Florida Senate - 2020                        COMMITTEE AMENDMENT
       Bill No. CS for SB 1154
       
       
       
       
       
       
                                Ì318148:Î318148                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  02/12/2020           .                                
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       The Committee on Community Affairs (Baxley) recommended the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 72 - 1430
    4  and insert:
    5         Section 1. Subsection (4) of section 627.714, Florida
    6  Statutes, is amended to read:
    7         627.714 Residential condominium unit owner coverage; loss
    8  assessment coverage required.—
    9         (4) Every individual unit owner’s residential property
   10  policy must contain a provision stating that the coverage
   11  afforded by such policy is excess coverage over the amount
   12  recoverable under any other policy covering the same property.
   13  If a condominium association’s insurance policy does not provide
   14  rights for subrogation against the unit owners in the
   15  association, an insurance policy issued to an individual unit
   16  owner located in the association may not provide rights of
   17  subrogation against the condominium association.
   18         Section 2. Section 712.065, Florida Statutes, is created to
   19  read:
   20         712.065 Extinguishment of discriminatory restrictions.—
   21         (1)As used in this section, the term “discriminatory
   22  restriction” means a provision in a title transaction recorded
   23  in this state which restricts the ownership, occupancy, or use
   24  of any real property in this state by any natural person on the
   25  basis of a characteristic that has been held, or is held after
   26  July 1, 2020, by the United States Supreme Court or the Florida
   27  Supreme Court to be protected against discrimination under the
   28  Fourteenth Amendment to the United States Constitution or under
   29  s. 2, Art. I of the State Constitution, including race, color,
   30  national origin, religion, gender, or physical disability.
   31         (2)A discriminatory restriction is not enforceable in this
   32  state, and all discriminatory restrictions contained in any
   33  title transaction recorded in this state are unlawful, are
   34  unenforceable, and are declared null and void. Any
   35  discriminatory restriction contained in a previously recorded
   36  title transaction is extinguished and severed from the recorded
   37  title transaction and the remainder of the title transaction
   38  remains enforceable and effective. The recording of any notice
   39  preserving or protecting interests or rights pursuant to s.
   40  712.05 does not reimpose or preserve any discriminatory
   41  restriction that is extinguished under this section.
   42         (3)Upon request of a parcel owner, a discriminatory
   43  restriction appearing in a covenant or restriction affecting the
   44  parcel may be removed from the covenant or restriction by an
   45  amendment approved by a majority vote of the board of directors
   46  of the respective property owners’ association or an owners’
   47  association in which all owners may voluntarily join,
   48  notwithstanding any other requirements for approval of an
   49  amendment of the covenant or restriction. Unless the amendment
   50  also changes other provisions of the covenant or restriction,
   51  the recording of an amendment removing a discriminatory
   52  restriction does not constitute a title transaction occurring
   53  after the root of title for purposes of s. 712.03(4).
   54         Section 3. Paragraphs (a), (b), (c), (f) and (g) of
   55  subsection (12) of section 718.111, Florida Statutes, are
   56  amended to read:
   57         718.111 The association.—
   58         (12) OFFICIAL RECORDS.—
   59         (a) From the inception of the association, the association
   60  shall maintain each of the following items, if applicable, which
   61  constitutes the official records of the association:
   62         1. A copy of the plans, permits, warranties, and other
   63  items provided by the developer under pursuant to s. 718.301(4).
   64         2. A photocopy of the recorded declaration of condominium
   65  of each condominium operated by the association and each
   66  amendment to each declaration.
   67         3. A photocopy of the recorded bylaws of the association
   68  and each amendment to the bylaws.
   69         4. A certified copy of the articles of incorporation of the
   70  association, or other documents creating the association, and
   71  each amendment thereto.
   72         5. A copy of the current rules of the association.
   73         6. A book or books that contain the minutes of all meetings
   74  of the association, the board of administration, and the unit
   75  owners.
   76         7. A current roster of all unit owners and their mailing
   77  addresses, unit identifications, voting certifications, and, if
   78  known, telephone numbers. The association shall also maintain
   79  the e-mail addresses and facsimile numbers of unit owners
   80  consenting to receive notice by electronic transmission. The e
   81  mail addresses and facsimile numbers are not accessible to unit
   82  owners if consent to receive notice by electronic transmission
   83  is not provided in accordance with sub-subparagraph (c)3.e.
   84  However, the association is not liable for an inadvertent
   85  disclosure of the e-mail address or facsimile number for
   86  receiving electronic transmission of notices.
   87         8. All current insurance policies of the association and
   88  condominiums operated by the association.
   89         9. A current copy of any management agreement, lease, or
   90  other contract to which the association is a party or under
   91  which the association or the unit owners have an obligation or
   92  responsibility.
   93         10. Bills of sale or transfer for all property owned by the
   94  association.
   95         11. Accounting records for the association and separate
   96  accounting records for each condominium that the association
   97  operates. Any person who knowingly or intentionally defaces or
   98  destroys such records, or who knowingly or intentionally fails
   99  to create or maintain such records, with the intent of causing
  100  harm to the association or one or more of its members, is
  101  personally subject to a civil penalty under s. 718.501(2)(d)
  102  pursuant to s. 718.501(1)(d). The accounting records must
  103  include, but are not limited to:
  104         a. Accurate, itemized, and detailed records of all receipts
  105  and expenditures.
  106         b. A current account and a monthly, bimonthly, or quarterly
  107  statement of the account for each unit designating the name of
  108  the unit owner, the due date and amount of each assessment, the
  109  amount paid on the account, and the balance due.
  110         c. All audits, reviews, accounting statements, and
  111  financial reports of the association or condominium.
  112         d. All contracts for work to be performed. Bids for work to
  113  be performed are also considered official records and must be
  114  maintained by the association for at least 1 year after receipt
  115  of the bid.
  116         12. Ballots, sign-in sheets, voting proxies, and all other
  117  papers and electronic records relating to voting by unit owners,
  118  which must be maintained for 1 year from the date of the
  119  election, vote, or meeting to which the document relates,
  120  notwithstanding paragraph (b).
  121         13. All rental records if the association is acting as
  122  agent for the rental of condominium units.
  123         14. A copy of the current question and answer sheet as
  124  described in s. 718.504.
  125         15. All other written records of the association not
  126  specifically included in the foregoing which are related to the
  127  operation of the association.
  128         16. A copy of the inspection report as described in s.
  129  718.301(4)(p).
  130         16.17. Bids for materials, equipment, or services.
  131         17.All other written records of the association not
  132  specifically included in subparagraphs 1.-16. which are related
  133  to the operation of the association.
  134         (b) The official records specified in subparagraphs (a)1.
  135  6. must be permanently maintained from the inception of the
  136  association. Bids for work to be performed or for materials,
  137  equipment, or services must be maintained for at least 1 year
  138  after receipt of the bid. All other official records must be
  139  maintained within the state for at least 7 years, unless
  140  otherwise provided by general law. All official records must be
  141  maintained in a manner and format determined by the division so
  142  that the records are easily accessible for inspection. The
  143  records of the association shall be made available to a unit
  144  owner within 45 miles of the condominium property or within the
  145  county in which the condominium property is located within 10
  146  working days after receipt of a written request by the board or
  147  its designee. However, such distance requirement does not apply
  148  to an association governing a timeshare condominium. This
  149  paragraph may be complied with by having a copy of the official
  150  records of the association available for inspection or copying
  151  on the condominium property or association property, or the
  152  association may offer the option of making the records available
  153  to a unit owner electronically via the Internet or by allowing
  154  the records to be viewed in electronic format on a computer
  155  screen and printed upon request. The association is not
  156  responsible for the use or misuse of the information provided to
  157  an association member or his or her authorized representative in
  158  pursuant to the compliance with requirements of this chapter
  159  unless the association has an affirmative duty not to disclose
  160  such information under pursuant to this chapter.
  161         (c)1. The official records of the association are open to
  162  inspection by any association member or the authorized
  163  representative of such member at all reasonable times. The right
  164  to inspect the records includes the right to make or obtain
  165  copies, at the reasonable expense, if any, of the member or
  166  authorized representative of such member. A renter of a unit
  167  only has a right to inspect and copy the declaration of
  168  condominium and association’s bylaws and rules. The association
  169  must provide a checklist to the member or the authorized
  170  representative of such member of all records that are made
  171  available for inspection and copying in response to a written
  172  request. If any of the association’s official records are not
  173  available, such records must be identified on the checklist
  174  provided to the person requesting the records. The checklist
  175  must be signed by a manager licensed pursuant to chapter 468 who
  176  certifies that the checklist is accurate to the best of his or
  177  her knowledge and belief or the association must provide the
  178  person requesting the records with a sworn affidavit attesting
  179  to the veracity of the checklist and executed by the person
  180  responding to the written request on behalf of the association.
  181  The association must maintain a copy of the checklist and
  182  affidavit for at least 7 years. Delivery of the checklist and,
  183  if required, the sworn affidavit to the person requesting the
  184  records creates a rebuttable presumption that the association
  185  complied with this paragraph. The association may adopt
  186  reasonable rules regarding the frequency, time, location,
  187  notice, and manner of record inspections and copying, but may
  188  not require a member to demonstrate any purpose or state any
  189  reason for the inspection. The failure of an association to
  190  provide the records within 10 working days after receipt of a
  191  written request creates a rebuttable presumption that the
  192  association willfully failed to comply with this paragraph. A
  193  unit owner who is denied access to official records is entitled
  194  to the actual damages or minimum damages for the association’s
  195  willful failure to comply. Minimum damages are $50 per calendar
  196  day for up to 10 days, beginning on the 11th working day after
  197  receipt of the written request. The failure to permit inspection
  198  entitles any person prevailing in an enforcement action to
  199  recover reasonable attorney fees from the person in control of
  200  the records who, directly or indirectly, knowingly denied access
  201  to the records.
  202         2. Any person who knowingly or intentionally defaces or
  203  destroys accounting records that are required by this chapter to
  204  be maintained during the period for which such records are
  205  required to be maintained, or who knowingly or intentionally
  206  fails to create or maintain accounting records that are required
  207  to be created or maintained, with the intent of causing harm to
  208  the association or one or more of its members, is personally
  209  subject to a civil penalty under 718.501(2)(d) pursuant to s.
  210  718.501(1)(d).
