Agenda 10/08/2024 Item #16A12 (Direct staff to advertise an Ordinance which establish Milestone Inspections of aging condominium and cooperative buildings)10/8/2024
Item # 16.A.12
ID# 2024-1062
Executive Summary
Recommendation to direct staff to advertise an ordinance amending Ordinance 2022-42, as amended, which established
Milestone Inspections of aging condominium and cooperative buildings in unincorporated Collier County and bring back
the ordinance at an advertised public hearing.
OBJECTIVE: Request authorization for staff to advertise an ordinance amending Ordinance 2022-42, as amended,
which established Milestone Inspections in unincorporated Collier County to reflect changes in state law.
CONSIDERATIONS: On October 25, 2022, the Board of County Commissioners adopted Ordinance No. 2022-42,
which established the Collier County Mandatory Inspection of Aging Condominium and Cooperatives Buildings
Ordinance in accordance with Section 553.899, Florida Statutes.
On July 1, 2024, legislative changes to Section 553.899 Florida Statutes went into effect, adding exemptions from
Milestone inspections for three-story, four-dwelling buildings. The purpose is to ensure that such buildings are safe for
continued use and appropriate management and to protect the general health, safety, and welfare of the residents and
visitors to Collier County.
The proposed Ordinance revisions reflect changes in state law.
FISCAL IMPACT: The fiscal impact associated with this action will include advertising fees paid by Community
Development Fund (1013).
GROWTH MANAGEMENT IMPACT: There is no Growth Management Impact associated with this action.
LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires a majority vote for adoption.
(HFAC)
RECOMMENDATIONS: To authorize staff to advertise an ordinance amending Ordinance 2022-42, as amended,
Milestone Inspections in unincorporated Collier County.
PREPARED BY: Rich Long, Director – Building Plan Review & Inspections, Growth Management Community
Development Department
ATTACHMENTS:
1. Proposed Ordinance_090924
2. CHAPTER 2024-244 HB 1021
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ORDINANCE NO. 2024 - _____
AN ORDINANCE OF THE BOARD OF COUNTY COMMISSIONERS OF
COLLIER COUNTY, FLORIDA AMENDING ORDINANCE NO. 2022-42,
AS AMENDED, WHICH ESTABLISHED A COLLIER COUNTY
MANDATORY INSPECTION OF AGING CONDOMINIUM AND
COOPERATIVE BUILDINGS ORDINANCE, TO UPDATE THE
COUNTY’S PROGRAM TO REFLECT CHANGES IN STATE LAW;
PROVIDING FOR AMENDMENTS TO FOUR, INSPECTION,
REPORTING AND REPAIRS; PROVIDING FOR CONFLICT AND
SEVERABILITY, PROVIDING FOR INCLUSION IN THE COLLIER
COUNTY CODE OF LAWS AND ORDINANCES, AND PROVIDING FOR
AN EFFECTIVE DATE.
WHEREAS, Chapter 125, Florida Statutes establishes the right and power of counties to
provide for the health, safety and general welfare of existing and future residents by enacting and
enforcing regulations necessary for the protection of the public; and
WHEREAS, the Legislature in Section 553.899 Florida Statutes imposed a statewide
structural inspection program for aging condominium and cooperative buildings to ensure that
such buildings are safe for continued use;
WHEREAS, on October 25, 2022, the Board of County Commissioners adopted
Ordinance No. 2022-42 to establish Collier County Mandatory Inspection of Aging Condominium
and Cooperative Buildings Ordinance to implement the local inspection program for aging
condominium and cooperative buildings.
WHEREAS, the Board of County Commissioners desires to make changes to the County’s
Ordinance to reflect changes in State law and to give associations 150 days to obtain the necessary
permits.
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY
COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that:
SECTION ONE: AMENDMENTS TO SECTION FOUR, INSPECTION, REPORTING
AND REPAIRS.
Section Four, Inspection, Reporting and Repairs, of Ordinance No 2022-42, as amended, is hereby
amended as follows:
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A. Milestone Inspection Required
An Association must have a Milestone Inspection performed for each building that is three
stories or more in height by December 31 of the year in which the building reaches 30 years of
age, based on the date the certificate of occupancy for the building was issued, and every 10 years
thereafter. If a building reached 30 years of age before July 1, 2022, the building’s initial Milestone
Inspection must be performed before December 31, 2024. If a building reaches 30 years of age on
or after July 1, 2022 and before December 31, 2024, then the building’s Milestone Inspection must
be performed before December 31, 2025. The Association must arrange for the Milestone
Inspection to be performed and is responsible for ensuring compliance with the requirements of
this Ordinance. The Association is responsible for all costs associated with the inspection. This
subsection does not apply to a single-family, two-family, or three-family, or four-family dwelling
with three or fewer habitable stories above ground.
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E. Repairs and Modifications
1. In the event that repairs or modifications are necessary as specified in the phase two
Milestone Inspection, the condominium or cooperative association shall have a total of
150 days from the date of submittal of the phase two inspection report to the Building
Official to obtain the necessary permits and to complete indicated repairs or
modifications. All repairs or modifications requiring permits shall be performed in
conformance with the Florida Building Code as adopted by County Ordinance and shall
follow the timeline provided in the applicable active permit.
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SECTION TWO: CONFLICT AND SEVERABILITY
In the event that this Ordinance conflicts with any other ordinance of Collier County or
other applicable law, the more restrictive shall apply. If any phrase or portion of this Ordinance is
held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be
deemed separate, distinct and independent provision and such holding shall not affect the validity
of the remaining portion.
SECTION THREE: INCLUSION IN THE CODE OF LAWS AND ORDINANCES
The provisions of this Ordinance shall become and be made a part of the Code of Laws and
Ordinances of Collier County, Florida. The sections of this Ordinance may be renumbered or re-
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lettered to accomplish such, and the word “ordinance” may be changed to “section,” “article,” or
any other appropriate word.
SECTION FOUR: EFFECTIVE DATE
This Ordinance shall become effective upon filing with the Department of State.
PASSED AND DULY ADOPTED upon majority vote by the Board of County
Commissioners of Collier County, Florida, this ____day of _____________, 2024.
ATTEST: BOARD OF COUNTY COMMISSIONERS
CRYSTAL K. KINZEL, CLERK COLLIER COUNTY, FLORIDA
By: By:_______________________________
, Deputy Clerk Chris Hall, Chairman
Approved as to form and legality:
___________________________
Heidi Ashton-Cicko
Managing Assistant County Attorney
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CHAPTER 2024-244
Committee Substitute for Committee Substitute for
Committee Substitute for House Bill No.1021
An act relating to community associations;amending s.468.4334,F.S.;
requiring community association managers and community association
management firms to return official records of an association within a
specified time after termination of a contract;requiring notices of
termination of certain contractual agreements to be sent in a specified
manner;authorizing community association managers and community
association management firms to retain,for a specified timeframe,records
necessary to complete an ending financial statement or report;relieving
community association managers and community association manage-
ment firms from certain responsibilities and liability under certain
circumstances;providing a rebuttable presumption regarding noncom-
pliance;providing penalties for the failure to timely return official records;
providing an exception for certain time periods for timeshare plans;
creating s.468.4335,F.S.;requiring community association managers and
community association management firms to disclose certain conflicts of
interest to the association’s board;providing a rebuttable presumption as
to the existence of a conflict;requiring an association to solicit multiple
bids for goods or services under certain circumstances;providing
requirements for an association to approve any activity and contracts
that are a conflict of interest;providing that a conflict of interest in a
contract which has been previously disclosed must to be noticed and voted
on upon its renewal,but not during the term of the contract;authorizing
certain contracts to be canceled,subject to certain requirements;speci-
fying liability and nonliability of the association upon cancellation of such
a contract;authorizing an association to cancel a contract if certain
conflicts were not disclosed;specifying liability and nonliability of the
association upon cancellation of a contract;defining the term “relative”;
reenacting and amending s.468.436,F.S.;revising the list of grounds for
which the Department of Business and Professional Regulation may take
disciplinary actions against community association managers or commu-
nity association firms;amending s.553.899,F.S.;exempting certain four-
family dwellings from requiring a milestone inspection and milestone
inspection report;amending s.718.103,F.S.;revising and providing
definitions;amending s.718.104,F.S.;providing requirements for the
declaration of specified condominiums;requiring declarations to specify
the entity responsible for the installation,maintenance,repair,or
replacement of hurricane protection;amending s.718.111,F.S.;providing
criminal penalties for any officer,director,or manager of an association
who unlawfully solicits,offers to accept,or accepts a kickback;requiring
such officers,directors,or managers to be removed from office and a
vacancy declared;requiring the Division of Florida Condominiums,
Timeshares,and Mobile Homes to monitor an association’s compliance
with certain provisions,and issue fines and penalties if necessary,upon
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receipt of a complaint;revising the list of records that constitute the
official records of an association;providing requirements relating to e-mail
addresses and facsimile numbers of unit owners;requiring an association
to redact certain personal information in certain documents;providing an
exception to liability for the release of certain information;revising
maintenance requirements for official records;revising requirements
regarding requests to inspect or copy association records;requiring an
association to provide a checklist in response to certain records requests;
providing a rebuttable presumption and criminal penalties;requiring
certain persons to be removed from office and a vacancy declared under
certain circumstances;defining the term “repeatedly”;requiring copies of
certain building permits be posted on an association’s website or
application;modifying the method of delivery of certain financial reports
to unit owners;revising circumstances under which an association may
prepare certain reports;revising criminal penalties for persons who
unlawfully use a debit card issued in the name of an association;requiring
certain persons to be removed from office and a vacancy declared under
certain circumstances;defining the term “lawful obligation of the
association”;revising the threshold for associations that must post certain
documents on its website or through an application;amending s.718.112,
F.S.;requiring the boards of certain associations to meet at least once
every quarter;requiring the meeting agenda to include an opportunity for
members to ask questions of the board a certain number of times a year;
providing that the right to attend meetings includes the right to ask
questions relating to certain topics;revising requirements regarding
notice of such meetings;requiring a director to complete an educational
requirement within a specified time period before or after election or
appointment to the board;providing requirements for the educational
curriculum;providing transitional provisions;requiring a director to
complete a certain amount of continuing education each year relating to
changes in the law;requiring the secretary of the association to maintain
certain information for inspection for a specified number of years;
authorizing members of an association to pause the contribution to
reserves or reduce reserves under certain circumstances and for a limited
time;authorizing the board to expend reserve account funds to make the
condominium building and structures habitable;requiring an association
to distribute or deliver copies of a structural integrity reserve study to unit
owners within a specified timeframe;specifying the manner of distribu-
tion or delivery;requiring an association to provide a specified statement
to the division within a specified timeframe;revising the circumstances
under which a director or an officer must be removed from office after
being charged by information or indictment of certain crimes;prohibiting
such officers and directors with pending criminal charges from accessing
the official records of any association;providing an exception;providing
criminal penalties for certain fraudulent voting activities relating to
association elections;amending s.718.113,F.S.;providing applicability;
specifying that certain actions are not material alterations or substantial
additions;authorizing the boards of residential and mixed-use condomin-
iums to install or require unit owners to install hurricane protection;
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requiring a vote of the unit owners for the installation of hurricane
protection;requiring that such vote be attested to in a certificate and
recorded in certain public records;requiring the board to provide,in
various manners,to the unit owners a copy of the recorded certificate;
providing that the validity or enforceability of a vote is not affected if the
board fails to take certain actions;providing that a vote of the unit owners
is not required under certain circumstances;prohibiting installation of the
same type of hurricane protection previously installed;providing excep-
tions;prohibiting the boards of residential and mixed-use condominiums
from refusing to approve certain hurricane protections;authorizing the
board to require owners to adhere to certain guidelines regarding the
external appearance of a condominium;revising responsibility for the cost
of the removal or reinstallation of hurricane protection,including exterior
windows,doors,or apertures;prohibiting the association from charging
certain expenses to unit owners;requiring reimbursement or a credit
toward future assessments to the unit owner in certain circumstances;
authorizing the association to collect certain charges and specifying that
such charges are enforceable as assessments under certain circumstances;
amending s.718.115,F.S.;specifying when the cost of installation of
hurricane protection is not a common expense;authorizing certain
expenses to be enforceable as assessments;requiring certain unit owners
to be excused from certain assessments or to receive a credit for hurricane
protection that has been installed;providing credit applicability under
certain circumstances;providing for the amount of credit that a unit
owner must receive;specifying that certain expenses are common
expenses;amending s.718.121,F.S.;conforming a cross-reference;
amending s.718.124,F.S.;providing the statute of limitations and repose
for certain actions;amending s.718.1224,F.S.;revising legislative
findings and intent;revising the definition of the term “governmental
entity”;prohibiting an association from filing strategic lawsuits,taking
certain actions against unit owners,and expending funds to support
certain actions;amending s.718.128,F.S.;providing that a unit owner
may consent to electronic voting electronically;providing that a board
must honor a unit owner’s request to vote electronically until the owner
opts out;amending s.718.202,F.S.;providing sales and reservation
deposit requirements for nonresidential condominiums;amending s.
718.301,F.S.;requiring developers to deliver a structural integrity reserve
report to an association upon relinquishing control of the association;
amending s.718.3027,F.S.;revising requirements regarding attendance
at a board meeting in the event of a conflict of interest;modifying
circumstances under which a contract may be voided;revising a cross-
reference;amending s.718.303,F.S.;requiring an association to provide
certain notice to a unit owner by a specified time before an election;
creating s.718.407,F.S.;authorizing a condominium to be created within
a portion of a building or within a multiple parcel building;specifying that
the common elements are only those portions of the building submitted to
the condominium form of ownership;providing requirements for the
declaration of such condominiums and other certain recorded instru-
ments;providing for the apportionment of expenses for such
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condominiums;authorizing the association to inspect and copy certain
books and records;requiring a specified disclosure summary for contracts
of sale for a unit in certain condominiums;providing that the creation of a
multiple parcel building is not a subdivision of the land;amending s.
718.501,F.S.;revising circumstances under which the division has
jurisdiction to investigate and enforce complaints relating to certain
matters;requiring that the division provide official records,without
charge,to a unit owner denied access;authorizing the division to issue
certain citations;requiring the division to provide a division-approved
training provider with the template for the certificate issued to certain
directors of a board of administration;requiring that the division refer
suspected criminal acts to the appropriate law enforcement authority;
authorizing certain division officials to attend association meetings;
authorizing the division to request access to an association’s website or
application to investigate complaints under certain circumstances;re-
quiring the division to include certain information in its annual report to
the Governor and Legislature after a specified date;specifying require-
ments for the annual certification;authorizing the division to adopt rules;
providing applicability;amending s.718.5011,F.S.;providing that the
secretary of the Department of Business and Professional Regulation,
rather than the Governor,appoints the condominium ombudsman;
amending s.718.503,F.S.;requiring nondeveloper unit owners to include
an annual financial statement and annual budget in information provided
to a prospective purchaser;revising information that must be included in
contracts for the resale of a residential unit;requiring certain disclosures
be made if a unit is located in a specified type of condominium;amending s.
718.504,F.S.;requiring certain information provided to prospective
purchasers to state whether the condominium is created within a portion
of a building or within a multiple parcel building;amending s.719.106,
F.S.;requiring an association to distribute or deliver copies of a structural
integrity reserve study to unit owners within a specified timeframe;
specifying the manner of distribution or delivery;requiring an association
to provide a specified statement to the division within a specified
timeframe;amending s.719.129,F.S.;providing that a unit owner may
consent electronically to electronic voting;amending s.719.301,F.S.;
requiring developers to deliver a structural integrity reserve study to a
cooperative association upon relinquishing control of association property;
requiring the division to conduct a review of statutory requirements
regarding posting of official records on a condominium association’s
website or application;requiring the division to submit its findings,
including any recommendations,to the Governor and the Legislature by a
specified date;requiring the division to create a database on its website
with certain information by a date certain;providing appropriations;
providing construction and retroactive application;requiring the Florida
Building Commission to perform a study for specified purposes;requiring
the commission to submit a report of its recommendations to the Governor
and Legislature by a date certain;providing effective dates.
Be It Enacted by the Legislature of the State of Florida:
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Section 1.Subsection (3)is added to section 468.4334,Florida Statutes,
to read:
468.4334 Professional practice standards;liability.—
(3)A community association manager or a community association
management firm shall return all community association official records
within its possession to the community association within 20 business days
after termination of a contractual agreement to provide community
association management services to the community association or receipt
of a written request for return of the official records,whichever occurs first.
A notice of termination of a contractual agreement to provide community
association management services must be sent by certified mail,return
receipt requested,or in the manner required under such contractual
agreement.The community association manager or community association
management firm may retain,for up to 20 business days,those records
necessary to complete an ending financial statement or report.If an
association fails to provide access to or retention of the accounting records
to prepare an ending financial statement or report,the community
association manager or community association management firm is relieved
from any further responsibility or liability relating to the preparation of such
ending financial statement or report.Failure of a community association
manager or a community association management firm to timely return all
of the official records within its possession to the community association
creates a rebuttable presumption that the community association manager
or community association management firm willfully failed to comply with
this subsection.A community association manager or a community
association management firm that fails to timely return community
association records is subject to suspension of its license under s.468.436,
and a civil penalty of $1,000 per day for up to 10 business days,assessed
beginning on the 21st business day after termination of a contractual
agreement to provide community association management services to the
community association or receipt of a written request from the association
for return of the records,whichever occurs first.However,for a timeshare
plan created under chapter 721,the time periods provided in s.721.14(4)(b)
apply.
Section 2.Section 468.4335,Florida Statutes,is created to read:
468.4335 Conflicts of interest.—
(1)A community association manager or a community association
management firm,including directors,officers,and persons with a financial
interest in a community association management firm,or a relative of such
persons,must disclose to the board of a community association any activity
that may reasonably be construed to be a conflict of interest.A rebuttable
presumption of a conflict of interest exists if any of the following occurs
without prior notice:
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(a)A community association manager or a community association
management firm,including directors,officers,and persons with a financial
interest in a community association management firm,or a relative of such
persons,enters into a contract for goods or services with the association.
(b)A community association manager or a community association
management firm,including directors,officers,and persons with a financial
interest in a community association management firm,or a relative of such
persons,holds an interest in or receives compensation or any thing of value
from a corporation,limited liability corporation,partnership,limited
liability partnership,or other business entity that conducts business with
the association or proposes to enter into a contract or other transaction with
the association.
(2)If the association receives and considers a bid that exceeds $2,500 to
provide a good or service,other than community association management
services,from a community association manager or a community association
management firm,including directors,officers,and persons with a financial
interest in a community association management firm,or a relative of such
persons,the association must solicit multiple bids from other third-party
providers of such goods or services.
(3)If a community association manager or a community association
management firm,including directors,officers,and persons with a financial
interest in a community association management firm,or a relative of such
persons,proposes to engage in an activity that is a conflict of interest as
described in subsection (1),the proposed activity must be listed on,and all
contracts and transactional documents related to the proposed activity must
be attached to,the meeting agenda of the next board of administration
meeting.The disclosures of a possible conflict of interest must be entered
into the written minutes of the meeting.Approval of the contract,including a
management contract between the community association and the commu-
nity association manager or community association management firm,or
other transaction requires an affirmative vote of two-thirds of all directors
present.At the next regular or special meeting of the members,the existence
of the conflict of interest and the contract or other transaction must be
disclosed to the members.If a community association manager or commu-
nity association management firm has previously disclosed a conflict of
interest in an existing management contract entered into between the board
of directors and the community association manager or community associa-
tion management firm,the conflict of interest does not need to be
additionally noticed and voted on during the term of such management
contract,but,upon renewal,must be noticed and voted on in accordance with
this subsection.
(4)If the board finds that a community association manager or a
community association management firm,including directors,officers,
and persons with a financial interest in a community association manage-
ment firm,or a relative of such persons,has violated this section,the
association may cancel its community association management contract
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with the community association manager or the community association
management firm.If the contract is canceled,the association is liable only
for the reasonable value of the management services provided up to the time
of cancellation and is not liable for any termination fees,liquidated damages,
or other form of penalty for such cancellation.
(5)If an association enters into a contract with a community association
manager or a community association management firm,including directors,
officers,and persons with a financial interest in a community association
management firm,or a relative of such persons,which is a party to or has an
interest in an activity that is a possible conflict of interest as described in
subsection (1)and such activity has not been properly disclosed as a conflict
of interest or potential conflict of interest as required by this section,the
contract is voidable and terminates upon the association filing a written
notice terminating the contract with its board of directors which contains the
consent of at least 20 percent of the voting interests of the association.
(6)As used in this section,the term “relative”means a relative within
the third degree of consanguinity by blood or marriage.
Section 3.Paragraph (b)of subsection (2)of section 468.436,Florida
Statutes,is amended,and subsection (4)of that section is reenacted,to read:
468.436 Disciplinary proceedings.—
(2)The following acts constitute grounds for which the disciplinary
actions in subsection (4)may be taken:
(b)1.Violation of any provision of this part.
