Florida Senate - 2009                              CS for SB 880
       
       
       
       By the Committee on Regulated Industries; and Senators Fasano
       and Ring
       
       
       
       580-04105A-09                                          2009880c1
    1                        A bill to be entitled                      
    2         An act relating to community associations; amending s.
    3         718.110, F.S.; providing for the application of
    4         certain amendments to a declaration of condominium to
    5         certain unit owners; amending s. 718.111, F.S.;
    6         providing penalties for any person who knowingly or
    7         intentionally defaces or destroys certain records of
    8         an association with the intent to harm the association
    9         or any of its members; providing that an association
   10         is not responsible for the use or misuse of certain
   11         information obtained pursuant to state law requiring
   12         the maintenance of certain records of an association;
   13         providing an exception; providing that,
   14         notwithstanding the other requirements, certain
   15         records are not accessible to unit owners; requiring
   16         that any rules adopted for the purpose of setting
   17         forth accounting principles or addressing financial
   18         reporting requirements include certain provisions and
   19         standards; amending s. 718.112, F.S.; providing that
   20         the board of administration of an association has no
   21         obligation to take action with regard to certain items
   22         on its agenda; prohibiting coowners from
   23         simultaneously serving as members of the board of
   24         certain associations; providing an exception;
   25         requiring that each newly appointed director provide
   26         certain certifications in writing; authorizing the
   27         filing of an educational certificate as an alternative
   28         to such certification; providing a penalty for failure
   29         to timely file a certification or educational
   30         certificate; requiring that the association retain
   31         such certification or educational certificate for a
   32         specified period; deleting a provision requiring an
   33         association to mail a certification containing certain
   34         provisions to unit owners before an election of board
   35         members; providing that a director or officer
   36         delinquent in the payment of fee, fine, regular
   37         assesment, or special assessments by more than a
   38         specified number of days is deemed to have abandoned
   39         the office; requiring that a director charged by
   40         information or indictment of certain offenses
   41         involving an association’s funds or property be
   42         removed from office; amending s. 718.115, F.S.;
   43         requiring that certain services obtained pursuant to a
   44         bulk contract as provided in the declaration be deemed
   45         a common expense; requiring that such contracts
   46         contain certain provisions; authorizing the
   47         cancellation of certain contracts; amending s.
   48         718.116, F.S.; limiting the amount of certain costs to
   49         the unit owner; providing an exception; authorizing an
   50         association to demand future regular assessments
   51         related to the condominium unit under specified
   52         conditions; amending s. 718.303, F.S.; authorizing an
   53         association to suspend for a reasonable time the right
   54         of a unit owner or the unit’s occupant, licensee, or
   55         invitee to use certain common elements if the
   56         declaration or bylaws so provide; excluding certain
   57         common elements from such authorization; prohibiting a
   58         fine from being levied or a suspension from being
   59         imposed unless the association meets certain notice
   60         requirements; providing circumstances under which such
   61         notice requirements do not apply; providing procedures
   62         and notice requirements for levying a fine or imposing
   63         a suspension; authorizing an association to suspend
   64         voting rights due to nonpayment of assessments, fines,
   65         or other charges delinquent by a specified number of
   66         days under certain circumstances; amending s. 719.108,
   67         F.S.; authorizing an association to recover charges
   68         incurred in connection with collecting a delinquent
   69         assessment up to a specified maximum amount; providing
   70         a prioritized list for disbursement of payments
   71         received by an association; providing for a lien by an
   72         association on a condominium parcel for certain fees
   73         and costs; providing procedures and notice
   74         requirements for the filing of a lien by an
   75         association; authorizing an association to demand
   76         future regular assessments related to a share under
   77         specified conditions; amending s. 720.304, F.S.;
   78         providing that a flagpole and any flagpole display are
   79         subject to certain codes and regulations; amending s.
   80         720.305, F.S.; providing that certain provisions
   81         regarding the suspension-of-use rights of an
   82         association do not apply to certain common areas;
   83         providing procedures and notice requirements for
   84         levying a fine or imposing a suspension; amending s.
   85         720.3085, F.S.; authorizing an association to demand
   86         future regular assessments related to a parcel under
   87         specified conditions; amending s. 720.31, F.S.;
   88         authorizing an association to enter into certain
   89         agreements; requiring that certain items be stated and
   90         fully described in the declaration; limiting an
   91         association’s power to enter into such agreements
   92         after a specified period following the recording of a
   93         declaration; requiring that certain agreements be
   94         approved by a specified percentage of voting interests
   95         of an association when the declaration is silent as to
   96         the authority of an association to enter into such
   97         agreement; authorizing an association to join with
   98         other associations or a master association under
   99         certain circumstances and for specified purposes;
  100         amending s. 721.05, F.S.; limiting the definition of
  101         “facility” to certain permanent amenities; repealing
  102         s. 553.509(2), F.S., relating to public elevators and
  103         emergency operation plans in certain condominiums and
  104         multifamily dwellings; providing an effective date.
  105  
  106  Be It Enacted by the Legislature of the State of Florida:
  107  
  108         Section 1. Subsection (13) of section 718.110, Florida
  109  Statutes, is amended to read:
  110         718.110 Amendment of declaration; correction of error or
  111  omission in declaration by circuit court.—
  112         (13) Any amendment prohibiting restricting unit owners from
  113  renting their units or altering the number of times unit owners
  114  are entitled to rent their units during a specified period
  115  owners’ rights relating to the rental of units applies only to
  116  unit owners who consent to the amendment and unit owners who
  117  acquire title to purchase their units after the effective date
  118  of that amendment.
  119         Section 2. Subsections (12) and (13) of section 718.111,
  120  Florida Statutes, are amended to read:
  121         718.111 The association.—
  122         (12) OFFICIAL RECORDS.—
  123         (a) From the inception of the association, the association
  124  shall maintain each of the following items, when applicable,
  125  which shall constitute the official records of the association:
  126         1. A copy of the plans, permits, warranties, and other
  127  items provided by the developer pursuant to s. 718.301(4).
  128         2. A photocopy of the recorded declaration of condominium
  129  of each condominium operated by the association and of each
  130  amendment to each declaration.
  131         3. A photocopy of the recorded bylaws of the association
  132  and of each amendment to the bylaws.
  133         4. A certified copy of the articles of incorporation of the
  134  association, or other documents creating the association, and of
  135  each amendment thereto.
  136         5. A copy of the current rules of the association.
  137         6. A book or books which contain the minutes of all
  138  meetings of the association, of the board of administration, and
  139  of unit owners, which minutes shall be retained for a period of
  140  not less than 7 years.
  141         7. A current roster of all unit owners and their mailing
  142  addresses, unit identifications, voting certifications, and, if
  143  known, telephone numbers. The association shall also maintain
  144  the electronic mailing addresses and the numbers designated by
  145  unit owners for receiving notice sent by electronic transmission
  146  of those unit owners consenting to receive notice by electronic
  147  transmission. The electronic mailing addresses and numbers
  148  provided by unit owners to receive notice by electronic
  149  transmission shall be removed from association records when
  150  consent to receive notice by electronic transmission is revoked.
  151  However, the association is not liable for an erroneous
  152  disclosure of the electronic mail address or the number for
  153  receiving electronic transmission of notices.
  154         8. All current insurance policies of the association and
  155  condominiums operated by the association.