  211         3. The association shall maintain an adequate number of
  212  copies of the declaration, articles of incorporation, bylaws,
  213  and rules, and all amendments to each of the foregoing, as well
  214  as the question and answer sheet as described in s. 718.504 and
  215  year-end financial information required under this section, on
  216  the condominium property to ensure their availability to unit
  217  owners and prospective purchasers, and may charge its actual
  218  costs for preparing and furnishing these documents to those
  219  requesting the documents. An association shall allow a member or
  220  his or her authorized representative to use a portable device,
  221  including a smartphone, tablet, portable scanner, or any other
  222  technology capable of scanning or taking photographs, to make an
  223  electronic copy of the official records in lieu of the
  224  association’s providing the member or his or her authorized
  225  representative with a copy of such records. The association may
  226  not charge a member or his or her authorized representative for
  227  the use of a portable device. Notwithstanding this paragraph,
  228  the following records are not accessible to unit owners:
  229         a. Any record protected by the lawyer-client privilege as
  230  described in s. 90.502 and any record protected by the work
  231  product privilege, including a record prepared by an association
  232  attorney or prepared at the attorney’s express direction, which
  233  reflects a mental impression, conclusion, litigation strategy,
  234  or legal theory of the attorney or the association, and which
  235  was prepared exclusively for civil or criminal litigation or for
  236  adversarial administrative proceedings, or which was prepared in
  237  anticipation of such litigation or proceedings until the
  238  conclusion of the litigation or proceedings.
  239         b. Information obtained by an association in connection
  240  with the approval of the lease, sale, or other transfer of a
  241  unit.
  242         c. Personnel records of association or management company
  243  employees, including, but not limited to, disciplinary, payroll,
  244  health, and insurance records. For purposes of this sub
  245  subparagraph, the term “personnel records” does not include
  246  written employment agreements with an association employee or
  247  management company, or budgetary or financial records that
  248  indicate the compensation paid to an association employee.
  249         d. Medical records of unit owners.
  250         e. Social security numbers, driver license numbers, credit
  251  card numbers, e-mail addresses, telephone numbers, facsimile
  252  numbers, emergency contact information, addresses of a unit
  253  owner other than as provided to fulfill the association’s notice
  254  requirements, and other personal identifying information of any
  255  person, excluding the person’s name, unit designation, mailing
  256  address, property address, and any address, e-mail address, or
  257  facsimile number provided to the association to fulfill the
  258  association’s notice requirements. Notwithstanding the
  259  restrictions in this sub-subparagraph, an association may print
  260  and distribute to unit parcel owners a directory containing the
  261  name, unit parcel address, and all telephone numbers of each
  262  unit parcel owner. However, an owner may exclude his or her
  263  telephone numbers from the directory by so requesting in writing
  264  to the association. An owner may consent in writing to the
  265  disclosure of other contact information described in this sub
  266  subparagraph. The association is not liable for the inadvertent
  267  disclosure of information that is protected under this sub
  268  subparagraph if the information is included in an official
  269  record of the association and is voluntarily provided by an
  270  owner and not requested by the association.
  271         f. Electronic security measures that are used by the
  272  association to safeguard data, including passwords.
  273         g. The software and operating system used by the
  274  association which allow the manipulation of data, even if the
  275  owner owns a copy of the same software used by the association.
  276  The data is part of the official records of the association.
  277         (f) An outgoing board or committee member must relinquish
  278  all official records and property of the association in his or
  279  her possession or under his or her control to the incoming board
  280  within 5 days after the election. The division shall impose a
  281  civil penalty as set forth in s. 718.501(2)(d)6. s.
  282  718.501(1)(d)6. against an outgoing board or committee member
  283  who willfully and knowingly fails to relinquish such records and
  284  property.
  285         (g)1. By January 1, 2019, an association managing a
  286  condominium with 150 or more units which does not contain
  287  timeshare units shall post digital copies of the documents
  288  specified in subparagraph 2. on its website or make such
  289  documents available through an application that can be
  290  downloaded on a mobile device.
  291         a. The association’s website or application must be:
  292         (I) An independent website, application, or web portal
  293  wholly owned and operated by the association; or
  294         (II) A website, application, or web portal operated by a
  295  third-party provider with whom the association owns, leases,
  296  rents, or otherwise obtains the right to operate a web page,
  297  subpage, web portal, or collection of subpages or web portals,
  298  or application which is dedicated to the association’s
  299  activities and on which required notices, records, and documents
  300  may be posted or made available by the association.
  301         b. The association’s website or application must be
  302  accessible through the Internet and must contain a subpage, web
  303  portal, or other protected electronic location that is
  304  inaccessible to the general public and accessible only to unit
  305  owners and employees of the association.
  306         c. Upon a unit owner’s written request, the association
  307  must provide the unit owner with a username and password and
  308  access to the protected sections of the association’s website or
  309  application that contain any notices, records, or documents that
  310  must be electronically provided.
  311         2. A current copy of the following documents must be posted
  312  in digital format on the association’s website or application:
  313         a. The recorded declaration of condominium of each
  314  condominium operated by the association and each amendment to
  315  each declaration.
  316         b. The recorded bylaws of the association and each
  317  amendment to the bylaws.
  318         c. The articles of incorporation of the association, or
  319  other documents creating the association, and each amendment to
  320  the articles of incorporation or other documents thereto. The
  321  copy posted pursuant to this sub-subparagraph must be a copy of
  322  the articles of incorporation filed with the Department of
  323  State.
  324         d. The rules of the association.
  325         e. A list of all executory contracts or documents to which
  326  the association is a party or under which the association or the
  327  unit owners have an obligation or responsibility and, after
  328  bidding for the related materials, equipment, or services has
  329  closed, a list of bids received by the association within the
  330  past year. Summaries of bids for materials, equipment, or
  331  services which exceed $500 must be maintained on the website or
  332  application for 1 year. In lieu of summaries, complete copies of
  333  the bids may be posted.
  334         f. The annual budget required by s. 718.112(2)(f) and any
  335  proposed budget to be considered at the annual meeting.
  336         g. The financial report required by subsection (13) and any
  337  monthly income or expense statement to be considered at a
  338  meeting.
  339         h. The certification of each director required by s.
  340  718.112(2)(d)4.b.
  341         i. All contracts or transactions between the association
  342  and any director, officer, corporation, firm, or association
  343  that is not an affiliated condominium association or any other
  344  entity in which an association director is also a director or
  345  officer and financially interested.
  346         j. Any contract or document regarding a conflict of
  347  interest or possible conflict of interest as provided in ss.
  348  468.436(2)(b)6. and 718.3027(3).
  349         k. The notice of any unit owner meeting and the agenda for
  350  the meeting, as required by s. 718.112(2)(d)3., no later than 14
  351  days before the meeting. The notice must be posted in plain view
  352  on the front page of the website or application, or on a
  353  separate subpage of the website or application labeled “Notices”
  354  which is conspicuously visible and linked from the front page.
  355  The association must also post on its website or application any
  356  document to be considered and voted on by the owners during the
  357  meeting or any document listed on the agenda at least 7 days
  358  before the meeting at which the document or the information
  359  within the document will be considered.
  360         l. Notice of any board meeting, the agenda, and any other
  361  document required for the meeting as required by s.
  362  718.112(2)(c), which must be posted no later than the date
  363  required for notice under pursuant to s. 718.112(2)(c).
  364         3. The association shall ensure that the information and
  365  records described in paragraph (c), which are not allowed to be
  366  accessible to unit owners, are not posted on the association’s
  367  website or application. If protected information or information
  368  restricted from being accessible to unit owners is included in
  369  documents that are required to be posted on the association’s
  370  website or application, the association shall ensure the
  371  information is redacted before posting the documents online.
  372  Notwithstanding the foregoing, the association or its agent is
  373  not liable for disclosing information that is protected or
  374  restricted under pursuant to this paragraph unless such
  375  disclosure was made with a knowing or intentional disregard of
  376  the protected or restricted nature of such information.
  377         4. The failure of the association to post information
  378  required under subparagraph 2. is not in and of itself
  379  sufficient to invalidate any action or decision of the
  380  association’s board or its committees.
  381         Section 4. Paragraphs (d), (i), (k), and (p) of subsection
  382  (2) of section 718.112, Florida Statutes, are amended, and
  383  paragraph (c) is added to subsection (1) of that section, to
  384  read:
  385         718.112 Bylaws.—
  386         (1) GENERALLY.—
  387         (c)The association may extinguish a discriminatory
  388  restriction, as defined in s. 712.065(1), pursuant to s.
  389  712.065.
  390         (2) REQUIRED PROVISIONS.—The bylaws shall provide for the
  391  following and, if they do not do so, shall be deemed to include
  392  the following:
  393         (d) Unit owner meetings.—
  394         1. An annual meeting of the unit owners must be held at the
  395  location provided in the association bylaws and, if the bylaws
  396  are silent as to the location, the meeting must be held within
  397  45 miles of the condominium property. However, such distance
  398  requirement does not apply to an association governing a
  399  timeshare condominium.
