Senate Bill sb1752c2
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Florida Senate - 2003 CS for CS for SB 1752
By the Committees on Finance and Taxation; Transportation; and
Senator Sebesta
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1 A bill to be entitled
2 An act relating to the Department of
3 Transportation; creating s. 215.617, F.S.;
4 authorizing the department to issue revenue
5 bonds financed by the repayment of loans from
6 the state-funded infrastructure bank; amending
7 s. 334.30, F.S.; providing for public-private
8 partnership agreements for transportation
9 facilities without prior legislative approval;
10 authorizing the department to adopt rules;
11 providing requirements for projects advanced by
12 a public-private partnership or private entity;
13 authorizing the department to request
14 proposals; requiring notice; providing
15 requirements for ranking proposals; amending s.
16 338.165, F.S.; authorizing the department to
17 request the Division of Bond Finance to issue
18 bonds secured by toll revenues collected on the
19 Beeline-East Expressway, the Sunshine Skyway
20 Bridge, and the Pinellas Bayway toll facilities
21 to provide funding for transportation projects
22 on the State Highway System in the counties in
23 which the projects are located; amending s.
24 338.2275, F.S.; increasing the cap on the
25 amount of bonds that may be issued to fund
26 approved turnpike projects; amending s.
27 338.235, F.S.; authorizing the turnpike
28 enterprise to secure products, business
29 opportunities, and services by competitive
30 solicitation; amending s. 335.02, F.S.;
31 defining the term "jurisdiction and control";
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1 providing that local governmental ordinances
2 and regulations are not applicable to state
3 projects to build designated transportation
4 facilities to the extent of any conflict with a
5 rule of the Department of Transportation;
6 providing an effective date.
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8 Be It Enacted by the Legislature of the State of Florida:
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10 Section 1. Section 215.617, Florida Statutes, is
11 created to read:
12 215.617 Bonds for state-funded infrastructure bank.--
13 (1) Upon the request of the Department of
14 Transportation, the Division of Bond Finance is authorized
15 pursuant to s. 11, Art. VII of the State Constitution and the
16 State Bond Act to issue revenue bonds, for and on behalf of
17 the Department of Transportation, for the purpose of financing
18 or refinancing the construction, reconstruction, and
19 improvement of projects that are eligible to receive
20 assistance from the state-funded infrastructure bank as
21 provided in s. 339.55. The facilities to be financed with the
22 proceeds of such bonds are designated as state fixed capital
23 outlay projects for the purposes of s. 11(d), Art. VII of the
24 State Constitution, and the specific facilities to be financed
25 shall be determined by the Department of Transportation in
26 accordance with s. 339.55. Legislative approval of the
27 department's tentative work program that contains the
28 state-funded infrastructure bank projects constitutes approval
29 as required by s. 11(f), Art. VII of the State Constitution.
30 The Division of Bond Finance is authorized to consider
31 innovative financing techniques, which may include, but are
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1 not limited to, innovative bidding and structures of potential
2 financings that may result in negotiated transactions.
3 (2) Bonds issued pursuant to this section shall be
4 payable primarily from a prior and superior claim on all
5 state-funded infrastructure bank repayments received each year
6 with respect to state-funded infrastructure bank projects
7 undertaken in accordance with s. 339.55.
8 (3) The duration of each series of bonds may not
9 exceed 30 annual maturities.
10 (4) The bonds issued under this section shall not
11 constitute a general obligation or debt of the state or a
12 pledge of the full faith and credit or taxing power of the
13 state. The bonds shall be secured by and are payable from the
14 revenues pledged in accordance with this section and the
15 resolution authorizing their issuance.
16 (5) The state does covenant with the holders of bonds
17 issued under this section that it will not take any action
18 that will materially and adversely affect the rights of such
19 bondholders as long as the bonds authorized by this section
20 are outstanding.
21 (6) Any complaint for validation of bonds issued
22 pursuant to this section shall be filed in the circuit court
23 of the county where the seat of state government is situated,
24 the notice required to be published by s. 75.06 shall be
25 published only in the county where the complaint is filed, and
26 the complaint and order of the circuit court shall be served
27 only on the state attorney of the circuit in which the action
28 is pending.
29 Section 2. Section 334.30, Florida Statutes, is
30 amended to read:
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1 334.30 Private transportation facilities.--The
2 Legislature hereby finds and declares that there is a public
3 need for rapid construction of safe and efficient
4 transportation facilities for the purpose of travel within the
5 state, and that it is in the public's interest to provide for
6 public-private partnership agreements to effectuate the
7 construction of additional safe, convenient, and economical
8 transportation facilities.
