Bill Text: FL S1516 | 2011 | Regular Session | Introduced


Bill Title: Community Associations

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-05-07 - Indefinitely postponed and withdrawn from consideration [S1516 Detail]

Download: Florida-2011-S1516-Introduced.html
       Florida Senate - 2011                                    SB 1516
       
       
       
       By Senator Ring
       
       
       
       
       32-01556C-11                                          20111516__
    1                        A bill to be entitled                      
    2         An act relating to community associations; amending s.
    3         718.111, F.S.; requiring an insurance company insuring
    4         condominium association property to provide notice to
    5         unit owners if the insurance will be cancelled or not
    6         renewed by the association; authorizing a majority of
    7         the voting interests of the association to direct the
    8         board to obtain substitute coverage; amending s.
    9         718.113, F.S.; authorizing the board of a condominium
   10         association to install impact glass or other code
   11         compliant windows under certain circumstances;
   12         amending s. 718.116, F.S.; providing that a
   13         condominium association may not be deemed to be the
   14         previous owner of a condominium unit under certain
   15         circumstances; requiring a tenant to pay all of a unit
   16         owner’s outstanding monetary obligations relating to
   17         the unit to the condominium association under certain
   18         circumstances; amending s. 720.303, F.S.; providing
   19         that a member of a homeowners’ association has the
   20         right to speak on any matter placed on the agenda of
   21         the board of the association for at least 3 minutes;
   22         amending s. 720.306, F.S.; specifying additional
   23         requirements for elections for members of the board of
   24         a homeowners’ association; specifying additional
   25         requirements for candidates to be a member of the
   26         board of a homeowners’ association; amending s.
   27         720.3085, F.S.; providing that a condominium
   28         homeowners’ association may not be deemed to be the
   29         previous owner of a parcel under certain
   30         circumstances; providing an effective date.
   31  
   32  Be It Enacted by the Legislature of the State of Florida:
   33  
   34         Section 1. Paragraph (d) of subsection (11) of section
   35  718.111, Florida Statutes, is amended to read:
   36         718.111 The association.—
   37         (11) INSURANCE.—In order to protect the safety, health, and
   38  welfare of the people of the State of Florida and to ensure
   39  consistency in the provision of insurance coverage to
   40  condominiums and their unit owners, this subsection applies to
   41  every residential condominium in the state, regardless of the
   42  date of its declaration of condominium. It is the intent of the
   43  Legislature to encourage lower or stable insurance premiums for
   44  associations described in this subsection.
   45         (d) An association controlled by unit owners operating as a
   46  residential condominium shall use its best efforts to obtain and
   47  maintain adequate property insurance to protect the association,
   48  the association property, the common elements, and the
   49  condominium property that must be insured by the association
   50  pursuant to this subsection. However, if an association having
   51  50 or fewer units cancels or does not renew insurance coverage
   52  required or permitted under this subsection, the insurance
   53  company must notify all unit owners by certified and regular
   54  mail at least 30 days before the effective date of a termination
   55  of coverage. Upon receipt of the notice, a majority of the
   56  voting interests may agree in writing to direct the board to
   57  obtain substitute coverage for the association as a common
   58  expense.
   59         Section 2. Subsection (5) of section 718.113, Florida
   60  Statutes, is amended to read:
   61         718.113 Maintenance; limitation upon improvement; display
   62  of flag; hurricane shutters; display of religious decorations.—
   63         (5) Each board of administration shall adopt hurricane
   64  shutter specifications for each building within each condominium
   65  operated by the association which shall include color, style,
   66  and other factors deemed relevant by the board. All
   67  specifications adopted by the board must shall comply with the
   68  applicable building code.
   69         (a) The board may, subject to the provisions of s.
   70  718.3026, and the approval of a majority of voting interests of
   71  the condominium, install hurricane shutters, impact glass or
   72  other code-compliant windows, or hurricane protection that
   73  complies with or exceeds the applicable building code. However,
   74  or both, except that a vote of the owners is not required if the
   75  maintenance, repair, and replacement of hurricane shutters,
   76  impact glass, or other code-compliant windows or other forms of
   77  hurricane protection are the responsibility of the association
   78  pursuant to the declaration of condominium. If However, where
   79  hurricane protection or laminated glass or window film