  400         2. Unless the bylaws provide otherwise, a vacancy on the
  401  board caused by the expiration of a director’s term must be
  402  filled by electing a new board member, and the election must be
  403  by secret ballot. An election is not required if the number of
  404  vacancies equals or exceeds the number of candidates. For
  405  purposes of this paragraph, the term “candidate” means an
  406  eligible person who has timely submitted the written notice, as
  407  described in sub-subparagraph 4.a., of his or her intention to
  408  become a candidate. Except in a timeshare or nonresidential
  409  condominium, or if the staggered term of a board member does not
  410  expire until a later annual meeting, or if all members’ terms
  411  would otherwise expire but there are no candidates, the terms of
  412  all board members expire at the annual meeting, and such members
  413  may stand for reelection unless prohibited by the bylaws. Board
  414  members may serve terms longer than 1 year if permitted by the
  415  bylaws or articles of incorporation. A board member may not
  416  serve more than 8 consecutive years unless approved by an
  417  affirmative vote of unit owners representing two-thirds of all
  418  votes cast in the election or unless there are not enough
  419  eligible candidates to fill the vacancies on the board at the
  420  time of the vacancy. Only board service that occurs on or after
  421  July 1, 2018, may be used when calculating a board member’s term
  422  limit. If the number of board members whose terms expire at the
  423  annual meeting equals or exceeds the number of candidates, the
  424  candidates become members of the board effective upon the
  425  adjournment of the annual meeting. Unless the bylaws provide
  426  otherwise, any remaining vacancies shall be filled by the
  427  affirmative vote of the majority of the directors making up the
  428  newly constituted board even if the directors constitute less
  429  than a quorum or there is only one director. In a residential
  430  condominium association of more than 10 units or in a
  431  residential condominium association that does not include
  432  timeshare units or timeshare interests, co-owners of a unit may
  433  not serve as members of the board of directors at the same time
  434  unless they own more than one unit or unless there are not
  435  enough eligible candidates to fill the vacancies on the board at
  436  the time of the vacancy. A unit owner in a residential
  437  condominium desiring to be a candidate for board membership must
  438  comply with sub-subparagraph 4.a. and must be eligible to be a
  439  candidate to serve on the board of directors at the time of the
  440  deadline for submitting a notice of intent to run in order to
  441  have his or her name listed as a proper candidate on the ballot
  442  or to serve on the board. A person who has been suspended or
  443  removed by the division under this chapter, or who is delinquent
  444  in the payment of any monetary obligation due to the
  445  association, is not eligible to be a candidate for board
  446  membership and may not be listed on the ballot. A person who has
  447  been convicted of any felony in this state or in a United States
  448  District or Territorial Court, or who has been convicted of any
  449  offense in another jurisdiction which would be considered a
  450  felony if committed in this state, is not eligible for board
  451  membership unless such felon’s civil rights have been restored
  452  for at least 5 years as of the date such person seeks election
  453  to the board. The validity of an action by the board is not
  454  affected if it is later determined that a board member is
  455  ineligible for board membership due to having been convicted of
  456  a felony. This subparagraph does not limit the term of a member
  457  of the board of a nonresidential or timeshare condominium.
  458         3. The bylaws must provide the method of calling meetings
  459  of unit owners, including annual meetings. Written notice of an
  460  annual meeting must include an agenda;, must be mailed, hand
  461  delivered, or electronically transmitted to each unit owner at
  462  least 14 days before the annual meeting;, and must be posted in
  463  a conspicuous place on the condominium property at least 14
  464  continuous days before the annual meeting. Written notice of a
  465  meeting other than an annual meeting must include an agenda; be
  466  mailed, hand delivered, or electronically transmitted to each
  467  unit owner; and be posted in a conspicuous place on the
  468  condominium property in accordance with the minimum period of
  469  time for posting a notice as set forth in the bylaws, or if the
  470  bylaws do not provide such notice requirements, at least 14
  471  continuous days before the meeting. Upon notice to the unit
  472  owners, the board shall, by duly adopted rule, designate a
  473  specific location on the condominium property where all notices
  474  of unit owner meetings must be posted. This requirement does not
  475  apply if there is no condominium property for posting notices.
  476  In lieu of, or in addition to, the physical posting of meeting
  477  notices, the association may, by reasonable rule, adopt a
  478  procedure for conspicuously posting and repeatedly broadcasting
  479  the notice and the agenda on a closed-circuit cable television
  480  system serving the condominium association. However, if
  481  broadcast notice is used in lieu of a notice posted physically
  482  on the condominium property, the notice and agenda must be
  483  broadcast at least four times every broadcast hour of each day
  484  that a posted notice is otherwise required under this section.
  485  If broadcast notice is provided, the notice and agenda must be
  486  broadcast in a manner and for a sufficient continuous length of
  487  time so as to allow an average reader to observe the notice and
  488  read and comprehend the entire content of the notice and the
  489  agenda. In addition to any of the authorized means of providing
  490  notice of a meeting of the board, the association may, by rule,
  491  adopt a procedure for conspicuously posting the meeting notice
  492  and the agenda on a website serving the condominium association
  493  for at least the minimum period of time for which a notice of a
  494  meeting is also required to be physically posted on the
  495  condominium property. Any rule adopted shall, in addition to
  496  other matters, include a requirement that the association send
  497  an electronic notice in the same manner as a notice for a
  498  meeting of the members, which must include a hyperlink to the
  499  website where the notice is posted, to unit owners whose e-mail
  500  addresses are included in the association’s official records.
  501  Unless a unit owner waives in writing the right to receive
  502  notice of the annual meeting, such notice must be hand
  503  delivered, mailed, or electronically transmitted to each unit
  504  owner. Notice for meetings and notice for all other purposes
  505  must be mailed to each unit owner at the address last furnished
  506  to the association by the unit owner, or hand delivered to each
  507  unit owner. However, if a unit is owned by more than one person,
  508  the association must provide notice to the address that the
  509  developer identifies for that purpose and thereafter as one or
  510  more of the owners of the unit advise the association in
  511  writing, or if no address is given or the owners of the unit do
  512  not agree, to the address provided on the deed of record. An
  513  officer of the association, or the manager or other person
  514  providing notice of the association meeting, must provide an
  515  affidavit or United States Postal Service certificate of
  516  mailing, to be included in the official records of the
  517  association affirming that the notice was mailed or hand
  518  delivered in accordance with this provision.
  519         4. The members of the board of a residential condominium
  520  shall be elected by written ballot or voting machine. Proxies
  521  may not be used in electing the board in general elections or
  522  elections to fill vacancies caused by recall, resignation, or
  523  otherwise, unless otherwise provided in this chapter. This
  524  subparagraph does not apply to an association governing a
  525  timeshare condominium.
  526         a. At least 60 days before a scheduled election, the
  527  association shall mail, deliver, or electronically transmit, by
  528  separate association mailing or included in another association
  529  mailing, delivery, or transmission, including regularly
  530  published newsletters, to each unit owner entitled to a vote, a
  531  first notice of the date of the election. A unit owner or other
  532  eligible person desiring to be a candidate for the board must
  533  give written notice of his or her intent to be a candidate to
  534  the association at least 40 days before a scheduled election.
  535  Together with the written notice and agenda as set forth in
  536  subparagraph 3., the association shall mail, deliver, or
  537  electronically transmit a second notice of the election to all
  538  unit owners entitled to vote, together with a ballot that lists
  539  all candidates, not less than 14 days or more than 34 days
  540  before the date of the election. Upon request of a candidate, an
  541  information sheet, no larger than 8 1/2 inches by 11 inches,
  542  which must be furnished by the candidate at least 35 days before
  543  the election, must be included with the mailing, delivery, or
  544  transmission of the ballot, with the costs of mailing, delivery,
  545  or electronic transmission and copying to be borne by the
  546  association. The association is not liable for the contents of
  547  the information sheets prepared by the candidates. In order to
  548  reduce costs, the association may print or duplicate the
  549  information sheets on both sides of the paper. The division
  550  shall by rule establish voting procedures consistent with this
  551  sub-subparagraph, including rules establishing procedures for
  552  giving notice by electronic transmission and rules providing for
  553  the secrecy of ballots. Elections shall be decided by a
  554  plurality of ballots cast. There is no quorum requirement;
  555  however, at least 20 percent of the eligible voters must cast a
  556  ballot in order to have a valid election. A unit owner may not
  557  authorize any other person to vote his or her ballot, and any
  558  ballots improperly cast are invalid. A unit owner who violates
  559  this provision may be fined by the association in accordance
  560  with s. 718.303. A unit owner who needs assistance in casting
  561  the ballot for the reasons stated in s. 101.051 may obtain such
  562  assistance. The regular election must occur on the date of the
  563  annual meeting. Notwithstanding this sub-subparagraph, an
  564  election is not required unless more candidates file notices of
  565  intent to run or are nominated than board vacancies exist.
  566         b. Within 90 days after being elected or appointed to the
  567  board of an association of a residential condominium, each newly
  568  elected or appointed director shall certify in writing to the
  569  secretary of the association that he or she has read the
  570  association’s declaration of condominium, articles of
  571  incorporation, bylaws, and current written policies; that he or
  572  she will work to uphold such documents and policies to the best
  573  of his or her ability; and that he or she will faithfully
  574  discharge his or her fiduciary responsibility to the
  575  association’s members. In lieu of this written certification,
  576  within 90 days after being elected or appointed to the board,
  577  the newly elected or appointed director may submit a certificate
  578  of having satisfactorily completed the educational curriculum
  579  administered by a division-approved condominium education
  580  provider within 1 year before or 90 days after the date of
  581  election or appointment. The written certification or
  582  educational certificate is valid and does not have to be
  583  resubmitted as long as the director serves on the board without
  584  interruption. A director of an association of a residential
  585  condominium who fails to timely file the written certification
  586  or educational certificate is suspended from service on the
  587  board until he or she complies with this sub-subparagraph. The
  588  board may temporarily fill the vacancy during the period of
  589  suspension. The secretary shall cause the association to retain
  590  a director’s written certification or educational certificate
  591  for inspection by the members for 5 years after a director’s
  592  election or the duration of the director’s uninterrupted tenure,
  593  whichever is longer. Failure to have such written certification
  594  or educational certificate on file does not affect the validity
  595  of any board action.
  596         c. Any challenge to the election process must be commenced
  597  within 60 days after the election results are announced.
  598         5. Any approval by unit owners called for by this chapter
  599  or the applicable declaration or bylaws, including, but not
  600  limited to, the approval requirement in s. 718.111(8), must be
  601  made at a duly noticed meeting of unit owners and is subject to
  602  all requirements of this chapter or the applicable condominium
  603  documents relating to unit owner decisionmaking, except that
  604  unit owners may take action by written agreement, without
  605  meetings, on matters for which action by written agreement
  606  without meetings is expressly allowed by the applicable bylaws
  607  or declaration or any law that provides for such action.
  608         6. Unit owners may waive notice of specific meetings if
  609  allowed by the applicable bylaws or declaration or any law.
  610  Notice of meetings of the board of administration, unit owner
  611  meetings, except unit owner meetings called to recall board
  612  members under paragraph (j), and committee meetings may be given
  613  by electronic transmission to unit owners who consent to receive
  614  notice by electronic transmission. A unit owner who consents to
  615  receiving notices by electronic transmission is solely
  616  responsible for removing or bypassing filters that block receipt
  617  of mass e-mails emails sent to members on behalf of the
  618  association in the course of giving electronic notices.
  619         7. Unit owners have the right to participate in meetings of
  620  unit owners with reference to all designated agenda items.
  621  However, the association may adopt reasonable rules governing
  622  the frequency, duration, and manner of unit owner participation.
  623         8. A unit owner may tape record or videotape a meeting of
  624  the unit owners subject to reasonable rules adopted by the
  625  division.
