Rolling back sensible regulations may save a little money in the sort term, but in the long term deregulation a very expensive stratagem. Unfortunately prudence is out of fashion among more conservative politicians.
If a 2008 Florida law that required condos to plan for repairs had still been in place, "this never would have happened," said the legislator who sponsored the law.
By Jon Schuppe and Phil Prazan
SURFSIDE, Fla. — Late last year, after years of delays and disputes, the Champlain Towers South Condominium Association began a desperate search for $16.2 million to fix major structural damage that was slowly threatening the Surfside high-rise — and that may have contributed to the building's partial collapse June 24.
The Champlain Towers South reserve fund had accumulated an inadequate amount of just $777,000. Making full costs of repairs a staggering sum for residents to face.
The cause of the collapse is unknown, and investigators, experts and advocates are trying to determine whether the uncompleted repairs played a role, whether the board could have seen the problem coming earlier — and whether a Florida law regulating condo repairs that was repealed a decade ago could have made a difference.
The law required condo boards to hire experts and do a reserve study every 5 years. The last time the Champlain Towers South Condominium did a reserve study was in 2015. Condo Boards are made up of volunteers with no background in structural integrity, or long term building maintenance.
"If the owners would have had a reserve study, if the board was proactive and had funded its reserves, this never would have happened," said Julio Robaina, a former Republican state legislator.
Robaina sponsored a 2008 law requiring condo associations to hire engineers or architects to submit reports every five years about how much it would cost to keep up with repairs.
The law lasted just two years before it was repealed in 2010, after Robaina left office. Robaina blamed pushback from real estate lawyers and property managers, who he said claimed that the law was too burdensome for condo owners. The legislator who sponsored the repeal, former state Rep. Gary Aubuchon, a Republican real estate broker and homebuilder, did not reply to messages seeking comment.
No wonder Gary Aubuchon isn’t taking reporters’ calls.
A survey last year by the Community Associations Institute found that most homeowners associations are hesitant to increase residents' fees, anticipating opposition, and therefore fail to plan for long-term infrastructure fixes.
Now only seven states have regulations for condo boards to do reserve studies periodically. Delaware, Virginia, Colorado, Utah, Nevada, California, Oregon, and Washington. Most states do have some condo regulations for stipulating reserve levels.