HomeMy Public PortalAboutLTC 046-2015 - 2015 Florida Legislative Session - Week 1 ReportSAL HARBOUR
F L O R I D A- S A P A R A D I S E
OFFICE OF THE VILLAGE MANAGER
NO. 046-2015 LETTER TO COUNCIL
TO: Mayor Martin Packer and Members of the Village Council
FROM: Jorge M. Gonzalez, Village Manager
DATE: March 9, 2015
SUBJECT: 2015 Florida Legislative Session — Week 1 Report
The purpose of this Letter to Council (LTC) is to transmit the 2015 Florida Legislative
Session — Week 1 report for the week of March 2 — 6, 2015 provided by Ron L. Book.
Please let me know if you need additional information.
Ronald L, Book, P A.
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2015 Session
Week 1 Report
The 2015 Regular Session began Tuesday of this week, with speeches from both Senate President
Gardiner and Speaker of the Florida House, Crisafulli, outlining their goals for their respective Houses,
for this Session and for Florida. Mid morning Tuesday, Governor Scott also gave his opening day
remarks, touting his jobs record, the increasingly positive Florida economy, and his goals for his next
four-year term as Governor. Highlights of the Governor's speech include the addition of 728,000 new
private -sector jobs in the last four years, and cited that Florida has 279,000 job openings at the time of his
speech. The Governor also noted that Florida's employment rate has dropped to 5.7 percent, that Florida
is breaking records in tourism numbers, and is at a 43-year-low in the state crime rate. The Governor
reiterated his goal of continuing to make Florida the best place to find a job and raise a family, by
continuing to add investments in education, cut taxes, lowering the cost of higher education, and
improving workforce development.
We expect another hectic session and will continue to keep you updated on issues as they move through
the process. As bills continue to be heard, we will add to our weekly reports. At the end of each week, we
will send a comprehensive report on the legislative session and issues affecting local governments.
Included in this report, are the following topics:
• Pension Reform
• Gaming
• Local Government Regulation — Various Issues
• Amendment 1 and Environment
• Red Light Cameras
• Taxi, Limousines and Uber - Preemption of Local Governments
• Film and Entertainment Incentives
• Health Insurance Coverage for Emergency Services
Should you have any questions regarding legislation or legislative action, please do not hesitate to call or
email us.
WATER PROJECTS AND BEACH RENOURISHMENT
As the legislative process moves forward, we continue to work with both Representative Albritton, Chair
of the House Natural Resources Appropriations Committee and the Senator Hays, Chairman of the Senate
Appropriations Subcommittee on General Government. As the Legislature restructures the State Budget
to focus Amendment 1 spending on the environment, water projects, beach renourishment will be front
and center. We continue to advocate for funding for water and beach renourishment projects and will
continue to update you as the budget process moves forward.
Harbour Centre 118851 N.E. 29th Ave., Ste. 1010 1 Aventura, FL 33180
Phone: 305.935.18661 Fax: 305.935.9737
104 West Jefferson Street I Tallahassee, FL 32301
Phone: 850.224.3427 1 Fax 850.224.3361
PENSION REFORM
Local Government Pension Reform: SB 172 by Senators Bradley and Ring, passed the Senate
Governmental Oversight and Accountability, 5 — 0, and the Community Affairs committee, by a vote of 6
— 0, during February committee meetings. The bill will next be heard in the Senate Committee on Fiscal
Policy, chaired by Senator Flores. It should be noted that this bill, this session, is not supported by the
Florida League of Cities.
The bill addresses two areas of reform: the minimum benefit accrual rate and the insurance premium tax
revenues.
Minimum Benefit Accrual Rate: The bill changes the minimum benefit accrual rate from 2.0 percent to
2.75 percent annual accrual. However if a plan is below 2.75% accrual rate on July 1, 2014, the city must
maintain the rate as of July 1, 2014. If the plan is currently above or goes above the 2.75% accrual rate in
the future, you must remain at 2.75% or greater.
