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Item J4 J4 BOARD OF COUNTY COMMISSIONERS COUNTY of MONROE u,.. 9 Mayor Craig Cates,District 1 The Florida Keys Mayor Pro Tern Holly Merrill Raschein,District 5 Michelle Lincoln,District 2 � - James K. Scholl,District 3 ' David Rice,District 4 Board of County Commissioners Meeting June 21, 2023 Agenda Item Number: J4 2023-1129 BULK ITEM: No DEPARTMENT: Building and Permitting TIME APPROXIMATE: STAFF CONTACT: Rick Griffin 11:00 a.m. AGENDA ITEM WORDING: Discussion and direction regarding updates to the proposed Building Safety Inspection Program. TIME APPROXIMATE 11:00 A.M. ITEM BACKGROUND: The FBC section 101.4.7, states the following: 101.4.7 Existing buildings. The provisions of the Florida Building Code, Existing Building shall apply to matters governing the repair, alteration, change of occupancy, addition to and relocation of existing buildings. The FBC Existing Buildings section 101.2, states the following: 101.2 Scope. The provisions of the Florida Building Code, Existing Building shall apply to the repair, alteration, change of occupancy, addition to and relocation of existing buildings. 3149 Exception: For the purpose of public educational facilities and state licensed facilities, see Chapter 4, Special Occupancy, of the Florida Building Code, Building. Section 201 of the FBC Existing Buildings defines "existing buildings" as a building erected prior to the date of adoption of the appropriate code, or one for which a legal building permit has been issued. Reserved sections of the FBC are sections in which their scope does not apply to Florida or fall outside the scope of the FBC as established in Florida Statues. How unsafe structures are inspected or declared unsafe are outside the scope of the FBC. Therefore section 116 of the FBC titled"Unsafe Structures and Equipment" is currently considered"reserved". Local jurisdictions may choose to implement property/building maintenance regulations or standards. Monroe County has codified a process for unsafe structures. The process includes an inspection of the several systems of the building including structural, electrical, gas, mechanical and plumbing system. Since November 2021 there has been one update to Florida Statues and one nearing adoption by the state legislature. • 2022 SB-4D establishes a statewide inspection program,requiring condominium and cooperative associations to conduct milestone structural inspections and perform structural integrity reserve studies to ensure that condominium and cooperative buildings are safe for continued use. • 2023 SB 154 has passed the House and Senate and includes language to revise the milestone inspection requirements for condominium and cooperative buildings that are three or more stories in height. PREVIOUS RELEVANT BOCC ACTION: As early as 1974, the State of Florida adopted a state minimum building code law requiring local governments to adopt and enforce a building code that would ensure minimum standards. The BOCC had adopted the Southern Standard Building Code 1973 Revision as detailed in Ordinance 3150 007-1973. The BOCC had taken action to meet the objectives of the National Flood Insurance Act of 1968 as detailed in Ordinance 003-1975. The Florida Legislature amended Chapter 553 in 1998, Florida Statutes, and Building Construction Standards, to create a single statewide building code. This code superseded all local codes including the Southern Standard Building Code. As of March 1, 2002, the Florida Building Code (FBC), which is developed and maintained by the Florida Building Commission, supersedes all local building codes. The FBC is updated every three years and may be amended annually to incorporate interpretations and clarifications. Monroe County has consistently enforced the FBC since its adoption. November 11, 2021 the BOCC had provided direction to the Building department in its implantation of the BSIP. During the Special Session D, 2022, SB 4-D was enacted to revise the laws related to building safety. The act provided building safety inspection requirements for condominium and cooperative association buildings. The 2023 Session had introduced SB 154 to revise milestone inspection requirements for condominium and cooperative buildings that are three or more stories in height. CONTRACT/AGREEMENT CHANGES: STAFF RECOMMENDATION: To adopt a policy to develop guidelines and criteria for minimum requirements for structures 3 stories and up, that have reached an age of 25 years. The milestone inspections would include non-loadbearing elements and electrical. Staff also recommends that one- and two-family dwellings, U.S. Government, State of Florida buildings, schools not under the jurisdiction of the Monroe County Building Official, and buildings on Indian Reservations be exempt. These parameters would include approximately 116 structures located throughout unincorporated Monroe County. DOCUMENTATION: 2023 SB 154 2nd engrossed.pdf REVIST OF Monroe County recertification buildin Safety inspection program BSIP.pdf 3151 FINANCIAL IMPACT: 3152 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1 2 An act relating to condominium and cooperative 3 associations; amending s . 468 . 4334, F. S . ; revising the 4 circumstances under which community association 5 managers or management firms must comply with a 6 specified provision; amending s . 553 . 899, F. S . ; 7 revising legislative findings; revising the definition 8 of the terms "milestone inspection" and "substantial 9 structural deterioration"; revising who must have 10 milestone inspections performed for buildings; 11 revising the deadline for milestone inspections of 12 certain buildings; authorizing local enforcement 13 agencies to make certain determinations relating to 14 milestone inspections after a building reaches a 15 specified age; authorizing local enforcement agencies 16 to extend deadlines for milestone inspections under 17 certain circumstances; authorizing local enforcement 18 agencies to accept certain inspection reports under 19 certain circumstances; deeming the inspections 20 relating to such inspection reports a milestone 21 inspection for certain purposes; revising costs that 22 condominium and cooperative associations are 23 responsible for; revising requirements relating to 24 written notice of required inspections; requiring 25 architects or engineers performing milestone 26 inspections to submit a specified progress report to a 27 local enforcement agency within a specified timeframe 28 under certain circumstances; specifying that 29 associations must distribute copies of certain Page 1 of 77 CODING: Words men are deletions; words underlined are additions . 3153 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 30 inspection reports within a specified timeframe and in 31 a specified manner; authorizing municipal governing 32 bodies to adopt certain ordinances relating to 33 association repairs; requiring the Florida Building 34 Commission to adopt rules by a specified date; 35 providing requirements for such rules; conforming 36 provisions; amending s . 627 . 351, F. S . ; revising 37 requirements relating to the purchase of flood 38 insurance as a condition for maintaining certain 39 policies issued by the Citizens Property Insurance 40 Corporation; amending s . 718 . 103, F. S . ; defining the 41 term "alternative funding method"; revising the 42 definition of the term "structural integrity reserve 43 study"; amending s . 718 . 111, F. S . ; making a technical 44 change; amending s . 718 . 112, F. S . ; revising 45 requirements relating to budget meetings; revising 46 condominium association reserve account requirements; 47 revising requirements relating to waiving reserve 48 requirements or providing less reserves than required 49 by law; revising requirements relating to using 50 reserve funds or interest accrued on reserve funds for 51 certain purposes; revising requirements for structural 52 integrity reserve studies and mandatory milestone 53 inspections; providing applicability; conforming 54 provisions to changes made by the act; amending s . 55 718 . 1255, F. S . ; revising the definition of the term 56 "dispute"; specifying that certain disputes are not 57 subject to nonbinding arbitration and must be 58 submitted to presuit mediation; amending s . 718 . 113, Page 2 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3154 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 59 F. S . ; revising requirements relating to maintenance, 60 repair, and replacement of common elements and 61 condominium property; amending s . 718 . 301, F. S . ; 62 revising items that developers are required to deliver 63 to an association upon relinquishing control of the 64 association; amending s . 718 . 503, F. S . ; revising the 65 documents developers are required to provide to 66 prospective buyers or lessees; revising the documents 67 that prospective purchasers are entitled to when 68 purchasing a condominium unit from a unit owner; 69 requiring specified disclosures relating to milestone 70 inspections, turnover inspection reports, and 71 structural integrity reserve studies for certain 72 contracts entered into after a specified date; 73 amending s . 718 . 504, F. S . ; revising requirements for 74 prospectuses and offering circulars; amending s . 75 719 . 103, F. S . ; revising the definition of the term 76 NNstructural integrity reserve study"; amending s . 77 719 . 104, F. S . ; revising rights relating to the 78 official records of a cooperative association; 79 providing maintenance requirements for cooperative 80 associations; amending s . 719 . 106, F. S . ; revising 81 requirements relating to budget procedures; revising 82 cooperative association reserve account requirements; 83 revising requirements relating to waiving reserve 84 requirements or providing less reserves than required 85 by law; revising a prohibition on using reserve funds 86 or interest accrued on reserve funds for certain 87 purposes; revising requirements for structural Page 3 of 77 CODING: Words men are deletions; words underlined are additions . 3155 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 88 integrity reserve studies and mandatory milestone 89 inspections; providing applicability; conforming 90 provisions to changes made by the act; amending s . 91 719 . 301, F. S . ; revising items that developers are 92 required to deliver to an association upon 93 relinquishing control of the association; amending s . 94 719 . 503, F. S . ; revising the types of documents 95 developers are required to provide to prospective 96 buyers and lessees; revising the documents that a 97 prospective purchaser is entitled to when purchasing 98 an interest in cooperative from a unit owner; 99 requiring specified disclosures relating to milestone 100 inspections, turnover inspection reports, and 101 structural integrity reserve studies for certain 102 contracts entered into after a specified date; 103 amending s . 719 . 504, F. S . ; revising requirements for 104 prospectuses and offering circulars; amending ss . 105 558 . 002, 718 . 116, and 720 . 3085, F. S . ; conforming 106 cross-references; reenacting s . 719 . 1255, F. S . , 107 relating to alternative resolution of disputes, to 108 incorporate amendments made to s . 718 . 1255, F. S . , in a 109 reference thereto; reenacting ss . 718 . 501 (1) (f) and 110 719 . 501 (1) (f) , F. S . , relating to the rulemaking 111 authority of the Division of Florida Condominiums, 112 Timeshares, and Mobile Homes of the Department of 113 Business and Professional Regulation; providing 114 appropriations; providing effective dates . 115 116 Be It Enacted by the Legislature of the State of Florida: Page 4 of 77 CODING: Words men are deletions; words underlined are additions . 3156 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 117 118 Section 1 . Paragraph (b) of subsection (1) of section 119 468 . 4334, Florida Statutes, is amended to read: 120 468 . 4334 Professional practice standards; liability.- 121 (1) 122 (b) If a community association manager or a community 123 association management firm has a contract with a community 124 association that ' 125 t4tat is subject to s . 553 . 899, the community association manager 126 or the community association management firm must comply with 127 that section as directed by the board. 128 Section 2 . Subsections (1) through (6) , paragraph (b) of 129 subsection (7) , and subsections (8) , (9) , (11) , and (12) of 130 section 553 . 899, Florida Statutes, are amended to read: 131 553 . 899 Mandatory structural inspections for condominium 132 and cooperative buildings .- 133 (1) The Legislature finds that maintaining the structural 134 integrity of a building throughout the life of the building 4-t-& 135 .sCTvsce life is of paramount importance in order to ensure that 136 buildings are structurally sound so as to not pose a threat to 137 the public health, safety, or welfare . As such, the Legislature 138 finds that the imposition of a statewide structural inspection 139 program for aging condominium and cooperative buildings in this 140 state is necessary to ensure that such buildings are safe for 141 continued use . 142 (2) As used in this section, the terms : 143 (a) "Milestone inspection" means a structural inspection of 144 a building, including an inspection of load-bearing elements 145 --� and the primary structural members and primary structural Page 5 of 77 CODING: Words men are deletions; words underlined are additions . 3157 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 146 systems as those terms are defined in s . 627 . 706, by an -a 147 lieei:isea architect licensed under chapter 481 or engineer 148 licensed under chapter 471 authorized to practice in this state 149 for the purposes of attesting to the life safety and adequacy of 150 the structural components of the building and, to the extent 151 reasonably possible, determining the general structural 152 condition of the building as it affects the safety of such 153 building, including a determination of any necessary 154 maintenance, repair, or replacement of any structural component 155 of the building. The purpose of such inspection is not to 156 determine if the condition of an existing building is in 157 compliance with the Florida Building Code or the firesafety 158 code . The milestone inspection services may be provided by a 159 team of professionals with an architect or engineer acting as a 160 registered design professional in responsible charge with all 161 work and reports signed and sealed by the appropriate qualified 162 team member. 163 (b) "Substantial structural deterioration" means 164 substantial structural distress or substantial structural 165 weakness that negatively affects a building' s general structural 166 condition and integrity. The term does not include surface 167 imperfections such as cracks, distortion, sagging, deflections, 168 misalignment, signs of leakage, or peeling of finishes unless 169 the licensed engineer or architect performing the phase one or 170 phase two inspection determines that such surface imperfections 171 are a sign of substantial structural deterioration. 172 (3) (a) An owner or owners of a building that is three 173 stories or more in height as determined by the Florida Building 174 Code and that is subject, in whole or in part, to the Page 6 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3158 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 175 condominium or cooperative form of ownership as a residential 176 condominium iat- under chapter 718 or -a-r a residential 177 cooperative iat- under chapter 719 must have a milestone 178 inspection performed f$i4- el=i lei_- T1-l_iT- is three 179 ffteiae in hc=�} by December 31 of the year in which the building 180 reaches 30 years of age, based on the date the certificate of 181 occupancy for the building was issued, and every 10 years 182 thereafter. If a building reached 30 years of age before July 1, 183 2022, the building' s initial milestone inspection must be 184 performed before December 31, 2024 . If a building reaches 30 185 years of age on or after July 1, 2022, and before December 31, 186 2024, the building' s initial milestone inspection must be 187 performed before December 31, 2025 . If the date of issuance for 188 the certificate of occupancy is not available, the date of 189 issuance of the building' s certificate of occupancy shall be the 190 date of occupancy evidenced in any record of the local building 191 official . 192 (b) The local enforcement agency may determine that local 193 circumstances, including environmental conditions such as 194 proximity to salt water as defined in s . 379 . 101, require that 195 34- t-1=�e 19,dTl4ii:iff is l e ea45e ei w i�� fffiles o f a eeast�fmie as 196 ele f is e . ��6 . 9�1 ie--e e-�efft±' iiri a s-s e e-i at-i-e iz -e 2a 197 a milestone inspection must be 198 performed by December 31 of the year in which the building 199 reaches 25 years of age, based on the date the certificate of 200 occupancy for the building was issued, and every 10 years 201 thereafter. 202 (c) The local enforcement agency may extend the date by 203 which a building' s initial milestone inspection must be Page 7 of 77 CODING: Words men are deletions; words underlined are additions . 3159 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 204 completed upon a showing of good cause by the owner or owners of 205 the building that the inspection cannot be timely completed if 206 the owner or owners have entered into a contract with an 207 architect or engineer to perform the milestone inspection and 208 the inspection cannot reasonably be completed before the 209 deadline or other circumstance to justify an extension. 210 (d) The local enforcement agency may accept an inspection 211 report prepared by a licensed engineer or architect for a 212 structural integrity and condition inspection of a building 213 performed before July 1, 2022, if the inspection and report 214 substantially comply with the requirements of this section. 215 Notwithstanding when such inspection was completed, the 216 condominium or cooperative association must comply with the unit 217 owner notice requirements in subsection (9) . The inspection for 218 which an inspection report is accepted by the local enforcement 219 agency under this paragraph is deemed a milestone inspection for 220 the applicable requirements in chapters 718 and 719 . If a 221 previous inspection and report is accepted by the local 222 enforcement agency under this paragraph, the deadline for the 223 building' s subsequent 10-year milestone inspection is based on 224 the date of the accepted previous inspection . 225 (4) The milestone inspection report must be arranged by a 226 condominium or cooperative association and any owner of any 227 portion of the building which is not subject to the condominium 228 or cooperative form of ownership. The condominium association or 229 cooperative association and any owner of any portion of the 230 building which is not subject to the condominium or cooperative 231 form of ownership are each Fftm t—air-a €ez�ie fftilene 232 insleeeti-ente lee jeei�€ezme' a ' responsible for ensuring Page 8 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3160 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 233 compliance with the requirements of this section. The 234 condominium association or cooperative association is 235 responsible for all costs associated with the milestone 236 inspection attributable to the portions of a building which the 237 association is responsible to maintain under the governing 238 documents of the association. This section s„lseem} does not 239 apply to a single-family, two-family, or three-family dwelling 240 with three or fewer habitable stories above ground. 241 242 ' 243 ' 244 245 Eiam�e—e f—__ ------=- €ez�e—cep i ez m�e—e f 4 a�earl-alele, t4re--Eia .,u,r eef t4ie- leidT1Eii�=,zJ- s - -- --------- -- 2 4 7 eeeiapaney iall lee I�re—da t-e ef eeeapaney e�i denee-d in any is e_�e' 248 flf t-l-re—lee&! lemailding effieial . 249 (5) Upon determining that a building must have a milestone 250 inspection, the local enforcement agency must provide written 251 notice of such required inspection to the condominium 252 association or cooperative association and any owner of any 253 portion of the building which is not subject to the condominium 254 or cooperative form of ownership, as applicable, by certified 255 mail, return receipt requested. The condominium or cooperative 256 association must notify the unit owners of the required 257 milestone inspection within 14 days after receipt of the written 258 notice from the local enforcement agency and provide the date 259 that the milestone inspection must be completed. Such notice may 260 be given by electronic submission to unit owners who consent to 261 receive notice by electronic submission or by posting on the Page 9 of 77 CODING: Words men are deletions; words underlined are additions . 3161 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 262 association' s website . 263 (6) Phase one of the milestone inspection must be completed 264 within 180 days after the owner or owners of the building 265 receive the written notice under subsection (5) , the 266 eenuefftinrimf,—asseeiat-ie,,aeeeper-am ; eiat-i-en fftm�is _.V,i, et-e 267 phase ene ef :�he ffirlesm� . For purposes of this 268 section, completion of phase one of the milestone inspection 269 means the licensed engineer or architect who performed the phase 270 one inspection submitted the inspection report by e-mail, United 271 States Postal Service, or commercial delivery service to the 272 local enforcement agency. 273 (7) A milestone inspection consists of two phases : 274 (b) A phase two of the milestone inspection must be 275 performed if any substantial structural deterioration is 276 identified during phase one . A phase two inspection may involve 277 destructive or nondestructive testing at the inspector' s 278 direction. The inspection may be as extensive or as limited as 279 necessary to fully assess areas of structural distress in order 280 to confirm that the building is structurally sound and safe for 281 its intended use and to recommend a program for fully assessing 282 and repairing distressed and damaged portions of the building. 