Florida 2022 2022 Regular Session

Florida House Bill H0101 Introduced / Bill

Filed 09/14/2021

                       
 
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A bill to be entitled 1 
An act relating to the Resiliency Energy Environment 2 
Florida program; amending s. 163.08, F.S.; revising 3 
and providing definitions related to the Resiliency 4 
Energy Environment Florida (REEF) program; conforming 5 
provisions to changes made by the act; provid ing that 6 
certain notices of lien may be recorded in the public 7 
records of specified counties; providing that such 8 
liens are not enforceable; revising the types of items 9 
that a local government or program administrator must 10 
reasonably determine before enter ing into an 11 
assessment financing agreement; specifying conditions 12 
that must be met before final funding may be provided; 13 
specifying that an assessment financing agreement 14 
applies to new nonresidential and residential real 15 
properties; providing caps on the non-ad valorem 16 
assessments that may exist on properties; creating s. 17 
163.081, F.S.; providing additional requirements to be 18 
met by program administrators when administering a 19 
REEF program; providing exceptions; specifying terms 20 
that are not authorized in a n assessment financing 21 
agreement; providing guidelines to be used by program 22 
administrators dealing with contractors who install 23 
qualifying improvements; specifying conditions under 24 
which a program administrator may disburse funds to a 25     
 
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contractor; providin g marketing and communications 26 
guidelines for use by program administrators and 27 
contractors; prohibiting contractors from taking 28 
certain actions related to pricing of qualifying 29 
improvements; prohibiting program administrators from 30 
certain actions in excha nge for referring assessment 31 
financing business to contractors; requiring program 32 
administrators to appropriately develop and implement 33 
procedures to handle complaints and monitor 34 
contractors; specifying information that dependent 35 
special districts or cert ain legal entities must 36 
provide in their annual audit reports related to the 37 
REEF program; providing program requirements for 38 
government leased properties; providing an effective 39 
date. 40 
 41 
Be It Enacted by the Legislature of the State of Florida: 42 
 43 
 Section 1.  Subsections (1), (2), (4), (6) through (10), 44 
and (12) through (14) of section 163.08, Florida Statutes, are 45 
amended, and subsection (18) is added to that section, to read: 46 
 163.08  Supplemental Authority for qualifying improvements 47 
to real property.— 48 
 (1)(a)  In chapter 2008 -227, Laws of Florida, the 49 
Legislature amended the energy goal of the state comprehensive 50     
 
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plan to provide, in part, that the state shall reduce its energy 51 
requirements through enhanced conservation and efficiency 52 
measures in all end-use sectors and reduce atmospheric carbon 53 
dioxide by promoting an increased use of renewable energy 54 
resources. That act also declared it the public policy of the 55 
state to play a leading role in developing and instituting 56 
energy management programs that promote energy conservation, 57 
energy security, and the reduction of greenhouse gases. In 58 
addition to establishing policies to promote the use of 59 
renewable energy, the Legislature provided for a schedule of 60 
increases in energy performance of buildings subje ct to the 61 
Florida Energy Efficiency Code for Building Construction. In 62 
chapter 2008-191, Laws of Florida, the Legislature adopted new 63 
energy conservation and greenhouse gas reduction comprehensive 64 
planning requirements for local governments. In the 2008 ge neral 65 
election, the voters of this state approved a constitutional 66 
amendment authorizing the Legislature, by general law, to 67 
prohibit consideration of any change or improvement made for the 68 
purpose of improving a property's resistance to wind damage or 69 
the installation of a renewable energy source device in the 70 
determination of the assessed value of residential real 71 
property. 72 
 (b)  The Legislature finds that all energy -consuming-73 
improved properties that are not using energy conservation 74 
strategies contribut e to the burden affecting all improved 75     
 
