Florida Senate - 2026                                    SB 1498
       
       
        
       By Senator Bradley
       
       
       
       
       
       6-01113C-26                                           20261498__
    1                        A bill to be entitled                      
    2         An act relating to community associations; amending s.
    3         718.103, F.S.; revising the definition of the term
    4         “video conference”; amending s. 718.112, F.S.;
    5         revising a requirement that a developer, before
    6         turning over control of a condominium association to
    7         its unit owners, have a turnover inspection report for
    8         all buildings on the condominium property, rather than
    9         buildings that are three stories or higher in height;
   10         revising the criteria for certain associations
   11         requiring a structural integrity reserve study;
   12         amending s. 718.128, F.S.; revising how associations
   13         that have not adopted electronic voting must receive
   14         electronically transmitted ballots; revising how a
   15         unit owner may transmit his or her ballot; conforming
   16         provisions to changes made by the act; amending s.
   17         719.106, F.S.; revising a requirement that a
   18         developer, before turning over control of a
   19         cooperative association to unit owners, have a
   20         turnover inspection report for all buildings on the
   21         cooperative property, rather than buildings that are
   22         three stories or higher in height; revising the
   23         criteria for certain associations requiring a
   24         structural integrity reserve study; providing an
   25         effective date.
   26          
   27  Be It Enacted by the Legislature of the State of Florida:
   28  
   29         Section 1. Subsection (33) of section 718.103, Florida
   30  Statutes, is amended to read:
   31         718.103 Definitions.—As used in this chapter, the term:
   32         (33) “Video conference” means a real-time audio- and video
   33  based meeting between two or more people in different locations
   34  using video-enabled and audio-enabled devices. The notice for
   35  any meeting that is open to the unit owners and will be
   36  conducted by video conference must have a hyperlink and call-in
   37  conference telephone number for unit owners to attend the
   38  meeting and must have a physical location where unit owners can
   39  also attend the meeting in person. All meetings conducted by
   40  video conference which are open to the unit owners must be
   41  recorded, and such recording must be maintained as an official
   42  record of the association.
   43         Section 2. Paragraph (g) of subsection (2) of section
   44  718.112, Florida Statutes, is amended to read:
   45         718.112 Bylaws.—
   46         (2) REQUIRED PROVISIONS.—The bylaws shall provide for the
   47  following and, if they do not do so, shall be deemed to include
   48  the following:
   49         (g) Structural integrity reserve study.—
   50         1. A residential condominium association must have a
   51  structural integrity reserve study completed at least every 10
   52  years after the condominium’s creation for each building on the
   53  condominium property that is three habitable stories or higher
   54  in height, as determined by the Florida Building Code, which
   55  includes, at a minimum, a study of the following items as
   56  related to the structural integrity and safety of the building:
   57         a. Roof.
   58         b. Structure, including load-bearing walls and other
   59  primary structural members and primary structural systems as
   60  those terms are defined in s. 627.706.
   61         c. Fireproofing and fire protection systems.
   62         d. Plumbing.
   63         e. Electrical systems.
   64         f. Waterproofing and exterior painting.
   65         g. Windows and exterior doors.
   66         h. Any other item that has a deferred maintenance expense
   67  or replacement cost that exceeds $25,000 or the inflation
   68  adjusted amount determined by the division under subparagraph
   69  (f)6., whichever is greater, and the failure to replace or
   70  maintain such item negatively affects the items listed in sub
   71  subparagraphs a.-g., as determined by the visual inspection
   72  portion of the structural integrity reserve study.
   73         2. A structural integrity reserve study is based on a
   74  visual inspection of the condominium property.