Insurance Premium Tax Revenues: Senator Ring explained that this section of the bill is bifurcated into
two tracts. First, it addresses pre-1997 insurance premium taxes, where those revenues are used to meet
plan minimums. Over the 2013 level, of the additional premium taxes, 50% go to fund minimums and
50% go into a defined contribution plan.
And secondly, post-1997 to 2012, insurance premium taxes are used to pay for benefits above the
minimum. If the insurance premium tax revenue funds full cost of the benefits over minimum, any excess
revenue is to be used for 50% defined contribution plan and 50% plan minimums. In addition, any new
plans created after July 1 2014, must meet new plan minimums, and 50% of taxes would be used for
defined benefits and 50% to be used for defined contribution.
By mutual consent of the negotiating entities — the members' collective bargaining representative or, if
there is none, by majority consent of the members' of the fund, and the consent of the municipality (or
special fire control district) — plans may deviate from the above use of premium taxes, as long as
minimums are met. If a plan is below minimums on October 1, 2012, it may continue under mutual
consent. Without mutual consent, all accumulated dollars from 1997 to 2013, for plans under 100%
funded, are split 50% to the plans' participants and 50% to the UAL. Without mutual consent, all
accumulated dollars from 1997 to 2013, for plans at 100% funded, are going 100% to special benefits.
Local Government Pension Reform HB 341 by Representative Cummings — Revises provisions
addressing firefighter pension trust funds; revises provisions for distribution of insurance premium tax
revenues under certain retirement plans; revises calculation of retirement income for firefighters and
police officers; revises provisions addressing police officer retirement trust funds. HB 341 has been
referenced to the following committees: Government Operations Subcommittee; Finance and Tax
Committee and the State Affairs Committee. This bill has not yet been heard.
Retirement HB 1279 by Representative Adkins — This bill was filed this week, and revises membership
and requirements for board of trustees of firefighters' pension trust fund and municipal police officers'
retirement trust fund; provides duties of board relating to reporting of expenses and operation under
administrative expense budget; revises requirements for retirement; revises provisions relating to
municipalities and special fire control districts that have their own pension plans and want to participate
in distribution of tax fund; revises duties of board of trustees of pension plan; revises criteria governing
use of premium tax revenues. This bill has not been referenced.
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GAMING
Gaming HB 1233 by Representative Young — This is an omnibus gaming bill that comprehensively
addresses gaming in Florida. The bill does the following:
• Allows two destination resort licenses for Florida. The bill provides incentives for resort casinos
to buy existing permits instead of obtaining new ones. Those casinos would also have to make a
$2 billion capital investment and pay a minimum of $175 million in taxes per year, gain the
support of local governments via referendum . 10 % of the resort casino's floor space would be
dedicated to games.
• Decouples greyhound racing and gambling.
• Dog tracks would be required to report animal injuries
• Creates a new Department of Gaming Control which would oversee all gambling related
activities. This would replace and expand on the Division of Pari-Mutuel Wagering and would be
funded through a new trust fund created by HB 1237
• Reduces existing pari-mutuel tax rate from 35 %to 25 %
• Ends all tax credits for dog tracks and allows four tracks to operate in the state
• Palm Beach and Lee counties could also operate slot machines at their dog tracks or at stand-
alone facilities. (each county has passed a referendum for slot machines.)
• Create a moratorium on new gambling permits.
Relating to Greyhound Racing Injuries SB 2 by Senator Sobel - The "Victoria Q. Gaetz Racing
Greyhound Protection Act;" requires injuries to racing greyhounds to be reported on a form adopted by
the Division of Pari-mutuel Wagering in the Department of Business and Professional Regulation.
Passed the Senate with a vote of 38-0, and is in messages to the House.
Greyhound Racing Injuries HB 129 by Representative Moskowitz - This bill has not yet been heard,
but has been referenced to the following committees: Business and Professions Subcommittee;
Appropriations Committee; Regulatory Affairs Committee.
LOCAL GOVERNMENT REGULATION
Disposable Plastic Bags HB 661 by Representative Richardson and co -sponsored by Representatives
Geller, Jacobs, Rehwinkel Vasilinda, Rodriguez (J), Watson (C) would authorize local governments, with
a population of fewer than 100,000, to establish pilot programs for regulation or ban of disposable plastic
bags. A total preemption of local government regulation of plastic bag use was passed in the 2008 regular
Session.
