Florida Senate - 2025 SB 368 By Senator Garcia 36-00063-25 2025368__ 1 A bill to be entitled 2 An act relating to community associations; creating s. 3 16.0151, F.S.; creating the Condominium and 4 Homeowners Association Economic Crime, Fraud, and 5 Corruption Investigation Pilot Program within the 6 Department of Legal Affairs; providing the purpose of 7 the pilot program; defining the term corruption; 8 authorizing the department to contract with a private 9 entity to achieve the programs purpose; requiring the 10 department to hire specified personnel under certain 11 circumstances; authorizing the submission of 12 complaints to the Office of the Condominium and 13 Homeowners Ombudsman; requiring the ombudsman to 14 review such complaints and take specified actions; 15 providing powers of and requirements for the 16 department relating to the pilot program; requiring 17 that the pilot program be funded from the Division of 18 Florida Condominiums, Timeshares, and Mobile Homes 19 Trust Fund; requiring that the pilot programs primary 20 office be located in Miami-Dade County; providing for 21 future repeal of the pilot program, unless reviewed 22 and saved from repeal by the Legislature; amending s. 23 215.22, F.S.; exempting the Division of Florida 24 Condominiums, Timeshares, and Mobile Homes Trust Fund 25 from contributing to the General Revenue Fund; 26 amending s. 718.111, F.S.; requiring the division to 27 monitor condominium associations compliance with 28 requirements relating to maintenance of certain 29 insurance or fidelity bonding of certain persons; 30 authorizing the division to levy fines and penalties 31 for noncompliance; amending s. 718.1224, F.S.; 32 conforming a provision to changes made by the act; 33 creating s. 718.13, F.S.; requiring the division to 34 establish a searchable, cloud-based database by a 35 specified date which contains specified information 36 regarding each condominium association in this state; 37 requiring the division to establish rules and 38 procedures for associations to report such 39 information; requiring a condominium association to 40 notify the division of any changes to the information 41 listed in the database which is related to the 42 association; requiring that the creation and 43 administration of the database be funded in part by 44 specified proceeds; amending s. 718.501, F.S.; 45 requiring the division to forward complaints alleging 46 fraud or corruption to the Office of the Condominium 47 and Homeowners Ombudsman; making technical changes; 48 amending s. 718.5011, F.S.; renaming the Office of the 49 Condominium Ombudsman as the Office of the Condominium 50 and Homeowners Ombudsman; amending s. 718.5012, F.S.; 51 revising the powers of the ombudsman; making a 52 technical change; conforming provisions to changes 53 made by the act; amending s. 718.509, F.S.; conforming 54 a provision to changes made by the act; making 55 technical changes; amending s. 720.301, F.S.; revising 56 definitions and defining terms; amending s. 720.302, 57 F.S.; providing that certain parcels, including 58 amenities or recreational properties governed by a 59 recreational covenant, are exempt from ch. 720, F.S.; 60 amending s. 720.305, F.S.; authorizing an association 61 to levy fines for violations specified in the 62 governing documents of the association; prohibiting 63 fines from exceeding a specified amount; prohibiting 64 additional fines from being levied for the same 65 violation; prohibiting fines from being aggregated to 66 create a lien against a parcel; authorizing parcel 67 owners to attend hearings by certain teleconferencing 68 methods; prohibiting an association from taking action 69 related to alleged violations if the committee hearing 70 the matter makes certain findings or takes no action 71 on the violations; requiring that fines be reduced by 72 a specified percentage if the parcel owner cures the 73 violation within a specified period; authorizing an 74 association to collect reasonable attorney fees and 75 costs if the parcel owner does not cure the violation 76 within a specified period; requiring that the fine due 77 date be no earlier than a specified time period after 78 the hearing on a violation; requiring an association 79 to provide written notice to a parcel owner with 80 specific information related to a violation; providing 81 a parcel owner the right to a detailed accounting of 82 any amounts due and owed by the parcel owner if the 83 parcel owner submits a written request for such 84 accounting to an association; requiring an association 85 to produce such accounting within a specified 86 timeframe; providing that an associations failure to 87 produce such accounting within that timeframe 88 constitutes a waiver of any pending violations, fines, 89 or penalties; requiring an association to apply 90 payments in a specified order; prohibiting the accrual 91 of attorney fees and costs after a parcel owner 92 satisfies a fine; authorizing a parcel owner to 93 request a hearing before an association to dispute the 94 reasonableness of attorney fees and costs; amending s. 95 720.3085, F.S.; providing for the application of 96 payments, in a specified priority, when a parcel owner 97 fails to designate how such payments are to be 98 applied; requiring that monetary judgment actions be 99 brought in the same lawsuit as the claim of lien 100 action against a parcel owner; making technical 101 changes; conforming cross-references; amending s. 102 720.3086, F.S.; revising the requirement that a 103 developer of a residential subdivision make available 104 for inspection within a specified timeframe a complete 105 financial report of certain expenses if an owner in 106 the subdivision submits a written request to the 107 developer; deleting a requirement that a developer 108 mail, publish, or post such report to each parcel 109 owner of the subdivision; conforming cross-references; 110 amending ss. 336.125, 558.002, 617.0725, 697.07, 111 702.10, 718.116, and 720.303, F.S.; conforming cross 112 references; making technical changes; reenacting ss. 113 626.854(19), 718.110(11)(f), 718.115(1)(f), and 114 718.406(6), F.S., relating to the definition and 115 prohibitions of the public insurance adjusters, 116 amendment of declarations, common expenses and common 117 surplus, and condominiums created within condominium 118 parcels, respectively, to incorporate the amendment 119 made to s. 718.111, F.S., in references thereto; 120 reenacting s. 723.0751(1), F.S., relating to mobile 121 home subdivision homeowners associations, to 122 incorporate the amendment made to s. 720.302, F.S., in 123 references thereto; reenacting s. 617.0825(9), F.S., 124 relating to board committees and advisory committees, 125 to incorporate the amendment made to s. 720.305, F.S., 126 in references thereto; providing an effective date. 127 128 Be It Enacted by the Legislature of the State of Florida: 129 130 Section 1.Section 16.0151, Florida Statutes, is created to 131 read: 132 16.0151Condominium and Homeowners Association Economic 133 Crime, Fraud, and Corruption Investigation Pilot Program. 134 (1)The Condominium and Homeowners Association Economic 135 Crime, Fraud, and Corruption Investigation Pilot Program is 136 created within the Department of Legal Affairs. The purpose of 137 the pilot program is to investigate condominium and homeowners 138 association-related economic crime, fraud, and corruption in 139 this state. For the purposes of this section, the term 140 corruption means the act of an official or a fiduciary person 141 who unlawfully and wrongfully uses his or her position to 142 procure a benefit for himself or herself or for another person, 143 contrary to the duty and rights of others. The department may 144 contract with a private entity that employs retired law 145 enforcement officers who have subject matter expertise in 146 financial fraud to achieve the purpose of the pilot program. If 147 the department does not contract with a private entity, the 148 department must hire a suitable number of financial 149 investigators, investigators with previous law enforcement 150 experience, and clerical employees to staff the pilot program. 151 (2)A person may submit a condominium or homeowners 152 association-related complaint to the Office of the Condominium 153 and Homeowners Ombudsman. The ombudsman shall review all 154 complaints submitted to the office and determine which 155 complaints to forward to the department for additional analysis 156 and investigation under the pilot program. If a complaint 157 submitted to the pilot program does not contain an allegation of 158 economic crime, fraud, or corruption, the pilot program 159 investigators must forward the complaint to the Division of 160 Florida Condominiums, Timeshares, and Mobile Homes, which shall 161 investigate such complaint pursuant to s. 718.501. 162 (3)The department has the power to issue subpoenas and 163 conduct audits for investigations in furtherance of the pilot 164 program and may administer oaths, subpoena witnesses, and compel 165 the production of books, papers, or other records relevant to 166 such investigations. If, after reviewing a complaint filed under 167 the pilot program, the department finds sufficient evidence for 168 criminal prosecution, it must refer the case to the appropriate 169 state attorney for prosecution. 170 (4)The pilot program shall be funded as provided in the 171 General Appropriations Act. 172 (5)The pilot programs primary office shall be located in 173 Miami-Dade County. 174 (6)This section is repealed October 2, 2030, unless 175 reviewed and saved from repeal through reenactment by the 176 Legislature. 177 Section 2.Paragraph (w) is added to subsection (1) of 178 section 215.22, Florida Statutes, to read: 179 215.22Certain income and certain trust funds exempt. 180 (1)The following income of a revenue nature or the 181 following trust funds shall be exempt from the appropriation 182 required by s. 215.20(1): 183 (w)The Division of Florida Condominiums, Timeshares, and 184 Mobile Homes Trust Fund. 185 Section 3.Paragraph (h) of subsection (11) of section 186 718.111, Florida Statutes, is amended to read: 187 718.111The association. 188 (11)INSURANCE.In order to protect the safety, health, and 189 welfare of the people of the State of Florida and to ensure 190 consistency in the provision of insurance coverage to 191 condominiums and their unit owners, this subsection applies to 192 every residential condominium in the state, regardless of the 193 date of its declaration of condominium. It is the intent of the 194 Legislature to encourage lower or stable insurance premiums for 195 associations described in this subsection. 