   80  architecturally designed to function as hurricane protection
   81  which complies with or exceeds the current applicable building
   82  code has been previously installed, the board may not install
   83  hurricane shutters, or other hurricane protection, or impact
   84  glass or other code-compliant windows except upon approval by a
   85  majority vote of the voting interests.
   86         (b) The association is shall be responsible for the
   87  maintenance, repair, and replacement of the hurricane shutters
   88  or other hurricane protection authorized by this subsection if
   89  such hurricane shutters or other hurricane protection is the
   90  responsibility of the association pursuant to the declaration of
   91  condominium. If the hurricane shutters or other hurricane
   92  protection authorized by this subsection are the responsibility
   93  of the unit owners pursuant to the declaration of condominium,
   94  the responsibility for the maintenance, repair, and replacement
   95  of such items are shall be the responsibility of the unit owner.
   96         (c) The board may operate shutters installed pursuant to
   97  this subsection without permission of the unit owners only if
   98  where such operation is necessary to preserve and protect the
   99  condominium property and association property. The installation,
  100  replacement, operation, repair, and maintenance of such shutters
  101  in accordance with the procedures set forth in this paragraph
  102  are herein shall not be deemed a material alteration to the
  103  common elements or association property within the meaning of
  104  this section.
  105         (d) Notwithstanding any provision to the contrary in the
  106  condominium documents, if approval is required by the documents,
  107  a board may shall not refuse to approve the installation or
  108  replacement of hurricane shutters by a unit owner conforming to
  109  the specifications adopted by the board.
  110         Section 3. Subsections (1) and (11) of section 718.116,
  111  Florida Statutes, are amended to read:
  112         718.116 Assessments; liability; lien and priority;
  113  interest; collection.—
  114         (1)(a) A unit owner, regardless of how his or her title has
  115  been acquired, including by purchase at a foreclosure sale or by
  116  deed in lieu of foreclosure, is liable for all assessments which
  117  come due while he or she is the unit owner. Additionally, a unit
  118  owner is jointly and severally liable with the previous owner
  119  for all unpaid assessments that came due up to the time of
  120  transfer of title. This liability is without prejudice to any
  121  right the owner may have to recover from the previous owner the
  122  amounts paid by the owner. Notwithstanding the provisions of
  123  this paragraph, the association may not be deemed the previous
  124  owner for purposes of joint and several liability for
  125  assessments which came due while the association owned the unit
  126  or units on which it has foreclosed or taken title via deed in
  127  lieu of foreclosure.
  128         (b) The liability of a first mortgagee or its successor or
  129  assignees who acquire title to a unit by foreclosure or by deed
  130  in lieu of foreclosure for the unpaid assessments that became
  131  due before the mortgagee’s acquisition of title is limited to
  132  the lesser of:
  133         1. The unit’s unpaid common expenses and regular periodic
  134  assessments which accrued or came due during the 12 months
  135  immediately preceding the acquisition of title and for which
  136  payment in full has not been received by the association; or
  137         2. One percent of the original mortgage debt. The
  138  provisions of this paragraph apply only if the first mortgagee
  139  joined the association as a defendant in the foreclosure action.
  140  Joinder of the association is not required if, on the date the
  141  complaint is filed, the association was dissolved or did not
  142  maintain an office or agent for service of process at a location
  143  which was known to or reasonably discoverable by the mortgagee.
  144         (c) The person acquiring title shall pay the amount owed to
  145  the association within 30 days after transfer of title. Failure
  146  to pay the full amount when due shall entitle the association to
  147  record a claim of lien against the parcel and proceed in the
  148  same manner as provided in this section for the collection of
  149  unpaid assessments.
  150         (d) With respect to each timeshare unit, each owner of a
  151  timeshare estate therein is jointly and severally liable for the
  152  payment of all assessments and other charges levied against or
  153  with respect to that unit pursuant to the declaration or bylaws,
  154  except to the extent that the declaration or bylaws may provide
  155  to the contrary.
  156         (e) Notwithstanding the provisions of paragraph (b), a
  157  first mortgagee or its successor or assignees who acquire title
  158  to a condominium unit as a result of the foreclosure of the
  159  mortgage or by deed in lieu of foreclosure of the mortgage shall
  160  be exempt from liability for all unpaid assessments attributable
  161  to the parcel or chargeable to the previous owner which came due
  162  prior to acquisition of title if the first mortgage was recorded
