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Find Blog Articles for Florida’s Condo, HOA and the Management Industry. 

FANNIE AND FREDDIE ARE ABOUT TO MAKE IT MUCH TOUGHER TO GET A LOAN TO BUY A CONDO.

FANNIE AND FREDDIE ARE ABOUT TO MAKE IT MUCH TOUGHER TO GET A LOAN TO BUY A CONDO.

  • Posted: Jan 25, 2022
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FANNIE AND FREDDIE ARE ABOUT TO MAKE IT MUCH TOUGHER TO GET A LOAN TO BUY A CONDO.

By Eric Glazer, Esq

 

IT MAY BECOME IMPOSSIBLE TO GET A NEW MORTGAGE IN MANY CONDOS

As if condos didn’t have enough problems, Fannie Mae and Freddie Mac have just come out with new guidelines that condos must follow.  Fannie Mae and Freddie Mac are government-sponsored agencies that purchase large quantities of home loans to keep money circulating throughout the home mortgage economy.   They won’t purchase these loans any longer unless:

Delinquent assessments for Established Condominium Projects

No more than 15% of the total number of units in a project are 60 or more days delinquent in the payment of their HOA assessments.

The Condo Must Have a Reserve Study

The reserve study must comply with the following requirements:

  1. The reserve study generally must include:
  • An inventory of major components of the project
  • Financial analysis and evaluation of current reserve fund adequacy, and
  • Proposed annual reserve funding plan
  1. A reserve study’s financial analysis must validate that the project has appropriately allocated the recommended reserve funds to provide the Condominium Project with sufficient financial protection comparable to Freddie Mac’s standard budget requirements for replacement reserves
  2. The reserve study’s annual reserve funding plan, which details total costs identified for replacement components, must meet or exceed the study’s recommendation and conclusion
  3. The most current reserve study (or update) must be dated within 36 months of the Seller’s determination that a Condominium Project is eligible
  4. The reserve study must be prepared by an independent expert skilled in performing such studies (such as a reserve study professional, a construction engineer, a certified public accountant who specializes in reserve studies or any professional with demonstrated experience and knowledge in completing reserve studies)
  5. The reserve study must meet or exceed requirements set forth in any applicable state statutes
  6. The reserve study must comment favorably on the project’s age, estimated remaining life, structural integrity and the replacement of major components

If the Seller relies on a reserve study that meets the requirements of this section, the project’s budget must contain appropriate allocations to support the costs identified in the study.

 

 

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KBR’s Seminar offerings at the Palm Beach Expo on February 1, 2022

KBR’s Seminar offerings at the Palm Beach Expo on February 1, 2022

  • Posted: Jan 25, 2022
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KBR’s Seminar offerings at the Palm Beach Expo on February 1, 2022

9:30am-10:30am
JUMPING INTO THE PRESENT: WHY UPDATING YOUR GOVERNING DOCUMENTS IS IMPORTANT
Instructor: Allison L. Hertz, Esq., BCS
One CEU in OPP or ELE
2:30pm-4:30pm
2022 LEGAL UPDATE
Instructor: Peter C. Mollengarden, Esq., BCS
TWO CEUs in LU (Legal Update)

 

Kaye Bender Rembaum will also be in attendance and offering seminars at the following Expos in February:

February 4th – Miami Beach Convention Center – Miami Beach
February 10th – Tampa Convention Center – Tampa
February 15th – The Signature Grand – Davie
The Kaye Bender Rembaum Team Remains Available To You and Your Community Association
Visit KBRLegal.com for awesome free resources, including 2021 Legislation, news with Legal Morsels and Rembaum’s Association Roundup, and our Event Calendar, including upcoming free classes.

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Problem with a Pipe in the Lower 48 call Me Ronnie-G “The Pipe Guy” Call or Text Ron Giles at 561-602-8660 or email ronnieg@prspipe.com

Problem with a Pipe in the Lower 48 call Me Ronnie-G “The Pipe Guy” Call or Text Ron Giles at 561-602-8660 or email ronnieg@prspipe.com

  • Posted: Jan 22, 2022
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Problem with a Pipe in the Lower 48 call Me Ronnie-G “The Pipe Guy” Call or Text Ron Giles at 561-602-8660 or email ronnieg@prspipe.com

 

It’s among the worst plumbing problems anyone can imagine. While big leaks or exploding pipes definitely aren’t pleasant, having sewage backing up your pipes into your home or basement is something most homeowners wouldn’t wish on their worst enemy. But it’s a problem that many people face. If you suspect your plumbing system might be at risk for a sewage backup, or you’ve had problems with this issue yourself, it’s important to know the risks involved and what you should do when this issue strikes.

