Florida Senate - 2024 SB 1366 By Senator DiCeglie 18-00907A-24 20241366__ 1 A bill to be entitled 2 An act relating to the My Safe Florida Condominium 3 Pilot Program; creating s. 215.5587, F.S.; 4 establishing the My Safe Florida Condominium Pilot 5 Program within the Department of Financial Services; 6 providing legislative intent; defining terms; 7 providing requirements for associations and unit 8 owners to participate in the pilot program; providing 9 voting requirements; requiring the department to 10 contract with specified entities for certain 11 inspections; providing requirements for such entities; 12 authorizing the department to conduct criminal record 13 checks of certain inspectors; requiring inspectors to 14 submit fingerprints and processing fees to the 15 department; providing requirements for hurricane 16 mitigation inspectors and inspections; requiring that 17 applications for inspections and grants include 18 specified statements; authorizing an association to 19 receive an inspection without applying for a 20 mitigation grant; providing mitigation grants for a 21 specified purpose; providing requirements for an 22 association receiving a mitigation grant; authorizing 23 an association to select its own contractor if such 24 contractor meets certain requirements; requiring the 25 department to electronically verify a contractor’s 26 state license; requiring the association to complete 27 construction to receive the final grant award; 28 requiring the association to make the property 29 available for final inspection once the project is 30 completed; requiring that such construction be 31 completed and that the association must submit a 32 request for a final inspection within a specified 33 timeframe; requiring that mitigation grants be matched 34 by the association; providing a maximum state 35 contribution based on the General Appropriations Act; 36 providing requirements for mitigation projects; 37 providing how mitigation grants may be used; requiring 38 the department to develop a specified process to 39 ensure efficiency; authorizing the department to 40 contract for certain services; providing requirements 41 for such contracts; requiring the department to 42 implement a quality assurance and reinspection 43 program; requiring the department to submit to the 44 Legislature an annual report with specified 45 information; providing an effective date. 46 47 Be It Enacted by the Legislature of the State of Florida: 48 49 Section 1. Section 215.5587, Florida Statutes, is created 50 to read: 51 215.5587 My Safe Florida Condominium Pilot Program.—There 52 is established within the Department of Financial Services the 53 My Safe Florida Condominium Pilot Program to be implemented 54 pursuant to appropriations. The department shall provide fiscal 55 accountability, contract management, and strategic leadership 56 for the pilot program, consistent with this section. This 57 section does not create an entitlement for associations or unit 58 owners or obligate the state in any way to fund the inspection 59 or retrofitting of condominiums in the state. Implementation of 60 this pilot program is subject to annual legislative 61 appropriations. It is the intent of the Legislature that the My 62 Safe Florida Condominium Pilot Program provide licensed 63 inspectors to perform inspections for and grants to eligible 64 associations as funding allows. 65 (1) DEFINITIONS.—As used in this section, the term: 66 (a) “Association” has the same meaning as in s. 718.103. 67 (b) “Association property” has the same meaning as in s. 68 718.103. 69 (c) “Board of administration” has the same meaning as in s. 70 718.103. 71 (d) “Condominium” has the same meaning as in s. 718.103. 72 (e) “Condominium property” has the same meaning as in s. 73 718.103. 74 (f) “Department” means the Department of Financial 75 Services. 76 (g) “Property” means association property and condominium 77 property, as applicable. 78 (h) “Rebuild” means property under construction to replace 79 a structure that was destroyed or significantly damaged by a 80 hurricane and deemed unlivable by a regulatory authority. 81 (i) “Unit” has the same meaning as in s. 718.103. 82 (j) “Unit owner” has the same meaning as in s. 718.103. 83 (2) PARTICIPATION.— 84 (a) In order to apply for an inspection under subsection 85 (4) or a grant under subsection (5) for association property or 86 condominium property, an association must receive approval by a 87 majority vote of the board of administration or a majority vote 88 of the total voting interests of the association to participate 89 in the pilot program. 90 (b) In order to apply for a grant under subsection (5) 91 which improves one or more units within a condominium, an 92 association must receive both of the following: 93 1. Approval by a majority vote of the board of 94 administration or a majority vote of the total voting interests 95 of the association to participate in a mitigation inspection. 96 2. A unanimous vote of all unit owners within the structure 97 or building that is the subject of the mitigation grant. 98 (c) A unit owner may participate in the pilot program 99 through a mitigation grant awarded to the association but may 100 not participate individually in the pilot program. 