  163  prior to April 1, 1992. If, however, the first mortgage was
  164  recorded on or after April 1, 1992, or on the date the mortgage
  165  was recorded, the declaration included language incorporating by
  166  reference future amendments to this chapter, the provisions of
  167  paragraph (b) shall apply.
  168         (f) The provisions of this subsection are intended to
  169  clarify existing law, and shall not be available in any case
  170  where the unpaid assessments sought to be recovered by the
  171  association are secured by a lien recorded prior to the
  172  recording of the mortgage. Notwithstanding the provisions of
  173  chapter 48, the association shall be a proper party to intervene
  174  in any foreclosure proceeding to seek equitable relief.
  175         (g) For purposes of this subsection, the term “successor or
  176  assignee” as used with respect to a first mortgagee includes
  177  only a subsequent holder of the first mortgage.
  178         (11) If the unit is occupied by a tenant and the unit owner
  179  is delinquent in paying any monetary obligation due to the
  180  association, the association may make a written demand that the
  181  tenant pay the outstanding and future monetary obligations
  182  related to the condominium unit to the association, and the
  183  tenant must make such payment. The demand is continuing in
  184  nature and, upon demand, the tenant must pay the monetary
  185  obligations to the association until the association releases
  186  the tenant or the tenant discontinues tenancy in the unit. The
  187  association must mail written notice to the unit owner of the
  188  association’s demand that the tenant make payments to the
  189  association. The association shall, upon request, provide the
  190  tenant with written receipts for payments made. A tenant who
  191  acts in good faith in response to a written demand from an
  192  association is immune from any claim from the unit owner.
  193         (a) If the tenant prepaid rent to the unit owner before
  194  receiving the demand from the association and provides written
  195  evidence of paying the rent to the association within 14 days
  196  after receiving the demand, the tenant shall receive credit for
  197  the prepaid rent for the applicable period and must make any
  198  subsequent rental payments to the association to be credited
  199  against the monetary obligations of the unit owner to the
  200  association.
  201         (b) The tenant is not liable for increases in the amount of
  202  the monetary obligations due unless the tenant was notified in
  203  writing of the increase at least 10 days before the date the
  204  rent is due. The liability of the tenant may not exceed the
  205  amount due from the tenant to the tenant’s landlord. The
  206  tenant’s landlord shall provide the tenant a credit against
  207  rents due to the unit owner in the amount of moneys paid to the
  208  association under this section.
  209         (c) The association may issue notices under s. 83.56 and
  210  may sue for eviction under ss. 83.59-83.625 as if the
  211  association were a landlord under part II of chapter 83 if the
  212  tenant fails to pay a required payment to the association.
  213  However, the association is not otherwise considered a landlord
  214  under chapter 83 and specifically has no duties under s. 83.51.
  215         (d) The tenant does not, by virtue of payment of monetary
  216  obligations to the association, have any of the rights of a unit
  217  owner to vote in any election or to examine the books and
  218  records of the association.
  219         (e) A court may supersede the effect of this subsection by
  220  appointing a receiver.
  221         Section 4. Paragraph (b) of subsection (2) of section
  222  720.303, Florida Statutes, is amended to read:
  223         720.303 Association powers and duties; meetings of board;
  224  official records; budgets; financial reporting; association
  225  funds; recalls.—
  226         (2) BOARD MEETINGS.—
  227         (b) Members have the right to attend all meetings of the
  228  board and to speak on any matter placed on the agenda by
  229  petition of the voting interests for at least 3 minutes. The
  230  association may adopt written reasonable rules expanding the
  231  right of members to speak and governing the frequency, duration,
  232  and other manner of member statements, which rules must be
  233  consistent with this paragraph and may include a sign-up sheet
  234  for members wishing to speak. Notwithstanding any other law,
  235  meetings between the board or a committee and the association’s
  236  attorney to discuss proposed or pending litigation or meetings
  237  of the board held for the purpose of discussing personnel
  238  matters are not required to be open to the members other than
  239  directors.
  240         Section 5. Subsection (9) of section 720.306, Florida
  241  Statutes, is amended to read:
  242         720.306 Meetings of members; voting and election
  243  procedures; amendments.—
  244         (9)(a) ELECTIONS AND BOARD VACANCIES.—Notwithstanding the
  245  governing documents of the association, elections of directors
  246  must be conducted in accordance with the procedures set forth in
  247  s. 718.112(2)(d)3. the governing documents of the association.
  248  All members of the association are eligible to serve on the
