HOUSE OF REPRESENTATIVES STAFF FINAL BILL ANALYSIS
BILL #: CS/HB 5D Condominium and Cooperative Associations
SPONSOR(S): Appropriations Committee, Perez
TIED BILLS: IDEN./SIM. BILLS: SB 4-D
FINAL HOUSE FLOOR ACTION: 110 Y’s 0 N’s GOVERNOR’S ACTION: Approved
SUMMARY ANALYSIS
CS/HB 5D passed the House on May 25, 2022, as SB 4-D.
A condominium is a form of real property ownership where persons own condominium units along with an undivided
right of access to the condominium’s common elements. A cooperative is a form of property ownership in which the
real property is owned by the cooperative association and individual units are leased to the residents, who own
shares in the association.
The Florida Building Codes Act provides a mechanism for the uniform adoption, updating, interpretation, and
enforcement of a single, unified state building code known as the Florida Building Code (Code). The Code is
applied, administered, and enforced uniformly by local governments through permits and inspections. The Florida
Building Commission (Building Commission) implements the Code. However, the Code does not contain
requirements for the maintenance and inspection of existing buildings.
The Code provides that when repairing, replacing, or recovering 25 percent or more of a roof, the entire roof must
comply with the current edition of the Code (25 percent rule). As a result, if more than 25 percent of a roof is
damaged, and the undamaged portion of the roof does not meet the requirements of the current Code, the entire
roof would be required to be replaced to meet current Code requirements.
Related to roof repairs, the bill creates an exception to the 25 percent rule to allow the repair, replacement, or
recovering of any portion of a roof without requiring the rest of the roof to be brought up to the current edition of the
Code, if the remaining portion of the roof, at a minimum, meets the requirements of the 2007 Code. The Building
Commission is required to adopt this exception by rule and incorporate it in the Code.
Related to condominiums and cooperatives, the bill:
Creates a statewide building milestone inspection requirement for condominiums and cooperative buildin gs
three stories or higher 30 years after initial occupancy, or 25 years if within three miles of the coast.
Requires additional inspections every 10 years after a building’s initial milestone inspection.
Provides local building officials with ability to assess penalties for failing to comply with the inspection
requirements.
Requires condominiums and cooperatives to conduct structural integrity reserve studies every 10 years for
buildings that are three stories or higher.
Prohibits waiver of funding for certain structural reserves.
Requires developers to complete structural integrity reserve studies for every building that is three stories or
higher, and repeals the ability of developers to waive the collection of all types of reserve funds.
Provides that structural integrity reserve studies, and inspection reports are a part of an association’s official
records and must be provided to a potential purchaser of a unit.
The bill may have an insignificant negative fiscal impact on local governments and a sig nificant impact on the private
sector. See Fiscal Analysis and Economic Impact Statement.
The bill was approved by the Governor on May 26, 2022, and became effective on that date .
This document does not reflect the intent or official position of the bill sponsor or House of Representatives .
STORAGE NAME: h0005Dz.DOCX
DATE: 6/6/2022
I. SUBSTANTIVE INFORMATION
A. EFFECT OF CHANGES:
Florida Building Code – Current Situation
In 1974, Florida adopted legislation requiring all local governments to adopt and enforce a minimum
building code that would ensure that Florida’s minimum building standards were met. Local
governments could choose from four separate model codes. The state’s role was limited to adopting all
or relevant parts of new editions of the four model codes. Local governments could amend and enforce
their local codes as they desired.1
In 1992, Hurricane Andrew demonstrated that Florida’s system of local codes did not work. Hurricane
Andrew easily destroyed structures that were allegedly built according to the strongest code. The
Governor eventually appointed a study commission to review the system of local codes and make
recommendations for modernizing the system. In 1998, the Legislature adopted the study commission’s
recommendations for a single state building code and enhanced the oversight role of the state over
local code enforcement. In 2000, the Legislature authorized the implementation of the Building Code
(Code), and that first edition replaced all local codes on March 1, 2002, making it the first statewide
building code in the United States.2
The “Florida Building Codes Act” was created to provide a mechanism for the uniform adoption,
updating, interpretation, and enforcement of a single, unified state Code. The Code must be applied,
administered, and enforced uniformly and consistently from jurisdiction to jurisdiction. 3
The Florida Building Commission (Building Commission) was statutorily created to implement the
Code. The Building Commission, which is housed within the Department of Business and Professional
Regulation (DBPR), is a 19-member technical body made up of design professionals, contractors, and
government experts in various disciplines covered by the Code. The Building Commission reviews
several International Codes published by the International Code Council, the National Electric Code,
and other nationally adopted model codes (model codes) to determine if the Code needs to be updated
and adopts an updated Code every three years.4
In 2017, the Legislature updated the Code adoption process so that the Building Commission is no
longer required to adopt the most recent version of the model codes as the foundation of the Code.
