Florida Senate - 2014                       CS for CS for SB 440
       
       
        
       By the Committees on Judiciary; and Regulated Industries; and
       Senator Altman
       
       
       
       
       590-02440-14                                           2014440c2
    1                        A bill to be entitled                      
    2         An act relating to condominiums; amending s. 718.112,
    3         F.S.; limiting the application of certain requirements
    4         relating to bylaws to residential condominiums and
    5         their associations and boards; amending s. 718.113,
    6         F.S.; limiting the application of certain requirements
    7         relating to the maintenance of residential
    8         condominiums and their associations and boards;
    9         amending s. 718.1255, F.S.; exempting nonresidential
   10         condominiums from mandatory arbitration unless
   11         specifically provided for in their declarations;
   12         amending s. 718.403, F.S., and reenacting subsection
   13         (1), relating to the authority to develop a
   14         condominium in phases; authorizing the developer to
   15         modify the plot plan as to unit or building types;
   16         limiting the circumstances under which a plot plan may
   17         be modified as to a residential condominium;
   18         specifying the provisions relating to phase
   19         condominiums that are inapplicable to nonresidential
   20         condominiums; amending s. 718.707, F.S.; extending by
   21         1 year the time limitation for classification as a
   22         bulk assignee or bulk buyer; providing an effective
   23         date.
   24          
   25  Be It Enacted by the Legislature of the State of Florida:
   26  
   27         Section 1. Paragraphs (a), (b), (d), (k), and (l) of
   28  subsection (2) of section 718.112, Florida Statutes, are amended
   29  to read:
   30         718.112 Bylaws.—
   31         (2) REQUIRED PROVISIONS.—The bylaws shall provide for the
   32  following and, if they do not do so, shall be deemed to include
   33  the following:
   34         (a) Administration.—
   35         1. The form of administration of the association shall be
   36  described indicating the title of the officers and board of
   37  administration and specifying the powers, duties, manner of
   38  selection and removal, and compensation, if any, of officers and
   39  boards. In the absence of such a provision, the board of
   40  administration shall be composed of five members, except in the
   41  case of a condominium which has five or fewer units, in which
   42  case in a not-for-profit corporation the board shall consist of
   43  not fewer than three members. In the absence of provisions to
   44  the contrary in the bylaws, the board of administration shall
   45  have a president, a secretary, and a treasurer, who shall
   46  perform the duties of such officers customarily performed by
   47  officers of corporations. Unless prohibited in the bylaws, the
   48  board of administration may appoint other officers and grant
   49  them the duties it deems appropriate. Unless otherwise provided
   50  in the bylaws, the officers shall serve without compensation and
   51  at the pleasure of the board of administration. Unless otherwise
   52  provided in the bylaws, the members of the board shall serve
   53  without compensation.
   54         2. When a unit owner of a residential condominium files a
   55  written inquiry by certified mail with the board of
   56  administration, the board shall respond in writing to the unit
   57  owner within 30 days after of receipt of the inquiry. The
   58  board’s response shall either give a substantive response to the
   59  inquirer, notify the inquirer that a legal opinion has been
   60  requested, or notify the inquirer that advice has been requested
   61  from the division. If the board requests advice from the
   62  division, the board shall, within 10 days after of its receipt
   63  of the advice, provide in writing a substantive response to the
   64  inquirer. If a legal opinion is requested, the board shall,
   65  within 60 days after the receipt of the inquiry, provide in
   66  writing a substantive response to the inquiry. The failure to
   67  provide a substantive response to the inquiry as provided herein
   68  precludes the board from recovering attorney attorney’s fees and
   69  costs in any subsequent litigation, administrative proceeding,
   70  or arbitration arising out of the inquiry. The association may
   71  through its board of administration adopt reasonable rules and
   72  regulations regarding the frequency and manner of responding to
   73  unit owner inquiries, one of which may be that the association
   74  is only obligated to respond to one written inquiry per unit in
   75  any given 30-day period. In such a case, any additional inquiry
   76  or inquiries must be responded to in the subsequent 30-day
   77  period, or periods, as applicable.