2.Violation of any lawful order or rule rendered or adopted by the
department or the council.
3.Being convicted of or pleading nolo contendere to a felony in any court
in the United States.
4.Obtaining a license or certification or any other order,ruling,or
authorization by means of fraud,misrepresentation,or concealment of
material facts.
5.Committing acts of gross misconduct or gross negligence in connection
with the profession.
6.Contracting,on behalf of an association,with any entity in which the
licensee has a financial interest that is not disclosed.
7.Failing to disclose any conflict of interest as required by s.468.4335.
8.7.Violating any provision of chapter 718,chapter 719,or chapter 720
during the course of performing community association management
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services pursuant to a contract with a community association as defined in s.
468.431(1).
(4)When the department finds any community association manager or
firm guilty of any of the grounds set forth in subsection (2),it may enter an
order imposing one or more of the following penalties:
(a)Denial of an application for licensure.
(b)Revocation or suspension of a license.
(c)Imposition of an administrative fine not to exceed $5,000 for each
count or separate offense.
(d)Issuance of a reprimand.
(e)Placement of the community association manager on probation for a
period of time and subject to such conditions as the department specifies.
(f)Restriction of the authorized scope of practice by the community
association manager.
Section 4.Subsection (4)of section 553.899,Florida Statutes,is amended
to read:
553.899 Mandatory structural inspections for condominium and coop-
erative buildings.—
(4)The milestone inspection report must be arranged by a condominium
or cooperative association and any owner of any portion of the building which
is not subject to the condominium or cooperative form of ownership.The
condominium association or cooperative association and any owner of any
portion of the building which is not subject to the condominium or
cooperative form of ownership are each responsible for ensuring compliance
with the requirements of this section.The condominium association or
cooperative association is responsible for all costs associated with the
milestone inspection attributable to the portions of a building which the
association is responsible to maintain under the governing documents of the
association.This section does not apply to a single-family,two-family,or
three-family,or four-family dwelling with three or fewer habitable stories
above ground.
Section 5.Subsections (19)through (32)of section 718.103,Florida
Statutes,are renumbered as subsections (21)through (34),respectively,
subsection (14)is amended,and new subsections (19)and (20)are added to
that section,to read:
718.103 Definitions.—As used in this chapter,the term:
(14)“Condominium property”means the lands,leaseholds,and improve-
ments,any and personal property,and all easements and rights
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appurtenant thereto,regardless of whether contiguous,which that are
subjected to condominium ownership,whether or not contiguous,and all
improvements thereon and all easements and rights appurtenant thereto
intended for use in connection with the condominium.
(19)“Hurricane protection”means hurricane shutters,impact glass,
code-compliant windows or doors,and other code-compliant hurricane
protection products used to preserve and protect the condominium property
or association property.
(20)“Kickback”means any thing or service of value,for which con-
sideration has not been provided,for an officer’s,a director’s,or a manager’s
own benefit or that of his or her immediate family,from any person
providing or proposing to provide goods or services to the association.
Section 6.Paragraph (b)of subsection (4)of section 718.104,Florida
Statutes,is amended,and paragraph (p)is added to that subsection,to read:
718.104 Creation of condominiums;contents of declaration.—Every
condominium created in this state shall be created pursuant to this chapter.
(4)The declaration must contain or provide for the following matters:
(b)The name by which the condominium property is to be identified,
which shall include the word “condominium”or be followed by the words “a
condominium.”Condominiums created within a portion of a building or
within a multiple parcel building must include the name by which the
condominium is to be identified and be followed by “a condominium within a
portion of a building or within a multiple parcel building.”
(p)For both residential condominiums and mixed-use condominiums,a
statement that specifies whether the unit owner or the association is
responsible for the installation,maintenance,repair,or replacement of
hurricane protection that is for the preservation and protection of the
condominium property and association property.
Section 7.Paragraph (a)of subsection (1),paragraph (h)of subsection
(11),and subsections (12),(13),and (15)of section 718.111,Florida Statutes,
are amended to read:
718.111 The association.—
(1)CORPORATE ENTITY.—
(a)The operation of the condominium shall be by the association,which
must be a Florida corporation for profit or a Florida corporation not for
profit.However,any association which was in existence on January 1,1977,
need not be incorporated.The owners of units shall be shareholders or
members of the association.The officers and directors of the association have
a fiduciary relationship to the unit owners.It is the intent of the Legislature
that nothing in this paragraph shall be construed as providing for or
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removing a requirement of a fiduciary relationship between any manager
employed by the association and the unit owners.An officer,a director,or a
manager may not solicit,offer to accept,or accept a any thing or service of
value or kickback for which consideration has not been provided for his or
her own benefit or that of his or her immediate family,from any person
providing or proposing to provide goods or services to the association.Any
such officer,director,or manager who knowingly so solicits,offers to accept,
or accepts a any thing or service of value or kickback commits a felony of the
third degree,punishable as provided in s.775.082,s.775.083,or s.775.084,
is subject to a civil penalty pursuant to s.718.501(1)(e),and must be removed
from office and a vacancy declared s.718.501(1)(d)and,if applicable,a
criminal penalty as provided in paragraph (d).However,this paragraph does
not prohibit an officer,a director,or a manager from accepting services or
items received in connection with trade fairs or education programs.An
association may operate more than one condominium.
(11)INSURANCE.—In order to protect the safety,health,and welfare of
the people of the State of Florida and to ensure consistency in the provision
of insurance coverage to condominiums and their unit owners,this
subsection applies to every residential condominium in the state,regardless
of the date of its declaration of condominium.It is the intent of the
Legislature to encourage lower or stable insurance premiums for associa-
tions described in this subsection.
(h)The association shall maintain insurance or fidelity bonding of all
persons who control or disburse funds of the association.The insurance
policy or fidelity bond must cover the maximum funds that will be in the
custody of the association or its management agent at any one time.Upon
receipt of a complaint,the division shall monitor an association for
compliance with this paragraph and may issue fines and penalties
established by the division for failure of an association to maintain the
required insurance policy or fidelity bond.As used in this paragraph,the
term “persons who control or disburse funds of the association”includes,but
is not limited to,those individuals authorized to sign checks on behalf of the
association,and the president,secretary,and treasurer of the association.
The association shall bear the cost of any such bonding.
(12)OFFICIAL RECORDS.—
(a)From the inception of the association,the association shall maintain
each of the following items,if applicable,which constitutes the official
records of the association:
1.A copy of the plans,permits,warranties,and other items provided by
the developer under s.718.301(4).
2.A photocopy of the recorded declaration of condominium of each
condominium operated by the association and each amendment to each
declaration.
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3.A photocopy of the recorded bylaws of the association and each
amendment to the bylaws.
4.A certified copy of the articles of incorporation of the association,or
other documents creating the association,and each amendment thereto.
5.A copy of the current rules of the association.
6.A book or books that contain the minutes of all meetings of the
association,the board of administration,and the unit owners.
7.A current roster of all unit owners and their mailing addresses,unit
identifications,voting certifications,and,if known,telephone numbers.The
association shall also maintain the e-mail addresses and facsimile numbers
of unit owners consenting to receive notice by electronic transmission.The e-
mail addresses and facsimile numbers are not accessible to unit owners if
consent to receive notice by electronic transmission is not provided In
accordance with sub-subparagraph (c)5.e.,the e-mail addresses and facsi-
mile numbers are only accessible to unit owners if consent to receive notice
by electronic transmission is provided,or if the unit owner has expressly
indicated that such personal information can be shared with other unit
owners and the unit owner has not provided the association with a request to
opt out of such dissemination with other unit owners.An association must
ensure that the e-mail addresses and facsimile numbers are only used for the
business operation of the association and may not be sold or shared with
outside third parties.If such personal information is included in documents
that are released to third parties,other than unit owners,the association
must redact such personal information before the document is disseminated
(c)3.e.However,the association is not liable for an inadvertent disclosure of
the e-mail address or facsimile number for receiving electronic transmission
of notices unless such disclosure was made with a knowing or intentional
disregard of the protected nature of such information.
8.All current insurance policies of the association and condominiums
operated by the association.
9.A current copy of any management agreement,lease,or other contract
to which the association is a party or under which the association or the unit
owners have an obligation or responsibility.
10.Bills of sale or transfer for all property owned by the association.
11.Accounting records for the association and separate accounting
records for each condominium that the association operates.Any person
who knowingly or intentionally defaces or destroys such records,or who
knowingly or intentionally fails to create or maintain such records,with the
intent of causing harm to the association or one or more of its members,is
personally subject to a civil penalty pursuant to s.718.501(1)(e)s.
718.501(1)(d).The accounting records must include,but are not limited to:
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a.Accurate,itemized,and detailed records of all receipts and expendi-
tures.
b.All invoices,transaction receipts,or deposit slips that substantiate
any receipt or expenditure of funds by the association.
c.b.A current account and a monthly,bimonthly,or quarterly statement
of the account for each unit designating the name of the unit owner,the due
date and amount of each assessment,the amount paid on the account,and
the balance due.
d.c.All audits,reviews,accounting statements,structural integrity
reserve studies,and financial reports of the association or condominium.
Structural integrity reserve studies must be maintained for at least 15 years
after the study is completed.
e.d.All contracts for work to be performed.Bids for work to be performed
are also considered official records and must be maintained by the
association for at least 1 year after receipt of the bid.
12.Ballots,sign-in sheets,voting proxies,and all other papers and
electronic records relating to voting by unit owners,which must be
maintained for 1 year from the date of the election,vote,or meeting to
which the document relates,notwithstanding paragraph (b).
13.All rental records if the association is acting as agent for the rental of
condominium units.
14.A copy of the current question and answer sheet as described in s.
718.504.
15.A copy of the inspection reports described in ss.553.899 and
718.301(4)(p)and any other inspection report relating to a structural or
life safety inspection of condominium property.Such record must be
maintained by the association for 15 years after receipt of the report.
16.Bids for materials,equipment,or services.
17.All affirmative acknowledgments made pursuant to s.718.121(4)(c).
18.A copy of all building permits.
19.A copy of all satisfactorily completed board member educational
certificates.
20.18.All other written records of the association not specifically
included in the foregoing which are related to the operation of the
association.
(b)The official records specified in subparagraphs (a)1.-6.must be
permanently maintained from the inception of the association.Bids for work
to be performed or for materials,equipment,or services must be maintained
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for at least 1 year after receipt of the bid.All other official records must be
maintained within the state for at least 7 years,unless otherwise provided
by general law.The official records must be maintained in an organized
manner that facilitates inspection of the records by a unit owner.In the
event that the official records are lost,destroyed,or otherwise unavailable,
the obligation to maintain the official records includes a good faith obligation
to obtain and recover those records as is reasonably possible.The records of
the association shall be made available to a unit owner within 45 miles of the
condominium property or within the county in which the condominium
property is located within 10 working days after receipt of a written request
by the board or its designee.However,such distance requirement does not
apply to an association governing a timeshare condominium.This paragraph
and paragraph (c)may be complied with by having a copy of the official
records of the association available for inspection or copying on the
condominium property or association property,or the association may
offer the option of making the records available to a unit owner electronically
via the Internet as provided under paragraph (g)or by allowing the records
to be viewed in electronic format on a computer screen and printed upon
request.The association is not responsible for the use or misuse of the
information provided to an association member or his or her authorized
representative in compliance with this chapter unless the association has an
affirmative duty not to disclose such information under this chapter.
(c)1.a.(c)1.The official records of the association are open to inspection
by any association member and any person authorized by an association
member as a representative of such member at all reasonable times.The
right to inspect the records includes the right to make or obtain copies,at the
reasonable expense,if any,of the member and of the person authorized by
the association member as a representative of such member.A renter of a
unit has a right to inspect and copy only the declaration of condominium,the
association’s bylaws and rules,and the inspection reports described in ss.
553.899 and 718.301(4)(p).The association may adopt reasonable rules
regarding the frequency,time,location,notice,and manner of record
inspections and copying but may not require a member to demonstrate
any purpose or state any reason for the inspection.The failure of an
association to provide the records within 10 working days after receipt of a
written request creates a rebuttable presumption that the association
willfully failed to comply with this paragraph.A unit owner who is denied
access to official records is entitled to the actual damages or minimum
damages for the association’s willful failure to comply.Minimum damages
are $50 per calendar day for up to 10 days,beginning on the 11th working
day after receipt of the written request.The failure to permit inspection
entitles any person prevailing in an enforcement action to recover reason-
able attorney fees from the person in control of the records who,directly or
indirectly,knowingly denied access to the records.If the requested records
are posted on an association’s website,or are available for download through
an application on a mobile device,the association may fulfill its obligations
under this paragraph by directing to the website or the application all
persons authorized to request access.
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b.In response to a written request to inspect records,the association
must simultaneously provide to the requestor a checklist of all records made
available for inspection and copying.The checklist must also identify any of
the association’s official records that were not made available to the
requestor.An association must maintain a checklist provided under this
sub-subparagraph for 7 years.An association delivering a checklist
pursuant to this sub-subparagraph creates a rebuttable presumption that
the association has complied with this paragraph.
2.A director or member of the board or association or a community
association manager who knowingly,willfully,and repeatedly violates
subparagraph 1.commits a misdemeanor of the second degree,punishable
as provided in s.775.082 or s.775.083,and must be removed from office and
a vacancy declared.For purposes of this subparagraph,the term “repeat-
edly”means two or more violations within a 12-month period.
3.2.Any person who knowingly or intentionally defaces or destroys
accounting records that are required by this chapter to be maintained during
the period for which such records are required to be maintained,or who
knowingly or intentionally fails to create or maintain accounting records
that are required to be created or maintained,with the intent of causing
harm to the association or one or more of its members,commits a
misdemeanor of the first degree,punishable as provided in s.775.082 or
s.775.083,is personally subject to a civil penalty pursuant to s.
718.501(1)(d),and must be removed from office and a vacancy declared.
4.A person who willfully and knowingly refuses to release or otherwise
produce association records with the intent to avoid or escape detection,
arrest,trial,or punishment for the commission of a crime,or to assist
another person with such avoidance or escape,commits a felony of the third
degree,punishable as provided in s.775.082,s.775.083,or s.775.084,and
must be removed from office and a vacancy declared.
5.3.The association shall maintain an adequate number of copies of the
declaration,articles of incorporation,bylaws,and rules,and all amendments
to each of the foregoing,as well as the question and answer sheet as
described in s.718.504 and year-end financial information required under
this section,on the condominium property to ensure their availability to unit
owners and prospective purchasers,and may charge its actual costs for
preparing and furnishing these documents to those requesting the docu-
ments.An association shall allow a member or his or her authorized
representative to use a portable device,including a smartphone,tablet,
portable scanner,or any other technology capable of scanning or taking
photographs,to make an electronic copy of the official records in lieu of the
association’s providing the member or his or her authorized representative
with a copy of such records.The association may not charge a member or his
or her authorized representative for the use of a portable device.Notwith-
standing this paragraph,the following records are not accessible to unit
owners:
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a.Any record protected by the lawyer-client privilege as described in s.
90.502 and any record protected by the work-product privilege,including a
record prepared by an association attorney or prepared at the attorney’s
express direction,which reflects a mental impression,conclusion,litigation
strategy,or legal theory of the attorney or the association,and which was
prepared exclusively for civil or criminal litigation or for adversarial
administrative proceedings,or which was prepared in anticipation of such
litigation or proceedings until the conclusion of the litigation or proceedings.
b.Information obtained by an association in connection with the
approval of the lease,sale,or other transfer of a unit.
c.Personnel records of association or management company employees,
including,but not limited to,disciplinary,payroll,health,and insurance
records.For purposes of this sub-subparagraph,the term “personnel
records”does not include written employment agreements with an associa-
tion employee or management company,or budgetary or financial records
that indicate the compensation paid to an association employee.
d.Medical records of unit owners.
e.Social security numbers,driver license numbers,credit card numbers,
e-mail addresses,telephone numbers,facsimile numbers,emergency contact
information,addresses of a unit owner other than as provided to fulfill the
association’s notice requirements,and other personal identifying informa-
tion of any person,excluding the person’s name,unit designation,mailing
address,property address,and any address,e-mail address,or facsimile
number provided to the association to fulfill the association’s notice
requirements.Notwithstanding the restrictions in this sub-subparagraph,
an association may print and distribute to unit owners a directory containing
the name,unit address,and all telephone numbers of each unit owner.
However,an owner may exclude his or her telephone numbers from the
directory by so requesting in writing to the association.An owner may
consent in writing to the disclosure of other contact information described in
this sub-subparagraph.The association is not liable for the inadvertent
disclosure of information that is protected under this sub-subparagraph if
the information is included in an official record of the association and is
voluntarily provided by an owner and not requested by the association.
f.Electronic security measures that are used by the association to
safeguard data,including passwords.
g.The software and operating system used by the association which
allow the manipulation of data,even if the owner owns a copy of the same
software used by the association.The data is part of the official records of the
association.
h.All affirmative acknowledgments made pursuant to s.718.121(4)(c).
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(d)The association shall prepare a question and answer sheet as
described in s.718.504,and shall update it annually.
(e)1.The association or its authorized agent is not required to provide a
prospective purchaser or lienholder with information about the condomin-
ium or the association other than information or documents required by this
chapter to be made available or disclosed.The association or its authorized
agent may charge a reasonable fee to the prospective purchaser,lienholder,
or the current unit owner for providing good faith responses to requests for
information by or on behalf of a prospective purchaser or lienholder,other
than that required by law,if the fee does not exceed $150 plus the reasonable
cost of photocopying and any attorney’s fees incurred by the association in
connection with the response.
2.An association and its authorized agent are not liable for providing
such information in good faith pursuant to a written request if the person
providing the information includes a written statement in substantially the
following form:“The responses herein are made in good faith and to the best
of my ability as to their accuracy.”
(f)An outgoing board or committee member must relinquish all official
records and property of the association in his or her possession or under his
or her control to the incoming board within 5 days after the election.The
division shall impose a civil penalty as set forth in s.718.501(1)(d)6.against
an outgoing board or committee member who willfully and knowingly fails to
relinquish such records and property.
(g)1.By January 1,2019,an association managing a condominium with
150 or more units which does not contain timeshare units shall post digital
copies of the documents specified in subparagraph 2.on its website or make
such documents available through an application that can be downloaded on
a mobile device.
a.The association’s website or application must be:
(I)An independent website,application,or web portal wholly owned and
operated by the association;or
(II)A website,application,or web portal operated by a third-party
provider with whom the association owns,leases,rents,or otherwise obtains
the right to operate a web page,subpage,web portal,collection of subpages
or web portals,or an application which is dedicated to the association’s
activities and on which required notices,records,and documents may be
posted or made available by the association.
b.The association’s website or application must be accessible through
the Internet and must contain a subpage,web portal,or other protected
electronic location that is inaccessible to the general public and accessible
only to unit owners and employees of the association.
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c.Upon a unit owner’s written request,the association must provide the
unit owner with a username and password and access to the protected
sections of the association’s website or application which contain any notices,
records,or documents that must be electronically provided.
2.A current copy of the following documents must be posted in digital
format on the association’s website or application:
a.The recorded declaration of condominium of each condominium
operated by the association and each amendment to each declaration.
b.The recorded bylaws of the association and each amendment to the
bylaws.
c.The articles of incorporation of the association,or other documents
creating the association,and each amendment to the articles of incorpora-
tion or other documents.The copy posted pursuant to this sub-subparagraph
must be a copy of the articles of incorporation filed with the Department of
State.
d.The rules of the association.
e.A list of all executory contracts or documents to which the association
is a party or under which the association or the unit owners have an
obligation or responsibility and,after bidding for the related materials,
equipment,or services has closed,a list of bids received by the association
within the past year.Summaries of bids for materials,equipment,or
services which exceed $500 must be maintained on the website or
application for 1 year.In lieu of summaries,complete copies of the bids
may be posted.
f.The annual budget required by s.718.112(2)(f)and any proposed
budget to be considered at the annual meeting.
g.The financial report required by subsection (13)and any monthly
income or expense statement to be considered at a meeting.
h.The certification of each director required by s.718.112(2)(d)4.b.
i.All contracts or transactions between the association and any director,
officer,corporation,firm,or association that is not an affiliated condomin-
ium association or any other entity in which an association director is also a
director or officer and financially interested.
j.Any contract or document regarding a conflict of interest or possible
conflict of interest as provided in ss.468.4335,468.436(2)(b)6.,and
718.3027(3).
k.The notice of any unit owner meeting and the agenda for the meeting,
as required by s.718.112(2)(d)3.,no later than 14 days before the meeting.
