Florida Senate - 2024 CS for SB 426
By the Committee on Regulated Industries; and Senators Garcia
and Jones
580-02896-24 2024426c1
1 A bill to be entitled
2 An act relating to community associations; creating s.
3 16.0151, F.S.; creating the Condominium and
4 Homeowners’ Association Economic Crime, Fraud, and
5 Corruption Investigation Pilot Program within the
6 Department of Legal Affairs in the Office of the
7 Attorney General; providing the purpose of the pilot
8 program; defining the term “corruption”; authorizing
9 the department to contract with a private entity to
10 achieve the program’s purpose; requiring the
11 department to hire specified personnel under certain
12 circumstances; authorizing the submission of
13 complaints to the Office of the Condominium and
14 Homeowners’ Ombudsman; requiring the ombudsman to
15 review such complaints and take specified actions;
16 providing powers of and requirements for the
17 department relating to the pilot program; requiring
18 that the pilot program be funded from the Division of
19 Florida Condominiums, Timeshares, and Mobile Homes
20 Trust Fund; requiring that the pilot program’s primary
21 office be located in Miami-Dade County; providing for
22 future repeal of the pilot program unless it is
23 reviewed and saved from repeal by the Legislature;
24 amending s. 215.22, F.S.; exempting the Division of
25 Florida Condominiums, Timeshares, and Mobile Homes
26 Trust Fund from contributing to the General Revenue
27 Fund; amending s. 718.111, F.S.; requiring the
28 division to monitor condominium associations’
29 compliance with requirements relating to maintenance
30 of certain insurance or fidelity bonding of certain
31 persons; authorizing the division to issue fines and
32 penalties for noncompliance; creating s. 718.13, F.S.;
33 requiring the division to establish a searchable
34 cloud-based database by a specified date which
35 contains specified information regarding each
36 condominium association in this state; requiring the
37 division to establish rules and procedures for
38 associations to report such information; requiring a
39 condominium association to notify the division of any
40 changes to the information related to the association
41 which is listed in the database; requiring that the
42 creation and administration of the database be funded
43 in part by specified proceeds; amending s. 718.501,
44 F.S.; requiring the division to forward complaints
45 received alleging fraud or corruption to the Office of
46 the Condominium and Homeowners’ Ombudsman; amending s.
47 718.5011, F.S.; renaming the Office of the Condominium
48 Ombudsman as the Office of the Condominium and
49 Homeowners’ Ombudsman; amending s. 718.5012, F.S.;
50 revising the powers of the ombudsman; amending s.
51 718.509, F.S.; conforming a provision to changes made
52 by the act; making technical changes; providing an
53 effective date.
54
55 Be It Enacted by the Legislature of the State of Florida:
56
57 Section 1. Section 16.0151, Florida Statutes, is created to
58 read:
59 16.0151 Condominium and Homeowners’ Association Economic
60 Crime, Fraud, and Corruption Investigation Pilot Program.—
61 (1) The Condominium and Homeowners’ Association Economic
62 Crime, Fraud, and Corruption Investigation Pilot Program is
63 created within the Department of Legal Affairs, Office of the
64 Attorney General. The purpose of the pilot program is to
65 investigate condominium and homeowners’ association-related
66 economic crime, fraud, and corruption in this state. For the
67 purposes of this section, the term “corruption” means the act of
68 an official or fiduciary person who unlawfully and wrongfully
69 uses his or her position to procure some benefit for himself or
70 herself or for another person, contrary to the duty and rights
71 of others. The department may contract with a private entity
72 that employs retired law enforcement officers who have subject
73 matter expertise in financial fraud to achieve the purpose of
74 the pilot program. If the department does not contract with a
75 private entity, the department must hire a suitable number of
76 financial investigators, investigators with previous law
77 enforcement experience, and clerical employees to staff the
78 pilot program.
79 (2) A person may submit a condominium or homeowners’
80 association-related complaint to the Office of the Condominium
81 and Homeowners’ Ombudsman. The ombudsman shall review all
82 complaints submitted to the office and determine which
83 complaints to forward to the department for additional analysis
84 and investigation under the pilot program. If a complaint
85 submitted to the pilot program does not contain allegations of
86 economic crimes, fraud, or corruption, the task force must
87 forward the complaint to the Division of Florida Condominiums,
88 Timeshares, and Mobile Homes, which shall investigate claims
89 made pursuant to s. 718.501.
