HB 299

1	A bill to be entitled
2	An act relating to construction bonds; amending s. 255.05,
3	F.S.; requiring a surety to record in the public records a
4	payment bond for a public works construction project;
5	requiring that the bond number be stated on the first page
6	of a bond; prohibiting the issuing authority for a
7	building permit or a private provider providing inspection
8	services from inspecting certain improvements until the
9	filing of a payment bond or statement that the contract is
10	exempt from the requirements for a payment bond; requiring
11	the clerk of court to serve a notice of contest of lien;
12	amending s. 713.13, F.S.; revising the date on which a
13	notice of commencement expires; revising the form of a
14	notice of commencement; requiring the posting of a payment
15	bond on a job site; replacing the warning to owner on the
16	notice of commencement with a notice to subcontractors;
17	amending s. 713.135, F.S.; revising the warning to the
18	owner which is printed on permit cards; deleting a
19	requirement for filing a notice of commencement before
20	certain inspections; revising the warning to the owner
21	which is provided on a building permit form; creating s.
22	713.137, F.S.; prohibiting the issuing authority of a
23	building permit or a private provider providing inspection
24	services from inspecting an improvement until documents
25	relating to the notice of commencement and payment bond
26	have been filed; providing exceptions; amending s. 713.16,
27	F.S.; authorizing a lienor who submits or mails a claim of
28	lien to the clerk for recording to make certain demands
29	for certain written statements of an owner; amending s.
30	713.18, F.S.; providing additional methods by which
31	instruments may be served by mail; amending s. 713.22,
32	F.S.; requiring the clerk of court to serve a notice of
33	contest of lien; amending s. 713.23, F.S.; requiring the
34	clerk of court to serve a notice of contest of nonpayment;
35	conforming cross-references; amending s. 713.24, F.S.;
36	requiring the clerk of court to serve a copy of the
37	certificate showing the transfer of a lien and a copy of
38	the bond if the lien is transferred to a bond; providing
39	an effective date.
40
41	Be It Enacted by the Legislature of the State of Florida:
42
43	Section 1.  Subsection (1) and paragraph (a) of subsection
44	(2) of section 255.05, Florida Statutes, are amended to read:
45	255.05  Bond of contractor constructing public buildings;
46	form; action by materialmen.--
47	(1)(a)  Any person entering into a formal contract with the
48	state or any county, municipality city, or political subdivision
49	thereof, or other public authority or private entity, for the
50	construction of a public building, for the prosecution and
51	completion of a public work, or for repairs upon a public
52	building or public work shall be required, before commencing the
53	work or before recommencing the work after a default or
54	abandonment, to execute and, deliver to the public owner, and
55	record in the public records of the county where the improvement
56	is located, a payment and performance bond with a surety insurer
57	authorized to do business in this state as surety.
58	(a)  A public entity may not require a contractor to secure
59	a surety bond under this section from a specific agent or
60	bonding company.
61	(b)  The bond must state on its front page: the name,
62	principal business address, and phone number of the contractor,
63	the surety, the owner of the property being improved, and, if
64	different from the owner, the contracting public entity; the
65	contract number assigned by the contracting public entity; the
66	bond number assigned by the surety; and a description of the
67	project sufficient to identify it, such as a legal description
68	or the street address of the property being improved, and a
69	general description of the improvement.
70	(c)  Such bond shall be conditioned upon the contractor's
71	performance of the construction work in the time and manner
72	prescribed in the contract and promptly making payments to all
73	persons defined in s. 713.01 who furnish labor, services, or
74	materials for the prosecution of the work provided for in the
75	contract.
76	(d)  The surety shall record the payment bond upon issuance
77	in the public records of the county in which the improvement
78	will be located.
79	(e)1.  The issuing authority for the building permit, or a
80	private provider providing inspection services, may not inspect
81	the property being improved until:
82	a.  The issuing authority has a copy of the contractor's
83	recorded payment bond on file; or
84	b.  The contracting public entity has filed a notarized
85	statement stating that the contract is exempt from the
86	requirement for a payment bond under this section.
87	2.  This paragraph does not apply to inspections for the
88	installation of temporary electrical service or other temporary
89	utility service, land clearing, or other preliminary site work.
90	(f)  Any claimant may apply to the governmental entity
91	having charge of the work for copies of the contract and bond
92	and shall thereupon be furnished with a certified copy of the
93	contract and bond. The claimant has shall have a right of action
94	against the contractor and surety for the amount due him or her,
95	including unpaid finance charges due under the claimant's
96	contract. Such action shall not involve the public authority in
97	any expense.
98	(g)1.  A payment and performance bond is not required for a
99	contract of $100,000 or less with the state. When such work is
100	done for the state and the contract is for $100,000 or less, no
101	payment and performance bond shall be required.
102	2.  At the discretion of The official or board awarding a
103	such contract when such work is done for a any county,
104	municipality city, political subdivision, or public authority
105	may exempt a contract, any person entering into such a contract
106	which is for $200,000 or less from the requirement for a may be
107	exempted from executing the payment and performance bond.
108	3.  When such work is done for the state, The Secretary of
109	Management Services may delegate to a state agency agencies the
110	authority to exempt any person entering into such a contract for
111	amounting to more than $100,000 but less than $200,000 from the
112	requirement for a executing the payment and performance bond. If
113	In the event such exemption is granted, the officer or officials
114	are shall not be personally liable to persons suffering loss
115	because of granting such exemption. The Department of Management
116	Services shall maintain information on the number of requests by
117	state agencies for delegation of authority to waive the bond
118	requirements by agency and project number and whether any
119	request for delegation was denied and the justification for the
120	denial.