This bill requires that a municipality (of fewer than 100,000) who establishes a pilot program, shall do the
following:
• By December 31, 2015, enact an ordinance for the regulation or ban of disposable plastic bags
that begins January 1, 2016, and expires June 30, 2018. Such ordinance may not include any new
taxes or fees on the use or distribution of disposable plastic bags.
• Collect data pertaining to the impact of the ban.
• By April 1, 2018, submit a report on the impact of the ban to the governing body of the
municipality at a public hearing that is open to comments from the public.
• Provide a copy of the report to the department.
• A municipality may continue to regulate or ban disposable plastic bags after June 30, 2018, if the
municipality enacts an ordinance after April 1, 2018, indicating that the municipality will
continue the regulation or ban of plastic bags, notwithstanding s. 403.7033.
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HB 661 has been referenced to the following committees: Agriculture and Natural Resources
Subcommittee, Business and Professions Subcommittee, Local Government Affairs Subcommittee, and
the State Affairs Committee.
The Senate companion, SB 966, has been filed by Senator Bullard and referred to the following
committees: Environmental Preservation and Conservation, Community Affairs, and Fiscal Policy.
Neither bill has been heard to date.
Sober Homes SB 326 sponsored by Senator Clemens, was heard this week and amended to accomplish
the following:
• Directs the Department of Children and Families to approve at least one credentialing entity for
the voluntary certification of recovery residences by December 1, 2015.
• Limits the requirement to conduct level 2 background screening to owners, directors and chief
financial officers and deny a recovery residence's application if any owner, director, or chief
financial officer has been found guilty of, regardless of adjudication to any offense listed in s.
435.04(2), F.S. unless the department has issued an exemption under s. 397.4872, F.S.
• The committee substitute directs the credentialing entity to establish application, examination,
and certification fees which shall not exceed $225 and an annual certification renewal fee which
shall not exceed $100.
• Provides for the immediate removal a certified recovery residence administrator who is arrested
or found guilty of certain offenses outlined in the bill. Provides notification requirements;
timeframe within which to hire a new administrator and revocation of certificate for failure to
follow requirements.
• Provides criteria for a certified recovery residence administrator to qualify a recovery residence
for referrals from licensed service providers and allows the administrator to act as a qualifying
agent for only one recovery residence at any given time.
• The committee substitute clarifies that exemptions from disqualifying offenses for staff or
administrators cannot be granted under any circumstances for certain types of offenses.
SB 326 by Senator Clemens, passed the Senate Committee on Children, Families, and Elder Affairs by a
vote of 4 — 0, and is now on the agenda for the Appropriations Subcommittee on Health and Human
Services, next week.
Sober Homes / Substance Abuse Services HB 21 by Representative Hager - The House companion,
passed through its first committee 11 — 0, but was not heard this week. However, the bill has had a
committee reference removed, clearing the way for it to be heard next in its last committee, Health and
Human Services.
Communication Services Tax (CST) SB 110 by Senator Hukill — The committee substitute for SB 110:
• Reduces the state portion of the CST rate by 3.6 percent, from 6.65 percent to 3.05 percent, and
the tax rate on direct -to -home satellite services, from 10.8 percent to 7.2 percent.
• Makes conforming changes to the combined billing rate for CST and gross receipts tax by
reducing it by 3.6 percent, from 6.8 percent to 3.2 percent.
• Delays the implementation of the distribution for direct -to -home satellite services revenues to
August 1, 2015 and for the remaining tax revenue received from the CST to September 1, 2015.
• Reduces the percentage of direct -to -home satellite CST tax revenues allocated to the state from
63 percent to 44.5 percent to ensure that local governments continue to receive the same amount
of distributions as they receive under current law.
