parcel owners, such notice is to be sent by first class mail or electronic transmission (email) to the respective addresses for the owners that are in the association official records.
Moreover, if the association wishes to change the method of delivery of an invoice, the new Statute creates specific steps that must be followed precisely in order for the change to be effective. Specifically, a written notice must be delivered to the owner not less than 30 days before the change of delivery method will be implemented. The notice must be sent by first class mail to the address on file with the association. If the address on file is not the unit or parcel address, a copy must be sent there as well. In addition to the notice requirement, the owner must “affirmatively acknowledge” his or her understanding of the new delivery method. The written acknowledgment can be sent electronically or by mail, and must be maintained in the Official Records (although it is not available for inspection by other owners). However, without this acknowledgment, the association may not change the method of delivery. The Statute does not presently include a time frame for the owner to provide that acknowledgment or offer any remedy to the association if none is forthcoming. This can be particularly daunting or problematic when the association changes management companies, when the new company’s procedures differ from the prior company.
Before the association attorney can commence any collection work for an association, it will be necessary for the association to provide all of the backup documentation of the compliance with each of these new statutory requirements, as well as the information previously required (such as a current account ledger). If any of the documentation is missing with the initial turnover information, there will be delays in the collection process, which can be detrimental to the association operation. It is therefore imperative that these new procedures are fully integrated into the association operation without delay.
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Becker provides a variety of resources to help our community association board members, managers, and owners thrive.

Becker provides a variety of resources to help our community association board members, managers, and owners thrive.

  • Posted: Oct 08, 2021
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Becker provides a variety of resources to help our community association board members, managers, and owners thrive. From educational classes to a leading industry blog and podcast, informative videos, and other ancillary services and products geared exclusively to community associations, we’re here to help you navigate the complexities of community living.

 

NEW PODCAST
Take it to the Board with
Donna DiMaggio Berger

 

As leaders in Community Association Law, we not only helped write the law – we also teach it.
Becker’s robust continuing education program provides over 200 classes per year on a variety of topics ranging from board member certification to compliance, and everything in between.

Our most popular classes are now available online!

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Interdisciplinary Sea Level Rise Advisory Team

 

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Annual Retainer Benefits

  • Preferred Hourly Billing
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For more information on becoming an annual retainer client, please call 954.987.7550.

 

 

 

 

 

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It’s the Manager’s Fault, Or Is It? by KBR Legal

It’s the Manager’s Fault, Or Is It? by KBR Legal

  • Posted: Oct 05, 2021
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It’s the Manager’s Fault, Or Is It?

by KBR Legal

 

Few professions have more demands placed upon them than that of the Florida licensed community association manager (CAM). Depending on whom you ask, the CAM is the organizer, rules enforcer, keeper of secrets (meaning confidential and statutorily protected information not limited to the medical record of owners and attorney-client privileged information), best friend, the “bad guy” (a frequent misconstruction), and the first person in the line of fire when things go wrong; in other words, the one who takes all the blame and gets little credit when things go right.

 

When things at the association go wrong, what comment is most likely heard? “It’s the manager’s fault!” But, is it? Unless the manager failed to carry out a lawful directive from the board, breached a management contract provision, or violated a Florida statute, then in all likelihood, the manager has no culpability. CAMs are licensed by the State of Florida pursuant to Part VIII of Chapter 468 of the Florida Statutes, and there are statutory standards by which CAMs must conduct themselves.

 

Pursuant to §468.4334, Florida Statutes, “[a] community association manager or a community association management firm is deemed to act as agent on behalf of a community association as principal within the scope of authority authorized by a written contract or under this chapter. A community association manager and a community association management firm shall discharge duties performed on behalf of the association as authorized by this chapter loyally, skillfully, and diligently; dealing honestly and fairly; in good faith; with care and full disclosure to the community association; accounting for all funds; and not charging unreasonable or excessive fees.”

 

As set forth herein, statutory standards provide guidance to CAMs as to how they should conduct themselves. They must discharge their duties with skill and care and in good faith. They must act with loyalty to their association employer and deal with the association both honestly and fairly. They must provide full disclosure, which can be interpreted as both keeping the board informed of current events and providing disclosures of any conflict of interests. They must be able to account for all funds, too, which means both assessment income and expenditures; in other words, they must mind the budget.

 

Best practices for CAMs include becoming extremely familiar with the governing documents of the association (including the declaration, articles of incorporation, bylaws, and rules and regulations) and the financials of the association, walking the physical property, engaging with their team and residents, as well as providing weekly status updates to the board regarding all ongoing association business. If you are a CAM and do these things, then you have an opportunity to shine and stand head and shoulders above your peers and competition. This weekly status report is an excellent communication tool yet seems to be a rarity. CAMs should also make themselves available to owners. However, when an owner becomes offensive or insulting, the CAM should politely and firmly request that the owner communicate respectfully and in a professional manner. A CAM should always be financially transparent and should be extremely familiar with the management contract to fully understand her obligations and authority; for example, the limitation to spend association funds. Finally, the CAM should strive to keep a written record of her activities.