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property resulting from fossil fuel energy production. Improved 76 
property that has been retrofitted with energy -related 77 
qualifying improvements receives the special benefit of 78 
alleviating the property's burden from ene rgy consumption. All 79 
improved properties not protected from wind damage by wind 80 
resistance qualifying improvements contribute to the burden 81 
affecting all improved property resulting from potential wind 82 
damage. Improved property that has been retrofitted wi th wind 83 
resistance qualifying improvements receives the special benefit 84 
of reducing the property's burden from potential wind damage. 85 
Further, the installation and operation of qualifying 86 
improvements not only benefit the affected properties for which 87 
the improvements are made, but also assist in fulfilling the 88 
goals of the state's energy and hurricane mitigation policies. 89 
 (c) In order to make qualifying improvements more 90 
affordable and to assist property owners who wish to undertake 91 
such improvements, t he Legislature finds that there is a 92 
compelling state interest in enabling property owners to 93 
voluntarily finance such improvements under the REEF program 94 
with local government assistance . 95 
 (d)(c) The Legislature determines that the actions 96 
authorized under this section, including, but not limited to, 97 
the financing of qualifying improvements through the execution 98 
of assessment financing agreements and the related imposition of 99 
voluntary assessments are reasonable and necessary to serve and 100     
 
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achieve a compelling state interest and are necessary for the 101 
prosperity and welfare of the state and its property owners and 102 
inhabitants. 103 
 (2)  As used in this section and s. 163.081, the term: 104 
 (a)  "Assessment financing agreement" means the financing 105 
agreement, under a REEF program, between a local government and 106 
a property owner for the acquisition or installation of 107 
qualifying improvements. 108 
 (b)  "Contractor" means an independent contractor who 109 
contracts with a property owner to install qualifying 110 
improvements on real property but who is not the owner of such 111 
property. 112 
 (c)  "Government leased property" means real property owned 113 
by a local government that is subject to taxation due to the 114 
lease of the property to a nongovernmental lessee. 115 
 (d)(a) "Local government" m eans a county, a municipality, 116 
a dependent special district as defined in s. 189.012, or a 117 
separate legal entity created pursuant to s. 163.01(7). 118 
 (e)  "Non-ad valorem assessment" has the same meaning as in 119 
s. 197.3632(1). 120 
 (f)  "Nongovernmental lessee" means a person or an entity 121 
other than a local government which leases government real 122 
property. 123 
 (g)  "Nonresidential real property" means property not 124 
defined as residential real property that will be or has been 125     
 
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improved by a qualifying improvement, inc luding, but not limited 126 
to, the following: 127 
 1.  Agricultural property. 128 
 2.  Commercial real property. 129 
 3.  Government leased property. 130 
 4.  Industrial building or property. 131 
 5.  Multifamily residential property composed of five or 132 
more dwelling units. 133 
 (h) "Program administrator" means an entity, including, 134 
but not limited to, a for -profit or not-for-profit entity, with 135 
whom a local government may contract to administer a REEF 136 
program. 137 
 (i)(b) "Qualifying improvement" includes any: 138 
 1.  Energy conservatio n and efficiency improvement, which 139 
is a measure to reduce consumption through conservation or a 140 
more efficient use of electricity, natural gas, propane, or 141 
other forms of energy on the property, including, but not 142 
limited to, air sealing; installation of insulation; 143 
installation of energy -efficient heating, cooling, or 144 
ventilation systems; building modifications to increase the use 145 
of daylight; replacement of windows; installation of energy 146 
controls or energy recovery systems; installation of electric 147 
vehicle charging equipment; and installation of efficient 148 
lighting equipment. 149 
 2.  Renewable energy improvement, which is the installation 150     
 
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of any system in which the electrical, mechanical, or thermal 151 
energy is produced from a method that uses one or more of t he 152 
following fuels or energy sources: hydrogen, solar energy, 153 
geothermal energy, bioenergy, and wind energy. 154 
 3.  Wind resistance improvement, which includes, but is not 155 
limited to: 156 
 a.  Improving the strength of the roof deck attachment; 157 
 b.  Creating a secondary water barrier to prevent water 158 
intrusion; 159 
 c.  Installing wind-resistant shingles; 160 
 d.  Installing gable -end bracing; 161 
 e.  Reinforcing roof -to-wall connections; 162 
 f.  Installing storm shutters; or 163 
 g.  Installing opening protections. 164 
 (j)  "Residential real property" means a residential 165 
property of four or fewer dwelling units that will be or has 166 
been improved by a qualifying improvement. 167 
 (k)  "Resiliency Energy Environment Florida program" or 168 
"REEF program" means a program established under this s ection or 169 
s. 163.081 by a local government, alone or in partnership with 170 
other local governments or a program administrator, to finance 171 
qualifying improvements on nonresidential real property or 172 
residential real property. 173 
 (4)  Subject to local government ordinance or resolution, a 174 
property owner may apply to the REEF program the local 175     
 