283 When determining testing locations, the inspector must give 284 preference to locations that are the least disruptive and most 285 easily repairable while still being representative of the 286 structure . If a phase two inspection is required, within 180 287 days after submitting a phase one inspection report the 288 architect or engineer performing the phase two inspection must 289 submit a phase two progress report to the local enforcement 290 agency with a timeline for completion of the phase two Page 10 of 77 CODING: Words men are deletions; words underlined are additions . 3162 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 291 inspection. An inspector who completes a phase two milestone 292 inspection shall prepare and submit an inspection report 293 pursuant to subsection (8) . 294 (8) Upon completion of a phase one or phase two milestone 295 inspection, the architect or engineer who performed the 296 inspection must submit a sealed copy of the inspection report 297 with a separate summary of, at minimum, the material findings 298 and recommendations in the inspection report to the condominium 299 association or cooperative association, to any other owner of 300 any portion of the building which is not subject to the 301 condominium or cooperative form of ownership, and to the 302 building official of the local government which has 303 jurisdiction. The inspection report must, at a minimum, meet all 304 of the following criteria: 305 (a) Bear the seal and signature, or the electronic 306 signature, of the licensed engineer or architect who performed 307 the inspection. 308 (b) Indicate the manner and type of inspection forming the 309 basis for the inspection report . 310 (c) Identify any substantial structural deterioration, 311 within a reasonable professional probability based on the scope 312 of the inspection, describe the extent of such deterioration, 313 and identify any recommended repairs for such deterioration. 314 (d) State whether unsafe or dangerous conditions, as those 315 terms are defined in the Florida Building Code, were observed. 316 (e) Recommend any remedial or preventive repair for any 317 items that are damaged but are not substantial structural 318 deterioration. 319 (f) Identify and describe any items requiring further Page 11 of 77 CODING: Words men are deletions; words underlined are additions . 3163 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 320 inspection. 321 (9) Within 45 days after receiving the applicable 322 inspection report, the condominium or cooperative association 323 must distribute a copy of the inspector-prepared summary of the 324 inspection report to each condominium unit owner or cooperative 325 unit owner, regardless of the findings or recommendations in the 326 report, by United States mail or personal delivery at the 327 mailing address, property address, or any other address of the 328 owner provided to fulfill the association' s notice requirements 329 under chapter 718 or chapter 719, as applicable, and by 330 electronic transmission to the e-mail address or facsimile 331 number provided to fulfill the association' s notice requirements 332 to unit owners who previously consented to receive notice by 333 electronic transmission; must post a copy of the inspector- 334 prepared summary in a conspicuous place on the condominium or 335 cooperative property; and must publish the full report and 336 inspector-prepared summary on the association' s website, if the 337 association is required to have a website . 338 (11) A board of county commissioners or municipal governing 339 body may adopt an ordinance requiring that a condominium or 340 cooperative association and any other owner that is subject to 341 this section schedule or commence repairs for substantial 342 structural deterioration within a specified timeframe after the 343 local enforcement agency receives a phase two inspection report; 344 however, such repairs must be commenced within 365 days after 345 receiving such report . If an owner of the building asse iat-ie 346 fails to submit proof to the local enforcement agency that 347 repairs have been scheduled or have commenced for substantial 348 structural deterioration identified in a phase two inspection Page 12 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3164 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 349 report within the required timeframe, the local enforcement 350 agency must review and determine if the building is unsafe for 351 human occupancy. 352 (12) By December 31, 2024, the Florida Building Commission 353 shall adopt rules pursuant to ss . 120 . 536 (1) and 120 . 54 to 354 establish a building safety program for the implementation of 355 this section within the Florida Building Code : Existing 356 Building. The building inspection program must, at minimum, 357 include inspection criteria, testing protocols, standardized 358 inspection and reporting forms that are adaptable to an 359 electronic format, and record maintenance requirements for the 360 local authority 361 anEi, }l- seet-i-en a --=------en4at-i-e,=,s;if an t-e any, 362 3,ee1-a t�r�e—t e i ewe �i e i r e--�� e 363 ire--s�.i=aet-i:ii=al _n�cgVityef—a leiarlela„n=Pi - ffifRiss±en -----,.t- 3 6 4 p ie-ii:i ele awr it-t-en Lete-reef any iceeefftfftenedlat-iensre--Ge 365 4z he n ,tom; anel t e Sisea t�,e Hei . ,��Tr��i�l�r�ef ��S _ �1 �-ef e ef 366 Rejei=esent-at-i��es1,ld 9eee-�i= 31, 2922 . 367 Section 3 . Paragraph (aa) of subsection (6) of section 368 627 . 351, Florida Statutes, is amended to read: 369 627 . 351 Insurance risk apportionment plans .- 370 (6) CITIZENS PROPERTY INSURANCE CORPORATION.- 371 (aa) Except as otherwise provided in this paragraph, the 372 corporation shall require the securing and maintaining of flood 373 insurance as a condition of coverage of a personal lines 374 residential risk. The insured or applicant must execute a form 375 approved by the office affirming that flood insurance is not 376 provided by the corporation and that if flood insurance is not 377 secured by the applicant or insured from an insurer other than Page 13 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3165 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 378 the corporation and in addition to coverage by the corporation, 379 the risk will not be eligible for coverage by the corporation. 380 The corporation may deny coverage of a personal lines 381 residential risk to an applicant or insured who refuses to 382 secure and maintain flood insurance . The requirement to purchase 383 flood insurance shall be implemented as follows : 384 1 . Except as provided in subparagraphs 2 . and 3 . , all 385 personal lines residential policyholders must have flood 386 coverage in place for policies effective on or after: 387 a. January 1, 2024, for property valued at $600, 000 or 388 more . 389 b. January 1, 2025, for property valued at $500, 000 or 390 more . 391 c. January 1, 2026, for property valued at $400, 000 or 392 more . 393 d. January 1, 2027, for all other personal lines 394 residential property insured by the corporation. 395 2 . All personal lines residential policyholders whose 396 property insured by the corporation is located within the 397 special flood hazard area defined by the Federal Emergency 398 Management Agency must have flood coverage in place : 399 a. At the time of initial policy issuance for all new 400 personal lines residential policies issued by the corporation on 401 or after April 1, 2023 . 402 b. By the time of the policy renewal for all personal lines 403 residential policies renewing on or after July 1, 2023 . 404 3 . Policyholders wYrese pelieies isTu t-l:i __~=p }-___ 405 Eke pr-e�iele eweLaeje €ei the pew-ef wina are not required 406 to purchase flood insurance as a condition for maintaining the Page 14 of 77 CODING: Words men are deletions; words underlined are additions . 3166 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 407 following t-lieir- policies issued by �i the corporation : 408 a. Policies that do not provide coverage for the peril of 409 wind. 410 b. Policies that provide coverage under a condominium unit 411 owners form. 412 413 The flood insurance required under this paragraph must meet, at 414 a minimum, the coverage available from the National Flood 415 Insurance Program or the requirements of subparagraphs s . 416 627 . 715 (1) (a) 1 . , 2 . , and 3 . 417 Section 4 . Present subsections (1) through (31) of section 418 718 . 103, Florida Statutes, are redesignated as subsections (2) 419 through (32) , respectively, a new subsection (1) is added to 420 that section, and present subsection (25) of that section is 421 amended, to read: 422 718 . 103 Definitions .-As used in this chapter, the term: 423 (1) "Alternative funding method" means a method approved by 424 the division for funding the capital expenditures and deferred 425 maintenance obligations for a multicondominium association 426 operating at least 25 condominiums which may reasonably be 427 expected to fully satisfy the association' s reserve funding 428 obligations by the allocation of funds in the annual operating 429 budget. 430 (26) (29) "Structural integrity reserve study" means a study 431 of the reserve funds required for future major repairs and 432 replacement of the condominium property performed as required 433 under s . 718 . 112 (2) (g) eefftfften a leased en a l i nsi c }=__- 434 flz he-eefftfften areas . " s t-i=,a tric al _mac g V it-yL�eser-� i 435 1eei€eat=d11' any le �s e i,,=l i f i e El:e- leei=€ei�fft s iieh Page 15 of 77 CODING: Words men are deletions; words underlined are additions . 3167 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 436 He t� , r e f : � =��Tre�a���-�Na;L=-re�e-r�re�-e�-�Tre 437 is ii -en-r=T�r�s e r�=� �Rn�t lee p e,�f e- - ,� le. a- -- ff --- -- J- 1' 1 1 -1' r J- 438 �e-e�sed�de i-�e-i4�Z!e r ie�teetli-e eased-=ewe 439 el=iaptei� 4 81 . At . tr-iir},,i� , r}ag yes ei=ze st:e4y 441 :�he—esm�izRzeel .e€:e! life an el : h e e s 7 i fft mL CQ 442 443 , 444 445 446 447 el- eefftfften aiea. 448 Section 5 . Paragraph (c) of subsection (12) of section 449 718 . 111, Florida Statutes, is amended to read: 450 718 . 111 The association.- 451 (12) OFFICIAL RECORDS .- 452 (c) 1 . The official records of the association are open to 453 inspection by any association member and any person authorized 454 by an association member as a eV t-l-e ai eV; Eed- representative 455 of such member at all reasonable times . The right to inspect the 456 records includes the right to make or obtain copies, at the 457 reasonable expense, if any, of the member and of the person 458 authorized by the association member as a eV „t-lle24ze 459 representative of such member. A renter of a unit has a right to 460 inspect and copy only the declaration of condominium, the 461 association' s bylaws and rules, and the inspection reports 462 described in ss . 553 . 899 and 718 . 301 (4) (p) . The association may 463 adopt reasonable rules regarding the frequency, time, location, 464 notice, and manner of record inspections and copying but may not Page 16 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3168 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 465 require a member to demonstrate any purpose or state any reason 466 for the inspection . The failure of an association to provide the 467 records within 10 working days after receipt of a written 468 request creates a rebuttable presumption that the association 469 willfully failed to comply with this paragraph. A unit owner who 470 is denied access to official records is entitled to the actual 471 damages or minimum damages for the association' s willful failure 472 to comply. Minimum damages are $50 per calendar day for up to 10 473 days, beginning on the 11th working day after receipt of the 474 written request. The failure to permit inspection entitles any 475 person prevailing in an enforcement action to recover reasonable 476 attorney fees from the person in control of the records who, 477 directly or indirectly, knowingly denied access to the records . 478 2 . Any person who knowingly or intentionally defaces or 479 destroys accounting records that are required by this chapter to 480 be maintained during the period for which such records are 481 required to be maintained, or who knowingly or intentionally 482 fails to create or maintain accounting records that are required 483 to be created or maintained, with the intent of causing harm to 484 the association or one or more of its members, is personally 485 subject to a civil penalty pursuant to s . 718 . 501 (1) (d) . 486 3 . The association shall maintain an adequate number of 487 copies of the declaration, articles of incorporation, bylaws, 488 and rules, and all amendments to each of the foregoing, as well 489 as the question and answer sheet as described in s . 718 . 504 and 490 year-end financial information required under this section, on 491 the condominium property to ensure their availability to unit 492 owners and prospective purchasers, and may charge its actual 493 costs for preparing and furnishing these documents to those Page 17 of 77 CODING: Words men are deletions; words underlined are additions . 3169 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 494 requesting the documents . An association shall allow a member or 495 his or her authorized representative to use a portable device, 496 including a smartphone, tablet, portable scanner, or any other 497 technology capable of scanning or taking photographs, to make an 498 electronic copy of the official records in lieu of the 499 association' s providing the member or his or her authorized 500 representative with a copy of such records . The association may 501 not charge a member or his or her authorized representative for 502 the use of a portable device . Notwithstanding this paragraph, 503 the following records are not accessible to unit owners : 504 a. Any record protected by the lawyer-client privilege as 505 described in s . 90 . 502 and any record protected by the work- 506 product privilege, including a record prepared by an association 507 attorney or prepared at the attorney' s express direction, which 508 reflects a mental impression, conclusion, litigation strategy, 509 or legal theory of the attorney or the association, and which 510 was prepared exclusively for civil or criminal litigation or for 511 adversarial administrative proceedings, or which was prepared in 512 anticipation of such litigation or proceedings until the 513 conclusion of the litigation or proceedings . 514 b. Information obtained by an association in connection 515 with the approval of the lease, sale, or other transfer of a 516 unit. 517 c. Personnel records of association or management company 518 employees, including, but not limited to, disciplinary, payroll, 519 health, and insurance records . For purposes of this sub- 520 subparagraph, the term "personnel records" does not include 521 written employment agreements with an association employee or 522 management company, or budgetary or financial records that Page 18 of 77 CODING: Words men are deletions; words underlined are additions . 3170 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 523 indicate the compensation paid to an association employee . 524 d. Medical records of unit owners . 525 e . Social security numbers, driver license numbers, credit 526 card numbers, e-mail addresses, telephone numbers, facsimile 527 numbers, emergency contact information, addresses of a unit 528 owner other than as provided to fulfill the association' s notice 529 requirements, and other personal identifying information of any 530 person, excluding the person' s name, unit designation, mailing 531 address, property address, and any address, e-mail address, or 532 facsimile number provided to the association to fulfill the 533 association' s notice requirements . Notwithstanding the 534 restrictions in this sub-subparagraph, an association may print 535 and distribute to unit owners a directory containing the name, 536 unit address, and all telephone numbers of each unit owner. 537 However, an owner may exclude his or her telephone numbers from 538 the directory by so requesting in writing to the association . An 539 owner may consent in writing to the disclosure of other contact 540 information described in this sub-subparagraph. The association 541 is not liable for the inadvertent disclosure of information that 542 is protected under this sub-subparagraph if the information is 543 included in an official record of the association and is 544 voluntarily provided by an owner and not requested by the 545 association. 546 f. Electronic security measures that are used by the 547 association to safeguard data, including passwords . 548 g. The software and operating system used by the 549 association which allow the manipulation of data, even if the 550 owner owns a copy of the same software used by the association. 551 The data is part of the official records of the association. Page 19 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3171 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 552 h. All affirmative acknowledgments made pursuant to s . 553 718 . 121 (4) (c) . 554 Section 6 . Paragraphs (e) , (f) , (g) , and (h) of subsection 555 (2) of section 718 . 112, Florida Statutes, are amended to read: 556 718 . 112 Bylaws .- 557 (2) REQUIRED PROVISIONS .—The bylaws shall provide for the 558 following and, if they do not do so, shall be deemed to include 559 the following: 560 (e) Budget meeting.- 561 1 . Any meeting at which a proposed annual budget of an 562 association will be considered by the board or unit owners shall 563 be open to all unit owners . At least 14 days prior to such a 564 meeting, the board shall hand deliver to each unit owner, mail 565 to each unit owner at the address last furnished to the 566 association by the unit owner, or electronically transmit to the 567 location furnished by the unit owner for that purpose a notice 568 of such meeting and a copy of the proposed annual budget . An 569 officer or manager of the association, or other person providing 570 notice of such meeting, shall execute an affidavit evidencing 571 compliance with such notice requirement, and such affidavit 572 shall be filed among the official records of the association. 573 2 . a. If a board adopts in any fiscal year an annual budget 574 which requires assessments against unit owners which exceed 115 575 percent of assessments for the preceding fiscal year, the board 576 shall conduct a special meeting of the unit owners to consider a 577 substitute budget if the board receives, within 21 days after 578 adoption of the annual budget, a written request for a special 579 meeting from at least 10 percent of all voting interests . The 580 special meeting shall be conducted within 60 days after adoption Page 20 of 77 CODING: Words men are deletions; words underlined are additions . 3172 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 581 of the annual budget . At least 14 days prior to such special 582 meeting, the board shall hand deliver to each unit owner, or 583 mail to each unit owner at the address last furnished to the 584 association, a notice of the meeting. An officer or manager of 585 the association, or other person providing notice of such 586 meeting shall execute an affidavit evidencing compliance with 587 this notice requirement, and such affidavit shall be filed among 588 the official records of the association. Unit owners may 589 consider and adopt a substitute budget at the special meeting. A 590 substitute budget is adopted if approved by a majority of all 591 voting interests unless the bylaws require adoption by a greater 592 percentage of voting interests . If there is not a quorum at the 593 special meeting or a substitute budget is not adopted, the 594 annual budget previously adopted by the board shall take effect 595 as scheduled. 596 b. Any determination of whether assessments exceed 115 597 percent of assessments for the prior fiscal year shall exclude 598 any authorized provision for reasonable reserves for repair or 599 replacement of the condominium property, anticipated expenses of 600 the association which the board does not expect to be incurred 601 on a regular or annual basis, insurance premiums, or assessments 602 for betterments to the condominium property. 603 c. If the developer controls the board, assessments shall 604 not exceed 115 percent of assessments for the prior fiscal year 605 unless approved by a majority of all voting interests . 606 (f) Annual budget.- 607 1 . The proposed annual budget of estimated revenues and 608 expenses must be detailed and must show the amounts budgeted by 609 accounts and expense classifications, including, at a minimum, Page 21 of 77 CODING: Words men are deletions; words underlined are additions . 3173 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 610 any applicable expenses listed in s . 718 . 504 (21) . The board 611 shall adopt the annual budget at least 14 days before the start 612 of the association' s fiscal year. In the event that the board 613 fails to timely adopt the annual budget a second time, it is 614 deemed a minor violation and the prior year' s budget shall 615 continue in effect until a new budget is adopted. A 616 multicondominium association must adopt a separate budget of 617 common expenses for each condominium the association operates 618 and must adopt a separate budget of common expenses for the 619 association. In addition, if the association maintains limited 620 common elements with the cost to be shared only by those 621 entitled to use the limited common elements as provided for in 622 s . 718 . 113 (1) , the budget or a schedule attached to it must show 623 the amount budgeted for this maintenance . If, after turnover of 624 control of the association to the unit owners, any of the 625 expenses listed in s . 718 . 504 (21) are not applicable, they do 626 not need to be listed. 