121	(h)  Any provision in a payment bond furnished for public
122	work contracts as provided by this subsection which restricts
123	the classes of persons as defined in s. 713.01 protected by the
124	bond or the venue of any proceeding relating to such bond is
125	unenforceable.
126	(i)(b)  The Department of Management Services shall adopt
127	rules with respect to all contracts for $200,000 or less, to
128	provide:
129	1.  Procedures for retaining up to 10 percent of each
130	request for payment submitted by a contractor and procedures for
131	determining disbursements from the amount retained on a pro rata
132	basis to laborers, materialmen, and subcontractors, as defined
133	in s. 713.01.
134	2.  Procedures for requiring certification from laborers,
135	materialmen, and subcontractors, as defined in s. 713.01, prior
136	to final payment to the contractor that such laborers,
137	materialmen, and subcontractors have no claims against the
138	contractor resulting from the completion of the work provided
139	for in the contract.
140
141	The state is shall not be held liable to any laborer,
142	materialman, or subcontractor for any amounts greater than the
143	pro rata share as determined under this section.
144	(j)(c)1.  The amount of the bond shall equal the contract
145	price, except that for a contract in excess of $250 million, if
146	the state, county, municipality, political subdivision, or other
147	public entity finds that a bond in the amount of the contract
148	price is not reasonably available, the public owner shall set
149	the amount of the bond at the largest amount reasonably
150	available, but not less than $250 million.
151	2.  For construction-management or design-build contracts,
152	if the public owner does not include in the bond amount the cost
153	of design or other nonconstruction services, the bond may not be
154	conditioned on performance of such services or payment to
155	persons furnishing such services. Notwithstanding paragraph (h)
156	paragraph (a), such a bond may exclude persons furnishing such
157	services from the classes of persons protected by the bond.
158	(2)(a)1.  If a claimant is no longer furnishing labor,
159	services, or materials on a project, a contractor or the
160	contractor's agent or attorney may elect to shorten the
161	prescribed time in this paragraph within which an action to
162	enforce any claim against a payment bond must provided pursuant
163	to this section may be commenced by recording in the clerk's
164	office a notice in substantially the following form:
165
166	NOTICE OF CONTEST OF CLAIM
167	AGAINST PAYMENT BOND
168	To: ...(Name and address of claimant)...
169	You are notified that the undersigned contests your notice
170	of nonpayment, dated ............, ........, and served on the
171	undersigned on ............, ........, and that the time within
172	which you may file suit to enforce your claim is limited to 60
173	days after the date of service of this notice.
174	DATED on ............, .........
175	Signed:...(Contractor or Attorney)...
176
177	The claim of any claimant upon whom such notice is served and
178	who fails to institute a suit to enforce his or her claim
179	against the payment bond within 60 days after service of such
180	notice shall be extinguished automatically. The clerk shall
181	serve mail a copy of the notice of contest to the claimant at
182	the address shown in the notice of nonpayment or most recent
183	amendment thereto and shall certify to such service on the face
184	of such notice and record the notice. Service is complete upon
185	mailing.
186	2.  A claimant, except a laborer, who is not in privity
187	with the contractor shall, before commencing or not later than
188	45 days after commencing to furnish labor, services, or
189	materials for the prosecution of the work, furnish the
190	contractor with a written notice that he or she intends to look
191	to the bond for protection. A claimant who is not in privity
192	with the contractor and who has not received payment for his or
193	her labor, services, or materials shall deliver to the
194	contractor and to the surety written notice of the performance
195	of the labor or delivery of the materials or supplies and of the
196	nonpayment. The notice of nonpayment may be served at any time
197	during the progress of the work or thereafter but not before 45
198	days after the first furnishing of labor, services, or
199	materials, and not later than 90 days after the final furnishing
200	of the labor, services, or materials by the claimant or, with
201	respect to rental equipment, not later than 90 days after the
202	date that the rental equipment was last on the job site
203	available for use. Any notice of nonpayment served by a claimant
204	who is not in privity with the contractor which includes sums
205	for retainage must specify the portion of the amount claimed for
206	retainage. An No action for the labor, materials, or supplies
207	may not be instituted against the contractor or the surety
208	unless both notices have been given. Notices required or
209	permitted under this section may be served in accordance with s.
210	713.18. A claimant may not waive in advance his or her right to
211	bring an action under the bond against the surety. In any action
212	brought to enforce a claim against a payment bond under this
213	section, the prevailing party is entitled to recover a
214	reasonable fee for the services of his or her attorney for trial
215	and appeal or for arbitration, in an amount to be determined by
216	the court, which fee must be taxed as part of the prevailing
217	party's costs, as allowed in equitable actions. The time periods
218	for service of a notice of nonpayment or for bringing an action
219	against a contractor or a surety shall be measured from the last
220	day of furnishing labor, services, or materials by the claimant
221	and shall not be measured by other standards, such as the
222	issuance of a certificate of occupancy or the issuance of a
223	certificate of substantial completion.
224	Section 2.  Section 713.13, Florida Statutes, is amended to
225	read:
226	713.13  Notice of commencement.--
227	(1)(a)  Except for an improvement that is exempt pursuant
228	to s. 713.02(5), an owner or the owner's authorized agent before
229	actually commencing to improve any real property, or
230	recommencing completion of any improvement after default or
231	abandonment, whether or not a project has a payment bond
232	complying with s. 713.23, shall record a notice of commencement
233	in the clerk's office and forthwith post either a certified copy
234	thereof or a notarized statement that the notice of commencement
235	has been filed for recording along with a copy thereof. The
236	notice of commencement shall contain the following information:
237	1.  A description sufficient for identification of the real
238	property to be improved. The description should include the
239	legal description of the property and also should include the
240	street address and tax folio number of the property if available
241	or, if there is no street address available, such additional
242	information as will describe the physical location of the real
243	property to be improved.
