Bill Text: FL S0004 | 2022 | 4th Special Session | Enrolled
Bill Title: Building Safety
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2022-06-29 - Chapter No. 2022-269 [S0004 Detail]
Download: Florida-2022-S0004-Enrolled.html
ENROLLED 2022 Legislature SB 4-D, 1st Engrossed 20224Der 1 2 An act relating to building safety; amending s. 3 553.844, F.S.; providing that the entire roofing 4 system or roof section of certain existing buildings 5 or structures does not have to be repaired, replaced, 6 or recovered in accordance with the Florida Building 7 Code under certain circumstances; requiring the 8 Florida Building Commission to adopt rules and 9 incorporate the rules into the building code; 10 prohibiting local governments from adopting certain 11 administrative or technical amendments to the building 12 code; amending s. 468.4334, F.S.; requiring community 13 association managers and community association 14 management firms to comply with a specified provision 15 under certain circumstances; creating s. 553.899, 16 F.S.; providing legislative findings; defining the 17 terms “milestone inspection” and “substantial 18 structural deterioration”; specifying that the purpose 19 of a milestone inspection is not to determine 20 compliance with the Florida Building Code or the 21 firesafety code; requiring condominium associations 22 and cooperative associations to have milestone 23 inspections performed on certain buildings at 24 specified times; specifying that such associations are 25 responsible for costs relating to milestone 26 inspections; providing applicability; requiring that 27 initial milestone inspections for certain buildings be 28 performed before a specified date; requiring local 29 enforcement agencies to provide certain written notice 30 to condominium associations and cooperative 31 associations; requiring condominium associations and 32 cooperative associations to complete phase one of a 33 milestone inspection within a specified timeframe; 34 specifying that milestone inspections consist of two 35 phases; providing requirements for each phase of a 36 milestone inspection; requiring architects and 37 engineers performing a milestone inspection to submit 38 a sealed copy of the inspection report and a summary 39 that includes specified findings and recommendations 40 to certain entities; providing requirements for such 41 inspection reports; requiring condominium associations 42 and cooperative associations to distribute and post a 43 copy of each inspection report and summary in a 44 specified manner; authorizing local enforcement 45 agencies to prescribe timelines and penalties relating 46 to milestone inspections; authorizing boards of county 47 commissioners to adopt certain ordinances relating to 48 repairs for substantial structural deterioration; 49 requiring local enforcement agencies to review and 50 determine if a building is unsafe for human occupancy 51 under certain circumstances; requiring the Florida 52 Building Commission to review milestone inspection 53 requirements and make any recommendations to the 54 Governor and the Legislature by a specified date; 55 requiring the commission to consult with the State 56 Fire Marshal to provide certain recommendations to the 57 Governor and the Legislature by a specified date; 58 amending s. 718.103, F.S.; providing a definition; 59 amending s. 718.111, F.S.; revising the types of 60 records that constitute the official records of a 61 condominium association; requiring associations to 62 maintain specified records for a certain timeframe; 63 specifying that renters of a unit have the right to 64 inspect and copy certain reports; requiring 65 associations to post a copy of certain reports and 66 reserve studies on the association’s website; amending 67 s. 718.112, F.S.; specifying the method for 68 determining reserve amounts; prohibiting certain 69 members and associations from waiving or reducing 70 reserves for certain items after a specified date; 71 requiring certain associations to receive approval 72 before waiving or reducing reserves for certain items; 73 prohibiting certain associations from using reserve 74 funds, or any interest accruing thereon, for certain 75 purposes after a specified date; requiring certain 76 associations to have a structural integrity reserve 77 study completed at specified intervals and for certain 78 buildings by a specified date; providing requirements 79 for such study; conforming provisions to changes made 80 by the act; restating requirements for associations 81 relating to milestone inspections; specifying that if 82 the officers or directors of a condominium association 83 fail to have a milestone inspection performed, such 84 failure is a breach of their fiduciary relationship to 85 the unit owners; amending ss. 718.116 and 718.117, 86 F.S.; conforming cross-references; amending s. 87 718.301, F.S.; revising reporting requirements 88 relating to the transfer of association control; 89 amending s. 718.501, F.S.; revising the Division of 90 Florida Condominiums, Timeshares, and Mobile Homes’ 91 authority relating to enforcement and compliance; 92 requiring certain associations to provide certain 93 information and updates to the division by a specified 94 date and within a specified timeframe; requiring the 95 division to compile a list with certain information 96 and post such list on its website; amending s. 97 718.503, F.S.; revising the documents that must be 98 delivered to a prospective buyer or lessee of a 99 residential unit; revising requirements for 100 nondeveloper disclosures; amending s. 718.504, F.S.; 101 revising requirements for prospectuses and offering 102 circulars; amending s. 719.103, F.S.; providing a 103 definition; amending s. 719.104, F.S.; revising the 104 types of records that constitute the official records 105 of a cooperative association; requiring associations 106 to maintain specified records for a certain timeframe; 107 specifying that renters of a unit have the right to 108 inspect and copy certain reports; amending s. 719.106, 109 F.S.; specifying the method for determining reserve 110 amounts; prohibiting certain members and associations 111 from waiving or reducing reserves for certain items 112 after a specified date; requiring certain associations 113 to receive approval before waiving or reducing 114 reserves for certain items; prohibiting certain 115 associations from using reserve funds, or any interest 116 accruing thereon, for certain purposes after a 117 specified date; requiring certain associations to have 118 a structural integrity reserve study completed at 119 specified intervals and for certain buildings by a 120 specified date; providing requirements for such study; 121 conforming provisions to changes made by the act; 122 restating requirements for associations relating to 123 milestone inspections; specifying that if the officers 124 or directors of a cooperative association fail to have 125 a milestone inspection performed, such failure is a 126 breach of their fiduciary relationship to the unit 127 owners; amending s. 719.301, F.S.; requiring 128 developers to deliver a turnover inspection report 129 relating to cooperative property under certain 130 circumstances; amending s. 719.501, F.S.; revising the 131 division’s authority relating to enforcement and 132 compliance; requiring certain associations to provide 133 certain information and updates to the division by a 134 specified date and within a specified time; requiring 135 the division to compile a list with certain 136 information and post such list on its website; 137 amending s. 719.503, F.S.; revising the documents that 138 must be delivered to a prospective buyer or lessee of 139 a residential unit; revising nondeveloper disclosure 140 requirements; amending s. 719.504, F.S.; revising 141 requirements for prospectuses and offering circulars; 142 amending ss. 720.303, 720.311, and 721.15, F.S.; 143 conforming cross-references; providing an effective 144 date. 145 146 Be It Enacted by the Legislature of the State of Florida: 147 148 Section 1. Subsection (5) is added to section 553.844, 149 Florida Statutes, to read: 150 553.844 Windstorm loss mitigation; requirements for roofs 151 and opening protection.— 152 (5) Notwithstanding any provision in the Florida Building 153 Code to the contrary, if an existing roofing system or roof 154 section was built, repaired, or replaced in compliance with the 155 requirements of the 2007 Florida Building Code, or any 156 subsequent editions of the Florida Building Code, and 25 percent 157 or more of such roofing system or roof section is being 158 repaired, replaced, or recovered, only the repaired, replaced, 159 or recovered portion is required to be constructed in accordance 160 with the Florida Building Code in effect, as applicable. The 161 Florida Building Commission shall adopt this exception by rule 162 and incorporate it in the Florida Building Code. Notwithstanding 163 s. 553.73(4), a local government may not adopt by ordinance an 164 administrative or technical amendment to this exception. 165 Section 2. Subsection (1) of section 468.4334, Florida 166 Statutes, is amended to read: 167 468.4334 Professional practice standards; liability.— 168 (1)(a) A community association manager or a community 169 association management firm is deemed to act as agent on behalf 170 of a community association as principal within the scope of 171 authority authorized by a written contract or under this 172 chapter. A community association manager and a community 173 association management firm shall discharge duties performed on 174 behalf of the association as authorized by this chapter loyally, 175 skillfully, and diligently; dealing honestly and fairly; in good 176 faith; with care and full disclosure to the community 177 association; accounting for all funds; and not charging 178 unreasonable or excessive fees. 179 (b) If a community association manager or a community 180 association management firm has a contract with a community 181 association that has a building on the association’s property 182 that is subject to s. 553.899, the community association manager 183 or the community association management firm must comply with 184 that section as directed by the board. 185 Section 3. Section 553.899, Florida Statutes, is created to 186 read: 187 553.899 Mandatory structural inspections for condominium 188 and cooperative buildings.— 189 (1) The Legislature finds that maintaining the structural 190 integrity of a building throughout its service life is of 191 paramount importance in order to ensure that buildings are 192 structurally sound so as to not pose a threat to the public 193 health, safety, or welfare. As such, the Legislature finds that 194 the imposition of a statewide structural inspection program for 195 aging condominium and cooperative buildings in this state is 196 necessary to ensure that such buildings are safe for continued 197 use. 198 (2) As used in this section, the terms: 199 (a) “Milestone inspection” means a structural inspection of 200 a building, including an inspection of load-bearing walls and 201 the primary structural members and primary structural systems as 202 those terms are defined in s. 627.706, by a licensed architect 203 or engineer authorized to practice in this state for the 204 purposes of attesting to the life safety and adequacy of the 205 structural components of the building and, to the extent 206 reasonably possible, determining the general structural 207 condition of the building as it affects the safety of such 208 building, including a determination of any necessary 209 maintenance, repair, or replacement of any structural component 210 of the building. The purpose of such inspection is not to 211 determine if the condition of an existing building is in 212 compliance with the Florida Building Code or the firesafety 213 code. 214 (b) “Substantial structural deterioration” means 215 substantial structural distress that negatively affects a 216 building’s general structural condition and integrity. The term 217 does not include surface imperfections such as cracks, 218 distortion, sagging, deflections, misalignment, signs of 219 leakage, or peeling of finishes unless the licensed engineer or 220 architect performing the phase one or phase two inspection 221 determines that such surface imperfections are a sign of 222 substantial structural deterioration. 223 (3) A condominium association under chapter 718 and a 224 cooperative association under chapter 719 must have a milestone 225 inspection performed for each building that is three stories or 226 more in height by December 31 of the year in which the building 227 reaches 30 years of age, based on the date the certificate of 228 occupancy for the building was issued, and every 10 years 229 thereafter. If the building is located within 3 miles of a 230 coastline as defined in s. 376.031, the condominium association 231 or cooperative association must have a milestone inspection 232 performed by December 31 of the year in which the building 233 reaches 25 years of age, based on the date the certificate of 234 occupancy for the building was issued, and every 10 years 235 thereafter. The condominium association or cooperative 236 association must arrange for the milestone inspection to be 237 performed and is responsible for ensuring compliance with the 238 requirements of this section. The condominium association or 239 cooperative association is responsible for all costs associated 240 with the inspection. This subsection does not apply to a single 241 family, two-family, or three-family dwelling with three or fewer 242 habitable stories above ground. 243 (4) If a milestone inspection is required under this 244 section and the building’s certificate of occupancy was issued 245 on or before July 1, 1992, the building’s initial milestone 246 inspection must be performed before December 31, 2024. If the 247 date of issuance for the certificate of occupancy is not 248 available, the date of issuance of the building’s certificate of 249 occupancy shall be the date of occupancy evidenced in any record 250 of the local building official. 251 (5) Upon determining that a building must have a milestone 252 inspection, the local enforcement agency must provide written 253 notice of such required inspection to the condominium 254 association or cooperative association by certified mail, return 255 receipt requested. 256 (6) Within 180 days after receiving the written notice 257 under subsection (5), the condominium association or cooperative 258 association must complete phase one of the milestone inspection. 259 For purposes of this section, completion of phase one of the 260 milestone inspection means the licensed engineer or architect 261 who performed the phase one inspection submitted the inspection 262 report by e-mail, United States Postal Service, or commercial 263 delivery service to the local enforcement agency. 264 (7) A milestone inspection consists of two phases: 265 (a) For phase one of the milestone inspection, a licensed 266 architect or engineer authorized to practice in this state shall 267 perform a visual examination of habitable and nonhabitable areas 268 of a building, including the major structural components of a 269 building, and provide a qualitative assessment of the structural 270 conditions of the building. If the architect or engineer finds 271 no signs of substantial structural deterioration to any building 272 components under visual examination, phase two of the 273 inspection, as provided in paragraph (b), is not required. An 274 architect or engineer who completes a phase one milestone 275 inspection shall prepare and submit an inspection report 276 pursuant to subsection (8). 277 (b) A phase two of the milestone inspection must be 278 performed if any substantial structural deterioration is 279 identified during phase one. A phase two inspection may involve 280 destructive or nondestructive testing at the inspector’s 281 direction. The inspection may be as extensive or as limited as 282 necessary to fully assess areas of structural distress in order 283 to confirm that the building is structurally sound and safe for 284 its intended use and to recommend a program for fully assessing 285 and repairing distressed and damaged portions of the building. 286 When determining testing locations, the inspector must give 287 preference to locations that are the least disruptive and most 288 easily repairable while still being representative of the 289 structure. An inspector who completes a phase two milestone 290 inspection shall prepare and submit an inspection report 291 pursuant to subsection (8). 292 (8) Upon completion of a phase one or phase two milestone 293 inspection, the architect or engineer who performed the 294 inspection must submit a sealed copy of the inspection report 295 with a separate summary of, at minimum, the material findings 296 and recommendations in the inspection report to the condominium 297 association or cooperative association, and to the building 298 official of the local government which has jurisdiction. The 299 inspection report must, at a minimum, meet all of the following 300 criteria: 301 (a) Bear the seal and signature, or the electronic 302 signature, of the licensed engineer or architect who performed 303 the inspection. 304 (b) Indicate the manner and type of inspection forming the 305 basis for the inspection report. 306 (c) Identify any substantial structural deterioration, 307 within a reasonable professional probability based on the scope 308 of the inspection, describe the extent of such deterioration, 309 and identify any recommended repairs for such deterioration. 310 (d) State whether unsafe or dangerous conditions, as those 311 terms are defined in the Florida Building Code, were observed. 312 (e) Recommend any remedial or preventive repair for any 313 items that are damaged but are not substantial structural 314 deterioration. 315 (f) Identify and describe any items requiring further 316 inspection. 317 (9) The association must distribute a copy of the 318 inspector-prepared summary of the inspection report to each 319 condominium unit owner or cooperative unit owner, regardless of 320 the findings or recommendations in the report, by United States 321 mail or personal delivery and by electronic transmission to unit 322 owners who previously consented to received notice by electronic 323 transmission; must post a copy of the inspector-prepared summary 324 in a conspicuous place on the condominium or cooperative 325 property; and must publish the full report and inspector 326 prepared summary on the association’s website, if the 327 association is required to have a website. 328 (10) A local enforcement agency may prescribe timelines and 329 penalties with respect to compliance with this section. 