  156         9. A current copy of any management agreement, lease, or
  157  other contract to which the association is a party or under
  158  which the association or the unit owners have an obligation or
  159  responsibility.
  160         10. Bills of sale or transfer for all property owned by the
  161  association.
  162         11. Accounting records for the association and separate
  163  accounting records for each condominium which the association
  164  operates. All accounting records shall be maintained for a
  165  period of not less than 7 years. Any person who knowingly or
  166  intentionally defaces or destroys accounting records required to
  167  be created and maintained by this chapter during the period for
  168  which such records are required to be maintained pursuant to
  169  this chapter, or who knowingly or intentionally fails to create
  170  or maintain accounting records required to be maintained by this
  171  chapter, with the intent of causing harm to the association or
  172  one or more of its members, is personally subject to a civil
  173  penalty pursuant to s. 718.501(1)(d). The accounting records
  174  shall include, but are not limited to:
  175         a. Accurate, itemized, and detailed records of all receipts
  176  and expenditures.
  177         b. A current account and a monthly, bimonthly, or quarterly
  178  statement of the account for each unit designating the name of
  179  the unit owner, the due date and amount of each assessment, the
  180  amount paid upon the account, and the balance due.
  181         c. All audits, reviews, accounting statements, and
  182  financial reports of the association or condominium.
  183         d. All contracts for work to be performed. Bids for work to
  184  be performed shall also be considered official records and shall
  185  be maintained by the association.
  186         12. Ballots, sign-in sheets, voting proxies, and all other
  187  papers relating to voting by unit owners, which shall be
  188  maintained for a period of 1 year from the date of the election,
  189  vote, or meeting to which the document relates, notwithstanding
  190  paragraph (b).
  191         13. All rental records, when the association is acting as
  192  agent for the rental of condominium units.
  193         14. A copy of the current question and answer sheet as
  194  described by s. 718.504.
  195         15. All other records of the association not specifically
  196  included in the foregoing which are related to the operation of
  197  the association.
  198         16. A copy of the inspection report as provided for in s.
  199  718.301(4)(p).
  200         (b) The official records of the association shall be
  201  maintained within the state for at least 7 years. The records of
  202  the association shall be made available to a unit owner within
  203  45 miles of the condominium property or within the county in
  204  which the condominium property is located within 5 working days
  205  after receipt of written request by the board or its designee.
  206  However, such distance requirement does not apply to an
  207  association governing a timeshare condominium. This paragraph
  208  may be complied with by having a copy of the official records of
  209  the association available for inspection or copying on the
  210  condominium property or association property, or the association
  211  may offer the option of making the records of the association
  212  available to a unit owner either electronically via the Internet
  213  or by allowing the records to be viewed in electronic format on
  214  a computer screen and printed upon request. The association is
  215  not responsible for the use or misuse of the information
  216  provided pursuant to the compliance requirements of this chapter
  217  unless the association has an affirmative duty not to disclose
  218  such information pursuant to this chapter.
  219         (c) The official records of the association are open to
  220  inspection by any association member or the authorized
  221  representative of such member at all reasonable times. The right
  222  to inspect the records includes the right to make or obtain
  223  copies, at the reasonable expense, if any, of the association
  224  member. The association may adopt reasonable rules regarding the
  225  frequency, time, location, notice, and manner of record
  226  inspections and copying. The failure of an association to
  227  provide the records within 10 working days after receipt of a
  228  written request shall create a rebuttable presumption that the
  229  association willfully failed to comply with this paragraph. A
  230  unit owner who is denied access to official records is entitled
  231  to the actual damages or minimum damages for the association’s
  232  willful failure to comply with this paragraph. The minimum
  233  damages shall be $50 per calendar day up to 10 days, the
  234  calculation to begin on the 11th working day after receipt of
  235  the written request. The failure to permit inspection of the
  236  association records as provided herein entitles any person
  237  prevailing in an enforcement action to recover reasonable
  238  attorney’s fees from the person in control of the records who,
  239  directly or indirectly, knowingly denied access to the records
  240  for inspection. Any person who knowingly or intentionally
  241  defaces or destroys accounting records that are required by this
  242  chapter to be created and maintained during the period for which
  243  such records are required to be maintained pursuant to this
  244  chapter, or who knowingly or intentionally fails to create or
  245  maintain accounting records that are required to be maintained
  246  by this chapter, with the intent of causing harm to the
  247  association or one or more of its members, is personally subject
  248  to a civil penalty pursuant to s. 718.501(1)(d). The association
  249  shall maintain an adequate number of copies of the declaration,
  250  articles of incorporation, bylaws, and rules, and all amendments
  251  to each of the foregoing, as well as the question and answer
  252  sheet provided for in s. 718.504 and year-end financial
  253  information required in this section, on the condominium
  254  property to ensure their availability to unit owners and
  255  prospective purchasers, and may charge its actual costs for
  256  preparing and furnishing these documents to those requesting the
  257  documents same. Notwithstanding the provisions of this
  258  paragraph, the following records shall not be accessible to unit
  259  owners:
  260         1. Any record protected by the lawyer-client privilege as
  261  described in s. 90.502; and any record protected by the work
  262  product privilege, including any record prepared by an
  263  association attorney or prepared at the attorney’s express
  264  direction; which reflects a mental impression, conclusion,
  265  litigation strategy, or legal theory of the attorney or the
  266  association, and which was prepared exclusively for civil or
  267  criminal litigation or for adversarial administrative
  268  proceedings, or which was prepared in anticipation of imminent
  269  civil or criminal litigation or imminent adversarial
  270  administrative proceedings until the conclusion of the
  271  litigation or adversarial administrative proceedings.
  272         2. Information obtained by an association in connection
  273  with the approval of the lease, sale, or other transfer of a
  274  unit.
  275         3.Disciplinary, health, insurance, and personnel records
  276  of the association’s employees.
  277         4.3. Medical records of unit owners.
  278         5.4. Social security numbers, driver’s license numbers,
  279  credit card numbers, e-mail addresses, and other personal
  280  identifying information of any person, excluding the person’s
  281  name, unit designation, mailing address, property address, and
  282  other contact information.
  283         6.Any electronic security measure that is used by the
  284  association to safeguard data, including passwords.
  285         7.The data generated by software used by the association
  286  which allows manipulation of data. Such data is part of the
  287  official records of the association, even if the owner owns a
  288  copy of the same software used by the association, but the
  289  underlying software and operating system are not part of the
  290  official records of the association.
