HOMEOWNERS' ASSOCIATIONS BILL 2008

Section 2. Subsections (2), (4), (7), (8), (9), and (10)

of section 720.301, Florida Statutes, are amended, and

subsection (14) is added to that section, to read:

720.301 Definitions.--As used in this chapter, the term:

(2) "Common area" means all real property within a

community which is owned or leased by an association or

~~dedicated for use or maintenance by the association~~ or its

members, including, regardless of whether title has been

conveyed to the association:

(a) Real property the use of which is dedicated to the

association or its members by a recorded plat; or

(b) Real property committed by a declaration of covenants

to be leased or conveyed to the association.

(4) "Declaration of covenants," or "declaration," means a

recorded written instrument in the nature of covenants running

with the land, according to the recorded plat, which subjects

the land comprising the community to the jurisdiction and

control of an association or associations in which the owners of

the parcels~~, or their association representatives,~~ must be

members. Upon the execution of the sale of the first lot, a

declaration may not be amended without the vote of approval of

two-thirds majority of the owners of residential parcels that

have been purchased, with a tie vote resulting in a negative

vote. Exceptions shall be amendments identifying additional

phases of the community as they are constructed. These

amendments may not contain any other changes to the existing

declaration.

(7) "Division" means the Division of Florida Land Sales,

Condominiums, Homeowners' Associations, and Mobile Homes in the

Department of Business and Professional Regulation.

(8) "Governing documents" means:

(a) Each set of ~~The~~ recorded declaration of covenants for

a community, and all duly adopted and recorded amendments,

supplements, and recorded exhibits thereto; and

(b) The articles of incorporation and bylaws of the

homeowners' association, and any duly adopted amendments

thereto.

When different sets of covenants exist for each recorded plat,

those covenants shall only apply to the plat for which they are

recorded and specified. The different sets of covenants may not

be commingled.

(9) "Homeowners' association" or "association" means a

Florida corporation, as authorized by chapter 720

responsible for the administration ~~operation~~ of a community or a

mobile home subdivision in compliance with applicable federal,

state, and local laws and the governing documents of the

association. In addition, a homeowners' association means a

Florida corporation in which the voting membership is made up of

parcel owners ~~or their agents, or a combination thereof,~~ and in

which membership is a mandatory condition of parcel ownership,

and which is authorized to impose assessments that, if unpaid,

may become a lien on the parcel. Any homeowners' association or

other named association that administers a residential community

where membership is mandatory shall be required to comply with

this chapter, except if exempted. The term "homeowners'

association" does not include a community development district

or other similar special taxing district created pursuant to

statute.

(10) "Member" means a member of an association, and may

include, but is not limited to, a parcel owner ~~or an association~~

~~representing parcel owners~~ or a combination thereof, and

includes any person or entity obligated by the governing

documents to pay an assessment or amenity fee.

(14) "Homeowners' Association Advisory Council" means a

group of persons appointed to recommend changes in laws that

affect the administration of mandatory homeowners' associations.

Section 3. Subsections (1) and (2) of section 720.302,

Florida Statutes, are amended to read:

720.302 Purposes, scope, and application.--

(1) The purposes of this chapter are to give statutory

recognition to corporations not for profit that administer or

operate residential communities in this state, to provide

regulations ~~procedures~~ for operating homeowners' associations,

and to protect the rights of association members without unduly

impairing the ability of such associations to perform their

functions as authorized by federal, state, and local laws and

the governing documents of the association.

(2) Having provided certain powers and authority to

homeowners' associations and deed restrictions created by

developers of mandated properties in residential communities,

the Legislature recognizes that it is necessary to provide

regulatory oversight to ensure compliance with federal, state,

and local laws. It is the intent of the Legislature to protect

the rights of parcel owners by ensuring that the powers and

authority granted to homeowners' associations and deed

restrictions created by developers of mandated properties in

residential communities conform to a system of checks and

balances to prevent abuses of governmental authority. The

Department of Business and Professional Regulation shall create

a Division of Mandated Properties. No later than July 1, 2009,

the division shall establish a process for collecting an annual

fee which shall not exceed $4 for each association member in

communities administered by the association during each of the

following 2 years and, thereafter, shall not exceed the Cost of

Living Index. Funds collected shall be deposited in the Division

of Florida Land Sales, Condominiums, Homeowners' Associations,

and Mobile Homes Trust Fund Trust Fund. Funds shall be utilized

by the division for, but not limited to, the review and approval

of deed restrictions before releasing for recording at the

county level by the developer or owner of the initial lots to be

developed; education; enforcement; investigation; and

prosecution of policies and procedures related to mandated

properties. Upon transition of authorities, duties,

responsibilities, and rights from the developer to the parcel

owners, all amendments, alterations, or modifications to the

governing documents must be approved by at least two-thirds of

the parcel owners or homeowners' association members. The

governing documents may not contain provisions that reduce this

percentage of majority approval for changes to the governing

documents. The ombudsman may not engage the services of industry

partisans with a vested interest in the administration of deed-

restricted communities or in the mandatory homeowners'

association to implement its powers, who have practiced in this

field within the last 3 years. Furthermore ~~not in the best~~

~~interest of homeowners' associations or the individual~~

~~association members thereof to create or impose a bureau or~~

~~other agency of state government to regulate the affairs of~~

~~homeowners' associations. However, in accordance with s.~~

~~720.311~~, the Legislature finds that homeowners' associations and

their individual members will benefit from an expedited

alternative process for resolution of election and recall

disputes and presuit mediation of other disputes involving

covenant enforcement, disputes relating to the transition of

control of the association from the developer or owner to

members of the association, and authorizes the department to

hear, administer, and determine these disputes as more fully set

forth in this chapter. Further, the Legislature recognizes that

certain contract rights have been created for the benefit of

homeowners' associations and members thereof before the

effective date of this act and that ss. 720.301-720.407 are not

intended to impair such contract rights, so long as they are

accepted by a two-thirds majority of the homeowners' association

members, including, but not limited to, the rights of the

developer to complete the community as initially contemplated.

Section 4. Section 720.303, Florida Statutes, is amended

to read:

720.303 Association powers and duties; meetings of board;

official records; budgets; financial reporting; association

funds; recalls.--

(1) POWERS AND DUTIES.--

(a) An association which operates a community as defined

in s. 720.301, must be incorporated in this state, ~~operated by~~

~~an association that is a Florida corporation. After October 1,~~

~~1995, the association must be incorporated~~ and the initial

governing documents must be recorded in the official records of

the county in which the community is located. ~~An association may~~

~~operate more than one community.~~

(b) The officers and directors of an association have a

fiduciary relationship of ~~to the members who are served by~~ the

association.

set forth in this chapter and~~, except as expressly limited or~~

~~restricted in this chapter,~~ those specifically set forth in the

governing documents. The officers and directors of the

association may not take any action that is inconsistent with

the declaration of covenants.

(d) After control of the association is obtained by

members from ~~other than~~ the developer, the association may

institute, maintain, or settle on ~~, or~~ appeal actions or

~~hearings~~ in its name on behalf of the ~~all~~ members concerning

matters of common interest to the members~~, including, but not~~

~~limited to, the common areas; roof or structural components of a~~

~~building, or other improvements for which the association is~~

~~responsible; mechanical, electrical, or plumbing elements~~

~~serving an improvement or building for which the association is~~

~~responsible; representations of the developer pertaining to any~~

~~existing or proposed commonly used facility; and protesting ad~~

~~valorem taxes on commonly used facilities. The association may~~

~~defend actions in eminent domain or bring inverse condemnation~~

~~actions~~. Before commencing ~~litigation~~ any legal action, except

construction defects actions against the developer which shall

not require membership approval, against any party in the name

of the association involving amounts in controversy in excess of

$50,000 ~~$100,000~~, the association must obtain the affirmative

approval of a majority of the members of the association

~~voting interests~~ at a meeting of the membership at which

a quorum is present ~~has been attained~~.

(e) The association may enter into contracts for the

benefit of the members of the association, including, but not

limited to, contracts for maintaining, repairing, or improving

the common areas of the association. All contracts to which the

association is a party must contain a thirty (30) day cancellation

clause. ~~This subsection does not~~ ~~limit any statutory or common~~

~~law right of any individual member or class of members to bring~~

~~any action without participation by the association.~~

(f) A member does not have the authority to act for the

association by virtue of being a member of the association. An

~~association may have more than one class of members and may~~

~~issue membership certificates.~~

(g) In any civil or criminal action between a member and

the association, it shall not be a defense by the association

that the association's actions, although incompatible with the

declaration of covenants, have been uniformly applied.

(h) An association may not restrict a member's freedom of

association and may not limit the number of guests a member may

have within a 24-hour period.

(i) An association of 15 or fewer parcels ~~parcel owners~~

may enforce only ~~the requirements of~~ those deed restrictions

established prior to the purchase of each parcel upon an

affected parcel owner or owners.

(j) The officers and directors of an association may be

personally liable for damages to a member if the actions of the

officers and directors demonstrate a pattern of behavior inconsistent

with the tenets of the governing documents resulting in breach of

fiduciary duty or intended to harass a member of the association.

(k) Any action of the association by and through the

officers and directors that limits the legal use of any portion

of a member's property that is incompatible with the declaration

of covenants shall entitle the member to compensation for the

fair market value of that portion of the member's property, the

use of which is being restricted.

(l) In any association with more than 50 but fewer than 75

parcels, for purposes of establishing setback limits, any parcel

of 1 acre or less shall be deemed to have one front for purposes

of determining the required front setback, if any. Only those

setbacks specifically set forth in the declaration of covenants

may be enforced by the association. Where the covenants are

silent, the applicable county or municipal setbacks shall apply.

