This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives.
STORAGE NAME: h0793.LFS
DATE: 1/8/2024
HOUSE OF REPRESENTATIVES LOCAL BILL STAFF ANALYSIS
BILL #: HB 793 Coral Springs Improvement District, Broward County
SPONSOR(S): Daley
TIED BILLS: IDEN./SIM. BILLS:
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Local Administration, Federal Affairs & Special
Districts Subcommittee
Roy Darden
2) Constitutional Rights, Rule of Law & Government
Operations Subcommittee
3) State Affairs Committee
SUMMARY ANALYSIS
A “special district” is a unit of local government created for a particular purpose, with jurisdiction to operate
within a limited geographic boundary. Special districts are created by general law, special act, local ordinance,
or rule of the Governor and Cabinet. A special district has only those powers expressly provided by, or
reasonably implied from, the authority provided in the district’s charter.
The Coral Springs Improvement District (CSID) is an independent special district providing drainage, water,
and sewer services to portions of the City of Coral Springs in Broward County. The CSID was created by a
circuit court order in 1966, with a charter codified by a special act in 1970, and re-codified in 2004. As originally
enacted, the charter provided the CSID with an expanded scope of powers, including all powers under ch. 298,
F.S., as well as authority to develop and operate water and sewer systems.
General law contains numerous provisions concerning the procurement of commodities and services, including
commodities or contractual services, construction services, and certain professional services.
The bill revises the purchasing and contracting requirements of the CSID by:
Increasing the threshold at which competitive bidding is required for goods, supplies, or materials to the
Category Four threshold;
Requiring the district to publish notice of bids once a week in a newspaper of general circulation in
Broward County and in the district;
Requiring the district to comply with the procedures in s. 255.20, F.S., and other applicable general law,
when seeking to construct or improve a public building, structure, or other public works projects;
Clarifying the district must accept the bid of the lowest responsive and responsible bidder, unless the
board determines it is in the best interest of the district to reject all of the bids;
Providing that the provisions of the Consultants’ Competitive Negotiation Act apply to district contracts
for engineering, architecture, landscape architecture, or registered surveying and mapping services;
Requiring the district to undergo a competitive bidding procedure for contracts for maintenance services
that exceed the Category Four threshold and to adopt rules, policies, and procedures for bids for
maintenance services;
Providing that other services are not subject to competitive bidding requirements unless the board
adopts a rule, policy, or procedure; and
Authorizes the district to apply to the Department of Management Services to purchase commodities
and contractual services from purchasing agreements established and state term contracts procured by
the department.
According to the Economic Impact Statement, the bill is likely to result in cost savings to the district due to the
modernization of procurement procedures. STORAGE NAME: h0793.LFS PAGE: 2
DATE: 1/8/2024
FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS
A. EFFECT OF PROPOSED CHANGES:
Present Situation
Special Districts
A “special district” is a unit of local government created for a particular purpose, with jurisdiction to
operate within a limited geographic boundary.
1
Special districts are created by general law, special act,
local ordinance, or rule of the Governor and Cabinet.
2
A special district has only those powers
expressly provided by, or reasonably implied from, the authority provided in the district’s charter.
Special districts provide specific municipal services in addition to, or in place of, those provided by a
municipality or county.
3
Special districts are funded through the imposition of ad valorem taxes, fees, or
charges on the users of those services as authorized by law.
4
Special districts may be classified as dependent or independent based on their relationship with local
general-purpose governments. A special district is classified as “dependent” if the governing body of a
single county or municipality:
Serves as governing body of the district;
Appoints the governing body of the district;
May remove members of the district’s governing body at-will during their unexpired terms; or
Approves or can veto the budget of the district.
5
A district is classified as “independent” if it does not meet any of the above criteria or is located in more
than one county, unless the district lies entirely within the boundaries of single municipality.
6
Special districts do not possess “home rule” powers and may impose only those taxes, assessments,
or fees authorized by special or general law. The special act creating an independent special district
may provide for funding from a variety of sources while prohibiting others. For example, ad valorem tax
authority is not mandatory for a special district.
7
Coral Springs Improvement District
The Coral Springs Improvement District (CSID) is an independent special district providing drainage,
water, and sewer services to portions of the City of Coral Springs in Broward County.
