Florida Senate - 2013                        COMMITTEE AMENDMENT
       Bill No. CS for SB 580
                                Barcode 278732                          
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/09/2013           .                                

       The Committee on Community Affairs (Stargel) recommended the
    1         Senate Amendment (with title amendment)
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Paragraph (b) of subsection (2) of section
    6  468.436, Florida Statutes, is amended to read:
    7         468.436 Disciplinary proceedings.—
    8         (2) The following acts constitute grounds for which the
    9  disciplinary actions in subsection (4) may be taken:
   10         (b)1. Violation of any provision of this part.
   11         2. Violation of any lawful order or rule rendered or
   12  adopted by the department or the council.
   13         3. Being convicted of or pleading nolo contendere to a
   14  felony in any court in the United States.
   15         4. Obtaining a license or certification or any other order,
   16  ruling, or authorization by means of fraud, misrepresentation,
   17  or concealment of material facts.
   18         5. Committing acts of gross misconduct or gross negligence
   19  in connection with the profession.
   20         6. Contracting, on behalf of an association, with any
   21  entity in which the licensee has a financial interest that is
   22  not disclosed.
   23         7. Failing to report to the division as required in s.
   24  720.303(13).
   25         8. Violating any provision of chapters 718, 719, or 720
   26  during the course of performing community association management
   27  services pursuant to a contract with a community association.
   28         Section 2. Subsection (5) and paragraph (d) of subsection
   29  (6) of section 720.303, Florida Statutes, are amended, and
   30  subsection (13) is added to that section, to read:
   31         720.303 Association powers and duties; meetings of board;
   32  official records; budgets; financial reporting; association
   33  funds; recalls.—
   34         (5) INSPECTION AND COPYING OF RECORDS.—The official records
   35  shall be maintained within the state for at least 7 years and
   36  shall be made available to a parcel owner for inspection or
   37  photocopying within 45 miles of the community or within the
   38  county in which the association is located within 10 business
   39  days after receipt by the board or its designee of a written
   40  request must be open to inspection and available for
   41  photocopying by members or their authorized agents at reasonable
   42  times and places within 10 business days after receipt of a
   43  written request for access. This subsection may be complied with
   44  by having a copy of the official records available for
   45  inspection or copying in the community or, at the option of the
   46  association, by making the records available to a parcel owner
   47  electronically via the Internet or by allowing the records to be
   48  viewed in electronic format on a computer screen and printed
   49  upon request. If the association has a photocopy machine
   50  available where the records are maintained, it must provide
   51  parcel owners with copies on request during the inspection if
   52  the entire request is limited to no more than 25 pages. An
   53  association shall allow a member or his or her authorized
   54  representative to use a portable device, including a smartphone,
   55  tablet, portable scanner, or any other technology capable of
   56  scanning or taking photographs, to make an electronic copy of
   57  the official records in lieu of providing the member or his or
   58  her authorized representative with a copy of such records. The
   59  association may not charge a fee to a member or his or her
   60  authorized representative for such use of a portable device.
   61         (a) The failure of an association to provide access to the
   62  records within 10 business days after receipt of a written
   63  request submitted by certified mail, return receipt requested,
   64  creates a rebuttable presumption that the association willfully
   65  failed to comply with this subsection.
   66         (b) A member who is denied access to official records is
   67  entitled to the actual damages or minimum damages for the
   68  association’s willful failure to comply with this subsection.
   69  The minimum damages are to be $50 per calendar day up to 10
   70  days, the calculation to begin on the 11th business day after
   71  receipt of the written request.
   72         (c) The association may adopt reasonable written rules
   73  governing the frequency, time, location, notice, records to be
   74  inspected, and manner of inspections, but may not require a
   75  parcel owner to demonstrate any proper purpose for the
   76  inspection, state any reason for the inspection, or limit a
   77  parcel owner’s right to inspect records to less than one 8-hour
   78  business day per month. The association may impose fees to cover
   79  the costs of providing copies of the official records,
   80  including, without limitation, the costs of copying and the
   81  costs required for personnel to retrieve and copy the records if
   82  the time spent retrieving and copying the records exceeds one
   83  half hour and if the personnel costs do not exceed $20 per hour.