330 (11) A board of county commissioners may adopt an ordinance 331 requiring that a condominium or cooperative association schedule 332 or commence repairs for substantial structural deterioration 333 within a specified timeframe after the local enforcement agency 334 receives a phase two inspection report; however, such repairs 335 must be commenced within 365 days after receiving such report. 336 If an association fails to submit proof to the local enforcement 337 agency that repairs have been scheduled or have commenced for 338 substantial structural deterioration identified in a phase two 339 inspection report within the required timeframe, the local 340 enforcement agency must review and determine if the building is 341 unsafe for human occupancy. 342 (12) The Florida Building Commission shall review the 343 milestone inspection requirements under this section and make 344 recommendations, if any, to the Legislature to ensure 345 inspections are sufficient to determine the structural integrity 346 of a building. The commission must provide a written report of 347 any recommendations to the Governor, the President of the 348 Senate, and the Speaker of the House of Representatives by 349 December 31, 2022. 350 (13) The Florida Building Commission shall consult with the 351 State Fire Marshal to provide recommendations to the Legislature 352 for the adoption of comprehensive structural and life safety 353 standards for maintaining and inspecting all types of buildings 354 and structures in this state that are three stories or more in 355 height. The commission shall provide a written report of its 356 recommendations to the Governor, the President of the Senate, 357 and the Speaker of the House of Representatives by December 31, 358 2023. 359 Section 4. Subsections (25) through (30) of section 360 718.103, Florida Statutes, are renumbered as subsections (26) 361 through (31), respectively, and a new subsection (25) is added 362 to that section, to read: 363 718.103 Definitions.—As used in this chapter, the term: 364 (25) “Structural integrity reserve study” means a study of 365 the reserve funds required for future major repairs and 366 replacement of the common areas based on a visual inspection of 367 the common areas. A structural integrity reserve study may be 368 performed by any person qualified to perform such study. 369 However, the visual inspection portion of the structural 370 integrity reserve study must be performed by an engineer 371 licensed under chapter 471 or an architect licensed under 372 chapter 481. At a minimum, a structural integrity reserve study 373 must identify the common areas being visually inspected, state 374 the estimated remaining useful life and the estimated 375 replacement cost or deferred maintenance expense of the common 376 areas being visually inspected, and provide a recommended annual 377 reserve amount that achieves the estimated replacement cost or 378 deferred maintenance expense of each common area being visually 379 inspected by the end of the estimated remaining useful life of 380 each common area. 381 Section 5. Paragraph (b) of subsection (7) and paragraphs 382 (a), (c), and (g) of subsection (12) of section 718.111, Florida 383 Statutes, are amended to read: 384 718.111 The association.— 385 (7) TITLE TO PROPERTY.— 386 (b) Subject to s. 718.112(2)(o)the provisions of s.387718.112(2)(m), the association, through its board, has the 388 limited power to convey a portion of the common elements to a 389 condemning authority for the purposes of providing utility 390 easements, right-of-way expansion, or other public purposes, 391 whether negotiated or as a result of eminent domain proceedings. 392 (12) OFFICIAL RECORDS.— 393 (a) From the inception of the association, the association 394 shall maintain each of the following items, if applicable, which 395 constitutes the official records of the association: 396 1. A copy of the plans, permits, warranties, and other 397 items provided by the developer under s. 718.301(4). 398 2. A photocopy of the recorded declaration of condominium 399 of each condominium operated by the association and each 400 amendment to each declaration. 401 3. A photocopy of the recorded bylaws of the association 402 and each amendment to the bylaws. 403 4. A certified copy of the articles of incorporation of the 404 association, or other documents creating the association, and 405 each amendment thereto. 406 5. A copy of the current rules of the association. 407 6. A book or books that contain the minutes of all meetings 408 of the association, the board of administration, and the unit 409 owners. 410 7. A current roster of all unit owners and their mailing 411 addresses, unit identifications, voting certifications, and, if 412 known, telephone numbers. The association shall also maintain 413 the e-mail addresses and facsimile numbers of unit owners 414 consenting to receive notice by electronic transmission. The e 415 mail addresses and facsimile numbers are not accessible to unit 416 owners if consent to receive notice by electronic transmission 417 is not provided in accordance with sub-subparagraph (c)3.e. 418 However, the association is not liable for an inadvertent 419 disclosure of the e-mail address or facsimile number for 420 receiving electronic transmission of notices. 421 8. All current insurance policies of the association and 422 condominiums operated by the association. 423 9. A current copy of any management agreement, lease, or 424 other contract to which the association is a party or under 425 which the association or the unit owners have an obligation or 426 responsibility. 427 10. Bills of sale or transfer for all property owned by the 428 association. 429 11. Accounting records for the association and separate 430 accounting records for each condominium that the association 431 operates. Any person who knowingly or intentionally defaces or 432 destroys such records, or who knowingly or intentionally fails 433 to create or maintain such records, with the intent of causing 434 harm to the association or one or more of its members, is 435 personally subject to a civil penalty pursuant to s. 436 718.501(1)(d). The accounting records must include, but are not 437 limited to: 438 a. Accurate, itemized, and detailed records of all receipts 439 and expenditures. 440 b. A current account and a monthly, bimonthly, or quarterly 441 statement of the account for each unit designating the name of 442 the unit owner, the due date and amount of each assessment, the 443 amount paid on the account, and the balance due. 444 c. All audits, reviews, accounting statements, structural 445 integrity reserve studies, and financial reports of the 446 association or condominium. Structural integrity reserve studies 447 must be maintained for at least 15 years after the study is 448 completed. 449 d. All contracts for work to be performed. Bids for work to 450 be performed are also considered official records and must be 451 maintained by the association for at least 1 year after receipt 452 of the bid. 453 12. Ballots, sign-in sheets, voting proxies, and all other 454 papers and electronic records relating to voting by unit owners, 455 which must be maintained for 1 year from the date of the 456 election, vote, or meeting to which the document relates, 457 notwithstanding paragraph (b). 458 13. All rental records if the association is acting as 459 agent for the rental of condominium units. 460 14. A copy of the current question and answer sheet as 461 described in s. 718.504. 462 15. A copy of the inspection reportsreport asdescribed in 463 ss. 553.899 and 718.301(4)(p) and any other inspection report 464 relating to a structural or life safety inspection of 465 condominium property. Such record must be maintained by the 466 association for 15 years after receipt of the reports.467718.301(4)(p). 468 16. Bids for materials, equipment, or services. 469 17. All affirmative acknowledgments made pursuant to s. 470 718.121(4)(c). 471 18. All other written records of the association not 472 specifically included in the foregoing which are related to the 473 operation of the association. 474 (c)1. The official records of the association are open to 475 inspection by any association member or the authorized 476 representative of such member at all reasonable times. The right 477 to inspect the records includes the right to make or obtain 478 copies, at the reasonable expense, if any, of the member or 479 authorized representative of such member. A renter of a unit has 480 a right to inspect and copy only the declaration of condominium, 481andthe association’s bylaws and rules, and the inspection 482 reports described in ss. 553.899 and 718.301(4)(p). The 483 association may adopt reasonable rules regarding the frequency, 484 time, location, notice, and manner of record inspections and 485 copying but may not require a member to demonstrate any purpose 486 or state any reason for the inspection. The failure of an 487 association to provide the records within 10 working days after 488 receipt of a written request creates a rebuttable presumption 489 that the association willfully failed to comply with this 490 paragraph. A unit owner who is denied access to official records 491 is entitled to the actual damages or minimum damages for the 492 association’s willful failure to comply. Minimum damages are $50 493 per calendar day for up to 10 days, beginning on the 11th 494 working day after receipt of the written request. The failure to 495 permit inspection entitles any person prevailing in an 496 enforcement action to recover reasonable attorney fees from the 497 person in control of the records who, directly or indirectly, 498 knowingly denied access to the records. 499 2. Any person who knowingly or intentionally defaces or 500 destroys accounting records that are required by this chapter to 501 be maintained during the period for which such records are 502 required to be maintained, or who knowingly or intentionally 503 fails to create or maintain accounting records that are required 504 to be created or maintained, with the intent of causing harm to 505 the association or one or more of its members, is personally 506 subject to a civil penalty pursuant to s. 718.501(1)(d). 507 3. The association shall maintain an adequate number of 508 copies of the declaration, articles of incorporation, bylaws, 509 and rules, and all amendments to each of the foregoing, as well 510 as the question and answer sheet as described in s. 718.504 and 511 year-end financial information required under this section, on 512 the condominium property to ensure their availability to unit 513 owners and prospective purchasers, and may charge its actual 514 costs for preparing and furnishing these documents to those 515 requesting the documents. An association shall allow a member or 516 his or her authorized representative to use a portable device, 517 including a smartphone, tablet, portable scanner, or any other 518 technology capable of scanning or taking photographs, to make an 519 electronic copy of the official records in lieu of the 520 association’s providing the member or his or her authorized 521 representative with a copy of such records. The association may 522 not charge a member or his or her authorized representative for 523 the use of a portable device. Notwithstanding this paragraph, 524 the following records are not accessible to unit owners: 525 a. Any record protected by the lawyer-client privilege as 526 described in s. 90.502 and any record protected by the work 527 product privilege, including a record prepared by an association 528 attorney or prepared at the attorney’s express direction, which 529 reflects a mental impression, conclusion, litigation strategy, 530 or legal theory of the attorney or the association, and which 531 was prepared exclusively for civil or criminal litigation or for 532 adversarial administrative proceedings, or which was prepared in 533 anticipation of such litigation or proceedings until the 534 conclusion of the litigation or proceedings. 535 b. Information obtained by an association in connection 536 with the approval of the lease, sale, or other transfer of a 537 unit. 538 c. Personnel records of association or management company 539 employees, including, but not limited to, disciplinary, payroll, 540 health, and insurance records. For purposes of this sub 541 subparagraph, the term “personnel records” does not include 542 written employment agreements with an association employee or 543 management company, or budgetary or financial records that 544 indicate the compensation paid to an association employee. 545 d. Medical records of unit owners. 546 e. Social security numbers, driver license numbers, credit 547 card numbers, e-mail addresses, telephone numbers, facsimile 548 numbers, emergency contact information, addresses of a unit 549 owner other than as provided to fulfill the association’s notice 550 requirements, and other personal identifying information of any 551 person, excluding the person’s name, unit designation, mailing 552 address, property address, and any address, e-mail address, or 553 facsimile number provided to the association to fulfill the 554 association’s notice requirements. Notwithstanding the 555 restrictions in this sub-subparagraph, an association may print 556 and distribute to unit owners a directory containing the name, 557 unit address, and all telephone numbers of each unit owner. 558 However, an owner may exclude his or her telephone numbers from 559 the directory by so requesting in writing to the association. An 560 owner may consent in writing to the disclosure of other contact 561 information described in this sub-subparagraph. The association 562 is not liable for the inadvertent disclosure of information that 563 is protected under this sub-subparagraph if the information is 564 included in an official record of the association and is 565 voluntarily provided by an owner and not requested by the 566 association. 567 f. Electronic security measures that are used by the 568 association to safeguard data, including passwords. 569 g. The software and operating system used by the 570 association which allow the manipulation of data, even if the 571 owner owns a copy of the same software used by the association. 572 The data is part of the official records of the association. 573 h. All affirmative acknowledgments made pursuant to s. 574 718.121(4)(c). 575 (g)1. By January 1, 2019, an association managing a 576 condominium with 150 or more units which does not contain 577 timeshare units shall post digital copies of the documents 578 specified in subparagraph 2. on its website or make such 579 documents available through an application that can be 580 downloaded on a mobile device. 581 a. The association’s website or application must be: 582 (I) An independent website, application, or web portal 583 wholly owned and operated by the association; or 584 (II) A website, application, or web portal operated by a 585 third-party provider with whom the association owns, leases, 586 rents, or otherwise obtains the right to operate a web page, 587 subpage, web portal, collection of subpages or web portals, or 588 an application which is dedicated to the association’s 589 activities and on which required notices, records, and documents 590 may be posted or made available by the association. 591 b. The association’s website or application must be 592 accessible through the Internet and must contain a subpage, web 593 portal, or other protected electronic location that is 594 inaccessible to the general public and accessible only to unit 595 owners and employees of the association. 596 c. Upon a unit owner’s written request, the association 597 must provide the unit owner with a username and password and 598 access to the protected sections of the association’s website or 599 application which contain any notices, records, or documents 600 that must be electronically provided. 601 2. A current copy of the following documents must be posted 602 in digital format on the association’s website or application: 603 a. The recorded declaration of condominium of each 604 condominium operated by the association and each amendment to 605 each declaration. 606 b. The recorded bylaws of the association and each 607 amendment to the bylaws. 608 c. The articles of incorporation of the association, or 609 other documents creating the association, and each amendment to 610 the articles of incorporation or other documents. The copy 611 posted pursuant to this sub-subparagraph must be a copy of the 612 articles of incorporation filed with the Department of State. 613 d. The rules of the association. 614 e. A list of all executory contracts or documents to which 615 the association is a party or under which the association or the 616 unit owners have an obligation or responsibility and, after 617 bidding for the related materials, equipment, or services has 618 closed, a list of bids received by the association within the 619 past year. Summaries of bids for materials, equipment, or 620 services which exceed $500 must be maintained on the website or 621 application for 1 year. In lieu of summaries, complete copies of 622 the bids may be posted. 623 f. The annual budget required by s. 718.112(2)(f) and any 624 proposed budget to be considered at the annual meeting. 625 g. The financial report required by subsection (13) and any 626 monthly income or expense statement to be considered at a 627 meeting. 628 h. The certification of each director required by s. 629 718.112(2)(d)4.b. 630 i. All contracts or transactions between the association 631 and any director, officer, corporation, firm, or association 632 that is not an affiliated condominium association or any other 633 entity in which an association director is also a director or 634 officer and financially interested. 635 j. Any contract or document regarding a conflict of 636 interest or possible conflict of interest as provided in ss. 637 468.436(2)(b)6. and 718.3027(3). 638 k. The notice of any unit owner meeting and the agenda for 639 the meeting, as required by s. 718.112(2)(d)3., no later than 14 640 days before the meeting. The notice must be posted in plain view 641 on the front page of the website or application, or on a 642 separate subpage of the website or application labeled “Notices” 643 which is conspicuously visible and linked from the front page. 644 The association must also post on its website or application any 645 document to be considered and voted on by the owners during the 646 meeting or any document listed on the agenda at least 7 days 647 before the meeting at which the document or the information 648 within the document will be considered. 649 l. Notice of any board meeting, the agenda, and any other 650 document required for the meeting as required by s. 651 718.112(2)(c), which must be posted no later than the date 652 required for notice under s. 718.112(2)(c). 653 m. The inspection reports described in ss. 553.899 and 654 718.301(4)(p) and any other inspection report relating to a 655 structural or life safety inspection of condominium property. 