(2) BOARD MEETINGS.--

(a) A meeting of the board of directors of an association

occurs whenever a quorum of the board gathers to conduct

association business. All meetings of the board must be open to

all members except for meetings between the board and its

attorney with respect to proposed or pending litigation where

the contents of the discussion would otherwise be governed by

the attorney-client privilege.

(b) Members have the right to attend all meetings of the

board and to speak on ~~any~~ each matter placed on the agenda by

~~petition of the voting interests~~ for at least 3 minutes. The

association may adopt written reasonable rules expanding the

right of members to speak and governing the frequency, duration,

and other manner of member statements, which rules must be

consistent with this paragraph ~~and may include a sign-up sheet~~

~~for members wishing to speak~~. Notwithstanding any other law, the

requirement that board meetings and committee meetings be open

to the members is inapplicable to meetings between the board or

a committee and the association's attorney, with respect to

meetings of the board held for the purpose of discussing

personnel matters.

owners and members of all board meetings and, if they do not do

so, shall be deemed to provide the following:

1. Notices of all board meetings and the agendas must be

posted in a conspicuous place in the community at least 48 hours

in advance of a meeting, except in an emergency. In the

alternative, if notice is not posted in a conspicuous place in

the community, notice of each board meeting and agenda must be

mailed or delivered to each member at least 7 days before the

meeting, except in an emergency. Notwithstanding this general

notice requirement, for communities with more than 100 members,

the bylaws may provide for a reasonable alternative to posting

or mailing of notice for each board meeting, including

publication of notice, provision of a schedule of board

meetings, or the conspicuous posting and repeated broadcasting

of the notice on a closed-circuit cable television system

serving the homeowners' association. However, if broadcast

notice is used in lieu of a notice posted physically in the

community, the notice must be broadcast at least four times

every broadcast hour of each day that a posted notice is

otherwise required. When broadcast notice is provided, the

notice and agenda must be broadcast in a manner and for a

sufficient continuous length of time so as to allow an average

reader to observe the notice and read and comprehend the entire

content of the notice and the agenda. The bylaws or amended

bylaws may provide for giving notice by electronic transmission

in a manner authorized by law for meetings of the board of

directors, committee meetings requiring notice under this

section, and annual and special meetings of the members;

however, a member must consent in writing to receiving notice by

electronic transmission.

2. An assessment may not be levied at a board meeting

unless the notice of the meeting includes a statement that

assessments will be considered and the nature of the

assessments. Written notice of any meeting at which special

assessments will be considered or at which amendments to rules

regarding parcel use will be considered must be mailed,

delivered, or electronically transmitted to the members and

parcel owners and posted conspicuously on the property or

broadcast on closed-circuit cable television not less than 14

days before the meeting.

3. Directors may not vote by proxy or by secret ballot at

board meetings~~, except that secret ballots may be used in the~~

~~election of officers~~. This subsection also applies to the

meetings of any committee or other similar body, when a final

decision will be made regarding the expenditure of association

funds, and to any body vested with the power to approve or

disapprove architectural decisions with respect to a specific

parcel of residential property owned by a member of the

community.

(d) If 10 20 percent of the total voting interests

petition the board to address an item of business, the board

shall at its next regular board meeting or at a special meeting

of the board, but not later than 60 days after the receipt of

the petition, take the petitioned item up on an agenda. The

board shall give all members notice of the meeting at which the

petitioned item shall be addressed in accordance with the 14-day

notice requirement pursuant to subparagraph (c)2. Each member

shall have the right to speak for at least 3 minutes on each

matter placed on the agenda by petition. The board shall address

all items on the agenda ~~, provided that the member signs the~~

~~sign-up sheet, if one is provided, or submits a written request~~

~~to speak prior to the meeting. Other than addressing the~~

~~petitioned item at the meeting, the board is not obligated to~~

~~take any other action requested by the petition~~.

(e) Detailed agendas for board meetings with specific

items that will be addressed shall be published and made

available to all members no less than 7 days prior to the date

of the board meeting.

(3) MINUTES.--Minutes of all meetings of the members of an

association and of the board of directors of an association must

be maintained in written form or in another form that can be

converted into written form within a reasonable time. A vote or

abstention from voting on each matter voted upon by ~~for~~ each

director present at a board meeting shall ~~must~~ be recorded in

the minutes.

(4) OFFICIAL RECORDS.-- All records of the association

are the property of the members, except as provided herein.

The association shall maintain each of the following items

~~, when applicable~~, which constitute the of the following items

association:

(a) Copies of ~~any~~ all plans, specifications, permits, and

warranties related to all improvements constructed ~~on the common~~

~~areas or other property~~ in the development as platted and recorded

that the association is obligated to maintain, repair, or replace. If

such documents do not exist, the association shall obtain the

documents or forfeit the right to assess any fees to maintain

the common areas of property.

(b) A copy of the bylaws of the association and of each

amendment to the bylaws.

association and of each amendment thereto.

(d) A copy of each set of ~~the~~ declaration of covenants and

a copy of each amendment thereto.

(e) A copy of the current rules of the homeowners'

association.

(f) The minutes of all meetings of the board of directors

and of the members, which minutes must be retained for at least

7 years.

(g) A current roster of all members and their mailing

addresses and parcel identifications. The association shall also

maintain the electronic mailing addresses and the numbers

designated by members for receiving notice sent by electronic

transmission of those members consenting to receive notice by

electronic transmission. The electronic mailing addresses and

numbers provided by unit owners to receive notice by electronic

transmission shall be removed from association records when

consent to receive notice by electronic transmission is revoked.

However, the association is not liable for an erroneous

disclosure of the electronic mail address or the number for

receiving electronic transmission of notices.

(h) All of the association's insurance policies or a copy

thereof, which policies must be retained for at least 7 years.

(i) A current copy of all contracts to which the

association is a party, including, without limitation, any

management agreement, lease, or other contract under which the

association has any obligation or responsibility. A contract or

written agreement may not be allowed to maintain property that

is not owned by and deeded to the association. Bids received by

the association for work to be performed must also be considered

official records and must be kept for a period of 1 year.

(j) The financial and accounting records of the

association, kept according to good accounting practices. All

financial and accounting records shall ~~must~~ be maintained for a

period of at least 7 years. All work product of a director or officer of the

association shall be an accounting record available to the members on

request. The financial and accounting records must include:

1. Accurate, itemized, and detailed records of all

receipts and expenditures.

2. A current account and a periodic statement of the

account for each member, designating the name and current

address of each member who is obligated to pay assessments, the

due date and amount of each assessment or other charge against

the member, the date and amount of each payment on the account,

and the balance due.

3. All tax returns, financial statements, and financial

reports of the association.

4. Any other records that identify, measure, record, or

communicate financial information.

5. All information regarding salaries and/or benefits of employees

of the association.

(k) A copy of the disclosure summary described in s.

720.401(1).

(l) All other written records of the association not

specifically included in the foregoing which are related to the

operation of the association.

(m) All interpretations of any governing documents, as

provided by any legal source or attorney as long as they are not

part of a pending lawsuit.

(n) All architectural requests and approvals or denials,

which shall be maintained as long as the association exists or

is active.

(5) INSPECTION AND COPYING OF RECORDS.--The official

records shall be maintained within the county in which the

governing documents are recorded ~~state~~ and must be open to

inspection and available for photocopying by machine, video,

digital cameras, or any other methods available to members or

their authorized agents at reasonable times and places within 10

business days after receipt of a written request for access.

This subsection may be complied with by having a copy of the

official records available for inspection or copying in the

community. If the association has a photocopy machine available

where the records are maintained, it must provide parcel owners

with copies on request during the inspection ~~if the entire~~

~~request is limited to no more than 25 pages~~.

(a) The failure of an association to provide access to the

records within 10 business days after receipt of a written

request creates a ~~rebuttable~~ presumption that the association

willfully failed to comply with this subsection. The association shall

state a reason for denial of each requested record that does not exist.

(b) A member who is denied access to official records is

entitled to the actual damages or minimum damages for the

association's willful failure to comply with this subsection.

The minimum damages are to be $100 ~~$50~~ per calendar day up to 10

days, the calculation to begin on the 11th business day after

receipt of the written request.

governing the ~~frequency,~~ time, location, notice, records to be

inspected, ~~and manner of inspections,~~ but may not impose a

requirement that a parcel owner demonstrate any proper purpose

for the inspection, state any reason for the inspection, or

limit a parcel owner's right to inspect records to less than one

8-hour business day per month. The association may only impose

fees to cover the actual costs of providing copies of the

official records~~, including, without limitation, the costs of~~

~~copying~~. The association may charge up to 5 50 cents per page

for copies made on the association's photocopier. If the

association does not have a photocopy machine available where

the records are kept, or if the records requested to be copied

exceed 25 pages in length, the association may have copies made

by an outside vendor and may charge the actual cost of copying

only. The association may impose a one-time fee not to exceed 1

cent per page and limited to a total of $5 if the parcel owner

provides the necessary equipment and materials for copying and

the labor to make the requested copies. The association shall

maintain an adequate number of copies of the recorded governing

documents, to ensure their availability to members and

prospective members. Notwithstanding the provisions of this

paragraph, the following records shall not be accessible to

members or parcel owners:

1. Any record protected by the lawyer-client privilege as

described in s. 90.502 and any record protected by the work-

product privilege, including, but not limited to, any record

prepared by an association attorney or prepared at the

attorney's express direction which reflects a mental impression,

conclusion, litigation strategy, or legal theory of the attorney

or the association and was prepared exclusively for civil or

criminal litigation or for adversarial administrative

proceedings or which was prepared in anticipation of imminent

civil or criminal litigation or imminent adversarial

administrative proceedings until the conclusion of the

litigation or adversarial administrative proceedings.