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government for funding to finance a qualifying improvement and 176 
enter into an assessment a financing agreement with the local 177 
government. Costs incurred by the REEF program the local 178 
government for such purpose may be collected as a non -ad valorem 179 
assessment. A non-ad valorem assessment shall be collected 180 
pursuant to s. 197.3632 and, notwithstanding s. 197.3632(8)(a), 181 
is shall not be subject to discount for early payment. How ever, 182 
the notice and adoption requirements of s. 197.3632(4) do not 183 
apply if this section is used and complied with, and the intent 184 
resolution, publication of notice, and mailed notices to the 185 
property appraiser, tax collector, and Department of Revenue 186 
required by s. 197.3632(3)(a) may be provided on or before 187 
August 15 in conjunction with any non -ad valorem assessment 188 
authorized by this section, if the property appraiser, tax 189 
collector, and local government agree. 190 
 (6)  A local government may enter into a n agreement with a 191 
program administrator to administer the REEF program A 192 
qualifying improvement program may be administered by a for -193 
profit entity or a not -for-profit organization on behalf of and 194 
at the discretion of the local government . 195 
 (7)  A local government may incur debt for the purpose of 196 
providing financing for the such improvements, which debt is 197 
payable from revenues received from the improved properties 198 
property, or any other available revenue source authorized under 199 
this section or by law. 200     
 
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 (8)  A local government may enter into an assessment a 201 
financing agreement to finance or refinance a qualifying 202 
improvement only with the record owner of the affected property. 203 
Any assessment financing agreement entered into pursuant to this 204 
section or a summary memorandum of such agreement must shall be 205 
submitted for recording recorded in the public records of the 206 
county within which the property is located by the sponsoring 207 
unit of local government within 5 days after execution of the 208 
agreement. The record ed agreement shall provide constructive 209 
notice that the assessment to be levied on the property 210 
constitutes a lien of equal dignity to county taxes and 211 
assessments from the date of recordation. A notice of lien for 212 
the full amount of the financing may be r ecorded in the public 213 
records of the county in which the property is located. Such 214 
lien is not enforceable in a manner that results in the 215 
acceleration of the remaining nondelinquent unpaid balance under 216 
the assessment financing agreement. 217 
 (9)  Before entering into an assessment a financing 218 
agreement, the local government or the program administrator, as 219 
applicable, must shall reasonably determine that : 220 
 (a) All property taxes and any other assessments levied on 221 
the same bill as property taxes are current paid and have not 222 
been delinquent for more than 30 days for the preceding 3 years 223 
or the property owner's period of ownership, whichever is less; 224 
 (b) that There are no involuntary liens greater than 225     
 
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$1,000, including, but not limited to, construction l iens on the 226 
property;  227 
 (c) that No notices of default or other evidence of 228 
property-based debt delinquency have been recorded and not 229 
released during the preceding 3 years or the property owner's 230 
period of ownership, whichever is less; 231 
 (d)  The property owner has been asked whether any other 232 
assessments under this section have been recorded or have been 233 
funded and not yet recorded on the property. The failure of a 234 
property owner to disclose information set forth in this 235 
paragraph does not invalid ate an assessment financing agreement 236 
or any obligation thereunder, even if the total financed amount 237 
of the qualifying improvements exceeds the amount that would 238 
otherwise be authorized under paragraph (12)(a); and  239 
 (e) that The property owner is curren t on all mortgage 240 
debt on the property ; and 241 
 (f)  The residential real property is not subject to an 242 
existing home equity conversion mortgage or reverse mortgage 243 
product or is not a residential real property gifted to a 244 
homeowner for free by a not -for-profit entity. This paragraph 245 
does not apply to nonresidential real properties . 246 
 (10)  Before final funding may be provided, a qualifying 247 
improvement must shall be affixed, or be planned to be affixed, 248 
to a nonresidential or residential real building or facility 249 
that is part of the property and constitutes shall constitute an 250     
 
