New Law Requires HOAs to Address Preservation of Documents Annually
Florida-based homeowner associations (HOAs) must always be mindful of the newest legislation being established in the Sunshine State. For example, 2018 saw several significant changes to Florida Statutes, including one law that homeowner associations need to address on an annual basis. In this brief article, a Tampa homeowners association management company will discuss a significant amendment to the Marketable Record Title Act (MRTA).
HOA Boards Need to Take Note of New MRTA Law
Chapter 720 of the Florida Statutes requires boards to be compliant with laws related to HOA requirements. This includes laws that involve the preservation of records. One new law within Chapter 720 requires HOA boards to place the issue of document preservation on their agenda. This task must be performed each and every year at the first board meeting of the calendar year, excluding the organizational meeting. This agenda can be referred to as the “Preservation of the Covenants and Restrictions.”
It’s important to note that even if the HOA has already legally preserved documents, Chapter 720 requires that the HOA board place this issue on their agenda. During the meeting, the board can consider whether or not they need to file a notice to preserve and take necessary action. Laws related to protecting the covenants or restrictions from extinguishment are extremely complex and involve a 30-year deadline and the option to extend this deadline an additional 30 years with timely notice to preserve. Things can become much more complicated and expensive if an HOA fails to successfully extend the life of the covenants and restrictions. Failure to meet the 30-year deadline can result in a non-deed restricted community.
Partner With an Experienced HOA Management Company
A cost-effective solution to ensure compliance with laws related to retaining records is to partner with a reliable Tampa association management company. Wise Property Management provides a wide range of comprehensive services from accounting and bookkeeping services to administrative assistance to screening of applicants to preserving records and community documents. At Wise, we store all valuable documents for our clients at a temperature-controlled facility and we are intimately familiar with the laws and requirements under Chapter 720 of the Florida Statutes.
To learn more about these laws and your requirements, please contact us today.
Are you ready to work with a Tampa homeowners association management company that makes life easier for you and your board members and improves the value of your property? If so, submit our proposal request form today!