• Revises the following distributed amounts:
o Increases to 9.0739 percent from 8.8854 percent the amount remitted by a sales tax dealer
located within a participating county that is transferred into the Local Government Half -
cent Sales Tax Clearing Trust Fund.
o Increases to 0.0976 percent from 0.0956 percent of the available proceeds that are to be
transferred to the Local Government Half -cent Sales Clearing Trust Fund for emergency
distribution.
o Increases to 2.1039 percent from 2.0603 percent of the available proceeds that are to be
transferred to the Revenue Sharing Trust Fund for counties.
o Increases to 1.3803 percent from 1.3517 percent of the available proceeds that are
transferred to the Revenue Sharing Trust Fund for municipalities.
o Revises the effective date clause to reflect the different implementing dates in the act and
changes the effective date to July 1, 2015 from upon becoming a law.
SB 110 has passed the Communications, Energy, and Public Utilities with a vote of 7 — 0 and will next be
heard in Finance and Tax, which is chaired by this bill sponsor, Senator Hukill.
Local Government Construction Preferences HB 113 by Representative Perry would prohibit local
ordinances and regulations from restricting competition for award of construction services; requires state
college, school district, or other political subdivision to make disclosures in competitive solicitation
documents.
HB 113 has passed the Local Government Affairs Subcommittee, 6 — 5 and will next be heard in
Appropriations.
SB 778 by Senator Hays is the companion bill. This bill has passed Senate Community Affairs by a vote
of 5 — 2 and will next be heard in Governmental Oversight and Accountability.
Local Government Services / Municipal Utility Services: HB 337 by Representative Mayfield would
have adversely affected a municipality's ability to regulate services provided outside of the municipal
boundaries. We have discussed this bill with the sponsor and the bill is going to be withdrawn from
further consideration. It may be reintroduced as a local bill this year that would only affect the Indian
River County area. Additionally, the Senate companion, SB 442 by Senator Altman was temporarily
postponed and is not expected to be heard.
Regional Planning Councils SB 484 by Senator Simpson (the House companion is HB 873 by
Representative Mayfield) as originally filed would have eliminated the 11 Regional Planning Councils.
We have been working with Senator Simpson on a strike -everything amendment that would reduce the
RPCs from 11 to 10, eliminate duties that are duplicative and obsolete, and fund the RPCs with $2.5
million as has been funded in past years. The bill will be heard next week in Senate Community Affairs,
which is chaired by the bill sponsor.
Senate Enterprise Zone Proposal: The Florida Enterprise Zone (EZ) program set forth in statute,
sunsets, or expires, in 2015. A strong majority of Senate and House Leadership feel that the EZ program
needs to be wholly rewritten or allowed to sunset. Leadership has remained skeptical of the value of the
Enterprise Zone program. Over several committee weeks, both the House and Senate have held
workshops on the program. The Florida League of Cities and Florida Association of Counties have
continued to represent the benefits of specific portions of the EZ programs across the state and advocate
in favor of the program extension. At this time the outlook is not certain. Last week, Florida Tax Watch
released a study supporting the program and recommended changes to the marketing strategy, which
should be more focused on jobs created in beginning and second stage companies, and recommended
creating a multiple tiered system that would be more suited to small and large businesses.
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SB 392 sponsored by Senator Clemens would revise the Enterprise Zone Act, and has been referenced to
four committees: Commerce and Tourism, Finance and Tax, Appropriations Subcommittee on
Transportation, Tourism, and Economic Development, and the full Appropriations committee.
House Enterprise Zone Proposal - EDTS 3 - The House released an economic development package
that did address the Enterprise Zone program. Proposed Committee Bill (PCB) EDTS 3, does not
reauthorize the state Enterprise Zone (EZ) program, but allows for a local EZ program without any state
dollars. The local program is optional, however, if a local government creates a new EZ, the bill exempts
newly established or expanding businesses from paying local business taxes, impact fees, building permit
fees and any local special assessments. Additionally, the bill would exempt these businesses from
complying with local sign ordinances, tree ordinances and would prohibit local governments from issuing
a citation or civil code ordinance violation within the newly established local zone, for 24 months.
It prohibits local governments from imposing impact fees on small businesses of 12 or less employees
and buildings less than 6000 square feet. The bill also extends permit expirations for two more years,
issued by DEP or the Water Management District, and local development orders and building permits.