656 n. The association’s most recent structural integrity 657 reserve study, if applicable. 658 3. The association shall ensure that the information and 659 records described in paragraph (c), which are not allowed to be 660 accessible to unit owners, are not posted on the association’s 661 website or application. If protected information or information 662 restricted from being accessible to unit owners is included in 663 documents that are required to be posted on the association’s 664 website or application, the association shall ensure the 665 information is redacted before posting the documents. 666 Notwithstanding the foregoing, the association or its agent is 667 not liable for disclosing information that is protected or 668 restricted under this paragraph unless such disclosure was made 669 with a knowing or intentional disregard of the protected or 670 restricted nature of such information. 671 4. The failure of the association to post information 672 required under subparagraph 2. is not in and of itself 673 sufficient to invalidate any action or decision of the 674 association’s board or its committees. 675 Section 6. Paragraphs (g) through (o) of subsection (2) of 676 section 718.112, Florida Statutes, are redesignated as 677 paragraphs (i) through (q), respectively, paragraphs (d) and (f) 678 of that subsection are amended, and new paragraphs (g) and (h) 679 are added to that subsection, to read: 680 718.112 Bylaws.— 681 (2) REQUIRED PROVISIONS.—The bylaws shall provide for the 682 following and, if they do not do so, shall be deemed to include 683 the following: 684 (d) Unit owner meetings.— 685 1. An annual meeting of the unit owners must be held at the 686 location provided in the association bylaws and, if the bylaws 687 are silent as to the location, the meeting must be held within 688 45 miles of the condominium property. However, such distance 689 requirement does not apply to an association governing a 690 timeshare condominium. 691 2. Unless the bylaws provide otherwise, a vacancy on the 692 board caused by the expiration of a director’s term must be 693 filled by electing a new board member, and the election must be 694 by secret ballot. An election is not required if the number of 695 vacancies equals or exceeds the number of candidates. For 696 purposes of this paragraph, the term “candidate” means an 697 eligible person who has timely submitted the written notice, as 698 described in sub-subparagraph 4.a., of his or her intention to 699 become a candidate. Except in a timeshare or nonresidential 700 condominium, or if the staggered term of a board member does not 701 expire until a later annual meeting, or if all members’ terms 702 would otherwise expire but there are no candidates, the terms of 703 all board members expire at the annual meeting, and such members 704 may stand for reelection unless prohibited by the bylaws. Board 705 members may serve terms longer than 1 year if permitted by the 706 bylaws or articles of incorporation. A board member may not 707 serve more than 8 consecutive years unless approved by an 708 affirmative vote of unit owners representing two-thirds of all 709 votes cast in the election or unless there are not enough 710 eligible candidates to fill the vacancies on the board at the 711 time of the vacancy. Only board service that occurs on or after 712 July 1, 2018, may be used when calculating a board member’s term 713 limit. If the number of board members whose terms expire at the 714 annual meeting equals or exceeds the number of candidates, the 715 candidates become members of the board effective upon the 716 adjournment of the annual meeting. Unless the bylaws provide 717 otherwise, any remaining vacancies shall be filled by the 718 affirmative vote of the majority of the directors making up the 719 newly constituted board even if the directors constitute less 720 than a quorum or there is only one director. In a residential 721 condominium association of more than 10 units or in a 722 residential condominium association that does not include 723 timeshare units or timeshare interests, co-owners of a unit may 724 not serve as members of the board of directors at the same time 725 unless they own more than one unit or unless there are not 726 enough eligible candidates to fill the vacancies on the board at 727 the time of the vacancy. A unit owner in a residential 728 condominium desiring to be a candidate for board membership must 729 comply with sub-subparagraph 4.a. and must be eligible to be a 730 candidate to serve on the board of directors at the time of the 731 deadline for submitting a notice of intent to run in order to 732 have his or her name listed as a proper candidate on the ballot 733 or to serve on the board. A person who has been suspended or 734 removed by the division under this chapter, or who is delinquent 735 in the payment of any assessment due to the association, is not 736 eligible to be a candidate for board membership and may not be 737 listed on the ballot. For purposes of this paragraph, a person 738 is delinquent if a payment is not made by the due date as 739 specifically identified in the declaration of condominium, 740 bylaws, or articles of incorporation. If a due date is not 741 specifically identified in the declaration of condominium, 742 bylaws, or articles of incorporation, the due date is the first 743 day of the assessment period. A person who has been convicted of 744 any felony in this state or in a United States District or 745 Territorial Court, or who has been convicted of any offense in 746 another jurisdiction which would be considered a felony if 747 committed in this state, is not eligible for board membership 748 unless such felon’s civil rights have been restored for at least 749 5 years as of the date such person seeks election to the board. 750 The validity of an action by the board is not affected if it is 751 later determined that a board member is ineligible for board 752 membership due to having been convicted of a felony. This 753 subparagraph does not limit the term of a member of the board of 754 a nonresidential or timeshare condominium. 755 3. The bylaws must provide the method of calling meetings 756 of unit owners, including annual meetings. Written notice of an 757 annual meeting must include an agenda; be mailed, hand 758 delivered, or electronically transmitted to each unit owner at 759 least 14 days before the annual meeting; and be posted in a 760 conspicuous place on the condominium property or association 761 property at least 14 continuous days before the annual meeting. 762 Written notice of a meeting other than an annual meeting must 763 include an agenda; be mailed, hand delivered, or electronically 764 transmitted to each unit owner; and be posted in a conspicuous 765 place on the condominium property or association property within 766 the timeframe specified in the bylaws. If the bylaws do not 767 specify a timeframe for written notice of a meeting other than 768 an annual meeting, notice must be provided at least 14 769 continuous days before the meeting. Upon notice to the unit 770 owners, the board shall, by duly adopted rule, designate a 771 specific location on the condominium property or association 772 property where all notices of unit owner meetings must be 773 posted. This requirement does not apply if there is no 774 condominium property for posting notices. In lieu of, or in 775 addition to, the physical posting of meeting notices, the 776 association may, by reasonable rule, adopt a procedure for 777 conspicuously posting and repeatedly broadcasting the notice and 778 the agenda on a closed-circuit cable television system serving 779 the condominium association. However, if broadcast notice is 780 used in lieu of a notice posted physically on the condominium 781 property, the notice and agenda must be broadcast at least four 782 times every broadcast hour of each day that a posted notice is 783 otherwise required under this section. If broadcast notice is 784 provided, the notice and agenda must be broadcast in a manner 785 and for a sufficient continuous length of time so as to allow an 786 average reader to observe the notice and read and comprehend the 787 entire content of the notice and the agenda. In addition to any 788 of the authorized means of providing notice of a meeting of the 789 board, the association may, by rule, adopt a procedure for 790 conspicuously posting the meeting notice and the agenda on a 791 website serving the condominium association for at least the 792 minimum period of time for which a notice of a meeting is also 793 required to be physically posted on the condominium property. 794 Any rule adopted shall, in addition to other matters, include a 795 requirement that the association send an electronic notice in 796 the same manner as a notice for a meeting of the members, which 797 must include a hyperlink to the website where the notice is 798 posted, to unit owners whose e-mail addresses are included in 799 the association’s official records. Unless a unit owner waives 800 in writing the right to receive notice of the annual meeting, 801 such notice must be hand delivered, mailed, or electronically 802 transmitted to each unit owner. Notice for meetings and notice 803 for all other purposes must be mailed to each unit owner at the 804 address last furnished to the association by the unit owner, or 805 hand delivered to each unit owner. However, if a unit is owned 806 by more than one person, the association must provide notice to 807 the address that the developer identifies for that purpose and 808 thereafter as one or more of the owners of the unit advise the 809 association in writing, or if no address is given or the owners 810 of the unit do not agree, to the address provided on the deed of 811 record. An officer of the association, or the manager or other 812 person providing notice of the association meeting, must provide 813 an affidavit or United States Postal Service certificate of 814 mailing, to be included in the official records of the 815 association affirming that the notice was mailed or hand 816 delivered in accordance with this provision. 817 4. The members of the board of a residential condominium 818 shall be elected by written ballot or voting machine. Proxies 819 may not be used in electing the board in general elections or 820 elections to fill vacancies caused by recall, resignation, or 821 otherwise, unless otherwise provided in this chapter. This 822 subparagraph does not apply to an association governing a 823 timeshare condominium. 824 a. At least 60 days before a scheduled election, the 825 association shall mail, deliver, or electronically transmit, by 826 separate association mailing or included in another association 827 mailing, delivery, or transmission, including regularly 828 published newsletters, to each unit owner entitled to a vote, a 829 first notice of the date of the election. A unit owner or other 830 eligible person desiring to be a candidate for the board must 831 give written notice of his or her intent to be a candidate to 832 the association at least 40 days before a scheduled election. 833 Together with the written notice and agenda as set forth in 834 subparagraph 3., the association shall mail, deliver, or 835 electronically transmit a second notice of the election to all 836 unit owners entitled to vote, together with a ballot that lists 837 all candidates not less than 14 days or more than 34 days before 838 the date of the election. Upon request of a candidate, an 839 information sheet, no larger than 8 1/2 inches by 11 inches, 840 which must be furnished by the candidate at least 35 days before 841 the election, must be included with the mailing, delivery, or 842 transmission of the ballot, with the costs of mailing, delivery, 843 or electronic transmission and copying to be borne by the 844 association. The association is not liable for the contents of 845 the information sheets prepared by the candidates. In order to 846 reduce costs, the association may print or duplicate the 847 information sheets on both sides of the paper. The division 848 shall by rule establish voting procedures consistent with this 849 sub-subparagraph, including rules establishing procedures for 850 giving notice by electronic transmission and rules providing for 851 the secrecy of ballots. Elections shall be decided by a 852 plurality of ballots cast. There is no quorum requirement; 853 however, at least 20 percent of the eligible voters must cast a 854 ballot in order to have a valid election. A unit owner may not 855 authorize any other person to vote his or her ballot, and any 856 ballots improperly cast are invalid. A unit owner who violates 857 this provision may be fined by the association in accordance 858 with s. 718.303. A unit owner who needs assistance in casting 859 the ballot for the reasons stated in s. 101.051 may obtain such 860 assistance. The regular election must occur on the date of the 861 annual meeting. Notwithstanding this sub-subparagraph, an 862 election is not required unless more candidates file notices of 863 intent to run or are nominated than board vacancies exist. 864 b. Within 90 days after being elected or appointed to the 865 board of an association of a residential condominium, each newly 866 elected or appointed director shall certify in writing to the 867 secretary of the association that he or she has read the 868 association’s declaration of condominium, articles of 869 incorporation, bylaws, and current written policies; that he or 870 she will work to uphold such documents and policies to the best 871 of his or her ability; and that he or she will faithfully 872 discharge his or her fiduciary responsibility to the 873 association’s members. In lieu of this written certification, 874 within 90 days after being elected or appointed to the board, 875 the newly elected or appointed director may submit a certificate 876 of having satisfactorily completed the educational curriculum 877 administered by a division-approved condominium education 878 provider within 1 year before or 90 days after the date of 879 election or appointment. The written certification or 880 educational certificate is valid and does not have to be 881 resubmitted as long as the director serves on the board without 882 interruption. A director of an association of a residential 883 condominium who fails to timely file the written certification 884 or educational certificate is suspended from service on the 885 board until he or she complies with this sub-subparagraph. The 886 board may temporarily fill the vacancy during the period of 887 suspension. The secretary shall cause the association to retain 888 a director’s written certification or educational certificate 889 for inspection by the members for 5 years after a director’s 890 election or the duration of the director’s uninterrupted tenure, 891 whichever is longer. Failure to have such written certification 892 or educational certificate on file does not affect the validity 893 of any board action. 894 c. Any challenge to the election process must be commenced 895 within 60 days after the election results are announced. 896 5. Any approval by unit owners called for by this chapter 897 or the applicable declaration or bylaws, including, but not 898 limited to, the approval requirement in s. 718.111(8), must be 899 made at a duly noticed meeting of unit owners and is subject to 900 all requirements of this chapter or the applicable condominium 901 documents relating to unit owner decisionmaking, except that 902 unit owners may take action by written agreement, without 903 meetings, on matters for which action by written agreement 904 without meetings is expressly allowed by the applicable bylaws 905 or declaration or any law that provides for such action. 906 6. Unit owners may waive notice of specific meetings if 907 allowed by the applicable bylaws or declaration or any law. 908 Notice of meetings of the board of administration, unit owner 909 meetings, except unit owner meetings called to recall board 910 members under paragraph (l)(j), and committee meetings may be 911 given by electronic transmission to unit owners who consent to 912 receive notice by electronic transmission. A unit owner who 913 consents to receiving notices by electronic transmission is 914 solely responsible for removing or bypassing filters that block 915 receipt of mass e-mails sent to members on behalf of the 916 association in the course of giving electronic notices. 917 7. Unit owners have the right to participate in meetings of 918 unit owners with reference to all designated agenda items. 919 However, the association may adopt reasonable rules governing 920 the frequency, duration, and manner of unit owner participation. 921 8. A unit owner may tape record or videotape a meeting of 922 the unit owners subject to reasonable rules adopted by the 923 division. 924 9. Unless otherwise provided in the bylaws, any vacancy 925 occurring on the board before the expiration of a term may be 926 filled by the affirmative vote of the majority of the remaining 927 directors, even if the remaining directors constitute less than 928 a quorum, or by the sole remaining director. In the alternative, 929 a board may hold an election to fill the vacancy, in which case 930 the election procedures must conform to sub-subparagraph 4.a. 931 unless the association governs 10 units or fewer and has opted 932 out of the statutory election process, in which case the bylaws 933 of the association control. Unless otherwise provided in the 934 bylaws, a board member appointed or elected under this section 935 shall fill the vacancy for the unexpired term of the seat being 936 filled. Filling vacancies created by recall is governed by 937 paragraph (l)(j)and rules adopted by the division. 938 10. This chapter does not limit the use of general or 939 limited proxies, require the use of general or limited proxies, 940 or require the use of a written ballot or voting machine for any 941 agenda item or election at any meeting of a timeshare 942 condominium association or nonresidential condominium 943 association. 944 945 Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a., an 946 association of 10 or fewer units may, by affirmative vote of a 947 majority of the total voting interests, provide for different 948 voting and election procedures in its bylaws, which may be by a 949 proxy specifically delineating the different voting and election 950 procedures. The different voting and election procedures may 951 provide for elections to be conducted by limited or general 952 proxy. 953 (f) Annual budget.