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Home Source documents House of Representatives Staff Analysis — PCS for HB 919 Homeowners' Associations (3/26/2023)

House of Representatives Staff Analysis — PCS for HB 919 Homeowners' Associations (3/26/2023)

Issuer
Congressional materials
Document type
2023 3236 Regulatory Reform Economic Development Subcommittee Proposed Committee Bill Anal

Summary

A House of Representatives staff analysis dated March 26, 2023 of the proposed committee substitute for HB 919, Homeowners' Associations, sponsored by the Regulatory Reform & Economic Development Subcommittee, with SB 1114 listed as a similar bill. It describes current Florida law under ch. 720, F.S., and the bill's proposed changes. The analysis states that the bill requires removal of an HOA officer or director charged with listed crimes, creates criminal penalties for kickbacks and fraudulent voting activities, and adds conflict-of-interest disclosures. It also describes changes to fines and suspensions, including at least 30 days' notice before a hearing, and rules for member deposits. It reports no fiscal impact on state or local governments and an effective date of July 1, 2023.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Cite this document

“House of Representatives Staff Analysis — PCS for HB 919 Homeowners' Associations (3/26/2023).” Original at www.flhouse.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-3236-regulatory-reform-economic-development-subcommittee-proposed-committee-bill-analyses-fn-pcs0919-rrs/, SHA-256 b7ab9d00cef542f5fb0ebc901389872646f70f900257e9a26e874ca4c5cdcce9.

Full text

                                  HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #:     PCS for HB 919 Homeowners' Associations
SPONSOR(S): Regulatory Reform & Economic Development Subcommittee
TIED BILLS:       IDEN./SIM. BILLS: SB 1114

  REFERENCE                                                   ACTION                  ANALYST            STAFF DIRECTOR or
                                                                                                         BUDGET/POLICY CHIEF

  Orig. Comm.: Regulatory Reform & Economic                                           Wright             Anstead
     Development Subcommittee

                                            SUMMARY ANALYSIS
A homeowners’ association (HOA) is an association of residential property owners in which voting membership
is made up of parcel owners and membership is a mandatory condition of parcel ownership. HOAs are
authorized to impose assessments that, if unpaid, may become a lien on the parcel. HOAs may levy fines
against or suspend certain access rights of a parcel owner for failing to comply with the HOA’s governing
documents. In addition, Florida law requires officers and directors of an HOA to comply with certain
requirements and may be removed from office under certain circumstances.

Related to HOA officers and directors, the bill:
    Provides that an officer or a director must be removed from office if charged with the following crimes:
           o Forgery of a ballot envelope or voting certificate used in a homeowners' association election.
           o Theft or embezzlement of funds of an HOA.
           o Destruction of refusing to allow inspection of certain HOA records in furtherance of any crime.
           o Obstruction of justice.
    Provides criminal penalties for accepting kickbacks and certain actions of fraudulent voting activities.
    Provides additional requirements for disclosing officer or director conflicts of interest.

Related to HOA fines and suspensions, the bill:
    Provides that fines may not be aggregated to create a lien against a parcel.
    Provides that a fine or suspension levied for a violation by the HOA board of administration may not be
       imposed unless the board first provides at least 30 days' notice to the parcel owner of a hearing before
       a committee. If the committee determines that a violation does not exist, then no other action may be
       taken related to that alleged violation.
    Allows a member to cure a violation. If a violation is cured before the hearing, a fine or suspension may
       not be imposed and attorney fees and costs may not be awarded. If the violation is cured within 30
       days after delivery of the written notice of what fine or suspensions the committee imposed, the fine is
       reduced by 50 percent, any applicable suspensions must be lifted, and attorney fees and costs may not
       be awarded.

Related to HOA funds, the bill:
    Requires that if an HOA collects a deposit from a member to pay for expenses that may be incurred as
       a result of construction on a member's parcel, or other reason for such deposit, such funds must not be
       comingled with any other HOA funds.
           o The member may request an accounting of such funds and the HOA must remit payment of
               unused funds within 30 days after completion.