   84  No personnel costs may be charged for records requests that
   85  result in 25 or fewer pages. The association may charge up to 25
   86  50 cents per page for copies made on the association’s
   87  photocopier. If the association does not have a photocopy
   88  machine available where the records are kept, or if the records
   89  requested to be copied exceed 25 pages in length, the
   90  association may have copies made by an outside duplicating
   91  service vendor or association management company personnel and
   92  may charge the actual cost of copying, as supported by the
   93  vendor invoice including any reasonable costs involving
   94  personnel fees and charges at an hourly rate for vendor or
   95  employee time to cover administrative costs to the vendor or
   96  association. The association shall maintain an adequate number
   97  of copies of the recorded governing documents, to ensure their
   98  availability to members and prospective members. Notwithstanding
   99  this paragraph, the following records are not accessible to
  100  members or parcel owners:
  101         1. Any record protected by the lawyer-client privilege as
  102  described in s. 90.502 and any record protected by the work
  103  product privilege, including, but not limited to, a record
  104  prepared by an association attorney or prepared at the
  105  attorney’s express direction which reflects a mental impression,
  106  conclusion, litigation strategy, or legal theory of the attorney
  107  or the association and which was prepared exclusively for civil
  108  or criminal litigation or for adversarial administrative
  109  proceedings or which was prepared in anticipation of such
  110  litigation or proceedings until the conclusion of the litigation
  111  or proceedings.
  112         2. Information obtained by an association in connection
  113  with the approval of the lease, sale, or other transfer of a
  114  parcel.
  115         3. Personnel records of the association’s employees,
  116  including, but not limited to, disciplinary, payroll, health,
  117  and insurance records. For purposes of this subparagraph, the
  118  term “personnel records” does not include written employment
  119  agreements with an association employee or budgetary or
  120  financial records that indicate the compensation paid to an
  121  association employee.
  122         4. Medical records of parcel owners or community residents.
  123         5. Social security numbers, driver’s license numbers,
  124  credit card numbers, electronic mailing addresses, telephone
  125  numbers, facsimile numbers, emergency contact information, any
  126  addresses for a parcel owner other than as provided for
  127  association notice requirements, and other personal identifying
  128  information of any person, excluding the person’s name, parcel
  129  designation, mailing address, and property address. However, an
  130  owner may consent in writing to the disclosure of protected
  131  information described in this subparagraph. The association is
  132  not liable for the disclosure of information that is protected
  133  under this subparagraph if the information is included in an
  134  official record of the association and is voluntarily provided
  135  by an owner and not requested by the association.
  136         6. Any electronic security measure that is used by the
  137  association to safeguard data, including passwords.
  138         7. The software and operating system used by the
  139  association which allows the manipulation of data, even if the
  140  owner owns a copy of the same software used by the association.
  141  The data is part of the official records of the association.
  142         (d) The association or its authorized agent is not required
  143  to provide a prospective purchaser or lienholder with
  144  information about the residential subdivision or the association
  145  other than information or documents required by this chapter to
  146  be made available or disclosed. The association or its
  147  authorized agent may charge a reasonable fee to the prospective
  148  purchaser or lienholder or the current parcel owner or member
  149  for providing good faith responses to requests for information
  150  by or on behalf of a prospective purchaser or lienholder, other
  151  than that required by law, if the fee does not exceed $150 plus
  152  the reasonable cost of photocopying and any attorney’s fees
  153  incurred by the association in connection with the response.