  626         9. Unless otherwise provided in the bylaws, any vacancy
  627  occurring on the board before the expiration of a term may be
  628  filled by the affirmative vote of the majority of the remaining
  629  directors, even if the remaining directors constitute less than
  630  a quorum, or by the sole remaining director. In the alternative,
  631  a board may hold an election to fill the vacancy, in which case
  632  the election procedures must conform to sub-subparagraph 4.a.
  633  unless the association governs 10 units or fewer and has opted
  634  out of the statutory election process, in which case the bylaws
  635  of the association control. Unless otherwise provided in the
  636  bylaws, a board member appointed or elected under this section
  637  shall fill the vacancy for the unexpired term of the seat being
  638  filled. Filling vacancies created by recall is governed by
  639  paragraph (j) and rules adopted by the division.
  640         10. This chapter does not limit the use of general or
  641  limited proxies, require the use of general or limited proxies,
  642  or require the use of a written ballot or voting machine for any
  643  agenda item or election at any meeting of a timeshare
  644  condominium association or nonresidential condominium
  645  association.
  646  
  647  Notwithstanding subparagraph (b)2. and sub-subparagraph 4.a., an
  648  association of 10 or fewer units may, by affirmative vote of a
  649  majority of the total voting interests, provide for different
  650  voting and election procedures in its bylaws, which may be by a
  651  proxy specifically delineating the different voting and election
  652  procedures. The different voting and election procedures may
  653  provide for elections to be conducted by limited or general
  654  proxy.
  655         (i) Transfer fees.An association may not no charge an
  656  applicant any fees, except the actual costs of any background
  657  check or screening performed shall be made by the association as
  658  supported by an invoice from an independent third party
  659  background investigation company used by the association or its
  660  authorized agent, or any body thereof in connection with the
  661  sale, mortgage, lease, sublease, or other transfer of a unit
  662  unless the association is required to approve such transfer and
  663  a fee for such approval is provided for in the declaration,
  664  articles, or bylaws. Neither the association, nor its authorized
  665  agent may charge an owner, purchaser, mortgagee, lessee, or
  666  sublessee any administration fee on such background check or
  667  screening. In addition to the actual costs of any background
  668  check or screening performed by the association, a transfer any
  669  such fee may be preset, but may not in no event may such fee
  670  exceed $100 per applicant other than spouses or parent and
  671  dependent child, who husband/wife or parent/dependent child,
  672  which are considered one applicant. However, if the lease or
  673  sublease is a renewal of a lease or sublease with the same
  674  lessee or sublessee, a charge may not no charge shall be made.
  675  The foregoing notwithstanding, an association may, if the
  676  authority to do so appears in the declaration, articles, or
  677  bylaws, require that a prospective lessee place a security
  678  deposit, in an amount not to exceed the equivalent of 1 month’s
  679  rent, into an escrow account maintained by the association. The
  680  security deposit shall protect against damages to the common
  681  elements or association property. Payment of interest, claims
  682  against the deposit, refunds, and disputes under this paragraph
  683  shall be handled in the same fashion as provided in part II of
  684  chapter 83.
  685         (k) Alternative Dispute Resolution Arbitration.— There must
  686  shall be a provision for mandatory alternative dispute
  687  resolution nonbinding arbitration as provided for in s. 718.1255
  688  for any residential condominium.
  689         (p)Service providers; conflicts of interest.—An
  690  association, which is not a timeshare condominium association,
  691  may not employ or contract with any service provider that is
  692  owned or operated by a board member or with any person who has a
  693  financial relationship with a board member or officer, or a
  694  relative within the third degree of consanguinity by blood or
  695  marriage of a board member or officer. This paragraph does not
  696  apply to a service provider in which a board member or officer,
  697  or a relative within the third degree of consanguinity by blood
  698  or marriage of a board member or officer, owns less than 1
  699  percent of the equity shares.
  700         Section 5. Subsection (8) of section 718.113, Florida
  701  Statutes, is amended to read:
  702         718.113 Maintenance; limitation upon improvement; display
  703  of flag; hurricane shutters and protection; display of religious
  704  decorations.—
  705         (8) The Legislature finds that the use of electric and
  706  natural gas fuel vehicles conserves and protects the state’s
  707  environmental resources, provides significant economic savings
  708  to drivers, and serves an important public interest. The
  709  participation of condominium associations is essential to the
  710  state’s efforts to conserve and protect the state’s
  711  environmental resources and provide economic savings to drivers.
  712  For purposes of this subsection, the term “natural gas fuel” has
  713  the same meaning as in s. 206.9951, and the term “natural gas
  714  fuel vehicle” means any motor vehicle, as defined in s.
  715  320.01(1), powered by natural gas fuel. Therefore, the
  716  installation of an electric vehicle charging or natural gas fuel
  717  station shall be governed as follows:
  718         (a) A declaration of condominium or restrictive covenant
  719  may not prohibit or be enforced so as to prohibit any unit owner
  720  from installing an electric vehicle charging or natural gas fuel
  721  station within the boundaries of the unit owner’s limited common
  722  element or exclusively designated parking area. The board of
  723  administration of a condominium association may not prohibit a
  724  unit owner from installing an electric vehicle charging station
  725  for an electric vehicle, as defined in s. 320.01, or a natural
  726  gas fuel station for a natural gas fuel vehicle within the
  727  boundaries of his or her limited common element or exclusively
  728  designated parking area. The installation of such charging or
  729  fuel stations are subject to the provisions of this subsection.
  730         (b) The installation may not cause irreparable damage to
  731  the condominium property.
  732         (c) The electricity for the electric vehicle charging or
  733  natural gas fuel station must be separately metered or metered
  734  by an embedded meter and payable by the unit owner installing
  735  such charging or fuel station or by his or her successor.
  736         (d)The cost for supply and storage of the natural gas fuel
  737  must be paid by the unit owner installing the natural gas fuel
  738  station or by his or her successor.
  739         (e)(d) The unit owner who is installing an electric vehicle
  740  charging or natural gas fuel station is responsible for the
  741  costs of installation, operation, maintenance, and repair,
  742  including, but not limited to, hazard and liability insurance.
  743  The association may enforce payment of such costs under pursuant
  744  to s. 718.116.
  745         (f)(e) If the unit owner or his or her successor decides
  746  there is no longer a need for the electronic vehicle charging or
  747  natural gas fuel station, such person is responsible for the
  748  cost of removal of such the electronic vehicle charging or fuel
  749  station. The association may enforce payment of such costs under
  750  pursuant to s. 718.116.
  751         (g)The unit owner installing, maintaining, or removing the
  752  electric vehicle charging or natural gas fuel station is
  753  responsible for complying with all federal, state, or local laws
  754  and regulations applicable to such installation, maintenance, or
  755  removal.
  756         (h)(f) The association may require the unit owner to:
  757         1. Comply with bona fide safety requirements, consistent
  758  with applicable building codes or recognized safety standards,
  759  for the protection of persons and property.
  760         2. Comply with reasonable architectural standards adopted
  761  by the association that govern the dimensions, placement, or
  762  external appearance of the electric vehicle charging or natural
  763  gas fuel station, provided that such standards may not prohibit
  764  the installation of such charging or fuel station or
  765  substantially increase the cost thereof.
  766         3. Engage the services of a licensed and registered firm
  767  electrical contractor or engineer familiar with the installation
  768  or removal and core requirements of an electric vehicle charging
  769  or natural gas fuel station.
  770         4. Provide a certificate of insurance naming the
  771  association as an additional insured on the owner’s insurance
  772  policy for any claim related to the installation, maintenance,
  773  or use of the electric vehicle charging or natural gas fuel
  774  station within 14 days after receiving the association’s
  775  approval to install such charging or fuel station or notice to
  776  provide such a certificate.
  777         5. Reimburse the association for the actual cost of any
  778  increased insurance premium amount attributable to the electric
  779  vehicle charging or natural gas fuel station within 14 days
  780  after receiving the association’s insurance premium invoice.
  781         (i)(g) The association provides an implied easement across
  782  the common elements of the condominium property to the unit
  783  owner for purposes of the installation of the electric vehicle
  784  charging or natural gas fuel station installation, and the
  785  furnishing of electrical power or natural gas fuel supply,
  786  including any necessary equipment, to such charging or fuel
  787  station, subject to the requirements of this subsection.
  788         Section 6. Section 718.1255, Florida Statutes, is amended
  789  to read:
  790         718.1255 Alternative dispute resolution; voluntary
  791  mediation; mandatory nonbinding arbitration; legislative
  792  findings.—
  793         (1) DEFINITIONS.—As used in this section, the term
  794  “dispute” means any disagreement between two or more parties
  795  that involves:
  796         (a) The authority of the board of directors, under this
  797  chapter or association document to:
  798         1. Require any owner to take any action, or not to take any
  799  action, involving that owner’s unit or the appurtenances
  800  thereto.
  801         2. Alter or add to a common area or element.
  802         (b) The failure of a governing body, when required by this
  803  chapter or an association document, to:
  804         1. Properly conduct elections.
  805         2. Give adequate notice of meetings or other actions.
  806         3. Properly conduct meetings.
  807         4. Allow inspection of books and records.
  808         (c) A plan of termination pursuant to s. 718.117.
  809  
  810  “Dispute” does not include any disagreement that primarily
  811  involves: title to any unit or common element; the
  812  interpretation or enforcement of any warranty; the levy of a fee
  813  or assessment, or the collection of an assessment levied against
  814  a party; the eviction or other removal of a tenant from a unit;
  815  alleged breaches of fiduciary duty by one or more directors; or
  816  claims for damages to a unit based upon the alleged failure of
  817  the association to maintain the common elements or condominium
  818  property.
  819         (2) VOLUNTARY MEDIATION.—Voluntary mediation through
  820  Citizen Dispute Settlement Centers as provided for in s. 44.201
  821  is encouraged.
  822         (3) LEGISLATIVE FINDINGS.—
  823         (a) The Legislature finds that unit owners are frequently
  824  at a disadvantage when litigating against an association.
  825  Specifically, a condominium association, with its statutory
  826  assessment authority, is often more able to bear the costs and
  827  expenses of litigation than the unit owner who must rely on his
  828  or her own financial resources to satisfy the costs of
  829  litigation against the association.
  830         (b) The Legislature finds that alternative dispute
  831  resolution has been making progress in reducing court dockets
  832  and trials and in offering a more efficient, cost-effective
  833  option to court litigation. However, the Legislature also finds
  834  that alternative dispute resolution should not be used as a
  835  mechanism to encourage the filing of frivolous or nuisance
  836  suits.