90 (3) The department has the power to issue subpoenas and
91 conduct audits for investigations in furtherance of the pilot
92 program, and may administer oaths, subpoena witnesses, and
93 compel production of books, papers, or other records relevant to
94 such investigations. If, after reviewing a complaint filed under
95 the pilot program, the department finds sufficient evidence for
96 criminal prosecution, it must refer the case to the appropriate
97 state attorney for prosecution.
98 (4) The department shall fund the pilot program from the
99 Division of Florida Condominiums, Timeshares, and Mobile Homes
100 Trust Fund as specifically appropriated annually in the General
101 Appropriations Act.
102 (5) The pilot program’s primary office shall be located in
103 Miami-Dade County.
104 (6) This section is repealed October 2, 2029, unless
105 reviewed and saved from repeal through reenactment by the
106 Legislature.
107 Section 2. Paragraph (w) is added to subsection (1) of
108 section 215.22, Florida Statutes, to read:
109 215.22 Certain income and certain trust funds exempt.—
110 (1) The following income of a revenue nature or the
111 following trust funds shall be exempt from the appropriation
112 required by s. 215.20(1):
113 (w) The Division of Florida Condominiums, Timeshares, and
114 Mobile Homes Trust Fund.
115 Section 3. Paragraph (h) of subsection (11) of section
116 718.111, Florida Statutes, is amended to read:
117 718.111 The association.—
118 (11) INSURANCE.—In order to protect the safety, health, and
119 welfare of the people of the State of Florida and to ensure
120 consistency in the provision of insurance coverage to
121 condominiums and their unit owners, this subsection applies to
122 every residential condominium in the state, regardless of the
123 date of its declaration of condominium. It is the intent of the
124 Legislature to encourage lower or stable insurance premiums for
125 associations described in this subsection.
126 (h) The association shall maintain insurance or fidelity
127 bonding of all persons who control or disburse funds of the
128 association. The insurance policy or fidelity bond must cover
129 the maximum funds that will be in the custody of the association
130 or its management agent at any one time. The division shall
131 monitor compliance with this paragraph and may issue fines and
132 penalties established by the division for failure of an
133 association to maintain the required insurance policy or
134 fidelity bond. As used in this paragraph, the term “persons who
135 control or disburse funds of the association” includes, but is
136 not limited to, those individuals authorized to sign checks on
137 behalf of the association, and the president, secretary, and
138 treasurer of the association. The association shall bear the
139 cost of any such bonding.
140 Section 4. Section 718.13, Florida Statutes, is created to
141 read:
142 718.13 Database for condominium association information.—
143 (1) By July 1, 2026, the division shall establish a
144 searchable cloud-based database that contains information
145 regarding each condominium association operating within this
146 state. The division shall establish rules and procedures for how
147 an association is to provide such information. The database must
148 allow a user to search the name by which a condominium property
149 is identified to find the association that governs such
150 property. At a minimum, the database must include all of the
151 following information for each association:
152 (a) The names, e-mail addresses, and other contact
153 information of officers and directors of the association.
154 (b) An indication that the association is self-managed, or,
155 if not self-managed, the contact information for any person
156 licensed under part VIII of chapter 468 and responsible for
157 management of the association.
158 (c) A copy of the association’s governing documents,
159 including, but not limited to, declarations, bylaws, and rules
160 and any amendments thereto.
161 (d) A copy of the association’s adopted annual budget, in a
162 file format that is compatible with the database, which includes
163 the amount and purpose of any monthly assessments and current or
164 pending special assessments levied by the association.
165 (e) A copy of any studies regarding funds in reserve
166 accounts held by the association or any reports regarding the
167 physical inspection of properties maintained by the association,
168 including any structural integrity reserve studies conducted
169 under s. 718.112(2)(g) of such properties.
170 (2) An association must notify the division of any changes
171 to the information related to the association which is included
172 in the database within 30 days after such changes occur.
173 (3) Expenses associated with the creation and
174 administration of the database must be funded in part by
175 proceeds from the annual fee paid by associations pursuant to s.
176 718.501(2)(a).