244	2.  A general description of the improvement.
245	3.  The name and address of the owner, the owner's interest
246	in the site of the improvement, and the name and address of the
247	fee simple titleholder, if other than such owner.
248	4.  The name and address of the contractor.
249	5.  The name and address of the surety on the payment bond
250	under s. 713.23, if any, and the amount of such bond.
251	6.  The name and address of any person making a loan for
252	the construction of the improvements.
253	7.  The name and address within the state of a person other
254	than himself or herself who may be designated by the owner as
255	the person upon whom notices or other documents may be served
256	under this part; and service upon the person so designated
257	constitutes service upon the owner.
258	(b)  The owner, at his or her option, may designate a
259	person in addition to himself or herself to receive a copy of
260	the lienor's notice as provided in s. 713.06(2)(b), and if he or
261	she does so, the name and address of such person must be
262	included in the notice of commencement.
263	(c)  A notice of commencement expires:
264	1.  Ninety days after the day of the final furnishing of
265	all labor, services, and materials required by the direct
266	contract, including any change orders; or
267	2.  On the effective date of a Notice of Termination that
268	has been served and recorded. If the contract between the owner
269	and a contractor named in the notice of commencement expresses a
270	period of time for completion for the construction of the
271	improvement greater than 1 year, the notice of commencement must
272	state that it is effective for a period of 1 year plus any
273	additional period of time. Any payments made by the owner after
274	the expiration of the notice of commencement are considered
275	improper payments.
276	(d)  A notice of commencement must be in substantially the
277	following form:
278
279	Permit No.....     Tax Folio No.....
280	NOTICE OF COMMENCEMENT
281	State of....
282	County of....
283	The undersigned hereby gives notice that improvement will be
284	made to certain real property, and in accordance with Chapter
285	713, Florida Statutes, the following information is provided in
286	this Notice of Commencement.
287	1.  Description of property: ...(legal description of the
288	property, and street address if available)....
289	2.  General description of improvement:.....
290	3.  Owner information:.....
291	a.  Name and address:.....
292	b.  Interest in property:.....
293	c.  Name and address of fee simple titleholder (if other
294	than Owner):.....
295	4.a.  Contractor: ...(name and address)....
296	b.  Contractor's phone number:.....
297	5.  Surety (a copy of the payment bond is attached, if the
298	project is bonded)
299	a.  Name and address:.....
300	b.  Phone number:.....
301	c.  Amount of bond: $.....
302	6.a.  Lender: ...(name and address)....
303	b.  Lender's phone number:.....
304	7.a.  Persons within the State of Florida designated by
305	Owner upon whom notices or other documents may be served as
306	provided by Section 713.13(1)(a)7., Florida Statutes: ...(name
307	and address)....
308	b.  Phone numbers of designated persons:.....
309	8.a.  In addition to himself or herself, Owner designates
310	............ of ............ to receive a copy of the Lienor's
311	Notice as provided in Section 713.13(1)(b), Florida Statutes.
312	b.  Phone number of person or entity designated by
313	owner:.....
314	9.  This notice of commencement expires 90 days after the
315	day of the final furnishing of all labor, services, and
316	materials required by the direct contract, including any change
317	orders, or on the effective date of a Notice of Termination.
318	Expiration date of notice of commencement (the expiration date
319	is 1 year from the date of recording unless a different date is
320	specified).....
321
322	NOTICE TO SUBCONTRACTORS: PURSUANT TO SECTION 713.13, FLORIDA
323	STATUTES, THIS NOTICE OF COMMENCEMENT AND THE CONTRACTOR'S
324	PAYMENT BOND, IF ANY, WERE FILED FOR RECORDING IN THE OFFICE OF
325	THE....(county name)....COUNTY CLERK OF COURT ON....(date).....
326	WARNING TO OWNER: ANY PAYMENTS MADE BY THE OWNER AFTER THE
327	EXPIRATION OF THE NOTICE OF COMMENCEMENT ARE CONSIDERED IMPROPER
328	PAYMENTS UNDER CHAPTER 713, PART I, SECTION 713.13, FLORIDA
329	STATUTES, AND CAN RESULT IN YOUR PAYING TWICE FOR IMPROVEMENTS
330	TO YOUR PROPERTY. A NOTICE OF COMMENCEMENT MUST BE RECORDED AND
331	POSTED ON THE JOB SITE BEFORE THE FIRST INSPECTION. IF YOU
332	INTEND TO OBTAIN FINANCING, CONSULT WITH YOUR LENDER OR AN
333	ATTORNEY BEFORE COMMENCING WORK OR RECORDING YOUR NOTICE OF
334	COMMENCEMENT.
335
336	Under penalties of perjury, I declare that I have read the
337	foregoing notice of commencement and that the facts stated in it
338	are true to the best of my knowledge and belief.
339
340	...(Signature of Owner or Owner's Authorized
341	Officer/Director/Partner/Manager)...
342	...(Signatory's Title/Office)...
343	The foregoing instrument was acknowledged before me this ....
344	day of ...., ...(year)..., by ...(name of person)... as ...(type
345	of authority,...e.g. officer, trustee, attorney in fact)... for
346	...(name of party on behalf of whom instrument was executed)....
347	...(Signature of Notary Public - State of Florida)...
348	...(Print, Type, or Stamp Commissioned Name of Notary Public)...
349	Personally Known .... OR Produced Identification ....
350	Type of Identification Produced............
351	Verification pursuant to Section 92.525, Florida Statutes.
352	Under penalties of perjury, I declare that I have read the
353	foregoing and that the facts stated in it are true to the best
354	of my knowledge and belief.