  154         (6) BUDGETS.—
  155         (d) An association is deemed to have provided for reserve
  156  accounts if reserve accounts have been initially established by
  157  the developer or if the membership of the association
  158  affirmatively elects to provide for reserves. If reserve
  159  accounts are established by the developer, the budget must
  160  designate the components for which the reserve accounts may be
  161  used. If reserve accounts are not initially provided by the
  162  developer, the membership of the association may elect to do so
  163  upon the affirmative approval of a majority of the total voting
  164  interests of the association. Such approval may be obtained by
  165  vote of the members at a duly called meeting of the membership
  166  or by the written consent of a majority of the total voting
  167  interests of the association. The approval action of the
  168  membership must state that reserve accounts shall be provided
  169  for in the budget and must designate the components for which
  170  the reserve accounts are to be established. Upon approval by the
  171  membership, the board of directors shall include the required
  172  reserve accounts in the budget in the next fiscal year following
  173  the approval and each year thereafter. Once established as
  174  provided in this subsection, the reserve accounts must be funded
  175  or maintained or have their funding waived in the manner
  176  provided in paragraph (f).
  177         (13) REPORTING REQUIREMENT.—The community association
  178  manager, or the association when there is no community
  179  association manager, shall report to the division by November
  180  22, 2013, and annually thereafter, in a manner and form
  181  prescribed by the division.
  182         (a) The report shall include the association’s:
  183         1. Legal name.
  184         2. Federal employer identification number.
  185         3. Mailing and physical addresses.
  186         4. Total number of parcels.
  187         5. Total amount of revenues and expenses from the
  188  association’s annual budget.
  189         (b) For associations in which control of the association
  190  has not been transitioned to nondeveloper members, as set forth
  191  in s. 720.307, the report shall also include the developer’s:
  192         1. Legal name.
  193         2. Mailing address.
  194         3. Total number of parcels owned on the date of reporting.
  195         (c) By October 1, 2013, the department shall establish and
  196  implement a registration system through an Internet website that
  197  provides for the reporting requirements of paragraphs (a) and
  198  (b).
  199         (d) On or before December 1, 2013, and annually thereafter
  200  by December 1, the department shall submit a report to the
  201  Governor, the President of the Senate, and the Speaker of the
  202  House of Representatives providing the homeowner association
  203  data reported pursuant to this subsection.
  204         (e) The department may adopt rules pursuant to ss.
  205  120.536(1) and 120.54 to implement the provisions of this
  206  subsection.
  207         (f) This subsection shall expire on July 1, 2016, unless
  208  reenacted by the Legislature.
  209         Section 3. Section 720.3033, Florida Statutes, is created
  210  to read:
  211         720.3033 Officers and directors.—
  212         (1)(a) Within 90 days after being elected or appointed to
  213  the board, each director shall certify in writing to the
  214  secretary of the association that he or she has read the
  215  association’s declaration of covenants, articles of
  216  incorporation, bylaws, and current written rules and policies;
  217  that he or she will work to uphold such documents and policies
  218  to the best of his or her ability; and that he or she will
  219  faithfully discharge his or her fiduciary responsibility to the
  220  association’s members. Within 90 days after being elected or
  221  appointed to the board, in lieu of this written certification,
  222  the newly elected or appointed director may submit a certificate
  223  of having satisfactorily completed the educational curriculum
  224  administered by a division-approved education provider within 1
  225  year before or 90 days after the date of election or
  226  appointment.
  227         (b) The written certification or educational certificate is
  228  valid for the uninterrupted tenure of the director on the board.
  229  A director who does not timely file the written certification or
  230  educational certificate shall be suspended from the board until
  231  he or she complies with the requirement. The board may
  232  temporarily fill the vacancy during the period of suspension.
  233         (c) The association shall retain each director’s written
  234  certification or educational certificate for inspection by the
  235  members for 5 years after the director’s election. However, the
  236  failure to have the written certification or educational
  237  certificate on file does not affect the validity of any board
  238  action.