196 (h)The association shall maintain insurance or fidelity 197 bonding of all persons who control or disburse funds of the 198 association. The insurance policy or fidelity bond must cover 199 the maximum funds that will be in the custody of the association 200 or its management agent at any one time. Upon receipt of a 201 complaint, the division shall monitor an association for 202 compliance with this paragraph and may issue fines and penalties 203 established by the division for failure of an association to 204 maintain the required insurance policy or fidelity bond. The 205 division shall monitor compliance with this paragraph and may 206 levy fines and penalties established by the division for failure 207 of an association to maintain the required insurance policy or 208 fidelity bond. As used in this paragraph, the term persons who 209 control or disburse funds of the association includes, but is 210 not limited to, those individuals authorized to sign checks on 211 behalf of the association, and the president, secretary, and 212 treasurer of the association. The association shall bear the 213 cost of any such bonding. 214 Section 4.Subsection (3) of section 718.1224, Florida 215 Statutes, is amended to read: 216 718.1224Prohibition against SLAPP suits; other prohibited 217 actions. 218 (3)It is unlawful for a condominium association to fine, 219 discriminatorily increase a unit owners assessments, 220 discriminatorily decrease services to a unit owner, or bring or 221 threaten to bring an action for possession or other civil 222 action, including a defamation, libel, slander, or tortious 223 interference action, based on conduct described in this 224 subsection. In order for the unit owner to raise the defense of 225 retaliatory conduct, the unit owner must have acted in good 226 faith and not for any improper purposes, such as to harass or to 227 cause unnecessary delay or for frivolous purpose or needless 228 increase in the cost of litigation. Examples of conduct for 229 which a condominium association, an officer, a director, or an 230 agent of an association may not retaliate include, but are not 231 limited to, situations in which: 232 (a)The unit owner has in good faith complained to a 233 governmental agency charged with responsibility for enforcement 234 of a building, housing, or health code of a suspected violation 235 applicable to the condominium; 236 (b)The unit owner has organized, encouraged, or 237 participated in a unit owners organization; 238 (c)The unit owner submitted information or filed a 239 complaint alleging criminal violations or violations of this 240 chapter or the rules of the division with the division, the 241 Office of the Condominium and Homeowners Ombudsman, a law 242 enforcement agency, a state attorney, the Attorney General, or 243 any other governmental agency; 244 (d)The unit owner has exercised his or her rights under 245 this chapter; 246 (e)The unit owner has complained to the association or any 247 of the associations representatives for the failure to comply 248 with this chapter or chapter 617; or 249 (f)The unit owner has made public statements critical of 250 the operation or management of the association. 251 Section 5.Section 718.13, Florida Statutes, is created to 252 read: 253 718.13Database for condominium association information. 254 (1)By July 1, 2027, the division shall establish a 255 searchable, cloud-based database that contains information 256 regarding each condominium association operating within this 257 state. The division shall establish rules and procedures for the 258 manner in which an association is to provide such information. 259 The database must allow a user to search the name by which a 260 condominium property is identified to find the association that 261 governs such property. At a minimum, the database must include 262 all of the following information for each association: 263 (a)The names, e-mail addresses, and other contact 264 information of officers and directors of the association. 265 (b)An indication that the association is self-managed, or, 266 if not self-managed, the contact information for any person 267 licensed under part VIII of chapter 468 who is responsible for 268 management of the association. 269 (c)A copy of the associations governing documents, 270 including, but not limited to, declarations, bylaws, and rules 271 and any amendments thereto. 272 (d)A copy of the associations adopted annual budget, in a 273 file format that is compatible with the database, which includes 274 the amount and purpose of any monthly assessments and current or 275 pending special assessments levied by the association. 276 (e)A copy of any studies regarding funds in reserve 277 accounts held by the association or any reports regarding the 278 physical inspection of properties maintained by the association, 279 including any structural integrity reserve studies conducted 280 under s. 718.112(2)(g) of such properties. 281 (2)An association must notify the division of any change 282 to the information related to the association which is included 283 in the database within 30 days after such change occurs. 284 (3)Expenses associated with the creation and 285 administration of the database must be funded in part by 286 proceeds from the annual fee paid by associations pursuant to s. 287 718.501(2)(a). 288 Section 6.Paragraphs (n) and (p) of subsection (1) of 289 section 718.501, Florida Statutes, are amended to read: 290 718.501Authority, responsibility, and duties of Division 291 of Florida Condominiums, Timeshares, and Mobile Homes. 292 (1)The division may enforce and ensure compliance with 293 this chapter and rules relating to the development, 294 construction, sale, lease, ownership, operation, and management 295 of residential condominium units and complaints related to the 296 procedural completion of milestone inspections under s. 553.899. 297 In performing its duties, the division has complete jurisdiction 298 to investigate complaints and enforce compliance with respect to 299 associations that are still under developer control or the 300 control of a bulk assignee or bulk buyer pursuant to part VII of 301 this chapter and complaints against developers, bulk assignees, 302 or bulk buyers involving improper turnover or failure to 303 turnover, pursuant to s. 718.301. However, after turnover has 304 occurred, the division has jurisdiction to investigate 305 complaints related only to: 306 (n)If a complaint is made, the division must conduct its 307 inquiry with due regard for the interests of the affected 308 parties. Within 30 days after receipt of a complaint, the 309 division shall acknowledge the complaint in writing and notify 310 the complainant whether the complaint is within the jurisdiction 311 of the division and whether additional information is needed by 312 the division from the complainant. The division shall conduct 313 its investigation and, within 90 days after receipt of the 314 original complaint or of timely requested additional 315 information, take action upon the complaint. However, the 316 failure to complete the investigation within 90 days does not 317 prevent the division from continuing the investigation, 318 accepting or considering evidence obtained or received after 90 319 days, or taking administrative action if reasonable cause exists 320 to believe that a violation of this chapter or a rule has 321 occurred. If an investigation is not completed within the time 322 limits established in this paragraph, the division shall, on a 323 monthly basis, notify the complainant in writing of the status 324 of the investigation. If the division receives a complaint about 325 an association which alleges economic crime, fraud, or 326 corruption, the division must forward the complaint to the 327 Office of the Condominium and Homeowners Ombudsman. When 328 reporting its action to the complainant, the division shall 329 inform the complainant of any right to a hearing under ss. 330 120.569 and 120.57. The division may adopt rules regarding the 331 submission of a complaint against an association. 332 (p)The division director or any officer or employee of the 333 division and the condominium and homeowners ombudsman or any 334 employee of the Office of the Condominium and Homeowners 335 Ombudsman may attend and observe any meeting of the board of 336 administration or any unit owner meeting, including any meeting 337 of a subcommittee or special committee, which is open to members 338 of the association for the purpose of performing the duties of 339 the division or the Office of the Condominium and Homeowners 340 Ombudsman under this chapter. 341 Section 7.Subsection (1) of section 718.5011, Florida 342 Statutes, is amended to read: 343 718.5011Ombudsman; appointment; administration. 344 (1)There is created an Office of the Condominium and 345 Homeowners Ombudsman, to be located for administrative purposes 346 within the Division of Florida Condominiums, Timeshares, and 347 Mobile Homes. The functions of the office shall be funded by the 348 Division of Florida Condominiums, Timeshares, and Mobile Homes 349 Trust Fund. The ombudsman shall be a bureau chief of the 350 division, and the office shall be set within the division in the 351 same manner as any other bureau is staffed and funded. 352 Section 8.Section 718.5012, Florida Statutes, is amended 353 to read: 354 718.5012Ombudsman; powers and duties.The ombudsman shall 355 have the powers that are necessary to carry out the duties of 356 his or her office for this chapter and chapter 720, including 357 the following specific powers: 358 (1)To have access to and use of all files and records of 359 the division. 360 (2)To employ professional and clerical staff as necessary 361 for the efficient operation of the office. 362 (3)To prepare and issue reports and recommendations to the 363 Governor, the department, the division, the Advisory Council on 364 Condominiums, the President of the Senate, and the Speaker of 365 the House of Representatives on any matter or subject within the 366 jurisdiction of the division. The ombudsman shall make 367 recommendations he or she deems appropriate for legislation 368 relative to division procedures, rules, jurisdiction, personnel, 369 and functions. 370 (4)To act as liaison between the division, unit owners, 371 boards of directors, board members, community association 372 managers, and other affected parties under this chapter and 373 chapter 720. The ombudsman shall develop policies and procedures 374 to assist homeowners, unit owners, boards of directors, board 375 members, community association managers, and other affected 376 parties to understand their rights and responsibilities as set 377 forth in this chapter and the condominium documents governing 378 their respective associations association. The ombudsman shall 379 coordinate and assist in the preparation and adoption of 380 educational and reference material, and shall endeavor to 381 coordinate with private or volunteer providers of these 382 services, so that the availability of these resources is made 383 known to the largest possible audience. 384 (5)To monitor and review procedures and disputes 385 concerning condominium elections or meetings, including, but not 386 limited to, recommending that the division pursue enforcement 387 action in any manner where there is reasonable cause to believe 388 that election misconduct has occurred and reviewing secret 389 ballots cast at a vote of the association. 