Florida Senate - 2026                                    SB 1080
       
       
        
       By Senator DiCeglie
       
       
       
       
       
       18-01233-26                                           20261080__
    1                        A bill to be entitled                      
    2         An act relating to transportation; amending s. 337.11,
    3         F.S.; authorizing the Department of Transportation to
    4         make direct payments to a first-tier subcontractor
    5         under certain circumstances; requiring that amounts
    6         paid to such subcontractor be deducted from amounts
    7         due the contractor; amending s. 337.18, F.S.;
    8         requiring the department and a surety to enter into a
    9         takeover agreement that requires the surety’s
   10         completion contractor to meet certain requirements and
   11         that requires the surety to follow certain contract
   12         procedures when the surety is engaged by the
   13         department under certain circumstances; providing an
   14         effective date.
   15          
   16  Be It Enacted by the Legislature of the State of Florida:
   17  
   18         Section 1. Paragraph (d) is added to subsection (11) of
   19  section 337.11, Florida Statutes, to read:
   20         337.11 Contracting authority of department; bids; emergency
   21  repairs, supplemental agreements, and change orders; combined
   22  design and construction contracts; progress payments; records;
   23  requirements of vehicle registration.—
   24         (11)
   25         (d)1. The department may make direct payments to a first
   26  tier subcontractor if the following conditions are met:
   27         a. The contractor has not requested payment from the
   28  department for at least 6 months.
   29         b. There is a binding, written subcontract between the
   30  contractor and the subcontractor, and the department is in
   31  possession of a complete copy of the subcontract.
   32         c. The subcontractor has performed work that is unpaid by
   33  the contractor, and the department has sufficient documentation
   34  of such unpaid work.
   35         d. There is no bona fide, documented dispute between the
   36  contractor and the subcontractor.
   37         2. Amounts paid by the department pursuant to this
   38  paragraph must be deducted from amounts otherwise due the
   39  contractor.
   40         Section 2. Present subsection (6) of section 337.18,
   41  Florida Statutes, is redesignated as subsection (7), and a new
   42  subsection (6) is added to that section, to read:
   43         337.18 Surety bonds for construction or maintenance
   44  contracts; requirement with respect to contract award; bond
   45  requirements; defaults; damage assessments.—
   46         (6) If the department declares a default on the part of a
   47  contractor for cause attributable to the contractor and engages
   48  the surety to perform pursuant to the terms of the bond, the
   49  department and the surety must enter into a takeover agreement
   50  requiring the surety’s completion contractor to meet the
   51  prequalification requirements of the original contract bid
   52  solicitation and requiring the surety to follow the contract’s
   53  procedures regarding the completion contractor default and
   54  certification of disbursement of payment to subcontractors.
   55         Section 3. This act shall take effect July 1, 2026.