WHAT WILL BE NEW IN THE CONDO ACT?

An Opinion By Milena Macias, Esq.

Published June 17, 2025

As you may know, HB 913 goes into effect on July 1, 2025. The legislation attempts to provide greater transparency and protection for members of mandatory community associations. Despite some glitches in the legislation, there are several important changes that may benefit members in mandatory community associations. It might be interesting to see how these changes will apply in a real world environment. Some changes include:

• Community association managers (“CAM”) must create and maintain an online licensure account with the DBPR where the CAM is the designated onsite CAM.

• The CAM must report any changes and must update their licensure profile within 30 days of any change of required information.

• Community association management firms must disclose all employed CAMs.

• The DBPR, under its enforcement authority, may refer to local enforcement agencies matters such as embezzlement and document destruction.

• Most importantly, a CAM manager or a community association management firm can no longer hide behind the skirt of “I was just following orders.”

• No longer is it permissible for a CAM or a community association management firm to knowingly perform any act directed by the community association if such an act violates any state or federal law.
  Contracts can no longer include any “waive off” of their professional CAM standards.

• The interests to be disclosed include business dealings and compensation with such associations. Board members must verify CAM licenses before signing any contracts.

An association that receives and considers a bid that exceeds $2,500 to provide a good or service, must solicit multiple bids from other third-party providers of such goods or services, unless such services have been disclosed in conflict of interest.

Greater enforcement measures are granted to local enforcement agencies on mandatory structural inspections.

 
“Milestone inspections required for buildings 3+ habitable stories every 10 years after 30 years of age …[as determined by the Florida Building Code] and that is subject, in whole or in part, to the condominium or cooperative form of ownership as a residential condominium. A list of buildings deemed to be unsafe or uninhabitable are determined by a milestone inspection.

The DBPR must include a list of the associations that have completed the structural integrity reserve study to be submitted by September 30 following the end of the fiscal year.
 

Video conferences of board meetings are permitted. This provides greater flexibility and transparency for members, no matter where they are located, to attend association board meetings. Approved minutes for a meeting held by video conference, recordings or a hyperlink for all meetings that are conducted by video conference must be maintained for at least 1 year after the date the video recording is posted.n addition, electronic voting by members and voting interests have been clarified.

Official records include all bank statements and ledgers.
 

A “delivery requirement” affidavit must be executed by the officer or director regarding members’ requests for financial reports that are furnished by mail, hand delivered, or electronically sent.)

A safe harbor provision for a CAM and members of the board of an association on violations that constitute a misdemeanor of the second degree, deletes the term “repeatedly” to “intentionally.”

The board has the duty to use best efforts to make prudent investment decisions, balancing risk and return. The board is allowed to put reserves on CDs or deposit accounts without member approval.

Perhaps “best efforts” should be more clearly clarified since decisions are made without a vote of the unit owners, and board should not permitted to hide the umbrella of “best efforts”

In terms of a mandatory evacuation, if a unit owner fails or refuses to evacuate, the board is immune and cannot be held liable for such unit owner injury or property.

I welcome your thoughts.