  291         (13) FINANCIAL REPORTING.—Within 90 days after the end of
  292  the fiscal year, or annually on a date provided in the bylaws,
  293  the association shall prepare and complete, or contract for the
  294  preparation and completion of, a financial report for the
  295  preceding fiscal year. Within 21 days after the final financial
  296  report is completed by the association or received from the
  297  third party, but not later than 120 days after the end of the
  298  fiscal year or other date as provided in the bylaws, the
  299  association shall mail to each unit owner at the address last
  300  furnished to the association by the unit owner, or hand deliver
  301  to each unit owner, a copy of the financial report or a notice
  302  that a copy of the financial report will be mailed or hand
  303  delivered to the unit owner, without charge, upon receipt of a
  304  written request from the unit owner. The division shall adopt
  305  rules setting forth uniform accounting principles and standards
  306  to be used by all associations and shall adopt rules addressing
  307  financial reporting requirements for multicondominium
  308  associations. The rules shall include, but not be limited to,
  309  standards for presenting a summary of association reserves,
  310  including, but not limited to, a good faith estimate disclosing
  311  the annual amount of reserve funds that would be necessary for
  312  the association to fully fund reserves for each reserve item
  313  based on the straight-line accounting method. This disclosure is
  314  not applicable to reserves funded via the pooling method uniform
  315  accounting principles and standards for stating the disclosure
  316  of at least a summary of the reserves, including information as
  317  to whether such reserves are being funded at a level sufficient
  318  to prevent the need for a special assessment and, if not, the
  319  amount of assessments necessary to bring the reserves up to the
  320  level necessary to avoid a special assessment. The person
  321  preparing the financial reports shall be entitled to rely on an
  322  inspection report prepared for or provided to the association to
  323  meet the fiscal and fiduciary standards of this chapter. In
  324  adopting such rules, the division shall consider the number of
  325  members and annual revenues of an association. Financial reports
  326  shall be prepared as follows:
  327         (a) An association that meets the criteria of this
  328  paragraph shall prepare or cause to be prepared a complete set
  329  of financial statements in accordance with generally accepted
  330  accounting principles. The financial statements shall be based
  331  upon the association’s total annual revenues, as follows:
  332         1. An association with total annual revenues of $100,000 or
  333  more, but less than $200,000, shall prepare compiled financial
  334  statements.
  335         2. An association with total annual revenues of at least
  336  $200,000, but less than $400,000, shall prepare reviewed
  337  financial statements.
  338         3. An association with total annual revenues of $400,000 or
  339  more shall prepare audited financial statements.
  340         (b)1. An association with total annual revenues of less
  341  than $100,000 shall prepare a report of cash receipts and
  342  expenditures.
  343         2. An association that which operates fewer less than 50
  344  units, regardless of the association’s annual revenues, shall
  345  prepare a report of cash receipts and expenditures in lieu of
  346  financial statements required by paragraph (a).
  347         3. A report of cash receipts and disbursements must
  348  disclose the amount of receipts by accounts and receipt
  349  classifications and the amount of expenses by accounts and
  350  expense classifications, including, but not limited to, the
  351  following, as applicable: costs for security, professional and
  352  management fees and expenses, taxes, costs for recreation
  353  facilities, expenses for refuse collection and utility services,
  354  expenses for lawn care, costs for building maintenance and
  355  repair, insurance costs, administration and salary expenses, and
  356  reserves accumulated and expended for capital expenditures,
  357  deferred maintenance, and any other category for which the
  358  association maintains reserves.
  359         (c) An association may prepare or cause to be prepared,
  360  without a meeting of or approval by the unit owners:
  361         1. Compiled, reviewed, or audited financial statements, if
  362  the association is required to prepare a report of cash receipts
  363  and expenditures;
  364         2. Reviewed or audited financial statements, if the
  365  association is required to prepare compiled financial
  366  statements; or
  367         3. Audited financial statements if the association is
  368  required to prepare reviewed financial statements.
  369         (d) If approved by a majority of the voting interests
  370  present at a properly called meeting of the association, an
  371  association may prepare or cause to be prepared:
  372         1. A report of cash receipts and expenditures in lieu of a
  373  compiled, reviewed, or audited financial statement;
  374         2. A report of cash receipts and expenditures or a compiled
  375  financial statement in lieu of a reviewed or audited financial
  376  statement; or
  377         3. A report of cash receipts and expenditures, a compiled
  378  financial statement, or a reviewed financial statement in lieu
  379  of an audited financial statement.
  380  
  381  Such meeting and approval must occur before prior to the end of
  382  the fiscal year and is effective only for the fiscal year in
  383  which the vote is taken, except that the approval also may be
  384  effective for the following fiscal year. With respect to an
  385  association to which the developer has not turned over control
  386  of the association, all unit owners, including the developer,
  387  may vote on issues related to the preparation of financial
  388  reports for the first 2 fiscal years of the association’s
  389  operation, beginning with the fiscal year in which the
  390  declaration is recorded. Thereafter, all unit owners except the
  391  developer may vote on such issues until control is turned over
  392  to the association by the developer. Any audit or review
  393  prepared under this section shall be paid for by the developer
  394  if done prior to turnover of control of the association. An
  395  association may not waive the financial reporting requirements
  396  of this section for more than 3 consecutive years.
  397         Section 3. Paragraphs (c), (d), (n), and (o) of subsection
  398  (2) of section 718.112, Florida Statutes, are amended to read:
  399         718.112 Bylaws.—
  400         (2) REQUIRED PROVISIONS.—The bylaws shall provide for the
  401  following and, if they do not do so, shall be deemed to include
  402  the following:
  403         (c) Board of administration meetings.—Meetings of the board
  404  of administration at which a quorum of the members is present
  405  shall be open to all unit owners. Any unit owner may tape record
  406  or videotape meetings of the board of administration. The right
  407  to attend such meetings includes the right to speak at such
  408  meetings with reference to all designated agenda items. The
  409  division shall adopt reasonable rules governing the tape
  410  recording and videotaping of the meeting. The association may
  411  adopt written reasonable rules governing the frequency,
  412  duration, and manner of unit owner statements. Adequate notice
  413  of all meetings, which notice shall specifically incorporate an
  414  identification of agenda items, shall be posted conspicuously on
  415  the condominium property at least 48 continuous hours preceding
  416  the meeting except in an emergency. If 20 percent of the voting
  417  interests petition the board to address an item of business, the
  418  board shall at its next regular board meeting or at a special
  419  meeting of the board, but not later than 60 days after the
  420  receipt of the petition, place the item on the agenda. However,
  421  the board has no obligation to take any action on the item. Any
  422  item not included on the notice may be taken up on an emergency
  423  basis by at least a majority plus one of the members of the
  424  board. Such emergency action shall be noticed and ratified at
  425  the next regular meeting of the board. However, written notice
  426  of any meeting at which nonemergency special assessments, or at
  427  which amendment to rules regarding unit use, will be considered
  428  shall be mailed, delivered, or electronically transmitted to the
  429  unit owners and posted conspicuously on the condominium property
  430  not less than 14 days prior to the meeting. Evidence of
  431  compliance with this 14-day notice shall be made by an affidavit
  432  executed by the person providing the notice and filed among the
  433  official records of the association. Upon notice to the unit
  434  owners, the board shall by duly adopted rule designate a
  435  specific location on the condominium property or association
  436  property upon which all notices of board meetings shall be
  437  posted. If there is no condominium property or association
  438  property upon which notices can be posted, notices of board
  439  meetings shall be mailed, delivered, or electronically
  440  transmitted at least 14 days before the meeting to the owner of
  441  each unit. In lieu of or in addition to the physical posting of
  442  notice of any meeting of the board of administration on the
  443  condominium property, the association may, by reasonable rule,
  444  adopt a procedure for conspicuously posting and repeatedly
  445  broadcasting the notice and the agenda on a closed-circuit cable
  446  television system serving the condominium association. However,
  447  if broadcast notice is used in lieu of a notice posted
  448  physically on the condominium property, the notice and agenda
  449  must be broadcast at least four times every broadcast hour of
  450  each day that a posted notice is otherwise required under this
  451  section. When broadcast notice is provided, the notice and
  452  agenda must be broadcast in a manner and for a sufficient
  453  continuous length of time so as to allow an average reader to
  454  observe the notice and read and comprehend the entire content of
  455  the notice and the agenda. Notice of any meeting in which
  456  regular or special assessments against unit owners are to be
  457  considered for any reason shall specifically state that
  458  assessments will be considered and the nature, estimated cost,
  459  and description of the purposes for such assessments. Meetings
  460  of a committee to take final action on behalf of the board or
  461  make recommendations to the board regarding the association
  462  budget are subject to the provisions of this paragraph. Meetings
  463  of a committee that does not take final action on behalf of the
  464  board or make recommendations to the board regarding the
  465  association budget are subject to the provisions of this
  466  section, unless those meetings are exempted from this section by
  467  the bylaws of the association. Notwithstanding any other law,
  468  the requirement that board meetings and committee meetings be
  469  open to the unit owners is inapplicable to meetings between the
  470  board or a committee and the association’s attorney, with
  471  respect to proposed or pending litigation, when the meeting is
  472  held for the purpose of seeking or rendering legal advice.
