HB 1159 2023
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hb1159-00
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
A bill to be entitled 1
An act relating to contractual services contract 2
liability limits; amending s. 287.058, F.S.; requiring 3
the contract document evidencing a procurement of 4
contractual services to specify a maximum liability 5
limit for the contractor; requiring certain liability 6
terms to specify a defined monetary threshold or 7
monetary formula which establishes the maximum 8
liability of the contractor; providing the 9
applicability of the monetary threshold or monetary 10
formula to certain claims; providing an effective 11
date. 12
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Be It Enacted by the Legislature of the State of Florida: 14
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Section 1. Subsection (1) of section 287.058, Florida 16
Statutes, is amended to read: 17
287.058 Contract document. — 18
(1) Every procurement of contractual services in excess of 19
the threshold amount provided in s. 287.017 for CATEGORY TWO, 20
except for the providing of health and mental health services or 21
drugs in the examination, diagnosis, or treat ment of sick or 22
injured state employees or the providing of other benefits as 23
required by chapter 440, shall be evidenced by a written 24
agreement embodying all provisions and conditions of the 25
HB 1159 2023
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hb1159-00
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
procurement of such services, which shall, where applicable, 26
include, but not be limited to, a provision: 27
(a) That bills for fees or other compensation for services 28
or expenses be submitted in detail sufficient for a proper 29
preaudit and postaudit thereof. 30
(b) That bills for any travel expenses be submitted in 31
accordance with s. 112.061. A state agency may establish rates 32
lower than the maximum provided in s. 112.061. 33
(c) Allowing unilateral cancellation by the agency for 34
refusal by the contractor to allow public access to all 35
documents, papers, letters, or other m aterial made or received 36
by the contractor in conjunction with the contract, unless the 37
records are exempt from s. 24(a), Art. I of the State 38
Constitution and s. 119.07(1). 39
(d) Specifying a scope of work that clearly establishes 40
all tasks the contractor is required to perform. 41
(e) Dividing the contract into quantifiable, measurable, 42
and verifiable units of deliverables that must be received and 43
accepted in writing by the contract manager before payment. Each 44
deliverable must be directly related to the s cope of work and 45
specify a performance measure. As used in this paragraph, the 46
term "performance measure" means the required minimum acceptable 47
level of service to be performed and criteria for evaluating the 48
successful completion of each deliverable. 49
(f) Specifying the criteria and the final date by which 50
HB 1159 2023
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
such criteria must be met for completion of the contract. 51
(g) Specifying that the contract may be renewed for a 52
period that may not exceed 3 years or the term of the original 53
contract, whichever is lo nger, specifying the renewal price for 54
the contractual service as set forth in the bid, proposal, or 55
reply, specifying that costs for the renewal may not be charged, 56
and specifying that renewals are contingent upon satisfactory 57
performance evaluations by t he agency and subject to the 58
availability of funds. Exceptional purchase contracts pursuant 59
to s. 287.057(3)(a) and (c) may not be renewed. 60
(h) Specifying the financial consequences that the agency 61
must apply if the contractor fails to perform in accorda nce with 62
the contract. 63
(i) Specifying a maximum limit of liability for the 64
contractor by defined monetary threshold or monetary formula. 65
1. Liability terms as enumerated under any contract or 66
purchase order of a governmental entity as defined in s. 287.012 67
shall specify a defined monetary threshold or monetary formula 68
which establishes the maximum liability of the contractor for 69
the contract or purchase order. 70
2. The monetary threshold or monetary formula may not 71
apply to claims arising under separ ate contractual provisions 72
specific to indemnification. 73
(j)(i) Addressing the property rights of any intellectual 74
property related to the contract and the specific rights of the 75
HB 1159 2023
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state regarding the intellectual property if the contractor 76
fails to provide the services or is no longer providing 77
services. 78
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In lieu of a written agreement, the agency may authorize the use 80
of a purchase order for classes of contractual services if the 81
provisions of paragraphs (a)-(j) paragraphs (a)-(i) are included 82
in the purchase order or solicitation. The purchase order must 83
include, but need not be limited to, an adequate description of 84
the services, the contract period, and the method of payment. In 85
lieu of printing the provisions of paragraphs (a) -(c) and (g) in 86
the contract document or purchase order, agencies may 87
incorporate the requirements of paragraphs (a) -(c) and (g) by 88
reference. 89
Section 2. This act shall take effect July 1, 2023. 90