355	...(Signature of Natural Person Signing Above)...
356	(e)  A copy of any payment bond must be attached at the
357	time of recordation of the notice of commencement. The failure
358	to attach a copy of the bond to the notice of commencement when
359	the notice is recorded negates the exemption provided in s.
360	713.02(6). However, if a payment bond under s. 713.23 exists but
361	was not attached at the time of recordation of the notice of
362	commencement, the bond may be used to transfer any recorded lien
363	of a lienor except that of the contractor by the recordation and
364	service of a notice of bond pursuant to s. 713.23(2). The notice
365	requirements of s. 713.23 apply to any claim against the bond;
366	however, the time limits for serving any required notices shall
367	begin running from the later of the time specified in s. 713.23
368	or the date the notice of bond is served on the lienor.
369	(f)  The giving of a notice of commencement is effective
370	upon the filing of the notice in the clerk's office.
371	(g)  The owner must sign the notice of commencement and no
372	one else may be permitted to sign in his or her stead.
373	(2)  If the improvement described in the notice of
374	commencement is not actually commenced within 90 days after the
375	recording thereof, such notice is void and of no further effect.
376	(3)  The recording of a notice of commencement does not
377	constitute a lien, cloud, or encumbrance on real property, but
378	gives constructive notice that claims of lien under this part
379	may be recorded and may take priority as provided in s. 713.07.
380	The posting of a copy does not constitute a lien, cloud, or
381	encumbrance on real property, nor actual or constructive notice
382	of any of them.
383	(4)  This section does not apply to an owner who is
384	constructing improvements described in s. 713.04.
385	(5)(a)  A notice of commencement that is recorded within
386	the effective period may be amended to extend the effective
387	period, change erroneous information in the original notice, or
388	add information that was omitted from the original notice.
389	However, in order to change contractors, a new notice of
390	commencement or notice of recommencement must be executed and
391	recorded.
392	(b)  The amended notice must identify the official records
393	book and page where the original notice of commencement is
394	recorded, and a copy of the amended notice must be served by the
395	owner upon the contractor and each lienor who serves notice
396	before or within 30 days after the date the amended notice is
397	recorded.
398	(6)  Unless otherwise provided in the notice of
399	commencement or a new or amended notice of commencement, a
400	notice of commencement is not effectual in law or equity against
401	a conveyance, transfer, or mortgage of or lien on the real
402	property described in the notice, or against creditors or
403	subsequent purchasers for a valuable consideration, after 1 year
404	after the date of recording the notice of commencement.
405	(7)  A lender must, prior to the disbursement of any
406	construction funds to the contractor, record the notice of
407	commencement in the clerk's office as required by this section;
408	however, the lender is not required to post a certified copy of
409	the notice at the construction site. The posting of the notice
410	at the construction site remains the owner's obligation. The
411	failure of a lender to record the notice of commencement as
412	required by this subsection renders the lender liable to the
413	owner for all damages sustained by the owner as a result of the
414	failure. Whenever a lender is required to record a notice of
415	commencement, the lender shall designate the lender, in addition
416	to others, to receive copies of notices to owner. This
417	subsection does not give any person other than the owner a claim
418	or right of action against a lender for failure to record a
419	notice of commencement.
420	Section 3.  Subsections (1), (2), and (6) of section
421	713.135, Florida Statutes, are amended to read:
422	713.135  Notice of commencement and applicability of
423	lien.--
424	(1)  When any person applies for a building permit, the
425	authority issuing such permit shall:
426	(a)  Print on the face of each permit card in no less than
427	14-point, capitalized, boldfaced type: "WARNING TO OWNER: IF YOU
428	FAIL TO RECORD A NOTICE OF COMMENCEMENT, YOU MAY PAY YOUR
429	FAILURE TO RECORD A NOTICE OF COMMENCEMENT MAY RESULT IN YOUR
430	PAYING TWICE FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF
431	COMMENCEMENT AND THE CONTRACTOR'S PAYMENT BOND, IF THE PROJECT
432	IS BONDED, MUST BE RECORDED AND POSTED ON THE JOB SITE BEFORE
433	THE FIRST INSPECTION. IF YOU INTEND TO OBTAIN FINANCING, CONSULT
434	WITH YOUR LENDER OR AN ATTORNEY BEFORE RECORDING YOUR NOTICE OF
435	COMMENCEMENT."
436	(b)  Provide the applicant and the owner of the real
437	property upon which improvements are to be constructed with a
438	printed statement stating that the right, title, and interest of
439	the person who has contracted for the improvement may be subject
440	to attachment under the Construction Lien Law. The Department of
441	Business and Professional Regulation shall furnish, for
442	distribution, the statement described in this paragraph, and the
443	statement must be a summary of the Construction Lien Law and
444	must include an explanation of the provisions of the
445	Construction Lien Law relating to the recording, and the posting
446	of copies, of notices of commencement and a statement
447	encouraging the owner to record a notice of commencement and
448	post a copy of the notice of commencement in accordance with s.
449	713.13. The statement must also contain an explanation of the
450	owner's rights if a lienor fails to furnish the owner with a
451	notice as provided in s. 713.06(2) and an explanation of the
452	owner's rights as provided in s. 713.22. The authority that
453	issues the building permit must obtain from the Department of
454	Business and Professional Regulation the statement required by
455	this paragraph and must mail, deliver by electronic mail or
456	other electronic format or facsimile, or personally deliver that
457	statement to the owner or, in a case in which the owner is
458	required to personally appear to obtain the permit, provide that
459	statement to any owner making improvements to real property
460	consisting of a single or multiple family dwelling up to and
461	including four units. However, the failure by the authorities to
462	provide the summary does not subject the issuing authority to
463	liability.
