Senate Bill sb1392e1

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    CS for SB 1392                           First Engrossed (ntc)



  1                      A bill to be entitled

  2         An act relating to community development

  3         districts; amending s. 190.012, F.S.; providing

  4         for the enforcement of deed restrictions in

  5         certain circumstances; amending s. 190.046,

  6         F.S.; providing for additional dissolution

  7         procedures; amending s. 190.006, F.S.;

  8         specifying procedures for selecting a chair at

  9         the initial landowners' meeting; specifying

10         requirements for proxy voting; requiring notice

11         of landowners' elections; specifying the terms

12         of certain supervisors; providing for

13         nonpartisan elections; specifying the time that

14         resident supervisors assume office; authorizing

15         the supervisor of elections to designate seat

16         numbers for resident supervisors of the board;

17         providing procedures for filing qualifying

18         papers; allowing candidates the option of

19         paying a filing fee to qualify for the

20         election; specifying payment requirements;

21         specifying the number of petition signatures

22         required to qualify for the election; requiring

23         the county canvassing board to certify the

24         results of resident elections; providing an

25         effective date.

26  

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

28  

29         Section 1.  Subsection (4) is added to section 190.012,

30  Florida Statutes, to read:

31  


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    CS for SB 1392                           First Engrossed (ntc)



 1         190.012  Special powers; public improvements and

 2  community facilities.--The district shall have, and the board

 3  may exercise, subject to the regulatory jurisdiction and

 4  permitting authority of all applicable governmental bodies,

 5  agencies, and special districts having authority with respect

 6  to any area included therein, any or all of the following

 7  special powers relating to public improvements and community

 8  facilities authorized by this act:

 9         (4)(a)  To adopt rules necessary for the district to

10  enforce certain deed restrictions pertaining to the use and

11  operation of real property within the district. For the

12  purpose of this subsection, "deed restrictions" are those

13  covenants, conditions, and restrictions contained in any

14  applicable declarations of covenants and restrictions that

15  govern the use and operation of real property within the

16  district and, for which covenants, conditions, and

17  restrictions, there is no homeowners' association or property

18  owner's association having respective enforcement powers. The

19  district may adopt by rule all or certain portions of the deed

20  restrictions that:

21         1.  Relate to limitations or prohibitions that apply

22  only to external structures and are deemed by the district to

23  be generally beneficial for the district's landowners and for

24  which enforcement by the district is appropriate, as

25  determined by the district's board of supervisors; or

26         2.  Are consistent with the requirements of a

27  development order or regulatory agency permit.

28         (b)  The board may vote to adopt such rules only when

29  all of the following conditions exist:

30         1.  The district's geographic area contains no

31  homeowners' associations as defined in s. 720.301(7);


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    CS for SB 1392                           First Engrossed (ntc)



 1         2.  The district was in existence on the effective date

 2  of this subsection, or is located within a development that

 3  consists of multiple developments of regional impact and a

 4  Florida Quality Development;

 5         3.  The majority of the board has been elected by

 6  qualified electors pursuant to the provisions of s. 190.006;

 7  and

 8         4.  The declarant in any applicable declarations of

 9  covenants and restrictions has provided the board with a

10  written agreement that such rules may be adopted. A memorandum

11  of the agreement shall be recorded in the public records.

12         (c)  Within 60 days after such rules taking effect, the

13  district shall record a notice of rule adoption stating

14  generally what rules were adopted and where a copy of the

15  rules may be obtained. Districts may impose fines for

16  violations of such rules and enforce such rules and fines in

17  circuit court through injunctive relief.

18         Section 2.  Section 190.046, Florida Statutes, is

19  amended to read:

20         190.046  Termination, contraction, or expansion of

21  district.--

22         (1)  The board may petition to contract or expand the

23  boundaries of a community development district in the

24  following manner:

25         (a)  The petition shall contain the same information

26  required by s. 190.005(1)(a)1. and 8.  In addition, if the

27  petitioner seeks to expand the district, the petition shall

28  describe the proposed timetable for construction of any

29  district services to the area, the estimated cost of

30  constructing the proposed services, and the designation of the

31  future general distribution, location, and extent of public


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    CS for SB 1392                           First Engrossed (ntc)



 1  and private uses of land proposed for the area by the future

 2  land use plan element of the adopted local government local

 3  comprehensive plan.  If the petitioner seeks to contract the

 4  district, the petition shall describe what services and

 5  facilities are currently provided by the district to the area

 6  being removed, and the designation of the future general

 7  distribution, location, and extent of public and private uses

 8  of land proposed for the area by the future land element of

 9  the adopted local government comprehensive plan.