Instead, the triennial process requires the Building Commission to review the model codes to determine
which programs are essential for Florida’s specific needs. 5 As a result, the past edition of the Code
becomes the foundation or base Code and the Building Commission decides what updates to make.
In 2019, the Legislature allowed the Building Commission to approve provisions to the Building Code
every three years without a specific individual finding that each of the provisions are needed to meet
the specific needs of the state. The Building Commission can use discretion to require such finding if it
so chooses. The Building Commission may continue to adopt technical amendments once a year for
statewide or regional application if they find that the amendment is needed in order to accommodate
the specific needs of the state.6
1 The Florida Building Commission Report to the 2006 Legislature, Florida Department of Community Affairs, p. 4,
http://www.floridabuilding.org/fbc/publications/2006_Legislature_ Rpt_rev2.pdf (last visited May 31, 2022).
2 Id.
3 See s. 553.72(1), F.S.
4 Ss. 553.73 and 553.74, F.S.
5 Ch. 2017-181, Laws of Fla.
6 Ch. 2019-75, Laws of Fla.
STORAGE NAME: h0005Dz.DOCX PAGE: 2
DATE: 6/6/2022
The current edition of the Code, the seventh edition, is generally referred to as the “2020 Florida
Building Code.”7
Damaged Roof Coverings
The Code addresses repairing, replacing and recovering damaged roof coverings (reroofing).8 Chapter
6, Section 611.1.1 of the Code states:
Not more than 25 percent of the total roof area or roof section of any existing building
or structure shall be repaired, replaced, or recovered in any 12 month period unless
the entire roofing system or roof section conforms to the requirements of this code.9
The Code provides the following definitions related to recovering or replacing damaged roof
coverings:10
Roof Recover: The process of installing an additional roof covering over a prepared existing roof
covering without removing the existing roof covering.
Roof Repair: Reconstruction or renewal of any part of an existing roof for the purposes of its
maintenance.
Roof Replacement: The process of removing the existing roof covering, repairing any damaged
substrate and installing a new roof covering.
Roof Section: A separation or division of a roof area by existing expansion joints, parapet walls,
flashing (excluding valley), difference of elevation (excluding hips and ridges), roof type or legal
description; not including the roof area required for a proper tie-off with an existing system.
o This definition applies to residential roof coverings.
Home Hardening, Windstorm Loss Mitigation Requirements and Roofs
Between 1980 and 2021, hurricanes 11 in the United States (U.S.) caused approximately $1.1 trillion in
damage, including an average cost of $20.5 billion per event and 6,697 deaths.12 In Florida, Hurricanes
Irma and Michael, in 2017 and 2018 respectively, caused approximately $43 billion in insured losses. 13
The current forecast for hurricane activity in the Atlantic Basin for 2022 predicts above-normal activity,
including 19 named storms, nine hurricanes and four major hurricanes. 14
In 2007, the Legislature found that due to the effects and threats of hurricanes, the mitigation of
property damage is a valid and recognized objective of the Code, and that cost-effective techniques for
integrating Code requirements into buildings built prior to the Code’s implementation benefit all
residents of the state.15
Consequently, the Building Commission was required to: 16
7 Florida Building Commission Homepage, https://floridabuilding.org/c/default.aspx (last visited May 31, 2022).
8 Ch. 15, Building and Ch. 9 Residential, F.B.C. (2020).
9 Ch. 6, s. 611.1.1, F.B.C.
10 Ch. 2, s. 202, Building, ch. 2, s. R202, Residential, F.B.C. (2020).
11 The National Oceanic and Atmospheric Administration (NOAA), National Hurricane Center (NHC),
https://www.nhc.noaa.gov/aboutgloss.shtml (last visited May 18, 2022), defines the term “hurricane” to mean a tropical cyclone in
which the maximu m sustained surface wind (using the U.S. 1-minute average) is 64 kt (74 mph or 119 km/hr) or more. The term
hurricane is used for Northern Hemisphere tropical cyclones east of the International Dateline to the Greenwich Meridian. The term
typhoon is used for Pacific tropical cyclones north of the Equator west of the International Dateline.
12 NOAA, Fast Facts, Hurricane Costs, https://coast.noaa.gov/states/fast-facts/hurricane-costs.html (last visited May 31, 2022).
13 Insurance Information Institute, Facts + Statistics: Hurricanes, https://www.iii.org/fact-statistic/facts-statistics-hurricanes (last
visited May 31, 2022).
14 Colorado State University Tropical Weather & Climate Research, Seasonal Hurricane Forecasting, Forecast for the 2022
Hurricane Activity, https://tropical.colostate.edu/forecasting.html (last visited May 31, 2022).