2. Information obtained by an association in connection

with the approval of the lease, sale, or other transfer of a

parcel.

3. Disciplinary, health, insurance, and personnel records

of the association's employees.

4. Medical records of parcel owners or community

residents.

(8) ASSOCIATION FUNDS; COMMINGLING.--

(a) All association funds held by a developer shall be

maintained separately in the association's name. Reserve and

operating funds of the association shall not be commingled prior

to turnover except the association may jointly invest reserve

funds; however, such jointly invested funds must be accounted

for separately.

(b) No developer in control of a homeowners' association

shall commingle any association funds with his or her funds or

with the funds of any other homeowners' association, or

community association, or corporation for profit created by the

developer.

defend a civil or criminal action, administrative proceeding, or

arbitration proceeding that has been filed against the developer

or directors appointed to the association board by the

developer, even when the subject of the action or proceeding

concerns the operation of the developer-controlled association.

(9) APPLICABILITY.--Sections 617.1601-617.1604 do not

apply to a homeowners' association in which the members have the

inspection and copying rights set forth in this section.

(10) RECALL OF DIRECTORS.--

(a)1. Regardless of any provision to the contrary

contained in the governing documents, subject to the provisions

of s. 720.307 regarding transition of association control, any

member of the board of directors shall ~~may~~ be recalled and

removed from office with or without cause by a majority of the

total voting interests who must be the owner of record pursuant

to the deed recorded in the official records of the County in which

the community is located.

2. When the governing documents, including the

declaration, articles of incorporation, or bylaws, provide that

only a specific class of members is entitled to elect a board

director or directors, only that class of members may vote to

recall those board directors so elected.

(b)1. Board directors may be recalled by an agreement in

writing or by written ballot without a membership meeting. The

agreement in writing or the written ballots, or a copy thereof,

shall be served on the association by certified mail or by

personal service in the manner authorized by chapter 48 and the

Florida Rules of Civil Procedure.

2. The board shall duly notice and hold a meeting of the

board within 5 full business days after receipt of the agreement

in writing or written ballots. At the meeting, the board shall

either certify the written ballots or written agreement to

recall a director or directors of the board, in which case such

director or directors shall be recalled effective immediately

and shall turn over to the board within 5 full business days any

and all records and property of the association in their

possession, or proceed as described in paragraph (d).

3. When it is determined by the department pursuant to

binding arbitration proceedings that an initial recall effort

was defective, written recall agreements or written ballots used

in the first recall effort and not found to be defective may be

reused in one subsequent recall effort. However, in no event is

a written agreement or written ballot valid for more than 120

days after it has been signed by the member.

4. Any rescission or revocation of a member's written

recall ballot or agreement must be in writing and, in order to

be effective, must be delivered to the association before the

association is served with the written recall agreements or

ballots.

5. The agreement in writing or ballot shall list at least

as many possible replacement directors as there are directors

subject to the recall, when at least a majority of the board is

sought to be recalled; the person executing the recall

instrument may vote for as many replacement candidates as there

are directors subject to the recall.

~~bylaws specifically provide, the~~ Members may also recall and

remove a board director or directors by a vote taken at a

special meeting of the members. ~~If so provided in the governing~~

~~documents,~~ A special meeting of the members to recall a director

or directors of the board of administration may be called by 10

percent of the voting interests giving notice of the meeting as

required for a meeting of members, and the notice shall state

the purpose of the meeting. Electronic transmission may not be

used as a method of giving notice of a meeting called in whole

or in part for this purpose.

2. The board shall duly notice and hold a board meeting

within 5 full business days after the adjournment of the member

meeting to recall one or more directors. At the meeting, the

board shall certify the recall, in which case such member or

members shall be recalled effective immediately and shall turn

over to the board within 5 full business days any and all

records and property of the association in their possession, or

shall proceed as set forth in subparagraph (d).

(d) If the board determines not to certify the written

agreement or written ballots to recall a director or directors

of the board or does not certify the recall by a vote at a

meeting, the board shall, within 5 full business days after the

meeting, file with the department a petition for binding

arbitration pursuant to the applicable procedures in ss.

718.112(2)(j) and 718.1255 and the rules adopted thereunder. For

the purposes of this section, the members who voted at the

meeting or who executed the agreement in writing shall

constitute one party under the petition for arbitration. If the

arbitrator certifies the recall as to any director or directors

of the board, the recall will be effective upon mailing of the

final order of arbitration to the association. The director or

directors so recalled shall deliver to the board any and all

records of the association in their possession within 5 full

business days after the effective date of the recall.

(e) If a vacancy occurs on the board as a result of a

recall and less than a majority of the board directors are

removed, the vacancy may be filled by the affirmative vote of a

majority of the remaining directors, notwithstanding any

provision to the contrary contained in this subsection or in the

association documents. If vacancies occur on the board as a

result of a recall and a majority or more of the board directors

are removed, the vacancies shall be filled by members voting in

favor of the recall; if removal is at a meeting, any vacancies

shall be filled by the members at the meeting. If the recall

occurred by agreement in writing or by written ballot, members

may vote for replacement directors in the same instrument in

accordance with procedural rules adopted by the division, which

rules need not be consistent with this subsection.

(f) If the board fails to duly notice and hold a board

meeting within 5 full business days after service of an

agreement in writing or within 5 full business days after the

adjournment of the member recall meeting, the recall shall be

deemed effective and the board directors so recalled shall

immediately turn over to the board all records and property of

the association.

(g) If a director who is removed fails to relinquish his

or her office or turn over records as required under this

section, the circuit court in the county where the association

maintains its principal office may, upon the petition of the

association, summarily order the director to relinquish his or

her office and turn over all association records upon

application of the association.

(h) The minutes of the board meeting at which the board

decides whether to certify the recall are an official

association record. The minutes must record the date and time of

the meeting, the decision of the board, and the vote count taken

on each board member subject to the recall. In addition, when

the board decides not to certify the recall, as to each vote

rejected, the minutes must identify the parcel number and the

specific reason for each such rejection.

(i) When the recall of more than one board director is

sought, the written agreement, ballot, or vote at a meeting

shall provide for a separate vote for each board director sought

to be recalled.

Section 5. Subsections (2) and (6) of section 720.304,

Florida Statutes, are amended, and subsection (7) is added to

that section, to read:

720.304 Right of owners to peaceably assemble; display of

flag; SLAPP suits prohibited.--

(2) Any homeowner may display one stationary or portable,

removable United States flag or official flag of the State of

Florida in a respectful manner, and on Armed Forces Day,

Memorial Day, Flag Day, Independence Day, and Veterans Day may

display in a respectful manner portable, removable official

flags, not larger than 41/2 feet by 6 feet, which represent the

United States Army, Navy, Air Force, Marine Corps, or Coast

Guard, from a freestanding, portable, removable, or telescoping

flagpole not to exceed 20 feet in the front, rear, or side yard

regardless of any declaration rules or requirements dealing with

flags or decorations.

(6) Any parcel owner may display a sign of reasonable size

provided by a contractor for security services within 10 feet of

any entrance to the home. The sign shall not exceed 18 inches

high by 18 inches wide, and the bottom of the sign shall be no

higher than 24 inches from the ground elevation within the

permitted area of installation. Other specifications may be

approved by the association, but in no case shall the

specifications be less than authorized by this section.

(7)(a) Rules and regulations pertaining to common elements

shall be protected by the First Amendment to the United States

Constitution and s. 5, Art. I of the State Constitution, and

associations shall not in any way abridge or deny constitutional

rights and freedoms of homeowners with respect to use of such

common elements.

(b) All common elements, common areas, and recreational

facilities serving any association shall be available to unit

owners in the association served thereby and their invited

guests for the use intended for such common elements, common

areas, and recreational facilities. The entity or entities

responsible for the operation of the common elements, common

areas, and recreational facilities may adopt reasonable rules

and regulations pertaining to the use of such common elements,

common areas, and recreational facilities as to the manner and

times they are used, but not the purpose for which they are

used. No entity or entities shall unreasonably restrict any unit

owner's right to peaceably assemble or right to invite public

officers or candidates for public office to appear and speak in

common elements, common areas, and recreational facilities.

by this section may bring an action in the appropriate court of

the county in which the alleged infringement occurred, and, upon

favorable adjudication, the court shall enjoin the enforcement

of any provision contained in any association.

Section 6. Section 720.305, Florida Statutes, is amended

to read:

720.305 Obligations of members; remedies at law or in

equity; ~~levy of fines and~~ suspension of use rights; failure to

fill sufficient number of vacancies on board of directors to

constitute a quorum; appointment of receiver upon petition of

any member.--

(1) Each member and the member's tenants, guests, and

invitees, and each association, are governed by, and must comply

with, this chapter, the governing documents of the community,

and the rules of the association. Actions at law or in equity,

or both, to redress alleged failure or refusal to comply with

these provisions may be brought by the association or by any

member against:

(a) The association;

(b) A member;

willfully and knowingly or otherwise fails to comply with these

provisions; and

(d) Any tenants, guests, or invitees occupying a parcel or

using the common areas.

The prevailing party in any such litigation is entitled to

recover reasonable attorney's fees and costs. A member

prevailing in an action between the association and the member

under this section, in addition to recovering his or her reasonable

attorney's fees, may recover additional amounts as determined

by the court to be necessary to reimburse the member for his

or her share of assessments levied by the association to fund

its expenses of the litigation. This relief does not exclude other

remedies provided by law. This section does not deprive any

person of any other available right or remedy. This section does

not deprive any person of any other available right or remedy.