177 Section 5. Subsection (1) of section 718.501, Florida
178 Statutes, is amended to read:
179 718.501 Authority, responsibility, and duties of Division
180 of Florida Condominiums, Timeshares, and Mobile Homes.—
181 (1) The division may enforce and ensure compliance with
182 this chapter and rules relating to the development,
183 construction, sale, lease, ownership, operation, and management
184 of residential condominium units and complaints related to the
185 procedural completion of milestone inspections under s. 553.899.
186 In performing its duties, the division has complete jurisdiction
187 to investigate complaints and enforce compliance with respect to
188 associations that are still under developer control or the
189 control of a bulk assignee or bulk buyer pursuant to part VII of
190 this chapter and complaints against developers, bulk assignees,
191 or bulk buyers involving improper turnover or failure to
192 turnover, pursuant to s. 718.301. However, after turnover has
193 occurred, the division has jurisdiction to investigate
194 complaints related only to financial issues, elections, and the
195 maintenance of and unit owner access to association records
196 under s. 718.111(12), and the procedural completion of
197 structural integrity reserve studies under s. 718.112(2)(g). If
198 the division receives a complaint about an association which
199 alleges economic crimes, fraud, or corruption, the division must
200 forward the complaint to the Office of the Condominium and
201 Homeowners’ Ombudsman, pursuant to s. 16.0151.
202 (a)1. The division may make necessary public or private
203 investigations within or outside this state to determine whether
204 any person has violated this chapter or any rule or order
205 hereunder, to aid in the enforcement of this chapter, or to aid
206 in the adoption of rules or forms.
207 2. The division may submit any official written report,
208 worksheet, or other related paper, or a duly certified copy
209 thereof, compiled, prepared, drafted, or otherwise made by and
210 duly authenticated by a financial examiner or analyst to be
211 admitted as competent evidence in any hearing in which the
212 financial examiner or analyst is available for cross-examination
213 and attests under oath that such documents were prepared as a
214 result of an examination or inspection conducted pursuant to
215 this chapter.
216 (b) The division may require or permit any person to file a
217 statement in writing, under oath or otherwise, as the division
218 determines, as to the facts and circumstances concerning a
219 matter to be investigated.
220 (c) For the purpose of any investigation under this
221 chapter, the division director or any officer or employee
222 designated by the division director may administer oaths or
223 affirmations, subpoena witnesses and compel their attendance,
224 take evidence, and require the production of any matter which is
225 relevant to the investigation, including the existence,
226 description, nature, custody, condition, and location of any
227 books, documents, or other tangible things and the identity and
228 location of persons having knowledge of relevant facts or any
229 other matter reasonably calculated to lead to the discovery of
230 material evidence. Upon the failure by a person to obey a
231 subpoena or to answer questions propounded by the investigating
232 officer and upon reasonable notice to all affected persons, the
233 division may apply to the circuit court for an order compelling
234 compliance.
235 (d) Notwithstanding any remedies available to unit owners
236 and associations, if the division has reasonable cause to
237 believe that a violation of any provision of this chapter or
238 related rule has occurred, the division may institute
239 enforcement proceedings in its own name against any developer,
240 bulk assignee, bulk buyer, association, officer, or member of
241 the board of administration, or its assignees or agents, as
242 follows:
243 1. The division may permit a person whose conduct or
244 actions may be under investigation to waive formal proceedings
245 and enter into a consent proceeding whereby orders, rules, or
246 letters of censure or warning, whether formal or informal, may
247 be entered against the person.
248 2. The division may issue an order requiring the developer,
249 bulk assignee, bulk buyer, association, developer-designated
250 officer, or developer-designated member of the board of
251 administration, developer-designated assignees or agents, bulk
252 assignee-designated assignees or agents, bulk buyer-designated
253 assignees or agents, community association manager, or community
254 association management firm to cease and desist from the
255 unlawful practice and take such affirmative action as in the
256 judgment of the division carry out the purposes of this chapter.
257 If the division finds that a developer, bulk assignee, bulk
258 buyer, association, officer, or member of the board of
259 administration, or its assignees or agents, is violating or is
260 about to violate any provision of this chapter, any rule adopted
261 or order issued by the division, or any written agreement
262 entered into with the division, and presents an immediate danger
263 to the public requiring an immediate final order, it may issue
264 an emergency cease and desist order reciting with particularity
265 the facts underlying such findings. The emergency cease and
266 desist order is effective for 90 days. If the division begins
267 nonemergency cease and desist proceedings, the emergency cease
268 and desist order remains effective until the conclusion of the
269 proceedings under ss. 120.569 and 120.57.