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improvement to that property the building or facility or a 251 
fixture attached to the building or facility . An assessment 252 
financing agreement between a local government and a qualifying 253 
property owner may not cover qualifying wind-resistance 254 
improvements on new nonresidential or new residential real 255 
properties in buildings or facilities under new construction or 256 
construction for which a certificate of occupancy or similar 257 
evidence of substantial completion of new construction or 258 
improvement has not been issued . 259 
 (12)(a)  Without the consent of the holders or loan 260 
servicers of any mortgage encumbering or otherwise secured by 261 
the property, the total amount of any non -ad valorem assessment 262 
for a property under this section may not exceed 20 percent of 263 
the fair market value just value of the real property as 264 
determined by the county property appraiser . The combined 265 
mortgage-related debt and total amount of any non -ad valorem 266 
assessments funded under this section for residential real 267 
property may not exceed 100 percent of the fair market value of 268 
the residential real property. The failure of a property owner 269 
to disclose information set forth in paragraph (9)(d) does not 270 
invalidate an assessment financing agreement or any obligation 271 
thereunder even if the total financed amount of the qualifying 272 
improvements exceeds the amount that would otherwise be 273 
authorized under this paragraph. 274 
 (b)  Notwithstanding paragraph (a), a non -ad valorem 275     
 
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assessment for a qualifying improvement defined in subparagraph 276 
(2)(i)1. (2)(b)1. or subparagraph (2)(i)2. (2)(b)2. that is 277 
supported by an energy audit is not subject to the limits in 278 
this subsection if the audit demonstrates that the annual energy 279 
savings from the qualified improvement equals or exceeds the 280 
annual repayment amount of the non -ad valorem assessment. 281 
 (13)  At least 30 days before entering into an assessment a 282 
financing agreement, the property owner shall provide to the 283 
holders or loan servicers of any existing mortgages encumbering 284 
or otherwise secured by the property a notice of the owner's 285 
intent to enter into an assessment a financing agreement 286 
together with the maximum principal amount to be financed and 287 
the maximum annual assessment necessary to r epay that amount. A 288 
verified copy or other proof of such notice shall be provided to 289 
the local government or program administrator . A provision in 290 
any agreement between a mortgagee or other lienholder and a 291 
property owner, or otherwise now or hereafter bin ding upon a 292 
property owner, which allows for acceleration of payment of the 293 
mortgage, note, or lien or other unilateral modification solely 294 
as a result of entering into an assessment a financing agreement 295 
as provided for in this section is not enforceable. This 296 
subsection does not limit the authority of the holder or loan 297 
servicer to increase the required monthly escrow by an amount 298 
necessary to annually pay the annual qualifying improvement 299 
assessment. 300     
 
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 (14)  At or before the time a seller purchaser executes a 301 
contract for the sale and purchase of any property for which a 302 
non-ad valorem assessment has been levied under this section and 303 
has an unpaid balance due, the seller must shall give the 304 
prospective purchaser a written disclosure statement in the 305 
following form, which shall be set forth in the contract or in a 306 
separate writing: 307 
 308 
QUALIFYING IMPROVEMENTS FOR ENERGY EFFICIENCY, RENEWABLE ENERGY, 309 
OR WIND RESISTANCE.—The property being purchased is located 310 
within the jurisdiction of a local government that h as placed an 311 
assessment on the property pursuant to s. 163.08, Florida 312 
Statutes. The assessment is for a qualifying improvement to the 313 
property relating to energy efficiency, renewable energy, or 314 
wind resistance, and is not based on the value of property. You 315 
are encouraged to contact the county property appraiser's office 316 
to learn more about this and other assessments that may be 317 
provided by law. 318 
 319 
 (18)  Notwithstanding any provision of this section or s. 320 
163.081 to the contrary, the following applies to g overnment 321 
leased property: 322 
 (a)  The assessment financing agreement must be executed 323 
by: 324 
 1.  The local government and the nongovernmental lessee; or 325     
 