464	(c)  Require In addition to providing the owner with the
465	statement as required by paragraph (b), inform each applicant
466	who is not the person whose right, title, and interest is
467	subject to attachment that, as a condition to the issuance of a
468	building permit, to promise to deliver the applicant must
469	promise in good faith that the statement will be delivered to
470	the person whose property is subject to attachment.
471	(d)  Furnish to the applicant two or more copies of a form
472	of notice of commencement conforming with s. 713.13. If the
473	direct contract is greater than $2,500, the applicant shall file
474	with the issuing authority prior to the first inspection either
475	a certified copy of the recorded notice of commencement or a
476	notarized statement that the notice of commencement has been
477	filed for recording, along with a copy thereof. In the absence
478	of the filing of a certified copy of the recorded notice of
479	commencement, the issuing authority or a private provider
480	performing inspection services may not perform or approve
481	subsequent inspections until the applicant files by mail,
482	facsimile, hand delivery, or any other means such certified copy
483	with the issuing authority. The certified copy of the notice of
484	commencement must contain the name and address of the owner, the
485	name and address of the contractor, and the location or address
486	of the property being improved. The issuing authority shall
487	(e)  Verify that the name and address of the owner, the
488	name of the contractor, and the location or address of the
489	property being improved which is contained in the certified copy
490	of the notice of commencement is consistent with the information
491	in the building permit application. The issuing authority shall
492	provide the recording information on the certified copy of the
493	recorded notice of commencement to any person upon request. This
494	subsection does not require the recording of a notice of
495	commencement prior to the issuance of a building permit.
496	(f)  Provide the book and page number of the official
497	public records on which the notice of commencement and payment
498	bond, if any, are recorded to any person upon request. If a
499	local government requires a separate permit or inspection for
500	installation of temporary electrical service or other temporary
501	utility service, land clearing, or other preliminary site work,
502	such permits may be issued and such inspections may be conducted
503	without providing the issuing authority with a certified copy of
504	a recorded notice of commencement or a notarized statement
505	regarding a recorded notice of commencement. This subsection
506	does not apply to a direct contract to repair or replace an
507	existing heating or air-conditioning system in an amount less
508	than $7,500.
509	(g)(e)  Not require that a notice of commencement be
510	recorded as a condition of the application for, or processing or
511	issuance of, a building permit. However, this paragraph does not
512	modify or waive the inspection requirements set forth in this
513	subsection.
514	(2)  An issuing authority under subsection (1) is not
515	liable in any civil action for the failure of the person whose
516	property is subject to attachment to receive or to be delivered
517	a printed statement stating that the right, title, and interest
518	of the person who has contracted for the improvement may be
519	subject to attachment under the Construction Lien Law.
520	(6)(a)  In addition to any other information required by
521	the authority issuing the permit, the building permit
522	application must be in substantially the following form:
523
524	Tax Folio No.........
525	BUILDING PERMIT APPLICATION
526
527	Owner's Name
528	Owner's Address
529	Fee Simple Titleholder's Name (If other than owner)
530	Fee Simple Titleholder's Address (If other than owner)
531	City
532	State............ Zip............
533	Contractor's Name
534	Contractor's Address
535	City
536	State............ Zip............
537	Job Name
538	Job Address
539	City................     County............
540	Legal Description
541	Bonding Company
542	Bonding Company Address
543	City................ State............
544	Architect/Engineer's Name
545	Architect/Engineer's Address
546	Mortgage Lender's Name
547	Mortgage Lender's Address
548
549	Application is hereby made to obtain a permit to do the
550	work and installations as indicated. I certify that no work or
551	installation has commenced prior to the issuance of a permit and
552	that all work will be performed to meet the standards of all
553	laws regulating construction in this jurisdiction. I understand
554	that a separate permit must be secured for ELECTRICAL WORK,
555	PLUMBING, SIGNS, WELLS, POOLS, FURNACES, BOILERS, HEATERS,
556	TANKS, and AIR CONDITIONERS, etc.
557	OWNER'S AFFIDAVIT: I certify that all the foregoing information
558	is accurate and that all work will be done in compliance with
559	all applicable laws regulating construction and zoning.
560	WARNING TO OWNER: IF YOU FAIL TO RECORD A NOTICE OF
561	COMMENCEMENT, YOU MAY PAY YOUR FAILURE TO RECORD A
562	NOTICE OF COMMENCEMENT MAY RESULT IN YOUR PAYING TWICE
563	FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF
564	COMMENCEMENT AND THE CONTRACTOR'S PAYMENT BOND, IF THE
565	PROJECT IS BONDED, MUST BE RECORDED AND POSTED ON THE
566	JOB SITE BEFORE THE FIRST INSPECTION. IF YOU INTEND TO
567	OBTAIN FINANCING, CONSULT WITH YOUR LENDER OR AN
568	ATTORNEY BEFORE COMMENCING WORK OR RECORDING YOUR
569	NOTICE OF COMMENCEMENT.
570
571	...(Signature of Owner or Agent)...
572
573	...(including contractor)...
574	STATE OF FLORIDA
575	COUNTY OF ....
576
577	Sworn to (or affirmed) and subscribed before me this ....
578	day of ...., ...(year)..., by ...(name of person making
579	statement)....
580
581	...(Signature of Notary Public - State of Florida)...
582	...(Print, Type, or Stamp Commissioned Name of Notary Public)...
583	Personally Known .... OR Produced Identification ....
584	Type of Identification Produced............
585	...(Signature of Contractor)...