(2) ~~If the governing documents so provide,~~ An association

may suspend~~, for a reasonable period of time,~~ the rights of a

member or a member's tenants, guests, or invitees, or both, to

use common areas and facilities if so ~~and may levy reasonable~~

~~fines, not to exceed $100 per violation, against any member or~~

~~any tenant, guest, or invitee. A fine may be levied on the basis~~

~~of each day of a continuing violation, with a single notice and~~

~~opportunity for hearing, except that no such fine shall exceed~~

~~$1,000 in the aggregate unless otherwise~~ provided in the

governing documents. ~~A fine shall not become a lien against a~~

~~parcel. In any action to recover a fine, the prevailing party is~~

~~entitled to collect its reasonable attorney's fees and costs~~

~~from the nonprevailing party as determined by the court.~~

(a) A ~~fine or~~ suspension may not be imposed without notice

of at least 14 days to the person sought to be ~~fined or~~

suspended and an opportunity for a hearing before a committee of

at least three members appointed by the board who are not

officers, directors, or employees of the association, or the

spouse, parent, child, brother, or sister of an officer,

director, or employee. If the committee, by majority vote, does

not approve a proposed ~~fine or~~ suspension, it may not be

imposed.

(b) The requirements of this subsection do not apply to

the imposition of suspensions ~~or fines~~ upon any member because

of the failure of the member to pay assessments or other charges

when due ~~if such action is authorized by the governing~~

~~documents~~.

the right of an owner or tenant of a parcel to have vehicular

and pedestrian ingress to and egress from the parcel, including,

but not limited to, the right to park.

(3) If the governing documents so provide, an association

may suspend the voting rights of a member for the nonpayment of

regular annual assessments that are delinquent in excess of 90

days.

(4) If an association fails to fill vacancies on the board

of directors sufficient to constitute a quorum in accordance

with the bylaws, any member may apply to the circuit court that

has jurisdiction over the community served by the association

for the appointment of a receiver to manage the affairs of the

association. At least 30 days before applying to the circuit

court, the member shall mail to the association, by certified or

registered mail, and post, in a conspicuous place on the

property of the community served by the association, a notice

describing the intended action, giving the association 30 days

to fill the vacancies. If during such time the association fails

to fill a sufficient number of vacancies so that a quorum can be

assembled, the member may proceed with the petition. If a

receiver is appointed, the homeowners' association shall be

responsible for the salary of the receiver, court costs,

attorney's fees, and all other expenses of the receivership. The

receiver has all the powers and duties of a duly constituted

board of directors and shall serve until the association fills a

sufficient number of vacancies on the board so that a quorum can

be assembled.

Section 7. Section 720.3055, Florida Statutes, is amended

to read:

720.3055 Contracts for products and services; in writing;

bids; exceptions.--

(1) All contracts as further described in this section or

any contract that is not to be fully performed within 1 year

after the making thereof for the purchase, lease, or renting of

materials or equipment to be used by the association in

accomplishing its purposes under this chapter ~~or the governing~~

~~documents~~, and all contracts for the provision of services,

shall be in writing. If a contract for the purchase, lease, or

renting of materials or equipment, or for the provision of services,

requires payment by the association that exceeds $100,000 or

10 percent of the total annual budget of the association, including

reserves, the association must obtain competitive bids for the

materials, equipment, or services. Nothing contained in this

section shall be construed to require the association to accept

the lowest bid.

(2)(a)1. ~~Notwithstanding the foregoing,~~ Contracts with

employees of the association, and contracts for attorney,

accountant, architect, community association manager,

engineering, and landscape architect services are not subject to

the provisions of this section.

2. A contract executed before October 1, 2004, and any

renewal thereof, is not subject to the competitive bid

requirements of this section. If a contract was awarded under

the competitive bid procedures of this section, any renewal of

that contract is not subject to such competitive bid

requirements if the contract contains a provision that allows

the board to cancel the contract on 30 days' notice. Materials,

equipment, or services provided to an association under a local

government franchise agreement by a franchise holder or a

manager are ~~not~~ subject to the competitive bid requirements of

this section. A contract with a manager~~, if made by a~~

~~competitive bid,~~ may be made for up to 3 years and must contain

a 30-day termination clause. An association whose declaration or

bylaws provide for competitive bidding for services may operate

under the provisions of that declaration or bylaws in lieu of

this section if those provisions are not less stringent than the

requirements of this section.

(b) Nothing contained in this section is intended to limit

the ability of an association to obtain needed products and

services in an emergency.

with which the association desires to enter into a contract is

the only source of supply within the county serving the

association.

(d) Nothing contained in this section shall excuse a party

contracting to provide maintenance or management services from

compliance with s. 720.309.

Section 8. Section 720.306, Florida Statutes, is amended

to read:

720.306 Meetings of members; voting and election

procedures; amendments.--

(1) ~~QUORUM;~~ AMENDMENTS.--

(a) Unless otherwise required by law, and other than those

matters set forth in paragraph (b), any governing document of an

association shall only be amended by the affirmative vote of

two-thirds of the voting interests of the association subject to

the following:

1. All amendments offered for official recording must be

submitted as contained within the covenants and restrictions in

their entirety.

2. Within 12 months of enactment of this subsection all

duly registered covenants and restrictions must be complete and

set forth in plain, easily understandable English. ~~Unless a~~

~~lower number is provided in the bylaws, the percentage of voting~~

~~interests required to constitute a quorum at a meeting of the~~

~~members shall be 30 percent of the total voting interests.~~

~~Unless otherwise provided in this chapter or in the articles of~~

~~incorporation or bylaws, decisions that require a vote of the~~

~~members must be made by the concurrence of at least a majority~~

~~of the voting interests present, in person or by proxy, at a~~

~~meeting at which a quorum has been attained.~~

~~(b) Unless otherwise provided in the governing documents~~

~~or required by law, and other than those matters set forth in~~

~~paragraph (c), any governing document of an association may be~~

~~amended by the affirmative vote of two-thirds of the voting~~

~~interests of the association.~~

(b)~~(c)~~ ~~Unless otherwise provided in the governing~~

~~documents as originally recorded or permitted by this chapter or~~

~~chapter 617,~~ An amendment may not materially and adversely alter

the proportionate voting interest appurtenant to a parcel or

increase the proportion or percentage by which a parcel shares

in the common expenses of the association unless the record

parcel owner and all record owners of liens on the parcels join

in the execution of the amendment. ~~For purposes of this section,~~

~~a change in quorum requirements is not an alteration of voting~~

~~interests.~~

the rental of homes applies only to parcel owners who consent to

the amendment and to parcel owners who purchase their parcels

after the effective date of that amendment.

(2) ANNUAL MEETING.--The association shall hold a meeting

of its members annually for the transaction of any and all

proper business at a time, date, and place stated in, or fixed

in accordance with, the bylaws. The election of directors, if

one is required to be held, must be held at, or in conjunction

with, the annual meeting ~~or as provided in the governing~~

~~documents~~.

(3) SPECIAL MEETINGS.--Special meetings must be held when

called by the board of directors or~~, unless a different~~

~~percentage is stated in the governing documents,~~ by at least 10

percent of the total voting interests of the association.

Business conducted at a special meeting is limited to the

purposes described in the notice and the agenda of the meeting.

(4) CONTENT OF NOTICE.--~~Unless law or the governing~~

~~documents require otherwise,~~ Notice of an annual meeting need

not include a description of the purpose or purposes for which

the meeting is called. Notice of a special meeting must include

an agenda and a description of the purpose or purposes for which

the meeting is called.

(5) NOTICE OF MEETINGS.--The bylaws shall provide for

giving notice to members of all member meetings, and if they do

not do so shall be deemed to provide the following: The

association shall give all parcel owners and members actual

notice of all membership meetings, which shall be mailed,

delivered, or electronically transmitted to the members not less

than 14 days prior to the meeting. Evidence of compliance with

this 14-day notice shall be made by an affidavit executed by the

person providing the notice and filed upon execution among the

official records of the association. In addition to mailing,

delivering, or electronically transmitting the notice of any

meeting, the association may, by reasonable rule, adopt a

procedure for conspicuously posting and repeatedly broadcasting

the notice and the agenda on a closed-circuit cable television

system serving the association. When broadcast notice is

provided, the notice and agenda must be broadcast in a manner

and for a sufficient continuous length of time so as to allow an

average reader to observe the notice and read and comprehend the

entire content of the notice and the agenda.

(6) RIGHT TO SPEAK.--Members and parcel owners have the

right to attend all membership meetings and to speak at any

meeting with reference to any ~~all~~ items ~~opened for discussion or~~

~~included~~ on the agenda. ~~Notwithstanding any provision to the~~

~~contrary in the governing documents or any rules adopted by the~~

~~board or by the membership,~~ A member and a parcel owner have

the right to speak at least once for at least 3 minutes on each

agenda ~~any~~ item~~, provided that the member or parcel owner~~

~~submits a written request to speak prior to the meeting~~. The

association may adopt written reasonable rules governing the

frequency and, duration~~, and other manner~~ of member and parcel

owner statements, which rules must be consistent with this

subsection.

(7) ADJOURNMENT.--~~Unless the bylaws require otherwise,~~

Adjournment of an annual or special meeting to a different date,

time, or place must be announced at that meeting before an

adjournment is taken, or notice must be given of the new date,

time, or place pursuant to s. 720.303(2). Any business that

might have been transacted on the original date of the meeting

may be transacted at the adjourned meeting. If a new record date

for the adjourned meeting is or must be fixed under s. 617.0707,

notice of the adjourned meeting must be given to persons who are

entitled to vote and are members as of the new record date but

were not members as of the previous record date.