  837         (c) There exists a need to develop a flexible means of
  838  alternative dispute resolution that directs disputes to the most
  839  efficient means of resolution.
  840         (d) The high cost and significant delay of circuit court
  841  litigation faced by unit owners in the state can be alleviated
  842  by requiring nonbinding arbitration and mediation in appropriate
  843  cases, thereby reducing delay and attorney’s fees while
  844  preserving the right of either party to have its case heard by a
  845  jury, if applicable, in a court of law.
  846         (4) MANDATORY NONBINDING ARBITRATION AND MEDIATION OF
  847  DISPUTES.—The Division of Florida Condominiums, Timeshares, and
  848  Mobile Homes of the Department of Business and Professional
  849  Regulation may employ full-time attorneys to act as arbitrators
  850  to conduct the arbitration hearings provided by this chapter.
  851  The division may also certify attorneys who are not employed by
  852  the division to act as arbitrators to conduct the arbitration
  853  hearings provided by this chapter. No person may be employed by
  854  the department as a full-time arbitrator unless he or she is a
  855  member in good standing of The Florida Bar. A person may only be
  856  certified by the division to act as an arbitrator if he or she
  857  has been a member in good standing of The Florida Bar for at
  858  least 5 years and has mediated or arbitrated at least 10
  859  disputes involving condominiums in this state during the 3 years
  860  immediately preceding the date of application, mediated or
  861  arbitrated at least 30 disputes in any subject area in this
  862  state during the 3 years immediately preceding the date of
  863  application, or attained board certification in real estate law
  864  or condominium and planned development law from The Florida Bar.
  865  Arbitrator certification is valid for 1 year. An arbitrator who
  866  does not maintain the minimum qualifications for initial
  867  certification may not have his or her certification renewed. The
  868  department may not enter into a legal services contract for an
  869  arbitration hearing under this chapter with an attorney who is
  870  not a certified arbitrator unless a certified arbitrator is not
  871  available within 50 miles of the dispute. The department shall
  872  adopt rules of procedure to govern such arbitration hearings
  873  including mediation incident thereto. The decision of an
  874  arbitrator shall be final; however, a decision shall not be
  875  deemed final agency action. Nothing in this provision shall be
  876  construed to foreclose parties from proceeding in a trial de
  877  novo unless the parties have agreed that the arbitration is
  878  binding. If judicial proceedings are initiated, the final
  879  decision of the arbitrator shall be admissible in evidence in
  880  the trial de novo.
  881         (a) Prior to the institution of court litigation, a party
  882  to a dispute shall either petition the division for nonbinding
  883  arbitration or initiate presuit mediation as provided in
  884  subsection (5). Arbitration shall be binding on the parties if
  885  all parties in arbitration agree to be bound in a writing filed
  886  in arbitration. The petition must be accompanied by a filing fee
  887  in the amount of $50. Filing fees collected under this section
  888  must be used to defray the expenses of the alternative dispute
  889  resolution program.
  890         (b) The petition must recite, and have attached thereto,
  891  supporting proof that the petitioner gave the respondents:
  892         1. Advance written notice of the specific nature of the
  893  dispute;
  894         2. A demand for relief, and a reasonable opportunity to
  895  comply or to provide the relief; and
  896         3. Notice of the intention to file an arbitration petition
  897  or other legal action in the absence of a resolution of the
  898  dispute.
  899  
  900  Failure to include the allegations or proof of compliance with
  901  these prerequisites requires dismissal of the petition without
  902  prejudice.
  903         (c) Upon receipt, the petition shall be promptly reviewed
  904  by the division to determine the existence of a dispute and
  905  compliance with the requirements of paragraphs (a) and (b). If
  906  emergency relief is required and is not available through
  907  arbitration, a motion to stay the arbitration may be filed. The
  908  motion must be accompanied by a verified petition alleging facts
  909  that, if proven, would support entry of a temporary injunction,
  910  and if an appropriate motion and supporting papers are filed,
  911  the division may abate the arbitration pending a court hearing
  912  and disposition of a motion for temporary injunction.
  913         (d) Upon determination by the division that a dispute
  914  exists and that the petition substantially meets the
  915  requirements of paragraphs (a) and (b) and any other applicable
  916  rules, the division shall assign or enter into a contract with
  917  an arbitrator and serve a copy of the petition upon all
  918  respondents. The arbitrator shall conduct a hearing within 30
  919  days after being assigned or entering into a contract unless the
  920  petition is withdrawn or a continuance is granted for good cause
  921  shown.
  922         (e) Before or after the filing of the respondents’ answer
  923  to the petition, any party may request that the arbitrator refer
  924  the case to mediation under this section and any rules adopted
  925  by the division. Upon receipt of a request for mediation, the
  926  division shall promptly contact the parties to determine if
  927  there is agreement that mediation would be appropriate. If all
  928  parties agree, the dispute must be referred to mediation.
  929  Notwithstanding a lack of an agreement by all parties, the
  930  arbitrator may refer a dispute to mediation at any time.
  931         (f) Upon referral of a case to mediation, the parties must
  932  select a mutually acceptable mediator. To assist in the
  933  selection, the arbitrator shall provide the parties with a list
  934  of both volunteer and paid mediators that have been certified by
  935  the division under s. 718.501. If the parties are unable to
  936  agree on a mediator within the time allowed by the arbitrator,
  937  the arbitrator shall appoint a mediator from the list of
  938  certified mediators. If a case is referred to mediation, the
  939  parties shall attend a mediation conference, as scheduled by the
  940  parties and the mediator. If any party fails to attend a duly
  941  noticed mediation conference, without the permission or approval
  942  of the arbitrator or mediator, the arbitrator must impose
  943  sanctions against the party, including the striking of any
  944  pleadings filed, the entry of an order of dismissal or default
  945  if appropriate, and the award of costs and attorney fees
  946  incurred by the other parties. Unless otherwise agreed to by the
  947  parties or as provided by order of the arbitrator, a party is
  948  deemed to have appeared at a mediation conference by the
  949  physical presence of the party or its representative having full
  950  authority to settle without further consultation, provided that
  951  an association may comply by having one or more representatives
  952  present with full authority to negotiate a settlement and
  953  recommend that the board of administration ratify and approve
  954  such a settlement within 5 days from the date of the mediation
  955  conference. The parties shall share equally the expense of
  956  mediation, unless they agree otherwise.
  957         (g) The purpose of mediation as provided for by this
  958  section is to present the parties with an opportunity to resolve
  959  the underlying dispute in good faith, and with a minimum
  960  expenditure of time and resources.
  961         (h) Mediation proceedings must generally be conducted in
  962  accordance with the Florida Rules of Civil Procedure, and these
  963  proceedings are privileged and confidential to the same extent
  964  as court-ordered mediation. Persons who are not parties to the
  965  dispute are not allowed to attend the mediation conference
  966  without the consent of all parties, with the exception of
  967  counsel for the parties and corporate representatives designated
  968  to appear for a party. If the mediator declares an impasse after
  969  a mediation conference has been held, the arbitration proceeding
  970  terminates, unless all parties agree in writing to continue the
  971  arbitration proceeding, in which case the arbitrator’s decision
  972  shall be binding or nonbinding, as agreed upon by the parties;
  973  in the arbitration proceeding, the arbitrator shall not consider
  974  any evidence relating to the unsuccessful mediation except in a
  975  proceeding to impose sanctions for failure to appear at the
  976  mediation conference. If the parties do not agree to continue
  977  arbitration, the arbitrator shall enter an order of dismissal,
  978  and either party may institute a suit in a court of competent
  979  jurisdiction. The parties may seek to recover any costs and
  980  attorney fees incurred in connection with arbitration and
  981  mediation proceedings under this section as part of the costs
  982  and fees that may be recovered by the prevailing party in any
  983  subsequent litigation.
  984         (i) Arbitration shall be conducted according to rules
  985  adopted by the division. The filing of a petition for
  986  arbitration shall toll the applicable statute of limitations.
  987         (j) At the request of any party to the arbitration, the
  988  arbitrator shall issue subpoenas for the attendance of witnesses
  989  and the production of books, records, documents, and other
  990  evidence and any party on whose behalf a subpoena is issued may
  991  apply to the court for orders compelling such attendance and
  992  production. Subpoenas shall be served and shall be enforceable
  993  in the manner provided by the Florida Rules of Civil Procedure.
  994  Discovery may, in the discretion of the arbitrator, be permitted
  995  in the manner provided by the Florida Rules of Civil Procedure.
  996  Rules adopted by the division may authorize any reasonable
  997  sanctions except contempt for a violation of the arbitration
  998  procedural rules of the division or for the failure of a party
  999  to comply with a reasonable nonfinal order issued by an
 1000  arbitrator which is not under judicial review.
 1001         (k) The arbitration decision shall be rendered within 30
 1002  days after the hearing and presented to the parties in writing.
 1003  An arbitration decision is final in those disputes in which the
 1004  parties have agreed to be bound. An arbitration decision is also
 1005  final if a complaint for a trial de novo is not filed in a court
 1006  of competent jurisdiction in which the condominium is located
 1007  within 30 days. The right to file for a trial de novo entitles
 1008  the parties to file a complaint in the appropriate trial court
 1009  for a judicial resolution of the dispute. The prevailing party
 1010  in an arbitration proceeding shall be awarded the costs of the
 1011  arbitration and reasonable attorney fees in an amount determined
 1012  by the arbitrator. Such an award shall include the costs and
 1013  reasonable attorney fees incurred in the arbitration proceeding
 1014  as well as the costs and reasonable attorney fees incurred in
 1015  preparing for and attending any scheduled mediation. An
 1016  arbitrator’s failure to render a written decision within 30 days
 1017  after the hearing may result in the cancellation of his or her
 1018  arbitration certification.
 1019         (l) The party who files a complaint for a trial de novo
 1020  shall be assessed the other party’s arbitration costs, court
 1021  costs, and other reasonable costs, including attorney fees,
 1022  investigation expenses, and expenses for expert or other
 1023  testimony or evidence incurred after the arbitration hearing if
 1024  the judgment upon the trial de novo is not more favorable than
 1025  the arbitration decision. If the judgment is more favorable, the
 1026  party who filed a complaint for trial de novo shall be awarded
 1027  reasonable court costs and attorney fees.