10         (b)  For those districts initially established by

11  county ordinance, the petition for ordinance amendment shall

12  be filed with the county commission.  If the land to be

13  included or excluded is, in whole or in part, within the

14  boundaries of a municipality, then the county commission shall

15  not amend the ordinance without municipal approval.  A public

16  hearing shall be held in the same manner and with the same

17  public notice as other ordinance amendments.  The county

18  commission shall consider the record of the public hearing and

19  the factors set forth in s. 190.005(1)(e) in making its

20  determination to grant or deny the petition for ordinance

21  amendment.

22         (c)  For those districts initially established by

23  municipal ordinance pursuant to s. 190.005(2)(e), the

24  municipality shall assume the duties of the county commission

25  set forth in paragraph (b); however, if any of the land to be

26  included or excluded, in whole or in part, is outside the

27  boundaries of the municipality, then the municipality shall

28  not amend its ordinance without county commission approval.

29         (d)1.  For those districts initially established by

30  administrative rule pursuant to s. 190.005(1), the petition

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    CS for SB 1392                           First Engrossed (ntc)



 1  shall be filed with the Florida Land and Water Adjudicatory

 2  Commission.

 3         2.  Prior to filing the petition, the petitioner shall

 4  pay a filing fee of $1,500 to the county and to each

 5  municipality the boundaries of which are contiguous with or

 6  contain all or a portion of the land within the district or

 7  the proposed amendment, and submit a copy of the petition to

 8  the county and to each such municipality.  In addition, if the

 9  district is not the petitioner, the petitioner shall file the

10  petition with the district board of supervisors.

11         3.  The county and each municipality shall have the

12  option of holding a public hearing as provided by s.

13  190.005(1)(c). However, such public hearing shall be limited

14  to consideration of the contents of the petition and whether

15  the petition for amendment should be supported by the county

16  or municipality.

17         4.  The district board of supervisors shall, in lieu of

18  a hearing officer, hold the local public hearing provided for

19  by s. 190.005(1)(d).  This local public hearing shall be

20  noticed in the same manner as provided in s. 190.005(1)(d).

21  Within 45 days of the conclusion of the hearing, the district

22  board of supervisors shall transmit to the Florida Land and

23  Water Adjudicatory Commission the full record of the local

24  hearing, the transcript of the hearing, any resolutions

25  adopted by the local general-purpose governments, and its

26  recommendation whether to grant the petition for amendment.

27  The commission shall then proceed in accordance with s.

28  190.005(1)(e).

29         5.  A rule amending a district boundary shall describe

30  the land to be added or deleted.

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    CS for SB 1392                           First Engrossed (ntc)



 1         (e)  In all cases, written consent of all the

 2  landowners whose land is to be added to or deleted from the

 3  district shall be required. The filing of the petition for

 4  expansion or contraction by the district board of supervisors

 5  shall constitute consent of the landowners within the district

 6  other than of landowners whose land is proposed to be added to

 7  or removed from the district.

 8         (f)1.  During the existence of a district initially

 9  established by administrative rule, petitions to amend the

10  boundaries of the district pursuant to paragraphs (a)-(e)

11  shall be limited to a cumulative total of no more than 10

12  percent of the land in the initial district, and in no event

13  shall all such petitions to amend the boundaries ever

14  encompass more than a total of 250 acres.

15         2.  For districts initially established by county or

16  municipal ordinance, the limitation provided by this paragraph

17  shall be a cumulative total of no more than 50 percent of the

18  land in the initial district, and in no event shall all such

19  petitions to amend the boundaries ever encompass more than a

20  total of 500 acres.

21         3.  Boundary expansions for districts initially

22  established by county or municipal ordinance shall follow the

23  procedure set forth in paragraph (b) or paragraph (c).

24         (g)  Petitions to amend the boundaries of the district

25  which exceed the amount of land specified in paragraph (f)

26  shall be considered petitions to establish a new district and

27  shall follow all of the procedures specified in s. 190.005.

28         (2)  The district shall remain in existence unless:

29         (a)  The district is merged with another district as

30  provided in subsection (3);

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    CS for SB 1392                           First Engrossed (ntc)



 1         (b)  All of the specific community development systems,

 2  facilities, and services that it is authorized to perform have

 3  been transferred to a general-purpose unit of local government

 4  in the manner provided in subsections (4), (5), and (6); or

 5         (c)  The district is dissolved as provided in

 6  subsection (7), or subsection (8), or subsection (9).

