Warung Bebas

Monday, March 5, 2012

Florida House passes six industry bills that impact real estate

This week, the Florida House approved six bills that impact florida real estate in some form or other:

Septic tank inspections
The 2010 law requiring septic tank inspections moved closer to being repealed after a House vote this week. Under HB 999 by Rep. Chris Dorworth (R-Heathrow), local governments will have the option whether or not to enact an evaluation program. Homeowners across the state will be protected from extensive regulations and the high costs associated with SB 550 passed in 2010.

In the Senate, SB 820 is now ready for a full vote and, if approved, will go back to the House of Representatives for a final vote. The bills will then go to Gov. Rick Scott for his signature to become law. Once signed into law, counties with “first magnitude springs” will have the ability to opt-out of the program, while all other counties would have to opt-in to the program.

In a related move, Gov. Rick Scott signed HB 7051 in law in February. HB 7051 sets numeric content standards for groundwater pollution under the U.S. Environmental Protection Agency’s Clean Water Act.

Local business tax
HB 7125 – also approved by the full House this week and awaiting action by the Senate – makes a common sense change to business tax law, exempting real estate licensees from local business taxes (formerly known as occupational licenses). A law passed in 2010 banned cities and counties from charging new business taxes, but those already doing so could continue. HB 7125 applies only to those counties still charging business taxes.

While many real estate licensees are independent contractors, Florida law requires licensees to work under a broker, which technically makes them less independent than other self-employed workers. Since Florida’s business tax law did not deal directly with a type of independent contractor that is not strictly independent, HB 7125, supported by Florida Realtors, corrects the situation. It allows a county or city to continue collecting a business tax from a broker – a company owner – but ends business taxes for salespersons and broker associates.

Property insurance
Realtor-supported legislation that would change the way Citizens Property Insurance Corp. pays claims in the event of a major storm passed the Florida House last week. Currently, if Citizens Property Insurance Corporation doesn’t have enough money to pay claims following a catastrophic storm, private insurers must pay up to 18 percent of their premiums to Citizens within 30 days of being assessed. HB 1127 by Rep. Ben Albritton (R-Bartow) significantly reduces this amount, and should make Florida more attractive to insurance companies operating in our state or considering operations here. The Senate did not consider the bill this week, but it’s awaiting action there.

Condo law
The House passed HB 319 by George Moraitis (R-Fort Lauderdale) and sent it to the Senate where it awaits further action. The bill amends laws relating to condominiums, cooperatives and homeowners’ associations; and, while it covers a lot of territory, its passage turns on language that seeks to clarify an existing safe harbor provision for lenders. When a condominium unit is foreclosed, a mortgagee is responsible for a portion of the previous unit owner’s assessments. Collection entities, however, are pursuing lenders – on behalf of associations – for unpaid late fees, interest, costs and attorneys fees, making an already uncertain closing process even more perilous. HB 319 seeks to clarify which fees mortgagees are liable for.

The Senate version of HB 319 – SB 680 by Ellyn Bogdanoff (R-Fort Lauderdale) – is in its final committee before a full Senate vote.

Property management
The “Florida Residential Landlord and Tenant Act,” which governs landlord-tenant relationships, would be updated under HB 921 by Rep. Kelli Stargel (R-Lakeland) that passed the House this week and now awaits Senate action.

The bill modifies a number of landlord-tenant laws. For example, it revises the notice a landlord provides to a tenant that describes how advance rent and security deposits are held and used by the landlord, and how they’re returned to the tenant. Other changes clarify the procedure for an eviction if a tenant has paid partial rent; how weekend days work under the applicable 24-hour notice when a sheriff returns possession of a dwelling to a landlord; maintenance responsibilities for screens and windows; and additional landlord-tenant issues.

Foreclosure
HB 213 by Rep. Kathleen Passidomo (R-Naples) passed the House on Wednesday and now awaits Senate action. If passed by the Senate and signed by Gov. Scott, HB 213 would speed the judicial foreclosure process – especially in relation to abandoned residential property – and jumpstart the economy, though critics worry that it will negatively impact some homeowners facing foreclosure.

Budget
Florida Realtors continues to monitor items in the proposed Florida budget. Money for affordable housing, a septic tank study and funds to fight unlicensed activity are being considered.

Source: Florida Realtors®

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