This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h1305.TMS
DATE: 3/30/2023
HOUSE OF REPRESENTATIVES STAFF ANALYSIS
BILL #: CS/HB 1305 Department of Transportation
SPONSOR(S): Transportation & Modals Subcommittee, Abbott
TIED BILLS: IDEN./SIM. BILLS:
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Transportation & Modals Subcommittee 13 Y, 0 N, As CS Johnson Hinshelwood
2) Infrastructure & Tourism Appropriations
Subcommittee
3) Infrastructure Strategies Committee
SUMMARY ANALYSIS
The bill relates to the Department of Transportation (DOT). The bill:
Authorizes the Florida Development Finance Corporation to finance certain DOT-related public private
partnership projects.
Authorizes installation of automated license plate recognition systems within the rights-of-way of the
State Highway System at DOT’s discretion when installed at the request of a law enforcement agency
for the purpose of collecting active criminal intelligence or investigative information.
Provides that DOT may not, when granting airport site approval, require a written memorandum of
understanding or letter of agreement with other airport sites regarding air traffic pattern separation
procedures unless it is required by the Federal Aviation Administration or is deemed necessary by
DOT.
Authorizes DOT to acquire promotional items and materials to promote electric vehicle use and
charging and autonomous vehicles.
Authorizes DOT, at its discretion, to expend funds for training, testing, and licensing for full-time DOT
employees who are required to have a valid Class A or Class B commercial driver license as a
condition of employment with DOT.
Increases DOT’s contracting cap where it is not required to receive competitive bids in certain
circumstance from $250,000 to $500,000.
Extends for 1 year a provision allowing the chair and vice-chair of the Legislative Budget Commission
approve DOT work program amendments if specified conditions are met.
Requires a public transit provider’s transportation development plan to be consistent, to the maximum
extent feasible, with the long-range transportation plan of the local metropolitan planning organization.
Removes the requirement that each public transit provider’s productivity and performance report
specifically address potential enhancements to productivity and performance that would have the effect
of increasing the farebox recovery ratio.
Requires public transit providers to publish productivity and performance information on its website,
instead of in the local newspaper.
Transfers the Santa Rosa Bay Bridge Authority’s bridge system to DOT, and authorizes DOT to transfer
it to the Florida Turnpike Enterprise.
Repeals the Santa Rosa Bay Bridge Authority in statute.
The bill has an indeterminate fiscal impact on the state, local governments, and the private sector.
Except as otherwise provided in the bill, the bill has an effective date of July 1, 2023.
STORAGE NAME: h1305.TMS PAGE: 2
DATE: 3/30/2023
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Florida Development Finance Corporation - Issuance of Revenue Bonds
Current Situation
Generally, a private activity bond (PAB) is a tax-exempt security issued by or on behalf of a local or
state government for the purpose of extending special financing benefits for qualified projects. PABs
finance projects for a private user, and the governmental issuer’s credit usually isn’t pledged, but PABs
provide a public benefit as well. They are used to attract private investments for projects “that have
public or common utility,” and result in increased spending on infrastructure.”
1
The federal government controls the amount of private activity bonds that are permitted to be issued in
each state. Chapter 159, part VI, F. S., establishes statewide procedures for allocating Florida’s share
of private activity bonds. Such allocation is statutorily referred to as the allocation of state volume
limitation (s. 159.804, F.S.). The Division of Bond Finance
2
is responsible for annually determining the
amount of the private activity bonds permitted for statewide allocation under the 1986 Internal Revenue
Code, as amended. Generally, “traditional” road and bridge projects are not qualified under state
private activity volume caps, but there is a private activity volume cap available at the federal level for
such transportation projects, which was recently increased from $15 to $30 billion.
According to the United State Department of Transportation:
Section 11143 of Title XI of SAFETEA-LU amended Section 142 of the Internal Revenue Code
to add highway and freight transfer facilities to the types of privately developed and operated
projects for which private activity bonds (PABs) may be issued. This change allowed private
activity on these types of projects, while maintaining the tax-exempt status of the bonds. The
law limited the total amount of the bonds to $15 billion and directed the Secretary of
Transportation to allocate this amount among qualified facilities. The Infrastructure Investment
and Jobs Act signed into law on November 15, 2021 increased the available PAB authority from
$15 billion to $30 billion. Passage of the private activity bond legislation reflects the Federal
Government's desire to increase private sector investment in U.S. transportation infrastructure.
Providing private developers and operators with access to tax-exempt interest rates lowers the
cost of capital significantly, enhancing investment prospects. Increasing the involvement of
private investors in highway and freight projects generates new sources of money, ideas, and
efficiency. The $30 billion in exempt facility bonds is not subject to the state volume caps.
3
Florida Development Finance Corporation
In Florida, access to PABs is provided by the Florida Development Finance Corporation (FDFC),
4
the
“conduit issuer” of PABs, with the power to function within the corporate limits of any public agency with
which it has entered into an interlocal agreement. The FDFC issues the bonds, which are purchased by
a bank or investor(s). The proceeds from the sale are then loaned to finance capital projects. The
interest received by the investor, if specific criteria are met, is exempt from federal income tax.
5
1
See MunicipalBonds.com, Understanding Private Activity Bonds, https://www.municipalbonds.com/education/understanding-private-
activity-bonds/ (last visited Mar. 22, 2023).
2
The Division of Bond Finance is part of the State Board of Administration.
3
See transportation.gov, Private Activity Bonds, https://www.transportation.gov/buildamerica/financing/private-activity-bonds (last
visited Mar. 22, 2023).