  473         (d) Unit owner meetings.—
  474         1. There shall be an annual meeting of the unit owners held
  475  at the location provided in the association bylaws and, if the
  476  bylaws are silent as to the location, the meeting shall be held
  477  within 45 miles of the condominium property. However, such
  478  distance requirement does not apply to an association governing
  479  a timeshare condominium. Unless the bylaws provide otherwise, a
  480  vacancy on the board caused by the expiration of a director’s
  481  term shall be filled by electing a new board member, and the
  482  election shall be by secret ballot; however, if the number of
  483  vacancies equals or exceeds the number of candidates, no
  484  election is required. Except in timeshare condominiums, the
  485  terms of all members of the board shall expire at the annual
  486  meeting and such board members may stand for reelection unless
  487  otherwise permitted by the bylaws. If In the event that the
  488  bylaws permit staggered terms of no more than 2 years and upon
  489  approval of a majority of the total voting interests, the
  490  association board members may serve 2-year staggered terms. If
  491  no person is interested in or demonstrates an intention to run
  492  for the position of a board member whose term has expired
  493  according to the provisions of this subparagraph, such board
  494  member whose term has expired shall be automatically reappointed
  495  to the board of administration and need not stand for
  496  reelection. In a condominium association of more than 10 units
  497  or in a condominium association that does not include timeshare
  498  units, coowners of a unit may not serve as members of the board
  499  of directors at the same time unless one coowner owns more than
  500  one unit. Any unit owner desiring to be a candidate for board
  501  membership shall comply with subparagraph 3. A person who has
  502  been suspended or removed by the division under this chapter, or
  503  any person who is delinquent in the payment of any fee, fine, or
  504  special or regular assessment by more than 90 days as provided
  505  in paragraph (n), is not eligible for board membership. A person
  506  who has been convicted of any felony in this state or in a
  507  United States District or Territorial Court, or who has been
  508  convicted of any offense in another jurisdiction that would be
  509  considered a felony if committed in this state, is not eligible
  510  for board membership unless such felon’s civil rights have been
  511  restored for a period of no less than 5 years as of the date on
  512  which such person seeks election to the board. The validity of
  513  an action by the board is not affected if it is later determined
  514  that a member of the board is ineligible for board membership
  515  due to having been convicted of a felony.
  516         2. The bylaws shall provide the method of calling meetings
  517  of unit owners, including annual meetings. Written notice, which
  518  notice must include an agenda, shall be mailed, hand delivered,
  519  or electronically transmitted to each unit owner at least 14
  520  days prior to the annual meeting and shall be posted in a
  521  conspicuous place on the condominium property at least 14
  522  continuous days preceding the annual meeting. Upon notice to the
  523  unit owners, the board shall by duly adopted rule designate a
  524  specific location on the condominium property or association
  525  property where upon which all notices of unit owner meetings
  526  shall be posted; however, if there is no condominium property or
  527  association property upon which notices can be posted, this
  528  requirement does not apply. In lieu of or in addition to the
  529  physical posting of notice of any meeting of the unit owners on
  530  the condominium property, the association may, by reasonable
  531  rule, adopt a procedure for conspicuously posting and repeatedly
  532  broadcasting the notice and the agenda on a closed-circuit cable
  533  television system serving the condominium association. However,
  534  if broadcast notice is used in lieu of a notice posted
  535  physically on the condominium property, the notice and agenda
  536  must be broadcast at least four times every broadcast hour of
  537  each day that a posted notice is otherwise required under this
  538  section. When broadcast notice is provided, the notice and
  539  agenda must be broadcast in a manner and for a sufficient
  540  continuous length of time so as to allow an average reader to
  541  observe the notice and read and comprehend the entire content of
  542  the notice and the agenda. Unless a unit owner waives in writing
  543  the right to receive notice of the annual meeting, such notice
  544  shall be hand delivered, mailed, or electronically transmitted
  545  to each unit owner. Notice for meetings and notice for all other
  546  purposes shall be mailed to each unit owner at the address last
  547  furnished to the association by the unit owner, or hand
  548  delivered to each unit owner. However, if a unit is owned by
  549  more than one person, the association shall provide notice, for
  550  meetings and all other purposes, to that one address which the
  551  developer initially identifies for that purpose and thereafter
  552  as one or more of the owners of the unit shall so advise the
  553  association in writing, or if no address is given or the owners
  554  of the unit do not agree, to the address provided on the deed of
  555  record. An officer of the association, or the manager or other
  556  person providing notice of the association meeting, shall
  557  provide an affidavit or United States Postal Service certificate
  558  of mailing, to be included in the official records of the
  559  association affirming that the notice was mailed or hand
  560  delivered, in accordance with this provision.
  561         3. The members of the board shall be elected by written
  562  ballot or voting machine. Proxies shall in no event be used in
  563  electing the board, either in general elections or elections to
  564  fill vacancies caused by recall, resignation, or otherwise,
  565  unless otherwise provided in this chapter. Not less than 60 days
  566  before a scheduled election, the association shall mail,
  567  deliver, or electronically transmit, whether by separate
  568  association mailing or included in another association mailing,
  569  delivery, or transmission, including regularly published
  570  newsletters, to each unit owner entitled to a vote, a first
  571  notice of the date of the election along with a certification
  572  form provided by the division attesting that he or she has read
  573  and understands, to the best of his or her ability, the
  574  governing documents of the association and the provisions of
  575  this chapter and any applicable rules. Within 90 days after
  576  being elected or appointed to the board, each newly elected or
  577  appointed director shall certify in writing to the secretary of
  578  the association that he or she has read the declaration of
  579  condominium for all condominiums operated by the association and
  580  the association’s articles of incorporation, bylaws, and rules
  581  and regulations; that he or she will work to uphold such
  582  documents and policies to the best of his or her ability; and
  583  that he or she will faithfully discharge his or her fiduciary
  584  responsibility to the association’s members. In lieu of this
  585  written certification, the newly elected or appointed director
  586  may submit a certificate of satisfactory completion of the
  587  educational curriculum administered by a division-approved
  588  condominium education provider completed within 1 year before
  589  the 90-day deadline. Failure to timely file the written
  590  certification or educational certificate automatically
  591  disqualifies the director from service on the board. The
  592  secretary shall cause the association to retain a director’s
  593  written certification or educational certificate for inspection
  594  by the members for 5 years after a director’s election or
  595  appointment. Failure to have such written certification or
  596  educational certificate on file does not affect the validity of
  597  any appropriate action. Any unit owner or other eligible person
  598  desiring to be a candidate for the board must give written
  599  notice to the association not less than 40 days before a
  600  scheduled election. Together with the written notice and agenda
  601  as set forth in subparagraph 2., the association shall mail,
  602  deliver, or electronically transmit a second notice of the
  603  election to all unit owners entitled to vote therein, together
  604  with a ballot which shall list all candidates. Upon request of a
  605  candidate, the association shall include an information sheet,
  606  no larger than 8 1/2 inches by 11 inches, which must be
  607  furnished by the candidate not less than 35 days before the
  608  election and, along with the signed certification form provided
  609  for in this subparagraph, to be included with the mailing,
  610  delivery, or transmission of the ballot., with The costs of
  611  mailing, delivery, or electronic transmission and copying shall
  612  to be borne by the association. The association is not liable
  613  for the contents of the information sheets prepared by the
  614  candidates. In order to reduce costs, the association may print
  615  or duplicate the information sheets on both sides of the paper.