390 (6)To make recommendations to the division for changes in 391 rules and procedures for the filing, investigation, and 392 resolution of complaints filed by homeowners, unit owners, 393 associations, and managers. 394 (7)To provide resources to assist members of boards of 395 directors and officers of associations to carry out their powers 396 and duties consistent with this chapter, chapter 720, division 397 rules, and the condominium documents governing the association. 398 (8)To encourage and facilitate voluntary meetings with and 399 between homeowners, unit owners, boards of directors, board 400 members, community association managers, and other affected 401 parties when the meetings may assist in resolving a dispute 402 within a community association before a person submits a dispute 403 for a formal or administrative remedy. It is the intent of the 404 Legislature that the ombudsman act as a neutral resource for 405 both the rights and responsibilities of homeowners, unit owners, 406 associations, and board members. 407 (9)To assist with the resolution of disputes between 408 homeowners or unit owners and the association or between 409 homeowners or unit owners when the dispute is not within the 410 jurisdiction of the division to resolve. 411 (10)To appoint an election monitor to attend the annual 412 meeting of the homeowners or unit owners and conduct the 413 election of directors if 15 percent of the total voting 414 interests in an association or six owners, whichever is greater, 415 make such a petition to the ombudsman Fifteen percent of the 416 total voting interests in a condominium association, or six unit 417 owners, whichever is greater, may petition the ombudsman to 418 appoint an election monitor to attend the annual meeting of the 419 unit owners and conduct the election of directors. The ombudsman 420 shall appoint a division employee, a person or persons 421 specializing in homeowners association or condominium election 422 monitoring, as applicable, or an attorney licensed to practice 423 in this state as the election monitor. All costs associated with 424 the election monitoring process must shall be paid by the 425 association. The division shall adopt a rule establishing 426 procedures for the appointment of election monitors and the 427 scope and extent of the monitors role in the election process. 428 (11)To void an election if the ombudsman determines that a 429 violation of this chapter or chapter 720 has occurred relating 430 to elections. 431 (12)To petition the court to appoint a receiver if the 432 appointment of a receiver is in the best interests of the 433 association or owners. 434 (13)To issue subpoenas and conduct audits for 435 investigations for the purposes of the Condominium and 436 Homeowners Association Economic Crime, Fraud, and Corruption 437 Investigation Pilot Program established under s. 16.0151. 438 Section 9.Subsection (2) of section 718.509, Florida 439 Statutes, is amended to read: 440 718.509Division of Florida Condominiums, Timeshares, and 441 Mobile Homes Trust Fund. 442 (2)All moneys collected by the division from fees, fines, 443 or penalties or from costs awarded to the division by a court or 444 administrative final order must shall be paid into the Division 445 of Florida Condominiums, Timeshares, and Mobile Homes Trust 446 Fund. The Legislature shall appropriate funds from this trust 447 fund sufficient to administer carry out the provisions of this 448 chapter and the provisions of law with respect to each category 449 of business covered by the trust fund. The division shall 450 maintain separate revenue accounts in the trust fund for each of 451 the businesses regulated by the division. The division shall 452 provide for the proportionate allocation among the accounts of 453 expenses incurred by the division in the performance of its 454 duties with respect to each of these businesses. As part of its 455 normal budgetary process, the division shall prepare an annual 456 report of revenue and allocated expenses related to the 457 operation of each of these businesses, which may be used to 458 determine fees charged by the division. This subsection shall 459 operate pursuant to the provisions of s. 215.20. 460 Section 10.Present subsections (2) through (12) and (13) 461 of section 720.301, Florida Statutes, are redesignated as 462 subsections (3) through (13) and (15), respectively, new 463 subsections (2) and (14) are added to that section, and 464 subsection (1) and present subsections (8) and (10) of that 465 section are amended, to read: 466 720.301Definitions.As used in this chapter, the term: 467 (1)Assessment or amenity fee means a sum or sums of 468 money payable to the association, to the developer or other 469 owner of common areas, or to recreational facilities and other 470 properties serving the parcels by the owners of one or more 471 parcels as authorized in the governing documents, which if not 472 paid by the owner of a parcel, can result in a lien against the 473 parcel by the association. 474 (2)Amenity fee means any dues, fees, charges, or other 475 amounts due in accordance with a recreational covenant which are 476 levied against an owner for recreational membership or use. The 477 term does not mean assessments as defined in subsection (1). 478 Amenity fees may consist, in part, of expenses, profit, interest 479 or carrying cost recoupment, or other components that are to be 480 paid to a private third-party commercial amenity or recreational 481 facility owner, as may be set forth in a recreational covenant. 482 However, the expenses of a homeowners association may not be 483 included in the amenity fee. All remedies available to amenity 484 or recreational facility owners for nonpayment of amenity fees 485 must be set forth in a recreational covenant, and the collection 486 of amenity fees is not controlled by this chapter. 487 (9)(a)(8)Governing documents means: 488 1.(a)The recorded declaration of covenants for a community 489 and all duly adopted and recorded amendments, supplements, and 490 recorded exhibits thereto, subject to paragraph (b); and 491 2.(b)The articles of incorporation and bylaws of the 492 homeowners association and any duly adopted amendments thereto. 493 (b)Consistent with s. 720.302(3)(b) of the Homeowners 494 Association Act, recreational covenants with respect to 495 commercial amenity properties, including where such recreational 496 covenants are attached as exhibits to a declaration of covenants 497 for a community, may not be deemed or considered to be governing 498 documents of an association. 499 (11)(10)Member means a member of an association, and may 500 include, but is not limited to, a parcel owner or an association 501 representing parcel owners or a combination thereof, and 502 includes any person or entity obligated by the governing 503 documents to pay an assessment or amenity fee. 504 (14)Recreational covenant means a recorded covenant that 505 is separate and distinct from a declaration of covenants for a 506 community and that sets forth the nature and requirements of 507 membership, use, or purchase of privately owned commercial 508 recreational facilities or amenities for owners in one or more 509 communities or community development districts. Recreational 510 covenants are not governing documents of a community. A 511 recreational covenant must be recorded in the public records of 512 the county in which the recreational facility is located; must 513 contain information regarding the amounts that may be levied 514 against individuals who will be members, as well as any remedies 515 the recreational facility owner has in connection with 516 nonpayment of such amounts; and must include a mechanism, 517 formula, or other means by which a future purchase of the 518 recreational facility may be transacted between the recreational 519 facility owner and an association, community development 520 district, or other governmental entity. 521 Section 11.Subsection (3) of section 720.302, Florida 522 Statutes, is amended to read: 523 720.302Purposes, scope, and application. 524 (3)This chapter does not apply to: 525 (a)A community that is composed of property primarily 526 intended for commercial, industrial, or other nonresidential 527 use; or 528 (b)The commercial or industrial parcels, inclusive of 529 amenities or recreational properties governed by a recreational 530 covenant, in a community that contains both residential parcels 531 and parcels intended for commercial or industrial use. 532 Section 12.Subsection (2) of section 720.305, Florida 533 Statutes, is amended to read: 534 720.305Obligations of members; remedies at law or in 535 equity; levy of fines and suspension of use rights. 536 (2)An association may levy reasonable fines for violations 537 of its the declaration, association bylaws, or reasonable rules 538 otherwise provided in its governing documents of the 539 association. A fine may not exceed $100 per violation against 540 any member or any members tenant, guest, or invitee for the 541 failure of the owner of the parcel or its occupant, licensee, or 542 invitee to comply with any provision of the associations 543 declaration, the association bylaws, or reasonable rules 544 otherwise provided in its governing documents of the association 545 unless otherwise provided in the governing documents, provided 546 that the fine for such violation does not exceed $1,000. A fine 547 may not be assessed more than once for the same violation. A 548 fine may be levied by the board for each day of a continuing 549 violation, with a single notice and opportunity for hearing, 550 except that the fine may not exceed $1,000 in the aggregate 551 unless otherwise provided in the governing documents. A fine of 552 less than $1,000 may not become a lien against a parcel, and 553 fines may not be aggregated to create a lien against a parcel. 554 In any action to recover a fine, the prevailing party may be is 555 entitled to reasonable attorney fees and costs from the 556 nonprevailing party as provided in paragraph (d) determined by 557 the court. 