Question:
My HOA has not provided us with Financial Statements, Contracts, Bids and Meeting Minutes for over 2 years. When we ask for them, we are told by the management company the Board is not obligated to post them anywhere and we can review them at their offices which is 31 Miles away in heavy traffic. We are also told there is a time limit as to how long we have to view the documents.
We recently had our HOA jump up by $209 to $800 monthly with no financial records to support other than their say so that insurance went up by over 50%. They then formed a quorum to force us to vote for either $800 monthly as partially funded or $890 as fully funded.
When we asked the President why the significant jump to 61% in insurance she claimed she had three bids and took the best offer. In our January 2023 meeting, she had the Insurance Broker there to tell us that in order to receive bids, we must drop our current insurance first. This would had left us without insurance, so we came to learn she never had 3 bids after all. I’m also pretty certain commercial real estate insurance doesn’t work that way. Our buildings are a mixture of Coach Homes and Villas and our roofs are only 17 years old. Communities in the direct hit of Ian aren’t paying as much in increases. Our rate went up by $259K in a non evacuation, non flood zone area.
I requested to see the financial records and bids and was informed I must provide a comprehended list first and can only view ‘approved,’ reports. I would think after 2 years there are considerable records to review.
However, Is there any law that covers the amount of distance HOA’s can obligate us to travel for record reviews? We have a website where they store archival records and the covenants, but this newer board refuses to use it for financial and meeting minutes.
Is that legal?
– Grace
Answer:
Hi Grace,
The Florida Homeowners Association Act Section 720.303(5) states:
“The official records shall be maintained within the state for at least 7 years and shall be made available to a parcel owner for inspection or photocopying within 45 miles of the community or within the county in which the association is located within 10 business days after receipt by the board or its designee of a written request. This subsection may be complied with by having a copy of the official records available for inspection or copying in the community or, at the option of the association, by making the records available to a parcel owner electronically via the Internet or by allowing the records to be viewed in electronic format on a computer screen and printed upon request. If the association has a photocopy machine available where the records are maintained, it must provide parcel owners with copies on request during the inspection if the entire request is limited to no more than 25 pages. An association shall allow a member or his or her authorized representative to use a portable device, including a smartphone, tablet, portable scanner, or any other technology capable of scanning or taking photographs, to make an electronic copy of the official records in lieu of the association’s providing the member or his or her authorized representative with a copy of such records. The association may not charge a fee to a member or his or her authorized representative for the use of a portable device.”
Furthermore, subsection (c) states:
“The association may adopt reasonable written rules governing the frequency, time, location, notice, records to be inspected, and manner of inspections, but may not require a parcel owner to demonstrate any proper purpose for the inspection, state any reason for the inspection, or limit a parcel owner’s right to inspect records to less than one 8-hour business day per month.”
Official records that a member may inspect are defined in Section 720.303(4), which includes the minutes of meetings (at least 7 years’ worth), the insurance policies of the HOA (at least 7 years’ worth), all contracts to which the HOA is a party (at least 1 year’s worth), and financial and accounting records of the HOA (at least 7 years’ worth).
Disclaimer: We are not lawyers. The information provided on this website does not constitute legal advice.