 

Why Do Drains and Sewage Back Up?
Only a professional plumber can pinpoint the cause of your sewage backup problem. Some of the most common reasons include:
• Structural defects.
• Root infiltration.
• Improper flushes (items that shouldn’t be flushed down the toilet).
• Wet weather.
• Flooding around and under your home.
• Planning problems with sewage lines.
• Pipe blockages.
• Broken or leaking pipes.
 How Dangerous are Sewage Back Ups?
Sewage backups are among one of the worst plumbing problems because of the risk that they present to homeowners and residents. Sewage can spread illness, disease and even death. The National Resources Defense Council reports that nearly 2 million cases of illnesses are caused by sewage contamination each year. Sewage is full of contaminants, viruses and bacteria that pose a serious threat to people and their pets. In addition, sewage may contain other toxic substances like pesticides, residuals from pharmaceutical drugs, fungi and protozoan.
Here are a few of the most common bacteria that are found in sewage and what they can do the human body:
• E. Coli – Causes abdominal cramping, diarrhea and occasionally death.
• Acanthamoeba – Causes eye, nose, throat and ear infections.
• Salmonella – Causes abdominal cramping and diarrhea
• Helicobacter Pylori – Leads to increased chance of ulcers
• Hepatitis – Causes liver infection and liver failure
• Leptospirosis – Creates muscle aches and vomiting
• Coronavirus – Including COVID-19
Coming into contact with any of these contaminants can make you ill and send you to the emergency room. Having sewage back up in your home is a risk – and you need to call a plumber immediately.
Steps to Follow When Your Sewage Backs Up
The most important thing to do when you see sewage backing up is to call a plumber! Coming into contact with sewage due in any way – from skin contact to inhalation – can make you sick. Avoid contact completely, if possible.
If you have to cross the sewage filled area, be sure to wear rubber soled shoes and use a breathing mask. Once you’ve crossed, remove your shoes and any clothing that may have come into contact with the sewage.
3 Disease from sewage
 Page last updated: November 2010
Disease-causing germs can be spread from sewage if it is not disposed of properly or if people do not practice proper toilet hygiene (cleanliness). If a sewage disposal system is not properly maintained it will not be able to get rid of the sewage safely. For a sewage system to be properly maintained, all faulty (blocked, damaged, broken or worn-out) parts must be mended as soon as possible after they stop working correctly.
Diseases caused by germs:
Bacterial:
• salmonellosis
• shigellosis
• diarrhea
• trachoma
• melioidosis
Viral:
• gastroenteritis
• hepatitis A
Diseases caused by parasites:
• giardiasis
• dwarf tapeworm infection
• threadworm infection
• hookworm infection
• strongyloidiasis
These disease-causing germs and parasites can be spread:
• directly by people coming into contact with sewage or toilet waste (this can happen, for example, when people walk through sewage which has leaked onto the ground from broken sewage pipes) Or that has been ejected from a toilet that has a backed up vent system.
• indirectly by people:
• coming into contact with animals such as flies and cockroaches which carry the germs and parasites in or on their bodies. Dogs and cats can carry germs and parasites too
• drinking water which has been contaminated by sewage
How Sewer Line Problems Affect Your Indoor Air Quality
 When you think of the problems caused by a faulty sewer line, you might not think immediately think of poor indoor air quality. A pipe leak is an extremely inconvenient problem that quickly causes significant damage to other home fixtures. If you do have a problem with your sewer line, you need to address it quickly. The repairs might be costly, but the cost of health problems caused by your indoor air quality would be even worse.
The best thing to do for your system is add “sewer cleaning” to your to-do-list to avoid these problems. This simple service will keep your sewer system in good shape.
Signs You’ve Got a Leaky Sewer Line
Some building owners have trouble realizing that they’re having sewer line trouble until there’s a putrid smell emitting from their building. Here are some early warning signs:
• Puddles in Your Yard: A leak might cause some unexpected wet spots in your lawn.
• The Grass Is a Little Too Green: The sewage leaking from your line may be gross to you but it’s great to your plants—they use it as fertilizer. If you notice that your landscaping looks especially great out of nowhere don’t chalk it up to your green thumb, make sure you’re not having trouble with your sewer line!
• Cracking Concrete: Notice an odd amount of cracking? It might be due to the fact that your sewer line creates pressure that damages the foundation of your home.
• Sound of Running Water: Are you constantly hearing the sound of running water, but you can’t find the source? A leak in your sewer line could be the source.
Problems Caused by A Leaky Sewer Line
If you’re suffering from a sewer line problem, it’s not necessarily the leaks themselves that cause the damage, instead, it’s the mold, asbestos, and mildew that leaks create that cause the indoor air quality. These problems lead to a wide array of respiratory problems that put your health in danger. Often, these problems include:
• Irritation with your sinuses (throat, nose, and skin)
• Respiratory infections
• Sinus congestion
• Rashes
• Fatigue
• Longer colds
• Exacerbated asthma issues
What You Can Do
You can have your sewer cleaned! If you’ve noticed that you’re having trouble with backed up drains or toilets in your home, then you need sewer cleaning. It will greatly benefit your system.
Researchers are still working to determine exactly how the virus spreads, but the Centers for Disease Control and Prevention (CDC) says person-to-person spreading is thought to occur mainly through respiratory droplets produced when an infected person coughs or sneezes, similar to the flu. It’s not clear if the virus can be spread through fecal matter.
But because the two Hong Kong patients lived near one another in the same building and one apartment was found to have an exposed pipe, authorities are trying to determine whether the coronavirus could have spread through the sewage system.
During the SARS outbreak in 2003, pipes became a source of transmission and it spread through fecal matter. Hundreds of people in Hong Kong died during the SARS outbreak.

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Condo and HOA Expo: February 1st in Palm Beach, February 4th in Miami Beach and February 15th in Broward. See you there!

