Florida HB 1021

WHEREAS, the Legislature finds that community association living is a significant part of Florida's housing market, and

WHEREAS, the Legislature recognizes importance of transparency and accountability in the governance of community associations to protect the rights of unit owners, and

WHEREAS, recent events have highlighted the need for increased oversight and regulation of community associations to ensure the safety and financial stability of these communities; NOW, THEREFORE,

Be It Enacted by the Legislature of the State of Florida:

Section 1. Paragraph (g) of subsection (1) of section 468.4334, Florida Statutes, is amended to read:

468.4334 Professional practice standards; liability.— (1) A community association manager or a community association management firm shall discharge duties performed on behalf of the association as authorized by this part loyally, skillfully, and diligently; dealing honestly and fairly; in good faith; with care and full disclosure to the community association; accounting for all funds; and not charging unreasonable or excessive fees.

Official Records & Website Requirements (Section 718.111)

(g)1. By January 1, 2019, an association managing a condominium with 150 or more units which does not contain timeshare units shall post digital copies of the documents specified in subparagraph 2. on its website or make such documents available through an application that can be downloaded on a mobile device.

Effective July 1, 2024: The requirement to post digital copies of documents applies to an association managing a condominium with 25 or more units.

2. The URL website address or the application must be accessible through the Internet and must contain a subpage, web portal, or other protected electronic location that is inaccessible to the general public and accessible only to unit owners and employees of the association.

3. Upon a unit owner's written request, the association must provide the unit owner with a username and password and access to the protected sections of the association's website or application which contain any records that are required to be digitally posted.

Criminal Penalties (Section 718.111(12)(c))

(c) Any person who knowingly or intentionally defaces or destroys accounting records that are required by this chapter to be maintained during the period for which such records are required to be maintained, or who knowingly or intentionally fails to create or maintain accounting records that are required to be created or maintained, with the intent of causing harm to the association or one or more of its members, is personally subject to a civil penalty pursuant to s. 718.501(1)(d).

New Criminal Provisions: A director or member of the board or association who knowingly, willfully, and repeatedly violates subparagraph (c)2. commits a misdemeanor of the second degree... A person who knowingly and intentionally destroys or refuses to allow inspection or copying of an official record of a community association in furtherance of any crime which perpetuates a fraud or results in financial loss constitutes tampering with physical evidence as provided in s. 918.13.

Kickbacks and Conflicts of Interest

An officer, director, or manager may not solicit, offer to accept, or accept any thing or service of value or kickback for which consideration has not been provided for his or her own benefit or that of his or her immediate family, from any person providing or proposing to provide goods or services to the association. Any such officer, director, or manager who knowingly so solicits, offers to accept, or accepts any thing or service of value or kickback is subject to a civil penalty pursuant to s. 718.501(1)(d) and, if applicable, a criminal penalty as provided in this paragraph.