  616  The division shall by rule establish voting procedures
  617  consistent with the provisions contained herein, including rules
  618  establishing procedures for giving notice by electronic
  619  transmission and rules providing for the secrecy of ballots.
  620  Elections shall be decided by a plurality of those ballots cast.
  621  There shall be no quorum requirement; however, at least 20
  622  percent of the eligible voters must cast a ballot in order to
  623  have a valid election of members of the board. No unit owner
  624  shall permit any other person to vote his or her ballot, and any
  625  such ballots improperly cast shall be deemed invalid, provided
  626  any unit owner who violates this provision may be fined by the
  627  association in accordance with s. 718.303. A unit owner who
  628  needs assistance in casting the ballot for the reasons stated in
  629  s. 101.051 may obtain assistance in casting the ballot. The
  630  regular election shall occur on the date of the annual meeting.
  631  The provisions of this subparagraph shall not apply to timeshare
  632  condominium associations. Notwithstanding the provisions of this
  633  subparagraph, an election is not required unless more candidates
  634  file notices of intent to run or are nominated than board
  635  vacancies exist.
  636         4. Any approval by unit owners called for by this chapter
  637  or the applicable declaration or bylaws, including, but not
  638  limited to, the approval requirement in s. 718.111(8), shall be
  639  made at a duly noticed meeting of unit owners and shall be
  640  subject to all requirements of this chapter or the applicable
  641  condominium documents relating to unit owner decisionmaking,
  642  except that unit owners may take action by written agreement,
  643  without meetings, on matters for which action by written
  644  agreement without meetings is expressly allowed by the
  645  applicable bylaws or declaration or any statute that provides
  646  for such action.
  647         5. Unit owners may waive notice of specific meetings if
  648  allowed by the applicable bylaws or declaration or any statute.
  649  If authorized by the bylaws, notice of meetings of the board of
  650  administration, unit owner meetings, except unit owner meetings
  651  called to recall board members under paragraph (j), and
  652  committee meetings may be given by electronic transmission to
  653  unit owners who consent to receive notice by electronic
  654  transmission.
  655         6. Unit owners shall have the right to participate in
  656  meetings of unit owners with reference to all designated agenda
  657  items. However, the association may adopt reasonable rules
  658  governing the frequency, duration, and manner of unit owner
  659  participation.
  660         7. Any unit owner may tape record or videotape a meeting of
  661  the unit owners subject to reasonable rules adopted by the
  662  division.
  663         8. Unless otherwise provided in the bylaws, any vacancy
  664  occurring on the board before the expiration of a term may be
  665  filled by the affirmative vote of the majority of the remaining
  666  directors, even if the remaining directors constitute less than
  667  a quorum, or by the sole remaining director. In the alternative,
  668  a board may hold an election to fill the vacancy, in which case
  669  the election procedures must conform to the requirements of
  670  subparagraph 3. unless the association governs 10 units or less
  671  and has opted out of the statutory election process, in which
  672  case the bylaws of the association control. Unless otherwise
  673  provided in the bylaws, a board member appointed or elected
  674  under this section shall fill the vacancy for the unexpired term
  675  of the seat being filled. Filling vacancies created by recall is
  676  governed by paragraph (j) and rules adopted by the division.
  677  
  678  Notwithstanding subparagraphs (b)2. and (d)3., an association of
  679  10 or fewer units may, by the affirmative vote of a majority of
  680  the total voting interests, provide for different voting and
  681  election procedures in its bylaws, which vote may be by a proxy
  682  specifically delineating the different voting and election
  683  procedures. The different voting and election procedures may
  684  provide for elections to be conducted by limited or general
  685  proxy.
  686         (n) Director or officer delinquencies.—A director or
  687  officer more than 90 days delinquent in the payment of any fee,
  688  fine, regular assessment, or special assessment assessments
  689  shall be deemed to have abandoned the office, creating a vacancy
  690  in the office to be filled according to law.
  691         (o) Director or officer offenses.—A director or officer
  692  charged by information or indictment with a felony theft or
  693  embezzlement offense involving the association’s funds or
  694  property shall be removed from office, creating a vacancy in the
  695  office to be filled according to law. While such director or
  696  officer has such criminal charge pending, he or she may not be
  697  appointed or elected to a position as a director or officer.
  698  However, should the charges be resolved without a finding of
  699  guilt, the director or officer shall be reinstated for the
  700  remainder of his or her term of office, if any.
  701         Section 4. Paragraph (d) of subsection (1) of section
  702  718.115, Florida Statutes, is amended to read:
  703         718.115 Common expenses and common surplus.—
  704         (1)
  705         (d) If so provided in the declaration, the cost of
  706  communications services as defined in chapter 202, information
  707  services, or Internet services a master antenna television
  708  system or duly franchised cable television service obtained
  709  pursuant to a bulk contract shall be deemed a common expense. If
  710  the declaration does not provide for the cost of communications
  711  services as defined in chapter 202, information services, or
  712  Internet services a master antenna television system or duly
  713  franchised cable television service obtained under a bulk
  714  contract as a common expense, the board may enter into such a
  715  contract, and the cost of the service will be a common expense
  716  but allocated on a per-unit basis rather than a percentage basis
  717  if the declaration provides for other than an equal sharing of
  718  common expenses, and any contract entered into before July 1,
  719  1998, in which the cost of the service is not equally divided
  720  among all unit owners, may be changed by vote of a majority of
  721  the voting interests present at a regular or special meeting of
  722  the association, to allocate the cost equally among all units.
  723  The contract shall be for a term of not less than 2 years.
  724         1. Any contract made by the board after the effective date
  725  hereof for communications services as defined in chapter 202,
  726  information services, or Internet services a community antenna
  727  system or duly franchised cable television service may be
  728  canceled by a majority of the voting interests present at the
  729  next regular or special meeting of the association. Any member
  730  may make a motion to cancel the said contract, but if no motion
  731  is made or if such motion fails to obtain the required majority
  732  at the next regular or special meeting, whichever occurs is
  733  sooner, following the making of the contract, then such contract
  734  shall be deemed ratified for the term therein expressed.