Condo and HOA Expo: February 1st in Palm Beach, February 4th in Miami Beach and February 15th in Broward. See you there!

  • Posted: Jan 22, 2022
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Condo and HOA Expo’s: February 1st in Palm Beach, February 4th in Miami Beach and February 15th in Broward. See you there!

 

Learn From The Industry Leaders

Get the tools and information you need to manage your condo or HOA more efficiently. Regional and national experts will offer insights into the latest industry trends and best practices in legal oversight, financing, maintenance, renovations, energy efficiency, administration, communication and more. Bring your questions to these lively, informative sessions and come away with a clear blueprint for improved management for the future.

 

Palm Beach County Convention Center
Tuesday, February 1, 2022

For one day only, the Palm Beach Convention Center will be packed with the latest products and services as well as an array of industry experts. It’s an unparalleled opportunity to make valuable connections and speak directly with local and national experts about the topics that are relevant to you and your property.

Get legal insights, financial advice, communication tips, proactive management solutions and much more from some of the region’s top professionals. This one-day event will also give you a sneak peek at the latest design trends gracing today’s most prestigious developments, plus innovations in building and remodeling and the newest energy efficiency options.

Register to Attend

 

 


Miami Beach Condo & HOA Expo
Join Us on February 4th!

For one day only, the Miami Beach Convnetion Center will be packed with the latest products and services as well as an array of industry experts. It’s an unparalleled opportunity to make valuable connections and speak directly with local and national experts about the topics that are relevant to you and your property.

Get legal insights, financial advice, communication tips, proactive management solutions and much more for some of the region’s top professionals. Attend FREE educational seminars and CEU courses covering all of today’s essential property management topics. This one-day event will also give you a sneak peek at the latest design trends gracing today’s most prestigious developments, plus innovations in building and remodeling and the newest energy efficiency options.

Register to Attend

 

 


The Broward County Condo & HOA Expo
Join Us Tuesday, February 15, 2022!

For one day only, The Signature Grand will be packed with the latest products and services as well as an array of industry experts. It’s an unparalleled opportunity to make valuable connections and speak directly with local and national experts about the topics that are relevant to you and your property.

Get legal insights, financial advice, communication tips, proactive management solutions and much more from some of the region’s top professionals. This one-day event will also give you a sneak peek at the latest design trends gracing today’s most prestigious developments, plus innovations in building and remodeling and the newest energy efficiency options.

Register to Attend

 


Condo, HOA and Property Management Expo
Tampa Convention Center

Thursday, February 10th, 2022

Seminars: 9:00 am – 4:30 pm  Exhibits: 10:30 am – 3:00 pm 

Sign up for the networking and educational event of the year! Get face-time with industry experts, browse the latest products and services and learn how to save thousands on the management and maintenance of your condo or HOA.

It’s the ONLY event to bring everything you need under one convenient roof for a single, information-packed day.

Registration is FREE for community association managers, board members, board presidents, active HOA members and industry professionals. Don’t delay… register for this one-of-a-kind event today!


Naples Condo & HOA Expo & Seminars
March 25, 2022

New Hope Event Center
7675 Davis Blvd. Naples, FL 34104

Seminars 9:00 am – 4:30 pm   Exhibits 10:30 am – 3:00 pm

Sign up for the networking and educational event of the year! Get face-time with the industry experts, browse the latest products and services and learn how to save thousands of the management and maintenance of your condo or HOA.

Registration is FREE for association managers, board members. Don’t delay!


Orlando Condo HOA Property Management Expo & Seminars
Orange County Convention Center-West Bldg
Tuesday, April 12, 2022

Seminars 9:00 am – 4:30 pm  Exhibits 10:30 am-3:00 pm

Sign up for the networking and educational event of the year!
Get face-time with the industry experts, browse the latest
products and services and learn how to save thousands on the
management and maintenance of your condo or HOA.

Registration is FREE for association managers, and board members. Don’t delay!


 

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“Fla. Construction Defect Bill Would Hurt Consumer Interests,” Law360 by Becker

“Fla. Construction Defect Bill Would Hurt Consumer Interests,” Law360 by Becker

  • Posted: Jan 21, 2022
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“Fla. Construction Defect Bill Would Hurt Consumer Interests,” Law360

Patrick C. Howell of Becker

Last year, Florida politicians attempted to weaponize Chapter 558 of the Florida Statutes and eviscerate the cause of action for violations of the Florida Building Code. Thankfully, that legislation died in committee and never saw the light of day.

Unfortunately, through H.B. 583 filed by Rep. Clay Yarborough, R-Jacksonville, and S.B. 736 filed by Sen. Travis Hutson, R-St. Augustine, developer-backed politicians are once again seeking to weaponize Chapter 558, and, this time, completely eliminate the tolling provisions in Section 95.11(3)(c) of the Florida Statutes for latent construction defects.

In their current iterations, Chapter 558 and Section 95.11(3)(c) are consumer- friendly provisions drafted and signed into law to protect Florida homeowners, homeowner associations and condominiums from defective construction, provide for the resolution of construction defect claims, and promote the settlement of claims without litigation.

Chapter 558 was passed by the Legislature years ago to assist with the resolution of claims outside of litigation. It requires that a party damaged by construction defects submit the claim to the at-fault developer or contractor, allows for inspections, and gives the developer or contractor an opportunity to settle the claim.