   78         (b) Quorum; voting requirements; proxies.—
   79         1. Unless a lower number is provided in the bylaws, the
   80  percentage of voting interests required to constitute a quorum
   81  at a meeting of the members is a majority of the voting
   82  interests. Unless otherwise provided in this chapter or in the
   83  declaration, articles of incorporation, or bylaws, and except as
   84  provided in subparagraph (d)4., decisions shall be made by a
   85  majority of the voting interests represented at a meeting at
   86  which a quorum is present.
   87         2. Except as specifically otherwise provided herein, unit
   88  owners in a residential condominium may not vote by general
   89  proxy, but may vote by limited proxies substantially conforming
   90  to a limited proxy form adopted by the division. A voting
   91  interest or consent right allocated to a unit owned by the
   92  association may not be exercised or considered for any purpose,
   93  whether for a quorum, an election, or otherwise. Limited proxies
   94  and general proxies may be used to establish a quorum. Limited
   95  proxies shall be used for votes taken to waive or reduce
   96  reserves in accordance with subparagraph (f)2.; for votes taken
   97  to waive the financial reporting requirements of s. 718.111(13);
   98  for votes taken to amend the declaration pursuant to s. 718.110;
   99  for votes taken to amend the articles of incorporation or bylaws
  100  pursuant to this section; and for any other matter for which
  101  this chapter requires or permits a vote of the unit owners.
  102  Except as provided in paragraph (d), a proxy, limited or
  103  general, may not be used in the election of board members in a
  104  residential condominium. General proxies may be used for other
  105  matters for which limited proxies are not required, and may be
  106  used in voting for nonsubstantive changes to items for which a
  107  limited proxy is required and given. Notwithstanding this
  108  subparagraph, unit owners may vote in person at unit owner
  109  meetings. This subparagraph does not limit the use of general
  110  proxies or require the use of limited proxies for any agenda
  111  item or election at any meeting of a timeshare condominium
  112  association or a nonresidential condominium association.
  113         3. A Any proxy given is effective only for the specific
  114  meeting for which originally given and any lawfully adjourned
  115  meetings thereof. A proxy is not valid longer than 90 days after
  116  the date of the first meeting for which it was given. Each Every
  117  proxy is revocable at any time at the pleasure of the unit owner
  118  executing it.
  119         4. A member of the board of administration or a committee
  120  may submit in writing his or her agreement or disagreement with
  121  any action taken at a meeting that the member did not attend.
  122  This agreement or disagreement may not be used as a vote for or
  123  against the action taken or to create a quorum.
  124         5. If any of the board or committee members meet by
  125  telephone conference, those board or committee members may be
  126  counted toward obtaining a quorum and may vote by telephone. A
  127  telephone speaker must be used so that the conversation of those
  128  members may be heard by the board or committee members attending
  129  in person as well as by any unit owners present at a meeting.
  130         (d) Unit owner meetings.—
  131         1. An annual meeting of the unit owners shall be held at
  132  the location provided in the association bylaws and, if the
  133  bylaws are silent as to the location, the meeting shall be held
  134  within 45 miles of the condominium property. However, such
  135  distance requirement does not apply to an association governing
  136  a timeshare condominium.
  137         2. Unless the bylaws provide otherwise, a vacancy on the
  138  board caused by the expiration of a director’s term shall be
  139  filled by electing a new board member, and the election must be
  140  by secret ballot. An election is not required if the number of
  141  vacancies equals or exceeds the number of candidates. For
  142  purposes of this paragraph, the term “candidate” means an
  143  eligible person who has timely submitted the written notice, as
  144  described in sub-subparagraph 4.a., of his or her intention to
  145  become a candidate. Except in a timeshare or nonresidential
  146  condominium, or if the staggered term of a board member does not
  147  expire until a later annual meeting, or if all members’ terms
  148  would otherwise expire but there are no candidates, the terms of
  149  all board members expire at the annual meeting, and such members
  150  may stand for reelection unless prohibited by the bylaws. If the
  151  bylaws or articles of incorporation permit terms of no more than
  152  2 years, the association board members may serve 2-year terms.