— 954 1. The proposed annual budget of estimated revenues and 955 expenses must be detailed and must show the amounts budgeted by 956 accounts and expense classifications, including, at a minimum, 957 any applicable expenses listed in s. 718.504(21). The board 958 shall adopt the annual budget at least 14 days beforeprior to959 the start of the association’s fiscal year. In the event that 960 the board fails to timely adopt the annual budget a second time, 961 it isshall bedeemed a minor violation and the prior year’s 962 budget shall continue in effect until a new budget is adopted. A 963 multicondominium association mustshalladopt a separate budget 964 of common expenses for each condominium the association operates 965 and mustshalladopt a separate budget of common expenses for 966 the association. In addition, if the association maintains 967 limited common elements with the cost to be shared only by those 968 entitled to use the limited common elements as provided for in 969 s. 718.113(1), the budget or a schedule attached to it must show 970 the amount budgeted for this maintenance. If, after turnover of 971 control of the association to the unit owners, any of the 972 expenses listed in s. 718.504(21) are not applicable, they do 973neednot need to be listed. 974 2.a. In addition to annual operating expenses, the budget 975 must include reserve accounts for capital expenditures and 976 deferred maintenance. These accounts must include, but are not 977 limited to, roof replacement, building painting, and pavement 978 resurfacing, regardless of the amount of deferred maintenance 979 expense or replacement cost, and any other item that has a 980 deferred maintenance expense or replacement cost that exceeds 981 $10,000. The amount to be reserved for an item is determined by 982 the association’s most recent structural integrity reserve study 983 that must be completed by December 31, 2024. If the amount to be 984 reserved for an item is not in the association’s initial or most 985 recent structural integrity reserve study or the association has 986 not completed a structural integrity reserve study, the amount 987 must be computed using a formula based upon estimated remaining 988 useful life and estimated replacement cost or deferred 989 maintenance expense of theeachreserve item. The association 990 may adjust replacement reserve assessments annually to take into 991 account any changes in estimates or extension of the useful life 992 of a reserve item caused by deferred maintenance.This993subsection does not apply to an adopted budget in whichThe 994 members of a unit-owner controlledanassociation may determine 995have determined, by a majority vote at a duly called meeting of 996 the association, to provide no reserves or less reserves than 997 required by this subsection. Effective December 31, 2024, the 998 members of a unit-owner controlled association may not determine 999 to provide no reserves or less reserves than required by this 1000 subsection for items listed in paragraph (g). 1001 b. Before turnover of control of an association by a 1002 developer to unit owners other than a developer underpursuant1003tos. 718.301, the developer-controlled associationdeveloper1004 may not votethe voting interests allocated to its unitsto 1005 waive the reserves or reducethefunding of the reservesthrough1006the period expiring at the end of the second fiscal year after1007the fiscal year in which the certificate of a surveyor and1008mapper is recorded pursuant to s. 718.104(4)(e) or an instrument1009that transfers title to a unit in the condominium which is not1010accompanied by a recorded assignment of developer rights in1011favor of the grantee of such unit is recorded, whichever occurs1012first, after which time reserves may be waived or reduced only1013upon the vote of a majority of all nondeveloper voting interests1014voting in person or by limited proxy at a duly called meeting of1015the association. If a meeting of the unit owners has been called 1016 to determine whether to waive or reduce the funding of reserves 1017 and no such result is achieved or a quorum is not attained, the 1018 reserves included in the budget shall go into effect. After the 1019 turnover, the developer may vote its voting interest to waive or 1020 reduce the funding of reserves. 1021 3. Reserve funds and any interest accruing thereon shall 1022 remain in the reserve account or accounts, and may be used only 1023 for authorized reserve expenditures unless their use for other 1024 purposes is approved in advance by a majority vote at a duly 1025 called meeting of the association. Before turnover of control of 1026 an association by a developer to unit owners other than the 1027 developer pursuant to s. 718.301, the developer-controlled 1028 association may not vote to use reserves for purposes other than 1029 those for which they were intended. Effective December 31, 2024, 1030 members of a unit-owner controlled association may not vote to 1031 use reserve funds, or any interest accruing thereon, that are 1032 reserved for items listed in paragraph (g) for any other purpose 1033 other than their intended purposewithout the approval of a1034majority of all nondeveloper voting interests, voting in person1035or by limited proxy at a duly called meeting of the association. 1036 4. The only voting interests that are eligible to vote on 1037 questions that involve waiving or reducing the funding of 1038 reserves, or using existing reserve funds for purposes other 1039 than purposes for which the reserves were intended, are the 1040 voting interests of the units subject to assessment to fund the 1041 reserves in question. Proxy questions relating to waiving or 1042 reducing the funding of reserves or using existing reserve funds 1043 for purposes other than purposes for which the reserves were 1044 intended must contain the following statement in capitalized, 1045 bold letters in a font size larger than any other used on the 1046 face of the proxy ballot: WAIVING OF RESERVES, IN WHOLE OR IN 1047 PART, OR ALLOWING ALTERNATIVE USES OF EXISTING RESERVES MAY 1048 RESULT IN UNIT OWNER LIABILITY FOR PAYMENT OF UNANTICIPATED 1049 SPECIAL ASSESSMENTS REGARDING THOSE ITEMS. 1050 (g) Structural integrity reserve study.— 1051 1. An association must have a structural integrity reserve 1052 study completed at least every 10 years after the condominium’s 1053 creation for each building on the condominium property that is 1054 three stories or higher in height which includes, at a minimum, 1055 a study of the following items as related to the structural 1056 integrity and safety of the building: 1057 a. Roof. 1058 b. Load-bearing walls or other primary structural members. 1059 c. Floor. 1060 d. Foundation. 1061 e. Fireproofing and fire protection systems. 1062 f. Plumbing. 1063 g. Electrical systems. 1064 h. Waterproofing and exterior painting. 1065 i. Windows. 1066 j. Any other item that has a deferred maintenance expense 1067 or replacement cost that exceeds $10,000 and the failure to 1068 replace or maintain such item negatively affects the items 1069 listed in subparagraphs a.-i., as determined by the licensed 1070 engineer or architect performing the visual inspection portion 1071 of the structural integrity reserve study. 1072 2. Before a developer turns over control of an association 1073 to unit owners other than the developer, the developer must have 1074 a structural integrity reserve study completed for each building 1075 on the condominium property that is three stories or higher in 1076 height. 1077 3. Associations existing on or before July 1, 2022, which 1078 are controlled by unit owners other than the developer, must 1079 have a structural integrity reserve study completed by December 1080 31, 2024, for each building on the condominium property that is 1081 three stories or higher in height. 1082 4. If an association fails to complete a structural 1083 integrity reserve study pursuant to this paragraph, such failure 1084 is a breach of an officer’s and director’s fiduciary 1085 relationship to the unit owners under s. 718.111(1). 1086 (h) Mandatory milestone inspections.—If an association is 1087 required to have a milestone inspection performed pursuant to s. 1088 553.899, the association must arrange for the milestone 1089 inspection to be performed and is responsible for ensuring 1090 compliance with the requirements of s. 553.899. The association 1091 is responsible for all costs associated with the inspection. If 1092 the officers or directors of an association willfully and 1093 knowingly fail to have a milestone inspection performed pursuant 1094 to s. 553.899, such failure is a breach of the officers’ and 1095 directors’ fiduciary relationship to the unit owners under s. 1096 718.111(1)(a). Upon completion of a phase one or phase two 1097 milestone inspection and receipt of the inspector-prepared 1098 summary of the inspection report from the architect or engineer 1099 who performed the inspection, the association must distribute a 1100 copy of the inspector-prepared summary of the inspection report 1101 to each unit owner, regardless of the findings or 1102 recommendations in the report, by United States mail or personal 1103 delivery and by electronic transmission to unit owners who 1104 previously consented to receive notice by electronic 1105 transmission; must post a copy of the inspector-prepared summary 1106 in a conspicuous place on the condominium property; and must 1107 publish the full report and inspector-prepared summary on the 1108 association’s website, if the association is required to have a 1109 website. 1110 Section 7. Paragraph (f) of subsection (8) of section 1111 718.116, Florida Statutes, is amended to read: 1112 718.116 Assessments; liability; lien and priority; 1113 interest; collection.— 1114 (8) Within 10 business days after receiving a written or 1115 electronic request therefor from a unit owner or the unit 1116 owner’s designee, or a unit mortgagee or the unit mortgagee’s 1117 designee, the association shall issue the estoppel certificate. 1118 Each association shall designate on its website a person or 1119 entity with a street or e-mail address for receipt of a request 1120 for an estoppel certificate issued pursuant to this section. The 1121 estoppel certificate must be provided by hand delivery, regular 1122 mail, or e-mail to the requestor on the date of issuance of the 1123 estoppel certificate. 1124 (f) Notwithstanding any limitation on transfer fees 1125 contained in s. 718.112(2)(k)s. 718.112(2)(i), an association 1126 or its authorized agent may charge a reasonable fee for the 1127 preparation and delivery of an estoppel certificate, which may 1128 not exceed $250, if, on the date the certificate is issued, no 1129 delinquent amounts are owed to the association for the 1130 applicable unit. If an estoppel certificate is requested on an 1131 expedited basis and delivered within 3 business days after the 1132 request, the association may charge an additional fee of $100. 1133 If a delinquent amount is owed to the association for the 1134 applicable unit, an additional fee for the estoppel certificate 1135 may not exceed $150. 1136 Section 8. Paragraph (b) of subsection (8) of section 1137 718.117, Florida Statutes, is amended to read: 1138 718.117 Termination of condominium.— 1139 (8) REPORTS AND REPLACEMENT OF RECEIVER.— 1140 (b) The unit owners of an association in termination may 1141 recall or remove members of the board of administration with or 1142 without cause at any time as provided in s. 718.112(2)(l)s.1143718.112(2)(j). 1144 Section 9. Paragraph (p) of subsection (4) of section 1145 718.301, Florida Statutes, is amended, and paragraph (r) is 1146 added to that subsection, to read: 1147 718.301 Transfer of association control; claims of defect 1148 by association.— 1149 (4) At the time that unit owners other than the developer 1150 elect a majority of the members of the board of administration 1151 of an association, the developer shall relinquish control of the 1152 association, and the unit owners shall accept control. 1153 Simultaneously, or for the purposes of paragraph (c) not more 1154 than 90 days thereafter, the developer shall deliver to the 1155 association, at the developer’s expense, all property of the 1156 unit owners and of the association which is held or controlled 1157 by the developer, including, but not limited to, the following 1158 items, if applicable, as to each condominium operated by the 1159 association: 1160 (p) Notwithstanding when the certificate of occupancy was 1161 issued or the height of the building, a milestone inspection 1162 report in compliance with s. 553.899 included in the official 1163 records, under seal of an architect or engineer authorized to 1164 practice in this state, and attesting to required maintenance, 1165 condition, useful life, and replacement costs of the following 1166 applicable condominium propertycommon elementscomprising a 1167 turnover inspection report: 1168 1. Roof. 1169 2. Structure, including load-bearing walls and primary 1170 structural members and primary structural systems as those terms 1171 are defined in s. 627.706. 1172 3. Fireproofing and fire protection systems. 1173 4. Elevators. 1174 5. Heating and cooling systems. 1175 6. Plumbing. 1176 7. Electrical systems. 1177 8. Swimming pool or spa and equipment. 1178 9. Seawalls. 1179 10. Pavement and parking areas. 1180 11. Drainage systems. 1181 12. Painting. 1182 13. Irrigation systems. 1183 14. Waterproofing. 1184 (r) A copy of the association’s most recent structural 1185 integrity reserve study. 1186 Section 10. Subsection (1) of section 718.501, Florida 1187 Statutes, is amended, and subsection (3) is added to that 1188 section, to read: 1189 718.501 Authority, responsibility, and duties of Division 1190 of Florida Condominiums, Timeshares, and Mobile Homes.— 1191 (1) The division may enforce and ensure compliance with 1192 this chapter and rules relating to the development, 1193 construction, sale, lease, ownership, operation, and management 1194 of residential condominium units and complaints related to the 1195 procedural completion of milestone inspections under s. 553.899. 1196 In performing its duties, the division has complete jurisdiction 1197 to investigate complaints and enforce compliance with respect to 1198 associations that are still under developer control or the 1199 control of a bulk assignee or bulk buyer pursuant to part VII of 1200 this chapter and complaints against developers, bulk assignees, 1201 or bulk buyers involving improper turnover or failure to 1202 turnover, pursuant to s. 718.301. However, after turnover has 1203 occurred, the division has jurisdiction to investigate 1204 complaints related only to financial issues, elections, and the 1205 maintenance of and unit owner access to association records 1206 under s. 718.111(12), and the procedural completion of 1207 structural integrity reserve studies under s. 718.112(2)(g). 1208 (a)1. The division may make necessary public or private 1209 investigations within or outside this state to determine whether 1210 any person has violated this chapter or any rule or order 1211 hereunder, to aid in the enforcement of this chapter, or to aid 1212 in the adoption of rules or forms. 1213 2. The division may submit any official written report, 1214 worksheet, or other related paper, or a duly certified copy 1215 thereof, compiled, prepared, drafted, or otherwise made by and 1216 duly authenticated by a financial examiner or analyst to be 1217 admitted as competent evidence in any hearing in which the 1218 financial examiner or analyst is available for cross-examination 1219 and attests under oath that such documents were prepared as a 1220 result of an examination or inspection conducted pursuant to 1221 this chapter. 1222 (b) The division may require or permit any person to file a 1223 statement in writing, under oath or otherwise, as the division 1224 determines, as to the facts and circumstances concerning a 1225 matter to be investigated. 1226 (c) For the purpose of any investigation under this 1227 chapter, the division director or any officer or employee 1228 designated by the division director may administer oaths or 1229 affirmations, subpoena witnesses and compel their attendance, 1230 take evidence, and require the production of any matter which is 1231 relevant to the investigation, including the existence, 1232 description, nature, custody, condition, and location of any 1233 books, documents, or other tangible things and the identity and 1234 location of persons having knowledge of relevant facts or any 1235 other matter reasonably calculated to lead to the discovery of 1236 material evidence. Upon the failure by a person to obey a 1237 subpoena or to answer questions propounded by the investigating 1238 officer and upon reasonable notice to all affected persons, the 1239 division may apply to the circuit court for an order compelling 1240 compliance. 1241 (d) Notwithstanding any remedies available to unit owners 1242 and associations, if the division has reasonable cause to 1243 believe that a violation of any provision of this chapter or 1244 related rule has occurred, the division may institute 1245 enforcement proceedings in its own name against any developer, 1246 bulk assignee, bulk buyer, association, officer, or member of 1247 the board of administration, or its assignees or agents, as 1248 follows: 1249 1. The division may permit a person whose conduct or 1250 actions may be under investigation to waive formal proceedings 1251 and enter into a consent proceeding whereby orders, rules, or 1252 letters of censure or warning, whether formal or informal, may 1253 be entered against the person. 1254 2. The division may issue an order requiring the developer, 1255 bulk assignee, bulk buyer, association, developer-designated 1256 officer, or developer-designated member of the board of 1257 administration, developer-designated assignees or agents, bulk 1258 assignee-designated assignees or agents, bulk buyer-designated 1259 assignees or agents, community association manager, or community 1260 association management firm to cease and desist from the 1261 unlawful practice and take such affirmative action as in the 1262 judgment of the division carry out the purposes of this chapter. 1263 If the division finds that a developer, bulk assignee, bulk 1264 buyer, association, officer, or member of the board of 1265 administration, or its assignees or agents, is violating or is 1266 about to violate any provision of this chapter, any rule adopted 1267 or order issued by the division, or any written agreement 1268 entered into with the division, and presents an immediate danger 1269 to the public requiring an immediate final order, it may issue 1270 an emergency cease and desist order reciting with particularity 1271 the facts underlying such findings. The emergency cease and 1272 desist order is effective for 90 days. If the division begins 1273 nonemergency cease and desist proceedings, the emergency cease 1274 and desist order remains effective until the conclusion of the 1275 proceedings under ss. 120.569 and 120.57. 