Florida Passes Senate Bill 1742 and House Bill 913 to Address Condominium Safety Regulations

Florida lawmakers have approved Senate Bill 1742 and House Bill 913, which introduce modifications to condominium safety laws enacted after the partial collapse of Champlain Towers South in Surfside in June 2021. The collapse resulted in the deaths of 98 people and prompted legislative action to strengthen building safety requirements for condo living.

Background on Condominium Safety Legislation

Following the Surfside tragedy, Florida passed new laws in 2022 and made further adjustments in 2023. These laws required milestone inspections for older buildings and structural integrity reserve studies to ensure adequate funding for future repairs. Florida is home to over 912,000 condominiums aged 30 years or more, many needing significant repairs. The regulations applied to condominium buildings three stories or higher, with milestone inspections initially mandated to be completed by December 31, 2024.

However, some condominium associations faced financial challenges in meeting these requirements, leading to concerns from property owners about rising costs and large assessments.

Key Provisions of SB 1742 and HB 913

The newly passed legislation aims to balance safety requirements with financial flexibility for condominium associations. Some of the notable provisions include:

• Extended Deadline for Structural Integrity Studies: The deadline for completing structural integrity reserve studies has been extended by one year, providing additional time for compliance.
• Reserve Funding Adjustments: Condominium associations may temporarily pause reserve funding for two years following a milestone inspection, allowing financial flexibility.
• Financing Options for Reserve Obligations: Associations can use lines of credit or loans to meet reserve requirements, provided a majority of unit owners approve.
• Investment of Reserve Funds: Associations are permitted to invest reserve funds without requiring a vote from unit owners.
• Online Voting for Associations: The legislation enables condominium associations to conduct votes online, streamlining decision-making processes.
• Clarification on Inspection Requirements: The milestone inspections and structural integrity reserve studies apply to buildings with three or more habitable stories, refining previous language that required inspections for buildings with three or more stories.
• Reporting Requirements for Local Officials: Local governments must report milestone inspection data to the Florida Department of Business and Professional Regulation by October 1, including details on buildings deemed unsafe or uninhabitable.

Legislative Intent and Market Impact

Senator Jennifer Bradley, who played a key role in shaping the legislation, emphasized that the bill reflects input from condominium owners and associations. While the laws aim to enhance safety, lawmakers acknowledged the financial burden on property owners and sought to introduce measures that provide flexibility.

Governor Ron DeSantis has prioritized condominium safety reforms, and the passage of HB 913 and SB 1742 represents an effort to refine existing regulations while maintaining structural integrity standards.

Looking Ahead

With the new provisions in place, condominium associations will have additional time and financial options to comply with safety regulations. The extended deadlines and funding flexibility are expected to ease financial pressures while ensuring continued oversight of building conditions.

Condo Journey has provided an overview of what condo buyers need to know about the new law prior to signing on the dotted line in the following news article. It is important to fully understand the impacts on the potential financial status of the condo building you desire provides steps to take to reduce your long-term financial risk.