 1028         (m) Any party to an arbitration proceeding may enforce an
 1029  arbitration award by filing a petition in a court of competent
 1030  jurisdiction in which the condominium is located. A petition may
 1031  not be granted unless the time for appeal by the filing of a
 1032  complaint for trial de novo has expired. If a complaint for a
 1033  trial de novo has been filed, a petition may not be granted with
 1034  respect to an arbitration award that has been stayed. If the
 1035  petition for enforcement is granted, the petitioner shall
 1036  recover reasonable attorney fees and costs incurred in enforcing
 1037  the arbitration award. A mediation settlement may also be
 1038  enforced through the county or circuit court, as applicable, and
 1039  any costs and fees incurred in the enforcement of a settlement
 1040  agreement reached at mediation must be awarded to the prevailing
 1041  party in any enforcement action.
 1042         (5) PRESUIT MEDIATION.—In lieu of the initiation of
 1043  mandatory nonbinding arbitration set forth in subsections (1)
 1044  (4), a party may submit a dispute to presuit mediation in
 1045  accordance with s. 720.311. Election and recall disputes are not
 1046  eligible for mediation; such disputes must be arbitrated by the
 1047  division or filed with a court of competent jurisdiction.
 1048         (6) DISPUTES INVOLVING ELECTION IRREGULARITIES.—Every
 1049  arbitration petition received by the division and required to be
 1050  filed under this section challenging the legality of the
 1051  election of any director of the board of administration must be
 1052  handled on an expedited basis in the manner provided by the
 1053  division’s rules for recall arbitration disputes.
 1054         (7)(6) APPLICABILITY.—This section does not apply to a
 1055  nonresidential condominium unless otherwise specifically
 1056  provided for in the declaration of the nonresidential
 1057  condominium.
 1058         Section 7. Subsection (3) of section 718.202, Florida
 1059  Statutes, is amended to read:
 1060         718.202 Sales or reservation deposits prior to closing.—
 1061         (3) If the contract for sale of the condominium unit so
 1062  provides, the developer may withdraw escrow funds in excess of
 1063  10 percent of the purchase price from the special account
 1064  required by subsection (2) when the construction of improvements
 1065  has begun. He or she may use the funds for the actual costs
 1066  incurred by the developer in the actual construction and
 1067  development of the condominium property in which the unit to be
 1068  sold is located. Actual costs include, but are not limited to,
 1069  expenditures for demolition, site clearing, permit fees, impact
 1070  fees, and utility reservation fees, as well as architectural,
 1071  engineering, and surveying fees that directly relate to
 1072  construction and development. However, no part of these funds
 1073  may be used for salaries, commissions, or expenses of
 1074  salespersons; or for advertising, marketing, or promotional
 1075  purposes; or for loan fees, costs or interest, attorney fees,
 1076  accounting fees, or insurance. A contract which permits use of
 1077  the advance payments for these purposes shall include the
 1078  following legend conspicuously printed or stamped in boldfaced
 1079  type on the first page of the contract and immediately above the
 1080  place for the signature of the buyer: ANY PAYMENT IN EXCESS OF
 1081  10 PERCENT OF THE PURCHASE PRICE MADE TO DEVELOPER PRIOR TO
 1082  CLOSING PURSUANT TO THIS CONTRACT MAY BE USED FOR CONSTRUCTION
 1083  PURPOSES BY THE DEVELOPER.
 1084         Section 8. Subsection (1) and paragraph (b) of subsection
 1085  (3) of section 718.303, Florida Statutes, are amended to read:
 1086         718.303 Obligations of owners and occupants; remedies.—
 1087         (1) Each unit owner, each tenant and other invitee, and
 1088  each association is governed by, and must comply with the
 1089  provisions of, this chapter, the declaration, the documents
 1090  creating the association, and the association bylaws which are
 1091  shall be deemed expressly incorporated into any lease of a unit.
 1092  Actions at law or in equity for damages or for injunctive
 1093  relief, or both, for failure to comply with these provisions may
 1094  be brought by the association or by a unit owner against:
 1095         (a) The association.
 1096         (b) A unit owner.
 1097         (c) Directors designated by the developer, for actions
 1098  taken by them before control of the association is assumed by
 1099  unit owners other than the developer.
 1100         (d) Any director who willfully and knowingly fails to
 1101  comply with these provisions.
 1102         (e) Any tenant leasing a unit, and any other invitee
 1103  occupying a unit.
 1104  
 1105  The prevailing party in any such action or in any action in
 1106  which the purchaser claims a right of voidability based upon
 1107  contractual provisions as required in s. 718.503(1)(a) is
 1108  entitled to recover reasonable attorney attorney’s fees. A unit
 1109  owner prevailing in an action between the association and the
 1110  unit owner under this subsection section, in addition to
 1111  recovering his or her reasonable attorney attorney’s fees, may
 1112  recover additional amounts as determined by the court to be
 1113  necessary to reimburse the unit owner for his or her share of
 1114  assessments levied by the association to fund its expenses of
 1115  the litigation. This relief does not exclude other remedies
 1116  provided by law. Actions arising under this subsection are not
 1117  considered may not be deemed to be actions for specific
 1118  performance.
 1119         (3) The association may levy reasonable fines for the
 1120  failure of the owner of the unit or its occupant, licensee, or
 1121  invitee to comply with any provision of the declaration, the
 1122  association bylaws, or reasonable rules of the association. A
 1123  fine may not become a lien against a unit. A fine may be levied
 1124  by the board on the basis of each day of a continuing violation,
 1125  with a single notice and opportunity for hearing before a
 1126  committee as provided in paragraph (b). However, the fine may
 1127  not exceed $100 per violation, or $1,000 in the aggregate.
 1128         (b) A fine or suspension levied by the board of
 1129  administration may not be imposed unless the board first
 1130  provides at least 14 days’ written notice to the unit owner and,
 1131  if applicable, any tenant occupant, licensee, or invitee of the
 1132  unit owner sought to be fined or suspended, and an opportunity
 1133  for a hearing before a committee of at least three members
 1134  appointed by the board who are not officers, directors, or
 1135  employees of the association, or the spouse, parent, child,
 1136  brother, or sister of an officer, director, or employee. The
 1137  role of the committee is limited to determining whether to
 1138  confirm or reject the fine or suspension levied by the board. If
 1139  the committee does not approve the proposed fine or suspension
 1140  by majority vote, the fine or suspension may not be imposed. If
 1141  the proposed fine or suspension is approved by the committee,
 1142  the fine payment is due 5 days after notice of the approved fine
 1143  is provided to the unit owner and, if applicable, to any tenant,
 1144  licensee, or invitee of the unit owner the date of the committee
 1145  meeting at which the fine is approved. The association must
 1146  provide written notice of such fine or suspension by mail or
 1147  hand delivery to the unit owner and, if applicable, to any
 1148  tenant, licensee, or invitee of the unit owner.
 1149         Section 9. Present subsections (1) and (2) of section
 1150  718.501, Florida Statutes, are redesignated as subsections (2)
 1151  and (3), respectively, a new subsection (1) is added to that
 1152  section and paragraphs (h) and (j) of present subsection (1) of
 1153  that section are amended, to read:
 1154         718.501 Authority, responsibility, and duties of Division
 1155  of Florida Condominiums, Timeshares, and Mobile Homes.—
 1156         (1) As used in this section, the term “financial issue”
 1157  means an issue related to operating budgets; reserve schedules;
 1158  accounting records under s. 718.111(12)(a)11.; notices of
 1159  meetings; minutes of meetings discussing budget or financial
 1160  issues; assessments for common expenses, fees, or fines; the
 1161  commingling of funds; and any other record necessary to
 1162  determine the revenues and expenses of the association. The
 1163  division may adopt rules to further define what a financial
 1164  issue is under this section and may adopt a rule outlining the
 1165  requirements of the checklist under s. 718.111(c)1.
 1166         (2) The division may enforce and ensure compliance with the
 1167  provisions of this chapter and rules relating to the
 1168  development, construction, sale, lease, ownership, operation,
 1169  and management of residential condominium units. In performing
 1170  its duties, the division has complete jurisdiction to
 1171  investigate complaints and enforce compliance with respect to
 1172  associations that are still under developer control or the
 1173  control of a bulk assignee or bulk buyer pursuant to part VII of
 1174  this chapter and complaints against developers, bulk assignees,
 1175  or bulk buyers involving improper turnover or failure to
 1176  turnover, pursuant to s. 718.301. However, after turnover has
 1177  occurred, the division has jurisdiction to investigate
 1178  complaints related only to financial issues, elections, and the
 1179  maintenance of and unit owner access to association records
 1180  under pursuant to s. 718.111(12).
 1181         (h) The division shall furnish each association that pays
 1182  the fees required by paragraph (3)(a) (2)(a) a copy of this
 1183  chapter, as amended, and the rules adopted thereto on an annual
 1184  basis.
 1185         (j) The division shall provide training and educational
 1186  programs for condominium association board members and unit
 1187  owners. The training may, in the division’s discretion, include
 1188  web-based electronic media, and live training and seminars in
 1189  various locations throughout the state. The division may review
 1190  and approve education and training programs for board members
 1191  and unit owners offered by providers and shall maintain a
 1192  current list of approved programs and providers and make such
 1193  list available to board members and unit owners in a reasonable
 1194  and cost-effective manner. The division may adopt rules to
 1195  establish requirements for the training and educational programs
 1196  required in this paragraph.
 1197         Section 10. Section 718.5014, Florida Statutes, is amended
 1198  to read:
 1199         718.5014 Ombudsman location.—The ombudsman shall maintain
 1200  his or her principal office in a Leon County on the premises of
 1201  the division or, if suitable space cannot be provided there, at
 1202  another place convenient to the offices of the division which
 1203  will enable the ombudsman to expeditiously carry out the duties
 1204  and functions of his or her office. The ombudsman may establish
 1205  branch offices elsewhere in the state upon the concurrence of
 1206  the Governor.
 1207         Section 11. Subsection (25) of section 719.103, Florida
 1208  Statutes, is amended to read:
 1209         719.103 Definitions.—As used in this chapter:
 1210         (25) “Unit” means a part of the cooperative property which
 1211  is subject to exclusive use and possession. A unit may be
 1212  improvements, land, or land and improvements together, as
 1213  specified in the cooperative documents. An interest in a unit is
 1214  an interest in real property.
