Life safety issues

March 20, 2023

Florida Legislature Considering Bills Proposing Changes to Condo Safety Reforms, Construction Defect Lawsuits

by Roberto C. Blanch

Roberto C. Blanch

As the 2023 Florida legislative session gets underway, there are several bills impacting associations and real estate that our firm’s South Florida community association attorneys will be keeping a close eye on and discussing in our blog.

Senate Bill 154 and House Bill 1395

Perhaps the most important of these are Senate Bill 154 and House Bill 1395, which deal with issues such as inspections and condominium association financial reserves that were addressed in the condo safety reform law that was passed last May with the adoption of Senate Bill 4D during a special legislative session. Under the new law, inspections are required for buildings that have been occupied for 30 years — or 25 years if they are within three miles of a coastline. After these initial inspections, the buildings will have to go through the process again every 10 years.

If adopted, the new bills could result in changes to the time by which buildings, including those within three miles of a coastline, will have to be inspected. The two bills include different timeframes by which the initial milestone inspection may have to be performed (e.g., SB 154 triggering all such inspections at 30 years with discretion for local officials and authorities having jurisdiction to compel some at 25 years depending on “local circumstances, including environmental conditions such proximity to salt water”; or HB 1395 requiring the initial inspections at 25 years for all buildings regardless of proximity to salt water).

February 20, 2023

Community Associations Institute’s Condo Safety Initiatives Recognized with Prestigious Public Affairs Council Award

by Roberto C. Blanch

Roberto C. Blanch

The Public Affairs Council, which is the leading nonpartisan association for public affairs professionals worldwide, recently awarded its 2022 Lobbying Strategy Innovation Award to the Community Associations Institute for the organization’s condominium safety policy response and initiatives.

In the aftermath of the horrific collapse of Champlain Towers South that claimed 98 lives, CAI released its Condominium Safety Public Policy Report based on the work of its special task forces to recommend changes to laws and best practices that may help both communities and legislators to better address building safety.

The participants in these task forces included engineers, insurance experts, building officials, local government leaders, property managers, attorneys, lenders, and others. Over the course of three months, more than 600 individuals devoted a great deal of time to discussions, surveys, interviews, and research to identify clear recommendations.

The resulting Condominium Safety Public Policy Report provided extensive policy positions and recommendations covering reserve studies and funding, building maintenance, and structural integrity. Since its release, CAI’s government and public affairs team has continued to conduct outreach to state legislators and their staff as well as key individuals in federal housing agencies.

February 12, 2023

Herald Column by Gary Mars: “National Media Focuses on Impact of Florida’s New Condo Safety Law on Association Budgets”

by Siegfried Rivera

Siegfried Rivera

The firm’s latest Miami Herald “Real Estate Counselor” column is authored by shareholder Gary M. Mars and appears in today’s edition of the newspaper. The article, which is titled “National Media Focuses on Impact of Florida’s New Condo Safety Law on Association Budgets,” begins by discussing a recent segment on Fox Business Network’s Mornings with Maria show about the financial repercussions of Florida’s new condominium safety law on the state’s condo associations and their unit owners. It reads:

. . . The host and panelists point out that the mandates for reserves and engineering safety inspections/reports represent new expenses that will need to be borne by condo owners. Their message to recent buyers or those who may be considering a condo in the Sunshine State: Do your homework and come to terms with the fact that the current monthly association dues for many properties are very likely going to see substantial increases in the near future.

Panelist Mitch Roschelle also bemoans that after the Champlain Towers South tragedy, many condominium owners in the state are no longer willing to serve on their board of directors for fear of exposure to potential legal liabilities for their votes and decisions.

While it did paint a particularly gloomy outlook for the state’s condo associations and owners, this recent morning news show segment was not the first and certainly will not be the last of the national news media reports focusing on the coming increases in Florida condominium association budgets created by the state’s new safety reforms. There is no doubt that many properties are going to need to increase their monthly dues and/or enact special assessments to address immediate needs together with the coming inspections and reserves requirements.

January 29, 2023

Miami Herald Real Estate Column by Michael Hyman: “Florida HOA Communities Installing New License Plate Reader Cameras”

by Siegfried Rivera

Siegfried Rivera

The firm’s latest Miami Herald “Real Estate Counselor” column is authored by Michael L. Hyman and appears in today’s edition of the newspaper. The article, which is titled “Florida HOA Communities Installing New License Plate Reader Cameras,” focuses on deployments by communities of new automated license plate reader cameras that automatically read and record the license plate of all passing vehicles. Michael’s article reads:

. . . For HOAs and even some condominium communities, especially those facing security and safety issues and concerns, deploying such cameras at key entrance/exit points with the accompanying signs alerting drivers of the monitoring could represent an effective prevention and investigative tool.

News reports over the last several years have chronicled ALPR installations by Florida HOAs locally in Coral Springs as well as in the areas surrounding Tampa Bay, Jacksonville, Panama City and Naples. A recent article on the TapInto.net news site that also appeared on msn.com focused on the Kensington Glen community in Coral Springs and its deployment of ALPR cameras that are connected to the city police department’s Real Time Crime Center.