627 2 . a. In addition to annual operating expenses, the budget 628 must include reserve accounts for capital expenditures and 629 deferred maintenance . These accounts must include, but are not 630 limited to, roof replacement, building painting, and pavement 631 resurfacing, regardless of the amount of deferred maintenance 632 expense or replacement cost, and any other item that has a 633 deferred maintenance expense or replacement cost that exceeds 634 $10, 000 . The amount to be reserved 635 the ass ei-at-ienf sore t rt- sa-i=,a ri=al�^�Vit-yi=est =�,t,,,�y 637 i=es =e' €era e} in the a -s e i at-i en' s inrit-i a l eic ffiest 638 ice.i=me r-al��jVit-yiesei� t -er the asseeiat-ien has Page 22 of 77 CODING: Words men are deletions; words underlined are additions . 3174 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 639 stee l e}e s i-Lci:iet-,arz=a! _mac g V it-yrc s-ei� m� , 640 must be computed using a formula based upon estimated remaining 641 useful life and estimated replacement cost or deferred 642 maintenance expense of the reserve item. In a budget adopted by 643 an association that is required to obtain a structural integrity 644 reserve study, reserves must be maintained for the items 645 identified in paragraph (g) for which the association is 646 responsible pursuant to the declaration of condominium, and the 647 reserve amount for such items must be based on the findings and 648 recommendations of the association' s most recent structural 649 integrity reserve study. With respect to items for which an 650 estimate of useful life is not readily ascertainable or with an 651 estimated remaining useful life of greater than 25 years, an 652 association is not required to reserve replacement costs for 653 such items, but an association must reserve the amount of 654 deferred maintenance expense, if any, which is recommended by 655 the structural integrity reserve study for such items . The 656 association may adjust replacement reserve assessments annually 657 to take into account an inflation adjustment and any changes in 658 estimates or extension of the useful life of a reserve item 659 caused by deferred maintenance . The members of a unit-owner- 660 controlled association may determine, by a majority vote of the 661 total voting interests of the 662 association, to provide no reserves or less reserves than 663 required by this subsection. For a budget adopted on or after 664 Effeem ; .r,. December 31, 2024, the members of a unit-owner- 665 controlled association that must obtain a structural integrity 666 reserve study may not determine to provide no reserves or less 667 reserves than required by this subsection for items listed in Page 23 of 77 CODING: Words men are deletions; words underlined are additions . 3175 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 668 paragraph (g) , except that members of an association operating a 669 multicondominium may determine to provide no reserves or less 670 reserves than required by this subsection if an alternative 671 funding method has been approved by the division . 672 b. Before turnover of control of an association by a 673 developer to unit owners other than a developer under s . 674 718 . 301, the developer-controlled association may not vote to 675 waive the reserves or reduce funding of the reserves . If a 676 meeting of the unit owners has been called to determine whether 677 to waive or reduce the funding of reserves and no such result is 678 achieved or a quorum is not attained, the reserves included in 679 the budget shall go into effect. After the turnover, the 680 developer may vote its voting interest to waive or reduce the 681 funding of reserves . 682 3 . Reserve funds and any interest accruing thereon shall 683 remain in the reserve account or accounts, and may be used only 684 for authorized reserve expenditures unless their use for other 685 purposes is approved in advance by a majority vote of all the 686 total voting interests nTa ,l,,, y ealle4 mee. it J of the 687 association. Before turnover of control of an association by a 688 developer to unit owners other than the developer pursuant to s . 689 718 . 301, the developer-controlled association may not vote to 690 use reserves for purposes other than those for which they were 691 intended. For a budget adopted on or after Effe t-jr-.. December 692 31, 2024, members of a unit-owner-controlled association that 693 must obtain a structural integrity reserve study may not vote to 694 use reserve funds, or any interest accruing thereon, that- ate 695 i=esei=�-ee€eL= }effis , ; s -eEi in par-agr-ate} for any other purpose 696 other than the replacement or deferred maintenance costs of the Page 24 of 77 CODING: Words men are deletions; words underlined are additions . 3176 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 697 components listed in paragraph (g) t-eiLc int-endc6 p„Vpese 698 4 . The only voting interests that are eligible to vote on 699 questions that involve waiving or reducing the funding of 700 reserves, or using existing reserve funds for purposes other 701 than purposes for which the reserves were intended, are the 702 voting interests of the units subject to assessment to fund the 703 reserves in question . Proxy questions relating to waiving or 704 reducing the funding of reserves or using existing reserve funds 705 for purposes other than purposes for which the reserves were 706 intended must contain the following statement in capitalized, 707 bold letters in a font size larger than any other used on the 708 face of the proxy ballot : WAIVING OF RESERVES, IN WHOLE OR IN 709 PART, OR ALLOWING ALTERNATIVE USES OF EXISTING RESERVES MAY 710 RESULT IN UNIT OWNER LIABILITY FOR PAYMENT OF UNANTICIPATED 711 SPECIAL ASSESSMENTS REGARDING THOSE ITEMS . 712 (g) Structural integrity reserve study.- 713 1 . A residential condominium A-1-, association must have a 714 structural integrity reserve study completed at least every 10 715 years after the condominium' s creation for each building on the 716 condominium property that is three stories or higher in height 717 as determined by the Florida Building Code which includes, at a 718 minimum, a study of the following items as related to the 719 structural integrity and safety of the building: 720 a. Roof. 721 b. Structure, including load-bearing walls and s-� other 722 primary structural members and primary structural systems as 723 those terms are defined in s . 627 . 706 . 724 c. F 1eaL=. 725 el. Feme a ien . Page 25 of 77 CODING: Words men are deletions; words underlined are additions . 3177 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 726 �e—. Fireproofing and fire protection systems . 727 d.-f—. Plumbing. 728 e .,tf—. Electrical systems . 729 f.+r Waterproofing and exterior painting. 730 g.-i—. Windows and exterior doors . 731 h.�—. Any other item that has a deferred maintenance expense 732 or replacement cost that exceeds $10, 000 and the failure to 733 replace or maintain such item negatively affects the items 734 listed in sub-subparagraphs a. -g. as 735 determined by the 736 visual inspection portion of the structural integrity reserve 737 study. 738 2 . A structural integrity reserve study is based on a 739 visual inspection of the condominium property. A structural 740 integrity reserve study may be performed by any person qualified 741 to perform such study. However, the visual inspection portion of 742 the structural integrity reserve study must be performed or 743 verified by an engineer licensed under chapter 471, an architect 744 licensed under chapter 481, or a person certified as a reserve 745 specialist or professional reserve analyst by the Community 746 Associations Institute or the Association of Professional 747 Reserve Analysts . 748 3 . At a minimum, a structural integrity reserve study must 749 identify each item of the condominium property being visually 750 inspected, state the estimated remaining useful life and the 751 estimated replacement cost or deferred maintenance expense of 752 each item of the condominium property being visually inspected, 753 and provide a reserve funding schedule with a recommended annual 754 reserve amount that achieves the estimated replacement cost or Page 26 of 77 CODING: Words men are deletions; words underlined are additions . 3178 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 755 deferred maintenance expense of each item of condominium 756 property being visually inspected by the end of the estimated 757 remaining useful life of the item. The structural integrity 758 reserve study may recommend that reserves do not need to be 759 maintained for any item for which an estimate of useful life and 760 an estimate of replacement cost cannot be determined, or the 761 study may recommend a deferred maintenance expense amount for 762 such item. The structural integrity reserve study may recommend 763 that reserves for replacement costs do not need to be maintained 764 for any item with an estimated remaining useful life of greater 765 than 25 years, but the study may recommend a deferred 766 maintenance expense amount for such item. 767 4 . This paragraph does not apply to buildings less than 768 three stories in height; single-family, two-family, or three- 769 family dwellings with three or fewer habitable stories above 770 ground; any portion or component of a building that has not been 771 submitted to the condominium form of ownership; or any portion 772 or component of a building that is maintained by a party other 773 than the association. 774 5 . Before a developer turns over control of an association 775 to unit owners other than the developer, the developer must have 776 a turnover inspection report in compliance with s . 718 . 301 (4) (p) 777 and (q) for each 778 building on the condominium property that is three stories or 779 higher in height. 780 6 .� Associations existing on or before July 1, 2022, which 781 are controlled by unit owners other than the developer, must 782 have a structural integrity reserve study completed by December 783 31, 2024, for each building on the condominium property that is Page 27 of 77 CODING: Words men are deletions; words underlined are additions . 3179 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 784 three stories or higher in height. An association that is 785 required to complete a milestone inspection in accordance with 786 s . 553 . 899 on or before December 31, 2026, may complete the 787 structural integrity reserve study simultaneously with the 788 milestone inspection . In no event may the structural integrity 789 reserve study be completed after December 31, 2026 . 790 7 . If the milestone inspection required by s . 553 . 899, or 791 an inspection completed for a similar local requirement, was 792 performed within the past 5 years and meets the requirements of 793 this paragraph, such inspection may be used in place of the 794 visual inspection portion of the structural integrity reserve 795 study. 796 8 .-4—. If the officers or directors of an association 797 willfully and knowingly fail fails to complete a structural 798 integrity reserve study pursuant to this paragraph, such failure 799 is a breach of an officer' s and director' s fiduciary 800 relationship to the unit owners under s . 718 . 111 (1) . 801 (h) Mandatory milestone inspections.—If an association is 802 required to have a milestone inspection performed pursuant to s . 803 553 . 899, the association must arrange for the milestone 804 inspection to be performed and is responsible for ensuring 805 compliance with the requirements of s . 553 . 899 . The association 806 is responsible for all costs associated with the milestone 807 inspection attributable to the portions of the building which 808 the association is responsible for maintaining under the 809 governing documents of the association . If the officers or 810 directors of an association willfully and knowingly fail to have 811 a milestone inspection performed pursuant to s . 553 . 899, such 812 failure is a breach of the officers' and directors' fiduciary Page 28 of 77 CODING: Words men are deletions; words underlined are additions . 3180 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 813 relationship to the unit owners under s . 718 . 111 (1) (a) . Within 814 14 days after receipt of a written notice from the local 815 enforcement agency that a milestone inspection is required, the 816 association must notify the unit owners of the required 817 milestone inspection and provide the date by which the milestone 818 inspection must be completed. Such notice may be given by 819 electronic submission to unit owners who consent to receive 820 notice by electronic submission or by posting on the 821 association' s website . Within 45 days after receiving Upen 822 a phase one or phase two milestone inspection 823 824 report from the architect or engineer who performed the 825 inspection, the association must distribute a copy of the 826 inspector-prepared summary of the inspection report to each unit 827 owner, regardless of the findings or recommendations in the 828 report, by United States mail or personal delivery at the 829 mailing address, property address, or any other address of the 830 owner provided to fulfill the association' s notice requirements 831 under this chapter and by electronic transmission to the e-mail 832 address or facsimile number provided to fulfill the 833 association' s notice requirements to unit owners who previously 834 consented to receive notice by electronic transmission; must 835 post a copy of the inspector-prepared summary in a conspicuous 836 place on the condominium property; and must publish the full 837 report and inspector-prepared summary on the association' s 838 website, if the association is required to have a website . 839 Section 7 . Effective July 1, 2027, subsection (5) of 840 section 718 . 1255, Florida Statutes, is amended, and paragraph 841 (d) is added to subsection (1) of that section, to read: Page 29 of 77 CODING: Words men are deletions; words underlined are additions . 3181 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 842 718 . 1255 Alternative dispute resolution; mediation; 843 nonbinding arbitration; applicability.- 844 (1) DEFINITIONS .—As used in this section, the term 845 "dispute" means any disagreement between two or more parties 846 that involves : 847 (d) The failure of a board of administration, when required 848 by this chapter or an association document, to : 849 1 . Obtain the milestone inspection required under s . 850 553 . 899 . 851 2 . Obtain a structural integrity reserve study required 852 under s . 718 . 112 (2) (g) . 853 3 . Fund reserves as required for an item identified in s . 854 718 . 112 (2) (g) . 855 4 . Make or provide necessary maintenance or repairs of 856 condominium property recommended by a milestone inspection or a 857 structural integrity reserve study. 858 859 "Dispute" does not include any disagreement that primarily 860 involves : title to any unit or common element; the 861 interpretation or enforcement of any warranty; the levy of a fee 862 or assessment, or the collection of an assessment levied against 863 a party; the eviction or other removal of a tenant from a unit; 864 alleged breaches of fiduciary duty by one or more directors; or 865 claims for damages to a unit based upon the alleged failure of 866 the association to maintain the common elements or condominium 867 property. 868 (5) PRESUIT MEDIATION.—In lieu of the initiation of 869 nonbinding arbitration as provided in subsections (1) - (4) , a 870 party may submit a dispute to presuit mediation in accordance Page 30 of 77 CODING: Words men are deletions; words underlined are additions . 3182 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 871 with s . 720 . 311; however, election and recall disputes are not 872 eligible for mediation and such disputes must be arbitrated by 873 the division or filed in a court of competent jurisdiction. 874 Disputes identified in paragraph (1) (d) are not subject to 875 nonbinding arbitration under subsection (4) and must be 876 submitted to presuit mediation in accordance with s . 720 . 311 . 877 Section 8 . Subsection (1) of section 718 . 113, Florida 878 Statutes, is amended to read: 879 718 . 113 Maintenance; limitation upon improvement; display 880 of flag; hurricane shutters and protection; display of religious 881 decorations .- 882 (1) Maintenance of the common elements is the 883 responsibility of the association, except for any maintenance 884 responsibility for limited common elements assigned to the unit 885 owner by the declaration. The association shall provide for the 886 maintenance, repair, and replacement of the condominium property 887 for which it bears responsibility pursuant to the declaration of 888 condominium. After turnover of control of the association to the 889 unit owners, the association must perform any required 890 maintenance identified by the developer pursuant to s . 891 718 . 301 (4) (p) and (q) until the association obtains new 892 maintenance protocols from a licensed professional engineer or 893 architect or a person certified as a reserve specialist or 894 professional reserve analyst by the Community Associations 895 Institute or the Association of Professional Reserve Analysts . 896 The declaration may provide that certain limited common elements 897 shall be maintained by those entitled to use the limited common 898 elements or that the association shall provide the maintenance, 899 either as a common expense or with the cost shared only by those Page 31 of 77 CODING: Words men are deletions; words underlined are additions . 3183 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 900 entitled to use the limited common elements . If the maintenance 901 is to be by the association at the expense of only those 902 entitled to use the limited common elements, the declaration 903 shall describe in detail the method of apportioning such costs 904 among those entitled to use the limited common elements, and the 905 association may use the provisions of s . 718 . 116 to enforce 906 payment of the shares of such costs by the unit owners entitled 907 to use the limited common elements . 908 Section 9 . Present paragraphs (q) and (r) of subsection (4) 909 of section 718 . 301, Florida Statutes, are redesignated as 910 paragraphs (r) and (s) , respectively, a new paragraph (q) is 911 added to that subsection, and paragraph (p) of that subsection 912 is amended, to read: 913 718 . 301 Transfer of association control; claims of defect 914 by association.- 915 (4) At the time that unit owners other than the developer 916 elect a majority of the members of the board of administration 917 of an association, the developer shall relinquish control of the 918 association, and the unit owners shall accept control . 919 Simultaneously, or for the purposes of paragraph (c) not more 920 than 90 days thereafter, the developer shall deliver to the 921 association, at the developer' s expense, all property of the 922 unit owners and of the association which is held or controlled 923 by the developer, including, but not limited to, the following 924 items, if applicable, as to each condominium operated by the 925 association: 926 (p) Notwithstanding when the certificate of occupancy was 927 issued or the height of the building, a turnover inspection 928 report a FR44est- i-enice eict- in _emi lianee it-h s ;- Page 32 of 77 CODING: Words men are deletions; words underlined are additions . 3184 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 929 553 . 899. included in the official records, under seal of an 930 architect or engineer authorized to practice in this state or a 931 person certified as a reserve specialist or professional reserve 932 analyst by the Community Associations Institute or the 933 Association of Professional Reserve Analysts, and attesting to 934 required maintenance, condition, useful life, and replacement 935 costs of the following applicable condominium property 936 . 937 1 . Roof. 938 2 . Structure, including load-bearing walls and primary 939 structural members and primary structural systems as those terms 940 are defined in s . 627 . 706 . 941 3 . Fireproofing and fire protection systems . 942 4 . Plumbing �, e a}e . 943 5 . Electrical systems ;u at-in and __el-ng syst—e s . 944 6 . Waterproofing and exterior painting n, , b nnej 945 7 . Windows and exterior doors Fleet-L=rt_a cyst—e 946 . 947 9 . Seawalls . 948 10 . n y t- i:iel _ r_�_2ae .as 1 .�J 949 31 . &r-ate . 950 12 . P?_- 951 . 952 953 (q) Notwithstanding when the certificate of occupancy was 954 issued or the height of the building, a turnover inspection 955 report included in the official records, under seal of an 956 architect or engineer authorized to practice in this state or a 957 person certified as a reserve specialist or professional reserve Page 33 of 77 CODING: Words men are deletions; words underlined are additions . 3185 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 958 analyst by the Community Associations Institute or the 959 Association of Professional Reserve Analysts, and attesting to 960 required maintenance, condition, useful life, and replacement 961 costs of the following applicable condominium property 962 comprising a turnover inspection report : 963 1 . Elevators . 964 2 . Heating and cooling systems . 965 3 . Swimming pool or spa and equipment. 966 4 . Seawalls . 967 5 . Pavement and parking areas . 968 6 . Drainage systems . 969 7 . Irrigation systems . 970 Section 10 . Paragraph (b) of subsection (1) and paragraph 971 (a) of subsection (2) of section 718 . 503, Florida Statutes, are 972 amended, and paragraph (d) is added to subsection (1) and 973 paragraph (e) is added to subsection (2) of that section, to 974 read: 975 718 . 503 Developer disclosure prior to sale; nondeveloper 976 unit owner disclosure prior to sale; voidability.- 977 (1) DEVELOPER DISCLOSURE .- 978 (b) Copies of documents to be furnished to prospective 979 buyer or lessee.—Until such time as the developer has furnished 980 the documents listed below to a person who has entered into a 981 contract to purchase a residential unit or lease it for more 982 than 5 years, the contract may be voided by that person, 983 entitling the person to a refund of any deposit together with 984 interest thereon as provided in s . 718 . 202 . The contract may be 985 terminated by written notice from the proposed buyer or lessee 986 delivered to the developer within 15 days after the buyer or Page 34 of 77 CODING: Words men are deletions; words underlined are additions . 