1276 3. If a developer, bulk assignee, or bulk buyer fails to 1277 pay any restitution determined by the division to be owed, plus 1278 any accrued interest at the highest rate permitted by law, 1279 within 30 days after expiration of any appellate time period of 1280 a final order requiring payment of restitution or the conclusion 1281 of any appeal thereof, whichever is later, the division must 1282 bring an action in circuit or county court on behalf of any 1283 association, class of unit owners, lessees, or purchasers for 1284 restitution, declaratory relief, injunctive relief, or any other 1285 available remedy. The division may also temporarily revoke its 1286 acceptance of the filing for the developer to which the 1287 restitution relates until payment of restitution is made. 1288 4. The division may petition the court for appointment of a 1289 receiver or conservator. If appointed, the receiver or 1290 conservator may take action to implement the court order to 1291 ensure the performance of the order and to remedy any breach 1292 thereof. In addition to all other means provided by law for the 1293 enforcement of an injunction or temporary restraining order, the 1294 circuit court may impound or sequester the property of a party 1295 defendant, including books, papers, documents, and related 1296 records, and allow the examination and use of the property by 1297 the division and a court-appointed receiver or conservator. 1298 5. The division may apply to the circuit court for an order 1299 of restitution whereby the defendant in an action brought under 1300 subparagraph 4. is ordered to make restitution of those sums 1301 shown by the division to have been obtained by the defendant in 1302 violation of this chapter. At the option of the court, such 1303 restitution is payable to the conservator or receiver appointed 1304 under subparagraph 4. or directly to the persons whose funds or 1305 assets were obtained in violation of this chapter. 1306 6. The division may impose a civil penalty against a 1307 developer, bulk assignee, or bulk buyer, or association, or its 1308 assignee or agent, for any violation of this chapter or related 1309 rule. The division may impose a civil penalty individually 1310 against an officer or board member who willfully and knowingly 1311 violates this chapter, an adopted rule, or a final order of the 1312 division; may order the removal of such individual as an officer 1313 or from the board of administration or as an officer of the 1314 association; and may prohibit such individual from serving as an 1315 officer or on the board of a community association for a period 1316 of time. The term “willfully and knowingly” means that the 1317 division informed the officer or board member that his or her 1318 action or intended action violates this chapter, a rule adopted 1319 under this chapter, or a final order of the division and that 1320 the officer or board member refused to comply with the 1321 requirements of this chapter, a rule adopted under this chapter, 1322 or a final order of the division. The division, before 1323 initiating formal agency action under chapter 120, must afford 1324 the officer or board member an opportunity to voluntarily 1325 comply, and an officer or board member who complies within 10 1326 days is not subject to a civil penalty. A penalty may be imposed 1327 on the basis of each day of continuing violation, but the 1328 penalty for any offense may not exceed $5,000. The division 1329 shall adopt, by rule, penalty guidelines applicable to possible 1330 violations or to categories of violations of this chapter or 1331 rules adopted by the division. The guidelines must specify a 1332 meaningful range of civil penalties for each such violation of 1333 the statute and rules and must be based upon the harm caused by 1334 the violation, the repetition of the violation, and upon such 1335 other factors deemed relevant by the division. For example, the 1336 division may consider whether the violations were committed by a 1337 developer, bulk assignee, or bulk buyer, or owner-controlled 1338 association, the size of the association, and other factors. The 1339 guidelines must designate the possible mitigating or aggravating 1340 circumstances that justify a departure from the range of 1341 penalties provided by the rules. It is the legislative intent 1342 that minor violations be distinguished from those which endanger 1343 the health, safety, or welfare of the condominium residents or 1344 other persons and that such guidelines provide reasonable and 1345 meaningful notice to the public of likely penalties that may be 1346 imposed for proscribed conduct. This subsection does not limit 1347 the ability of the division to informally dispose of 1348 administrative actions or complaints by stipulation, agreed 1349 settlement, or consent order. All amounts collected shall be 1350 deposited with the Chief Financial Officer to the credit of the 1351 Division of Florida Condominiums, Timeshares, and Mobile Homes 1352 Trust Fund. If a developer, bulk assignee, or bulk buyer fails 1353 to pay the civil penalty and the amount deemed to be owed to the 1354 association, the division shall issue an order directing that 1355 such developer, bulk assignee, or bulk buyer cease and desist 1356 from further operation until such time as the civil penalty is 1357 paid or may pursue enforcement of the penalty in a court of 1358 competent jurisdiction. If an association fails to pay the civil 1359 penalty, the division shall pursue enforcement in a court of 1360 competent jurisdiction, and the order imposing the civil penalty 1361 or the cease and desist order is not effective until 20 days 1362 after the date of such order. Any action commenced by the 1363 division shall be brought in the county in which the division 1364 has its executive offices or in the county where the violation 1365 occurred. 1366 7. If a unit owner presents the division with proof that 1367 the unit owner has requested access to official records in 1368 writing by certified mail, and that after 10 days the unit owner 1369 again made the same request for access to official records in 1370 writing by certified mail, and that more than 10 days has 1371 elapsed since the second request and the association has still 1372 failed or refused to provide access to official records as 1373 required by this chapter, the division shall issue a subpoena 1374 requiring production of the requested records where the records 1375 are kept pursuant to s. 718.112. 1376 8. In addition to subparagraph 6., the division may seek 1377 the imposition of a civil penalty through the circuit court for 1378 any violation for which the division may issue a notice to show 1379 cause under paragraph (r). The civil penalty shall be at least 1380 $500 but no more than $5,000 for each violation. The court may 1381 also award to the prevailing party court costs and reasonable 1382 attorney fees and, if the division prevails, may also award 1383 reasonable costs of investigation. 1384 (e) The division may prepare and disseminate a prospectus 1385 and other information to assist prospective owners, purchasers, 1386 lessees, and developers of residential condominiums in assessing 1387 the rights, privileges, and duties pertaining thereto. 1388 (f) The division may adopt rules to administer and enforce 1389 this chapter. 1390 (g) The division shall establish procedures for providing 1391 notice to an association and the developer, bulk assignee, or 1392 bulk buyer during the period in which the developer, bulk 1393 assignee, or bulk buyer controls the association if the division 1394 is considering the issuance of a declaratory statement with 1395 respect to the declaration of condominium or any related 1396 document governing such condominium community. 1397 (h) The division shall furnish each association that pays 1398 the fees required by paragraph (2)(a) a copy of this chapter, as 1399 amended, and the rules adopted thereto on an annual basis. 1400 (i) The division shall annually provide each association 1401 with a summary of declaratory statements and formal legal 1402 opinions relating to the operations of condominiums which were 1403 rendered by the division during the previous year. 1404 (j) The division shall provide training and educational 1405 programs for condominium association board members and unit 1406 owners. The training may, in the division’s discretion, include 1407 web-based electronic media, and live training and seminars in 1408 various locations throughout the state. The division may review 1409 and approve education and training programs for board members 1410 and unit owners offered by providers and shall maintain a 1411 current list of approved programs and providers and make such 1412 list available to board members and unit owners in a reasonable 1413 and cost-effective manner. 1414 (k) The division shall maintain a toll-free telephone 1415 number accessible to condominium unit owners. 1416 (l) The division shall develop a program to certify both 1417 volunteer and paid mediators to provide mediation of condominium 1418 disputes. The division shall provide, upon request, a list of 1419 such mediators to any association, unit owner, or other 1420 participant in alternative dispute resolution proceedings under 1421 s. 718.1255 requesting a copy of the list. The division shall 1422 include on the list of volunteer mediators only the names of 1423 persons who have received at least 20 hours of training in 1424 mediation techniques or who have mediated at least 20 disputes. 1425 In order to become initially certified by the division, paid 1426 mediators must be certified by the Supreme Court to mediate 1427 court cases in county or circuit courts. However, the division 1428 may adopt, by rule, additional factors for the certification of 1429 paid mediators, which must be related to experience, education, 1430 or background. Any person initially certified as a paid mediator 1431 by the division must, in order to continue to be certified, 1432 comply with the factors or requirements adopted by rule. 1433 (m) If a complaint is made, the division must conduct its 1434 inquiry with due regard for the interests of the affected 1435 parties. Within 30 days after receipt of a complaint, the 1436 division shall acknowledge the complaint in writing and notify 1437 the complainant whether the complaint is within the jurisdiction 1438 of the division and whether additional information is needed by 1439 the division from the complainant. The division shall conduct 1440 its investigation and, within 90 days after receipt of the 1441 original complaint or of timely requested additional 1442 information, take action upon the complaint. However, the 1443 failure to complete the investigation within 90 days does not 1444 prevent the division from continuing the investigation, 1445 accepting or considering evidence obtained or received after 90 1446 days, or taking administrative action if reasonable cause exists 1447 to believe that a violation of this chapter or a rule has 1448 occurred. If an investigation is not completed within the time 1449 limits established in this paragraph, the division shall, on a 1450 monthly basis, notify the complainant in writing of the status 1451 of the investigation. When reporting its action to the 1452 complainant, the division shall inform the complainant of any 1453 right to a hearing under ss. 120.569 and 120.57. The division 1454 may adopt rules regarding the submission of a complaint against 1455 an association. 1456 (n) Condominium association directors, officers, and 1457 employees; condominium developers; bulk assignees, bulk buyers, 1458 and community association managers; and community association 1459 management firms have an ongoing duty to reasonably cooperate 1460 with the division in any investigation under this section. The 1461 division shall refer to local law enforcement authorities any 1462 person whom the division believes has altered, destroyed, 1463 concealed, or removed any record, document, or thing required to 1464 be kept or maintained by this chapter with the purpose to impair 1465 its verity or availability in the department’s investigation. 1466 (o) The division may: 1467 1. Contract with agencies in this state or other 1468 jurisdictions to perform investigative functions; or 1469 2. Accept grants-in-aid from any source. 1470 (p) The division shall cooperate with similar agencies in 1471 other jurisdictions to establish uniform filing procedures and 1472 forms, public offering statements, advertising standards, and 1473 rules and common administrative practices. 1474 (q) The division shall consider notice to a developer, bulk 1475 assignee, or bulk buyer to be complete when it is delivered to 1476 the address of the developer, bulk assignee, or bulk buyer 1477 currently on file with the division. 1478 (r) In addition to its enforcement authority, the division 1479 may issue a notice to show cause, which must provide for a 1480 hearing, upon written request, in accordance with chapter 120. 1481 (s) The division shall submit to the Governor, the 1482 President of the Senate, the Speaker of the House of 1483 Representatives, and the chairs of the legislative 1484 appropriations committees an annual report that includes, but 1485 need not be limited to, the number of training programs provided 1486 for condominium association board members and unit owners, the 1487 number of complaints received by type, the number and percent of 1488 complaints acknowledged in writing within 30 days and the number 1489 and percent of investigations acted upon within 90 days in 1490 accordance with paragraph (m), and the number of investigations 1491 exceeding the 90-day requirement. The annual report must also 1492 include an evaluation of the division’s core business processes 1493 and make recommendations for improvements, including statutory 1494 changes. The report shall be submitted by September 30 following 1495 the end of the fiscal year. 1496 (3)(a) On or before January 1, 2023, condominium 1497 associations existing on or before July 1, 2022, must provide 1498 the following information to the division in writing, by e-mail, 1499 United States Postal Service, commercial delivery service, or 1500 hand delivery, at a physical address or e-mail address provided 1501 by the division and on a form posted on the division’s website: 1502 1. The number of buildings on the condominium property that 1503 are three stories or higher in height. 1504 2. The total number of units in all such buildings. 1505 3. The addresses of all such buildings. 1506 4. The counties in which all such buildings are located. 1507 (b) The division must compile a list of the number of 1508 buildings on condominium property that are three stories or 1509 higher in height, which is searchable by county, and must post 1510 the list on the division’s website. This list must include all 1511 of the following information: 1512 1. The name of each association with buildings on the 1513 condominium property that are three stories or higher in height. 1514 2. The number of such buildings on each association’s 1515 property. 1516 3. The addresses of all such buildings. 1517 4. The counties in which all such buildings are located. 1518 (c) An association must provide an update in writing to the 1519 division if there are any changes to the information in the list 1520 under paragraph (b) within 6 months after the change. 1521 Section 11. Present paragraphs (b) and (c) of subsection 1522 (2) of section 718.503, Florida Statutes, are redesignated as 1523 paragraphs (c) and (d), respectively, a new paragraph (b) is 1524 added to that subsection, and paragraph (b) of subsection (1) 1525 and paragraph (a) of subsection (2) of that section are amended, 1526 to read: 1527 718.503 Developer disclosure prior to sale; nondeveloper 1528 unit owner disclosure prior to sale; voidability.— 1529 (1) DEVELOPER DISCLOSURE.— 1530 (b) Copies of documents to be furnished to prospective 1531 buyer or lessee.—Until such time as the developer has furnished 1532 the documents listed below to a person who has entered into a 1533 contract to purchase a residential unit or lease it for more 1534 than 5 years, the contract may be voided by that person, 1535 entitling the person to a refund of any deposit together with 1536 interest thereon as provided in s. 718.202. The contract may be 1537 terminated by written notice from the proposed buyer or lessee 1538 delivered to the developer within 15 days after the buyer or 1539 lessee receives all of the documents required by this section. 1540 The developer may not close for 15 days afterfollowingthe 1541 execution of the agreement and delivery of the documents to the 1542 buyer as evidenced by a signed receipt for documents unless the 1543 buyer is informed in the 15-day voidability period and agrees to 1544 close beforeprior tothe expiration of the 15 days. The 1545 developer shall retain in his or her records a separate 1546 agreement signed by the buyer as proof of the buyer’s agreement 1547 to close beforeprior tothe expiration of thesaidvoidability 1548 period. The developer must retain suchSaidproofshall be1549retainedfor a period of 5 years after the date of the closing 1550 of the transaction. The documents to be delivered to the 1551 prospective buyer are the prospectus or disclosure statement 1552 with all exhibits, if the development is subject tothe1553provisions ofs. 718.504, or, if not, then copies of the 1554 following which are applicable: 1555 1. The question and answer sheet described in s. 718.504, 1556 and declaration of condominium, or the proposed declaration if 1557 the declaration has not been recorded, which shall include the 1558 certificate of a surveyor approximately representing the 1559 locations required by s. 718.104. 1560 2. The documents creating the association. 1561 3. The bylaws. 1562 4. The ground lease or other underlying lease of the 1563 condominium. 1564 5. The management contract, maintenance contract, and other 1565 contracts for management of the association and operation of the 1566 condominium and facilities used by the unit owners having a 1567 service term in excess of 1 year, and any management contracts 1568 that are renewable. 1569 6. The estimated operating budget for the condominium and a 1570 schedule of expenses for each type of unit, including fees 1571 assessed pursuant to s. 718.113(1) for the maintenance of 1572 limited common elements where such costs are shared only by 1573 those entitled to use the limited common elements. 1574 7. The lease of recreational and other facilities that will 1575 be used only by unit owners of the subject condominium. 1576 8. The lease of recreational and other common facilities 1577 that will be used by unit owners in common with unit owners of 1578 other condominiums. 1579 9. The form of unit lease if the offer is of a leasehold. 1580 10. Any declaration of servitude of properties serving the 1581 condominium but not owned by unit owners or leased to them or 1582 the association. 1583 11. If the development is to be built in phases or if the 1584 association is to manage more than one condominium, a 1585 description of the plan of phase development or the arrangements 1586 for the association to manage two or more condominiums. 