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Tourism, Infrastructure & Energy Subcommittee, Florida House of Representatives (2021-03-16)

Summary

A meeting packet for a Florida House subcommittee on tourism, infrastructure and energy, containing bill texts and amendments for the 2021 session. HB 365 would regulate peer-to-peer car-sharing programs. It would let insurers exclude coverage for shared vehicles under an owner's policy, require programs to warn owners that sharing a vehicle with a lien may violate the loan contract, and require programs to keep usage records for at least the personal injury limitation period and to make consumer disclosures. The packet also includes HB 1113 and an amendment to HB 1567, published March 15, 2021, on the transfer of utility pole ownership, monetary penalties for violations and broadband infrastructure grants funded from those penalties.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Cite this document

“Tourism, Infrastructure & Energy Subcommittee, Florida House of Representatives (2021-03-16).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2021-03-16-3103-tourism-infrastructure-energy-subcommittee-meeting-pac-a5ae69e035/, SHA-256 f57d59302a14f3349e347d5ac9fecc53f3b35e4f7a2f83bf38f6d45535740980.

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FLORIODA HO US E O F REPRESENTATIVE S$

HB 365 2021

401 (c) Exclusions in motor vehicle insurance policies.—An

402} authorized insurer that writes motor vehicle liability insurance

403] in this state may exclude any and all coverage and the duty to

404} defend or indemnify for any claim afforded under a shared

405] vehicle owner's motor vehicle insurance policy, including, but

406 not limited to:

407 1. Liability coverage for bodily injury and property
408| damage;

409 2. Personal injury protection coverage;

410 3. Uninsured and underinsured motorist coverage;

411 4. Medical payments coverage;

412 5. Comprehensive physical damage coverage; and

413 6. Collision physical damage coverage.

414

415| This paragraph does not invalidate or limit any exclusion

416| contained in a motor vehicle insurance policy, including any

417] insurance policy in use or approved for use which excludes

418 coverage for motor vehicles made available for rent, sharing, or

419| hire or for any business use.

420 (d) Contribution against indemnification.—A shared vehicle

421 owner's motor vehicle insurer that defends or indemnifies a

422) claim against a shared vehicle which is excluded under the terms

423} of its policy has the right to seek contribution against the

424] motor vehicle insurer of the peer-to-peer car-sharing program if

425 the claim is:

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HB 365 2021

426 1. Made against the shared vehicle owner or the shared

427| vehicle driver for loss or injury that occurs during the car-

428] sharing period; and

429 2. Excluded under the terms of its policy.

430 (4) NOTIFICATION OF IMPLICATIONS OF LIEN.—At the time a

431] motor vehicle owner registers as a shared vehicle owner on a

432) peer-to-peer car-sharing program and before the shared vehicle

433] owner may make a shared vehicle available for car sharing on the

434| peer-to-peer car-sharing program, the peer-to-peer car-sharing

435] program must notify the shared vehicle owner that, if the shared

436] vehicle has a lien against it, the use of the shared vehicle

437| through a peer-to-peer car-sharing program, including the use

438] without physical damage coverage, may violate the terms of the

439 contract with the lienholder.

440 (5) RECORDKEBPING.—A peer-to-peer car-sharing program
441) shall:
442 (a) Collect and verify records pertaining to the use of a

443 shared vehicle, including, but not limited to, the times used,

444) fees paid by the shared vehicle driver, and revenues received by

445 the shared vehicle owner.

446 (bo) Retain the records in paragraph (a) for a time period

447} not less than the applicable personal injury statute of

448 limitations.

449 (c) Provide the information contained in the records in

450| paragraph (a) upon request to the shared vehicle owner, the

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HB 365 2021

451 shared vehicle owner's insurer, or the shared vehicle driver's

452] insurer to facilitate a claim coverage investigation.

453 (6) CONSUMER PROTECTIONS .—

454 (a) Disclosures.—Each peer-to-peer car-sharing program

455] agreement made in this state must disclose to the shared vehicle

456 owner and the shared vehicle driver:

457 1. Any right of the peer-to-peer car-sharing program to

458 seek indemnification from the shared vehicle owner or the shared

459] vehicle driver for economic loss resulting from a breach of the

460| terms and conditions of the peer-to-peer car-sharing program

461 agreement.

462 2. That a motor vehicle insurance policy issued to the

463 shared vehicle owner for the shared vehicle or to the shared

464| vehicle driver does not provide a defense or indemnification for

465| any claim asserted by the peer-to-peer car-sharing program.

466 3. That the peer-to-peer car-sharing program's insurance

467 coverage on the shared vehicle owner and the shared vehicle

468| driver is in effect only during each car-sharing period and

469| that, for any use of the shared vehicle by the shared vehicle

470} driver after the car-sharing termination time, the shared

471| vehicle driver and the shared vehicle owner may not have

472 insurance coverage.

473 4. The daily rate, fees, and, if applicable, any insurance

474 or protection package costs that are charged to the shared

475 vehicle owner or the shared vehicle driver.

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HB 365 2021

476 5. That the shared vehicle owner's motor vehicle liability

477| insurance may exclude coverage for a shared vehicle.