The notice must be posted in plain view on the front page of the website or
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application,or on a separate subpage of the website or application labeled
“Notices”which is conspicuously visible and linked from the front page.The
association must also post on its website or application any document to be
considered and voted on by the owners during the meeting or any document
listed on the agenda at least 7 days before the meeting at which the
document or the information within the document will be considered.
l.Notice of any board meeting,the agenda,and any other document
required for the meeting as required by s.718.112(2)(c),which must be
posted no later than the date required for notice under s.718.112(2)(c).
m.The inspection reports described in ss.553.899 and 718.301(4)(p)and
any other inspection report relating to a structural or life safety inspection of
condominium property.
n.The association’s most recent structural integrity reserve study,if
applicable.
o.Copies of all building permits issued for ongoing or planned construc-
tion.
3.The association shall ensure that the information and records
described in paragraph (c),which are not allowed to be accessible to unit
owners,are not posted on the association’s website or application.If
protected information or information restricted from being accessible to
unit owners is included in documents that are required to be posted on the
association’s website or application,the association shall ensure the
information is redacted before posting the documents.Notwithstanding
the foregoing,the association or its agent is not liable for disclosing
information that is protected or restricted under this paragraph unless
such disclosure was made with a knowing or intentional disregard of the
protected or restricted nature of such information.
4.The failure of the association to post information required under
subparagraph 2.is not in and of itself sufficient to invalidate any action or
decision of the association’s board or its committees.
(13)FINANCIAL REPORTING.—Within 90 days after the end of the
fiscal year,or annually on a date provided in the bylaws,the association
shall prepare and complete,or contract for the preparation and completion
of,a financial report for the preceding fiscal year.Within 21 days after the
final financial report is completed by the association or received from the
third party,but not later than 120 days after the end of the fiscal year or
other date as provided in the bylaws,the association shall deliver mail to
each unit owner by United States mail or personal delivery at the mailing
address,property address,e-mail address,or facsimile number provided to
fulfill the association’s notice requirements at the address last furnished to
the association by the unit owner,or hand deliver to each unit owner,a copy
of the most recent financial report,and or a notice that a copy of the most
recent financial report will be mailed or hand delivered to the unit owner,
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without charge,within 5 business days after receipt of a written request
from the unit owner.The division shall adopt rules setting forth uniform
accounting principles and standards to be used by all associations and
addressing the financial reporting requirements for multicondominium
associations.The rules must include,but not be limited to,standards for
presenting a summary of association reserves,including a good faith
estimate disclosing the annual amount of reserve funds that would be
necessary for the association to fully fund reserves for each reserve item
based on the straight-line accounting method.This disclosure is not
applicable to reserves funded via the pooling method.In adopting such
rules,the division shall consider the number of members and annual
revenues of an association.Financial reports shall be prepared as follows:
(a)An association that meets the criteria of this paragraph shall prepare
a complete set of financial statements in accordance with generally accepted
accounting principles.The financial statements must be based upon the
association’s total annual revenues,as follows:
1.An association with total annual revenues of $150,000 or more,but
less than $300,000,shall prepare compiled financial statements.
2.An association with total annual revenues of at least $300,000,but
less than $500,000,shall prepare reviewed financial statements.
3.An association with total annual revenues of $500,000 or more shall
prepare audited financial statements.
(b)1.An association with total annual revenues of less than $150,000
shall prepare a report of cash receipts and expenditures.
2.A report of cash receipts and disbursements must disclose the amount
of receipts by accounts and receipt classifications and the amount of
expenses by accounts and expense classifications,including,but not limited
to,the following,as applicable:costs for security,professional and manage-
ment fees and expenses,taxes,costs for recreation facilities,expenses for
refuse collection and utility services,expenses for lawn care,costs for
building maintenance and repair,insurance costs,administration and
salary expenses,and reserves accumulated and expended for capital
expenditures,deferred maintenance,and any other category for which the
association maintains reserves.
(c)An association may prepare,without a meeting of or approval by the
unit owners:
1.Compiled,reviewed,or audited financial statements,if the association
is required to prepare a report of cash receipts and expenditures;
2.Reviewed or audited financial statements,if the association is
required to prepare compiled financial statements;or
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3.Audited financial statements if the association is required to prepare
reviewed financial statements.
(d)If approved by a majority of the voting interests present at a properly
called meeting of the association,an association may prepare:
1.A report of cash receipts and expenditures in lieu of a compiled,
reviewed,or audited financial statement;
2.A report of cash receipts and expenditures or a compiled financial
statement in lieu of a reviewed or audited financial statement;or
3.A report of cash receipts and expenditures,a compiled financial
statement,or a reviewed financial statement in lieu of an audited financial
statement.
Such meeting and approval must occur before the end of the fiscal year and is
effective only for the fiscal year in which the vote is taken.An association
may not prepare a financial report pursuant to this paragraph for
consecutive fiscal years,except that the approval may also be effective for
the following fiscal year.If the developer has not turned over control of the
association,all unit owners,including the developer,may vote on issues
related to the preparation of the association’s financial reports,from the date
of incorporation of the association through the end of the second fiscal year
after the fiscal year in which the certificate of a surveyor and mapper is
recorded pursuant to s.718.104(4)(e)or an instrument that transfers title to
a unit in the condominium which is not accompanied by a recorded
assignment of developer rights in favor of the grantee of such unit is
recorded,whichever occurs first.Thereafter,all unit owners except the
developer may vote on such issues until control is turned over to the
association by the developer.Any audit or review prepared under this
section shall be paid for by the developer if done before turnover of control of
the association.
(e)A unit owner may provide written notice to the division of the
association’s failure to mail or hand deliver him or her a copy of the most
recent financial report within 5 business days after he or she submitted a
written request to the association for a copy of such report.If the division
determines that the association failed to mail or hand deliver a copy of the
most recent financial report to the unit owner,the division shall provide
written notice to the association that the association must mail or hand
deliver a copy of the most recent financial report to the unit owner and the
division within 5 business days after it receives such notice from the
division.An association that fails to comply with the division’s request may
not waive the financial reporting requirement provided in paragraph (d)for
the fiscal year in which the unit owner’s request was made and the following
fiscal year.A financial report received by the division pursuant to this
paragraph shall be maintained,and the division shall provide a copy of such
report to an association member upon his or her request.
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(15)DEBIT CARDS.—
(a)An association and its officers,directors,employees,and agents may
not use a debit card issued in the name of the association,or billed directly to
the association,for the payment of any association expense.
(b)A person who uses Use of a debit card issued in the name of the
association,or billed directly to the association,for any expense that is not a
lawful obligation of the association commits theft under s.812.014 and must
be removed from office and a vacancy declared.For the purposes of this
paragraph,the term “lawful obligation of the association”means an
obligation that has been properly preapproved by the board and is reflected
in the meeting minutes or the written budget may be prosecuted as credit
card fraud pursuant to s.817.61.
Section 8.Effective January 1,2026,paragraph (g)of subsection (12)of
section 718.111,Florida Statutes,as amended by this act,is amended to
read:
718.111 The association.—
(12)OFFICIAL RECORDS.—
(g)1.By January 1,2019,An association managing a condominium with
25 150 or more units which does not contain timeshare units shall post
digital copies of the documents specified in subparagraph 2.on its website or
make such documents available through an application that can be down-
loaded on a mobile device.
a.The association’s website or application must be:
(I)An independent website,application,or web portal wholly owned and
operated by the association;or
(II)A website,application,or web portal operated by a third-party
provider with whom the association owns,leases,rents,or otherwise obtains
the right to operate a web page,subpage,web portal,collection of subpages
or web portals,or an application which is dedicated to the association’s
activities and on which required notices,records,and documents may be
posted or made available by the association.
b.The association’s website or application must be accessible through
the Internet and must contain a subpage,web portal,or other protected
electronic location that is inaccessible to the general public and accessible
only to unit owners and employees of the association.
c.Upon a unit owner’s written request,the association must provide the
unit owner with a username and password and access to the protected
sections of the association’s website or application which contain any notices,
records,or documents that must be electronically provided.
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2.A current copy of the following documents must be posted in digital
format on the association’s website or application:
a.The recorded declaration of condominium of each condominium
operated by the association and each amendment to each declaration.
b.The recorded bylaws of the association and each amendment to the
bylaws.
c.The articles of incorporation of the association,or other documents
creating the association,and each amendment to the articles of incorpora-
tion or other documents.The copy posted pursuant to this sub-subparagraph
must be a copy of the articles of incorporation filed with the Department of
State.
d.The rules of the association.
e.A list of all executory contracts or documents to which the association
is a party or under which the association or the unit owners have an
obligation or responsibility and,after bidding for the related materials,
equipment,or services has closed,a list of bids received by the association
within the past year.Summaries of bids for materials,equipment,or
services which exceed $500 must be maintained on the website or
application for 1 year.In lieu of summaries,complete copies of the bids
may be posted.
f.The annual budget required by s.718.112(2)(f)and any proposed
budget to be considered at the annual meeting.
g.The financial report required by subsection (13)and any monthly
income or expense statement to be considered at a meeting.
h.The certification of each director required by s.718.112(2)(d)4.b.
i.All contracts or transactions between the association and any director,
officer,corporation,firm,or association that is not an affiliated condomin-
ium association or any other entity in which an association director is also a
director or officer and financially interested.
j.Any contract or document regarding a conflict of interest or possible
conflict of interest as provided in ss.468.4335,468.436(2)(b)6.,and
718.3027(3).
k.The notice of any unit owner meeting and the agenda for the meeting,
as required by s.718.112(2)(d)3.,no later than 14 days before the meeting.
The notice must be posted in plain view on the front page of the website or
application,or on a separate subpage of the website or application labeled
“Notices”which is conspicuously visible and linked from the front page.The
association must also post on its website or application any document to be
considered and voted on by the owners during the meeting or any document
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listed on the agenda at least 7 days before the meeting at which the
document or the information within the document will be considered.
l.Notice of any board meeting,the agenda,and any other document
required for the meeting as required by s.718.112(2)(c),which must be
posted no later than the date required for notice under s.718.112(2)(c).
m.The inspection reports described in ss.553.899 and 718.301(4)(p)and
any other inspection report relating to a structural or life safety inspection of
condominium property.
n.The association’s most recent structural integrity reserve study,if
applicable.
o.Copies of all building permits issued for ongoing or planned construc-
tion.
3.The association shall ensure that the information and records
described in paragraph (c),which are not allowed to be accessible to unit
owners,are not posted on the association’s website or application.If
protected information or information restricted from being accessible to
unit owners is included in documents that are required to be posted on the
association’s website or application,the association shall ensure the
information is redacted before posting the documents.Notwithstanding
the foregoing,the association or its agent is not liable for disclosing
information that is protected or restricted under this paragraph unless
such disclosure was made with a knowing or intentional disregard of the
protected or restricted nature of such information.
4.The failure of the association to post information required under
subparagraph 2.is not in and of itself sufficient to invalidate any action or
decision of the association’s board or its committees.
Section 9.Paragraphs (c),(d),(f),(g),and (q)of subsection (2)of section
718.112,Florida Statutes,are amended,and paragraph (r)is added to that
subsection,to read:
718.112 Bylaws.—
(2)REQUIRED PROVISIONS.—The bylaws shall provide for the
following and,if they do not do so,shall be deemed to include the following:
(c)Board of administration meetings.—In a residential condominium
association of more than 10 units,the board of administration shall meet at
least once each quarter.At least four times each year,the meeting agenda
must include an opportunity for members to ask questions of the board.
Meetings of the board of administration at which a quorum of the members
is present are open to all unit owners.Members of the board of adminis-
tration may use e-mail as a means of communication but may not cast a vote
on an association matter via e-mail.A unit owner may tape record or
videotape the meetings.The right to attend such meetings includes the right
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to speak at such meetings with reference to all designated agenda items and
the right to ask questions relating to reports on the status of construction or
repair projects,the status of revenues and expenditures during the current
fiscal year,and other issues affecting the condominium.The division shall
adopt reasonable rules governing the tape recording and videotaping of the
meeting.The association may adopt written reasonable rules governing the
frequency,duration,and manner of unit owner statements.
1.Adequate notice of all board meetings,which must specifically identify
all agenda items,must be posted conspicuously on the condominium
property at least 48 continuous hours before the meeting except in an
emergency.If 20 percent of the voting interests petition the board to address
an item of business,the board,within 60 days after receipt of the petition,
shall place the item on the agenda at its next regular board meeting or at a
special meeting called for that purpose.An item not included on the notice
may be taken up on an emergency basis by a vote of at least a majority plus
one of the board members.Such emergency action must be noticed and
ratified at the next regular board meeting.Written notice of a meeting at
which a nonemergency special assessment or an amendment to rules
regarding unit use will be considered must be mailed,delivered,or
electronically transmitted to the unit owners and posted conspicuously on
the condominium property at least 14 days before the meeting.Evidence of
compliance with this 14-day notice requirement must be made by an
affidavit executed by the person providing the notice and filed with the
official records of the association.Notice of any meeting in which regular or
special assessments against unit owners are to be considered must
specifically state that assessments will be considered and provide the
estimated cost and description of the purposes for such assessments.
2.Upon notice to the unit owners,the board shall,by duly adopted rule,
designate a specific location on the condominium property at which where all
notices of board meetings must be posted.If there is no condominium
property at which where notices can be posted,notices shall be mailed,
delivered,or electronically transmitted to each unit owner at least 14 days
before the meeting.In lieu of or in addition to the physical posting of the
notice on the condominium property,the association may,by reasonable
rule,adopt a procedure for conspicuously posting and repeatedly broad-
casting the notice and the agenda on a closed-circuit cable television system
serving the condominium association.However,if broadcast notice is used in
lieu of a notice physically posted on condominium property,the notice and
agenda must be broadcast at least four times every broadcast hour of each
day that a posted notice is otherwise required under this section.If broadcast
notice is provided,the notice and agenda must be broadcast in a manner and
for a sufficient continuous length of time so as to allow an average reader to
observe the notice and read and comprehend the entire content of the notice
and the agenda.In addition to any of the authorized means of providing
notice of a meeting of the board,the association may,by rule,adopt a
procedure for conspicuously posting the meeting notice and the agenda on a
website serving the condominium association for at least the minimum
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period of time for which a notice of a meeting is also required to be physically
posted on the condominium property.Any rule adopted shall,in addition to
other matters,include a requirement that the association send an electronic
notice in the same manner as a notice for a meeting of the members,which
must include a hyperlink to the website at which where the notice is posted,
to unit owners whose e-mail addresses are included in the association’s
official records.
3.Notice of any meeting in which regular or special assessments against
unit owners are to be considered must specifically state that assessments
will be considered and provide the estimated cost and description of the
purposes for such assessments.If an agenda item relates to the approval of a
contract for goods or services,a copy of the contract must be provided with
the notice and be made available for inspection and copying upon a written
request from a unit owner or made available on the association’s website or
through an application that can be downloaded on a mobile device.
4.2.Meetings of a committee to take final action on behalf of the board or
make recommendations to the board regarding the association budget are
subject to this paragraph.Meetings of a committee that does not take final
action on behalf of the board or make recommendations to the board
regarding the association budget are subject to this section,unless those
meetings are exempted from this section by the bylaws of the association.
5.3.Notwithstanding any other law,the requirement that board meet-
ings and committee meetings be open to the unit owners does not apply to:
a.Meetings between the board or a committee and the association’s
attorney,with respect to proposed or pending litigation,if the meeting is
held for the purpose of seeking or rendering legal advice;or
b.Board meetings held for the purpose of discussing personnel matters.
(d)Unit owner meetings.—
1.An annual meeting of the unit owners must be held at the location
provided in the association bylaws and,if the bylaws are silent as to the
location,the meeting must be held within 45 miles of the condominium
property.However,such distance requirement does not apply to an
association governing a timeshare condominium.
2.Unless the bylaws provide otherwise,a vacancy on the board caused
by the expiration of a director’s term must be filled by electing a new board
member,and the election must be by secret ballot.An election is not required
if the number of vacancies equals or exceeds the number of candidates.For
purposes of this paragraph,the term “candidate”means an eligible person
who has timely submitted the written notice,as described in sub-subpar-
agraph 4.a.,of his or her intention to become a candidate.Except in a
timeshare or nonresidential condominium,or if the staggered term of a
board member does not expire until a later annual meeting,or if all
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members’terms would otherwise expire but there are no candidates,the
terms of all board members expire at the annual meeting,and such members
may stand for reelection unless prohibited by the bylaws.Board members
may serve terms longer than 1 year if permitted by the bylaws or articles of
incorporation.A board member may not serve more than 8 consecutive years
unless approved by an affirmative vote of unit owners representing two-
thirds of all votes cast in the election or unless there are not enough eligible
candidates to fill the vacancies on the board at the time of the vacancy.Only
board service that occurs on or after July 1,2018,may be used when
calculating a board member’s term limit.If the number of board members
whose terms expire at the annual meeting equals or exceeds the number of
candidates,the candidates become members of the board effective upon the
adjournment of the annual meeting.Unless the bylaws provide otherwise,
any remaining vacancies shall be filled by the affirmative vote of the
majority of the directors making up the newly constituted board even if the
directors constitute less than a quorum or there is only one director.In a
residential condominium association of more than 10 units or in a residential
condominium association that does not include timeshare units or timeshare
interests,co-owners of a unit may not serve as members of the board of
directors at the same time unless they own more than one unit or unless
there are not enough eligible candidates to fill the vacancies on the board at
the time of the vacancy.A unit owner in a residential condominium desiring
to be a candidate for board membership must comply with sub-subpara-
graph 4.a.and must be eligible to be a candidate to serve on the board of
directors at the time of the deadline for submitting a notice of intent to run in
order to have his or her name listed as a proper candidate on the ballot or to
serve on the board.A person who has been suspended or removed by the
division under this chapter,or who is delinquent in the payment of any
assessment due to the association,is not eligible to be a candidate for board
membership and may not be listed on the ballot.For purposes of this
paragraph,a person is delinquent if a payment is not made by the due date
as specifically identified in the declaration of condominium,bylaws,or
articles of incorporation.If a due date is not specifically identified in the
declaration of condominium,bylaws,or articles of incorporation,the due
date is the first day of the assessment period.A person who has been
convicted of any felony in this state or in a United States District or
Territorial Court,or who has been convicted of any offense in another
jurisdiction which would be considered a felony if committed in this state,is
not eligible for board membership unless such felon’s civil rights have been
restored for at least 5 years as of the date such person seeks election to the
board.The validity of an action by the board is not affected if it is later
determined that a board member is ineligible for board membership due to
having been convicted of a felony.This subparagraph does not limit the term
of a member of the board of a nonresidential or timeshare condominium.
3.The bylaws must provide the method of calling meetings of unit
owners,including annual meetings.Written notice of an annual meeting
must include an agenda;be mailed,hand delivered,or electronically
transmitted to each unit owner at least 14 days before the annual meeting;
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and be posted in a conspicuous place on the condominium property or
association property at least 14 continuous days before the annual meeting.
Written notice of a meeting other than an annual meeting must include an
agenda;be mailed,hand delivered,or electronically transmitted to each unit
owner;and be posted in a conspicuous place on the condominium property or
association property within the timeframe specified in the bylaws.If the
bylaws do not specify a timeframe for written notice of a meeting other than
an annual meeting,notice must be provided at least 14 continuous days
before the meeting.Upon notice to the unit owners,the board shall,by duly
adopted rule,designate a specific location on the condominium property or
association property at which where all notices of unit owner meetings must
be posted.This requirement does not apply if there is no condominium
property for posting notices.In lieu of,or in addition to,the physical posting
of meeting notices,the association may,by reasonable rule,adopt a
procedure for conspicuously posting and repeatedly broadcasting the notice
and the agenda on a closed-circuit cable television system serving the
condominium association.However,if broadcast notice is used in lieu of a
notice posted physically on the condominium property,the notice and
agenda must be broadcast at least four times every broadcast hour of each
day that a posted notice is otherwise required under this section.If broadcast
notice is provided,the notice and agenda must be broadcast in a manner and
for a sufficient continuous length of time so as to allow an average reader to
observe the notice and read and comprehend the entire content of the notice
and the agenda.In addition to any of the authorized means of providing
notice of a meeting of the board,the association may,by rule,adopt a
procedure for conspicuously posting the meeting notice and the agenda on a
website serving the condominium association for at least the minimum
period of time for which a notice of a meeting is also required to be physically
posted on the condominium property.Any rule adopted shall,in addition to
other matters,include a requirement that the association send an electronic
notice in the same manner as a notice for a meeting of the members,which
must include a hyperlink to the website at which where the notice is posted,
to unit owners whose e-mail addresses are included in the association’s
official records.Unless a unit owner waives in writing the right to receive
notice of the annual meeting,such notice must be hand delivered,mailed,or
electronically transmitted to each unit owner.Notice for meetings and notice
for all other purposes must be mailed to each unit owner at the address last
furnished to the association by the unit owner,or hand delivered to each unit
owner.However,if a unit is owned by more than one person,the association
must provide notice to the address that the developer identifies for that
purpose and thereafter as one or more of the owners of the unit advise the
association in writing,or if no address is given or the owners of the unit do
not agree,to the address provided on the deed of record.An officer of the
association,or the manager or other person providing notice of the
association meeting,must provide an affidavit or United States Postal
Service certificate of mailing,to be included in the official records of the
association affirming that the notice was mailed or hand delivered in
accordance with this provision.