558 (a)An association may suspend, for a reasonable period of 559 time, the right of a member, or a members tenant, guest, or 560 invitee, to use common areas and facilities for the failure of 561 the owner of the parcel or its occupant, licensee, or invitee to 562 comply with any provision of the declaration, the association 563 bylaws, or reasonable rules of the association. This paragraph 564 does not apply to that portion of common areas used to provide 565 access or utility services to the parcel. A suspension may not 566 prohibit an owner or tenant of a parcel from having vehicular 567 and pedestrian ingress to and egress from the parcel, including, 568 but not limited to, the right to park. 569 (b)A fine or suspension levied by the board of 570 administration may not be imposed unless the board first 571 provides at least 14 days written notice of the parcel owners 572 right to a hearing to the parcel owner at his or her designated 573 mailing or e-mail address in the associations official records 574 and, if applicable, to any occupant, licensee, or invitee of the 575 parcel owner, sought to be fined or suspended. Such hearing must 576 be held within 90 days after issuance of the notice before a 577 committee of at least three members appointed by the board who 578 are not officers, directors, or employees of the association, or 579 the spouse, parent, child, brother, or sister of an officer, 580 director, or employee. The committee may hold the hearing by 581 telephone or other electronic means. The notice must include a 582 description of the alleged violation; the specific action 583 required to cure such violation, if applicable; and the hearing 584 date, location, and access information if held by telephone or 585 other electronic means. A parcel owner has the right to attend a 586 hearing by telephone, video teleconference, or other electronic 587 means. 588 (c)If the committee, by majority vote, does not find that 589 a violation exists or does not approve a proposed fine or 590 suspension, the proposed fine or suspension may not be imposed 591 and action may not be taken related to the alleged violation. 592 The role of the committee is limited to determining whether a 593 violation exists and, if so, to confirm or reject the fine or 594 suspension levied by the board. 595 (d)Within 7 days after the hearing, the committee shall 596 provide written notice to the parcel owner at his or her 597 designated mailing or e-mail address in the associations 598 official records and, if applicable, any occupant, licensee, or 599 invitee of the parcel owner, of the committees findings related 600 to the violation, including any applicable fines or suspensions 601 that the committee approved or rejected, and how the parcel 602 owner or any occupant, licensee, or invitee of the parcel owner 603 may cure the violation, if applicable, or fulfill a suspension, 604 or the date by which a fine must be paid. Fines, suspensions, 605 attorney fees, and costs must be determined and structured as 606 follows: 607 1.If a violation is confirmed by the association and 608 subsequently cured before the hearing, a fine or suspension may 609 not be levied and attorney fees and costs may not be awarded. 610 2.If a violation is confirmed at a hearing and the parcel 611 owner cures the violation within 30 days after the hearing, the 612 fine must be reduced by 50 percent and any applicable suspension 613 must be lifted. Attorney fees and costs may not be awarded. 614 3.If a violation is confirmed at a hearing and not cured 615 within 30 days after the hearing, reasonable attorney fees and 616 costs may be awarded to the association for the work required to 617 collect the fine and remedy the violation. 618 4.If a violation is confirmed at a hearing and not cured, 619 fines for such violation are due no earlier than 30 days after 620 the hearing. Following the hearing, the association shall 621 provide written notice to the designated parcel owner and 622 address any findings related to the violation, including 623 applicable fines, suspensions, and instructions on how to cure 624 the violation and pay associated penalties. 625 (e)If a violation and the proposed fine or suspension 626 levied by the board is approved by the committee and the 627 violation is not cured or the fine is not paid per the written 628 notice required in paragraph (d), reasonable attorney fees and 629 costs may be awarded to the association. Attorney fees and costs 630 may not begin to accrue until after the date noticed for payment 631 under paragraph (d) and the time for an appeal has expired If a 632 violation has been cured before the hearing or in the manner 633 specified in the written notice required in paragraph (b) or 634 paragraph (d), a fine or suspension may not be imposed. 635 (f)A parcel owner has a right at any time to make a 636 written request for a detailed accounting of all amounts due and 637 payable from the parcel owner to the association, and the 638 association must provide such information within 10 calendar 639 days after receipt of such written request. Failure of the 640 association to respond constitutes a waiver of any pending 641 violation, fine, or penalty. Upon receiving payment for any 642 outstanding amounts from a parcel owner, an association must 643 apply the payment first to the fine, before satisfying any other 644 outstanding amounts due. Attorney fees and costs may not 645 continue to accrue after a parcel owners satisfaction of the 646 fine, and the parcel owner may request a hearing before the 647 association to dispute the reasonableness of attorney fees and 648 costs assessed in the associations collection of the fine. If a 649 violation is not cured and the proposed fine or suspension 650 levied by the board is approved by the committee by a majority 651 vote, the committee must set a date by which the fine must be 652 paid, which date must be at least 30 days after delivery of the 653 written notice required in paragraph (d). Attorney fees and 654 costs may not be awarded against the parcel owner based on 655 actions taken by the board before the date set for the fine to 656 be paid. 657 (g)If a violation and the proposed fine or suspension 658 levied by the board is approved by the committee and the 659 violation is not cured or the fine is not paid per the written 660 notice required in paragraph (d), reasonable attorney fees and 661 costs may be awarded to the association. Attorney fees and costs 662 may not begin to accrue until after the date noticed for payment 663 under paragraph (d) and the time for an appeal has expired. 664 Section 13.Section 720.3085, Florida Statutes, is amended 665 to read: 666 720.3085Priority of payment; payment for assessments; lien 667 claims. 668 (1)Payments made by a parcel owner must be applied to any 669 outstanding amounts due that are designated by the parcel owner 670 on the payment instrument or otherwise in writing. In the event 671 the parcel owner does not designate the outstanding amounts to 672 which the remitted payment must be applied, the association must 673 apply the parcel owners payment in priority as follows: 674 (a)Regularly occurring assessments. 675 (b)Special assessments. 676 (c)Fines. 677 (d)Interest. 678 (e)Other fees or costs charged by the association, 679 including attorney fees and costs. 680 (2)When authorized by the governing documents, the 681 association has a lien on each parcel to secure the payment of 682 assessments and other amounts provided for by this section. 683 Except as otherwise set forth in this section, the lien is 684 effective from and shall relate back to the date on which the 685 original declaration of the community was recorded. However, as 686 to first mortgages of record, the lien is effective from and 687 after recording of a claim of lien in the public records of the 688 county in which the parcel is located. This subsection does not 689 bestow upon any lien, mortgage, or certified judgment of record 690 on July 1, 2008, including the lien for unpaid assessments 691 created in this section, a priority that, by law, the lien, 692 mortgage, or judgment did not have before July 1, 2008. 693 (a)To be valid, a claim of lien must state the description 694 of the parcel, the name of the record owner, the name and 695 address of the association, the assessment amount due, and the 696 due date. The claim of lien secures all unpaid assessments that 697 are due and that may accrue subsequent to the recording of the 698 claim of lien and before entry of a certificate of title, as 699 well as interest, late charges, and reasonable costs and 700 attorney fees incurred by the association incident to the 701 collection process. The person making payment is entitled to a 702 satisfaction of the lien upon payment in full. 703 (b)By recording a notice in substantially the following 704 form, a parcel owner or the parcel owners agent or attorney may 705 require the association to enforce a recorded claim of lien 706 against his or her parcel: 707 708 NOTICE OF CONTEST OF LIEN 709 710 TO: ...(Name and address of association)... 711 712 You are notified that the undersigned contests the claim of lien 713 filed by you on ...., ...(year)..., and recorded in Official 714 Records Book .... at page ...., of the public records of .... 715 County, Florida, and that the time within which you may file 716 suit to enforce your lien is limited to 90 days following the 717 date of service of this notice. Executed this .... day of ...., 718 ...(year).... 719 720 Signed: ...(Owner or Attorney)... 721 722 After the notice of a contest of lien has been recorded, the 723 clerk of the circuit court shall mail a copy of the recorded 724 notice to the association by certified mail, return receipt 725 requested, at the address shown in the claim of lien or the most 726 recent amendment to it and shall certify to the service on the 727 face of the notice. Service is complete upon mailing. After 728 service, the association has 90 days in which to file an action 729 to enforce the lien and, if the action is not filed within the 730 90-day period, the lien is void. However, the 90-day period 731 shall be extended for any length of time that the association is 732 prevented from filing its action because of an automatic stay 733 resulting from the filing of a bankruptcy petition by the parcel 734 owner or by any other person claiming an interest in the parcel. 735 (c)The association may bring an action in its name to 736 foreclose a lien for assessments in the same manner in which a 737 mortgage of real property is foreclosed and may also bring an 738 action to recover a money judgment for the unpaid assessments 739 without waiving any claim of lien, but such money judgment 740 action must be brought in the same lawsuit as the claim of lien 741 action. The association is entitled to recover its reasonable 742 attorney attorneys fees incurred in an action to foreclose a 743 lien or an action to recover a money judgment for unpaid 744 assessments. 745 (d)A release of lien must be in substantially the 746 following form: 747 748 RELEASE OF LIEN 749 750 The undersigned lienor, in consideration of the final payment in 751 the amount of $...., hereby waives and releases its lien and 752 right to claim a lien for unpaid assessments through ...., 753 ...(year)..., recorded in the Official Records Book .... at Page 754 ...., of the public records of .... County, Florida, for the 755 following described real property: 756 757 (PARCEL NO. .... OR LOT AND BLOCK) OF ...(subdivision 758 name)... SUBDIVISION AS SHOWN IN THE PLAT THEREOF, 759 RECORDED AT PLAT BOOK ...., PAGE ...., OF THE OFFICIAL 760 RECORDS OF .... COUNTY, FLORIDA. 761 762 ...(or insert appropriate metes and bounds description 763 here)... 764 765 ...