Senate Bill sb2488

    Florida Senate - 2005                                  SB 2488

    By Senator Lynn





    7-158-05

  1                      A bill to be entitled

  2         An act relating to contracts of the Department

  3         of Transportation; creating s. 337.183, F.S.;

  4         creating dispute review boards to hear claims

  5         arising out of department construction

  6         contracts and recommend resolutions prior to

  7         submitting claims to arbitration; providing an

  8         effective date.

  9  

10  Be It Enacted by the Legislature of the State of Florida:

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12         Section 1.  Section 337.183, Florida Statutes, is

13  created to read:

14         337.183  Dispute review boards.--To further facilitate

15  the prompt settlement of claims arising out of construction

16  contracts between the department and the contractors with whom

17  it transacts business and as a preliminary stage before

18  invocation of the services of the State Arbitration Board

19  under s. 337.185, a dispute review board shall be convened to

20  examine such claims and recommend a solution to the parties. A

21  dispute review board shall be composed of one member chosen by

22  the department, one member chosen by the contractor, one

23  member chosen by the municipality in which the contracted work

24  was performed, if performed within a municipality, or by the

25  county if the contracted work was not performed within a

26  municipality, and one member agreed upon by the other three.

27  The selection of an additional member must be by the unanimous

28  vote of the first three members. Proceedings of a dispute

29  review board are open to the public, and notice must be given

30  of its meetings. The board may review the contract and any

31  documentation relating to the contract and may hear testimony

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    Florida Senate - 2005                                  SB 2488
    7-158-05




 1  from any party to the contract. Formal rules of evidence shall

 2  not apply, but fundamental due process shall be observed and

 3  shall govern the proceedings. The board shall make its

 4  recommendation with respect to resolving the dispute within 3

 5  business days after receiving the last documentation or

 6  testimony, but no later than 2 weeks following its convening.

 7  A recommendation of a dispute review board must receive the

 8  affirmative vote of three board members. If the parties do not

 9  accept the recommendation of the board, the dispute shall

10  proceed to arbitration under s. 337.185.

11         Section 2.  This act shall take effect July 1, 2005.

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14                          SENATE SUMMARY

15    Creates dispute review boards as a preliminary step in
      resolving claims arising out of construction contracts of
16    the Department of Transportation. Each board will have a
      member selected by the department, one by the contractor,
17    one by the municipality or county in which the
      construction took place, and a fourth chosen by the first
18    three. Three members must agree on any proposed solution.

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CODING: Words stricken are deletions; words underlined are additions.