CODING: Words stricken are deletions; words underlined are additions.



                                                  SENATE AMENDMENT

    Bill No. CS for CS for SB 694

    Amendment No. ___   Barcode 260806

                            CHAMBER ACTION
              Senate                               House
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11  Senator Campbell moved the following amendment:

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13         Senate Amendment (with title amendment) 

14         On page 17, between lines 15 and 16,

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16  insert:

17         Section 13.  Section 718.701, Florida Statutes, is

18  created to read:

19         718.701  Definitions.--As used in ss. 718.701-718.704,

20  the term:

21         (1)  "Affected owner" means a condominium unit owner or

22  homeowner that has use rights in the common property or

23  facilities administered by the master association.

24         (2)  "Master association" means any entity not covered

25  under the definition of "association" in s. 718.103(2) which

26  has been given control or decision-making authority over real

27  property or facilities serving one or more condominiums under

28  its governing documents, and which receives moneys funded by

29  mandatory dues or assessments paid by affected owners, whether

30  or not the master association has a governing body that

31  includes representatives of the condominium association. The

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                                                  SENATE AMENDMENT

    Bill No. CS for CS for SB 694

    Amendment No. ___   Barcode 260806





  1  term does not include an entity that is granted management or

  2  maintenance responsibility under a service contract with a

  3  single association. The term also does not include any entity

  4  that has been granted or assigned decision-making authority

  5  over real property or facilities that include, in whole or in

  6  part, a timeshare plan as defined in s. 721.03, or any entity

  7  governed under chapter 720, until control of the association

  8  has been relinquished by the developer.

  9         (3)  "Master association documents" means any

10  declaration of covenants and restrictions or other

11  organizational document that governs the property administered

12  by the master association and includes the bylaws and the

13  articles of incorporation of the master association.

14         (4)  "Member" means a member of the master association

15  as designated by the master association documents.

16         (5)  "Revenues" means all regular or special

17  assessments for reserves, operating or other expenses, and all

18  other sources of revenue, including interest, user fees,

19  developer subsidies, litigation proceeds, and insurance

20  proceeds.

21         Section 14.  Section 718.702, Florida Statutes, is

22  created to read:

23         718.702  Master association meetings; records.--

24         (1)  Meetings of a master association board at which a

25  quorum of board members are present are open to the members of

26  the master association and affected owners. Meetings between

27  the board or a committee and the master association attorney

28  with respect to proposed or pending litigation, or board or

29  committee meetings pertaining to legal advice, are not open to

30  the membership of the master association, and notice to the

31  membership is not required.

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                                                  SENATE AMENDMENT

    Bill No. CS for CS for SB 694

    Amendment No. ___   Barcode 260806





  1         (a)  Adequate meeting notice in the manner provided in

  2  s. 718.112(2)(c) shall be given to affected owners, and the

  3  affected owners are entitled to the rights provided in s.

  4  718.112(2)(c).

  5         (b)  The right to attend such meetings includes the

  6  right to speak with reference to all designated agenda items.

  7  The master association may adopt written reasonable rules

  8  governing the frequency, duration, and manner of unit owner

  9  statements.

10         (2)  Subsection 718.111(12) applies to master

11  associations, except that references to unit owners contained

12  in that subsection apply to members and affected owners, and

13  references to condominium documents therein refer to the

14  master association documents.

15         Section 15.  Section 718.703, Florida Statutes, is

16  created to read:

17         718.703  Powers of Division of Florida Land Sales,

18  Condominiums, and Mobile Homes over master associations.--On

19  demand by the division, any condominium association must

20  notify the division of any master association with which it is

21  associated which is pertinent to any inquiry or investigation

22  regarding the rights of individual unit owners, and must

23  provide copies of documents that establish and govern the

24  relationship between the association and the master

25  association.

26         Section 16.  Section 718.704, Florida Statutes, is

27  created to read:

28         718.704  Financial reporting.--

29         (1)  If total annual revenue of a master association is

30  $100,000 or less, the association shall obtain from the master

31  association for inclusion in the association's records a

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                                                  SENATE AMENDMENT

    Bill No. CS for CS for SB 694

    Amendment No. ___   Barcode 260806





  1  complete cash basis financial report of actual receipts and

  2  expenditures for the prior fiscal year.

  3         (2)  If total annual revenue of a master association

  4  exceeds $100,000, the association shall prepare a complete set

  5  of financial statements in accordance with generally accepted

  6  accounting principles as follows:

  7         (a)  If total annual revenue of the master association

  8  exceeds $100,000 but is less than $200,000, the association

  9  shall obtain from the master association for inclusion in the

10  association's records compiled financial statements.

11         (b)  If total annual revenue of the master association

12  exceeds $200,000 but is less than $400,000, the association

13  shall obtain from the master association for inclusion in the

14  association's records reviewed financial statements.

15         (c)  If total annual revenue of the master association

16  exceeds $400,000, the association shall obtain from the master

17  association for inclusion in the association's records audited

18  financial statements.

19         (3)  Master associations may exceed these reporting

20  requirements.

21         (4)  The association shall obtain the financial reports

22  or statements within 90 days following the end of the fiscal

23  year to which the reports or statements relate. The

24  condominium association shall make the reports or statements

25  available to condominium unit owners in the manner and form

26  required under its governing documents, but no later than 14

27  days after receipt.

28         (5)  This section does not limit public records or

29  disclosure requirements that are required of a master

30  association or association under their governing documents or

31  under any other provision of law; however, the financial

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                                                  SENATE AMENDMENT

    Bill No. CS for CS for SB 694

    Amendment No. ___   Barcode 260806





  1  reporting requirements of this section satisfy the financial

  2  reporting requirements of s. 720.303(7).

  3

  4  (Redesignate subsequent sections.)

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  6

  7  ================ T I T L E   A M E N D M E N T ===============

  8  And the title is amended as follows:

  9         On page 2, line 4, after the semicolon

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11  insert:

12         creating s. 718.701, F.S.; providing

13         definitions; creating s. 718.702, F.S.;

14         providing for master association meetings;

15         requiring certain notices; establishing meeting

16         rules; creating s. 718.703, F.S.; providing

17         powers of the Division of Florida Land Sales,

18         Condominiums, and Mobile Homes over master

19         associations; creating s. 718.704, F.S.;

20         requiring master associations to provide

21         certain financial records or statements;

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