4
The Florida Development Finance Corporation is created in s. 288.9604, F.S.
5
See Municipalbonds.com Understanding Private Activity Bonds, https://www.municipalbonds.com/education/understanding-private-
activity-bonds/ (last visited Mar., 22, 2023). STORAGE NAME: h1305.TMS PAGE: 3
DATE: 3/30/2023
The proceeds of any FDFC bonds may not be used to acquire any building or facility that will be, during
the pendency of the financing, used by, occupied by, leased to, or paid for by any state, county, or
municipal agency or entity.
6
However, s. 288.9606(6), F.S., authorizes the FDFC in its corporate capacity may, without
authorization from a public agency, issue revenue bonds or other evidence of indebtedness to:
Finance the undertaking of any project within the state that promotes renewable energy;
Finance the undertaking of any project within the state that is a project contemplated or allowed
under s. 406 of the American Recovery and Reinvestment Act of 2009;
7
or
If permitted by federal law, finance qualifying improvement projects under s. 163.08, F.S.
8
DOT Public-Private Partnerships
Section 334.30, F.S., authorizes DOT to enter into public-private partnerships agreements for the
building, operation, ownership, or financing of transportation facilities. Legislative approval of such
projects is evidenced by approval of the project in DOT’s work program.
9
According to DOT:
A Public-Private Partnership (P3) is a contractual agreement between a public agency (federal,
state, or local) and a private sector entity. Through this agreement, the skills and assets of the
public agency and the private sector entity are shared in delivering a service or facility for the
use of general public. In addition to the sharing of resources, each party shares in the risk and
reward potential in the delivery of the service or facility.
10
Examples of DOT’s P3 projects include the I-4 Ultimate and the Port Miami Tunnel.
11
Effect of the Bill
The bill amends s. 288.9606, F.S., relating to the issuance of revenue bonds by FDFC, providing that s.
288.9606(6), F.S., does not prohibit the use of proceeds of FDFC revenue bonds for purposes of
financing the acquisition or construction of a transportation facility under a P3 agreement authorized for
DOT.
The bill also authorizes FDFC to finance the costs of acquisition or construction of a transportation
facility by a private entity or consortium of private entities under a P3 agreement authorized for DOT.
Automated License Plate Recognition Systems/State Highway System
Present Situation
An automated license plate recognition system (ALPRS) is a system of mobile or fixed high-speed
cameras combined with computer algorithms to convert images of license plates into computer-
readable data.
12
Data obtained from an ALPRS is generally used to check license plates against law
enforcement hot lists. Hot lists contain a list of stolen plates and vehicles entered into the National
Crime Information Center database, the Florida Crime Information Center database, Driver and Vehicle
Information Database, and any information entered manually by the operating member. Examples of
manual entries include, but are not limited to: attempt to locate; AMBER/SILVER alerts, child
abductions, missing or wanted persons, and registered sexual predators.
13
6
S. 288.9606(6), F.S.
7
Pub. L. 111-5
8
See s. 163.08(2)(b), F.S., for a listing of such improvements.
9
S. 334.30(1), F.S.
10
DOT, Public-Private Partnerships, https://www.fdot.gov/comptroller/pfo/p3.shtm (last visited Mar. 19, 2023).
11
DOT, Florida Department of Transportation, Public-Private Partnership Projects,
https://fdotwww.blob.core.windows.net/sitefinity/docs/default-source/comptroller/pfo/p3-summary.pdf?sfvrsn=6db86d82_4 (last visited
Mar. 19, 2023).
12
S. 316.0778(1), F.S.
13
Department of Highway Safety and Motor Vehicles’ “Florida Highway Patrol Policy Manual” on ALPRS available at:
https://www.flhsmv.gov/pdf/fhp/policies/1725.pdf (last visited Mar. 24, 2023). STORAGE NAME: h1305.TMS PAGE: 4
DATE: 3/30/2023
Florida law requires the Department of State in consultation with the Department of Law Enforcement
to establish a retention schedule, including a maximum period that records may be retained, for records
containing images and data generated through the use of an ALPRS.
14
The Department of State specifies the retention of license plate recognition records: “Retain until
obsolete, superseded, or administrative value is lost, but no longer than 3 anniversary years unless
required to be retained under another record series.”
15
Images and data containing or providing personal identifying information held by an agency and
obtained by an ALPRS, as well as personal identifying information derived from ALPRS data or images
is confidential and exempt from public record requirements.
16
Such information may be disclosed under
the following conditions:
By or to a criminal justice agency, as defined in s. 119.011(4), F.S., in performance of the
agency’s official duties.
To a license plate registrant requesting his or her own information, unless such information
constitutes active criminal intelligence information or active criminal investigative information.
Effect of the Bill
The bill creates s. 316.0777(2), F.S., defining the term “law enforcement agency” for purposes of that
subsection to mean an agency that has a primary mission of preventing and detecting crime and
enforcing the state penal, criminal, traffic, and motor vehicle laws and in furtherance of that mission
employs law enforcement officers.
17
The bill authorizes, at DOT’s discretion, the installation of ALPRSs within the right-of-way of a road on
the State Highway System when installed at the request of a law enforcement agency for the purpose
of collecting active criminal intelligence information or active criminal investigative information. Such
installation must be in accordance with DOT-developed placement and installation guidelines and be
removed within 30 days after DOT notifies the requesting law enforcement agency that such removal
must occur at the sole expense of the requesting agency.