3186 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 987 lessee receives all of the documents required by this section. 988 The developer may not close for 15 days after the execution of 989 the agreement and delivery of the documents to the buyer as 990 evidenced by a signed receipt for documents unless the buyer is 991 informed in the 15-day voidability period and agrees to close 992 before the expiration of the 15 days . The developer shall retain 993 in his or her records a separate agreement signed by the buyer 994 as proof of the buyer' s agreement to close before the expiration 995 of the voidability period. The developer must retain such proof 996 for a period of 5 years after the date of the closing of the 997 transaction. The documents to be delivered to the prospective 998 buyer are the prospectus or disclosure statement with all 999 exhibits, if the development is subject to s . 718 . 504, or, if 1000 not, then copies of the following which are applicable : 1001 1 . The question and answer sheet described in s . 718 . 504, 1002 and declaration of condominium, or the proposed declaration if 1003 the declaration has not been recorded, which shall include the 1004 certificate of a surveyor approximately representing the 1005 locations required by s . 718 . 104 . 1006 2 . The documents creating the association . 1007 3 . The bylaws . 1008 4 . The ground lease or other underlying lease of the 1009 condominium. 1010 5 . The management contract, maintenance contract, and other 1011 contracts for management of the association and operation of the 1012 condominium and facilities used by the unit owners having a 1013 service term in excess of 1 year, and any management contracts 1014 that are renewable . 1015 6 . The estimated operating budget for the condominium and a Page 35 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3187 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1016 schedule of expenses for each type of unit, including fees 1017 assessed pursuant to s . 718 . 113 (1) for the maintenance of 1018 limited common elements where such costs are shared only by 1019 those entitled to use the limited common elements . 1020 7 . The lease of recreational and other facilities that will 1021 be used only by unit owners of the subject condominium. 1022 8 . The lease of recreational and other common facilities 1023 that will be used by unit owners in common with unit owners of 1024 other condominiums . 1025 9 . The form of unit lease if the offer is of a leasehold. 1026 10 . Any declaration of servitude of properties serving the 1027 condominium but not owned by unit owners or leased to them or 1028 the association. 1029 11 . If the development is to be built in phases or if the 1030 association is to manage more than one condominium, a 1031 description of the plan of phase development or the arrangements 1032 for the association to manage two or more condominiums . 1033 12 . If the condominium is a conversion of existing 1034 improvements, the statements and disclosure required by s . 1035 718 . 616 . 1036 13 . The form of agreement for sale or lease of units . 1037 14 . A copy of the floor plan of the unit and the plot plan 1038 showing the location of the residential buildings and the 1039 recreation and other common areas . 1040 15 . A copy of all covenants and restrictions that will 1041 affect the use of the property and are not contained in the 1042 foregoing. 1043 16 . If the developer is required by state or local 1044 authorities to obtain acceptance or approval of any dock or Page 36 of 77 CODING: Words men are deletions; words underlined are additions . 3188 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1045 marina facilities intended to serve the condominium, a copy of 1046 any such acceptance or approval acquired by the time of filing 1047 with the division under s . 718 . 502 (1) , or a statement that such 1048 acceptance or approval has not been acquired or received. 1049 17 . Evidence demonstrating that the developer has an 1050 ownership, leasehold, or contractual interest in the land upon 1051 which the condominium is to be developed. 1052 18 . A copy of the inspector-prepared summary of the 1053 milestone inspection report as described in s . 553 . 899, or a 1054 statement in conspicuous type indicating that the required 1055 milestone inspection described in s . 553 . 899 has not been 1056 completed or that a milestone inspection is not required, as 1057 applicable 1058 19 . A copy of the assee-i-at-ie's most recent structural 1059 integrity reserve study, or a statement in conspicuous type 1060 indicating that ire- iat-i-en 1�mTnet eefftllet—eel a required 1061 structural integrity reserve study has not been completed or 1062 that a structural integrity reserve study is not required, as 1063 applicable . 1064 20 . A copy of the turnover inspection report described in 1065 s . 718 . 301 (4) (p) and (q) or a statement in conspicuous type 1066 indicating that a turnover inspection report has not been 1067 completed, as applicable . 1068 (d) Milestone inspection, turnover inspection report, or 1069 structural integrity reserve study.-If the association is 1070 required to have completed a milestone inspection as described 1071 in s . 553 . 899, a turnover inspection report for a turnover 1072 inspection performed on or after July 1, 2023, or a structural 1073 integrity reserve study, and the association has not completed Page 37 of 77 CODING: Words men are deletions; words underlined are additions . 3189 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1074 the milestone inspection, the turnover inspection report, or the 1075 structural integrity reserve study, each contract entered into 1076 after December 31, 2024, for the sale of a residential unit 1077 shall contain in conspicuous type a statement indicating that 1078 the association is required to have a milestone inspection, a 1079 turnover inspection report, or a structural integrity reserve 1080 study and has not completed such inspection, report, or study, 1081 as appropriate . If the association is not required to have a 1082 milestone inspection as described in s . 553 . 899 or a structural 1083 integrity reserve study, each contract entered into after 1084 December 31, 2024, for the sale of a residential unit shall 1085 contain in conspicuous type a statement indicating that the 1086 association is not required to have a milestone inspection or a 1087 structural integrity reserve study, as appropriate . If the 1088 association has completed a milestone inspection as described in 1089 s . 553 . 899, a turnover inspection report for a turnover 1090 inspection performed on or after July 1, 2023, or a structural 1091 integrity reserve study, each contract entered into after 1092 December 31, 2024, for the sale of a residential unit shall 1093 contain in conspicuous type : 1094 1 . A clause which states : THE BUYER HEREBY ACKNOWLEDGES 1095 THAT BUYER HAS BEEN PROVIDED A CURRENT COPY OF THE INSPECTOR- 1096 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1097 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1098 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1099 718 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1100 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1101 RESERVE STUDY DESCRIBED IN SECTIONS 718 . 103 (26) AND 1102 718 . 112 (2) (g) , FLORIDA STATUTES, IF APPLICABLE, MORE THAN 15 Page 38 of 77 CODING: Words men are deletions; words underlined are additions . 3190 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1103 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, PRIOR TO 1104 EXECUTION OF THIS CONTRACT; and 1105 2 . A clause which states : THIS AGREEMENT IS VOIDABLE BY 1106 BUYER BY DELIVERING WRITTEN NOTICE OF THE BUYER' S INTENTION TO 1107 CANCEL WITHIN 15 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL 1108 HOLIDAYS, AFTER THE DATE OF EXECUTION OF THIS AGREEMENT BY THE 1109 BUYER AND RECEIPT BY BUYER OF A CURRENT COPY OF THE INSPECTOR- 1110 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1111 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1112 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1113 718 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1114 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1115 RESERVE STUDY DESCRIBED IN SECTIONS 718 . 103 (26) AND 1116 718 . 112 (2) (g) , FLORIDA STATUTES, IF APPLICABLE . ANY PURPORTED 1117 WAIVER OF THESE VOIDABILITY RIGHTS SHALL BE OF NO EFFECT. BUYER 1118 MAY EXTEND THE TIME FOR CLOSING FOR A PERIOD OF NOT MORE THAN 15 1119 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, AFTER 1120 THE BUYER RECEIVES A CURRENT COPY OF THE INSPECTOR-PREPARED 1121 SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED IN 1122 SECTION 553 . 899, FLORIDA STATUTES; A COPY OF THE TURNOVER 1123 INSPECTION REPORT DESCRIBED IN SECTION 718 . 301 (4) (p) AND (q) , 1124 FLORIDA STATUTES; OR A COPY OF THE ASSOCIATION' S MOST RECENT 1125 STRUCTURAL INTEGRITY RESERVE STUDY DESCRIBED IN SECTIONS 1126 718 . 103 (26) AND 718 . 112 (2) (g) , FLORIDA STATUTES, IF REQUESTED IN 1127 WRITING. BUYER' S RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT 1128 CLOSING. 1129 1130 A contract that does not conform to the requirements of this 1131 paragraph is voidable at the option of the purchaser prior to Page 39 of 77 CODING: Words men are deletions; words underlined are additions . 3191 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1132 closing. 1133 (2) NONDEVELOPER DISCLOSURE .- 1134 (a) Each unit owner who is not a developer as defined by 1135 this chapter must comply with this subsection before the sale of 1136 his or her unit. Each prospective purchaser who has entered into 1137 a contract for the purchase of a condominium unit is entitled, 1138 at the seller' s expense, to a current copy of all of the 1139 following: 1140 1 . The declaration of condominium. 1141 2 . Articles of incorporation of the association. 1142 3 . Bylaws and rules of the association. 1143 4 . Financial information required by s . 718 . 111 . 1144 5 . A copy of the inspector-prepared summary of the 1145 milestone inspection report as described in s . 553 . 899 1146 553 . 899 anel . if applicable . 1147 6 . The association' s most recent structural integrity 1148 reserve study or a statement that the association has not 1149 completed a structural integrity reserve study. 1150 7 . A copy of the inspection report described in s . 1151 718 . 301 (4) (p) and (q) for a turnover inspection performed on or 1152 after July 1, 2023 . 1153 8 . The document entitled "Frequently Asked Questions and 1154 Answers" required by s . 718 . 504 . 1155 (e) If the association is required to have completed a 1156 milestone inspection as described in s . 553 . 899, a turnover 1157 inspection report for a turnover inspection performed on or 1158 after July 1, 2023, or a structural integrity reserve study, and 1159 the association has not completed the milestone inspection, the 1160 turnover inspection report, or the structural integrity reserve Page 40 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3192 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1161 study, each contract entered into after December 31, 2024, for 1162 the sale of a residential unit shall contain in conspicuous type 1163 a statement indicating that the association is required to have 1164 a milestone inspection, a turnover inspection report, or a 1165 structural integrity reserve study and has not completed such 1166 inspection, report, or study, as appropriate . If the association 1167 is not required to have a milestone inspection as described in 1168 s . 553 . 899 or a structural integrity reserve study, each 1169 contract entered into after December 31, 2024, for the sale of a 1170 residential unit shall contain in conspicuous type a statement 1171 indicating that the association is not required to have a 1172 milestone inspection or a structural integrity reserve study, as 1173 appropriate . If the association has completed a milestone 1174 inspection as described in s . 553 . 899, a turnover inspection 1175 report for a turnover inspection performed on or after July 1, 1176 2023, or a structural integrity reserve study, each contract 1177 entered into after December 31, 2024, for the resale of a 1178 residential unit shall contain in conspicuous type : 1179 1 . A clause which states : THE BUYER HEREBY ACKNOWLEDGES 1180 THAT BUYER HAS BEEN PROVIDED A CURRENT COPY OF THE INSPECTOR- 1181 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1182 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1183 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1184 718 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1185 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1186 RESERVE STUDY DESCRIBED IN SECTIONS 718 . 103 (26) AND 1187 718 . 112 (2) (g) , FLORIDA STATUTES, IF APPLICABLE, MORE THAN 3 1188 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, PRIOR TO 1189 EXECUTION OF THIS CONTRACT; and Page 41 of 77 CODING: Words men are deletions; words underlined are additions . 3193 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1190 2 . A clause which states : THIS AGREEMENT IS VOIDABLE BY 1191 BUYER BY DELIVERING WRITTEN NOTICE OF THE BUYER' S INTENTION TO 1192 CANCEL WITHIN 3 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL 1193 HOLIDAYS, AFTER THE DATE OF EXECUTION OF THIS AGREEMENT BY THE 1194 BUYER AND RECEIPT BY BUYER OF A CURRENT COPY OF THE INSPECTOR- 1195 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1196 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1197 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1198 718 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1199 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1200 RESERVE STUDY DESCRIBED IN SECTIONS 718 . 103 (26) AND 1201 718 . 112 (2) (g) , FLORIDA STATUTES, IF APPLICABLE . ANY PURPORTED 1202 WAIVER OF THESE VOIDABILITY RIGHTS SHALL BE OF NO EFFECT. BUYER 1203 MAY EXTEND THE TIME FOR CLOSING FOR A PERIOD OF NOT MORE THAN 3 1204 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, AFTER 1205 THE BUYER RECEIVES A CURRENT COPY OF THE INSPECTOR-PREPARED 1206 SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED IN 1207 SECTION 553 . 899, FLORIDA STATUTES; A COPY OF THE TURNOVER 1208 INSPECTION REPORT DESCRIBED IN SECTION 718 . 301 (4) (p) AND (q) , 1209 FLORIDA STATUTES; OR A COPY OF THE ASSOCIATION' S MOST RECENT 1210 STRUCTURAL INTEGRITY RESERVE STUDY DESCRIBED IN SECTIONS 1211 718 . 103 (26) AND 718 . 112 (2) (g) , FLORIDA STATUTES, IF REQUESTED IN 1212 WRITING. BUYER' S RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT 1213 CLOSING. 1214 1215 A contract that does not conform to the requirements of this 1216 paragraph is voidable at the option of the purchaser prior to 1217 closing. 1218 Section 11 . Paragraph (a) of subsection (7) and paragraph Page 42 of 77 CODING: Words men are deletions; words underlined are additions . 3194 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1219 (c) of subsection (21) of section 718 . 504, Florida Statutes, are 1220 amended to read: 1221 718 . 504 Prospectus or offering circular .—Every developer of 1222 a residential condominium which contains more than 20 1223 residential units, or which is part of a group of residential 1224 condominiums which will be served by property to be used in 1225 common by unit owners of more than 20 residential units, shall 1226 prepare a prospectus or offering circular and file it with the 1227 Division of Florida Condominiums, Timeshares, and Mobile Homes 1228 prior to entering into an enforceable contract of purchase and 1229 sale of any unit or lease of a unit for more than 5 years and 1230 shall furnish a copy of the prospectus or offering circular to 1231 each buyer. In addition to the prospectus or offering circular, 1232 each buyer shall be furnished a separate page entitled 1233 "Frequently Asked Questions and Answers, " which shall be in 1234 accordance with a format approved by the division and a copy of 1235 the financial information required by s . 718 . 111 . This page 1236 shall, in readable language, inform prospective purchasers 1237 regarding their voting rights and unit use restrictions, 1238 including restrictions on the leasing of a unit; shall indicate 1239 whether and in what amount the unit owners or the association is 1240 obligated to pay rent or land use fees for recreational or other 1241 commonly used facilities; shall contain a statement identifying 1242 that amount of assessment which, pursuant to the budget, would 1243 be levied upon each unit type, exclusive of any special 1244 assessments, and which shall further identify the basis upon 1245 which assessments are levied, whether monthly, quarterly, or 1246 otherwise; shall state and identify any court cases in which the 1247 association is currently a party of record in which the Page 43 of 77 CODING: Words men are deletions; words underlined are additions . 3195 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1248 association may face liability in excess of $100, 000; and which 1249 shall further state whether membership in a recreational 1250 facilities association is mandatory, and if so, shall identify 1251 the fees currently charged per unit type . The division shall by 1252 rule require such other disclosure as in its judgment will 1253 assist prospective purchasers . The prospectus or offering 1254 circular may include more than one condominium, although not all 1255 such units are being offered for sale as of the date of the 1256 prospectus or offering circular. The prospectus or offering 1257 circular must contain the following information: 1258 (7) A description of the recreational and other facilities 1259 that will be used in common with other condominiums, community 1260 associations, or planned developments which require the payment 1261 of the maintenance and expenses of such facilities, directly or 1262 indirectly, by the unit owners . The description shall include, 1263 but not be limited to, the following: 1264 (a) Each building and facility committed to be built and a 1265 summary description of the structural integrity of each building 1266 for which reserves are required pursuant to s . 718 . 112 (2) (g) . 1267 1268 Descriptions shall include location, areas, capacities, numbers, 1269 volumes, or sizes and may be stated as approximations or 1270 minimums . 1271 (21) An estimated operating budget for the condominium and 1272 the association, and a schedule of the unit owner' s expenses 1273 shall be attached as an exhibit and shall contain the following 1274 information: 1275 (c) The estimated items of expenses of the condominium and 1276 the association, except as excluded under paragraph (b) , Page 44 of 77 CODING: Words men are deletions; words underlined are additions . 3196 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1277 including, but not limited to, the following items, which shall 1278 be stated as an association expense collectible by assessments 1279 or as unit owners' expenses payable to persons other than the 1280 association: 1281 1 . Expenses for the association and condominium: 1282 a. Administration of the association. 1283 b. Management fees . 1284 c. Maintenance . 1285 d. Rent for recreational and other commonly used 1286 facilities . 1287 e . Taxes upon association property. 1288 f. Taxes upon leased areas . 1289 g. Insurance . 1290 h. Security provisions . 1291 i . Other expenses . 1292 j . Operating capital . 1293 k. Reserves for all applicable items referenced in s . 1294 718 . 112 (2) (g) . 1295 1 . Fees payable to the division. 1296 2 . Expenses for a unit owner: 1297 a. Rent for the unit, if subject to a lease . 1298 b. Rent payable by the unit owner directly to the lessor or 1299 agent under any recreational lease or lease for the use of 1300 commonly used facilities, which use and payment is a mandatory 1301 condition of ownership and is not included in the common expense 1302 or assessments for common maintenance paid by the unit owners to 1303 the association. 1304 Section 12 . Subsection (24) of section 719 . 103, Florida 1305 Statutes, is amended to read: Page 45 of 77 CODING: Words men are deletions; words underlined are additions . 3197 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1306 719 . 103 Definitions .-As used in this chapter: 1307 (24) "Structural integrity reserve study" means a study of 1308 the reserve funds required for future major repairs and 1309 replacement of the cooperative property performed as required 1310 under s . 719 . 106 (1) (k) eefftfften areas leaseel en a �aisiia insi eet4 1311 flee-eefftfften areas . A s -i=aet-tri=a! _n�c f V it-y i�eser­�e s;. 1312 1313 , 1314 1315 1316 , 1317 1318 #�e-e s tifaLe� s e-€��r€ea re s}; f t-e E , 1319 2cejel-a e e ffie n} ,mot. er Eke-€ems eEi fftaant—tee--e m Ye f }'-s. eeffiffien 1320 ai=eas leeinEj ai u �i ns ee}=anel pr-e�i-de a e„d� 1321 i=esei= r} t-1 ri a t- a e h i e - es t -est-im eelLep-1-aeefftent- eest—L= 1322 ele€eici=efRaint-enanee ee�Ejeense-ef - eeefftfften leei n i-e , , . 1323 inspeet-e4 ley t-l-,e erel e f t-l-,e est-ifftat-eel icefftaininff iasefmel lr€e--e-€ 1324 eeefftfftenaeh ,ram. 1325 Section 13 . Present subsections (5) through (11) of section 1326 719 . 104, Florida Statutes, are redesignated as subsections (6) 1327 through (12) , respectively, a new subsection (5) is added to 1328 that section, and paragraph (c) of subsection (2) of that 1329 section is amended, to read: 1330 719 . 104 Cooperatives; access to units; records; financial 1331 reports; assessments; purchase of leases .- 1332 (2) OFFICIAL RECORDS .- 1333 (c) The official records of the association are open to 1334 inspection by any association member and any person authorized Page 46 of 77 CODING: Words men are deletions; words underlined are additions . 3198 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1335 by an association member as a er- t-l�ie—smat-l�ieLcized representative 1336 of such member at all reasonable times . The right to inspect the 1337 records includes the right to make or obtain copies, at the 1338 reasonable expense, if any, of the association member and of the 1339 person authorized by the association member as a representative 1340 of such member. A renter of a unit has a right to inspect and 1341 copy only the association' s bylaws and rules and the inspection 1342 reports described in ss . 