15 Ch.. 2007-126, Laws of Fla., codified in s. 553.844(1), F.S.
16 S. 553.844(2), F.S.
STORAGE NAME: h0005Dz.DOCX PAGE: 3
DATE: 6/6/2022
Analyze the extent to which proposed Code provisions will mitigate property damage to
buildings and their contents;
Develop and adopt within the Code a means to incorporate recognized mitigation techniques for
site-built, single-family residential structures constructed before the implementation of the Code,
including, but not limited to:
o Prescriptive techniques for the installation of gable-end bracing;
o Secondary water barriers for roofs and standards relating to secondary water barriers;
o Prescriptive techniques for improvement of roof-to-wall connections;
o Strengthening or correcting roof-decking attachments and fasteners during reroofing;
and
o Adding or strengthening opening protections.
The Building Commission adopted many of these measures related to roofs and incorporated them into
the 2007 Florida Building Code, including measures that require a roof replacement to include
secondary water barriers for roofs and measures that strengthen or correct roof-decking attachments
and fasteners during reroofing.
The 2007 Florida Building Code also required specific roof replacement techniques for certain site-built,
single-family residential structures located in a wind-borne debris region as defined in s. 1609.2 of the
International Building Code (2006)17 and that meet certain insured or taxable value thresholds.18
Florida Residential Property Insurance Market
From 2017 through the second quarter of 2021, Florida property insurers (insurers) experienced
combined financial losses of $1 billion.19 As a result, it is reported that insurers sought rate increases,
dropped customers, and stopped writing new policies. This also resulted in an influx of policies into
Citizens Property Insurance Corporation,20 which was created by the Legislature as a government
entity to provide property insurance to eligible Florida property owners unable to find affordable
coverage in the private market.21
The Florida Insurance Commissioner attributed the financial losses to several trends and behaviors
present in Florida’s property insurance market, including but not limited to, claims solicitations and
litigation.22 Claims solicitations allegations include solicitations related to roofs and the fraudulent use of
the 25 percent rule. It is reported that in such cases, roofers and roofing contractors go door to door
asking homeowners if they can inspect their roof for damage. The contractors then advise homeowners
their property insurance may replace the entire roof if the homeowners file a claim.
In response to such challenges in Florida’s property insurance market, the Legislature passed SB 76 in
2021.23 The bill addressed various property insurance concerns including contractors soliciting
homeowners to file insurance claims for roof damage, notices of intent to litigate property insurance
claims, attorney fee awards in first-party property insurance litigation, and eligibility standards for, and
17 2006 International Building Code, Section 1609, Wind Loads,
https://www.optasoft.com/applications/codes/2006IBC/HTMLHelp/1609.htm (last visited May 31, 2022). S. 1609.2, IBC, defines the
term “Wind-borne Debris Region” to mean “portions of hurricane- prone regions that are within 1 mile (1.61 km) of the coastal mean
high water line where the basic wind speed is 110 mph (48 m/s) or greater; or portions of hurricane -prone regions where the basic
wind speed is 120 mph (53 m/s) or greater; or Hawaii.”
18 S. 553.844(3), F.S.
19 David Altmaier, Commissioner Florida Office of Insurance Regulation (OIR), Overview of the Florida Insurance Market, pg. 6
(Sept. 22, 2021). https://www.flsenate.gov/Committees/Show/BI/MeetingPacket/5252/9419_MeetingPacket_5252_2.pdf (last visited
May 31, 2022).
20 S. 627.351(6), F.S.
21 News4JAX, Property Insurers Seek Hefty Rate Hikes, https://www.news4jax.com/news/florida/2022/ 05/ 18/property-insurers-seek-
hefty-rate-hikes/ (last visited May 31, 2022).
22 Altmaier, supra note 19.
23 Ch. 2021-77, Laws of Fla.
STORAGE NAME: h0005Dz.DOCX PAGE: 4
DATE: 6/6/2022
ratemaking by Citizens Property Insurance Corporation. Specifically, the bill attempted to address
increases in roof claims by prohibiting contractors, and persons acting on behalf of contractors, from:
Soliciting residential property owners through prohibited advertisements, which are
communications to a consumer that encourage, instruct, or induce a consumer to contact a
contractor to file an insurance claim for roof damage;
Offering the residential property owner consideration to perform a roof inspection or file an
insurance claim;
Offering or receiving consideration for referrals when property insurance proceeds are payable;
Engaging in unlicensed public adjusting; and
Providing an insured with an agreement authorizing repairs without providing a good faith
estimate.
On July 11, 2021, a federal district court enjoined the enforcement of the provisions of SB 76 that ban
contractors from making prohibited advertisements regarding property insurance roof claims. The judge
issued the injunction on the basis that these provisions violate First Amendment commercial free
speech rights of contractors under the U.S. Constitution.24
Florida Building Code – Effect of the Bill
The bill amends s. 583.844, F.S., creating an exception to the 25 percent rule. The exception allows the
repair, replacement, or recovering of any portion of a roof without requiring the remaining portion of the
roof to be brought up to the current edition of the Code if the remaining portion of the roof at least
meets the requirements of the 2007 Florida Building Code.
Specifically, the bill provides that if an existing roofing system or roof section was built, repaired, or
replaced in compliance with the requirements of the 2007 Florida Building Code, or any subsequent
editions of th