AB647: Bill Text

AB647,11,2 703.09 (1c) A condominium declaration shall be signed by the owners of the property and by or on behalf of any first mortgagee of the property or the holder of an equivalent security interest in the property in the same manner as required in conveyances of real property.

AB647, s. 19 Section 19. 703.09 (2) of the statutes is amended to read:

AB647,11,16 703.09 (2) Except as otherwise provided in sub. (4) and ss. 703.093, 703.13 (6) (c) and (d) and (8) (b), and 703.26 this chapter, a condominium declaration may be amended with the written consent of at least two-thirds of the aggregate of the votes established under sub. (1) (f) or a greater percentage if provided in the declaration. An amendment becomes effective when it is recorded in the same manner as the declaration. The document submitting the amendment for recording shall state that the required consents and approvals for the amendment were received. A unit owner's written consent is not effective unless it is approved in writing by the first mortgagee of the unit, or the holder of an equivalent security interest, if any. Approval from the first mortgage lender or equivalent security interest holder, or the person servicing the first mortgage loan or its equivalent on a unit, constitutes approval of the first mortgagee or equivalent security interest holder under this subsection.

AB647, s. 20 Section 20. 703.09 (3) (bm) of the statutes is created to read:

AB647,11,19 703.09 (3) (bm) Any action to recover compensation under par. (a) shall be commenced no later than one year after the amendment is recorded or be barred.

AB647, s. 21 Section 21. 703.10 (1) of the statutes is amended to read:

AB647,12,4 703.10 (1) Bylaws to govern administration. The administration of every condominium shall be governed by bylaws. Every unit owner and occupant shall comply strictly with the bylaws and with the rules adopted under the bylaws, as the bylaws or rules are amended from time to time, and with the covenants, conditions, and restrictions set forth in the declaration or in the deed to the unit. Failure to comply with any of the bylaws, rules, covenants, conditions , or restrictions is grounds for action to recover sums due, for damages or injunctive relief or both, maintainable by the association or, in a proper case, by an aggrieved unit owner , or for enforcement under s. 703.24.

AB647, s. 22 Section 22. 703.10 (2) (d) of the statutes is amended to read:

AB647,12,13 703.10 (2) (d) The election by the unit owners of a board of directors of whom, except during the period of declarant control, not more than one is a nonunit owner,; the number of persons constituting the same and board of directors; that the terms of at least one-third of the elected directors shall expire annually, may not exceed 3 years but that a director may be reelected for successive terms; the powers and duties of the board,; the compensation, if any, of the directors,; the method of removal from office of directors; and whether or not the board may engage the services of a manager or managing agent.

AB647, s. 23 Section 23. 703.10 (2) (f) of the statutes is amended to read:

AB647,12,16 703.10 (2) (f) The manner of borrowing money and acquiring and conveying property, if the association is to have these powers.

AB647, s. 24 Section 24. 703.10 (4) of the statutes is amended to read:

AB647,12,22 703.10 (4) Prohibiting voting by certain unit owners. The bylaws may contain a provision prohibiting any unit owner from voting at a meeting of the association if the association has recorded filed a statement of condominium lien on the person's unit and the amount necessary to release the lien has not been paid at the time of the meeting.

AB647, s. 25 Section 25. 703.10 (6) of the statutes is amended to read:

AB647,13,3 703.10 (6) Title to condominium units unaffected by condominium instruments or bylaws. Title to a condominium unit is not rendered unmarketable or otherwise affected by any provision of the bylaws because the unit is subject to the terms of a declaration, a condominium plat, bylaws, or rules, or by reason of any failure of the bylaws to comply with the provisions of this chapter.

AB647, s. 26 Section 26. 703.105 (1m) of the statutes is amended to read:

AB647,13,8 703.105 (1m) No bylaw or rule may be adopted or provision included in a declaration or deed that prohibits a unit owner from displaying in his or her condominium unit a sign that supports or opposes a candidate for public office or a referendum question.