553 . 899 and 719 . 301 (4) (p) . The 1343 association may adopt reasonable rules regarding the frequency, 1344 time, location, notice, and manner of record inspections and 1345 copying, but may not require a member to demonstrate any purpose 1346 or state any reason for the inspection. The failure of an 1347 association to provide the records within 10 working days after 1348 receipt of a written request creates a rebuttable presumption 1349 that the association willfully failed to comply with this 1350 paragraph. A member who is denied access to official records is 1351 entitled to the actual damages or minimum damages for the 1352 association' s willful failure to comply. The minimum damages are 1353 $50 per calendar day for up to 10 days, beginning on the llth 1354 working day after receipt of the written request . The failure to 1355 permit inspection entitles any person prevailing in an 1356 enforcement action to recover reasonable attorney fees from the 1357 person in control of the records who, directly or indirectly, 1358 knowingly denied access to the records . Any person who knowingly 1359 or intentionally defaces or destroys accounting records that are 1360 required by this chapter to be maintained during the period for 1361 which such records are required to be maintained, or who 1362 knowingly or intentionally fails to create or maintain 1363 accounting records that are required to be created or Page 47 of 77 CODING: Words men are deletions; words underlined are additions . 3199 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1364 maintained, with the intent of causing harm to the association 1365 or one or more of its members, is personally subject to a civil 1366 penalty under s . 719 . 501 (1) (d) . The association shall maintain 1367 an adequate number of copies of the declaration, articles of 1368 incorporation, bylaws, and rules, and all amendments to each of 1369 the foregoing, as well as the question and answer sheet as 1370 described in s . 719 . 504 and year-end financial information 1371 required by the department, on the cooperative property to 1372 ensure their availability to members and prospective purchasers, 1373 and may charge its actual costs for preparing and furnishing 1374 these documents to those requesting the same . An association 1375 shall allow a member or his or her authorized representative to 1376 use a portable device, including a smartphone, tablet, portable 1377 scanner, or any other technology capable of scanning or taking 1378 photographs, to make an electronic copy of the official records 1379 in lieu of the association providing the member or his or her 1380 authorized representative with a copy of such records . The 1381 association may not charge a member or his or her authorized 1382 representative for the use of a portable device . Notwithstanding 1383 this paragraph, the following records shall not be accessible to 1384 members : 1385 1 . Any record protected by the lawyer-client privilege as 1386 described in s . 90 . 502 and any record protected by the work- 1387 product privilege, including any record prepared by an 1388 association attorney or prepared at the attorney' s express 1389 direction which reflects a mental impression, conclusion, 1390 litigation strategy, or legal theory of the attorney or the 1391 association, and which was prepared exclusively for civil or 1392 criminal litigation or for adversarial administrative Page 48 of 77 CODING: Words men are deletions; words underlined are additions . 3200 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1393 proceedings, or which was prepared in anticipation of such 1394 litigation or proceedings until the conclusion of the litigation 1395 or proceedings . 1396 2 . Information obtained by an association in connection 1397 with the approval of the lease, sale, or other transfer of a 1398 unit . 1399 3 . Personnel records of association or management company 1400 employees, including, but not limited to, disciplinary, payroll, 1401 health, and insurance records . For purposes of this 1402 subparagraph, the term "personnel records" does not include 1403 written employment agreements with an association employee or 1404 management company, or budgetary or financial records that 1405 indicate the compensation paid to an association employee . 1406 4 . Medical records of unit owners . 1407 5 . Social security numbers, driver license numbers, credit 1408 card numbers, e-mail addresses, telephone numbers, facsimile 1409 numbers, emergency contact information, addresses of a unit 1410 owner other than as provided to fulfill the association' s notice 1411 requirements, and other personal identifying information of any 1412 person, excluding the person' s name, unit designation, mailing 1413 address, property address, and any address, e-mail address, or 1414 facsimile number provided to the association to fulfill the 1415 association' s notice requirements . Notwithstanding the 1416 restrictions in this subparagraph, an association may print and 1417 distribute to unit owners a directory containing the name, unit 1418 address, and all telephone numbers of each unit owner. However, 1419 an owner may exclude his or her telephone numbers from the 1420 directory by so requesting in writing to the association. An 1421 owner may consent in writing to the disclosure of other contact Page 49 of 77 CODING: Words men are deletions; words underlined are additions . 3201 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1422 information described in this subparagraph. The association is 1423 not liable for the inadvertent disclosure of information that is 1424 protected under this subparagraph if the information is included 1425 in an official record of the association and is voluntarily 1426 provided by an owner and not requested by the association. 1427 6 . Electronic security measures that are used by the 1428 association to safeguard data, including passwords . 1429 7 . The software and operating system used by the 1430 association which allow the manipulation of data, even if the 1431 owner owns a copy of the same software used by the association. 1432 The data is part of the official records of the association. 1433 8 . All affirmative acknowledgments made pursuant to s . 1434 719 . 108 (3) (b) 3 . 1435 (5) MAINTENANCE .—Maintenance of the common elements is the 1436 responsibility of the association, except for any maintenance 1437 responsibility for limited common elements assigned to the unit 1438 owner by the declaration. The association shall provide for the 1439 maintenance, repair, and replacement of the cooperative property 1440 for which it bears responsibility pursuant to the declaration of 1441 cooperative . After turnover of control of the association to the 1442 unit owners, the association must perform any required 1443 maintenance identified by the developer pursuant to s . 1444 719 . 301 (4) (p) and (q) until the association obtains new 1445 maintenance protocols from a licensed professional engineer or 1446 architect or a person certified as a reserve specialist or 1447 professional reserve analyst by the Community Associations 1448 Institute or the Association of Professional Reserve Analysts . 1449 The declaration may provide that certain limited common elements 1450 shall be maintained by those entitled to use the limited common Page 50 of 77 CODING: Words men are deletions; words underlined are additions . 3202 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1451 elements or that the association shall provide the maintenance, 1452 either as a common expense or with the cost shared only by those 1453 entitled to use the limited common elements . If the maintenance 1454 is to be by the association at the expense of only those 1455 entitled to use the limited common elements, the declaration 1456 shall describe in detail the method of apportioning such costs 1457 among those entitled to use the limited common elements, and the 1458 association may use the provisions of s . 719 . 108 to enforce 1459 payment of the shares of such costs by the unit owners entitled 1460 to use the limited common elements . 1461 Section 14 . Paragraphs (e) , (j ) , (k) , and (1) of subsection 1462 (1) of section 719 . 106, Florida Statutes, are amended to read: 1463 719 . 106 Bylaws; cooperative ownership .- 1464 (1) MANDATORY PROVISIONS .—The bylaws or other cooperative 1465 documents shall provide for the following, and if they do not, 1466 they shall be deemed to include the following: 1467 (e) Budget procedures.- 1468 1 . The board of administration shall mail, hand deliver, or 1469 electronically transmit to each unit owner at the address last 1470 furnished to the association, a meeting notice and copies of the 1471 proposed annual budget of common expenses to the unit owners not 1472 less than 14 days prior to the meeting at which the budget will 1473 be considered. Evidence of compliance with this 14-day notice 1474 must be made by an affidavit executed by an officer of the 1475 association or the manager or other person providing notice of 1476 the meeting and filed among the official records of the 1477 association. The meeting must be open to the unit owners . 1478 2 . If an adopted budget requires assessment against the 1479 unit owners in any fiscal or calendar year which exceeds 115 Page 51 of 77 CODING: Words men are deletions; words underlined are additions . 3203 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1480 percent of the assessments for the preceding year, the board 1481 upon written application of 10 percent of the voting interests 1482 to the board, shall call a special meeting of the unit owners 1483 within 30 days, upon not less than 10 days' written notice to 1484 each unit owner. At the special meeting, unit owners shall 1485 consider and enact a budget . Unless the bylaws require a larger 1486 vote, the adoption of the budget requires a vote of not less 1487 than a majority of all the voting interests . 1488 3 . The board of administration may, in any event, propose a 1489 budget to the unit owners at a meeting of members or by writing, 1490 and if the budget or proposed budget is approved by the unit 1491 owners at the meeting or by a majority of all voting interests 1492 in writing, the budget is adopted. If a meeting of the unit 1493 owners has been called and a quorum is not attained or a 1494 substitute budget is not adopted by the unit owners, the budget 1495 adopted by the board of directors goes into effect as scheduled. 1496 4 . In determining whether assessments exceed 115 percent of 1497 similar assessments for prior years, any authorized provisions 1498 for reasonable reserves for repair or replacement of cooperative 1499 property, anticipated expenses by the association which are not 1500 anticipated to be incurred on a regular or annual basis, 1501 insurance premiums, or assessments for betterments to the 1502 cooperative property must be excluded from computation. However, 1503 as long as the developer is in control of the board of 1504 administration, the board may not impose an assessment for any 1505 year greater than 115 percent of the prior fiscal or calendar 1506 year' s assessment without approval of a majority of all voting 1507 interests . 1508 (j ) Annual budget.— Page 52 of 77 CODING: Words men are deletions; words underlined are additions . 3204 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1509 1 . The proposed annual budget of common expenses must be 1510 detailed and must show the amounts budgeted by accounts and 1511 expense classifications, including, if applicable, but not 1512 limited to, those expenses listed in s . 719 . 504 (20) . The board 1513 of administration shall adopt the annual budget at least 14 days 1514 before the start of the association' s fiscal year. In the event 1515 that the board fails to timely adopt the annual budget a second 1516 time, it is deemed a minor violation and the prior year' s budget 1517 shall continue in effect until a new budget is adopted. 1518 2 . In addition to annual operating expenses, the budget 1519 must include reserve accounts for capital expenditures and 1520 deferred maintenance . These accounts must include, but not be 1521 limited to, roof replacement, building painting, and pavement 1522 resurfacing, regardless of the amount of deferred maintenance 1523 expense or replacement cost, and for any other items for which 1524 the deferred maintenance expense or replacement cost exceeds 1525 $10, 000 . The amount to be reserved feL= an im eef is e'et—eL=f-„c4 1 15 he asse-e-ram�renr-s- fftosm� r�e:�:erL=a! =--=-�V r�y L=es�eL=�,-c -=----1 1527 n�mesm� le e eefftjeleweel ley B e e-efftle eL= 31, 2924 . if :�he—afftezn-tee- lee 1528 ' 1529 1530 1531 must be computed by means of a formula which is based upon 1532 estimated remaining useful life and estimated replacement cost 1533 or deferred maintenance expense of the reserve item. In a budget 1534 adopted by an association that is required to obtain a 1535 structural integrity reserve study, reserves must be maintained 1536 for the items identified in paragraph (k) for which the 1537 association is responsible pursuant to the declaration, and the Page 53 of 77 CODING: Words men are deletions; words underlined are additions . 3205 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1538 reserve amount for such items must be based on the findings and 1539 recommendations of the association' s most recent structural 1540 integrity reserve study. With respect to items for which an 1541 estimate of useful life is not readily ascertainable or with an 1542 estimated remaining useful life of greater than 25 years, an 1543 association is not required to reserve replacement costs for 1544 such items, but an association must reserve the amount of 1545 deferred maintenance expense, if any, which is recommended by 1546 the structural integrity reserve study for such items . The 1547 association may adjust replacement reserve assessments annually 1548 to take into account an inflation adjustment and any changes in 1549 estimates or extension of the useful life of a reserve item 1550 caused by deferred maintenance . The members of a unit-owner- 1551 controlled association may determine, by a majority vote of the 1552 total voting interests at- a cx l y eallee' meet-i J of the 1553 association, for a fiscal year to provide no reserves or 1554 reserves less adequate than required by this subsection. Before 1555 turnover of control of an association by a developer to unit 1556 owners other than a developer under s . 719 . 301, the developer- 1557 controlled association may not vote to waive the reserves or 1558 reduce funding of the reserves . For a budget adopted on or after 1559 Fi f fe .t-; -_.. December 31, 2024, a unit-owner-controlled association 1560 that must obtain a structural integrity reserve study may not 1561 determine to provide no reserves or reserves less adequate than 1562 required by this paragraph for items listed in paragraph (k) . If 1563 a meeting of the unit owners has been called to determine to 1564 provide no reserves, or reserves less adequate than required, 1565 and such result is not attained or a quorum is not attained, the 1566 reserves as included in the budget shall go into effect . Page 54 of 77 CODING: Words men are deletions; words underlined are additions . 3206 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1567 3 . Reserve funds and any interest accruing thereon shall 1568 remain in the reserve account or accounts, and shall be used 1569 only for authorized reserve expenditures unless their use for 1570 other purposes is approved in advance by a vote of the majority 1571 of the total voting interests, �ae4�int in p�Lase_~a by liffti4 ed 1572 pi=e_ y a4 -a 4:ly eallee moo}=ng of the association. Before 1573 turnover of control of an association by a developer to unit 1574 owners other than the developer under s . 719 . 301, the developer 1575 may not vote to use reserves for purposes other than that for 1576 which they were intended. For a budget adopted on or after 1577 Fi f-feet-; -_.. December 31, 2024, members of a unit-owner-controlled 1578 association that must obtain a structural integrity reserve 1579 study may not vote to use reserve funds, or any interest 1580 accruing thereon, t4rertare 2 eEi €ei� rt-effts list�n 1581 (k) for purposes other than the replacement or 1582 deferred maintenance costs of the components listed in paragraph 1583 (k) ,-,ei,= int-enele4 r r 1,- r1 " 1584 (k) Structural integrity reserve study.- 1585 1 . A residential cooperative Ai-, association must have a 1586 structural integrity reserve study completed at least every 10 1587 years for each building on the cooperative property that is 1588 three stories or higher in height as determined by the Florida 1589 Building Code that includes, at a minimum, a study of the 1590 following items as related to the structural integrity and 1591 safety of the building: 1592 a. Roof. 1593 b. Structure, including load-bearing walls and e-r other 1594 primary structural members and primary structural systems as 1595 those terms are defined in s . 627 . 706 . Page 55 of 77 CODING: Words men are deletions; words underlined are additions . 3207 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1596 c. i leap 1597 4. Fean at- 1598 -e—. Fireproofing and fire protection systems . 1599 d.-f--. Plumbing. 1600 e . Electrical systems . 1601 f. r Waterproofing and exterior painting. 1602 �47-.- Windows and exterior doors . 1603 h.�—. Any other item that has a deferred maintenance expense 1604 or replacement cost that exceeds $10, 000 and the failure to 1605 replace or maintain such item negatively affects the items 1606 listed in sub-subparagraphs a. -g. as 1607 determined by the 1608 visual inspection portion of the structural integrity reserve 1609 study. 1610 2 . A structural integrity reserve study is based on a 1611 visual inspection of the cooperative property. A structural 1612 integrity reserve study may be performed by any person qualified 1613 to perform such study. However, the visual inspection portion of 1614 the structural integrity reserve study must be performed or 1615 verified by an engineer licensed under chapter 471, an architect 1616 licensed under chapter 481, or a person certified as a reserve 1617 specialist or professional reserve analyst by the Community 1618 Associations Institute or the Association of Professional 1619 Reserve Analysts . 1620 3 . At a minimum, a structural integrity reserve study must 1621 identify each item of the cooperative property being visually 1622 inspected, state the estimated remaining useful life and the 1623 estimated replacement cost or deferred maintenance expense of 1624 each item of the cooperative property being visually inspected, Page 56 of 77 CODING: Words men are deletions; words underlined are additions . 3208 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1625 and provide a reserve funding schedule with a recommended annual 1626 reserve amount that achieves the estimated replacement cost or 1627 deferred maintenance expense of each item of cooperative 1628 property being visually inspected by the end of the estimated 1629 remaining useful life of the item. The structural integrity 1630 reserve study may recommend that reserves do not need to be 1631 maintained for any item for which an estimate of useful life and 1632 an estimate of replacement cost cannot be determined, or the 1633 study may recommend a deferred maintenance expense amount for 1634 such item. The structural integrity reserve study may recommend 1635 that reserves for replacement costs do not need to be maintained 1636 for any item with an estimated remaining useful life of greater 1637 than 25 years, but the study may recommend a deferred 1638 maintenance expense amount for such item. 1639 4 . This paragraph does not apply to buildings less than 1640 three stories in height; single-family, two-family, or three- 1641 family dwellings with three or fewer habitable stories above 1642 ground; any portion or component of a building that has not been 1643 submitted to the cooperative form of ownership; or any portion 1644 or component of a building that is maintained by a party other 1645 than the association . 1646 5 . Before a developer turns over control of an association 1647 to unit owners other than the developer, the developer must have 1648 a turnover inspection report in compliance with s . 719 . 301 (4) (p) 1649 and (q) for each 1650 building on the cooperative property that is three stories or 1651 higher in height. 1652 6 .� Associations existing on or before July 1, 2022, which 1653 are controlled by unit owners other than the developer, must Page 57 of 77 CODING: Words men are deletions; words underlined are additions . 3209 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1654 have a structural integrity reserve study completed by December 1655 31, 2024, for each building on the cooperative property that is 1656 three stories or higher in height . An association that is 1657 required to complete a milestone inspection on or before 1658 December 31, 2026, in accordance with s . 553 . 899 may complete 1659 the structural integrity reserve study simultaneously with the 1660 milestone inspection . In no event may the structural integrity 1661 reserve study be completed after December 31, 2026 . 1662 7 . If the milestone inspection required by s . 553 . 899, or 1663 an inspection completed for a similar local requirement, was 1664 performed within the past 5 years and meets the requirements of 1665 this paragraph, such inspection may be used in place of the 1666 visual inspection portion of the structural integrity reserve 1667 study. 1668 8 .-4-.- If the officers or directors of an association 1669 willfully and knowingly fail fails to complete a structural 1670 integrity reserve study pursuant to this paragraph, such failure 1671 is a breach of an officer' s and director' s fiduciary 1672 relationship to the unit owners under s . 719 . 104 (9) 1673 q!9 . 19-4 (8)). 1674 (1) Mandatory milestone inspections.