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By RICHARD WHITE
© St. Petersburg Times, published August 11, 2001
Question: My condominium unit is on the second floor. I will need a new air-conditioning and heating system soon.
When the building was built in 1966, the condenser units were put through the wall of each unit. Many owners have replaced these with ground units, since they are more energy efficient than the wall units.
Our association voted a few years ago to prohibit ground units after people had installed them. We did no research at that time; we just decided we didn't like the looks of them.
However, after doing some recent research on air-conditioning units, I have learned that the wall units are not as energy-efficient and have only a 10 SEER rating, while ground units can range from 12 to 17 SEER, according to the U.S. Department of Energy.
Do I have the right to replace my unit with a ground unit since the energy efficiency is much greater, even though the board voted three years ago not to allow them?
Answer: No. It is up to the board and the association to revise past policies. If current policy allows only wall units, you must comply.
I suggest you send a request to the board requesting approval of the new ground unit. Give them the details of the ground unit's energy-saving capabilities, but be prepared to comply with the board's decision.
Question: FS 720.303 states that a meeting of an association's board occurs whenever a quorum of the board gathers to conduct association business, and all meetings must be open to all members.
Our board has weekly meetings that they call workshops. Notices are posted so members can attend these workshops, but the secretary does not take minutes.
I find nothing in the documents referring to workshops. I contend that, since there is proper notice and agenda, and a quorum of board members is discussing association business, this constitutes a meeting where proper minutes should be taken.
Is the secretary obliged to see that minutes are taken in compliance with the documents?
Answer: Your observation is correct. The statutes do not address workshops.
Many boards feel the need to discuss business in an informal atmosphere. The problem is that the statutes do not address relaxed business decisions.
If you have a quorum of directors meeting to discuss business, proper notice must be given, and minutes of the proceedings must be taken.
I will take this a step farther: Minutes should be taken even at committee meetings, but these minutes are not as detailed as those at board meetings. They should record the date, time and location of the meeting. They should record those present and a simple statement of the subject.
Motions and resolutions and how they were voted are not required except in a final statement of accomplishment of the meeting.
Question: Many of the members of our homeowners association have asked the board to have an audit performed. The board refuses, saying it's unnecessary and too costly. We last had an audit about six years ago, and some members feel it's overdue since we have changed management a few times since then.
How often should an audit be done? I'm not suggesting there's anything wrong, but it seems like a good business practice.
Answer: Review your covenants to determine the requirements for your association. The board is collecting and spending the members' money. The members have a right to know that their funds are protected and are properly spent.
The board members are probably unaware that they have a fiduciary duty to the members to protect the funds. Good accounting and independent reviews are critical to this fiduciary duty.
Management usually wants the reviews to protect itself and prove its proper handling of funds. An examination of the financial information and a report by an independent third party are necessities.
A CPA can issue varying reports, such as a review, a compilation and an audit. A review will be much less expensive than an audit. Your CPA can explain the degrees of information each will offer.
Write to Richard White, c/o Community Living, St. Petersburg Times, P.O. Box 1121, St. Petersburg, FL 33731. Sorry, he can't take phone calls or provide personal replies by mail, but you can e-mail him at CAMquestions@bigfoot.com. Please include your name and city. Questions should concern association operations; legal opinions cannot be offered. For specific legal advice, contact an association attorney.
Readers may call the state Division of Condominiums Bureau of Customer Service at (800) 226-9101 with questions or requests for materials. Or write to Bureau of Customer Service, 1940 N Monroe St., Northwood Centre, Tallahassee, FL 32399-1032. Please note that this office provides no information about homeowners' associations. The state has no bureau or department covering those associations.
You can access the Bureau of Condominiums Web site at www.state.fl.us/dbpr/html/lsc/co_page.html.