 

The two most obvious and biggest ways to get in trouble include committing acts of gross misconduct or gross negligence in connection with the profession or contracting on behalf of an association with any entity in which the CAM has a financial interest that is not disclosed. Disciplinary actions against a CAM fall under the purview of the Florida Department of Business and Professional Regulation (DBPR). Section 455.227, Florida Statutes, governs grounds for discipline, penalties, and enforcement.

 

For example, the following activities constitute grounds for which disciplinary actions may be taken by the DBPR (this list is not all inclusive): (i) making misleading, deceptive, or fraudulent representations in or related to the practice of the CAM’s profession; (ii) intentionally violating any rule adopted by the DBPR; (iii) being convicted or found guilty of, or entering a plea of guilty or nolo contendere (“I do not wish to contend”) to, a crime in any jurisdiction which relates to the practice of, or the ability to practice, a CAM’s profession; (iv) having been found liable in a civil proceeding for knowingly filing a false report or complaint with the DBPR against another CAM; (v) attempting to obtain, obtaining, or renewing a license to practice a profession by bribery, by fraudulent misrepresentation, or through an error of the DBPR; (vi) failing to report to the DBPR any person who the CAM knows is in violation of the laws regulating CAMs or the rules of the DBPR; (vii) aiding, assisting, procuring, employing, or advising any unlicensed person or entity to practice a profession contrary to law; (viii) failing to perform any statutory or legal obligation; (ix) making or filing a report which the licensee knows to be false; (x) making deceptive, untrue, or fraudulent representations in or related to the practice of a profession or employing a trick or scheme in or related to the practice of a profession; and  (xi) performing professional responsibilities the licensee knows, or has reason to know, the licensee is not competent to perform.

 

The Florida Administrative Code, in Rule 61E14-2.001, also provides standards for professional conduct which are deemed automatically incorporated as duties of all CAMs into any written or oral agreement for community association management services. A CAM must adhere to the following standards:

 

  1. comply with the requirements of the governing documents by which a community association is created or operated
  2. only deposit or disburse funds received by the CAM or management firm on behalf of the association for the specific purpose or purposes designated by the board, community association management contract, or the governing documents of the association
  3. perform all community association management services required by the CAM’s contract to professional standards and to the standards established by §468.4334(1), Florida Statutes
  4. in the event of a potential conflict of interest, provide full disclosure to the association and obtain authorization or approval; and
  5. respond to, or refer to the appropriate responsible party, a notice of violation or any similar notice from an agency seeking to impose a regulatory penalty upon the association within the timeframe specified in the notice.

In addition, during the performance of community association management services pursuant to a contract with a community association, a CAM cannot withhold possession of the association’s official records or original books, records, accounts, funds, or other property of the association when requested in writing by the association to deliver the foregoing to the association upon reasonable notice. However, the CAM may retain those records necessary to complete an ending financial statement or report for up to 20 days after termination of the management contract. Additionally, a CAM cannot (i) deny or delay access to association official records to an owner, or his or her authorized representative, who is entitled to inspect and copy the association’s official records within the timeframe and under the applicable statutes governing the association; (ii) create false records or alter the official records of an association or of the CAM except in such cases where an alteration is permitted by law (e.g., the correction of minutes per direction given at a meeting at which the minutes are submitted for approval); or (iii) fail to maintain the records for a CAM, management firm, or the official records of the association as required by the applicable statutes governing the association.

 

How do you know if your association requires a licensed community association manager? Pursuant to §468.431, Florida Statutes, if the association has 10 or more units or has a budget of $100,000 or more and the person is conducting one or more of the following activities in exchange for payment, the person must be a licensed CAM:

 

  1. controlling or disbursing funds of a community association
  2. preparing budgets or other financial documents for a community association
  3. assisting in the noticing or conduct of community association meetings
  4. determining the number of days required for statutory notices
  5. determining amounts due to the association
  6. collecting amounts due to the association before the filing of a civil action
  7. calculating the votes required for a quorum or to approve a proposition or amendment
  8. completing forms related to the management of a community association that have been created by statute or by a state agency
  9. drafting meeting notices and agendas
  10. calculating and preparing certificates of assessment and estoppel certificates
  11. responding to requests for certificates of assessment and estoppel certificates
  12. negotiating monetary or performance terms of a contract subject to approval by an association
  13. drafting pre-arbitration demands
  14. coordinating or performing maintenance for real or personal property and other related routine services involved in the operation of a community association, or
  15. complying with the association’s governing documents and the requirements of law as necessary to perform such practices.

However, a person who performs clerical or ministerial functions under the direct supervision and control of a CAM or who is charged only with performing the maintenance of a community association and who does not assist in any of the management services described above is not required to be licensed.