—If an association is 1675 required to have a milestone inspection performed pursuant to s . 1676 553 . 899, the association must arrange for the milestone 1677 inspection to be performed and is responsible for ensuring 1678 compliance with the requirements of s . 553 . 899 . The association 1679 is responsible for all costs associated with the milestone 1680 inspection attributable to the portions of the building which 1681 the association is responsible for maintaining under the 1682 governing documents of the association . If the officers or Page 58 of 77 CODING: Words men are deletions; words underlined are additions . 3210 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1683 directors of an association willfully and knowingly fail to have 1684 a milestone inspection performed pursuant to s . 553 . 899, such 1685 failure is a breach of the officers' and directors' fiduciary 1686 relationship to the unit owners under s . 719 . 104 (9) (a) 1687 ?r: ^ '° Within 14 days after receipt of a written notice 1688 from the local enforcement agency that a milestone inspection is 1689 required, the association must notify the unit owners of the 1690 required milestone inspection and provide the date by which the 1691 milestone inspection must be completed. Such notice may be given 1692 by electronic submission to unit owners who consent to receive 1693 notice by electronic submission or by posting on the 1694 association' s website . Within 45 days after receiving 1695 eeffij , em}dme of a phase one or phase two milestone inspection 1696 rc e-e-ijete f t4- i n-j - _t-e 2c-je2 a ffia�-ef t-l-se -- s i e e t-i-n 1697 report from the architect or engineer who performed the 1698 inspection, the association must distribute a copy of the 1699 inspector-prepared summary of the inspection report to each unit 1700 owner, regardless of the findings or recommendations in the 1701 report, by United States mail or personal delivery at the 1702 mailing address, property address, or any other address of the 1703 owner provided to fulfill the association' s notice requirements 1704 under this chapter and by electronic transmission to the e-mail 1705 address or facsimile number provided to fulfill the 1706 association' s notice requirements to unit owners who previously 1707 consented to receive notice by electronic transmission; must 1708 post a copy of the inspector-prepared summary in a conspicuous 1709 place on the cooperative property; and must publish the full 1710 report and inspector-prepared summary on the association' s 1711 website, if the association is required to have a website . Page 59 of 77 CODING: Words men are deletions; words underlined are additions . 3211 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1712 Section 15 . Present paragraph (q) of subsection (4) of 1713 section 719 . 301, Florida Statutes, is redesignated as paragraph 1714 (r) , a new paragraph (q) is added to that subsection, and 1715 paragraph (p) of that subsection is amended, to read: 1716 719 . 301 Transfer of association control .- 1717 (4) When unit owners other than the developer elect a 1718 majority of the members of the board of administration of an 1719 association, the developer shall relinquish control of the 1720 association, and the unit owners shall accept control . 1721 Simultaneously, or for the purpose of paragraph (c) not more 1722 than 90 days thereafter, the developer shall deliver to the 1723 association, at the developer' s expense, all property of the 1724 unit owners and of the association held or controlled by the 1725 developer, including, but not limited to, the following items, 1726 if applicable, as to each cooperative operated by the 1727 association: 1728 (p) Notwithstanding when the certificate of occupancy was 1729 issued or the height of the building, a turnover inspection 1730 report lest i-eni=e1ee-} in_ _e f i 1 i anee it-h s . SS3 . 8 9 9 1731 included in the official records, under seal of an architect or 1732 engineer authorized to practice in this state or a person 1733 certified as a reserve specialist or professional reserve 1734 analyst by the Community Associations Institute or the 1735 Association of Professional Reserve Analysts, attesting to 1736 required maintenance, condition, useful life, and replacement 1737 costs of the following applicable cooperative property 1738 eefftprcieing a tom'-- -=-- i ns_rt-in - rt- . J 'L^ ^L^^ 1739 1 . Roof. 1740 2 . Structure, including load-bearing walls and primary Page 60 of 77 CODING: Words men are deletions; words underlined are additions . 3212 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1741 structural members and primary structural systems as those terms 1742 are defined in s . 627 . 706 . 1743 3 . Fireproofing and fire protection systems . 1744 4 . Plumbing Fi, e�.a eia . 1745 5 . Electrical systems Hea_}ng anel __elint sys}=___ . 1746 6 . Waterproofing and exterior painting n, „ , ; rn 1747 7 . Windows and exterior doors 1748 1749 Tie awa4:4::r 1750 . 1751 . 1752 1753 13 . ie . 1754 14 . Wat-eVl r v -e emE_ _ J 1755 (q) Notwithstanding when the certificate of occupancy was 1756 issued or the height of the building, a turnover inspection 1757 report included in the official records, under seal of an 1758 architect or engineer authorized to practice in this state or a 1759 person certified as a reserve specialist or professional reserve 1760 analyst by the Community Associations Institute or the 1761 Association of Professional Reserve Analysts, and attesting to 1762 required maintenance, condition, useful life, and replacement 1763 costs of the following applicable cooperative property 1764 comprising a turnover inspection report: 1765 1 . Elevators . 1766 2 . Heating and cooling systems . 1767 3 . Swimming pool or spa and equipment. 1768 4 . Seawalls . 1769 5 . Pavement and parking areas . Page 61 of 77 CODING: Words men are deletions; words underlined are additions . 3213 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1770 6 . Drainage systems . 1771 7 . Irrigation systems . 1772 Section 16 . Paragraph (b) of subsection (1) and paragraph 1773 (a) of subsection (2) of section 719 . 503, Florida Statutes, are 1774 amended, and paragraph (d) is added to subsection (1) and 1775 paragraph (d) is added to subsection (2) of that section, to 1776 read: 1777 719 . 503 Disclosure prior to sale .- 1778 (1) DEVELOPER DISCLOSURE .- 1779 (b) Copies of documents to be furnished to prospective 1780 buyer or lessee.—Until such time as the developer has furnished 1781 the documents listed below to a person who has entered into a 1782 contract to purchase a unit or lease it for more than 5 years, 1783 the contract may be voided by that person, entitling the person 1784 to a refund of any deposit together with interest thereon as 1785 provided in s . 719 . 202 . The contract may be terminated by 1786 written notice from the proposed buyer or lessee delivered to 1787 the developer within 15 days after the buyer or lessee receives 1788 all of the documents required by this section. The developer may 1789 not close for 15 days after the execution of the agreement and 1790 delivery of the documents to the buyer as evidenced by a receipt 1791 for documents signed by the buyer unless the buyer is informed 1792 in the 15-day voidability period and agrees to close before the 1793 expiration of the 15 days . The developer shall retain in his or 1794 her records a separate signed agreement as proof of the buyer' s 1795 agreement to close before the expiration of the voidability 1796 period. The developer must retain such proof for a period of 5 1797 years after the date of the closing transaction. The documents 1798 to be delivered to the prospective buyer are the prospectus or Page 62 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3214 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1799 disclosure statement with all exhibits, if the development is 1800 subject to s . 719 . 504, or, if not, then copies of the following 1801 which are applicable : 1802 1 . The question and answer sheet described in s . 719 . 504, 1803 and cooperative documents, or the proposed cooperative documents 1804 if the documents have not been recorded, which shall include the 1805 certificate of a surveyor approximately representing the 1806 locations required by s . 719 . 104 . 1807 2 . The documents creating the association . 1808 3 . The bylaws . 1809 4 . The ground lease or other underlying lease of the 1810 cooperative . 1811 5 . The management contract, maintenance contract, and other 1812 contracts for management of the association and operation of the 1813 cooperative and facilities used by the unit owners having a 1814 service term in excess of 1 year, and any management contracts 1815 that are renewable . 1816 6 . The estimated operating budget for the cooperative and a 1817 schedule of expenses for each type of unit, including fees 1818 assessed to a shareholder who has exclusive use of limited 1819 common areas, where such costs are shared only by those entitled 1820 to use such limited common areas . 1821 7 . The lease of recreational and other facilities that will 1822 be used only by unit owners of the subject cooperative . 1823 8 . The lease of recreational and other common areas that 1824 will be used by unit owners in common with unit owners of other 1825 cooperatives . 1826 9 . The form of unit lease if the offer is of a leasehold. 1827 10 . Any declaration of servitude of properties serving the Page 63 of 77 CODING: Words men are deletions; words underlined are additions . 3215 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1828 cooperative but not owned by unit owners or leased to them or 1829 the association. 1830 11 . If the development is to be built in phases or if the 1831 association is to manage more than one cooperative, a 1832 description of the plan of phase development or the arrangements 1833 for the association to manage two or more cooperatives . 1834 12 . If the cooperative is a conversion of existing 1835 improvements, the statements and disclosure required by s . 1836 719 . 616 . 1837 13 . The form of agreement for sale or lease of units . 1838 14 . A copy of the floor plan of the unit and the plot plan 1839 showing the location of the residential buildings and the 1840 recreation and other common areas . 1841 15 . A copy of all covenants and restrictions that will 1842 affect the use of the property and are not contained in the 1843 foregoing. 1844 16 . If the developer is required by state or local 1845 authorities to obtain acceptance or approval of any dock or 1846 marina facilities intended to serve the cooperative, a copy of 1847 any such acceptance or approval acquired by the time of filing 1848 with the division pursuant to s . 719 . 502 (1) or a statement that 1849 such acceptance or approval has not been acquired or received. 1850 17 . Evidence demonstrating that the developer has an 1851 ownership, leasehold, or contractual interest in the land upon 1852 which the cooperative is to be developed. 1853 18 . A copy of the inspector-prepared summary of the 1854 milestone inspection report as described in s . 553 . 899 1855 , or a statement in conspicuous type 1856 indicating that the required milestone inspection described in Page 64 of 77 CODING: Words men are deletions; words underlined are additions . 3216 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1857 s . 553 . 899 has not been completed or that a milestone inspection 1858 is not required, as 4€ applicable . 1859 19 . A copy of the t-iei ' s most recent structural 1860 integrity reserve study or a statement in conspicuous type 1861 indicating that the ass iam�i-en has ne,m erg,-;_L let—e a required 1862 structural integrity reserve study has not been completed or 1863 that a structural integrity reserve study is not required, as 1864 applicable . 1865 20 . A copy of the turnover inspection report described in 1866 s . 719 . 301 (4) (p) and (q) or a statement in conspicuous type 1867 indicating that a turnover inspection report has not been 1868 completed, as applicable . 1869 (d) Milestone inspection, turnover inspection report, or 1870 structural integrity reserve study.—If the association is 1871 required to have completed a milestone inspection as described 1872 in s . 553 . 899, a turnover inspection report for a turnover 1873 inspection performed on or after July 1, 2023, or a structural 1874 integrity reserve study, and the association has not completed 1875 the milestone inspection, the turnover inspection report, or the 1876 structural integrity reserve study, each contract entered into 1877 after December 31, 2024, for the sale of a residential unit 1878 shall contain in conspicuous type a statement indicating that 1879 the association is required to have a milestone inspection, a 1880 turnover inspection report, or a structural integrity reserve 1881 study and has not completed such inspection, report, or study, 1882 as appropriate . If the association is not required to have a 1883 milestone inspection as described in s . 553 . 899 or a structural 1884 integrity reserve study, each contract entered into after 1885 December 31, 2024, for the sale of a residential unit shall Page 65 of 77 CODING: Words men are deletions; words underlined are additions . 3217 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1886 contain in conspicuous type a statement indicating that the 1887 association is not required to have a milestone inspection or a 1888 structural integrity reserve study, as appropriate . If the 1889 association has completed a milestone inspection as described in 1890 s . 553 . 899, a turnover inspection report for a turnover 1891 inspection performed on or after July 1, 2023, or a structural 1892 integrity reserve study, each contract entered into after 1893 December 31, 2024, for the sale of a residential unit shall 1894 contain in conspicuous type : 1895 1 . A clause which states : THE BUYER HEREBY ACKNOWLEDGES 1896 THAT BUYER HAS BEEN PROVIDED A CURRENT COPY OF THE INSPECTOR- 1897 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1898 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1899 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1900 719 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1901 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1902 RESERVE STUDY DESCRIBED IN SECTIONS 719 . 103 (24) AND 1903 719 . 106 (1) (k) , FLORIDA STATUTES, IF APPLICABLE, MORE THAN 15 1904 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, PRIOR TO 1905 EXECUTION OF THIS CONTRACT; and 1906 2 . A clause which states : THIS AGREEMENT IS VOIDABLE BY 1907 BUYER BY DELIVERING WRITTEN NOTICE OF THE BUYER' S INTENTION TO 1908 CANCEL WITHIN 15 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL 1909 HOLIDAYS, AFTER THE DATE OF EXECUTION OF THIS AGREEMENT BY THE 1910 BUYER AND RECEIPT BY BUYER OF A CURRENT COPY OF THE INSPECTOR- 1911 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1912 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1913 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1914 719 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A Page 66 of 77 CODING: Words men are deletions; words underlined are additions . 3218 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1915 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1916 RESERVE STUDY DESCRIBED IN SECTIONS 719 . 103 (24) AND 1917 719 . 106 (1) (k) , FLORIDA STATUTES, IF APPLICABLE . ANY PURPORTED 1918 WAIVER OF THESE VOIDABILITY RIGHTS SHALL BE OF NO EFFECT. BUYER 1919 MAY EXTEND THE TIME FOR CLOSING FOR A PERIOD OF NOT MORE THAN 15 1920 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, AFTER 1921 THE BUYER RECEIVES A CURRENT COPY OF THE INSPECTOR-PREPARED 1922 SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED IN 1923 SECTION 553 . 899, FLORIDA STATUTES; A COPY OF THE TURNOVER 1924 INSPECTION REPORT DESCRIBED IN SECTION 719 . 301 (4) (p) AND (q) , 1925 FLORIDA STATUTES; OR A COPY OF THE ASSOCIATION' S MOST RECENT 1926 STRUCTURAL INTEGRITY RESERVE STUDY DESCRIBED IN SECTIONS 1927 719 . 103 (24) AND 719 . 106 (1) (k) , FLORIDA STATUTES, IF REQUESTED IN 1928 WRITING. BUYER' S RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT 1929 CLOSING. 1930 1931 A contract that does not conform to the requirements of this 1932 paragraph is voidable at the option of the purchaser prior to 1933 closing. 1934 (2) NONDEVELOPER DISCLOSURE .- 1935 (a) Each unit owner who is not a developer as defined by 1936 this chapter must comply with this subsection before the sale of 1937 his or her interest in the association. Each prospective 1938 purchaser who has entered into a contract for the purchase of an 1939 interest in a cooperative is entitled, at the seller' s expense, 1940 to a current copy of all of the following: 1941 1 . The articles of incorporation of the association. 1942 2 . The bylaws and rules of the association. 1943 3 . A copy of the question and answer sheet as provided in Page 67 of 77 CODING: Words men are deletions; words underlined are additions . 3219 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1944 s . 719 . 504 . 1945 4 . A copy of the inspector-prepared summary of the 1946 milestone inspection report as described in s . 553 . 899 ss 1947 SS3 . 899 anE �7 , if applicable . 1948 5 . A copy of the association' s most recent structural 1949 integrity reserve study or a statement that the association has 1950 not completed a structural integrity reserve study. 1951 6 . A copy of the inspection report described in s . 1952 719 . 301 (4) (p) and (q) for a turnover inspection performed on or 1953 after July 1, 2023 . 1954 (d) If the association is required to have completed a 1955 milestone inspection as described in s . 553 . 899, a turnover 1956 inspection report for a turnover inspection performed on or 1957 after July 1, 2023, or a structural integrity reserve study, and 1958 the association has not completed the milestone inspection, the 1959 turnover inspection report, or the structural integrity reserve 1960 study, each contract entered into after December 31, 2024, for 1961 the sale of a residential unit shall contain in conspicuous type 1962 a statement indicating that the association is required to have 1963 a milestone inspection, a turnover inspection report, or a 1964 structural integrity reserve study and has not completed such 1965 inspection, report, or study, as appropriate . If the association 1966 is not required to have a milestone inspection as described in 1967 s . 553 . 899 or a structural integrity reserve study, each 1968 contract entered into after December 31, 2024, for the sale of a 1969 residential unit shall contain in conspicuous type a statement 1970 indicating that the association is not required to have a 1971 milestone inspection or a structural integrity reserve study, as 1972 appropriate . If the association has completed a milestone Page 68 of 77 CODING: Words men are deletions; words underlined are additions . 3220 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 1973 inspection as described in s . 553 . 899, a turnover inspection 1974 report for a turnover inspection performed on or after July 1, 1975 2023, or a structural integrity reserve study, each contract 1976 entered into after December 31, 2024, for the resale of a 1977 residential unit shall contain in conspicuous type : 1978 1 . A clause which states : THE BUYER HEREBY ACKNOWLEDGES 1979 THAT BUYER HAS BEEN PROVIDED A CURRENT COPY OF THE INSPECTOR- 1980 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1981 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1982 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1983 719 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1984 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1985 RESERVE STUDY DESCRIBED IN SECTIONS 719 . 103 (24) AND 1986 719 . 106 (1) (k) , FLORIDA STATUTES, IF APPLICABLE, MORE THAN 3 1987 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, PRIOR TO 1988 EXECUTION OF THIS CONTRACT; and 1989 2 . A clause which states : THIS AGREEMENT IS VOIDABLE BY 1990 BUYER BY DELIVERING WRITTEN NOTICE OF THE BUYER' S INTENTION TO 1991 CANCEL WITHIN 3 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL 1992 HOLIDAYS, AFTER THE DATE OF EXECUTION OF THIS AGREEMENT BY THE 1993 BUYER AND RECEIPT BY BUYER OF A CURRENT COPY OF THE INSPECTOR- 1994 PREPARED SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED 1995 IN SECTION 553 . 899, FLORIDA STATUTES, IF APPLICABLE; A COPY OF 1996 THE TURNOVER INSPECTION REPORT DESCRIBED IN SECTION 1997 719 . 301 (4) (p) AND (q) , FLORIDA STATUTES, IF APPLICABLE; AND A 1998 COPY OF THE ASSOCIATION' S MOST RECENT STRUCTURAL INTEGRITY 1999 RESERVE STUDY DESCRIBED IN SECTIONS 719 . 103 (24) AND 2000 719 . 106 (1) (k) , FLORIDA STATUTES, IF APPLICABLE . ANY PURPORTED 2001 WAIVER OF THESE VOIDABILITY RIGHTS SHALL BE OF NO EFFECT. BUYER Page 69 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3221 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2002 MAY EXTEND THE TIME FOR CLOSING FOR A PERIOD OF NOT MORE THAN 3 2003 DAYS, EXCLUDING SATURDAYS, SUNDAYS, AND LEGAL HOLIDAYS, AFTER 2004 THE BUYER RECEIVES A CURRENT COPY OF THE INSPECTOR-PREPARED 2005 SUMMARY OF THE MILESTONE INSPECTION REPORT AS DESCRIBED IN 2006 SECTION 553 . 899, FLORIDA STATUTES; A COPY OF THE TURNOVER 2007 INSPECTION REPORT DESCRIBED IN SECTION 719 . 301 (4) (p) AND (q) , 2008 FLORIDA STATUTES; OR A COPY OF THE ASSOCIATION' S MOST RECENT 2009 STRUCTURAL INTEGRITY RESERVE STUDY DESCRIBED IN SECTIONS 2010 719 . 103 (24) AND 719 . 106 (1) (k) , FLORIDA STATUTES, IF REQUESTED IN 2011 WRITING. BUYER' S RIGHT TO VOID THIS AGREEMENT SHALL TERMINATE AT 2012 CLOSING. 2013 2014 A contract that does not conform to the requirements of this 2015 paragraph is voidable at the option of the purchaser prior to 2016 closing. 2017 Section 17 . Paragraph (a) of subsection (7) and paragraph 2018 (c) of subsection (20) of section 719 . 504, Florida Statutes, are 2019 amended to read: 2020 719 . 504 Prospectus or offering circular.