LTC 101-2013 Legislative Update it
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MIAMI BEACH
OFFICE OF THE CITY MANAGER
No. LTC # 101 -2013 LETTER TO COMMISSION
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Kathie G. Brooks, Interim City Manager I C41 '
DATE: March 28, 2013
SUBJECT: Legislative Update
The purpose of this LTC is to provide the Mayor and City Commission with the attached
updates on week three 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.
KGB /MAS /kc
Attachments:
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RUTLEDGE ECENL4
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. P.URNELL
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: March 22, 2013
RE: 2013 Legislative Report, Week 3
Budget
The House Agriculture and Natural Resources Appropriations Subcommittee is collecting
information on water projects that meet the Governor's criteria (which were recently released for
review on both sides). Those project submittals are due March 27. The Senate Appropriations
Subcommittee on General Government announced on Tuesday that it would review water
projects in committee the following day and that project information needed to be submitted by
all Senators immediately. They then met on Wednesday and heard presentations. The Miami-
Dade County Delegation is working on a letter expressing support for all city and county projects
that will then be signed by as many delegation members as possible, since one of the Governor's
criteria is that a given project must have the support of a majority of the delegation in writing.
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Miami Beach is submitting on project for Bayshore ROW Improvements. This project will
protect against flooding and• is a reasonable request for state dollars, since the project totals $6
million, but the City is providing $5.5 million and requesting a $500,000 state share. Senator
Margolis submitted this request on the Senate side. The House requested that a particular form
be completed for its consideration. We received the necessary documentation for the House side
from City staff this morning, so we will now ask Representative Richardson to submit the .
project.
Critical Legislative Priorities
Business Tax Receipts
The House Finance and Tax Subcommittee passed FTSC5 as a committee bill this week, and it
now has a bill number, HB 7109. Currently, the bill allows cities and counties to enter into
interlocal agreements so that there is one point of collection. However, Representative
Workman has indicated that he wants one point of collection statewide. We will continue to
monitor this issue closely. There is no Senate bill on the local business tax at this time. We are
working to determine whether the Senate has any plans to address this issue.
Stadium Funding
HB 165 by Representative Gonzalez and SB 306 by Senator Braynon create the new category of
"professional sports franchise renovation facility" under s. 288.1162, F.S. A facility that meets
certain requirements and is certified by the Department of Economic Opportunity is eligible for a
sales tax distribution payment of $3 million per year. The bills also allow a county that levies
'the charter county convention development tax. under s. 212.0305(4)(b), F.S., to levy the
additional professional sports franchise facility tourist development tax under s. 125.0104(3)(n),
F.S. The bills also expand the allowable uses of the additional professional sports franchise
facility tourist development tax, but require a referendum at the local level. The bills require
private contributions by the professional sports facility as a condition for the use of tourist
development taxes. An existing franchise must also execute a 20 year commitment in writing.
This legislation does not currently allow for the use, of funding for which the convention center
project is eligible. There was no action on these bills this week.
Legislative Priorities
Election Reform
SB 600 by Senator Latvala passed the Senate Ethics and Elections Subcommittee this week.
Democrats filed several amendments to increase access to voting further. All were voted down.
The bill provides for at least eight early voting days and would allow elections supervisors to
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expand that to 14 days, including the Sunday before the election. It also expands the allowable
locations for early voting to include senior centers, fairgrounds, civic centers, stadiums, and
community centers.
The bill would move the primary up two weeks so it is held 10 weeks before the general election.
It would also allow military personnel returning home from combat zones or deployed in areas
where they are ready to enter combat zones to register to vote up to the Friday before the
election.
Additionally, it would require ballot summaries for constitutional amendments proposed by
lawmakers to be a maximum of 75 words unless the Supreme Court rejects the summary and it
has to be revised. There was an amendment that would have required 75 words with no
exceptions. Senator Latvala pointed out that the House passed HB 7013 with identical language
to SB 600 on this point, and all of the House Democrats voted to support it.
The House passed HB 7013 by a wide 118 -1 margin two weeks ago. This bill also provides for
up to 14 days of early voting and expands the allowable locations for early voting. However, the
bills still contain several differing provisions that will need to be negotiated before a bill can
pass.
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. SB 534 passed its second committee this week and has one committee
remaining. HB 599 has passed its first committee - and has two committees remaining.
SB 458 by Senator Ring and HB 1399 by Representative Rooney generally require plan sponsors
to fund the plans at least at the level of benefits in existence on March 1, 1999. Plans less than
80% funded must use 50% of their post -2012 increase in premium tax revenues, and
accumulated premium tax revenues, towards the actuarial deficiency; 25% must be used to fund
defined contribution benefits; and 25% must be used to fund base benefits. Plans funded at
greater than 80% must use 50% of the post -2012 increase in premium tax revenues for defined
contribution benefits, and 50% to fund base benefits. Plan benefits may be reduced to base
benefit levels; 25% of the plan sponsor's mandatory contribution freed up by reducing benefits
must be used to fund actuarial deficiencies. There was no action on these bills this week.