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4.The members of the board of a residential condominium shall be
elected by written ballot or voting machine.Proxies may not be used in
electing the board in general elections or elections to fill vacancies caused by
recall,resignation,or otherwise,unless otherwise provided in this chapter.
This subparagraph does not apply to an association governing a timeshare
condominium.
a.At least 60 days before a scheduled election,the association shall mail,
deliver,or electronically transmit,by separate association mailing or
included in another association mailing,delivery,or transmission,including
regularly published newsletters,to each unit owner entitled to a vote,a first
notice of the date of the election.A unit owner or other eligible person
desiring to be a candidate for the board must give written notice of his or her
intent to be a candidate to the association at least 40 days before a scheduled
election.Together with the written notice and agenda as set forth in
subparagraph 3.,the association shall mail,deliver,or electronically
transmit a second notice of the election to all unit owners entitled to vote,
together with a ballot that lists all candidates not less than 14 days or more
than 34 days before the date of the election.Upon request of a candidate,an
information sheet,no larger than 8 1/2 inches by 11 inches,which must be
furnished by the candidate at least 35 days before the election,must be
included with the mailing,delivery,or transmission of the ballot,with the
costs of mailing,delivery,or electronic transmission and copying to be borne
by the association.The association is not liable for the contents of the
information sheets prepared by the candidates.In order to reduce costs,the
association may print or duplicate the information sheets on both sides of the
paper.The division shall by rule establish voting procedures consistent with
this sub-subparagraph,including rules establishing procedures for giving
notice by electronic transmission and rules providing for the secrecy of
ballots.Elections shall be decided by a plurality of ballots cast.There is no
quorum requirement;however,at least 20 percent of the eligible voters must
cast a ballot in order to have a valid election.A unit owner may not authorize
any other person to vote his or her ballot,and any ballots improperly cast are
invalid.A unit owner who violates this provision may be fined by the
association in accordance with s.718.303.A unit owner who needs
assistance in casting the ballot for the reasons stated in s.101.051 may
obtain such assistance.The regular election must occur on the date of the
annual meeting.Notwithstanding this sub-subparagraph,an election is not
required unless more candidates file notices of intent to run or are
nominated than board vacancies exist.
b.A director of a Within 90 days after being elected or appointed to the
board of an association of a residential condominium,each newly elected or
appointed director shall:
(I)Certify in writing to the secretary of the association that he or she has
read the association’s declaration of condominium,articles of incorporation,
bylaws,and current written policies;that he or she will work to uphold such
documents and policies to the best of his or her ability;and that he or she will
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faithfully discharge his or her fiduciary responsibility to the association’s
members.
(II)Submit to the secretary of the association In lieu of this written
certification,within 90 days after being elected or appointed to the board,the
newly elected or appointed director may submit a certificate of having
satisfactorily completed the educational curriculum administered by the
division or a division-approved condominium education provider.The
educational curriculum must be at least 4 hours long and include instruction
on milestone inspections,structural integrity reserve studies,elections,
recordkeeping,financial literacy and transparency,levying of fines,and
notice and meeting requirements within 1 year before or 90 days after the
date of election or appointment.
Each newly elected or appointed director must submit to the secretary of the
association the written certification and educational certificate within 1 year
before being elected or appointed or 90 days after the date of election or
appointment.A director of an association of a residential condominium who
was elected or appointed before July 1,2024,must comply with the written
certification and educational certificate requirements in this sub-subpara-
graph by June 30,2025.The written certification and or educational
certificate is valid for 7 years after the date of issuance and does not have to
be resubmitted as long as the director serves on the board without
interruption during the 7-year period.A director who is appointed by the
developer may satisfy the educational certificate requirement in sub-sub-
subparagraph (II)for any subsequent appointment to a board by a developer
within 7 years after the date of issuance of the most recent educational
certificate,including any interruption of service on a board or appointment
to a board in another association within that 7-year period.One year after
submission of the most recent written certification and educational
certificate,and annually thereafter,a director of an association of a
residential condominium must submit to the secretary of the association a
certificate of having satisfactorily completed at least 1 hour of continuing
education administered by the division,or a division-approved condominium
education provider,relating to any recent changes to this chapter and the
related administrative rules during the past year.A director of an
association of a residential condominium who fails to timely file the written
certification and or educational certificate is suspended from service on the
board until he or she complies with this sub-subparagraph.The board may
temporarily fill the vacancy during the period of suspension.The secretary
shall cause the association to retain a director’s written certification and or
educational certificate for inspection by the members for 7 5 years after a
director’s election or the duration of the director’s uninterrupted tenure,
whichever is longer.Failure to have such written certification and or
educational certificate on file does not affect the validity of any board action.
c.Any challenge to the election process must be commenced within 60
days after the election results are announced.
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5.Any approval by unit owners called for by this chapter or the
applicable declaration or bylaws,including,but not limited to,the approval
requirement in s.718.111(8),must be made at a duly noticed meeting of unit
owners and is subject to all requirements of this chapter or the applicable
condominium documents relating to unit owner decisionmaking,except that
unit owners may take action by written agreement,without meetings,on
matters for which action by written agreement without meetings is
expressly allowed by the applicable bylaws or declaration or any law that
provides for such action.
6.Unit owners may waive notice of specific meetings if allowed by the
applicable bylaws or declaration or any law.Notice of meetings of the board
of administration;unit owner meetings,except unit owner meetings called to
recall board members under paragraph (l);and committee meetings may be
given by electronic transmission to unit owners who consent to receive notice
by electronic transmission.A unit owner who consents to receiving notices
by electronic transmission is solely responsible for removing or bypassing
filters that block receipt of mass e-mails sent to members on behalf of the
association in the course of giving electronic notices.
7.Unit owners have the right to participate in meetings of unit owners
with reference to all designated agenda items.However,the association may
adopt reasonable rules governing the frequency,duration,and manner of
unit owner participation.
8.A unit owner may tape record or videotape a meeting of the unit
owners subject to reasonable rules adopted by the division.
9.Unless otherwise provided in the bylaws,any vacancy occurring on the
board before the expiration of a term may be filled by the affirmative vote of
the majority of the remaining directors,even if the remaining directors
constitute less than a quorum,or by the sole remaining director.In the
alternative,a board may hold an election to fill the vacancy,in which case
the election procedures must conform to sub-subparagraph 4.a.unless the
association governs 10 units or fewer and has opted out of the statutory
election process,in which case the bylaws of the association control.Unless
otherwise provided in the bylaws,a board member appointed or elected
under this section shall fill the vacancy for the unexpired term of the seat
being filled.Filling vacancies created by recall is governed by paragraph (l)
and rules adopted by the division.
10.This chapter does not limit the use of general or limited proxies,
require the use of general or limited proxies,or require the use of a written
ballot or voting machine for any agenda item or election at any meeting of a
timeshare condominium association or nonresidential condominium asso-
ciation.
Notwithstanding subparagraph (b)2.and sub-subparagraph 4.a.,an asso-
ciation of 10 or fewer units may,by affirmative vote of a majority of the total
voting interests,provide for different voting and election procedures in its
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bylaws,which may be by a proxy specifically delineating the different voting
and election procedures.The different voting and election procedures may
provide for elections to be conducted by limited or general proxy.
(f)Annual budget.—
1.The proposed annual budget of estimated revenues and expenses must
be detailed and must show the amounts budgeted by accounts and expense
classifications,including,at a minimum,any applicable expenses listed in s.
718.504(21).The board shall adopt the annual budget at least 14 days before
the start of the association’s fiscal year.In the event that the board fails to
timely adopt the annual budget a second time,it is deemed a minor violation
and the prior year’s budget shall continue in effect until a new budget is
adopted.A multicondominium association must adopt a separate budget of
common expenses for each condominium the association operates and must
adopt a separate budget of common expenses for the association.In addition,
if the association maintains limited common elements with the cost to be
shared only by those entitled to use the limited common elements as
provided for in s.718.113(1),the budget or a schedule attached to it must
show the amount budgeted for this maintenance.If,after turnover of control
of the association to the unit owners,any of the expenses listed in s.
718.504(21)are not applicable,they do not need to be listed.
2.a.In addition to annual operating expenses,the budget must include
reserve accounts for capital expenditures and deferred maintenance.These
accounts must include,but are not limited to,roof replacement,building
painting,and pavement resurfacing,regardless of the amount of deferred
maintenance expense or replacement cost,and any other item that has a
deferred maintenance expense or replacement cost that exceeds $10,000.
The amount to be reserved must be computed using a formula based upon
estimated remaining useful life and estimated replacement cost or deferred
maintenance expense of the reserve item.In a budget adopted by an
association that is required to obtain a structural integrity reserve study,
reserves must be maintained for the items identified in paragraph (g)for
which the association is responsible pursuant to the declaration of
condominium,and the reserve amount for such items must be based on
the findings and recommendations of the association’s most recent structur-
al integrity reserve study.With respect to items for which an estimate of
useful life is not readily ascertainable or with an estimated remaining useful
life of greater than 25 years,an association is not required to reserve
replacement costs for such items,but an association must reserve the
amount of deferred maintenance expense,if any,which is recommended by
the structural integrity reserve study for such items.The association may
adjust replacement reserve assessments annually to take into account an
inflation adjustment and any changes in estimates or extension of the useful
life of a reserve item caused by deferred maintenance.The members of a
unit-owner-controlled association may determine,by a majority vote of the
total voting interests of the association,to provide no reserves or less
reserves than required by this subsection.For a budget adopted on or after
December 31,2024,the members of a unit-owner-controlled association that
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must obtain a structural integrity reserve study may not determine to
provide no reserves or less reserves than required by this subsection for
items listed in paragraph (g),except that members of an association
operating a multicondominium may determine to provide no reserves or
less reserves than required by this subsection if an alternative funding
method has been approved by the division.If the local building official,as
defined in s.468.603,determines that the entire condominium building is
uninhabitable due to a natural emergency,as defined in s.252.34,the board,
upon the approval of a majority of its members,may pause the contribution
to its reserves or reduce reserve funding until the local building official
determines that the condominium building is habitable.Any reserve account
funds held by the association may be expended,pursuant to the board’s
determination,to make the condominium building and its structures
habitable.Upon the determination by the local building official that the
condominium building is habitable,the association must immediately
resume contributing funds to its reserves.
b.Before turnover of control of an association by a developer to unit
owners other than a developer under s.718.301,the developer-controlled
association may not vote to waive the reserves or reduce funding of the
reserves.If a meeting of the unit owners has been called to determine
whether to waive or reduce the funding of reserves and no such result is
achieved or a quorum is not attained,the reserves included in the budget
shall go into effect.After the turnover,the developer may vote its voting
interest to waive or reduce the funding of reserves.
3.Reserve funds and any interest accruing thereon shall remain in the
reserve account or accounts,and may be used only for authorized reserve
expenditures unless their use for other purposes is approved in advance by a
majority vote of all the total voting interests of the association.Before
turnover of control of an association by a developer to unit owners other than
the developer pursuant to s.718.301,the developer-controlled association
may not vote to use reserves for purposes other than those for which they
were intended.For a budget adopted on or after December 31,2024,
members of a unit-owner-controlled association that must obtain a struc-
tural integrity reserve study may not vote to use reserve funds,or any
interest accruing thereon,for any other purpose other than the replacement
or deferred maintenance costs of the components listed in paragraph (g).
4.The only voting interests that are eligible to vote on questions that
involve waiving or reducing the funding of reserves,or using existing reserve
funds for purposes other than purposes for which the reserves were
intended,are the voting interests of the units subject to assessment to
fund the reserves in question.Proxy questions relating to waiving or
reducing the funding of reserves or using existing reserve funds for purposes
other than purposes for which the reserves were intended must contain the
following statement in capitalized,bold letters in a font size larger than any
other used on the face of the proxy ballot:WAIVING OF RESERVES,IN
WHOLE OR IN PART,OR ALLOWING ALTERNATIVE USES OF
EXISTING RESERVES MAY RESULT IN UNIT OWNER LIABILITY
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FOR PAYMENT OF UNANTICIPATED SPECIAL ASSESSMENTS RE-
GARDING THOSE ITEMS.
(g)Structural integrity reserve study.—
1.A residential condominium association must have a structural
integrity reserve study completed at least every 10 years after the
condominium’s creation for each building on the condominium property
that is three stories or higher in height,as determined by the Florida
Building Code,which includes,at a minimum,a study of the following items
as related to the structural integrity and safety of the building:
a.Roof.
b.Structure,including load-bearing walls and other primary structural
members and primary structural systems as those terms are defined in s.
627.706.
c.Fireproofing and fire protection systems.
d.Plumbing.
e.Electrical systems.
f.Waterproofing and exterior painting.
g.Windows and exterior doors.
h.Any other item that has a deferred maintenance expense or replace-
ment cost that exceeds $10,000 and the failure to replace or maintain such
item negatively affects the items listed in sub-subparagraphs a.-g.,as
determined by the visual inspection portion of the structural integrity
reserve study.
2.A structural integrity reserve study is based on a visual inspection of
the condominium property.A structural integrity reserve study may be
performed by any person qualified to perform such study.However,the
visual inspection portion of the structural integrity reserve study must be
performed or verified by an engineer licensed under chapter 471,an
architect licensed under chapter 481,or a person certified as a reserve
specialist or professional reserve analyst by the Community Associations
Institute or the Association of Professional Reserve Analysts.
3.At a minimum,a structural integrity reserve study must identify each
item of the condominium property being visually inspected,state the
estimated remaining useful life and the estimated replacement cost or
deferred maintenance expense of each item of the condominium property
being visually inspected,and provide a reserve funding schedule with a
recommended annual reserve amount that achieves the estimated replace-
ment cost or deferred maintenance expense of each item of condominium
property being visually inspected by the end of the estimated remaining
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useful life of the item.The structural integrity reserve study may
recommend that reserves do not need to be maintained for any item for
which an estimate of useful life and an estimate of replacement cost cannot
be determined,or the study may recommend a deferred maintenance
expense amount for such item.The structural integrity reserve study may
recommend that reserves for replacement costs do not need to be maintained
for any item with an estimated remaining useful life of greater than 25
years,but the study may recommend a deferred maintenance expense
amount for such item.
4.This paragraph does not apply to buildings less than three stories in
height;single-family,two-family,or three-family dwellings with three or
fewer habitable stories above ground;any portion or component of a building
that has not been submitted to the condominium form of ownership;or any
portion or component of a building that is maintained by a party other than
the association.
5.Before a developer turns over control of an association to unit owners
other than the developer,the developer must have a turnover inspection
report in compliance with s.718.301(4)(p)and (q)for each building on the
condominium property that is three stories or higher in height.
6.Associations existing on or before July 1,2022,which are controlled by
unit owners other than the developer,must have a structural integrity
reserve study completed by December 31,2024,for each building on the
condominium property that is three stories or higher in height.An
association that is required to complete a milestone inspection in accordance
with s.553.899 on or before December 31,2026,may complete the structural
integrity reserve study simultaneously with the milestone inspection.In no
event may the structural integrity reserve study be completed after
December 31,2026.
7.If the milestone inspection required by s.553.899,or an inspection
completed for a similar local requirement,was performed within the past 5
years and meets the requirements of this paragraph,such inspection may be
used in place of the visual inspection portion of the structural integrity
reserve study.
8.If the officers or directors of an association willfully and knowingly fail
to complete a structural integrity reserve study pursuant to this paragraph,
such failure is a breach of an officer’s and director’s fiduciary relationship to
the unit owners under s.718.111(1).
9.Within 45 days after receiving the structural integrity reserve study,
the association must distribute a copy of the study to each unit owner or
deliver to each unit owner a notice that the completed study is available for
inspection and copying upon a written request.Distribution of a copy of the
study or notice must be made by United States mail or personal delivery to
the mailing address,property address,or any other address of the owner
provided to fulfill the association’s notice requirements under this chapter,
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or by electronic transmission to the e-mail address or facsimile number
provided to fulfill the association’s notice requirements to unit owners who
previously consented to receive notice by electronic transmission.
10.Within 45 days after receiving the structural integrity reserve study,
the association must provide the division with a statement indicating that
the study was completed and that the association provided or made available
such study to each unit owner in accordance with this section.The statement
must be provided to the division in the manner established by the division
using a form posted on the division’s website.
(q)Director or officer offenses.—
1.A director or an officer charged by information or indictment with any
of the following crimes must be removed from office:
a.Forgery,as provided in s.831.01,of a ballot envelope or voting
certificate used in a condominium association election.
b.Theft,as provided in s.812.014,or embezzlement involving the
association’s funds or property.
c.Destruction of,or the refusal to allow inspection or copying of,an
official record of a condominium association which is accessible to unit
owners within the time periods required by general law,in furtherance of
any crime.Such act constitutes tampering with physical evidence as
provided in s.918.13.
d.Obstruction of justice under chapter 843.
e.Any criminal violation under this chapter.
2.The board shall fill the vacancy in accordance with paragraph (2)(d)a
felony theft or embezzlement offense involving the association’s funds or
property must be removed from office,creating a vacancy in the office to be
filled according to law until the end of the period of the suspension or the end
of the director’s term of office,whichever occurs first.While such director or
officer has such criminal charge pending,he or she may not be appointed or
elected to a position as a director or officer of any association and may not
have access to the official records of any association,except pursuant to a
court order.However,if the charges are resolved without a finding of guilt,
the director or officer shall be reinstated for the remainder of his or her term
of office,if any.
(r)Fraudulent voting activities relating to association elections;penal-
ties.—
1.A person who engages in the following acts of fraudulent voting
activity relating to association elections commits a misdemeanor of the first
degree,punishable as provided in s.775.082 or s.775.083:
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a.Willfully and falsely swearing to or affirming an oath or affirmation,
or willfully procuring another person to falsely swear to or affirm an oath or
affirmation,in connection with or arising out of voting activities.
b.Perpetrating or attempting to perpetrate,or aiding in the perpetration
of,fraud in connection with a vote cast,to be cast,or attempted to be cast.
c.Preventing a member from voting or preventing a member from voting
as he or she intended by fraudulently changing or attempting to change a
ballot,ballot envelope,vote,or voting certificate of the member.
d.Menacing,threatening,or using bribery or any other corruption to
attempt,directly or indirectly,to influence,deceive,or deter a member when
the member is voting.
e.Giving or promising,directly or indirectly,anything of value to
another member with the intent to buy the vote of that member or another
member or to corruptly influence that member or another member in casting
his or her vote.This sub-subparagraph does not apply to any food served
which is to be consumed at an election rally or a meeting or to any item of
nominal value which is used as an election advertisement,including a
campaign message designed to be worn by a member.
f.Using or threatening to use,directly or indirectly,force,violence,or
intimidation or any tactic of coercion or intimidation to induce or compel a
member to vote or refrain from voting in an election or on a particular ballot
measure.
2.Each of the following acts constitutes a misdemeanor of the first
degree,punishable as provided in s.775.082 or s.775.083:
a.Knowingly aiding,abetting,or advising a person in the commission of
a fraudulent voting activity related to association elections.
b.Agreeing,conspiring,combining,or confederating with at least one
other person to commit a fraudulent voting activity related to association
elections.
c.Having knowledge of a fraudulent voting activity related to associa-
tion elections and giving any aid to the offender with intent that the offender
avoid or escape detection,arrest,trial,or punishment.This sub-subpara-
graph does not apply to a licensed attorney giving legal advice to a client.
Section 10.Subsection (5)of section 718.113,Florida Statutes,is
amended to read:
718.113 Maintenance;limitation upon improvement;display of flag;
hurricane shutters and protection;display of religious decorations.—
(5)To protect the health,safety,and welfare of the people of the state
and to ensure uniformity and consistency in the hurricane protections
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installed by condominium associations and unit owners,this subsection
applies to all residential and mixed-use condominiums in the state,
regardless of when the condominium is created pursuant to the declaration
of condominium.Each board of administration of a residential condominium
or mixed-use condominium must shall adopt hurricane protection shutter
specifications for each building within each condominium operated by the
association which may shall include color,style,and other factors deemed
relevant by the board.All specifications adopted by the board must comply
with the applicable building code.The installation,maintenance,repair,
replacement,and operation of hurricane protection in accordance with this
subsection is not considered a material alteration or substantial addition to
the common elements or association property within the meaning of this
section.
(a)The board may,subject to s.718.3026 and the approval of a majority
of voting interests of the residential condominium or mixed-use condomin-
ium,install or require that unit owners install hurricane shutters,impact
glass,code-compliant windows or doors,or other types of code-compliant
hurricane protection that complies comply with or exceeds exceed the
applicable building code.A vote of the unit owners to require the installation
of hurricane protection must be set forth in a certificate attesting to such
vote and include the date that the hurricane protection must be installed.