 7         (3)  The district may merge with other community

 8  development districts upon filing a petition for establishment

 9  of a community development district pursuant to s. 190.005 or

10  may merge with any other special districts upon filing a

11  petition for establishment of a community development district

12  pursuant to s. 190.005.  The government formed by a merger

13  involving a community development district pursuant to this

14  section shall assume all indebtedness of, and receive title

15  to, all property owned by the preexisting special districts.

16  Prior to filing said petition, the districts desiring to merge

17  shall enter into a merger agreement and shall provide for the

18  proper allocation of the indebtedness so assumed and the

19  manner in which said debt shall be retired. The approval of

20  the merger agreement by the board of supervisors elected by

21  the electors of the district shall constitute consent of the

22  landowners within the district.

23         (4)  The local general-purpose government within the

24  geographical boundaries of which the district lies may adopt a

25  nonemergency ordinance providing for a plan for the transfer

26  of a specific community development service from a district to

27  the local general-purpose government.  The plan must provide

28  for the assumption and guarantee of the district debt that is

29  related to the service by the local general-purpose government

30  and must demonstrate the ability of the local general-purpose

31  government to provide such service:


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    CS for SB 1392                           First Engrossed (ntc)



 1         (a)  As efficiently as the district.

 2         (b)  At a level of quality equal to or higher than the

 3  level of quality actually delivered by the district to the

 4  users of the service.

 5         (c)  At a charge equal to or lower than the actual

 6  charge by the district to the users of the service.

 7         (5)  No later than 30 days following the adoption of a

 8  transfer plan ordinance, the board of supervisors may file, in

 9  the circuit court for the county in which the local

10  general-purpose government that adopted the ordinance is

11  located, a petition seeking review by certiorari of the

12  factual and legal basis for the adoption of the transfer plan

13  ordinance.

14         (6)  Upon the transfer of all of the community

15  development services of the district to a general-purpose unit

16  of local government, the district shall be terminated in

17  accordance with a plan of termination which shall be adopted

18  by the board of supervisors and filed with the clerk of the

19  circuit court.

20         (7)  If, within 5 years after the effective date of the

21  rule or ordinance establishing creating the district, a

22  landowner has not received a development permit, as defined in

23  chapter 380, on some part or all of the area covered by the

24  district, then the district will be automatically dissolved

25  and a judge of the circuit court shall cause a statement to

26  that effect to be filed in the public records.

27         (8)  In the event the district has become inactive

28  pursuant to s. 189.4044, the respective board of county

29  commissioners or city commission shall be informed and it

30  shall take appropriate action.

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    CS for SB 1392                           First Engrossed (ntc)



 1         (9)  If a district has no outstanding financial

 2  obligations and no operating or maintenance responsibilities,

 3  upon the petition of the district, the district may be

 4  dissolved by a nonemergency ordinance of the general-purpose

 5  local governmental entity that established the district or, if

 6  the district was established by rule of the Florida Land and

 7  Water Adjudicatory Commission, the district may be dissolved

 8  by repeal of such rule of the commission.

 9         Section 3.  Section 190.006, Florida Statutes, is

10  amended to read:

11         190.006  Board of supervisors; members and meetings.--

12         (1)  The board of the district shall exercise the

13  powers granted to the district pursuant to this act. The board

14  shall consist of five members; except as otherwise provided

15  herein, each member shall hold office for a term of 2 years or

16  4 years, as provided in this section, and until a successor is

17  chosen and qualifies.  The members of the board must be

18  residents of the state and citizens of the United States.

19         (2)(a)  Within 90 days following the effective date of

20  the rule or ordinance establishing the district, there shall

21  be held a meeting of the landowners of the district for the

22  purpose of electing five supervisors for the district.  Notice

23  of the landowners' meeting shall be published once a week for

24  2 consecutive weeks in a newspaper which is in general

25  circulation in the area of the district, the last day of such

26  publication to be not fewer than 14 days or more than 28 days

27  before the date of the election.  The landowners, when

28  assembled at such meeting, shall organize by electing a chair

29  who shall conduct the meeting. The chair may be any person

30  present at the meeting. If the chair is a landowner or proxy

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    CS for SB 1392                           First Engrossed (ntc)



 1  holder of a landowner, he or she may nominate candidates and

 2  make and second motions.