Vacation Rentals / Public Lodging Establishments: HB 4009 by Representative Eagle would delete the
term and definition of vacation rentals and transient apartments, from classification and regulation as
public lodging establishments. However, this bill has not been heard to date, and there is no Senate
companion filed.
AMENDMENT 1 & ENVIRONMENT
Amendment 1 Implementation: The series of bills filed by Senator Dean which begin to implement
Amendment 1, unanimously passed the Senate Committee on Environmental Preservation and
Conservation. These bills restructure the state's existing trust funds that are directed state dollars from the
state documentary stamp tax, and they create a new trust fund where 33 percent of the revenue generated
by the tax is to be diverted as per Amendment 1.
These bills are SB 584, SB 586, SB 576, SB 578, SB 580 and SB 582.
This week, Representative Boyd has filed three bills to restructure the state's trust funds in order to
implement Amendment #1. These bills are HB 1291, HB 1293, and HB 1295.
Affordable Housing/SB 586: The industry and its advocates took issue with SB 586 which establishes
the distribution of 33% of the documentary stamp tax revenues go to the Land Acquisition Trust Fund. As
a result of SB 586 and its method of restructuring how doe stamp money is distributed, the bill would
significantly reduce funds that go into the housing trust funds, as the total amount of doe stamp revenue
collected, now 33% goes toward the Land Acquisition Trust Fund first, then the distribution of remaining
funds is allocated. The percentage is the same but the amount of doe stamp funding is lower, therefore the
distributed funds to the housing trust funds is lower. Senator Smith filed an amendment to essentially hold
the affordable housing trust funds harmless, but withdrew the amendment in committee and the bill
passed 5 - 2. SB 586 will be heard in the Senate Appropriations Subcommittee on General Government,
next week.
Water Policy — SB 7003 sponsored by Chairman Caldwell of the House State Affairs committee was
heard in the House Appropriations committee this week. The Chairman stated that the bill sets forth water
policy that builds upon the existing foundation of science -based assessment, and establishment of Total
Maximum Daily Loads, (TMDL), the Minimum Flows And Levels, (MFL), the Basin Management
Action Plan, (BMAP) and the recovery and prevention strategies to protect and restore our first magnitude
springs. The bill codifies the Central Florida Water Initiative, strengthens the water supply planning
WOE
process, ensures timely implementation of strategies to meet the minimum flows and levels, modernizes
the northern Everglades and estuaries protection program. The bill summary is as follows:
Under current law, if water quality minimum standards are not being met, even though farmers are
implementing Best Management Practices (BMP), the Department of Agriculture and Consumer Services
(DACS) is the only authorized entity to reevaluate those BMPs. The PCB authorizes DACS, the
Department of Environmental Protection (DEP), and the Water Management Districts (WMD) to each
have the same ability to initiate the re-evaluation of those BMPs (specifically raised to the committee by
the Nature Conservancy and the Audubon Society).
The bill clarifies that land owners who are complying with the Everglades Agricultural Area (EAA)
BMPs, are not required to implement duplicative DACS BMPs, if their property is also located within the
Lake Okeechobee watershed, unless the agencies determine that new or improved BMPs are needed to
meet the TMDL for the Lake Okeechobee watershed.
In the Springs area, the Springs Protections measures in the original PCB, only applied to first magnitude
springs. This strike everything amendment expands the protections to all second magnitude springs,
located in a state or federal land, as well as the first magnitude springs.
The bill removes the requirement for DEP to adopt Springs Protection Zones, which would be
duplicative, the committee will be focusing efforts through this amendment on the BMAP process. It sets
a hard deadline of December 1, 2018, for DEP to establish the TMDLs and BMAPs for the impaired
priority Springs. (raised to the committee by the Sierra Club). The strike all amendment also requires
agricultural operations to implement BMPs if they are located within the area of the BMAP.
Lastly, the language adds several requirements to the regional water supply planning process, and shifts
those requirements to the Water Management District's 5-year water resource development work
program. Requires the work programs to include an annual funding plan for water resource and water
supply development projects.
