This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h1241.LAV
DATE: 1/31/2022
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: HB 1241 Local Government Solid Waste and Recycling Collection Services
SPONSOR(S): Hawkins
TIED BILLS: IDEN./SIM. BILLS: SB 1944
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Local Administration & Veterans Affairs
Subcommittee
Mwakyanjala Miller
2) Civil Justice & Property Rights Subcommittee
3) State Affairs Committee
SUMMARY ANALYSIS
Counties have the authority to provide and regulate solid waste collection and disposal. Counties are
responsible for operating solid waste disposal facilities in order to meet the needs of the incorporated and
unincorporated areas of the county and may contract with other persons to fulfill some or all of these solid
waste responsibilities.
The bill amends the current statute on local government solid waste responsibilities and provides that no local
government may seek liquidated damages, administrative fees, or other similar charges against a public or
private solid waste management or recycling entity for any action or inaction of the entity when a local, state, or
federal emergency is in effect. The bill provides that any liquidated damages or similar charges by a
governmental entity must be calculated on and may not exceed 50 percent of the amount billed to the
customer for solid waste or recycling collection services billed for that day at the daily rate.
The bill does not impact state revenues or expenditures. Local governments revenues may be affected to the
extent amounts recoverable as liquidated damages for breaches of solid waste or recycling services contracts
are reduced. See II.D. Fiscal Comments. STORAGE NAME: h1241.LAV PAGE: 2
DATE: 1/31/2022
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Present Situation
Home Rule Authority
The Florida Constitution grants local governments broad home rule authority. Specifically, non-charter
county governments may exercise those powers of self-government that are provided by general or
special law.
1
Counties operating under a county charter have all powers of self-government not
inconsistent with general law or special law approved by the vote of the electors.
2
Likewise,
municipalities have governmental, corporate, and proprietary powers that enable them to conduct
municipal government, perform municipal functions and provide services, and exercise any power for
municipal purposes except when expressly prohibited by law.
3
Solid Waste Responsibilities
Counties have the authority and responsibility to provide and regulate solid waste collection and
disposal.
4
A county may require any person within the county to demonstrate the existence of some
arrangement or contract by which the person’s solid waste
5
will be disposed of in a manner consistent
with county ordinance or state or federal law.
6
Counties also have authority to adopt ordinances that
govern the disposal of solid waste generated outside the county at the county’s solid waste disposal
facility.
7
Counties are responsible for operating solid waste disposal facilities, which are permitted through the
Department of Environmental Protection, in order to meet the needs of the incorporated and
unincorporated areas of the county
8
and may contract with other persons to fulfill some or all of these
solid waste responsibilities.
9
Each county must ensure that municipalities within its boundaries
participate in the preparation and implementation of recycling and solid waste management programs
through interlocal agreements or other means.
10
In providing services or programs for solid waste management, local governments and state agencies
are encouraged to use the most cost-effective means for providing services and are encouraged to
contract with private entities for any or all such services or programs to assure that those services are
provided on the most cost-effective basis.
11
Local governments are expressly prohibited from
discriminating against privately owned solid waste management facilities solely because they are
privately owned.
12
Liquidated Damages
1
Art. VIII, s. 1(f), Fla. Const.
2
Art. VIII, s. 1(g), Fla. Const.
3
Art VIII, s. 2(b). See also s. 166.021(1), F.S.
4
Ss. 125.01(1)(k)1., 403.706, F.S.
5
Section 403.703(36), F.S., defines solid waste as sludge unregulated under the federal Clean Water Act or Clean Air
Act, sludge from a waste treatment works, water supply treatment plant, or air pollution control facility, or garbage,
rubbish, refuse, special waste, or other discarded material, including solid, liquid, semisolid, or contained gaseous
material resulting from domestic, industrial, commercial, mining, agricultural, or governmental operations.