270 3. If a developer, bulk assignee, or bulk buyer fails to
271 pay any restitution determined by the division to be owed, plus
272 any accrued interest at the highest rate permitted by law,
273 within 30 days after expiration of any appellate time period of
274 a final order requiring payment of restitution or the conclusion
275 of any appeal thereof, whichever is later, the division must
276 bring an action in circuit or county court on behalf of any
277 association, class of unit owners, lessees, or purchasers for
278 restitution, declaratory relief, injunctive relief, or any other
279 available remedy. The division may also temporarily revoke its
280 acceptance of the filing for the developer to which the
281 restitution relates until payment of restitution is made.
282 4. The division may petition the court for appointment of a
283 receiver or conservator. If appointed, the receiver or
284 conservator may take action to implement the court order to
285 ensure the performance of the order and to remedy any breach
286 thereof. In addition to all other means provided by law for the
287 enforcement of an injunction or temporary restraining order, the
288 circuit court may impound or sequester the property of a party
289 defendant, including books, papers, documents, and related
290 records, and allow the examination and use of the property by
291 the division and a court-appointed receiver or conservator.
292 5. The division may apply to the circuit court for an order
293 of restitution whereby the defendant in an action brought under
294 subparagraph 4. is ordered to make restitution of those sums
295 shown by the division to have been obtained by the defendant in
296 violation of this chapter. At the option of the court, such
297 restitution is payable to the conservator or receiver appointed
298 under subparagraph 4. or directly to the persons whose funds or
299 assets were obtained in violation of this chapter.
300 6. The division may impose a civil penalty against a
301 developer, bulk assignee, or bulk buyer, or association, or its
302 assignee or agent, for any violation of this chapter or related
303 rule. The division may impose a civil penalty individually
304 against an officer or board member who willfully and knowingly
305 violates this chapter, an adopted rule, or a final order of the
306 division; may order the removal of such individual as an officer
307 or from the board of administration or as an officer of the
308 association; and may prohibit such individual from serving as an
309 officer or on the board of a community association for a period
310 of time. The term “willfully and knowingly” means that the
311 division informed the officer or board member that his or her
312 action or intended action violates this chapter, a rule adopted
313 under this chapter, or a final order of the division and that
314 the officer or board member refused to comply with the
315 requirements of this chapter, a rule adopted under this chapter,
316 or a final order of the division. The division, before
317 initiating formal agency action under chapter 120, must afford
318 the officer or board member an opportunity to voluntarily
319 comply, and an officer or board member who complies within 10
320 days is not subject to a civil penalty. A penalty may be imposed
321 on the basis of each day of continuing violation, but the
322 penalty for any offense may not exceed $5,000. The division
323 shall adopt, by rule, penalty guidelines applicable to possible
324 violations or to categories of violations of this chapter or
325 rules adopted by the division. The guidelines must specify a
326 meaningful range of civil penalties for each such violation of
327 the statute and rules and must be based upon the harm caused by
328 the violation, upon the repetition of the violation, and upon
329 such other factors deemed relevant by the division. For example,
330 the division may consider whether the violations were committed
331 by a developer, bulk assignee, or bulk buyer, or owner
332 controlled association, the size of the association, and other
333 factors. The guidelines must designate the possible mitigating
334 or aggravating circumstances that justify a departure from the
335 range of penalties provided by the rules. It is the legislative
336 intent that minor violations be distinguished from those which
337 endanger the health, safety, or welfare of the condominium
338 residents or other persons and that such guidelines provide
339 reasonable and meaningful notice to the public of likely
340 penalties that may be imposed for proscribed conduct. This
341 subsection does not limit the ability of the division to
342 informally dispose of administrative actions or complaints by
343 stipulation, agreed settlement, or consent order. All amounts
344 collected shall be deposited with the Chief Financial Officer to
345 the credit of the Division of Florida Condominiums, Timeshares,
346 and Mobile Homes Trust Fund. If a developer, bulk assignee, or
347 bulk buyer fails to pay the civil penalty and the amount deemed
348 to be owed to the association, the division shall issue an order
349 directing that such developer, bulk assignee, or bulk buyer
350 cease and desist from further operation until such time as the
351 civil penalty is paid or may pursue enforcement of the penalty
352 in a court of competent jurisdiction. If an association fails to
353 pay the civil penalty, the division shall pursue enforcement in
354 a court of competent jurisdiction, and the order imposing the
355 civil penalty or the cease and desist order is not effective
356 until 20 days after the date of such order. Any action commenced
357 by the division shall be brought in the county in which the
358 division has its executive offices or in the county where the
359 violation occurred.
