| 1018 |
(b) Quorum;
voting requirements; proxies.-- |
| 1019 |
1. Unless
a lower number is provided in the bylaws, the |
| 1020 |
percentage of voting interests required
to constitute a quorum |
| 1021 |
at a meeting of the members shall be a
majority of the voting |
| 1022 |
interests. Unless otherwise provided in
this chapter or in the |
| 1023 |
declaration, articles of incorporation,
or bylaws, and except as |
| 1024 |
provided in subparagraph (d)3.,
decisions shall be made by |
| 1025 |
owners of a majority of the voting
interests represented at a |
| 1026 |
meeting at which a quorum is present. |
| 1027 |
2. Except
as specifically otherwise provided herein, after |
| 1028 |
January 1, 1992, unit owners may not
vote by general proxy, but |
| 1029 |
may vote by limited proxies
substantially conforming to a |
| 1030 |
limited proxy form adopted by the
division. Limited proxies and |
| 1031 |
general proxies may be used to establish
a quorum. Limited |
| 1032 |
proxies shall be used for votes taken to
waive or reduce |
| 1033 |
reserves in accordance with subparagraph
(f)2.; for votes taken |
| 1034 |
to waive the financial reporting
requirements of s. 718.111(13); |
| 1035 |
for votes taken to amend the declaration
pursuant to s. 718.110; |
| 1036 |
for votes taken to amend the articles of
incorporation or bylaws |
| 1037 |
pursuant to this section; and for any
other matter for which |
| 1038 |
this chapter requires or permits a vote
of the unit owners. |
| 1039 |
Except as
provided in paragraph (d), after January 1, 1992, No |
| 1040 |
proxy, limited or general, shall be used
in the election of |
| 1041 |
board members. General proxies may be
used for other matters for |
| 1042 |
which limited proxies are not required,
and may also be used in |
| 1043 |
voting for nonsubstantive changes to
items for which a limited |
| 1044 |
proxy is required and given.
Notwithstanding the provisions of |
| 1045 |
this subparagraph, unit owners may vote
in person at unit owner |
| 1046 |
meetings. Nothing contained herein shall
limit the use of |
| 1047 |
general proxies or require the use of
limited proxies for any |
| 1048 |
agenda item or election at any meeting
of a timeshare |
| 1049 |
condominium association. |
| 1050 |
3. Any
proxy given shall be effective only for the |
| 1051 |
specific meeting for which originally
given and any lawfully |
| 1052 |
adjourned meetings thereof. In no event
shall any proxy be valid |
| 1053 |
for a period longer than 90 days after
the date of the first |
| 1054 |
meeting for which it was given. Every
proxy is revocable at any |
| 1055 |
time at the pleasure of the unit owner
executing it. |
| 1056 |
4. A
member of the board of administration or a committee |
| 1057 |
may submit in writing his or her
agreement or disagreement with |
| 1058 |
any action taken at a meeting that the
member did not attend. |
| 1059 |
This agreement or disagreement may not
be used as a vote for or |
| 1060 |
against the action taken and may not be
used for the purposes of |
| 1061 |
creating a quorum. |
| 1062 |
5. When
any of the board or committee members meet by |
| 1063 |
telephone conference, those board or
committee members attending |
| 1064 |
by telephone conference may be counted
toward obtaining a quorum |
| 1065 |
and may vote by telephone. A telephone
speaker must be used so |
| 1066 |
that the conversation of those board or
committee members |
| 1067 |
attending by telephone may be heard by
the board or committee |
| 1068 |
members attending in person as well as
by any unit owners |
| 1069 |
present at a meeting. |
| 1070 |
(c) Board
of administration meetings.--Meetings of the |
| 1071 |
board of administration at which a
quorum of the members is |
| 1072 |
present shall be open to all unit
owners. No action shall be |
| 1073 |
taken or resolution
made without an open meeting of the board of |
| 1074 |
administration. The
board of administration shall address agenda |
| 1075 |
items proposed by a
petition of 20 percent of the unit owners. |
| 1076 |
Unless otherwise
provided in the bylaws, boards of |
| 1077 |
administration shall
use rules of parliamentary procedure in |
| 1078 |
conducting all
association meetings and business. A unit owner's |
| 1079 |
facsimile signature
shall constitute the unit owner's original |
| 1080 |
signature in any
matter under this chapter that requires the |
| 1081 |
unit owner's
signature. Correspondence from the board of |
| 1082 |
administration to
unit owners shall be accomplished by the same |
| 1083 |
delivery method used
by the unit owner except as otherwise |
| 1084 |
provided in
this paragraph. Any unit owner may tape record or |
| 1085 |
videotape meetings of the board of
administration. The right to |
| 1086 |
attend such meetings includes the right
to speak at such |
| 1087 |
meetings with reference to all
designated agenda items. The |
| 1088 |
division shall adopt reasonable rules
governing the tape |
| 1089 |
recording and videotaping of the
meeting. The association may |
| 1090 |
adopt written reasonable rules governing
the frequency, |
| 1091 |
duration, and manner of unit owner
statements. Adequate notice |
| 1092 |
of all meetings, which notice shall
specifically incorporate an |
| 1093 |
identification of agenda items, shall be
posted conspicuously on |
| 1094 |
the condominium property at least 48
continuous hours preceding |
| 1095 |
the meeting except in an emergency. Any
item not included on the |
| 1096 |
notice may be taken up on an emergency
basis by at least a |
| 1097 |
majority plus one of the members of the
board or by a petition |
| 1098 |
of 20 percent
of the unit owners. Such emergency action shall be |
| 1099 |
noticed and ratified at the next regular
meeting of the board. |
| 1100 |
However, written notice of any meeting
at which nonemergency |
| 1101 |
special assessments, or at which
amendment to rules regarding |
| 1102 |
unit use, will be considered shall be
mailed, delivered, or |
| 1103 |
electronically transmitted to the unit
owners and posted |
| 1104 |
conspicuously on the condominium
property not less than 14 days |
| 1105 |
prior to the meeting. Evidence of
compliance with this 14-day |
| 1106 |
notice shall be made by an affidavit
executed by the person |
| 1107 |
providing the notice and filed among the
official records of the |
| 1108 |
association. Upon notice to the unit
owners, the board shall by |
| 1109 |
duly adopted rule designate a specific
location on the |
| 1110 |
condominium property or association
property upon which all |
| 1111 |
notices of board meetings shall be
posted. If there is no |
| 1112 |
condominium property or association
property upon which notices |
| 1113 |
can be posted, notices of board meetings
shall be mailed, |
| 1114 |
delivered, or electronically transmitted
at least 14 days before |
| 1115 |
the meeting to the owner of each unit.
In lieu of or in addition |
| 1116 |
to the physical posting of notice of any
meeting of the board of |
| 1117 |
administration on the condominium
property, the association may, |
| 1118 |
by reasonable rule, adopt a procedure
for conspicuously posting |
| 1119 |
and repeatedly broadcasting the notice
and the agenda on a |
| 1120 |
closed-circuit cable television system
serving the condominium |
| 1121 |
association. However, if broadcast
notice is used in lieu of a |
| 1122 |
notice posted physically on the
condominium property, the notice |
| 1123 |
and agenda must be broadcast at least
four times every broadcast |
| 1124 |
hour of each day that a posted notice is
otherwise required |
| 1125 |
under this section. When broadcast
notice is provided, the |
| 1126 |
notice and agenda must be broadcast in a
manner and for a |
| 1127 |
sufficient continuous length of time so
as to allow an average |
| 1128 |
reader to observe the notice and read
and comprehend the entire |
| 1129 |
content of the notice and the agenda.
