Florida 2022 2022 Regular Session

Florida House Bill H1241 Analysis / Analysis

Filed 02/16/2022

                    This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives. 
STORAGE NAME: h1241c.CIV 
DATE: 2/16/2022 
 
HOUSE OF REPRESENTATIVES STAFF ANALYSIS  
 
BILL #: CS/CS/HB 1241    Local Government Solid Waste and Recycling Collection Services 
SPONSOR(S): Civil Justice & Property Rights Subcommittee, Local Administration & Veterans Affairs 
Subcommittee, Hawkins 
TIED BILLS:   IDEN./SIM. BILLS: SB 1944 
 
REFERENCE 	ACTION ANALYST STAFF DIRECTOR or 
BUDGET/POLICY CHIEF 
1) Local Administration & Veterans Affairs 
Subcommittee 
15 Y, 2 N, As CS Mwakyanjala Miller 
2) Civil Justice & Property Rights Subcommittee 17 Y, 0 N, As CS Mawn Jones 
3) State Affairs Committee    
SUMMARY ANALYSIS 
Counties have the authority and responsibility 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. Each county must also 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. In providing solid waste management services or programs, local 
governments are encouraged to use the most cost-effective means and contract with private entities for such 
services or programs to assure that the services or programs are provided on the most cost-effective basis. 
Local governments are expressly prohibited from discriminating against privately owned solid waste 
management facilities solely because they are privately owned. 
 
When a contract is breached, the nonbreaching party may generally seek damages against the breaching 
party. These damages may include administrative fees or charges and, if provided for in the contract, 
liquidated damages. Liquidated damages are amounts specified in a contract to which a contracting party may 
be entitled if the other party breaches the contract; such damages are typically specified where actual 
damages are difficult or impossible to prove. 
 
CS/CS/HB 1241 provides that a local government may not assess liquidated damages or impose 
administrative penalties for missed collections pursuant to a solid waste or recyclable materials collection 
contract if: 
 The person collecting solid waste or recyclable materials for the local government fails to provide timely 
collection service to a residential customer as a direct result of a declared local, state, or federal 
emergency that is in effect with the local government’s jurisdiction; 
 The person notifies the local government that its failure was due to the emergency; and  
 The person provides the necessary collection service no later than 36 hours after the time when the 
service should have been provided. 
 
The bill also: 
 Specifies how a person facing liquidated damages or penalties for missed collections may obtain relief. 
 Establishes if and when a local government must pay for certain missed collection services. 
 Provides applicability.  
 
The bill does not appear to have a fiscal impact on state government but may have a fiscal impact on local 
governments. See II.D. Fiscal Comments.  
 
The bill provides an effective date of July 1, 2022.    STORAGE NAME: h1241c.CIV 	PAGE: 2 
DATE: 2/16/2022 
  
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
4
 collection and 
disposal.
5
 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 will be disposed of in a manner consistent 
with county ordinance or state or federal law.
6
 Counties may also adopt ordinances governing 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 and may contract with other persons to fulfill some or all of these 
solid waste responsibilities.
8
 Each county must also ensure that municipalities within its boundaries 
participate in the preparation and implementation of recycling and solid waste management programs 
through interlocal agreements
9
 or other means.
10
  
 
In providing solid waste management services or programs, local governments are encouraged to use 
the most cost-effective means and contract with private entities for such services or programs to assure 
that the services or programs 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
 
 
  
                                                
1
 Art. VIII, s. 1(f), Fla. Const. 
2
 Art. VIII, s. 1(g), Fla. Const. 
3
 Art VIII, s. 2(b); s. 166.021(1), F.S. 
4
 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. 
5
 Ss. 125.01(1)(k)1. and 403.706, F.S. 
6
 S. 125.01(1)(k)2., F.S. 
7
 S. 403.706(1), F.S. 
8
 S. 403.706(1) and (8), F.S.; R. 62-701, F.A.C. 
9
 “Interlocal agreement” means a contract providing for a joint exercise of power by local governmental units. S. 163.01, 
F.S. 
10
 S. 403.706(3), F.S. 
11
 S. 403.7063, F.S. 
12
 Id.  STORAGE NAME: h1241c.CIV 	PAGE: 3 
DATE: 2/16/2022 
  
Storm-Generated Yard Trash 
 
“Storm-generated yard trash” is vegetative matter that:  
 Results from a tropical storm, a hurricane, a tornado, or any other significant weather event and 
is located or placed within a federally designated disaster area on public property or a public 
right-of-way; 
 Is eligible for federal reimbursement under 42 U.S.C. ss. 5121 et seq.;
13
 and 
 Is placed curbside or on public property or a public right-of-way within the 15-day period after 
the weather event that is the subject of the federally declared disaster.
 14
 
 
The term includes storm-generated debris under s. 403.7071, F.S. – that is, solid waste generated as a 
result of a storm event that is the subject of an emergency order issued by the Department of 
Environmental Protection.
15
   
 
Liquidated Damages 
 
When a contract is breached, the nonbreaching party may seek damages against the breaching party. 
These damages may include administrative fees or charges and, if provided for in the contract, 
liquidated damages. Liquidated damages are amounts specified in a contract to which a contracting 
party may be entitled if the other party breaches the contract; such damages are typically specified 
where actual damages are difficult or impossible to prove.
16
  