478 6. An emergency telephone number of the personnel capable

479| of fielding calls for roadside assistance and other customer

480 service inguiries.

481 7. Any conditions under which a shared vehicle driver must

482| maintain a personal motor vehicle insurance policy with certain

483] applicable coverage limits on a primary basis in order to book a

484 shared vehicle.

485 (b) Driver license verification and data retention.—

486 1. A peer-to-peer car-sharing program may not enter into a

487| peer-to-peer car-sharing program agreement with a driver unless

488 the driver:

489 a. Holds a driver license issued under chapter 322 which

490 authorizes the driver to drive vehicles of the class of the

491 shared vehicle;

492 low Is a nonresident who:

493 (I) Holds a driver license issued by the state or country

494 of the driver's residence which authorizes the driver in that

495] state or country to drive vehicles of the class of the shared

496 vehicle; and

497 (II) Is at least the same age as that required of a

498 resident to drive; or

499 c. Is otherwise specifically authorized by the Department

500} of Highway Safety and Motor Vehicles to drive vehicles of the

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501 class of the shared vehicle.

502 2. A peer-to-peer car-sharing program shall keep a record

504 a. The name and address of the shared vehicle driver;

505 b. The number of the driver license of the shared vehicle

506] driver and each other person, if any, who will operate the

507 shared vehicle; and

508 c. The place of issuance of the driver license.

509 (c) Responsibility for equipment.—A peer-to-peer car-

510] sharing program has sole responsibility for any equipment that

511] is put in or on the shared vehicle to monitor or facilitate the

512} peer-to-peer car-sharing transaction, including a GPS system.

513] The peer-to-peer car-sharing program shall indemnify and hold

514} harmless the shared vehicle owner for any damage to or theft of

515} such equipment during the car-sharing period which is not caused

516] by the shared vehicle owner. The peer-to-peer car-sharing

517] program may seek indemnity from the shared vehicle driver for

518] any damage to or loss of such equipment which occurs during the

519} car-sharing period.

520 (ad) Motor vehicle safety recalls.—At the time a motor

521| vehicle owner registers as a shared vehicle owner on a peer-to-

522| peer car-sharing program and before the shared vehicle owner may

523] make a shared vehicle available for car sharing on the peer-to-

524] peer car-sharing program, the peer-to-peer car-sharing program

525 must:

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HB 365 2021

526 1. Verify that the shared vehicle does not have any safety

527 recalls on the vehicle for which the repairs have not been made;

528 and

529 2. Notify the shared vehicle owner that if the shared

530 vehicle owner:

531 a. Has received an actual notice of a safety recall on the

53:2 vehicle, he or she may not make a vehicle available as a shared

533] vehicle on the peer-to-peer car-sharing program until the safety

534 recall repair has been made.

535 b. Receives an actual notice of a safety recall ona

536 shared vehicle while the shared vehicle is made available on the

537| peer-to-peer car-sharing program, he or she shall remove the

538] shared vehicle as available on the peer-to-peer car-sharing

539] program as soon as practicably possible after receiving the

540] notice of the safety recall and until the safety recall repair

541 has been made.

542 c. Receives an actual notice of a safety recall while the

543] shared vehicle is in the possession of a shared vehicle driver,

544] he or she shall notify the peer-to-peer car-sharing program

545] about the safety recall as soon as practicably possible after

546] receiving the notice of the safety recall, so that he or she may

547| address the safety recall repair.

548 (7) CONSTRUCTION.—This section does not limit:

549 (a) The liability of a peer-to-peer car-sharing program

550 for any act or omission of the peer-to-peer car-sharing program

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FLORIDA HO US E O F REP RES EN TATIV ES

HB 365 2021

551} which results in bodily injury to a person as a result of the
552] use of a shared vehicle through peer-to-peer car sharing; or
5o5 (bo) The ability of a peer-to-peer car-sharing program to
554 seek, by contract, indemnification from the shared vehicle owner
555] or the shared vehicle driver for economic loss resulting from a
556| breach of the terms and conditions of the peer-to-peer car-
557] sharing program agreement.
558 Section 4. This act shall take effect October 1, 2021.

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HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 1113 Traffic and Pedestrian Safety
SPONSOR(S): Fine
TIED BILLS: IDEN./SIM. BILLS: SB 1412

REFERENCE ACTION ANALYST STAFF DIRECTOR or

BUDGET/POLICY CHIEF
1) Tourism, Infrastructure & Energy Subcommittee aiti= Keating OC
2) Infrastructure & Tourism Appropriations
Subcommittee

3) Commerce Committee

SUMMARY ANALYSIS

Florida law provides that the driver of a vehicle must stop for a pedestrian who is walking in a crosswalk at the
instruction of a traffic control signal or where signage indicates the driver must stop. If there are no traffic
control signals or signage in place at a crosswalk, the driver of a vehicle must yield to a pedestrian who is on
the half of the roadway on which the vehicle is traveling. If traffic control signals are in operation, pedestrians
may not cross at any place except in a marked crosswalk. If there is no crosswalk, pedestrians crossing a
roadway must yield to vehicles.