This process has worked effectively for many years and has resulted in countless settlements without expensive litigation. The changes proposed during this legislative session would severely damage Chapter 558 and the ability of homeowners, HOAs and condominiums to timely submit claims and foster settlements outside of court.

First, the proposed amendments take a heavy-handed approach with regard to owners, condos and HOAs versus developers and contractors. Under the changes proposed, if an owner, condo or HOA rejects a settlement offer, they must then prove that the offer wasn’t enough to address the repairs.

However, what is the penalty for a developer or contractor ignoring a properly served and documented Section 558 claim? Nothing. Just this one provision shows how anti-consumer and pro-developer this bill is.

Second, poison pill language has been worked into the bill that would require that a party receiving settlement funds (1) execute a contract to start repairs within 90 days; and (2) complete the repairs in one year.

Beyond the big government incursion into our day-to-day decisions, which is by itself disturbing, here’s the nightmare scenario this provision sets up: A condominium association has a multiparty claim against the developer, contractor, subcontractors and design professionals for a structure built with numerous defects to the roof, framing, stucco, foundations and windows.

The stucco subcontractor makes an offer to settle related to its scope of work. The owner accepts the offer. Under this bill, a contract to complete the repair to the stucco must be finalized within 90 days and the work must be completed within a year.

This is despite the fact that the owner has not settled with the contractor, developer, roofer, the window supplier or any of the other trades. So the work to the stucco gets completed, as mandated by this bill, and the claims continues against everyone else.

Two years later, the owner gets a verdict against the other parties and has the money to address the remaining defects. Unfortunately, the newly replaced stucco now has to be torn off to address the defective framing underneath the stucco, the windows installed in the stucco walls, and the roofs with kickouts and other elements adjacent to the stucco. It’s doubtful that anyone would ever accept a settlement offer under these circumstances.

This provision sets up for failure a claim made under Chapter 558, as well as the resulting settlement offer, at least for claims involving defects to more than one building element. As such, this amendment just won’t work for condominium towers, multifamily buildings, or homes constructed by dozens of different trades.

Third, the new proposed Section 558.0045 requires that the judge in a pending construction defect case appoint a third-party expert engineer, contractor or building code inspector to inspect the structures involved in litigation and issue a report 15 days later. The bill doesn’t detail how this appointed expert is to be paid beyond the statement that “the parties shall compensate the expert.”

So under this bill, each of the parties have the expenses of their own expert witnesses, plus now they have to share in the expense of an additional expert witness or witnesses. Wealthy developers will be easily able to foot the bill for these extra costs, but such will be a difficulty for an HOA, condominium or individual owner.

Despite the added expense required by this bill, the third-party expert does not have the ability to make any sort of decisions that bind any of the parties. So what really is the point? Also, it is unclear who would be the party contracting with the expert, and it’s hard to see any court signing off on such a contract. As such, what expert would expose themselves to the liability for these inspections without some contractual protection? Why would they?

Fourth, the new proposed Section 558.0046 requires that a claimant receiving compensation repair the defect. But why? If a defect renders a building uninhabitable and the plaintiff receives compensation for that loss, why shouldn’t they be able to demolish the building and use the settlement or verdict proceeds however they want?

The government should not be in the business of telling its citizens what to do with such proceeds.

Furthermore, settlements often occur because a plaintiff decides to take less than what they are owed, repair some defects and live with the others that don’t affect habitability. This provision would discourage such settlements, which goes against the very purpose behind Chapter 558.

As with last year’s disastrous bill, the proposed amendments to Chapter 558 also go so far as to insert big government into the relationship between a homeowner and their mortgage company. The amendments add a new subsection requiring that a homeowner with defects advise their mortgage company that they’ve asserted a construction defect claim as to the property and provide other details about the resolution of the claim.

This requirement could jeopardize the homeowner’s loan and expose the homeowner to inordinate amounts of red tape. There is nothing in the description of the bill advising as to the goal of this proposed change or what wrong it proposes to right. Note that no banking institutions or mortgage lenders have even requested this change to Chapter 558.

As such, and considering the other proposed changes to Chapter 558, it is assumed this is just another barrier that is being erected to dissuade homeowners, HOAs and condominiums from pursuing otherwise legitimate claims for construction defects against developers and contractors.

The proposed bill also tinkers with Section 95.11(3)(c) of the Florida Statutes, which establishes a four- year statute of limitations for construction defect claims. To protect consumers, the same provision also includes a provision that the statute of limitations does not begin to run on latent defects until the defect is discovered or should have been discovered with the exercise of due diligence.

To then in turn protect developers and contractors, there is an absolute bar to such claims 10 years after the completion of construction. This time period was shortened from 15 years to 10 a few years back. This absolute bar is known as the statute of repose. When the statute of repose runs on a claim, the homeowner, HOA and condominium is then forever precluded from bringing a claim against the developer or contractor.

However, under the amendments proposed by this bill, the concept of latency is completely removed from Section 95.11(3)(c). As such, if this law passes, courts will be required to apply a hard four-year statute of limitations for construction defect actions, with the time running from the certificate of occupancy, completion of the contract, etc. What this would mean for consumers is that the 10-year period for bringing claims based on latent defects would be effectively shortened to four years.