The bill provides that DOT is not liable for any damages caused to any person by the requesting law
enforcement agency’s operation of an ALPRS, and prohibits retention of records containing images and
data generated through use of an ALPR for longer than the maximum period provided in the applicable
retention schedule.
DOT Airport Site Approval
Current Situation
DOT is responsible for administering and enforcing ch. 330, F.S., relating to the regulation of aircraft,
pilots, and airports, including, but not limited to, establishing requirements for airport site approval,
licensure, and registration.
18
With some exception,
19
the owner or lessee of any proposed airport must
14
S. 316.0778(2), F.S.
15
Florida Department of State, General Records Schedule GS2 for Law Enforcement, Correctional Facilities and District Medical
Examiners, Effective: February 2021, https://fldoswebumbracoprod.blob.core.windows.net/media/703921/gs2-2021-final.pdf (last
visited Mar. 24, 2023).
16
S 316.0777(2), F.S.
17
Section 943.10(1), F.S., defines the term “law enforcement officer” to mean any person who is elected, appointed, or employed full
time by any municipality or the state or any political subdivision thereof; who is vested with authority to bear arms and make arrests;
and whose primary responsibility is the prevention and detection of crime or the enforcement of the penal, criminal, traffic, or highway
laws of the state. This definition includes all certified supervisory and command personnel whose duties include, in whole or in part, the
supervision, training, guidance, and management responsibilities of full-time law enforcement officers, part-time law enforcement
officers, or auxiliary law enforcement officers but does not include support personnel employed by the employing agency.
18
S. 330.30, F.S.
19
S. 330.30(3), F.S. STORAGE NAME: h1305.TMS PAGE: 5
DATE: 3/30/2023
obtain DOT’s approval of the airport site before site acquisition or construction or establishment of the
proposed airport. DOT is required to grant site approval upon satisfaction that:
The site has adequate area allocated for the airport as proposed.
The proposed airport will conform to licensing or registration requirements and will comply with
applicable local government land development regulations or zoning requirements.
All affected airports, local governments, and property owners have been notified and any
comments submitted by them have been given adequate consideration.
Safe air-traffic patterns can be established for the proposed airport with all existing airports and
approved airport sites in its vicinity.
20
DOT has adopted rules regarding airport site approval.
21
Rule 14-60.005, F.A.C., lists supporting
documentation that must accompany an application for public airport site approval. With respect to air
traffic patterns, an applicant must provide written confirmation, including a graphical depiction,
demonstrating that safe air traffic patterns can be established for the proposed airport with all existing
and approved airport sites within three miles of the proposed airport site. The applicant must provide a
copy of a written memorandum of understanding or letter of agreement, signed by each respective
party, regarding air traffic pattern separation procedures between the parties representing the proposed
airport and any existing airport(s) or approved airport site(s) located within three miles of the proposed
site.
22
Effect of the Bill
The bill creates s. 330.30(1)(d), F.S., providing that for the purpose of granting airport site approval,
DOT may not require an applicant to provide a written memorandum of understanding or letter of
agreement with other airport sites regarding air traffic pattern separation procedures unless such
memorandum or letter is required by the Federal Aviation Administration or is deemed necessary by
DOT.
DOT Public Information and Educational Campaigns
Current Situation
Section 334.044(5), F.S., authorizes DOT to purchase, lease, or otherwise acquire property and
materials, including the purchase of promotional items as part of public information and education
campaigns for the promotion of scenic highways, traffic and train safety awareness, alternatives to
single-occupant vehicle travel, and commercial motor vehicle safety; to purchase, lease, or otherwise
acquire equipment and supplies; and to sell, exchange, or otherwise dispose of any property that is no
longer needed by DOT.
DOT recently published Florida’s Electric Vehicle Infrastructure Deployment Plan,
23
deemed as the
“framework for implementing the National Electric Vehicle Infrastructure Program (NEVI) to invest
funding for EV infrastructure improvements to address charging gaps identified in the market,” which
will serve “as a guide for how EV funds will be invested across the State over the five-year timeline of
the NEVI program.”
The Federal Highway Administration views public engagement activities as enabling “a more inclusive,
accessible, and transparent process to gain input from communities,” and NEVI funds can be used for
public engagement.
24
DOT advises that public engagement activities include “briefings, meetings,
venues, social media, interactive displays, kiosks, visual materials, etc.”
25
However, DOT does not
20
S. 330.30(1)(a), F.S.
21
Ch. 14-60, F.A.C.
22
R. 14-60.005(5)(j), F.A.C.
23
See Department of Transportation (DOT), Florida’s Electric Vehicle Infrastructure Deployment Plan, p. 3,
https://fdotwww.blob.core.windows.net/sitefinity/docs/default-source/planning/policy/electric-vehicle/florida's-evidp_2022-07-
29_final_v2.pdf?sfvrsn=21099b3e_2 (last visited Mar. 19, 2023).
24
See FHWA, National Electric Vehicle Infrastructure (NEVI) Formula Program Q&A, pp. 12-13,
https://www.fhwa.dot.gov/environment/alternative_fuel_corridors/resources/nevi_program_faqs.pdf (last visited Mar. 23, 2023).
25
See DOT’s responses to Senate committee staff questions, Question 3.(on file with the Transportation & Modals Subcommittee). STORAGE NAME: h1305.TMS PAGE: 6
DATE: 3/30/2023
have state statutory authority to purchase promotional items relating to electric vehicles or electric
vehicle charging stations, nor for autonomous vehicles (which may be electrically powered), or context
design for each.
