Q: I understand there are new laws requiring engineering inspections for condominiums and cooperative buildings that are three stories or more in height. Can you summarize the main points? M.D., Naples

A: You are referring to SB 4-D (a.k.a. the Surfside Bill) which is the legislation that was passed in May to address the concerns regarding the structural integrity of condominium and cooperative buildings that are three stories or more in height. Below I will summarize the main points of the new legislation that became law on May 26, 2022.

Regarding building safety inspections, the bill:

• requires condominium and cooperative association buildings that are three or more stories in height to have a milestone inspection of the buildings’ structural integrity by an architect or engineer when a building reaches 30 years of age and every 10 years thereafter, or 25 years of age and every 10 years thereafter if the building is located within three miles of a coastline.

• requires the building’s initial milestone inspection to be performed before December 31, 2024, if the building’s certificate of occupancy was issued on or before July 1, 1992.

• requires that a phase one milestone inspection must commence within 180 days after an association receives a written notice from the local enforcement agency.

• requires a phase two milestone inspection if there is evidence of substantial structural deterioration as determined by a phase one inspection.

• specifies the minimum contents of a milestone inspection report.

• requires inspection report results to be provided to local building officials and the associations and requires an inspector-prepared summary to be provided to unit owners by mail and by email to unit owners who have consented to receive notices by email.

• requires that the contract between an association that is subject to the milestone inspection requirement and a community association manager (CAM) or CAM firm must require compliance with those requirements as directed by the board.

• requires the local enforcement agency to review and determine if a building is safe for human occupancy if an association fails to submit proof that repairs for substantial deterioration have been scheduled or begun within at least 365 days after the local enforcement agency receives a phase two inspection report.

• requires the Florida Building Commission to make recommendations to the governor and legislature regarding the inspection requirements in the bill and inspection for other types of buildings and structures that are three stories or more.

• provides that a willful and knowing failure by an officer or director of an association to have a milestone inspection performed is a breach of the officer’s and director’s fiduciary relationship to the unit owners.

• gives unit owners the right to inspect and copy, as official records, the milestone inspection report and all other inspection reports relating to structural or life safety and gives renters the right to inspect the milestone inspection reports.

• requires the developer’s turnover inspection report to comply with the milestone inspection requirements.

• requires associations to report to the Florida Division of Condominiums, Timeshare, and Mobile Homes the number of buildings that are three stories or higher in height and the total number of units in such buildings on or before January 1, 2023 and requires the Division to publish that information on its website.

• requires developer and non-developer unit owners to give prospective buyers of a unit a copy of the inspector-prepared summary of the milestone inspection report.

• extends the jurisdiction of the Division to investigate complaints to include complaints related to the procedural completion of milestone inspections.

Regarding the funding of reserves for the continued maintenance and repair of condominium and cooperative buildings, the bill:

• requires condominium associations and cooperative associations to complete a structural integrity reserve study every 10 years for each building in an association that is three stories or higher in height.

• requires associations existing on or before July 1, 2022, that are controlled by non-developer unit owners to have a structural integrity reserve study completed by December 31, 2024 and then every 10 years thereafter.

• defines “structural integrity reserve study” as a study of the reserve funds required for future major repairs and replacement of the common elements based on a visual inspection of the common elements.

• stipulates that the amount required to be funded is based on the amount listed in the study.

• requires the structural integrity reserve study to include a visual inspection, state the estimated remaining useful life, and the estimated replacement cost of the:

► roof

► load bearing walls or other primary structural members

► floor

► foundation

► fireproofing and fire protection systems

► electrical systems

► waterproofing and painting

► windows

► plumbing

► any item with a deferred maintenance or replacement cost that exceeds $10,000 that will negatively affect any of the foregoing items.

• prohibits the waiving, reducing or using the reserves for another purpose for those items required in the structural integrity reserve study.

• requires the visual inspection to be performed by a person licensed as an engineer or an architect. However, any qualified person or entity may perform the other components of a structural integrity reserve study.

• requires a developer to have a structural integrity reserve study completed for each building in the association that is three stories or more in height before turning over control of an association to the non-developer unit owners.

• provides that it is a breach of a board member or officer’s fiduciary duty if an association fails to complete a structural integrity reserve study.

Richard DeBoest, Esq., is Partner/Shareholder of the Law Firm Goede, DeBoest & Cross, PLLC. Visit www.gadclaw.com or to ask questions about your issues for future columns, send your inquiry to: question@gadclaw.com. The information provided herein is for informational purposes only and should not be construed as legal advice. The publication of this article does not create an attorney-client relationship between the reader and Goede, DeBoest & Cross, or any of our attorneys. Readers should not act or refrain from acting based upon the information contained in this article without first contacting an attorney, if you have questions about any of the issues raised herein. The hiring of an attorney is a decision that should not be based solely on advertisements or this column.

This article originally appeared on Naples Daily News: Condo Q & A