1587 12. If the condominium is a conversion of existing 1588 improvements, the statements and disclosure required by s. 1589 718.616. 1590 13. The form of agreement for sale or lease of units. 1591 14. A copy of the floor plan of the unit and the plot plan 1592 showing the location of the residential buildings and the 1593 recreation and other common areas. 1594 15. A copy of all covenants and restrictions thatwhich1595 will affect the use of the property andwhichare not contained 1596 in the foregoing. 1597 16. If the developer is required by state or local 1598 authorities to obtain acceptance or approval of any dock or 1599 marina facilities intended to serve the condominium, a copy of 1600 any such acceptance or approval acquired by the time of filing 1601 with the division under s. 718.502(1), or a statement that such 1602 acceptance or approval has not been acquired or received. 1603 17. Evidence demonstrating that the developer has an 1604 ownership, leasehold, or contractual interest in the land upon 1605 which the condominium is to be developed. 1606 18. A copy of the inspector-prepared summary of the 1607 milestone inspection report as described in ss. 553.899 and 1608 718.301(4)(p). 1609 19. A copy of the association’s most recent structural 1610 integrity reserve study or a statement that the association has 1611 not completed a structural integrity reserve study. 1612 (2) NONDEVELOPER DISCLOSURE.— 1613 (a) Each unit owner who is not a developer as defined by 1614 this chapter mustshallcomply withthe provisions ofthis 1615 subsection beforeprior tothe sale of his or her unit. Each 1616 prospective purchaser who has entered into a contract for the 1617 purchase of a condominium unit is entitled, at the seller’s 1618 expense, to a current copy of all of the following: 1619 1. The declaration of condominium.,1620 2. Articles of incorporation of the association.,1621 3. Bylaws and rules of the association.,1622 4. Financial information required by s. 718.111.,1623 5. A copy of the inspector-prepared summary of the 1624 milestone inspection report as described in ss. 553.899 and 1625 718.301(4)(p), if applicable. 1626 6. The association’s most recent structural integrity 1627 reserve study or a statement that the association has not 1628 completed a structural integrity reserve study. 1629 7.andThe document entitled “Frequently Asked Questions 1630 and Answers” required by s. 718.504. 1631 (b)On and after January 1, 2009,The prospective purchaser 1632 isshallalsobeentitled to receive from the seller a copy of a 1633 governance form. Such form shall be provided by the division 1634 summarizing governance of condominium associations. In addition 1635 to such other information as the division considers helpful to a 1636 prospective purchaser in understanding association governance, 1637 the governance form shall address the following subjects: 1638 1. The role of the board in conducting the day-to-day 1639 affairs of the association on behalf of, and in the best 1640 interests of, the owners. 1641 2. The board’s responsibility to provide advance notice of 1642 board and membership meetings. 1643 3. The rights of owners to attend and speak at board and 1644 membership meetings. 1645 4. The responsibility of the board and of owners with 1646 respect to maintenance of the condominium property. 1647 5. The responsibility of the board and owners to abide by 1648 the condominium documents, this chapter, rules adopted by the 1649 division, and reasonable rules adopted by the board. 1650 6. Owners’ rights to inspect and copy association records 1651 and the limitations on such rights. 1652 7. Remedies available to owners with respect to actions by 1653 the board which may be abusive or beyond the board’s power and 1654 authority. 1655 8. The right of the board to hire a property management 1656 firm, subject to its own primary responsibility for such 1657 management. 1658 9. The responsibility of owners with regard to payment of 1659 regular or special assessments necessary for the operation of 1660 the property and the potential consequences of failure to pay 1661 such assessments. 1662 10. The voting rights of owners. 1663 11. Rights and obligations of the board in enforcement of 1664 rules in the condominium documents and rules adopted by the 1665 board. 1666 1667 The governance form shall also include the following statement 1668 in conspicuous type: “This publication is intended as an 1669 informal educational overview of condominium governance. In the 1670 event of a conflict, the provisions of chapter 718, Florida 1671 Statutes, rules adopted by the Division of Florida Condominiums, 1672 Timeshares, and Mobile Homes of the Department of Business and 1673 Professional Regulation, the provisions of the condominium 1674 documents, and reasonable rules adopted by the condominium 1675 association’s board of administration prevail over the contents 1676 of this publication.” 1677 Section 12. Paragraph (f) of subsection (24) of section 1678 718.504, Florida Statutes, is amended, and paragraph (q) is 1679 added to that subsection, to read: 1680 718.504 Prospectus or offering circular.—Every developer of 1681 a residential condominium which contains more than 20 1682 residential units, or which is part of a group of residential 1683 condominiums which will be served by property to be used in 1684 common by unit owners of more than 20 residential units, shall 1685 prepare a prospectus or offering circular and file it with the 1686 Division of Florida Condominiums, Timeshares, and Mobile Homes 1687 prior to entering into an enforceable contract of purchase and 1688 sale of any unit or lease of a unit for more than 5 years and 1689 shall furnish a copy of the prospectus or offering circular to 1690 each buyer. In addition to the prospectus or offering circular, 1691 each buyer shall be furnished a separate page entitled 1692 “Frequently Asked Questions and Answers,” which shall be in 1693 accordance with a format approved by the division and a copy of 1694 the financial information required by s. 718.111. This page 1695 shall, in readable language, inform prospective purchasers 1696 regarding their voting rights and unit use restrictions, 1697 including restrictions on the leasing of a unit; shall indicate 1698 whether and in what amount the unit owners or the association is 1699 obligated to pay rent or land use fees for recreational or other 1700 commonly used facilities; shall contain a statement identifying 1701 that amount of assessment which, pursuant to the budget, would 1702 be levied upon each unit type, exclusive of any special 1703 assessments, and which shall further identify the basis upon 1704 which assessments are levied, whether monthly, quarterly, or 1705 otherwise; shall state and identify any court cases in which the 1706 association is currently a party of record in which the 1707 association may face liability in excess of $100,000; and which 1708 shall further state whether membership in a recreational 1709 facilities association is mandatory, and if so, shall identify 1710 the fees currently charged per unit type. The division shall by 1711 rule require such other disclosure as in its judgment will 1712 assist prospective purchasers. The prospectus or offering 1713 circular may include more than one condominium, although not all 1714 such units are being offered for sale as of the date of the 1715 prospectus or offering circular. The prospectus or offering 1716 circular must contain the following information: 1717 (24) Copies of the following, to the extent they are 1718 applicable, shall be included as exhibits: 1719 (f) The estimated operating budget for the condominium,and1720 the required schedule of unit owners’ expenses, and the 1721 association’s most recent structural integrity reserve study or 1722 a statement that the association has not completed a structural 1723 integrity reserve study. 1724 (q) A copy of the inspector-prepared summary of the 1725 milestone inspection report as described in ss. 553.899 and 1726 718.301(4)(p), as applicable. 1727 Section 13. Subsections (24) through (28) of section 1728 719.103, Florida Statutes, are renumbered as subsections (25) 1729 through (29), respectively, and a new subsection (24) is added 1730 to that section, to read: 1731 719.103 Definitions.—As used in this chapter: 1732 (24) “Structural integrity reserve study” means a study of 1733 the reserve funds required for future major repairs and 1734 replacement of the common areas based on a visual inspection of 1735 the common areas. A structural integrity reserve study may be 1736 performed by any person qualified to perform such study. 1737 However, the visual inspection portion of the structural 1738 integrity reserve study must be performed by an engineer 1739 licensed under chapter 471 or an architect licensed under 1740 chapter 481. At a minimum, a structural integrity reserve study 1741 must identify the common areas being visually inspected, state 1742 the estimated remaining useful life and the estimated 1743 replacement cost or deferred maintenance expense of the common 1744 areas being visually inspected, and provide a recommended annual 1745 reserve amount that achieves the estimated replacement cost or 1746 deferred maintenance expense of each common area being visually 1747 inspected by the end of the estimated remaining useful life of 1748 each common area. 1749 Section 14. Paragraphs (a) and (c) of subsection (2) of 1750 section 719.104, Florida Statutes, are amended to read: 1751 719.104 Cooperatives; access to units; records; financial 1752 reports; assessments; purchase of leases.— 1753 (2) OFFICIAL RECORDS.— 1754 (a) From the inception of the association, the association 1755 shall maintain a copy of each of the following, where 1756 applicable, which shall constitute the official records of the 1757 association: 1758 1. The plans, permits, warranties, and other items provided 1759 by the developer pursuant to s. 719.301(4). 1760 2. A photocopy of the cooperative documents. 1761 3. A copy of the current rules of the association. 1762 4. A book or books containing the minutes of all meetings 1763 of the association, of the board of directors, and of the unit 1764 owners. 1765 5. A current roster of all unit owners and their mailing 1766 addresses, unit identifications, voting certifications, and, if 1767 known, telephone numbers. The association shall also maintain 1768 the e-mail addresses and the numbers designated by unit owners 1769 for receiving notice sent by electronic transmission of those 1770 unit owners consenting to receive notice by electronic 1771 transmission. The e-mail addresses and numbers provided by unit 1772 owners to receive notice by electronic transmission shall be 1773 removed from association records when consent to receive notice 1774 by electronic transmission is revoked. However, the association 1775 is not liable for an erroneous disclosure of the e-mail address 1776 or the number for receiving electronic transmission of notices. 1777 6. All current insurance policies of the association. 1778 7. A current copy of any management agreement, lease, or 1779 other contract to which the association is a party or under 1780 which the association or the unit owners have an obligation or 1781 responsibility. 1782 8. Bills of sale or transfer for all property owned by the 1783 association. 1784 9. Accounting records for the association and separate 1785 accounting records for each unit it operates, according to good 1786 accounting practices. The accounting records shall include, but 1787 not be limited to: 1788 a. Accurate, itemized, and detailed records of all receipts 1789 and expenditures. 1790 b. A current account and a monthly, bimonthly, or quarterly 1791 statement of the account for each unit designating the name of 1792 the unit owner, the due date and amount of each assessment, the 1793 amount paid upon the account, and the balance due. 1794 c. All audits, reviews, accounting statements, structural 1795 integrity reserve studies, and financial reports of the 1796 association. Structural integrity reserve studies must be 1797 maintained for at least 15 years after the study is completed. 1798 d. All contracts for work to be performed. Bids for work to 1799 be performed shall also be considered official records and shall 1800 be maintained for a period of 1 year. 1801 10. Ballots, sign-in sheets, voting proxies, and all other 1802 papers and electronic records relating to voting by unit owners, 1803 which shall be maintained for a period of 1 year after the date 1804 of the election, vote, or meeting to which the document relates. 1805 11. All rental records where the association is acting as 1806 agent for the rental of units. 1807 12. A copy of the current question and answer sheet as 1808 described in s. 719.504. 1809 13. All affirmative acknowledgments made pursuant to s. 1810 719.108(3)(b)3. 1811 14. A copy of the inspection reports described in ss. 1812 553.899 and 719.301(4)(p) and any other inspection report 1813 relating to a structural or life safety inspection of the 1814 cooperative property. Such record must be maintained by the 1815 association for 15 years after receipt of the report. 1816 15. All other written records of the association not 1817 specifically included in the foregoing which are related to the 1818 operation of the association. 1819 (c) The official records of the association are open to 1820 inspection by any association member or the authorized 1821 representative of such member at all reasonable times. The right 1822 to inspect the records includes the right to make or obtain 1823 copies, at the reasonable expense, if any, of the association 1824 member. A renter of a unit has a right to inspect and copy only 1825 the association’s bylaws and rules and the inspection reports 1826 described in ss. 553.899 and 719.301(4)(p). The association may 1827 adopt reasonable rules regarding the frequency, time, location, 1828 notice, and manner of record inspections and copying, but may 1829 not require a member to demonstrate any purpose or state any 1830 reason for the inspection. The failure of an association to 1831 provide the records within 10 working days after receipt of a 1832 written request creates a rebuttable presumption that the 1833 association willfully failed to comply with this paragraph. A 1834 member who is denied access to official records is entitled to 1835 the actual damages or minimum damages for the association’s 1836 willful failure to comply. The minimum damages are $50 per 1837 calendar day for up to 10 days, beginning on the 11th working 1838 day after receipt of the written request. The failure to permit 1839 inspection entitles any person prevailing in an enforcement 1840 action to recover reasonable attorney fees from the person in 1841 control of the records who, directly or indirectly, knowingly 1842 denied access to the records. Any person who knowingly or 1843 intentionally defaces or destroys accounting records that are 1844 required by this chapter to be maintained during the period for 1845 which such records are required to be maintained, or who 1846 knowingly or intentionally fails to create or maintain 1847 accounting records that are required to be created or 1848 maintained, with the intent of causing harm to the association 1849 or one or more of its members, is personally subject to a civil 1850 penalty under s. 719.501(1)(d). The association shall maintain 1851 an adequate number of copies of the declaration, articles of 1852 incorporation, bylaws, and rules, and all amendments to each of 1853 the foregoing, as well as the question and answer sheet as 1854 described in s. 719.504 and year-end financial information 1855 required by the department, on the cooperative property to 1856 ensure their availability to members and prospective purchasers, 1857 and may charge its actual costs for preparing and furnishing 1858 these documents to those requesting the same. An association 1859 shall allow a member or his or her authorized representative to 1860 use a portable device, including a smartphone, tablet, portable 1861 scanner, or any other technology capable of scanning or taking 1862 photographs, to make an electronic copy of the official records 1863 in lieu of the association providing the member or his or her 1864 authorized representative with a copy of such records. The 1865 association may not charge a member or his or her authorized 1866 representative for the use of a portable device. Notwithstanding 1867 this paragraph, the following records shall not be accessible to 1868 members: 1869 1. Any record protected by the lawyer-client privilege as 1870 described in s. 90.502 and any record protected by the work 1871 product privilege, including any record prepared by an 1872 association attorney or prepared at the attorney’s express 1873 direction which reflects a mental impression, conclusion, 1874 litigation strategy, or legal theory of the attorney or the 1875 association, and which was prepared exclusively for civil or 1876 criminal litigation or for adversarial administrative 1877 proceedings, or which was prepared in anticipation of such 1878 litigation or proceedings until the conclusion of the litigation 1879 or proceedings. 1880 2. Information obtained by an association in connection 1881 with the approval of the lease, sale, or other transfer of a 1882 unit. 1883 3. Personnel records of association or management company 1884 employees, including, but not limited to, disciplinary, payroll, 1885 health, and insurance records. For purposes of this 1886 subparagraph, the term “personnel records” does not include 1887 written employment agreements with an association employee or 1888 management company, or budgetary or financial records that 1889 indicate the compensation paid to an association employee. 1890 4. Medical records of unit owners. 1891 5. Social security numbers, driver license numbers, credit 1892 card numbers, e-mail addresses, telephone numbers, facsimile 1893 numbers, emergency contact information, addresses of a unit 1894 owner other than as provided to fulfill the association’s notice 1895 requirements, and other personal identifying information of any 1896 person, excluding the person’s name, unit designation, mailing 1897 address, property address, and any address, e-mail address, or 1898 facsimile number provided to the association to fulfill the 1899 association’s notice requirements. Notwithstanding the 1900 restrictions in this subparagraph, an association may print and 1901 distribute to unit owners a directory containing the name, unit 1902 address, and all telephone numbers of each unit owner. However, 1903 an owner may exclude his or her telephone numbers from the 1904 directory by so requesting in writing to the association. An 1905 owner may consent in writing to the disclosure of other contact 1906 information described in this subparagraph. The association is 1907 not liable for the inadvertent disclosure of information that is 1908 protected under this subparagraph if the information is included 1909 in an official record of the association and is voluntarily 1910 provided by an owner and not requested by the association. 