Bill Text: FL S1322 | 2018 | Regular Session | Introduced
Bill Title: Open and Expired Building Permits
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2018-03-10 - Died in Regulated Industries [S1322 Detail]
Download: Florida-2018-S1322-Introduced.html
Florida Senate - 2018 SB 1322
By Senator Powell
30-00541A-18 20181322__
1 A bill to be entitled
2 An act relating to open and expired building permits;
3 amending s. 489.129, F.S.; authorizing the
4 Construction Industry Licensing Board to take
5 specified actions against any certificateholder or
6 registrant if a contractor, a financially responsible
7 officer, or a certain business organization is found
8 guilty of failing to properly close any permit or
9 satisfy any applicable permit requirement; creating s.
10 553.7905, F.S.; requiring a building permit to be
11 considered an open permit if it is issued for any
12 portion of construction of any commercial,
13 residential, or mixed-use project that has not
14 received final inspection approval and that has not
15 complied with other requirements of the permit at
16 issue within a specified period; requiring an open
17 permit that expires without receiving final inspection
18 approval and complying with other requirements of the
19 permit at issue to be considered an expired permit;
20 specifying conditions under which a permit is a closed
21 permit; authorizing uncompleted permitted projects to
22 be transferred, or sold, and completed by a new owner
23 in accordance with procedures or requirements of a
24 local governmental jurisdiction; authorizing open or
25 expired permits to be closed by or on behalf of the
26 current property owner by complying with certain
27 requirements; providing applicability; prohibiting the
28 permitting authority from denying issuance of permits
29 to, issuing notices of violation to, or fining,
30 penalizing, sanctioning, or assessing fees against a
31 subsequent arms-length purchaser of the subject
32 property for value solely because a building permit
33 was not properly closed within certain periods;
34 requiring the permitting authority to continue to have
35 all rights and remedies against the property owner and
36 contractor identified on the permit; requiring the
37 Florida Building Commission to adopt rules and amend
38 the applicable Florida Building Code to enact
39 procedures designed to encourage property owners and
40 contractors to close permits properly; authorizing
41 individual trade permits or certain other permit types
42 to be closed under certain circumstances; providing
43 applicability; authorizing local boards or
44 governmental jurisdictions to adopt stricter standards
45 to govern the closure of building permits under
46 certain circumstances; authorizing the owner of a home
47 for sale to assume the role of an owner-builder in
48 order to resolve an open permit for a substantially
49 completed project under certain circumstances;
50 prohibiting such owner from being required to continue
51 to reside in the home for a specified period;
52 authorizing a local building official to refuse to
53 accept new permit applications from any contractor who
54 holds expired or inactive permits under a specified
55 circumstance; authorizing a contractor to hold an
56 unlimited number of active permits; providing that
57 provisions in the Florida Building Code authorizing
58 permits to be administratively closed by the local
59 building official are not applicable to a permit
60 subject to regulation by an agency not specifically
61 enforcing the Florida Building Code, except where the
62 local building official has regulatory authority over
63 other areas related to the permit; requiring the local
64 building department to provide to the property owner a
65 certain mandatory written notice when issuing a
66 building permit, subject to certain requirements;
67 authorizing a governmental entity to charge only one
68 search fee for searching for and identifying certain
69 open or unexpired building permits in an amount
70 commensurate with research and time costs incurred by
71 the jurisdiction; requiring, for a permit issued after
72 a certain date, the local building department to send
73 a written notice to the current property owner within
74 a specified period after issuance of such permit if
75 the permit has not been properly closed within that
76 period; providing requirements for the notice;
77 providing that failure to receive written notice does
78 not relieve the contractor or property owner from
79 taking the necessary actions to legally close a
80 permit; providing construction; providing an effective
81 date.
82
83 Be It Enacted by the Legislature of the State of Florida:
84
85 Section 1. Paragraph (o) of subsection (1) of section
86 489.129, Florida Statutes, is amended to read:
87 489.129 Disciplinary proceedings.—
88 (1) The board may take any of the following actions against
89 any certificateholder or registrant: place on probation or
90 reprimand the licensee, revoke, suspend, or deny the issuance or
91 renewal of the certificate or registration, require financial
92 restitution to a consumer for financial harm directly related to
93 a violation of a provision of this part, impose an
94 administrative fine not to exceed $10,000 per violation, require
95 continuing education, or assess costs associated with
96 investigation and prosecution, if the contractor, financially
97 responsible officer, or business organization for which the
98 contractor is a primary qualifying agent, a financially
99 responsible officer, or a secondary qualifying agent responsible
100 under s. 489.1195 is found guilty of any of the following acts:
101 (o) Proceeding on any job without obtaining applicable
102 local building department permits and inspections, or failing to
103 properly close any permit or satisfy any applicable permit
104 requirement.
105
106 For the purposes of this subsection, construction is considered
107 to be commenced when the contract is executed and the contractor
108 has accepted funds from the customer or lender. A contractor
109 does not commit a violation of this subsection when the
110 contractor relies on a building code interpretation rendered by
111 a building official or person authorized by s. 553.80 to enforce
112 the building code, absent a finding of fraud or deceit in the
113 practice of contracting, or gross negligence, repeated
114 negligence, or negligence resulting in a significant danger to
115 life or property on the part of the building official, in a
116 proceeding under chapter 120.
117 Section 2. Section 553.7905, Florida Statutes, is created
118 to read:
119 553.7905 Open and expired permits; procedures for closing;
120 notices to owners applying for permits.—
121 (1) A building permit shall be considered an open permit if
122 it is issued for any portion of construction of any commercial,
123 residential, or mixed-use project that has not received final
124 inspection approval and that has not complied with other
125 requirements of the permit at issue within one of the following
126 periods:
127 (a) One year after the expiration of the notice of
128 commencement or last amendment thereto.
129 (b) In the absence of a notice of commencement:
130 1. One year after the last inspection conducted under the
131 permit.
132 2. If an inspection has not been performed on the project,
133 2 years after the date of issuance of the permit.
134 (2) If an open permit expires without receiving final
135 inspection approval and complying with other requirements of the
136 permit at issue, the open permit shall be considered an expired
137 permit as provided in s. 105.4 of the Florida Building Code.
138 (3) A closed permit is a building permit in which any of
139 the following apply:
140 (a) A final inspection approval has been obtained upon
141 satisfaction of permit requirements.
142 (b) No work is started under the original permit within 6
143 months after issuance of the permit.
144 (c) The requirements of paragraph (4)(b) are satisfied.
145 (4)(a) An uncompleted permitted project may be transferred,
146 or sold, and completed by a new owner in accordance with
147 procedures or requirements of a local governmental jurisdiction.
148 (b) An open or expired permit may be closed by or on behalf
149 of the current property owner, regardless of whether the
150 property owner is the same owner who originally applied for the
151 permit or is a subsequent owner, by complying with the
152 requirements for closing permits pursuant to a mutual agreement
153 between the current property owner and the local building
154 department that issued the permit or, absent such an agreement,
155 by complying with the following requirements:
156 1. The property owner may retain the original contractor
157 who obtained the permit or hire a different contractor licensed
158 in this state who possesses any license required for the
159 performance of any work necessary to satisfy conditions of the
160 permit at issue, in order to close the open or expired permit;
161 reactivate the permit if it is expired; or satisfy any
162 requirement of the permit at issue not yet satisfied, including
163 correction of any code violation in accordance with the code in
164 effect when the application for the permit was filed and
165 obtaining any necessary inspection. The state license of
166 whichever contractor performs these functions must be current
167 and active. The contractor and the owner must comply with the
168 local building department’s change of contractor process, after
169 which the contractor may not be liable for any existing defect
170 or existing work failing to comply with any applicable code,
171 rule, regulation, ordinance, requirement of the permit at issue,
172 or law other than the work actually performed by the contractor.
