Legislative Session And Condo Laws

We keep hearing that there will be no state bailout. Even this is vague. I have been told it means no free money and that the law will not be rescinded. The changes being presented are to define what Full Reserves mean and what needs to be included and SIRS priorities. There are also proposals to establish a loan program and or the ability to have Private Lender Laws changed to provide condominium relief.

Over the past few months, I have been asking Condominium Boards about collections when it comes to their assessment. This is important data when advocating for any type of funding. One larger condominium that I spoke with informed me that they have had zero defaults. I found this fascinating since many of the residents were extremely vocal that they could not afford the assessments. While no one desires to pay assessments, many are paying.

I have continued to inform residents that my major concern is our seniors, who are on fixed incomes. Many of our residents are part time and their condo is their second home. When the City, County and State evaluate how to spend taxpayer dollars we cannot justify spending money on second homes, when people cannot even afford a home or their rent. This is why we are hearing of no bailout.

The other major issue is many owners waive funding reserves to their own peril. In the Surfside case it resulted in a catastrophic loss of life. So there is not one legislator that wants to go back in time. Florida Governor Ron DeSantis held two workshops and was pushing for a special session but the Senate President said it was not necessary since both chambers were already meeting to discuss bills for the March Session. The Governor boasted about House Bill 1021 enhancing accountability for Condo Board Members, improved transparency for residents and strengthened enforcement mechanisms for those found to be out of compliance with safety standards.

Condominiums are also facing the requirement of an Engineered Life Safety System, ELSS. Just like many owners put off reserves, many put off implementing ELSS. For years they thought legislators could be lobbied to rescind the law. This year on January 1st, 2025, condominiums must have come up with a plan, then file for permits and have the work performed by 2026. This law will also not be changed.

The law does provide for the election of the type of system where sprinklers will be needed. Some buildings have opted to only put sprinklers in the hallways rather than in every single unit. Sprinklers are required in every commercial area of the building. I have received questions like “why do I have to pay now for something that will not be performed for another year or maybe two?” To acquire estimates and create plans, boards will require funding for engineering. In many cases, they will also have to execute contracts in the first year to submit for permits.

As the Legislative Session continues, I will keep residents informed and updated on any changes to state law. At this point, I believe there may be slight changes but currently buildings must perform Milestone Inspections for 40 and 50 years and address building deficiencies. I also want to stress that if your building has passed Assessment, unit owners continue to pay for them. This includes ELSS. Just like a Tax Bill, your condominium board is responsible to ensure your buildings are safe and lack of payments will put owners in default.

As always, I am available anytime for your questions, concerns, and ideas to make our City a better place on my Phone/Text at: (954) 632-5700. Or you can email me at: jcooper@cohb.org. Please visit me on my Facebook page at: Mayor Joy Cooper. Like! Follow! And share! You may also subscribe at: www.mayorjoycooper.com