 1215         Section 12. Paragraph (c) of subsection (2) of section
 1216  719.104, Florida Statutes, is amended to read:
 1217         719.104 Cooperatives; access to units; records; financial
 1218  reports; assessments; purchase of leases.—
 1219         (2) OFFICIAL RECORDS.—
 1220         (c) The official records of the association are open to
 1221  inspection by any association member or the authorized
 1222  representative of such member at all reasonable times. The right
 1223  to inspect the records includes the right to make or obtain
 1224  copies, at the reasonable expense, if any, of the association
 1225  member. The association may adopt reasonable rules regarding the
 1226  frequency, time, location, notice, and manner of record
 1227  inspections and copying, but may not require a member to
 1228  demonstrate any purpose or state any reason for the inspection.
 1229  The failure of an association to provide the records within 10
 1230  working days after receipt of a written request creates a
 1231  rebuttable presumption that the association willfully failed to
 1232  comply with this paragraph. A member unit owner who is denied
 1233  access to official records is entitled to the actual damages or
 1234  minimum damages for the association’s willful failure to comply.
 1235  The minimum damages are $50 per calendar day for up to 10 days,
 1236  beginning on the 11th working day after receipt of the written
 1237  request. The failure to permit inspection entitles any person
 1238  prevailing in an enforcement action to recover reasonable
 1239  attorney fees from the person in control of the records who,
 1240  directly or indirectly, knowingly denied access to the records.
 1241  Any person who knowingly or intentionally defaces or destroys
 1242  accounting records that are required by this chapter to be
 1243  maintained during the period for which such records are required
 1244  to be maintained, or who knowingly or intentionally fails to
 1245  create or maintain accounting records that are required to be
 1246  created or maintained, with the intent of causing harm to the
 1247  association or one or more of its members, is personally subject
 1248  to a civil penalty under pursuant to s. 719.501(1)(d). The
 1249  association shall maintain an adequate number of copies of the
 1250  declaration, articles of incorporation, bylaws, and rules, and
 1251  all amendments to each of the foregoing, as well as the question
 1252  and answer sheet as described in s. 719.504 and year-end
 1253  financial information required by the department, on the
 1254  cooperative property to ensure their availability to members
 1255  unit owners and prospective purchasers, and may charge its
 1256  actual costs for preparing and furnishing these documents to
 1257  those requesting the same. An association shall allow a member
 1258  or his or her authorized representative to use a portable
 1259  device, including a smartphone, tablet, portable scanner, or any
 1260  other technology capable of scanning or taking photographs, to
 1261  make an electronic copy of the official records in lieu of the
 1262  association providing the member or his or her authorized
 1263  representative with a copy of such records. The association may
 1264  not charge a member or his or her authorized representative for
 1265  the use of a portable device. Notwithstanding this paragraph,
 1266  the following records shall not be accessible to members unit
 1267  owners:
 1268         1. Any record protected by the lawyer-client privilege as
 1269  described in s. 90.502 and any record protected by the work
 1270  product privilege, including any record prepared by an
 1271  association attorney or prepared at the attorney’s express
 1272  direction which reflects a mental impression, conclusion,
 1273  litigation strategy, or legal theory of the attorney or the
 1274  association, and which was prepared exclusively for civil or
 1275  criminal litigation or for adversarial administrative
 1276  proceedings, or which was prepared in anticipation of such
 1277  litigation or proceedings until the conclusion of the litigation
 1278  or proceedings.
 1279         2. Information obtained by an association in connection
 1280  with the approval of the lease, sale, or other transfer of a
 1281  unit.
 1282         3. Personnel records of association or management company
 1283  employees, including, but not limited to, disciplinary, payroll,
 1284  health, and insurance records. For purposes of this
 1285  subparagraph, the term “personnel records” does not include
 1286  written employment agreements with an association employee or
 1287  management company, or budgetary or financial records that
 1288  indicate the compensation paid to an association employee.
 1289         4. Medical records of unit owners.
 1290         5. Social security numbers, driver license numbers, credit
 1291  card numbers, e-mail addresses, telephone numbers, facsimile
 1292  numbers, emergency contact information, addresses of a unit
 1293  owner other than as provided to fulfill the association’s notice
 1294  requirements, and other personal identifying information of any
 1295  person, excluding the person’s name, unit designation, mailing
 1296  address, property address, and any address, e-mail address, or
 1297  facsimile number provided to the association to fulfill the
 1298  association’s notice requirements. Notwithstanding the
 1299  restrictions in this subparagraph, an association may print and
 1300  distribute to unit parcel owners a directory containing the
 1301  name, unit parcel address, and all telephone numbers of each
 1302  unit parcel owner. However, an owner may exclude his or her
 1303  telephone numbers from the directory by so requesting in writing
 1304  to the association. An owner may consent in writing to the
 1305  disclosure of other contact information described in this
 1306  subparagraph. The association is not liable for the inadvertent
 1307  disclosure of information that is protected under this
 1308  subparagraph if the information is included in an official
 1309  record of the association and is voluntarily provided by an
 1310  owner and not requested by the association.
 1311         6. Electronic security measures that are used by the
 1312  association to safeguard data, including passwords.
 1313         7. The software and operating system used by the
 1314  association which allow the manipulation of data, even if the
 1315  owner owns a copy of the same software used by the association.
 1316  The data is part of the official records of the association.
 1317         Section 13. Paragraph (b) of subsection (1) of section
 1318  719.106, Florida Statutes, is amended, and subsection (3) is
 1319  added to that section, to read:
 1320         719.106 Bylaws; cooperative ownership.—
 1321         (1) MANDATORY PROVISIONS.—The bylaws or other cooperative
 1322  documents shall provide for the following, and if they do not,
 1323  they shall be deemed to include the following:
 1324         (b) Quorum; voting requirements; proxies.—
 1325         1. Unless otherwise provided in the bylaws, the percentage
 1326  of voting interests required to constitute a quorum at a meeting
 1327  of the members shall be a majority of voting interests, and
 1328  decisions shall be made by owners of a majority of the voting
 1329  interests. Unless otherwise provided in this chapter, or in the
 1330  articles of incorporation, bylaws, or other cooperative
 1331  documents, and except as provided in subparagraph (d)1.,
 1332  decisions shall be made by owners of a majority of the voting
 1333  interests represented at a meeting at which a quorum is present.
 1334         2. Except as specifically otherwise provided herein, after
 1335  January 1, 1992, unit owners may not vote by general proxy, but
 1336  may vote by limited proxies substantially conforming to a
 1337  limited proxy form adopted by the division. Limited proxies and
 1338  general proxies may be used to establish a quorum. Limited
 1339  proxies shall be used for votes taken to waive or reduce
 1340  reserves in accordance with subparagraph (j)2., for votes taken
 1341  to waive the financial reporting requirements of s.
 1342  719.104(4)(b), for votes taken to amend the articles of
 1343  incorporation or bylaws pursuant to this section, and for any
 1344  other matter for which this chapter requires or permits a vote
 1345  of the unit owners. Except as provided in paragraph (d), after
 1346  January 1, 1992, no proxy, limited or general, shall be used in
 1347  the election of board members. General proxies may be used for
 1348  other matters for which limited proxies are not required, and
 1349  may also be used in voting for nonsubstantive changes to items
 1350  for which a limited proxy is required and given. Notwithstanding
 1351  the provisions of this section, unit owners may vote in person
 1352  at unit owner meetings. Nothing contained herein shall limit the
 1353  use of general proxies or require the use of limited proxies or
 1354  require the use of limited proxies for any agenda item or
 1355  election at any meeting of a timeshare cooperative.
 1356         3. Any proxy given shall be effective only for the specific
 1357  meeting for which originally given and any lawfully adjourned
 1358  meetings thereof. In no event shall any proxy be valid for a
 1359  period longer than 90 days after the date of the first meeting
 1360  for which it was given. Every proxy shall be revocable at any
 1361  time at the pleasure of the unit owner executing it.
 1362         4. A member of the board of administration or a committee
 1363  may submit in writing his or her agreement or disagreement with
 1364  any action taken at a meeting that the member did not attend.
 1365  This agreement or disagreement may not be used as a vote for or
 1366  against the action taken and may not be used for the purposes of
 1367  creating a quorum.
 1368         5. A board or committee member participating in a meeting
 1369  via telephone, real-time video conferencing, or similar real
 1370  time electronic or video communication counts toward a quorum,
 1371  and such member may vote as if physically present When some or
 1372  all of the board or committee members meet by telephone
 1373  conference, those board or committee members attending by
 1374  telephone conference may be counted toward obtaining a quorum
 1375  and may vote by telephone. A telephone speaker must shall be
 1376  used utilized so that the conversation of such those board or
 1377  committee members attending by telephone may be heard by the
 1378  board or committee members attending in person, as well as by
 1379  any unit owners present at a meeting.
 1380         (3)GENERALLY.—The association may extinguish a
 1381  discriminatory restriction, as defined in s. 712.065(1),
 1382  pursuant to s. 712.065.
 1383         Section 14. Paragraph (l) of subsection (4) of section
 1384  720.303, Florida Statutes, is redesignated as paragraph (m), a
 1385  new paragraph (l) is added to that subsection, and paragraph (c)
 1386  of subsection (2), present paragraph (l) of subsection (4), and
 1387  paragraphs (c) and (d) of subsection (6) of that section are
 1388  amended, to read:
 1389         720.303 Association powers and duties; meetings of board;
 1390  official records; budgets; financial reporting; association
 1391  funds; recalls.—
 1392         (2) BOARD MEETINGS.—
 1393         (c) The bylaws shall provide the following for giving
 1394  notice to parcel owners and members of all board meetings and,
 1395  if they do not do so, shall be deemed to include the following:
 1396         1. Notices of all board meetings must be posted in a
 1397  conspicuous place in the community at least 48 hours in advance
 1398  of a meeting, except in an emergency. In the alternative, if
 1399  notice is not posted in a conspicuous place in the community,
 1400  notice of each board meeting must be mailed or delivered to each
 1401  member at least 7 days before the meeting, except in an
 1402  emergency. Notwithstanding this general notice requirement, for
 1403  communities with more than 100 members, the association bylaws
 1404  may provide for a reasonable alternative to posting or mailing
 1405  of notice for each board meeting, including publication of
 1406  notice, provision of a schedule of board meetings, or the
 1407  conspicuous posting and repeated broadcasting of the notice on a
 1408  closed-circuit cable television system serving the homeowners’
 1409  association. However, if broadcast notice is used in lieu of a
 1410  notice posted physically in the community, the notice must be
 1411  broadcast at least four times every broadcast hour of each day
 1412  that a posted notice is otherwise required. When broadcast
 1413  notice is provided, the notice and agenda must be broadcast in a
 1414  manner and for a sufficient continuous length of time so as to
 1415  allow an average reader to observe the notice and read and
 1416  comprehend the entire content of the notice and the agenda. In
 1417  addition to any of the authorized means of providing notice of a
 1418  meeting of the board, the association may adopt, by rule, a
 1419  procedure for conspicuously posting the meeting notice and the
 1420  agenda on the association’s website for at least the minimum
 1421  period of time for which a notice of a meeting is also required
 1422  to be physically posted on the association property. Any such
 1423  rule must require the association to send to members whose e
 1424  mail addresses are included in the association’s official
 1425  records an electronic notice in the same manner as is required
 1426  for a notice of a meeting of the members. Such notice must
 1427  include a hyperlink to the website where the notice is posted.