AB647, s. 27 Section 27. 703.105 (2) of the statutes is amended to read:

AB647,13,13 703.105 (2) Notwithstanding subs. (1) and (1m), bylaws or rules may be adopted that regulate the size and location of signs, flags, and flagpoles, including limiting their display to those parts of the condominium that the unit owner has the exclusive right to use.

AB647, s. 28 Section 28. 703.115 (1) of the statutes is renumbered 703.115 (1m), and 703.115 (1m) (a) and (b), as renumbered, are amended to read:

AB647,13,19 703.115 (1m) (a) Requires the review to be completed within 10 working days after submission of the condominium instrument and provides that, if the review is not completed within this period, the condominium instrument is approved for recording without certification of review or approval or the signature of the reviewer.

AB647,13,23 (b) Provides that a condominium instrument may be rejected only if it fails to comply with the applicable requirements of ss. 703.095, 703.11 (2) (a), (c), and (d) and (3), 703.275 (5), and 703.28 (1m) or if the surveyor's certificate under s. 703.11 (4) is not attached to or included in the condominium plat.

AB647, s. 29 Section 29. 703.115 (1c) of the statutes is created to read:

AB647,14,2 703.115 (1c) (a) In this section, "condominium instrument" includes a correction instrument and a removal instrument.

AB647, s. 30 Section 30. 703.12 of the statutes is amended to read:

AB647,14,11 703.12 Description of units. A description in any deed or other instrument affecting title to any unit which that makes reference to the letter or number or other appropriate unit designation on the condominium plat together with a reference to the condominium instruments shall be a good and sufficient description for all purposes. Whenever a parcel identification number is required for any purpose, the designation of all units in the condominium may be shown by the parcel number or numbers of the property submitted to the provisions of this chapter to create the condominium.

AB647, s. 31 Section 31. 703.13 (2) of the statutes is amended to read:

AB647,14,14 703.13 (2) Rights to common surpluses. Common surpluses shall be disbursed used or allocated as provided under s. 703.16 (1).

AB647, s. 32 Section 32. 703.13 (4) of the statutes is renumbered 703.13 (4) (a) and amended to read:

AB647,15,2 703.13 (4) (a) The Except as provided in this chapter, the undivided percentage interests shall have a permanent character and, except as specifically provided by this chapter, in the common elements established in the declaration may not be changed without the written consent of all of the unit owners of every unit in the condominium and their mortgagees. Any change shall be evidenced by an amendment to the declaration and recorded among the appropriate land records the approval of the first mortgagee of each unit subject to a mortgage. The percentage interests may not be separated from the unit to which they appertain. Any instrument, matter, circumstance, action, occurrence , or proceeding in any manner affecting a unit also shall affect, in like manner, the undivided percentage interests appurtenant to the unit.

AB647, s. 33 Section 33. 703.13 (4) (b) of the statutes is created to read:

AB647,15,8 703.13 (4) (b) Except for the total destruction of the condominium, in the event that one or more units of a condominium are destroyed and not rebuilt, or in the event that one or more units are removed from the condominium, the percentage interests in the common elements shall be adjusted to maintain the same ratio of those interests among the remaining units.

AB647, s. 34 Section 34. 703.13 (4) (c) of the statutes is created to read:

AB647,15,18 703.13 (4) (c) If a condominium plat depicts a building as containing a specified number of units but the building is constructed in such a manner as to physically preclude the building from containing the full number of units shown on the plat, the declaration may be amended as provided in s. 703.09 (2) to remove the excess units from the condominium. The percentage interests appertaining to the excess units shall be added on a pro rata basis to the percentage interests appertaining to the remaining units. Amendments enacted under this paragraph shall specify the new percentage interests for all of the remaining units, which percentage interests collectively shall total 100 percent.

AB647, s. 35 Section 35. 703.13 (4) (d) of the statutes is created to read:

AB647,15,22 703.13 (4) (d) Any change to the undivided percentage interests in the common elements must be evidenced by amending the declaration in the manner provided in s. 703.09 (2).

AB647, s. 36 Section 36. 703.13 (4) (e) of the statutes is created to read:

AB647,15,25 703.13 (4) (e) Section 703.09 (3) does not apply to any amendment made to a declaration under this subsection.

AB647, s. 37 Section 37. 703.13 (5) (a) of the statutes is amended to read:

AB647,16,11 703.13 (5) (a) A unit owner may make any improvements or alterations within his or her unit that do not impair the structural integrity or lessen the support of any portion of the condominium or interfere with the condition or operation of the mechanical systems affecting property that is not a part of the unit and that do not create a nuisance substantially affecting the use and enjoyment of other units or the common elements. A unit owner may not change the exterior appearance of a unit or of any other portion of the condominium without permission of the board of directors of the association. A unit owner making alterations within his or her unit that involve changing the configuration of rooms within the unit shall file plans with the association showing the reconfiguration.

AB647, s. 38 Section 38. 703.13 (5) (b) of the statutes is amended to read:

AB647,16,21 703.13 (5) (b) Except to the extent prohibited by the condominium instruments, and subject to any restrictions and limitation specified therein, a unit owner acquiring an adjoining or adjoining part of an adjoining unit, may remove all or any part of any intervening partition or create doorways or other apertures therein, even if the partition may in whole or in part be a common element, if those acts do not impair the structural integrity or lessen the support of any portion of the condominium or interfere with the condition or operation of the mechanical systems affecting property that is not a part of the unit. The creation of doorways or other apertures is not deemed an alteration of boundaries.

AB647, s. 39 Section 39. 703.13 (5m) (a) 3. of the statutes is amended to read:

AB647,16,25 703.13 (5m) (a) 3. The improvement will not impair the structural integrity of the condominium or interfere with the condition or operation of the mechanical systems affecting property that is not a part of the unit.

AB647, s. 40 Section 40. 703.13 (5m) (b) of the statutes is amended to read:

AB647,17,7 703.13 (5m) (b) All costs and expenses of an improvement under this subsection and any increased costs of maintenance and repair of the limited common elements resulting from the improvement, as determined by the association, are the obligation of the unit owner. The unit owner shall protect the association and other unit owners from liens on property of the association or of other unit owners that otherwise might result from the improvement.

AB647, s. 41 Section 41. 703.13 (6) (b) of the statutes is amended to read:

AB647,17,14 703.13 (6) (b) If any unit owners of adjoining units whose mutual boundaries may be relocated desire to relocate those boundaries, the principal officer of the unit owners association, upon written application from those unit owners , and after determining that the relocation does not violate the condominium instruments and providing 30 days' written notice to all other unit owners, shall prepare and execute appropriate instruments.

AB647, s. 42 Section 42. 703.13 (6) (c) of the statutes is amended to read:

AB647,18,3 703.13 (6) (c) An amendment to a declaration shall identify the units involved and shall state that the boundaries between those units are being relocated by agreement of the unit owners thereof of those units. The amendment shall contain words of conveyance between those unit owners, and when recorded shall also be indexed in the name of the grantor and grantee. If the adjoining unit owners have specified in their written application the reallocation between their units of the aggregate undivided interest in the common elements appertaining to those units, the amendment to the declaration shall reflect that reallocation. An amendment to a declaration under this paragraph shall be adopted, at the option of the adjoining unit owners, either under s. 703.09 (2) or by the written consent of the owners of the adjoining units involved and the written consent by or on behalf of the first mortgagees of the adjoining units, which amendment shall constitute a conveyance between the unit owners of the affected part or parts of the unit or units.

AB647, s. 43 Section 43. 703.13 (6) (e) of the statutes is amended to read:

AB647,18,9 703.13 (6) (e) Plats and plans showing the altered boundaries and the dimensions thereof between adjoining units, and their identifying numbers or letters designations, shall be prepared. The plats and plans shall be certified as to their accuracy in compliance with this subsection by a civil engineer, architect, or licensed land surveyor authorized to practice his or her profession in the state.

AB647, s. 44 Section 44. 703.13 (7) (b) of the statutes is renumbered 703.13 (7) (b) 2. and amended to read:

AB647,18,25 703.13 (7) (b) 2. The principal officer of the association, upon written application of a person proposing the separation of a unit (separator) , and after determining that the separation does not violate the condominium instruments and providing 30 days' written notice to all other unit owners, shall promptly prepare and execute appropriate instruments under this subsection paragraph. An amendment to the condominium instruments shall assign a new identifying number designation to each new unit created by the separation of a unit, except that one of the new units may retain the original designation of the separated unit. The amendment shall allocate to those new units, on a reasonable basis acceptable to the separator and the executive board, all of the undivided interest in the common element elements and rights to use the limited common elements and the votes in the association formerly appertaining to the separated unit. The amendment shall reflect a proportionate allocation to the new units of the liability for common expenses and rights to common surpluses formerly appertaining to the subdivided unit.

AB647, s. 45 Section 45. 703.13 (7) (b) 1. of the statutes is created to read:

AB647,19,5 703.13 (7) (b) 1. This paragraph applies when the effect of the separation is to create 2 or more units of the existing condominium and the resulting interests will not be subject to organizational or operating documents other those of the existing condominium.

AB647, s. 46 Section 46. 703.13 (7) (c) of the statutes is renumbered 703.13 (7) (b) 3. and amended to read:

AB647,19,14 703.13 (7) (b) 3. Plats and plans showing the boundaries and dimensions separating of the new units together with their other boundaries and their new identifying numbers or letters, including the boundary separating them, together with their new designations, shall be prepared. The plats and plans shall be certified as to their accuracy and compliance with this subsection paragraph by a civil engineer, architect, or licensed land surveyor authorized to practice his or her profession in the state.

AB647, s. 47 Section 47. 703.13 (7) (cm) of the statutes is created to read:

AB647,19,19 703.13 (7) (cm) 1. This paragraph applies when the effect of the separation involves the creation of 2 or more ownership interests in the unit that are subject to organizational or operating documents in addition to those of the existing condominium.

AB647,19,20 2. If the interests are based on time intervals, ch. 707 applies.

AB647,19,24 3. If permitted in the declaration, a condominium unit itself may be subjected to the condominium form of ownership in accordance with this paragraph and any restrictions and limitations that the condominium instruments may specify. In that case, all of the following apply:

AB647,20,2 a. The unit subjected to the condominium form of ownership shall be considered to be property.

AB647,20,5 b. The unit subjected to the condominium form of ownership shall remain a unit in the original condominium and shall continue to be subject to the condominium instruments for the the original condominium.

AB647,20,8 c. The association of the new condominium shall have all rights and obligations of the unit owner of the unit in the original condominium from which the new condominium is created.

AB647,20,10 d. All assessments and other expenses chargeable to the unit from which the new condominium is created shall be common expenses of the new condominium.

AB647,20,13 e. Upon the creation of separate tax parcels under s. 703.21 for the units in the newly created condominium, the unit subjected to the condominium form of ownership shall cease to be a separate tax parcel under s. 703.21.

AB647,20,15 f. Creation of the new condominium shall not require the unit from which the new condominium is created to be removed from the provisions of this chapter.

AB647,20,19 4. If permitted in the declaration, a condominium unit may be the property upon which another ownership entity is based if the organizational and operating documents are legally sufficient to create the proposed interests and any entity involved.

AB647, s. 48 Section 48. 703.13 (7) (d) of the statutes is renumbered 703.13 (7) (b) 4. and amended to read:

AB647,21,3 703.13 (7) (b) 4. After appropriate instruments have been prepared and executed, they shall be delivered promptly to the separator upon payment by him or her of all reasonable cost for their preparation. Those instruments are effective when the separator has executed them and they are recorded. The recording of the instruments is conclusive evidence that the separation did not violate any restrictions or limitation specified by the condominium instruments and that any reallocations made under this subsection paragraph were reasonable.

AB647, s. 49 Section 49. 703.13 (7) (dm) of the statutes is created to read:

AB647,21,6 703.13 (7) (dm) All interests created in connection with the separation of a unit remain subject to the condominium instruments and association documents.

AB647, s. 50 Section 50. 703.13 (8) (b) of the statutes is amended to read:

AB647,21,23 703.13 (8) (b) If the unit owners of adjoining units that may be merged desire to merge the units and the association determines that the merger does not violate the condominium instruments, the unit owners, after providing 30 days' written notice to all other unit owners, shall prepare and execute appropriate instruments under this subsection. An amendment to the condominium instruments shall assign a new identifying number designation to the new unit created by the merger of the units, which designation may be the original designation of one of the merged units, and shall allocate to the new unit all of the undivided interest in the common elements and rights to use the limited common elements and the votes in the association formerly appertaining to the separate units. The amendment shall reflect an allocation to the new unit of the liability for common expenses and rights to common surpluses formerly appertaining to the separate units. An amendment to a declaration under this paragraph shall be adopted either under s. 703.09 (2) or by the written consent of the owners of the units to be merged, the written consent by or on behalf of the first mortgagees of those units, if any, and the written consent of the board of directors of the association.

AB647, s. 51 Section 51. 703.13 (8) (c) of the statutes is amended to read:

AB647,22,5 703.13 (8) (c) Plats and plans showing the boundaries and dimensions of the new unit, together with the new identifying number or letter designation, shall be prepared. The plats and plans shall be certified as to their accuracy and compliance with this subsection by a civil engineer, architect, or licensed land surveyor authorized to practice in this state.

AB647, s. 52 Section 52. 703.14 (1) of the statutes is amended to read:

AB647,22,13 703.14 (1) The common elements may be used only for the purposes for which they were intended and, except as provided in the condominium instruments or association bylaws or rules, the common elements are subject to mutual rights of support, access, use, and enjoyment by all unit owners. However, any portion of the common elements designated as limited common elements may be used only by the unit owner of the unit to which their use is limited in the condominium instruments and association bylaws and rules.

AB647, s. 53 Section 53. 703.15 (2) (a) of the statutes is amended to read:

AB647,22,25 703.15 (2) (a) Establishment. Every Unless the declarant shall establish earlier establishes an association to govern the condominium not later than, as of the date of the first conveyance of a unit to a purchaser, an association shall immediately exist to govern the affairs of the condominium. The association shall be organized as a profit or nonprofit corporation or exist as an unincorporated association, unless the declarant has organized it as a nonprofit corporation before the first conveyance. After it is organized, the the first conveyance, the association may be organized as a nonprofit corporation only with the consent of all of the unit owners. The declarant shall operate the association until the declarant transfers control of the association to the unit owners. The membership of the association shall at all times consist exclusively of all of the unit owners.

AB647, s. 54 Section 54. 703.15 (2) (b) of the statutes is amended to read:

AB647,23,5 703.15 (2) (b) Power and responsibility prior to establishment existence . Until an association is established exists under par. (a), a declarant has the power and responsibility to act in all instances where this chapter, any other provision of the law, or the declaration require action by the association or its officers.

AB647, s. 55 Section 55. 703.15 (2) (c) 1. (intro.) of the statutes is amended to read:

AB647,23,12 703.15 (2) (c) 1. (intro.) Except as provided in par. (d), a declarant may authorize the declarant or persons designated by him or her to appoint and remove the officers of the association or to exercise the powers and responsibilities otherwise assigned by the declaration or this chapter to the association or its officers. A declaration may not authorize any declarant control of the association for a period exceeding the earlier of any of the following:

AB647, s. 56 Section 56. 703.15 (2) (c) 1. a. of the statutes is amended to read:

AB647,23,15 703.15 (2) (c) 1. a. Ten Except as provided in subd. 1. c., 10 years in the case of an expandable condominium.

AB647, s. 57 Section 57. 703.15 (2) (c) 1. b. of the statutes is amended to read:

AB647,23,18 703.15 (2) (c) 1. b. Three Except as provided in subd. 1. c., 3 years in the case of any other condominium.