  153  If the number of board members whose terms expire at the annual
  154  meeting equals or exceeds the number of candidates, the
  155  candidates become members of the board effective upon the
  156  adjournment of the annual meeting. Unless the bylaws provide
  157  otherwise, any remaining vacancies shall be filled by the
  158  affirmative vote of the majority of the directors making up the
  159  newly constituted board even if the directors constitute less
  160  than a quorum or there is only one director. In a residential
  161  condominium association of more than 10 units or in a
  162  residential condominium association that does not include
  163  timeshare units or timeshare interests, coowners of a unit may
  164  not serve as members of the board of directors at the same time
  165  unless they own more than one unit or unless there are not
  166  enough eligible candidates to fill the vacancies on the board at
  167  the time of the vacancy. A Any unit owner in a residential
  168  condominium desiring to be a candidate for board membership must
  169  comply with sub-subparagraph 4.a. and must be eligible to be a
  170  candidate to serve on the board of directors at the time of the
  171  deadline for submitting a notice of intent to run in order to
  172  have his or her name listed as a proper candidate on the ballot
  173  or to serve on the board. A person who has been suspended or
  174  removed by the division under this chapter, or who is delinquent
  175  in the payment of any monetary obligation due to the
  176  association, is not eligible to be a candidate for board
  177  membership and may not be listed on the ballot. A person who has
  178  been convicted of any felony in this state or in a United States
  179  District or Territorial Court, or who has been convicted of any
  180  offense in another jurisdiction which would be considered a
  181  felony if committed in this state, is not eligible for board
  182  membership unless such felon’s civil rights have been restored
  183  for at least 5 years as of the date such person seeks election
  184  to the board. The validity of an action by the board is not
  185  affected if it is later determined that a board member is
  186  ineligible for board membership due to having been convicted of
  187  a felony. This subparagraph does not limit the term of a member
  188  of the board of a nonresidential condominium.
  189         3. The bylaws must provide the method of calling meetings
  190  of unit owners, including annual meetings. Written notice must
  191  include an agenda, must be mailed, hand delivered, or
  192  electronically transmitted to each unit owner at least 14 days
  193  before the annual meeting, and must be posted in a conspicuous
  194  place on the condominium property at least 14 continuous days
  195  before the annual meeting. Upon notice to the unit owners, the
  196  board shall, by duly adopted rule, designate a specific location
  197  on the condominium property or association property where all
  198  notices of unit owner meetings shall be posted. This requirement
  199  does not apply if there is no condominium property or
  200  association property for posting notices. In lieu of, or in
  201  addition to, the physical posting of meeting notices, the
  202  association may, by reasonable rule, adopt a procedure for
  203  conspicuously posting and repeatedly broadcasting the notice and
  204  the agenda on a closed-circuit cable television system serving
  205  the condominium association. However, if broadcast notice is
  206  used in lieu of a notice posted physically on the condominium
  207  property, the notice and agenda must be broadcast at least four
  208  times every broadcast hour of each day that a posted notice is
  209  otherwise required under this section. If broadcast notice is
  210  provided, the notice and agenda must be broadcast in a manner
  211  and for a sufficient continuous length of time so as to allow an
  212  average reader to observe the notice and read and comprehend the
  213  entire content of the notice and the agenda. Unless a unit owner
  214  waives in writing the right to receive notice of the annual
  215  meeting, such notice must be hand delivered, mailed, or
  216  electronically transmitted to each unit owner. Notice for
  217  meetings and notice for all other purposes must be mailed to
  218  each unit owner at the address last furnished to the association
  219  by the unit owner, or hand delivered to each unit owner.
  220  However, if a unit is owned by more than one person, the
  221  association must provide notice to the address that the
  222  developer identifies for that purpose and thereafter as one or
  223  more of the owners of the unit advise the association in
  224  writing, or if no address is given or the owners of the unit do
  225  not agree, to the address provided on the deed of record. An
  226  officer of the association, or the manager or other person
  227  providing notice of the association meeting, must provide an
  228  affidavit or United States Postal Service certificate of
  229  mailing, to be included in the official records of the
  230  association affirming that the notice was mailed or hand
  231  delivered in accordance with this provision.
  232         4. The members of the board of a residential condominium
  233  shall be elected by written ballot or voting machine. Proxies
  234  may not be used in electing the board in general elections or
  235  elections to fill vacancies caused by recall, resignation, or
  236  otherwise, unless otherwise provided in this chapter. This
  237  subparagraph does not apply to an association governing a
  238  timeshare condominium.
