Senate Bill sb2032c1

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    Florida Senate - 2001                           CS for SB 2032

    By the Committee on Comprehensive Planning, Local and Military
    Affairs; and Senator Clary




    316-1803-01

  1                      A bill to be entitled

  2         An act relating to recreational facilities;

  3         providing conditions for the sale or change in

  4         use of recreational facilities within a

  5         residential subdivision governed by a

  6         homeowners' association; providing exceptions;

  7         providing an effective date.

  8

  9  Be It Enacted by the Legislature of the State of Florida:

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11         Section 1.  Sale of recreational facilities located

12  within a residential subdivision.--The owner of recreational

13  facilities located within a residential subdivision governed

14  by a homeowners' association may not sell, destroy, or change

15  the use of the recreational facilities or other property

16  unless the right to purchase the recreational facilities or

17  other property is first given to the homeowners' association

18  and then to the owners of lots within the subdivision in the

19  manner provided in this section.

20         (1)(a)  If the owner offers the recreational facilities

21  within a residential subdivision for sale or wishes to destroy

22  or change the use of the facilities, she or he must notify the

23  officers of the duly created homeowners' association by

24  certified mail, stating the price, terms, and conditions of

25  the sale, and she or he must notify the owners individually by

26  a notice prominently displayed at the entrance to the

27  property.

28         (b)  The owners, by and through the association or

29  individually if the association declines to act, have the

30  right to purchase the recreational facilities if the

31  homeowners meet the price, terms, and conditions of the owner

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    Florida Senate - 2001                           CS for SB 2032
    316-1803-01




  1  by executing a contract with the owner within 45 days, unless

  2  otherwise agreed to, after the date of receipt of the notice.

  3  If a contract between the owner and the association is not

  4  executed within the 45-day period, the owners individually may

  5  sign a contract within 10 days. Unless the owner thereafter

  6  elects to offers the recreational facilities at a price lower

  7  than the price specified in her or his notice to the officers

  8  of the homeowners' association and in the posted notice, the

  9  owner has no further obligations under this subsection, and

10  her or his only obligation is set forth in subsection (2).

11         (c)  If the owner thereafter elects to offer the

12  recreational facilities at a price lower than the price

13  specified in her or his notice to the homeowners, the

14  homeowners, by and through the association, will have an

15  additional 10 days within which to meet the price, terms, and

16  conditions of the owner by executing a contract. The

17  individual owners have 10 days within which to accept if the

18  association declines to act.

19         (2)  This section does not apply to any of the

20  following circumstances if there is no destruction or change

21  in the use of the recreational facilities involved:

22         (a)  Any sale or transfer to a person who would be

23  included within the table of descent and distribution if the

24  owner were to die intestate.

25         (b)  Any transfer by gift, devise, or operation of law.

26         (c)  Any transfer by a corporation to an affiliate. As

27  used in this paragraph, the term "affiliate" means any

28  shareholder of the transferring corporation; any corporation

29  or entity owned or controlled, directly or indirectly, by the

30  transferring corporation; or any other corporation or entity

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    Florida Senate - 2001                           CS for SB 2032
    316-1803-01




  1  owned or controlled, directly or indirectly, by any

  2  shareholder of the transferring corporation.

  3         (d)  Any transfer by a partnership to any of its

  4  partners.

  5         (e)  Any conveyance of interest incidental to

  6  financing.

  7         (f)  Any conveyance resulting from the foreclosure of a

  8  mortgage, deed of trust, or other instrument encumbering the

  9  facilities or any deed given in lieu of the foreclosure.

10         (g)  Any sale or transfer between or among joint

11  tenants or tenants in common.

12         (h)  The acquisition of the residential subdivision by

13  a governmental entity under its powers of eminent domain.

14         (3)  This section does not apply to any mobile home

15  subdivision governed by chapter 723.

16         Section 2.  This act shall take effect upon becoming a

17  law.

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19          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
20                             SB 2032

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22  The committee substitute provides that the right of first
    refusal to purchase recreational facilities that is granted to
23  a homeowners' association in a residential subdivision where
    such facilities are located, applies when the owner of the
24  recreational facilities intends to change the use of the
    facilities, in addition to when the owner intends to sell or
25  destroy the facilities.

26  Provides that the requirements of the bill do not apply to any
    mobile home subdivision regulated by chapter 723, F.S.
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