586
587
588	STATE OF FLORIDA
589	COUNTY OF ....
590
591	Sworn to (or affirmed) and subscribed before me this ....
592	day of ...., ...(year)..., by ...(name of person making
593	statement)....
594	...(Signature of Notary Public - State of Florida)...
595	...(Print, Type, or Stamp Commissioned Name of Notary Public)...
596	Personally Known .... OR Produced Identification ....
597	Type of Identification Produced............
598	(Certificate of Competency Holder)
599
600	Contractor's State Certification or Registration No.....
601
602	Contractor's Certificate of Competency No.........
603
604	APPLICATION APPROVED BY
605	................Permit Officer
606	(b)  Consistent with the requirements of paragraph (a), an
607	authority responsible for issuing building permits under this
608	section may accept a building permit application in an
609	electronic format, as prescribed by the authority. Building
610	permit applications submitted to the authority electronically
611	must contain the following additional statement in lieu of the
612	requirement in paragraph (a) that a signed, sworn, and notarized
613	signature of the owner or agent and the contractor be part of
614	the owner's affidavit:
615
616	OWNER'S ELECTRONIC SUBMISSION STATEMENT: Under penalty of
617	perjury, I declare that all the information contained in this
618	building permit application is true and correct.
619	(c)  An authority responsible for issuing building permit
620	applications which accepts building permit applications in an
621	electronic format shall provide public Internet access to the
622	electronic building permit applications in a searchable format.
623	Section 4.  Section 713.137, Florida Statutes, is created
624	to read:
625	713.137  Prerequisites to inspection of improvements;
626	exceptions.--
627	(1)  The authority that issues a building permit or a
628	private provider providing inspection services may not inspect
629	the real property being improved unless:
630	(a)  The following documents have been filed with the
631	issuing authority:
632	1.a.  A certified copy of the recorded notice of
633	commencement; or
634	b.  A notarized statement that the notice of commencement
635	has been filed for recording, along with a copy of the notice;
636	and
637	2.a.  A copy of the contractor's recorded payment bond; or
638	b.  A notarized statement of the contractor or owner
639	stating that a payment bond was not required.
640	(b)  The information in the notice of commencement filed
641	with the issuing authority is consistent with the building
642	permit application, complete, and legible.
643	(2)  This section does not apply to inspections of the
644	following improvements:
645	(a)  The installation of temporary electrical service or
646	other temporary utility service, land clearing, or other
647	preliminary site work.
648	(b)  Improvements pursuant to a direct contract in an
649	amount of $5,000 or less.
650	(c)  The repair or replacement of a heating or air-
651	conditioning system pursuant to a direct contract in an amount
652	of $7,500 or less.
653	Section 5.  Subsection (5) of section 713.16, Florida
654	Statutes, is amended to read:
655	713.16  Demand for copy of contract and statements of
656	account; form.--
657	(5)(a)  Any lienor who submits or mails has recorded a
658	claim of lien to the clerk for recording may make a written
659	demand on the owner for a written statement under oath showing:
660	1.  The amount of the direct contract under which the lien
661	was recorded;
662	2.  The dates and amounts paid or to be paid by or on
663	behalf of the owner for all improvements described in the direct
664	contract;
665	3.  The reasonable estimated costs of completing the direct
666	contract under which the lien was claimed pursuant to the scope
667	of the direct contract; and
668	4.  If known, the actual cost of completion.
669	(b)  Any owner who does not provide the statement within 30
670	days after demand, or who provides a false or fraudulent
671	statement, is not a prevailing party for purposes of an award of
672	attorney's fees under s. 713.29. The written demand must include
673	the following warning in conspicuous type in substantially the
674	following form:
675	WARNING: YOUR FAILURE TO FURNISH THE REQUESTED STATEMENT
676	WITHIN 30 DAYS OR THE FURNISHING OF A FALSE STATEMENT WILL
677	RESULT IN THE LOSS OF YOUR RIGHT TO RECOVER ATTORNEY FEES IN ANY
678	ACTION TO ENFORCE THE CLAIM OF LIEN OF THE PERSON REQUESTING
679	THIS STATEMENT.
680	Section 6.  Section 713.18, Florida Statutes, is amended to
681	read:
682	713.18  Manner of serving notices and other instruments.--
683	(1)  Service of notices, claims of lien, affidavits,
684	assignments, and other instruments permitted or required under
685	this part, or copies thereof when so permitted or required,
686	unless otherwise specifically provided in this part, must be
687	made by one of the following methods:
688	(a)  By actual delivery to the person to be served; if a
689	partnership, to one of the partners; if a corporation, to an
690	officer, director, managing agent, or business agent; or, if a
691	limited liability company, to a member or manager.
692	(b)  By sending the same by registered, global express
693	guaranteed, or certified mail, or by a national or international
694	mail service reasonably calculated to give notice, with postage
695	prepaid and, or by overnight or second-day delivery with
696	evidence of delivery, which may be in an electronic format.
697	(c)  If the method specified in paragraph (a) or paragraph
698	(b) cannot be accomplished, By posting on the site of the
699	improvement if service as provided by paragraph (a) or paragraph
700	(b) cannot be accomplished premises.
