July 6,

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1 Page 1 of 6 July 6, 2000 The Marion County Board of County Commissioners met in a workshop session in Commission chambers at 9:00 a.m. on Thursday, July 6, 2000 at the Marion County Governmental Complex located in Ocala, Florida. Upon roll call the following members were present: Chairman Steve F. Henning, District 5; Vice-Chairman Larry Cretul, District 2; Commissioner Judy D. Johnson, District 1; and Commissioner Parnell Townley, District 3. Commissioner Randy Harris, District 4, arrived shortly after the meeting commenced. Also present were Deputy Clerk Madeline Williamson, County Attorney Gordon B. Johnston, Assistant County Administrator Ed Smith, representatives of the news media, and approximately 90 citizens. Legislation/Ordinances/Subdivisions - Chairman Henning announced that he sent letters to members of the Marion County Legislative Delegation inviting them to attend the workshop concerning filing of public documents by developers required by Chapters and , Florida Statutes. He welcomed State Representative Everett Kelly to the meeting, and noted that State Senator Anna Cowin was expected shortly. Rep. Kelly presented a draft of a proposed Bill amending Chapter , Florida Statutes, by adding the following language to Sections 1, 2, and 3: Any covenants must also be included with the disclosure statement. If a person does not provide the prospective parcel owner the disclosure statement and covenants at least 7 days before executing the contract for sale, the county or any appropriate agency issuing the permit for the development shall withhold the permit for development until such time the person complies with the provisions of this subsection. Any homeowners association that collects more than $10,000 in homeowners association dues or any type of fees shall cause an audit to be conducted of its accounts on an annual basis. All property owners who are required to become a member of the homeowners association shall receive copies of the audit each year. The audit shall be completed within a reasonable time after the close of the fiscal year for the homeowners association and supplied to the homeowners association upon completion.

2 Page 2 of 6 If a homeowners association voting is based upon the number of lots owned, once parcels have been sold, the developer shall have one vote on any issue coming before the homeowners association. Commissioner Harris arrived at 9:08 a.m. County Attorney Johnston noted that at the direction of the Board he drafted an ordinance requiring developers to file documents pursuant to the statute with the Clerk s Commission Records Division. He stated the Board scheduled a public hearing on July 11, 2000 at 10:45 a.m. to consider adopting the ordinance. Commissioner Townley noted the Board decided the issue was a priority for consideration by the Legislative Delegation. He suggested a formal vote on the matter. Commissioner Johnson stated the goal of the workshop was to hear areas of concern relating to homeowners and association s rights and legislative changes to be presented to the Delegation. Chairman Henning presented a copy of a letter, dated June 24, 2000, from Buddy Catledge, President, and Fanny Vail-Fischer, Vice President, Concerned Homeowners in Partnership, Inc. (CHIP), listing the following homeowners rights issues of concern to residents of Cherrywood Estates, as well as other developments: FS (which mandates that developers collecting amenities publish an annual financial report on the amounts collected and the amounts expended) contains no penalty for failure to comply with the law, nor does the statute require a certified, audited financial report. Unilateral changes made to covenants and deed restrictions by developers which changes are more restrictive and unrelated to the initial covenants and deed restrictions agreed to by the homeowner. The problem of undisclosed accumulated debt of the type for which the homeowner might ultimately be responsible. Non-disclosure of the specifications of the planned development and changes to the initial plat size under which the homeowner purchased.

3 Page 3 of 6 Mrs. Vail-Fischer, Cherrywood, stated the main problem was disclosure, and lack of, or inadequate reports. She stated another problem was that residents were told the fees did not cover costs of the community, but were not informed of the reason or amount of the debt. She noted the original deed restrictions and covenants consisted of 17 pages, but due to amendments by the developer, now consisted of 43 pages. Mrs. Vail-Fischer suggested that developers be required to announce complete plans at the onset of development. She pointed out that the Cherrywood community center was built to serve the original subdivision of 400 homes, but the development was expanded to more than 700 homes without enlargement of the center. Sen. Cowin reported that she would file legislation in August 2000 addressing these concerns. In response to inquiry by Commissioner Harris, Mr. Johnston advised that provisions of the County s ordinance could not be more restrictive than what was required by statute. Rep. Kelly stated he shared concerns of the residents, and noted it would be a lengthy process to change legislation. He expressed support of the proposed ordinance. In response to inquiry by Commissioner Johnson, Mrs. Vail-Fischer stated she would meet with members of CHIP to clarify whether an audit or a list of expenditures was preferred. Commissioner Harris suggested the State require developers to file uniform financial disclosure forms. Mr. Catledge stated that CHIP would discuss what they wanted in the area of financial reports. He noted a recent report filed by a developer reflected that a loan was made to the association and no explanation was offered regarding administrative expenses. Sen. Cowin suggested a local or State entity be created to perform oversight duties. David Serra, Palm Cay, realtor and broker, stated the subdivision now had a new developer who instituted new rules. He recommended legislation be enacted that clarified the developer s role. Bob Kaufman, Palm Cay, stated some deed restrictions were too confining. He recommended developers be compelled to report expenditures. Pat Sasso commented on problems with the developer/builder of her community, and the lack of enforcement of State regulations and laws. She recommended that complaints against builders be placed in the public record. George Hugger, Marion Landing, recommended that new legislation require developers to give home buyers copies of restrictions and covenants at the time of contract approval. George Maines, Stonecrest, Chairman of the Community Advisory Board, stated fees for landscaping were used for other purposes without approval of residents. He stated a law was needed to prohibit co-mingling of fees. Francis Scott, Oak Run, stated that he paid a monthly fee for road maintenance and repairs, but his road was not maintained. Commissioner Johnson out at 10:35 a.m.