The Department of Transportation (DOT) and local governments utilize various types of equipment or signals
to indicate when pedestrians may safely cross at midblock crosswalks (crosswalks that are not at an
intersection). One type of signal commonly used is a rectangular rapid flash beacon (RRFB). The RRFB
consists of two rapidly and alternately flashing yellow rectangular LED lights that function as a warning beacon
to drivers. Pedestrians press the call button to activate the yellow flashing lights, but should wait for motorists
to stop before they cross.

The bill creates the “Sophia Nelson Pedestrian Safety Act.”

The bill requires a traffic engineering conducted by a Florida licensed professional engineer prior to installing a
new mid-block crosswalk (MBC). MBCs installed on public roads must conform to certain provisions of the
latest Manual on Uniform Traffic Control Devices (MUTCD) and other applicable DOT standards, manuals, and
specifications, and must include a pedestrian-facing sign containing language stating duties applicable to a
pedestrian.

The bill requires, by October 1, 2024, that the entity with jurisdiction over a public highway, street, or road with
a MBC must ensure that such crosswalk is controlled by the required coordinated traffic control signal devices
and pedestrian control signals. Alternatively, the entity may remove the crosswalk.

Additionally, by October 1, 2022, the bill requires DOT to seek approval from the federal government to allow
the use of red RRFB in place of yellow RRFBs. If approved, all entities with jurisdiction over MBCs must
replace existing yellow RRFBs with red RRFBs within 12 months of Federal authorization. If the request is
denied, all entities with jurisdiction over MBCs must remove all yellow RRFBs or retrofit MBCs with legally
acceptable equipment as required in the bill.

The bill provides legislative findings that this bill fulfills an important state interest.

The bill will likely have a significant, negative fiscal impact to state and local governments. See Fiscal Analysis
for details.

The bill has an effective date of October 1, 2021.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
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FULL ANALYSIS
I. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:
Current Situation

Unless otherwise directed by a law enforcement officer, pedestrians are required to obey the
instructions of official traffic control devices that are specifically applicable to pedestrians.' If a sidewalk
is provided, and no circumstances prevent a pedestrian’s use of the sidewalk, a pedestrian is prohibited
from walking on a roadway that is paved for vehicular traffic.? If a sidewalk is not provided, a
pedestrian, when practicable, must walk only on the shoulder on the left side of the roadway in relation
to the pedestrian’s direction of travel, facing traffic that may approach from the opposite direction.*

The driver of a vehicle must stop for a pedestrian who is walking in a crosswalk at the instruction of a
traffic control signal or where signage indicates the driver to stop. If there are no traffic control signals
or signage in place at a crosswalk, the driver of a vehicle must yield to a pedestrian who is on the half
of the roadway on which the vehicle is traveling.‘ If traffic control signals are in operation, pedestrians
cannot cross at any place except in a marked crosswalk.® If there are no crosswalks, pedestrians
crossing a roadway must yield to vehicles.®

When pedestrian traffic control signals or signage is installed, such indicators must conform to the
requirements of the most recent Manual on Uniform Traffic Control Devices (MUTCD).’ The MUTCD
defines the standards used by road managers nationwide to install and maintain traffic control devices
on all public streets, highways, bikeways, and private roads open to public travel. The Federal Highway
Administration (FHWA) maintains the MUTCD.®

The Department of Transportation (DOT) and local governments utilize various types of MUTCD
approved signais to indicate when pedestrians may safely cross midblock crosswalks (MBCs).° Two
types of signals commonly used by DOT and local governments are a rectangular rapid flash beacon
(RRFB) and a pedestrian hybrid beacon.'® The RRFB consists of two rapidly and alternately flashing
yellow rectangular LED lights that function as a warning beacon to drivers.'' Pedestrians press the call
button to activate the flashing lights, but should wait for motorists to stop before they cross.'* The
pedestrian hybrid beacon consists of three signal sections with a circular yellow signal indication
centered below two horizontally aligned circular red signal indications.'? The pedestrian hybrid beacon
is not illuminated until a pedestrian activates it and triggers the warning flashing yellow lens facing the
street."* After a set amount of time, the indication changes to a solid yellow light to inform drivers to

2S. 316.130(3), F.S.

3§. 316.130(4), F.S.

4S. 316.130(7), F-.S.

3 §, 316.130(11), F.S.

®§. 316.130(10), F.S.

TS 316.0755, F.S.

5 U.S. Department of Transportation, Manual on Uniform Traffic Control Devices for Streets and Highways (MUTCD), (updated
February 2, 2021), https://mutcd.fhwa.dot.gov/ (last visited March 2, 2021).

° DOT, Pedestrian Facilities, https://www.fdot.gov/roadway/bikeped/default.shtm (last visited March 2, 2021). For purposes of this
bill analysis, a MBC is defined as a crosswalk which is at least 100 feet from an intersection.

10

2 Td.

'S U.S. Department of Transportation, Safety Effectiveness of the HAWK Pedestrian Crossing Treatment (July 2010),
https://www. fhwa.dot.gov/publications/research/safety/10045/index.cfm (last visited March 2, 2021).