101 (d) The votes required under this subsection may take place 102 at the annual budget meeting of the association or at a unit 103 owner meeting called for the purpose of taking such vote. Before 104 a vote of the unit owners may be taken, the association must 105 provide to the unit owners a clear disclosure of the pilot 106 program on a form created by the department. The president and 107 the treasurer of the board of administration must sign the 108 disclosure form indicating that a copy of the form was provided 109 to each unit owner of the association. The signed disclosure 110 form and the minutes from the meeting at which the unit owners 111 voted to participate in the pilot program must be maintained as 112 part of the official records of the association. Within 14 days 113 after an affirmative vote to participate in the pilot program, 114 the association must provide written notice in the same manner 115 as required under s. 718.112(2)(d) to all unit owners of the 116 decision to participate in the pilot program. 117 (3) HURRICANE MITIGATION INSPECTORS.— 118 (a) Licensed inspectors shall provide inspections of the 119 property to determine the mitigation measures that are needed, 120 the insurance premium discounts that may be available to the 121 association, and the improvements to existing properties of the 122 association that are needed to reduce a property’s vulnerability 123 to hurricane damage. 124 (b) The department shall contract with wind certification 125 entities to provide hurricane mitigation inspections. To qualify 126 for selection by the department as a wind certification entity 127 to provide hurricane mitigation inspections, the entity must, at 128 a minimum, meet all of the following requirements: 129 1. Use hurricane mitigation inspectors who are licensed or 130 certified as: 131 a. A building inspector under s. 468.607; 132 b. A general, building, or residential contractor under s. 133 489.111; 134 c. A professional engineer under s. 471.015; 135 d. A professional architect under s. 481.213; or 136 e. A home inspector under s. 468.8314 who has completed at 137 least 3 hours of hurricane mitigation training approved by the 138 Construction Industry Licensing Board, which must include 139 hurricane mitigation techniques, compliance with the uniform 140 mitigation verification form, and completion of a proficiency 141 exam. 142 2. Use hurricane mitigation inspectors who have undergone 143 drug testing and a background screening. The department may 144 conduct criminal record checks of inspectors used by wind 145 certification entities. Inspectors must submit a set of 146 fingerprints to the department for state and national criminal 147 history checks and must pay the fingerprint processing fee set 148 forth in s. 624.501. The fingerprints must be sent by the 149 department to the Department of Law Enforcement and forwarded to 150 the Federal Bureau of Investigation for processing. The results 151 must be returned to the department for screening. The 152 fingerprints must be taken by a law enforcement agency, 153 designated examination center, or other department-approved 154 entity. 155 3. Provide a quality assurance program, including a 156 reinspection component. 157 (4) HURRICANE MITIGATION INSPECTIONS.— 158 (a) The inspections provided to an association under this 159 section must, at a minimum, include all of the following: 160 1. An inspection of the property, and a report that 161 summarizes the results and identifies recommended improvements 162 the association may take to mitigate hurricane damage. 163 2. A range of cost estimates regarding the recommended 164 mitigation improvements. 165 3. Information regarding estimated insurance premium 166 discounts, correlated to the current mitigation features and the 167 recommended mitigation improvements identified by the 168 inspection. 169 (b) An application for an inspection must contain a signed 170 or electronically verified statement made under penalty of 171 perjury by the president of the board of administration that the 172 association has submitted only a single application for each 173 property that the association operates or maintains. 174 (c) An association may apply for and receive an inspection 175 without also applying for a grant under subsection (5). 176 (5) MITIGATION GRANTS.—Financial grants may be used to 177 encourage associations to retrofit the property the association 178 operates and maintains in order to make such property less 179 vulnerable to hurricane damage. 180 (a) An application for a mitigation grant must: 181 1. Contain a signed or electronically verified statement 182 made under penalty of perjury by the president of the board of 183 administration that the association has submitted only a single 184 application for each property that the association operates or 185 maintains. 186 2. Include a notarized statement from the president of the 187 board of administration containing the name and license number 188 of the contractor the association intends to use for the 189 mitigation project. 190 3. Include a notarized statement from the president of the 191 board of administration which commits to the department that the 192 association will complete the mitigation improvements. If the 193 grant will be used to improve units, the application must also 194 include an acknowledged statement from each unit owner who is 195 required to provide approval for a grant under paragraph (2)(b). 