AB254, s. 42
3Section
42. 703.27 of the statutes is amended to read:
AB254,36,15
4703.27 Zoning and building regulations.
(1) A zoning or other land use
5ordinance or regulations may not prohibit the condominium form of ownership or
6impose any requirements upon a condominium
which
that it would not impose
upon
7a physically identical if the development
were under a different form of ownership.
8No provision of a state or local building code may be applied differently to a building
9in a condominium than it would be applied
to a if the building
of similar structure
10or occupancy were under a different form of ownership unless the different
11application is expressly permitted in that provision
and the different application is
12reasonably related to the nature of condominium ownership. No subdivision
13ordinance may apply to any condominium unless the ordinance is, by its express
14terms, applicable to condominiums
and the application is reasonably related to the
15nature of condominium ownership.
AB254,36,21
16(2) No county, city
, or other jurisdiction may enact any law, ordinance
, or
17regulation
which that would impose a
greater burden or restriction on a
18condominium
that is not imposed on all other property of similar character not
19subjected to a condominium declaration or provide a lower level of services to a
20condominium than would be imposed or provided if the condominium were under a
21different form of ownership.
Note: 1. Clarifies, with editorial changes, the prohibition on imposing
requirements under zoning or other land use ordinances or regulations that discriminate
against the condominium form of ownership.
2. Clarifies the prohibition on applying a provision of a state or local building code
differently to a building in a condominium than it would be applied if the building were
under a different form of ownership, unless the different application is expressly
permitted by the building code. Further clarifies that if the different application is
expressly permitted, it must be reasonably related to the nature of condominium
ownership. Similarly, clarifies that no subdivision ordinance may apply to a
condominium unless, as currently required, the ordinance is expressly applicable to
condominiums and, as added by the bill, its application is reasonably related to the nature
of condominium ownership.
3. Clarifies the prohibition against enactment of any law, ordinance or regulation
that would impose a burden or restriction on a condominium that is not imposed on all
other property of similar character not subjected to a condominium declaration to specify
that the law, ordinance or regulation may not impose a "greater" burden or restriction
and, additionally, may not provide a lower level of service to a condominium than would
be imposed or provided if the condominium were under a different form of ownership.
AB254, s. 43
1Section
43. 703.275 (1) of the statutes is amended to read:
AB254,37,112
703.275
(1) Agreement; legal effect. Any 2 or more condominiums,
including
32 or more small condominiums or any combination of small condominiums and other
4condominiums, by agreement of the unit owners as provided in this section, may be
5merged or consolidated into a single condominium. Unless the agreement otherwise
6provides, the condominium resulting from a merger or consolidation is, for all
7purposes, the legal successor of all of the preexisting condominiums and the
8operations and activities of all associations of the preexisting condominiums shall be
9merged or consolidated into a single association which shall hold all powers, rights,
10obligations, assets and liabilities of the preexisting associations. The resultant
11condominium must bear the name of one of the preexisting condominiums.
Note: Authorizes 2 or more small condominiums, or any combination of small
condominiums and other condominiums, to merge, as provided under the current merger
provision--s. 703.275, stats.
AB254, s. 44
12Section
44. 703.275 (2) (intro.) (except 703.275 (2) (title)) of the statutes is
13renumbered 703.275 (2) (bc) (intro.).
AB254, s. 45
14Section
45. 703.275 (2) (a) of the statutes is renumbered 703.275 (2) (bc) 1.
AB254, s. 46
15Section
46
. 703.275 (2) (ac) of the statutes is created to read:
AB254,38,3
1703.275
(2) (ac) In this subsection, "allocated interests" means the undivided
2percentage interest in the common elements, the liability for common expenses, and
3the number of votes at meetings of the association appurtenant to each unit.
Note: Relocates the defined term from the general definition section of ch. 703 (s.
703.02) to s. 703.275, the only provision within the chapter that uses the defined term.