8
The CSID was
created by a circuit court order in 1966, with a charter codified by special act in 1970,
9
and re-codified
in 2004.
10
As originally enacted, the charter provided the district with an expanded scope of powers,
including all powers under ch. 298, F.S., as well as authority to develop and operate water and sewer
systems.
11
1
See Halifax Hospital Medical Center v. State of Fla., et al., 278 So. 3d 545, 547 (Fla. 2019).
2
See S. 189.02(1), 189.031(3), and. 190.005(1), F.S. See generally s. 189.012(6), F.S.
3
Local Administration, Federal Affairs & Special Districts Subcommittee, The Local Government Formation Manual, 62, available at
https://myfloridahouse.gov/Sections/Committees/committeesdetail.aspx?CommitteeId=3227 (last visited Jan. 8, 2024).
4
The method of financing a district must be stated in its charter. S. 189.02(4)(g), 189.031(3), F.S. Independent special districts may be
authorized to impose ad valorem taxes as well as non-ad valorem special assessments in the special acts comprising their charters.
See, e.g., ch. 2023-335, s. 6 of s. 1, Laws of Fla. (East River Ranch Stewardship District). See also, e.g., ss. 190.021 (community
development districts), 191.009 (independent fire control districts), 197.3631 (non-ad valorem assessments), 298.305 (water control
districts), 388.221 (mosquito control), ch. 2004-397, s. 27 of s. 3, Laws of Fla. (South Broward Hospital District).
5
S. 189.012(2), F.S.
6
S. 189.012(3), F.S.
7
See, e.g., ch. 2006-354, Laws of Fla. (Argyle Fire District may impose special assessments, but has no ad valorem tax authority).
8
See ch. 2004-469, s. 7, Laws of Fla. See also City of Coral Springs, Water Billing,
https://www.coralsprings.org/Government/Departments/Water-Billing (last visited Jan. 8, 2024) (maps of water districts providing
services to the residents of Coral Springs).
9
Ch. 70-617, Laws of Fla.
10
Ch. 2004-469, s. 2, 3(1), Laws of Fla.
11
Ch. 70-617, s. 9(21), Laws of Fla., now ch. 2004-469, s. 9(21) of s. 3, Laws of Fla. STORAGE NAME: h0793.LFS PAGE: 3
DATE: 1/8/2024
The CSID is currently governed by a three-member board elected by the landowners of the district on a
one-acre, one-vote basis for a four-year term.
12
A majority of board members must be residents of
Broward County and all must own land within the district. Beginning with the 2024 general election, the
CSID must be governed by a five-member board elected by, and consisting of, qualified electors of the
district.
13
Procurement of Commodities or Contractual Services
Florida law requires state agencies to use a competitive solicitation process for the procurement of
commodities or contractual services in excess of threshold for Category Two.
14
A competitive
solicitation is the process of requesting and receiving two or more sealed bids, proposals, or replies
submitted by responsive vendors in accordance with the term of a competitive process, regardless of
procurement method.
15
Any competitive solicitation must be made available simultaneously to all
vendors, must include the time and date for receipt of bids, and must include all contractual terms and
conditions applicable to the procurement.
16
Procurement of Construction Services
Chapter 255, F.S., specifies the procedures to be followed for the procurement of construction services
for public property and publicly owned buildings. The Department of Management Services (DMS) is
responsible for establishing the following by rule:
Procedures for determining the qualifications and responsibility of potential bidders prior to
advertisement for and receipt of bids for building construction contracts;
Procedures for awarding each state agency construction project to the lowest qualified bidder;
Procedures to govern negotiations for construction contracts and contract modifications when
such negotiations are determined to be in the best interest of the state; and
Procedures for entering into performance-based contracts for the development of public
facilities when those contracts are determined to be in the best interest of the state.
17
Counties, municipalities, special districts, and other political subdivisions seeking to construct or
improve a public building, structure, or other public construction works must competitively award the
project if the projected cost is in excess of $300,000.
18
For electrical work, local governments must
competitively award
19
projects estimated to cost more than $75,000.
