This year’s Special Legislative Session passed two important bills, one affecting Condominiums, (SB 4-D, which addresses condominium building safety), and a second, affecting Homeowners’ Associations, (SB 2-D, dealing with insurance issues):[1]
The following is a brief look at SB 4-D.
SB 4-D requires:
1) “Milestone” inspections of condominium buildings three stories and higher. (A Milestone Inspection will determine the structural integrity of a building)
2) Milestone inspections and recertification of all 30-year-plus condominiums, unless the buildings are three miles or less from the coast, in which case the inspection and recertification are required within 25 years
3) After the initial Milestone inspection and certification, subsequent recertification is required every 10 years
4) That developers must maintain a reserve fund, while under developer control, to deal with structural issues, as required under the Statute; and
5) A “Structural Integrity Reserve Study” must be completed, and the reserves funded as required by the Study, by December 31, 2024.
To recap: If your condominium building is three stories or above, within three miles of the coast, and at least 25 years old (or farther from the coast than three miles, but 30 or more years old), your Association must complete the requisite Milestone Inspection and Structural Integrity Reserve Study by the December 31, 2024, deadline, to comply with the new law.
That leaves less than three years to find a Structural Engineer or Architect (C&M would recommend a Structural Engineer) and schedule the inspection. Your Association will be in competition with all other Condominiums in the State needing to meet the same requirements, and there is a limited pool of qualified Architects and Engineering firms to choose from. We recommend you select an Architect or Engineer and get on their wait list sooner, rather than later.
If you, or your Association’s Board of Directors, have any questions about SB 4-D, or would like further clarification regarding how it will impact your Association and its business practices going forward, please contact our Coordinator of Client Services, David Batan if you are currently a client. If your Association is not a client and would like to discuss the impact on your Association, please contact our Director of Public Relations, Arlene Ring. They will be happy to set up an appointment with myself or one of our attorneys who will be happy to assist you to navigate the new laws in any way we can.
[1] Most new laws passed by the legislature will become effective on July 1, 2022.
