In the wake of the tragic Surfside condominium collapse in 2021, which resulted in the loss of 98 lives, Florida’s Legislature passed critical laws to enhance building safety and prevent similar disasters in the future.

Senate Bill 4-D, passed in 2022, and Senate Bill 154, passed in 2023, introduced strict regulations for condominium and cooperative buildings. These laws do not apply to homeowner associations (HOAs) for single-family home communities but focus exclusively on multi-story buildings meeting specific criteria.

Key Requirements: Who Do These Laws Apply To?

The laws apply to all multi-story condominium and cooperative buildings:

  • 30 years or older, or
  • 25 years or older if located within 3 miles of a saltwater shoreline.


Milestone Inspections: Ensuring Building Safety

Milestone inspections are now mandatory structural assessments conducted by licensed engineers or architects. These inspections are designed to evaluate the safety and integrity of critical building components, including:

  • Roof
  • Structural walls
  • Windows and doors
  • Other key structural elements

There are two phases to the inspection process:

  • Phase 1 Milestone Inspections: The initial assessment must be submitted to the Florida Department of Business and Professional Regulation.
  • Phase 2 Milestone Inspections: If Phase 1 identifies structural issues, the building must submit additional repair information within six months, along with a plan to address the deficiencies within one year.


Structural Integrity Reserve Studies (SIRS)

Another critical requirement is the completion of Structural Integrity Reserve Studies (SIRS) by December 31, 2024. These studies ensure that buildings have adequate financial reserves to address essential structural repairs. SIRS must cover:

  • Roof
  • Structural walls
  • Floors
  • Foundations
  • Fireproofing and fire protection systems
  • Plumbing
  • Electrical systems
  • Waterproofing and exterior paint


Impact on Florida Condo Associations and Cooperatives

These new laws bring significant financial implications for condominium and cooperative associations. Board members, community leaders, and community association managers must prepare for:

  • Increased assessments: To meet repair and reserve funding requirements, associations may need to increase assessments on unit owners. Note: If assessments exceed 115% of the prior fiscal year’s assessments, the board must hold a special meeting within 30 days and provide at least 10 days’ notice to all unit owners.
  • Special assessments: Additional funding may be required to address urgent repairs.
  • Higher insurance premiums: As structural risks are identified, insurance costs are expected to rise.
  • Loan eligibility: Associations may face stricter requirements when applying for loans to fund repairs.
  • Increased collection and foreclosure issues: Higher assessments may lead to financial strain for some unit owners, resulting in delinquencies or foreclosures.
  • Potential legal liability: Associations may face lawsuits for negligence, such as issues related to slip-and-fall accidents, mold, or lead contamination.


Legal Resource

Florida’s new laws emphasize the importance of proactive maintenance and financial planning for condominium and cooperative associations. Boards must prioritize compliance with the milestone inspection and SIRS requirements, while also preparing for the financial challenges that may arise. By staying informed and taking action, associations can ensure the safety of their communities and maintain the structural integrity of their buildings.

If you are Florida condominium board member, property manager, or community association leader with questions about these recent legislative updates, do not hesitate to contact our law firm. Please call 855-537-0500 or visit www.ksnlaw.com.

Since 1983, KSN has been a legal resource for condominium, homeowner, and townhome associations. Additionally, we represent clients in real estate transactions, collections, landlord/tenant issues, and property tax appeals. We represent thousands of clients and community associations throughout the US with offices in several states including Florida, Illinois, Indiana, and Wisconsin.

 

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