In its hearing in the Appropriations committee, the bill was amended with the following provisions:
First, an amendment passed requiring the Department to form a working group in areas where sewage
treatment and disposal systems represent a source of excess nitrate in springs or spring systems, that must
be controlled to meet a total maximum daily load. This amendment also allows for the legislature to
establish annual funding to assist these areas to accomplish this goal.
Additional language was added to the bill that clarifies local government responsibilities. The amendment
removed a provision that would give primary responsibility to local governments to provide urban
stormwater management and domestic wastewater management, and clarifying that "Local governments
have primary responsibility for providing urban stormwater management services pursuant to the
provisions of their municipal separate storm sewer system permit and the operation of wastewater
collection and treatment facilities."
HB 7003 passed the Appropriations committee by a vote of 22 — 3, and this week, passed the full House,
106 — 9.
Senator Dean filed the Senate companion, SB 918, which will be heard in the Senate Committee on
Environmental Preservation and Conservation, next week.
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RED LIGHT CAMERAS
Red Light Cameras: SB 1184 by Senator Brandes, is an omnibus Department of Highway Safety and
Motor Vehicles (DHSMV) bill. However, it includes language that would address local governments who
administer a red light camera program, including the following:
• Specifies information a county or municipality operating a traffic infraction detector must submit
in its annual report to DHSMV, and provides a penalty for counties or municipalities not
compliant with the reporting requirements.
• Prohibits the issuance of notices of violation or uniform traffic citations through the use of traffic
infraction detectors not compliant with all specifications.
• Requires DOT to identify engineering countermeasures to reduce violations before installing a
traffic infraction detector.
• Requires that the decision to place a new traffic infraction detector on any roadway be based on a
traffic engineering study.
HB 4025 by Representative Artiles has been filed in the House, which repeals the red light camera
program.
TAXI, LIMOUSINES AND UBER - PREEMPTION OF LOCAL GOVERNMENTS
Taxi, Chauffeured Limousines and Uber Preemption of Local Governments: HB 817 by
Representative Gaetz was filed this week, to organize regulation of the ride sharing industry popularized
by Uber and Lyft. The bill does the following:
• This bill creates a preemption to the state for regulation of transportation network companies.
• Creates s. 316.680, F.S., called Transportation Network Companies, to establish definitions for
these companies, drivers and the service. It defines the term trip, defines that a transportation
network company or its driver is not a common carrier, meaning that these drivers do not provide
taxi or for -hire service.
• Requires that a person wishing to operate a transportation network company (TNC) obtain a state
permit to do so, for an annual permit fee of $5,000.
• Provides that if a TNC charges a fare, that it must disclose the fare calculation method on its
website or within the digital network software application service. Before the passenger enters the
driver's vehicle, the company would be required to provide the passenger with the applicable rates
being charged and the option to receive an estimated fare.
• Sets a process by which the driver and vehicle must provide identification on the company's
software application service or website, complete with a picture of the driver and the license plate
number of the motor vehicle before the passenger enters the driver's vehicle.
• Requires the Department to set up a process by which the TNC must provide a receipt for the
service, within "a reasonable amount of time".
• Requires that beginning October 1, 2015, companies and transportation network company drivers
must comply with automobile liability insurance requirements of the bill that set forth standards
for when a driver is logged in but not providing service, when the driver is providing service,
specifics on when the driver or the company is providing insurance, and that the company is
required to provide insurance if the driver's insurance is not active or has lapsed.
• Provides that a company must establish a zero tolerance policy for drug or alcohol use by the
driver.
• Establishes requirements for background and criminal checks for drivers.
• Require that a motor vehicle used by a driver to provide transportation network company service
meets the vehicle safety and emissions requirements for a private motor vehicle of the state in
which the vehicle is registered.
" E s t a b l i s h e s p r o h i b i t e d c o n d u c t , a n o n d i s c r i m i n a t i o n p o l i c y f o r r i d e r s , a n d c o n f i d e n t i a l i t y o f a
r i d e r s '