COVID-19-related issues will take up significant bandwidth when legislators convene in March, but there will be plenty of time to discuss construction industry-specific priorities as well. Let’s take a look at a couple of the early arrivals in construction policy that will work through the legislative process this year.
HB 21 by Rep. Alex Andrade (R – Pensacola) is the newest iteration of recent efforts to reform the construction defect process laid out in Chapter 558 of the Florida Statutes. This year’s bill focuses on desired reforms to curb abuse and promote the intended purpose of Ch. 558: to allow for pre-litigation resolution of construction defects. The legislation would enact a number of changes such as requiring that defect allegations be made with greater clarity and under the penalty of perjury. It would require that all warranty options be exhausted before the 558 process could be triggered. Further, the bill would notify banks and other mortgagees when a Ch. 558 claim was made on a property in which they held a mortgage interest. The legislation is being opposed by the trial bar and other aligned interest groups. Senator Keith Perry (R –Gainesville) is expected to file identical language in the Florida Senate.
*Special Note* FRSA’s Governmental Affairs Committee formed a special working group to address Ch. 558 reform in the 2021 legislative session, chaired by Phillip Lane, Insurance Office of America, Inc. This group provided substantial and impactful feedback on drafts of HB 21 as it was being crafted over the fall and will continue to engage in the legislative process as the bill moves through the Florida Legislature. A big “Thank You!” to everyone who volunteered their time on this important effort.
HB 53, by Rep Nick DeCeglie (R – Largo) addresses local government mandates and punitive “goals” in local government public construction. The bill expands upon a successful effort during the 2017 legislative session by Representative Jayer Williamson (R – Pace) that pre-empted most local mandates on public works projects derived from 50 percent or more of state funding. This year’s bill expands the protections to all public works projects whether derived from state funding, local funding or any combination thereof. Senator Jason Brodeur (R –Sanford) is expected to file the Senate counterpart.
As we kick off the new year with legislative committee weeks this month, additional construction policy bills will continue to take shape. Issues that are expected to arise include apprenticeship reform, lien law reform and potentially a bill on the Florida Building Code. In addition to these industry-specific proposals, the Florida Legislature is tasked with the significant challenge of adapting to
the ongoing COVID-19 pandemic and implementing policies that will foster Florida’s economic recovery. The state budget will be a significant challenge as well, with approximately $5B in shortfalls expected over the next two years. Our leaders are up to this challenge and FRSA’s Governmental Affairs Committee and staff are on the job to make sure our priorities are heard and our industry’s interests are protected.
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