  239         a. At least 60 days before a scheduled election, the
  240  association shall mail, deliver, or electronically transmit, by
  241  separate association mailing or included in another association
  242  mailing, delivery, or transmission, including regularly
  243  published newsletters, to each unit owner entitled to a vote, a
  244  first notice of the date of the election. A Any unit owner or
  245  other eligible person desiring to be a candidate for the board
  246  must give written notice of his or her intent to be a candidate
  247  to the association at least 40 days before a scheduled election.
  248  Together with the written notice and agenda as set forth in
  249  subparagraph 3., the association shall mail, deliver, or
  250  electronically transmit a second notice of the election to all
  251  unit owners entitled to vote, together with a ballot that lists
  252  all candidates. Upon request of a candidate, an information
  253  sheet, no larger than 8 1/2 inches by 11 inches, which must be
  254  furnished by the candidate at least 35 days before the election,
  255  must be included with the mailing, delivery, or transmission of
  256  the ballot, with the costs of mailing, delivery, or electronic
  257  transmission and copying to be borne by the association. The
  258  association is not liable for the contents of the information
  259  sheets prepared by the candidates. In order to reduce costs, the
  260  association may print or duplicate the information sheets on
  261  both sides of the paper. The division shall by rule establish
  262  voting procedures consistent with this sub-subparagraph,
  263  including rules establishing procedures for giving notice by
  264  electronic transmission and rules providing for the secrecy of
  265  ballots. Elections shall be decided by a plurality of ballots
  266  cast. There is no quorum requirement; however, at least 20
  267  percent of the eligible voters must cast a ballot in order to
  268  have a valid election. A unit owner may not permit any other
  269  person to vote his or her ballot, and any ballots improperly
  270  cast are invalid. A unit owner who violates this provision may
  271  be fined by the association in accordance with s. 718.303. A
  272  unit owner who needs assistance in casting the ballot for the
  273  reasons stated in s. 101.051 may obtain such assistance. The
  274  regular election must occur on the date of the annual meeting.
  275  Notwithstanding this sub-subparagraph, an election is not
  276  required unless more candidates file notices of intent to run or
  277  are nominated than board vacancies exist.
  278         b. Within 90 days after being elected or appointed to the
  279  board of an association of a residential condominium, each newly
  280  elected or appointed director shall certify in writing to the
  281  secretary of the association that he or she has read the
  282  association’s declaration of condominium, articles of
  283  incorporation, bylaws, and current written policies; that he or
  284  she will work to uphold such documents and policies to the best
  285  of his or her ability; and that he or she will faithfully
  286  discharge his or her fiduciary responsibility to the
  287  association’s members. In lieu of this written certification,
  288  within 90 days after being elected or appointed to the board,
  289  the newly elected or appointed director may submit a certificate
  290  of having satisfactorily completed the educational curriculum
  291  administered by a division-approved condominium education
  292  provider within 1 year before or 90 days after the date of
  293  election or appointment. The written certification or
  294  educational certificate is valid and does not have to be
  295  resubmitted as long as the director serves on the board without
  296  interruption. A director of an association of a residential
  297  condominium who fails to timely file the written certification
  298  or educational certificate is suspended from service on the
  299  board until he or she complies with this sub-subparagraph. The
  300  board may temporarily fill the vacancy during the period of
  301  suspension. The secretary shall cause the association to retain
  302  a director’s written certification or educational certificate
  303  for inspection by the members for 5 years after a director’s
  304  election or the duration of the director’s uninterrupted tenure,
  305  whichever is longer. Failure to have such written certification
  306  or educational certificate on file does not affect the validity
  307  of any board action.
  308         c. Any challenge to the election process must be commenced
  309  within 60 days after the election results are announced.
  310         5. Any approval by unit owners called for by this chapter
  311  or the applicable declaration or bylaws, including, but not
  312  limited to, the approval requirement in s. 718.111(8), must be
  313  made at a duly noticed meeting of unit owners and is subject to
  314  all requirements of this chapter or the applicable condominium
  315  documents relating to unit owner decisionmaking, except that
  316  unit owners may take action by written agreement, without
  317  meetings, on matters for which action by written agreement
  318  without meetings is expressly allowed by the applicable bylaws
  319  or declaration or any law that provides for such action.
