Gulfshore Property Mgmt

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  • Condominium-Homeowner’s Association Worker’s Compensation Price Increase:

    Condominium-Homeowner’s Association Worker’s Compensation Price Increase:

    Florida Workers Compensation Rate Increase:

    In 2003 when the Florida legislation mended FL. Statute 440.34 to limit  attorney fees for benefits secured to a strict contingency fee schedule. Another way to mandate how much costs can be spent on attorney fee’s regarding Workers Comp.
    ClintonOn April 28. 2016, the Florida Supreme Court issued an opinion in the case of Castellanos vs. Next Door Company. The outcome of the decision was declared unconstitutional to place a cap on attorney fee’s.

    Long story short, we return to unlimited hourly attorney fee’s.

    Although some articles state Castellanos decision is not part of proposed Worker Compensation rate increase, an expected 16% increase will be effective August 1, 2016

    Workers Compensation for most Condominium and Homeowner’s Associations are around $800. to $900 per year. Small peanuts compared to price hike of our Florida wind and flood insurance after hurricane Wilma, 2005.

    Click here to: See how you can do something about High Wind/Flood costs.

     

  • Estoppel Request:

    Estoppel Request:

    Why do Management Company’s Charge a Fee for a seemly easy Estoppel  request?

     

    One significant reason; whoever signs an Estoppel Request Form is responsible for accuracy..

     

    If signed by Property Manager, the Board would be held harmless, since most Management contracts call for assignments

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    Also, Estoppel request has to be completed and signed by a contracted manager, agent of, or by a Board member within a reasonable amount of time. Within fifteen (15) days to be exact.

     

    Who’s counting? Usually the Bank or Owner who holds title of said property.

     

    Is there consequences if not received by fifteen (15) day dead line? You bet ya.

    The first step a Bank or Owner of said property would take, is to bring a Summary Proceeding against defaulting Association. This is a, “quick fix” for a resolution. If a resolution cannot be met, then a claim can to brought to against the Association.

     

    So who is responsible to deliver Estoppel Request within the allotted time frame? The contracted Management Company.

     

    Who’s responsible for accuracy? Whoever signs the Estoppel Request Form.

  • Year End Financial’s; Explained in Laymen’s Terms:

    Year End Financial’s; Explained in Laymen’s Terms:

    Year End Financial’s; Explained in Laymen’s Terms:

    While Cash Receipts and Expenditures can be prepared by a book keeping, a compilation can only be performed by a licensed CPA based on Florida statutes; – according to the Florida Department of Business and Professional Regulation (DBPR). The levels of service that CPA’s provide for financial statements are generally compilations, reviews, and audits.

    A compilation broadly provides no assurance by the CPA, other than stating that the CPA has compiled your information in the form of a financial statement(s) and has not performed an audit or review.

    A review basically provides negative assurance, stating that the CPA has performed inquiry and analytical procedures, and based upon such, the CPA is not aware of any significant modifications that are needed in order for the financial statements to be presented in accordance with generally accepted accounting principles, or an alternative appropriate other comprehensive basis of accounting, such as cash basis.

    An audit is positive assurance, whereby the CPA gives his/her professional opinion that the financial statements are fairly presented (materially correct to the reasonable man relying on the financial statements) in accordance with generally accepted accounting principles or an appropriate other comprehensive basis of accounting. The opinion goes into additional details as about what an audit consists of and doesn’t consist of.

    A general charge $300-$500 for compiled financial statements for condo/homeowner associations with no disclosures/footnotes.

  • Effective January 1, 2013; insurance companies have to?

    Effective January 1, 2013; insurance companies have to?

    (8) Upon expiration of the policy term, an insurer may transfer commercial lines policy to another authorized insurer that is a member of the same group or owned by the same holding company as the transferring insurer.ch The transfer constitutes a renewal of the policy and may not be treated as a cancellation or a nonrenewal of the policy. The insurer must provide notice of its intent to transfer the policy at least 45 days before the effective date of the transfer along with the financial rating of the authorized insurer to which the policy is being transferred. Such notice may be provided in the notice of renewal premium. This subsection does not apply to a policy providing residential property insurance coverage, except for farmowners insurance and commercial general liability policies providing farm coverage or commercial property policies providing farm coverage.

    Above new legislation effective January 1, 2013: Basically, now insurance company’s who are planning on non-renewal, now have to give 45 day notice and have a renewal transfer in-line with same holding company or other such company disclosing their financial rating.

    Spider

  • Official Records

    Official Records

    PirateWork Contracts and Bids

    BoatBefore the condominium Florida Statute revisions entered into law, bids and proposals were to be kept for a period of one year. Effective October 1, 2008, now bids and proposals are mandated to be kept for a period of seven years.

    The only document shelf-life requirement ensued under the old law are election and proxy voting documents, which can be discarded after one year.

    Another addition to the Statute is the association records shall be made available to a unit owner within 45 miles of the condominium property or within the county in which the condominium property is located within 5 working days after receipt of written request by the board or its designee.

    The new revisions also addresses the way we review association records. In-lieu of hard copies of official records, the association may now offer the option of making the records of the association available to a unit owner either by internet or by allowing the records to be viewed in electronic format on a computer screen and printed upon request.

    (more…)

  • Florida Legislation affecting Condominium Association

    Florida Legislation affecting Condominium Association

    Florida Legislation affecting Condominium Association: Another elucidation to the statutes includes accounting records. It’s always been government standards to maintain accounting records for a period of seven years, including most state governments. Also commonly known, condominium accounting shall be separate for each association. October 1, 2008, the GMFlorida State legislation added into law that any one person who knowingly or intentionally defaces, destroys, or fails to create or maintain official accounting records of a Condominium Association is personally subject to civil penalties.  Records shall include:

    • Receipts & Expenditures
    • Accounts Receivables
    • Audits, Reviews, Compilation or Cash & Expenditure Reports,
    • Bids & Proposals
    • Annual Meeting Packages are maintained for one year.
    • Rental Records
    • Question & Answer Sheets
    • All Operation Records
    • Inspection Report

    For more fun facts see: Financial Reporting Requirements for Homeowner Associations. (more…)

  • House Bill 995 Florida Laws

    House Bill 995 Florida Laws

    New SymbolNewt & RushFiduciary Duty

    718.111 (a) of the Florida Statutes avow that directors, officers and managers automatically have fiduciary duties and responsibilities directly or indirectly owed to its owner/s of shared association. Effective October 1, 2008, a new legislative ruling signifies fiduciary duties to be the same as any other non-profit corporation.

    One reason for this clarification is the problematic of unfair practices such as kick-backs. Directors, officers and property managers are subject to civil penalties for illegal practices by accepting any thing or service of value for which consideration has not been provided for his/her own benefit or that of his/her immediate family.

    The association may however, receive services or items in connection with trade-fair shows or education programs. (more…)