 3         (b)  At such meeting, each landowner shall be entitled

 4  to cast one vote per acre of land owned by him or her and

 5  located within the district for each person to be elected.  A

 6  landowner may vote in person or by proxy in writing. Each

 7  proxy must be signed by one of the legal owners of the

 8  property for which the vote is cast and must contain the typed

 9  or printed name of the individual who signed the proxy; the

10  street address, legal description of the property, or tax

11  parcel identification number; and the number of authorized

12  votes. If the proxy authorizes more than one vote, each

13  property must be listed and the number of acres of each

14  property must be included. The signature on a proxy need not

15  be notarized. A fraction of an acre shall be treated as 1

16  acre, entitling the landowner to one vote with respect

17  thereto.  The two candidates receiving the highest number of

18  votes shall be elected for a period of 4 years, and the three

19  candidates receiving the next largest number of votes shall be

20  elected for a period of 2 years, with the term of office for

21  each successful candidate commencing upon election. The

22  members of the first board elected by landowners shall serve

23  their respective 4-year or 2-year terms; however, the next

24  election by landowners shall be held on the first Tuesday in

25  November. Thereafter, there shall be an election of

26  supervisors for the district every 2 years in November on a

27  date established by the board and noticed pursuant to

28  paragraph (a). The second and subsequent landowners' election

29  shall be announced at a public meeting of the board at least

30  90 days prior to the date of the landowners' meeting and shall

31  also be noticed pursuant to paragraph (a). Instructions on how


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    CS for SB 1392                           First Engrossed (ntc)



 1  all landowners may participate in the election, along with

 2  sample proxies, shall be provided during the board meeting

 3  that announces the landowners' meeting. The two candidates

 4  receiving the highest number of votes shall be elected to

 5  serve for a 4-year period, and the remaining candidate elected

 6  shall serve for a 2-year period.

 7         (3)(a)1.  If the board proposes to exercise the ad

 8  valorem taxing power authorized by s. 190.021, the district

 9  board shall call an election at which the members of the board

10  of supervisors will be elected.  Such election shall be held

11  in conjunction with a primary or general election unless the

12  district bears the cost of a special election.  Each member

13  shall be elected by the qualified electors of the district for

14  a term of 4 years, except that, at the first such election,

15  three members shall be elected for a period of 4 years and two

16  members shall be elected for a period of 2 years.  All elected

17  board members must be qualified electors of the district.

18         2.a.  Regardless of whether a district has proposed to

19  levy ad valorem taxes, commencing 6 years after the initial

20  appointment of members or, for a district exceeding 5,000

21  acres in area, 10 years after the initial appointment of

22  members, the position of each member whose term has expired

23  shall be filled by a qualified elector of the district,

24  elected by the qualified electors of the district.  However,

25  for those districts established after June 21, 1991, and for

26  those existing districts established after December 31, 1983,

27  which have less than 50 qualified electors on June 21, 1991,

28  sub-subparagraphs b. and d. c. shall apply.

29         b.  For those districts to which this sub-subparagraph

30  applies If, in the 6th year after the initial appointment of

31  members, or 10 years after such initial appointment for


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    CS for SB 1392                           First Engrossed (ntc)



 1  districts exceeding 5,000 acres in area, there are not at

 2  least 250 qualified electors in the district, or for a

 3  district exceeding 5,000 acres, there are not at least 500

 4  qualified electors, members of the board shall continue to be

 5  elected by landowners.

 6         b.  After the 6th or 10th year, once a district reaches

 7  250 or 500 qualified electors, respectively, then the

 8  positions position of two board members whose terms are

 9  expiring shall be filled by qualified electors of the

10  district, elected by the qualified electors of the district

11  for 4-year terms.  One of these board members shall serve a

12  2-year term, and the other a 4-year term.  The remaining board

13  member whose term is expiring shall be elected for a 4-year

14  term by the landowners and is not required to be a qualified

15  elector. Thereafter, as terms expire, board members shall be

16  qualified electors elected by qualified electors of the

17  district for a term of 4 years.

18         c.  Once a district qualifies to have any of its board

19  members elected by the qualified electors of the district, the

20  initial and all subsequent elections by the qualified electors

21  of the district shall be held at the general election in

22  November. The board shall adopt a resolution if necessary to

23  implement this requirement when the board determines the

24  number of qualified electors as required by sub-subparagraph

25  d., to extend or reduce the terms of current board members.

