Sun Sentinel House Keys Blog: Special session could cancel hurricane-resistance report cards for home buyers, reinstate energy rebates

Nov 4, 2010

The following article was posted to the Sun-Sentinel House Keys blog on November 4, 2010:

Special session could cancel hurriane-resistance report cards for home buyers, reinstate energy rebates

By Julie Patel

www.sun-sentinel.com

Prospective home buyers in hurricane-prone areas like South Florida want to know how strong a home is before buying it.

That’s what Gov. Charlie Crist said he figured when he vetoed a bill, HB 545, this year that would have repealed a state law requiring home sellers in risky areas to disclose to buyers a home’s “wind resistance” rating starting next year.

But Senate President-designate Mike Haridopolos and House Speaker-designate Dean Cannon announced today they plan to call a special session on Nov. 16 to override Crist’s vetoes of some bills, including HB 545.

“The statute is a potential impediment to home sales in Florida because it puts an additional burden on the seller,” according to a statement from the Florida House’s majority office.

They can’t officially call the session before they’re appointed head of the Senate and House during the Legislature’s organizing session on Nov. 16 but they wanted to let the public know about their plans, said David Bishop, spokesman for the Senate majority’s office.

Legislators will also consider funding programs that provide rebates for homeowners that install energy-efficient appliances, including air conditioners and solar systems.

Here is what Aaron Deslatte, from our Tallahassee office, said the House majority office wrote today about HR 545 and the energy efficiency programs in its own words:

“HB 545 – Residential Property Sales

Problem: A current law set to take effect January 1, 2011, would require sellers of homes in Florida’s coastal areas to disclose the home’s windstorm mitigation rating to homebuyers, which could cause home sales in all coastal areas of Florida to be delayed, discouraged or prevented. The statute is a potential impediment to home sales in Florida because it puts an additional burden on the seller.

Effect of Override: All home sales located along Florida’s coast are impacted if the veto stands, as all coastal property in Florida is in the wind borne debris region. For example, all or almost all homes in the following counties are included in the wind borne debris region and are affected: Escambia, Santa Rosa, Bay, Gulf, Franklin, Pinellas, Sarasota, Lee, Collier, Monroe, Miami-Dade, Broward, Palm Beach, Martin, St. Lucie, Indian River, and Brevard. Allowing the mitigation disclosure statute to take effect will not improve Florida’s housing market…

HVAC and Solar Rebates

Problem: Floridians have made financial commitments for the installation of qualified HAVC system based on an understanding that they would receive a rebate. The rebate program created upon which this understanding was based had neither appropriation nor lawful authority. Additionally, a solar rebate program last funded in FY 2009-10 has accumulated a backlog of over 13,000 unreimbursed rebate applications at an estimated value of $52 million. This backlog of applications is attributable to the popularity of the program, coupled with a significantly delayed notification that the funds had been depleted.

Potential Solution: $31.3 million in federal stimulus funds are available for appropriation for programs such as the solar rebate program and the HVAC program.

HVAC Rebate Program: $2,467,244 could be appropriated specifically for the HVAC Rebate Program to pay rebate applications submitted by November 30, 2010, for systems purchased or contracted for on or between August 30, 2010, and September 14, 2010.

Solar Rebate Program: The remaining $28,902,623 appropriation could be used to pay a percentage of each solar rebate application in the backlog. The percentage to be paid will be determined by dividing the remaining appropriation by the dollar value of approved rebate applications in the backlog. Depending on the ultimate number and value of rebates paid under the bill, it is estimated that over 50 percent of the value of each solar rebate will be paid.

This plan attempts to provide an equitable solution to both the HVAC and Solar Rebate Programs within available resources. Most individuals who may have been misled into making a significant financial commitment to purchase an HVAC system based upon a premature promise will be made whole. In addition, individuals and businesses that also made a significant financial commitment in purchasing a solar energy system only to find out later that funds were not, or would not be available, are provided a meaningful portion of the original rebate amount.”

Find this article at:  http://weblogs.sun-sentinel.com/business/realestate/housekeys/blog/2010/11/special_session_may_cancel_law.html