AB254, s. 47
4Section
47. 703.275 (2) (b) of the statutes is renumbered 703.275 (2) (bc) 2.
AB254, s. 48
5Section
48. 703.315 of the statutes is created to read:
AB254,38,7
6703.315 Lease or rental agreements for residential units. (1) 7Definitions. In this section:
AB254,38,108
(a) "Condominium rental agreement" means an agreement, whether oral or
9written, for the rental or lease of a residential condominium unit by the same tenant
10for a period of more than one month.
AB254,38,1111
(b) "Tenant" means any of the following:
AB254,38,1312
1. A person occupying or entitled to present or future occupancy of a residential
13condominium unit under a condominium rental agreement.
AB254,38,1514
2. A periodic tenant, as defined in s. 704.01 (2), of a residential condominium
15unit that pays rent on a month-to-month or greater recurring interval of time.
AB254,38,1716
(c) "Unit owner" means the owner of a unit that is rented or leased under a
17condominium rental agreement or by a periodic tenant.
AB254,39,2
18(2) Agreement for compliance. Entering into a condominium rental
19agreement constitutes an agreement by the tenant, as a condition of the
20condominium rental agreement, to comply with this chapter, the rules and bylaws
21of the association, and the provisions of the declaration. Entitlement to occupancy
22of a unit as a periodic tenant, as described in sub. (1) (b) 2., constitutes an agreement
1by the periodic tenant, as a condition of the tenancy, to comply with this chapter, the
2rules and bylaws of the association, and the provisions of the declaration.
AB254,39,6
3(3) Copy of written agreement to association. Within 5 business days after
4entering into or renewing a written condominium rental agreement, the unit owner
5shall provide a copy of the agreement to the association. The association shall keep
6a copy of any condominium rental agreement on file while the agreement is in effect.
AB254,39,8
7(4) Contact of unit owner and tenant by association. The association may
8contact or give notice to the tenant or unit owner by:
AB254,39,109
(a) Making the contact or giving the notice by the means indicated by the tenant
10or unit owner in writing to the association.
AB254,39,1311
(b) If par. (a) does not apply, by any method under s. 704.21 (1) (a) to (e), in the
12case of the tenant, or by any method under s. 704.21 (2) (a) to (d), in the case of the
13unit owner.
AB254,39,16
14(5) Copy of condominium documents to tenant. Before a tenant occupies a
15unit, the unit owner shall provide a copy of the declaration and the association
16bylaws and rules to the tenant or place the information in the unit.
AB254,39,18
17(6) Time share not covered. This section does not apply to a time-share unit
18governed under ch. 707.
Note: Provides a measure of regulation relating to agreements, whether oral or
written, for the rental or lease of a residential condominium unit by the same tenant for
a period of more than one month and to periodic tenancies with a recurring interval of
time of one month or more.
Under sub. (2), a tenant who enters into a covered condominium rental agreement
or who is entitled to occupancy under a covered periodic tenancy agrees to comply with
ch. 703 (condominiums), the rules and bylaws of the association, and the provisions of the
declaration. By making agreement to comply a matter of law, failure of a tenant to comply
with the chapter, declaration, bylaws, or rules will trigger the provisions of ch. 704
(landlord and tenant) that relate to breach of a rental agreement or lease by a tenant.
Under sub. (3), if a written condominium rental agreement is entered into, the unit
owner must provide a copy within five business days to the association. The association
must keep a copy of the agreement on file while the agreement is in effect.
Subsection (4) provides a means of contacting or giving notice to a tenant or unit
owner who is party to a covered condominium rental agreement or periodic tenancy.
Contact or notice may be made or given by the means indicated by the tenant or unit
owner in writing to the association or, if that does not apply, by any method currently
provided under statutory landlord and tenant law for giving notice to a tenant or
landlord.
Subsection (5) provides that a unit owner must provide a copy of the declaration
and the association bylaws and rules to a covered tenant before the tenant occupies the
unit or must place the information in the unit before the tenant occupies the unit.