Gil Sternbach, the president of the HOA for the community with 258 homes and no security gates or guard house, describes the cameras as their “invisible gate.” The HOA installed four solar-powered ALPR cameras to read license plates and capture images of vehicles going in and out of the two roads leading into the community.

September 1, 2022

Florida’s Mandatory New Condominium Building Reporting System Begins with New Online Form

by Laura Manning-Hudson

Laura Manning-Hudson

The changes that the Florida legislature enacted during its special session earlier this year call for new requirements for structural inspections for buildings that are three stories or higher. They also create new reporting requirements for condominium associations and cooperatives, and call for the enhanced funding of reserves for major structural repairs.

The process established under the new law begins with the reporting of some basic information for all affected buildings throughout the state. The division that oversees condominiums and cooperatives under the state’s Department of Business and Professional Regulation has been charged with establishing the reporting system and collecting the information.

dbprlogo-300x170 The state agency has now officially begun these efforts with its new Building Reporting Form, which can be submitted online and is now available at www.myfloridalicense.com/DBPR/condos-timeshares-mobile-homes/building-report/.

The requested information on the form is very basic, so associations will not have much difficulty with this initial step. It includes the number of buildings on the property that are three stories or more in height, the number of units in such buildings, the addresses of all such buildings, and the counties in which they are located. The form must be submitted by Jan. 1, 2023.

August 5, 2022

Increases from Insurance, Inspections and Reserves Rattling Many Condominium Communities

by Laura Manning-Hudson

Laura Manning-Hudson

A recent article in the Palm Beach Post chronicled the early signs of the financial strains that Florida condominium associations are beginning to experience. Unfortunately, these early issues involving increased insurance costs represent just the beginning, and things are indeed expected to get worse in the months and years to come.

The article discusses how the 51-year-old Portofino South Condominium in West Palm Beach (pictured below) received a renewal quote from its insurer with an 82 percent increase over the prior year. It had expected an increase of around 25 percent, which was what it got for 2021, so the board of directors had to call a special meeting to increase the association’s annual budget and hike up its monthly dues for its owners.

Mary McSwain, who bought her one-bedroom unit in January, told the Post’s Kimberly Miller that her dues are going from $914 a month to $1,347.

“And it’s likely to get more expensive for owners under the new condo law approved during a special legislative session,” the article reminds readers.

pfino-south-300x200 Indeed, while most of those safety provisions do not become effective until 2024, the law will require significant new inspection and maintenance measures on older condos three stories or higher, as well as dedicated reserves to pay for structural repairs.

For the owners at Portofino, the news is even worse. State law now requires it to install a new fire-sprinkler system by Jan. 1, 2024, and that is expected to cost its unit owners more than $7 million.

August 2, 2022

Miami Herald Op-Ed Column by Gary Mars: “Federal Condo-Safety Financing Proposal Can Prevent More Tragedies Like the Surfside Collapse”

by Siegfried Rivera

Siegfried Rivera

For the second time in the last several months, firm shareholder Gary M. Mars authored an op-ed editorial column in the Miami Herald on a vital new piece of federal legislation to provide for condo-safety financing options for condominium associations and their unit owners. Gary’s new article, which is featured in today’s op-ed Opinion page of the Herald, discusses what he calls a perfect storm of rising insurance, inspections, repairs and reserves expenses that could jeopardize the finances of many South Florida condominium associations and force some owners to either sell or face the prospect of foreclosure. It reads:

. . . A recent Palm Beach Post article chronicled how the Portofino South Condominium in West Palm Beach received an 82% increase from its insurance carrier, while its directors and residents had expected an increase of about 25%, which the community got in 2021.

Mary McSwain, 67, who bought her one-bedroom unit in January, said her monthly dues are going from $914 to $1,347.

For most communities, increased insurance costs will come first, but increases created by the provisions of the state (and some county) mandates for structural inspections, repairs and reserve funding are sure to follow. Those provisions do not start until 2024 for the affected buildings, but association boards would be well advised to begin securing and vetting offers from qualified professionals for their long-term budgetary planning.

A federal proposal introduced recently by Florida U.S. Reps. Charlie Crist and Debbie Wasserman Schultz, together with another bill from the same lawmakers introduced in April, could provide relief for communities in immediate need of substantial repairs and renovations. The new Rapid Financing for Critical Condo Repairs Act of 2022 would let the U.S. Department of Housing and Urban Development’s Federal Housing Administration insure condominium association building rehabilitation loans issued by private lenders.