(Signature of Authorized Agent)... ...(Signature of 766 Witness)... 767 ...(Print Name)... ...(Print Name)... 768 769 ...(Signature of Witness)... 770 ...(Print Name)... 771 772 Sworn to (or affirmed) and subscribed before me this .... day of 773 ...., ...(year)..., by ...(name of person making statement).... 774 775 ...(Signature of Notary Public)... 776 ...(Print, type, or stamp commissioned name of Notary Public)... 777 Personally Known .... OR Produced .... as identification. 778 (e)If the parcel owner remains in possession of the parcel 779 after a foreclosure judgment has been entered, the court may 780 require the parcel owner to pay a reasonable rent for the 781 parcel. If the parcel is rented or leased during the pendency of 782 the foreclosure action, the association is entitled to the 783 appointment of a receiver to collect the rent. The expenses of 784 the receiver must be paid by the party who does not prevail in 785 the foreclosure action. 786 (f)The association may purchase the parcel at the 787 foreclosure sale and hold, lease, mortgage, or convey the 788 parcel. 789 (3)(a)(2)(a)A parcel owner, regardless of how his or her 790 title to property has been acquired, including by purchase at a 791 foreclosure sale or by deed in lieu of foreclosure, is liable 792 for all assessments that come due while he or she is the parcel 793 owner. The parcel owners liability for assessments may not be 794 avoided by waiver or suspension of the use or enjoyment of any 795 common area or by abandonment of the parcel upon which the 796 assessments are made. 797 (b)A parcel owner is jointly and severally liable with the 798 previous parcel owner for all unpaid assessments that came due 799 up to the time of transfer of title. This liability is without 800 prejudice to any right the present parcel owner may have to 801 recover any amounts paid by the present owner from the previous 802 owner. For the purposes of this paragraph, the term previous 803 owner does shall not include an association that acquires title 804 to a delinquent property through foreclosure or by deed in lieu 805 of foreclosure. The present parcel owners liability for unpaid 806 assessments is limited to any unpaid assessments that accrued 807 before the association acquired title to the delinquent property 808 through foreclosure or by deed in lieu of foreclosure. 809 (c)Notwithstanding anything to the contrary contained in 810 this section, the liability of a first mortgagee, or its 811 successor or assignee as a subsequent holder of the first 812 mortgage who acquires title to a parcel by foreclosure or by 813 deed in lieu of foreclosure for the unpaid assessments that 814 became due before the mortgagees acquisition of title, shall be 815 the lesser of: 816 1.The parcels unpaid common expenses and regular periodic 817 or special assessments that accrued or came due during the 12 818 months immediately preceding the acquisition of title and for 819 which payment in full has not been received by the association; 820 or 821 2.One percent of the original mortgage debt. 822 823 The limitations on first mortgagee liability provided by this 824 paragraph apply only if the first mortgagee filed suit against 825 the parcel owner and initially joined the association as a 826 defendant in the mortgagee foreclosure action. Joinder of the 827 association is not required if, on the date the complaint is 828 filed, the association was dissolved or did not maintain an 829 office or agent for service of process at a location that was 830 known to or reasonably discoverable by the mortgagee. 831 (d)An association, or its successor or assignee, that 832 acquires title to a parcel through the foreclosure of its lien 833 for assessments is not liable for any unpaid assessments, late 834 fees, interest, or reasonable attorney attorneys fees and costs 835 that came due before the associations acquisition of title in 836 favor of any other association, as defined in s. 718.103 or s. 837 720.301 s. 720.301(9), which holds a superior lien interest on 838 the parcel. This paragraph is intended to clarify existing law. 839 (4)(3)Assessments and installments on assessments that are 840 not paid when due bear interest from the due date until paid at 841 the rate provided in the declaration of covenants or the bylaws 842 of the association, which rate may not exceed the rate allowed 843 by law. If no rate is provided in the declaration or bylaws, 844 simple interest accrues at the rate of 18 percent per year. 845 Notwithstanding the declaration or bylaws, compound interest may 846 not accrue on assessments and installments on assessments that 847 are not paid when due. 848 (a)If the declaration or bylaws so provide, the 849 association may also charge an administrative late fee not to 850 exceed the greater of $25 or 5 percent of the amount of each 851 installment that is paid past the due date. 852 (b)Any payment received by an association and accepted 853 must shall be applied first to any interest accrued, then to any 854 administrative late fee, then to any costs and reasonable 855 attorney fees incurred in collection, and then to the delinquent 856 assessment. This paragraph applies notwithstanding any 857 restrictive endorsement, designation, or instruction placed on 858 or accompanying a payment. A late fee is not subject to the 859 provisions of chapter 687 and is not a fine. The foregoing is 860 applicable notwithstanding s. 673.3111, any purported accord and 861 satisfaction, or any restrictive endorsement, designation, or 862 instruction placed on or accompanying a payment. The preceding 863 sentence is intended to clarify existing law. 864 (c)1.If an association sends out an invoice for 865 assessments or a parcels statement of the account described in 866 s. 720.303(4)(a)10.b., the invoice for assessments or the 867 parcels statement of account must be delivered to the parcel 868 owner by first-class United States mail or by electronic 869 transmission to the parcel owners e-mail address maintained in 870 the associations official records. 871 2.Before changing the method of delivery for an invoice 872 for assessments or the statement of the account, the association 873 must deliver a written notice of such change to each parcel 874 owner. The written notice must be delivered to the parcel owner 875 at least 30 days before the association sends the invoice for 876 assessments or the statement of the account by the new delivery 877 method. The notice must be sent by first-class United States 878 mail to the owner at his or her last address as reflected in the 879 associations records and, if such address is not the parcel 880 address, must be sent by first-class United States mail to the 881 parcel address. Notice is deemed to have been delivered upon 882 mailing as required by this subparagraph. 883 3.A parcel owner must affirmatively acknowledge his or her 884 understanding that the association will change its method of 885 delivery of the invoice for assessments or the statement of the 886 account before the association may change the method of 887 delivering an invoice for assessments or the statement of 888 account. The parcel owner may make the affirmative 889 acknowledgment electronically or in writing. 890 (d)An association may not require payment of attorney fees 891 related to a past due assessment without first delivering a 892 written notice of late assessment to the parcel owner which 893 specifies the amount owed the association and provides the 894 parcel owner an opportunity to pay the amount owed without the 895 assessment of attorney fees. The notice of late assessment must 896 be sent by first-class United States mail to the owner at his or 897 her last address as reflected in the associations records and, 898 if such address is not the parcel address, must also be sent by 899 first-class United States mail to the parcel address. Notice is 900 deemed to have been delivered upon mailing as required by this 901 paragraph. A rebuttable presumption that an association mailed a 902 notice in accordance with this paragraph is established if a 903 board member, officer, or agent of the association, or a manager 904 licensed under part VIII of chapter 468, provides a sworn 905 affidavit attesting to such mailing. The notice must be in 906 substantially the following form: 907 908 NOTICE OF LATE ASSESSMENT 909 910 RE: Parcel .... of ...(name of association)... 911 912 The following amounts are currently due on your 913 account to ...(name of association)..., and must be 914 paid within 30 days after the date of this letter. 915 This letter is shall serve as the associations notice 916 to proceed with further collection action against your 917 property no sooner than 30 days after the date of this 918 letter, unless you pay in full the amounts set forth 919 below: 920 921 922 Maintenance due ...(dates)... $..... 923 Late fee, if applicable $..... 924 Interest through ...(dates)...* $..... 925 TOTAL OUTSTANDING $..... 926 927 *Interest accrues at the rate of .... percent per 928 annum. 929 930 (5)(4)A homeowners association may not file a record of 931 lien against a parcel for unpaid assessments unless a written 932 notice or demand for past due assessments as well as any other 933 amounts owed to the association pursuant to its governing 934 documents has been made by the association. The written notice 935 or demand must: 936 (a)Provide the owner with 45 days following the date the 937 notice is deposited in the mail to make payment for all amounts 938 due, including, but not limited to, any attorney attorneys fees 939 and actual costs associated with the preparation and delivery of 940 the written demand. The notice must be in substantially the 941 following form: 942 943 NOTICE OF INTENT 944 TO RECORD A CLAIM OF LIEN 945 946 RE: Parcel or (lot/block) ...(lot/parcel number)... of 947 ...(name of association)... 948 949 The following amounts are currently due on your 950 account to ...(name of association)..., and must be 951 paid within 45 days after your receipt of this letter. 952 This letter is shall serve as the associations notice 953 of intent to record a Claim of Lien against your 954 property no sooner than 45 days after your receipt of 955 this letter, unless you pay in full the amounts set 956 forth below: 957 958 Maintenance due ...(dates)... $..... 959 Late fee, if applicable $..... 960 Interest through ...(dates)...* $..... 961 Certified mail charges $..... 962 Other costs $..... 963 TOTAL OUTSTANDING $..... 964 965 *Interest accrues at the rate of .... percent per 966 annum. 967 968 (b)Be sent by registered or certified mail, return receipt 969 requested, and by first-class United States mail to the parcel 970 owner at his or her last address as reflected in the records of 971 the association, if the address is within the United States, and 972 to the parcel owner subject to the demand at the address of the 973 parcel if the owners address as reflected in the records of the 974 association is not the parcel address. If the address reflected 975 in the records is outside the United States, then sending the 976 notice to that address and to the parcel address by first-class 977 United States mail is sufficient. 