MORE WINS!

HB 1383 Creates Clarity for Contractor Thanks to ABC Members

HB 1383/SB 1570: Specialty Contractors was also passed during session thanks to Representative Stan McClain, Representative Dana Trabulsy, Representative James Vernon Mooney, Jr. and Senator Bobby Powell. This bill is in response to the 2021 Florida Statute 163.211 that raised concerns from ABC and our members who were being told that they had to hold a GC license to do work in the permitted jurisdiction if the job scope of a contractor did not correspond to a category defined in the bill. The purpose is to limit the ability of local jurisdiction to say everyone must be a general contractor and be licensed as such.

Although the new bill allows local government’s license requirements to remain in place until July 1, 2024, if they were in place prior to January 1, 2021, the bill clarifies that local government may NOT require a person to obtain a license issued by the local government or the state for a job scope which does not substantially correspond to one of the following:

489.105 (a)-(o) and (q) include:

a. General Contractor

b. Building Contractor

c. Residential Contractor

d. Sheet Metal Contractor

e. Roofing Contractor

f. Class A AC Contractor

g. Class B AC Contractor

h. Class C AC Contractor

i. Mechanical Contractor

j. Commercial Pool/Spa Contractor

k. Residential Pool/Spa Contractor

l. Swimming Pool/Spa Servicing Contractor

m. Plumbing Contractor

n. Underground Utility and Excavation Contractor

o. Solar Contractor

q. Specialty Contractor - means a contractor whose scope of work and responsibility is limited to a particular phase of construction established in a category adopted by board rule and whose scope is limited to a subset of the activities described in one of the paragraphs of this subsection.

Additionally, it instructs that the Construction Industry Licensing Board (CILB) must establish guidelines for VOLUNTARY licensure to a small subset of job scopes that are not covered by the above chapter 489. The clarifications this bill adds prevent local jurisdictions from putting an undue burden on specialty contractors and forcing them to all hold a general contractors license.

ABC Sent Veto Request to Governor DeSantis over SB 7026

Unfortunately, the bill passed. ABC and its members will revisit in the next session. Part of SB 7026 would require the Board of Governors to develop new procurement policies for university and college construction to “allow price to be considered much earlier in the process.” Without more explanations or guardrails, it is presumed that price will be the determining factor. ABC has opposed and helped block versions of this legislation in the past including this current bill due to it causing a race to the bottom with bidding and creating problems down the line with changes orders, etc.

The Higher Education Finances bill states that “at the option of the board, the construction management entity, after having been selected, may be required to offer a guaranteed maximum price or a guaranteed completion date; in which case, the construction management entity must secure an appropriate surety bond pursuant to s.255.05 and must hold construction subcontracts. The criteria for selecting a construction management entity may not unfairly penalize an entity that has relevant experience in the delivery of construction projects of similar size and complexity by methods of delivery other than construction management.”

SB 170: Local Ordinances

• Counties and cities must produce a “business impact estimate” prior to passing an ordinance, with exceptions.

• Estimates must be published on the local government’s website and include certain information.

• Imposes conditions on lawsuits brought by any party to challenge the legal validity of local ordinances as preempted by state law, arbitrary, or unreasonable.

• Properly noticed consideration of a proposed ordinance may be continued to a subsequent meeting under certain circumstances without further publication, mailing, or posted notice.

Construction companies in Florida have long been at a disadvantage to their counterparts in other states when it comes to securing competitive insurance rates. Having a ten-year statute of repose when our counterparts have an average of five means that construction companies have twice as long to be brought into litigation. Knowing this, insurance companies either don’t offer coverage in Florida or charge higher rates for it. The passing of SB 360 opens the door for more competition in the state, driving down rates at a time when the cost of everything else is going up.

— Rachel Dobbs, Hylant ABC Central Florida Government Affairs Committee Member

SB 102: Affordable Housing

• Preempts local rent control ordinances.

• Invests more than $700 million into housing projects and incentives.

• Fully funds the Sadowski Trust Fund (for SHIP and SAIL Programs).

• Expands the “Hometown Heroes” down payment assistance program with $100 million in commitment.

• Preempts local governments that prohibit affordable development by ordinance.

• Seeks to incentivize new and expanded developments for more affordable units.