—Every developer of 2021 a residential cooperative which contains more than 20 2022 residential units, or which is part of a group of residential 2023 cooperatives which will be served by property to be used in 2024 common by unit owners of more than 20 residential units, shall 2025 prepare a prospectus or offering circular and file it with the 2026 Division of Florida Condominiums, Timeshares, and Mobile Homes 2027 prior to entering into an enforceable contract of purchase and 2028 sale of any unit or lease of a unit for more than 5 years and 2029 shall furnish a copy of the prospectus or offering circular to 2030 each buyer. In addition to the prospectus or offering circular, Page 70 of 77 CODING: Words men are deletions; words underlined are additions . 3222 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2031 each buyer shall be furnished a separate page entitled 2032 "Frequently Asked Questions and Answers, " which must be in 2033 accordance with a format approved by the division. This page 2034 must, in readable language : inform prospective purchasers 2035 regarding their voting rights and unit use restrictions, 2036 including restrictions on the leasing of a unit; indicate 2037 whether and in what amount the unit owners or the association is 2038 obligated to pay rent or land use fees for recreational or other 2039 commonly used facilities; contain a statement identifying that 2040 amount of assessment which, pursuant to the budget, would be 2041 levied upon each unit type, exclusive of any special 2042 assessments, and which identifies the basis upon which 2043 assessments are levied, whether monthly, quarterly, or 2044 otherwise; state and identify any court cases in which the 2045 association is currently a party of record in which the 2046 association may face liability in excess of $100, 000; and state 2047 whether membership in a recreational facilities association is 2048 mandatory and, if so, identify the fees currently charged per 2049 unit type . The division shall by rule require such other 2050 disclosure as in its judgment will assist prospective 2051 purchasers . The prospectus or offering circular may include more 2052 than one cooperative, although not all such units are being 2053 offered for sale as of the date of the prospectus or offering 2054 circular. The prospectus or offering circular must contain the 2055 following information: 2056 (7) A description of the recreational and other facilities 2057 that will be used in common with other cooperatives, community 2058 associations, or planned developments which require the payment 2059 of the maintenance and expenses of such facilities, directly or Page 71 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3223 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2060 indirectly, by the unit owners . The description shall include, 2061 but not be limited to, the following: 2062 (a) Each building and facility committed to be built and a 2063 summary description of the structural integrity of each building 2064 for which reserves are required pursuant to s . 719 . 106 (1) (k) . 2065 2066 Descriptions shall include location, areas, capacities, numbers, 2067 volumes, or sizes and may be stated as approximations or 2068 minimums . 2069 (20) An estimated operating budget for the cooperative and 2070 the association, and a schedule of the unit owner' s expenses 2071 shall be attached as an exhibit and shall contain the following 2072 information: 2073 (c) The estimated items of expenses of the cooperative and 2074 the association, except as excluded under paragraph (b) , 2075 including, but not limited to, the following items, which shall 2076 be stated as an association expense collectible by assessments 2077 or as unit owners' expenses payable to persons other than the 2078 association: 2079 1 . Expenses for the association and cooperative : 2080 a. Administration of the association. 2081 b. Management fees . 2082 c. Maintenance . 2083 d. Rent for recreational and other commonly used areas . 2084 e . Taxes upon association property. 2085 f. Taxes upon leased areas . 2086 g. Insurance . 2087 h. Security provisions . 2088 i . Other expenses . Page 72 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3224 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2089 j . Operating capital . 2090 k. Reserves for all applicable items referenced in s . 2091 719 . 106 (1) (k) . 2092 1 . Fee payable to the division. 2093 2 . Expenses for a unit owner: 2094 a. Rent for the unit, if subject to a lease . 2095 b. Rent payable by the unit owner directly to the lessor or 2096 agent under any recreational lease or lease for the use of 2097 commonly used areas, which use and payment are a mandatory 2098 condition of ownership and are not included in the common 2099 expense or assessments for common maintenance paid by the unit 2100 owners to the association. 2101 Section 18 . Subsection (2) of section 558 . 002, Florida 2102 Statutes, is amended to read: 2103 558 . 002 Definitions .—As used in this chapter, the term: 2104 (2) "Association" has the same meaning as in s . 718 . 103 2105 g 18.193 (2) , s . 719 . 103 (2) , s . 720 . 301 (9) , or s . 723 . 075 . 2106 Section 19 . Paragraph (b) of subsection (1) of section 2107 718 . 116, Florida Statutes, is amended to read: 2108 718 . 116 Assessments; liability; lien and priority; 2109 interest; collection.- 2110 (1) 2111 (b) l . The liability of a first mortgagee or its successor 2112 or assignees who acquire title to a unit by foreclosure or by 2113 deed in lieu of foreclosure for the unpaid assessments that 2114 became due before the mortgagee' s acquisition of title is 2115 limited to the lesser of: 2116 a. The unit' s unpaid common expenses and regular periodic 2117 assessments which accrued or came due during the 12 months Page 73 of 77 CODING: Words men are deletions; words underlined are additions . 3225 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2118 immediately preceding the acquisition of title and for which 2119 payment in full has not been received by the association; or 2120 b. One percent of the original mortgage debt . The 2121 provisions of this paragraph apply only if the first mortgagee 2122 joined the association as a defendant in the foreclosure action. 2123 Joinder of the association is not required if, on the date the 2124 complaint is filed, the association was dissolved or did not 2125 maintain an office or agent for service of process at a location 2126 which was known to or reasonably discoverable by the mortgagee . 2127 2 . An association, or its successor or assignee, that 2128 acquires title to a unit through the foreclosure of its lien for 2129 assessments is not liable for any unpaid assessments, late fees, 2130 interest, or reasonable attorney' s fees and costs that came due 2131 before the association' s acquisition of title in favor of any 2132 other association, as defined in s . 718 . 103 s . ��18 . 103 (2) or s . 2133 720 . 301 (9) , which holds a superior lien interest on the unit. 2134 This subparagraph is intended to clarify existing law. 2135 Section 20 . Paragraph (d) of subsection (2) of section 2136 720 . 3085, Florida Statutes, is amended to read: 2137 720 . 3085 Payment for assessments; lien claims .- 2138 (2) 2139 (d) An association, or its successor or assignee, that 2140 acquires title to a parcel through the foreclosure of its lien 2141 for assessments is not liable for any unpaid assessments, late 2142 fees, interest, or reasonable attorney' s fees and costs that 2143 came due before the association' s acquisition of title in favor 2144 of any other association, as defined in s . 718 . 103 s . 2145 or s . 720 . 301 (9) , which holds a superior lien interest on the 2146 parcel . This paragraph is intended to clarify existing law. Page 74 of 77 CODING: Words men are deletions; words underlined are additions . 3226 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2147 Section 21 . Effective July 1, 2027, for the purpose of 2148 incorporating the amendments made by this act to section 2149 718 . 1255, Florida Statutes, in a reference thereto, section 2150 719 . 1255, Florida Statutes, is reenacted to read: 2151 719 . 1255 Alternative resolution of disputes .—The Division 2152 of Florida Condominiums, Timeshares, and Mobile Homes of the 2153 Department of Business and Professional Regulation shall provide 2154 for alternative dispute resolution in accordance with s . 2155 718 . 1255 . 2156 Section 22 . Paragraph (f) of subsection (1) of section 2157 718 . 501, Florida Statutes, is reenacted to read: 2158 718 . 501 Authority, responsibility, and duties of Division 2159 of Florida Condominiums, Timeshares, and Mobile Homes .- 2160 (1) The division may enforce and ensure compliance with 2161 this chapter and rules relating to the development, 2162 construction, sale, lease, ownership, operation, and management 2163 of residential condominium units and complaints related to the 2164 procedural completion of milestone inspections under s . 553 . 899 . 2165 In performing its duties, the division has complete jurisdiction 2166 to investigate complaints and enforce compliance with respect to 2167 associations that are still under developer control or the 2168 control of a bulk assignee or bulk buyer pursuant to part VII of 2169 this chapter and complaints against developers, bulk assignees, 2170 or bulk buyers involving improper turnover or failure to 2171 turnover, pursuant to s . 718 . 301 . However, after turnover has 2172 occurred, the division has jurisdiction to investigate 2173 complaints related only to financial issues, elections, and the 2174 maintenance of and unit owner access to association records 2175 under s . 718 . 111 (12) , and the procedural completion of Page 75 of 77 CODING: Wordsst-r-ieken are deletions; words underlined are additions . 3227 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2176 structural integrity reserve studies under s . 718 . 112 (2) (g) . 2177 (f) The division may adopt rules to administer and enforce 2178 this chapter. 2179 Section 23 . Paragraph (f) of subsection (1) of section 2180 719 . 501, Florida Statutes, is reenacted to read: 2181 719 . 501 Powers and duties of Division of Florida 2182 Condominiums, Timeshares, and Mobile Homes .- 2183 (1) The Division of Florida Condominiums, Timeshares, and 2184 Mobile Homes of the Department of Business and Professional 2185 Regulation, referred to as the "division" in this part, in 2186 addition to other powers and duties prescribed by chapter 718, 2187 has the power to enforce and ensure compliance with this chapter 2188 and adopted rules relating to the development, construction, 2189 sale, lease, ownership, operation, and management of residential 2190 cooperative units; complaints related to the procedural 2191 completion of the structural integrity reserve studies under s . 2192 719 . 106 (1) (k) ; and complaints related to the procedural 2193 completion of milestone inspections under s . 553 . 899 . In 2194 performing its duties, the division shall have the following 2195 powers and duties : 2196 (f) The division has authority to adopt rules pursuant to 2197 ss . 120 . 536 (1) and 120 . 54 to implement and enforce the 2198 provisions of this chapter. 2199 Section 24 . For the 2023-2024 fiscal year, the sums of 2200 $1, 301, 928 in recurring funds and $67, 193 in nonrecurring funds 2201 from the Division of Florida Condominiums, Timeshares, and 2202 Mobile Homes Trust Fund are appropriated to the Department of 2203 Business and Professional Regulation, and 10 full-time 2204 equivalent positions with associated salary rate of 487, 264 are Page 76 of 77 CODING: Words men are deletions; words underlined are additions . 3228 ENROLLED 2023 Legislature CS for CS for SB 154, 2nd Engrossed 2023154er 2205 authorized for the purpose of implementing this act. 2206 Section 25 . Except as otherwise expressly provided in this 2207 act, this act shall take effect upon becoming a law. Page 77 of 77 CODING: Words men are deletions; words underlined are additions . 3229 r tf � /��lllllll��lllll ��ll MEMORANDUM MONROE COUNTY BUILDING DEPARTMENT We strive to be caring,professional and fair To: Monroe County Board of County Commissioners Through: Rick Griffin, Senior Director/Building Official From: Reynaldo Ortiz, Assoc. AIA, AICP, CBO, CFM Assistant Building Official Date: June 4, 2023 Subject: Discussion to Update Building Safety Inspection Program (BSIP) Meeting: June 21, 2023 1 2 I REQUEST: 3 4 Following the tragic collapse of the Champlain Towers South, mid-rise condominium 5 building in Surfside, Florida, the Monroe County Board of County Commissioners (BOCC) 6 requested staff to explore options on how to monitor the safe occupation of existing 7 structures in Monroe County. Subsequently the Florida Legislature has adopted additional 8 requirements to State Statutes. Staff is requesting additional direction to meet the updated 9 statutes. 10 11 II PRIOR COUNTY ACTIONS: 12 13 As early as 1974, the State of Florida adopted a state minimum building code law requiring 14 local governments to adopt and enforce a building code that would ensure minimum 15 standards. 16 17 The BOCC had adopted the Southern Standard Building Code 1973 Revision as detailed in 18 Ordinance 007-1973. 19 20 The BOCC had taken action to meet the objectives of the National Flood Insurance Act of 21 1968 as detailed in Ordinance 003-1975. 22 23 The Florida Legislature amended Chapter 553 in 1998, Florida Statutes, and Building 24 Construction Standards, to create a single statewide building code. This code superseded all 25 local codes including the Southern Standard Building Code. 26 27 As of March 1, 2002, the Florida Building Code (FBC), which is developed and maintained 28 by the Florida Building Commission, supersedes all local building codes. The FBC is 29 updated every three years and may be amended annually to incorporate interpretations and 30 clarifications. Monroe County has consistently enforced the FBC since its adoption. Page 1 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3230 1 2 November 11, 2021 the BOCC had provided direction to the Building department for 3 implementation of the BSIP. 4 5 During the Special Session D, 2022, SB 4-D was enacted to revise the laws related to 6 building safety. The act provided building safety inspection requirements for condominium 7 and cooperative association buildings. 8 9 The 2023 Session had introduced SB 154 to revise milestone inspection requirements for 10 condominium and cooperative buildings that are three or more stories in height. 11 12 III BACKGROUND INFORMATION: 13 14 The FBC section 101.4.7, states the following: 15 16 101.4.7 Existing buildings. 17 18 The provisions of the Florida Building Code, Existing Building shall 19 apply to matters governing the repair, alteration, change of occupancy, 20 addition to and relocation of existing buildings. 21 22 The FBC Existing Buildings section 101.2, states the following: 23 24 101.2 Scope. 25 26 The provisions of the Florida Building Code, Existing Building shall apply 27 to the repair, alteration, change of occupancy, addition to and relocation of 28 existing buildings. 29 30 Exception: For the purpose of public educational facilities and state 31 licensed facilities, see Chapter 4, Special Occupancy, of the Florida 32 Building Code, Building. 33 34 Section 201 of the FBC Existing Buildings defines "existing buildings" as a building erected 35 prior to the date of adoption of the appropriate code, or one for which a legal building permit 36 has been issued. 37 38 Reserved sections of the FBC are sections in which their scope does not apply to Florida or 39 fall outside the scope of the FBC as established in Florida Statutes. 40 41 How unsafe structures are inspected or declared unsafe are outside the scope of the FBC. 42 Therefore section 116 of the FBC titled"Unsafe Structures and Equipment"is currently 43 considered "reserved". However recent updates to Florida Statutes have mandated milestone 44 inspections for some structures. 45 Page 2 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3231 I Local jurisdictions may choose to implement property/building maintenance regulations or 2 standards. 3 Monroe County has codified a process for unsafe structures. The process includes an 4 inspection of the several systems of the building including structural, electrical, gas, 5 mechanical and plumbing system. 6 7 A Panel Discussion represented by experts from the International Code Council (ICC), the 8 Building Owners and Managers Association (BOMA), and the National Institute of Building 9 Sciences (NIBS) was convened on August 7, 2021. Its purpose was to share knowledge and 10 recommendation on how to monitor the safety of existing buildings, what guidance already 11 exists, and how future catastrophic events may be avoided. 12 13 Their discussion found the following of the 381 jurisdictions in Florida: 14 15 • Seventy-six jurisdictions (20%) have not adopted minimum building/property maintenance 16 codes for existing buildings. 17 18 • Eighty-three jurisdictions (22%)reference model housing or existing building abatement 19 codes/standards that were developed in the late 1970s. 20 21 • One hundred-thirty seven jurisdictions (36%)have implemented locally-developed 22 property/building maintenance regulations or standards in lieu of a national model code or 23 standard. 24 25 • Eighty-three jurisdictions (22%)have adopted the more modern International Property 26 Maintenance Code. 27 28 • Less than 3% of jurisdictions have implemented a periodic recertification or inspection 29 safety program for existing buildings. 30 31 The takeaways from the panel discussion of August 7, include the following: 32 33 1. Communities are seeking better guidance for inspections of existing buildings, 34 depending on local risk criteria. 35 36 2. Owners need to keep building maintenance records available for inspection. 37 38 3. More accountability is necessary; dangerous conditions must be reported to code 39 (building) officials immediately. 40 41 4. Timing and frequency of post CO inspections and recertification inspections must be 42 considered. 43 44 5. A uniform statewide property maintenance standard administered by local 45 Governments is critical for public safety and health of the real estate market. 46 Page 3 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3232 1 6. Continuous education and training for building managers, Code (Building) Officials 2 and the building community is important. 3 4 7. An analysis of existing and new technologies available to implement changes would 5 provide great value to all stakeholders. 6 7 8. Although building safety inspection programs are common, recertification programs 8 are rare. 9 10 9. Their recommendation is the adoption of a statewide property maintenance standard 11 for existing buildings. 12 13 In addition, the Florida Building Commission's Hurricane Research Advisory Committee 14 (HRAC)has met regarding the future of exiting building maintenance and inspections, the latest 15 meeting was on October 12, 2021. Their agenda included the following items: 16 17 • Discussion and Review Existing Laws and Regulations Related to Recertification 18 Requirements and Maintenance Schedules of Existing Buildings; and 19 20 • Discussion on Approach for Continually Tracking Investigations Related to Champlain 21 Towers; and 22 23 • Discussion to the Role of the Florida Building Code in the Inspection and Maintenance 24 of Existing High-Rise Residential Buildings and Other High-Rise Structures. 25 26 Their recommendation has not been finalized however it may include significant changes 27 to the FBC, who may conduct the reinspections of existing buildings, how often these 28 inspections shall occur, if coastal areas would have a separate timeline for inspections, 29 scope of the reinspections, and how will communities assign resources for the 30 additional workload. 31 32 Since November 2021 there has been one update to Florida Statutes and one nearing adoption by 33 the state legislature. 34 • 2022 SB-4D establishes a statewide inspection program, requiring condominium and 35 cooperative associations to conduct milestone structural inspections and perform 36 structural integrity reserve studies to ensure that condominium and cooperative buildings 37 are safe for continued use. 38 39 • 2023 SB 154 has passed the House and Senate and includes language to revises the 40 milestone inspection requirements for condominium and cooperative buildings that are 41 three or more stories in height to 42 43 IV STAFF ANALYSIS: 44 45 The Monroe County Building Department currently addresses a potentially unsafe structure 46 through its enforcement of MCC Section 6-27. This code section permits the Building Page 4 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3233 I Official or his/her authorized designee to deem a structure as unsafe using the physical 2 criterial outlined in MCC Section 6-27 (b). This process is initiated by member of staff or 3 received as a complaint from outside the department. Our current review of unsafe structures 4 is not a preemptive maintenance program and is not a comprehensive review of our current 5 building inventory. 6 7 Miami-Dade and Broward have in place a Building Safety Inspection Programs which call 8 for structural and electrical safety inspections for buildings 40 years old or older with a 10 9 year reinspections thereafter. One and two family dwellings, U.S. Government, State of 10 Florida buildings, schools under the jurisdiction of the local county, and buildings on Indian 11 Reservations may be exempt. Miami-Dade exempts other structures below 2,000 square feet 12 while Broward excludes structures below 3,500 square feet. Both Counties have experienced 13 structural building failures. Miami-Dade has had its program in place since 1976. Broward 14 has had theirs since 2006. 15 16 The direction provided to staff in 2021 is not consistent with the updated Statutes. 17 18 Previous direction by the BOCC was to establish guidelines and criteria for minimum 19 requirements for structures 4 stories and up,built prior to January 1, 2000, regardless of the 20 ownership type of the structure. Also, it was approved that one- and two-family dwellings, 21 U.S. Government, State of Florida buildings, schools not under the jurisdiction of the 22 Monroe County Building Official, and buildings on Indian Reservations be exempt. 