The board must record the certificate in the public records of the county in
which the condominium is located.Once the certificate is recorded,the board
must mail or hand deliver a copy of the recorded certificate to the unit
owners at the owners’addresses,as reflected in the records of the
association.The board may provide to unit owners who previously consented
to receive notice by electronic transmission a copy of the recorded certificate
by electronic transmission.The failure to record the certificate or send a copy
of the recorded certificate to the unit owners does not affect the validity or
enforceability of the vote of the unit owners.However,A vote of the unit
owners under this paragraph is not required if the installation,main-
tenance,repair,and replacement of the hurricane shutters,impact glass,
code-compliant windows or doors,or other types of code-compliant hurricane
protection,or any exterior windows,doors,or other apertures protected by
the hurricane protection,is are the responsibility of the association pursuant
to the declaration of condominium as originally recorded or as amended,or if
the unit owners are required to install hurricane protection pursuant to the
declaration of condominium as originally recorded or as amended.If
hurricane protection or laminated glass or window film architecturally
designed to function as hurricane protection that complies with or exceeds
the current applicable building code has been previously installed,the board
may not install the same type of hurricane shutters,impact glass,code-
compliant windows or doors,or other types of code-compliant hurricane
protection or require that unit owners install the same type of hurricane
protection unless the installed hurricane protection has reached the end of
its useful life or unless it is necessary to prevent damage to the common
elements or to a unit except upon approval by a majority vote of the voting
interests.
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(b)The association is responsible for the maintenance,repair,and
replacement of the hurricane shutters,impact glass,code-compliant
windows or doors,or other types of code-compliant hurricane protection
authorized by this subsection if such property is the responsibility of the
association pursuant to the declaration of condominium.If the hurricane
shutters,impact glass,code-compliant windows or doors,or other types of
code-compliant hurricane protection are the responsibility of the unit owners
pursuant to the declaration of condominium,the maintenance,repair,and
replacement of such items are the responsibility of the unit owner.
(b)(c)The board may operate shutters,impact glass,code-compliant
windows or doors,or other types of code-compliant hurricane protection
installed pursuant to this subsection without permission of the unit owners
only if such operation is necessary to preserve and protect the condominium
property or and association property.The installation,replacement,opera-
tion,repair,and maintenance of such shutters,impact glass,code-compliant
windows or doors,or other types of code-compliant hurricane protection in
accordance with the procedures set forth in this paragraph are not a
material alteration to the common elements or association property within
the meaning of this section.
(c)(d)Notwithstanding any other provision in the residential condomin-
ium or mixed-use condominium documents,if approval is required by the
documents,a board may not refuse to approve the installation or replace-
ment of hurricane shutters,impact glass,code-compliant windows or doors,
or other types of code-compliant hurricane protection by a unit owner which
conforms conforming to the specifications adopted by the board.However,a
board may require the unit owner to adhere to an existing unified building
scheme regarding the external appearance of the condominium.
(d)A unit owner is not responsible for the cost of any removal or
reinstallation of hurricane protection,including exterior windows,doors,or
other apertures,if its removal is necessary for the maintenance,repair,or
replacement of other condominium property or association property for
which the association is responsible.The board shall determine if the
removal or reinstallation of hurricane protection must be completed by the
unit owner or the association.If such removal or reinstallation is completed
by the association,the costs incurred by the association may not be charged
to the unit owner.If such removal or reinstallation is completed by the unit
owner,the association must reimburse the unit owner for the cost of the
removal or reinstallation or the association must apply a credit toward
future assessments in the amount of the unit owner’s cost to remove or
reinstall the hurricane protection.
(e)If the removal or reinstallation of hurricane protection,including
exterior windows,doors,or other apertures,is the responsibility of the unit
owner and the association completes such removal or reinstallation and then
charges the unit owner for such removal or reinstallation,such charges are
enforceable as an assessment and may be collected in the manner provided
under s.718.116.
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Section 11.Paragraph (e)of subsection (1)of section 718.115,Florida
Statutes,is amended to read:
718.115 Common expenses and common surplus.—
(1)
(e)1.Except as provided in s.718.113(5)(d),The expense of installation,
replacement,operation,repair,and maintenance of hurricane shutters,
impact glass,code-compliant windows or doors,or other types of code-
compliant hurricane protection by the board pursuant to s.718.113(5)
constitutes a common expense and shall be collected as provided in this
section if the association is responsible for the maintenance,repair,and
replacement of the hurricane shutters,impact glass,code-compliant
windows or doors,or other types of code-compliant hurricane protection
pursuant to the declaration of condominium.However,if the installation of
maintenance,repair,and replacement of the hurricane shutters,impact
glass,code-compliant windows or doors,or other types of code-compliant
hurricane protection is are the responsibility of the unit owners pursuant to
the declaration of condominium or a vote of the unit owners under s.
718.113(5),the cost of the installation of the hurricane shutters,impact
glass,code-compliant windows or doors,or other types of code-compliant
hurricane protection by the association is not a common expense and must
shall be charged individually to the unit owners based on the cost of
installation of the hurricane shutters,impact glass,code-compliant windows
or doors,or other types of code-compliant hurricane protection appurtenant
to the unit.The costs of installation of hurricane protection are enforceable
as an assessment and may be collected in the manner provided under s.
718.116.
2.Notwithstanding s.718.116(9),and regardless of whether or not the
declaration requires the association or unit owners to install,maintain,
repair,or replace hurricane shutters,impact glass,code-compliant windows
or doors,or other types of code-compliant hurricane protection,the a unit
owner of a unit in which who has previously installed hurricane shutters in
accordance with s.718.113(5)that comply with the current applicable
building code shall receive a credit when the shutters are installed;a unit
owner who has previously installed impact glass or code-compliant windows
or doors that comply with the current applicable building code shall receive a
credit when the impact glass or code-compliant windows or doors are
installed;and a unit owner who has installed other types of code-compliant
hurricane protection that complies comply with the current applicable
building code has been installed is excused from any assessment levied by
the association or shall receive a credit if when the same type of other code-
compliant hurricane protection is installed by the association.A credit is
applicable if the installation of hurricane protection is for all other units that
do not have hurricane protection and the cost of such installation is funded
by the association’s budget,including the use of reserve funds.The credit
must be equal to the amount that the unit owner would have been assessed
to install the hurricane protection,and the credit shall be equal to the pro
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rata portion of the assessed installation cost assigned to each unit.However,
such unit owner remains responsible for the pro rata share of expenses for
hurricane shutters,impact glass,code-compliant windows or doors,or other
types of code-compliant hurricane protection installed on common elements
and association property by the board pursuant to s.718.113(5)and remains
responsible for a pro rata share of the expense of the replacement,operation,
repair,and maintenance of such shutters,impact glass,code-compliant
windows or doors,or other types of code-compliant hurricane protection.
Expenses for the installation,replacement,operation,repair,or mainte-
nance of hurricane protection on common elements and association property
are common expenses.
Section 12.Paragraph (a)of subsection (4)of section 718.121,Florida
Statutes,is amended to read:
718.121 Liens.—
(4)(a)If an association sends out an invoice for assessments or a unit’s
statement of the account described in s.718.111(12)(a)11.c.s.718.111(12)(a)
11.b.,the invoice for assessments or the unit’s statement of account must be
delivered to the unit owner by first-class United States mail or by electronic
transmission to the unit owner’s e-mail address maintained in the associa-
tion’s official records.
Section 13.Section 718.124,Florida Statutes,is amended to read:
718.124 Limitation on actions by association.—The statute of limitations
and statute of repose for any actions in law or equity which a condominium
association or a cooperative association may have shall not begin to run until
the unit owners have elected a majority of the members of the board of
administration.
Section 14.Section 718.1224,Florida Statutes,is amended to read:
718.1224 Prohibition against SLAPP suits;other prohibited actions.—
(1)It is the intent of the Legislature to protect the right of condominium
unit owners to exercise their rights to instruct their representatives and
petition for redress of grievances before their condominium associations and
the various governmental entities of this state as protected by the First
Amendment to the United States Constitution and s.5,Art.I of the State
Constitution.The Legislature recognizes that strategic lawsuits against
public participation,or “SLAPP suits,”as they are typically referred to,have
occurred when association members are sued by condominium associations,
individuals,business entities,or governmental entities arising out of a
condominium unit owner’s appearance and presentation before the board of
the condominium association or a governmental entity on matters related to
the condominium association.However,it is the public policy of this state
that condominium associations,governmental entities,business organiza-
tions,and individuals not engage in SLAPP suits,because such actions are
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inconsistent with the right of condominium unit owners to participate in
their condominium association and in the state’s institutions of government.
Therefore,the Legislature finds and declares that prohibiting such lawsuits
by condominium associations,governmental entities,business entities,and
individuals against condominium unit owners who address matters con-
cerning their condominium association will preserve this fundamental state
policy,preserve the constitutional rights of condominium unit owners,and
ensure the continuation of representative government in this state,and
ensure unit owner participation in condominium associations.It is the intent
of the Legislature that such lawsuits be expeditiously disposed of by the
courts.As used in this subsection,the term “governmental entity”means the
state,including the executive,legislative,and judicial branches of govern-
ment;law enforcement agencies;the independent establishments of the
state,counties,municipalities,districts,authorities,boards,or commis-
sions;or any agencies of these branches that are subject to chapter 286.
(2)A condominium association,governmental entity,business organiza-
tion,or individual in this state may not file or cause to be filed through its
employees or agents any lawsuit,cause of action,claim,cross-claim,or
counterclaim against a condominium unit owner without merit and solely
because such condominium unit owner has exercised the right to instruct his
or her representatives or the right to petition for redress of grievances before
the condominium association or the various governmental entities of this
state,as protected by the First Amendment to the United States Constitu-
tion and s.5,Art.I of the State Constitution.
(3)It is unlawful for a condominium association to fine,discriminatorily
increase a unit owner’s assessments,discriminatorily decrease services to a
unit owner,or bring or threaten to bring an action for possession or other
civil action,including a defamation,libel,slander,or tortious interference
action,based on conduct described in this subsection.In order for the unit
owner to raise the defense of retaliatory conduct,the unit owner must have
acted in good faith and not for any improper purposes,such as to harass or to
cause unnecessary delay or for frivolous purpose or needless increase in the
cost of litigation.Examples of conduct for which a condominium association,
an officer,a director,or an agent of an association may not retaliate include,
but are not limited to,situations in which:
(a)The unit owner has in good faith complained to a governmental
agency charged with responsibility for enforcement of a building,housing,or
health code of a suspected violation applicable to the condominium;
(b)The unit owner has organized,encouraged,or participated in a unit
owners’organization;
(c)The unit owner submitted information or filed a complaint alleging
criminal violations or violations of this chapter or the rules of the division
with the division,the Office of the Condominium Ombudsman,a law
enforcement agency,a state attorney,the Attorney General,or any other
governmental agency;
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(d)The unit owner has exercised his or her rights under this chapter;
(e)The unit owner has complained to the association or any of the
association’s representatives for the failure to comply with this chapter or
chapter 617;or
(f)The unit owner has made public statements critical of the operation or
management of the association.
(4)Evidence of retaliatory conduct may be raised by the unit owner as a
defense in any action brought against him or her for possession.
(5)(3)A condominium unit owner sued by a condominium association,
governmental entity,business organization,or individual in violation of this
section has a right to an expeditious resolution of a claim that the suit is in
violation of this section.A condominium unit owner may petition the court
for an order dismissing the action or granting final judgment in favor of that
condominium unit owner.The petitioner may file a motion for summary
judgment,together with supplemental affidavits,seeking a determination
that the condominium association’s,governmental entity’s,business orga-
nization’s,or individual’s lawsuit has been brought in violation of this
section.The condominium association,governmental entity,business
organization,or individual shall thereafter file its response and any
supplemental affidavits.As soon as practicable,the court shall set a hearing
on the petitioner’s motion,which shall be held at the earliest possible time
after the filing of the condominium association’s,governmental entity’s,
business organization’s,or individual’s response.The court may award the
condominium unit owner sued by the condominium association,govern-
mental entity,business organization,or individual actual damages arising
from the condominium association’s,governmental entity’s,individual’s,or
business organization’s violation of this section.A court may treble the
damages awarded to a prevailing condominium unit owner and shall state
the basis for the treble damages award in its judgment.The court shall
award the prevailing party reasonable attorney’s fees and costs incurred in
connection with a claim that an action was filed in violation of this section.
(6)(4)Condominium associations may not expend association funds in
prosecuting a SLAPP suit against a condominium unit owner.
(7)Condominium associations may not expend association funds in
support of a defamation,libel,slander,or tortious interference action
against a unit owner or any other claim against a unit owner based on
conduct described in subsection (3).
Section 15.Section 718.128,Florida Statutes,is amended to read:
718.128 Electronic voting.—The association may conduct elections and
other unit owner votes through an Internet-based online voting system if a
unit owner consents,electronically or in writing,to online voting and if the
following requirements are met:
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(1)The association provides each unit owner with:
(a)A method to authenticate the unit owner’s identity to the online
voting system.
(b)For elections of the board,a method to transmit an electronic ballot to
the online voting system that ensures the secrecy and integrity of each
ballot.
(c)A method to confirm,at least 14 days before the voting deadline,that
the unit owner’s electronic device can successfully communicate with the
online voting system.
(2)The association uses an online voting system that is:
(a)Able to authenticate the unit owner’s identity.
(b)Able to authenticate the validity of each electronic vote to ensure that
the vote is not altered in transit.
(c)Able to transmit a receipt from the online voting system to each unit
owner who casts an electronic vote.
(d)For elections of the board of administration,able to permanently
separate any authentication or identifying information from the electronic
election ballot,rendering it impossible to tie an election ballot to a specific
unit owner.
(e)Able to store and keep electronic votes accessible to election officials
for recount,inspection,and review purposes.
(3)A unit owner voting electronically pursuant to this section shall be
counted as being in attendance at the meeting for purposes of determining a
quorum.A substantive vote of the unit owners may not be taken on any issue
other than the issues specifically identified in the electronic vote,when a
quorum is established based on unit owners voting electronically pursuant
to this section.
(4)This section applies to an association that provides for and authorizes
an online voting system pursuant to this section by a board resolution.If the
board authorizes online voting,the board must honor a unit owner’s request
to vote electronically at all subsequent elections,unless such unit owner opts
out of online voting.The board resolution must provide that unit owners
receive notice of the opportunity to vote through an online voting system,
must establish reasonable procedures and deadlines for unit owners to
consent,electronically or in writing,to online voting,and must establish
reasonable procedures and deadlines for unit owners to opt out of online
voting after giving consent.Written notice of a meeting at which the
resolution will be considered must be mailed,delivered,or electronically
transmitted to the unit owners and posted conspicuously on the condomin-
ium property or association property at least 14 days before the meeting.
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Evidence of compliance with the 14-day notice requirement must be made by
an affidavit executed by the person providing the notice and filed with the
official records of the association.
(5)A unit owner’s consent to online voting is valid until the unit owner
opts out of online voting according to the procedures established by the board
of administration pursuant to subsection (4).
(6)This section may apply to any matter that requires a vote of the unit
owners who are not members of a timeshare condominium association.
Section 16.Effective October 1,2024,subsections (1)and (3)of section
718.202,Florida Statutes,are amended to read:
718.202 Sales or reservation deposits prior to closing.—
(1)If a developer contracts to sell a condominium parcel and the
construction,furnishing,and landscaping of the property submitted or
proposed to be submitted to condominium ownership has not been
substantially completed in accordance with the plans and specifications
and representations made by the developer in the disclosures required by
this chapter,the developer shall pay into an escrow account all payments up
to 10 percent of the sale price received by the developer from the buyer
towards the sale price.The escrow agent shall give to the purchaser a receipt
for the deposit,upon request.In lieu of the foregoing concerning residential
condominiums,the division director has the discretion to accept other
assurances,including,but not limited to,a surety bond or an irrevocable
letter of credit in an amount equal to the escrow requirements of this section.
With respect to nonresidential condominiums,the developer may deliver to
the escrow agent a surety bond or an irrevocable letter of credit in an amount
equivalent to the aggregate of some or all of all payments,up to 10 percent of
the sale price,received by the developer from all buyers toward the sale
price.In all cases,the aggregate of the initial 10 percent deposits being
released must be secured by a surety bond or irrevocable letter of credit in an
equivalent amount.Default determinations and refund of deposits shall be
governed by the escrow release provision of this subsection.Funds shall be
released from escrow as follows:
(a)If a buyer properly terminates the contract pursuant to its terms or
pursuant to this chapter,the funds shall be paid to the buyer together with
any interest earned.
(b)If the buyer defaults in the performance of his or her obligations
under the contract of purchase and sale,the funds shall be paid to the
developer together with any interest earned.
(c)If the contract does not provide for the payment of any interest earned
on the escrowed funds,interest shall be paid to the developer at the closing of
the transaction.
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(d)If the funds of a buyer have not been previously disbursed in
accordance with the provisions of this subsection,they may be disbursed to
the developer by the escrow agent at the closing of the transaction,unless
prior to the disbursement the escrow agent receives from the buyer written
notice of a dispute between the buyer and developer.
(3)If the contract for sale of the condominium unit so provides,the
developer may withdraw escrow funds in excess of 10 percent of the purchase
price from the special account required by subsection (2)when the
construction of improvements has begun.He or she may use the funds for
the actual costs incurred by the developer in the construction and
development of the condominium property,or the easements and rights
appurtenant thereto,in which the unit to be sold is located.For purposes of
this subsection,the term “actual costs”includes,but is not limited to,
expenditures for demolition,site clearing,permit fees,impact fees,and
utility reservation fees,as well as architectural,engineering,and surveying
fees that directly relate to construction and development of the condominium
property or the easements and rights appurtenant thereto.However,no part
of these funds may be used for salaries,commissions,or expenses of
salespersons;for advertising,marketing,or promotional purposes;or for
loan fees and costs,principal and interest on loans,attorney fees,accounting
fees,or insurance costs.A contract that which permits use of the advance
payments for these purposes must shall include the following legend
conspicuously printed or stamped in boldfaced type on the first page of
the contract and immediately above the place for the signature of the buyer:
“ANY PAYMENT IN EXCESS OF 10 PERCENT OF THE PURCHASE
PRICE MADE TO DEVELOPER PRIOR TO CLOSING PURSUANT TO
THIS CONTRACT MAY BE USED FOR CONSTRUCTION PURPOSES BY
THE DEVELOPER.”
Section 17.Paragraph (p)of subsection (4)of section 718.301,Florida
Statutes,is amended to read:
718.301 Transfer of association control;claims of defect by association.
(4)At the time that unit owners other than the developer elect a majority
of the members of the board of administration of an association,the
developer shall relinquish control of the association,and the unit owners
shall accept control.Simultaneously,or for the purposes of paragraph (c)not
more than 90 days thereafter,the developer shall deliver to the association,
at the developer’s expense,all property of the unit owners and of the
association which is held or controlled by the developer,including,but not
limited to,the following items,if applicable,as to each condominium
operated by the association:
(p)Notwithstanding when the certificate of occupancy was issued or the
height of the building,a turnover inspection report included in the official
records,under seal of an architect or engineer authorized to practice in this
state or a person certified as a reserve specialist or professional reserve
analyst by the Community Associations Institute or the Association of
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Professional Reserve Analysts,and consisting of a structural integrity
reserve study attesting to required maintenance,condition,useful life,and
replacement costs of the following applicable condominium property:
1.Roof.
2.Structure,including load-bearing walls and primary structural
members and primary structural systems as those terms are defined in s.
627.706.
3.Fireproofing and fire protection systems.
4.Plumbing.
5.Electrical systems.
6.Waterproofing and exterior painting.
7.Windows and exterior doors.
Section 18.Subsections (4)and (5)of section 718.3027,Florida Statutes,
are amended to read:
718.3027 Conflicts of interest.—
(4)A director or an officer,or a relative of a director or an officer,who is a
party to,or has an interest in,an activity that is a possible conflict of
interest,as described in subsection (1),may attend the meeting at which the
activity is considered by the board and is authorized to make a presentation
to the board regarding the activity.After the presentation,the director or
officer,and any or the relative of the director or officer,must leave the
meeting during the discussion of,and the vote on,the activity.A director or
an officer who is a party to,or has an interest in,the activity must recuse
himself or herself from the vote.The attendance of a director or an officer
with a possible conflict of interest at the meeting of the board is sufficient to
constitute a quorum for the meeting and the vote in his or her absence on the
proposed activity.
(5)A contract entered into between a director or an officer,or a relative
of a director or an officer,and the association,which is not a timeshare
condominium association,that has not been properly disclosed as a conflict
of interest or potential conflict of interest as required by this section or s.