  320         6. Unit owners may waive notice of specific meetings if
  321  allowed by the applicable bylaws or declaration or any law. If
  322  authorized by the bylaws, notice of meetings of the board of
  323  administration, unit owner meetings, except unit owner meetings
  324  called to recall board members under paragraph (j), and
  325  committee meetings may be given by electronic transmission to
  326  unit owners who consent to receive notice by electronic
  327  transmission.
  328         7. Unit owners have the right to participate in meetings of
  329  unit owners with reference to all designated agenda items.
  330  However, the association may adopt reasonable rules governing
  331  the frequency, duration, and manner of unit owner participation.
  332         8. A unit owner may tape record or videotape a meeting of
  333  the unit owners subject to reasonable rules adopted by the
  334  division.
  335         9. Unless otherwise provided in the bylaws, any vacancy
  336  occurring on the board before the expiration of a term may be
  337  filled by the affirmative vote of the majority of the remaining
  338  directors, even if the remaining directors constitute less than
  339  a quorum, or by the sole remaining director. In the alternative,
  340  a board may hold an election to fill the vacancy, in which case
  341  the election procedures must conform to sub-subparagraph 4.a.
  342  unless the association governs 10 units or fewer and has opted
  343  out of the statutory election process, in which case the bylaws
  344  of the association control. Unless otherwise provided in the
  345  bylaws, a board member appointed or elected under this section
  346  shall fill the vacancy for the unexpired term of the seat being
  347  filled. Filling vacancies created by recall is governed by
  348  paragraph (j) and rules adopted by the division.
  349         10. This chapter does not limit the use of general or
  350  limited proxies, require the use of general or limited proxies,
  351  or require the use of a written ballot or voting machine for any
  352  agenda item or election at any meeting of a timeshare
  353  condominium association or nonresidential condominium
  354  association.
  355  
  356  Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a., an
  357  association of 10 or fewer units may, by affirmative vote of a
  358  majority of the total voting interests, provide for different
  359  voting and election procedures in its bylaws, which may be by a
  360  proxy specifically delineating the different voting and election
  361  procedures. The different voting and election procedures may
  362  provide for elections to be conducted by limited or general
  363  proxy.
  364         (k) Arbitration.—There shall be a provision for mandatory
  365  nonbinding arbitration as provided for in s. 718.1255 for any
  366  residential condominium.
  367         (l) Certificate of compliance.—A provision that a
  368  certificate of compliance from a licensed electrical contractor
  369  or electrician may be accepted by the association’s board as
  370  evidence of compliance of the condominium units with the
  371  applicable fire and life safety code must be included.
  372  Notwithstanding chapter 633 or of any other code, statute,
  373  ordinance, administrative rule, or regulation, or any
  374  interpretation of the foregoing, an association, residential
  375  condominium, or unit owner is not obligated to retrofit the
  376  common elements, association property, or units of a residential
  377  condominium with a fire sprinkler system in a building that has
  378  been certified for occupancy by the applicable governmental
  379  entity if the unit owners have voted to forego such retrofitting
  380  by the affirmative vote of a majority of all voting interests in
  381  the affected condominium. The local authority having
  382  jurisdiction may not require completion of retrofitting with a
  383  fire sprinkler system before January 1, 2020 the end of 2019. By
  384  December 31, 2016, a residential condominium an association that
  385  is not in compliance with the requirements for a fire sprinkler
  386  system and has not voted to forego retrofitting of such a system
  387  must initiate an application for a building permit for the
  388  required installation with the local government having
  389  jurisdiction demonstrating that the association will become
  390  compliant by December 31, 2019.
  391         1. A vote to forego retrofitting may be obtained by limited
  392  proxy or by a ballot personally cast at a duly called membership
  393  meeting, or by execution of a written consent by the member, and
  394  is effective upon recording a certificate attesting to such vote
  395  in the public records of the county where the condominium is
  396  located. The association shall mail or hand deliver to each unit
  397  owner written notice at least 14 days before the membership
  398  meeting in which the vote to forego retrofitting of the required
  399  fire sprinkler system is to take place. Within 30 days after the
  400  association’s opt-out vote, notice of the results of the opt-out
  401  vote must be mailed or hand delivered to all unit owners.