26
According to DOT, context design relates to the various design elements surrounding roads/other
infrastructure that will have to be updated to account for these emerging technologies and the
respective community’s environment and educating the public about these new features. This is
applicable to both type of emerging technologies – electric vehicle and autonomous vehicles.
Effect of the Bill
The bill amends DOT’s powers and duties authorizing it to purchase, lease, or otherwise acquire
property and materials, including promotional items as part of public informational and educational
campaigns for the promotion of electric vehicle use and charging stations, autonomous vehicles, and
context design for electric vehicles and autonomous vehicles.
DOT Employee Commercial Driver Licenses
Current Situation
DOT notes that truck drivers licensed to drive commercial motor vehicles “are the Department’s
heaviest need right now. This can also extend to heavy equipment drivers such as bridge snoopers
27
and dump trucks, all of which also require a [commercial driver license] as a condition of
employment.”
28
The 2022 General Appropriations Act contained the following proviso language:
From the funds in Specific Appropriations 1969 and 1995, $500,000 may be expended for
training, testing, and licensing for full-time employees of the Department of Transportation who
are required to have a valid Class A
29
or Class B
30
commercial driver license as a condition of
employment with the department.
31
Effect of the Bill
The bill creates s. 334.044(36), F.S., authorizing the DOT, within its discretion, to expend funds for
training, testing, and licensing for full-time DOT employees who are required to have a valid Class A or
Class B commercial driver license as a condition of employment with DOT.
DOT Rapid Response Contracting Authority
Current Situation
Under current law, DOT is authorized to enter into contracts for the construction and maintenance of all
roads designated as part of the State Highway System or the State Park Road System or of any roads
placed under its supervision. DOT also has the authority to enter into contracts for the construction and
26
According to the DOT, context design relates to the various design needs in different communities as electric vehicle and
autonomous vehicle technology continues to evolve. Id., Question 5.
27
Bridge snoopers are designed for under-bridge access inspections and bridge maintenance work. See paxton-mitchell.com, The
Original Snooper Underbridge Inspection Truck, for a picture of a snooper, https://paxton-mitchell.com/category/bridge-inspection-
equipment/ (last visited Mar. 19, 2023).
28
Attachment to e-mail from Brett Tubbs, Legislative Affairs Director, Department of Transportation, RE HB 1305, Initial Questions.
(Mar. 10, 2023)
29
A Class A commercial driver license is for trucks or truck combinations weighing with a Gross Vehicle Weight Rating of 26,001 lbs. or
more, provided towed vehicle is more than 10,000 lbs. Department of Highway Safety and Motor Vehicles, License Classes,
Endorsements, and Designations, https://www.flhsmv.gov/driver-licenses-id-cards/general-information/license-classes-endorsements-
designations/ (last visited Mar. 23, 2023).
30
A Class B commercial driver license is for straight trucks weighing 26,001 lbs. Gross Vehicle Weight Rating or more. Id.
31
Ch. 2022-156, Laws of Fla. Provision Language to specific appropriation 1969. STORAGE NAME: h1305.TMS PAGE: 7
DATE: 3/30/2023
maintenance of rest areas, weigh stations, and other structures, including roads, parking areas,
supporting facilities and associated buildings used in connection with such facilities.
32
When DOT determines that it is in the public’s best interest for reasons of public concern, economy,
improved operations, or safety, and only when circumstances dictate rapid completion of the work,
DOT may, up to the amount of $250,000, enter into contracts for construction and maintenance without
advertising and receiving competitive bids. DOT may enter into such contracts only upon a
determination that the work is necessary for one of the following reasons:
To ensure timely completion of projects or avoidance of undue delay for other projects;
To accomplish minor repairs or construction and maintenance activities for which time is of the
essence and for which significant cost savings would occur; or
To accomplish nonemergency work necessary to ensure avoidance of adverse conditions that
affect the safe and efficient flow of traffic.
DOT must make a good faith effort to obtain two or more quotes, if available, from qualified contractors
before entering into any contract. DOT must consider disadvantaged business enterprise participation.
However, when the work exists within the limits of an existing contract, DOT makes a good faith effort
to negotiate and enter into a contract with the prime contractor on the existing contract.
33
The maximum dollar threshold was most recently increased in 2017, when it was increased from
$120,000 to $250,000.
34
Effect of the Bill
The bill increases amount from $250,000 to $500,000 when DOT may enter into construction and
maintenance contracts without advertising and receiving competitive bids. DOT may only enter into
such contracts as provided above.
DOT Work Program Amendments
Current Situation
Section 339.135, F.S. provide for the development, adoption, and amendment of DOT’s five-year work
program. Section 339.175(7)(h), F.S., provides that any work program amendment that adds a new
project, or phase thereof, to the adopted work program in excess of $3 million is subject to Legislative
Budget Commission (LBC) approval. Any work program amendment submitted under this provision
must include, as supplemental information, a list of projects, or phases of projects, in the current 5-year
adopted work program which are eligible for the funds within the appropriation category being used for
the proposed amendment. DOT must provide a narrative with the rationale for not advancing an
existing project, or phase of an existing project in lieu of the proposed amendment.
35
If DOT submits a work program amendment to the LBC and the LBC does not meet or consider the
amendment within 30 days after its submittal, the chair and vice chair of the LBC may authorize the
amendment to be approved pursuant to s. 216.177, F.S. This provision expires July 1, 2023.
36
The provision authorizing the chair and vice-chair of the LBC’s to approve certain DOT work program
amendments has been in an implementing bill to the General Appropriations Act in 2022,
37
2021,
38
2020,
39
and 2019.