20
These threshold amounts are
adjusted by the percentage change in the Engineering News-Record’s Building Cost Index
21
from
January 1, 2009, to January 1 of the year in which the project is scheduled to begin.
22
Consultants’ Competitive Negotiation Act
In 1972, Congress passed the Brooks Act,
23
which requires federal agencies to use a qualifications-
based selection process for architectural, engineering, and associated services, such as mapping and
12
Ch. 2004-469, ss. 3(5)(1) and 3(5)(3), Laws of Fla.
13
Ch. 2004-469 ss. 3(5)(1) and 3(5)(3), Laws of Fla., as amended by ch. 2021-253, Laws of Fla.
14
The Category Two threshold is $35,000. S. 287.017, F.S.
15
S. 287.012(6), F.S.
16
S. 287.012(12), F.S.
17
S. 255.29, F.S.
18
S. 255.20(1), F.S.
19
The term “competitively award” means to award contracts based on the submission of sealed bids, proposals submitted in response
to a request for proposal, proposals submitted in response to a request for qualifications, or proposals submitted for competitive
negotiation. Id.
20
Id.
21
The Engineering News-Record is a weekly private-sector publication that publishes, monthly, a Building Cost index (BCI).
Construction Economics, ENGINEERING NEWS-RECORD, https://www.enr.com/economics (last visited Jan. 8, 2024).
The BCI serves to inform those in the engineering profession and construction industry about general construction costs across the
United States. Id. The BCI has a material component that incorporates the actual cost of construction materials and a labor component
incorporating the actual cost of labor. Using ENR Indexes, ENGINEERING NEWS-RECORD, https://www.enr.com/economics/faq (last visited
Jan. 7, 2024).
22
S. 255.20(2), F.S.
23
Public Law 92-582, 86 Stat. 1278 (1972). STORAGE NAME: h0793.LFS PAGE: 4
DATE: 1/8/2024
surveying. Qualifications-based selection is a process whereby service providers are retained on the
basis of competency, qualifications, and experience, rather than price. In 1973, the Florida Legislature
enacted the Consultants’ Competitive Negotiation Act (CCNA),
24
which is modeled after the Brooks Act.
The CCNA requires state and local government agencies to procure the professional services of an
architect, professional engineer, landscape architect, or registered surveyor and mapper using a
qualifications-based selection process.
25
The CCNA establishes a three-phase process for procuring professional services:
Phase 1 – Public announcement and qualification.
Phase 2 – Competitive selection.
Phase 3 – Competitive negotiation.
During Phase 1, the public announcement and qualification phase, state and local agencies must
publicly announce each occasion when professional services will be purchased for one of the following:
A project, when the basic construction cost is estimated by the agency to exceed $325,000; or
A planning or study activity, when the fee for professional services exceeds $35,000.
26
During Phase 2 of the competitive selection phase, an agency must evaluate the qualifications and past
performance of interested consultants and select at least three consultants, ranked in order of
preference, that it considers the most highly qualified to perform the required services. During this
phase, the CCNA prohibits the agency from requesting, accepting, or considering proposals for the
compensation to be paid.
During Phase 3 of the competitive negotiation phase, an agency must first negotiate compensation with
the highest ranked consultant. If the agency is unable to negotiate a satisfactory contract with that
consultant at a price the agency determines to be fair, competitive, and reasonable, negotiations with
the consultant must be formally terminated. The agency must then negotiate with the remaining ranked
consultants, in order of rank, and follow the same process until an agreement is reached. If the agency
is unable to negotiate a satisfactory contract with any of the ranked consultants, the agency must select
additional consultants, ranked in the order of competence and qualification without regard to price, and
continue negotiations until an agreement is reached.
27
The CCNA explicitly states it does not prohibit a continuing contract
28
between a firm and an agency.
29
A continuing contract is a contract for professional services entered into in accordance with the CCNA
between an agency and a firm whereby the firm provides professional services to the agency for
projects.
30
The CCNA prohibits firms that are parties to a continuing contract from being required to bid
against one another.
31
Current law authorizes the use of a continuing contract for construction projects in which the estimated
construction cost of each project does not exceed $4 million, for study activities if the fee for
professional services for each study does not exceed $500,000, or for work of a specified nature as
outlined in the contract required by the agency, with the contract being for a fixed term or with no time
limitation except the contract must include a termination clause.