Thus, a developer would be able to complete a community and then maintain control over the HOA for just four additional years to run out the statute of limitations.

This change also completely disregards the nature of construction. As a condominium tower, townhome building, or home is built, trades working on the structure naturally cover up the work of the trades that came before them. The framer covers up the completed concrete foundation, the stucco and roofing contractors cover up the framing, the painter covers up the stucco, and on and on.

Thus, it is easy to see how defects can be hidden and not noticed by the end user owner for several years to come. Careful inspections along the way can forestall mistakes, but careful inspections don’t always occur.

Allowing affected owners or associations to sue over defects that have been covered up by contractors and developers keeps contractors and developers accountable and results in better construction. Taking such a cause of action away will just result in shoddy construction, and owners and associations will have no way of rectifying dangerous conditions on their property.

The proposed changes included in S.B. 736 and H.B. 583 would weaken consumer protections, increase litigation costs and result in the settlement of fewer claims outside of litigation. The changes to Chapter 558 and Section 95.11(3)(c) should be vigorously opposed by anyone who supports consumer rights for homeowners, HOAs and condominiums.

To view the original Law360 article, please click here. (Subscription required.)

Reprinted with permission from Law360.

 


Patrick C. Howell

Office Managing Shareholder

 PHOWELL@beckerlawyers.com

 

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Repair Erosion for a Healthier Waterbody by SOLitude

Repair Erosion for a Healthier Waterbody by SOLitude

  • Posted: Jan 21, 2022
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Repair Erosion for a Healthier Waterbody

Shoreline erosion can be detrimental to the health of your waterbody as well as the safety and value of your property.

The Many Effects of Erosion on Florida Lakes

Most communities throughout Florida utilize lakes and ponds to enhance the aesthetics of homes and golf courses, as well as support recreational opportunities such as boating and fishing for residents. The majority of these waterbodies were man-made for practical and functional purposes, such as capturing stormwater to prevent flooding or storing water to use for irrigation. Unfortunately, natural erosion of the shoreline is inevitable. It is an issue that only gets worse over time and should be addressed immediately, followed by consistent monitoring.

Effects of Shoreline Erosion in Lakes

Shoreline erosion is a serious issue for waterbodies of all sizes and uses. It can degrade shoreline property, increase the risk of flooding, interfere with recreational opportunities, and threaten aesthetic appeal. In many cases, the deep cracks and gullies that appear can expose sprinkler systems, drainage pipes, and electrical cables, leading to costly repairs. Likewise, due to the effects of erosion, lakefront homeowners may find that their property decreases in size and value over time.

When slopes become too steep, the shoreline can also become unsafe for residents, children, pets, and recreationers. Steep slopes increase the risk of someone falling into the lake and being injured. The steepness of the slope can also make it hard for someone to get out of the lake when they fall in. This can pose a significant liability for HOAsgolf coursescommercial properties, and private homeowners.

What Causes Lake Shorelines to Erode

Erosion has many natural causes:

  • Changing water levels due to seasonal rains and other weather events
  • Strong winds that cause waves to pound into banks and reduce stability over time
  • Improper drainage systems that allow stormwater runoff to cause damage, especially when the shoreline is exposed due to low lake elevation

The presence of nuisance fish and wildlife such as invasive armored catfish and otters that burrow into banks and cause them to collapse

Erosion Caused by Humans

Although these causes are natural, human activities can also increase the rate of erosion:

  • Clear-cutting of beneficial buffers composed of native vegetation removes the natural erosion protection provided by complex root systems that hold soil in place
  • Gardening and lawn care can cause excess fertilizer and pesticides to enter a waterbody, disrupting its natural health and balance
  • When too much land is covered by pavement or asphalt, these hard surfaces can accelerate the stormwater that enters a lake or pond, rather than allowing natural absorption into the soil

 

How Lake Shoreline Erosion Can Be Prevented

Despite the best efforts of HOAs, golf course superintendents, and municipalities, all waterbodies will experience erosion to some degree. However, there are many strategies to control or mitigate erosion.

 

Native Plants

Planting deep-rooted grasses and flowering vegetation will help retain, hold and stabilize the soil. This ground cover also helps to deter nuisance and invasive species from entering the aquatic ecosystem. It is imperative to use native plants rather than exotic species that are known to damage the habitat that nurtures beneficial fish, birds, and other wildlife.

Bioengineered Shoreline Control

Bioengineered erosion control technology is an excellent tool to restore shorelines and mitigate future erosion. Knitted ShoreSOX® and DredgeSOX® repurpose eroded muck by anchoring it to the shoreline for lasting stability. SOX solutions integrate naturally into the landscape and can be planted directly with vegetation for further erosion protection.

Riprap and Root Trap

With riprap, rocks are placed over a filter blanket to keep the soil in place. Similar to riprap, root trap is achieved by covering the rocks with topsoil and installing native, deep-rooted plants that contain the sediment in place as they grow.

Bulkheads and Retaining Walls

Bulkheads and retaining walls can be effective at controlling the effects of erosion; however, if not installed correctly, they run the risk of falling into the water or eroding from underneath and becoming unsafe.

Erosion Control Blankets

Coir logs or fiber roll material can be installed to slow down the movement of the water or create a “pooling” effect that allows sediment to filter out. They can be made of natural or synthetic fibers or a blend of straw, coconut fiber, or polypropylene (plastic).