40
Effect of the Bill
32
S. 337.11(1), F.S.
33
S. 337.11(6)(c), F.S.
34
Ch. 2017-196, Laws of Fla.
35
S. 339.175(7)(h)1., F.S.
36
S. 339.175(7)(h)2., F.S.
37
S. 27 ch. 2022-157, Laws of Fla.
38
S. 54, ch. 2021-27, Laws of Fla.
39
S. 93, ch, 2020-114, Laws of Fla.
40
S. 101, ch. 2019-116, Laws of Fla. STORAGE NAME: h1305.TMS PAGE: 8
DATE: 3/30/2023
The bill extends from June 30, 2023, to June 30, 2024, the expiration of the authorization for the chair
and vice-chair of the LBC to approve certain work program amendments if the LBC does not meet and
consider the amendment within 30 days of DOT submitting the work program amendment.
Public Transit Development
Current Situation
Public Transit Block Grants
The federal Surface Transportation Block Grant Program apportions funding for each state
41
that may
be used by states and localities for projects to preserve and improve the conditions and performance
on any Federal-aid highway, bridge, and tunnel projects on any public road, pedestrian and bicycle
infrastructure, and transit capital projects,
42
including intercity bus terminals.
43
DOT and local
governmental entities are authorized to receive federal grants or apportionments for public transit
44
and
intercity bus service projects
45
in this state.
46
Section 341.052, F.S., creates a public transit block grant program which is administered by DOT.
Block grant funds may only be provided to “Section 9” providers
47
and “Section 18” providers
48
designated by the United States Department of Transportation and community transportation
coordinators.
49
Eligible providers must establish public transportation development plans consistent, to
the maximum extent feasible, with approved local government comprehensive plans of the units of local
government in which the provider is located. In developing public transportation development plans,
eligible providers must solicit comments from local workforce development boards.
50
The development
41
See the Surface Transportation Block Grant Fact Sheet https://www.fhwa.dot.gov/bipartisan-infrastructure-law/stbg.cfm (last visited
Mar. 19, 2023).
42
Section 341.031(7), F.S., defines the term “public transit capital project” to mean a project undertaken by a public agency to provide
public transit to its constituency, and is limited to acquisition, design, construction, reconstruction, or improvement of a governmentally
owned or operated transit system.
43
See FHWA, Surface Transportation Block Grant Program (STBG),
https://www.fhwa.dot.gov/specialfunding/stp/#:~:text=The%20Surface%20Transportation%20Block%20Grant%20program%20%28STB
G%29%20provides,and%20transit%20capital%20projects%2C%20including%20intercity%20bus%20terminals (last visited Mar. 23,
2023).
44
Section 341.013(6), F.S., defines the term “public transit” to mean the transporting of people by conveyances, or systems of
conveyances, traveling on land or water, local or regional in nature, and available for use by the public. Public transit systems may be
either governmentally owned or privately owned.
45
Section 341.031(11), F.S., defines the term “intercity bus service” to mean regularly scheduled bus service for the general public
which operates with limited stops over fixed routes connecting two or more urban areas not in close proximity; has the capacity for
transporting baggage carried by passengers; makes meaningful connections with scheduled intercity bus service to more distant points,
if such service is available; maintains scheduled information in the National Official Bus Guide; and provides package express service
incidental to passenger transportation.
46
S. 341.051(1), F.S.
47
A “Section 9” provider is now referred to as a Section 5307 provider, one eligible to receive funds from the Urbanized Area Formula
Grants program under 49 U.S.C. 5307. The program makes federal resources available to urbanized areas (50,000 population or more)
and to governors for transit capital and operating assistance in urbanized areas and for transportation-related planning. Designated
recipients that are public bodies with the legal authority to receive and dispense federal funds are eligible. For a long list of eligible
activities, see Federal Transit Administration, Urbanized Area Formula Grants – 5307
https://www.transit.dot.gov/funding/grants/urbanized-area-formula-grants-5307 (last visited Mar. 23, 2023)
48
A “Section 18” provider is now referred to as a Section 5311 provider, one eligible to receive funds from the Formula Grants for Rural
Areas under 49 U.S.C. 5311. The grants provide capital, planning, and operating assistance to states to support public transportation in
rural areas with populations of less than 50,000, where many residents often rely on public transit to reach their destinations. The
program also provides funding for state and national training and technical assistance through the Rural Transportation Assistance
Program. Eligible recipients include states and federally recognized Indian Tribes. Subrecipients may include state or local government
authorities, nonprofit organizations, and operators of public transportation or intercity bus service. Eligible activities include planning,
capital, operating, job access and reverse commute projects, and the acquisition of public transportation services. See Federal Transit
Administration, Formula Grants for Rural Areas – 5311, https://www.transit.dot.gov/rural-formula-grants-5311 (last visited Mar. 23,
2023).
49
Section 427.011(5), F.S., defines the term “community transportation coordinator” to mean a transportation entity recommended by a
metropolitan planning organization, or by the appropriate designated official planning agency as provided for in ss. 427.011-
427.017,F.S., in an area outside the purview of a metropolitan planning organization, to ensure that coordinated transportation services
are provided to the transportation disadvantaged population in a designated service area.
50
Workforce development boards are established under ch. 445, F.S. STORAGE NAME: h1305.TMS PAGE: 9
DATE: 3/30/2023
plans must address how the public transit provider will work with the appropriate local workforce
development board to provide services to participants in the welfare transition program. Eligible
providers must provide information to the local workforce development board serving the county in
which the provider is located regarding the availability of transportation services to assist program
participants.