 
A local government’s contract with a solid waste management or recycling entity under which the entity 
provides residential municipal solid waste or recycling services to the local government may provide for 
liquidated damages and other fees or charges for the entity’s breach of the contract.
17
  
 
Effect of the Bill 
 
CS/CS/HB 1241 provides that a local government may not assess liquidated damages or impose 
administrative penalties for missed collections pursuant to a solid waste or recyclable materials 
collection contract if: 
 The person collecting solid waste or recyclable materials for the local government fails to 
provide timely collection service to a residential customer as a direct result of a declared local, 
state, or federal emergency that is in effect within the local government’s jurisdiction; 
 The person notifies the local government that its failure was due to the emergency; and  
 The person provides the necessary collection service within 36 hours after the time when the 
service should have been provided. 
 
However, to obtain relief from liquidated damages or penalties under the bill, the person providing 
collection services must prove to the local government that it complied with the above requirements.  
 
The bill also requires a local government to pay for any collection services provided within the 36-hour 
window described above but specifies that the local government does not have to pay the applicable 
fee for a specific collection service for a residential customer until that service is actually provided.  
The bill applies to contracts for the collection of residential solid waste or recyclable materials that are 
executed or renewed after July 1, 2022, but does not apply to: 
                                                
13
 These sections contain Congressional findings on Federal Government assistance given to state and local 
governments in order to alleviate suffering and damage resulting from disasters. 
14
 S. 403.703(42), F.S. 
15
 Id.  
16
 Lefemine v. Baron, 573 So. 2d 326, 328 (Fla. 1991), (citing Hyman v. Cohen, 73 So. 2d 393 (Fla. 1954)); Legal 
Information Institute, Liquidated Damages, 
https://www.law.cornell.edu/wex/liquidated_damages#:~:text=Liquidated%20Damages%20are%20a%20variety,difficult%2
0or%20impossible%20to%20prove (last visited Feb. 16, 2022). 
17
 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., https://www.santarosa.fl.gov/DocumentCenter/View/5350/Amended-
Residential-Solid-Waste-and-Recycling-Collection-Franchise-Agreement?bidId (last visited Feb. 16, 2022).  STORAGE NAME: h1241c.CIV 	PAGE: 4 
DATE: 2/16/2022 
  
 A contract or contractual provision for the collection of storm-generated yard trash. 
 Collections of solid waste or recyclable materials missed due to the fault of the person providing 
collection services.  
 
The bill provides an effective date of July 1, 2022. 
 
B. SECTION DIRECTORY: 
Section 1: Amends s. 403.706, F.S., relating to local government solid waste responsibilities.  
Section 2: Provides an effective date of 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: 
See II.D. Fiscal Comments. 
 
2. Expenditures: 
None. 
 
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR: 
A person that contracts with a local government for solid waste or recyclable materials collection may 
have reduced liability exposure under such a contract because such person will not be required to pay 
liquidated damages or administrative penalties when collection services are missed in certain 
situations.  
 
D. FISCAL COMMENTS: 
A local government would no longer be able to assess liquidated damages or impose administrative 
penalties against a person with whom the local government contracted for solid waste or recyclable 
materials collection when collection services are missed in certain situations. However, this only applies 
to contracts for the collection of residential solid waste or recyclable materials that are executed or 
renewed after July 1, 2022, except contracts for the collection of storm-generated yard trash, and does 
not apply where the missed collection services were due solely to the fault of the person responsible for 
providing the services.  
 
 
 
 
   STORAGE NAME: h1241c.CIV 	PAGE: 5 
DATE: 2/16/2022 
  
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: 
None. 
 
IV.  AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES 
On February 2, 2022, the Local Administration and Veterans Affairs Subcommittee adopted a strike-all 
amendment and reported the bill favorably as a committee substitute. The amendment: 
 Provided that a local government may not seek liquidated damages from a solid waste 
management or recycling entity that provides residential municipal solid waste or recycling services 
when a local, state, or federal emergency is in effect and such emergency materially affects the 
ability of the entity to provide residential municipal solid waste or recycling services. 
 Specified that the bill applies to all contracts between a county or municipality for the collection or 
transport of solid waste or recyclable material executed or renewed on or after July 1, 2022, except 
contracts for the collection or disposal of storm-generated yard trash.  
 
On February 16, 2022, the Civil Justice and Property Rights Subcommittee adopted a strike-all amendment 
and reported the bill favorably as a committee substitute. The amendment: 
 Provided that a local government may not assess liquidated damages or impose administrative 
penalties for missed collections pursuant to a solid waste or recyclable materials collection contract 
if: 
o The person collecting solid waste or recyclable materials for the local government fails to 
provide timely collection service to a residential customer as a direct result of a declared 
local, state, or federal emergency that is in effect within the local government’s jurisdiction; 
o The person notifies the local government that its failure was due to the emergency; and  
o The person provides the necessary collection service within 36 hours after the time when 
the service should have been provided. 
 Specified how a person facing liquidated damages or penalties for missed collections may obtain 
relief. 
 Established if and when a local government must pay for certain missed collection services. 
 Provided applicability.  
 
This analysis is drafted to the committee substitute adopted by the Civil Justice & Property Rights 
Subcommittee.