  402  Evidence of compliance with this notice requirement must be made
  403  by affidavit executed by the person providing the notice and
  404  filed among the official records of the association. After
  405  notice is provided to each owner, a copy must be provided by the
  406  current owner to a new owner before closing and by a unit owner
  407  to a renter before signing a lease.
  408         2. If there has been a previous vote to forego
  409  retrofitting, a vote to require retrofitting may be obtained at
  410  a special meeting of the unit owners called by a petition of at
  411  least 10 percent of the voting interests. Such a vote may only
  412  be called once every 3 years. Notice shall be provided as
  413  required for any regularly called meeting of the unit owners,
  414  and must state the purpose of the meeting. Electronic
  415  transmission may not be used to provide notice of a meeting
  416  called in whole or in part for this purpose.
  417         3. As part of the information collected annually from
  418  condominiums, the division shall require condominium
  419  associations to report the membership vote and recording of a
  420  certificate under this subsection and, if retrofitting has been
  421  undertaken, the per-unit cost of such work. The division shall
  422  annually report to the Division of State Fire Marshal of the
  423  Department of Financial Services the number of condominiums that
  424  have elected to forego retrofitting.
  425         4. Notwithstanding s. 553.509, a residential an association
  426  may not be obligated to, and may forego the retrofitting of, any
  427  improvements required by s. 553.509(2) upon an affirmative vote
  428  of a majority of the voting interests in the affected
  429  condominium.
  430         Section 2. Subsection (5) of section 718.113, Florida
  431  Statutes, is amended to read:
  432         718.113 Maintenance; limitation upon improvement; display
  433  of flag; hurricane shutters and protection; display of religious
  434  decorations.—
  435         (5) Each board of administration of a residential
  436  condominium shall adopt hurricane shutter specifications for
  437  each building within each condominium operated by the
  438  association which shall include color, style, and other factors
  439  deemed relevant by the board. All specifications adopted by the
  440  board must comply with the applicable building code.
  441         (a) The board may, subject to s. 718.3026 and the approval
  442  of a majority of voting interests of the residential
  443  condominium, install hurricane shutters, impact glass, code
  444  compliant windows or doors, or other types of code-compliant
  445  hurricane protection that comply with or exceed the applicable
  446  building code. However, a vote of the owners is not required if
  447  the maintenance, repair, and replacement of hurricane shutters,
  448  impact glass, code-compliant windows or doors, or other types of
  449  code-compliant hurricane protection are the responsibility of
  450  the association pursuant to the declaration of condominium. If
  451  hurricane protection or laminated glass or window film
  452  architecturally designed to function as hurricane protection
  453  that complies with or exceeds the current applicable building
  454  code has been previously installed, the board may not install
  455  hurricane shutters, impact glass, code-compliant windows or
  456  doors, or other types of code-compliant hurricane protection
  457  except upon approval by a majority vote of the voting interests.
  458         (b) The association is responsible for the maintenance,
  459  repair, and replacement of the hurricane shutters, impact glass,
  460  code-compliant windows or doors, or other types of code
  461  compliant hurricane protection authorized by this subsection if
  462  such property is the responsibility of the association pursuant
  463  to the declaration of condominium. If the hurricane shutters,
  464  impact glass, code-compliant windows or doors, or other types of
  465  code-compliant hurricane protection are the responsibility of
  466  the unit owners pursuant to the declaration of condominium, the
  467  maintenance, repair, and replacement of such items are the
  468  responsibility of the unit owner.
  469         (c) The board may operate shutters, impact glass, code
  470  compliant windows or doors, or other types of code-compliant
  471  hurricane protection installed pursuant to this subsection
  472  without permission of the unit owners only if such operation is
  473  necessary to preserve and protect the condominium property and
  474  association property. The installation, replacement, operation,
  475  repair, and maintenance of such shutters, impact glass, code
  476  compliant windows or doors, or other types of code-compliant
  477  hurricane protection in accordance with the procedures set forth
  478  in this paragraph are not a material alteration to the common
  479  elements or association property within the meaning of this
  480  section.
  481         (d) Notwithstanding any other provision in the residential
  482  condominium documents, if approval is required by the documents,
  483  a board may not refuse to approve the installation or
  484  replacement of hurricane shutters, impact glass, code-compliant
  485  windows or doors, or other types of code-compliant hurricane
  486  protection by a unit owner conforming to the specifications
  487  adopted by the board.