617.0832 s.718.111(12)(g)is voidable and terminates upon the filing of a
written notice terminating the contract with the board of directors which
contains the consent of at least 20 percent of the voting interests of the
association.
Section 19.Subsection (5)of section 718.303,Florida Statutes,is
amended to read:
718.303 Obligations of owners and occupants;remedies.—
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(5)An association may suspend the voting rights of a unit owner or
member due to nonpayment of any fee,fine,or other monetary obligation
due to the association which is more than $1,000 and more than 90 days
delinquent.Proof of such obligation must be provided to the unit owner or
member 30 days before such suspension takes effect.At least 90 days before
an election,an association must notify a unit owner or member that his or
her voting rights may be suspended due to a nonpayment of a fee or other
monetary obligation.A voting interest or consent right allocated to a unit
owner or member which has been suspended by the association shall be
subtracted from the total number of voting interests in the association,
which shall be reduced by the number of suspended voting interests when
calculating the total percentage or number of all voting interests available to
take or approve any action,and the suspended voting interests shall not be
considered for any purpose,including,but not limited to,the percentage or
number of voting interests necessary to constitute a quorum,the percentage
or number of voting interests required to conduct an election,or the
percentage or number of voting interests required to approve an action
under this chapter or pursuant to the declaration,articles of incorporation,
or bylaws.The suspension ends upon full payment of all obligations
currently due or overdue the association.The notice and hearing require-
ments under subsection (3)do not apply to a suspension imposed under this
subsection.
Section 20.Effective October 1,2024,section 718.407,Florida Statutes,
is created to read:
718.407 Condominiums created within a portion of a building or within a
multiple parcel building.—
(1)A condominium may be created in accordance with this section within
a portion of a building or within a multiple parcel building,as defined in s.
193.0237(1).
(2)The common elements of a condominium created within a portion of a
building or within a multiple parcel building are only those portions of the
building submitted to the condominium form of ownership,excluding the
units of such condominium.
(3)The declaration of condominium that creates a condominium within a
portion of a building or within a multiple parcel building,the recorded
instrument that creates the multiple parcel building,and any other recorded
instrument applicable under this section must specify all of the following:
(a)The portions of the building which are included in the condominium
and the portions of the building which are excluded.
(b)The party responsible for maintaining and operating those portions of
the building which are shared facilities,including,but not limited to,the
roof,the exterior of the building,the windows,the balconies,the elevators,
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the building lobby,the corridors,the recreational amenities,and the
utilities.
(c)1.The manner in which the expenses for the maintenance and
operation of the shared facilities will be apportioned.An owner of a portion
of a building which is not submitted to the condominium form of ownership
or the condominium association,as applicable to the portion of the building
submitted to the condominium form of ownership,must approve any
increase to the apportionment of expenses to such portion of the building.
The apportionment of the expenses for the maintenance and operation of the
shared facilities may be based on any of the following criteria or any
combination thereof:
a.The area or volume of each portion of the building in relation to the
total area or volume of the entire building,exclusive of the shared facilities.
b.The initial estimated market value of each portion of the building in
comparison to the total initial estimated market value of the entire building.
c.The extent to which the unit owners are permitted to use various
shared facilities.
2.This paragraph does not preclude an alternative apportionment of
expenses as long as such apportionment is stated in the declaration of
condominium that creates a condominium within a portion of a building or
within a multiple parcel building,the recorded instrument that creates the
multiple parcel building,or any other recorded instrument applicable under
this section.
(d)The party responsible for collecting the shared expenses.
(e)The rights and remedies that are available to enforce payment of the
shared expenses.
(4)The association of a condominium subject to this section may inspect
and copy the books and records upon which the costs for maintaining and
operating the shared facilities are based and to receive an annual budget
with respect to such costs.
(5)Each contract for the sale of a unit in a condominium subject to this
section must contain in conspicuous type a clause that substantially states:
DISCLOSURE SUMMARY
THE CONDOMINIUM IN WHICH YOUR UNIT IS LOCATED IS
CREATED WITHIN A PORTION OF A BUILDING OR WITHIN A
MULTIPLE PARCEL BUILDING.THE COMMON ELEMENTS OF
THE CONDOMINIUM CONSIST ONLY OF THE PORTIONS OF THE
BUILDING SUBMITTED TO THE CONDOMINIUM FORM OF OWN-
ERSHIP.
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BUYER ACKNOWLEDGES ALL OF THE FOLLOWING:
(1)THE CONDOMINIUM MAY HAVE MINIMAL COMMON ELE-
MENTS.
(2)PORTIONS OF THE BUILDING WHICH ARE NOT INCLUDED
IN THE CONDOMINIUM ARE OR WILL BE GOVERNED BY A
SEPARATE RECORDED INSTRUMENT.SUCH INSTRUMENT
CONTAINS IMPORTANT PROVISIONS AND RIGHTS AND IS OR
WILL BE AVAILABLE IN PUBLIC RECORDS.
(3)THE PARTY THAT CONTROLS THE MAINTENANCE AND
OPERATION OF THE PORTIONS OF THE BUILDING WHICH ARE
NOT INCLUDED IN THE CONDOMINIUM DETERMINES THE
BUDGET FOR THE OPERATION AND MAINTENANCE OF SUCH
PORTIONS.HOWEVER,THE ASSOCIATION AND UNIT OWNERS
ARE STILL RESPONSIBLE FOR THEIR SHARE OF SUCH EX-
PENSES.
(4)THE ALLOCATION BETWEEN THE UNIT OWNERS AND THE
OWNERS OF THE PORTIONS OF THE BUILDING WHICH ARE
NOT INCLUDED IN THE CONDOMINIUM OF THE COSTS TO
MAINTAIN AND OPERATE THE BUILDING CAN BE FOUND IN
THE DECLARATION OF CONDOMINIUM OR OTHER RECORDED
INSTRUMENT.
(6)The creation of a multiple parcel building is not a subdivision of the
land upon which such building is situated provided the land itself is not
subdivided.
Section 21.Subsections (1)and (2)of section 718.501,Florida Statutes,
are amended to read:
718.501 Authority,responsibility,and duties of Division of Florida
Condominiums,Timeshares,and Mobile Homes.—
(1)The division may enforce and ensure compliance with this chapter
and rules relating to the development,construction,sale,lease,ownership,
operation,and management of residential condominium units and com-
plaints related to the procedural completion of milestone inspections under
s.553.899.In performing its duties,the division has complete jurisdiction to
investigate complaints and enforce compliance with respect to associations
that are still under developer control or the control of a bulk assignee or bulk
buyer pursuant to part VII of this chapter and complaints against
developers,bulk assignees,or bulk buyers involving improper turnover or
failure to turnover,pursuant to s.718.301.However,after turnover has
occurred,the division has jurisdiction to investigate complaints related only
to:
(a)1.Procedural aspects and records relating to financial issues,includ-
ing annual financial reporting under s.718.111(13);assessments for
common expenses,fines,and commingling of reserve and operating funds
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under s.718.111(14);use of debit cards for unintended purposes under s.
718.111(15);the annual operating budget and the allocation of reserve funds
under s.718.112(2)(f);financial records under s.718.111(12)(a)11.;and any
other record necessary to determine the revenues and expenses of the
association.
2.Elections,including election and voting requirements under s.
718.112(2)(b)and (d),recall of board members under s.718.112(2)(l),
electronic voting under s.718.128,and elections that occur during an
emergency under s.718.1265(1)(a).financial issues,elections,and
3.The maintenance of and unit owner access to association records
under s.718.111(12).
4.The procedural aspects of meetings,including unit owner meetings,
quorums,voting requirements,proxies,board of administration meetings,
and budget meetings under s.718.112(2).
5.The disclosure of conflicts of interest under ss.718.111(1)(a)and
718.3027,including limitations contained in s.718.111(3)(f).
6.The removal of a board director or officer under ss.718.111(1)(a)and
(15)and 718.112(2)(p)and (q).,and
7.The procedural completion of structural integrity reserve studies
under s.718.112(2)(g).
8.Any written inquiries by unit owners to the association relating to
such matters,including written inquiries under s.718.112(2)(a)2.
(b)1.(a)1.The division may make necessary public or private investiga-
tions within or outside this state to determine whether any person has
violated this chapter or any rule or order hereunder,to aid in the
enforcement of this chapter,or to aid in the adoption of rules or forms.
2.The division may submit any official written report,worksheet,or
other related paper,or a duly certified copy thereof,compiled,prepared,
drafted,or otherwise made by and duly authenticated by a financial
examiner or analyst to be admitted as competent evidence in any hearing
in which the financial examiner or analyst is available for cross-examination
and attests under oath that such documents were prepared as a result of an
examination or inspection conducted pursuant to this chapter.
(c)(b)The division may require or permit any person to file a statement
in writing,under oath or otherwise,as the division determines,as to the
facts and circumstances concerning a matter to be investigated.
(d)(c)For the purpose of any investigation under this chapter,the
division director or any officer or employee designated by the division
director may administer oaths or affirmations,subpoena witnesses and
compel their attendance,take evidence,and require the production of any
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matter which is relevant to the investigation,including the existence,
description,nature,custody,condition,and location of any books,docu-
ments,or other tangible things and the identity and location of persons
having knowledge of relevant facts or any other matter reasonably
calculated to lead to the discovery of material evidence.Upon the failure
by a person to obey a subpoena or to answer questions propounded by the
investigating officer and upon reasonable notice to all affected persons,the
division may apply to the circuit court for an order compelling compliance.
(e)(d)Notwithstanding any remedies available to unit owners and
associations,if the division has reasonable cause to believe that a violation
of any provision of this chapter or related rule has occurred,the division may
institute enforcement proceedings in its own name against any developer,
bulk assignee,bulk buyer,association,officer,or member of the board of
administration,or its assignees or agents,as follows:
1.The division may permit a person whose conduct or actions may be
under investigation to waive formal proceedings and enter into a consent
proceeding whereby orders,rules,or letters of censure or warning,whether
formal or informal,may be entered against the person.
2.The division may issue an order requiring the developer,bulk
assignee,bulk buyer,association,developer-designated officer,or devel-
oper-designated member of the board of administration,developer-desig-
nated assignees or agents,bulk assignee-designated assignees or agents,
bulk buyer-designated assignees or agents,community association man-
ager,or community association management firm to cease and desist from
the unlawful practice and take such affirmative action as in the judgment of
the division carry out the purposes of this chapter.If the division finds that a
developer,bulk assignee,bulk buyer,association,officer,or member of the
board of administration,or its assignees or agents,is violating or is about to
violate any provision of this chapter,any rule adopted or order issued by the
division,or any written agreement entered into with the division,and
presents an immediate danger to the public requiring an immediate final
order,it may issue an emergency cease and desist order reciting with
particularity the facts underlying such findings.The emergency cease and
desist order is effective for 90 days.If the division begins nonemergency
cease and desist proceedings,the emergency cease and desist order remains
effective until the conclusion of the proceedings under ss.120.569 and
120.57.
3.If a developer,bulk assignee,or bulk buyer fails to pay any restitution
determined by the division to be owed,plus any accrued interest at the
highest rate permitted by law,within 30 days after expiration of any
appellate time period of a final order requiring payment of restitution or the
conclusion of any appeal thereof,whichever is later,the division must bring
an action in circuit or county court on behalf of any association,class of unit
owners,lessees,or purchasers for restitution,declaratory relief,injunctive
relief,or any other available remedy.The division may also temporarily
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revoke its acceptance of the filing for the developer to which the restitution
relates until payment of restitution is made.
4.The division may petition the court for appointment of a receiver or
conservator.If appointed,the receiver or conservator may take action to
implement the court order to ensure the performance of the order and to
remedy any breach thereof.In addition to all other means provided by law
for the enforcement of an injunction or temporary restraining order,the
circuit court may impound or sequester the property of a party defendant,
including books,papers,documents,and related records,and allow the
examination and use of the property by the division and a court-appointed
receiver or conservator.
5.The division may apply to the circuit court for an order of restitution
whereby the defendant in an action brought under subparagraph 4.is
ordered to make restitution of those sums shown by the division to have been
obtained by the defendant in violation of this chapter.At the option of the
court,such restitution is payable to the conservator or receiver appointed
under subparagraph 4.or directly to the persons whose funds or assets were
obtained in violation of this chapter.
6.The division may impose a civil penalty against a developer,bulk
assignee,or bulk buyer,or association,or its assignee or agent,for any
violation of this chapter or related rule.The division may impose a civil
penalty individually against an officer or board member who willfully and
knowingly violates this chapter,an adopted rule,or a final order of the
division;may order the removal of such individual as an officer or from the
board of administration or as an officer of the association;and may prohibit
such individual from serving as an officer or on the board of a community
association for a period of time.The term “willfully and knowingly”means
that the division informed the officer or board member that his or her action
or intended action violates this chapter,a rule adopted under this chapter,or
a final order of the division and that the officer or board member refused to
comply with the requirements of this chapter,a rule adopted under this
chapter,or a final order of the division.The division,before initiating formal
agency action under chapter 120,must afford the officer or board member an
opportunity to voluntarily comply,and an officer or board member who
complies within 10 days is not subject to a civil penalty.A penalty may be
imposed on the basis of each day of continuing violation,but the penalty for
any offense may not exceed $5,000.The division shall adopt,by rule,penalty
guidelines applicable to possible violations or to categories of violations of
this chapter or rules adopted by the division.The guidelines must specify a
meaningful range of civil penalties for each such violation of the statute and
rules and must be based upon the harm caused by the violation,upon the
repetition of the violation,and upon such other factors deemed relevant by
the division.For example,the division may consider whether the violations
were committed by a developer,bulk assignee,or bulk buyer,or owner-
controlled association,the size of the association,and other factors.The
guidelines must designate the possible mitigating or aggravating circum-
stances that justify a departure from the range of penalties provided by the
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rules.It is the legislative intent that minor violations be distinguished from
those which endanger the health,safety,or welfare of the condominium
residents or other persons and that such guidelines provide reasonable and
meaningful notice to the public of likely penalties that may be imposed for
proscribed conduct.This subsection does not limit the ability of the division
to informally dispose of administrative actions or complaints by stipulation,
agreed settlement,or consent order.All amounts collected shall be deposited
with the Chief Financial Officer to the credit of the Division of Florida
Condominiums,Timeshares,and Mobile Homes Trust Fund.If a developer,
bulk assignee,or bulk buyer fails to pay the civil penalty and the amount
deemed to be owed to the association,the division shall issue an order
directing that such developer,bulk assignee,or bulk buyer cease and desist
from further operation until such time as the civil penalty is paid or may
pursue enforcement of the penalty in a court of competent jurisdiction.If an
association fails to pay the civil penalty,the division shall pursue
enforcement in a court of competent jurisdiction,and the order imposing
the civil penalty or the cease and desist order is not effective until 20 days
after the date of such order.Any action commenced by the division shall be
brought in the county in which the division has its executive offices or in the
county in which where the violation occurred.
7.If a unit owner presents the division with proof that the unit owner
has requested access to official records in writing by certified mail,and that
after 10 days the unit owner again made the same request for access to
official records in writing by certified mail,and that more than 10 days has
elapsed since the second request and the association has still failed or
refused to provide access to official records as required by this chapter,the
division shall issue a subpoena requiring production of the requested records
at the location in which where the records are kept pursuant to s.718.112.
Upon receipt of the records,the division must provide to the unit owner who
was denied access to such records the produced official records without
charge.
8.In addition to subparagraph 6.,the division may seek the imposition of
a civil penalty through the circuit court for any violation for which the
division may issue a notice to show cause under paragraph (t)(r).The civil
penalty shall be at least $500 but no more than $5,000 for each violation.The
court may also award to the prevailing party court costs and reasonable
attorney fees and,if the division prevails,may also award reasonable costs of
investigation.
9.The division may issue citations and promulgate rules to provide for
citation bases and citation procedures in accordance with this paragraph.
(f)(e)The division may prepare and disseminate a prospectus and other
information to assist prospective owners,purchasers,lessees,and devel-
opers of residential condominiums in assessing the rights,privileges,and
duties pertaining thereto.
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(g)(f)The division may adopt rules to administer and enforce this
chapter.
(h)(g)The division shall establish procedures for providing notice to an
association and the developer,bulk assignee,or bulk buyer during the period
in which the developer,bulk assignee,or bulk buyer controls the association
if the division is considering the issuance of a declaratory statement with
respect to the declaration of condominium or any related document
governing such condominium community.
(i)(h)The division shall furnish each association that pays the fees
required by paragraph (2)(a)a copy of this chapter,as amended,and the
rules adopted thereto on an annual basis.
(j)(i)The division shall annually provide each association with a
summary of declaratory statements and formal legal opinions relating to
the operations of condominiums which were rendered by the division during
the previous year.
(k)(j)The division shall provide training and educational programs for
condominium association board members and unit owners.The training
may,in the division’s discretion,include web-based electronic media and live
training and seminars in various locations throughout the state.The
division may review and approve education and training programs for
board members and unit owners offered by providers and shall maintain a
current list of approved programs and providers and make such list
available to board members and unit owners in a reasonable and cost-
effective manner.The division shall provide the division-approved provider
with the template certificate for issuance directly to the association’s board
of directors who have satisfactorily completed the requirements under s.
718.112(2)(d).The division shall adopt rules to implement this section.
(l)(k)The division shall maintain a toll-free telephone number accessible
to condominium unit owners.
(m)(l)The division shall develop a program to certify both volunteer and
paid mediators to provide mediation of condominium disputes.The division
shall provide,upon request,a list of such mediators to any association,unit
owner,or other participant in alternative dispute resolution proceedings
under s.718.1255 requesting a copy of the list.The division shall include on
the list of volunteer mediators only the names of persons who have received
at least 20 hours of training in mediation techniques or who have mediated
at least 20 disputes.In order to become initially certified by the division,
paid mediators must be certified by the Supreme Court to mediate court
cases in county or circuit courts.However,the division may adopt,by rule,
additional factors for the certification of paid mediators,which must be
related to experience,education,or background.Any person initially
certified as a paid mediator by the division must,in order to continue to
be certified,comply with the factors or requirements adopted by rule.
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(n)(m)If a complaint is made,the division must conduct its inquiry with
due regard for the interests of the affected parties.Within 30 days after
receipt of a complaint,the division shall acknowledge the complaint in
writing and notify the complainant whether the complaint is within the
jurisdiction of the division and whether additional information is needed by
the division from the complainant.The division shall conduct its investiga-
tion and,within 90 days after receipt of the original complaint or of timely
requested additional information,take action upon the complaint.However,
the failure to complete the investigation within 90 days does not prevent the
division from continuing the investigation,accepting or considering evidence
obtained or received after 90 days,or taking administrative action if
reasonable cause exists to believe that a violation of this chapter or a rule
has occurred.If an investigation is not completed within the time limits
established in this paragraph,the division shall,on a monthly basis,notify
the complainant in writing of the status of the investigation.When reporting
its action to the complainant,the division shall inform the complainant of
any right to a hearing under ss.120.569 and 120.57.The division may adopt
rules regarding the submission of a complaint against an association.
(o)(n)Condominium association directors,officers,and employees;
condominium developers;bulk assignees,bulk buyers,and community
association managers;and community association management firms
have an ongoing duty to reasonably cooperate with the division in any
investigation under this section.The division shall refer to local law
enforcement authorities any person whom the division believes has altered,
destroyed,concealed,or removed any record,document,or thing required to
be kept or maintained by this chapter with the purpose to impair its verity or
availability in the department’s investigation.The division shall refer to
local law enforcement authorities any person whom the division believes has
engaged in fraud,theft,embezzlement,or other criminal activity or when
the division has cause to believe that fraud,theft,embezzlement,or other
criminal activity has occurred.
(p)The division director or any officer or employee of the division and the
condominium ombudsman or any employee of the Office of the Condominium
Ombudsman may attend and observe any meeting of the board of
administration or any unit owner meeting,including any meeting of a
subcommittee or special committee,which is open to members of the
association for the purpose of performing the duties of the division or the
Office of the Condominium Ombudsman under this chapter.
(q)(o)The division may:
1.Contract with agencies in this state or other jurisdictions to perform
investigative functions;or
2.Accept grants-in-aid from any source.
(r)(p)The division shall cooperate with similar agencies in other
jurisdictions to establish uniform filing procedures and forms,public
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offering statements,advertising standards,and rules and common admin-
istrative practices.
(s)(q)The division shall consider notice to a developer,bulk assignee,or
bulk buyer to be complete when it is delivered to the address of the
developer,bulk assignee,or bulk buyer currently on file with the division.
(t)(r)In addition to its enforcement authority,the division may issue a
notice to show cause,which must provide for a hearing,upon written
request,in accordance with chapter 120.
(u)If the division receives a complaint regarding access to official records
on the association’s website or through an application that can be down-
loaded on a mobile device under s.718.111(12)(g),the division may request
access to the association’s website or application and investigate.The
division may adopt rules to carry out this paragraph.