   75         3.a. A structural integrity reserve study, including the
   76  visual inspection portion of the structural integrity reserve
   77  study, must be performed or verified by an engineer licensed
   78  under chapter 471, an architect licensed under chapter 481, or a
   79  person certified as a reserve specialist or professional reserve
   80  analyst by the Community Associations Institute or the
   81  Association of Professional Reserve Analysts.
   82         b. Any design professional as defined in s. 558.002 or any
   83  contractor licensed under chapter 489 who bids to perform a
   84  structural integrity reserve study must disclose in writing to
   85  the association his or her intent to bid on any services related
   86  to any maintenance, repair, or replacement that may be
   87  recommended by the structural integrity reserve study. Any
   88  design professional as defined in s. 558.002 or contractor
   89  licensed under chapter 489 who submits a bid to the association
   90  for performing any services recommended by the structural
   91  integrity reserve study may not have an interest, directly or
   92  indirectly, in the firm or entity providing the association’s
   93  structural integrity reserve study or be a relative of any
   94  person having a direct or indirect interest in such firm, unless
   95  such relationship is disclosed to the association in writing. As
   96  used in this section, the term “relative” means a relative
   97  within the third degree of consanguinity by blood or marriage. A
   98  contract for services is voidable and terminates upon the
   99  association filing a written notice terminating the contract if
  100  the design professional or licensed contractor failed to provide
  101  the written disclosure of the interests or relationships
  102  required under this paragraph. A design professional or licensed
  103  contractor may be subject to discipline under the applicable
  104  practice act for his or her profession for failure to provide
  105  the written disclosure of the interests or relationships
  106  required under this paragraph.
  107         4.a. At a minimum, a structural integrity reserve study
  108  must identify each item of the condominium property being
  109  visually inspected, state the estimated remaining useful life
  110  and the estimated replacement cost or deferred maintenance
  111  expense of each item of the condominium property being visually
  112  inspected, and provide a reserve funding plan or schedule with a
  113  recommended annual reserve amount that achieves the estimated
  114  replacement cost or deferred maintenance expense of each item of
  115  condominium property being visually inspected by the end of the
  116  estimated remaining useful life of the item. At a minimum, the
  117  structural integrity reserve study must include a recommendation
  118  for a reserve funding schedule based on a baseline funding plan
  119  that provides a reserve funding goal in which the reserve
  120  funding for each budget year is sufficient to maintain the
  121  reserve cash balance above zero. The study may recommend other
  122  types of reserve funding schedules, provided that each
  123  recommended schedule is sufficient to meet the association’s
  124  maintenance obligation.
  125         b. The structural integrity reserve study may recommend
  126  that reserves do not need to be maintained for any item for
  127  which an estimate of useful life and an estimate of replacement
  128  cost cannot be determined, or the study may recommend a deferred
  129  maintenance expense amount for such item. The structural
  130  integrity reserve study may recommend that reserves for
  131  replacement costs do not need to be maintained for any item with
  132  an estimated remaining useful life of greater than 25 years, but
  133  the study may recommend a deferred maintenance expense amount
  134  for such item. If the structural integrity reserve study
  135  recommends reserves for any item for which reserves are not
  136  required under this paragraph, the amount of the recommended
  137  reserves for such item must be separately identified in the
  138  structural integrity reserve study as an item for which reserves
  139  are not required under this paragraph.
  140         c. The structural integrity reserve study must take into
  141  consideration the funding method or methods used by the
  142  association to fund its maintenance and reserve funding
  143  obligations through regular assessments, special assessments,
  144  lines of credit, or loans. If the structural integrity reserve
  145  study is performed before the association has approved a special
  146  assessment or secured a line of credit or a loan, the structural
  147  integrity reserve study must be updated to reflect the funding
  148  method selected by the association and its effect on the reserve
  149  funding schedule, including any anticipated change in the amount
  150  of regular assessments. The structural integrity reserve study
  151  may be updated to reflect any changes to the useful life of the
  152  reserve items after such items are repaired or replaced and the
  153  effect such repair or replacement will have on the reserve
  154  funding schedule. The association must obtain an updated
  155  structural integrity reserve study before adopting any budget in
  156  which the reserve funding from regular assessments, special
  157  assessments, lines of credit, or loans does not align with the
  158  funding plan from the most recent version of the structural
  159  integrity reserve study.