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 2.  Only the nongovernmental lessee but with the written 326 
consent of the local government. Evidence of consent shall be 327 
provided to the program administrator or REEF program. 328 
 (b)  The assessment financing agreement must provide that 329 
the nongovernmental lessee is the only party obligated to pay 330 
the assessment. 331 
 (c)  A delinquent assessment shall be enforced in the 332 
manner provided in ss. 196.199(8) and 197.432(10). 333 
 (d)  The recorded assessment financing agreement or a 334 
summary memorandum of such recorded agreement must provide 335 
constructive notice that the assessment to be levied on the 336 
property is subject to enforcement in the manner provided in ss. 337 
196.199(8) and 197.432(10). 338 
 (e)  For purposes of subsections (9) and (13) only, 339 
references to the property owner are deemed to refer to the 340 
nongovernmental lessee and references to the period of ownership 341 
are deemed to refer to the period during which the 342 
nongovernmental lessee leased the property from the local 343 
government. 344 
 (f)  The term of the assessment financing agreement on 345 
government leased property may not exceed: 346 
 1.  Thirty years; 347 
 2.  The remaining term o f the lease on the government 348 
leased property; or 349 
 3.  The weighted average estimated useful life of all 350     
 
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qualifying improvements being financed or the estimated useful 351 
life of the qualifying improvements to which the greatest 352 
portion of funds are disbursed . 353 
 Section 2.  Section 163.081, Florida Statutes, is created 354 
to read: 355 
 163.081  Additional requirements for program administrators 356 
for qualifying improvements on residential real property. — 357 
 (1)(a)  In addition to the requirements in s. 163.08, a 358 
program administrator must comply with this section when 359 
administering a REEF program for qualifying improvements on 360 
residential real property. 361 
 (b)  This section does not apply to residential real 362 
property: 363 
 1.  Residential real property owned by a local government. 364 
 2. To residential real property if the program 365 
administrator reasonably determines that: 366 
 a.  The residential real property is owned by a business 367 
entity that owns more than four residential real properties; and 368 
 b.  The business entity's managing member, partner, or 369 
beneficial owner does not reside in the residential real 370 
property. 371 
 (2)  Before final approval of the assessment financing 372 
agreement for a qualifying improvement on a residential real 373 
property, the program administrator must reasonably determine 374 
that the property owner has the ability to pay the estimated 375     
 
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annual assessment. To do so, the program administrator must, at 376 
a minimum, use the underwriting requirements in s. 163.08(9) to 377 
confirm that the property owner is not in bankruptcy and to 378 
determine that the total estimated annual payment amount for all 379 
assessment financing agreements funded under this section on the 380 
property do not exceed 10 percent of the property owner's annual 381 
household income. Annual household income may be confirmed using 382 
information gathered from reputable third parties that provide 383 
reasonably reliable evidence of the property owner's annual 384 
household income. Annual household income may not be confirmed 385 
solely from a property owner's statement. The failure of a 386 
property owner to disclose information set forth in s. 387 
163.08(9)(d) does not invalidate an assessment financing 388 
agreement or any obligation thereunder, even if the total 389 
estimated annual payment amount exceeds the amount that would 390 
otherwise be authorized unde r this section or s. 163.08. 391 
 (3)  Before or contemporaneously with a property owner 392 
signing an assessment financing agreement on a residential real 393 
property, the program administrator must provide a financing 394 
estimate and disclosure to the residential rea l property owner 395 
which includes all of the following: 396 
 (a)  The total amount estimated to be funded, including the 397 
cost of the qualifying improvements, program fees, and 398 
capitalized interest, if any. 399 
 (b)  The estimated annual non -ad valorem assessment. 400     
 
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 (c)  The term of the non -ad valorem assessment. 401 
 (d)  The interest charged and the estimated annual 402 
percentage rate. 403 
 (e)  A description of the qualifying improvement. 404 
 (f)  A disclosure that if the property owner sells or 405 
refinances the property, the prope rty owner, as a condition of 406 
the sale or the refinance, may be required by a mortgage lender 407 
to pay off the full amount owed under each assessment financing 408 
agreement. 409 
 (g)  A disclosure that the non -ad valorem assessment will 410 
be collected along with the p roperty owner's property taxes and 411 
will result in a lien on the property beginning on the date the 412 
assessment financing agreement is recorded. 413 
 (h)  A disclosure that failure to pay the non -ad valorem 414 
assessment may result in penalties and fees along with the 415 
issuance of a tax certificate that could result in the property 416 
owner losing the real property. 417 
 (4)(a)  Before a notice to proceed is issued on residential 418 
real property, the program administrator must conduct, with a 419 
residential real property owner o r an authorized representative, 420 
an oral, recorded telephone call during which time the program 421 
administrator: 422 
 1.  Must ask the residential real property owner if he or 423 
she would like to communicate primarily in a language other than 424 
English. 425     
 