 1428  The association may provide notice by electronic transmission in
 1429  a manner authorized by law for meetings of the board of
 1430  directors, committee meetings requiring notice under this
 1431  section, and annual and special meetings of the members to any
 1432  member who has provided a facsimile number or e-mail address to
 1433  the association to be used for such purposes; however, a member
 1434  must consent in writing to receiving notice by electronic
 1435  transmission.
 1436         2. An assessment may not be levied at a board meeting
 1437  unless the notice of the meeting includes a statement that
 1438  assessments will be considered and the nature of the
 1439  assessments. Written notice of any meeting at which special
 1440  assessments will be considered or at which amendments to rules
 1441  regarding parcel use will be considered must be mailed,
 1442  delivered, or electronically transmitted to the members and
 1443  parcel owners and posted conspicuously on the property or
 1444  broadcast on closed-circuit cable television not less than 14
 1445  days before the meeting.
 1446         3. Directors may not vote by proxy or by secret ballot at
 1447  board meetings, except that secret ballots may be used in the
 1448  election of officers. This subsection also applies to the
 1449  meetings of any committee or other similar body, when a final
 1450  decision will be made regarding the expenditure of association
 1451  funds, and to any body vested with the power to approve or
 1452  disapprove architectural decisions with respect to a specific
 1453  parcel of residential property owned by a member of the
 1454  community.
 1455         (4) OFFICIAL RECORDS.—The association shall maintain each
 1456  of the following items, when applicable, which constitute the
 1457  official records of the association:
 1458         (l)Ballots, sign-in sheets, voting proxies, and all other
 1459  papers and electronic records relating to voting by parcel
 1460  owners, which must be maintained for at least 1 year after the
 1461  date of the election, vote, or meeting.
 1462         (m)(l) All other written records of the association not
 1463  specifically included in this subsection the foregoing which are
 1464  related to the operation of the association.
 1465         (6) BUDGETS.—
 1466         (c)1. If the budget of the association does not provide for
 1467  reserve accounts pursuant to paragraph (d), or the declaration
 1468  of covenants, articles, or bylaws do not obligate the developer
 1469  to create reserves, and the association is responsible for the
 1470  repair and maintenance of capital improvements that may result
 1471  in a special assessment if reserves are not provided or not
 1472  fully funded, then each financial report for the preceding
 1473  fiscal year required by subsection (7) must contain the
 1474  following statement in conspicuous type:
 1475  
 1476         THE BUDGET OF THE ASSOCIATION DOES NOT PROVIDE FOR
 1477         FULLY FUNDING RESERVE ACCOUNTS FOR CAPITAL
 1478         EXPENDITURES AND DEFERRED MAINTENANCE THAT MAY RESULT
 1479         IN SPECIAL ASSESSMENTS REGARDING THOSE ITEMS. OWNERS
 1480         MAY ELECT TO PROVIDE FOR FULLY FUNDING RESERVE
 1481         ACCOUNTS PURSUANT TO SECTION 720.303(6), FLORIDA
 1482         STATUTES, UPON OBTAINING THE APPROVAL OF A MAJORITY OF
 1483         THE TOTAL VOTING INTERESTS OF THE ASSOCIATION BY VOTE
 1484         OF THE MEMBERS AT A MEETING OR BY WRITTEN CONSENT.
 1485  
 1486         2. If the budget of the association does provide for
 1487  funding accounts for deferred expenditures, including, but not
 1488  limited to, funds for capital expenditures and deferred
 1489  maintenance, but such accounts are not created or established
 1490  pursuant to paragraph (d), each financial report for the
 1491  preceding fiscal year required under subsection (7) must also
 1492  contain the following statement in conspicuous type:
 1493  
 1494         THE BUDGET OF THE ASSOCIATION PROVIDES FOR LIMITED
 1495         VOLUNTARY DEFERRED EXPENDITURE ACCOUNTS, INCLUDING
 1496         CAPITAL EXPENDITURES AND DEFERRED MAINTENANCE, SUBJECT
 1497         TO LIMITS ON FUNDING CONTAINED IN OUR GOVERNING
 1498         DOCUMENTS. BECAUSE THE OWNERS HAVE NOT ELECTED TO
 1499         PROVIDE FOR RESERVE ACCOUNTS PURSUANT TO SECTION
 1500         720.303(6), FLORIDA STATUTES, THESE FUNDS ARE NOT
 1501         SUBJECT TO THE RESTRICTIONS ON USE OF SUCH FUNDS SET
 1502         FORTH IN THAT STATUTE, NOR ARE RESERVES CALCULATED IN
 1503         ACCORDANCE WITH THAT STATUTE.
 1504         (d) An association is deemed to have provided for reserve
 1505  accounts if reserve accounts have been initially established by
 1506  the developer or if the membership of the association
 1507  affirmatively elects to provide for reserves. If reserve
 1508  accounts are established by the developer, the budget must
 1509  designate the components for which the reserve accounts may be
 1510  used. If reserve accounts are not initially provided by the
 1511  developer, the membership of the association may elect to do so
 1512  upon the affirmative approval of a majority of the total voting
 1513  interests of the association. Such approval may be obtained by
 1514  vote of the members at a duly called meeting of the membership
 1515  or by the written consent of a majority of the total voting
 1516  interests of the association. The approval action of the
 1517  membership must state that reserve accounts shall be provided
 1518  for in the budget and must designate the components for which
 1519  the reserve accounts are to be established. Upon approval by the
 1520  membership, the board of directors shall include the required
 1521  reserve accounts in the budget in the next fiscal year following
 1522  the approval and each year thereafter. Once established as
 1523  provided in this subsection, the reserve accounts must be funded
 1524  or maintained or have their funding waived in the manner
 1525  provided in paragraph (f).
 1526  
 1527  ================= T I T L E  A M E N D M E N T ================
 1528  And the title is amended as follows:
 1529         Delete lines 3 - 62
 1530  and insert:
 1531         627.714, F.S.; prohibiting subrogation rights against
 1532         a condominium association under certain circumstances;
 1533         creating s. 712.065, F.S.; defining the term
 1534         “discriminatory restriction”; providing that
 1535         discriminatory restrictions are unlawful,
 1536         unenforceable, and declared null and void; providing
 1537         that certain discriminatory restrictions are
 1538         extinguished and severed from recorded title
 1539         transactions; specifying that the recording of certain
 1540         notices does not reimpose or preserve a discriminatory
 1541         restriction; providing requirements for a parcel owner
 1542         to remove a discriminatory restriction from a covenant
 1543         or restriction; amending s. 718.111, F.S.; requiring
 1544         that certain records be maintained for a specified
 1545         time; requiring associations to maintain official
 1546         records in a specified manner; requiring an
 1547         association to provide a checklist or affidavit
 1548         relating to certain records to certain persons;
 1549         providing a timeframe for maintaining such checklist
 1550         and affidavit; creating a rebuttable presumption;
 1551         prohibiting an association from requiring certain
 1552         actions relating to the inspection of records;
 1553         revising requirements relating to the posting of
 1554         digital copies of certain documents by certain
 1555         condominium associations; conforming cross-references;
 1556         amending s. 718.112, F.S.; authorizing condominium
 1557         associations to extinguish discriminatory
 1558         restrictions; specifying that only board service that
 1559         occurs on or after a specified date may be used for
 1560         calculating a board member’s term limit; providing
 1561         requirements for certain notices; revising the fees an
 1562         association may charge for transfers; conforming
 1563         provisions to changes made by the act; deleting a
 1564         prohibition against employing or contracting with
 1565         certain service providers; amending s. 718.113, F.S.;
 1566         defining the terms “natural gas fuel” and “natural gas
 1567         fuel vehicle”; revising legislative findings; revising
 1568         requirements for electric vehicle charging stations;
 1569         providing requirements for the installation of natural
 1570         gas fuel stations on property governed by condominium
 1571         associations; amending s. 718.1255, F.S.; authorizing
 1572         parties to initiate presuit mediation under certain
 1573         circumstances; specifying when arbitration is binding
 1574         on the parties; providing requirements for presuit
 1575         mediation; amending s. 718.202, F.S.; revising how
 1576         developers may use certain withdrawn escrow funds;
 1577         amending s. 718.303, F.S.; revising requirements for
 1578         certain actions for failure to comply with specified
 1579         provisions; revising requirements for certain fines;
 1580         amending s. 718.501, F.S.; defining the term
 1581         “financial issue”; authorizing the Division of
 1582         Condominiums, Timeshares, and Mobile Homes to adopt
 1583         rules; amending s. 718.5014, F.S.; revising where the
 1584         principal office of the Office of the Condominium
 1585         Ombudsman must be maintained; amending s. 719.103,
 1586         F.S.; revising the definition of the term “unit” to
 1587         specify that an interest in a cooperative unit is an
 1588         interest in real property; amending s. 719.104, F.S.;
 1589         prohibiting an association from requiring certain
 1590         actions relating to the inspection of records; making
 1591         technical changes; amending s. 719.106, F.S.; revising
 1592         provisions relating to a quorum and voting rights for
 1593         members remotely participating in meetings;
 1594         authorizing cooperative associations to extinguish
 1595         discriminatory restrictions; amending s. 720.303,
 1596         F.S.; authorizing an association to adopt procedures
 1597         for electronic meeting notices; revising the documents
 1598         that constitute the official records of an
 1599         association; revising when a specified statement must
 1600         be included in an association’s financial report for
 1601         the preceding fiscal year; revising requirements for
 1602         such statement; revising when an association is deemed
 1603         to have provided for reserve accounts;