  239         (2) If the association enters into a contract or other
  240  transaction with any of its directors or a corporation, firm,
  241  association, or other entity in which an association director is
  242  also a director or officer or is financially interested, the
  243  board must:
  244         (a) Comply with the requirements of s. 617.0832.
  245         (b) Enter the disclosures required by s. 617.0832 into the
  246  written minutes of the meeting.
  247         (c) Approve the contract or other transaction by an
  248  affirmative vote of two-thirds of the directors present.
  249         (d) At the next regular or special meeting of the members,
  250  disclose the existence of the contract or other transaction to
  251  the members. Upon motion of any member, the contract or
  252  transaction shall be brought up for a vote and may be canceled
  253  by a majority vote of the members present. If the members cancel
  254  the contract, the association is only liable for the reasonable
  255  value of goods and services provided up to the time of
  256  cancellation and is not liable for any termination fee,
  257  liquidated damages, or other penalty for such cancellation.
  258         (3) An officer, director, or manager may not solicit, offer
  259  to accept, or accept any good or service of value for which
  260  consideration has not been provided for his or her benefit or
  261  for the benefit of a member of his or her immediate family from
  262  any person providing or proposing to provide goods or services
  263  to the association. If the board finds that an officer or
  264  director has violated this subsection, the board shall
  265  immediately remove from office the officer or director. The
  266  vacancy shall be filled according to law until the end of the
  267  period of the end of the director’s term of office. However, an
  268  officer, director, or manager may accept food to be consumed at
  269  a business meeting with a value of less than $25 per individual
  270  or a service or good received in connection with trade fairs or
  271  education programs.
  272         (4) A director or officer charged by information or
  273  indictment with a felony theft or embezzlement offense involving
  274  the association’s funds or property is removed from office. The
  275  board shall immediately remove such director or officer from
  276  office and shall fill the vacancy according to general law until
  277  the end of the period of the suspension or the end of the
  278  director’s term of office, whichever occurs first. However, if
  279  the charges are resolved without a finding of guilt or without
  280  acceptance of a plea of guilty or nolo contendere, the director
  281  or officer shall be reinstated for any remainder of his or her
  282  term of office. A member who has such criminal charges pending
  283  may not be appointed or elected to a position as a director or
  284  officer.
  285         (5) All associations shall maintain insurance or a fidelity
  286  bond for all persons who control or disburse funds of the
  287  association. The insurance policy or fidelity bond must cover
  288  the maximum funds that will be in the custody of the association
  289  or its management agent at any one time. As used in this
  290  subsection, the term “persons who control or disburse funds of
  291  the association” includes, but is not limited to, persons
  292  authorized to sign checks on behalf of the association, and the
  293  president, secretary, and treasurer of the association. The
  294  association shall bear the cost of any insurance or bond.
  295         Section 4. Paragraph (d) is added to subsection (1) and
  296  paragraph (a) of subsection (9) of section 720.306, Florida
  297  Statutes, are amended to read:
  298         720.306 Meetings of members; voting and election
  299  procedures; amendments.—
  300         (1) QUORUM; AMENDMENTS.—
  301         (d) The Legislature finds that the procurement of mortgagee
  302  consent to amendments that do not affect the rights or interests
  303  of mortgagees is an unreasonable and substantial logistical and
  304  financial burden on the parcel owners and that there is a
  305  compelling state interest in enabling the members of an
  306  association to approve amendments to the association’s governing
  307  documents through legal means. Accordingly, and notwithstanding
  308  any provision of this paragraph to the contrary:
  309         1. As to any mortgage recorded on or after July 1, 2013,
  310  any provision in the association’s governing documents that
  311  requires the consent or joinder of some or all mortgagees of
  312  parcels or any other portion of the association’s common areas
  313  to amend the association’s governing documents or for any other
  314  matter is enforceable only as to amendments to the association’s
  315  governing documents that adversely affect the priority of the
  316  mortgagee’s lien or the mortgagee’s rights to foreclose its lien
  317  or that otherwise materially affect the rights and interests of
  318  the mortgagees.