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prepare to stop.'®° The beacon then displays a dual solid red light to drivers on the street and a walking
person symbol to pedestrians on the crosswalk.'® At the conclusion of the walk phase, the beacon
displays an alternating flashing red light, and pedestrians are shown an upraised hand symbol with a
countdown display informing them of the time remaining to cross the street.”

in July 2008, the MUTCD was updated via a memorandum’ to provide interim approval of RRFBs for
optional use in limited circumstances. The interim approval allows for the usage of RRFBs as a warning
beacon to supplement standard pedestrian crossing warning signs and markings at either a pedestrian
or school crossing.'? The cost is approximately $10,000 to $15,000 for purchase and installation of two
RRFB units (one on either side of a street).2° FHWA will grant interim approval for the optional use of
an RRFB as a warning beacon in addition to standard pedestrian crossing or school crossing signs at
crosswalks by any jurisdiction that submits a written request to FHWA’s Office of Transportation
Operations.”' A state may request interim approval for all jurisdictions in that state.??

MBCs on the State Highway System, both controlled and uncontrolled, are typically justified and
installed as a result of a traffic engineering or safety study. To meet and conform to the requirements of
the MUTCD and DOT's standards, a fully signalized MBC must serve a minimum of 133 pedestrians in
the peak hour.”

The current estimated quantity of MBCs on the State Highway System include:

Controlled MBCs*4
e Total MBCs with Traffic Signals = 7
e Total MBCs with Pedestrian Hybrid Beacon = 15
Uncontrolled MBCs?°
e Total MBCs with warning signs and pavement markings only = 83
e Total MBCs with Yellow Circular Flashing Beacons = 5
e Total MBCs with Yellow RFRBs = 2317

Effect of Proposed Changes

The bill creates the “Sophia Nelson Pedestrian Safety Act.”

The bill provides that before the installation of a pedestrian crosswalk after October 1, 2021, on a public
highway, street, or road which is located at any point other than an intersection with another public

highway, street, or road, a traffic engineering study must be conducted by a Florida licensed
professional engineer which recommends installation of such crosswalk.

18 See Memorandum of Interim Approval for Optional Use of Rectangular Rapid Flashing Beacons (IA-11) (July 16, 2008),
https://mutcd. fhwa.dot.gov/resources/interim_approval/ial 1/fhwamemo.htm (last visited March 2, 2021).

'9 U.S. Department of Transportation, Rectangular Rapid Flash Beacon (RRFB),
https://safety.fhwa.dot.gov/intersection/conventional/unsignalized/tech_sum/fhwasa09009/ (last visited March 2, 2021).

20 Id.

21 See Memorandum of Interim Approval for Optional Use of Rectangular Rapid Flashing Beacons (IA-11) (July 16, 2008),
https://mutcd. fhwa.dot.gov/resources/interim_approval/ial 1/fhwamemo.htm (last visited March 2, 2021).

3 Department of Transportation, Agency Analysis of 2021 House Bill 1113 (Version 2), p. 6. March 11, 2021.

4 Controlled MBCs contain either a traffic signal or pedestrian hybrid beacon.

*5 Uncontrolled MBCs contain devices such as pedestrian activated flashing beacons, RRFBs, street signs and/or pavement markings
only.

26 Department of Transportation, Agency Analysis of 2021 House Bill 1113 (Version 2), pp. 4-5. March 11, 2021.

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The bill also provides that, notwithstanding any other provision of law to the contrary:

e A pedestrian crosswalk on a public highway, street, or road that has a posted speed limit of 30
miles per hour or more, which is located at any point other than an intersection with another
public highway, street, or road, must conform to the requirements of chapter 4D and 4E*’ of the
most recent MUTCD and other applicable DOT standards, manuals, and specifications and
must include a pedestrian-facing sign containing language stating duties applicable to a
pedestrian.

e A pedestrian crosswalk on a public highway, street, or road that has a posted speed limit of 29
miles per hour or less which is located at any point other than an intersection with another
public highway, street, or road, must include a pedestrian-facing sign containing language
stating duties applicable to a pedestrian.

The bill requires traffic control signal devices and pedestrian control signals at MBCs with posted speed
limits of 30 miles per hour or more to be coordinated with traffic control signal devices at intersections
adjacent to the crosswalk. The traffic control signal devices at intersections adjacent to the crosswalk
must be taken into consideration as provided in the most recent MUTCD and other applicable DOT
specifications.

The bill requires, by October 1, 2024, that the entity with jurisdiction over a public highway, street, or
road with a MBC must ensure that such crosswalk is controlled by the required coordinated traffic

control signal devices and pedestrian control signals. Alternatively, the entity may remove the
crosswalk.

The bill requires DOT, by October 1, 2022, to submit to the Federal Government a request for
authorization to allow existing yellow RRFB traffic control devices to be replaced by red RRFB traffic

control devices. If the federal government grants the request, the entity with jurisdiction over the MBC
must replace all yellow RRFBs with red RRFBs within 12 months after the date of federal authorization.

lf the Federal Government denies the request, the applicable entity must remove all yellow RRFBs at
MBC by October 1, 2025. The entity with jurisdiction over the crosswalk may retrofit the crosswalk with
legally acceptable equipment.

The bill provides that the Legislature finds and declares that this act fulfills an important state interest.

The bill has an effective date of October 1, 2021.