  488         Section 3. Subsection (6) is added to section 718.1255,
  489  Florida Statutes, to read:
  490         718.1255 Alternative dispute resolution; voluntary
  491  mediation; mandatory nonbinding arbitration; legislative
  492  findings.—
  493         (6) APPLICABILITY.—This section does not apply to a
  494  nonresidential condominium unless otherwise specifically
  495  provided for in the declaration of the nonresidential
  496  condominium.
  497         Section 4. Subsection (1) of section 718.403, Florida
  498  Statutes, is reenacted, paragraph (a) of subsection (2) of that
  499  section is amended, and subsection (9) is added to that section,
  500  to read:
  501         718.403 Phase condominiums.—
  502         (1) Notwithstanding the provisions of s. 718.110, a
  503  developer may develop a condominium in phases, if the original
  504  declaration of condominium submitting the initial phase to
  505  condominium ownership or an amendment to the declaration which
  506  has been approved by all of the unit owners and unit mortgagees
  507  provides for and describes in detail all anticipated phases; the
  508  impact, if any, which the completion of subsequent phases would
  509  have upon the initial phase; and the time period within which
  510  all phases must be added to the condominium and comply with the
  511  requirements of this section and at the end of which the right
  512  to add additional phases expires.
  513         (a) All phases must be added to the condominium within 7
  514  years after the date of the recording of the certificate of a
  515  surveyor and mapper pursuant to s. 718.104(4)(e) or the
  516  recording of an instrument that transfers title to a unit in the
  517  condominium which is not accompanied by a recorded assignment of
  518  developer rights in favor of the grantee of such unit, whichever
  519  occurs first, unless the unit owners vote to approve an
  520  amendment extending the 7-year period pursuant to paragraph (b).
  521         (b) An amendment to extend the 7-year period shall require
  522  the approval of the owners necessary to amend the declaration of
  523  condominium pursuant to s. 718.110(1)(a). An extension of the 7
  524  year period may be submitted for approval only during the last 3
  525  years of the 7-year period.
  526         (c) An amendment must describe the time period within which
  527  all phases must be added to the condominium, and such time
  528  period may not exceed 10 years from the date of the recording of
  529  the certificate of a surveyor and mapper pursuant to s.
  530  718.104(4)(e) or the recording of an instrument that transfers
  531  title to a unit in the condominium which is not accompanied by a
  532  recorded assignment of developer rights in favor of the grantee
  533  of such unit, whichever occurs first.
  534         (d) An amendment that extends the 7-year period pursuant to
  535  this section is not subject to the requirements of s.
  536  718.110(4).
  537         (2) The original declaration of condominium, or an
  538  amendment to the declaration, which amendment has been approved
  539  by all unit owners and unit mortgagees and the developer, shall
  540  describe:
  541         (a) The land which may become part of the condominium and
  542  the land on which each phase is to be built. The descriptions
  543  shall include metes and bounds or other legal descriptions of
  544  the land for each phase, plot plans, and surveys. Plot plans,
  545  attached as an exhibit, must show the approximate location of
  546  all existing and proposed buildings and improvements that may
  547  ultimately be contained within the condominium. The plot plan
  548  may be modified by the developer as to unit or building types
  549  but, in a residential condominium, only to the extent that such
  550  changes are described in the declaration. If provided in the
  551  declaration, the developer may make nonmaterial changes in the
  552  legal description of a phase.
  553         (9) Paragraphs (2)(b)-(f) and subsection (8) do not apply
  554  to nonresidential condominiums.
  555         Section 5. Section 718.707, Florida Statutes, is amended to
  556  read:
  557         718.707 Time limitation for classification as bulk assignee
  558  or bulk buyer.—A person acquiring condominium parcels may not be
  559  classified as a bulk assignee or bulk buyer unless the
  560  condominium parcels were acquired on or after July 1, 2010, but
  561  before July 1, 2016 2015. The date of such acquisition shall be
  562  determined by the date of recording a deed or other instrument
  563  of conveyance for such parcels in the public records of the
  564  county in which the condominium is located, or by the date of
  565  issuing a certificate of title in a foreclosure proceeding with
  566  respect to such condominium parcels.
  567         Section 6. This act shall take effect July 1, 2014.