Can Florida Condominiums Prevent Unit Owners from Installing Natural Gas Fuel Stations?

By Anita Byer, Setnor Byer Insurance & Risk

The Florida Legislature has a history of volunteering (i.e., forcing) condominium associations to join the Green Movement. A couple of years ago, lawmakers were focused on electric vehicles. This year it was natural gas vehicles. As a result, unit owners now have the right to install not just electric vehicle charging stations, but natural gas fuel stations as well. This right, however, is not absolute. The new law contains various conditions and requirements that must be observed when installing a natural gas fuel station.

The new provisions governing the installation of natural gas fuel stations were added to the previously enacted statute governing the installation of electric vehicle charging stations. Consequently, the conditions and requirements that must be observed are nearly identical for both types of installations. Let’s take a closer look.

As of July 1, 2021, unit owners have an implied easement across the common elements to install natural gas fuel stations for their vehicles within the boundaries of their limited common element or exclusively designated parking area. The association board may not prohibit any such installation regardless of any restrictive covenant or provision to the contrary in the declaration of condominium, as long as:

  • the installation does not cause irreparable damage to condominium property;
  • the electricity powering the natural gas fuel station is metered separately (or by an embedded meter) and is paid for by the unit owner or their successor;
  • the cost to supply and store natural gas fuel is paid by the unit owner or their successor;
  • the unit owner pays the costs of installation, operation, maintenance and repair; and
  • the unit owner maintains and pays for hazard and liability insurance to cover the charging station.

The unit owner is also responsible for complying with all federal, state or local laws and regulations applicable to the installation, maintenance or removal of a natural gas fuel station. Moreover, associations can also require unit owners to:

  • comply with bona fide safety requirements and applicable building codes;
  • comply with reasonable architectural standards adopted by the association (dimensions, placement, external appearance);
  • hire licensed, registered and experienced firms;
  • provide a certificate of insurance naming the association as an additional insured on the owner’s insurance policy for any claim related to the installation, maintenance or use of the natural gas fuel station within 14 days; and
  • reimburse the association for the actual cost of any increased insurance premium amount attributable to the natural gas fuel station within 14 days.

To ensure compliance under the amended statute, condominium associations should consult with licensed professionals prior to taking any action involving natural gas fuel stations. Setnor Byer Insurance & Risk is available to discuss ways to identify, manage and insure the new risks created by the installation, maintenance and use of natural gas fuel stations. Contact us to discuss the benefits of our Condominium Insurance Program.

Legislative Update: Multiple Amendments to Florida’s Condominium Act Took Effect July 1st

By Anita Byer, Setnor Byer Insurance & Risk

Did you know that multiple changes to Florida’s Condominium Act went into effect July 1, 2021? As a result, board members have an obligation to find out if and how these new and amended laws may affect their condominium association and its operations. These changes may not be major or momentous, but they can be particularly significant to many, if not most associations. For condominium associations, this new legislation includes provisions that:

  • Reduce the time period an association must maintain official records of bids for work, equipment or services from seven years to one year after receipt of the bid.
  • Allow a renter to inspect and copy the declaration of condominium.
  • Permit associations with 150 or more units to make official records available for inspection through an application that can be downloaded to a mobile device.
  • Provide that only a board member’s service that occurs on or after July 1, 2018, may be used when calculating a board member’s term limit.
  • Permit associations to electronically transmit the written notice of a meeting.
  • Increase the maximum permissible fee an association may charge for the transfer of a unit from $100 to $150 (with adjustments every five years thereafter).
  • Remove the prohibition against an association employing or contracting with a service provider that is owned or operated by a board member or person who has a financial relationship with a board member or officer.
  • Permit unit owners to install charging stations for electric or natural gas fuel vehicles on a parking area exclusively designated for use by the unit owner. (Unit owners are responsible for the costs related to the installation, maintenance and removal of their charging stations.)
  • Authorize the association board to make available, install or operate an electric vehicle charging station or a natural gas fuel station upon the common elements or association property, and to establish the charges or the manner of payments for the unit owners, residents or guests who use the electric vehicle charging station or natural gas fuel station.

Board members should be reviewing all new condominium-specific legislation, as well as any other applicable statutory amendments, to ensure compliance. Depending on the circumstances, consultation with the association’s attorney may be necessary. Setnor Byer Insurance & Risk can help associations and board members identify, manage and insure their unique risks. Please contact our team to discuss the various risk management services we provide our condominium association clients, including our Unit Owner Report Line and Division-Approved New Board Member Education.