B. SECTION DIRECTORY:
Section 1 Provides a short title.

Section 2 Creates s. 316.0756, F.S., relating to traffic control devices at crosswalks.
Section 3 Provides a declaration of important state interest.
Section 4 Provides an effective date of July 1, 2020.
ll. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:
None.

27 Chapter 4D relates to traffic control signal features and chapter 4E relates to pedestrian control features.
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2. Expenditures:

DOT estimates a negative fiscal impact of approximately $14.9 million in capital costs and $159,000
in annual recurring costs. This impact is associated with a cross-walk inventory, site assessments
and the purchase and installation of additional signal and pedestrian control equipment on the State
Highway System.”®

B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:

None.

2. Expenditures:
The bill appears to have an indeterminate, but likely significant, negative fiscal impact on counties
and municipalities associated with studying and retrofitting or removing MBCs.°
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

None.

D. FISCAL COMMENTS:

DOT’s efforts would be limited to MBCs on the State Highway System. Its 5-year work program is built
and its transportation funding sources have been planned for use. Moving DOT’s resources to comply
with the bill may result in DOT deferring or deleting other priority projects.*°

lil. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:

The county/municipality mandates provision of Art. VII, s. 18 of the Florida Constitution may apply
because this bill requires counties and municipalities to spend funds relating to specified traffic and
pedestrian signals; however, an exception may apply because similarly situated persons are all
required to comply; and the bill includes a Legislative determination that it fulfills an important state
interest.

2. Other:

None.

B. RULE-MAKING AUTHORITY:
The bill does not provide a grant of rulemaking authority, nor does it require rulemaking.

C. DRAFTING ISSUES OR OTHER COMMENTS:

According to DOT, with the removal of MBCs, there would be significantly fewer locations for
pedestrians to cross state roads, since they would only be able to legally cross at intersections. There
may also be pedestrian delay associated with the required coordination with traffic signals. Additionally,

28 Department of Transportation, Agency Analysis of 2021 House Bill 1113 (Version 2), pp. 6-7. March 11, 2021,
2° Department of Transportation, Agency Analysis of 2021 House Bill 1113, p. 6. March 9, 2021
30 Id.

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removing MBCs may increase traffic crashes involving pedestrians in those areas, but these crashes
may decrease in places where uncontrolled MBCs are replaced with a traffic signal.*"

IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES

31 Department of Transportation, Agency Analysis of 2021 House Bill 1113 (Version 2), p. 6. March 11, 2021.
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FLORIDA H OU S E O F REP RES EN TAT IV E S

HB 1113 2021

1 A bill to be entitled
2 An act relating to traffic and pedestrian safety;
3 providing a short title; creating s. 316.0756, F.S.;
4 requiring a traffic engineering study to be conducted
5 which recommends installation of a specified
6 pedestrian crosswalk before such installation occurs;
7 requiring a pedestrian crosswalk on a public highway,
8 street, or road which is located at any point other
9 than at an intersection with another public highway,
10 street, or road to conform to specified requirements;
11 providing coordination requirements for certain
12 devices and signals; requiring that traffic control
13 Signal devices at adjacent intersections be taken into
14 consideration; requiring, by a specified date, the
£5 entity with jurisdiction over a public highway,
16 street, or road with a certain pedestrian crosswalk to
17 ensure that the crosswalk conforms to specified
18 requirements; authorizing such entity, alternatively,
19 to remove any such crosswalk; requiring, by a
20 specified date, the Department of Transportation to
21 submit a certain request for authorization to the
Zz, Federal Government; requiring applicable entities to
28 replace or remove specified traffic control devices
24 within a specified timeframe after the date of federal
29) authorization or denial, as applicable; authorizing

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HB 1113 2021
26 retrofitting of crosswalks with legally acceptable
27 equipment; providing a declaration of important state
28 interest; providing an effective date.

29
30| Be It Enacted by the Legislature of the State of Florida:
31
32 Section 1. This act may be cited as the "Sophia Nelson

33) Pedestrian Safety Act."

34 Section 2. Section 316.0756, Florida Statutes, is created
35} to read:
36 316.0756 Traffic control signal devices and pedestrian

37] control signals at crosswalks other than at intersections.—

38 (1) (a) Before the installation of a pedestrian crosswalk

39| after October 1, 2021, on a public highway, street, or road

40] which is located at any point other than at an intersection with

41] another public highway, street, or road, a traffic engineering

42} study must be conducted by a Florida licensed professional

43} engineer which recommends the installation of such crosswalk.

44 (bo) Notwithstanding any law to the contrary:

45 1. A pedestrian crosswalk on a public highway, street, or

46] road that has a posted speed limit of 30 miles per hour or more

47| which is located at any point other than at an intersection with

48} another public highway, street, or road must conform to the

49) requirements of chapters 4D and 4E of the most recent Manual on

50} Uniform Traffic Control Devices and other applicable Department

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HB 1113 2021

51] of Transportation standards, manuals, and specifications and

52] must include a pedestrian-facing sign containing language

53} stating duties applicable to a pedestrian, as provided in this

54 chapter.