Related to HOA official records, the bill requires an HOA to allow a member to keep an address different than
the property address to be used for all required notices.

The bill does not appear to have a fiscal impact on state or local governments.

The bill provides an effective date of July 1, 2023.



This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: pcs0919.RRS
DATE: 3/26/2023
                                               FULL ANALYSIS

                                         I. SUBSTANTIVE ANALYSIS

    A. EFFECT OF PROPOSED CHANGES:
        Homeowners’ Associations

        A homeowners’ association (HOA) is an association of residential property owners in which voting
        membership is made up of parcel owners and membership is a mandatory condition of parcel
        ownership. HOAs are authorized to impose assessments that, if unpaid, may become a lien on the
        parcel.1

        Only HOAs whose covenants and restrictions include mandatory assessments are regulated by ch.
        720, F.S., the Homeowners’ Association Act (HOA Act). Like a condominium, an HOA is administered
        by an elected board of directors. The powers and duties of an HOA include the powers and duties
        provided in the HOA Act, and in the association’s governing documents, which include the recorded
        covenants and restrictions, together with the bylaws, articles of incorporation, and duly adopted
        amendments to those documents.2

        An HOA must be a Florida corporation and the initial governing documents must be recorded in the
        official records of the county in which the community is located. The powers and duties of an
        association include those set forth in the HOA Act and in the governing documents, except as expressly
        limited or restricted in the HOA Act.

        After control of the HOA is obtained by members other than the developer, the HOA may institute,
        maintain, settle, or appeal actions or hearings in its name on behalf of all members concerning matters
        of common interest to the members. The HOA may defend actions in eminent domain or bring inverse
        condemnation actions. Any individual member or class of members may bring any action without
        participation by the HOA, but member does not have authority to act for the HOA by virtue of being a
        member.3

        No state agency has direct oversight over HOAs. However, Florida law provides for a limited mandatory
        binding arbitration program, administered by the Division of Condominiums, Timeshares and Mobile
        Homes, within the Department of Business and Professional Regulation, for certain election and recall
        disputes.4

        Powers and Duties of Officers and Directors – Current Situation

        The officers and directors of an HOA have a fiduciary relationship to the members who are served by
        the HOA.5

        A director or officer charged by information or indictment with felony theft or embezzlement involving
        the HOA’s funds or property is removed from office. The board must fill the vacancy according to
        general law until the end of the period of the suspension or the end of the director’s term of office,
        whichever occurs first. However, if the charges are resolved without a finding of guilt or without
        acceptance of a plea of guilty or nolo contendere, the director or officer must be reinstated for any
        remainder of term of office. A member who has such criminal charges pending may not be appointed or
        elected to a position as a director or officer.6




1 S. 720.301(9), F.S.
2 See generally  ch. 720, F.S.
3 S. 720.303(1), F.S.
4 S. 720.311, F.S.
5 S. 720.303(1), F.S.
6 S. 720.3033(4), F.S.
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        An officer, director, or manager may not solicit, offer to accept, or accept any good or service of value
        for which consideration has not been provided for his or her benefit or for the benefit of a member of his
        or her immediate family from any person providing or proposing to provide goods or services to the
        HOA.7 If the board finds that an officer or director has violated this condition, the board must
        immediately remove the officer or director from office. The vacancy must be filled according to law until
        the end of the director’s term of office. However, an officer, director, or manager may accept food to be
        consumed at a business meeting with a value of less than $25 per individual or a service or good
        received in connection with trade fairs or education programs. 8

        If the HOA enters into a contract or other transaction with any of its directors or a corporation, firm,
        association that is not an affiliated HOA, or other entity in which a director is also a director or officer or
        is financially interested, the board must:9
              Comply with the requirements for conflicts of interest in a corporation not for profit.10
              Enter certain disclosure requirements into the written minutes of the meeting.
              Approve the contract or other transaction by an affirmative vote of two-thirds of the directors
                present.
              At the next regular or special meeting of the members, disclose the existence of the contract or
                other transaction to the members. Upon motion of any member, the contract or transaction must
                be brought up for a vote and may be canceled by a majority vote of the members present. If the
                members cancel the contract, the HOA is only liable for the reasonable value of goods and
                services provided up to the time of cancellation and is not liable for any termination fee,
                liquidated damages, or other penalty for such cancellation.