  735         2. Any such contract shall provide, and shall be deemed to
  736  provide if not expressly set forth, that any hearing-impaired or
  737  legally blind unit owner who does not occupy the unit with a
  738  non-hearing-impaired or sighted person, or any unit owner
  739  receiving supplemental security income under Title XVI of the
  740  Social Security Act or food stamps as administered by the
  741  Department of Children and Family Services pursuant to s.
  742  414.31, may discontinue the cable or video service without
  743  incurring disconnect fees, penalties, or subsequent service
  744  charges, and, as to such units, the owners shall not be required
  745  to pay any common expenses charge related to such service. If
  746  fewer less than all members of an association share the expenses
  747  of cable or video service television, the expense shall be
  748  shared equally by all participating unit owners. The association
  749  may use the provisions of s. 718.116 to enforce payment of the
  750  shares of such costs by the unit owners receiving cable or video
  751  service television.
  752         Section 5. Paragraph (b) of subsection (5) of section
  753  718.116, Florida Statutes, is amended, and subsection (11) is
  754  added to that section, to read:
  755         718.116 Assessments; liability; lien and priority;
  756  interest; collection.—
  757         (5)
  758         (b) To be valid, a claim of lien must state the description
  759  of the condominium parcel, the name of the record owner, the
  760  name and address of the association, the amount due, and the due
  761  dates. It must be executed and acknowledged by an officer or
  762  authorized agent of the association. No such lien shall be
  763  effective longer than 1 year after the claim of lien was
  764  recorded unless, within that time, an action to enforce the lien
  765  is commenced. The 1-year period shall automatically be extended
  766  for any length of time during which the association is prevented
  767  from filing a foreclosure action by an automatic stay resulting
  768  from a bankruptcy petition filed by the parcel owner or any
  769  other person claiming an interest in the parcel. The claim of
  770  lien shall secure all unpaid assessments which are due and which
  771  may accrue subsequent to the recording of the claim of lien and
  772  before prior to the entry of a certificate of title, as well as
  773  interest and all reasonable costs and attorney’s fees incurred
  774  by the association incident to the collection process. Costs to
  775  the unit owner secured by the association’s claim of lien with
  776  regard to collection letters or any other collection efforts by
  777  management companies or licensed managers as to any delinquent
  778  installment of an assessment may not exceed $75 unless the
  779  management company prepares any letter or certificate required
  780  by this chapter and charges a reasonable fee related to the
  781  preparation of such letter or certificate. Upon payment in full,
  782  the person making the payment is entitled to a satisfaction of
  783  the lien.
  784  
  785  After notice of contest of lien has been recorded, the clerk of
  786  the circuit court shall mail a copy of the recorded notice to
  787  the association by certified mail, return receipt requested, at
  788  the address shown in the claim of lien or most recent amendment
  789  to it and shall certify to the service on the face of the
  790  notice. Service is complete upon mailing. After service, the
  791  association has 90 days in which to file an action to enforce
  792  the lien; and, if the action is not filed within the 90-day
  793  period, the lien is void. However, the 90-day period shall be
  794  extended for any length of time that the association is
  795  prevented from filing its action because of an automatic stay
  796  resulting from the filing of a bankruptcy petition by the unit
  797  owner or by any other person claiming an interest in the parcel.
  798         (11)If the unit is occupied by a tenant and the unit owner
  799  is delinquent in the payment of regular assessments, the
  800  association may demand that the tenant pay to the association
  801  the future regular assessments related to the condominium unit.
  802  The demand is continuing in nature, and upon demand, the tenant
  803  shall continue to pay the regular assessments to the association
  804  until the association releases the tenant or the tenant
  805  discontinues tenancy in the unit. The association shall mail
  806  written notice to the unit owner of the association’s demand
  807  that the tenant pay regular assessments to the association. The
  808  tenant is not liable for increases in the amount of the regular
  809  assessment due unless the tenant was reasonably notified of the
  810  increase before the day on which the rent is due. The tenant
  811  shall be given a credit against rents due to the unit owner in
  812  the amount of assessments paid to the association. The
  813  association shall, upon request, provide the tenant with written
  814  receipts for payments made. The association may issue notices
  815  under s. 83.56 and may sue for eviction under ss. 83.59-83.625
  816  as if the association were a landlord under part II of chapter
  817  83 if the tenant fails to pay an assessment. However, the
  818  association is not otherwise considered a landlord under chapter
  819  83 and specifically has no duties under s. 83.51. The tenant
  820  does not, by virtue of payment of assessments, have any of the
  821  rights of a unit owner to vote in any election or to examine the
  822  books and records of the association. A court may supersede the
  823  effect of this subsection by appointing a receiver.
  824         Section 6. Section 718.303, Florida Statutes, is amended to
  825  read:
  826         718.303 Obligations of owners and occupants; waiver; levy
  827  of fines, suspension of use or voting rights, and other
  828  nonexclusive remedies in law or equity fine against unit by an
  829  association.—
  830         (1) Each unit owner, each tenant and other invitee, and
  831  each association shall be governed by, and shall comply with the
  832  provisions of, this chapter, the declaration, the documents
  833  creating the association, and the association bylaws and the
  834  provisions thereof shall be deemed expressly incorporated into
  835  any lease of a unit. Actions for damages or for injunctive
  836  relief, or both, for failure to comply with these provisions may
  837  be brought by the association or by a unit owner against:
  838         (a) The association.
  839         (b) A unit owner.
  840         (c) Directors designated by the developer, for actions
  841  taken by them prior to the time control of the association is
  842  assumed by unit owners other than the developer.
  843         (d) Any director who willfully and knowingly fails to
  844  comply with these provisions.
  845         (e) Any tenant leasing a unit, and any other invitee
  846  occupying a unit.
  847  
  848  The prevailing party in any such action or in any action in
  849  which the purchaser claims a right of voidability based upon
  850  contractual provisions as required in s. 718.503(1)(a) is
  851  entitled to recover reasonable attorney’s fees. A unit owner
  852  prevailing in an action between the association and the unit
  853  owner under this section, in addition to recovering his or her
  854  reasonable attorney’s fees, may recover additional amounts as
  855  determined by the court to be necessary to reimburse the unit
  856  owner for his or her share of assessments levied by the
  857  association to fund its expenses of the litigation. This relief
  858  does not exclude other remedies provided by law. Actions arising
  859  under this subsection shall not be deemed to be actions for
  860  specific performance.
  861         (2) A provision of this chapter may not be waived if the
  862  waiver would adversely affect the rights of a unit owner or the
  863  purpose of the provision, except that unit owners or members of
  864  a board of administration may waive notice of specific meetings
  865  in writing if provided by the bylaws. Any instruction given in
  866  writing by a unit owner or purchaser to an escrow agent may be
  867  relied upon by an escrow agent, whether or not such instruction
  868  and the payment of funds thereunder might constitute a waiver of
  869  any provision of this chapter.
