December 6, 2024
Public Policy Update
Hello everyone. We hope you all had a wonderful Thanksgiving holiday and were able to relax and enjoy time with your families. Tallahassee was somewhat quiet during the break but that was only the calm before the storm as House members spent this week in Tallahassee receiving training and Senate members will be joining us next week for a similar agenda of events.
Both of these training weeks are technically part of the Interim Committee Week process, which you might recall serves as the preparation for the 60-day legislative session. During Committee Weeks, formal committees meet to hear testimony from experts and government officials, and even discuss and vote on proposed bills. They basically provide a fire-hose of information for lawmakers so that when March 4th gets here and session officially kicks off, they can hit the ground running.
But, as I mentioned, this week and next week are fairly light on the policy side of things as the planned activities involve necessary training for new members and officers. For instance, the Senate has several meetings on the calendar such as an overview of bill drafting and deadlines, a code of ethics review and a long-range financial outlook. You can take a gander at their full schedule for the week by going here. You will also be able to watch most of the meetings on the Florida Channel if you are interested.
As for the House's activities this week, you can watch those on the Florida channel as well. The House labeled most of their meetings with the “Legislator University” designation, so you can spot them pretty easily in the Florida Channel’s video library. Some examples of what they covered include overviews of counties, municipalities and special districts' powers, Florida’s criminal justice system, an economic forecast and a breakdown of how the state gets and spends its money.
Following next week’s Committee Week, lawmakers will take a break until after the holidays, where they will kick things into high gear on January 13th for another Interim Committee Week. You can check out the full Committee Week calendar by going here.
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Federal Beneficial Ownership Information (BIO) Reporting Rule Halted
On Dec. 3, 2024, the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction enjoining the federal government from enforcing the Corporate Transparency Act (CTA). This means the Financial Crimes Enforcement Network (FinCEN), a Bureau within the Treasury Department, cannot currently enforce the Beneficial Ownership Information (BOI) Reporting Rule enacted under the CTA.
The lawsuit asserted that the CTA is outside of Congress’s power to regulate under the Commerce Clause and, thus, is unconstitutional. NAR is reviewing the court order. Litigation continues, and the federal government may appeal the preliminary injunction.
NAR recommends members consult legal counsel for legal advice regarding compliance and the implications of the preliminary injunction on their businesses.
FinCEN’s BOI Reporting entity remains open and is accepting BOI Reports despite the preliminary injunction’s prohibition on the government’s ability to implement or enforce the CTA and BOI Reporting Rule.
At this time, NAR’s free BOI Compliance webinar is still taking place on Dec. 10, 2024, from 2-3 p.m. ET. Register and attend to receive up-to-date information regarding the BOI Reporting Rule and the preliminary injunction. The webinar will be recorded for those who cannot attend live.
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Legislative Proposal Would Nix State Park Plans
Months after the state introduced controversial plans to bring golf courses, resort-style lodges and pickleball courts to state parks, a Stuart lawmaker has filed a measure to make such proposed changes off-limits.
On Dec. 4, State Sen. Gayle Harrell filed a bill (SB 80) that would strike golf courses, tennis courts, pickleball courts and ball fields from recreational uses at state parks. The Stuart Republican’s proposal, dubbed the “State Park Preservation Act,” also would limit camping cabins to a maximum of six occupants. Florida Realtors will be tracking the bill throughout the legislative process.
Harrell was among lawmakers and residents who were angry over the state Department of Environmental Protection’s recent plans for what was called the “Great Outdoors Initiative.” The plan targeting nine parks included three proposed golf courses at Jonathan Dickinson State Park in Martin County, which is located in Harrell’s Senate district.
Read the full story here.
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Fla. Insurance Head: No New Legislative Reforms Yet
Major litigation reforms enacted in 2022 and 2023 are strengthening the industry by reducing lawsuits, which has helped private market companies return to profitability following five straight years of underwriting losses, said Virginia Christy, deputy commissioner of property and casualty with Florida Office of Insurance Regulation, at this week’s Florida Chamber Annual Insurance Summit in Orlando.
The renewed financial health has encouraged reinsurers and catastrophe bond markets to back more risk at lower rates, encouraged new companies to open up shop in the state, and stabilized or reduced premiums for homeowners, Christy said.