32
State Term Contracts
A state term contract is a contract for commodities or contractual services that is competitively procured
by DMS and that is used by agencies and other eligible users.
33
Agencies must purchase commodities
24
Ch. 73-19, Laws of Fla., codified as s. 287.055, F.S.
25
S. 287.055, F.S.
26
S. 287.055(3)(a)1., F.S.
27
S. 287.055(5), F.S.
28
S. 287.055(2)(g), F.S.
29
S. 287.055(4)(d), F.S.
30
S. 287.055(2)(g), F.S.
31
Id.
32
S. 287.055(2)(g), F.S.
33
S. 287.012(28), F.S.; see also s. 287.042(2)(a), F.S. STORAGE NAME: h0793.LFS PAGE: 5
DATE: 1/8/2024
or contractual services from a state term contract if one has been competitively procured by DMS.
34
Agencies may use a request for quote (RFQ)
35
to obtain written pricing or services information from a
state term contract vendor. The purpose of an RFQ is to determine whether a price, term, or condition
is more favorable to the agency or eligible user than that provided in the state term contract is
available.
36
Effects of Proposed Changes
The bill amends the charter of the CSID to revises purchasing and contracting requirements.
The bill provides that contracts for goods, supplies, or materials to be purchased must be put up for bid
if the amount exceeds the threshold of Category Four.
37
The bill revises the notice requirement for bids
from once a week for two consecutive weeks in a newspaper published in Broward County, to once in a
newspaper in general circulation in the county and district.
The bill requires the board, when seeking to construct or improve a public building, structure, or other
public works project, to comply with the procedures in s. 255.20, F.S. and other applicable general law.
The bill requires the district to accept the bid of the lowest responsive and responsible bidder, unless
the board determines it is in the best interest of the district to reject all bids.
The bill provides that the requirements of the Consultants’ Competitive Negotiation Act apply to the
district’s contracts for engineering, architecture, landscape architecture, or registered surveying and
mapping services.
The bill requires that contracts for maintenance services for any district facility or project must be
subject to competitive bidding requirements when the amount to be paid by the district exceeds the
threshold amount of Category Four.
38
The district is required to adopt rules, policies, and procedures
establishing competitive bidding procedures for maintenance services. Unless otherwise required by
district rule or policy, contracts for other services are not subject to competitive bidding requirements.
Lastly, the bill authorizes the district to apply to DMS to purchase commodities and contractual services
from purchasing agreements established and state term contracts procured by the department.
B. SECTION DIRECTORY:
Section 1: Amends the ch. 2004-469, Laws of Fla. revising district purchasing and contracting
requirements for the Coral Springs Improvement District.
Section 2: Provides an effective date of upon becoming a law.
II. NOTICE/REFERENDUM AND OTHER REQUIREMENTS
A. NOTICE PUBLISHED? Yes [x] No []
IF YES, WHEN? November 5, 2023.
WHERE? Sun-Sentinel, a daily newspaper published in Broward, Palm Beach, and Miami-
Dade County
34
S. 287.056(1), F.S.
35
A “request for quote” is an oral, electronic, or written request for written pricing or services information from a state term contract
vendor for commodities or contractual services available on a state term contract from that vendor. S. 287.012(24), F.S.
36
S. 287.056(2), F.S.
37
The Category Four threshold is $195,000. S. 287.017, F.S.
38
Id. STORAGE NAME: h0793.LFS PAGE: 6
DATE: 1/8/2024
B. REFERENDUM(S) REQUIRED? Yes [x] No []
IF YES, WHEN?
C. LOCAL BILL CERTIFICATION FILED? Yes [x] No []
D. ECONOMIC IMPACT STATEMENT FILED? Yes [x] No []
III. COMMENTS
A. CONSTITUTIONAL ISSUES:
None.
B. RULE-MAKING AUTHORITY:
The bill neither provides authority for nor requires rulemaking by executive branch agencies.
C. DRAFTING ISSUES OR OTHER COMMENTS:
None.
IV. AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES
Not applicable.