55 2. A pedestrian crosswalk on a public highway, street, or

56} road that has a posted speed limit of 29 miles per hour or less

57| which is located at any point other than at an intersection with

58] another public highway, street, or road must include a

59} pedestrian-facing sign containing language stating duties

60} applicable to a pedestrian, as provided in this chapter.

61 (c) Traffic control signal devices and pedestrian control

62 signals at crosswalk locations described in subparagraph (b)1.

63} must be coordinated with traffic control signal devices at

64] intersections adjacent to the crosswalk, and such traffic

65] control signal devices at intersections adjacent to the

66| crosswalk must be taken into consideration as provided in the

67 most recent Manual on Uniform Traffic Control Devices and other

68) applicable Department of Transportation specifications.

69 (2) By October 1, 2024, the entity with jurisdiction over

70| a public highway, street, or road with a crosswalk described in

71 subsection (1) which is in existence on October 1, 2021, shall

72| ensure that such crosswalk is controlled by coordinated traffic

73) control signal devices and pedestrian control signals as

74) required under subsection (1). Alternatively, the entity with

75| jurisdiction may remove any such existing crosswalk.

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FLOR I!I DA H O US E O F REP RES EN TATIV E §$

HB 1113 2021

716 (3) By October 1, 2022, the Department of Transportation

77 shall submit to the Federal Government a request for

78] authorization to allow yellow rectangular rapid flashing beacon

79] traffic control devices to be replaced by red rectangular rapid

80} flashing beacon traffic control devices. If the Federal

81] Government grants the request, the applicable entity must

82] replace all yellow rectangular rapid flashing beacon traffic

83 control devices at each crosswalk described in subsection (1) or

84} subsection (2) with red rectangular rapid flashing beacon

85 traffic control devices within 12 months after the date of

86 federal authorization. If the Federal Government denies the

87] request, the applicable entity must remove all yellow

88] rectangular rapid flashing beacon traffic control devices from

89} each crosswalk described in subsection (1) or subsection (2) by

90] October 1, 2025. The entity with jurisdiction over such

91} crosswalk may retrofit the crosswalk with legally acceptable

93 Section 3. The Legislature finds and declares that this

94) act fulfills an important state interest.

95 Section 4. This act shall take effect October 1, 2021.

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HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 1311 Public Meetings/Public Service Commission
SPONSOR(S): Payne
TIED BILLS: IDEN./SIM. BILLS:
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Tourism, Infrastructure & Energy Subcommittee Keating CIC Keating Ch

2) Government Operations Subcommittee

3) Commerce Committee

SUMMARY ANALYSIS

Current law provides public record exemptions for proprietary confidential business information provided to and
held by the Public Service Commission (PSC). The PSC has established practices and procedures to ensure
that this information is protected from disclosure during formal evidentiary hearings that must be held in
compliance with the Sunshine Law. Rarely, however, the PSC may find that a case is so heavily intertwined
with confidential information, or the volume of that information so substantial, that it cannot afford the parties a
full and fair public hearing and also protect the confidential information. In these cases, it may forward the
matter to the Division of Administrative Hearings to hold a closed hearing, as the PSC lacks a public meeting
exemption to close any part of its own hearings.

The bill creates a public meeting exemption for any portion of a formal administrative hearing held by the PSC
which the PSC finds cannot be “fully and fairly conducted” without necessarily revealing proprietary confidential
business information that is exempt from disclosure as a public record. It also creates a public record
exemption for those portions of the hearing transcript that contain such information. Each redacted portion of
the transcript remains exempt from disclosure as a public record unless a court of competent jurisdiction
determines that the redacted portion of the transcript is not restricted to the discussion of data and information
made exempt by this section.

The bill provides that this public meeting and public record exemption is subject to the Open Government
Sunset Review Act and will stand repealed on October 2, 2026, unless reviewed and saved from repeal
through reenactment by the Legislature. It also provides a statement of public necessity as required by the
Florida Constitution.

The bill does not appear to have a fiscal impact on state or local governments.
The bill provides an effective date of upon becoming law.

Article |, section 24(c) of the Florida Constitution requires a two-thirds vote of the members present
and voting for final passage of a newly created or expanded public meeting or public record
exemption. The bill creates a new public meeting and public record exemption; thus, it requires a two-
thirds vote for final passage.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
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FULL ANALYSIS
|. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:
Present Situation

Public Records

Article |, section 24(a) of the Florida Constitution sets forth the state’s public policy regarding access to
government records. This section guarantees every person a right to inspect or copy any public record
of the legislative, executive, and judicial branches of government. The Legislature, however, may
provide by general law for the exemption of records from the requirements of Article |, section 24(a).'
The general law must state with specificity the public necessity justifying the exemption? and must be
no more broad than necessary to accomplish its purpose.°

Public Meetings

Article |, section 24(b) of the Florida Constitution sets forth the state’s public policy regarding access to
government meetings. The section requires that all meetings of any collegial public body of the
executive branch of state government or of any collegial public body of a county, municipality, school
district, or special district, at which official acts are to be taken or at which public business of such body
is to be transacted or discussed, be open and noticed to the public.

