HB 1593

CS

CHAMBER ACTION

1	The Insurance Committee recommends the following:
2
3	Council/Committee Substitute
4	Remove the entire bill and insert:
5	A bill to be entitled
6	An act relating to community associations; directing the
7	Advisory Council on Condominiums to hold public hearings
8	and prepare and present a report to the Legislature
9	regarding certain issues relating to the powers of
10	condominium associations during catastrophic windstorm
11	events and the recovery and rebuilding following such
12	events; amending s. 720.305, F.S.; providing that a fine
13	levied by a homeowners' association against a homeowner
14	shall not become a lien against a parcel unless it is
15	imposed for violations of use restrictions on the land;
16	amending s. 720.311, F.S.; providing that the failure of a
17	party to make payment of fees and costs or appear for a
18	mediation session or arbitration proceeding acts as an
19	impasse in the proceeding and entitles the other party to
20	proceed in court and to receive and enforce an award of
21	costs and fees associated with the mediation or
22	arbitration; deleting the training hours required for
23	certification of mediators and arbitrators; providing that
24	qualifications for certification as a mediator or
25	arbitrator will be established by the Florida Supreme
26	Court; deleting a provision requiring the initial costs of
27	educating homeowners and other parties about homeowners'
28	associations and the use of alternative dispute resolution
29	techniques to be paid from moneys and filing fees
30	generated by the arbitration of recall and election
31	disputes and by the mediation of those disputes; creating
32	s. 712.11, F.S.; providing for the revival of certain
33	declarations that have been extinguished; providing an
34	effective date.
35
36	Be It Enacted by the Legislature of the State of Florida:
37
38	Section 1.  The Advisory Council on Condominiums is
39	directed to hold public hearings, study available options and
40	proposals, and prepare a report to the Legislature, including
41	recommended legislation, dealing with the protection and
42	preservation of condominium property at the time of anticipated
43	catastrophic windstorm events and the recovery and rebuilding
44	following such events. Recommendations should consider the
45	communication options with condominium owners in times of
46	anticipated and declared emergencies, financial planning for
47	protecting and rebuilding condominium property following such
48	events, and the powers and responsibilities of unit owners and
49	the board of directors of the condominium association before,
50	during, and after such occurrences.
51	Section 2.  Subsection (2) of section 720.305, Florida
52	Statutes, is amended to read:
53	720.305  Obligations of members; remedies at law or in
54	equity; levy of fines and suspension of use rights; failure to
55	fill sufficient number of vacancies on board of directors to
56	constitute a quorum; appointment of receiver upon petition of
57	any member.--
58	(2)  If the governing documents so provide, an association
59	may suspend, for a reasonable period of time, the rights of a
60	member or a member's tenants, guests, or invitees, or both, to
61	use common areas and facilities and may levy reasonable fines,
62	not to exceed $100 per violation, against any member or any
63	tenant, guest, or invitee. A fine may be levied on the basis of
64	each day of a continuing violation, with a single notice and
65	opportunity for hearing, except that no such fine shall exceed
66	$1,000 in the aggregate unless otherwise provided in the
67	governing documents. A fine shall not become a lien against a
68	parcel unless it is imposed for violations of use restrictions
69	on the land. In any action to recover a fine, the prevailing
70	party is entitled to collect its reasonable attorney's fees and
71	costs from the nonprevailing party as determined by the court.
72	(a)  A fine or suspension may not be imposed without notice
73	of at least 14 days to the person sought to be fined or
74	suspended and an opportunity for a hearing before a committee of
75	at least three members appointed by the board who are not
76	officers, directors, or employees of the association, or the
77	spouse, parent, child, brother, or sister of an officer,
78	director, or employee. If the committee, by majority vote, does
79	not approve a proposed fine or suspension, it may not be
80	imposed.
81	(b)  The requirements of this subsection do not apply to
82	the imposition of suspensions or fines upon any member because
83	of the failure of the member to pay assessments or other charges
84	when due if such action is authorized by the governing