Contact Us to Protect Your Shoreline Against Erosion

Call us at 866-781-8904 or complete the form below to get connected with an aquatic management expert.

 

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“Are Fines for Speeding Legal?,” Naples Daily News by Becker

“Are Fines for Speeding Legal?,” Naples Daily News by Becker

  • Posted: Jan 20, 2022
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“Are Fines for Speeding Legal?,” Naples Daily News

David G. Muller | 01.18.2022
ArticlePublication Naples Daily News

Q: My community has set up various speed monitoring devices along the most travelled road. The board is now fining residents for speeding violations. Is this legal? What is the process for imposing a fine and can these fines result in a lien? D.V.

A: Fines can be levied for violations of the governing documents, including speeding violations. Whether a fine can be recovered by the recording and pursuit of a lien depends on several factors, including the amount of the fine and what type of community association you live in.

Condominium and cooperative fines are capped at one hundred dollars per day and one thousand in the aggregate for continuing or ongoing violations. Homeowners’ association fines are likewise capped at one hundred dollars per violation and one thousand dollars in the aggregate, with one important difference. The declaration, articles, or bylaws for a homeowners’ association can authorize higher fines (this option is not available to condominiums and cooperatives).

Fining is retroactive and can begin accruing from the first day/time a violation is alleged to have occurred. There is no legal requirement to give a warning letter or opportunity to correct a violation before a fine is levied, although many associations do so as a matter of policy, especially for minor or first-time violations.

The board typically initiates the fining process by placing the matter on the agenda for a regular or specially scheduled board meeting to consider levying a fine. A majority vote of the board at a meeting where a quorum is present would be required to levy the fine, which should be levied as a specific amount.

After levy by the board, a hearing must be offered. The hearing is conducted by an independent committee appointed by the board. The committee, sometimes called “fining committee” or “compliance committee,” must be comprised of at least three (3) members of the association who are not officers, directors, or employees of the association, or the spouse, parent, child, brother, or sister of an officer, director, or employee.

At the fining hearing, the committee must afford basic due process and allow the accused to be heard, state his or her case, and challenge evidence against him or her. Ongoing or continuing violations only require a single notice and opportunity for hearing before the committee.

The committee’s sole decision is to either “confirm” or “reject” the fine levied by the board. If the committee rejects the fine, the matter is concluded. If the committee confirms the fine, the fine is deemed to be imposed. The association must provide written notice of the fine by mail or hand delivery to the owner and, if applicable, to any tenant or invitee of the owner. The fine becomes due 5 days after written notice is given.

Unpaid fines cannot by law be secured by a lien for condominium or cooperatives. In homeowners’ associations, the statute provides that a fine of one thousand dollars or more may be subject to a lien. Some argue that the governing documents need to also include the authority to impose the lien for unpaid fines, some argue the contrary, there are no appellate court decisions on the topic. You might also be interested in knowing that there are already two Bills filed for the 2022 Florida Legislative Session that address HOA fines. One Bill (SB 1362) would state that homeowners’ association fines cannot be secured by a lien. The other (HB 6103) would remove the statutory authority of homeowners’ associations to fine altogether. It will be interesting to see what happens to these Bills during the upcoming 2022 Legislative Session.

Collection of fines typically requires a suit in small claims court, and the loser of the case would normally be responsible for the winner’s attorneys’ fees.

The provisions of your individual association’s governing documents and the application of current laws is also an important issue, which should be addressed with the association’s attorney. Likewise, if the matter is contested in court, the judge will likely require proof from the association that its speed monitoring devices are reliable and properly calibrated and maintained.

To read the original Naples Daily News article, please click here.

David Muller is board-certified in Condominium and Planned Development Law and regularly provides practical advice that ensures the fiscal success and legal compliance of both commercial and residential community associations. He has significant experience in drafting governing documents and amendments, negotiating contracts, dispute resolution, and more. For David’s complete bio, please click here.

 

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Triploid Grass Carp- Can They Help Control Weeds on my Lake? By: Allstate Resource Management

Triploid Grass Carp- Can They Help Control Weeds on my Lake? By: Allstate Resource Management

  • Posted: Jan 18, 2022
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Triploid Grass Carp- Can They Help Control Weeds on my Lake?

By: Allstate Resource Management

The grass carp has been introduced throughout the world for aquatic weed control. The grass carp was considered for introduction into the U.S. primarily because of its plant-eating diet, which was thought to have great potential for the control of aquatic weeds.

Wide-scale use of the grass carp in Florida and many other states from 1970 to 1984 was limited and closely regulated due to fears about its reproduction and negative impact on sport fish. Since the grass carp’s potential for causing such problems was evident, early research focused on developing a fish that would be non-reproductive but would retain the grass carp’s herbivorous diet.

Research with the grass carp resulted in the production of a sterile triploid grass carp, which has an extra set of chromosomes. The triploid grass carp is produced in the same way as the diploid, except that fertilized eggs are subjected to heat, cold, or pressure shock result in the formation of fish with an extra set of chromosomes for a total of 72. The extra chromosomes make these fish sterile.

The grass carp is primarily a “grazer”; it tends to feed on the surface and in shallow water. The ability of grass carp to consume and utilize aquatic plants depends on the size of both plants and fish. Additional factors which influence the feeding behavior of grass carp include their size, age, gender, and population density, and the species, abundance, and location of plants within a body of water.