9 (1) The department may receive or solicit proposals
10 and, with legislative approval by a separate bill for each
11 facility, enter into agreements with private entities, or
12 consortia thereof, for the building, operation, ownership, or
13 financing of transportation facilities as provided in
14 subsection (2). The department may adopt rules to administer
15 this section and shall by rule establish an application fee
16 for the submission of proposals under this section. The fee
17 must be sufficient to pay the costs of evaluating the
18 proposals. The department may engage the services of private
19 consultants to assist in the evaluation. Before seeking
20 legislative approval, The department must determine that the
21 proposed project:
22 (a) Is in the public's best interest;
23 (b) Complies with the provisions of subsection (2)
24 Would not require state funds to be used unless there is an
25 overriding state interest; and
26 (c) Would have adequate safeguards in place to ensure
27 that no additional costs or service disruptions would be
28 realized by the traveling public and citizens of the state in
29 the event of default or cancellation of the agreement by the
30 department.
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1 The department shall ensure that all reasonable costs to the
2 state related to transportation facilities that are not part
3 of the State Highway System are borne by the public-private
4 entity. The department shall also ensure that all reasonable
5 costs to the state and substantially affected local
6 governments and utilities, related to the private
7 transportation facility, are borne by the public-private
8 private entity for transportation facilities which are owned
9 by private entities.
10 (2)(a) Public-private partnerships or private entities
11 may advance projects programmed in the first 3 years of the
12 adopted work program to be reimbursed from department funds
13 for the project as programmed in the adopted work program.
14 (b) Public-private partnerships or private entities
15 may advance projects programmed in the 4th and 5th years of
16 the adopted work program to be reimbursed from department
17 funds for the project as programmed in the adopted work
18 program. The total capital costs to the department for all
19 projects advanced under this paragraph may not exceed $50
20 million without specific project approval by the Legislature.
21 (c) Public-private partnerships or private entities
22 may advance projects on the Florida Intrastate Highway System
23 programmed in the adopted 5-year work program to be reimbursed
24 from department funds for the project as programmed in the
25 adopted work program.
26 (d) Public-private partnerships or private entities
27 may advance projects that are not programmed in the adopted
28 5-year work program but are on the State Highway System and
29 included in the local metropolitan planning organization's or
30 the department's long-range transportation plans, to be
31 reimbursed from department funds beyond the adopted 5-year
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1 work program. The total capital costs to the department for
2 all projects advanced under this paragraph may not exceed $50
3 million without specific project approval by the Legislature.
4 (3) The department may request proposals from
5 public-private transportation projects or, if the department
6 receives an unsolicited proposal, the department shall publish
7 a notice in the Florida Administrative Weekly and a newspaper
8 of general circulation at least once a week for 2 weeks
9 stating that the department has received the proposal and will
10 accept, for 60 days after the initial date of publication,
11 other proposals for the same project purpose. A copy of the
12 notice must be mailed to each local government in the affected
13 area. After the public notification period has expired, the
14 department shall rank the proposals in order of preference. In
15 ranking the proposals the department may consider the
16 following factors, including, but not limited to, professional
17 qualification, general business terms, innovative engineering
18 or cost-reduction terms, finance plans, and the need for state
19 funds to deliver the proposal. The department shall negotiate
20 with the top-ranked proposer in good faith, and if the
21 department is not satisfied with the results of the
22 negotiations, the department may, at its sole discretion,
23 terminate negotiations with the proposer. If these
24 negotiations are unsuccessful, the department may go to the
25 second and lower-ranked firms, in order, using this same
26 procedure. If only one proposal is received, the department
27 may negotiate in good faith, and, if the department is not
28 satisfied with the results of the negotiations, the department
29 may, at its sole discretion, terminate negotiations with the
30 proposers. Notwithstanding this subsection, the department
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1 may, at its discretion, reject all proposals at any point in
2 the process up to completion of a contract with the proposer.
3 (4)(2) Agreements entered into pursuant to this
4 section may authorize the private entity to impose tolls or
5 fares for the use of the facility. However, the amount and
6 use of toll or fare revenues may be regulated by the
7 department to avoid unreasonable costs to users of the
8 facility.
9 (5)(3) Each private transportation facility
10 constructed pursuant to this section shall comply with all
11 requirements of federal, state, and local laws; state,
12 regional, and local comprehensive plans; department rules,
13 policies, procedures, and standards for transportation
14 facilities; and any other conditions which the department
15 determines to be in the public's best interest.
16 (6)(4) The department may exercise any power possessed
17 by it, including eminent domain, with respect to the
18 development and construction of state transportation projects
19 to facilitate the development and construction of
20 transportation projects pursuant to this section. The
21 department may provide services to the private entity.
22 Agreements for maintenance, law enforcement, and other
23 services entered into pursuant to this section shall provide
24 for full reimbursement for services rendered.
25 (7)(5) Except as herein provided, the provisions of
26 this section are not intended to amend existing laws by
27 granting additional powers to, or further restricting, local
28 governmental entities from regulating and entering into
29 cooperative arrangements with the private sector for the
30 planning, construction, and operation of transportation
31 facilities.
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1 (8)(6) A fixed-guideway transportation system
2 authorized by the department to be wholly or partially within
3 the department's right-of-way pursuant to a lease granted
4 under s. 337.251 may operate at any safe speed.