  160         5. This paragraph does not apply to buildings less than
  161  three stories in height; single-family, two-family, three
  162  family, or four-family dwellings with three or fewer habitable
  163  stories above ground; any portion or component of a building
  164  that has not been submitted to the condominium form of
  165  ownership; or any portion or component of a building that is
  166  maintained by a party other than the association.
  167         6. Before a developer turns over control of an association
  168  to unit owners other than the developer, the developer must have
  169  a turnover inspection report in compliance with s. 718.301(4)(p)
  170  and (q) for each building on the condominium property that is
  171  three stories or higher in height.
  172         7. Associations existing on or before July 1, 2022, which
  173  are controlled by unit owners other than the developer, must
  174  have a structural integrity reserve study completed by December
  175  31, 2025, for each building on the condominium property that is
  176  three habitable stories or higher in height. An association that
  177  is required to complete a milestone inspection in accordance
  178  with s. 553.899 on or before December 31, 2026, may complete the
  179  structural integrity reserve study simultaneously with the
  180  milestone inspection. In no event may the structural integrity
  181  reserve study be completed after December 31, 2026.
  182         8. If the milestone inspection required by s. 553.899, or
  183  an inspection completed for a similar local requirement, was
  184  performed within the past 5 years and meets the requirements of
  185  this paragraph, such inspection may be used in place of the
  186  visual inspection portion of the structural integrity reserve
  187  study.
  188         9. If the association completes a milestone inspection
  189  required by s. 553.899, or an inspection completed for a similar
  190  local requirement, the association may delay performance of a
  191  required structural integrity reserve study for no more than the
  192  2 consecutive budget years immediately following the milestone
  193  inspection in order to allow the association to focus its
  194  financial resources on completing the repair and maintenance
  195  recommendations of the milestone inspection.
  196         10. If the officers or directors of an association
  197  willfully and knowingly fail to complete a structural integrity
  198  reserve study pursuant to this paragraph, such failure is a
  199  breach of an officer’s or a director’s fiduciary relationship to
  200  the unit owners under s. 718.111(1). An officer or a director of
  201  an association must sign an affidavit acknowledging receipt of
  202  the completed structural integrity reserve study.
  203         11. Within 45 days after receiving the structural integrity
  204  reserve study, the association must distribute a copy of the
  205  study to each unit owner or deliver to each unit owner a notice
  206  that the completed study is available for inspection and copying
  207  upon a written request. Distribution of a copy of the study or
  208  notice must be made by United States mail or personal delivery
  209  to the mailing address, property address, or any other address
  210  of the owner provided to fulfill the association’s notice
  211  requirements under this chapter, or by electronic transmission
  212  to the e-mail address or facsimile number provided to fulfill
  213  the association’s notice requirements to unit owners who
  214  previously consented to receive notice by electronic
  215  transmission.
  216         12. Within 45 days after receiving the structural integrity
  217  reserve study, the association must provide the division with a
  218  statement indicating that the study was completed and that the
  219  association provided or made available such study to each unit
  220  owner in accordance with this section. The statement must be
  221  provided to the division in the manner established by the
  222  division using a form posted on the division’s website.
  223         13. The division shall adopt by rule the form for the
  224  structural integrity reserve study in coordination with the
  225  Florida Building Commission.
  226         Section 3. Subsection (7) of section 718.128, Florida
  227  Statutes, is amended to read:
  228         718.128 Electronic voting.—The association may conduct
  229  elections and other unit owner votes through an Internet-based
  230  online voting system if a unit owner consents, electronically or
  231  in writing, to online voting and if the following requirements
  232  are met:
  233         (7)(a) Unless the association has adopted electronic voting
  234  in accordance with subsections (1)-(6), the association must
  235  designate an e-mail address, independent website, application,
  236  or Internet web portal for receipt of electronically transmitted
  237  ballots. Electronically transmitted ballots must meet all the
  238  requirements of this subsection.
