2008-26941 ResoRESOLUTION NO. zoos-26941
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, SUPPORTING
AMENDMENTS TO THE FLORIDA STATUTES TO INCREASE
MORTGAGE HOLDERS' RESPONSIBILITY FOR DELINQUENT
CONDOMINIUM, CO-OPERATIVE, AND HOMEOWNER
ASSOCIATIONS FEES, REGULAR ASSESSMENTS AND
SPECIAL ASSESSMENTS ON UNITS IN FORECLOSURE AND
ON FORECLOSED UNITS.
WHEREAS, due to current economic conditions which include a housing market
crisis, South Florida, in particular, is experiencing a significant increase in foreclosure
suits filed; and
WHEREAS, under present Florida law, mortgage holders are only responsible for
unpaid condominium association fees that are the lesser of 1% of the original mortgage
amount or six months of unpaid maintenance fees and regular assessments at the time
of foreclosure; and
WHEREAS, under the foregoing formula, condominium association fees often
accumulate in excess of what the mortgage holder is responsible for resulting in such
fees becoming the responsibility of the remaining association members who must pay,
in many cases, exorbitant special assessments to cover the maintenance expenses and
all special assessments of the building, while units in foreclosure proceedings and
foreclosed units continue to benefit at no additional expense to the mortgage holder;
and
WHEREAS, in order to provide a disincentive for mortgage lenders to delay
foreclosure actions in order to avoid the payment of escalating condominium fees, and
to fairly place responsibility on the party that has the most to benefit from the continued
receipt of maintenance services on units in foreclosure proceedings and foreclosed
units, the Florida Statutes should be amended.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA: that the Mayor and City
Commission hereby support amendments to the Florida Statutes to increase mortgage
holders' responsibility for delinquent condominium, co-operative, and homeowner
associations fees, regular assessments and special assessments on units in foreclosure
and on foreclosed units.
PASSED AND ADOPTED this 5th day of November , 2008.
Attes
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Rob rt archer, Ci y Clerk a i Herrera Bo er, ayor
APPRU~D l-1 Tc?
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m MIAMIBEACH
i~FFICE OF T-~~ Md1YOR ANG CCM,M~SSiOV MEMORANDUM
ro: Jorge Gonzalez, City Manager
FROM: Jerry Libbin, Commissioner '~j
DATE: October 23. 2008 Li~%
sueJEC'- Agenda Item for the November 5, 2008 Commission Meeting
Please place on the November 5, 2008 Commission Meeting agenda a Resolution urging
Florida State Legislature to amend state statute 718.116 on condominium foreclosures.
A copy of the resolution will follow.
If you have any questions, please contact my aide, Enid Rodriguez, at extension 6722.
JL/er
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