5 Section 3. Subsection (3) of section 338.165, Florida
6 Statutes, is amended to read:
7 338.165 Continuation of tolls.--
8 (3) Notwithstanding any other law to the contrary,
9 pursuant to s. 11, Art. VII of the State Constitution, and
10 subject to the requirements of subsection (2), the Department
11 of Transportation may request the Division of Bond Finance to
12 issue bonds secured by toll revenues collected on the
13 Alligator Alley, the Sunshine Skyway Bridge, the Beeline-East
14 Expressway, and the Pinellas Bayway to fund transportation
15 projects located within the county or counties in which the
16 project is located and contained in the 1993-1994 Adopted Work
17 Program or in any subsequent adopted work program of the
18 department.
19 Section 4. Subsection (1) of section 338.2275, Florida
20 Statutes, is amended to read:
21 338.2275 Approved turnpike projects.--
22 (1) Legislative approval of the department's tentative
23 work program that contains the turnpike project constitutes
24 approval to issue bonds as required by s. 11(f), Art. VII of
25 the State Constitution. Turnpike projects approved to be
26 included in future tentative work programs include, but are
27 not limited to, projects contained in the 2003-2004 1997-1998
28 tentative work program and potential expansion projects listed
29 in the January 25, 1997, report submitted to the Florida
30 Transportation Commission titled "Florida's Turnpike Building
31 on the Past - Preparing for the Future." A maximum of $4.5 $3
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1 billion of bonds may be issued to fund approved turnpike
2 projects.
3 Section 5. Subsection (2) of section 338.235, Florida
4 Statutes, is amended to read:
5 338.235 Contracts with department for provision of
6 services on the turnpike system.--
7 (2) In order to secure high-quality products, business
8 opportunities, and services on the turnpike system, products,
9 business opportunities, and services authorized by s. 338.234
10 may be secured by competitive solicitation for turnpike
11 patrons, products and services authorized by s. 338.234(1) may
12 be secured through the request-for-proposal process. If the
13 department receives an unsolicited proposal for products,
14 services, or business opportunities which it wishes to
15 consider, it shall publish a notice in a newspaper of general
16 circulation at least once a week for 2 weeks, or may broadcast
17 such notice by electronic media for 2 weeks, stating that it
18 has received a proposal and will accept other proposals on the
19 same subject for 30 days after the date of publication. The
20 department may select offers that the proposal and fee which
21 best satisfy the conditions of a quality service, business
22 opportunity, or and product operation for the turnpike system.
23 The factors to be used in evaluating proposals include, but
24 are not limited to:
25 (a) The financial capacity of the provider;
26 (b) The willingness to contribute toward the cost of
27 facility construction;
28 (c) The type and quality of the service or product
29 offered;
30 (d) The price structure of the service or product
31 offered;
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1 (e) Management experience and capabilities;
2 (f) The national brand names offered;
3 (g) The originality of the concept and its
4 relationship to the turnpike system;
5 (h) The lease rate; and
6 (i) Other factors that the department may deem
7 pertinent.
8 Section 6. Subsection (1) of section 335.02, Florida
9 Statutes, is amended to read:
10 335.02 Authority to designate transportation
11 facilities and rights-of-way and establish lanes; procedure
12 for redesignation and relocation.--
13 (1) The department shall have the authority to locate
14 and designate certain transportation facilities as part of the
15 State Highway System and to construct and maintain them with
16 funds available to the department. Any transportation
17 facility when so located and designated shall become the
18 property of the state and shall be under the jurisdiction and
19 control of the department. For purposes of Title XXVI, the
20 phrase "jurisdiction and control" means that any local
21 governmental ordinance or regulation is inapplicable to a
22 state project to build a designated transportation facility to
23 the extent that the ordinance or regulation conflicts with a
24 rule adopted by the department or to the extent that the
25 ordinance or regulation imposes any additional burden on the
26 department with respect to the designated transportation
27 facility, financial or otherwise, concerning the design,
28 construction, or maintenance of the facility. Such a
29 transportation facility may not be redesignated or relocated
30 until after a public hearing is conducted by the department in
31 each county affected. Reasonable notice of the hearing shall
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1 be published in a newspaper of general circulation in such
2 county 14 days prior to the hearing in addition to any other
3 notice required by law. Any interested party shall have the
4 opportunity to be heard either in person or by counsel and to
5 introduce testimony in such person's behalf at the hearing.
6 Section 7. This act shall take effect upon becoming a
7 law.
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9 STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
COMMITTEE SUBSTITUTE FOR
10 CS/SB 1752
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12 The committee substitute provides that Legislative approval of
the department's tentative work program that contains the
13 state-funded infrastructure bank projects constitutes approval
as required by s. 11(f), Art. VII of the State Constitution.
14
The committee substitute defines the phrase "jurisdiction and
15 control" to mean that local governmental ordinances and
regulations are inapplicable to state projects to build
16 designated transportation facilities to the extent that they
conflict with any rules or regulations promulgated by the
17 Department of Transportation or impose with regards to any
designated transportation facility, any additional burden,
18 financial or otherwise, on the department.
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