  239         (b) A unit owner may electronically transmit a ballot to
  240  the e-mail address, independent website, application, or
  241  Internet web portal designated by the association without
  242  complying with s. 718.112(2)(d)4. or the rules providing for the
  243  secrecy of ballots adopted by the division. The association must
  244  count completed ballots that are electronically transmitted to
  245  the designated e-mail address, independent website, application,
  246  or Internet web portal provided the completed ballots comply
  247  with the requirements of this subsection.
  248         (c) A ballot that is electronically transmitted to the
  249  association must include all of the following:
  250         1. A space for the unit owner to type in his or her unit
  251  number.
  252         2. A space for the unit owner to type in his or her first
  253  and last name, which also functions as the signature of the unit
  254  owner for purposes of signing the ballot.
  255         3. The following statement in capitalized letters and in a
  256  font size larger than any other font size used in the electronic
  257  transmission e-mail from the association to the unit owner:
  258  
  259         WAIVING THE SECRECY OF YOUR BALLOT IS YOUR CHOICE. YOU
  260         DO NOT HAVE TO WAIVE THE SECRECY OF YOUR BALLOT IN
  261         ORDER TO VOTE. BY TRANSMITTING YOUR COMPLETED BALLOT
  262         THROUGH ELECTRONIC MEANS E-MAIL TO THE ASSOCIATION,
  263         YOU WAIVE THE SECRECY OF YOUR COMPLETED BALLOT. IF YOU
  264         DO NOT WISH TO WAIVE YOUR SECRECY BUT WISH TO
  265         PARTICIPATE IN THE VOTE THAT IS THE SUBJECT OF THIS
  266         BALLOT, PLEASE ATTEND THE IN-PERSON MEETING DURING
  267         WHICH THE MATTER WILL BE VOTED ON.
  268  
  269         (d) A unit owner must transmit his or her completed ballot
  270  to the e-mail address, independent website, application, or
  271  Internet web portal designated by the association no later than
  272  the scheduled date and time of the meeting during which the
  273  matter is being voted on.
  274         (e) There is a rebuttable presumption that an association
  275  has reviewed all folders associated with the e-mail address,
  276  independent website, application, or Internet web portal
  277  designated by the association to receive ballots if a board
  278  member, an officer, or an agent of the association, or a manager
  279  licensed under part VIII of chapter 468, provides a sworn
  280  affidavit attesting to such review.
  281         Section 4. Paragraph (k) of subsection (1) of section
  282  719.106, Florida Statutes, is amended to read:
  283         719.106 Bylaws; cooperative ownership.—
  284         (1) MANDATORY PROVISIONS.—The bylaws or other cooperative
  285  documents shall provide for the following, and if they do not,
  286  they shall be deemed to include the following:
  287         (k) Structural integrity reserve study.—
  288         1. A residential cooperative association must have a
  289  structural integrity reserve study completed at least every 10
  290  years for each building on the cooperative property that is
  291  three habitable stories or higher in height, as determined by
  292  the Florida Building Code, that includes, at a minimum, a study
  293  of the following items as related to the structural integrity
  294  and safety of the building:
  295         a. Roof.
  296         b. Structure, including load-bearing walls and other
  297  primary structural members and primary structural systems as
  298  those terms are defined in s. 627.706.
  299         c. Fireproofing and fire protection systems.
  300         d. Plumbing.
  301         e. Electrical systems.
  302         f. Waterproofing and exterior painting.
  303         g. Windows and exterior doors.
  304         h. Any other item that has a deferred maintenance expense
  305  or replacement cost that exceeds $25,000 or the inflation
  306  adjusted amount determined by the division under subparagraph
  307  (j)6., whichever is greater, and the failure to replace or
  308  maintain such item negatively affects the items listed in sub
  309  subparagraphs a.-g., as determined by the visual inspection
  310  portion of the structural integrity reserve study.