        Powers and Duties of Officers and Directors – Effect of the Bill

        In addition to current requirements, the bill provides that an officer or a director charged by information
        or indictment with one of the following crimes must be removed from office, and the vacancy must be
        filled as provided by the HOA Act until the end of the officer's or director's period of suspension or the
        end of his or her term of office, whichever occurs first:
              Forgery of a ballot envelope or voting certificate used in a homeowners' association election
                 under s. 831.01, F.S.
              Theft or embezzlement of funds of a homeowners' association under s. 812.014, F.S.
              Destruction of or the refusal to allow inspection or copying of an official record of a homeowners'
                 association that is accessible to parcel owners within the time periods required by general law in
                 furtherance of any crime as tampering with physical evidence under s. 918.13, F.S.
              Obstruction of justice under ch. 843, F.S.

        If such a criminal charge is pending against the officer or director, he or she may not be appointed or
        elected to a position as an officer or a director of any HOA and may not have access to the official
        records of any HOA, except pursuant to a court order. However, if the charges are resolved without a
        finding of guilt, the officer or director must be reinstated for the remainder of his or her term of office, if
        any.

        The bill provides that an officer, a director, or a manager who knowingly solicits, offers to accept, or
        accepts any thing or service of value or kickback commits a misdemeanor of the first degree, , for
        amounts less than $1,000, and a felony of the third degree, for amounts $1,000 or more, and is subject
        to a civil penalty. Such person may be removed from office.


7 However,   an officer, director, or manager may accept food to be consumed at a business meeting with a value of less
than $25 per individual or a service or good received in connection with trade fairs or education programs . S. 720.303(3),
F.S.
8 S. 720.3033(3), F.S.
9 S. 720.3033(2), F.S.
10 A contract or transaction with a conflict of interest is not voidable if the relationship or interest is disclosed or known t o

the board; the board authorized, approved, or ratified it by vote or written consent; or the contract or transaction is fair and
reasonable at the time it is authorized. Such contract or transaction must be authorized, approved, or ratified by a majority
of the directors on the board who have no relationship or interest in such transaction. S. 617.0832, F.S.
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DATE: 3/26/2023
        The bill requires directors and officers of an HOA to disclose to the HOA any activity that may
        reasonably be construed to be a conflict of interest at least 14 days prior to voting on the subject of
        such conflict or entering into such contract. A rebuttable presumption of a conflict of interest exists if
        any of the following occurs without prior disclosure to the association:
            A director or an officer, or a relative of a director or an officer, enters into a contract for goods or
                services with the HOA.
            A director or an officer, or a relative of a director or an officer, holds an interest in a corporation,
                limited liability corporation, partnership, limited liability partnership, or other business entity that
                conducts business with the HOA or proposes to enter into a contract or other transaction with
                the HOA.