In Florida, a permit is required by law for the use or possession of grass carp. Only grass carp certified as triploid can be used in an aquatic weed management program. Allstate Resource Management recommends triploid grass crap in combination with a lake management program.

Speak with a lake management specialist on how we can develop a management program for your lake or pond!

 

 Contact Allstate Resource Management
 954-382-9766
 info@allstatemanagement.com 

 

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THERE MAY BE LOTS OF NEW SHERIFFS IN TOWN IF THIS BILL PASSES  By Eric Glazer, Esq.

THERE MAY BE LOTS OF NEW SHERIFFS IN TOWN IF THIS BILL PASSES By Eric Glazer, Esq.

  • Posted: Jan 17, 2022
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THERE MAY BE LOTS OF NEW SHERIFFS IN TOWN IF THIS BILL PASSES

By Eric Glazer, Esq.

Senator Anna Maria Rodriguez filed our mandatory condo education bill in Florida’s Senate.  But if you think she’s done trying to change additional condominium laws, you would be very wrong.  She also filed Senate Bill 274 which creates the Condominium Fraud Investigation Pilot Program.

According to the bill itself, the purpose of the program is to investigate condominium-related fraud and corruption in Broward, Miami-Dade, and Monroe Counties. The DBPR may contract with a private entity that employs retired law enforcement officers who have subject matter expertise in financial fraud to achieve the purpose of the program. The DBPR shall hire five law enforcement officers to carry out the purpose of the program. If the DBPR does not contract with a private entity, the DBPR must hire three financial investigators, five investigators with previous law enforcement experience, and three clerical employees to staff the program.

A person may submit a complaint to the Office of the Condominium Ombudsman. The ombudsman shall review all complaints submitted to the office and determine which complaints to forward to the DBPR for additional analysis and investigation under the program. If a complaint submitted to the office does not contain allegations of fraud or corruption, the ombudsman must forward the complaint to the Division of Florida Condominiums, Timeshares, and Mobile Homes.

 The DBPR has the power to subpoena, audit, and investigate for the purposes of the program. The DBPR may administer oaths, subpoena witnesses, and compel the production of books, papers, or other records relevant to investigations it conducts. If, after reviewing a complaint under the program, the DBPR finds sufficient evidence for criminal prosecution, it must refer the case to the appropriate state attorney for prosecution.

The program must be funded annually from the Division of Florida Condominiums, Timeshares, and Mobile Homes Trust Fund with funds specifically appropriated in the General  Appropriations Act.

This section is repealed October 2, 2027, unless reviewed and saved from repeal through reenactment by the Legislature.

 

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Security Tips for Managing the Association’s Bank Accounts Online  By: Sara K. Wilson, Esq. / Becker

Security Tips for Managing the Association’s Bank Accounts Online By: Sara K. Wilson, Esq. / Becker

  • Posted: Jan 14, 2022
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Security Tips for Managing the Association’s Bank Accounts Online

By: Sara K. Wilson, Esq.  Becker

Increasing numbers of people and small businesses, including community associations, have switched to managing their bank accounts exclusively over the internet.  Not surprisingly, these numbers surged even higher during the pandemic.  While online banking has become common place, so have incidents of cybercrime and fraud.  Banks of course use a variety of security measures to protect their customers’ accounts, but there are also steps that you as the customer should take to minimize risk.

  1. Verify that your bank is using the latest security technology in step with banking industry standards.
  2. Have a dedicated computer for conducting the association’s online banking, and make sure that computer stays current with anti-virus protection and updates. If the dedicated computer is a laptop, never conduct online banking in public spaces or use public Wi-Fi.
  3. Choose passwords that are complex by using a combination of letters, numbers, and symbols, and institute a policy for changing passwords on a regular basis. Limit the number of people who know the password to only those who are managing the accounts.  Passwords should not be recorded on personal computers or mobile devices or accessible to other owners, family members, guests, etc.  Avoid automatic logins to prevent unauthorized persons from easily accessing the association’s accounts.
  4. Be on high alert for phishing scams. Phishing is a technique that cyber-criminals use to gain sensitive information, like bank account numbers and passwords, through fraudulent emails and texts.  Your bank will never ask for your password via email or text; so if you receive such an email or text, delete it. Also beware of any email requesting that you “update your account,” or of any email warning of dire consequences if you do not act immediately.  If you are not sure whether the email came from your bank, contact your banking institution to verify whether they sent the email.  Because phishing scams are so prevalent, it is important to provide information about phishing to anyone who will be managing the association’s accounts online so they know what to look for.
  5. Reconcile your bank accounts on a regular basis – ideally daily – to avoid an irregularity going unnoticed. Inquire whether your bank sends alerts for transactions over a certain amount or if your account drops below a certain amount for added protection.

These are just a few of the steps an association can take to decrease risks when managing its bank accounts online. Because a community association has a fiduciary responsibility to its members, it is imperative that it takes the necessary steps to minimize potential cyber threats to its bank accounts. While there is no guarantee that even a well-protected system won’t be hacked, by adopting and following online banking security policies, an association greatly lessens its chances of being an easy target for a potentially devastating cybercrime.