51
Costs for which public transit block grant program funds may be expended include:
Costs of public bus transit and local public fixed guideway capital projects.
Costs of public bus transit service development and transit corridor projects.
Costs of public bus transit operations.
All projects must be consistent, to the maximum extent feasible, with the approved local government
comprehensive plans of the units of local government in which the project is located.
52
Transit Productivity and Performance Measures
Where there is an approved local government comprehensive plan in the political subdivision or
political subdivisions in which the public transportation system is located, each public transit provider
must establish public transportation development plans consistent with approved local government
comprehensive plans.
53
Each public transit provider must establish productivity and performance measures, which must be
approved by the department and which must be selected from measures developed pursuant to s.
341.041(3), F.S. Each provider must, by January 31 of each year, report to DOT relative to these
measures. In approving these measures, DOT must consider the goals and objectives of each system,
the needs of the local area, and the role for public transit in the local area. The report shall also
specifically address potential enhancements to productivity and performance which would have the
effect of increasing farebox recovery ratio.
54
Each public transit provider must publish in the local newspaper of its area the productivity and
performance measures established for the year and a report which provides quantitative data relative to
the attainment of established productivity and performance measures.
55
Metropolitan Planning Organization Long-Range Transportation Plans
Metropolitan Planning Organizations (MPOs) are federally-required transportation planning
organizations in urbanized areas with populations of greater than 50,000 persons.
56
Each MPO is required to develop a long-range transportation plan with a 20-year planning horizon. The
plan must include both long-range and short-range strategies and must comply with all other state and
federal requirements. The prevailing principles to be considered in the long-range transportation plan
are: preserving the existing transportation infrastructure; enhancing Florida's economic
competitiveness; and improving travel choices to ensure mobility.
57
Effect of the Bill
The bill requires that eligible public transit providers public transportation development plan to be
consistent, to the maximum extent feasible, with the long-range transportation plans of the MPO in
which the provider is located. Currently, DOT’s Transit Development Plan Handbook provides that at a
minimum a transportation development plan must be consistent with the Florida Transportation Plan,
51
S. 341.052(1), F.S.
52
S. 341.052(2), F.S.
53
S. 341.071(1), F.S.
54
S. 341.071(2), F.S.
55
S. 341.071(3), F.S.
56
Federal Transit Administration, Metropolitan Planning Organization (MPO), https://www.transit.dot.gov/regulations-and-
guidance/transportation-planning/metropolitan-planning-organization-mpo (last visited Mar. 23, 2023).
57
S. 339.175(7), F.S. STORAGE NAME: h1305.TMS PAGE: 10
DATE: 3/30/2023
local government comprehensive plans and local MPO long-range transportation plans.
58
Therefore, it
appears that the bill is codifying current practice.
The bill provides that each public transit provider’s productivity and performance report must include
the farebox recovery ratio, but removes the requirement that the report specifically address potential
enhancements to productivity and performance that would have the effect of increasing the farebox
recovery ratio.
59
The bill also requires each public transit provider to publish on its website, instead of in the local
newspaper, its productivity and performance measure and data relative to the attainment of those
measures.
Santa Rosa Bay Bridge Authority
Current Situation
Originally created in 1984,
60
ch.348, part IV, F.S., creates the Santa Rosa Bay Bridge Authority
(SRBBA) in Santa Rosa County The SRBBA was created for the purpose of acquiring, holding,
constructing, maintaining, operating, owning, and leasing the Santa Rosa Bay Bridge System
(system),
61
commonly known as the Garcon Point Bridge. Bridge construction began in December 1996
and the bridge opened to traffic in May 1999.
62
Toll Facility Revolving Trust Fund Loans
The Toll Facilities Revolving Trust Fund was a loan program used to develop and enhance the financial
feasibility of revenue-producing road projects. The trust fund provided interest free loans to pay the toll
facility’s initial project development costs. Loans of greater than $1.5 million required specific legislative
appropriation. In 2012, the Legislature repealed the Toll Facilities Revolving Trust Fund.
63
Between 1989 and 1994, SRBBA received $8.5 million in Toll Facilities Revolving Trust Fund loans.
SRBBA used the loan proceeds to pay preliminary expenditures related to the bridge. Toll Facilities
Revolving Trust Fund loan repayment is subordinate to the SRBBA’s debt service and administrative
costs. As of June 30, 2016, SRBBA owed DOT $7.9 million in Toll Facilities Revolving Trust Fund loans
and has not made any loan payments since August 1999.
64
In January 2001, SRBBA requested an additional loan of over $2.9 million, anticipated to be sufficient
to cover revenue shortfalls in Fiscal Years 2001 and 2002. SRBBA’s request was reduced to $1.4
million after updated revenue estimates decreased its anticipated revenue shortfall. In May 2001, the
Legislature approved SRBBA’s loan request;
65
however, Governor Bush vetoed the loan.
66
Following the veto, SRBBA used its operating reserves to cover the revenue shortfall for its July 1,
2001, debt service payment. This temporarily allowed SRBBA to delay drawing on its $9.2 million debt
service reserve fund. This also left SRBBA without funds for its day-to-day operations. By mid-2001,
SRBBA was using all available toll revenues for debt service, leaving it without operating funds. By the
end of 2001, due to lack of funds, SRBBA closed its office and ceased all administration services. DOT
58
DOT, TPD Handbook, Version III, 2022 Update, p. 101. https://fdotwww.blob.core.windows.net/sitefinity/docs/default-
source/transit/documents/2022-transit-development-plan-handbook.pdf?sfvrsn=be593482_2 (last visited Mar. 19, 2023).
