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HomeMy WebLinkAboutAgenda Item Cover PageAGENDA ITEM COVER PAGE File ID: #1905 Resolution Sponsored by: Mayor Francis Suarez A RESOLUTION OF THE MIAMI CITY COMMISSION SUPPORTING SENATE BILL 1682 AND HOUSE BILL 1237 AMENDING CHAPTER 718, FLORIDA STATUTES, ENTITLED "CONDOMINIUM ACT", TO PROTECT THE WELFARE OF RESIDENTS AND OWNERS OF CONDOMINIUMS IN THE STATE OF FLORIDA IN A MANNER CONSISTENT WITH THE RECOMMENDATIONS MADE IN THE FINAL REPORT OF THE MIAMI-DADE COUNTY GRAND JURY, SPRING TERM A.D. 2016 ("GRAND JURY REPORT"); DIRECTING THE CITY MANAGER TO ADD TO THE CITY'S 2017 LEGISLATIVE PRIORITIES SUPPORT FOR SAID AMENDMENTS; FURTHER DIRECTING THE CITY CLERK TO TRANSMIT A COPY OF THIS RESOLUTION TO THE OFFICIALS NAMED HEREIN. -,IV ov . City of Miami IIS°°1 il°4I° . °° Legislation Resolution Enactment Number: R-17-0119 File Number: 1905 City Hall 3500 Pan American Drive Miami, FL 33133 www.miamigov.com Final Action Date:3/9/2017 A RESOLUTION OF THE MIAMI CITY COMMISSION SUPPORTING SENATE BILL 1682 AND HOUSE BILL 1237 AMENDING CHAPTER 718, FLORIDA STATUTES, ENTITLED "CONDOMINIUM ACT", TO PROTECT THE WELFARE OF RESIDENTS AND OWNERS OF CONDOMINIUMS IN THE STATE OF FLORIDA IN A MANNER CONSISTENT WITH THE RECOMMENDATIONS MADE IN THE FINAL REPORT OF THE MIAMI-DADE COUNTY GRAND JURY, SPRING TERM A.D. 2016 ("GRAND JURY REPORT"); DIRECTING THE CITY MANAGER TO ADD TO THE CITY'S 2017 LEGISLATIVE PRIORITIES SUPPORT FOR SAID AMENDMENTS; FURTHER DIRECTING THE CITY CLERK TO TRANSMIT A COPY OF THIS RESOLUTION TO THE OFFICIALS NAMED HEREIN. WHEREAS, Senate Bill 1682, co -introduced by Senators Rene Garcia and Jose Javier Rodriguez, and House Bill 1237, sponsored by Representative Jose Felix Diaz, propose amendments to Chapter 718, Florida Statutes, entitled "Condominium Act", prohibiting an attorney from representing a Home Owner's Association ("HOA") if that attorney also represents the management company; prohibiting an HOA board member or management company from purchasing a unit in foreclosure if the foreclosure resulted from the HOA's actions; requiring that official records of the HOA be open to inspection by unit renters; requiring that HOA's post specified documents on the HOA's website; requiring that the Division of Florida Condominiums, Timeshares, and Mobile Homes maintain and provide copies of HOA financial reports; instituting term limits for HOA board members (no more than two (2) four (4) year terms); prohibiting a HOA from contracting with a service provider that is owned or operated by a HOA board member or financial associate of a HOA board member; more closely regulating the selection of arbitrators; applying criminal penalties to voter fraud committed in the conduct of an HOA election; making uniform rules pertaining to voting rights of HOA members; requiring that HOA board members publicly disclose any conflicts of interest when making official decisions and providing that the ombudsman of a HOA would be given additional power to monitor HOA elections; and WHEREAS, the Miami -Dade County Grand Jury ("Grand Jury") investigated and issued the Final Report of the Miami -Dade County Spring Term A.D. 2016 ("Grand Jury Report") on the state of condominiums with respect to continuing complaints to the Department of Business and Professional Responsibility ("DBPR") which is charged with enforcing the Florida Condominium Act, Chapter 718, Florida Statutes ("Condominium Act"); and WHEREAS, the Grand Jury reviewed the statewide investigation conducted by the Florida House of Representatives in its Final Report of the Select Committee nine (9) years ago and compared the problems found then to the continuing problems today; and WHEREAS, the Grand Jury heard the testimony of witnesses as it related to condominium living, management, elections, and the process by which DBPR investigates and handles it responsibilities as required by Florida Statute; and WHEREAS, the Grand Jury found there was still an appreciable lack of access to the official records of condominium associations; and WHEREAS, the Grand Jury found there still existed conflicts of interest for members of condominium boards, especially under Chapter 617.0832, Florida Statutes, which can allow a board member, with or without disclosure, to vote in favor of a transaction that will directly benefit the member; and WHEREAS, the Grand Jury found there still existed a disconnect between condominium boards, property management companies, and individual condominium owners with regard to service contracts, pricing and daily administration issues; and WHEREAS, the Grand Jury found there still existed grave issues with the integrity of election monitoring for condominium boards and how complaints of election fraud are handled by the DBPR; and WHEREAS, the Grand Jury found that the DBPR "seems ill-suited to resolve, correct or prevent many of the recurring problems" and that the condominium Ombudsman "is an essentially powerless position"; and WHEREAS, the Grand Jury has recommended stricter compliance for access to public records by amending Chapter 718.111(12)(c), Florida Statutes, and criminal penalties for persons who knowing and intentionally destroy, deface, fail to produce, fail to create and/or fail to maintain the required records; and WHEREAS, the Grand Jury has recommended reforms be enacted to subject any party, director, and/or member of a condominium association/board to criminal penalties for engaging in fraudulent activity with regard to board elections; and WHEREAS, the Grand Jury has recommended that Election Monitors be given greater authority to ensure the integrity of elections and that the DBPR restore the certification process for such monitors; and WHEREAS, the Grand Jury has recommended amending Chapter 617.0832, Florida Statutes, to require board members, board directors and property management companies to disclose any conflicts of interest when entering into contracts on behalf of the associations they represent; and WHEREAS, the Grand Jury recommends the DBPR create a new department for investigations and that they be given new authority to investigate criminal complaints as well to provide the appropriate training to its investigators to accomplish this task; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The City Commission hereby supports Senate Bill 1682 and House Bill 1237 amending Chapter 718, Florida Statutes, entitled "Condominium Act", to protect the welfare of residents and owners of condominiums in the State of Florida in a manner consistent with the recommendations made in the Grand Jury Report. Section 3. The City Commission hereby directs the City Manager to add support of these legislative amendments consistent with the recommendations and findings of the Grand Jury report to the list of the City's 2017 Legislative Priorities. Section 4. The City Clerk is directed to transmit a copy of this Resolution to Governor Rick Scott, Speaker of the House Richard Corcoran, President of the Senate Joe Negron, Senators Rene Garcia and Jose Javier Rodriguez, Representative Jose Felix Diaz, members of the Miami -Dade County Legislative Delegation, and Interim Secretary of the DBPR Matilde Miller. Section 5. This Resolution shall become effective immediately upon its adoption and signature of the Mayor.' APPROVED AS TO FORM AND CORRECTNESS: 1 i ria i ndez, Cify 7.ttor iey 3/9/2017 Per Directive, City Clerk's Office transmitted on 3/22/2017. ' If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission.