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The Civil Justice Committee
recommends the following: |
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|
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Council/Committee
Substitute |
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Remove
the entire bill and insert: |
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A bill to be entitled |
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An act relating to community
associations; directing the |
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Advisory Council on
Condominiums to hold public hearings |
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and prepare and present a
report to the Legislature |
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regarding certain issues
relating to the powers of |
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condominium associations
during catastrophic windstorm |
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events and the recovery and
rebuilding following such |
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events; amending s. 720.305,
F.S.; providing that a fine |
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levied by a homeowners'
association against a homeowner |
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shall not become a lien
against a parcel unless it is |
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imposed for violations of use
restrictions on the land; |
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amending s. 720.311, F.S.;
providing that the failure of a |
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party to make payment of fees
and costs or appear for a |
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mediation session or
arbitration proceeding acts as an |
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impasse in the proceeding and
entitles the other party to |
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proceed in court and to
receive and enforce an award of |
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costs and fees associated with
the mediation or |
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arbitration; deleting the
training hours required for |
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certification of mediators and
arbitrators; providing that |
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qualifications for
certification as a mediator or |
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arbitrator will be established
by the Florida Supreme |
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Court; deleting a provision
requiring the initial costs of |
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educating homeowners and other
parties about homeowners' |
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associations and the use of
alternative dispute resolution |
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techniques to be paid from
moneys and filing fees |
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generated by the arbitration
of recall and election |
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disputes and by the mediation
of those disputes; amending |
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s. 718.112, F.S.; extending a
period in which condominium |
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common areas do not have to be
retrofitted with sprinkler |
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systems; creating s. 712.11,
F.S.; providing for the |
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revival of certain
declarations that have been |
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extinguished; providing an
effective date. |
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|
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Be It Enacted by the
Legislature of the State of Florida: |
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|
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Section
1. The Advisory Council
on Condominiums is |
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directed to
hold public hearings, study available options and |
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proposals,
and prepare a report to the Legislature, including |
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recommended
legislation, dealing with the protection and |
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preservation
of condominium property at the time of anticipated |
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catastrophic
windstorm events and the recovery and rebuilding |
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following
such events. Recommendations should consider the |
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communication
options with condominium owners in times of |
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anticipated
and declared emergencies, financial planning for |
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protecting
and rebuilding condominium property following such |
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events, and
the powers and responsibilities of unit owners and |
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the board
of directors of the condominium association before, |
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during, and
after such occurrences. |
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Section
2. Subsection (2) of section 720.305, Florida |
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Statutes, is amended to read: |
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720.305 Obligations
of members; remedies at law or in |
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equity; levy of fines and
suspension of use rights; failure to |
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fill sufficient number of
vacancies on board of directors to |
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constitute a quorum;
appointment of receiver upon petition of |
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any member.-- |
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(2) If
the governing documents so provide, an association |
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may suspend, for a reasonable
period of time, the rights of a |
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member or a member's tenants,
guests, or invitees, or both, to |
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use common areas and
facilities and may levy reasonable fines, |
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not to exceed $100 per
violation, against any member or any |
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tenant, guest, or invitee. A
fine may be levied on the basis of |
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each day of a continuing
violation, with a single notice and |
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opportunity for hearing,
except that no such fine shall exceed |
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$1,000 in the aggregate unless
otherwise provided in the |
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governing documents. A fine
shall not become a lien against a |
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parcel unless
it is imposed for violations of use restrictions |
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on
the land. In any action to recover a fine, the
prevailing |
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party is entitled to collect
its reasonable attorney's fees and |
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costs from the nonprevailing
party as determined by the court. |
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(a) A
fine or suspension may not be imposed without notice |
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of at least 14 days to the
person sought to be fined or |
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suspended and an opportunity
for a hearing before a committee of |
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at least three members
appointed by the board who are not |
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officers, directors, or
employees of the association, or the |
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spouse, parent, child,
brother, or sister of an officer, |
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director, or employee. If the
committee, by majority vote, does |
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not approve a proposed fine or
suspension, it may not be |
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imposed. |
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(b) The
requirements of this subsection do not apply to |
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the imposition of suspensions
or fines upon any member because |
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of the failure of the member
to pay assessments or other charges |
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when due if such action is
authorized by the governing |
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documents. |
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(c) Suspension
of common-area-use rights shall not impair |
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the right of an owner or
tenant of a parcel to have vehicular |
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and pedestrian ingress to and
egress from the parcel, including, |
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but not limited to, the right
to park. |
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Section
3. Paragraphs (b) and (c) of subsection (2) and |
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subsection (3) of section
720.311, Florida Statutes, are amended |
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to read: |
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720.311 Dispute
resolution.-- |
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(2) |
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(b) If
mediation as described in paragraph (a) is not |
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successful in resolving all
issues between the parties, the |
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parties may file the
unresolved dispute in a court of competent |
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jurisdiction or elect to enter
into binding or nonbinding |
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arbitration pursuant to the
procedures set forth in s. 718.1255 |
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and rules adopted by the
division, with the arbitration |
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proceeding to be conducted by
a department arbitrator or by a |
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private arbitrator certified
by the department. If all parties |
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do not agree to arbitration
proceedings following an |
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unsuccessful mediation, any
party may file the dispute in court. |
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A final order resulting from
nonbinding arbitration is final and |
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enforceable in the courts if a
complaint for trial de novo is |
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not filed in a court of
competent jurisdiction within 30 days |
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after entry of the order. The
failure of any party to make |
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payment of
fees and costs within the time established by |
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department
rule or to appear for a scheduled mediation session |
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or
arbitration proceeding shall operate as an impasse in the |
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proceeding
between the parties, entitling the other party to |
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proceed in
court and to receive and enforce an award of costs |
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and fees
associated with the mediation or arbitration. |
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(c) The
department shall develop a certification and |
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training program for private
mediators and private arbitrators |
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which shall emphasize
experience and expertise in the area of |
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the operation of community
associations. A mediator or |
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arbitrator shall be certified
by the department only if he or |
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she has
met the qualifications for a mediator established for |
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circuit
court mediators has
attended at least 20 hours of |
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training in
mediation or arbitration, as appropriate, and only |
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if the
applicant has mediated or arbitrated at least 10 disputes |
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involving
community associations within 5 years prior to the |
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date of the
application, or has mediated or arbitrated 10 |
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disputes in
any area within 5 years prior to the date of |
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application
and has completed 20 hours of training in community |
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association
disputes. In order to be certified by the |
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department,
any mediator must also be certified by
the Florida |
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Supreme Court. The department
may conduct the training and |
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certification program within
the department or may contract with |
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an outside vendor to perform
the training or certification. The |
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expenses of operating the
training and certification and |
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training program shall be paid
by the moneys and filing fees |
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generated by the arbitration
of recall and election disputes and |
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by the mediation of those
disputes referred to in this |
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subsection and by the training
fees. |
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(3) The
department shall develop an education program to |
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assist homeowners,
associations, board members, and managers in |
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understanding and increasing
awareness of the operation of |
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homeowners' associations
pursuant to this chapter and in |
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understanding the use of
alternative dispute resolution |
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techniques in resolving
disputes between parcel owners and |
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associations or between
owners. Such education program may |
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include the development of
pamphlets and other written |
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instructional guides, the
holding of classes and meetings by |
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department employees or
outside vendors, as the department |
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determines, and the creation
and maintenance of a website |
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containing instructional
materials. The expenses of
operating |
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the
education program shall be initially paid by the moneys and |
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filing fees
generated by the arbitration of recall and election |
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disputes
and by the mediation of those disputes referred to in |
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this
subsection. |
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Section
4. Paragraph (l) of subsection (2) of section |
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718.112, Florida Statutes, is
amended to read: |
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718.112 Bylaws.-- |
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(2) REQUIRED
PROVISIONS.--The bylaws shall provide for the |
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following and, if they do not
do so, shall be deemed to include |
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the following: |
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(l) Certificate
of compliance.--There shall be a provision |
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that a certificate of
compliance from a licensed electrical |
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contractor or electrician may
be accepted by the association's |
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board as evidence of
compliance of the condominium units with |
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the applicable fire and life
safety code. Notwithstanding the |
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provisions of chapter 633 or
of any other code, statute, |
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ordinance, administrative
rule, or regulation, or any |
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interpretation of the
foregoing, an association, condominium, or |
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unit owner is not obligated to
retrofit the common elements or |
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units of a residential
condominium with a fire sprinkler system |
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or other engineered lifesafety
system in a building that has |
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been certified for occupancy
by the applicable governmental |
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entity, if the unit owners
have voted to forego such |
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retrofitting and engineered
lifesafety system by the affirmative |
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vote of two-thirds of all
voting interests in the affected |
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condominium. However, a
condominium association may not vote to |
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forego the retrofitting with a
fire sprinkler system of common |
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areas in a high-rise building.
For purposes of this subsection, |
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the term "high-rise
building" means a building that is greater |
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than 75 feet in height where
the building height is measured |
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from the lowest level of fire
department access to the floor of |
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the highest occupiable story.
For purposes of this subsection, |
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the term "common
areas" means any enclosed hallway, corridor, |
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lobby, stairwell, or entryway.
In no event shall the local |
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authority having jurisdiction
require completion of retrofitting |
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of common areas with a
sprinkler system before the end of 2020 |
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2014. |
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1. A
vote to forego retrofitting may be obtained by |
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limited proxy or by a ballot
personally cast at a duly called |
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membership meeting, or by
execution of a written consent by the |
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member, and shall be effective
upon the recording of a |
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certificate attesting to such
vote in the public records of the |
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county where the condominium
is located. The association shall |
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mail, hand deliver, or
electronically transmit to each unit |
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owner written notice at least
14 days prior to such membership |
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meeting in which the vote to
forego retrofitting of the required |
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fire sprinkler system is to
take place. Within 30 days after the |
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association's opt-out vote,
notice of the results of the opt-out |
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vote shall be mailed, hand
delivered, or electronically |
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transmitted to all unit
owners. Evidence of compliance with this |
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30-day notice shall be made by
an affidavit executed by the |
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person providing the notice
and filed among the official records |
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of the association. After such
notice is provided to each owner, |
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a copy of such notice shall be
provided by the current owner to |
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a new owner prior to closing
and shall be provided by a unit |
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owner to a renter prior to
signing a lease. |
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2. As
part of the information collected annually from |
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condominiums, the division
shall require condominium |
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associations to report the
membership vote and recording of a |
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certificate under this
subsection and, if retrofitting has been |
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undertaken, the per-unit cost
of such work. The division shall |
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annually report to the
Division of State Fire Marshal of the |
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Department of Financial
Services the number of condominiums that |
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have elected to forego
retrofitting. |
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Section
5. Section 712.11, Florida Statutes, is created
to |
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read: |
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712.11 Covenants
and restrictions.--A homeowners' |
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association
that is not otherwise subject to chapter 720 may use |
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the
procedures provided in ss. 720.403-720.407 to revive a |
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declaration
of covenants and restrictions that has been |
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extinguished
by this chapter entitled Marketable Record Titles |
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to Real
Property. |
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Section
6. This act shall take effect upon becoming a
law. |