Public policy regarding access to government meetings also is addressed in the Florida Statutes.
Section 286.011, F.S., known as the “Government in the Sunshine Law’ or “Sunshine Law,” further
requires that all meetings of any board or commission of any state agency or authority or of any agency
or authority of any county, municipal corporation, or political subdivision, at which official acts are to be
taken be open to the public at all times.* The board or commission must provide reasonable notice of
all public meetings.*° Public meetings may not be held at any location that discriminates on the basis of
sex, age, race, creed, color, origin, or economic status or that operates in a manner that unreasonably
restricts the public’s access to the facility.6 Minutes of a public meeting must be promptly recorded and
open to public inspection.’

The Legislature may provide by general law for the exemption of meetings from the requirements of
article |, section 24(b) of the Florida Constitution. The general law must state with specificity the public
necessity justifying the exemption? and must be no more broad than necessary to accomplish its
purpose. '°

Open Government Sunset Review
The Open Government Sunset Review Act" provides that a public meeting and public record
exemption may be created or maintained only if it serves an identifiable public purpose. In addition, it
may be no more broad than necessary to meet one of the following purposes:
e Allow the state or its political subdivisions to effectively and efficiently administer a
governmental program, which administration would be significantly impaired without the
exemption.

' FLA. Const. art. I, s. 24(c).

? This portion of a public record exemption is commonly referred to as a “public necessity statement.”

3 FLA. CONST. art. I, s. 24(c).

© S. 286.011(6), F.S.

7S. 286.011(2), F.S.

8 FLA. CONST. art. I, s. 24(c).

° This portion of a public meeting exemption is commonly referred to as a “public necessity statement.”
10 FLA, CONST. art. I, s. 24(c).

"§. 119.15, F.S.

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e Protect sensitive personal information that, if released, would be defamatory or would
jeopardize an individual’s safety; however, only the identity of an individual may be exempted
under this provision.

e Protect trade or business secrets. '

The Act requires the automatic repeal of a public meeting or public record exemption on October 2nd of
the fifth year after its creation or substantial anendment, unless the Legislature reenacts the
exemption."?

Proceedings before the Public Service Commission

The Public Service Commission (PSC) is an arm of the legislative branch of government.'* The role of
the PSC is to ensure that Florida's consumers receive some of their most essential services — electric,
natural gas, telephone, water, and wastewater — in a safe, affordable, and reliable manner. In doing so,
the PSC exercises regulatory authority over utilities in one or more of three key areas: rate
base/economic regulation; competitive market oversight; and monitoring of safety, reliability, and
service issues.'° The PSC possesses extensive expertise in the unique legal and policy considerations
applicable to Florida’s regulated utilities and their ratepayers and employs this expertise when it
conducts administrative hearings and independently weighs the evidence presented."®

Each meeting, workshop, hearing, or other proceeding attended by two or more PSC commissioners,
and each proceeding where a decision that concerns the rights or obligations of any person is made,
must be streamed live on the Internet.'” Further, a recorded copy of each such meeting, workshop,
hearing, or proceeding must be made available on the commission's website."

Although it is authorized to refer matters to the Division of Administrative Hearings (DOAH) for formal
evidentiary hearings and fact finding, '? the PSC is unique among state agencies in that it conducts
most of its own formal evidentiary hearings.”° In these hearings, commissioners rule on procedural
matters, establish evidence of record, weigh the record evidence, and apply the law to the facts of the
case. Many of these hearings involve some amount of proprietary confidential business information
that is exempted by statute from public disclosure,”' as described below.

All formal administrative hearings conducted by the PSC are noticed and open to the public, consistent
with the Sunshine Law. The PSC has established practices and procedures that allow these hearings
to be conducted in a manner that complies with the Sunshine Law and protects proprietary confidential
business information from disclosure. In these hearings, confidential material typically plays a minor
role in the resolution of any particular issue, and the parties avoid public disclosure of this material by
stipulating to certain matters and keeping discussions of confidential matters, which generally occur
during cross examination, minimal and without mention of critical details. Recently, however, the PSC
has found certain dockets where fact-finding on one or more issues is so intertwined with confidential
information, and the volume of that information is so substantial, that it cannot afford the parties a full
and fair hearing in the public and also protect the confidential information.

Public Record Exemptions for Proprietary Confidential Business Information held by the PSC
Current law provides that any records received by the PSC which are shown and found by the PSC to
be proprietary confidential business information must be kept confidential and are exempt from public

12S. 119.15(6)(b), F.S.

13. 119.15(3), FS.

14. 350.001, F.S.

'S Florida Public Service Commission, http://www.psc.state.fl.us/ (last visited March 11, 2021).

‘6 Florida Public Service Commission, Agency Analysis of 2021 House Bill 1311, p. 1 (March 4, 2021).

'7 §. 350.01(8), F.S.

18 Id.

'9 Ss, 350.125 and 120.569(2), F.S.

20 FPSC, supra note 17, at 1. These formal evidentiary hearings consist of hearings conducted pursuant to ss. 120.569 and 120.57, F.S.
22 FPSC, supra note 17, at 1.