59
The farebox recovery ratio is the percentage of direct operating costs for a route that are recovered through the fare paid by the
ridership. It is equal to fare revenue divided by total expenses. Attachment to E-mail from Brett Tubbs., Legislative Affairs Director,
Department of Transportation, RE: HB 1305 Initial Questions, Mar. 10, 2023.
60
Ch. 84-354, Laws of Fla.
61
Department of Transportation/Division of Bond Finance; Economic Feasibility Study: State Acquisition of the Garcon Point Bridge.
December 2017, p. 11.
62
Id. at B-2.
63
Ch. 2012-128, Laws of Fla.
64
Economic Feasibility Study, supra note 61 at p. 11.
65
Ch. 2001-253, Laws of Fla. (Veto of proviso language for specific appropriation 2032).
66
Economic Feasibility Study, supra note 61 at p. B-3. STORAGE NAME: h1305.TMS PAGE: 11
DATE: 3/30/2023
agreed to take possession of all SRBBA’s records and provide administrative support for SRBBA’s
future board meetings.
67
Financing and Construction
In 1996, SRBBA issued $95 million in bonds to pay for the construction of the Garcon Point Bridge.
Also in 1996, SRBBA entered into a lease-purchase agreement with DOT, where DOT operated,
maintained, repaired, and insured the bridge, and SRBBA was to reimburse DOT for associated
expenditures only when it was able to meet its bond obligations.
68
Of SRBBA’s $95 million in bonds, $75.5 million are fixed-rate current-interest bonds. Fixed-rate current-
interest bonds pay interest at a set rate on a periodic basis. At maturity, the final interest payment and
the original principal amount is paid to the bondholder. This is the conventional debt structure in the
municipal bond market and is utilized for the vast majority of the state’s debt transactions.
69
The remaining $19.5 million in bonds are Capital Appreciation Bonds. Capital Appreciation Bonds do
not make periodic interest payments and instead increase in value at a compounded rate. At maturity,
bondholders receive a single payment equal to their original principal and all compounded interest. The
total or amount due at maturity of SRBBA’s in Capital Appreciation Bonds issued is $73.8 million. Since
Capital Appreciation Bonds only pay at maturity, they are used to avoid periodic interest payments.
70
In 1999, the Garcon Point Bridge opened to traffic. However, it never received enough toll revenues to
meet its bond obligations and its bonds went into default. In 2015 and 2018, the bond trustees
requested that DOT increase the toll on the bridge. DOT expressed concerns over its legal authority to
increase toll and did not increase the tolls.
71
Lease-Purchase Agreement
In October 1996, SRBBA and DOT entered into a lease-purchase agreement,
72
granting DOT exclusive
possession and use of the bridge. Under the agreement, DOT pays the costs of operating, maintaining,
repairing, and insuring the bridge. The agreement requires DOT to collect the tolls on the bridge and
remit the revenues to the bond trustee as lease payments. The agreement’s terms extend through the
date upon which all of the bonds have been repaid and all amounts due to DOT, including the Toll
Facilities Revolving Trust Fund loans and all operations and maintenance costs paid by DOT, have
been repaid.
73
The agreement was a mechanism for the state to provide credit support in connection with financing
the bridge. With the state paying the operation and maintenance expenses, SRBBA was able to pledge
its gross toll revenues as security for the bonds. The state’s credit support reduced the financial risk to
bondholders and was essential for the marketability of the bonds given.
Litigation and State Takeover
In December 2018, the bond trustees filed a Complaint in the Circuit Court for Leon County seeking an
order requiring DOT to increase the tolls on the bridge in order to cover the SRBBA’s bond obligations
and a separate claim in excess of $75 million in damages for DOT’s failure to raise tolls when
67
Id. at B-3 - B-4.
68
Department of Transportation settlement agreement with UMB National Association regarding the Garcon Point Bridge (June 13,
2022), Paragraph C, https://facts.fldfs.com/Search/ContractDetail.aspx?AgencyId=550000&ContractId=S0424&Tab=4 (last visited Mar.
2, 2023).
69
Economic Feasibility Study, supra note 61 at p. B-3.
70
Id.
71
Settlement Agreement, supra note 68 at paragraph L.
72
DOT’s authority to enter into lease-purchase agreements with SRBBA and similar authorities was repealed in 2014.
73
Economic Feasibility Study, supra note 56 at p. 14 STORAGE NAME: h1305.TMS PAGE: 12
DATE: 3/30/2023
requested by the trustee. The complaint was subsequently amended to request damages relating to
DOT’s extended suspension of tolls following Hurricane Sally in September 2020.
74
In December 2019, the court entered its Final Judgement, directing DOT to increase tolls in the manner
recommended by DOT’s traffic engineering consultant. In February 2020, DOT established higher tolls
on the Garcon Point Bridge. However, the tolls were still not sufficient to cover bond costs.
75
On July 28, 2021, Governor DeSantis announced a toll reduction for the Garcon Point Bridge and
directed DOT to lower the toll rates and reach a settlement with the bond trustee and bond holders to
purchase the bridge and transfer it to the Florida Turnpike Enterprise.
76
In June 2022, a settlement agreement was reached between the bond trustee and DOT, where DOT
paid the bond trustees $134 million and took over ownership of the bridge.
77
The tolls on the bridge
were then lowered from $4.50 to $2.30 for SunPass customers and from $5 to $2.75 for cash
customers.
