TAMPA — LM Funding America, Inc. (NASDAQ: LMFA), a Tampa-based specialty finance company that offers a variety of programs to help community associations manage their accounts receivables and collections, joined forces with colleagues, trade associations, law firms, and management companies to defeat legislation that would have limited community associations’ ability to collect past due assessments and increase compliance costs.
As a result of their lobbying efforts, House Bill 1357 did not receive the legislative support needed and died in committee during the recently completed session in Tallahassee.
“This was an outstanding example of how varied groups supporting and advocating for community associations came together to defeat a bill that would have hampered an association’s ability to collect assessments,” said Aaron Gordon, General Counsel for LM Funding. “I believe it became very clear during the session that the current statutes give community associations the tools they need to govern efficiently and effectively. In the coming legislative sessions we should band together and attempt to strengthen the laws in favor of community associations, as nearly eight million of Florida’s residents live in one.
“We applaud the response by our legislators, and hope to carry the positive atmosphere forward into the next legislative session.”
House Bill 1357 was sponsored by Representative Mike LaRosa of District 42 in Polk County. If this bill passed it could have resulted in: i) budgets not being met, ii) large special assessments, and iii) ultimately a decline in property values.
“Many advances have been made during recent years, resulting in the ability of an association to responsibly, legally, and efficiently pursue delinquent unit owners,” said Gordon. “It’s hard enough for volunteer boards to collect monthly assessments. Why make it harder when many associations are just starting to recover from the real estate downturn?”
About LM Funding America
LM Funding America, Inc., together with its subsidiaries, is a specialty finance company that provides funding to nonprofit community associations (Associations) primarily located in the state of Florida, as well as in the states of Washington, Colorado, and Illinois. The company offers funding to Associations by purchasing a certain portion of the associations’ rights to delinquent accounts that are selected by the Associations arising from unpaid Association assessments. It is also involved in the business of purchasing delinquent accounts on various terms tailored to suit each Association’s financial needs, including under its New Neighbor Guaranty™ program. The company was founded in 2008 and is based in Tampa, Florida. The company’s common shares and warrants trade on the NASDAQ Capital Market under the symbols “LMFA” and “LMFAW”.