        Criminal Violations for Fraudulent Voting Activities

        The bill provides that the following actions relating to HOA elections is a fraudulent voting activity and
        constitutes a misdemeanor of the first degree:
            Willfully and falsely swearing to or affirming an oath or affirmation, or willfully procuring another
                person to falsely swear to or affirm an oath or affirmation, in connection with or arising out of
                voting activities.
            Perpetrating or attempting to perpetrate, or aiding in the perpetration of, fraud in connection with
                a vote cast, to be cast, or attempted to be cast.
            Preventing a member from voting, or preventing a member from voting as he or she intended,
                by fraudulently changing or attempting to change a ballot, ballot envelope, vote, or voting
                certificate of the member.
            Menacing, threatening, or using bribery or any other corruption to attempt, directly or indirectly,
                to influence, deceive, or deter a member when voting.
            Giving or promising, directly or indirectly, anything of value to another member with the intent to
                buy the vote of that member or another member or to corruptly influence that member or
                another member in casting his or her vote. This paragraph does not apply to any food served
                which is to be consumed at an election rally or a meeting or to any item of nominal value which
                is used as an election advertisement, including a campaign message designed to be worn by a
                member.
            Using or threatening to use, either directly or indirectly, force, violence, or intimidation or any
                tactic of coercion or intimidation to induce or compel a member to vote or refrain from voting in
                an election or on any particular ballot measure.

        Fines and Suspension – Current Situation

        Owners, tenants, and guests must comply with an HOA’s declaration, bylaws, and rules. HOAs may
        levy fines against or suspend the right of a parcel owner, occupant, or a guest of an owner or occupant,
        to use the common areas 11 or any other association property for failing to comply with any provision in
        the HOA’s governing documents. A suspension for failing to comply with an HOA’s declaration, bylaws,
        or rules may not be for an unreasonable amount of time.12

        No fine may exceed $100 per violation, although a fine may be levied on the basis of each day of a
        continuing violation provided that fine does not exceed $1,000 in the aggregate. However, a fine may
        exceed $1,000 if the HOA’s governing documents authorize it. Fines may not become a lien on the
        property unless the fines exceed $1,000.13

        Before an HOA levies a fine or a suspension, it must give the person receiving the fine or suspension at
        least 14 days’ notice of an opportunity for a hearing. A fine and suspension committee of at least
        three members selected by the board must hold a hearing to reject or approve the fine or suspension.

11 This does not apply to that portion of common areas used to provide      access or utility services to the parcel. A
suspension may not prohibit an owner or tenant of a parcel from having vehicular and pedestrian ingress to and egress
from the parcel, including, but not limited to, the right to park. S. 720.305(2)(a), F.S.
12 S. 720.305, F.S.
13 S. 720.305(2), F.S.
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DATE: 3/26/2023
         Board directors, officers, and employees of the HOA and family of such people may not serve on the
         committee. The committee must approve the fine or suspension by majority vote otherwise the
         proposed fine or suspension may not be imposed.14

         A fine is due five days after written notice of the approved fine is provided to the parcel owner,
         occupant, or guest. Written notice of the fine or suspension must be provided to the person by mail or
         hand delivery.15

         If a member is more than 90 days delinquent in paying any fee, fine, or other monetary obligation due
         to the HOA, the HOA may suspend the rights of the member, or the member’s tenant, guest, or invitee,
         to use common areas and facilities 16 until it is paid in full.17

         An HOA may suspend the voting rights of a parcel or member for the nonpayment of any fee, fine, or
         other monetary obligation due to the HOA that is more than 90 days delinquent. The suspension ends
         upon full payment of all obligations currently due or overdue to the HOA.18

         The notice and hearing requirements for levying fines do not apply to a suspension imposed for
         delinquent payment.19

         All suspensions imposed for delinquent payment of any fee, fine, or other monetary obligation due to
         the HOA must be approved at a properly noticed board meeting. Upon approval, the HOA must notify
         the parcel owner and, if applicable, the parcel’s occupant, licensee, or invitee by mail or hand
         delivery.20

         Fines and Suspension – Effect of the Bill

         The bill limits when an HOA may levy a fine to violations of the declaration, association's bylaws, or
         reasonable rules of the association.

         The bill provides that a fine may not exceed $1,000 per violation and that fines may not be aggregated
         to create a lien against a parcel.

         The bill provides new hearing procedures and notice requirements for when an HOA wishes to
         impose a fine or suspension, as described below.

