Article Courtesy of Sun entinel
By Joe Kollin
Published January 30, 2004
Based on "horror stories" of abuses by
condominium boards, a state House committee today will file a list of 25
recommendations for changes to state law that could affect the more than
4 million condo residents in Florida.
The Select Committee on Condominium Association
Governance heard complaints ranging from a board that foreclosed on a widow
who challenged a $25 debt, to ballot stuffing, unfair special assessments
and boards that refused to seek bids for major purchases.
There were complaints that the state fails
to investigate problems and instead "just sends letters" to boards that
act improperly. Sunrise owner Nathan Siegel said condo owners suffered
a "lack of democratic rights," while Dania Beach owner Marianne Cerrudo
pleaded, "Who can I speak to, to help us live in peace?"
Rep. Julio Robaina, R-Miami, chairman of
eight-member committee, called the testimony during statewide public hearings
last fall, "one of the most challenging and eye-opening experiences that
I and the entire committee will probably experience as members of the Florida
House."
To combat the problems, the committee wants
the Legislature to consider requiring, among other things, background checks
for potential condo board members, financial disclosure by board members,
creation of an office of ombudsman to help unit owners, and "clear guidelines"
that must be met before a board can impose a special assessment.
Committee members fear, however, their
proposals will be meaningless if Gov. Jeb Bush succeeds again in raiding
the state condo trust fund, which is paid by condo owners to enforce condo
laws and investigate complaints. Bush instead wants to use the money to
balance the state budget.
"The governor has proposed a state budget
that removes $6 million from the trust fund and we're asking very clearly
for that money to remain untouched," Robaina said. "If that funding isn't
left in place, the majority of the items we recommend will fall by the
wayside."
Committee member Rep. Roger Wishner, D-Sunrise,
said $4 million was diverted last year and neither he nor Robaina were
able to determine how much remains in the fund. Every condo association
in Florida annually pays the state $4 per unit to support the Bureau of
Condominiums.
"My belief is that condo owners are being
ripped off. They think their money is going toward protecting them and
it's not," Wishner said.
LoreetaGoldstone says condo owners need
the protection of the bureau.
Goldstone lives in the Hawaiian Gardens
complex in Lauderdale Lakes. For the past six years she has been trying
to get the bureau to resolve the legality of the power of a master association
to assess owners.
"I think the [bureau] has always done its
job, but there are just so many cases it has to deal with because boards
keep on doing what they want," she said. "If the Legislature doesn't give
them ... the money, they can't defend us."
Jan Bergemann of St. Augustine, president
of a statewide organization pressing for changes to condo law, said the
proposed legislation is good, "but in the end it depends on the wording
of the bill and the reaction of all legislators. If there is an agency
enforcing the statutes, owners can sleep a lot easier."
Richard Capalbo doubts the proposed changes
will make boards more accountable.
Capalbo tried to buy a condo unit in Pompano
Beach from a friend but the sale was rejected by the board because the
price was too low. The case ended in a lawsuit, which is still pending.
"These condo commandos and their attorneys
will not be deterred from their unrestrained abuse of authority," he said.
It was that perception that led House Speaker
Johnnie Byrd to create the select committee. A separate task force is studying
similar problems with Florida's mandatory homeowner associations. |