196 (b) An association may select its own contractor for the 197 mitigation project as long as such contractor meets all 198 qualification, certification, or licensing requirements in 199 general law. A mitigation project must be performed by a 200 properly licensed contractor who has secured all required local 201 permits necessary for the project. The department must 202 electronically verify that the contractor’s state license number 203 is accurate and up to date before approving a grant application. 204 (c) An association awarded a grant must complete the entire 205 mitigation project in order to receive the final grant award and 206 must agree to make the property available for a final inspection 207 once the mitigation project is finished to ensure the mitigation 208 improvements are completed in a matter consistent with the 209 intent of the pilot program and meet or exceed the applicable 210 Florida Building Code requirements. Construction must be 211 completed and the association must submit a request to the 212 department for a final inspection, or request an extension of 213 time, within 1 year after receiving grant approval. If the 214 association fails to comply with this paragraph, the application 215 is deemed abandoned and the grant money reverts back to the 216 department. 217 (d) All grants must be matched on the basis of $1 provided 218 by the association for $2 provided by the state up to a maximum 219 contribution as provided in the General Appropriations Act. 220 (e) When recommended by a hurricane mitigation inspection 221 report, grants for eligible associations may be used for the 222 following improvements: 223 1. Opening protection. 224 2. Exterior doors, including garage doors. 225 3. Reinforcing roof-to-wall connections. 226 4. Improving the strength of roof-deck attachments. 227 5. Secondary water barrier for roof. 228 (f) Grants may be used for a previously inspected existing 229 structure on the property or for a rebuild. 230 (g)1. If improvements to protect the property which 231 complied with the current applicable building code at the time 232 have been previously installed, the association must use a 233 mitigation grant to install improvements that do both of the 234 following: 235 a. Comply with or exceed the applicable building code in 236 effect at the time the association applied for the grant. 237 b. Provide more hurricane protection than the improvements 238 that the association previously installed. 239 2. The association may not use a mitigation grant to: 240 a. Install the same type of improvements that were 241 previously installed; or 242 b. Pay a deductible for a pending insurance claim for 243 damage that is part of the property for which grant funds are 244 being received. 245 (h) The department shall develop a process that ensures the 246 most efficient means to collect and verify grant applications to 247 determine eligibility and may direct hurricane mitigation 248 inspectors to collect and verify grant application information 249 or use the Internet or other electronic means to collect 250 information and determine eligibility. 251 (6) CONTRACT MANAGEMENT.— 252 (a) The department may contract with third parties for 253 grant management, inspection services, contractor services, 254 information technology, educational outreach, and auditing 255 services. Such contracts are considered direct costs of the 256 pilot program and are not subject to administrative cost limits. 257 The department shall contract with providers that have a 258 demonstrated record of successful business operations in areas 259 directly related to the services to be provided and shall ensure 260 the highest accountability for use of state funds, consistent 261 with this section. 262 (b) The department shall implement a quality assurance and 263 reinspection program that determines whether initial inspections 264 and mitigation improvements are completed in a manner consistent 265 with the intent of the pilot program. The department may use a 266 valid random sampling in order to perform the quality assurance 267 portion of the pilot program. 268 (7) REPORTS.—By February 1 of each year, the department 269 shall submit a report to the President of the Senate and the 270 Speaker of the House of Representatives on the activities of the 271 pilot program and the use of state funds. The report must 272 include all of the following information: 273 (a) The number of inspections requested. 274 (b) The number of inspections performed. 275 (c) The number of grant applications received. 276 (d) The number of grants approved and the monetary value of 277 each grant. 278 (e) The estimated average annual amount of insurance 279 premium discounts each association received and the total 280 estimated annual amount of insurance premium discounts received 281 by all associations participating in the pilot program. 282 (f) The estimated average annual amount of insurance 283 premium discounts each unit owner received as a result of the 284 improvements to the building or structure. 285 Section 2. This act shall take effect July 1, 2024.