LTC 121-2013 Legislative Update Gib
MIAMBEACH
OFFICE OF THE CITY MANAGER
NO. LTC # 121 -2013 LETTER TO COMMISSION
TO: Mayor Matti Herrera Bower and Me nbers of t City Commission
FROM: Jimmy L. Morales, City Manager
DATE: April 9; 2013
SUBJECT: Legislative Update
The purpose of this LTC is to provide the Mayor and City Commission with the attached
update on week five of the Florida Legislative Session.
The Administration will continue working with the City's representatives in support of the
legislative agenda, and will provide weekly updates via LTC during the Session. In the
meantime, if you have any questions please do not hesitate to contact me.
JLM /MAS /kc
Attachment:
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RUTLEDGE ECEN.0
PROFESSIONAL ASSOCIATION
ATTORNEYS AND COUNSELORS AT LAW
MICHAEL J. BARRY MARSHA E. RULE
STEPHEN A. ECENIA POST OFFICE BOX 551, 32302 -0551 GARY R. RUTLEDGE
RICHARD M. ELLIS 119 SOUTH MONROE STREET, SUITE 202 MAGGIE M. SCHULTZ
DIANA FERGUSON TALLAHASSEE, FLORIDA 32301 -1841 GABRIEL F.V. WARREN
MARTIN P. McDONNELL -------- - - - - --
J. STEPHEN MENTON HAROLD F.X. PURNELL .
R. DAVID PRESCOTT OF COUNSEL
TELEPHONE (850) 681 -6788 GOVERNMENTAL CONSULTANT
TELECOPIER (850) 681 -6515 JONATHAN M. COSTELLO
MEMORANDUM
To: Kevin Crowder
Via electronic mail
From: Gary Rutledge
Diana Ferguson
Jon Costello
Copy :. Fausto Gomez
Bob Levy
Manny Reyes
Evan Power
Jose Diaz ,
Erica Chanti
Date: April 5, 2013
RE: 2013 Legislative Report, Week 5
Critical Legislative Priorities
Stadium Funding
HB 165 by Representative Gonzalez passed the House Economic Affairs Committee 10 -7 this
week. The Chair, Representative Jimmy Patronis, voted no, as did two members of the Miami-
Dade delegation, Representatives Oliva and Trujillo. This bill has one committee remaining. SB
306 is also in its last committee. The bills contain differing provisions as this point. HB 165
now contains a "pay back" provision which states that sales tax rebates will be repaid,' with
interest on the bonds, at the end of the thirty -year period during which they are received. SB 306
would provide one $15 million pot of money and all professional sports facilities would have to
compete to receive a portion of the funds. The Department of Economic Opportunity would rank
the economic impact of the teams seeking government assistance and the economic impact of the
stadium work.
Legislative Priorities
Pension Reform
SB 534.by.Senator Brandes and HB 599 by Representative Caldwell provide that the state is not
liable for shortfalls in local government retirement - pensions and plans. They require defined
benefit systems or plans to report certain information to the Department of Management Services
and specifies the assumptions and methods that are to be used to determine the information
submitted. The bill is designed to eliminate discrepancies between the assumed rates of return
for earnings and the actual return on investments, and to mandate conservative projections on
future liabilities. However, both the League of Cities and the unions oppose this bill because
they believe the reporting requirements would make the pension plans appear to be weaker than
they are. SB 534 is on the Senate Special Order calendar for April 10 if received. HB 599 has
passed its first committee and has two committees remaining.
SB 458 by Senator Ring and HB 1399 by Representative Rooney provide some flexibility in how
insurance premium taxes are used to pay for pension benefits. However, the League of Cities
stated that the bill is still too restrictive in nature. The unions have also expressed concern_ that
the bill does not provide enough protection for benefits currently being offered. SB 458 passed
its last committee this week. HB 1399 has passed one committee and has two committees
remaining..
Parking. Meters
'Department of Transportation (DOT) Secretary Ananth Prasad has indicated the DOT will seek a
study in lieu of other substantive provisions in the Transportation bill, SB 1132 by Senator
Brandes and HB 1157 by the House Transportation and Highway Safety Subcommittee and
Representative Artiles. The study would detail how much money is collected through parking
meters in Florida; where they are located, and for what purposes the money is currently used.
The study would be used as the basis for legislation next year. The House bill currently has no
language relating to parking meters and the Senate bill contains a 50/50 split of the revenue
between the state and local governments.
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Windstorm Insurance
SB 1770 passed the Senate Banking and Insurance Committee this week. This bill is designed to
return Citizens to its role as an insurer of last resort for homeowners who cannot get coverage on
the private market. The bill would ensure that Citizens' rates are actuarially sound and not
competitive with private insurers. Simmons said that all Florida citizens, even those who are not
Citizens customers, could end up paying a "hurricane tax" if Citizens runs deficits while paying
claims after a major hurricane. This bill does not have a clear companion and there are several
pieces of legislation relating to Citizens. While some legislators want to take the approach that
Senator Simmons is suggesting, other legislators, particularly those from Miami -Dade County,
are concerned that changes to Citizens should not impact its residents negatively and rates should
not be raised dramatically.
Synthetic Drugs
SB 294 by Senator Bradley and HB 619 by Representative Ingram would codify the Schedule I
scheduling of the substances listed in the Attorney General's emergency rule as well as further
additional substances, which are commonly used in making "bath salts." Persons who engage in
certain unlawful acts involving these substances would be subject to arrest and prosecution. SB
294 passed the Senate this week. HB 619 is on the House calendar on second reading.
Other Legislative Issues
Living _Wage
HB 655 by Representative Precourt; SB 726 by Senator Simmons
HB 655 preempts local governments from requiring employers to provide certain benefits. It
provides specifically that living wage ordinances will sunset in 2016. This bill passed the House
this week and is in Senate messages.
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SB 726 contains a preemption relating to leave benefits but does not preempt living wage
ordinances. The Senate bill initially contained additional provisions in state law that would
provide certain leave benefits to employees statewide. However, it has been amended to replace
those additional benefits with a study group that would examine the issue and make
recommendations to the Legislature. This was done at Senator Latvala's request. The bill will
be heard in its final committee next week. The Senate does appear inclined to address the living
wage issue and we are working to ensure that the Senate keeps the issue out of its bill.
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Development Permits
HB 7019 by the House Economic Development and Tourism Subcommittee and Representative
Trujillo; SB 1840 by the Senate Military and Veterans Affairs, Space, and Domestic Security
These bills require local governments to require developers to receive all other permits prior to
granting a development permit in a mapped flood hazard area. DEM has asserted that the bills
are necessary to correct a glitch that was created by last year's environmental regulatory reform
bill, HB 503 by Representative Jimmy Patronis. However, City staff commented that this year's
bills put the burden on the local government as drafted, when the burden should be on the permit
applicant. We have made this concern known to House and Senate staff and the Department of
Emergency Management (DEM). House staff drafted a fix for this issue and DEM is reviewing.
SB 1840 will be heard in Community Affairs next week and we are working to get the fix
included at this committee hearing.
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