  311         2. A structural integrity reserve study is based on a
  312  visual inspection of the cooperative property.
  313         3.a. A structural integrity reserve study, including the
  314  visual inspection portion of the structural integrity reserve
  315  study, must be performed or verified by an engineer licensed
  316  under chapter 471, an architect licensed under chapter 481, or a
  317  person certified as a reserve specialist or professional reserve
  318  analyst by the Community Associations Institute or the
  319  Association of Professional Reserve Analysts.
  320         b. Any design professional as defined in s. 558.002(7) or
  321  contractor licensed under chapter 489 who bids to perform a
  322  structural integrity reserve study must disclose in writing to
  323  the association his or her intent to bid on any services related
  324  to any maintenance, repair, or replacement that may be
  325  recommended by the structural integrity reserve study. Any
  326  design professional as defined in s. 558.002 or contractor
  327  licensed under chapter 489 who submits a bid to the association
  328  for performing any services recommended by the structural
  329  integrity reserve study may not have an interest, directly or
  330  indirectly, in the firm or entity providing the association’s
  331  structural integrity reserve study or be a relative of any
  332  person having a direct or indirect interest in such firm, unless
  333  such relationship is disclosed to the association in writing. As
  334  used in this section, the term “relative” means a relative
  335  within the third degree of consanguinity by blood or marriage. A
  336  contract for services is voidable and terminates upon the
  337  association filing a written notice terminating the contract if
  338  the design professional or licensed contractor failed to provide
  339  the written disclosure of the relationship required under this
  340  paragraph. A design professional or licensed contractor may be
  341  subject to discipline under the applicable practice act for his
  342  or her profession for failure to provide the written disclosure
  343  of the relationship required under this subparagraph.
  344         4.a. At a minimum, a structural integrity reserve study
  345  must identify each item of the cooperative property being
  346  visually inspected, state the estimated remaining useful life
  347  and the estimated replacement cost or deferred maintenance
  348  expense of each item of the cooperative property being visually
  349  inspected, and provide a reserve funding schedule with a
  350  recommended annual reserve amount that achieves the estimated
  351  replacement cost or deferred maintenance expense of each item of
  352  cooperative property being visually inspected by the end of the
  353  estimated remaining useful life of the item. The structural
  354  integrity reserve study may recommend that reserves do not need
  355  to be maintained for any item for which an estimate of useful
  356  life and an estimate of replacement cost cannot be determined,
  357  or the study may recommend a deferred maintenance expense amount
  358  for such item. At a minimum, the structural integrity reserve
  359  study must include a recommendation for a reserve funding
  360  schedule based on a baseline funding plan that provides a
  361  reserve funding goal in which the reserve funding for each
  362  budget year is sufficient to maintain the reserve cash balance
  363  above zero. The study may recommend other types of reserve
  364  funding schedules, provided that each recommended schedule is
  365  sufficient to meet the association’s maintenance obligation.
  366         b. The structural integrity reserve study may recommend
  367  that reserves for replacement costs do not need to be maintained
  368  for any item with an estimated remaining useful life of greater
  369  than 25 years, but the study may recommend a deferred
  370  maintenance expense amount for such item. If the structural
  371  integrity reserve study recommends reserves for any item for
  372  which reserves are not required under this paragraph, the amount
  373  of the recommended reserves for such item must be separately
  374  identified in the structural integrity reserve study as an item
  375  for which reserves are not required under this paragraph.