978 (6)(5)The association may bring an action in its name to 979 foreclose a lien for unpaid assessments secured by a lien in the 980 same manner that a mortgage of real property is foreclosed and 981 may also bring an action to recover a money judgment for the 982 unpaid assessments without waiving any claim of lien. The action 983 to foreclose the lien may not be brought until 45 days after the 984 parcel owner has been provided notice of the associations 985 intent to foreclose and collect the unpaid amount. The notice 986 must be given in the manner provided in paragraph (5)(b) 987 paragraph (4)(b), and the notice may not be provided until the 988 passage of the 45 days required in paragraph (5)(a) paragraph 989 (4)(a). The notice must be in substantially the following form: 990 991 DELINQUENT ASSESSMENT 992 993 This letter is to inform you a Claim of Lien has been filed 994 against your property because you have not paid the ...(type of 995 assessment)... assessment to ...(name of association).... The 996 association intends to foreclose the lien and collect the unpaid 997 amount within 45 days of this letter being provided to you. 998 999 You owe the interest accruing from ...(month/year)... to the 1000 present. As of the date of this letter, the total amount due 1001 with interest is $..... All costs of any action and interest 1002 from this day forward will also be charged to your account. 1003 1004 Any questions concerning this matter should be directed to 1005 ...(insert name, addresses, and telephone numbers of association 1006 representative).... 1007 (a)The association may recover any interest, late charges, 1008 costs, and reasonable attorney attorneys fees incurred in a 1009 lien foreclosure action or in an action to recover a money 1010 judgment for the unpaid assessments. 1011 (b)The time limitations in this subsection do not apply if 1012 the parcel is subject to a foreclosure action or forced sale of 1013 another party, or if an owner of the parcel is a debtor in a 1014 bankruptcy proceeding. 1015 (7)(6)If after service of a summons on a complaint to 1016 foreclose a lien the parcel is not the subject of a mortgage 1017 foreclosure or a notice of tax certificate sale, the parcel 1018 owner is not a debtor in bankruptcy proceedings, or the trial of 1019 or trial docket for the lien foreclosure action is not set to 1020 begin within 30 days, the parcel owner may serve and file with 1021 the court a qualifying offer at any time before the entry of a 1022 foreclosure judgment. For purposes of this subsection, the term 1023 qualifying offer means a written offer to pay all amounts 1024 secured by the lien of the association plus amounts accruing 1025 during the pendency of the offer. The parcel owner may make only 1026 one qualifying offer during the pendency of a foreclosure 1027 action. If a parcel becomes the subject of a mortgage 1028 foreclosure or a notice of tax certificate sale while a 1029 qualifying offer is pending, the qualifying offer becomes 1030 voidable at the election of the association. If the parcel owner 1031 becomes a debtor in bankruptcy proceedings while a qualifying 1032 offer is pending, the qualifying offer becomes void. 1033 (a)The parcel owner shall deliver a copy of the filed 1034 qualifying offer to the associations attorney by hand delivery, 1035 obtaining a written receipt, or by certified mail, return 1036 receipt requested. 1037 (b)The parcel owners filing of the qualifying offer with 1038 the court stays the foreclosure action for the period stated in 1039 the qualifying offer, which may not exceed 60 days following the 1040 date of service of the qualifying offer and no sooner than 30 1041 days before the date of trial, arbitration, or the beginning of 1042 the trial docket, whichever occurs first, to permit the parcel 1043 owner to pay the qualifying offer to the association plus any 1044 amounts accruing during the pendency of the offer. 1045 (c)The qualifying offer must be in writing, be signed by 1046 all owners of the parcel and the spouse of any owner if the 1047 spouse resides in or otherwise claims a homestead interest in 1048 the parcel, be acknowledged by a notary public, and be in 1049 substantially the following form: 1050 1051 QUALIFYING OFFER 1052 AUTOMATIC STAY INVOKED 1053 PURSUANT TO F.S. 720.3085 1054 1055 I/We, [Name(s) of Parcel Owner(s)], admit the following: 1056 1.The total amount due the association is secured by the 1057 lien of the association. 1058 2.The association is entitled to foreclose its claim of 1059 lien and obtain a foreclosure judgment for the total amount due 1060 if I/we breach this qualifying offer by failing to pay the 1061 amount due by the date specified in this qualifying offer. 1062 3.I/We will not permit the priority of the lien of the 1063 association or the amounts secured by the lien to be endangered. 1064 4.I/We hereby affirm that the date(s) by which the 1065 association will receive $ [specify amount] as the total amount 1066 due is [specify date, no later than 60 days after the date of 1067 service of the qualifying offer and at least 30 days before the 1068 trial or arbitration date], in the following amounts and dates: 1069 5.I/We hereby confirm that I/we have requested and have 1070 received from the homeowners association a breakdown and total 1071 of all sums due the association and that the amount offered 1072 above is equal to or greater than the total amount provided by 1073 the association. 1074 6.This qualifying offer operates as a stay to all portions 1075 of the foreclosure action which seek to collect unpaid 1076 assessments as provided in s. 720.3085. 1077 1078 Signed: ...(Signatures of all parcel owners and spouses, if 1079 any)... 1080 1081 Sworn to and subscribed this ...(date)... day of ...(month)..., 1082 ...(year)..., before the undersigned authority. 1083 1084 Notary Public: ...(Signature of notary public)... 1085 1086 If the parcel owner makes a qualifying offer under this 1087 subsection, the association may not add the cost of any legal 1088 fees incurred by the association within the period of the stay 1089 other than costs acquired in defense of a mortgage foreclosure 1090 action concerning the parcel, a bankruptcy proceeding in which 1091 the parcel owner is a debtor, or in response to filings by a 1092 party other than the association in the lien foreclosure action 1093 of the association. 1094 (8)(7)If the parcel owner breaches the qualifying offer, 1095 the stay must shall be vacated and the association may proceed 1096 in its action to obtain a foreclosure judgment against the 1097 parcel and the parcel owners for the amount in the qualifying 1098 offer and any amounts accruing after the date of the qualifying 1099 offer. 1100 (9)(a)(8)(a)If the parcel is occupied by a tenant and the 1101 parcel owner is delinquent in paying any monetary obligation due 1102 to the association, the association may demand that the tenant 1103 pay to the association the subsequent rental payments and 1104 continue to make such payments until all the monetary 1105 obligations of the parcel owner related to the parcel have been 1106 paid in full to the association and the association releases the 1107 tenant or until the tenant discontinues tenancy in the parcel. 1108 1.The association must provide the tenant a notice, by 1109 hand delivery or United States mail, in substantially the 1110 following form: 1111 1112 Pursuant to section 720.3085(9) 720.3085(8), 1113 Florida Statutes, we demand that you make your rent 1114 payments directly to the homeowners association and 1115 continue doing so until the association notifies you 1116 otherwise. 1117 Payment due the homeowners association may be in 1118 the same form as you paid your landlord and must be 1119 sent by United States mail or hand delivery to 1120 ...(full address)..., payable to ...(name).... 1121 Your obligation to pay your rent to the 1122 association begins immediately, unless you have 1123 already paid rent to your landlord for the current 1124 period before receiving this notice. In that case, you 1125 must provide the association written proof of your 1126 payment within 14 days after receiving this notice and 1127 your obligation to pay rent to the association would 1128 then begin with the next rental period. 1129 Pursuant to section 720.3085(9) 720.3085(8), 1130 Florida Statutes, your payment of rent to the 1131 association gives you complete immunity from any claim 1132 for the rent by your landlord. 1133 1134 2.A tenant is immune from any claim by the parcel owner 1135 related to the rent timely paid to the association after the 1136 association has made written demand. 1137 (b)If the tenant paid rent to the landlord or parcel owner 1138 for a given rental period before receiving the demand from the 1139 association and provides written evidence to the association of 1140 having paid the rent within 14 days after receiving the demand, 1141 the tenant must shall begin making rental payments to the 1142 association for the following rental period and must shall 1143 continue making rental payments to the association to be 1144 credited against the monetary obligations of the parcel owner 1145 until the association releases the tenant or the tenant 1146 discontinues tenancy in the unit. The association shall, upon 1147 request, provide the tenant with written receipts for payments 1148 made. The association shall mail written notice to the parcel 1149 owner of the associations demand that the tenant pay monetary 1150 obligations to the association. 1151 (c)The liability of the tenant may not exceed the amount 1152 due from the tenant to the tenants landlord. The tenant shall 1153 be given a credit against rents due to the landlord in the 1154 amount of assessments paid to the association. 1155 (d)The association may issue notice under s. 83.56 and sue 1156 for eviction under ss. 83.59-83.625 as if the association were a 1157 landlord under part II of chapter 83 if the tenant fails to pay 1158 a monetary obligation. However, the association is not otherwise 1159 considered a landlord under chapter 83 and specifically has no 1160 obligations under s. 83.51. 1161 (e)The tenant does not, by virtue of payment of monetary 1162 obligations, have any of the rights of a parcel owner to vote in 1163 any election or to examine the books and records of the 1164 association. 1165 (f)A court may supersede the effect of this subsection by 1166 appointing a receiver. 