         The bill provides that a fine or suspension levied for a violation by the board of administration may not
         be imposed unless the board first provides at least 30 days' notice to the parcel owner at the
         designated mailing or e-mail address in the HOA's official records and, if applicable, any occupant,
         licensee, or invitee of the parcel owner, sought to be fined or suspended and a hearing before a
         committee of at least three members appointed by the board who are not officers, directors, or
         employees of the association, or the spouse, parent, child, brother, or sister of an officer, director, or
         employee. The notice must include a description of the alleged violation, the specific action required to
         cure such violation, and the date and location of the hearing. A parcel owner has the right to attend a
         hearing by telephone or other electronic means.

         If the committee, by majority vote, determines that a violation does not exist, then no other action may
         be taken related to that alleged violation. The role of the committee is limited to determining whether a
         violation exists and whether to approve or reject the fine or suspension levied by the board.

14 Id.
15 Id.
16 A suspension may not prohibit an owner or tenant of a parcel from having    access a portion of common areas used to
provide access or utility services to the parcel, or from having vehicular and pedestrian ingress to and egress from the
parcel. S. 720.305(4), F.S.
17 S. 720.305(3), F.S.
18 S. 720.305(4), F.S.
19 S. 720.305(3), (4), F.S.
20 S. 720.305(5), F.S.
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DATE: 3/26/2023
       The bill requires the committee to provide written notice to the parcel owner at the designated mailing
       or e-mail address in the association's official records and, if applicable, any occupant, licensee, or
       invitee of the parcel owner, of the committee's findings related to the violation, including any applicable
       fines or suspensions that the committee approved or rejected, and how the parcel owner or any
       occupant, licensee, or invitee of the parcel owner may cure the violation after the hearing.

       The bill requires fines, suspensions, attorney fees, and costs to be imposed as follows:
           If a violation is found by the committee, but is cured before the hearing, a fine or suspension
               may not be imposed and attorney fees and costs may not be awarded.
           If a violation is found and the proposed fine or suspension levied by the board is approved by
               the committee, the committee must decide, by majority vote, a date that the fine payment is due,
               which date must be at least 30 days after delivery of the required written notice.
           If a violation is found and the proposed fine or suspension levied by the board is approved by
               the committee, but the violation is cured within 30 days after delivery of the required written
               notice, the fine must be reduced by 50 percent, any applicable suspensions must be lifted, and
               attorney fees and costs may not be awarded.
           If a violation is found and the proposed fine or suspension levied by the board is approved by
               the committee and the violation is not cured or the fine is not paid within 30 days after delivery
               of the required written notice, reasonable attorney fees and costs may be awarded to the
               association.

       The bill allows a parcel owner or any occupant, licensee, or invitee of the parcel owner may, at any
       time, to make a written request for a detailed accounting of any amounts he or she owes to the
       association and the board must provide such information within 10 days after receipt of the written
       request. Failure by the board to respond to a written request for a detailed accounting constitutes a
       complete waiver of the violation.

       The bill requires that, upon receipt of a payment for any outstanding fines from a parcel owner or any
       occupant, licensee, or invitee of the parcel owner, the board must apply the payment first to the fine
       before satisfying any other amounts due to the HOA. Attorney fees and costs may not c ontinue to
       accrue after a parcel owner or any occupant, licensee, or invitee of the parcel owner pays the fine.

       The bill allows a parcel owner or any occupant, licensee, or invitee of the parcel owner to request a
       hearing before the board to dispute the reasonableness of the attorney fees and costs awarded to the
       HOA.

       The bill removes the option for an HOA to provide written notice of a fine by hand delivery.

       The bill requires the board to send written notice to the parcel owner and, if applicable, the parcel's
       occupant, licensee, or invitee by mail or hand delivery to the parcel owner's designated mailing or e-
       mail address in the association's official records for any suspension imposed for delinquent payment of
       any fee, fine, or other monetary obligation due to the HOA.