23 24 2023 SB 154 revises the milestone inspection requirements for condominium and 25 cooperative buildings that are three or more stories in height to: 26 • Limit the milestone inspection requirements to buildings that include a residential 27 condominium or cooperative. 28 29 • Provide that the milestone inspection requirements apply to buildings that in whole or 30 in part are subject to the condominium or cooperative forms of ownership, such as 31 mixed-use buildings. 32 33 • Authorize the local enforcement agencies that are responsible with enforcing the 34 milestone inspection requirements the option to set a 25-year inspection requirement if 35 justified by local environmental conditions, including proximity to seawater. 36 37 • Authorize the local enforcement agency to extend the inspection deadline for a building 38 upon a petition showing good cause that the owner or owners of the building have 39 entered into a contract with an architect or engineer to perform the milestone inspection 40 services and the milestone inspection cannot reasonably be completed before the 41 deadline. 42 43 • Provide that the inspection services may be provided by a team of design professionals 44 with an architect or engineer acting as a registered design professional in responsible 45 charge. 46 Page 5 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3234 I • The bill requires the Florida Building Commission to establish by rule a building safety 2 program to implement the milestone inspection requirements within the Florida Building 3 Code. The commission must specify the minimum requirements for the commission's 4 building safety program by December 31, 2024, including inspection criteria, testing 5 protocols, standardized inspection and reporting forms that are adaptable to an electronic 6 format, and record maintenance requirements for the local authority having jurisdiction. 7 8 • Except for the dispute resolution provisions that take effect on July 1, 2027, the bill 9 takes effect upon becoming law. 10 11 Monroe County currently has approximately 870 structures which were built prior to 2000 12 that are not single family or duplex. 13 14 Based on an analysis of preliminary information made available to staff from the Monroe 15 County Property Appraiser and the information available in GIS, staff has made the 16 following conclusions regarding our current inventory. 17 18 1. A significant amount of our building inventory is over 30 years old. (Figure 1) 19 20 2. Over 67% of that inventory is located in the upper keys defined as north of the 21 Village of Islamorada. (Figure 2) 22 23 3. Of the 870 sites only 13% are greater than 2 stores in height. (Figure 3) 24 25 4. A majority of these structures are less than 10,000 square feet in area. (Figure 4) 26 27 5. Condominiums represent 32% of the inventory with warehouse, Stores of one story, 28 multi-family(less than 10 Unites), Hotel/Motel, and Mixed Use-Residential 29 Commercial representing 31%. (Figure 5) 30 31 32 33 Page 6 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3235 YEAR BUH.1" kalt 40 hp m, oim ��i °_�iuitm����n��1�6��uiol�u�lfiu 1 2 Figure 1 Year Built Key Locadon and total 0/r�M r 0, 11UUfl,ID1I1J1�711 J1111VI11JIIfIJ111DJ�IPIDJIJJ�lllll/llll� ���Ipl����p���lllll��l�ll�l l�ll�l UIUJIIII,!U111J117E'�����Ij ii 4 5 Figure 2 Key Locations and total per key 6 7 8 9 Page 7 of 10 P:\HB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3236 4— 4 DD z a:stEr 4 E St o 6Ei S 3 Storr(,Es 4 St o r e E„ �u St of S 1 2 Figure 3 Overall Breakdown of Total Height in Stories 3 4 Range of Squaire Footage LESS t!wANI 130,000Su.: e'4r LESS t.u/N 50,000 >u �IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII�111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111�111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111�11111111111111111111111116 ���� 0 II,.t:.r.i 1I-iA0V1 e10,000 t>t IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII �IIIIIIIIIIIIIIIIIIII �IIIIIIIIIIIIIIIIIIII s 44 L ESS T)tttN 10,000 SV: IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII �IIIIIIIIIIIIIIIIIIII �IIIIIIIIIIIIIIIIIIII �IIIIIIIIIIIIIIIIIIII ���� ttl 11P;:;1 f IA N 3,000 SV L. 5 6 Figure 4 Range of Square Footage Page 8 of 10 P:\HB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3237 BLJ &Ing F'y p e WARE HOLSI� VACAN I (0MIMERC[Al.. 2 UIL111ES NICICICY „4, 10 U R IS I'A I'll RAC f�C)N SLJPERMAI�O<E 1 m 3 SIORF'a,ONE SI O RY 111111111111111111111111111111111111111111111111111111111111111111 4 9 S'IATE RIJILIDING(PARK) 1 4 SIAI[ BUILDING 1 4 SHOPPIING CIEN IER EM 23 Y RVICI STAFION 1 14 R E STA J IRA IN 10 R("A I,ETT R I A Em 18 R L S I-ARC i(,F IN V ER IN 8 REPAIR SHOP 1R11111111 20 KAC TRA(KS,AUTO,DOG,HORY uo 4 PU B 1,1("4 CK)L IRIIIII111111 16 PLIBLK H()SPI'CAL A 2 PRO[i YdOWU S11 RVIK['f BUR VANG IN 10 P R I VA'r E I I()41 111 A L i 1 PARKIN(i 10 rS,MOBIl F 1,IOW PARKS 1 5 PACKING PLANT,AI EX , J. 01,C ICE BUll DING,ONE VORY 11111011 24 NI(kEIrCLIRBOR[OE (iEC)RI:nAR 2 I `:AIVILY(10 I-WIS(DR V(DR11� uuuluulllulC 15 MULA11 FAMILY (<10 11NEIS) S8 `00R-'lJAR11 OR 2 IVIXEDLJSE IR[.�d[.,)EN'rIAL./4.1:)MIVEIRCt;�,1. 45 1 JIMB�R YARD 1-1:0F VANlJl`A(,lOR1NG ff 6 i OJ I l OR MCA!fIl 5 I i I IN DU S TR tA L 1 3 6HAVF1 PIF 1 2 GOIJ COLIRSE INANCIAL INSI rFLJ I UN H DERAL BLHUDW-i I W 1-00D RES'IAURANT [:N(,-1 0SUD I HEA-HR ORAUD1110RIUNI IN 0UNIY BUILE"ING 1 14 0 UB OR I ODn[ 11111111111111111111 24 C I i Ll`(C 1,i Em 20 AUIOSAHS/REPAIR, MARIM EQUIP 1 7 AIRF10111r, IwAARIIEEAro muuu11111111 19 0 50 100 150 00 ;o IERE Figure 5 Building Type 3 Page 9 of 10 P:\HB 5D\20230604 REV1ST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3238 I V CONCLUSION: 2 3 Staff findings are that Monroe County has an active unsafe structures program which is one of 4 several methods that a local jurisdiction may use to address the safety of existing structures. Staff 5 is prepared to proceed with any of the options below to comply with the updated Florida 6 Statutes. 7 8 Option 1 —Continue with current provisions outlined in MCC with an addition of the 9 updated requirements of SB 154: Currently the Building Department follows up with buildings 10 and structures which are unsafe as described in MCC. This process would be supplemented to 11 include the milestone inspections required by the bill for condominiums or cooperative buildings 12 of 3 stories or higher only at 30 years of age. 13 14 Option 2—Continue with current provisions outlined in MCC with an addition of the 15 updated requirements of SB 154: Currently the Building Department follows up with buildings 16 and structures which are unsafe as described in MCC. This process would be supplemented to 17 include the milestone inspections required by the bill for condominiums or cooperative buildings 18 of 3 stories or higher only at 25 years of age due to our proximity to salt water. 19 20 Option 3 —Duplicate a process adopted by other municipalities: Some municipalities, 21 including the City of Marathon,have embraced Miami-Dade and Broward counties proactive 22 approach to periodically re-inspecting existing buildings. Others have chosen to adopt 23 maintenance codes by reference at a local level. Monroe County has a locally codified 24 maintenance regulation and standard to use when inspecting existing structures. This process 25 could include electrical and additional elements beyond load-bearing elements. 26 27 Option 4—Take a Hybrid approach to existing inventory: 28 A process can be adopted to consider all available options and craft a program unique to Monroe 29 County. This process can take into consideration age, height, and use of the structures. 30 31 VI STAFF RECOMMENDATION: 32 33 There is currently no consistent program to periodically re-evaluate buildings or structures for 34 their ongoing safety to comply with the direction of the BOCC and the updated Florida Statutes. 35 The Monroe County Building Department is seeking direction from the Board of County 36 Commissioners regarding a re-inspection program to take into consideration previous direction 37 to Staff and compliance with Florida Statutes. 38 39 Maintenance of the structural integrity of structures is of critical importance to health and safety. 40 Option 4 would allow Monroe County to take a preliminary step toward this goal. Staff 41 recommends that a policy be developed to establish guidelines and criteria for minimum 42 requirements for structures 3 stories and up, 25 years of age. The milestone inspections would 43 include non-loadbearing elements and electrical. Staff also recommends that one- and two-family 44 dwellings, U.S. Government, State of Florida buildings, schools not under the jurisdiction of the 45 Monroe County Building Official, and buildings on Indian Reservations be exempt. These 46 parameters would include approximately 116 structures located primarily in the Upper Keys. Page 10 of 10 P:AHB 5D\20230604 REVIST OF Monroe County recertification buildin Safety inspection program BSIP.doc 3239 IIIUII� �� � �� II�I��'Io�lailMM�y? '�tl�h' �nu4 a�. �°Yu'�!�'� � '�, �' �� �'Y5 , � IV�'u9��lY.� � 7� �.,. �d iII IGI� Vl��il�l� i ui4� i i �yi li 7tlI�� �1 u � � iY�� u � puC 4 NV � �C� I�IhIhuR�t Il�ui�� uSyYiY �uk �raN�Vi���� yh IIIIlp^�����I � ,u°RPi ,n, ° � � I4s �u�iuur � ul� mui � liquu i+y�, � �� ���. IIIII 44 u��IIII ���IIu�I�IVru4 uu '�� �yY���� q w�!u��u��i�ll��iu wY� u � il���l� i v�N . gyp° IIIII II � +i III Ili! l yy IllUum� 1�����5 III ��' Ilu i�i� �� q � �yu�ti�� iWi IIVM1it� � ,�7.� VPl�td �F u"' 3 5Y�'i �l llll lll�ll� '�I� 1710.���""" n �L I A Ili �� auuVaRV � � aW ��� � I��� II iuuiui �n �. �1 �'r �i� P6'�U�"�ha@�!�p11Y� ���uV �K I�I4�li���illi� �� ���l lll� ��luq myyIl BYoillll� 7t II �����h�fi nn aS�� � � �tiii�d ��q�.��"i� An �4i4 ^�I�Y�� �1��Vi ���r�jitita, � i �,�i� �!y� � �,I�IiVPGI'k��I�Qlu�bwu�tti �, ���gtiti� �r �� iiii�l��ll�lll���������llll� l�� ��� � � � �.i fi 4 1�� Iq f�, 1 �; �, �� IINi�ii��� ,� ,rf ` ���, �,o��, ���, I ", ,hi i �, �,�a�. , u�,�����4�i�l,. �.,, :.,,, r ,�,,, r - c,. 1 I � .,. ,: 1 If, �; �fV� , . � � ,,, � ,,, �,- �,- �, iE fi �r��a ar � ��`ry � �' � � a �' �, ,� + ' em.0 ",, d ,a ,, r ,�.. W w �. r�i, � J,^ "�� ` v , .a� d u � r u - ., . ...,. ,.,;�. �. .,� ,�irvi; ,,,.. P // //. -% / „l//i.. ., ,,. .....,, a �� r i..1/ .,., ..i � ,l. i,�,,, -, „�.,.,,, :��i f ..n �... � ��;o. .;�., ,,,,.,,.. �,.� ,,,,,, .i ,,, i J� ,.,...., ,,,,,,,, � ,. 1, awn ...f im � ...� i �,. ii i IIf �„ i, �.. �4i ,- A � � .,,�, (fN ,,,, I(.. �p r ,,,,i �b ..� / /i �p J ,,, i ,„, „e. 4 � r., we, ,,,:, �,.. ,,,,,,! ,� „...,,,; � ,,,,,,�,,.,, ,�u ,.�� hNitl �,t. „ri,u�rr'i 1.. .'�. vF ... 1.. i ,f ,, :. .. ,.. ., ..., � _.... ,,. � Y '"+N ��ti r � '.: ice.._.. i... i .... ..... ,,.� 1 m''"n ..... �'"'"".._._ _. ., m� ,. ,� ....... „o I „,.. ... �..... .. / ,,,, ,,.... .,..M^Jy r,,,,.... .... ..... ,,, IU ..,. ,,,,,, .,, .., r .. � � ��"�riuwr+r�n urrcr„rr��w��(���f� ` ��.�uo �� u.. _., Following the tiraglic collllalpse of the Clhairnjpllallir i IFoweirs Sou t Ih, irn i d rise coii idoirniiniluirn Ibuddl ire g ilin Suirfsilde, Floirda, th IIIoiruroe Cour in-ty IN Board of Couin-ty Coirn iron lssioineirs (IE30CC) iteques-ted staff-to exlplloire olp-bloins on Ihow to moin'li-Moir the safe occk i1paboin of ex'is-bing s"ll'...'ructuires in Moiniroe Couin-ty Staff was directed t Ibegin cirea-bloin of a IE;; III Ipirograim t iiindlude II II stirUCtUires i, stoiriles aind ulp, Ili0llt 1piriloirt:o .jainuary 1., 2.000., With in and two faimi!Ily dwell kings, LIS, Goveirinirrneint, Sta"Ite of FlloirHa IbU]Alings, sc Ian oolls nOt L.sir'ideir"tlhe.jL.Jir��sd�ic'l'.�oin of t1he Moiniroe County IBUI&Ing Offiblall, aind lbuHlAlings (,.)in lin6ain Reserva-bloins The exeirnIp"11 I Ihese paira urn e-teirswoulld ilinc.-,Iludealplpir-oxiiima--11-.eIIY23 structures located hn "t1he Ulplpeir keys., N, 11)uirling the Il ii ll Sesslion IC;; , 2022, SIB 4,,,,,11" was einac-ted to irevilse -the II w s hell fed to Il u ii II d ii ire g f .t „ ,,,,,FIh u tprovided IbuMu ii II fiire safe-ty ii n ii rirn ire u"u ii ire i it t Emir coindomiliniluirn and coy 1pe t -tliv assoda-tiloin Il„)u ii II ii in ,,,, Sessiloin Ih d ii irn tir umu e I ,154 W t vii i 'II Loin ii in bi irn it u ii ire irri in t s it condoirnil6lum andc 1 it tiiv Ib u fi II fi irn .th t aire thiree or im ite s"tohles in th e ii h t,, qµ 2023 SB 154 The Bill is in effect. The Bill has many components for Condos to follow. Components of SB 154 relevant to BSIP and the Building Department ' '' "dry% Q�' 7M mCtlrbp7 • Updated 2022, SB 4-D • Mandatory structural inspections for condominiums and cooperative buildings stories or higherthat are 30 years or older. (Can be modified to 25 due to proximity to salt water.) considered Phase 1 • Milestone inspections for Load Bearing Elements • Minimum criteria for the inspection report • Florida Building Commission shall adopt rules to the Florida Building Code to include inspection criteria, testing protocols, standardized inspection and reporting forms. 2 2023 SB 154 (Continued) -Requires milestone inspection every 10 years after a building's initial milestone inspection. �lJlulu � • Requires an additional, more intensive inspection, or a "phase 2 inspection," p� m fly if a building recertification reveals substantial structural deterioration at 1, mkUMp7 phase 1 inspection. • Requires building officials to provide written notice to associations when buildings must be recertified. • Requires recertification and phase 2 reports be submitted to building officials and unit owners. IONw� �d�lt �Nlhp @I! ¢'Nth �� '�� tlQpj& � IIIIIII!U ��U!N7�i L A` Unsafe IIu iii III i IFlh iron Ih iref rr II I y a imeir n1beir of the I u I II ii c or staff, Ah, uuui IW ii' � III C Irk IY,,, Ir1� Irk II�a Ilr ".� iir� °� ir�� �i �ii� ire ii ir���� ire�ire comprehensive ireview of our currently buillding i inv ins Il::o iry OR.., CER M}O[MOLA$H 1lNIWwh64TA9LE .e uwocuvie:R NON IOMfB fEAU x.'RUC.... 'uwx(ni r,man ryaniun r T pp y p n u.. Ti E STROCTURQ3),SHALL NOT RV.OCCUPIED r nnv•mrw�::,x �Y'.ti ,n,,. ______._. .__...... ._______ ttuemxxem oo'�x sSYMu,:ormtx sma,r.,ewa,un v. x— imMxu MYav pn wntrvta5 ,Ar.4[v ir,. ,reo'wrven �'N4Ig.4ul,a.�F�x'u.t" •,"",•• of moaeu www,uxs.ua muwnw wnnvnur . _IlivadnaWrfn%Ifm�katti4pkISW... ..,. CE)M'ATI tl I� � Jr ,Y' II i ,,,u, iir Ilpiir iir iirn u - i• w, yea its o it olldeir wiirth „.i o year irdinspections t lh it fteit • Only coirm n ire ii II tirk..) t u ire s of a i fi ire ii i u irri squaire foo-tage �Ahi, Millh uuuiw Some structures aIre x Irri Ip t • III ii im ii Dade imaindates structures wi-th u Ip ire-t II ad of„t in ( „ ) or moire and two t1housaind (2,000) squaire feet IBirowaird irrru ire ts structures over 3,500 squarefeet irr"n u irir "InlllI, Ill unv ntoiry =� * 11 1i iniru uir"Ity curr intlly Ih « Iplpirox ima ll , o structures Which it I u�dI t Ip iru it II,. 0 t 1h wire in of ii rn Il snmilly or dulpIlex„ * lBased oin fi ire bra irirn bl o ire Piro m the III ire it e County I:::I it Ip it y Alp1p14iseir. A siig iniifiicain'taimou.ain.tof ouirbu'iIId'iingii inventory iisoveit30yap its olI d. (Fi u,uire3 rk o," a uu Millmiu P, Over 6 inu.�rtlhn ���lhn �lillllat iiin vailltll iy i'srl i i airiilly loco-. r,U liin the upper Ikeys de-(lined as OFthe 870 sites On 1Y 1.3/ wire r reateirth aIn 2. stores nin In d g hit„ Fi uir Ps A irxUoirfty of these structures are Il. ss th�ir �. ��r�r s��a ire feet nip aire a„ (IU°° ..t 4) G..oincUoinnnirniuirns i 1pirE..sr.ir��..� ./�euf the ninva�irntoiryvvntlh�v���ir�.11�nou.us�^� ....���aires of . s m.... a.�in�s��uir II°�u�ll�ii .��ir�nnll Il�s..��Ihn�in ..u.a� ��inn�s� Ih"N���...II/Ia:�� ll ink In��� Visa... Il�e..�na� ..in ill minneirr,n ire loir seintiin93..u. ,. (IU ii Muir 5) l� Cuiiriireiin--t II in int ii w fi irn ii-fii irn t aimouint of our buddling i hive r 11, it iis oveir ,3., o years oII „ g u iire i YEAR BULT 0 � A, Mill 5�� 0 V� a 30 @� 0 �uN 10 IIi � � m u� �1 1 m lu 1 a Ili t� �, w IIII� , ii�� � m 1 i I AI�. .m hil � � hl +1 I �_n »>�� �i�o i� »1v�ii�U�lds� �Id� 1,900 9 m 0 94 0 1,960 1,980 2 00 0 2020 u inir ii t III iin ii „t iii Over % ofthat iiinv inn it !is boat !!in the upper, III fiin s in o ir,tIh of.1r,Ih e V i II II a g e of II s II a imoir „ (Ilf°°°iii g u iir ) . Location ancl total o m ---------------- ---------------- ---------------- A D �� a��m uuuiu Wmo ---------------- r .. �AIIIII IIp� IIIII U, IIIII'. PII��IV A IIIIN� A N II III���IIIICII� Nry�IIIUIIiIIK,' O� /I / J j(j pp l pp r IIIII 1 f luliil u U 11»bi ilii IIIII ((( io�u���i tissti�ti� i1» 1 i� i 55 1 I l I � t, 1 , L _ C I ntary j14u1' Jf the 87 siltes oinllY ; / aireyre. I s iin h yl IIl (F9 u iire 31 Stories NOR h --�-C- V Cuinireint III irm in ii inn aJ.o riit oftlhese structures are Iless tIh in 1 o,000 square „eet fi in Range of SqUue Footage mk�l� loio� a ItlB �r U+ninn �! °� �m� V tl II u, �W� «m uui mm� 50,0W N.I�..,m.,.��f N F N IN. �m 60 m N IIIIIIIIIIIIIIIIIIIIIIIII IIIII III IIII m Cuinireint lihinveintoiry irn aJ.o riit oftlhese structures are Iless tIh in 1 o,000 square „eet fi in Range of SqUar-e Footage LESS"PHAN 130,CUO S � 69 1112 I wpmSS 1 1 AN 20,OCK) SF 3 114 ESS I HAN "L0,000SF lll��l 1�1� II�I1P Illl II�I� ��I�II�II�II�II�11�11�11�11�11�11�11�11�11� �71 6 grocery store 50k sq. ft. u mire int lihinveintairymow' Coindoimiliniuims re 1p it in t % of the ii inv irit it ii th wairelhouse, Stores of oine story, Multi fa im ii Ily (II e s s t In a in :.i o U in iites), IHotell/lMotell, a ire d 11%Ix d Use IR ii d ire-bl a ll Comimeirciall it l it it -bl in 31,,%„ �Ilfiiig u iire r� 6uJding TyPe �� ONV'NM �d�lt, y,INlYlll @I! 1N aim& U uuuiw WNmD BUH&ng "Type WAREHOUSE uiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuiuioiuiuiuiuiuiuiuiuiuiu 69 VAC N"I C O UPI CAI E R U!A L 2 I, R1 L HIE s TO U R V`,P..P.AA FF RAAC.'P.�ON �. SLIP'IF:A'PMAAAPKEl', uu 3 S A OR P"), ON A:AIw-1(,,) 'A S..U„ ..U,.E PPUII LID IING �PARK) Ul[ STATE BUPIIL.IDUD46 � nino p SHOPNN(i CEN P ER 23 SP'::R\AUa~E °~,P A LUA:N4 1 ALASE RCV-f A,ENTEIhP UUUlllll REPXIR SHOP ulllllllllllllllllUllllllllllU 20 RACE TRACKS, AUTO, IDOG, 0 UOIRSF P UI IB I II A,'")C,0 p 001 111111 16 9:nP"OP P Ari&IA::NAL. ";:AUAACIICES ICBAUIIC...UNG :MCA P R NAA.. E @—U O`:A P''I J A IL :P .t R� �A L01..S y AI O NI__ HOME PARKS U 5 PAG:XPJG PLANT, S�EA A=AO[) F.P.0 12 U..0 F F UU.I[~: BUILDING, O N L:f �,.U.U::U RY ININININININININININININI2. UUU'UX BU,UIIL.pY1IlN6, MW EV S11 U:RY UI6 °U P IIU::H I C I.U..UU:U OR LOUNGE OR BAR 2 PSI UU L.E.II E A M 0 u Y �L U U U,.0 EU II L Y O a YU R R:�) 15 E,IIL.-pIf IC A MIIIL.Y (<.1,0 L)IINIL.L.S) NINIOIOIOINIIININININININININININININININININININIO@INIOIOIC �� MUUUE UUAUEIIE OR U_UMIEU RY MIIIYIE U:U USE &~b1E4'v11DEN"I UAL. 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CHURCH NININININININININIIN 2 C) YIIJI UGU S I ES/REPAIR, MAMINE EQUIP mNININ 7 II R N—)UU T, MARINA 1111111111 19 n 870 tots I 23 a, IIIIIIIIIIIIUIII �� ��"�� Built Over 4 prior to stories 2000 �j 870 tOtt3 I jok A 1111110 A'A"Or 3 stone Built or prior to higher z000 ■ � �� � ;"(p � ^: a r�" � e� �i rti,; a P I f H �'/� ,'i,,, .•y� �yr " �1m Y �YYf!O�� �.'y � ,�fu�l n ��� I i8 ill � ,� �M,.. 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RUMP'I aCAY G• ,6O y' i i �,, /'/ �' jai �i��;„ y� ,, u ✓ �i'„ r,, rM C�„ Pll PIN AYCONDC1N11NIlJM r i i ii i 'o rid / ! r. t"Clean Reef-.fey ha rho r„ v rr 10 y r r rrr n � ARBOUR WC)USE CONDdN1ANIUM AT OCEAN,'REEF"PIRASE'lll „ w a-E3 tJRwH J3E C NDOMINIUM+ATCiCF.AN R [FOP SEJM tlARBOUEd W�kUSE,CCDNDd,M N,,;,;Al L7CEAN REEF'f HASE",I C®NDdMINIUM AI.00EAN REEF,PHNSE.tlI IY r „ r r yap. `ad o4I; � 1116u1 I ryV�'I61 d �I tp P';, riid�, / r' �'o I mi Ilupllllllllllllllllllllluuuuul illi IIIIIIII u 11 uuuuuuugl1°°uuuum u'I � ;, al uull uuuuuummuuuumlutlllllllllllll IIIIIII ' !61llll�r v�u I II v IIiIilllllll lliuluu° , I upllu 1 I� II r utld Im III. � 1 w I. �I I li Y���VVVVVVVVVVVVVVVVVVVV C;TUARY AT OCEAN REEF CONDOMINIUM �! yuuuuuu � �Vmhu ^IIIIIIIIIIIIIIIII vlp`✓ III,,,,III IIIIIIIIIIIIIII „�,r @ t �ab % , ' AKN O AUFIRY v TOCEAN REEF CONDOMINIU M , v y I� SdCJC7LD�ARY"ATOCEANREEFCONDOMINIUM m it II IIW 4 Options 011P.-Itiolin .1... ............ cm rt'linue w'l--tlh ck..j rare in't provisions outIlined lilin IMCC, FIhllS cairi The sulpIpIleirneiri-ted -to add rT'ia ire da­toiry sta,tultm y iteqiuil ire r nein,ts of s 30 yeair Nun h 11 011R. "Iti011n ........ Co 2. .... n-tilire ue wi-th cu nrei n-t pr ovision s u-t oh in ed li n I MCC. IFIs cairn The sulpIpIleirnein'ted "to add imainda-toiry sta"tutoiry itequire iron ein-ts of 2,5 years di je "to o�jir promirnirty "to sall"t wa"teir 01113"Iti011n 3 ............Adolp"t a piroactilve appiroach 111111(e wlha--t o.-their municillpalli-bles aire dolling wlhllclh are Il yoind the s"ta"tutory t u ii r iron ein,ts.., 01113"Iti011n 4 .................IFa Ike a 11 llyllbirid aI[-.)IpiroacI[i to exils-bling invein-toiry lFlhe Moirwoe Couin-ty 113011ding Delpairtirnein-t Is seellding direc-bloin -f it it t Ih e IB o a it of C o uin-ty Coinn inn ilssi'loirieirs itega irk ling a ire i iris pectiloin pire girainn to evalk ja--te the safe,ty ,fir ceirtallin s-tiructuires WhIlIle the Cousin-ty Ihas in exis--ding uinsafe process, t1hils process delpeinds oii i coii iceirins irelpoirted -firoirn iresildein-ts in olbserveirs to de-teirirr iline w1hein t ii ire il"bila"te ain iiinves"It'llga"t'lloin l ire'to po"tein-balIlly u iris afe Ifs uilldi ire gs, s-tiruc tug ires, equilpimein-t or seirvice sys"teiry"is.., Mai ire-teinaince of the s-tiructuirall itin-tegii-irty of s"tructuires !is of ciri-tilcall i inn 1p o it taince to Iheall-th aired safe-ty 01IRtiOlIll 4 A process :air The adopted to coiris�ldeir All avadlable olp-bloins aind ciraft a pire girairn u ii�fl q u e "to IM o in it C o u in-ty 11 hils process cain talke iin-to coinsideira-boin age, Ih6glh-t, in use of the s-tiructuires OWNERSHIPTYPE Not to limit to ley only ° rr Condominiums and Coops per F.S. HEIGHT • 3 stories ortallerto ° rr coincide with F. S. SQUARE FOOTAGE Not mentioned in F. S. Building Official has a recommendation Of 3,000 Square feet YEAR 30 min h oweve r z5 recommended (due to proximity of salt water) to coincide an option available in 2540/ F. S. TYPE OF INSPECTION Not to limit to only load bearing elements and primary structural members per F.S. Building Department Monroe County Thank you for your time. Reynaldo Ortiz Assistant Building Official