1167 Section 14.Section 720.3086, Florida Statutes, is amended 1168 to read: 1169 720.3086Financial report.In a residential subdivision in 1170 which the owners of lots or parcels must pay mandatory 1171 maintenance or amenity fees to the subdivision developer or to 1172 the owners of the common areas, recreational facilities, and 1173 other properties serving the lots or parcels, the developer or 1174 owner of such areas, facilities, or properties shall make 1175 available for inspection public, within 60 days following the 1176 end of each fiscal year, and upon written request from an owner 1177 in the applicable subdivision, a complete financial report of 1178 the actual, total receipts of mandatory maintenance or amenity 1179 fees received by it, and an itemized listing of the expenditures 1180 made by it from such fees, for that year. Such report shall be 1181 made public by mailing it to each lot or parcel owner in the 1182 subdivision, by publishing it in a publication regularly 1183 distributed within the subdivision, or by posting it in 1184 prominent locations in the subdivision. This section does not 1185 apply to amounts paid to homeowner associations pursuant to 1186 chapter 617, chapter 718, chapter 719, chapter 721, or chapter 1187 723, or to amounts paid to local governmental entities, 1188 including special districts. 1189 Section 15.Paragraph (a) of subsection (1) of section 1190 336.125, Florida Statutes, is amended to read: 1191 336.125Closing and abandonment of roads; optional 1192 conveyance to homeowners association; traffic control 1193 jurisdiction. 1194 (1)(a)In addition to the authority provided in s. 336.12, 1195 the governing body of the county may abandon the roads and 1196 rights-of-way dedicated in a recorded residential subdivision 1197 plat and simultaneously convey the countys interest in such 1198 roads, rights-of-way, and appurtenant drainage facilities to a 1199 homeowners association for the subdivision, if the following 1200 conditions have been met: 1201 1.The homeowners association has requested the 1202 abandonment and conveyance in writing for the purpose of 1203 converting the subdivision to a gated neighborhood with 1204 restricted public access. 1205 2.No fewer than four-fifths of the owners of record of 1206 property located in the subdivision have consented in writing to 1207 the abandonment and simultaneous conveyance to the homeowners 1208 association. 1209 3.The homeowners association is both a corporation not 1210 for profit organized and in good standing under chapter 617, and 1211 a homeowners association as defined in s. 720.301 s. 1212 720.301(9) with the power to levy and collect assessments for 1213 routine and periodic major maintenance and operation of street 1214 lighting, drainage, sidewalks, and pavement in the subdivision. 1215 4.The homeowners association has entered into and 1216 executed such agreements, covenants, warranties, and other 1217 instruments; has provided, or has provided assurance of, such 1218 funds, reserve funds, and funding sources; and has satisfied 1219 such other requirements and conditions as may be established or 1220 imposed by the county with respect to the ongoing operation, 1221 maintenance, and repair and the periodic reconstruction or 1222 replacement of the roads, drainage, street lighting, and 1223 sidewalks in the subdivision after the abandonment by the 1224 county. 1225 Section 16.Subsection (2) of section 558.002, Florida 1226 Statutes, is amended to read: 1227 558.002Definitions.As used in this chapter, the term: 1228 (2)Association has the same meaning as in s. 718.103, s. 1229 719.103(2), s. 720.301 s. 720.301(9), or s. 723.075. 1230 Section 17.Section 617.0725, Florida Statutes, is amended 1231 to read: 1232 617.0725Quorum.An amendment to the articles of 1233 incorporation or the bylaws which adds, changes, or deletes a 1234 greater or lesser quorum or voting requirement must meet the 1235 same quorum or voting requirement and be adopted by the same 1236 vote and voting groups required to take action under the quorum 1237 and voting requirements then in effect or proposed to be 1238 adopted, whichever is greater. This section does not apply to 1239 any corporation that is an association, as defined in s. 720.301 1240 s. 720.301(9), or any corporation regulated under chapter 718 or 1241 chapter 719. 1242 Section 18.Paragraph (b) of subsection (10) of section 1243 697.07, Florida Statutes, is amended to read: 1244 697.07Assignment of rents. 1245 (10)This section does not apply to a corporation that is a 1246 homeowners association or an association, as those terms are 1247 defined in s. 720.301, or a corporation regulated under chapter 1248 718 or chapter 719, that: 1249 (b)Collects rents from tenants in a parcel or unit 1250 pursuant to s. 718.116(11), s. 719.108(10), or s. 720.3085(9) s. 1251 720.3085(8). 1252 Section 19.Paragraph (j) of subsection (2) of section 1253 702.10, Florida Statutes, is amended to read: 1254 702.10Order to show cause; entry of final judgment of 1255 foreclosure; payment during foreclosure. 1256 (2)Except as provided in paragraph (i), in any action for 1257 foreclosure, in addition to any other relief that the court may 1258 award, the plaintiff may request that the court enter an order 1259 directing the mortgagor defendant to show cause why an order to 1260 make payments during the pendency of the foreclosure proceedings 1261 or an order to vacate the premises should not be entered. 1262 (j)For purposes of this subsection, the term mortgagor 1263 means a person who grants a mortgage or a successor in ownership 1264 of the real property described in the mortgage. The term does 1265 not include a homeowners association or an association, as 1266 those terms are defined in s. 720.301, or a corporation 1267 regulated under chapter 718 or chapter 719, that: 1268 1.Acquires title to a parcel or unit through the 1269 foreclosure of its claim of lien, or a deed in lieu of 1270 foreclosure, provided that title remains vested in the 1271 association or corporation and any rents collected are applied 1272 to assessments that are then due; or 1273 2.Collects rents from the tenants in the parcel or unit 1274 pursuant to s. 718.116(11), s. 719.108(10), or s. 720.3085(9) s. 1275 720.3085(8). 1276 Section 20.Paragraph (b) of subsection (1) of section 1277 718.116, Florida Statutes, is amended, and subsection (10) of 1278 that section is republished, to read: 1279 718.116Assessments; liability; lien and priority; 1280 interest; collection. 1281 (1) 1282 (b)1.The liability of a first mortgagee or its successor 1283 or assignees who acquire title to a unit by foreclosure or by 1284 deed in lieu of foreclosure for the unpaid assessments that 1285 became due before the mortgagees acquisition of title is 1286 limited to the lesser of: 1287 a.The units unpaid common expenses and regular periodic 1288 assessments which accrued or came due during the 12 months 1289 immediately preceding the acquisition of title and for which 1290 payment in full has not been received by the association; or 1291 b.One percent of the original mortgage debt. The 1292 provisions of This paragraph applies apply only if the first 1293 mortgagee joined the association as a defendant in the 1294 foreclosure action. Joinder of the association is not required 1295 if, on the date the complaint is filed, the association was 1296 dissolved or did not maintain an office or agent for service of 1297 process at a location which was known to or reasonably 1298 discoverable by the mortgagee. 1299 2.An association, or its successor or assignee, that 1300 acquires title to a unit through the foreclosure of its lien for 1301 assessments is not liable for any unpaid assessments, late fees, 1302 interest, or reasonable attorney attorneys fees and costs that 1303 came due before the associations acquisition of title in favor 1304 of any other association, as defined in s. 718.103 or s. 720.301 1305 s. 720.301(9), which holds a superior lien interest on the unit. 1306 This subparagraph is intended to clarify existing law. 1307 (10)The specific purpose or purposes of any special 1308 assessment, including any contingent special assessment levied 1309 in conjunction with the purchase of an insurance policy 1310 authorized by s. 718.111(11), approved in accordance with the 1311 condominium documents shall be set forth in a written notice of 1312 such assessment sent or delivered to each unit owner. The funds 1313 collected pursuant to a special assessment shall be used only 1314 for the specific purpose or purposes set forth in such notice. 1315 However, upon completion of such specific purpose or purposes, 1316 any excess funds will be considered common surplus, and may, at 1317 the discretion of the board, either be returned to the unit 1318 owners or applied as a credit toward future assessments. 1319 Section 21.Paragraph (a) of subsection (4) and paragraph 1320 (g) of subsection (5) of section 720.303, Florida Statutes, are 1321 amended to read: 1322 720.303Association powers and duties; meetings of board; 1323 official records; budgets; financial reporting; association 1324 funds; recalls. 1325 (4)OFFICIAL RECORDS. 1326 (a)The association shall maintain each of the following 1327 items, when applicable, for at least 7 years, unless the 1328 governing documents of the association require a longer period 1329 of time, which constitute the official records of the 1330 association: 1331 1.Copies of any plans, specifications, permits, and 1332 warranties related to improvements constructed on the common 1333 areas or other property that the association is obligated to 1334 maintain, repair, or replace. 1335 2.A copy of the bylaws of the association and of each 1336 amendment to the bylaws. 1337 3.A copy of the articles of incorporation of the 1338 association and of each amendment thereto. 1339 4.A copy of the declaration of covenants and a copy of 1340 each amendment thereto. 1341 5.A copy of the current rules of the homeowners 1342 association. 1343 6.The minutes of all meetings of the board of directors 1344 and of the members. 1345 7.A current roster of all members and their designated 1346 mailing addresses and parcel identifications. A members 1347 designated mailing address is the members property address, 1348 unless the member has sent written notice to the association 1349 requesting that a different mailing address be used for all 1350 required notices. The association shall also maintain the e-mail 1351 addresses and the facsimile numbers designated by members for 1352 receiving notice sent by electronic transmission of those 1353 members consenting to receive notice by electronic transmission. 1354 A members e-mail address is the e-mail address the member 1355 provided when consenting in writing to receiving notice by 1356 electronic transmission, unless the member has sent written 1357 notice to the association requesting that a different e-mail 1358 address be used for all required notices. The e-mail addresses 1359 and facsimile numbers provided by members to receive notice by 1360 electronic transmission must be removed from association records 1361 when the member revokes consent to receive notice by electronic 1362 transmission. However, the association is not liable for an 1363 erroneous disclosure of the e-mail address or the facsimile 1364 number for receiving electronic transmission of notices. 