Homeowners’ Associations (HOAs) are common in many Florida communities, particularly within condominium developments and planned communities. These organizations play a crucial role in maintaining the shared spaces and amenities enjoyed by all residents. However, with this responsibility comes the need for funds, and sometimes the regular dues aren’t enough to cover unexpected expenses or significant projects. This is where special assessments come into play. Read this blog and contact our Florida condo & homeowner association attorneys to learn about special assessments and the legalities surrounding them.
What Is a Special Assessment, and When Can It Be Imposed?
A special assessment is an additional charge that an HOA may impose on its members, usually for a specific purpose. Unlike regular dues, which cover routine maintenance and operational costs, special assessments are often used to fund unforeseen repairs, major renovations, or emergency expenses. For example, if a community’s clubhouse requires a new roof due to a hurricane, or if a significant plumbing issue affects multiple units, the HOA might impose a special assessment to cover these unexpected costs.
In Florida, the authority to levy special assessments typically comes from the community’s governing documents—such as the declaration of covenants, conditions, and restrictions (CC&Rs) or the bylaws. These documents outline the conditions under which special assessments can be imposed and may require a vote by the association’s board or, in some cases, approval by the majority of homeowners. It’s important to note that any such assessment must be levied in a manner consistent with the association’s governing documents and state law.
What Are the Legal Requirements for Imposing Special Assessments in Florida?
The legal requirements for imposing a special assessment in Florida can vary depending on the specific language in the HOA’s governing documents and the nature of the assessment itself. Generally, there are a few key steps that must be followed to ensure compliance with Florida law. They are as follows:
- Proper Notice: The HOA board must provide proper notice to all homeowners before imposing a special assessment. Florida law requires that notice of a meeting where a special assessment will be discussed must be mailed or delivered to each unit owner at least 14 days before the meeting. The notice must specify the time, date, and place of the meeting and provide a detailed explanation of the reason for the assessment.
- Board Approval: In most cases, the board of directors has the authority to approve a special assessment. However, depending on the community’s governing documents, there may be instances where a vote of the entire membership is required. This is more common in cases where the assessment will be used for a significant capital improvement rather than an emergency repair.
- Reasonableness and Purpose: The assessment must be reasonable and used for a lawful purpose that benefits the community. It cannot be arbitrary or capricious. For example, an HOA cannot levy a special assessment for purposes unrelated to the maintenance or improvement of the common areas or for any discriminatory purpose.
- Uniformity: The assessment must be applied uniformly to all members unless the governing documents provide otherwise. This means that all homeowners should be equally responsible for the costs unless there is a specific reason, such as unit size or location, that justifies a different apportionment.
If you have further questions or require the services of a seasoned Florida condo/homeowner association lawyer, please don’t hesitate to contact Ansbacher Law today.