  319         2. As to mortgages recorded before July 1, 2013, any
  320  existing provisions in the association’s governing documents
  321  requiring mortgagee consent are enforceable.
  322         3. In securing consent or joinder, the association is
  323  entitled to rely upon the public records to identify the holders
  324  of outstanding mortgages. The association may use the address
  325  provided in the original recorded mortgage document, unless
  326  there is a different address for the holder of the mortgage in a
  327  recorded assignment or modification of the mortgage, which
  328  recorded assignment or modification must reference the official
  329  records book and page on which the original mortgage was
  330  recorded. Once the association has identified the recorded
  331  mortgages of record, the association shall, in writing, request
  332  of each parcel owner whose parcel is encumbered by a mortgage of
  333  record any information that the owner has in his or her
  334  possession regarding the name and address of the person to whom
  335  mortgage payments are currently being made. Notice shall be sent
  336  to such person if the address provided in the original recorded
  337  mortgage document is different from the name and address of the
  338  mortgagee or assignee of the mortgage as shown by the public
  339  record. The association is deemed to have complied with this
  340  requirement by making the written request of the parcel owners
  341  required under this subparagraph. Any notices required to be
  342  sent to the mortgagees under this subparagraph shall be sent to
  343  all available addresses provided to the association.
  344         4. Any notice to the mortgagees required under subparagraph
  345  3. may be sent by a method that establishes proof of delivery,
  346  and any mortgagee who fails to respond within 60 days after the
  347  date of mailing is deemed to have consented to the amendment.
  348         5. For those amendments requiring mortgagee consent on or
  349  after July 1, 2013, in the event mortgagee consent is provided
  350  other than by properly recorded joinder, such consent shall be
  351  evidenced by affidavit of the association recorded in the public
  352  records of the county in which the declaration is recorded.
  353         6. Any amendment adopted without the required consent of a
  354  mortgagee is voidable only by a mortgagee who was entitled to
  355  notice and an opportunity to consent. An action to void an
  356  amendment is subject to the statute of limitations beginning 5
  357  years after the date of discovery as to the amendments described
  358  in subparagraph 1. and 5 years after the date of recordation of
  359  the certificate of amendment for all other amendments. This
  360  subparagraph applies to all mortgages, regardless of the date of
  361  recordation of the mortgage.
  362         (9)(a) ELECTIONS AND BOARD VACANCIES.—Elections of
  363  directors must be conducted in accordance with the procedures
  364  set forth in the governing documents of the association. All
  365  members of the association are eligible to serve on the board of
  366  directors, and a member may nominate himself or herself as a
  367  candidate for the board at a meeting where the election is to be
  368  held; provided, however, that or, if the election process allows
  369  candidates to nominate themselves voting by absentee ballot, in
  370  advance of the balloting, the association is not required to
  371  allow nominations at the meeting. An election is not required
  372  unless more candidates are nominated than vacancies exist.
  373  Except as otherwise provided in the governing documents, boards
  374  of directors must be elected by a plurality of the votes cast by
  375  eligible voters.
  376         Section 5. Subsection (1) of section 720.307, Florida
  377  Statutes, is amended, present subsections (2) through (4) are
  378  renumbered as subsections (4) through (6), respectively, and new
  379  subsections (2) and (3) are added to that section, to read:
  380         720.307 Transition of association control in a community.