701	(2)  Notwithstanding subsection (1), service of if a notice
702	to owner, a notice to contractor under s. 713.23, or a
703	preliminary notice under s. 255.05 is mailed by registered or
704	certified mail with postage prepaid to the person to be served
705	at any of the addresses set forth in subsection (3) within 40
706	days after the date the lienor first furnishes labor, services,
707	or materials, service of that notice is effective as of the date
708	of mailing if:
709	(a)  The notice is mailed by registered, global express
710	guaranteed, or certified mail, with postage prepaid to the
711	person to be served at any of the addresses set forth in
712	subsection (3);
713	(b)  The notice is mailed within 40 days after the date the
714	lienor first furnishes labor, services, or materials; and
715	(c)1.  The person who served the notice maintains a
716	registered or certified mail log that shows the registered or
717	certified mail number issued by the United States Postal
718	Service, the name and address of the person served, and the date
719	stamp of the United States Postal Service confirming the date of
720	mailing; or if
721	2.  The person who served the notice maintains electronic
722	tracking records generated through use of the United States
723	Postal Service Confirm service or a similar service containing
724	the postal tracking number, the name and address of the person
725	served, and verification of the date of receipt by the United
726	States Postal Service.
727	(3)  Service of If an instrument served pursuant to this
728	section is effective on the date of mailing if the instrument:
729	(a)  Was sent to the last address shown in the notice of
730	commencement or any amendment thereto or, in the absence of a
731	notice of commencement, to the last address shown in the
732	building permit application, or to the last known address of the
733	person to be served; and, is not received, but
734	(b)  Is returned as being "refused," "moved, not
735	forwardable," or "unclaimed," or is otherwise not delivered or
736	deliverable through no fault of the person serving the item,
737	then service is effective on the date the instrument was sent.
738	(4)  A notice served by a lienor on one owner or one
739	partner of a partnership owning the real property If the real
740	property is owned by more than one person or a partnership, a
741	lienor may serve any notices or other papers under this part on
742	any one of such owners or partners, and such notice is deemed
743	notice to all owners and partners.
744	Section 7.  Section 713.22, Florida Statutes, is amended to
745	read:
746	713.22  Duration of lien.--
747	(1)  A No lien provided by this part may not shall continue
748	for a longer period than 1 year after the claim of lien has been
749	recorded or 1 year after the recording of an amended claim of
750	lien that shows a later date of final furnishing of labor,
751	services, or materials, unless within that time an action to
752	enforce the lien is commenced in a court of competent
753	jurisdiction. A lien that has been continued beyond the 1-year
754	period The continuation of the lien effected by the commencement
755	of an the action is shall not enforceable be good against
756	creditors or subsequent purchasers for a valuable consideration
757	and without notice, unless a notice of lis pendens is recorded.
758	(2)  An owner or the owner's agent or attorney may elect to
759	shorten the time prescribed in subsection (1) within which to
760	commence an action to enforce any claim of lien or claim against
761	a bond or other security under s. 713.23 or s. 713.24 by
762	recording in the clerk's office a notice in substantially the
763	following form:
764
765	NOTICE OF CONTEST OF LIEN
766	To: ...(Name and address of lienor)...
767	You are notified that the undersigned contests the claim of lien
768	filed by you on ...., ...(year)..., and recorded in .... Book
769	...., Page ...., of the public records of .... County, Florida,
770	and that the time within which you may file suit to enforce your
771	lien is limited to 60 days from the date of service of this
772	notice. This .... day of ...., ...(year)....
773	Signed: ...(Owner or Attorney)...
774
775	The lien of any lienor upon whom such notice is served and who
776	fails to institute a suit to enforce his or her lien within 60
777	days after service of such notice shall be extinguished
778	automatically. The clerk shall serve mail a copy of the notice
779	of contest to the lien claimant at the address shown in the
780	claim of lien or most recent amendment thereto and shall certify
781	to such service on the face of such notice and record the
782	notice. Service shall be deemed complete upon mailing.
783	Section 8.  Paragraph (e) of subsection (1) and subsections
784	(2) and (4) of section 713.23, Florida Statutes, are amended to
785	read:
786	713.23  Payment bond.--
787	(1)
788	(e)  An No action for the labor or materials or supplies
789	may not be instituted or prosecuted against the contractor or
790	surety unless both notices have been given. An No action may not
791	shall be instituted or prosecuted against the contractor or
792	against the surety on the bond under this section after 1 year
793	from the performance of the labor or completion of delivery of
794	the materials and supplies. The time period for bringing an
795	action against the contractor or surety on the bond shall be
796	measured from the last day of furnishing labor, services, or
797	materials by the lienor. The time period may and shall not be
798	measured by other standards, such as the issuance of a
799	certificate of occupancy or the issuance of a certificate of
800	substantial completion. A contractor or the contractor's agent
801	or attorney may elect to shorten the prescribed time within
802	which an action to enforce any claim against a payment bond
803	provided under this section or s. 713.245 must may be commenced
804	at any time after a notice of nonpayment, if required, has been
805	served for the claim by recording in the clerk's office a notice
806	in substantially the following form:
807
808	NOTICE OF CONTEST OF CLAIM
809	AGAINST PAYMENT BOND
810
811	To:  ...(Name and address of lienor)...
812	You are notified that the undersigned contests your notice
813	of nonpayment, dated ...., ...., and served on the undersigned
814	on ...., ...., and that the time within which you may file suit
815	to enforce your claim is limited to 60 days from the date of
816	service of this notice.
817
818	DATED on ...., .....
819
820	Signed: ...(Contractor or Attorney)...
821
822
823	The claim of any lienor upon whom the notice is served and who
824	fails to institute a suit to enforce his or her claim against
825	the payment bond within 60 days after service of the notice
826	shall be extinguished automatically. The clerk shall serve mail
827	a copy of the notice of contest to the lienor at the address
828	shown in the notice of nonpayment or most recent amendment
829	thereto and shall certify to such service on the face of the
830	notice and record the notice. Service is complete upon mailing.