Notice of any meeting in |
| 1130 |
which regular or
special assessments against unit owners are to |
| 1131 |
be considered for any reason shall
specifically state contain
a |
| 1132 |
statement
that assessments will be considered and the nature, |
| 1133 |
cost, and
breakdown of any such assessments. Meetings of a |
| 1134 |
committee to take final action on behalf
of the board or make |
| 1135 |
recommendations to the board regarding
the association budget |
| 1136 |
are subject to the provisions of this
paragraph. Meetings of a |
| 1137 |
committee that does not take final
action on behalf of the board |
| 1138 |
or make recommendations to the board
regarding the association |
| 1139 |
budget are subject to the provisions of
this section, unless |
| 1140 |
those meetings are exempted from this
section by the bylaws of |
| 1141 |
the association. Notwithstanding any
other law, the requirement |
| 1142 |
that board meetings and committee
meetings be open to the unit |
| 1143 |
owners is inapplicable to meetings
between the board or a |
| 1144 |
committee and the association's
attorney, with respect to |
| 1145 |
proposed or pending litigation, when the
meeting is held for the |
| 1146 |
purpose of seeking or rendering legal
advice. |
| 1147 |
(d) Unit
owner meetings.-- |
| 1148 |
1. There
shall be an annual meeting of the unit owners. |
| 1149 |
Unless the bylaws provide otherwise, a
vacancy on the board |
| 1150 |
caused by the expiration of a director's
term shall be filled by |
| 1151 |
electing a new board member, and the
election shall be by secret |
| 1152 |
ballot; however, if the number of
vacancies equals or exceeds |
| 1153 |
the number of candidates, no election is
required. If there is |
| 1154 |
no provision in the bylaws for terms of
the members of the |
| 1155 |
board, the terms of all members of the
board shall expire upon |
| 1156 |
the election of their successors at the
annual meeting. Any unit |
| 1157 |
owner desiring to be a candidate for
board membership shall |
| 1158 |
comply with subparagraph 3. The
only prohibition against |
| 1159 |
eligibility for
board membership shall be for a person who has |
| 1160 |
been convicted of any felony by any
court of record in the |
| 1161 |
United States and who has not had his or
her right to vote |
| 1162 |
restored pursuant to law in the
jurisdiction of his or her |
| 1163 |
residence is
not eligible for board membership. The validity of |
| 1164 |
an action by the board is not affected
if it is later determined |
| 1165 |
that a member of the board is ineligible
for board membership |
| 1166 |
due to having been convicted of a
felony. |
| 1167 |
2. The
bylaws shall provide the method of calling meetings |
| 1168 |
of unit owners, including annual
meetings. Written notice, which |
| 1169 |
notice must include an agenda, shall be
mailed, hand delivered, |
| 1170 |
or electronically transmitted to each
unit owner at least 14 |
| 1171 |
days prior to the annual meeting and
shall be posted in a |
| 1172 |
conspicuous place on the condominium
property at least 14 |
| 1173 |
continuous days preceding the annual
meeting. Upon notice to the |
| 1174 |
unit owners, the board shall by duly
adopted rule designate a |
| 1175 |
specific location on the condominium
property or association |
| 1176 |
property upon which all notices of unit
owner meetings shall be |
| 1177 |
posted; however, if there is no
condominium property or |
| 1178 |
association property upon which notices
can be posted, this |
| 1179 |
requirement does not apply. In lieu of
or in addition to the |
| 1180 |
physical posting of notice of any
meeting of the unit owners on |
| 1181 |
the condominium property, the
association may, by reasonable |
| 1182 |
rule, adopt a procedure for
conspicuously posting and repeatedly |
| 1183 |
broadcasting the notice and the agenda
on a closed-circuit cable |
| 1184 |
television system serving the
condominium association. However, |
| 1185 |
if broadcast notice is used in lieu of a
notice posted |
| 1186 |
physically on the condominium property,
the notice and agenda |
| 1187 |
must be broadcast at least four times
every broadcast hour of |
| 1188 |
each day that a posted notice is
otherwise required under this |
| 1189 |
section. When broadcast notice is
provided, the notice and |
| 1190 |
agenda must be broadcast in a manner and
for a sufficient |
| 1191 |
continuous length of time so as to allow
an average reader to |
| 1192 |
observe the notice and read and
comprehend the entire content of |
| 1193 |
the notice and the agenda. Unless a unit
owner waives in writing |
| 1194 |
the right to receive notice of the
annual meeting, such notice |
| 1195 |
shall be hand delivered, mailed, or
electronically transmitted |
| 1196 |
to each unit owner. Notice for meetings
and notice for all other |
| 1197 |
purposes shall be mailed to each unit
owner at the address last |
| 1198 |
furnished to the association by the unit
owner, or hand |
| 1199 |
delivered to each unit owner. However,
if a unit is owned by |
| 1200 |
more than one person, the association
shall provide notice, for |
| 1201 |
meetings and all other purposes, to that
one address which the |
| 1202 |
developer initially identifies for that
purpose and thereafter |
| 1203 |
as one or more of the owners of the unit
shall so advise the |
| 1204 |
association in writing, or if no address
is given or the owners |
| 1205 |
of the unit do not agree, to the address
provided on the deed of |
| 1206 |
record. An officer of the association,
or the manager or other |
| 1207 |
person providing the
first notice of the association meeting, |
| 1208 |
and the second
notice as provided for in subparagraph 3., shall |
| 1209 |
provide an affidavit or United States
Postal Service certificate |
| 1210 |
of mailing, to be included in the
official records of the |
| 1211 |
association affirming that the notices
were notice was mailed
or |
| 1212 |
hand delivered, in accordance with this
provision. |
| 1213 |
3. The
members of the board shall be elected by written |
| 1214 |
ballot or voting machine. Proxies shall
in no event be used in |
| 1215 |
electing the board, either in general
elections or elections to |
| 1216 |
fill vacancies caused by recall,
resignation, or otherwise, |
| 1217 |
unless otherwise provided in this
chapter. Not less than 60 days |
| 1218 |
before a scheduled election, the
association or its |
| 1219 |
representative
shall mail, deliver, or electronically transmit, |
| 1220 |
whether by separate association mailing
or included in another |
| 1221 |
association mailing, delivery, or
transmission, including |
| 1222 |
regularly published newsletters, to each
unit owner entitled to |
| 1223 |
a vote, a first notice of the date of
the election. Any unit |
| 1224 |
owner or other eligible person desiring
to be a candidate for |
| 1225 |
the board must give written notice to
the association or its |
| 1226 |
representative
not less than 40 days before a scheduled |
| 1227 |
election. Together with the written
notice and agenda as set |
| 1228 |
forth in subparagraph 2., the
association or its representative |
| 1229 |
shall mail, deliver, or electronically
transmit a second notice |
| 1230 |
of the election to all unit owners
entitled to vote therein, |
| 1231 |
together with a ballot which shall list
all candidates. Upon |
| 1232 |
request of a candidate, the association or
its representative |
| 1233 |
shall include an information sheet, no
larger than 81/2 inches |
| 1234 |
by 11 inches, which must be furnished by
the candidate not less |
| 1235 |
than 35 days before the election, to be
included with the |
| 1236 |
mailing, delivery, or transmission of
the ballot, with the costs |
| 1237 |
of mailing, delivery, or electronic
transmission and copying to |
| 1238 |
be borne by the association. The
association or its |
| 1239 |
representative
is not liable for the contents of the information |
| 1240 |
sheets prepared by the candidates. In
order to reduce costs, the |
| 1241 |
association may print
or duplicate the information sheets on |
| 1242 |
both sides of
the paper. The division shall by rule establish |
| 1243 |
voting procedures consistent with the
provisions contained |
| 1244 |
herein, including rules establishing
procedures for giving |
| 1245 |
notice by electronic transmission and
rules providing for the |
| 1246 |
secrecy of ballots. All
ballot envelopes must be placed in a |
| 1247 |
locked or sealed
ballot drop box immediately upon receipt, and |
| 1248 |
the box shall not be
opened in advance of the election meeting. |
| 1249 |
Elections shall be decided by a
plurality of those ballots cast. |
| 1250 |
There shall be no quorum requirement;
however, at least 20 |
| 1251 |
percent of the eligible voters must cast
a ballot in order to |
| 1252 |
have a valid election of members of the
board. No unit owner |
| 1253 |
shall permit any other person to vote
his or her ballot, and any |
| 1254 |
such ballots improperly cast shall be
deemed invalid, provided |
| 1255 |
any unit owner who violates this
provision may be fined by the |
| 1256 |
association in accordance with s.
718.303. A unit owner who |
| 1257 |
needs assistance in casting the ballot
for the reasons stated in |
| 1258 |
s. 101.051 may obtain assistance in
casting the ballot. The |
| 1259 |
regular election shall occur on the date
of the annual meeting. |
| 1260 |
The provisions of this subparagraph
shall not apply to timeshare |
| 1261 |
condominium associations.
Notwithstanding the provisions of this |
| 1262 |
subparagraph, an election is not
required unless more candidates |
| 1263 |
file notices of intent to run or are
nominated than board |
| 1264 |
vacancies exist. |
| 1265 |
4. Any
approval by unit owners called for by this chapter |
| 1266 |
or the applicable declaration or bylaws,
including, but not |
| 1267 |
limited to, the approval requirement in
s. 718.111(8), shall be |
| 1268 |
made at a duly noticed meeting of unit
owners and shall be |
| 1269 |
subject to all requirements of this
chapter or the applicable |
| 1270 |
condominium documents relating to unit
owner decisionmaking, |
| 1271 |
except that unit owners may take action
by written agreement, |
| 1272 |
without meetings, on matters for which
action by written |
| 1273 |
agreement without meetings is expressly
allowed by the |
| 1274 |
applicable bylaws or declaration or any
statute that provides |
| 1275 |
for such action. |
| 1276 |
5. Unit
owners may waive notice of specific meetings if |
| 1277 |
allowed by the applicable bylaws or
declaration or any statute. |
| 1278 |
If authorized by the bylaws, notice of
meetings of the board of |
| 1279 |
administration, unit owner meetings,
except unit owner meetings |
| 1280 |
called to recall board members under
paragraph (j), and |
| 1281 |
committee meetings may be given by
electronic transmission to |
| 1282 |
unit owners who consent to receive
notice by electronic |
| 1283 |
transmission. |
| 1284 |
6. Unit
owners shall have the right to participate in |
| 1285 |
meetings of unit owners with reference
to all designated agenda |
| 1286 |
items. However, the association may
adopt reasonable rules |
| 1287 |
governing the frequency, duration, and
manner of unit owner |
| 1288 |
participation. |
| 1289 |
7. Any
unit owner may tape record or videotape a meeting |
| 1290 |
of the unit owners subject to reasonable
rules adopted by the |
| 1291 |
division. |
| 1292 |
8. Unless
otherwise provided in the bylaws, any vacancy |
| 1293 |
occurring on the board before the
expiration of a term may be |
| 1294 |
filled by the affirmative vote of the
majority of the remaining |
| 1295 |
directors, even if the remaining
directors constitute less than |
| 1296 |
a quorum, or by the sole remaining
director. In the alternative, |
| 1297 |
a board may hold an election to fill the
vacancy, in which case |
| 1298 |
the election procedures must conform to
the requirements of |
| 1299 |
subparagraph 3. unless
the association has opted out of the |
| 1300 |
statutory election
process, in which case the bylaws of the |
| 1301 |
association
control. Unless otherwise provided in the bylaws, a |
| 1302 |
board member appointed or elected under
this section shall fill |
| 1303 |
the vacancy for the unexpired term of
the seat being filled. |
| 1304 |
Filling vacancies created by recall is
governed by paragraph (j) |
| 1305 |
and rules adopted by the division. |
| 1306 |
9. Unit
owners shall have the right to have items placed |
| 1307 |
on the agenda of the
annual meeting and voted upon if a written |
| 1308 |
request is made to
the board of administration by 20 percent or |
| 1309 |
more of all voting
interests at least 90 days before the date of |
| 1310 |
the annual meeting. |
| 1311 |
|
| 1312 |
Notwithstanding
subparagraphs (b)2. and (d)3., an association |
| 1313 |
may, by the
affirmative vote of a majority of the total voting |
| 1314 |
interests, provide
for different voting and election procedures |
| 1315 |
in its bylaws, which
vote may be by a proxy specifically |
| 1316 |
delineating the
different voting and election procedures. The |
| 1317 |
different voting and
election procedures may provide for |
| 1318 |
elections to be
conducted by limited or general proxy. |
| 1319 |
(e) Budget
meeting.-- |
| 1320 |
1. Any
meeting at which a proposed annual budget of an |
| 1321 |
association will be considered by the
board or unit owners shall |
| 1322 |
be open to all unit owners. At least 14
days prior to such a |
| 1323 |
meeting, the board shall hand deliver to
each unit owner, mail |
| 1324 |
to each unit owner at the address last
furnished to the |
| 1325 |
association by the unit owner, or
electronically transmit to the |
| 1326 |
location furnished by the unit owner for
that purpose a notice |
| 1327 |
of such meeting and a copy of the
proposed annual budget. An |
| 1328 |
officer or manager of the association,
or other person providing |
| 1329 |
notice of such meeting, shall execute an
affidavit evidencing |
| 1330 |
compliance with such notice requirement,
and such affidavit |
| 1331 |
shall be filed among the official
records of the association. |
| 1332 |
2.a. If
a board adopts in any fiscal year an annual budget |
| 1333 |
which requires assessments against unit
owners which exceed 115 |
| 1334 |
percent of assessments for the preceding
fiscal year, the board |
| 1335 |
shall conduct a special meeting of the
unit owners to consider a |
| 1336 |
substitute budget if the board receives,
within 21 days after |
| 1337 |
adoption of the annual budget, a written
request for a special |
| 1338 |
meeting from at least 10 percent of all
voting interests. The |
| 1339 |
special meeting shall be conducted
within 60 days after adoption |
| 1340 |
of the annual budget. At least 14 days
prior to such special |
| 1341 |
meeting, the board shall hand deliver to
each unit owner, or |
| 1342 |
mail to each unit owner at the address
last furnished to the |
| 1343 |
association, a notice of the meeting. An
officer or manager of |
| 1344 |
the association, or other person
providing notice of such |
| 1345 |
meeting shall execute an affidavit
evidencing compliance with |
| 1346 |
this notice requirement, and such
affidavit shall be filed among |
| 1347 |
the official records of the association.
Unit owners may |
| 1348 |
consider and adopt a substitute budget
at the special meeting. A |
| 1349 |
substitute budget is adopted if approved
by a majority of all |
| 1350 |
voting interests unless the bylaws
require adoption by a greater |
| 1351 |
percentage of voting interests. If there
is not a quorum at the |
| 1352 |
special meeting or a substitute budget
is not adopted, the |
| 1353 |
annual budget previously adopted by the
board shall take effect |
| 1354 |
as scheduled. |
| 1355 |
b. Any
determination of whether assessments exceed 115 |
| 1356 |
percent of assessments for the prior
fiscal year shall exclude |
| 1357 |
any authorized provision for reasonable
reserves for repair or |
| 1358 |
replacement of the condominium property,
anticipated expenses of |
| 1359 |
the association which the board does not
expect to be incurred |
| 1360 |
on a regular or annual basis, or
assessments for betterments to |
| 1361 |
the condominium property. |
| 1362 |
c. If
the developer controls the board, assessments shall |
| 1363 |
not exceed 115 percent of assessments
for the prior fiscal year |
| 1364 |
unless approved by a majority of all
voting interests. |
| 1365 |
(f) Annual
budget.-- |
| 1366 |
1. The
association shall prepare an annual budget of |
| 1367 |
estimated revenues
and expenses. The adopted budget of the prior |
| 1368 |
fiscal year shall
remain in effect until the association has |
| 1369 |
adopted a new
budget for the current fiscal year. The proposed |
| 1370 |
annual budget of estimated
revenues and common
expenses shall be |
| 1371 |
detailed and shall show the amounts
budgeted by accounts and |
| 1372 |
expense classifications, including, if
applicable, but not |
| 1373 |
limited to, those expenses listed in s.
718.504(21). A |
| 1374 |
multicondominium association shall adopt
a separate budget of |
| 1375 |
common expenses for each condominium the
association operates |
| 1376 |
and shall adopt a separate budget of
common expenses for the |
| 1377 |
association. In addition, if the
association maintains limited |
| 1378 |
common elements with the cost to be
shared only by those |
| 1379 |
entitled to use the limited common
elements as provided for in |
| 1380 |
s. 718.113(1), the budget or a schedule
attached thereto shall |
| 1381 |
show amounts budgeted therefor. If,
after turnover of control of |
| 1382 |
the association to the unit owners, any
of the expenses listed |
| 1383 |
in s. 718.504(21) are not applicable,
they need not be listed. |
| 1384 |
2. In
addition to annual operating expenses, the budget |
| 1385 |
shall include reserve accounts for
capital expenditures and |
| 1386 |
deferred maintenance. These accounts
shall include, but are not |
| 1387 |
limited to, structural
repairs, roof replacement, building |
| 1388 |
painting, and pavement resurfacing,
regardless of the amount of |
| 1389 |
deferred maintenance expense or
replacement cost, and for any |
| 1390 |
other item for which the deferred
maintenance expense or |
| 1391 |
replacement cost exceeds $10,000. The
amount to be reserved |
| 1392 |
shall be computed by means of a formula
which is based upon |
| 1393 |
estimated remaining useful life and
estimated replacement cost |
| 1394 |
or deferred maintenance expense of each
reserve item. The |
| 1395 |
association may adjust replacement
reserve assessments annually |
| 1396 |
to take into account any changes in
estimates or extension of |
| 1397 |
the useful life of a reserve item caused
by deferred |
| 1398 |
maintenance. This subsection does not
apply to an adopted budget |
| 1399 |
in which the members of an association
have determined, by a |
| 1400 |
majority vote at a duly called meeting
of the association, to |
| 1401 |
provide no reserves or less reserves
than required by this |
| 1402 |
subsection. However, prior to turnover
of control of an |
| 1403 |
association by a developer to unit
owners other than a developer |
| 1404 |
pursuant to s. 718.301, the developer
may vote to waive the |
| 1405 |
reserves or reduce the funding of
reserves for the first 2 |
| 1406 |
fiscal years of the association's
operation, beginning with the |
| 1407 |
fiscal year in which the initial
declaration is recorded, after |
| 1408 |
which time reserves may be waived or
reduced only upon the vote |
| 1409 |
of a majority of all nondeveloper voting
interests voting in |
| 1410 |
person or by limited proxy at a duly
called meeting of the |
| 1411 |
association. If a meeting of the unit
owners has been called to |
| 1412 |
determine whether to waive or reduce the
funding of reserves, |
| 1413 |
and no such result is achieved or a
quorum is not attained, the |
| 1414 |
reserves as included in the budget shall
go into effect. After |
| 1415 |
the turnover, the developer may vote its
voting interest to |
| 1416 |
waive or reduce the funding of reserves. |
| 1417 |
3. Reserve
funds and any interest accruing thereon shall |
| 1418 |
remain in the reserve account or
accounts, and shall be used |
| 1419 |
only for authorized reserve expenditures
unless their use for |
| 1420 |
other purposes is approved in advance by
a majority vote at a |
| 1421 |
duly called meeting of the association.
Prior to turnover of |
| 1422 |
control of an association by a developer
to unit owners other |
| 1423 |
than the developer pursuant to s.
718.301, the developer- |
| 1424 |
controlled association shall not vote to
use reserves for |
| 1425 |
purposes other than that for which they
were intended without |
| 1426 |
the approval of a majority of all
nondeveloper voting interests, |
| 1427 |
voting in person or by limited proxy at
a duly called meeting of |
| 1428 |
the association. |
| 1429 |
4. The
only voting interests which are eligible to vote on |
| 1430 |
questions that involve waiving or
reducing the funding of |
| 1431 |
reserves, or using existing reserve
funds for purposes other |
| 1432 |
than purposes for which the reserves
were intended, are the |
| 1433 |
voting interests of the units subject to
assessment to fund the |
| 1434 |
reserves in question. The
face of all ballots that involve |
| 1435 |
questions relating to
waiving or reducing the funding of |
| 1436 |
reserves, or using
existing reserve funds for purposes other |
| 1437 |
than purposes for
which the reserves were intended, shall |
| 1438 |
contain the following
statement in capitalized, bold letters in |
| 1439 |
a font size larger
than any other used on the face of the |
| 1440 |
ballot: WAIVING OF
RESERVES, IN WHOLE OR IN PART, OR ALLOWING |
| 1441 |
ALTERNATE USES OF
EXISTING RESERVES, MAY RESULT IN UNIT OWNER |
| 1442 |
LIABILITY FOR PAYMENT
OF UNANTICIPATED SPECIAL ASSESSMENTS |
| 1443 |
REGARDING THOSE
RESERVE ITEMS. |
| 1444 |
5. A
vote to provide for no reserves or a percentage of |
| 1445 |
reserves shall be
made at the annual meeting of the unit owners |
| 1446 |
called under
paragraph (d). The division shall adopt the form |
| 1447 |
for the ballot for no
reserves and a percentage of reserves. |
| 1448 |
6. Notwithstanding
subparagraph 3., the association after |
| 1449 |
turnover of control
of the association may, in case of a |
| 1450 |
catastrophic event,
use reserve funds for nonscheduled purposes |
| 1451 |
to mitigate further
damage to units or common elements or to |
| 1452 |
make the condominium
accessible for repairs. |
| 1453 |
7. Except
in cases of emergency, or unless otherwise |
| 1454 |
provided for in the
bylaws or approved by a vote of a majority |
| 1455 |
of the unit owners in
advance, the board of administration may |
| 1456 |
not apply for or
accept a loan or line of credit in an amount |
| 1457 |
that exceeds 10
percent of the association's annual budget for |
| 1458 |
the current year. |
| 1459 |
(g) Assessments.--After
the declaration has been recorded, |
| 1460 |
and until such time
as the association has been created, all |
| 1461 |
common expenses shall
be paid by the developer. Assessments |
| 1462 |
shall be levied in an
amount determined by the adopted budget or |
| 1463 |
an authorized
special assessment. The manner of collecting from |
| 1464 |
the unit owners their shares of the
common expenses shall be |
| 1465 |
stated in the bylaws. Assessments shall
be made against units on |
| 1466 |
a
quarter-annual, or more frequent, basis not
less frequently |
| 1467 |
than quarterly
in an amount which is not less than that required |
| 1468 |
to provide funds in advance for payment
of all of the |
| 1469 |
anticipated current operating expenses
and for all of the unpaid |
| 1470 |
operating expenses previously incurred.