       The bill provides that the failure of the HOA or committee to comply with these procedural requirements
       constitutes a waiver of all fines or suspensions imposed or proposed for a violation. Any fines, fees, or
       other costs incurred by a parcel owner or any occupant, licensee, or invitee of the parcel owner which is
       related to a fine that is waived must also be waived or paid by the HOA if such fine, fee, or other cost is
       not waivable.

       Official Records – Current Situation

       An HOA’s governing documents include the:
           Recorded declaration of covenants for a community and all duly adopted amendments thereto;
           HOA’s articles of incorporation and bylaws and any duly adopted amendments thereto; and


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                   Rules and regulations adopted under the authority of the recorded declaration, articles of
                    incorporation, or bylaws and any duly adopted amendments thereto. 21

         The declaration of covenants, much like a constitution, establishes the community’s basic covenants
         and restrictions.22 The articles of incorporation establish the HOA’s existence, basic structure, and
         governance.23 The bylaws govern the HOA’s operation and administration, while the rules and
         regulations typically supplement the other documents, addressing matters of everyday policy. 24

         Unless otherwise provided in the governing documents or required by law, an HOA’s governing
         documents may be amended by the affirmative vote of two-thirds of the HOA’s voting interests.25 Within
         30 days after recording a governing document amendment, the HOA must give its members copies
         thereof unless a copy was provided to the members before the vote on the amendment, in which case
         the HOA must only provide the members with notice of the amendment’s adoption.26

         An HOA must maintain each of the following items, when applicable, which constitute the official
         records of the HOA:27
              A copy of the HOA’s governing documents:
                     o declaration of covenants and each amendment,
                     o bylaws and each amendment,
                     o articles of incorporation and each amendment, and
                     o current rules.
              Copies of any plans, specifications, permits, and warranties related to improvements
                constructed on the common areas or other property that the HOA is obligated to maintain,
                repair, or replace.
              The minutes of all meetings of the board of directors and of the members, which minutes must
                be retained for at least 7 years.
              A current roster of all members and their mailing addresses and parcel identifications. The
                HOA must maintain the electronic mailing addresses and the numbers designated by members
                for receiving notice sent by electronic transmission of those members consenting to receive
                notice by electronic transmission. The electronic mailing addresses and numbers provided by
                unit owners to receive notice by electronic transmission must be removed from HOA records
                when consent to receive notice by electronic transmission is revoked. However, the HOA is not
                liable for an erroneous disclosure of the electronic mail address or the number for receiving
                electronic transmission of notices.
              All of the HOA’s insurance policies, which must be retained for at least 7 years.
              A current copy of all contracts to which the HOA is a party, including, without limitation, any
                management agreement, lease, or other contract under which the HOA has any obligation or
                responsibility. Bids received by the HOA for work to be performed must also be considered
                official records and must be kept for a period of 1 year.
              The financial and accounting records of the HOA, kept according to good accounting practices.
                All financial and accounting records must be maintained for a period of at least 7 years. The
                financial and accounting records must include:
                     o Accurate, itemized, and detailed records of all receipts and expenditures.
                     o A current account and a periodic statement of the account for each member, designating
                         the name and current address of each member who is obligated to pay assessments,
                         the due date and amount of each assessment or other charge against the member, the
                         date and amount of each payment on the account, and the balance due.
                     o All tax returns, financial statements, and financial reports of the HOA.
                     o Any other records that identify, measure, record, or communicate financial information.

21 S. 720.301(8), F.S.
22 Joseph Adams, HOA Governing Documents Explained (July 1, 2018), https://www.floridacondohoalawblog.com/2018/07/01/hoa-

governing-documents-explained/ (last visited Mar. 25, 2023).
23
   Id.
24 Id.
25 S. 720.306(1), F.S.
26 Id.

27 S. 720.303(4),   F.S.
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                A copy of the disclosure summary.
                Ballots, sign-in sheets, voting proxies, and all other papers and electronic records relating to
                 voting by parcel owners, which must be maintained for at least 1 year after the date of the
                 election, vote, or meeting.
                All affirmative acknowledgments made pursuant to s. 720.3085(3)(c)3, F.S.
                All other written records of the HOA which are related to the operation of the HOA.