  870         (3) If the declaration or bylaws so provide, the
  871  association may suspend, for a reasonable time, the right of a
  872  unit owner or a unit’s occupant, licensee, or invitee to use
  873  common elements, common facilities, or any other association
  874  property. This subsection does not apply to limited common
  875  elements intended to be used only by that unit, common elements
  876  that must be used to access the unit, utility services provided
  877  to the unit, parking spaces, or elevators. The association may
  878  also levy reasonable fines against a unit for the failure of the
  879  owner of the unit, or its occupant, licensee, or invitee, to
  880  comply with any provision of the declaration, the association
  881  bylaws, or reasonable rules of the association. No fine will
  882  become a lien against a unit. A No fine may not exceed $100 per
  883  violation. However, a fine may be levied on the basis of each
  884  day of a continuing violation, with a single notice and
  885  opportunity for hearing, provided that no such fine shall in the
  886  aggregate exceed $1,000. A No fine may not be levied and a
  887  suspension may not be imposed unless the association first gives
  888  except after giving reasonable notice and opportunity for a
  889  hearing to the unit owner and, if applicable, its occupant,
  890  licensee, or invitee. The hearing must be held before a
  891  committee of other unit owners who are neither board members nor
  892  persons residing in a board member’s household. If the committee
  893  does not agree with the fine or suspension, the fine or
  894  suspension may not be levied or imposed. The provisions of this
  895  subsection do not apply to unoccupied units.
  896         (4)The notice and hearing requirements of subsection (3)
  897  do not apply to the imposition of suspensions or fines against a
  898  unit owner or a unit’s occupant, licensee, or invitee because of
  899  the failure to pay any amounts due the association. If such a
  900  fine or suspension is imposed, the association must levy the
  901  fine or impose a reasonable suspension at a properly noticed
  902  board meeting, and after the imposition of such fine or
  903  suspension, the association must notify the unit owner and, if
  904  applicable, the unit’s occupant, licensee, or invitee by mail or
  905  hand delivery.
  906         (5)If the declaration or bylaws so provide, an association
  907  may also suspend the voting rights of a member due to nonpayment
  908  of assessments, fines, or other charges payable to the
  909  association which are delinquent in excess of 90 days.
  910         Section 7. Subsections (3) and (4) of section 719.108,
  911  Florida Statutes, are amended, and subsection (10) is added to
  912  that section, to read:
  913         719.108 Rents and assessments; liability; lien and
  914  priority; interest; collection; cooperative ownership.—
  915         (3) Rents and assessments, and installments on them, not
  916  paid when due bear interest at the rate provided in the
  917  cooperative documents from the date due until paid. This rate
  918  may not exceed the rate allowed by law, and, if no rate is
  919  provided in the cooperative documents, then interest shall
  920  accrue at 18 percent per annum. Also, if the cooperative
  921  documents or bylaws so provide, the association may charge an
  922  administrative late fee in addition to such interest, in an
  923  amount not to exceed the greater of $25 or 5 percent of each
  924  installment of the assessment for each delinquent installment
  925  that the payment is late. Costs to the unit owner secured by the
  926  association’s claim of lien with regard to collection letters or
  927  any other collection efforts by management companies or licensed
  928  managers as to any delinquent installment of an assessment may
  929  not exceed $75 unless the management company prepares any letter
  930  or certificate required by this chapter and charges a reasonable
  931  fee related to the preparation of such letter or certificate.
  932  Any payment received by an association shall be applied first to
  933  any interest accrued by the association, then to any
  934  administrative late fee, then to any costs and reasonable
  935  attorney’s fees incurred in collection, then to any reasonable
  936  costs for collection services for which the association has
  937  contracted, and then to the delinquent assessment. The foregoing
  938  shall be applicable notwithstanding any restrictive endorsement,
  939  designation, or instruction placed on or accompanying a payment.
  940  A late fee is not subject to chapter 687 or s. 719.303(3).
  941         (4) The association shall have a lien on each cooperative
  942  parcel for any unpaid rents and assessments, plus interest, any
  943  authorized administrative late fees, and any reasonable costs
  944  for collection services for which the association has contracted
  945  against the unit owner of the cooperative parcel. If authorized
  946  by the cooperative documents, said lien shall also secure
  947  reasonable attorney’s fees incurred by the association incident
  948  to the collection of the rents and assessments or enforcement of
  949  such lien. The lien is effective from and after the recording of
  950  a claim of lien in the public records in the county in which the
  951  cooperative parcel is located which states the description of
  952  the cooperative parcel, the name of the unit owner, the amount
  953  due, and the due dates. The lien shall expire if a claim of lien
  954  is not filed within 1 year after the date the assessment was
  955  due, and no such lien shall continue for a longer period than 1
  956  year after the claim of lien has been recorded unless, within
  957  that time, an action to enforce the lien is commenced in a court
  958  of competent jurisdiction. Except as otherwise provided in this
  959  chapter, a lien may not be filed by the association against a
  960  cooperative parcel until 30 days after the date on which a
  961  notice of intent to file a lien has been delivered to the owner
  962  by registered or certified mail, return receipt requested, and
  963  by first-class United States mail to the owner at his or her
  964  last address in the records of the association, if the address
  965  is within the United States, and delivered to the owner at the
  966  address of the unit if the owner’s address as reflected in the
  967  records of the association is not the unit address. If the
  968  address in the records is outside the United States, notice
  969  shall be sent to that address and to the unit address by first
  970  class United States mail. Delivery of the notice shall be deemed
  971  given upon mailing as required by this subsection. No lien may
  972  be filed by the association against a cooperative parcel until
  973  30 days after the date on which a notice of intent to file a
  974  lien has been served on the unit owner of the cooperative parcel
  975  by certified mail or by personal service in the manner
  976  authorized by chapter 48 and the Florida Rules of Civil
  977  Procedure.
  978         (10)If the share is occupied by a tenant and the share
  979  owner is delinquent in the payment of regular assessments, the
  980  association may demand that the tenant pay to the association
  981  the future regular assessments related to the condominium share.
  982  The demand is continuing in nature, and upon demand, the tenant
  983  shall continue to pay the regular assessments to the association
  984  until the association releases the tenant or the tenant
  985  discontinues tenancy in the share. The association shall mail
  986  written notice to the share owner of the association’s demand
  987  that the tenant pay regular assessments to the association. The
  988  tenant is not liable for increases in the amount of the regular
  989  assessment due unless the tenant was reasonably notified of the
  990  increase before the day on which the rent is due. The tenant
  991  shall be given a credit against rents due to the share owner in
  992  the amount of assessments paid to the association. The
  993  association shall, upon request, provide the tenant with written
  994  receipts for payments made. The association may issue notices
  995  under s. 83.56 and may sue for eviction under ss. 83.59-83.625
  996  as if the association were a landlord under part II of chapter
  997  83 if the tenant fails to pay an assessment. However, the
  998  association is not otherwise considered a landlord under chapter
  999  83 and specifically has no duties under s. 83.51. The tenant
 1000  does not, by virtue of payment of assessments, have any of the
 1001  rights of a share owner to vote in any election or to examine
 1002  the books and records of the association. A court may supersede
 1003  the effect of this subsection by appointing a receiver.