Nothing in this |
| 1471 |
paragraph shall preclude the right of an
association to |
| 1472 |
accelerate assessments of an owner
delinquent in payment of |
| 1473 |
common expenses against
whom a lien has been filed. Accelerated |
| 1474 |
assessments shall be due and payable after
on the date the claim |
| 1475 |
of lien is filed. Such accelerated
assessments shall include the |
| 1476 |
amounts due for the remainder of the
budget year in which the |
| 1477 |
claim of lien was filed. |
| 1478 |
(h) Amendment
of bylaws.-- |
| 1479 |
1. The
method by which the bylaws may be amended |
| 1480 |
consistent with the provisions of this
chapter shall be stated. |
| 1481 |
If the bylaws fail to provide a method
of amendment, the bylaws |
| 1482 |
may be amended if the amendment is
approved by the owners of not |
| 1483 |
less than two-thirds of the voting
interests. |
| 1484 |
2. No
bylaw shall be revised or amended by reference to |
| 1485 |
its title or number only. Proposals to
amend existing bylaws |
| 1486 |
shall contain the full text of the
bylaws to be amended; new |
| 1487 |
words shall be inserted in the text
underlined, and words to be |
| 1488 |
deleted shall be lined through with
hyphens. However, if the |
| 1489 |
proposed change is so extensive that
this procedure would |
| 1490 |
hinder, rather than assist, the
understanding of the proposed |
| 1491 |
amendment, it is not necessary to use
underlining and hyphens as |
| 1492 |
indicators of words added or deleted,
but, instead, a notation |
| 1493 |
must be inserted immediately preceding
the proposed amendment in |
| 1494 |
substantially the following language:
"Substantial rewording of |
| 1495 |
bylaw. See bylaw _____ for present
text." |
| 1496 |
3. Nonmaterial
errors or omissions in the bylaw process |
| 1497 |
will not invalidate an otherwise
properly promulgated amendment. |
| 1498 |
(i) Transfer
fees.--No charge shall be made by the |
| 1499 |
association or any body thereof in
connection with the sale, |
| 1500 |
mortgage, lease, sublease, or other
transfer of a unit unless |
| 1501 |
the association is required to approve
such transfer and a fee |
| 1502 |
for such approval is provided for in the
declaration, articles, |
| 1503 |
or bylaws. Any such fee may be preset,
but in no event may such |
| 1504 |
fee exceed $100 per applicant other than
husband/wife or |
| 1505 |
parent/dependent child, which are
considered one applicant. |
| 1506 |
However, if the lease or sublease is a
renewal of a lease or |
| 1507 |
sublease with the same lessee or
sublessee, no charge shall be |
| 1508 |
made. The foregoing notwithstanding, an
association may, if the |
| 1509 |
authority to do so appears in the
declaration or bylaws, require |
| 1510 |
that a prospective lessee place a
security deposit, in an amount |
| 1511 |
not to exceed the equivalent of 1
month's rent, into an escrow |
| 1512 |
account maintained by the association.
The security deposit |
| 1513 |
shall protect against damages to the
common elements or |
| 1514 |
association property. Payment of
interest, claims against the |
| 1515 |
deposit, refunds, and disputes under
this paragraph shall be |
| 1516 |
handled in the same fashion as provided
in part II of chapter |
| 1517 |
83. |
| 1518 |
(j) Recall
of board members.--Subject to the provisions of |
| 1519 |
s. 718.301, any member of the board of
administration may be |
| 1520 |
recalled and removed from office with or
without cause by the |
| 1521 |
vote or agreement in writing by a
majority of all the voting |
| 1522 |
interests. A special meeting of the unit
owners to recall a |
| 1523 |
member or members of the board of
administration may be called |
| 1524 |
by 10 percent of the voting interests
giving notice of the |
| 1525 |
meeting as required for a meeting of
unit owners, and the notice |
| 1526 |
shall state the purpose of the meeting.
Electronic transmission |
| 1527 |
may not be used as a method of giving
notice of a meeting called |
| 1528 |
in whole or in part for this purpose. |
| 1529 |
1. If
the recall is approved by a majority of all voting |
| 1530 |
interests by a vote at a meeting, the
recall will be effective |
| 1531 |
as provided herein.
The board shall duly notice and hold a board |
| 1532 |
meeting within 5 full
business days of the adjournment of the |
| 1533 |
unit owner meeting to
recall one or more board members. At the |
| 1534 |
meeting, the board
shall either certify the recall, in which |
| 1535 |
case such member or
members shall be recalled effective |
| 1536 |
immediately, and the
member or members recalled shall turn over |
| 1537 |
to the board within 5 full business days
any and all records and |
| 1538 |
property of the association in their
possession, or shall |
| 1539 |
proceed as set forth
in subparagraph 3. |
| 1540 |
2. Beginning
January 1, 2008, if the proposed recall is by |
| 1541 |
an agreement in writing by a majority of
all voting interests, |
| 1542 |
the agreement in writing or a copy
thereof shall be served on |
| 1543 |
the association and
the ombudsman appointed pursuant to s. |
| 1544 |
718.5011, together
with a current copy of the unit owner roster, |
| 1545 |
by certified
mail or by
personal service, Monday through Friday, |
| 1546 |
excluding legal
holidays, between the hours of 8:00 a.m. and |
| 1547 |
5:00 p.m.,
in the manner authorized by chapter 48 and the |
| 1548 |
Florida Rules of Civil Procedure. The
board of administration or |
| 1549 |
any board member
named in the agreement may submit rebuttal |
| 1550 |
argument and
supporting evidence to the ombudsman within 5 |
| 1551 |
business days from
the date of service of the agreement. The |
| 1552 |
ombudsman shall
certify or not certify the recall within 10 |
| 1553 |
business days after
receipt of the written agreement and the |
| 1554 |
current unit
owner roster. If the ombudsman determines to The |
| 1555 |
board of
administration shall duly notice and hold a meeting of |
| 1556 |
the board within 5
full business days after receipt of the |
| 1557 |
agreement in writing.
At the meeting, the board shall either |
| 1558 |
certify the written agreement to recall
a member or members of |
| 1559 |
the board, the
in which case such member
or members shall be |
| 1560 |
recalled effective immediately and shall
turn over to the board |
| 1561 |
within 5 full business days any and all
records and property of |
| 1562 |
the association in their possession,
or proceed as described in |
| 1563 |
subparagraph 3. |
| 1564 |
3. If
the ombudsman board
determines not to certify the |
| 1565 |
written agreement to recall a member or
members of the board, or |
| 1566 |
does not
certify the recall by a vote at a meeting, the |
| 1567 |
ombudsman
board shall, within 5 full
business days after the |
| 1568 |
decision, notify the
member or members of the board and the |
| 1569 |
board president of
the reasons for not certifying the agreement, |
| 1570 |
and the unit owners
shall be afforded an additional period of 5 |
| 1571 |
business days to
correct the defect or deficiency. The board or |
| 1572 |
members named in the
agreement shall have 5 business days to |
| 1573 |
submit rebuttal
argument and supporting evidence, and the |
| 1574 |
ombudsman shall have
5 business days thereafter to render a |
| 1575 |
decision. If the
ombudsman certifies the corrected or amended |
| 1576 |
written recall
agreement to recall a member or members of the |
| 1577 |
board, such member or
members shall be recalled effective |
| 1578 |
immediately and shall
turn over to the board within 5 full |
| 1579 |
business days any and
all records and property of the |
| 1580 |
association in their
possession. If the ombudsman does not |
| 1581 |
certify the recall as
to any or all board members, the board |
| 1582 |
member or members not
certified by the corrected or amended |
| 1583 |
written recall
agreement shall remain in office for the |
| 1584 |
remainder of their
unexpired terms or until properly recalled or |
| 1585 |
resignation
otherwise occurs meeting, file
with the division a |
| 1586 |
petition for
arbitration pursuant to the procedures in s. |
| 1587 |
718.1255. For the
purposes of this section, the unit owners who |
| 1588 |
voted at the meeting
or who executed the agreement in writing |
| 1589 |
shall constitute one
party under the petition for arbitration. |
| 1590 |
If the arbitrator
certifies the recall as to any member or |
| 1591 |
members of the board,
the recall will be effective upon mailing |
| 1592 |
of the final order of
arbitration to the association. If the |
| 1593 |
association fails to
comply with the order of the arbitrator, |
| 1594 |
the division may take
action pursuant to s. 718.501. Any member |
| 1595 |
or members so
recalled shall deliver to the board any and all |
| 1596 |
records of the
association in their possession within 5 full |
| 1597 |
business days of the
effective date of the recall. |
| 1598 |
4. If
the board fails to duly notice and hold a board |
| 1599 |
meeting within 5 full
business days of service of an agreement |
| 1600 |
in writing or within
5 full business days of the adjournment of |
| 1601 |
the unit owner recall
meeting, the recall shall be deemed |
| 1602 |
effective and the
board members so recalled shall immediately |
| 1603 |
turn over to the
board any and all records and property of the |
| 1604 |
association. |
| 1605 |
4.5. If
a vacancy occurs on the board as a result of a |
| 1606 |
recall and less than a majority of the
board members are |
| 1607 |
removed, the vacancy may be filled by
the affirmative vote of a |
| 1608 |
majority of the remaining directors,
notwithstanding any |
| 1609 |
provision to the contrary contained in
this subsection. If |
| 1610 |
vacancies occur on the board as a result
of a recall and a |
| 1611 |
majority or more of the board members
are removed, the vacancies |
| 1612 |
shall be filled in accordance with
procedural rules to be |
| 1613 |
adopted by the division, which rules
need not be consistent with |
| 1614 |
this subsection. The rules must provide
procedures governing the |
| 1615 |
conduct of the recall election as well
as the operation of the |
| 1616 |
association during the period after a
recall but prior to the |
| 1617 |
recall election. |
| 1618 |
(k) Arbitration.--There
shall be a provision for mandatory |
| 1619 |
nonbinding
arbitration as provided for in s. 718.1255. |
| 1620 |
(k)(l) Certificate
of compliance.--There shall be a |
| 1621 |
provision that a certificate of
compliance from a licensed |
| 1622 |
electrical contractor or electrician may
be accepted by the |
| 1623 |
association's board as evidence of
compliance of the condominium |
| 1624 |
units with the applicable fire and life
safety code. |
| 1625 |
Notwithstanding the provisions of
chapter 633 or of any other |
| 1626 |
code, statute, ordinance, administrative
rule, or regulation, or |
| 1627 |
any interpretation of the foregoing, an
association, |
| 1628 |
condominium, or unit owner is not
obligated to retrofit the |
| 1629 |
common elements or units of a
residential condominium with a |
| 1630 |
fire sprinkler system or other
engineered lifesafety system in a |
| 1631 |
building that has been certified for
occupancy by the applicable |
| 1632 |
governmental entity, if the unit owners
have voted to forego |
| 1633 |
such retrofitting and engineered
lifesafety system by the |
| 1634 |
affirmative vote of two-thirds of all
voting interests in the |
| 1635 |
affected condominium. However, a
condominium association may not |
| 1636 |
vote to forego the retrofitting with a
fire sprinkler system of |
| 1637 |
common areas in a high-rise building.
For purposes of this |
| 1638 |
subsection, the term "high-rise
building" means a building that |
| 1639 |
is greater than 75 feet in height where
the building height is |
| 1640 |
measured from the lowest level of fire
department access to the |
| 1641 |
floor of the highest occupiable story.
For purposes of this |
| 1642 |
subsection, the term "common
areas" means any enclosed hallway, |
| 1643 |
corridor, lobby, stairwell, or entryway.
In no event shall the |
| 1644 |
local authority having jurisdiction
require completion of |
| 1645 |
retrofitting of common areas with a
sprinkler system before the |
| 1646 |
end of 2014. |
| 1647 |
1. A
vote to forego retrofitting may be obtained by |
| 1648 |
limited proxy or by a ballot personally
cast at a duly called |
| 1649 |
membership meeting, or by execution of a
written consent by the |
| 1650 |
member, and shall be effective upon the
recording of a |
| 1651 |
certificate attesting to such vote in
the public records of the |
| 1652 |
county where the condominium is located.
The association shall |
| 1653 |
mail, hand deliver, or electronically
transmit to each unit |
| 1654 |
owner written notice at least 14 days
prior to such membership |
| 1655 |
meeting in which the vote to forego
retrofitting of the required |
| 1656 |
fire sprinkler system is to take place.
Within 30 days after the |
| 1657 |
association's opt-out vote, notice of
the results of the opt-out |
| 1658 |
vote shall be mailed, hand delivered, or
electronically |
| 1659 |
transmitted to all unit owners. Evidence
of compliance with this |
| 1660 |
30-day notice shall be made by an
affidavit executed by the |
| 1661 |
person providing the notice and filed
among the official records |
| 1662 |
of the association. After such notice is
provided to each owner, |
| 1663 |
a copy of such notice shall be provided
by the current owner to |
| 1664 |
a new owner prior to closing and shall
be provided by a unit |
| 1665 |
owner to a renter prior to signing a
lease. |
| 1666 |
2. As
part of the information collected annually from |
| 1667 |
condominiums, the division shall require
condominium |
| 1668 |
associations to report the membership
vote and recording of a |
| 1669 |
certificate under this subsection and,
if retrofitting has been |
| 1670 |
undertaken, the per-unit cost of such
work. The division shall |
| 1671 |
annually report to the Division of State
Fire Marshal of the |
| 1672 |
Department of Financial Services the
number of condominiums that |
| 1673 |
have elected to forego retrofitting. |
| 1674 |
(l)(m) Common
elements; limited power to convey.-- |
| 1675 |
1. With
respect to condominiums created on or after |
| 1676 |
October 1, 1994, the bylaws shall
include a provision granting |
| 1677 |
the association a limited power to
convey a portion of the |
| 1678 |
common elements to a condemning
authority for the purpose of |
| 1679 |
providing utility easements,
right-of-way expansion, or other |
| 1680 |
public purposes, whether negotiated or
as a result of eminent |
| 1681 |
domain proceedings. |
| 1682 |
2. In
any case where the bylaws are silent as to the |
| 1683 |
association's power to convey common
elements as described in |
| 1684 |
subparagraph 1., the bylaws shall be
deemed to include the |
| 1685 |
provision described in subparagraph 1. |
| 1686 |
Section
26. Section 718.113, Florida Statutes, is amended |
| 1687 |
to read: |
| 1688 |
718.113 Maintenance;
limitation upon improvement; display |
| 1689 |
of flag; display
of religious decorations; hurricane shutters.-- |
| 1690 |
(1) Maintenance
of the common elements is the |
| 1691 |
responsibility of the association. The
declaration may provide |
| 1692 |
that certain limited common elements
shall be maintained by |
| 1693 |
those entitled to use the limited common
elements or that the |
| 1694 |
association shall provide the
maintenance, either as a common |
| 1695 |
expense or
with the cost shared only by those entitled to use |
| 1696 |
the limited common elements. If the
maintenance is to be by the |
| 1697 |
association at the expense of only those
entitled to use the |
| 1698 |
limited common elements, the declaration
shall describe in |
| 1699 |
detail the method of apportioning such
costs among those |
| 1700 |
entitled to use the limited common
elements, and the association |
| 1701 |
may use the provisions of s. 718.116 to
enforce payment of the |
| 1702 |
shares of such costs by the unit owners
entitled to use the |
| 1703 |
limited common elements. |
| 1704 |
(2)(a) Except
as otherwise provided in this section, there |
| 1705 |
shall be no material alteration or
substantial additions to the |
| 1706 |
common elements or to real property
which is association |
| 1707 |
property, except in a manner provided in
the declaration as |
| 1708 |
originally recorded or as amended under
the procedures provided |
| 1709 |
therein. If the declaration as
originally recorded or as amended |
| 1710 |
under the procedures provided therein
does not specify the |
| 1711 |
procedure for approval of material
alterations or substantial |
| 1712 |
additions, 75 percent of the total
voting interests of the |
| 1713 |
association must approve the alterations
or additions. |
| 1714 |
(b) There
shall not be any material alteration of, or |
| 1715 |
substantial addition to, the common
elements of any condominium |
| 1716 |
operated by a multicondominium
association unless approved in |
| 1717 |
the manner provided in the declaration
of the affected |
| 1718 |
condominium or condominiums as
originally recorded or as amended |
| 1719 |
under the procedures provided therein.
If a declaration as |
| 1720 |
originally recorded or as amended under
the procedures provided |
| 1721 |
therein does not specify a procedure for
approving such an |
| 1722 |
alteration or addition, the approval of
75 percent of the total |
| 1723 |
voting interests of each affected
condominium is required. This |
| 1724 |
subsection does not prohibit a provision
in any declaration, |
| 1725 |
articles of incorporation, or bylaws as
originally recorded or |
| 1726 |
as amended under the procedures provided
therein requiring the |
| 1727 |
approval of unit owners in any
condominium operated by the same |
| 1728 |
association or requiring board approval
before a material |
| 1729 |
alteration or substantial addition to
the common elements is |
| 1730 |
permitted. This paragraph is intended to
clarify existing law |
| 1731 |
and applies to associations existing on
the effective date of |
| 1732 |
this act. |
| 1733 |
(c) There
shall not be any material alteration or |
| 1734 |
substantial addition made to association
real property operated |
| 1735 |
by a multicondominium association,
except as provided in the |
| 1736 |
declaration, articles of incorporation,
or bylaws as originally |
| 1737 |
recorded or as amended under the
procedures provided therein. If |
| 1738 |
the declaration, articles of
incorporation, or bylaws as |
| 1739 |
originally recorded or as amended under
the procedures provided |
| 1740 |
therein do not specify the procedure for
approving an alteration |
| 1741 |
or addition to association real
property, the approval of 75 |
| 1742 |
percent of the total voting interests of
the association is |
| 1743 |
required. This paragraph is intended to
clarify existing law and |
| 1744 |
applies to associations existing on the
effective date of this |
| 1745 |
act. |
| 1746 |
(3) A
unit owner shall not do anything within his or her |
| 1747 |
unit or on the common elements which
would adversely affect the |
| 1748 |
safety or soundness of the common
elements or any portion of the |
| 1749 |
association property or condominium
property which is to be |
| 1750 |
maintained by the association. |
| 1751 |
(4) Any
unit owner may display one portable, removable |
| 1752 |
United States flag in a respectful way
and, on Armed Forces Day, |
| 1753 |
Memorial Day, Flag Day, Independence
Day, and Veterans Day, may |
| 1754 |
display in a respectful way portable,
removable official flags, |
| 1755 |
not larger than 41/2 feet by 6 feet,
that represent the United |
| 1756 |
States Army, Navy, Air Force, Marine
Corps, or Coast Guard, |
| 1757 |
regardless of any declaration rules or
requirements dealing with |
| 1758 |
flags or decorations. |
| 1759 |
(5) Each
board of administration shall, at each annual |
| 1760 |
meeting,
adopt or restate hurricane shutter
specifications for |
| 1761 |
each building within each condominium
operated by the |
| 1762 |
association which shall include color,
style, and other factors |
| 1763 |
deemed relevant by the board. All
specifications adopted or |
| 1764 |
restated by the board shall
comply with the applicable building |
| 1765 |
code. Notwithstanding any provision to
the contrary in the |
| 1766 |
condominium documents, if approval is
required by the documents, |
| 1767 |
a board shall not refuse to approve the
installation or |
| 1768 |
replacement of hurricane shutters
conforming to the |
| 1769 |
specifications adopted by the board. The
board may, subject to |
| 1770 |
the provisions of s. 718.3026, and the
approval of a majority of |
| 1771 |
voting interests of the condominium,
install hurricane shutters |
| 1772 |
and may maintain, repair, or replace
such approved hurricane |
| 1773 |
shutters or
hurricane protection that complies with the |
| 1774 |
applicable
building code, whether on or within common elements, |
| 1775 |
limited common elements, units, or
association property. |
| 1776 |
However, where laminated glass or window
film architecturally |
| 1777 |
designed to function as hurricane
protection which complies with |
| 1778 |
the applicable building code has been
installed, the board may |
| 1779 |
not install hurricane shutters. The
board may operate shutters |
| 1780 |
installed pursuant to this subsection
without permission of the |
| 1781 |
unit owners only where such operation is
necessary to preserve |
| 1782 |
and protect the condominium property and
association property. |
| 1783 |
The installation, replacement,
operation, repair, and |
| 1784 |
maintenance of such shutters in
accordance with the procedures |
| 1785 |
set forth herein shall not be deemed a
material alteration to |
| 1786 |
the common elements or association
property within the meaning |
| 1787 |
of this section. |
| 1788 |
(6) Every
5 years, the board of administration shall have |
| 1789 |
the condominium
buildings inspected by a professional engineer |
| 1790 |
or professional
architect registered in the state for the |
| 1791 |
purpose of
determining that the building is structurally and |
| 1792 |
electrically safe.