Under sub. (6), the section expressly does not apply to a time-share unit governed
under ch. 707. The inclusion of sub. (6) is not intended to affect or raise any inference
concerning the meaning of current s. 707.09, stats., relating to the relationship of ch. 703,
condominiums, and ch. 707, time shares.
Section 703.315, as created by this Section, first applies to condominium rental
agreements renewed or entered into approximately 3 months after the effective date of
the bill. See Sec. 69 (10) of the bill.
AB254, s. 49
1Section
49
. 703.33 (1) (h) of the statutes is created to read:
AB254,40,42
703.33
(1) (h) An executive summary setting forth in clear plain language the
3following information or location within the disclosure materials described in pars.
4(a) to (g) where the information may be found:
AB254,40,55
1. `Condominium identification.' The name of the condominium.
AB254,40,86
2. `Expansion plans.' A description of the declarant's expansion plan for the
7condominium and deadline for implementation and the identity of the condominium
8management during the expansion period.
AB254,40,129
3. `Governance.' The name and address of the condominium association;
10whether the association is self-managed or has hired or retained management; and
11the name, address, and telephone number of the individual or individuals who may
12be contacted regarding the condominium in general.
AB254,40,1513
4. `Special amenities.' A description of any special amenities, such as an
14athletic club or golf course, and a statement of the obligation of a unit owner to join
15or support the amenity.
AB254,40,1716
5. `Maintenance and repair of units.' A description of an owner's
17responsibilities for the repair and maintenance of the unit.
AB254,41,4
16. `Maintenance, repair, and replacement of common elements.' The identity
2of the person responsible for the maintenance, repair, and replacement of common
3elements and limited common elements and whether repairs or replacements will be
4funded from unit owner assessments, reserve funds, or both.
AB254,41,65
7. `Rental of units.' Whether unit owners may rent their units and any
6restrictions on rentals.
AB254,41,97
8. `Unit alterations.' A description of any rules, restrictions, or procedures
8governing a unit owner's authority to alter the unit or use or enclose limited common
9elements.
AB254,41,1010
9. `Parking.' A description of the availability, restrictions, and costs of parking.
AB254,41,1111
10. `Pets.' A description of rules relating to unit owners' pets.
AB254,41,1412
11. `Reserves.' Whether the association maintains reserves for repairs and
13replacement of common elements beyond routine maintenance and, if so, whether a
14statutory reserve account under s. 703.163 is maintained.
AB254,41,1615
12. `Other restrictions or features.' At the option of the declarant or association
16a description of other restrictions or features of the condominium.
Note: Sections 47 to 49 require an executive summary highlighting important
disclosure items to be included as the first document, following the index, in the
disclosure materials that must be furnished by a seller of a condominium unit to a buyer.
The executive summary is prepared and revised by the declarant or association,
whichever is in control of the condominium. The executive summary must contain the
following information, or indicate where the information may be found in the disclosure
materials:
1. The name of the condominium.
2. A description of the declarant's expansion plans for the condominium, if any, and
deadline for implementation.
3. Information identifying the condominium association and management
authority and the individual who may be contacted regarding the condominium.
4. A description of special amenities such as an athletic club or golf course and the
obligation of an owner to join or support the amenity.
5. A description of an owner's responsibilities relating to the repair and
maintenance of the unit.
6. The identity of the person responsible for the maintenance, repair, and
replacement of common elements and limited common elements and whether the repair
or replacement will be funded from unit owner assessments or reserve funds.
7. Whether unit owners may rent their units and any restrictions on rentals.
8. A description of any rules, restrictions, or procedures governing a unit owner's
authority to alter the unit or use or enclose limited common elements.
9. A description of the availability, restrictions, and costs of parking.
10. A description of rules relating to unit owners' pets.
11. Whether reserves are maintained by the association and, if so, whether a
statutory reserve account is maintained.
12. At the option of the declarant or association of unit owners, a description of
other restrictions or features of the condominium.
See Sec. 69 (11) for the delayed applicability of the executive summary
requirement.
AB254, s. 50
1Section
50. 703.33 (1m) of the statutes is created to read:
AB254,42,72
703.33
(1m) Preparation of executive summary. The executive summary
3under sub. (1) (h) shall be prepared, and subsequently revised whenever a change
4is made in the disclosure materials described in sub. (1) (a) to (g) that requires a
5revision of a statement in the summary, by the declarant or the association,
6whichever is in control of the condominium when the executive summary is prepared
7or revised.
Note: Imposes an obligation on the declarant or association to prepare the
executive summary and to revise it consistent with changes in the required disclosure
materials.
AB254, s. 51
8Section
51
. 703.33 (2) (intro.) of the statutes is amended to read:
AB254,42,149
703.33
(2) Disclosure form. (intro.) The materials required in sub. (1) shall
10be delivered to a prospective purchaser with cover sheet, index
, and tables of contents
11as prescribed in this section. A cover sheet and index shall precede all other
12materials required in sub. (1).
The executive summary required under sub. (1) (h)
13shall appear immediately following the index. A table of contents shall precede the
14section to which it applies.
Note: Specifies the location of the executive summary: immediately following the
index at the beginning of the disclosure materials.
AB254, s. 52
15Section
52. 703.33 (2) (a) (form) 2. of the statutes is amended to read:
AB254,43,516
703.33
(2) (a) (form) 2. THESE DISCLOSURE MATERIALS GIVEN TO YOU
17AS REQUIRED BY LAW MAY
, WITH THE EXCEPTION OF THE EXECUTIVE
1SUMMARY, BE RELIED UPON AS CORRECT AND BINDING.
FOR A
2COMPLETE UNDERSTANDING OF THE EXECUTIVE SUMMARY, CONSULT
3THE DISCLOSURE DOCUMENTS TO WHICH A PARTICULAR EXECUTIVE
4SUMMARY STATEMENT PERTAINS. ORAL STATEMENTS MAY NOT BE
5LEGALLY BINDING.
AB254, s. 53
6Section
53. 703.33 (2) (a) (form) 3. of the statutes is amended to read:
AB254,43,197
703.33
(2) (a) (form) 3. YOU MAY AT ANY TIME WITHIN 5 BUSINESS DAYS
8FOLLOWING RECEIPT OF THESE DOCUMENTS, OR FOLLOWING NOTICE
9OF ANY MATERIAL CHANGES IN THESE DOCUMENTS, CANCEL IN
10WRITING THE CONTRACT OF SALE AND RECEIVE A FULL REFUND OF ANY
11DEPOSITS MADE.
IF THE SELLER DELIVERS LESS THAN ALL OF THE
12DOCUMENTS REQUIRED, YOU MAY, WITHIN 5 BUSINESS DAYS
13FOLLOWING RECEIPT OF THE DOCUMENTS, DELIVER A REQUEST FOR
14ANY MISSING DOCUMENTS. IF YOU TIMELY DELIVER A REQUEST FOR
15MISSING DOCUMENTS, YOU MAY, AT ANY TIME WITHIN 5 BUSINESS DAYS
16FOLLOWING THE EARLIER OF EITHER THE RECEIPT OF THE REQUESTED
17DOCUMENTS OR THE SELLER'S DEADLINE TO DELIVER THE REQUESTED
18DOCUMENTS, CANCEL IN WRITING THE CONTRACT OF SALE AND
19RECEIVE A FULL REFUND OF ANY DEPOSITS MADE.
Note: Sections 50 and 51 revise 2 of the disclosure statements that must appear
in bold face type and capital letters on the cover sheet of the disclosure form given to a
prospective purchaser of a condominium unit to indicate: (1) that the executive summary
(when required; see Sec. 69 (11) of the bill) may not be relied upon as correct and binding
and that the purchaser should consult the disclosure documents to which a particular
executive summary statement pertains; and (2) that a buyer may request missing
disclosure documents within 5 business days following receipt of the other documents and
that, if a request is made, the 5-day cancellation period does not start to run until the
earlier of the receipt of any missing documents that have been requested by the purchaser
or the seller's deadline for delivery of the missing documents. (See
Secs. 56 and 58 of the
bill.)
AB254, s. 54
1Section
54. 703.33 (2) (b) (form) 1. of the statutes is renumbered 703.33 (2) (b)
2(form) 1m.
AB254, s. 55
3Section
55. 703.33 (2) (b) (form) 1c. of the statutes is created to read:
AB254,44,64
703.33
(2) (b) (form) 1c.
Executive summary. The executive summary
5highlights for a buyer of a condominium unit essential information regarding the
6condominium. The executive summary begins on page . . . .
Note: Places the executive summary required under this bill first in the list of
items included in the index of disclosure materials that follows the cover sheet to the
disclosure materials.
AB254, s. 56
7Section
56. 703.33 (2) (c) of the statutes is amended to read:
AB254,44,228
703.33
(2) (c)
Tables of contents and page numbers. In addition to an index
9required by par. (b),
there shall be provided tables of contents for the declaration
, and 10bylaws
and articles of incorporation which shall identify shall be provided,
11identifying each section of these documents and
provide providing a page number for
12each section. Each section of disclosure material required in sub. (1) shall, on the first
13page of that material, identify contents of that section but, with
an the exception of
14the declaration
, and bylaws
and articles of incorporation, shall, is not
be required to
15have a table of contents.
Each page of disclosure materials shall contain a page
16number sufficient to identify it within the body of disclosure materials. Page
17numbers for the declaration, bylaws and articles of incorporation required in par. (b)
18shall be the first page of the table of contents for that section. All other page numbers
19required in the index shall refer to the first page of that section on which the title
20appears Each section of disclosure material shall be separately identified by a letter,
21tab, or number. Pages within each section shall be consecutively numbered with an
22indication of the section as part of the pagination.
Note: Clarifies that the entire body of disclosure materials furnished to
purchasers of residential units need not be consecutively paginated by providing that the
consecutive pagination requirement only applies to each section within the body of
disclosure materials. Removes the requirement of a table of contents for the articles of
incorporation. Also makes editorial changes.
AB254, s. 57
1Section
57. 703.33 (3) of the statutes is renumbered 703.33 (3m).
AB254, s. 58
2Section
58
. 703.33 (3c) of the statutes is created to read:
AB254,45,113
703.33
(3c) Delivery of incomplete set of disclosure materials. If the seller
4delivers disclosure materials that include the cover sheet required in sub. (2) (a), but
5that do not include all of the documents required under sub. (1), the purchaser may,
6within 5 business days from receipt of the disclosure materials, request any
7documents that were required to be delivered under sub. (1), but that were not timely
8delivered. If no executive summary required under subs. (1) (h) and (1m) has been
9prepared, the seller may so inform the purchaser when the seller delivers the
10disclosure materials to the seller. The seller has 5 business days following receipt
11of the purchaser's request to deliver the requested documents to the purchaser.
Note: Authorizes the purchaser to request any documents that are not included
in the disclosure materials within 5 business days of receipt of the materials. The seller
has 5 business days following receipt of the request to deliver the requested documents.
See, also, Sec. 58 of the bill.
AB254, s. 59
12Section
59. 703.33 (4) of the statutes is renumbered 703.33 (4) (a) and
13amended to read:
AB254,45,1914
703.33
(4) (a) Any purchaser may at any time within 5 business days following
15receipt of all
information of the documents required under sub. (1) and within 5
16business days following receipt of all
information
of the amendments required under
17sub.
(3) (3m), rescind in writing a contract of sale without stating any reason and
18without any liability on his or her part
, and the purchaser is entitled to the return
19of any deposits made in account of the contract.
AB254, s. 60
20Section
60
. 703.33 (4) (b) and (c) of the statutes are created to read: