Florida Senate - 2021 SB By Senator Rodrigues 27-00764A-21 2021872__ CODING: Words stricken are deletions; words underlined are additions. A bill to be entitled

An act relating to homeowners’ associations; amending s. 720.306, F.S.; providing applicability for governing documents and amendments relating to leasing which are enacted after a specified date; providing an exception; providing applicability; specifying when a change of ownership does or does not occur for certain purposes; defining the term “affiliated entity”; 8 providing an effective date. 9

Be It Enacted by the Legislature of the State of Florida: 11

Section 1. Paragraph

(

h) is added to subsection (1) of

section 720.306, Florida Statutes, to read: 14 720.306 Meetings of members; voting and election procedures; amendments.— 16

(1) QUORUM; AMENDMENTS.— 17 (h)1. Except as otherwise provided in this paragraph, any governing document, or amendment to a governing document, that is enacted after July 1, 2021, and that prohibits or regulates leasing applies only to a parcel owner who acquires title to the parcel after the effective date of the governing document or amendment, or to a parcel owner who consents, individually or through a representative, to the governing document or amendment. 25 2.

Notwithstanding subparagraph 1., an association may amend its governing documents to prohibit or regulate rentals for a term of less than months and to prohibit rentals more than three times in a calendar year, and such amendments shall Florida Senate - 2021 SB 872 27-00764A-21 2021872__ CODING: Words stricken are deletions; words underlined are additions. apply to all parcel owners. 30 3. This paragraph does not affect the amendment restrictions for associations of or fewer parcel owners under s. 720.303(1). 33 4.

For purposes of this paragraph, a change of ownership does not occur when a parcel owner conveys the parcel to an affiliated entity or when beneficial ownership of the parcel does not change. For purposes of this subparagraph, the term 37 “affiliated entity” means an entity that controls, is controlled by, or is under common control with the parcel owner or that becomes a parent or successor entity by reason of transfer, 40 merger, consolidation, public offering, reorganization, 41 dissolution or sale of stock, or transfer of membership partnership interests.

For a conveyance to be recognized as one made to an affiliated entity, the entity must furnish to the association a document certifying that this paragraph applies and provide any organizational documents for the parcel owner and the affiliated entity which support the representations in the certificate, as requested by the association. 48 5.

For purposes of this paragraph, a change of ownership does occur when, with respect to a parcel owner that is a business entity, each person that owned an interest in the entity at the time of the enactment of the amendment or rule conveys its interest in the business entity to an unaffiliated party. 54

Section 2. This act shall take effect July 1, 2021. 55