6
S. 125.01(1)(k)2., F.S.
7
S. 403.706(1), F.S.
8
S. 403.706(1), F.S.
9
S. 403.706(8), F.S.
10
S. 403.706(3), F.S.
11
S. 403.7063, F.S.
12
Id. STORAGE NAME: h1241.LAV PAGE: 3
DATE: 1/31/2022
When a contract is breached due to the action or inaction of a party, the nonbreaching party may seek
damages against the breaching party. These damages can be in the form of administrative fees or
charges. If provided in the contract, the nonbreaching party may also seek liquidated damages.
Liquidated damages are specific amounts or a calculation of amounts provided in the contract to which
a contracting party may be entitled upon a breach of the contract by the other party. The parties agree
to specify these amounts where damages are not readily ascertainable or disproportionate for the type
of contract breach.
13
A local government agreement with a private party for solid waste collection and disposal services may
be in the form of a franchise agreement and may provide for a fixed amount of damages, known as
liquidated damages, for certain breaches of the agreement by the service provider.
14
Effect of the Bill
The bill amends the current statute on local government solid waste responsibilities and provides that
no local government may seek liquidated damages, administrative fees, or other similar charges
against a public or private solid waste management or recycling entity for any action or inaction of the
entity when a local, state, or federal emergency is in effect. The bill applies to contracts executed or
renewed on or after July 1, 2022, between a county or municipality for the collection or transport of solid
waste or recyclable material.
The bill provides that any liquidated damages or similar charges by a governmental entity must be
calculated on and may not exceed 50 percent of the amount billed to the customer for solid waste or
recycling collection services billed for that day at the daily rate.
B. SECTION DIRECTORY:
Section 1: Renumbers subsection (23) of s. 403.706, F.S. to subsection (24) and creates a new
subsection (24). Provides no local government may seek damages, fees, or similar
charges against a public or private solid waste management or recycling entity for action
or inaction when a local, state, or federal emergency is in effect. Provides that any fees
or charges must be calculated on so as not to exceed 50 percent of the amount billed to
the customer for solid waste or recycling services billed for that day at the daily rate.
Section 2: Provides that the act shall take effect July 1, 2022.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
None.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
13
Lefemine v. Baron, 573 So. 2d 326, 328 (Fla. 1991), referencing Hyman v. Cohen, 73 So.2d 393 (Fla. 1954).
14
See, e.g., “Amended Residential Solid Waste and Recycling Collection Franchise Agreement,” art. 23, (July 9, 2020)
between Santa Rosa County and Waste Pro, Inc., at https://www.santarosa.fl.gov/DocumentCenter/View/5350/Amended-
Residential-Solid-Waste-and-Recycling-Collection-Franchise-Agreement?bidId= (last visited January 29, 2022). STORAGE NAME: h1241.LAV PAGE: 4
DATE: 1/31/2022
2. Expenditures:
None.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
Private waste management or recycling entities that have contracts with local governments for the
collection or transport of solid waste or recyclable material may have reduced liability exposure under
contracts with local governments because they will no longer be subject to liquidated damages,
administrative fees, or other similar charges action or inaction when a local, state, or federal emergency
is in effect. For contracts executed or renewed after July 1, 2022, the required limit on determining
liquidated damages may result in reduced damages paid by private contractors for breaches of the
agreement.
D. FISCAL COMMENTS:
Local governments would no longer be able to seek liquidated damages, administrative fees, or other
similar charges against public solid waste management or recycling entities for action or inaction when
a local, state, or federal emergency is in effect. For agreements executed or renewed after July 1,
2022, local governments may recover reduced amounts for liquidated damages.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision:
Not applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditures of funds; reduce the authority that counties or municipalities have
to raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.
2. Other:
None.
B. RULE-MAKING AUTHORITY:
The bill neither requires nor provides authority for administrative agency rulemaking.
C. DRAFTING ISSUES OR OTHER COMMENTS:
The bill provides that subsection (23) of s. 403.706, F.S., shall be renumbered as subsection (24) and a
new subsection (23) shall be added. However, the body of the bill adds a new subsection (24). The
newly added subsection should be renumbered to (23).
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES