What is the Florida Milestone Inspection and How Does it Affect Your Condo?

In May of 2022, the Florida Legislature passed Senate Bill 4-D, creating new requirements for condo and co-op buildings that are 3 or more stories tall. The bill establishes a statewide inspection program that now requires condo and co-op associations to complete Milestone Structural Inspections and perform structural integrity  reserve studies, to ensure that condo and co-op buildings are going to be safe for present and future use.

However, despite the many news headlines and chatter about the requirements, some associations and condo owners are still unsure about what the bill requires and when. We’ve taken the time to break down the requirements below in hopes of clearing up some of the uncertainty. If you’re a condo owner or thinking about purchasing a condo in Pinellas County or the Tampa Bay real estate market, then keep reading below to get all the info!

SB-4 Deadlines Explained:

For Phase 1 Milestone Inspections, the state has further requirements in addition to the dates above as follows:

• The inspections must be performed by a Florida licensed engineer or architect.

• The inspection requires visual inspections of the primary structural members and systems. 

• The Phase 1 Inspection must identify any substantial structural deterioration that negatively affects the building's general condition, integrity,  or life-safety of occupants. 

•  The inspector must document any unsafe or dangerous conditions that might be present. 

• The report needs to include determination of any items requiring further inspection and necessary maintenance, repair, or replacement of structural components. 

• The condo association is responsible for all costs associated with performing the milestone structural inspection. 

Phase 2 Milestone Inspections

• After a Florida-licensed engineer or architect performs a phase 1 inspection, if a Phase 2 inspection is necessary, it could involve additional steps such as materials testing, probing or removal of finishes, or non-destructive testing, such as ground penetrating radar. 

• Following the additional testing, a report, describing the manner and types of inspections completed will be provided. This report will document if unsafe conditions were observed, the extent of any structural deterioration, and recommendations for needed maintenance, repairs, or replacement of structural components. 

Things to Remember About Milestone Inspections:

Even if visual signs of deterioration are not visible to condo owners, additional testing may be required, based on the age and composition of structural materials. Valid reports must be signed and sealed by a licensed professionals who performed the inspections and the reports must be issued to associations and local building officials. A summary must also be posted in the building and given to all unit owners. 

Any willful and knowing failure by an officer or director of a condo association to have a milestone inspection performed is a considered a breach of the officer's and director's fiduciary responsibility. 

Last, But Not Least, Structural Integrity Reserve Studies:

 Regardless of distance from the coastline, any associations existing on July 1st, 2022 that are controlled by non-developer unit owners shall be required to complete a Structural Integrity Reserve Study by December 31st, 2024, then again every 10 years. 

The new law requires that unit-owner controlled condo associations must properly fund their reserves for future major repairs and replacement of common area based on visual inspections of the common areas. 

Just like the Milestone Inspection, the Reserve Study must be completed by a Florida licensed engineer or architect. They will determine the estimated useful like of each common area element being inspection, estimated replacement or repair costs, and recommend the annual reserve amount needed handle the maintenance and repairs going forward. The studies must be maintained for 15 years after completion. 

Using or reducing the funds set aside for these projects will be prohibited, as they can only be used for the items ID'd in the study. 

Here's a List of Common Items Required to be Included in the Study:

• Roofs

• Load-Bearing Walls

• Primary Structural Members

• Floors

• Foundations

• Fireproofing & Fire Protection Systems

• Plumbing

• Electrical Systems

• Waterproofing and Exterior Paint

• Windows

• Mechanical Systems

• Any Item with a Deferred Maintenance or Replacement Cost of More Than $10,000, if Failure to Replace or Maintain that Item Negatively Affects the Building's Structural Integrity. 

We hope this guide becomes a useful resource for folks who already own a condo in Florida and anyone thinking of buying a condo in Florida that would like to better understand this law. 

For more information on the Tampa Bay and Pinellas County condo market, feel free to message us by clicking HERE or give us a call at (727) 400-3315.