The engineer or architect shall provide a |
| 1793 |
report indicating the
manner and type of inspection forming the |
| 1794 |
basis for the report
and description of any matters identified |
| 1795 |
as requiring remedial
action. The report shall become an |
| 1796 |
official record of
the association to be provided to the members |
| 1797 |
upon request pursuant
to s. 718.111(12). |
| 1798 |
(7) The
board of administration may not adopt any rule or |
| 1799 |
regulation impairing
any rights guaranteed by the First |
| 1800 |
Amendment to the
Constitution of the United States or s. 3, Art. |
| 1801 |
I of the Florida
Constitution, including, but not limited to, |
| 1802 |
the free exercise of
religion, nor may any rules or regulations |
| 1803 |
conflict with the
provisions of this chapter or the condominium |
| 1804 |
instruments. A rule
or regulation may not prohibit any |
| 1805 |
reasonable
accommodation for religious practices, including the |
| 1806 |
attachment of
religiously mandated objects to the front-door |
| 1807 |
area of a condominium
unit. |
| 1808 |
Section
27. Paragraph (d) of subsection (1) of section |
| 1809 |
718.115, Florida Statutes, is amended to
read: |
| 1810 |
718.115 Common
expenses and common surplus.-- |
| 1811 |
(1) |
| 1812 |
(d) If
so provided in the declaration, the cost of a |
| 1813 |
master antenna television system or duly
franchised cable |
| 1814 |
television service obtained pursuant to
a bulk contract for |
| 1815 |
basic service shall
be deemed a common expense. If the |
| 1816 |
declaration does not provide for the
cost of a master antenna |
| 1817 |
television system or duly franchised basic
cable television |
| 1818 |
service obtained under a bulk contract
as a common expense, the |
| 1819 |
board may enter into such a contract,
and the cost of the |
| 1820 |
service will be a common expense but
allocated on a per-unit |
| 1821 |
basis rather than a percentage basis if
the declaration provides |
| 1822 |
for other than an equal sharing of
common expenses, and any |
| 1823 |
contract entered into before July 1,
1998, in which the cost of |
| 1824 |
the service is not equally divided among
all unit owners, may be |
| 1825 |
changed by vote of a majority of the
voting interests present at |
| 1826 |
a regular or special meeting of the
association, to allocate the |
| 1827 |
cost equally among all units. The
contract shall be for a term |
| 1828 |
of not less than 2 years. |
| 1829 |
1. Any
contract made by the board after the effective date |
| 1830 |
hereof for a community antenna system or
duly franchised basic |
| 1831 |
cable television service may be canceled
by a majority of the |
| 1832 |
voting interests present at the next
regular or special meeting |
| 1833 |
of the association. Any member may make
a motion to cancel said |
| 1834 |
contract, but if no motion is made or if
such motion fails to |
| 1835 |
obtain the required majority at the next
regular or special |
| 1836 |
meeting, whichever is sooner, following
the making of the |
| 1837 |
contract, then such contract shall be
deemed ratified for the |
| 1838 |
term therein expressed. |
| 1839 |
2. Any
such contract shall provide, and shall be deemed to |
| 1840 |
provide if not expressly set forth, that
any hearing-impaired or |
| 1841 |
legally blind unit owner who does not
occupy the unit with a |
| 1842 |
non-hearing-impaired or sighted person,
or any unit owner |
| 1843 |
receiving supplemental security income
under Title XVI of the |
| 1844 |
Social Security Act or food stamps as
administered by the |
| 1845 |
Department of Children and Family
Services pursuant to s. |
| 1846 |
414.31, may discontinue the service
without incurring disconnect |
| 1847 |
fees, penalties, or subsequent service
charges, and, as to such |
| 1848 |
units, the owners shall not be required
to pay any common |
| 1849 |
expenses charge related to such service.
If less than all |
| 1850 |
members of an association share the
expenses of cable |
| 1851 |
television, the expense shall be shared
equally by all |
| 1852 |
participating unit owners. The
association may use the |
| 1853 |
provisions of s. 718.116 to enforce
payment of the shares of |
| 1854 |
such costs by the unit owners receiving
cable television. |
| 1855 |
Section
28. Section 718.1123, Florida Statutes, is created |
| 1856 |
to read: |
| 1857 |
718.1123 Protection
against abuse.-- |
| 1858 |
(1) In
order to protect the safety, health, and welfare of |
| 1859 |
the people of this
state, especially the infirm and elderly, and |
| 1860 |
to ensure the
protection of condominium owners, any complaint of |
| 1861 |
abuse filed with the
Division of Florida Land Sales, |
| 1862 |
Condominiums,
Homeowners' Associations, and Mobile Homes shall |
| 1863 |
immediately be
investigated by the division. When the division |
| 1864 |
has reasonable cause
to believe that abuse has occurred against |
| 1865 |
any unit owner, the
division shall institute enforcement |
| 1866 |
proceedings pursuant
to its power and duties as set forth in s. |
| 1867 |
718.501. |
| 1868 |
(2) For
purposes of this section, the term "abuse" means |
| 1869 |
any willful act or
threat by a member of the board of directors |
| 1870 |
of a condominium
association or any member of a committee or |
| 1871 |
subcommittee
appointed by the board of directors, or any |
| 1872 |
employee, volunteer,
or agent purporting to act on behalf of the |
| 1873 |
board of directors,
or any officer, director, employee, or agent |
| 1874 |
of any management
company acting on behalf of a condominium |
| 1875 |
association who
denies or is likely to deny a condominium unit |
| 1876 |
owner or dweller any
of the rights and protections afforded to |
| 1877 |
them under applicable
state and federal laws, administrative |
| 1878 |
rules, and the
governing documents of their condominium |
| 1879 |
association. |
| 1880 |
Section
29. Section 718.1224, Florida Statutes, is created |
| 1881 |
to read: |
| 1882 |
718.1224 Prohibition
against SLAPP suits.-- |
| 1883 |
(1) It
is the intent of the Legislature to protect the |
| 1884 |
right of condominium
unit owners to exercise their rights to |
| 1885 |
instruct their
representatives and petition for redress of |
| 1886 |
grievances before the
various governmental entities of this |
| 1887 |
state as protected by
the First Amendment to the United States |
| 1888 |
Constitution and s.
5, Art. I of the State Constitution. The |
| 1889 |
Legislature
recognizes that strategic lawsuits against public |
| 1890 |
participation, or
"SLAPP" suits as they are typically referred |
| 1891 |
to, have occurred
when association members are sued by |
| 1892 |
individuals, business
entities, or governmental entities arising |
| 1893 |
out of a condominium
unit owner's appearance and presentation |
| 1894 |
before a governmental
entity on matters related to the |
| 1895 |
condominium
association. However, it is the public policy of |
| 1896 |
this state that
governmental entities, business organizations, |
| 1897 |
and individuals not
to engage in SLAPP suits, because such |
| 1898 |
actions are
inconsistent with the right of condominium unit |
| 1899 |
owners to participate
in the state's institutions of government. |
| 1900 |
Therefore, the
Legislature finds and declares that prohibiting |
| 1901 |
such lawsuits by
governmental entities, business entities, and |
| 1902 |
individuals against
condominium unit owners who address matters |
| 1903 |
concerning their
condominium association will preserve this |
| 1904 |
fundamental state
policy, preserve the constitutional rights of |
| 1905 |
condominium unit
owners, and ensure the continuation of |
| 1906 |
representative
government in this state. It is the intent of the |
| 1907 |
Legislature that such
lawsuits be expeditiously disposed of by |
| 1908 |
the courts. As used
in this subsection, the term "governmental |
| 1909 |
entity" means
the state, including the executive, legislative, |
| 1910 |
and judicial branches
of government, the independent |
| 1911 |
establishments of the
state, counties, municipalities, |
| 1912 |
districts,
authorities, boards, or commissions, or any agencies |
| 1913 |
of these branches
which are subject to chapter 286. |
| 1914 |
(2) A
governmental entity, business organization, or |
| 1915 |
individual in this
state may not file or cause to be filed |
| 1916 |
through its employees
or agents any lawsuit, cause of action, |
| 1917 |
claim, cross-claim,
or counterclaim against a condominium unit |
| 1918 |
owner without merit
and solely because such condominium unit |
| 1919 |
owner has exercised
the right to instruct his or her |
| 1920 |
representatives or
the right to petition for redress of |
| 1921 |
grievances before the
various governmental entities of this |
| 1922 |
state, as protected
by the First Amendment to the United States |
| 1923 |
Constitution and s.
5, Art. I of the State Constitution. |
| 1924 |
(3) A
condominium unit owner sued by a governmental |
| 1925 |
entity, business
organization, or individual in violation of |
| 1926 |
this section has a
right to an expeditious resolution of a claim |
| 1927 |
that the suit is in
violation of this section. A condominium |
| 1928 |
unit owner may
petition the court for an order dismissing the |
| 1929 |
action or granting
final judgment in favor of that condominium |
| 1930 |
unit owner. The
petitioner may file a motion for summary |
| 1931 |
judgment, together
with supplemental affidavits, seeking a |
| 1932 |
determination that
the governmental entity's, business |
| 1933 |
organization's, or
individual's lawsuit has been brought in |
| 1934 |
violation of this
section. The governmental entity, business |
| 1935 |
organization, or
individual shall thereafter file its response |
| 1936 |
and any supplemental
affidavits. As soon as practicable, the |
| 1937 |
court shall set a
hearing on the petitioner's motion, which |
| 1938 |
shall be held at the
earliest possible time after the filing of |
| 1939 |
the governmental
entity's, business organization's or |
| 1940 |
individual's
response. The court may award the condominium unit |
| 1941 |
owner sued by the
governmental entity, business organization, or |
| 1942 |
individual actual
damages arising from the governmental |
| 1943 |
entity's,
individual's, or business organization's violation of |
| 1944 |
this section. A court
may treble the damages awarded to a |
| 1945 |
prevailing
condominium unit owner and shall state the basis for |
| 1946 |
the treble damages
award in its judgment. The court shall award |
| 1947 |
the prevailing party
reasonable attorney's fees and costs |
| 1948 |
incurred in
connection with a claim that an action was filed in |
| 1949 |
violation of this
section. |
| 1950 |
(4) Condominium
associations may not expend association |
| 1951 |
funds in prosecuting
a SLAPP suit against a condominium unit |
| 1952 |
owner. |
| 1953 |
Section
30. Subsection (4) of section 718.1255, Florida |
| 1954 |
Statutes, is amended to read: |
| 1955 |
718.1255 Alternative
dispute resolution; voluntary |
| 1956 |
mediation; mandatory nonbinding
arbitration; legislative |
| 1957 |
findings.-- |
| 1958 |
(4) MANDATORY
NONBINDING ARBITRATION AND MEDIATION OF |
| 1959 |
DISPUTES.--The Division of Florida Land
Sales, Condominiums, |
| 1960 |
Homeowners'
Associations, and Mobile Homes of the Department of |
| 1961 |
Business and Professional Regulation
shall employ full-time |
| 1962 |
attorneys to act as arbitrators to
conduct the arbitration |
| 1963 |
hearings provided by this chapter. The
division may also certify |
| 1964 |
attorneys who are not employed by the
division to act as |
| 1965 |
arbitrators to conduct the arbitration
hearings provided by this |
| 1966 |
section. No person may be employed by
the department as a full- |
| 1967 |
time arbitrator unless he or she is a
member in good standing of |
| 1968 |
The Florida Bar. The department shall
promulgate rules of |
| 1969 |
procedure to govern such arbitration
hearings including |
| 1970 |
mediation incident thereto. The decision
of an arbitrator shall |
| 1971 |
be final; however, such a decision shall
not be deemed final |
| 1972 |
agency action. Nothing in this provision
shall be construed to |
| 1973 |
foreclose parties from proceeding in a
trial de novo unless the |
| 1974 |
parties have agreed that the arbitration
is binding. If such |
| 1975 |
judicial proceedings are initiated, the
final decision of the |
| 1976 |
arbitrator shall be admissible in
evidence in the trial de novo. |
| 1977 |
(a) Prior
to the institution of court litigation, a party |
| 1978 |
to a dispute shall petition the division
for nonbinding |
| 1979 |
arbitration. The petition must be
accompanied by a filing fee in |
| 1980 |
the amount of $50. Filing fees collected
under this section must |
| 1981 |
be used to defray the expenses of the
alternative dispute |
| 1982 |
resolution program. |
| 1983 |
(b) The
petition must recite, and have attached thereto, |
| 1984 |
supporting proof that the petitioner
gave the respondents: |
| 1985 |
1. Advance
written notice of the specific nature of the |
| 1986 |
dispute; |
| 1987 |
2. A
demand for relief, and a reasonable opportunity to |
| 1988 |
comply or to provide the relief; and |
| 1989 |
3. Notice
of the intention to file an arbitration petition |
| 1990 |
or other legal action in the absence of
a resolution of the |
| 1991 |
dispute. |
| 1992 |
|
| 1993 |
Failure to include the allegations or
proof of compliance with |
| 1994 |
these prerequisites requires dismissal
of the petition without |
| 1995 |
prejudice. |
| 1996 |
(c) Upon
receipt, the petition shall be promptly reviewed |
| 1997 |
by the division to determine the
existence of a dispute and |
| 1998 |
compliance with the requirements of
paragraphs (a) and (b). If |
| 1999 |
emergency relief is required and is not
available through |
| 2000 |
arbitration, a motion to stay the
arbitration may be filed. The |
| 2001 |
motion must be accompanied by a verified
petition alleging facts |
| 2002 |
that, if proven, would support entry of
a temporary injunction, |
| 2003 |
and if an appropriate motion and
supporting papers are filed, |
| 2004 |
the division may abate the arbitration
pending a court hearing |
| 2005 |
and disposition of a motion for
temporary injunction. |
| 2006 |
(d) Upon
determination by the division that a dispute |
| 2007 |
exists and that the petition
substantially meets the |
| 2008 |
requirements of paragraphs (a) and (b)
and any other applicable |
| 2009 |
rules, a copy of the petition shall
forthwith be served by the |
| 2010 |
division upon all respondents. |
| 2011 |
(e) Either
before or after the filing of the respondents' |
| 2012 |
answer to the petition, any party may
request that the |
| 2013 |
arbitrator refer the case to mediation
under this section and |
| 2014 |
any rules adopted by the division. Upon
receipt of a request for |
| 2015 |
mediation, the division shall promptly refer
the case contact |
| 2016 |
the parties to
determine if there is agreement that mediation |
| 2017 |
would be appropriate.
If all parties agree, the dispute must be |
| 2018 |
referred
to mediation. Notwithstanding a lack of an
agreement by |
| 2019 |
all parties,
The arbitrator may refer a dispute to mediation at |
| 2020 |
any time. |
| 2021 |
(f) Upon
referral of a case to mediation, the parties must |
| 2022 |
select a mutually acceptable mediator.
To assist in the |
| 2023 |
selection, the arbitrator shall provide
the parties with a list |
| 2024 |
of both volunteer and paid mediators
that have been certified by |
| 2025 |
the division under s. 718.501. If the
parties are unable to |
| 2026 |
agree on a mediator within the time
allowed by the arbitrator, |
| 2027 |
the arbitrator shall appoint a mediator
from the list of |
| 2028 |
certified mediators. If a case is
referred to mediation, the |
| 2029 |
parties shall attend a mediation
conference, as scheduled by the |
| 2030 |
parties and the mediator. If any party
fails to attend a duly |
| 2031 |
noticed mediation conference, without
the permission or approval |
| 2032 |
of the arbitrator or mediator, the
arbitrator must impose |
| 2033 |
sanctions against the party, including
the striking of any |
| 2034 |
pleadings filed, the entry of an order
of dismissal or default |
| 2035 |
if appropriate, and the award of costs
and attorneys' fees |
| 2036 |
incurred by the other parties. Unless
otherwise agreed to by the |
| 2037 |
parties or as provided by order of the
arbitrator, a party is |
| 2038 |
deemed to have appeared at a mediation
conference by the |
| 2039 |
physical presence of the party or its
representative having full |
| 2040 |
authority to settle without further
consultation, provided that |
| 2041 |
an association may comply by having one
or more representatives |
| 2042 |
present with full authority to negotiate
a settlement and |
| 2043 |
recommend that the board of
administration ratify and approve |
| 2044 |
such a settlement within 5 days from the
date of the mediation |
| 2045 |
conference. The parties shall share
equally the expense of |
| 2046 |
mediation, unless they agree otherwise. |
| 2047 |
(g) The
purpose of mediation as provided for by this |
| 2048 |
section is to present the parties with
an opportunity to resolve |
| 2049 |
the underlying dispute in good faith,
and with a minimum |
| 2050 |
expenditure of time and resources. |
| 2051 |
(h) Mediation
proceedings must generally be conducted in |
| 2052 |
accordance with the Florida Rules of
Civil Procedure, and these |
| 2053 |
proceedings are privileged and
confidential to the same extent |
| 2054 |
as court-ordered mediation. Persons who
are not parties to the |
| 2055 |
dispute are not allowed to attend the
mediation conference |
| 2056 |
without the consent of all parties, with
the exception of |
| 2057 |
counsel for the parties and corporate
representatives designated |
| 2058 |
to appear for a party. If the mediator
declares an impasse after |
| 2059 |
a mediation conference has been held,
the arbitration proceeding |
| 2060 |
terminates, unless all parties agree in
writing to continue the |
| 2061 |
arbitration proceeding, in which case
the arbitrator's decision |
| 2062 |
shall be either binding or nonbinding,
as agreed upon by the |
| 2063 |
parties; in the arbitration proceeding,
the arbitrator shall not |
| 2064 |
consider any evidence relating to the
unsuccessful mediation |
| 2065 |
except in a proceeding to impose
sanctions for failure to appear |
| 2066 |
at the mediation conference. If the
parties do not agree to |
| 2067 |
continue arbitration, the arbitrator
shall enter an order of |
| 2068 |
dismissal, and either party may
institute a suit in a court of |
| 2069 |
competent jurisdiction. The parties may
seek to recover any |
| 2070 |
costs and attorneys' fees incurred in
connection with |
| 2071 |
arbitration and mediation
proceedings under this section as part |
| 2072 |
of the costs and fees that may be
recovered by the prevailing |
| 2073 |
party in any subsequent litigation. |
| 2074 |
(i) Arbitration
shall be conducted according to rules |
| 2075 |
promulgated by the division. The filing
of a petition for |
| 2076 |
arbitration shall toll the applicable
statute of limitations. |
| 2077 |
(j) At
the request of any party to the arbitration, such |
| 2078 |
arbitrator shall issue subpoenas for the
attendance of witnesses |
| 2079 |
and the production of books, records,
documents, and other |
| 2080 |
evidence and any party on whose behalf a
subpoena is issued may |
| 2081 |
apply to the court for orders compelling
such attendance and |
| 2082 |
production. Subpoenas shall be served
and shall be enforceable |
| 2083 |
in the manner provided by the Florida
Rules of Civil Procedure. |
| 2084 |
Discovery may, in the discretion of the
arbitrator, be permitted |
| 2085 |
in the manner provided by the Florida
Rules of Civil Procedure. |
| 2086 |
Rules adopted by the division may
authorize any reasonable |
| 2087 |
sanctions except contempt for a
violation of the arbitration |
| 2088 |
procedural rules of the division or for
the failure of a party |
| 2089 |
to comply with a reasonable nonfinal
order issued by an |
| 2090 |
arbitrator which is not under judicial
review. |
| 2091 |
(k) The
arbitration decision shall be presented to the |
| 2092 |
parties in writing. An arbitration
decision is final in those |
| 2093 |
disputes in which the parties have
agreed to be bound. An |
| 2094 |
arbitration decision is also final if a
complaint for a trial de |
| 2095 |
novo is not filed in a court of
competent jurisdiction in which |
| 2096 |
the condominium is located within 30
days. The right to file for |
| 2097 |
a trial de novo entitles the parties to
file a complaint in the |
| 2098 |
appropriate trial court for a judicial
resolution of the |
| 2099 |
dispute. The prevailing party in an
arbitration proceeding shall |
| 2100 |
be awarded the costs of the arbitration
and reasonable |
| 2101 |
attorney's fees in an amount determined
by the arbitrator. Such |
| 2102 |
an award shall include the costs and
reasonable attorney's fees |
| 2103 |
incurred in the arbitration proceeding
as well as the costs and |
| 2104 |
reasonable attorney's fees incurred in
preparing for and |
| 2105 |
attending any scheduled mediation. |
| 2106 |
(l) The
party who files a complaint for a trial de novo |
| 2107 |
shall be assessed the other party's
arbitration costs, court |
| 2108 |
costs, and other reasonable costs,
including attorney's fees, |
| 2109 |
investigation expenses, and expenses for
expert or other |
| 2110 |
testimony or evidence incurred after the
arbitration hearing if |
| 2111 |
the judgment upon the trial de novo is
not more favorable than |
| 2112 |
the arbitration decision. If the
judgment is more favorable, the |
| 2113 |
party who filed a complaint for trial de
novo shall be awarded |
| 2114 |
reasonable court costs and attorney's
fees. |
| 2115 |
(m) Any
party to an arbitration proceeding may enforce an |
| 2116 |
arbitration award by filing a petition
in a court of competent |
| 2117 |
jurisdiction in which the condominium is
located. A petition may |
| 2118 |
not be granted unless the time for
appeal by the filing of a |
| 2119 |
complaint for trial de novo has expired.