4 Page 4 of 6 Russell Day, The Villages, stated his subdivision was a Community Development District without a homeowners association. He noted that no State agency had oversight. Commissioner Johnson returned at 10:36 a.m. Commissioner Harris out at 10:37 a.m. Mr. Day pointed out that his subdivision had 100 deed restrictions. Ms. Dubor, Federation of Manufactured Homes, stated that 99% of the issues raised today have to be mandated by State statute. Commissioner Cretul out at 10:39 and returned at 10:40 a.m. Donald Morrison, On Top of the World, stated the developer submitted an annual budget, but it was insufficient. He stated the officers of the subdivision s homeowners association were the developer and his family. Commissioner Harris returned at 10:47 a.m. Thomas Christianson, Cherrywood, commented on deed restrictions and misleading information received from the developer. Norman Walters, Pine Run Estates, stated the disclosure report on amenities submitted by the developer was not valid or adequate. He stated the developer should be required to file an audit and a separate accounting for amenities fees. Bill Zyck, Cherrywood, stated that if a resident was out of State for five to six months, he should not be required to pay for garbage pick up or cable television service. He suggested developers be required to provide copies of agreements with cable television firms to the homeowners. Ken Kirkpatrick, Heritage Management, Palm Cay, stated developers should be accountable. He commented on the cost of audits, difficulties enforcing deed restrictions, and transition from developers to homeowners association. Iris Penta, Country Club Villages, Silver Springs Shores, commented on a change in her management company without notice to homeowners. The County Attorney advised that condominiums were regulated by statutes different from subdivisions. Pat Strait, Stonecrest, recommended legislation establishing a penalty for those developers violating statutes. Commissioner Johnson out at 11:17 a.m. Ms. Strait noted that some developers were exempt from complying with deed restrictions. Commissioner Johnson returned at 11:20 a.m.

5 Page 5 of 6 Robert Janauskas, SW 81st Street, stated that full disclosure should be required prior to construction. He stated that House Bill 4129, which was defeated a few years ago, addressed oversight, co-mingling of funds, transition, and control. Mr. Janauskas recommended the County franchise cable television. Commissioner Harris out at 11:25 and returned at 11:26 a.m. Mr. Janauskas stated his developer was permitted to add non-contiguous land to the subdivision. He suggested guidelines be enacted to insure that developers provided disclosure before a contract was signed. There was a recess at 11:28 a.m. The meeting reconvened at 11:35 a.m. with all members present. Nancy Solona, Wellington Station, stated the subdivision was a Planned Unit Development located in the City of Ocala. Mr. Johnston advised that the proposed ordinance would not effect City developments. Commissioner Harris stated it appeared the Department of Professional Regulation and other agencies were not enforcing statutes, codes or regulations. Tony Tortora, On Top of the World, stated he was satisfied with the amenities provided by the developer, and although there had been problems, most were resolved. He advised that the developer annually issued a questionnaire to residents requesting comments on management. Mr. Tortora stated the proposed legislation should not be too restrictive. Pat Gabriel, Countryside Farms, stated the subdivision was controlled by the property owners. She stated the issues raised impacted the entire State. Ms. Gabriel suggested that land use and zoning changes be published in community newspapers in a form that could be better understood by residents. She recommended the Board solicit input on legislative changes from realtors and builders. Andy Koonz, Cherrywood, commented on difficulties in getting the developer to correct a tile problem. Commissioner Townley out at 11:51 and returned at 11:53 a.m. Karl Beddow, On Top of the World, stated the developer changed its mowing policy relating to easements. Rip Perry, Spruce Creek Preserve, commented on statutes, transition from developer to association, and notice requirements. He also addressed enforcement on the State level. Frank Gorman, Del Webbs Country Club, stated many homeowners did not know their rights. Sen. Cowin suggested the Board determine whether it could require a developer to post a notice of deed restrictions and homeowners associations. Commissioner Harris noted

6 Page 6 of 6 that Commissioner Johnson was president of the Florida Association of Counties and suggested that issues discussed today be addressed by the organization. In response to inquiry by Commissioner Harris, Mr. Johnston advised that the Board could enact codes regulating County-wide cable television franchises, including private subdivisions. Chairman Henning requested each Commissioner prepare a list of needed legislative revisions for presentation to the Delegation. In response to comments by Mr. Johnston, Commissioner Cretul suggested that Development Orders issued by the Board state that it could be revoked if the developer did not comply with State regulations. Commissioner Harris stated he agreed with Sen. Cowin s suggestion that enforcement be on the local level. The Chairman agreed. He presented a letter, dated June 22, 2000, from James C. Champion, Palm Cay, listing areas of concern regarding declaration of covenants and restrictions, by-laws, and contracts for sale and purchase. Roads, Miscellaneous - The Chairman changed the workshop on SW 100th Street from July 25, 2000 to Wednesday, July 26, 2000 at 9:00 a.m. due to conflict with the City/County meeting. There being no further business to come before the Board, the meeting thereupon adjourned at 12:34 p.m. Steve F. Henning, Chairman Attest: David R. Ellspermann, Clerk Meeting minutes adopted by Board of County Commissioners on August 1, 2000.

September 25, 2000 Minutes. September 25, 2000

September 25, 2000 Minutes. September 25, 2000 Page 1 of 6 Book B, Pages 335-340 September 25, 2000 The Marion County Board of County Commissioners met in special session in Commission chambers at 9:01 a.m. on Monday, September 25 9, 2000 at the Marion