1911 6. Electronic security measures that are used by the 1912 association to safeguard data, including passwords. 1913 7. The software and operating system used by the 1914 association which allow the manipulation of data, even if the 1915 owner owns a copy of the same software used by the association. 1916 The data is part of the official records of the association. 1917 8. All affirmative acknowledgments made pursuant to s. 1918 719.108(3)(b)3. 1919 Section 15. Paragraphs (k) through (m) of subsection (1) of 1920 section 719.106, Florida Statutes, are redesignated as 1921 paragraphs (m) through (o), respectively, paragraph (j) of 1922 subsection (1) is amended, and new paragraphs (k) and (l) are 1923 added to subsection (1) of that section, to read: 1924 719.106 Bylaws; cooperative ownership.— 1925 (1) MANDATORY PROVISIONS.—The bylaws or other cooperative 1926 documents shall provide for the following, and if they do not, 1927 they shall be deemed to include the following: 1928 (j) Annual budget.— 1929 1. The proposed annual budget of common expenses mustshall1930 be detailed and mustshallshow the amounts budgeted by accounts 1931 and expense classifications, including, if applicable, but not 1932 limited to, those expenses listed in s. 719.504(20). The board 1933 of administration shall adopt the annual budget at least 14 days 1934 beforeprior tothe start of the association’s fiscal year. In 1935 the event that the board fails to timely adopt the annual budget 1936 a second time, it isshall bedeemed a minor violation and the 1937 prior year’s budget shall continue in effect until a new budget 1938 is adopted. 1939 2. In addition to annual operating expenses, the budget 1940 mustshallinclude reserve accounts for capital expenditures and 1941 deferred maintenance. These accounts mustshallinclude, but not 1942 be limited to, roof replacement, building painting, and pavement 1943 resurfacing, regardless of the amount of deferred maintenance 1944 expense or replacement cost, and for any other items for which 1945 the deferred maintenance expense or replacement cost exceeds 1946 $10,000. The amount to be reserved for an item is determined by 1947 the association’s most recent structural integrity reserve study 1948 that must be completed by December 31, 2024. If the amount to be 1949 reserved for an item is not in the association’s initial or most 1950 recent structural integrity reserve study or the association has 1951 not completed a structural integrity reserve study, the amount 1952 mustshallbe computed by means of a formula which is based upon 1953 estimated remaining useful life and estimated replacement cost 1954 or deferred maintenance expense of theeachreserve item. The 1955 association may adjust replacement reserve assessments annually 1956 to take into account any changes in estimates or extension of 1957 the useful life of a reserve item caused by deferred 1958 maintenance.This paragraph shall not apply to any budget in1959whichThe members of a unit-owner controlledanassociation may 1960 determinehave, at a duly called meeting of the association, 1961determinedfor a fiscal year to provide no reserves or reserves 1962 less adequate than required by this subsection. Before turnover 1963 of control of an association by a developer to unit owners other 1964 than a developer under s. 719.301, the developer-controlled 1965 association may not vote to waive the reserves or reduce funding 1966 of the reserves. Effective December 31, 2024, a unit-owner 1967 controlled association may not determine to provide no reserves 1968 or reserves less adequate than required by this paragraph for 1969 items listed in paragraph (k)However, prior to turnover of1970control of an association by a developer to unit owners other1971than a developer pursuant to s. 719.301, the developer may vote1972to waive the reserves or reduce the funding of reserves for the1973first 2 years of the operation of the association after which1974time reserves may only be waived or reduced upon the vote of a1975majority of all nondeveloper voting interests voting in person1976or by limited proxy at a duly called meeting of the association. 1977 If a meeting of the unit owners has been called to determine to 1978 provide no reserves, or reserves less adequate than required, 1979 and such result is not attained or a quorum is not attained, the 1980 reserves as included in the budget shall go into effect. 1981 3. Reserve funds and any interest accruing thereon shall 1982 remain in the reserve account or accounts, and shall be used 1983 only for authorized reserve expenditures unless their use for 1984 other purposes is approved in advance by a vote of the majority 1985 of the voting interests, voting in person or by limited proxy at 1986 a duly called meeting of the association. BeforePrior to1987 turnover of control of an association by a developer to unit 1988 owners other than the developer under s. 719.301, the developer 1989 may not vote to use reserves for purposes other than that for 1990 which they were intendedwithout the approval of a majority of1991all nondeveloper voting interests, voting in person or by1992limited proxy at a duly called meeting of the association. 1993 Effective December 31, 2024, members of a unit-owner controlled 1994 association may not vote to use reserve funds, or any interest 1995 accruing thereon, that are reserved for items listed in 1996 paragraph (k) for purposes other than their intended purpose. 1997 (k) Structural integrity reserve study.— 1998 1. An association must have a structural integrity reserve 1999 study completed at least every 10 years for each building on the 2000 cooperative property that is three stories or higher in height 2001 that includes, at a minimum, a study of the following items as 2002 related to the structural integrity and safety of the building: 2003 a. Roof. 2004 b. Load-bearing walls or other primary structural members. 2005 c. Floor. 2006 d. Foundation. 2007 e. Fireproofing and fire protection systems. 2008 f. Plumbing. 2009 g. Electrical systems. 2010 h. Waterproofing and exterior painting. 2011 i. Windows. 2012 j. Any other item that has a deferred maintenance expense 2013 or replacement cost that exceeds $10,000 and the failure to 2014 replace or maintain such item negatively affects the items 2015 listed in subparagraphs a.-i., as determined by the licensed 2016 engineer or architect performing the visual inspection portion 2017 of the structural integrity reserve study. 2018 2. Before a developer turns over control of an association 2019 to unit owners other than the developer, the developer must have 2020 a structural integrity reserve study completed for each building 2021 on the cooperative property that is three stories or higher in 2022 height. 2023 3. Associations existing on or before July 1, 2022, which 2024 are controlled by unit owners other than the developer, must 2025 have a structural integrity reserve study completed by December 2026 31, 2024, for each building on the cooperative property that is 2027 three stories or higher in height. 2028 4. If an association fails to complete a structural 2029 integrity reserve study pursuant to this paragraph, such failure 2030 is a breach of an officer’s and director’s fiduciary 2031 relationship to the unit owners under s. 719.104(8). 2032 (l) Mandatory milestone inspections.—If an association is 2033 required to have a milestone inspection performed pursuant to s. 2034 553.899, the association must arrange for the milestone 2035 inspection to be performed and is responsible for ensuring 2036 compliance with the requirements of s. 553.899. The association 2037 is responsible for all costs associated with the inspection. If 2038 the officers or directors of an association willfully and 2039 knowingly fail to have a milestone inspection performed pursuant 2040 to s. 553.899, such failure is a breach of the officers’ and 2041 directors’ fiduciary relationship to the unit owners under s. 2042 719.104(8)(a). Upon completion of a phase one or phase two 2043 milestone inspection and receipt of the inspector-prepared 2044 summary of the inspection report from the architect or engineer 2045 who performed the inspection, the association must distribute a 2046 copy of the inspector-prepared summary of the inspection report 2047 to each unit owner, regardless of the findings or 2048 recommendations in the report, by United States mail or personal 2049 delivery and by electronic transmission to unit owners who 2050 previously consented to receive notice by electronic 2051 transmission; must post a copy of the inspector-prepared summary 2052 in a conspicuous place on the cooperative property; and must 2053 publish the full report and inspector-prepared summary on the 2054 association’s website, if the association is required to have a 2055 website. 2056 Section 16. Paragraphs (p) and (q) are added to subsection 2057 (4) of section 719.301, Florida Statutes, to read: 2058 719.301 Transfer of association control.— 2059 (4) When unit owners other than the developer elect a 2060 majority of the members of the board of administration of an 2061 association, the developer shall relinquish control of the 2062 association, and the unit owners shall accept control. 2063 Simultaneously, or for the purpose of paragraph (c) not more 2064 than 90 days thereafter, the developer shall deliver to the 2065 association, at the developer’s expense, all property of the 2066 unit owners and of the association held or controlled by the 2067 developer, including, but not limited to, the following items, 2068 if applicable, as to each cooperative operated by the 2069 association: 2070 (p) Notwithstanding when the certificate of occupancy was 2071 issued or the height of the building, a milestone inspection 2072 report in compliance with s. 553.899 included in the official 2073 records, under seal of an architect or engineer authorized to 2074 practice in this state, attesting to required maintenance, 2075 condition, useful life, and replacement costs of the following 2076 applicable cooperative property comprising a turnover inspection 2077 report: 2078 1. Roof. 2079 2. Structure, including load-bearing walls and primary 2080 structural members and primary structural systems as those terms 2081 are defined in s. 627.706. 2082 3. Fireproofing and fire protection systems. 2083 4. Elevators. 2084 5. Heating and cooling systems. 2085 6. Plumbing. 2086 7. Electrical systems. 2087 8. Swimming pool or spa and equipment. 2088 9. Seawalls. 2089 10. Pavement and parking areas. 2090 11. Drainage systems. 2091 12. Painting. 2092 13. Irrigation systems. 2093 14. Waterproofing. 2094 (q) A copy of the association’s most recent structural 2095 integrity reserve study. 2096 Section 17. Subsection (1) of section 719.501, Florida 2097 Statutes, is amended, and subsection (3) is added to that 2098 section, to read: 2099 719.501 Powers and duties of Division of Florida 2100 Condominiums, Timeshares, and Mobile Homes.— 2101 (1) The Division of Florida Condominiums, Timeshares, and 2102 Mobile Homes of the Department of Business and Professional 2103 Regulation, referred to as the “division” in this part, in 2104 addition to other powers and duties prescribed by chapter 718, 2105 has the power to enforce and ensure compliance with this chapter 2106 and adopted rules relating to the development, construction, 2107 sale, lease, ownership, operation, and management of residential 2108 cooperative units, complaints related to the procedural 2109 completion of the structural integrity reserve studies under s. 2110 719.106(1)(k), and complaints related to the procedural 2111 completion of milestone inspections under s. 553.899. In 2112 performing its duties, the division shall have the following 2113 powers and duties: 2114 (a) The division may make necessary public or private 2115 investigations within or outside this state to determine whether 2116 any person has violated this chapter or any rule or order 2117 hereunder, to aid in the enforcement of this chapter, or to aid 2118 in the adoption of rules or forms hereunder. 2119 (b) The division may require or permit any person to file a 2120 statement in writing, under oath or otherwise, as the division 2121 determines, as to the facts and circumstances concerning a 2122 matter to be investigated. 2123 (c) For the purpose of any investigation under this 2124 chapter, the division director or any officer or employee 2125 designated by the division director may administer oaths or 2126 affirmations, subpoena witnesses and compel their attendance, 2127 take evidence, and require the production of any matter which is 2128 relevant to the investigation, including the existence, 2129 description, nature, custody, condition, and location of any 2130 books, documents, or other tangible things and the identity and 2131 location of persons having knowledge of relevant facts or any 2132 other matter reasonably calculated to lead to the discovery of 2133 material evidence. Upon failure by a person to obey a subpoena 2134 or to answer questions propounded by the investigating officer 2135 and upon reasonable notice to all persons affected thereby, the 2136 division may apply to the circuit court for an order compelling 2137 compliance. 2138 (d) Notwithstanding any remedies available to unit owners 2139 and associations, if the division has reasonable cause to 2140 believe that a violation of any provision of this chapter or 2141 related rule has occurred, the division may institute 2142 enforcement proceedings in its own name against a developer, 2143 association, officer, or member of the board, or its assignees 2144 or agents, as follows: 2145 1. The division may permit a person whose conduct or 2146 actions may be under investigation to waive formal proceedings 2147 and enter into a consent proceeding whereby orders, rules, or 2148 letters of censure or warning, whether formal or informal, may 2149 be entered against the person. 2150 2. The division may issue an order requiring the developer, 2151 association, officer, or member of the board, or its assignees 2152 or agents, to cease and desist from the unlawful practice and 2153 take such affirmative action as in the judgment of the division 2154 will carry out the purposes of this chapter. Such affirmative 2155 action may include, but is not limited to, an order requiring a 2156 developer to pay moneys determined to be owed to a condominium 2157 association. 2158 3. The division may bring an action in circuit court on 2159 behalf of a class of unit owners, lessees, or purchasers for 2160 declaratory relief, injunctive relief, or restitution. 2161 4. The division may impose a civil penalty against a 2162 developer or association, or its assignees or agents, for any 2163 violation of this chapter or related rule. The division may 2164 impose a civil penalty individually against any officer or board 2165 member who willfully and knowingly violates a provision of this 2166 chapter, a rule adopted pursuant to this chapter, or a final 2167 order of the division. The term “willfully and knowingly” means 2168 that the division informed the officer or board member that his 2169 or her action or intended action violates this chapter, a rule 2170 adopted under this chapter, or a final order of the division, 2171 and that the officer or board member refused to comply with the 2172 requirements of this chapter, a rule adopted under this chapter, 2173 or a final order of the division. The division, prior to 2174 initiating formal agency action under chapter 120, shall afford 2175 the officer or board member an opportunity to voluntarily comply 2176 with this chapter, a rule adopted under this chapter, or a final 2177 order of the division. An officer or board member who complies 2178 within 10 days is not subject to a civil penalty. A penalty may 2179 be imposed on the basis of each day of continuing violation, but 2180 in no event shall the penalty for any offense exceed $5,000. By 2181 January 1, 1998, the division shall adopt, by rule, penalty 2182 guidelines applicable to possible violations or to categories of 2183 violations of this chapter or rules adopted by the division. The 2184 guidelines must specify a meaningful range of civil penalties 2185 for each such violation of the statute and rules and must be 2186 based upon the harm caused by the violation, the repetition of 2187 the violation, and upon such other factors deemed relevant by 2188 the division. For example, the division may consider whether the 2189 violations were committed by a developer or owner-controlled 2190 association, the size of the association, and other factors. The 2191 guidelines must designate the possible mitigating or aggravating 2192 circumstances that justify a departure from the range of 2193 penalties provided by the rules. It is the legislative intent 2194 that minor violations be distinguished from those which endanger 2195 the health, safety, or welfare of the cooperative residents or 2196 other persons and that such guidelines provide reasonable and 2197 meaningful notice to the public of likely penalties that may be 2198 imposed for proscribed conduct. This subsection does not limit 2199 the ability of the division to informally dispose of 2200 administrative actions or complaints by stipulation, agreed 2201 settlement, or consent order. All amounts collected shall be 2202 deposited with the Chief Financial Officer to the credit of the 2203 Division of Florida Condominiums, Timeshares, and Mobile Homes 2204 Trust Fund. If a developer fails to pay the civil penalty, the 2205 division shall thereupon issue an order directing that such 2206 developer cease and desist from further operation until such 2207 time as the civil penalty is paid or may pursue enforcement of 2208 the penalty in a court of competent jurisdiction. If an 2209 association fails to pay the civil penalty, the division shall 2210 thereupon pursue enforcement in a court of competent 2211 jurisdiction, and the order imposing the civil penalty or the 2212 cease and desist order shall not become effective until 20 days 2213 after the date of such order. Any action commenced by the 2214 division shall be brought in the county in which the division 2215 has its executive offices or in the county where the violation 2216 occurred. 2217 (e) The division may prepare and disseminate a prospectus 2218 and other information to assist prospective owners, purchasers, 2219 lessees, and developers of residential cooperatives in assessing 2220 the rights, privileges, and duties pertaining thereto. 2221 (f) The division has authority to adopt rules pursuant to 2222 ss. 120.536(1) and 120.54 to implement and enforce the 2223 provisions of this chapter. 