Insurance Commissioner Michael Yaworsky doesn’t want lawmakers to introduce further reforms before the state can better analyze effects of the previous round, she said. “Until that data comes through, we don’t want to have any other tweaks that would set us back from this path that we’re on, which is a good path to reform.”
Christy said Yaworsky, who oversees the Office of Insurance Regulation, is encouraging lawmakers to avoid enacting any major new property insurance reforms during the next legislative session that begins in March.
Read the full story here.
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Judge Grants Final Approval of NAR Settlement
The U.S. District Court for the Western District of Missouri recently granted final approval of the NAR proposed settlement agreement to resolve class action claims related to broker commissions. The court heard from all parties as well as objectors and the Department of Justice. Once arguments concluded, the court quickly ruled to grant final approval. The court is expected to soon issue a formal written order.
The settlement secures a release of liability for more than 1.4 million NAR members, all state/territorial and local Realtor® associations, Realtor® Multiple Listing Services (MLSs), NAR’s affiliate organizations and all brokerages with an NAR member as principal that had a residential transaction volume in 2022 of $2 billion or below. The settlement also releases MLSs and brokerages that chose to opt-in to the agreement.
“This is an important moment for NAR members, home buyers and sellers, and the real estate industry,” said NAR President Kevin Sears. “As consumer champions, NAR’s members have been working tirelessly to implement the practice changes required by the settlement and shepherd consumers through this period of transition. The principles of transparency, competition and choice are core to the settlement agreement and empower real estate professionals and consumers to negotiate the services and compensation that work for them.”
Read the full article here.
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NAR Releases Updated Federal Government Shutdown Memo
On September 25, 2024, Congress passed a Continuing Resolution (CR) to fund the federal government at current levels until December 20, 2024. If Congress is unable to agree on the provisions of Continuing Resolutions (CRs) to fund the federal government by December 20, 2024, the result will be a partial shutdown of some government operations. A partial shutdown would include some federal housing, mortgage, and other programs of interest to the real estate industry. Essential services, such as the post office, would continue to run. A summary of the impact on selected agencies is provided below.
NAR’s Government Shutdown Memo has been updated to reflect the new deadline of December 20.
While this is a very politically dynamic event, NAR staff will continue to monitor federal agencies and work with Congress, the Administration, and other groups to assess ongoing impacts to NAR members and their businesses.
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NAR Releases 2024 Migration Trends Report
NAR’s 2024 Migration Trends report reveals consumers’ motivations for relocating and which states are gaining the most new residents. Recent home buyers say they were more motivated to move to be closer to friends and family or to find greater affordability, according to the NAR report.
“Being closer to family and friends has been growing in importance among home buyers since the onset of the pandemic,” says Matt Christopherson, the lead author of the report and NAR’s director of business and consumer research. “Perhaps the pandemic put things into perspective and buyers are prioritizing family more, but added mobility from remote work also allows this to occur.”
The South is drawing a large portion of relocating buyers, with the Carolinas, Florida and Texas being the “big winners,” NAR’s report says.
Read the full announcement here.
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NAR Highlights Successful 2024 Election Cycle for RPAC-Supported Candidates
The REALTOR® Party notched a 98% win rate in the 2024 General Election supporting candidates in both the House and Senate from both sides of the aisle. This includes 437 RPAC supported candidates winning their election. Get the full stats by going here.
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NAR Issue Spotlight: Housing Inventory & Affordability
Addressing housing affordability starts with adding to the nation’s severely limited inventory. The U.S. is facing an underbuilding gap of at least 5.5 million units, translating to a $4.4 trillion underinvestment in housing. NAR is advocating for solutions at all levels of government to make housing more affordable, available, and accessible.
View Parts 1 & 2 of the video series on this topic by going here.
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Additional Funding Awarded to Communities Hit by Hurricanes Helene and Milton
The state recently announced the award of $7.8 million in additional funding from the Florida Disaster Fund to communities hit by Hurricanes Helene and Milton.
The award includes $500,000 for school district foundations to support teachers and support staff who worked to get schools back open just days after the storms, and $300,000 to support Florida’s first responders, who worked tirelessly after landfall to search, rescue, and keep the peace.
The award also includes $7 million to help Floridians repair and rebuild homes damaged by the storms. These awards are amplified by partnerships with companies like Home Depot and not-for-profits that perform muck and gut and repair operations on affected homes.
You can read the full announcement here.
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Please reach out to publicpolicy@floridarealtors.org with any questions you may have.