  376         c. The structural integrity reserve study must take into
  377  consideration the funding method or methods used by the
  378  association to fund its maintenance and reserve funding
  379  obligations through regular assessments, special assessments,
  380  lines of credit, or loans. If the structural integrity reserve
  381  study is performed before the association has approved a special
  382  assessment or secured a line of credit or a loan, the structural
  383  integrity reserve study must be updated to reflect the funding
  384  method selected by the association and its effect on the reserve
  385  funding schedule, including any anticipated change in the amount
  386  of regular assessments. The structural integrity reserve study
  387  may be updated to reflect any changes to the useful life of the
  388  reserve items after such items are repaired or replaced, and the
  389  effect such repair or replacement will have on the reserve
  390  funding schedule. The association must obtain an updated
  391  structural integrity reserve study before adopting any budget in
  392  which the reserve funding from regular assessments, special
  393  assessments, lines of credit, or loans does not align with the
  394  funding plan from the most recent version of the structural
  395  integrity reserve study.
  396         5. This paragraph does not apply to buildings less than
  397  three stories in height; single-family, two-family, three
  398  family, or four-family dwellings with three or fewer habitable
  399  stories above ground; any portion or component of a building
  400  that has not been submitted to the cooperative form of
  401  ownership; or any portion or component of a building that is
  402  maintained by a party other than the association.
  403         6. Before a developer turns over control of an association
  404  to unit owners other than the developer, the developer must have
  405  a turnover inspection report in compliance with s. 719.301(4)(p)
  406  and (q) for each building on the cooperative property that is
  407  three stories or higher in height.
  408         7. Associations existing on or before July 1, 2022, which
  409  are controlled by unit owners other than the developer, must
  410  have a structural integrity reserve study completed by December
  411  31, 2024, for each building on the cooperative property that is
  412  three habitable stories or higher in height. An association that
  413  is required to complete a milestone inspection on or before
  414  December 31, 2026, in accordance with s. 553.899 may complete
  415  the structural integrity reserve study simultaneously with the
  416  milestone inspection. In no event may the structural integrity
  417  reserve study be completed after December 31, 2026.
  418         8. If the milestone inspection required by s. 553.899, or
  419  an inspection completed for a similar local requirement, was
  420  performed within the past 5 years and meets the requirements of
  421  this paragraph, such inspection may be used in place of the
  422  visual inspection portion of the structural integrity reserve
  423  study.
  424         9. If the association completes a milestone inspection
  425  required by s. 553.899, or an inspection completed for a similar
  426  local requirement, the association may delay performance of a
  427  required structural integrity reserve study for no more than the
  428  2 consecutive budget years immediately following the milestone
  429  inspection in order to allow the association to focus its
  430  financial resources on completing the repair and maintenance
  431  recommendations of the milestone inspection.
  432         10. If the officers or directors of an association
  433  willfully and knowingly fail to complete a structural integrity
  434  reserve study pursuant to this paragraph, such failure is a
  435  breach of an officer’s and director’s fiduciary relationship to
  436  the unit owners under s. 719.104(9). An officer or a director of
  437  the association must sign an affidavit acknowledging receipt of
  438  the completed structural integrity reserve study.
  439         11. Within 45 days after receiving the structural integrity
  440  reserve study, the association must distribute a copy of the
  441  study to each unit owner or deliver to each unit owner a notice
  442  that the completed study is available for inspection and copying
  443  upon a written request. Distribution of a copy of the study or
  444  notice must be made by United States mail or personal delivery
  445  at the mailing address, property address, or any other address
  446  of the owner provided to fulfill the association’s notice
  447  requirements under this chapter, or by electronic transmission
  448  to the e-mail address or facsimile number provided to fulfill
  449  the association’s notice requirements to unit owners who
  450  previously consented to receive notice by electronic
  451  transmission.
  452         12. Within 45 days after receiving the structural integrity
  453  reserve study, the association must provide the division with a
  454  statement indicating that the study was completed and that the
  455  association provided or made available such study to each unit
  456  owner in accordance with this section. Such statement must be
  457  provided to the division in the manner established by the
  458  division using a form posted on the division’s website.
  459         13. The division shall adopt by rule the form for the
  460  structural integrity reserve study in coordination with the
  461  Florida Building Commission.
  462         Section 5. This act shall take effect July 1, 2026.