Homeowners Association Bill of Rights in Florida &#8211; SB 1114/HB 919

Homeowners Association Bill of Rights in Florida – SB 1114/HB 919

Homeowners Association Bill of Rights in Florida

Homeowners Associations (HOAs) and Condominium Associations are private communities/common interest developments that govern millions of Floridians’ property and common areas.

These homeowner and condominium associations have the authority to set rules and regulations for the homes and common areas’ maintenance and appearance. They also collect fees from the homeowners to cover the costs of these services.

Some associations abuse their power and engage in fraud, corruption, or mismanagement, harming the rights and interests of the homeowners.

Hammocks HOA Fraud

For example, in 2022, four former board members and the husband of a former board president of the Hammocks HOA in Kendall were arrested and charged with multiple counts of organized “schemes to defraud,” “grand theft,” and “money laundering.”

They allegedly created several shell companies that posed as service providers and vendors to the Hammocks HOA and siphoned more than $2 million from the association’s accounts.

This case triggered a public outcry and a legislative response to improve Florida’s oversight and regulation of HOAs and condo associations.

Floridas Historic Capitol And Florida State Capitol 60k

Homeowner Protection from Florida HOAs and Condominium Associations

SB 1114/HB 919 are bills that aim to improve the oversight and regulation of homeowners’ associations (HOAs) and condominium associations in the state.
The bills are also known as the “Homeowners’ Association Bill of Rights.” The Florida legislature implemented these new laws in response to a case of alleged fraud and corruption involving the Hammocks HOA in Kendall.
The bills provide civil and criminal penalties for specific actions by an association’s officers, directors, or managers, such as breaching their fiduciary duties, engaging in fraudulent voting activities, or receiving improper personal benefits from association transactions.
The bills also provide some help and protections for homeowners who are members of an HOA or a condo association, such as allowing them to speak at board meetings, access official records, challenge fines or suspensions, vote by secret ballot, and avoid foreclosure for unpaid fees or attorney costs.
The bills revise provisions relating to official records, fines and suspensions, attorney fees and costs, liens, and removing and reinstating certain officers and directors from office.
The bills increase the enforcement powers of the Department of Business and Professional Regulation’s Division of Florida Condominiums, Timeshares, and Mobile Homes concerning civil matters and the Department of Law Enforcement about criminal matters related to HOAs and condo associations.
The bills create a Homeowners’ Association Advisory Council within the Division of Florida Condominiums, Timeshares, and Mobile Homes, consisting of seven members appointed by the Governor.
The bills were passed by both chambers of the Florida Legislature and signed into law by Governor Ron DeSantis on June 16, 2023. They took effect on October 1, 2023.
The bills cover both HOAs and condominium associations, private communities with different property ownership and responsibility types.
The bills may affect millions of Floridians living in HOAs or condo associations and those considering buying one.

Protect Florida Homeowner Rights

SB 1114/HB 919 are landmark pieces of legislation that aim to protect homeowners’ rights and interests in HOAs or condo associations in Florida.

They also aim to prevent fraud, corruption, or mismanagement by association leaders and board members, who may abuse their power or breach their fiduciary duties.

Civil and Criminal Penalties

With civil and criminal penalties for such actions and increasing the enforcement powers of state agencies, the bills seek to deter wrongdoing and hold offenders accountable.

By providing benefits and protections for homeowners, such as allowing them to speak at board meetings, access official records, challenge fines or suspensions, vote by secret ballot, and avoid foreclosure for unpaid penalties or attorney fees, the bills seek to empower homeowners and ensure their participation in association matters.

Creation of the Homeowners’ Association Advisory Council within the Division of Florida Condominiums, Timeshares, and Mobile Homes, the bills seek to foster communication and collaboration between homeowners, association leaders, state officials, and legislators on issues affecting HOAs and condo associations.