360 7. If a unit owner presents the division with proof that
361 the unit owner has requested access to official records in
362 writing by certified mail, and that after 10 days the unit owner
363 again made the same request for access to official records in
364 writing by certified mail, and that more than 10 days has
365 elapsed since the second request and the association has still
366 failed or refused to provide access to official records as
367 required by this chapter, the division shall issue a subpoena
368 requiring production of the requested records where the records
369 are kept pursuant to s. 718.112.
370 8. In addition to subparagraph 6., the division may seek
371 the imposition of a civil penalty through the circuit court for
372 any violation for which the division may issue a notice to show
373 cause under paragraph (r). The civil penalty shall be at least
374 $500 but no more than $5,000 for each violation. The court may
375 also award to the prevailing party court costs and reasonable
376 attorney fees and, if the division prevails, may also award
377 reasonable costs of investigation.
378 (e) The division may prepare and disseminate a prospectus
379 and other information to assist prospective owners, purchasers,
380 lessees, and developers of residential condominiums in assessing
381 the rights, privileges, and duties pertaining thereto.
382 (f) The division may adopt rules to administer and enforce
383 this chapter.
384 (g) The division shall establish procedures for providing
385 notice to an association and the developer, bulk assignee, or
386 bulk buyer during the period in which the developer, bulk
387 assignee, or bulk buyer controls the association if the division
388 is considering the issuance of a declaratory statement with
389 respect to the declaration of condominium or any related
390 document governing such condominium community.
391 (h) The division shall furnish each association that pays
392 the fees required by paragraph (2)(a) a copy of this chapter, as
393 amended, and the rules adopted thereto on an annual basis.
394 (i) The division shall annually provide each association
395 with a summary of declaratory statements and formal legal
396 opinions relating to the operations of condominiums which were
397 rendered by the division during the previous year.
398 (j) The division shall provide training and educational
399 programs for condominium association board members and unit
400 owners. The training may, in the division’s discretion, include
401 web-based electronic media and live training and seminars in
402 various locations throughout the state. The division may review
403 and approve education and training programs for board members
404 and unit owners offered by providers and shall maintain a
405 current list of approved programs and providers and make such
406 list available to board members and unit owners in a reasonable
407 and cost-effective manner.
408 (k) The division shall maintain a toll-free telephone
409 number accessible to condominium unit owners.
410 (l) The division shall develop a program to certify both
411 volunteer and paid mediators to provide mediation of condominium
412 disputes. The division shall provide, upon request, a list of
413 such mediators to any association, unit owner, or other
414 participant in alternative dispute resolution proceedings under
415 s. 718.1255 requesting a copy of the list. The division shall
416 include on the list of volunteer mediators only the names of
417 persons who have received at least 20 hours of training in
418 mediation techniques or who have mediated at least 20 disputes.
419 In order to become initially certified by the division, paid
420 mediators must be certified by the Supreme Court to mediate
421 court cases in county or circuit courts. However, the division
422 may adopt, by rule, additional factors for the certification of
423 paid mediators, which must be related to experience, education,
424 or background. Any person initially certified as a paid mediator
425 by the division must, in order to continue to be certified,
426 comply with the factors or requirements adopted by rule.