(v)(s)The division shall submit to the Governor,the President of the
Senate,the Speaker of the House of Representatives,and the chairs of the
legislative appropriations committees an annual report that includes,but
need not be limited to,the number of training programs provided for
condominium association board members and unit owners,the number of
complaints received by type,the number and percent of complaints
acknowledged in writing within 30 days and the number and percent of
investigations acted upon within 90 days in accordance with paragraph (n)
(m),and the number of investigations exceeding the 90-day requirement.
The annual report must also include an evaluation of the division’s core
business processes and make recommendations for improvements,including
statutory changes.After December 31,2024,the division must include a list
of the associations that have completed the structural integrity reserve
study required under s.718.112(2)(g).The report shall be submitted by
September 30 following the end of the fiscal year.
(2)(a)Each condominium association that which operates more than two
units shall pay to the division an annual fee in the amount of $4 for each
residential unit in condominiums operated by the association.If the fee is
not paid by March 1,the association shall be assessed a penalty of 10 percent
of the amount due,and the association will not have standing to maintain or
defend any action in the courts of this state until the amount due,plus any
penalty,is paid.
(b)All fees shall be deposited in the Division of Florida Condominiums,
Timeshares,and Mobile Homes Trust Fund as provided by law.
(c)On the certification form provided by the division,the directors of the
association shall certify that each director of the association has completed
the written certification and educational certificate requirements in s.
718.112(2)(d)4.b.This certification requirement does not apply to the
directors of an association governing a timeshare condominium.
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Section 22.Subsection (2)of section 718.5011,Florida Statutes,is
amended to read:
718.5011 Ombudsman;appointment;administration.—
(2)The secretary of the Department of Business and Professional
Regulation Governor shall appoint the ombudsman.The ombudsman
must be an attorney admitted to practice before the Florida Supreme
Court and shall serve at the pleasure of the Governor.A vacancy in the office
shall be filled in the same manner as the original appointment.An officer or
full-time employee of the ombudsman’s office may not actively engage in any
other business or profession that directly or indirectly relates to or conflicts
with his or her work in the ombudsman’s office;serve as the representative
of any political party,executive committee,or other governing body of a
political party;serve as an executive,officer,or employee of a political party;
receive remuneration for activities on behalf of any candidate for public
office;or engage in soliciting votes or other activities on behalf of a candidate
for public office.The ombudsman or any employee of his or her office may not
become a candidate for election to public office unless he or she first resigns
from his or her office or employment.
Section 23.Effective October 1,2024,paragraphs (a)and (d)of
subsection (2)and subsection (3)of section 718.503,Florida Statutes,are
amended to read:
718.503 Developer disclosure prior to sale;nondeveloper unit owner
disclosure prior to sale;voidability.—
(2)NONDEVELOPER DISCLOSURE.—
(a)Each unit owner who is not a developer as defined by this chapter
must comply with this subsection before the sale of his or her unit.Each
prospective purchaser who has entered into a contract for the purchase of a
condominium unit is entitled,at the seller’s expense,to a current copy of all
of the following:
1.The declaration of condominium.
2.Articles of incorporation of the association.
3.Bylaws and rules of the association.
4.An annual financial statement and annual budget of the condominium
association Financial information required by s.718.111.
5.A copy of the inspector-prepared summary of the milestone inspection
report as described in s.553.899,if applicable.
6.The association’s most recent structural integrity reserve study or a
statement that the association has not completed a structural integrity
reserve study.
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7.A copy of the inspection report described in s.718.301(4)(p)and (q)for
a turnover inspection performed on or after July 1,2023.
8.The document entitled “Frequently Asked Questions and Answers”
required by s.718.504.
(d)Each contract entered into after July 1,1992,for the resale of a
residential unit shall contain in conspicuous type either:
1.A clause which states:THE BUYER HEREBY ACKNOWLEDGES
THAT BUYER HAS BEEN PROVIDED A CURRENT COPY OF THE
DECLARATION OF CONDOMINIUM,ARTICLES OF INCORPORATION
OF THE ASSOCIATION,BYLAWS AND RULES OF THE ASSOCIATION,
AND A COPY OF THE MOST RECENT ANNUAL FINANCIAL STATE-
MENT AND ANNUAL BUDGET,YEAR-END FINANCIAL INFORMA-
TION AND FREQUENTLY ASKED QUESTIONS AND ANSWERS DOCU-
MENT MORE THAN 3 DAYS,EXCLUDING SATURDAYS,SUNDAYS,
AND LEGAL HOLIDAYS,PRIOR TO EXECUTION OF THIS CONTRACT;
or
2.A clause which states:THIS AGREEMENT IS VOIDABLE BY
BUYER BY DELIVERING WRITTEN NOTICE OF THE BUYER’S IN-
TENTION TO CANCEL WITHIN 3 DAYS,EXCLUDING SATURDAYS,
SUNDAYS,AND LEGAL HOLIDAYS,AFTER THE DATE OF EXECU-
TION OF THIS AGREEMENT BY THE BUYER AND RECEIPT BY
BUYER OF A CURRENT COPY OF THE DECLARATION OF CONDO-
MINIUM,ARTICLES OF INCORPORATION,BYLAWS AND RULES OF
THE ASSOCIATION,A COPY OF THE MOST RECENT ANNUAL
FINANCIAL STATEMENT AND ANNUAL BUDGET,AND A COPY OF
THE MOST RECENT YEAR-END FINANCIAL INFORMATION AND
FREQUENTLY ASKED QUESTIONS AND ANSWERS DOCUMENT IF
SO REQUESTED IN WRITING.ANY PURPORTED WAIVER OF THESE
VOIDABILITY RIGHTS SHALL BE OF NO EFFECT.BUYER MAY
EXTEND THE TIME FOR CLOSING FOR A PERIOD OF NOT MORE
THAN 3 DAYS,EXCLUDING SATURDAYS,SUNDAYS,AND LEGAL
HOLIDAYS,AFTER THE BUYER RECEIVES THE DECLARATION,
ARTICLES OF INCORPORATION,BYLAWS AND RULES OF THE
ASSOCIATION,AND A COPY OF THE MOST RECENT YEAR-END
FINANCIAL INFORMATION AND FREQUENTLY ASKED QUESTIONS
AND ANSWERS DOCUMENT IF REQUESTED IN WRITING.BUYER’S
RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT CLOS-
ING.
A contract that does not conform to the requirements of this paragraph is
voidable at the option of the purchaser prior to closing.
(3)OTHER DISCLOSURES DISCLOSURE.—
(a)If residential condominium parcels are offered for sale or lease prior
to completion of construction of the units and of improvements to the
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common elements,or prior to completion of remodeling of previously
occupied buildings,the developer must shall make available to each
prospective purchaser or lessee,for his or her inspection at a place
convenient to the site,a copy of the complete plans and specifications for
the construction or remodeling of the unit offered to him or her and of the
improvements to the common elements appurtenant to the unit.
(b)Sales brochures,if any,must shall be provided to each purchaser,and
the following caveat in conspicuous type must shall be placed on the inside
front cover or on the first page containing text material of the sales brochure,
or otherwise conspicuously displayed:“ORAL REPRESENTATIONS CAN-
NOT BE RELIED UPON AS CORRECTLY STATING REPRESENTA-
TIONS OF THE DEVELOPER.FOR CORRECT REPRESENTATIONS,
MAKE REFERENCE TO THIS BROCHURE AND TO THE DOCUMENTS
REQUIRED BY SECTION 718.503,FLORIDA STATUTES,TO BE FURN-
ISHED BY A DEVELOPER TO A BUYER OR LESSEE.”If timeshare
estates have been or may be created with respect to any unit in the
condominium,the sales brochure must shall contain the following statement
in conspicuous type:“UNITS IN THIS CONDOMINIUM ARE SUBJECT TO
TIMESHARE ESTATES.”
(c)If a unit is located within a condominium that is created within a
portion of a building or within a multiple parcel building,the developer or
nondeveloper unit owner must provide the disclosures required by s.
718.407(5).
Section 24.Effective October 1,2024,section 718.504,Florida Statutes,
is amended to read:
718.504 Prospectus or offering circular.—Every developer of a residen-
tial condominium which contains more than 20 residential units,or which is
part of a group of residential condominiums which will be served by property
to be used in common by unit owners of more than 20 residential units,shall
prepare a prospectus or offering circular and file it with the Division of
Florida Condominiums,Timeshares,and Mobile Homes prior to entering
into an enforceable contract of purchase and sale of any unit or lease of a unit
for more than 5 years and shall furnish a copy of the prospectus or offering
circular to each buyer.In addition to the prospectus or offering circular,each
buyer shall be furnished a separate page entitled “Frequently Asked
Questions and Answers,”which shall be in accordance with a format
approved by the division and a copy of the financial information required by
s.718.111.This page shall,in readable language,inform prospective
purchasers regarding their voting rights and unit use restrictions,including
restrictions on the leasing of a unit;shall indicate whether and in what
amount the unit owners or the association is obligated to pay rent or land use
fees for recreational or other commonly used facilities;shall contain a
statement identifying that amount of assessment which,pursuant to the
budget,would be levied upon each unit type,exclusive of any special
assessments,and which shall further identify the basis upon which
assessments are levied,whether monthly,quarterly,or otherwise;shall
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state and identify any court cases in which the association is currently a
party of record in which the association may face liability in excess of
$100,000;shall state whether the condominium is created within a portion of
a building or within a multiple parcel building;and which shall further state
whether membership in a recreational facilities association is mandatory,
and if so,shall identify the fees currently charged per unit type.The division
shall by rule require such other disclosure as in its judgment will assist
prospective purchasers.The prospectus or offering circular may include
more than one condominium,although not all such units are being offered
for sale as of the date of the prospectus or offering circular.The prospectus or
offering circular must contain the following information:
(1)The front cover or the first page must contain only:
(a)The name of the condominium.
(b)The following statements in conspicuous type:
1.THIS PROSPECTUS (OFFERING CIRCULAR)CONTAINS IMPOR-
TANT MATTERS TO BE CONSIDERED IN ACQUIRING A CONDOMIN-
IUM UNIT.
2.THE STATEMENTS CONTAINED HEREIN ARE ONLY SUMMARY
IN NATURE.A PROSPECTIVE PURCHASER SHOULD REFER TO ALL
REFERENCES,ALL EXHIBITS HERETO,THE CONTRACT DOCU-
MENTS,AND SALES MATERIALS.
3.ORAL REPRESENTATIONS CANNOT BE RELIED UPON AS
CORRECTLY STATING THE REPRESENTATIONS OF THE DEVELO-
PER.REFER TO THIS PROSPECTUS (OFFERING CIRCULAR)AND ITS
EXHIBITS FOR CORRECT REPRESENTATIONS.
(2)Summary:The next page must contain all statements required to be
in conspicuous type in the prospectus or offering circular.
(3)A separate index of the contents and exhibits of the prospectus.
(4)Beginning on the first page of the text (not including the summary
and index),a description of the condominium,including,but not limited to,
the following information:
(a)Its name and location.
(b)A description of the condominium property,including,without
limitation:
1.The number of buildings,the number of units in each building,the
number of bathrooms and bedrooms in each unit,and the total number of
units,if the condominium is not a phase condominium,or the maximum
number of buildings that may be contained within the condominium,the
minimum and maximum numbers of units in each building,the minimum
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and maximum numbers of bathrooms and bedrooms that may be contained
in each unit,and the maximum number of units that may be contained
within the condominium,if the condominium is a phase condominium.
2.The page in the condominium documents where a copy of the plot plan
and survey of the condominium is located.
3.The estimated latest date of completion of constructing,finishing,and
equipping.In lieu of a date,the description shall include a statement that
the estimated date of completion of the condominium is in the purchase
agreement and a reference to the article or paragraph containing that
information.
(c)The maximum number of units that will use facilities in common with
the condominium.If the maximum number of units will vary,a description of
the basis for variation and the minimum amount of dollars per unit to be
spent for additional recreational facilities or enlargement of such facilities.If
the addition or enlargement of facilities will result in a material increase of a
unit owner’s maintenance expense or rental expense,if any,the maximum
increase and limitations thereon shall be stated.
(5)(a)A statement in conspicuous type describing whether the condo-
minium is created and being sold as fee simple interests or as leasehold
interests.If the condominium is created or being sold on a leasehold,the
location of the lease in the disclosure materials shall be stated.
(b)If timeshare estates are or may be created with respect to any unit in
the condominium,a statement in conspicuous type stating that timeshare
estates are created and being sold in units in the condominium.
(6)A description of the recreational and other commonly used facilities
that will be used only by unit owners of the condominium,including,but not
limited to,the following:
(a)Each room and its intended purposes,location,approximate floor
area,and capacity in numbers of people.
(b)Each swimming pool,as to its general location,approximate size and
depths,approximate deck size and capacity,and whether heated.
(c)Additional facilities,as to the number of each facility,its approximate
location,approximate size,and approximate capacity.
(d)A general description of the items of personal property and the
approximate number of each item of personal property that the developer is
committing to furnish for each room or other facility or,in the alternative,a
representation as to the minimum amount of expenditure that will be made
to purchase the personal property for the facility.
(e)The estimated date when each room or other facility will be available
for use by the unit owners.
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(f)1.An identification of each room or other facility to be used by unit
owners that will not be owned by the unit owners or the association;
2.A reference to the location in the disclosure materials of the lease or
other agreements providing for the use of those facilities;and
3.A description of the terms of the lease or other agreements,including
the length of the term;the rent payable,directly or indirectly,by each unit
owner,and the total rent payable to the lessor,stated in monthly and annual
amounts for the entire term of the lease;and a description of any option to
purchase the property leased under any such lease,including the time the
option may be exercised,the purchase price or how it is to be determined,the
manner of payment,and whether the option may be exercised for a unit
owner’s share or only as to the entire leased property.
(g)A statement as to whether the developer may provide additional
facilities not described above;their general locations and types;improve-
ments or changes that may be made;the approximate dollar amount to be
expended;and the maximum additional common expense or cost to the
individual unit owners that may be charged during the first annual period of
operation of the modified or added facilities.
Descriptions as to locations,areas,capacities,numbers,volumes,or sizes
may be stated as approximations or minimums.
(7)A description of the recreational and other facilities that will be used
in common with other condominiums,community associations,or planned
developments which require the payment of the maintenance and expenses
of such facilities,directly or indirectly,by the unit owners.The description
shall include,but not be limited to,the following:
(a)Each building and facility committed to be built and a summary
description of the structural integrity of each building for which reserves are
required pursuant to s.718.112(2)(g).
(b)Facilities not committed to be built except under certain conditions,
and a statement of those conditions or contingencies.
(c)As to each facility committed to be built,or which will be committed to
be built upon the happening of one of the conditions in paragraph (b),a
statement of whether it will be owned by the unit owners having the use
thereof or by an association or other entity which will be controlled by them,
or others,and the location in the exhibits of the lease or other document
providing for use of those facilities.
(d)The year in which each facility will be available for use by the unit
owners or,in the alternative,the maximum number of unit owners in the
project at the time each of all of the facilities is committed to be completed.
(e)A general description of the items of personal property,and the
approximate number of each item of personal property,that the developer is
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committing to furnish for each room or other facility or,in the alternative,a
representation as to the minimum amount of expenditure that will be made
to purchase the personal property for the facility.
(f)If there are leases,a description thereof,including the length of the
term,the rent payable,and a description of any option to purchase.
Descriptions shall include location,areas,capacities,numbers,volumes,or
sizes and may be stated as approximations or minimums.
(8)Recreation lease or associated club membership:
(a)If any recreational facilities or other facilities offered by the developer
and available to,or to be used by,unit owners are to be leased or have club
membership associated,the following statement in conspicuous type shall be
included:“THERE IS A RECREATIONAL FACILITIES LEASE ASSO-
CIATED WITH THIS CONDOMINIUM;or,THERE IS A CLUB MEMBER-
SHIP ASSOCIATED WITH THIS CONDOMINIUM.”There shall be a
reference to the location in the disclosure materials where the recreation
lease or club membership is described in detail.
(b)If it is mandatory that unit owners pay a fee,rent,dues,or other
charges under a recreational facilities lease or club membership for the use
of facilities,there shall be in conspicuous type the applicable statement:
1.MEMBERSHIP IN THE RECREATIONAL FACILITIES CLUB IS
MANDATORY FOR UNIT OWNERS;or
2.UNIT OWNERS ARE REQUIRED,AS A CONDITION OF OWNER-
SHIP,TO BE LESSEES UNDER THE RECREATIONAL FACILITIES
LEASE;or
3.UNIT OWNERS ARE REQUIRED TO PAY THEIR SHARE OF THE
COSTS AND EXPENSES OF MAINTENANCE,MANAGEMENT,UP-
KEEP,REPLACEMENT,RENT,AND FEES UNDER THE RECREA-
TIONAL FACILITIES LEASE (OR THE OTHER INSTRUMENTS PRO-
VIDING THE FACILITIES);or
4.A similar statement of the nature of the organization or the manner in
which the use rights are created,and that unit owners are required to pay.
Immediately following the applicable statement,the location in the
disclosure materials where the development is described in detail shall be
stated.
(c)If the developer,or any other person other than the unit owners and
other persons having use rights in the facilities,reserves,or is entitled to
receive,any rent,fee,or other payment for the use of the facilities,then there
shall be the following statement in conspicuous type:“THE UNIT OWNERS
OR THE ASSOCIATION(S)MUST PAY RENT OR LAND USE FEES FOR
RECREATIONAL OR OTHER COMMONLY USED FACILITIES.”
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Immediately following this statement,the location in the disclosure
materials where the rent or land use fees are described in detail shall be
stated.
(d)If,in any recreation format,whether leasehold,club,or other,any
person other than the association has the right to a lien on the units to secure
the payment of assessments,rent,or other exactions,there shall appear a
statement in conspicuous type in substantially the following form:
1.THERE IS A LIEN OR LIEN RIGHT AGAINST EACH UNIT TO
SECURE THE PAYMENT OF RENT AND OTHER EXACTIONS UNDER
THE RECREATION LEASE.THE UNIT OWNER’S FAILURE TO MAKE
THESE PAYMENTS MAY RESULT IN FORECLOSURE OF THE LIEN;or
2.THERE IS A LIEN OR LIEN RIGHT AGAINST EACH UNIT TO
SECURE THE PAYMENT OF ASSESSMENTS OR OTHER EXACTIONS
COMING DUE FOR THE USE,MAINTENANCE,UPKEEP,OR REPAIR
OF THE RECREATIONAL OR COMMONLY USED FACILITIES.THE
UNIT OWNER’S FAILURE TO MAKE THESE PAYMENTS MAY RESULT
IN FORECLOSURE OF THE LIEN.
Immediately following the applicable statement,the location in the
disclosure materials where the lien or lien right is described in detail
shall be stated.
(9)If the developer or any other person has the right to increase or add to
the recreational facilities at any time after the establishment of the
condominium whose unit owners have use rights therein,without the
consent of the unit owners or associations being required,there shall appear
a statement in conspicuous type in substantially the following form:
“RECREATIONAL FACILITIES MAY BE EXPANDED OR ADDED WITH-
OUT CONSENT OF UNIT OWNERS OR THE ASSOCIATION(S).”Im-
mediately following this statement,the location in the disclosure materials
where such reserved rights are described shall be stated.
(10)A statement of whether the developer’s plan includes a program of
leasing units rather than selling them,or leasing units and selling them
subject to such leases.If so,there shall be a description of the plan,including
the number and identification of the units and the provisions and term of the
proposed leases,and a statement in boldfaced type that:“THE UNITS MAY
BE TRANSFERRED SUBJECT TO A LEASE.”
(11)The arrangements for management of the association and main-
tenance and operation of the condominium property and of other property
that will serve the unit owners of the condominium property,and a
description of the management contract and all other contracts for these
purposes having a term in excess of 1 year,including the following:
(a)The names of contracting parties.
(b)The term of the contract.
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(c)The nature of the services included.
(d)The compensation,stated on a monthly and annual basis,and
provisions for increases in the compensation.
(e)A reference to the volumes and pages of the condominium documents
and of the exhibits containing copies of such contracts.
Copies of all described contracts shall be attached as exhibits.If there is a
contract for the management of the condominium property,then a statement
in conspicuous type in substantially the following form shall appear,
identifying the proposed or existing contract manager:“THERE IS (IS TO
BE)A CONTRACT FOR THE MANAGEMENT OF THE CONDOMINIUM
PROPERTY WITH (NAME OF THE CONTRACT MANAGER).”Immedi-
ately following this statement,the location in the disclosure materials of the
contract for management of the condominium property shall be stated.