 

So, whose fault is it when things go awry? A CAM’s role is far different than that of a rental complex manager who often has decision-making authority. The CAM does not have that same type of decision-making authority. The CAM must take direction from the board and perform pursuant to the obligations set out in the management agreement and Florida law. It is the board of directors of the community association that actually makes the decisions. So, while the uninformed might blame the CAM, you now know that the buck stops with the board of directors. If you have further questions regarding a CAM’s responsibility, then please discuss this with your association’s lawyer.

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NO ASSOCIATION WEBSITE? WHAT ARE YOU WAITING FOR? By Eric Glazer, Esq.

NO ASSOCIATION WEBSITE? WHAT ARE YOU WAITING FOR? By Eric Glazer, Esq.

  • Posted: Oct 05, 2021
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NO ASSOCIATION WEBSITE?  WHAT ARE YOU WAITING FOR?

By Eric Glazer, Esq.

 

When the original bill was filed that required condominiums to have a website, the statute was only going to apply with condominiums of 500 units or more.  In effect, the statute would have applied to less than one percent of all condominiums in the state.  I met with the legislator who drafted the bill and suggested that the bill be revised to apply to all condominiums with 50 units or more.  The compromise was 150 units.

As we know, The Florida Legislature does not like to regulate HOAs, so for whatever reason, HOAs with 150 homes or more are not required to have a website.  Instead, if a homeowner wants access to records, they must make the request by certified mail, return receipt requested.  If the association ignores them, the unit owner has to ask for pre-suit mediation.  If that fails, the unit owner has to file a lawsuit.  All because they wanted copies of some of the official records.  It’s ridiculous.

Why not make your community more transparent and accessible now?  Who cares if you’re an HOA and you’re not required by law to have a website?  Set one up anyway, regardless of the number of homes you have.  Are homeowners in a 50 home community less entitled to see the records than an owner in a 150 home community?  Of course not.

If you’re in a condominium of less than 150 units, I understand that the law does not require your condominium association to have a website containing the official records.  So what?  Create one anyway.  I can tell you that over the past two years, as least as far as the larger condominiums go, there has been less arguments between owners and the board when it comes to being able to access the official records, simply because the association is required to have these official records on an association website.

I will also warn condominium associations that the DBPR is not fooling around when making sure that condominium associations with 150 units or more comply with the law.  They will investigate any complaint received from an owner who claims their association is not complying with the law.  They want those records posted on-line.  The association’s failure to do so can and will result in a fine for several thousand dollars.

Placing the records on-line frees up the manager’s valuable time because now they are less likely to have to respond to unit owner requests for access to records.  I’m looking forward to see how Rafael feels about the law.  Have you had success in your community with the association’s website?  If your community doesn’t have one, would you want one?

 

Absentee Owners and Unoccupied Condominium Units by Becker

Absentee Owners and Unoccupied Condominium Units by Becker

  • Posted: Oct 05, 2021
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Absentee Owners and Unoccupied Condominium Units

 

In condominium associations throughout the state, it is common for there to be seasonal unit owners who leave their units unoccupied during portions of the year. For associations faced with periodically unoccupied units in multifamily condominium buildings, there are distinct legal issues worth considering in advance of problems arising.

Florida’s Condominium Act (the “Act”) does not require absentee unit owners to have their unoccupied units periodically inspected for damage or deterioration. To overcome the absence of a statutory requirement, associations may adopt amendments to their declaration of condominium so that such inspection requirements are enacted to avoid problems originating in unoccupied units going undetected and/or unreported for long periods. Additionally, while the Act authorizes associations to “operate” association-installed hurricane protections to guard against damage to the condominium property, it does not require such protection to be installed. Therefore, it may be prudent to require all unit owners, including but not limited to absentee owners, to install such protection. To incentivize compliance, Section 718.111(11)(j), Florida Statutes provides that the responsibility for damages not paid for by insurance proceeds is shifted from the association to unit owners when such damages result from the unit owners’ failure to comply with the association’s declaration or rules.

The Act provides associations with an irrevocable right of access to enter units when necessary to undertake maintenance of common elements, and as necessary to prevent damage to common elements or to a unit. Associations should ensure that their documents or rules require a working key to all exterior doors and/or that contact information for local persons caring for unoccupied units be provided to the association. It is not recommended for an association to wait until an emergency arises before first contemplating how it will gain access to unoccupied units.

Fortunately, this subject is one that most association law practitioners have addressed in one manner or another. Condominium associations that find themselves concerned about unoccupied units are encouraged to discuss this with legal counsel so that a strategy for dealing with such units may be developed.

 

   Read and Learn through a wealth of Informative Articles Provided by Becker Lawyers and Partners.  https://www.floridacondohoalawblog.com/category/insight/

And don’t forget:  BeckerBALLOT.com  When your Community has a VOTE and you need simply the best way for everyone to be involved!

Once your Board adopts a Resolution which offers an online voting system option for your members, those members consenting to vote online will be invited to register and vote using BeckerBALLOT.

Your association will be asked to provide a roster of eligible voters (members who have consented) to BeckerBALLOT.

Eligible voters will be invited to activate their account online and vote!

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