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 2.  May not leave a voicemail for the residential real 426 
property owner to satisfy subparagraph 1. 427 
 (b)  During the telephone call, the program administrator 428 
must confirm all of the following with the residential real 429 
property owner: 430 
 1.  That at least one residential r eal property owner has 431 
access to a copy of the assessment financing agreement and 432 
financing estimates and disclosures. 433 
 2.  The qualifying improvements that are being financed. 434 
 3.  The total estimated annual costs that the residential 435 
real property owner will have to pay under the assessment 436 
financing agreement, including applicable fees. 437 
 4.  The total estimated average monthly equivalent amount 438 
of funds the residential real property owner would have to save 439 
in order to pay the annual costs of the assessm ent, including 440 
applicable fees. 441 
 5.  The estimated date the residential real property 442 
owner's first property tax payment that includes the assessment 443 
will be due. 444 
 6.  The term of the assessment financing agreement. 445 
 7.  That payments for the assessment fi nancing agreement 446 
will cause the residential real property owner's annual tax bill 447 
to increase and that payments will be made through an additional 448 
annual assessment on the property and will be paid directly to 449 
the county tax collector's office as part of the total annual 450     
 
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secured property tax bill or may be paid through the residential 451 
real property owner's mortgage escrow account. 452 
 8.  That the residential real property owner has disclosed 453 
whether the property has received or is seeking additional 454 
assessments funded under this section or s. 163.08 and has 455 
disclosed all other assessments funded under this section or s. 456 
163.08 that are or are about to be placed on the property. 457 
 9.  That the property will be subject to a lien during the 458 
term of the assessment financing agreement and that the 459 
obligations under the agreement may be required to be paid in 460 
full before the residential real property owner sells or 461 
refinances the property. 462 
 10.  That any potential utility or insurance savings are 463 
not guaranteed and w ill not reduce the assessment or total 464 
assessment amount. 465 
 11.  That the program administrator does not provide tax 466 
advice and that the residential real property owner should seek 467 
professional tax advice if he or she has questions regarding tax 468 
credits, tax deductibility, or other tax impacts of the 469 
qualifying improvement or the assessment financing agreement. 470 
 (5)  The residential real property owner may cancel the 471 
assessment financing agreement within 3 business days after 472 
signing the assessment financing agreement without any financial 473 
penalty for doing so. 474 
 (6)  The term of an assessment financing agreement on 475     
 
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residential real property may not exceed: 476 
 (a)  Thirty years; or 477 
 (b)  The weighted average estimated useful life of all 478 
qualifying improvements being financed or the estimated useful 479 
life of the qualifying improvements to which the greatest 480 
portion of funds are disbursed. 481 
 (7)  An assessment financing agreement authorized under 482 
this section or s. 163.08 on residential real property may not 483 
include any of the following: 484 
 (a)  A negative amortization schedule. 485 
 (b)  A balloon payment. 486 
 (c)  Prepayment fees, other than nominal administrative 487 
costs. 488 
 (8)  For residential real property, a program 489 
administrator: 490 
 (a)  May not enroll a contractor who cont racts with 491 
residential real property owners to install qualifying 492 
improvements unless the program administrator: 493 
 1.  Makes a reasonable effort to review that the contractor 494 
maintains in good standing an appropriate license from the 495 
state, if applicable, a s well as any other permits, licenses, or 496 
registrations required for engaging in business in the 497 
jurisdiction in which he or she operates and that the contractor 498 
maintains all state-required bond and insurance coverage. 499 
 2.  Obtains the contractor's writte n agreement that the 500     
 