(12)If the developer or any other person or persons other than the unit
owners has the right to retain control of the board of administration of the
association for a period of time which can exceed 1 year after the closing of
the sale of a majority of the units in that condominium to persons other than
successors or alternate developers,then a statement in conspicuous type in
substantially the following form shall be included:“THE DEVELOPER (OR
OTHER PERSON)HAS THE RIGHT TO RETAIN CONTROL OF THE
ASSOCIATION AFTER A MAJORITY OF THE UNITS HAVE BEEN
SOLD.”Immediately following this statement,the location in the disclosure
materials where this right to control is described in detail shall be stated.
(13)If there are any restrictions upon the sale,transfer,conveyance,or
leasing of a unit,then a statement in conspicuous type in substantially the
following form shall be included:“THE SALE,LEASE,OR TRANSFER OF
UNITS IS RESTRICTED OR CONTROLLED.”Immediately following this
statement,the location in the disclosure materials where the restriction,
limitation,or control on the sale,lease,or transfer of units is described in
detail shall be stated.
(14)If the condominium is part of a phase project,the following
information shall be stated:
(a)A statement in conspicuous type in substantially the following form:
“THIS IS A PHASE CONDOMINIUM.ADDITIONAL LAND AND UNITS
MAY BE ADDED TO THIS CONDOMINIUM.”Immediately following this
statement,the location in the disclosure materials where the phasing is
described shall be stated.
(b)A summary of the provisions of the declaration which provide for the
phasing.
(c)A statement as to whether or not residential buildings and units
which are added to the condominium may be substantially different from the
residential buildings and units originally in the condominium.If the added
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residential buildings and units may be substantially different,there shall be
a general description of the extent to which such added residential buildings
and units may differ,and a statement in conspicuous type in substantially
the following form shall be included:“BUILDINGS AND UNITS WHICH
ARE ADDED TO THE CONDOMINIUM MAY BE SUBSTANTIALLY
DIFFERENT FROM THE OTHER BUILDINGS AND UNITS IN THE
CONDOMINIUM.”Immediately following this statement,the location in
the disclosure materials where the extent to which added residential
buildings and units may substantially differ is described shall be stated.
(d)A statement of the maximum number of buildings containing units,
the maximum and minimum numbers of units in each building,the
maximum number of units,and the minimum and maximum square footage
of the units that may be contained within each parcel of land which may be
added to the condominium.
(15)If a condominium created on or after July 1,2000,is or may become
part of a multicondominium,the following information must be provided:
(a)A statement in conspicuous type in substantially the following form:
“THIS CONDOMINIUM IS (MAY BE)PART OF A MULTICONDOMI-
NIUM DEVELOPMENT IN WHICH OTHER CONDOMINIUMS WILL
(MAY)BE OPERATED BY THE SAME ASSOCIATION.”Immediately
following this statement,the location in the prospectus or offering circular
and its exhibits where the multicondominium aspects of the offering are
described must be stated.
(b)A summary of the provisions in the declaration,articles of incorpora-
tion,and bylaws which establish and provide for the operation of the
multicondominium,including a statement as to whether unit owners in the
condominium will have the right to use recreational or other facilities
located or planned to be located in other condominiums operated by the same
association,and the manner of sharing the common expenses related to such
facilities.
(c)A statement of the minimum and maximum number of condomini-
ums,and the minimum and maximum number of units in each of those
condominiums,which will or may be operated by the association,and the
latest date by which the exact number will be finally determined.
(d)A statement as to whether any of the condominiums in the multi-
condominium may include units intended to be used for nonresidential
purposes and the purpose or purposes permitted for such use.
(e)A general description of the location and approximate acreage of any
land on which any additional condominiums to be operated by the
association may be located.
(16)If the condominium is created by conversion of existing improve-
ments,the following information shall be stated:
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(a)The information required by s.718.616.
(b)A caveat that there are no express warranties unless they are stated
in writing by the developer.
(17)A summary of the restrictions,if any,to be imposed on units
concerning the use of any of the condominium property,including state-
ments as to whether there are restrictions upon children and pets,and
reference to the volumes and pages of the condominium documents where
such restrictions are found,or if such restrictions are contained elsewhere,
then a copy of the documents containing the restrictions shall be attached as
an exhibit.
(18)If there is any land that is offered by the developer for use by the
unit owners and that is neither owned by them nor leased to them,the
association,or any entity controlled by unit owners and other persons having
the use rights to such land,a statement shall be made as to how such land
will serve the condominium.If any part of such land will serve the
condominium,the statement shall describe the land and the nature and
term of service,and the declaration or other instrument creating such
servitude shall be included as an exhibit.
(19)The manner in which utility and other services,including,but not
limited to,sewage and waste disposal,water supply,and storm drainage,
will be provided and the person or entity furnishing them.
(20)An explanation of the manner in which the apportionment of
common expenses and ownership of the common elements has been
determined.
(21)An estimated operating budget for the condominium and the
association,and a schedule of the unit owner’s expenses shall be attached
as an exhibit and shall contain the following information:
(a)The estimated monthly and annual expenses of the condominium and
the association that are collected from unit owners by assessments.
(b)The estimated monthly and annual expenses of each unit owner for a
unit,other than common expenses paid by all unit owners,payable by the
unit owner to persons or entities other than the association,as well as to the
association,including fees assessed pursuant to s.718.113(1)for main-
tenance of limited common elements where such costs are shared only by
those entitled to use the limited common element,and the total estimated
monthly and annual expense.There may be excluded from this estimate
expenses which are not provided for or contemplated by the condominium
documents,including,but not limited to,the costs of private telephone;
maintenance of the interior of condominium units,which is not the
obligation of the association;maid or janitorial services privately contracted
for by the unit owners;utility bills billed directly to each unit owner for
utility services to his or her unit;insurance premiums other than those
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incurred for policies obtained by the condominium;and similar personal
expenses of the unit owner.A unit owner’s estimated payments for
assessments shall also be stated in the estimated amounts for the times
when they will be due.
(c)The estimated items of expenses of the condominium and the
association,except as excluded under paragraph (b),including,but not
limited to,the following items,which shall be stated as an association
expense collectible by assessments or as unit owners’expenses payable to
persons other than the association:
1.Expenses for the association and condominium:
a.Administration of the association.
b.Management fees.
c.Maintenance.
d.Rent for recreational and other commonly used facilities.
e.Taxes upon association property.
f.Taxes upon leased areas.
g.Insurance.
h.Security provisions.
i.Other expenses.
j.Operating capital.
k.Reserves for all applicable items referenced in s.718.112(2)(g).
l.Fees payable to the division.
2.Expenses for a unit owner:
a.Rent for the unit,if subject to a lease.
b.Rent payable by the unit owner directly to the lessor or agent under
any recreational lease or lease for the use of commonly used facilities,which
use and payment is a mandatory condition of ownership and is not included
in the common expense or assessments for common maintenance paid by the
unit owners to the association.
(d)The following statement in conspicuous type:
THE BUDGET CONTAINED IN THIS OFFERING CIRCULAR HAS
BEEN PREPARED IN ACCORDANCE WITH THE CONDOMINIUM
ACT AND IS A GOOD FAITH ESTIMATE ONLY AND REPRESENTS
AN APPROXIMATION OF FUTURE EXPENSES BASED ON FACTS
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AND CIRCUMSTANCES EXISTING AT THE TIME OF ITS PRE-
PARATION.ACTUAL COSTS OF SUCH ITEMS MAY EXCEED THE
ESTIMATED COSTS.SUCH CHANGES IN COST DO NOT CONSTI-
TUTE MATERIAL ADVERSE CHANGES IN THE OFFERING.
(e)Each budget for an association prepared by a developer consistent
with this subsection shall be prepared in good faith and shall reflect accurate
estimated amounts for the required items in paragraph (c)at the time of the
filing of the offering circular with the division,and subsequent increased
amounts of any item included in the association’s estimated budget that are
beyond the control of the developer shall not be considered an amendment
that would give rise to rescission rights set forth in s.718.503(1)(a)or (b),nor
shall such increases modify,void,or otherwise affect any guarantee of the
developer contained in the offering circular or any purchase contract.It is
the intent of this paragraph to clarify existing law.
(f)The estimated amounts shall be stated for a period of at least 12
months and may distinguish between the period prior to the time unit
owners other than the developer elect a majority of the board of adminis-
tration and the period after that date.
(22)A schedule of estimated closing expenses to be paid by a buyer or
lessee of a unit and a statement of whether title opinion or title insurance
policy is available to the buyer and,if so,at whose expense.
(23)The identity of the developer and the chief operating officer or
principal directing the creation and sale of the condominium and a
statement of its and his or her experience in this field.
(24)Copies of the following,to the extent they are applicable,shall be
included as exhibits:
(a)The declaration of condominium,or the proposed declaration if the
declaration has not been recorded.
(b)The articles of incorporation creating the association.
(c)The bylaws of the association.
(d)The ground lease or other underlying lease of the condominium.
(e)The management agreement and all maintenance and other con-
tracts for management of the association and operation of the condominium
and facilities used by the unit owners having a service term in excess of 1
year.
(f)The estimated operating budget for the condominium,the required
schedule of unit owners’expenses,and the association’s most recent
structural integrity reserve study or a statement that the association has
not completed a structural integrity reserve study.
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(g)A copy of the floor plan of the unit and the plot plan showing the
location of the residential buildings and the recreation and other common
areas.
(h)The lease of recreational and other facilities that will be used only by
unit owners of the subject condominium.
(i)The lease of facilities used by owners and others.
(j)The form of unit lease,if the offer is of a leasehold.
(k)A declaration of servitude of properties serving the condominium but
not owned by unit owners or leased to them or the association.
(l)The statement of condition of the existing building or buildings,if the
offering is of units in an operation being converted to condominium
ownership.
(m)The statement of inspection for termite damage and treatment of the
existing improvements,if the condominium is a conversion.
(n)The form of agreement for sale or lease of units.
(o)A copy of the agreement for escrow of payments made to the developer
prior to closing.
(p)A copy of the documents containing any restrictions on use of the
property required by subsection (17).
(q)A copy of the inspector-prepared summary of the milestone inspection
report as described in ss.553.899 and 718.301(4)(p),as applicable.
(25)Any prospectus or offering circular complying,prior to the effective
date of this act,with the provisions of former ss.711.69 and 711.802 may
continue to be used without amendment or may be amended to comply with
this chapter.
(26)A brief narrative description of the location and effect of all existing
and intended easements located or to be located on the condominium
property other than those described in the declaration.
(27)If the developer is required by state or local authorities to obtain
acceptance or approval of any dock or marina facilities intended to serve the
condominium,a copy of any such acceptance or approval acquired by the
time of filing with the division under s.718.502(1)or a statement that such
acceptance or approval has not been acquired or received.
(28)Evidence demonstrating that the developer has an ownership,
leasehold,or contractual interest in the land upon which the condominium
is to be developed.
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Section 25.Paragraph (k)of subsection (1)of section 719.106,Florida
Statutes,is amended to read:
719.106 Bylaws;cooperative ownership.—
(1)MANDATORY PROVISIONS.—The bylaws or other cooperative
documents shall provide for the following,and if they do not,they shall
be deemed to include the following:
(k)Structural integrity reserve study.—
1.A residential cooperative association must have a structural integrity
reserve study completed at least every 10 years for each building on the
cooperative property that is three stories or higher in height,as determined
by the Florida Building Code,that includes,at a minimum,a study of the
following items as related to the structural integrity and safety of the
building:
a.Roof.
b.Structure,including load-bearing walls and other primary structural
members and primary structural systems as those terms are defined in s.
627.706.
c.Fireproofing and fire protection systems.
d.Plumbing.
e.Electrical systems.
f.Waterproofing and exterior painting.
g.Windows and exterior doors.
h.Any other item that has a deferred maintenance expense or replace-
ment cost that exceeds $10,000 and the failure to replace or maintain such
item negatively affects the items listed in sub-subparagraphs a.-g.,as
determined by the visual inspection portion of the structural integrity
reserve study.
2.A structural integrity reserve study is based on a visual inspection of
the cooperative property.A structural integrity reserve study may be
performed by any person qualified to perform such study.However,the
visual inspection portion of the structural integrity reserve study must be
performed or verified by an engineer licensed under chapter 471,an
architect licensed under chapter 481,or a person certified as a reserve
specialist or professional reserve analyst by the Community Associations
Institute or the Association of Professional Reserve Analysts.
3.At a minimum,a structural integrity reserve study must identify each
item of the cooperative property being visually inspected,state the
estimated remaining useful life and the estimated replacement cost or
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deferred maintenance expense of each item of the cooperative property being
visually inspected,and provide a reserve funding schedule with a recom-
mended annual reserve amount that achieves the estimated replacement
cost or deferred maintenance expense of each item of cooperative property
being visually inspected by the end of the estimated remaining useful life of
the item.The structural integrity reserve study may recommend that
reserves do not need to be maintained for any item for which an estimate of
useful life and an estimate of replacement cost cannot be determined,or the
study may recommend a deferred maintenance expense amount for such
item.The structural integrity reserve study may recommend that reserves
for replacement costs do not need to be maintained for any item with an
estimated remaining useful life of greater than 25 years,but the study may
recommend a deferred maintenance expense amount for such item.
4.This paragraph does not apply to buildings less than three stories in
height;single-family,two-family,or three-family dwellings with three or
fewer habitable stories above ground;any portion or component of a building
that has not been submitted to the cooperative form of ownership;or any
portion or component of a building that is maintained by a party other than
the association.
5.Before a developer turns over control of an association to unit owners
other than the developer,the developer must have a turnover inspection
report in compliance with s.719.301(4)(p)and (q)for each building on the
cooperative property that is three stories or higher in height.
6.Associations existing on or before July 1,2022,which are controlled by
unit owners other than the developer,must have a structural integrity
reserve study completed by December 31,2024,for each building on the
cooperative property that is three stories or higher in height.An association
that is required to complete a milestone inspection on or before December 31,
2026,in accordance with s.553.899 may complete the structural integrity
reserve study simultaneously with the milestone inspection.In no event may
the structural integrity reserve study be completed after December 31,2026.
7.If the milestone inspection required by s.553.899,or an inspection
completed for a similar local requirement,was performed within the past 5
years and meets the requirements of this paragraph,such inspection may be
used in place of the visual inspection portion of the structural integrity
reserve study.
8.If the officers or directors of an association willfully and knowingly fail
to complete a structural integrity reserve study pursuant to this paragraph,
such failure is a breach of an officer’s and director’s fiduciary relationship to
the unit owners under s.719.104(9).
9.Within 45 days after receiving the structural integrity reserve study,
the association must distribute a copy of the study to each unit owner or
deliver to each unit owner a notice that the completed study is available for
inspection and copying upon a written request.Distribution of a copy of the
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study or notice must be made by United States mail or personal delivery at
the mailing address,property address,or any other address of the owner
provided to fulfill the association’s notice requirements under this chapter,
or by electronic transmission to the e-mail address or facsimile number
provided to fulfill the association’s notice requirements to unit owners who
previously consented to receive notice by electronic transmission.
10.Within 45 days after receiving the structural integrity reserve study,
the association must provide the division with a statement indicating that
the study was completed and that the association provided or made available
such study to each unit owner in accordance with this section.Such
statement must be provided to the division in the manner established by
the division using a form posted on the division’s website.
Section 26.Section 719.129,Florida Statutes,is amended to read:
719.129 Electronic voting.—The association may conduct elections and
other unit owner votes through an Internet-based online voting system if a
unit owner consents,electronically or in writing,to online voting and if the
following requirements are met:
(1)The association provides each unit owner with:
(a)A method to authenticate the unit owner’s identity to the online
voting system.
(b)For elections of the board,a method to transmit an electronic ballot to
the online voting system that ensures the secrecy and integrity of each
ballot.
(c)A method to confirm,at least 14 days before the voting deadline,that
the unit owner’s electronic device can successfully communicate with the
online voting system.
(2)The association uses an online voting system that is:
(a)Able to authenticate the unit owner’s identity.
(b)Able to authenticate the validity of each electronic vote to ensure that
the vote is not altered in transit.
(c)Able to transmit a receipt from the online voting system to each unit
owner who casts an electronic vote.
(d)For elections of the board of administration,able to permanently
separate any authentication or identifying information from the electronic
election ballot,rendering it impossible to tie an election ballot to a specific
unit owner.
(e)Able to store and keep electronic votes accessible to election officials
for recount,inspection,and review purposes.
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(3)A unit owner voting electronically pursuant to this section shall be
counted as being in attendance at the meeting for purposes of determining a
quorum.A substantive vote of the unit owners may not be taken on any issue
other than the issues specifically identified in the electronic vote,when a
quorum is established based on unit owners voting electronically pursuant
to this section.
(4)This section applies to an association that provides for and authorizes
an online voting system pursuant to this section by a board resolution.If the
board authorizes online voting,the board must honor a unit owner’s request
to vote electronically at all subsequent elections,unless such unit owner opts
out of online voting.The board resolution must provide that unit owners
receive notice of the opportunity to vote through an online voting system,
must establish reasonable procedures and deadlines for unit owners to
consent,electronically or in writing,to online voting,and must establish
reasonable procedures and deadlines for unit owners to opt out of online
voting after giving consent.Written notice of a meeting at which the
resolution will be considered must be mailed,delivered,or electronically
transmitted to the unit owners and posted conspicuously on the condomin-
ium property or association property at least 14 days before the meeting.
Evidence of compliance with the 14-day notice requirement must be made by
an affidavit executed by the person providing the notice and filed with the
official records of the association.
(5)A unit owner’s consent to online voting is valid until the unit owner
opts out of online voting pursuant to the procedures established by the board
of administration pursuant to subsection (4).
(6)This section may apply to any matter that requires a vote of the unit
owners who are not members of a timeshare cooperative association.
Section 27.Paragraph (p)of subsection (4)of section 719.301,Florida
Statutes,is amended to read:
719.301 Transfer of association control.—
(4)When unit owners other than the developer elect a majority of the
members of the board of administration of an association,the developer shall
relinquish control of the association,and the unit owners shall accept
control.Simultaneously,or for the purpose of paragraph (c)not more than 90
days thereafter,the developer shall deliver to the association,at the
developer’s expense,all property of the unit owners and of the association
held or controlled by the developer,including,but not limited to,the
following items,if applicable,as to each cooperative operated by the
association:
(p)Notwithstanding when the certificate of occupancy was issued or the
height of the building,a turnover inspection report included in the official
records,under seal of an architect or engineer authorized to practice in this
state or a person certified as a reserve specialist or professional reserve
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analyst by the Community Associations Institute or the Association of
Professional Reserve Analysts,consisting of a structural integrity reserve
study attesting to required maintenance,condition,useful life,and
replacement costs of the following applicable cooperative property:
1.Roof.
2.Structure,including load-bearing walls and primary structural
members and primary structural systems as those terms are defined in s.
627.706.
3.Fireproofing and fire protection systems.
4.Plumbing.
5.Electrical systems.
6.Waterproofing and exterior painting.
7.Windows and exterior doors.
Section 28.The Division of Florida Condominiums,Timeshares,and
Mobile Homes of the Department of Business and Professional Regulation
shall complete a review of the website or application requirements for official
records under s.718.111(12)(g),Florida Statutes,and make recommenda-
tions regarding any additional official records of a condominium association
that should be included in the record maintenance requirements in the
statute.The division shall submit to the Governor,the President of the
Senate,and the Speaker of the House of Representatives the findings of its
review by January 1,2025.
Section 29.By January 1,2025,the Division of Florida Condominiums,
Timeshares,and Mobile Homes of the Department of Business and
Professional Regulation shall create a database on its website of the
associations that have reported the completion of the structural integrity
reserve study under ss.718.112(2)(g)and 719.106(1)(k),Florida Statutes.
Section 30.For the 2024-2025 fiscal year,the sums of $6,122,390 in
recurring and $1,293,879 in nonrecurring funds from the General Revenue
Fund are appropriated to the Department of Business and Professional
Regulation,and 65 full-time equivalent positions with associated salary rate
of 3,180,319 are authorized,for the purpose of implementing this act.
Section 31.The amendments made to ss.718.103(14)and 718.202(3)and
s.718.407(1),(2),and (6),Florida Statutes,as created by this act,are
intended to clarify existing law and shall apply retroactively.However,such
amendments do not revive or reinstate any right or interest that has been
fully and finally adjudicated as invalid before October 1,2024.
Section 32.The Florida Building Commission shall perform a study on
standards to prevent water intrusion through the tracks of sliding glass
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doors,including the consideration of devices designed to further prevent
such water intrusion.By December 1,2024,the Florida Building Commis-
sion must provide a written report of its recommendations to the Governor,
the President of the Senate,the Speaker of the House of Representatives,
and the chairs of the legislative appropriations committees and appropriate
substantive committees with jurisdiction over chapter 718,Florida Statutes.
Section 33.Except as otherwise expressly provided in this act,this act
shall take effect July 1,2024.
Approved by the Governor June 14,2024.
Filed in Office Secretary of State June 14,2024.
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