1365 8.All of the associations insurance policies or a copy 1366 thereof. 1367 9.A current copy of all contracts to which the association 1368 is a party, including, without limitation, any management 1369 agreement, lease, or other contract under which the association 1370 has any obligation or responsibility. Bids received by the 1371 association for work to be performed are considered official 1372 records and must be kept for a period of 1 year. 1373 10.The financial and accounting records of the 1374 association, kept according to good accounting practices. The 1375 financial and accounting records must include: 1376 a.Accurate, itemized, and detailed records of all receipts 1377 and expenditures. 1378 b.A current account and a periodic statement of the 1379 account for each member, designating the name and current 1380 address of each member who is obligated to pay assessments, the 1381 due date and amount of each assessment or other charge against 1382 the member, the date and amount of each payment on the account, 1383 and the balance due. 1384 c.All tax returns, financial statements, and financial 1385 reports of the association. 1386 d.Any other records that identify, measure, record, or 1387 communicate financial information. 1388 11.A copy of the disclosure summary described in s. 1389 720.401(1). 1390 12.Ballots, sign-in sheets, voting proxies, and all other 1391 papers and electronic records relating to voting by parcel 1392 owners, which must be maintained for at least 1 year after the 1393 date of the election, vote, or meeting. 1394 13.All affirmative acknowledgments made pursuant to s. 1395 720.3085(4)(c)3. 720.3085(3)(c)3. 1396 14.All other written records of the association not 1397 specifically included in this subsection which are related to 1398 the operation of the association. 1399 (5)INSPECTION AND COPYING OF RECORDS. 1400 (g)The association may adopt reasonable written rules 1401 governing the frequency, time, location, notice, records to be 1402 inspected, and manner of inspections, but may not require a 1403 parcel owner to demonstrate any proper purpose for the 1404 inspection, state any reason for the inspection, or limit a 1405 parcel owners right to inspect records to less than one 8-hour 1406 business day per month. The association may impose fees to cover 1407 the costs of providing copies of the official records, including 1408 the costs of copying and the costs required for personnel to 1409 retrieve and copy the records if the time spent retrieving and 1410 copying the records exceeds one-half hour and if the personnel 1411 costs do not exceed $20 per hour. Personnel costs may not be 1412 charged for records requests that result in the copying of 25 or 1413 fewer pages. The association may charge up to 25 cents per page 1414 for copies made on the associations photocopier. If the 1415 association does not have a photocopy machine available where 1416 the records are kept, or if the records requested to be copied 1417 exceed 25 pages in length, the association may have copies made 1418 by an outside duplicating service and may charge the actual cost 1419 of copying, as supported by the vendor invoice. The association 1420 shall maintain an adequate number of copies of the recorded 1421 governing documents, to ensure their availability to members and 1422 prospective members. Notwithstanding this subsection, the 1423 following records are not accessible to members or parcel 1424 owners: 1425 1.Any record protected by the lawyer-client privilege as 1426 described in s. 90.502 and any record protected by the work 1427 product privilege, including, but not limited to, a record 1428 prepared by an association attorney or prepared at the 1429 attorneys express direction which reflects a mental impression, 1430 conclusion, litigation strategy, or legal theory of the attorney 1431 or the association and which was prepared exclusively for civil 1432 or criminal litigation or for adversarial administrative 1433 proceedings or which was prepared in anticipation of such 1434 litigation or proceedings until the conclusion of the litigation 1435 or proceedings. 1436 2.Information obtained by an association in connection 1437 with the approval of the lease, sale, or other transfer of a 1438 parcel. 1439 3.Information an association obtains in a gated community 1440 in connection with guests visits to parcel owners or community 1441 residents. 1442 4.Personnel records of association or management company 1443 employees, including, but not limited to, disciplinary, payroll, 1444 health, and insurance records. For purposes of this 1445 subparagraph, the term personnel records does not include 1446 written employment agreements with an association or management 1447 company employee or budgetary or financial records that indicate 1448 the compensation paid to an association or management company 1449 employee. 1450 5.Medical records of parcel owners or community residents. 1451 6.Social security numbers, driver license numbers, credit 1452 card numbers, electronic mailing addresses, telephone numbers, 1453 facsimile numbers, emergency contact information, any addresses 1454 for a parcel owner other than as provided for association notice 1455 requirements, and other personal identifying information of any 1456 person, excluding the persons name, parcel designation, mailing 1457 address, and property address. Notwithstanding the restrictions 1458 in this subparagraph, an association may print and distribute to 1459 parcel owners a directory containing the name, parcel address, 1460 and all telephone numbers of each parcel owner. However, an 1461 owner may exclude his or her telephone numbers from the 1462 directory by so requesting in writing to the association. An 1463 owner may consent in writing to the disclosure of other contact 1464 information described in this subparagraph. The association is 1465 not liable for the disclosure of information that is protected 1466 under this subparagraph if the information is included in an 1467 official record of the association and is voluntarily provided 1468 by an owner and not requested by the association. 1469 7.Any electronic security measure that is used by the 1470 association to safeguard data, including passwords. 1471 8.The software and operating system used by the 1472 association which allows the manipulation of data, even if the 1473 owner owns a copy of the same software used by the association. 1474 The data is part of the official records of the association. 1475 9.All affirmative acknowledgments made pursuant to s. 1476 720.3085(4)(c)3. 720.3085(3)(c)3. 1477 Section 22.For the purpose of incorporating the amendment 1478 made by this act to section 718.111, Florida Statutes, in a 1479 reference thereto, subsection (19) of section 626.854, Florida 1480 Statutes, is reenacted to read: 1481 626.854Public adjuster defined; prohibitions.The 1482 Legislature finds that it is necessary for the protection of the 1483 public to regulate public insurance adjusters and to prevent the 1484 unauthorized practice of law. 1485 (19)Subsections (5)-(18) apply only to residential 1486 property insurance policies and condominium unit owner policies 1487 as described in s. 718.111(11). 1488 Section 23.For the purpose of incorporating the amendment 1489 made by this act to section 718.111, Florida Statutes, in a 1490 reference thereto, paragraph (f) of subsection (11) of section 1491 718.110, Florida Statutes, is reenacted to read: 1492 718.110Amendment of declaration; correction of error or 1493 omission in declaration by circuit court. 1494 (11)The Legislature finds that the procurement of 1495 mortgagee consent to amendments that do not affect the rights or 1496 interests of mortgagees is an unreasonable and substantial 1497 logistical and financial burden on the unit owners and that 1498 there is a compelling state interest in enabling the members of 1499 a condominium association to approve amendments to the 1500 condominium documents through legal means. Accordingly, and 1501 notwithstanding any provision to the contrary contained in this 1502 section: 1503 (f)Notwithstanding the provisions of this section, any 1504 amendment or amendments to conform a declaration of condominium 1505 to the insurance coverage provisions in s. 718.111(11) may be 1506 made as provided in that section. 1507 Section 24.For the purpose of incorporating the amendment 1508 made by this act to section 718.111, Florida Statutes, in a 1509 reference thereto, paragraph (f) of subsection (1) of section 1510 718.115, Florida Statutes, is reenacted to read: 1511 718.115Common expenses and common surplus. 1512 (1) 1513 (f)Common expenses include the costs of insurance acquired 1514 by the association under the authority of s. 718.111(11), 1515 including costs and contingent expenses required to participate 1516 in a self-insurance fund authorized and approved pursuant to s. 1517 624.462. 1518 Section 25.For the purpose of incorporating the amendment 1519 made by this act to section 718.111, Florida Statutes, in a 1520 reference thereto, subsection (6) of section 718.406, Florida 1521 Statutes, is reenacted to read: 1522 718.406Condominiums created within condominium parcels. 1523 (6)The primary condominium association may provide 1524 insurance required by s. 718.111(11) for common elements and 1525 other improvements within the secondary condominium if the 1526 primary condominium declaration permits the primary condominium 1527 association to provide such insurance for the benefit of the 1528 condominium property included in the subdivided parcel, in lieu 1529 of such insurance being provided by the secondary condominium 1530 association. 1531 Section 26.For the purpose of incorporating the amendment 1532 made by this act to section 720.302, Florida Statutes, in a 1533 reference thereto, subsection (1) of section 723.0751, Florida 1534 Statutes, is reenacted to read: 1535 723.0751Mobile home subdivision homeowners association. 1536 (1)In the event that no homeowners association has been 1537 created pursuant to ss. 720.301-720.312 to operate a mobile home 1538 subdivision, the owners of lots in such mobile home subdivision 1539 shall be authorized to create a mobile home subdivision 1540 homeowners association in the manner prescribed in ss. 723.075, 1541 723.076, and 723.078 which shall have the powers and duties, to 1542 the extent applicable, set forth in ss. 723.002(2) and 723.074. 1543 Section 27.For the purpose of incorporating the amendment 1544 made by this act to section 720.305, Florida Statutes, in a 1545 reference thereto, subsection (9) of section 617.0825, Florida 1546 Statutes, is reenacted to read: 1547 617.0825Board committees and advisory committees. 1548 (9)This section does not apply to a committee established 1549 under chapter 718, chapter 719, or chapter 720 to perform the 1550 functions set forth in s. 718.303(3), s. 719.303(3), s. 1551 720.3035(1), s. 720.305(2), or s. 720.405, respectively. 1552 Section 28.This act shall take effect July 1, 2025.