831	(2)  The bond shall secure every lien under the direct
832	contract accruing subsequent to its execution and delivery,
833	except that of the contractor. Every claim of lien, except that
834	of the contractor, filed subsequent to execution and delivery of
835	the bond shall be transferred to it with the same effect as
836	liens transferred under s. 713.24. Record notice of the transfer
837	shall be effected by the contractor, or any person having an
838	interest in the property against which the claim of lien has
839	been asserted, by recording in the clerk's office a notice in
840	substantially the following form:
841
842	NOTICE OF BOND
843
844	To ...(Name and Address of Lienor)...
845
846	You are notified that the claim of lien filed by you on ....,
847	...., and recorded in Official Records Book .... at page .... of
848	the public records of .... County, Florida, is secured by a
849	bond, a copy being attached.
850
851	Signed: ...(Name of person recording notice)...
852
853	The notice shall be verified. The clerk shall mail a copy of the
854	notice to the lienor at the address shown in the claim of lien,
855	or the most recent amendment to it; shall certify to the service
856	on the face of the notice; and shall record the notice. The
857	clerk shall receive the same fee as prescribed in s. 713.24 s.
858	713.24(1) for certifying to a transfer of lien.
859	(4)  The provisions of s. 713.24(7) s. 713.24(3) shall
860	apply to bonds under this section.
861	Section 9.  Section 713.24, Florida Statutes, is amended to
862	read:
863	713.24  Transfer of liens to security.--
864	(1)  A Any lien claimed under this part may be transferred,
865	by a any person having an interest in the real property upon
866	which the lien is imposed or the contract under which the lien
867	is claimed, from such real property to other security by either:
868	(a)  Depositing in the clerk's office a sum of money;, or
869	(b)  Filing in the clerk's office a bond executed as surety
870	by a surety insurer licensed to do business in this state.,
871	(2)  The security must either to be in an amount equal: to
872	(a)  The amount demanded in the such claim of lien;, plus
873	(b)  Interest on the claim thereon at the legal rate for 3
874	years, plus $1,000 or 25 percent of the amount demanded in the
875	claim of lien, whichever is greater, to apply on any attorney's
876	fees and court costs that may be taxed in any proceeding to
877	enforce the said lien.
878	(3)  The security Such deposit or bond shall be conditioned
879	to pay any judgment or decree that which may be rendered for the
880	satisfaction of the lien for which such claim of lien was
881	recorded.
882	(4)  A Upon making such deposit or filing such bond, the
883	clerk who receives other security for a lien:
884	(a)  Shall make and record a certificate showing the
885	transfer of the lien from the real property to the security. The
886	clerk and shall serve mail a copy of the certificate and a copy
887	of the bond, if the lien was transferred to a bond, on thereof
888	by registered or certified mail to the lienor named in the claim
889	of lien so transferred, at the address stated in the claim
890	therein. When Upon filing the certificate of transfer is
891	recorded, the real property is shall thereupon be released from
892	the lien claimed, and the such lien is shall be transferred to
893	the other said security.
894	(b)  May collect a service charge for making and serving
895	the certificate, in the amount of up to $20. The clerk may
896	collect an additional charge of up to $10 for each additional
897	lien transferred to the security. The clerk shall receive the
898	statutory service charges as prescribed in s. 28.24 for
899	recording the certificate and approving the bond.
900	(5)  In the absence of allegations of privity between the
901	lienor and the owner, and subject to any order of the court
902	increasing the amount required for the lien transfer deposit or
903	bond, no other judgment or decree to pay money may be entered by
904	the court against the owner. The clerk shall be entitled to a
905	service charge for making and serving the certificate, in the
906	amount of up to $20. If the transaction involves the transfer of
907	multiple liens, an additional charge of up to $10 for each
908	additional lien shall be charged. For recording the certificate
909	and approving the bond, the clerk shall receive her or his usual
910	statutory service charges as prescribed in s. 28.24. Any number
911	of liens may be transferred to one such security.
912	(6)(2)  Any excess of the security over the aggregate
913	amount of any judgments or decrees rendered plus costs actually
914	taxed shall be repaid to the party filing the same or her or his
915	successor in interest. Any deposit of money shall be considered
916	as paid into court and is shall be subject to the provisions of
917	law relative to payments of money into court and the disposition
918	of same.
919	(7)(3)  Any party having an interest in such security or
920	the property from which the lien was transferred may at any
921	time, and any number of times, file a complaint in chancery in
922	the circuit court of the county where such security is
923	deposited, or file a motion in a pending action to enforce a
924	lien, for an order to require additional security, reduction of
925	security, change or substitution of sureties, payment of
926	discharge thereof, or any other matter affecting the said
927	security. If the court finds that the amount of the deposit or
928	bond in excess of the amount claimed in the claim of lien is
929	insufficient to pay the lienor's attorney's fees and court costs
930	incurred in the action to enforce the lien, the court must
931	increase the amount of the cash deposit or lien transfer bond.
932	Nothing in This section does not shall be construed to vest
933	exclusive jurisdiction in the circuit courts over transfer bond
934	claims for nonpayment of an amount within the monetary
935	jurisdiction of the county courts.
936	(8)(4)  If a proceeding to enforce a transferred lien is
937	not commenced within the time specified in s. 713.22 or if it
938	appears that the transferred lien has been satisfied of record,
939	the clerk shall return the said security upon request of the
940	person depositing or filing the same, or the insurer. If a
941	proceeding to enforce a lien is commenced in a court of
942	competent jurisdiction within the time specified in s. 713.22
943	and, during such proceeding, the lien is transferred pursuant to
944	this section or s. 713.13(1)(e), an action commenced within 1
945	year after the transfer, unless otherwise shortened by operation
946	of law, in the same county or circuit court to recover against
947	the security shall be deemed to have been brought as of the date
948	of filing the action to enforce the lien, and the court has
949	shall have jurisdiction over the action.
950	Section 10.  This act shall take effect October 1, 2009.

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