        Official Records – Effect of the Bill

        The bill amends what information must be kept as part of the current roster in the official records. The
        bill requires an HOA to keep a designated mailing address, which is the member’s property address,
        unless the member has sent written notice to the association requesting that a different mailing address
        be used for all required notices.

        The bill provides that the HOA must also maintain facsimile numbers designated by members for
        receiving notice sent by electronic transmission of those members consenting to receive notice by
        electronic transmission. A member's e-mail address is the e-mail address the member provided when
        consenting in writing to receiving notice by electronic transmission, unless the member has sent written
        notice to the HOA requesting that a different e-mail address be used for all required notices.

        Commingling of HOA Funds – Current Situation

        All HOA funds held by a developer must be maintained separately in the HOA’s name. HOA reserve
        and operating funds must not be commingled prior to turnover except the HOA may jointly invest
        reserve funds if the funds are accounted for separately.28

        A developer in control of an HOA may not commingle any HOA funds with the developer’s funds or with
        the funds of any other HOA or community association.29

        HOA funds may not be used by a developer to defend a civil or criminal action, administrative
        proceeding, or arbitration proceeding that has been filed against the developer or directors appointed to
        the HOA board by the developer, even when the subject of the action or proceeding concerns the
        operation of the developer-controlled HOA.30

        Commingling of HOA Funds – Effect of the Bill

        In addition to current requirements regarding commingling funds, the bill requires that if an HOA
        collects a deposit from a member to pay for expenses that may be incurred as a result of construction
        on a member's parcel, or other reason for such deposit, such funds must be maintained separately and
        may not be comingled with any other association funds. Upon completion of the member's construction
        project, or any other reason for such deposit, the member may request an accounting from the
        association of such funds that were deposited and the association must provide an accounting to the
        member within 7 days after the member's request. An association must remit payment of any and all
        unused funds to the member within 30 days after receiving notice that the member's construction
        project, or any other reason for which a deposit was collected, is complete.

        The bill provides a short title, the “Homeowners’ Associations Bill of Rights.”

        The bill provides an effective date of July 1, 2023.

    B. SECTION DIRECTORY:
        Section 1:          Provides a short title.
        Section 2:          Amends s. 720.303, F.S.; relating to requirements for HOA officers and directors.

28 S. 720.303(8)(a), F.S.
29 S. 720.303(8)(b), F.S.
30 S. 720.303(8)(c), F.S.
STORAGE NAME: pcs0919.RRS                                                                                       PAGE: 8
DATE: 3/26/2023
       Section 3:     Amends s. 720.3033, F.S.; relating to criminal violations for kickbacks.
       Section 4:     Amends s. 720.305, F.S.; relating to procedures for HOA fines and appeals.
       Section 5:     Creates s. 720.3065, F.S.; relating to criminal violations for certain HOA voting activities.
       Section 6:     Provides an effective date.


                        II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT

   A. FISCAL IMPACT ON STATE GOVERNMENT:

       1. Revenues:
           None.

       2. Expenditures:
           None.

   B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

       1. Revenues:
           None.

       2. Expenditures:
           None.

   C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
       The bill may reduce fines paid by members to the HOA and provide greater fiscal responsibility of the
       officers and directors.

   D. FISCAL COMMENTS:
       None.

                                               III. COMMENTS

   A. CONSTITUTIONAL ISSUES:

       1. Applicability of Municipality/County Mandates Provision:
          Not Applicable. This bill does not appear to affect county or municipal governments.

       2. Other:
          None.

   B. RULE-MAKING AUTHORITY:
       None.

   C. DRAFTING ISSUES OR OTHER COMMENTS:
       None.


                            IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES




STORAGE NAME: pcs0919.RRS                                                                                   PAGE: 9
DATE: 3/26/2023


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