(8) PROXY VOTING.--The members have the right, unless

otherwise provided in this subsection ~~or in the governing~~

~~documents,~~ to vote in person or by limited proxy. To be valid, a

limited proxy must be dated, must state the date, time, and

place of the meeting for which it was given, and must be signed

by the authorized person who executed the proxy. A limited proxy

is effective only for the specific meeting for which it was

originally given, as the meeting may lawfully be adjourned and

reconvened from time to time, and automatically expires 60 90

days after the date of the meeting for which it was originally

given. A proxy is revocable at any time at the pleasure of the

person who executes it. If the proxy form expressly so provides,

any proxy holder may appoint, in writing, a substitute to act in

his or her place.

(9) ELECTIONS.--

(a) Election procedures.--

1. The members of the board shall be elected by written

ballot or voting machine. Proxies shall in no event be used in

electing the board, either in general elections or elections to

fill vacancies caused by recall, resignation, or otherwise,

unless otherwise provided in this chapter. Not less than 60 days

before a scheduled election, the association shall mail,

deliver, or electronically transmit, whether by separate

association mailing or included in another association mailing,

delivery, or transmission, including regularly published

newsletters, to each parcel owner entitled to a vote, a first

notice of the date of the election. Any homeowner or other

eligible person desiring to be a candidate for the board must

give written notice to the association not less than 40 days

before a scheduled election. Together with the written notice

and agenda as set forth in this section, the association shall

mail, deliver, or electronically transmit a second notice of the

election to all parcel owners entitled to vote therein, with a

ballot that shall list all candidates. Upon request of a

candidate, the association shall include an information sheet,

no larger than 8 1/2 inches by 11 inches, which must be

furnished by the candidate not less than 35 days before the

election, to be included with the mailing, delivery, or

transmission of the ballot, with the costs of mailing, delivery,

or electronic transmission and copying to be borne by the

association. The association is not liable for the contents of

the information sheets prepared by the candidates. In order to

reduce costs, the association may print or duplicate the

information sheets on both sides of the paper. The division

shall by rule establish voting procedures consistent with the

provisions contained in this chapter, including rules

establishing procedures for giving notice by electronic

transmission and rules providing for the secrecy of ballots.

Elections shall be decided by a plurality of those ballots cast.

There shall be no quorum requirement; however, at least 20

percent of the eligible voters must cast a ballot in order to

have a valid election of members of the board. No parcel owner

shall permit any other person to vote his or her ballot, and any

such ballots improperly cast shall be deemed invalid, provided

any parcel owner who violates this provision may be fined by the

association in accordance with s. 720.305(2). A parcel owner

needing assistance in casting the ballot for the reasons stated

in s. 101.051 may obtain assistance in casting the ballot. The

regular election shall occur on the date of the annual meeting.

Notwithstanding the provisions of this subparagraph, an election

is not required unless more candidates file notices of intent to

run or more are nominated than board vacancies exist.

2. Unless otherwise provided in the bylaws, any vacancy

occurring on the board before the expiration of a term may be

filled by the affirmative vote of the majority of the remaining

directors, even if the remaining directors constitute less than

a quorum, or by the sole remaining director. In the alternative,

a board may hold an election to fill the vacancy, in which case

the election procedures must conform to the requirements of this

section unless the association has opted out of the statutory

election process, in which case the bylaws of the association

control. Unless otherwise provided in the bylaws, a board member

appointed or elected under this section shall fill the vacancy

for the unexpired term of the seat being filled. Filling

vacancies created by recall is governed by s. 720.303(10) and

rules adopted by the division.

3. Fifteen percent of the total voting interests in a

homeowners' association, or six parcel owners, whichever is

greater, may petition the division to appoint an election

monitor to attend the annual meeting of the homeowners and

conduct the election of directors. The division shall appoint a

division employee, a person or persons specializing in

homeowners' association election monitoring, or an attorney

licensed to practice in this state as the election monitor. All

costs associated with the election monitoring process shall be

paid by the association. The division shall adopt a rule

establishing procedures for the appointment of election monitors

and the scope and extent of the monitor's role in the election

process.

(b) Terms; eligibility of candidates.--

1. Any owner shall not serve on the board as a director

for more than two terms nor longer than four years. A

member shall not serve as the president or vice president

of the corporation for more than one term.

2. Coowners of a parcel may not serve as members of the

board of administration at the same time.

3. After transition of control in a community, only

members as defined in s. 720.301(1) shall be eligible as

candidates for the board.

4. A person who has been convicted of any felony by any

court of record in the United States and who has not had his or

her right to vote restored pursuant to law in the jurisdiction

of his or her residence is not eligible for board membership.

The validity of an action by the board is not affected if it is

later determined that a member of the board is ineligible for

board membership due to having been convicted of a felony.

~~Elections of directors must be conducted in accordance with the~~

~~procedures set forth in the governing documents of the~~

~~association. All members of the association shall be eligible to~~

~~serve on the board of directors, and a member may nominate~~

~~himself or herself as a candidate for the board at a meeting~~

~~where the election is to be held. Except as otherwise provided~~

~~in the governing documents, boards of directors must be elected~~

~~by a plurality of the votes cast by eligible voters. Any~~

~~election dispute between a member and an association must be~~

~~submitted to mandatory binding arbitration with the division.~~

~~Such proceedings shall be conducted in the manner provided by s.~~

~~718.1255 and the procedural rules adopted by the division.~~

(10) RECORDING.--Any parcel owner may electronically ~~tape~~

record any ~~or videotape~~ meetings of the board of directors, any

committees and meetings of the members. The board of directors

of the association may adopt reasonable rules governing the

taping of meetings of the board and the membership. However,

those rules may not restrict the parcel owners' rights to

electronically record the meeting using, but not limited to,

battery-operated or electrical equipment.

Section 8. Section 720.307, Florida Statutes, is amended

to read:

720.307 Transition of association control in a

community.--With respect to homeowners' associations:

(1) Members other than the developer are entitled to elect

at least a majority of the members of the board of directors of

the homeowners' association when the earlier of the following

events occurs:

(a) Three months after 75 90 percent of the parcels in all

phases of the community that will ultimately be operated by the

homeowners' association have been conveyed to members; or

(b) Such other percentage of the parcels has been conveyed

to members, or such other date or event has occurred, as is set

forth in the governing documents in order to comply with the

requirements of any governmentally chartered entity with regard

to the mortgage financing of parcels.

For purposes of this section, the term "members other than the

developer" shall not include builders, contractors, or others

who purchase a parcel for the purpose of constructing

improvements thereon for resale.

(2) The developer is entitled to elect at least one member

of the board of directors of the homeowners' association as long

as the developer holds for sale in the ordinary course of

business at least 5 percent of the parcels in all phases of the

community. After the developer relinquishes control of the

homeowners' association, the developer may exercise the right to

vote any developer-owned voting interests in the same manner as

any other member, except for purposes of reacquiring control of

the homeowners' association or selecting the majority of the

members of the board of directors.

(3) Prior to turnover, the developer or owner of all

common areas shall convey the title to all common areas to the

association immediately upon incorporation of the association.

If additional common areas are acquired prior to transition of

control and subject to the governing documents, title to those

common areas shall also be immediately transferred to the

association.

(4) At the time the members are entitled to elect at least

a majority of the board of directors of the homeowners'

association, the developer shall, at the developer's expense,

within no more than 30 90 days deliver the following documents

to the board:

(a) All deeds to common property owned by the association

or the developer.

(b) The original of the association's declarations of

covenants and restrictions.

the association.

(d) A copy of the bylaws.

(e) The minute books, including all minutes.

(f) The books and records of the association.

(g) Policies, rules, and regulations, if any, which have

been adopted.

(h) Resignations of directors who are required to resign

because the developer is required to relinquish control of the

association.

(i) The financial records of the association from the date

of incorporation through the date of turnover.

(j) All association funds and control thereof.

(k) All tangible property of the association.

(l) A copy of all contracts which may be in force with the

association as one of the parties.

(m) A list of the names and addresses and telephone

numbers of all contractors, subcontractors, or others in the

current employ of the association.

(n) Any and all insurance policies in effect.

(o) Any permits issued to the association by governmental

entities.

(p) Any and all warranties in effect.

(q) A roster of current homeowners and their addresses and

telephone numbers and section and lot numbers.

(r) Employment and service contracts in effect.

(s) All other contracts and agreements in effect to which

the association is a party.

(t) The financial records, including financial statements

of the association, and source documents from the incorporation

of the association through the date of turnover. The records

shall be audited by an independent certified public accountant

for the period of the incorporation of the association or for

the period covered by the last audit, if an audit has been

performed for each fiscal year since incorporation. All

financial statements shall be prepared in accordance with

generally accepted accounting standards and shall be audited in

accordance with generally accepted auditing standards as

prescribed by the Board of Accountancy. The accountant

performing the review shall examine to the extent necessary

supporting documents and records, including the cash

disbursements and related paid invoices to determine whether

expenditures were for association purposes and the billings,

cash receipts, and related records to determine whether the

developer was charged and paid the proper amounts of

assessments. This paragraph applies to associations with a date

of incorporation after December 31, 2007.

(5)~~(4)~~ This section applies to any mandatory homeowners'

association existing under this chapter ~~does not apply to a~~

~~homeowners' association in existence on the effective date of~~

~~this act, or to a homeowners' association, no matter when~~

~~created, if such association is created in a community that is~~

~~included in an effective development-of-regional-impact~~

~~development order as of the effective date of this act, together~~

~~with any approved modifications thereof~~.