  381  With respect to homeowners’ associations:
  382         (1) Members other than the developer are entitled to elect
  383  at least a majority of the members of the board of directors of
  384  the homeowners’ association when the earlier of the following
  385  events occurs:
  386         (a) Three months after 90 percent of the parcels in all
  387  phases of the community that will ultimately be operated by the
  388  homeowners’ association have been conveyed to members; or
  389         (b) Such other percentage of the parcels has been conveyed
  390  to members, or such other date or event has occurred, as is set
  391  forth in the governing documents in order to comply with the
  392  requirements of any governmentally chartered entity with regard
  393  to the mortgage financing of parcels;
  394         (c) Two years after the developer has ceased construction
  395  or ceased to offer parcels for sale in the ordinary course of
  396  business;
  397         (d) Upon the developer abandoning or deserting its
  398  responsibility to maintain and complete the advertised amenities
  399  or infrastructure. There is a rebuttable presumption that the
  400  developer has abandoned and deserted the property if the
  401  developer has not engaged in construction or sale of properties
  402  or has unpaid assessments or guaranteed amounts under s. 720.308
  403  for a period of more than 2 years;
  404         (e) Upon the developer filing a petition seeking protection
  405  under chapter 7 of the federal Bankruptcy Code;
  406         (f) Upon the developer losing title to the property through
  407  a foreclosure, or the transfer of a deed in lieu of foreclosure,
  408  unless the successor owner has accepted an assignment of
  409  developer rights and responsibilities; or
  410         (g) Upon a receiver for the developer being appointed by a
  411  circuit court and not being discharged within 30 days after such
  412  appointment, unless the court determines within 30 days after
  413  such appointment that transfer of control would be detrimental
  414  to the association or its members.
  415         For purposes of this section, the term “members other than
  416  the developer” shall not include builders, contractors, or
  417  others who purchase a parcel for the purpose of constructing
  418  improvements thereon for resale.
  419         (2) Members other than the developer are entitled to elect
  420  at least one member of the board of directors of the homeowners’
  421  association if 15 percent of the parcels in all phases of the
  422  community which will ultimately be operated by the association
  423  have been conveyed to members.
  424         (3) Members other than the developer are entitled to elect
  425  at least two members of the board of directors of the
  426  homeowners’ association if 50 percent of the parcels in all
  427  phases of the community which will ultimately be operated by the
  428  association have been conveyed to members.
  429         Section 6. Subsection (5)is added to section 720.3075,
  430  Florida Statutes to read:
  431         720.3075 Prohibited clauses in association documents.—
  432         (5) The public policy described in subsection (1) prohibits
  433  the inclusion or enforcement of clauses that allow a developer
  434  the unilateral ability and right to make changes to the
  435  governing documents prior to transition of homeowners’
  436  association control in a community from the developer to the
  437  nondeveloper members, as set forth in s. 720.307, that
  438  unreasonably modify the original plan of development, prejudice
  439  the rights of parcel owners to use and enjoy the benefits of the
  440  common property without the consent of the parcels owners,
  441  radically change the community scheme, reduce the size of the
  442  common area, or limit the access of parcel owners to the common
  443  area.
  444         Section 7. Paragraph (b) of subsection (2) of section
  445  720.3085, Florida Statutes, is amended to read:
  446         720.3085 Payment for assessments; lien claims.—
  447         (2)
  448         (b) A parcel owner is jointly and severally liable with the
  449  previous parcel owner for all unpaid assessments that came due
  450  up to the time of transfer of title. This liability is without
  451  prejudice to any right the present parcel owner may have to
  452  recover any amounts paid by the present owner from the previous
  453  owner. For the purposes of this subsection, the term “previous
  454  owner” shall not include an association that acquires title to a
  455  delinquent property through foreclosure or by deed in lieu of
  456  foreclosure. The present parcel owner’s liability for unpaid
  457  assessments is limited to any unpaid assessments that accrued
  458  before the association acquired title to the delinquent property
  459  through foreclosure or by deed in lieu of foreclosure.
  460         Section 8. Section 720.315, Florida Statutes, is amended to
  461  read:
  462         720.315 Passage of special assessments.—
  463         (1) Before turnover, if the board of directors controlled
  464  by the developer proposes a budget which requires assessments
  465  against parcel owners which are 5 percent greater than the
  466  assessments for the preceding fiscal year, the budget must be
  467  approved by a majority of all the members other than the
  468  developer at a duly called special meeting of the membership at
  469  which a quorum is present. For purposes of this section, the
  470  term “members other than the developer” does not include
  471  builders, contractors, or other persons who purchase a parcel
  472  for the purpose of constructing improvements thereon for resale.
