TALLAHASSEE
Lawmakers rammed a controversial fast-track foreclosure bill through a second Senate committee Tuesday, limiting debate on legislation critics say weakens legal protections for homeowners.
The legislation passed the Senate Judiciary Committee 6-2 and is gaining momentum after little activity in recent weeks. Even lawmakers who voted against the bill Monday said they believe it is likely to pass this year, with business groups lining up in support and the opposition dulled by revisions that preserve some legal rights for homeowners.
Jackie Schutz, a spokeswoman for Gov. Rick Scott, said in an email Monday that “with the consumer protections put in the bill, the Governor supports efforts to efficiently handle the foreclosure backlog.”
Lawmakers amended the bill Monday to address some of the most significant criticism — that it forces homeowners to rapidly mount a defense or risk losing their home.
Under language added Monday, homeowners can file any “papers” indicating they have a valid defense and be taken out of the fast-track process.
The amendment “vastly improves” a major aspect of the bill said Alice Vickers, an attorney representing opponents of the legislation.
Sen. Darren Soto, D-Orlando, said the bill “is probably going to pass” but the amendment removes one of the most “egregious” aspects of the legislation. Soto voted against the bill Monday, arguing it still limits homeowners’ rights.
Opponents of the legislation are focusing on a provision that precludes victims of foreclosure fraud from recovering their homes. Under the legislation, a person whose home is improperly seized can only seek financial compensation.
“I don’t think we should change from the American rule that you can always get your property back that’s wrongfully taken,” said Clearwater foreclosure defense attorney Gregory Clark.
Bill sponsor Sen. Jack Latvala, R-Clearwater, said he wants to protect an “innocent buyer” who purchases a foreclosed home from possibly having to give up the property. But Latvala told Vickers after the hearing that he would consider amending the bill to allow people who are true victims of foreclosure fraud to recover their properties.
Critics of the legislation said there should have been more debate Monday. Only three opponents of the bill were allowed to testify, about a third of those who had signed up to speak.
“We have some valid opposition,” said retired firefighter Booker Perry, adding that “we came almost 300 miles to speak and they knew that.”
Perry recently lost his home in foreclosure but hopes to reopen the case and recover the property. He said the bank acted improperly.
“I don’t see why a home, where you have some sweat equity, you’re not able to get that back,” Perry said.
Perry was not allowed to testify at Monday’s hearing because lawmakers allotted just 20 minutes to the bill.
Latvala said many of the opponents had met with him or testified in previous committee hearings.
“There’s been plenty of time for conversation,” he said.
The foreclosure bill still has two more committees to pass in the Senate. It is scheduled for a final committee hearing in the House Wednesday. The bill cleared the full House last year and made it to the Senate floor but never came up for a vote.
Supporters of a faster foreclosure process emphasize the backlog of 371,119 cases in Florida, including 16,000 in the judicial circuit covering Sarasota and Manatee Counties.
“It’s sort of clogging up the free market in real estate having all those foreclosures in the pipeline,” said Florida Chamber of Commerce Executive Vice President David Hart.
The number of pending foreclosures has increased over the last year as banks refilled cases that stalled because of the robo-signing scandal and widespread concerns about foreclosure fraud.
Last year 3.1 percent of all Florida homes were in foreclosure, the highest rate in the nation.