Section 9. Section 720.3071, Florida Statutes, is created

to read:

720.3071 Board member training.--The division shall

provide training programs for homeowners' association board

members, at the associations' expense. Training shall be

mandatory for newly elected board members and members

currently serving on a board who have not previously voluntarily

attended training.

Section 10. Subsection (1) of section 720.3075, Florida

Statutes, is amended, and subsection (5) is added to that

section, to read:

720.3075 Prohibited clauses in association documents.--

(1) It is declared that the public policy of this state

prohibits the inclusion or enforcement of certain types of

clauses in homeowners' association documents, including

declaration of covenants, articles of incorporation, bylaws, or

any other document of the association which binds members of

the association, which either have the effect of or provide that:

(a) A developer has the unilateral ability and right to

make changes to the homeowners' association documents after

the transition of homeowners' association control in a community

from the developer to the nondeveloper members, as set forth in

s. 720.307, has occurred.

(b) A homeowners' association is prohibited or restricted

from filing a lawsuit against the developer, or the homeowners'

association is otherwise effectively prohibited or restricted

from bringing a lawsuit against the developer.

control in a community from the developer to the nondeveloper

members, as set forth in s. 720.307, has occurred, a developer

is entitled to cast votes in an amount that exceeds one vote per

residential lot.

(d) The homeowners' association is restricted or prevented

from functioning, as provided by federal, state, and local laws

and specifically by this chapter.

(e) The homeowners' association is prevented from amending

any document as allowed according to Florida statutes.

Such clauses are declared null and void as against the public

policy of this state.

(5)(a) An association may not restrict a homeowner from

mounting or employing shutters or other hurricane protection.

(b) Except as provided in paragraph (c), an association

may not restrict a homeowner from mounting or employing

temporary shutters or other hurricane protection during any

time that a hurricane warning has been declared, during

any time when an evacuation order has been given, or for

the following period after conclusion of such hurricane watch or

evacuation order:

1. Seven days; or

2. Fourteen days if the hurricane watch concerns a

category 4 storm or greater or if the evacuation order lasts

more than 3 days.

or employing temporary or permanent shutters or other hurricane

protection, the local government may also authorize associations

to adopt and enforce equal or lesser restrictions.

(d) Except as provided in paragraph (c) or paragraph (e),

an association may not restrict a homeowner from mounting or

employing permanent shutters or other hurricane protection

(e) An association may not restrict the time or duration

for shutters or other hurricane protection to be open or closed

during any period of time.

Section 11. Section 720.3086, Florida Statutes, is amended

to read:

720.3086 Financial report; audit; penalty; exclusivity of

properties.--

(1) In a residential subdivision in which the owners of

lots or parcels must pay mandatory maintenance or amenity fees

to the subdivision developer or to the owners of the common

areas, recreational facilities, and other properties serving the

lots or parcels, the developer or owner of such areas,

facilities, or properties shall make public, within 60 days

following the end of each fiscal year, a complete financial

report of the actual, total receipts of mandatory maintenance or

amenity fees received by it, and an itemized listing of the

expenditures made by it from such fees, for that year. Such

report shall be made public by mailing it to each lot or parcel

owner in the subdivision, by publishing it in a publication

regularly distributed within the subdivision, or by posting it

in prominent locations in the subdivision. Thereafter, the

developer or the owner of the common areas, recreational

facilities, and other properties serving the lots or parcels

shall mail the annual financial report, upon written request

from a lot or parcel owner.

(2) Pursuant to this section, if the developer or the

owner fails to provide the lot or parcel owner with the

requested annual financial report within 30 days of delivery of

such request to the developer or owner, the circuit court

located in the same county as the principal office of the

corporation, or its registered office, if no office exists in

this state, summarily may order the corporation to furnish such

financial report, upon application of the lot or parcel owner.

If the court orders the corporation to furnish the financial

report, it shall also order the corporation to pay the lot or

parcel owner's costs, including reasonable attorney's fees that

have been incurred to obtain the order, and otherwise shall

enforce the lot or parcel owner's rights under this section.

(3) Lot or parcel owners shall have exclusive and vested

rights for the use of common areas, recreational facilities, and

other properties serving the lots or parcels unless they have

been dedicated for nonexclusive use by the lot or parcel owners.

Portions of governing documents that allow guests of the

developer or facility owner the right to use the facility are

hereby declared void, as those portions of governing documents

violate the rights to exclusive use of the facilities by the lot

or parcel owners and their guests.

(4) This section does not apply to amounts paid to

homeowner associations pursuant to ~~chapter 617,~~ chapter 718,

chapter 719, chapter 721, or chapter 723, or to amounts paid to

local governmental entities, including special districts.

Section 12. Section 720.401, Florida Statutes, is amended

to read:

720.401 Prospective purchasers subject to association

membership requirement; disclosure required; covenants;

assessments; contract cancellation.--

(1)(a) A prospective parcel owner in a community must be

presented a disclosure summary before executing the contract for

sale. The disclosure summary must be in a form substantially

similar to the following form:

DISCLOSURE SUMMARY

FOR

(NAME OF COMMUNITY)

1. AS A PURCHASER OF PROPERTY IN THIS COMMUNITY, YOU WILL

BE OBLIGATED TO BE A MEMBER OF A HOMEOWNERS' ASSOCIATION.

2. THE PURCHASER HAS BEEN PROVIDED A COPY OF THE ~~THERE~~

~~HAVE BEEN OR WILL BE~~ RECORDED RESTRICTIVE COVENANTS AND THE

ASSOCIATION GOVERNING DOCUMENTS RELATIVE TO GOVERNING THE USE

AND OCCUPANCY OF PROPERTIES IN THIS COMMUNITY. AFFIRM OR DENY

RECEIPT OR DOCUMENTS BY CHECKING:

YES /box/ or NO /box/

3. YOU ~~WILL~~ (OR WILL NOT) BE OBLIGATED TO PAY ASSESSMENTS

TO THE ASSOCIATION. ASSESSMENTS ARE ~~MAY BE~~ SUBJECT TO PERIODIC

CHANGE. IF APPLICABLE, THE CURRENT AMOUNT IS $_____ PER _____.

IN ADDITION, YOU ~~WILL~~ (OR WILL NOT) ALSO BE OBLIGATED TO PAY ~~ANY~~

SPECIAL ASSESSMENTS IMPOSED BY THE ASSOCIATION. SUCH SPECIAL

ASSESSMENTS ARE ~~MAY BE~~ SUBJECT TO CHANGE. IF APPLICABLE, THE

CURRENT AMOUNT IS $_____ PER _____.

4. YOU WILL ~~MAY~~ BE OBLIGATED TO PAY SPECIAL ASSESSMENTS

AND AD VALOREM TAXES AND NON-AD VALOREM ASSESSMENTS TO THE

RESPECTIVE MUNICIPALITY, COUNTY, OR SPECIAL DISTRICT. ALL

ASSESSMENTS AND TAXES ARE SUBJECT TO PERIODIC CHANGE.

5. YOUR FAILURE TO PAY SPECIAL ASSESSMENTS OR ASSESSMENTS

LEVIED BY A MANDATORY HOMEOWNERS' ASSOCIATION COULD RESULT IN A

LIEN AND JUDICIAL FORECLOSURE ON YOUR PROPERTY.

6. THERE MAY BE AN OBLIGATION TO PAY RENT OR LAND USE FEES

FOR RECREATIONAL OR OTHER COMMONLY USED FACILITIES AS AN

OBLIGATION OF MEMBERSHIP IN THE HOMEOWNERS' ASSOCIATION. IF

APPLICABLE, THE CURRENT AMOUNT IS $_____ PER _____.

7. THE DEVELOPER HAS ~~MAY HAVE~~ THE RIGHT TO AMEND THE

RESTRICTIVE COVENANTS WHILE STILL IN CONTROL OF THE HOMEOWNERS'

ASSOCIATION WITHOUT THE APPROVAL OF THE ASSOCIATION MEMBERSHIP

OR THE APPROVAL OF THE PARCEL OWNERS.

8. THE STATEMENTS CONTAINED IN THIS DISCLOSURE FORM ARE

ONLY SUMMARY IN NATURE, AND, AS A PROSPECTIVE PURCHASERS

~~PURCHASER~~, YOU SHOULD REFER TO THE COVENANTS AND THE ASSOCIATION

GOVERNING DOCUMENTS BEFORE PURCHASING PROPERTY.

9. THESE DOCUMENTS ARE ~~EITHER~~ MATTERS OF PUBLIC RECORD AND

~~CAN BE OBTAINED FROM THE RECORD OFFICE IN THE COUNTY WHERE THE~~

~~PROPERTY IS LOCATED, OR~~ ARE ~~NOT~~ RECORDED IN TALLAHASSEE AND IN

THE COUNTY WHERE THE PROPERTY IS LOCATED. A PENALTY SHALL BE

IMPOSED UPON THE DEVELOPER, SELLER OR AGENT OF THE SELLER IF A

RECORDED COPY OF THE RESTRICTIVE COVENANTS AND THE ASSOCIATION

GOVERNING DOCUMENTS ARE NOT PROVIDED BEFORE CONTRACT FOR SALE

~~AND CAN BE OBTAINED FROM THE DEVELOPER~~.

10. THE PURCHASERS HAVE BEEN PROVIDED A COPY OF THE

RESTRICTIVE COVENANTS AND THE ASSOCIATION GOVERNING DOCUMENTS

BEFORE CONTRACT FOR SALE. AFFIRM OR DENY BY CHECKING

YES /box/ or NO /box/.