If a complaint for a |
| 2120 |
trial de novo has been filed, a petition
may not be granted with |
| 2121 |
respect to an arbitration award that has
been stayed. If the |
| 2122 |
petition for enforcement is granted, the
petitioner shall |
| 2123 |
recover reasonable attorney's fees and
costs incurred in |
| 2124 |
enforcing the arbitration award. A
mediation settlement may also |
| 2125 |
be enforced through the county or
circuit court, as applicable, |
| 2126 |
and any costs and fees incurred in the
enforcement of a |
| 2127 |
settlement agreement reached at
mediation must be awarded to the |
| 2128 |
prevailing party in any enforcement
action. |
| 2129 |
Section
31. Subsection (1) of section 718.302, Florida |
| 2130 |
Statutes, is amended to read: |
| 2131 |
718.302 Agreements
entered into by the association.-- |
| 2132 |
(1) Any
grant or reservation made by a declaration, lease, |
| 2133 |
or other document, and any contract made
by an association prior |
| 2134 |
to assumption of control of the
association by unit owners other |
| 2135 |
than the developer, that provides for services,
products, |
| 2136 |
operation, maintenance, or management of
a condominium |
| 2137 |
association or property serving the unit
owners of a condominium |
| 2138 |
shall be fair and reasonable, and such
grant, reservation, or |
| 2139 |
contract may be canceled by unit owners
other than the |
| 2140 |
developer: |
| 2141 |
(a) If
the association operates only one condominium and |
| 2142 |
the unit owners other than the developer
have assumed control of |
| 2143 |
the association, or if unit owners other
than the developer own |
| 2144 |
not less than 75 percent of the voting
interests in the |
| 2145 |
condominium, the cancellation shall be
by concurrence of the |
| 2146 |
owners of not less than 75 percent of
the voting interests other |
| 2147 |
than the voting interests owned by the
developer. If a grant, |
| 2148 |
reservation, or contract is so canceled
and the unit owners |
| 2149 |
other than the developer have not
assumed control of the |
| 2150 |
association, the association shall make
a new contract or |
| 2151 |
otherwise provide for maintenance,
management, or operation in |
| 2152 |
lieu of the canceled obligation, at the
direction of the owners |
| 2153 |
of not less than a majority of the
voting interests in the |
| 2154 |
condominium other than the voting
interests owned by the |
| 2155 |
developer. |
| 2156 |
(b) If
the association operates more than one condominium |
| 2157 |
and the unit owners other than the
developer have not assumed |
| 2158 |
control of the association, and if unit
owners other than the |
| 2159 |
developer own at least 75 percent of the
voting interests in a |
| 2160 |
condominium operated by the association,
any grant, reservation, |
| 2161 |
or contract for maintenance, management,
or operation of |
| 2162 |
buildings containing the units in that
condominium or of |
| 2163 |
improvements used only by unit owners of
that condominium may be |
| 2164 |
canceled by concurrence of the owners of
at least 75 percent of |
| 2165 |
the voting interests in the condominium
other than the voting |
| 2166 |
interests owned by the developer. No
grant, reservation, or |
| 2167 |
contract for maintenance, management, or
operation of |
| 2168 |
recreational areas or any other property
serving more than one |
| 2169 |
condominium, and operated by more than
one association, may be |
| 2170 |
canceled except pursuant to paragraph
(d). |
| 2171 |
(c) If
the association operates more than one condominium |
| 2172 |
and the unit owners other than the
developer have assumed |
| 2173 |
control of the association, the
cancellation shall be by |
| 2174 |
concurrence of the owners of not less
than 75 percent of the |
| 2175 |
total number of voting interests in all
condominiums operated by |
| 2176 |
the association other than the voting
interests owned by the |
| 2177 |
developer. |
| 2178 |
(d) If
the owners of units in a condominium have the right |
| 2179 |
to use property in common with owners of
units in other |
| 2180 |
condominiums and those condominiums are
operated by more than |
| 2181 |
one association, no grant, reservation,
or contract for |
| 2182 |
maintenance, management, or operation of
the property serving |
| 2183 |
more than one condominium may be
canceled until unit owners |
| 2184 |
other than the developer have assumed
control of all of the |
| 2185 |
associations operating the condominiums
that are to be served by |
| 2186 |
the recreational area or other property,
after which |
| 2187 |
cancellation may be effected by
concurrence of the owners of not |
| 2188 |
less than 75 percent of the total number
of voting interests in |
| 2189 |
those condominiums other than voting
interests owned by the |
| 2190 |
developer. |
| 2191 |
Section
32. Paragraphs (f) and (g) are added to subsection |
| 2192 |
(1) of section 718.3025, Florida
Statutes, to read: |
| 2193 |
718.3025 Agreements
for operation, maintenance, or |
| 2194 |
management of condominiums; specific
requirements.-- |
| 2195 |
(1) No
written contract between a party contracting to |
| 2196 |
provide maintenance or management
services and an association |
| 2197 |
which contract provides for operation,
maintenance, or |
| 2198 |
management of a condominium association
or property serving the |
| 2199 |
unit owners of a condominium shall be
valid or enforceable |
| 2200 |
unless the contract: |
| 2201 |
(f) Requires
that all obligations under the contract be |
| 2202 |
completed within a
1-year period. |
| 2203 |
(g) Contains
a provision expressly prohibiting automatic |
| 2204 |
renewal of the
contract. |
| 2205 |
Section
33. Paragraph (a) of subsection (2) of section |
| 2206 |
718.3026, Florida Statutes, is amended
to read: |
| 2207 |
718.3026 Contracts
for products and services; in writing; |
| 2208 |
bids; exceptions.--Associations with
less than 100 units may opt |
| 2209 |
out of the provisions of this section if
two-thirds of the unit |
| 2210 |
owners vote to do so, which opt-out may
be accomplished by a |
| 2211 |
proxy specifically setting forth the
exception from this |
| 2212 |
section. |
| 2213 |
(2)(a)1. Notwithstanding
the foregoing, contracts with |
| 2214 |
employees of the association, and
contracts for attorney, |
| 2215 |
accountant, architect, community
association manager, timeshare |
| 2216 |
management firm, engineering, and
landscape architect services |
| 2217 |
are not subject to the provisions of
this section. |
| 2218 |
2. A
contract executed before January 1, 1992, and any |
| 2219 |
renewal thereof, is not subject to the
competitive bid |
| 2220 |
requirements of this section. If a
contract was awarded under |
| 2221 |
the competitive bid procedures of this
section, any renewal of |
| 2222 |
that contract is not subject to such
competitive bid |
| 2223 |
requirements if the contract contains a
provision that allows |
| 2224 |
the board to cancel the contract on 30
days' notice. Materials, |
| 2225 |
equipment, or services provided to a
condominium under a local |
| 2226 |
government franchise agreement by a
franchise holder are not |
| 2227 |
subject to the competitive bid
requirements of this section. A |
| 2228 |
contract with a manager, if made by a
competitive bid, may be |
| 2229 |
made for up to 3 years. A condominium
whose declaration or |
| 2230 |
bylaws provides for competitive bidding
for services may operate |
| 2231 |
under the provisions of that declaration
or bylaws in lieu of |
| 2232 |
this section if those provisions are not
less stringent than the |
| 2233 |
requirements of this section. |
| 2234 |
3. A
contract by and between a service provider and an |
| 2235 |
association shall not
be for a term in excess of 3 years and |
| 2236 |
shall not contain an
automatic renewal clause. |
| 2237 |
4. A
contract for construction or repair of the property |
| 2238 |
that exceeds 10
percent of the total annual budget of the |
| 2239 |
association,
including reserves, should have the approval of an |
| 2240 |
attorney hired by the
association. |
| 2241 |
Section
34. Subsection (3) of section 718.303, Florida |
| 2242 |
Statutes, is amended and subsection (4)
is added to that |
| 2243 |
section, to read: |