173 The property owner and the permitholder under the original open
174 or expired permit remain liable, within the period of any
175 applicable statute of limitations or repose and as provided by
176 applicable law, for any defect in the work or for failure to
177 comply with any applicable code, rule, regulation, ordinance,
178 permit requirement, or law. To the extent required by chapter
179 489, the owner or the contractor may hire licensed
180 subcontractors in the scope of the permitted work who may
181 perform the functions of the contractor as outlined in this
182 subsection to the extent of work covered by the subcontractor’s
183 license. All work required to properly close an open or expired
184 permit under this section shall be performed in accordance with
185 the building code in effect on the date of filing of the
186 application for the open or expired permit.
187 2.a. As an alternative to the procedure in subparagraph 1.,
188 the property owner may hire an engineer or architect who
189 possesses a current and active license in this state; is
190 experienced in designing, supervising, or inspecting work of the
191 nature covered by the open or expired permit at issue; and has
192 at least 3 years of experience in performing field inspections
193 regarding such work, in order to inspect the construction work
194 subject to the open or expired building permit, direct any
195 repair necessary to comply with all the requirements of the
196 permit at issue, and then confirm compliance therewith by
197 submitting an affidavit bearing the seal of the engineer or
198 architect to the issuing local building department. The
199 affidavit must be substantially in the following form:
200
201 I, ...(specify name)..., possess a current and active
202 ...(specify engineering or architectural)... license
203 within the State of Florida. I am experienced in
204 designing, supervising, or inspecting work of the
205 nature covered by the open or expired permit at the
206 real property located at ...(specify address).... I
207 have at least three years of experience in performing
208 field inspections as to such work. I have inspected
209 the construction work subject to the open or expired
210 building permit number ...(specify number)..., and I
211 confirm that the construction work complies with all
212 known requirements of the permit at issue.
213
214 Signed:
215
216 ...(affix licensing seal)...
217
218 b. If any of the permitted work includes construction
219 outside the engineer’s or architect’s area of expertise, the
220 property owner, engineer, or architect may hire an engineer or
221 architect licensed in the scope of the permitted work who may
222 direct any necessary repair to comply with all requirements of
223 the permit at issue. The engineer or architect hired by the
224 property owner, engineer, or architect must confirm compliance
225 by submitting to the local building department issuing the
226 permit a signed and sealed affidavit attesting to compliance
227 with all requirements of the permit at issue. The local building
228 department issuing the permit shall accept the affidavit or
229 affidavits referenced in sub-subparagraph a. as satisfaction of
230 all requirements of the permit at issue and shall thereafter
231 close the building permit, unless it conducts its own final
232 inspections within 7 business days after receipt of the
233 affidavit or affidavits. If the local building department
234 conducts its own final inspection and discovers conditions
235 constituting code or permit violations within the scope of work
236 covered by the permit, the conditions must be repaired to the
237 local building department’s satisfaction as a condition to
238 closing the permit. All work required to properly close an open
239 or expired permit under this section shall be performed in
240 accordance with the building code in effect on the date of
241 filing the application for the open or expired permit.
242 (5) The requirements of paragraph (4)(b) apply regardless
243 of whether the building permit is still open or has expired.
244 (6)(a) The permitting authority may not deny issuance of a
245 building permit to; issue a notice of violation to; or fine,
246 penalize, sanction, or assess fees against a subsequent arms
247 length purchaser of the subject property for value solely
248 because a building permit was not properly closed within one of
249 the following periods:
250 1. Five years after expiration of the date of recordation
251 of the notice of commencement or last amendment thereto.
252 2. If a notice of commencement was not recorded, within 7
253 years after the building permit was issued.
254 (b) The permitting authority shall continue to have all
255 rights and remedies against the property owner and contractor
256 identified on the permit. The Florida Building Commission shall
257 adopt rules and amend the applicable Florida Building Code to
258 enact procedures designed to encourage property owners and
259 contractors to close permits properly.
260 (7)(a) An individual trade permit or any other permit type
261 as determined by the local building official as defined in s.