DATE:PURCHASER:

PURCHASER:

Full ~~The~~ disclosure must be supplied by the developer, or by the

parcel owner if the sale is by an owner that is not the

developer or the agent for the owner. Any contract or agreement

for sale shall refer to and incorporate the disclosure summary

and shall include, in prominent language, a statement that the

potential buyer should not execute the contract or agreement

until they have received and read the disclosure summary,

recorded restrictive covenants and governing documents of the

association, required by this section.

(b) Each contract entered into for the sale of property

with recorded restrictive covenants governed by mandatory

homeowners' associations ~~covenants~~ subject to disclosure

required by this section must contain in conspicuous type a

clause that states:

IF THE DISCLOSURE SUMMARY AND FULL DISCLOSURE OF THE RECORDED

RESTRICTIVE COVENANTS AND GOVERNING DOCUMENTS OF THE

ASSOCIATION, REQUIRED BY SECTION 720.401, FLORIDA STATUTES, HAVE

~~HAS~~ NOT BEEN PROVIDED TO THE PROSPECTIVE PURCHASER BEFORE

EXECUTING THIS CONTRACT FOR SALE, THIS CONTRACT IS VOIDABLE BY

BUYER BY DELIVERING TO SELLER OR SELLER'S AGENT OR

REPRESENTATIVE WRITTEN NOTICE OF THE BUYER'S INTENTION TO CANCEL

WITHIN 10 3 DAYS AFTER RECEIPT OF THE FULL DISCLOSURE ~~SUMMARY OR~~

~~PRIOR TO CLOSING, WHICHEVER OCCURS FIRST~~. ANY PURPORTED WAIVER

OF THIS VOIDABILITY RIGHT HAS NO EFFECT. BUYER'S RIGHT TO VOID

THIS CONTRACT SHALL TERMINATE AT CLOSING.

documents must be provided to any prospective purchaser, any

real estate agent, financial institution, title or closing

company upon request.

(d) If the developer or the association willfully and

knowingly fails to disclose material facts that negatively

affect the value of the parcel purchased by an association

member, the individual board members or developer shall be held

liable under applicable federal and state civil and criminal

statutes. (e)~~(c)~~ If the disclosure summary is not provided to a

prospective purchaser before the purchaser executes a contract

for the sale of property governed by covenants that are subject

to disclosure pursuant to this section, the purchaser may void

the contract by delivering to the seller or the seller's agent

or representative written notice canceling the contract within 3

days after receipt of the disclosure summary or prior to

closing, whichever occurs first. This right may not be waived by

the purchaser but terminates at closing.

(2) This section does not apply to any association

regulated under chapter 718, chapter 719, chapter 721, or

chapter 723 ~~or to a subdivider registered under chapter 498~~; and

also does not apply if disclosure regarding the association is

otherwise made in connection with the requirements of chapter

718, chapter 719, chapter 721, or chapter 723.

Section 13. Section 720.501, Florida Statutes, is created

to read:

720.501 Powers and Duties of Division of Florida Land

Sales, Condominiums, Homeowners' Associations, and Mobile

Homes.--

(1) The Division of Florida Land Sales, Condominiums,

Homeowners' Associations, and Mobile Homes of the Department of

Business and Professional Regulation, referred to as the

"division" in this part, in addition to other powers and duties

prescribed by chapter 498, has the power to enforce and ensure

compliance with the provisions of this chapter and rules

promulgated pursuant hereto relating to the development,

construction, sale, lease, ownership, operation, and management

of residential property. In performing its duties, the division

has the following powers and duties:

(a) The division may make necessary public or private

investigations within or outside this state to determine whether

any person has violated this chapter or any rule or order

hereunder, to aid in the enforcement of this chapter, or to aid

in the adoption of rules or forms hereunder.

(b) The division may require or permit any person to file

a statement in writing, under oath or otherwise, as the division

determines, as to the facts and circumstances concerning a

matter to be investigated.

chapter, the division director, or any officer or employee

designated by the division director may administer oaths or

affirmations, subpoena witnesses and compel their attendance,

take evidence, and require the production of any matter which is

relevant to the investigation, including the existence,

description, nature, custody, condition, and location of any

books, documents, or other tangible things and the identity and

location of persons having knowledge of relevant facts or any

other matter reasonably calculated to lead to the discovery of

material evidence. Upon the failure by a person to obey a

subpoena or to answer questions propounded by the investigating

officer and upon reasonable notice to all persons affected

thereby, the division may apply to the circuit court for an

order compelling compliance.

(d) Notwithstanding any remedies available to lot owners

and associations, if the division has reasonable cause to

believe that a violation of any provision of this chapter or

rule promulgated pursuant hereto has occurred, the division may

institute enforcement proceedings in its own name against any

developer, association, officer, or member of the board of

administration, or its assignees or agents, as follows:

1. The division may permit a person whose conduct or

actions may be under investigation to waive formal proceedings

and enter into a consent proceeding whereby orders, rules, or

letters of censure or warning, whether formal or informal, may

be entered against the person.

2. The division may issue an order requiring the

developer, association, officer, or member of the board of

administration, or its assignees or agents, to cease and desist

from the unlawful practice and take such affirmative action as

in the judgment of the division will carry out the purposes of

this chapter. Such affirmative action may include, but is not

limited to, an order requiring a developer to pay moneys

determined to be owed to a homeowners' association.

3. The division may bring an action in circuit court on

behalf of a class of lot owners, lessees, or purchasers for

declaratory relief, injunctive relief, or restitution.

4. The division may impose a civil penalty against a

developer or association, or its assignee or agent for any

violation of this chapter or a rule promulgated pursuant hereto.

The division may impose a civil penalty individually against any

officer or board member who willfully and knowingly violates a

provision of this chapter, a rule adopted pursuant hereto, or a

final order of the division. The term "willfully and knowingly"

means that the division informed the officer or board member

that his or her action or intended action violates this chapter,

a rule adopted under this chapter, or a final order of the

division and that the officer or board member refused to comply

with the requirements of this chapter, a rule adopted under this

chapter, or a final order of the division. The division, prior

to initiating formal agency action under chapter 120, shall

afford the officer or board member an opportunity to voluntarily

comply with this chapter, a rule adopted under this chapter, or

a final order of the division. An officer or board member who

complies within 10 days is not subject to a civil penalty. A

penalty may be imposed on the basis of each day of continuing

violation, but in no event shall the penalty for any offense

exceed $5,000. By January 1, 2007, the division shall adopt, by

rule, penalty guidelines applicable to possible violations or to

categories of violations of this chapter or rules adopted by the

division. The guidelines must specify a meaningful range of

civil penalties for each such violation of the statute and rules

and must be based upon the harm caused by the violation, the

repetition of the violation, and upon such other factors deemed

relevant by the division. For example, the division may consider

whether the violations were committed by a developer-controlled

or owner-controlled association, the size of the association,

and other factors. The guidelines must designate the possible

mitigating or aggravating circumstances that justify a departure

from the range of penalties provided by the rules. It is the

legislative intent that minor violations be distinguished from

those which endanger the health, safety, or welfare of residents

or other persons and that such guidelines provide reasonable and

meaningful notice to the public of likely penalties that may be

imposed for prescribed conduct. This subsection does not limit

the ability of the division to informally dispose of

administrative actions or complaints by stipulation, agreed

settlement, or consent order. All amounts collected shall be

deposited with the Chief Financial Officer to the credit of the

Division of Florida Land Sales, Condominiums, Homeowners'

Association, and Mobile Homes Trust Fund. If a developer fails

to pay the civil penalty, the division shall thereupon issue an

order directing that such developer cease and desist from

further operation until such time as the civil penalty is paid,

or may pursue enforcement of the penalty in a court of competent

jurisdiction. If an association fails to pay the civil penalty,

the division shall thereupon pursue enforcement in a court of

competent jurisdiction, and the order imposing the civil penalty

or the cease and desist order will not become effective until 20

days after the date of such order. Any action commenced by the

division shall be brought in the county in which the division

has its executive offices or in the county where the violation

occurred.

(e) The division may prepare and disseminate a prospectus

and other information to assist prospective owners, purchasers,

lessees, and developers of residential communities in assessing

the rights, privileges, and duties pertaining thereto.

(f) The division may adopt rules pursuant to ss.120.536(1)

and 120.54 to implement and enforce the provisions of this

chapter.

(g) The division shall establish procedures for providing

notice to an association when the division considers the

issuance of a declaratory statement with respect to the

declaration of restrictions or any related document governing in

such residential community.

(h) The division shall furnish each association which pays

the fees required by paragraph (2)(a) a copy of this act,

subsequent changes to this act on an annual basis, an amended

version of this act as it becomes available from the Secretary

of State's office and the rules promulgated pursuant thereto on

an annual basis.

(i) The division shall annually provide each association

with a summary of declaratory statements and formal legal

opinions relating to the operations of residential communities

which were rendered by the division during the previous year.

(j) The division shall provide training programs for

residential association board members and lot owners.

(k) The division shall maintain a toll-free telephone

number accessible to lot owners.

(l) The division shall develop a program to certify both

volunteer and paid mediators to provide mediation of disputes.

The division shall provide, upon request, a list of such

mediators to any association, lot owner, or other participant in

arbitration proceedings under s. 720.311 requesting a copy of

the list. The division shall include on the list of volunteer

mediators only the names of persons who have received at least

20 hours of training in mediation techniques or who have

mediated at least 20 disputes. In order to become initially

certified by the division, paid mediators must be certified by

the Supreme Court to mediate court cases in either county or

circuit courts. However, the division may adopt, by rule,

additional factors for the certification of paid mediators,

which factors must be related to experience, education, or

background. Any person initially certified as a paid mediator by

the division must, in order to continue to be certified, comply

with the factors or requirements imposed by rules adopted by the

division.