427 (m) If a complaint is made, the division must conduct its
428 inquiry with due regard for the interests of the affected
429 parties. Within 30 days after receipt of a complaint, the
430 division shall acknowledge the complaint in writing and notify
431 the complainant whether the complaint is within the jurisdiction
432 of the division and whether additional information is needed by
433 the division from the complainant. The division shall conduct
434 its investigation and, within 90 days after receipt of the
435 original complaint or of timely requested additional
436 information, take action upon the complaint. However, the
437 failure to complete the investigation within 90 days does not
438 prevent the division from continuing the investigation,
439 accepting or considering evidence obtained or received after 90
440 days, or taking administrative action if reasonable cause exists
441 to believe that a violation of this chapter or a rule has
442 occurred. If an investigation is not completed within the time
443 limits established in this paragraph, the division shall, on a
444 monthly basis, notify the complainant in writing of the status
445 of the investigation. When reporting its action to the
446 complainant, the division shall inform the complainant of any
447 right to a hearing under ss. 120.569 and 120.57. The division
448 may adopt rules regarding the submission of a complaint against
449 an association.
450 (n) Condominium association directors, officers, and
451 employees; condominium developers; bulk assignees, bulk buyers,
452 and community association managers; and community association
453 management firms have an ongoing duty to reasonably cooperate
454 with the division in any investigation under this section. The
455 division shall refer to local law enforcement authorities any
456 person whom the division believes has altered, destroyed,
457 concealed, or removed any record, document, or thing required to
458 be kept or maintained by this chapter with the purpose to impair
459 its verity or availability in the department’s investigation.
460 (o) The division may:
461 1. Contract with agencies in this state or other
462 jurisdictions to perform investigative functions; or
463 2. Accept grants-in-aid from any source.
464 (p) The division shall cooperate with similar agencies in
465 other jurisdictions to establish uniform filing procedures and
466 forms, public offering statements, advertising standards, and
467 rules and common administrative practices.
468 (q) The division shall consider notice to a developer, bulk
469 assignee, or bulk buyer to be complete when it is delivered to
470 the address of the developer, bulk assignee, or bulk buyer
471 currently on file with the division.
472 (r) In addition to its enforcement authority, the division
473 may issue a notice to show cause, which must provide for a
474 hearing, upon written request, in accordance with chapter 120.
475 (s) The division shall submit to the Governor, the
476 President of the Senate, the Speaker of the House of
477 Representatives, and the chairs of the legislative
478 appropriations committees an annual report that includes, but
479 need not be limited to, the number of training programs provided
480 for condominium association board members and unit owners, the
481 number of complaints received by type, the number and percent of
482 complaints acknowledged in writing within 30 days and the number
483 and percent of investigations acted upon within 90 days in
484 accordance with paragraph (m), and the number of investigations
485 exceeding the 90-day requirement. The annual report must also
486 include an evaluation of the division’s core business processes
487 and make recommendations for improvements, including statutory
488 changes. The report shall be submitted by September 30 following
489 the end of the fiscal year.
490 Section 6. Subsection (1) of section 718.5011, Florida
491 Statutes, is amended to read:
492 718.5011 Ombudsman; appointment; administration.—
493 (1) There is created an Office of the Condominium and
494 Homeowners’ Ombudsman, to be located for administrative purposes
495 within the Division of Florida Condominiums, Timeshares, and
496 Mobile Homes. The functions of the office shall be funded by the
497 Division of Florida Condominiums, Timeshares, and Mobile Homes
498 Trust Fund. The ombudsman shall be a bureau chief of the
499 division, and the office shall be set within the division in the
500 same manner as any other bureau is staffed and funded.
501 Section 7. Subsections (3) through (10) of section
502 718.5012, Florida Statutes, are amended, and subsections (11),
503 (12), and (13) are added to that section, to read:
504 718.5012 Ombudsman; powers and duties.—The ombudsman shall
505 have the powers that are necessary to carry out the duties of
506 his or her office for this chapter and chapter 720, including
507 the following specific powers:
508 (3) To prepare and issue reports and recommendations to the
509 Governor, the department, the division, the Advisory Council on
510 Condominiums, the President of the Senate, and the Speaker of
511 the House of Representatives on any matter or subject within the
512 jurisdiction of the division. The ombudsman shall make
513 recommendations he or she deems appropriate for legislation
514 relative to division procedures, rules, jurisdiction, personnel,
515 and functions.