Sara K. Wilson

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Can my HOA Collect if the Homeowner Declares Bankruptcy? by Axela Tech.

Can my HOA Collect if the Homeowner Declares Bankruptcy? by Axela Tech.

  • Posted: Jan 14, 2022
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Can my HOA Collect if the Homeowner Declares Bankruptcy?

by Axela Tech. / Mitch Drimmer

Bankruptcy is one of the most perplexing issues community association managers must deal with. It is the most complicated issue involved in condo and HOA collections. So YES, a condo or HOA CAN collect if a homeowner declares bankruptcy. But you must know what you are doing and how to do it.

What Is Bankruptcy?

Bankruptcy is generally taken to mean that someone is out of money. But the actual meaning, and the legal proceeding of bankruptcy, are a little more complicated. Declaring bankruptcy isn’t as simple as someone saying, “Sorry, I have no more money left,” it’s a legally determined state of being unable to pay off debts owed.

The goal of filing for and declaring bankruptcy is to create a more positive economic situation for everyone. By declaring bankruptcy, the person in debt pays off a portion of the owed debts, and the remainder is discharged, giving both sides an opportunity to benefit from a bad situation.

Certain types of debts generally can’t be discharged through bankruptcy, such as child support, alimony, student loans, and some tax obligations. However, money owed to condos and HOAs is considered consumer debt and is dischargeable when a homeowner declares bankruptcy.

money owed to condos and HOAs is considered consumer debt and is dischargeable when a homeowner declares bankruptcy

What Happens When a Homeowner Declares Bankruptcy?

Bankruptcy cases are handled by federal courts, and federal law defines six different types. The two most common types used by individuals are Chapter 7 and Chapter 13, named after the sections of the federal bankruptcy code where they are described.

Chapter 7 bankruptcy, the type most individuals file, is also referred to as a straight bankruptcy or liquidation. A trustee appointed by the court can sell some of the homeowner’s property and use the proceeds to partially repay creditors, after which their debts are considered discharged. Some types of property can be exempt from liquidation, subject to certain limits. Those include vehicles, clothing, household goods, tools of the trade, pensions, and a portion of home equity. Homeowners list the property they are claiming as exempt when you file for bankruptcy.

Chapter 13 bankruptcy, on the other hand, results in a court-approved plan for the delinquent homeowner to repay all or part of their debts over a period of three to five years. Some of their debts may also be discharged. Because it does not require liquidating assets, a Chapter 13 bankruptcy can allow a homeowner to keep their home, as long as they continue to make the agreed-upon payments. Chapter 13 bankruptcy is the most common kind of bankruptcy filing by homeowners attempting to save their homes from foreclosure.

Chapter 13 bankruptcy is the most common kind of bankruptcy filing by homeowners attempting to save their home from foreclosure.

Collecting After Bankruptcy is Filed

In community associations, the registered agent (generally your manager or board president) will receive a notice that an owner has filed for bankruptcy and action must be taken. HOA and condo collections are serious business and if the association does not respond appropriately, you may not be in line to recover any delinquent assessments when the case is discharged by the bankruptcy court.

It’s incredibly important to remember that once you get notice of a bankruptcy filing, the management company CANNOT contact the owner to request payments. If you have sent the file to a collection agency or attorney, you need to notify them so that they too can stop all collections activity.

The association’s attorney will need to respond to the notice of bankruptcy with a ledger of all amounts due to the association. This is called a “pre-petition” ledger and it covers everything that was owed from the time the property owner went delinquent until the time he/she petitioned the court for protection under the bankruptcy laws. This ledger of delinquent condo or HOA dues is sometimes referred to as a ledger “in rem.”

It’s incredibly important to remember that once you get notice of a bankruptcy filing, the management company CANNOT contact the owner to request payments.

Next, the association needs to start a new ledger which should be called the “post-petition” ledger which covers what is owed from the time the owner filed for bankruptcy going forward. The post-petition ledger has nothing to do with the bankruptcy proceedings and the delinquent owner should be paying their assessments as usual after the initial bankruptcy filing.

Many believe being in bankruptcy means nothing needs to be paid, but that is not accurate. If the association is not receiving post-petition payments, then when the bankruptcy is discharged, they need to immediately start collections activity.

If a homeowner declares bankruptcy and fails to pay the post-petition amounts (assessments and other debts owed to the association) the association can ask the bankruptcy court to lift the automatic stay and allow collection efforts to resume. If successful, the condo or HOA can continue pursuing the debt.

the delinquent owner should be paying their assessments as usual after the initial bankruptcy filing.

Monitoring After a Homeowner Declares Bankruptcy

Monitoring a bankruptcy is critically important. Axela Technologies does this for all files that are placed with us, whether they are already in bankruptcy or file during collections activity.

Often it happens that a bankruptcy has been discharged and the community association does not even know about it, so the debt keeps on piling up with no resolution in sight. Axela Technologies uses PACER which is a database of all bankruptcy cases in the United States. When a case is discharged, the association should know about it and Axela will move the file forward if the owner has not paid their post-petition amounts or does not adhere to the court’s settlement agreement.

Bankruptcy is there to help and protect people, but there are those who will game the system and will postpone payment or just completely default. These are files that need to be addressed and worked on without delay. Call Axela for a no-obligation review of our collection process and technology. Let us show you how the future collects!

 

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