  249  board of directors, and a member may nominate himself or herself
  250  as a candidate for the board at a meeting where the election is
  251  to be held or, if the election process allows voting by absentee
  252  ballot, in advance of the balloting. except as otherwise
  253  provided in this section the governing documents, boards of
  254  directors must be elected by a plurality of the votes cast by
  255  eligible voters.
  256         (b) Co-owners of a parcel may not serve as members of the
  257  board of directors at the same time unless they own more than
  258  one parcel or unless there are not enough eligible candidates to
  259  fill the vacancies on the board at the time of the vacancy. A
  260  person who is delinquent in the payment of any fee, fine, or
  261  other obligation to the association by more than 90 days is not
  262  eligible for board membership. A person who has been convicted
  263  of any felony in this state or in a United States District or
  264  Territorial Court, or who has been convicted of any offense in
  265  another jurisdiction which would be considered a felony if
  266  committed in this state, is not eligible for board membership
  267  unless such felon’s civil rights have been restored for at least
  268  5 years as of the date on which such person seeks election to
  269  the board. The validity of an action by the board is not
  270  affected if it is later determined that a member of the board is
  271  ineligible for board membership due to having been convicted of
  272  a felony.
  273         (c) Any election dispute between a member and an
  274  association must be submitted to mandatory binding arbitration
  275  with the division. Such proceedings must be conducted in the
  276  manner provided by s. 718.1255 and the procedural rules adopted
  277  by the division. Unless otherwise provided in the bylaws, any
  278  vacancy occurring on the board before the expiration of a term
  279  may be filled by an affirmative vote of the majority of the
  280  remaining directors, even if the remaining directors constitute
  281  less than a quorum, or by the sole remaining director. In the
  282  alternative, a board may hold an election to fill the vacancy,
  283  in which case the election procedures must conform to the
  284  requirements of the governing documents. Unless otherwise
  285  provided in the bylaws, a board member appointed or elected
  286  under this section is appointed for the unexpired term of the
  287  seat being filled. Filling vacancies created by recall is
  288  governed by s. 720.303(10) and rules adopted by the division.
  289         Section 6. Subsection (2) of section 720.3085, Florida
  290  Statutes, is amended to read:
  291         720.3085 Payment for assessments; lien claims.—
  292         (2)(a) A parcel owner, regardless of how his or her title
  293  to property has been acquired, including by purchase at a
  294  foreclosure sale or by deed in lieu of foreclosure, is liable
  295  for all assessments that come due while he or she is the parcel
  296  owner. The parcel owner’s liability for assessments may not be
  297  avoided by waiver or suspension of the use or enjoyment of any
  298  common area or by abandonment of the parcel upon which the
  299  assessments are made. Notwithstanding the provisions of this
  300  paragraph, the association may not be deemed the previous owner
  301  for purposes of joint and several liability for assessments
  302  which came due while the association owned the parcel or parcels
  303  on which it has foreclosed or taken title via deed in lieu of
  304  foreclosure.
  305         (b) A parcel owner is jointly and severally liable with the
  306  previous parcel owner for all unpaid assessments that came due
  307  up to the time of transfer of title. This liability is without
  308  prejudice to any right the present parcel owner may have to
  309  recover any amounts paid by the present owner from the previous
  310  owner.
  311         (c) Notwithstanding anything to the contrary contained in
  312  this section, the liability of a first mortgagee, or its
  313  successor or assignee as a subsequent holder of the first
  314  mortgage who acquires title to a parcel by foreclosure or by
  315  deed in lieu of foreclosure for the unpaid assessments that
  316  became due before the mortgagee’s acquisition of title, shall be
  317  the lesser of:
  318         1. The parcel’s unpaid common expenses and regular periodic
  319  or special assessments that accrued or came due during the 12
  320  months immediately preceding the acquisition of title and for
  321  which payment in full has not been received by the association;
  322  or
  323         2. One percent of the original mortgage debt.
  324  
  325  The limitations on first mortgagee liability provided by this
  326  paragraph apply only if the first mortgagee filed suit against
  327  the parcel owner and initially joined the association as a
  328  defendant in the mortgagee foreclosure action. Joinder of the
  329  association is not required if, on the date the complaint is
  330  filed, the association was dissolved or did not maintain an
  331  office or agent for service of process at a location that was
  332  known to or reasonably discoverable by the mortgagee.
  333         Section 7. This act shall take effect July 1, 2011.

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