516 (4) To act as liaison between the division, unit owners,
517 boards of directors, board members, community association
518 managers, and other affected parties under this chapter and
519 chapter 720. The ombudsman shall develop policies and procedures
520 to assist homeowners, unit owners, boards of directors, board
521 members, community association managers, and other affected
522 parties to understand their rights and responsibilities as set
523 forth in this chapter and the condominium documents governing
524 their respective associations association. The ombudsman shall
525 coordinate and assist in the preparation and adoption of
526 educational and reference material, and shall endeavor to
527 coordinate with private or volunteer providers of these
528 services, so that the availability of these resources is made
529 known to the largest possible audience.
530 (5) To monitor and review procedures and disputes
531 concerning condominium elections or meetings, including, but not
532 limited to, recommending that the division pursue enforcement
533 action in any manner where there is reasonable cause to believe
534 that election misconduct has occurred and reviewing secret
535 ballots cast at a vote of the association.
536 (6) To make recommendations to the division for changes in
537 rules and procedures for the filing, investigation, and
538 resolution of complaints filed by homeowners, unit owners,
539 associations, and managers.
540 (7) To provide resources to assist members of boards of
541 directors and officers of associations to carry out their powers
542 and duties consistent with this chapter, chapter 720, division
543 rules, and the condominium documents governing the association.
544 (8) To encourage and facilitate voluntary meetings with and
545 between homeowners, unit owners, boards of directors, board
546 members, community association managers, and other affected
547 parties when the meetings may assist in resolving a dispute
548 within a community association before a person submits a dispute
549 for a formal or administrative remedy. It is the intent of the
550 Legislature that the ombudsman act as a neutral resource for
551 both the rights and responsibilities of homeowners, unit owners,
552 associations, and board members.
553 (9) To assist with the resolution of disputes between
554 homeowners, unit owners, and the association or between
555 homeowners or unit owners when the dispute is not within the
556 jurisdiction of the division to resolve.
557 (10) To appoint an election monitor to attend the annual
558 meeting of the homeowner or unit owners and conduct the election
559 of directors if 15 percent of the total voting interests in an
560 association, or six owners, whichever is greater, make such a
561 petition to the ombudsman Fifteen percent of the total voting
562 interests in a condominium association, or six unit owners,
563 whichever is greater, may petition the ombudsman to appoint an
564 election monitor to attend the annual meeting of the unit owners
565 and conduct the election of directors. The ombudsman shall
566 appoint a division employee, a person or persons specializing in
567 homeowners’ association or condominium election monitoring, as
568 applicable, or an attorney licensed to practice in this state as
569 the election monitor. All costs associated with the election
570 monitoring process shall be paid by the association. The
571 division shall adopt a rule establishing procedures for the
572 appointment of election monitors and the scope and extent of the
573 monitor’s role in the election process.
574 (11) To void an election if the ombudsman determines that a
575 violation of this chapter or chapter 720 has occurred relating
576 to elections.
577 (12) To petition the court to appoint a receiver if the
578 appointment of a receiver is in the best interests of the
579 association or owners.
580 (13) To issue subpoenas and conduct audits for
581 investigations for the purposes of the Condominium and
582 Homeowners’ Association Economic Crime, Fraud, and Corruption
583 Investigation Pilot Program established under s. 16.0151.
584 Section 8. Subsection (2) of section 718.509, Florida
585 Statutes, is amended to read:
586 718.509 Division of Florida Condominiums, Timeshares, and
587 Mobile Homes Trust Fund.—
588 (2) All moneys collected by the division from fees, fines,
589 or penalties or from costs awarded to the division by a court or
590 administrative final order must shall be paid into the Division
591 of Florida Condominiums, Timeshares, and Mobile Homes Trust
592 Fund. The Legislature shall appropriate funds from this trust
593 fund sufficient to administer carry out the provisions of this
594 chapter and the provisions of law with respect to each category
595 of business covered by the trust fund. The division shall
596 maintain separate revenue accounts in the trust fund for each of
597 the businesses regulated by the division. The division shall
598 provide for the proportionate allocation among the accounts of
599 expenses incurred by the division in the performance of its
600 duties with respect to each of these businesses. As part of its
601 normal budgetary process, the division shall prepare an annual
602 report of revenue and allocated expenses related to the
603 operation of each of these businesses, which may be used to
604 determine fees charged by the division. This subsection shall
605 operate pursuant to the provisions of s. 215.20.
606 Section 9. This act shall take effect July 1, 2024.