2224 (g) The division shall establish procedures for providing 2225 notice to an association when the division is considering the 2226 issuance of a declaratory statement with respect to the 2227 cooperative documents governing such cooperative community. 2228 (h) The division shall furnish each association which pays 2229 the fees required by paragraph (2)(a) a copy of this act, 2230 subsequent changes to this act on an annual basis, an amended 2231 version of this act as it becomes available from the Secretary 2232 of State’s office on a biennial basis, and the rules adopted 2233 thereto on an annual basis. 2234 (i) The division shall annually provide each association 2235 with a summary of declaratory statements and formal legal 2236 opinions relating to the operations of cooperatives which were 2237 rendered by the division during the previous year. 2238 (j) The division shall adopt uniform accounting principles, 2239 policies, and standards to be used by all associations in the 2240 preparation and presentation of all financial statements 2241 required by this chapter. The principles, policies, and 2242 standards shall take into consideration the size of the 2243 association and the total revenue collected by the association. 2244 (k) The division shall provide training and educational 2245 programs for cooperative association board members and unit 2246 owners. The training may, in the division’s discretion, include 2247 web-based electronic media, and live training and seminars in 2248 various locations throughout the state. The division may review 2249 and approve education and training programs for board members 2250 and unit owners offered by providers and shall maintain a 2251 current list of approved programs and providers and make such 2252 list available to board members and unit owners in a reasonable 2253 and cost-effective manner. 2254 (l) The division shall maintain a toll-free telephone 2255 number accessible to cooperative unit owners. 2256 (m) When a complaint is made to the division, the division 2257 shall conduct its inquiry with reasonable dispatch and with due 2258 regard to the interests of the affected parties. Within 30 days 2259 after receipt of a complaint, the division shall acknowledge the 2260 complaint in writing and notify the complainant whether the 2261 complaint is within the jurisdiction of the division and whether 2262 additional information is needed by the division from the 2263 complainant. The division shall conduct its investigation and 2264 shall, within 90 days after receipt of the original complaint or 2265 timely requested additional information, take action upon the 2266 complaint. However, the failure to complete the investigation 2267 within 90 days does not prevent the division from continuing the 2268 investigation, accepting or considering evidence obtained or 2269 received after 90 days, or taking administrative action if 2270 reasonable cause exists to believe that a violation of this 2271 chapter or a rule of the division has occurred. If an 2272 investigation is not completed within the time limits 2273 established in this paragraph, the division shall, on a monthly 2274 basis, notify the complainant in writing of the status of the 2275 investigation. When reporting its action to the complainant, the 2276 division shall inform the complainant of any right to a hearing 2277 pursuant to ss. 120.569 and 120.57. 2278 (n) The division shall develop a program to certify both 2279 volunteer and paid mediators to provide mediation of cooperative 2280 disputes. The division shall provide, upon request, a list of 2281 such mediators to any association, unit owner, or other 2282 participant in arbitration proceedings under s. 718.1255 2283 requesting a copy of the list. The division shall include on the 2284 list of voluntary mediators only persons who have received at 2285 least 20 hours of training in mediation techniques or have 2286 mediated at least 20 disputes. In order to become initially 2287 certified by the division, paid mediators must be certified by 2288 the Supreme Court to mediate court cases in county or circuit 2289 courts. However, the division may adopt, by rule, additional 2290 factors for the certification of paid mediators, which factors 2291 must be related to experience, education, or background. Any 2292 person initially certified as a paid mediator by the division 2293 must, in order to continue to be certified, comply with the 2294 factors or requirements imposed by rules adopted by the 2295 division. 2296 (3)(a) On or before January 1, 2023, cooperative 2297 associations existing on or before July 1, 2022, must provide 2298 the following information to the division in writing, by e-mail, 2299 United States Postal Service, commercial delivery service, or 2300 hand delivery, at a physical address or e-mail address provided 2301 by the division and on a form posted on the division’s website: 2302 1. The number of buildings on the cooperative property that 2303 are three stories or higher in height. 2304 2. The total number of units in all such buildings. 2305 3. The addresses of all such buildings. 2306 4. The counties in which all such buildings are located. 2307 (b) The division must compile a list of the number of 2308 buildings on cooperative property that are three stories or 2309 higher in height, which is searchable by county, and must post 2310 the list on the division’s website. This list must include all 2311 of the following information: 2312 1. The name of each association with buildings on the 2313 cooperative property that are three stories or higher in height. 2314 2. The number of such buildings on each association’s 2315 property. 2316 3. The addresses of all such buildings. 2317 4. The counties in which all such buildings are located. 2318 (c) An association must provide an update in writing to the 2319 division if there are any changes to the information in the list 2320 under paragraph (b) within 6 months after the change. 2321 Section 18. Paragraph (b) of subsection (1) and paragraph 2322 (a) of subsection (2) of section 719.503, Florida Statutes, are 2323 amended to read: 2324 719.503 Disclosure prior to sale.— 2325 (1) DEVELOPER DISCLOSURE.— 2326 (b) Copies of documents to be furnished to prospective 2327 buyer or lessee.—Until such time as the developer has furnished 2328 the documents listed below to a person who has entered into a 2329 contract to purchase a unit or lease it for more than 5 years, 2330 the contract may be voided by that person, entitling the person 2331 to a refund of any deposit together with interest thereon as 2332 provided in s. 719.202. The contract may be terminated by 2333 written notice from the proposed buyer or lessee delivered to 2334 the developer within 15 days after the buyer or lessee receives 2335 all of the documents required by this section. The developer may 2336shallnot close for 15 days afterfollowingthe execution of the 2337 agreement and delivery of the documents to the buyer as 2338 evidenced by a receipt for documents signed by the buyer unless 2339 the buyer is informed in the 15-day voidability period and 2340 agrees to close beforeprior tothe expiration of the 15 days. 2341 The developer shall retain in his or her records a separate 2342 signed agreement as proof of the buyer’s agreement to close 2343 beforeprior tothe expiration of thesaidvoidability period. 2344 The developer must retain suchSaidproofshall be retainedfor 2345 a period of 5 years after the date of the closing transaction. 2346 The documents to be delivered to the prospective buyer are the 2347 prospectus or disclosure statement with all exhibits, if the 2348 development is subject tothe provisions ofs. 719.504, or, if 2349 not, then copies of the following which are applicable: 2350 1. The question and answer sheet described in s. 719.504, 2351 and cooperative documents, or the proposed cooperative documents 2352 if the documents have not been recorded, which shall include the 2353 certificate of a surveyor approximately representing the 2354 locations required by s. 719.104. 2355 2. The documents creating the association. 2356 3. The bylaws. 2357 4. The ground lease or other underlying lease of the 2358 cooperative. 2359 5. The management contract, maintenance contract, and other 2360 contracts for management of the association and operation of the 2361 cooperative and facilities used by the unit owners having a 2362 service term in excess of 1 year, and any management contracts 2363 that are renewable. 2364 6. The estimated operating budget for the cooperative and a 2365 schedule of expenses for each type of unit, including fees 2366 assessed to a shareholder who has exclusive use of limited 2367 common areas, where such costs are shared only by those entitled 2368 to use such limited common areas. 2369 7. The lease of recreational and other facilities that will 2370 be used only by unit owners of the subject cooperative. 2371 8. The lease of recreational and other common areas that 2372 will be used by unit owners in common with unit owners of other 2373 cooperatives. 2374 9. The form of unit lease if the offer is of a leasehold. 2375 10. Any declaration of servitude of properties serving the 2376 cooperative but not owned by unit owners or leased to them or 2377 the association. 2378 11. If the development is to be built in phases or if the 2379 association is to manage more than one cooperative, a 2380 description of the plan of phase development or the arrangements 2381 for the association to manage two or more cooperatives. 2382 12. If the cooperative is a conversion of existing 2383 improvements, the statements and disclosure required by s. 2384 719.616. 2385 13. The form of agreement for sale or lease of units. 2386 14. A copy of the floor plan of the unit and the plot plan 2387 showing the location of the residential buildings and the 2388 recreation and other common areas. 2389 15. A copy of all covenants and restrictions thatwhich2390 will affect the use of the property andwhichare not contained 2391 in the foregoing. 2392 16. If the developer is required by state or local 2393 authorities to obtain acceptance or approval of any dock or 2394 marina facilities intended to serve the cooperative, a copy of 2395 any such acceptance or approval acquired by the time of filing 2396 with the division pursuant to s. 719.502(1) or a statement that 2397 such acceptance or approval has not been acquired or received. 2398 17. Evidence demonstrating that the developer has an 2399 ownership, leasehold, or contractual interest in the land upon 2400 which the cooperative is to be developed. 2401 18. A copy of the inspector-prepared summary of the 2402 milestone inspection report as described in ss. 553.899 and 2403 719.301(4)(p), if applicable. 2404 19. A copy of the association’s most recent structural 2405 integrity reserve study or a statement that the association has 2406 not completed a structural integrity reserve study. 2407 (2) NONDEVELOPER DISCLOSURE.— 2408 (a) Each unit owner who is not a developer as defined by 2409 this chapter must comply withthe provisions ofthis subsection 2410 beforeprior tothe sale of his or her interest in the 2411 association. Each prospective purchaser who has entered into a 2412 contract for the purchase of an interest in a cooperative is 2413 entitled, at the seller’s expense, to a current copy of all of 2414 the following: 2415 1. The articles of incorporation of the association.,2416 2. The bylaws,and rules of the association. 2417 3.,as well asA copy of the question and answer sheet as 2418 provided in s. 719.504. 2419 4. A copy of the inspector-prepared summary of the 2420 milestone inspection report as described in ss. 553.899 and 2421 719.301(4)(p), if applicable. 2422 5. A copy of the association’s most recent structural 2423 integrity reserve study or a statement that the association has 2424 not completed a structural integrity reserve study. 2425 Section 19. Paragraphs (q) and (r) are added to subsection 2426 (23) of section 719.504, Florida Statutes, to read: 2427 719.504 Prospectus or offering circular.—Every developer of 2428 a residential cooperative which contains more than 20 2429 residential units, or which is part of a group of residential 2430 cooperatives which will be served by property to be used in 2431 common by unit owners of more than 20 residential units, shall 2432 prepare a prospectus or offering circular and file it with the 2433 Division of Florida Condominiums, Timeshares, and Mobile Homes 2434 prior to entering into an enforceable contract of purchase and 2435 sale of any unit or lease of a unit for more than 5 years and 2436 shall furnish a copy of the prospectus or offering circular to 2437 each buyer. In addition to the prospectus or offering circular, 2438 each buyer shall be furnished a separate page entitled 2439 “Frequently Asked Questions and Answers,” which must be in 2440 accordance with a format approved by the division. This page 2441 must, in readable language: inform prospective purchasers 2442 regarding their voting rights and unit use restrictions, 2443 including restrictions on the leasing of a unit; indicate 2444 whether and in what amount the unit owners or the association is 2445 obligated to pay rent or land use fees for recreational or other 2446 commonly used facilities; contain a statement identifying that 2447 amount of assessment which, pursuant to the budget, would be 2448 levied upon each unit type, exclusive of any special 2449 assessments, and which identifies the basis upon which 2450 assessments are levied, whether monthly, quarterly, or 2451 otherwise; state and identify any court cases in which the 2452 association is currently a party of record in which the 2453 association may face liability in excess of $100,000; and state 2454 whether membership in a recreational facilities association is 2455 mandatory and, if so, identify the fees currently charged per 2456 unit type. The division shall by rule require such other 2457 disclosure as in its judgment will assist prospective 2458 purchasers. The prospectus or offering circular may include more 2459 than one cooperative, although not all such units are being 2460 offered for sale as of the date of the prospectus or offering 2461 circular. The prospectus or offering circular must contain the 2462 following information: 2463 (23) Copies of the following, to the extent they are 2464 applicable, shall be included as exhibits: 2465 (q) A copy of the inspector-prepared summary of the 2466 milestone inspection report as described in ss. 553.899 and 2467 719.301(4)(p), if applicable. 2468 (r) The association’s most recent structural integrity 2469 reserve study or a statement that the association has not 2470 completed a structural integrity reserve study. 2471 Section 20. Paragraphs (d) and (k) of subsection (10) of 2472 section 720.303, Florida Statutes, are amended to read: 2473 720.303 Association powers and duties; meetings of board; 2474 official records; budgets; financial reporting; association 2475 funds; recalls.— 2476 (10) RECALL OF DIRECTORS.— 2477 (d) If the board determines not to certify the written 2478 agreement or written ballots to recall a director or directors 2479 of the board or does not certify the recall by a vote at a 2480 meeting, the board shall, within 5 full business days after the 2481 meeting, file an action with a court of competent jurisdiction 2482 or file with the department a petition for binding arbitration 2483 under the applicable procedures in ss. 718.112(2)(l)ss.2484718.112(2)(j)and 718.1255 and the rules adopted thereunder. For 2485 the purposes of this section, the members who voted at the 2486 meeting or who executed the agreement in writing shall 2487 constitute one party under the petition for arbitration or in a 2488 court action. If the arbitrator or court certifies the recall as 2489 to any director or directors of the board, the recall will be 2490 effective upon the final order of the court or the mailing of 2491 the final order of arbitration to the association. The director 2492 or directors so recalled shall deliver to the board any and all 2493 records of the association in their possession within 5 full 2494 business days after the effective date of the recall. 2495 (k) A board member who has been recalled may file an action 2496 with a court of competent jurisdiction or a petition under ss. 2497 718.112(2)(l)ss. 718.112(2)(j)and 718.1255 and the rules 2498 adopted challenging the validity of the recall. The petition or 2499 action must be filed within 60 days after the recall is deemed 2500 certified. The association and the parcel owner representative 2501 shall be named as respondents. 2502 Section 21. Subsection (1) of section 720.311, Florida 2503 Statutes, is amended to read: 2504 720.311 Dispute resolution.— 2505 (1) The Legislature finds that alternative dispute 2506 resolution has made progress in reducing court dockets and 2507 trials and in offering a more efficient, cost-effective option 2508 to litigation. The filing of any petition for arbitration or the 2509 serving of a demand for presuit mediation as provided for in 2510 this section shall toll the applicable statute of limitations. 2511 Any recall dispute filed with the department under s. 2512 720.303(10) shall be conducted by the department in accordance 2513 with the provisions of ss. 718.112(2)(l)ss. 718.112(2)(j)and 2514 718.1255 and the rules adopted by the division. In addition, the 2515 department shall conduct binding arbitration of election 2516 disputes between a member and an association in accordance with 2517 s. 718.1255 and rules adopted by the division. Election disputes 2518 and recall disputes are not eligible for presuit mediation; 2519 these disputes must be arbitrated by the department or filed in 2520 a court of competent jurisdiction. At the conclusion of an 2521 arbitration proceeding, the department shall charge the parties 2522 a fee in an amount adequate to cover all costs and expenses 2523 incurred by the department in conducting the proceeding. 2524 Initially, the petitioner shall remit a filing fee of at least 2525 $200 to the department. The fees paid to the department shall 2526 become a recoverable cost in the arbitration proceeding, and the 2527 prevailing party in an arbitration proceeding shall recover its 2528 reasonable costs and attorney fees in an amount found reasonable 2529 by the arbitrator. The department shall adopt rules to 2530 effectuate the purposes of this section. 2531 Section 22. Subsection (6) of section 721.15, Florida 2532 Statutes, is amended to read: 2533 721.15 Assessments for common expenses.— 2534 (6) Notwithstanding any contrary requirements of s. 2535 718.112(2)(i)s. 718.112(2)(g)or s. 719.106(1)(g), for 2536 timeshare plans subject to this chapter, assessments against 2537 purchasers need not be made more frequently than annually. 2538 Section 23. This act shall take effect upon becoming a law.