Homeowners’ Association: Legislation Update: Mandatory Certification for New Board Directors

Section 720.3033(1), F.S., affects any board member elected or appointed after July 1, 2013. The new directors must either (1) sign a certification form OR (2) take an education class approved by the Division within 90 days after the date of election or appointment.

The written certification certifies that each director has read the association’s declaration of covenants, articles of incorporation, bylaws and current written rules and policies and shall work to uphold such documents and policies to the best of his or her ability. This written certification must be completed by the newly appointed or elected board member and be provided to the secretary of the association. However, instead of this written certification, board members can complete a Division-approved education course. The certificate acquired by the completion of the course can stand in the place of the written certification.

Homeowners’ Association Board Member Education courses will soon be provided. Feel free to continuously check our website and Facebook page, or email Dania@dsfpa.com directly, for dates and times the course is available. For more information on Section 720.3033(1), of the Florida Statues, continue reading.

Section 720.3033(1), of the Florida Statues, states the following:

Within 90 days after being elected or appointed to the board, each director shall certify in writing to the secretary of the association that he or she has read the association’s declaration of covenants, articles of incorporation, bylaws and current written policies; that he or she will work to uphold such documents and policies to the best of his or her ability; and that he or she will faithfully discharge his or her fiduciary responsibility to the association’s members.

In lieu of the written certification, the newly elected or appointed director may submit a certificate of having satisfactorily completed the educational curriculum administered by a Division-approved education provider within 1 year before or 90 days after the date of election or appointment.

The written certification or educational certificate is valid for the uninterrupted tenure of the director on the board.

A director is suspended from the board until he or she complies with the requirement and the board may temporarily fill the vacancy during the period of suspension.

The association shall retain each director’s written certification or educational certificate for 5 years after the director’s election; however, the failure to retain the certificate does not affect the validity of any board action.

Newsletter Blurb

Legislative Update: Mandatory Certification for new Board Directors

What was once required solely for Condominium Associations is now also required throughout the state of Florida for Homeowners’ Associations. As of 2013, the Florida Legislature’s amendments to preexisting laws have greatly affected Homeowners’ Associations as well as Board members, especially in the area of Board Certification and Education. Section 720.3033(1), F.S., affects any board member elected or appointed after July 1, 2013. The new directors must either (1) sign a certification form OR (2) take an education class approved by the Division within 90 days after the date of election or appointment.

URGENT! Don’t Forget to Register Your HOA with the DBPR

Homeowners’ Associations must report to the Department of Business and Professional Regulation (DBPR) by November 22^nd, 2013 and register the HOA. Despite its controversy, it was voted upon during the 2013 Legislative Session regarding HOA governance, making it mandatory for all Homeowners’ Associations to comply with Section 720.303(13), Florida Statues, which will remain in effect until July 1, 2016.

Associations that meet the definition of “homeowners’ association” in Section 720.301(9), Florida Statues, must report to the DBPR by November 22, 2013 the following information:

Legal Name
Federal Employer Identification Number (FEIN)
Mailing and Physical Address
Total Number of Parcels
Total Amount of Revenues and Expenses from the Association’s Budget.

If you have yet to register, you may do so by clicking on the link to the website created by the DBPR: http://www.myfloridalicense.com/dbpr/lsc/homeowners.html. Additionally, feel free to contact the Department at 850.488.1122 if you have any questions throughout the one-time registration process. For more information on Statue 720.303(13), F.S., continue reading.

Section 720.301(9), Florida Statues, states the following:

Every CAM, or the association when there is no CAM, shall report to the Division by November 22, 2013, the name of the association, the FEIN number, the mailing and physical address, the number of parcels, and the total amount of revenues and expenses from the annual budget of the association.

If the association is still under the control of the developer, the information provided to the Division shall also include the name and address of the developer and the number of parcels owned by the developer.

The reporting requirement shall be a continuing obligation on each association until the require information is reported to the Division.

The Department of Business and Professional Regulation (DBPR) shall establish and implement, by no later than October 1, 2013, a registration system through an Internet website that will allow the reporting to take place through the website.

DBOR shall, by no later than December 1, 2013, submit a report of the data reported to the Governor, the President of the Senate, and the Speaker of the House of Representatives.

DBPR shall adopt administrative rules to implement these requirements.

The reporting requirement will expire on July 1, 2016, unless reenacted by Legislature.

The statue is silent regarding the penalty for non-compliance.