 1004         Section 8. Paragraph (b) of subsection (2) of section
 1005  720.304, Florida Statutes, is amended to read:
 1006         720.304 Right of owners to peaceably assemble; display of
 1007  flag; SLAPP suits prohibited.—
 1008         (2)
 1009         (b) Any homeowner may erect a freestanding flagpole no more
 1010  than 20 feet high on any portion of the homeowner’s real
 1011  property, regardless of any covenants, restrictions, bylaws,
 1012  rules, or requirements of the association, if the flagpole does
 1013  not obstruct sightlines at intersections and is not erected
 1014  within or upon an easement. The homeowner may further display in
 1015  a respectful manner from that flagpole, regardless of any
 1016  covenants, restrictions, bylaws, rules, or requirements of the
 1017  association, one official United States flag, not larger than 4
 1018  1/2 feet by 6 feet, and may additionally display one official
 1019  flag of the State of Florida or the United States Army, Navy,
 1020  Air Force, Marines, or Coast Guard, or a POW-MIA flag. Such
 1021  additional flag must be equal in size to or smaller than the
 1022  United States flag. The flagpole and display are subject to all
 1023  building codes, zoning setbacks, and other applicable
 1024  governmental regulations, including, but not limited to, noise
 1025  and lighting ordinances in the county or municipality in which
 1026  the flag pole is erected.
 1027         Section 9. Subsection (2) of section 720.305, Florida
 1028  Statutes, is amended to read:
 1029         720.305 Obligations of members; remedies at law or in
 1030  equity; levy of fines and suspension of use rights.—
 1031         (2) If the governing documents so provide, an association
 1032  may suspend, for a reasonable period of time, the rights of a
 1033  member or a member’s tenants, guests, or invitees, or both, to
 1034  use common areas and facilities and may levy reasonable fines,
 1035  not to exceed $100 per violation, against any member or any
 1036  tenant, guest, or invitee. A fine may be levied on the basis of
 1037  each day of a continuing violation, with a single notice and
 1038  opportunity for hearing, except that no such fine shall exceed
 1039  $1,000 in the aggregate unless otherwise provided in the
 1040  governing documents. A fine shall not become a lien against a
 1041  parcel. In any action to recover a fine, the prevailing party is
 1042  entitled to collect its reasonable attorney’s fees and costs
 1043  from the nonprevailing party as determined by the court. The
 1044  provisions regarding the suspension-of-use rights do not apply
 1045  to common areas that must be used to provide access to the
 1046  parcel or utility services provided to the parcel.
 1047         (a) A fine or suspension may not be imposed without notice
 1048  of at least 14 days to the person sought to be fined or
 1049  suspended and an opportunity for a hearing before a committee of
 1050  at least three members appointed by the board who are not
 1051  officers, directors, or employees of the association, or the
 1052  spouse, parent, child, brother, or sister of an officer,
 1053  director, or employee. If the committee, by majority vote, does
 1054  not approve a proposed fine or suspension, it may not be
 1055  imposed.
 1056         (b) The requirements of this subsection do not apply to the
 1057  imposition of suspensions or fines upon any member because of
 1058  the failure of the member to pay assessments or other charges
 1059  when due if such action is authorized by the governing
 1060  documents. If such a fine or suspension is imposed, the
 1061  association must levy the fine or impose a reasonable suspension
 1062  at a properly noticed board meeting, and after the imposition of
 1063  such fine or suspension, the association must notify the owner
 1064  and, if applicable, the unit’s occupant, licensee, or invitee by
 1065  mail or hand delivery.
 1066         (c) Suspension of common-area-use rights shall not impair
 1067  the right of an owner or tenant of a parcel to have vehicular
 1068  and pedestrian ingress to and egress from the parcel, including,
 1069  but not limited to, the right to park.
 1070         Section 10. Subsection (8) is added to section 720.3085,
 1071  Florida Statutes, to read:
 1072         720.3085 Payment for assessments; lien claims.—
 1073         (8)If the parcel is occupied by a tenant and the parcel
 1074  owner is delinquent in the payment of regular assessments, the
 1075  association may demand that the tenant pay to the association
 1076  the future regular assessments related to the condominium
 1077  parcel. The demand is continuing in nature, and upon demand, the
 1078  tenant shall continue to pay the regular assessments to the
 1079  association until the association releases the tenant or the
 1080  tenant discontinues tenancy in the parcel. The association shall
 1081  mail written notice to the parcel owner of the association’s
 1082  demand that the tenant pay regular assessments to the
 1083  association. The tenant is not liable for increases in the
 1084  amount of the regular assessment due unless the tenant was
 1085  reasonably notified of the increase before the day on which the
 1086  rent is due. The tenant shall be given a credit against rents
 1087  due to the parcel owner in the amount of assessments paid to the
 1088  association. The association shall, upon request, provide the
 1089  tenant with written receipts for payments made. The association
 1090  may issue notices under s. 83.56 and may sue for eviction under
 1091  ss. 83.59-83.625 as if the association were a landlord under
 1092  part II of chapter 83 if the tenant fails to pay an assessment.
 1093  However, the association is not otherwise considered a landlord
 1094  under chapter 83 and specifically has no duties under s. 83.51.
 1095  The tenant does not, by virtue of payment of assessments, have
 1096  any of the rights of a parcel owner to vote in any election or
 1097  to examine the books and records of the association. A court may
 1098  supersede the effect of this subsection by appointing a
 1099  receiver.
 1100         Section 11. Subsection (6) is added to section 720.31,
 1101  Florida Statutes, to read:
 1102         720.31 Recreational leaseholds; right to acquire;
 1103  escalation clauses.—
 1104         (6)An association may enter into agreements to acquire
 1105  leaseholds, memberships, and other possessory or use interests
 1106  in lands or facilities such as country clubs, golf courses,
 1107  marinas, and other recreational facilities. An association may
 1108  enter into such agreements regardless of whether the lands or
 1109  facilities are contiguous to the lands of the community or
 1110  whether such lands or facilities are intended to provide
 1111  enjoyment, recreation, or other use or benefit to the owners.
 1112  All leaseholds, memberships, and other possessory or use
 1113  interests existing or created at the time of recording the
 1114  declaration must be stated and fully described in the
 1115  declaration. Subsequent to the recording of the declaration,
 1116  agreements acquiring leaseholds, memberships, or other
 1117  possessory or use interests not entered into within 12 months
 1118  following the recording of the declaration may be entered into
 1119  only if authorized by the declaration for material alterations
 1120  or substantial additions to the common areas or association
 1121  property. If the declaration is silent, any such transaction
 1122  requires the approval of 75 percent of the total voting
 1123  interests of the association. The declaration may provide that
 1124  the rental, membership fees, operations, replacements, or other
 1125  expenses are common expenses; impose covenants and restrictions
 1126  concerning their use; and contain other provisions not
 1127  inconsistent with this subsection. An association exercising its
 1128  rights under this section may join with other associations that
 1129  are part of the same development or with a master association
 1130  responsible for the enforcement of shared covenants, conditions,
 1131  and restrictions in carrying out the intent of this subsection.
 1132         Section 12. Subsection (17) of section 721.05, Florida
 1133  Statutes, is amended to read:
 1134         721.05 Definitions.—As used in this chapter, the term:
 1135         (17) “Facility” means any permanent amenity, including any
 1136  structure, furnishing, fixture, equipment, service, improvement,
 1137  or real or personal property, improved or unimproved, other than
 1138  an accommodation of the timeshare plan, which is made available
 1139  to the purchasers of a timeshare plan. The term does not include
 1140  an incidental benefit as defined in this section.
 1141         Section 13. Subsection (2) of section 553.509, Florida
 1142  Statutes, is repealed.
 1143         Section 14. This act shall take effect October 1, 2009.