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contractor will act in accordance with all applicable laws and 501 
rules, including applicable advertising and marketing laws and 502 
rules. 503 
 (b)  Must maintain a process to enroll new contractors that 504 
includes reasonable review of the followi ng for each contractor: 505 
 1.  Relevant work or project history. 506 
 2.  Financial and reputational background checks. 507 
 3.  A criminal background check. A program administrator 508 
may rely on a criminal background check conducted by the 509 
Construction Industry Licen sing Board within the Department of 510 
Business and Professional Regulation to comply with this 511 
requirement. 512 
 4.  Rating with the Better Business Bureau or other online 513 
platform that tracks contractor reviews. 514 
 (9)(a)  Before disbursing funds to a contractor for a 515 
qualifying improvement on residential real property, a program 516 
administrator must confirm that the relevant work or service has 517 
been completed, either through a written certification from the 518 
property owner, a recorded telephone call with the propert y 519 
owner, review of time -stamped photographs, review of a final 520 
permit, or a site inspection through a third party. 521 
 (b)  A program administrator may not disclose to a 522 
contractor or to a third party engaged in soliciting an 523 
assessment financing agreement th e maximum financing amount for 524 
which a residential real property owner is eligible. 525     
 
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 (10)  When communicating with residential real property 526 
owners, a program administrator may not : 527 
 (a)  Represent that: 528 
 1.  The REEF program or assessment financing is a 529 
government assistance program; 530 
 2.  Qualifying improvements are free or assessment 531 
financing is a free program; or 532 
 3.  The financing of a qualifying improvement using the 533 
REEF program does not require the property owner to repay the 534 
financial obligation. 535 
 (b)  Make any representation as to the tax deductibility of 536 
a non-ad valorem assessment authorized under this section or s. 537 
163.08. A program administrator may encourage a property owner 538 
to seek the advice of a tax professional regarding tax matters 539 
related to such assessments. 540 
 (11)  A contractor may not present a higher price for a 541 
qualifying improvement on residential real property financed by 542 
an assessment financing agreement than the contractor would 543 
otherwise reasonably present if the qualifying impro vement was 544 
not being financed through an assessment financing agreement. 545 
 (12)  A program administrator shall use appropriate 546 
methodologies or technologies to identify and verify the 547 
identity of the residential real property owners who execute an 548 
assessment financing agreement. 549 
 (13)  A program administrator may not provide a contractor 550     
 
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with any payment, fee, or kickback in exchange for referring 551 
assessment financing business relating to a specific assessment 552 
financing agreement. 553 
 (14)  A program administra tor must develop and implement 554 
policies and procedures for responding to, tracking, and helping 555 
resolve questions and property owner complaints as soon as 556 
reasonably practicable. 557 
 (15)  A program administrator must maintain a process for 558 
monitoring contractors who contract with residential real 559 
property owners to install qualifying improvements with regard 560 
to performance and compliance with program policies and shall 561 
implement policies for suspending and terminating contractors 562 
based on violations of progra m policies or unscrupulous 563 
behavior. A program administrator shall maintain a policy for 564 
determining the conditions upon which a contractor may be 565 
reinstated to the REEF program. 566 
 (16)  A program administrator shall provide an annual 567 
report to each depende nt special district as defined in s. 568 
189.012 or separate legal entity created pursuant to s. 569 
163.01(7) that it has been contracted to administer the REEF 570 
program authorized under this section. The annual report shall 571 
be provided at a reasonable time follow ing the end of the prior 572 
calendar year and shall include information and data related to 573 
the following:  574 
 (a)  The total number of property owner complaints received 575     
 
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that are associated with project funding in the report year. 576 
 (b)  Of the total number of property owner complaints 577 
received that are associated with project funding in the report 578 
year:  579 
 1.  The number and percentage of complaints that relate to 580 
the assessment financing. 581 
 2.  The number and percentage of complaints that relate to 582 
a contractor or the workmanship of a contractor but do not 583 
relate to assessment financing. 584 
 3.  The number and percentage of complaints that relate to 585 
a contractor and assessment financing. 586 
 4.  The number and percentage of complaints unde r 587 
subparagraphs 1., 2., and 3. that were resolved and the number 588 
and percentage of complaints that were not resolved. 589 
 (c)  The percentage of property owner complaints under 590 
subparagraphs (b)1., 2., and 3. expressed as a total of all 591 
projects funded in th e report year. 592 
 Section 3.  This act shall take effect July 1, 2022. 593