26         d.c.  On or before June 1 July 15 of each year, the

27  board shall determine the number of qualified electors in the

28  district as of the immediately preceding April 15 June 1.  The

29  board shall use and rely upon the official records maintained

30  by the supervisor of elections and property appraiser or tax

31  collector in each county in making this determination.  Such


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    CS for SB 1392                           First Engrossed (ntc)



 1  determination shall be made at a properly noticed meeting of

 2  the board and shall become a part of the official minutes of

 3  the district.

 4         (b)  Elections of board members by qualified electors

 5  held pursuant to this subsection shall be nonpartisan and

 6  shall be conducted in the manner prescribed by law for holding

 7  general elections. Board members shall assume the office on

 8  the second Tuesday following their election.

 9         (c)  Candidates seeking election to office by qualified

10  electors under this subsection shall conduct their campaigns

11  in accordance with the provisions of chapter 106 and shall

12  file qualifying papers and qualify for individual seats in

13  accordance with s. 99.061. Candidates shall pay a qualifying

14  fee, which shall consist of a filing fee and an election

15  assessment or, as an alternative, shall file a petition signed

16  by not less than 1 percent of the registered voters of the

17  district, Candidates shall file petitions, and take the oath

18  required in s. 99.021, with the supervisor of elections in the

19  county affected by such candidacy. The amount of the filing

20  fee is 3 percent of $4,800; however, if the electors have

21  provided for compensation pursuant to subsection (8), the

22  amount of the filing fee is 3 percent of the maximum annual

23  compensation so provided. The amount of the election

24  assessment is 1 percent of $4,800; however, if the electors

25  have provided for compensation pursuant to subsection (8), the

26  amount of the election assessment is 1 percent of the maximum

27  annual compensation so provided. The filing fee and election

28  assessment shall be distributed as provided in s. 105.031(3).

29         (d)  The supervisor of elections shall appoint the

30  inspectors and clerks of elections, prepare and furnish the

31  ballots, designate polling places, and canvass the returns of


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    CS for SB 1392                           First Engrossed (ntc)



 1  the election of board members by qualified electors.  The

 2  county canvassing board of county commissioners shall declare

 3  and certify the results of the election.

 4         (4)  Members of the board shall be known as supervisors

 5  and, upon entering into office, shall take and subscribe to

 6  the oath of office as prescribed by s. 876.05.  They shall

 7  hold office for the terms for which they were elected or

 8  appointed and until their successors are chosen and qualified.

 9  If, during the term of office, a vacancy occurs, the remaining

10  members of the board shall fill the vacancy by an appointment

11  for the remainder of the unexpired term.

12         (5)  A majority of the members of the board constitutes

13  a quorum for the purposes of conducting its business and

14  exercising its powers and for all other purposes.  Action

15  taken by the district shall be upon a vote of a majority of

16  the members present unless general law or a rule of the

17  district requires a greater number.

18         (6)  As soon as practicable after each election or

19  appointment, the board shall organize by electing one of its

20  members as chair and by electing a secretary, who need not be

21  a member of the board, and such other officers as the board

22  may deem necessary.

23         (7)  The board shall keep a permanent record book

24  entitled "Record of Proceedings of ...(name of district)...

25  Community Development District," in which shall be recorded

26  minutes of all meetings, resolutions, proceedings,

27  certificates, bonds given by all employees, and any and all

28  corporate acts.  The record book shall at reasonable times be

29  opened to inspection in the same manner as state, county, and

30  municipal records pursuant to chapter 119.  The record book

31  shall be kept at the office or other regular place of business


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    CS for SB 1392                           First Engrossed (ntc)



 1  maintained by the board in the county or municipality in which

 2  the district is located or within the boundaries of a

 3  development of regional impact or Florida Quality Development,

 4  or combination of a development of regional impact and Florida

 5  Quality Development, which includes the district.

 6         (8)  Each supervisor shall be entitled to receive for

 7  his or her services an amount not to exceed $200 per meeting

 8  of the board of supervisors, not to exceed $4,800 per year per

 9  supervisor, or an amount established by the electors at

10  referendum.  In addition, each supervisor shall receive travel

11  and per diem expenses as set forth in s. 112.061.

12         (9)  All meetings of the board shall be open to the

13  public and governed by the provisions of chapter 286.

14         Section 4.  This act shall take effect upon becoming a

15  law.

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