June 5, 2022

Miami Herald Real Estate Column by Roberto Blanch: “Lawmakers Deliver Huge Milestone in Evolution of Florida’s Condo Laws”

by Siegfried Rivera

Siegfried Rivera

The firm’s latest Real Estate Counselor column in today’s Miami Herald is authored by Roberto C. Blanch and titled “Lawmakers Deliver Huge Milestone in Evolution of Florida’s Condo Laws.” The article focuses on the state legislature’s passage of the most far-reaching condominium safety reforms in Florida since Hurricane Andrew. It reads:

. . . The changes include many of the proposals from engineering, legal and community association industry task forces aimed at studying the perceived shortcomings that led to the Surfside catastrophe. They require inspections for buildings three stories or higher 30 years after completion and every 10 years thereafter. Buildings within three miles of the coast must be inspected at 25 years, then every 10 years. The first buildings impacted are slated to be those constructed before July 1, 1992, as they must complete their first structural inspections prior to Dec. 31, 2024.

The inspections are aimed at identifying any substantial structural deterioration that may present life-safety dangers, and whether remedial or preventive repairs are recommended. The reports on their findings will be required to be distributed to association unit owners, prospective buyers and local building departments, which may then require the start of repairs within specified timeframes if substantial deficiencies are identified.

Associations will also be required to conduct reserve studies every 10 years for the funding of structural repairs and, most important, beginning by 2025 they will no longer be allowed to waive funding of many reserve components.

Continue reading

June 3, 2022

New Miami-Dade County Ordinance Shortens 40 Year Recertification to 30 Years

by Roberto C. Blanch

Roberto C. Blanch

The tragic collapse of Champlain South Tower has prompted various changes state-wide in regards to condominium safety-reforms. Although just last week Florida passed its first ever state-wide condominium safety reform bill, on June 1, 2022 Miami-Dade County’s Board of County Commissioners released an ordinance establishing even more stringent procedures for the recertification process. The following are key takeaways:

All buildings (except single-family homes, duplexes, and structures housing fewer than 10 people) must undergo recertification upon reaching 30 years of age and every 10 years thereafter.
Local jurisdictions will provide buildings with a courtesy notice one and two years prior to their recertification anniversary.
Buildings will also receive a reminder 90 days before the report submission due date of recertification deadline.
The same notice schedule applies for the 10-year incremental recertifications.

Buildings and structures built between 1983-1992 must undergo recertification for their 30-year period on or before March 31, 2024. They are not subject to the courtesy notification requirement.

Buildings built between 1983-1986 are exempt from the 30-year recertification requirement, only if a 40-year recertification report for the building would be otherwise due before March 31, 2024, and such report is timely submitted.
Within 90 days of the Notice of Required Inspection, a written report must be submitted to a building official certifying that the building is both structurally and electrically safe for continued occupancy. Submission of a report will also be deemed timely if submitted any time between two (2) years before the building’s recertification anniversary.

June 1, 2022

Florida Legislature Passes Swift Safety Reform Bill During Special Session

by Laura Manning-Hudson

Laura Manning-Hudson

Condominium safety reforms were very much in the spotlight during this year’s regular session following the unforgettable tragedy in Surfside, Florida. Though legislators could not agree on legislation pertaining to safety reforms during the regular session, they successfully did so during a special session. In a surprising move, Senate Bill 4-D unanimously passed in both the House and Senate and was recently signed into law by the Governor. The following are the key takeaways from the 88-page bill:

The “Milestone Inspection”

Florida has now imposed a state-wide structural inspection program for condominium and cooperative associations that are three (3) stories or more in height defined as a “milestone inspection.”
Community association managers or management companies contractually hired by a condominium association that is subject to this inspection must comply with this section as directed by the board.
Milestone inspections must be performed by December 31 of the year in which the building reaches 30 years in age, based on the issue date of the building’s certificate of occupancy, and every 10 years thereafter. Buildings located within 3 miles of the coastline must perform a milestone inspection by December 31 of the year in which they reach 25 years in age, and every 10 years thereafter. Buildings with a certificate of occupancy that was issued on or before July 1, 1992 must have the initial milestone inspection performed before December 31, 2024.
Condominium and cooperative associations are responsible for the scheduling and costs associated with the milestone inspection.
Milestone inspection means a structural inspection of a building’s load-bearing walls and primary structural members/systems.
Milestone inspections must be performed by a Florida licensed engineer/architect who must attest to the life safety and adequacy of structural components of the building. To the extent that it’s reasonably possible, the inspection must determine the general structural condition of the building as it affects the safety of building, such as necessary maintenance, repairs and replacements of structural components.
“Substantial structural deterioration” is described as substantial structural distress that negatively affects the building’s general structural condition and integrity.

fla-legislature-300x198 Milestone inspections will consist of two phases:

- Phase one — Visual examination of habitable/nonhabitable areas of building. If there are no signs of structural deterioration found, phase two is not required.
- Phase two — If substantial deterioration is found during phase one, phase two may involve destructive or nondestructive testing at the inspector’s discretion. This additional inspection may be as extensive or limited as necessary to fully assess areas of distress.
- Architect/engineer who performed inspections must submit a sealed copy of the inspection report and findings to both the association and appropriate local building official
Local enforcement agencies will provide buildings required to comply with this law notice of required inspection by certified mail.
Upon receiving notice, condominium/cooperative associations will have 180 days to complete phase one of the inspection.