  473         (2) Before turnover, the board of directors controlled by
  474  the developer may not levy a special assessment unless a
  475  majority of the parcel owners other than the developer has
  476  approved the special assessment by a majority vote at a duly
  477  called special meeting of the membership at which a quorum is
  478  present.
  479         Section 9. This act shall take effect July 1, 2013.
  482  ================= T I T L E  A M E N D M E N T ================
  483         And the title is amended as follows:
  484         Delete everything before the enacting clause
  485  and insert:
  486                        A bill to be entitled                      
  487         An act relating to homeowners’ associations; amending
  488         s. 468.436, F.S.; providing grounds for disciplinary
  489         actions against community association managers;
  490         amending s. 720.303, F.S.; requiring official records
  491         to be maintained within a specified distance of the
  492         association for a specified time; authorizing
  493         associations to maintain such records online;
  494         requiring associations to allow a member to use a
  495         portable device to make an electronic copy of the
  496         official records and prohibiting associations from
  497         charging a fee for such an electronic copy; removing
  498         provisions allowing the association to charge fees for
  499         personnel costs related to records access; requiring
  500         budgets to designate permissible uses of reserve
  501         accounts; requiring a community association manager,
  502         or the association in the absence of a community
  503         association manager, to report certain information to
  504         the Division of Florida Condominiums, Timeshares, and
  505         Mobile Homes; providing an expiration date for the
  506         reporting requirements; creating s. 720.3033, F.S.;
  507         requiring association directors to file with the
  508         association secretary written certification that they
  509         have read certain association documents, will uphold
  510         the documents, and will uphold their fiduciary
  511         responsibility to the members; providing for an
  512         educational certificate in lieu of written
  513         certification; providing that such certification is
  514         valid while the director is on the board; providing
  515         penalties for failure to file such certification;
  516         requiring the association secretary to retain such
  517         certification for 5 years; requiring the board to
  518         follow specified procedures relating to contracts or
  519         transactions between the association and certain
  520         entities; providing for disclosure of the contract or
  521         transaction to members; providing for the cancellation
  522         of such contract or transaction under certain
  523         circumstances; prohibiting any association officer,
  524         director, or manager from soliciting or receiving
  525         certain personal benefits from any person providing or
  526         offering to provide goods or services to the
  527         association and providing for removal for knowingly
  528         taking such action; providing an exception; providing
  529         for the removal of any director or officer charged
  530         with a felony theft or embezzlement offense involving
  531         association funds or property; providing for the
  532         reinstatement of such person under certain
  533         circumstances; prohibiting a member with pending
  534         criminal charges from certain positions; requiring the
  535         association to maintain insurance or a bond to cover
  536         funds that will be in the custody of the association
  537         or its management agent; providing a definition;
  538         amending s. 720.306, F.S.; revising provisions
  539         relating to the amendment of homeowners’ association
  540         declarations; providing legislative findings and a
  541         finding of compelling state interest; providing
  542         criteria for consent or joinder to an amendment;
  543         requiring notice to mortgagees regarding proposed
  544         amendments; providing criteria for notification;
  545         providing for voiding certain amendments; revising
  546         procedures for the election of directors; amending s.
  547         720.307, F.S.; providing additional circumstances for
  548         authorizing members to elect a majority of association
  549         board members; providing circumstances under which
  550         members other than the developer are authorized to
  551         elect a specified number of members to the board of
  552         directors; amending s. 720.3075, F.S.; providing
  553         public policy regarding prohibited clauses in
  554         association documents; providing prohibited clauses in
  555         association documents; amending s. 720.315, F.S.;
  556         prohibiting increases in assessments levied pursuant
  557         to the annual budget under certain circumstances;
  558         providing an effective date.