85	documents.
86	(c)  Suspension of common-area-use rights shall not impair
87	the right of an owner or tenant of a parcel to have vehicular
88	and pedestrian ingress to and egress from the parcel, including,
89	but not limited to, the right to park.
90	Section 3.  Paragraphs (b) and (c) of subsection (2) and
91	subsection (3) of section 720.311, Florida Statutes, are amended
92	to read:
93	720.311  Dispute resolution.--
94	(2)
95	(b)  If mediation as described in paragraph (a) is not
96	successful in resolving all issues between the parties, the
97	parties may file the unresolved dispute in a court of competent
98	jurisdiction or elect to enter into binding or nonbinding
99	arbitration pursuant to the procedures set forth in s. 718.1255
100	and rules adopted by the division, with the arbitration
101	proceeding to be conducted by a department arbitrator or by a
102	private arbitrator certified by the department. If all parties
103	do not agree to arbitration proceedings following an
104	unsuccessful mediation, any party may file the dispute in court.
105	A final order resulting from nonbinding arbitration is final and
106	enforceable in the courts if a complaint for trial de novo is
107	not filed in a court of competent jurisdiction within 30 days
108	after entry of the order. The failure of any party to make
109	payment of fees and costs within the time established by
110	department rule or to appear for a scheduled mediation session
111	or arbitration proceeding shall operate as an impasse in the
112	proceeding between the parties, entitling the other party to
113	proceed in court and to receive and enforce an award of costs
114	and fees associated with the mediation or arbitration.
115	(c)  The department shall develop a certification and
116	training program for private mediators and private arbitrators
117	which shall emphasize experience and expertise in the area of
118	the operation of community associations. A mediator or
119	arbitrator shall be certified by the department only if he or
120	she has met the qualifications for a mediator established for
121	circuit court mediators has attended at least 20 hours of
122	training in mediation or arbitration, as appropriate, and only
123	if the applicant has mediated or arbitrated at least 10 disputes
124	involving community associations within 5 years prior to the
125	date of the application, or has mediated or arbitrated 10
126	disputes in any area within 5 years prior to the date of
127	application and has completed 20 hours of training in community
128	association disputes. In order to be certified by the
129	department, any mediator must also be certified by the Florida
130	Supreme Court. The department may conduct the training and
131	certification program within the department or may contract with
132	an outside vendor to perform the training or certification. The
133	expenses of operating the training and certification and
134	training program shall be paid by the moneys and filing fees
135	generated by the arbitration of recall and election disputes and
136	by the mediation of those disputes referred to in this
137	subsection and by the training fees.
138	(3)  The department shall develop an education program to
139	assist homeowners, associations, board members, and managers in
140	understanding and increasing awareness of the operation of
141	homeowners' associations pursuant to this chapter and in
142	understanding the use of alternative dispute resolution
143	techniques in resolving disputes between parcel owners and
144	associations or between owners. Such education program may
145	include the development of pamphlets and other written
146	instructional guides, the holding of classes and meetings by
147	department employees or outside vendors, as the department
148	determines, and the creation and maintenance of a website
149	containing instructional materials. The expenses of operating
150	the education program shall be initially paid by the moneys and
151	filing fees generated by the arbitration of recall and election
152	disputes and by the mediation of those disputes referred to in
153	this subsection.
154	Section 4.  Section 712.11, Florida Statutes, is created to
155	read:
156	712.11  Covenants and restrictions.--A homeowners'
157	association that is not otherwise subject to chapter 720 may use
158	the procedures provided in ss. 720.403-720.407 to revive a
159	declaration of covenants and restrictions that has been
160	extinguished by this chapter entitled Marketable Record Titles
161	to Real Property.
162	Section 5.  This act shall take effect upon becoming a law.

CODING: Words stricken are deletions; words underlined are additions.