(m) When a complaint is made, the division shall conduct

its inquiry with due regard to the interests of the affected

parties. Within 30 days after receipt of a complaint, the

division shall acknowledge the complaint in writing and notify

the complainant whether the complaint is within the jurisdiction

of the division and whether the division needs additional

information from the complainant. The division shall conduct its

investigation and shall take action upon the complaint within 90

days after receipt of the original complaint or of timely

requested additional information. However, failure to complete

the investigation within 90 days does not prevent the division

from continuing the investigation, accepting or considering

evidence obtained or received after 90 days, or taking

administrative action if reasonable cause exists to believe that

a violation of this chapter or a rule of the division has

occurred. If an investigation is not completed within the time

limits established in this paragraph, the division shall, on a

monthly basis, notify the complainant in writing of the status

of the investigation When reporting its action to the

complainant, the division shall inform the complainant of any

right to a hearing pursuant to ss. 120.569 and 120.57.

(2) Effective January 1, 2009, each homeowners'

association that administers more than 10 residential homes

shall pay to the division an annual fee in the amount of $4 for

each residence in communities administered by the association.

If the fee is not paid by March 1, then the association shall be

assessed a penalty of 10 percent of the amount due, and the

association will not have standing to maintain or defend any

action in the courts of this state until the amount due, plus

any penalty that is paid. All fees shall be deposited in the

Division of Florida Land Sales, Condominiums, Homeowners'

Association, and Mobile Homes Trust Fund as provided by law.

(b) All fees shall be deposited in the Division of Florida

Land Sales, Condominiums, Homeowners' Associations, and Mobile

Homes Trust Fund as provided by law. One-fifth of all fees

deposited by the division shall be allocated and transferred to

the Office of the Homeowners' Association Ombudsman.

Section 14. Section 720.5011, Florida Statutes, is created

to read:

720.5011 Ombudsman; appointment; administration.--

(1) There is created an Office of the Homeowners' Association

Ombudsman, to be located, solely for administrative purposes,

within the Division of Florida Land Sales, Condominiums,

Homeowners' Associations, and Mobile Homes. The ombudsman shall

exercise his or her policymaking and other functions delegated

by this chapter independently of the Department of Business and

Professional Regulation and without approval or control of the

department. The department shall render administrative support

to the Office of the Homeowners' Association Ombudsman in matters

pertaining to budget, personnel, office space, equipment, and supplies.

All revenues collected for the office by the department shall be

deposited in a separate fund or account from which the

department may not use or divert the revenues. The functions of

the office shall be funded by the Division of Florida Land

Sales, Condominiums, Homeowners' Associations, and Mobile Homes

Trust Fund. The ombudsman shall be a bureau chief of the

division, and the office shall be set within the division in the

same manner as any other bureau is staffed and funded.

(2) The Governor shall appoint the ombudsman. The

ombudsman must be an attorney admitted to practice before the

Florida Supreme Court and shall serve at the pleasure of the

Governor. A vacancy in the office shall be filled in the same

manner as the original appointment.

Section 15. Section 720.5012, Florida Statutes, is created

to read:

720.5012 Ombudsman; powers and duties.--

(1) The ombudsman shall have the powers that are necessary

to carry out the duties of his or her office, including the

following specific powers:

(a) To have access to and use of all files and records

of the division.

(b) To employ professional and clerical staff as

necessary for the efficient operation of the office.

the Governor, the department, the division, the Advisory Council

on Mandated Properties, the President of the Senate, and the

Speaker of the House of Representatives on any matter or subject

within the jurisdiction of the division. The ombudsman shall make

recommendations he or she deems appropriate for legislation

relative to division procedures, rules, jurisdiction, personnel,

and functions.

(d) To act as liaison between the division, unit

owners, boards of directors, board members, community

association managers, and other affected parties. The ombudsman

shall assist unit owners, boards of directors, board members,

community association managers, and other affected parties

to understand their rights and responsibilities as set forth

in this chapter and the association's documents governing

their respective association. The ombudsman shall coordinate

and assist in the preparation and adoption of educational and

reference material, and shall endeavor to coordinate with

private or volunteer providers of these services, so that the

availability of these resources is made known to the largest

possible audience.

(e) To monitor and review procedures and disputes

concerning homeowners' association elections or meetings,

including, but not limited to, recommending that the division pursue

enforcement action in any manner where there is reasonable cause

to believe that election misconduct has occurred. The division shall

process the ombudsman's recommendations and petitions in an

expedited manner and defer to his or her findings. For the

purpose of fulfilling his or her duties under this chapter, the

ombudsman may administer oaths or affirmations, subpoena

witnesses and compel their attendance, take evidence, and

require the production of any matter that is relevant to the

inquiry, including the existence, description, nature, custody,

condition, and location of any books, documents, or other

tangible things and the identity and location of persons having

knowledge of relevant facts or any other matter reasonably

calculated to lead to the discovery of material evidence. Upon

the failure by a person to obey a subpoena or to answer

questions asked by the ombudsman and upon reasonable notice to

all persons affected thereby, the ombudsman may apply to the

circuit court for an order compelling compliance.

(f) To make recommendations to the division for changes

in rules and procedures for the filing, investigation, and

resolution of complaints filed by unit owners, associations, and

managers.

(g) To provide resources to assist members of boards of

directors and officers of associations to carry out their powers

and duties consistent with this chapter, division rules, and the

condominium documents governing the association.

(h) To order, encourage, and facilitate meetings with

and between unit owners, boards of directors, board

members, community association managers, and other

affected parties when the meetings may assist in resolving a

dispute within a community association before a person submits a

dispute for a formal or administrative remedy. It is the intent

of the Legislature that the ombudsman act as a neutral resource

for both the rights and responsibilities of unit owners,

associations, and board members.

(i) To make recommendations to the division to pursue

enforcement action in circuit court on behalf of a class of unit

owners, lessees, or purchasers for declaratory relief,

injunctive relief, or restitution against any developer,

association, officer, or member of the board of administration,

or its assignees or agents, where there is reasonable cause to

believe misconduct has occurred. The division shall process the

ombudsman's recommendations and petitions in an expedited manner

and defer to his or her findings.

(2) Fifteen percent of the total voting interests in a homeowners'

association, or six unit owners, whichever is greater, may

petition the ombudsman to appoint an election monitor

to attend the annual meeting of the unit owners and

conduct the election of directors. The ombudsman upon petition

may order any aspect of the election process as set forth in s.

720.306(9). to be conducted by the election monitor. No

association or person may reject an election monitor appointed

by the ombudsman or interfere with an election monitor in the

performance of his or her duties. The ombudsman may order an

association to implement a known division remedy for a

procedural violation of s. 720.306(9) prior to and during a

monitored election. The ombudsman shall appoint a division

employee, a person or persons specializing in condominium

election monitoring, or an attorney licensed to practice in this

state as the election monitor. All costs associated with the

election monitoring process shall be paid by the association.

The division shall adopt a rule establishing procedures for the

appointment of election monitors and the scope and extent of the

monitor's role in the election process.

(3) Any owner or association acting in good faith on

the advice or opinion of the office of the ombudsman shall be

immune from any penalties or actions.

(4) If the ombudsman has reasonable cause to believe that

a violation of any provision of this chapter or rule adopted

under this chapter has occurred, the ombudsman may issue an

order requiring any developer, association, officer, or member

of the board of administration, or its assignees or agents, to

cease and desist from the unlawful practice and to take such

affirmative action that will carry out the purposes of this

chapter.

Section 16. Section 720.505, Florida Statutes, is created

to read:

720.505 Advisory council; membership functions.--

(1) There is created the Advisory Council On Mandated

Properties. The council shall consist of seven appointed

members. Two members shall be appointed by the President of the

Senate, two members shall be appointed by the Speaker of the

House of Representatives, and three members shall be appointed

by the Governor. At least one member that is appointed by the

Governor, by the Senate President and by the Speaker of the

House shall be a homeowners' rights advocate and parcel owner.

Members shall be appointed to 2-year terms; however, one of the

persons initially appointed by the Governor, by the President of

the Senate, and by the Speaker of the House of Representatives

shall be appointed to a 1-year term. A member of the division,

appointed by the Secretary, shall serve as an ex-officio

nonvoting member. The selection of council members shall be made

in a manner that ensures a fair and balanced representation from

the service-provider sector and consumer advocates with a

substantial public record of endeavors on behalf of homeowners'

rights and consumer interests. The council shall be located

within the division for administrative purposes. Members of the

council shall serve without compensation but are entitled to

receive per diem and travel expenses pursuant to s. 112.061

while on official business. A vacancy on the Advisory Council

shall be filled in the same manner as the original appointment.

(2) The functions of the advisory council shall be to:

(a) Receive, from the public, input regarding issues of

concern with respect to mandated communities and recommendations

for changes in homeowners' association laws. The issues that the

council shall consider include, but are not limited to, the

rights and responsibilities of the parcel owners in relation to

the rights and responsibilities of the association.

(b) Review, evaluate, and advise the division concerning

revisions and adoption of rules affecting homeowners'

associations.

programs offered by the division.

(3) The council may elect a chair and vice chair and such

other officers as it may deem advisable. The council shall meet

at the call of its chair, at the request of a majority of its

membership, at the request of the division, or at such times as

it may prescribe. A majority of the members of the council shall

constitute a quorum. Council action may be taken by vote of a

majority of the voting members who are present at a meeting

where there is a quorum.

CODING: Words ~~stricken~~ are deleted; words underlined are additions