FRANK'S BLOG

NEW FLORIDA LEGISLATION



On June 1,`2010 Governor Crist signed Senate Bill 1196 into law to be effective on July 1, 2010. This legislation has changes to Chapters 718, 719 and 729 of the Florida Statutes. 718 is the principal Statute concerning our Pelican Pointe II Condominium Association.

To read these changes go to http://www.flsenate.gov/ and on the left side of the computer screen type in S1196, which will provide you with the opportunity to view and print the changes in pdf format.

We draw your attention to changes in:

718.111 INSURANCE

The word "hazard" has been replaced with "property" and adequate insurance must be based on the "replacement cost" and not the "full insurable value".

The procedure for the Board to establish the amount of deductibles has been modified.

The Association's insurance policy must exclude all personal property within the unit or limited common elements (see legislation for description) and such property and the insurance thereupon is the responsibility of the unit owner.

The requirement for each unit owner to provide evidence of a current property insurance policy to the Condo Association is deleted, but it does not allow the unit owner to self insure.

The requirement to have the association named as an additional insured and loss payee is deleted. Unit owners should advise their insurer to remove the Association as an additional insured so that any claims payments do not require the signature of the Association.
Official Records
There have been various changes to the official records of the Association and the access to these by members. One change concerns the keeping in the association's records and publishing of e-mail addresses and addresses while away from Pelican Pointe which requires specific written permission to the Association by the Unit Owner. The Association will be determining how to conform with this and may be contacting the Unit Owners in that respect in future correspondence.
Please refer to the actual Senate Bill 1196 for the other changes which mainly affect the Board of Directors.
Note a Director or Officer who is delinquent more than 90 days in the payment of any monetary obligation due to the Association shall be deemed to have abandoned the office.

Financial Changes
The liability of mortgagees who take title through foreclosure or deed in lieu of foreclosure has been changed from the lesser of 6 months unpaid assessments or 1% of the original mortgage to the lesser of 12 months
unpaid assessments or 1% of the original mortgage.
A new 718.116(11) has been created. Please read the details of this if you are renting your unit as this allows the Association to collect from the renter any monetary obligations due to the Association from the landlord.

Collections from Delinquent Unit Owners
718.303(3) (4) and (5) have been modified. If a Unit Owner is delinquent for more than 90 days in paying a monetary obligation due to the Association, the Association may suspend the right of a Unit Owner or a unit's occupant, licensee, or invitee to use common elements, common facilities or other association property until the monetary obligation is paid. The Association may also suspend the voting rights of a member due to nonpayment of any monetary obligation due to the Association which is more than 90 days delinquent. Please read the actual bill to see the conditions relevant to such suspensions.

For Elliott Merrill's 2010 Legislative Update go to their website at: www.elliottmerrill.com and scroll to the bottom area of their web page and click on "2010 Legislative Actions You Need To Know". Then click on the Condo section Senate Bill 1196. This is a more detailed review than contained in this Blog.