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Windstorm Insurance
HB 835 by Representative Wood passed its second committee this week. The bill would cap
Citizens policies at $500,000 and bar new policies seaward of the narrow coastal construction
control line as of July 1, 2014. It also provides for an inspector general for Citizens and caps
policies on reconstruction costs starting at $1 million next year, decreasing down to $500,000 by
2018 for. new policies and 2019 for renewals. This bill does not currently have a. clear
companion.
SB 1622 by Senator Richter and HB 7093 by the House Insurance and Banking Subcommittee
authorize the - creation of a clearinghouse diversion program within the corporation for
identifying and diverting insurance coverage to private insurers. SB 1622 was on the agenda for
Banking and Insurance this week but was not considered. HB 7093 was referred to the
Government Operations Subcommittee this week. SB 1606 by Senator Richter and HB 7095 by
the House Insurance and Banking Subcommittee provide an exemption from public records
requirements for all underwriting guidelines, manuals, rating information, and other underwriting
criteria or instructions submitted by an insurer to the corporation's policyholder eligibility
clearinghouse program which are used to identify and select risks from the program. SB 1606
was on the agenda for Banking and Insurance this week but was not considered. HB 7095 was
referred to the Government Operations Subcommittee this week.
SB 1770 by the Senate Insurance and Banking Committee creates the Florida Catastrophe Risk
Capital Access Facility to increase the access of small domestic insurers to risk - capital markets.
This bill received two committee references after being approved as a committee bill by
Insurance and Banking. The bill passed its first committee this week. It does not currently have
a clear companion.
Red Light Cameras
While no proposals to ban red light cameras are gaining traction, there is a bill moving that
would provide additional requirements and restrictions related to the operation of red light
cameras. Among other provisions, HB 1061 by Representative Artiles prohibits the use of the
cameras for right -hand turns on a red light. It also requires certified mail delivery for violations.
It received two committee references and passed its first committee last week. It has one
committee remaining. The companion, SB 1342 by Senator Abruzzo, passed its first committee
this week. However, it was amended in the Senate -Transportation Committee to remove a
proposed reduction in the fine from .$158 to $100. A provision was also removed that would
have given violators 90 days to pay up from the current 30 days.
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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. Persons who
engage, in certain unlawful acts involving these substances -would be subject to arrest and
prosecution. SB 294 passed its last committee this week and will be on Special Order in the
House next week if it is received in time. HB 619 is in its last committee.
Other Legislation of Interest
National Mortgage Settlement
The House Appropriations Committee approved a committee bill this week (APC1) that would
determine how to use the $200 million in mortgage fraud money the state received last year as
part of a $32 billion settlement with five of the nation's largest loan servicers. The committee
bill would offer down payment assistance for teachers and other professionals with low incomes
in fields where recruitment and retention have presented significant challenges. It would also
pay for residential rehabilitation and reconstruction projects in blighted neighborhoods,
encourage partnerships with the private sector in providing housing to the elderly and low
income residents and provide housing grants for low income university students. The bill would
extend legal assistance to homeowners facing foreclosure and increase funding for courts and
clerks offices to address foreclosures. , The Senate Appropriations Subcommittee on
Transportation, Tourism, and Economic Development is expected to release a similar committee
bill soon.
APC1 does not contain and funding for the State Housing Initiatives Partnership (SHIP) which is
administered by the Florida Housing Finance Corporation (FHFC) and distributed to local
governments to produce and preserve affordable housing. SHIP funds are distributed on an
entitlement basis to all 67 counties and the 53 Community Development Block Grant (CDBG)
entitlement cities in Florida. Representative Fasano filed an amendment to include $25 million
in funding for SHIP. However, the amendment was voted down.
Earlier this year, the Joint Legislative Budget Commission approved a $60 million package of
relief that would include $35 million in down payment assistance to homebuyers that have not
owned a home in the previous threeyears. Maximum benefits of $7,500 can be used to help with
closing costs on 30 -year, fixed rate mortgages.
Mandatory Sick Leave
HB 655 by Representative Precourt; SB 726 by Senator Simmons
HB 655 preempts local governments from requiring employers to provide certain benefits. It
specifically preempts living wage ordinances. SB 726 contains a preemption relating to leave
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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 passed its second committee this week and has one
committee remaining.
HB 655 is on the House calendar on second reading. Representative Precourt has indicated that
..he may be willing to grandfather existing living wage ordinances. Some business groups have
indicated that they would prefer the living wage preemption to be removed entirely, since their
priority is sick leave. The bills are so dissimilar at this point that they are not linked as
companion bills.
2013 Session Dates
April 3 -4, 2013 Miami -Dade County Days
May 3, 2013 60 day — last day of Regular Session
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