262 553.791(1)(g) may be closed when no apparent safety hazard
263 exists, and for which no code violation has been previously
264 documented, after 6 years after issuance of the permit. This
265 paragraph does not apply to a building permit for a building
266 project still under construction with a legally granted permit
267 extension.
268 (b) A local board or governmental jurisdiction may adopt
269 stricter standards to govern the closure of a building permit if
270 the stricter standards apply only prospectively and not
271 retroactively to previously issued permits, regardless of
272 whether the permits remain open or have expired, and if the
273 stricter standards do not change the requirements of paragraph
274 (4)(b) and do not supersede this section.
275 (8) As an alternative to the requirements of paragraph
276 (4)(b) on real property consisting of single or multiple family
277 dwellings up to and including four units, with the approval of
278 the local building official, the owner of a home for sale may
279 assume the role of an owner-builder in order to resolve an open
280 permit for a substantially completed project when the project is
281 abandoned or otherwise not completed by the licensed contractor
282 who obtained the permit. The owner may not be required to
283 continue to reside in the home for 1 year.
284 (9)(a) A local building official may refuse to accept a new
285 building permit application from a contractor who holds expired
286 or inactive permits in excess of a specific publicized threshold
287 number of expired or inactive permits which is set in advance by
288 written policy or ordinance in a local jurisdiction.
289 (b) A contractor may hold an unlimited number of active
290 permits.
291 (10) Provisions in the Florida Building Code authorizing
292 permits to be administratively closed by the local building
293 official are not applicable to a permit subject to regulation by
294 an agency not specifically enforcing the Florida Building Code,
295 except where the local building official has regulatory
296 authority over other areas related to the permit, such as zoning
297 or other land development code provisions. The regulations not
298 subject to such provisions in the Florida Building Code include,
299 but are not limited to, local zoning and land use rules, local
300 stormwater management rules, local platting and subdivision
301 requirements, rules implemented by the Department of Health,
302 rules implemented by the Department of Business and Professional
303 Regulation, local utility standards, and provisions of the
304 National Flood Insurance Program Community Rating System.
305 (11) When issuing a building permit, the local building
306 department shall provide to the property owner a mandatory
307 written notice, which may be electronically provided if the
308 permit package is electronically provided, in the following
309 form:
310
311 IMPORTANT NOTICE REGARDING COMPLYING WITH THE
312 INSPECTION AND APPROVAL PROCESS FOR ALL BUILDING
313 PERMITS
314
315 You are receiving a building permit authorizing the
316 construction referenced in the application that was
317 submitted to this local building department by you or
318 on your behalf. The permit is issued with conditions,
319 including required building inspections and assurances
320 that the construction complies with the design
321 submitted with the permit application and any other
322 conditions referenced in the permit. It is critical
323 that you ensure that all necessary building
324 inspections are passed before the expiration of any
325 notice of commencement or amendment thereto, as these
326 inspections are important to ensure that construction
327 has been performed in a safe and proper manner. If you
328 have any questions regarding these procedures, please
329 call the local building department. Your failure to
330 comply may also result in unsafe conditions arising
331 from your construction.
332
333 (12) The applicable governmental entity may charge only one
334 search fee for searching for and identifying open or unexpired
335 building permits for any unit or subunit assigned by a
336 municipality or county to a particular tax parcel identification
337 number, in an amount commensurate with research and time costs
338 incurred by the jurisdiction.
339 (13) For all building permits issued after July 1, 2018,
340 the local building department must send a written notice to the
341 current property owner within 1 year to 3 years after issuance
342 of any building permit that has not been properly closed out
343 within that period. The notice must advise the property owner of
344 the need to properly close the permit upon completion of the
345 work covered by the permit. Failure to receive written notice
346 does not relieve the contractor or the property owner from
347 taking the necessary actions to legally close the permit.
348 (14) This act does not prevent a local governmental entity
349 from enforcing any provision of a local land development code or
350 other local ordinance to the extent not inconsistent with this
351 section or prevent a local governmental entity from enacting a
352 provision that adds more requirements to the process of closing
353 out open or expired permits.
354 Section 3. This act shall take effect July 1, 2018.