78
Effect of the Bill
Effective upon becoming a law, the bill provides that since SRBBA’s bridge system was transferred to
DOT under the terms of the lease-purchase agreement between DOT and the SRBBA, which was
effective as of the close of business on June 30, 2022,
79
any remaining assets, facilities, tangible and
intangible property, and any rights in such property, and other legal rights of the SRBBA are transferred
to DOT. DOT succeeds to all powers of the SRBBA. DOT may review other contracts, financial
obligations, and contractual obligations and liabilities of the SRBBA and may assume legal liability for
such obligations that are determined by DOT to be necessary for the continued operation of the bridge
system.
The bridge system, or any portion of the bridge system, may be transferred by DOT and become part of
the turnpike system under the Florida Turnpike Enterprise Law.
80
Upon becoming a law, the bill repeals ch. 348, part IV, F.S., repealing the Santa Rosa Bay Bridge
Authority. The bill transfers the governance and control of SRBBA to DOT.
Effective Date
Except as otherwise provided in the bill, the bill has an effective date of July 1, 2023.
B. SECTION DIRECTORY:
Section 1 Amends s. 288.9606, F.S., relating to the issue of revenue bonds.
Section 2 Amends s 316.0777, F.S., relating to automated license plate recognitions systems,
installation within rights-of-way of the State Highway System; public records exemption.
Section 3 Amends s. 330.30, F.S., relating to approval of airport sites; registration and licensure of
airports.
74
Settlement Agreement, supra note 68 at paragraph M. Due to damage from Hurricane Sally to the Pensacola Bay Bridge that bridge
was closed. Shortly after that bridge’s closure, Governor DeSantis waived tolls on the Garcon Point Bridge through July 6, 2021.
https://www.flgov.com/2021/07/28/governor-desantis-reduces-tolls-for-garcon-point-bridge/ (last visited Mar. 19, 2023)
75
Settlement Agreement, supra note 68 at paragraph N.
76
Governor Ron DeSantis, Press Release, Governor DeSantis Reduces toll for Garcon Point Bridge, July 28, 2021.
https://www.flgov.com/2021/07/28/governor-desantis-reduces-tolls-for-garcon-point-bridge/ (last visited Mar. 19, 2023).
77
Settlement Agreement, supra note 68 at paragraph 4.
78
Alex Miller, Florida takes ownership of Garcon Point Bridge; cash toll is $2.75 effective Thursday. Pensacola News Journal. June 16,
2022. https://www.pnj.com/story/news/local/santa-rosa/2022/06/15/garcon-point-bridge-purchased-state-tolls-now-2-75/7623694001/
(last visited Mar. 19, 2023).
79
Per DOT, this was the date the SRBBA’s bonds were discharged.
80
Ss. 338.22-338.241, F.S. STORAGE NAME: h1305.TMS PAGE: 13
DATE: 3/30/2023
Section 4 Amends s. 344.044, F.S., relating to the powers and duties of the department.
Section 5 Amends s. 337.11, F.S., relating to contracting authority of the department; bids;
emergency repairs, supplemental agreements, and change orders; combined design
and construction contracts; progress payments; records; requirements for vehicle
registration.
Section 6 Amends s. 339.153, F.S., relating to work program; legislative budget request;
definitions; preparation, adoption, execution, and amendment.
Section 7 Amends s. 341.052, F.S., relating to public transit block grant program; administration
eligible projects; limitation.
Section 8 Amends s. 341.071, F.S., relating to transit productivity and performance measures;
reports.
Section 9 Transfers the Santa Rosa Bay Bridge Authority to DOT.
Section 10 Repeals ch. 348, part IV, F.S., repealing the Santa Rosa Bay Bridge Authority.
Section 11 Provides that, except as otherwise expressly provided, the bill has an effective date of
July 1, 2023.
II. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:
1. Revenues:
None.
2. Expenditures:
Indeterminate.
B. FISCAL IMPACT ON LOCAL GOVERNMENTS:
1. Revenues:
None.
2. Expenditures:
Indeterminate.
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:
Indeterminate.
D. FISCAL COMMENTS:
None.
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
1. Applicability of Municipality/County Mandates Provision: STORAGE NAME: h1305.TMS PAGE: 14
DATE: 3/30/2023
Not applicable. This bill does not appear to affect municipal or county governments.
2. Other:
None.
B. RULE-MAKING AUTHORITY:
DOT will need to amend its rules relating to airport site approval to reflect changes made by the bill.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
On March 29, 2023, the Transportation & Modals Subcommittee considered a proposed committee
substitute with one amendment, which was adopted, and reported the bill favorably as a committee
substitute. The committee substitute differs from HB 1305 in the following ways:
Removes a provision exempting rating agency services from competitive procurement
requirements.
Provides that DOT may not, when granting airport site approval, require a written memorandum of
understanding or letter of agreement with other airport sites regarding air traffic pattern separation
procedures unless it is required by the Federal Aviation Administration or is deemed necessary by
DOT.
Revises DOT’s authority to expend funds for training, testing, and licensing for its employees such
that the expenditure only applies to Class A or Class B commercial driver licenses required as a
condition of employment with DOT.
Revises a provision relating to the Legislative Budget Commission process for the DOT work
program by extending the expiration date for one year rather than making the provision permanent
law.
Adds a provision that would grant permission for DOT to allow law enforcement to install automated
license plate readers on DOT property along state roads.
Makes other clarifying changes.
The staff analysis has been updated to reflect the committee substitute.