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disclosure.” For these purposes, the law defines proprietary confidential business information as
“information, regardless of form or characteristics, which is owned or controlled by the person or
company, is intended to be and is treated by the person or company as private in that the disclosure of
the information would cause harm to the ratepayers or the person’s or company’s business operations,
and has not been disclosed unless disclosed pursuant to a statutory provision, an order of a court or
administrative body, or private agreement that provides that the information will not be released to the
public.” This information includes, but is not limited to:
e Trade secrets.
e Internal auditing controls and reports of internal auditors.
e Security measures, systems, or procedures.
e Information concerning bids or other contractual data, the disclosure of which would impair the
efforts of the public utility or its affiliates to contract for goods or services on favorable terms.
e Information relating to competitive interests, the disclosure of which would impair the
competitive business of the provider of the information.
e Employee personnel information unrelated to compensation, duties, qualifications, or

Any PSC finding that records contain proprietary confidential business information is effective for a
period set by the PSC not to exceed 18 months, unless the PSC finds, for good cause, that the
protection from disclosure should be for a specified longer period.?°

Effect of the Bill

The bill creates a public meeting exemption for any portion of a formal administrative hearing held by
the PSC which the PSC finds cannot be “fully and fairly conducted” without necessarily revealing
proprietary confidential business information that is exempt from disclosure as a public record as
described above. The bill requires that all portions of the hearing, including any portion exempted by
the bill, must be recorded and transcribed by a certified court reporter.

The bill further provides that, not later than 21 days after the hearing transcript is filed with the PSC
clerk, each party making a claim that one or more portions of the transcript contains confidential
information that is exempt from disclosure as a public record shall provide the PSC clerk redactions of
that information and a request for confidential treatment. Failure to timely file redactions and a request
for confidential treatment constitutes a waiver of any continued claim of confidentiality only to that
portion of the transcript. The bill requires the PSC clerk to prepare a transcript redacting all information
for which a claim has been approved by the PSC through this process.

The bill provides that this redacted transcript will be made part of the public record at the conclusion of
the underlying proceeding. The redacted portions of the transcript remain exempt from disclosure as
public records unless a court of competent jurisdiction, following an in-camera review, determines that
the hearing or portion thereof documented in the portion of the transcript that was redacted was not
restricted to the discussion of data and information made exempt by this section. In the event of such a
judicial determination, only the redacted portion of the transcript which reveals nonexempt data and
information may be disclosed to the public.

The bill provides that the PSC is not required to live-stream or make a recording available on its
website for any portion of a hearing that is exempted from the Sunshine Law under these provisions.

The bill provides a statement of public necessity as required by the Florida Constitution, which provides
the following legislative findings:

23 See ss. 366.093, 367.156, and 368.108, F.S. Records obtained under ch. 364 must be kept confidential by the PSC and are exempt from public
disclosure upon a claim by the person providing the records. S. 364.183, F.S.

24 See ss. 364.183, 366.093, 367.156, and 368.108, F.S.

25 Id.

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The PSC is charged by statute with establishing just, fair, and compensatory utility rates, and
the fact-finding role of the PSC is integral in its decision making, as all PSC decisions must be
supported by a record of competent, substantial evidence.

Under certain circumstances, the PSC must be able to evaluate and discuss proprietary
confidential business information in order to make a determination in the public interest, and
parties must be able to conduct cross-examination on such information in formal evidentiary
proceedings.

The PSC and parties to PSC proceedings are constrained from asking questions about
essential proprietary confidential business information important to the outcome of a case.

It is a public necessity that those portions of formal administrative hearings before the PSC at
which proprietary confidential business information is discussed, and the associated portions of
hearing transcripts, be made exempt from the Sunshine Law to allow parties to conduct cross-
examination on such information and the PSC to evaluate the information and make a
determination in the public interest.

In accordance with s. 119.15, F.S., the bill provides that these exemptions are subject to the Open
Government Sunset Review Act and will stand repealed on October 2, 2026, unless reviewed and
saved from repeal through reenactment by the Legislature.

B. SECTION DIRECTORY:
Section 1 Amends s. 286.0113, F.S., relating to general exemptions from public meetings.

Section 2 Amends s. 350.01, F.S., relating to the Florida Public Service Commission; terms of

commissioners; vacancies; election and duties of chair; quorum; proceedings.

Section 3 Provides a statement of public necessity.

Section 4 Provides an effective date.

ll. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT

A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:

None.

2. Expenditures:

None.

B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:

None.

2. Expenditures:

None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

None.

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D. FISCAL COMMENTS:

None.

lil. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:

Not applicable. The bill does not appear to require counties or municipalities to take an action
requiring the expenditure of funds, reduce the authority that counties or municipalities have to raise
revenue in the aggregate, nor reduce the percentage of state tax shared with counties or
municipalities

2. Other:

Vote Requirement

Article |, section 24(c) of the Florida Constitution requires a two-thirds vote of the members present
and voting for final passage of a newly created public meeting or public record exemption. The bill
creates a new public meeting and public record exemption; thus, it requires a two-thirds vote for final
passage.

Public Necessity Statement

Article |, section 24(c) of the Florida Constitution requires a public necessity statement for a newly
created or expanded public meeting or public record exemption. The bill creates a new public
meeting and public record exemption and includes a statement supporting the public necessity for
these exemptions.

Breadth of Exemption

Article I, section 24(c) of the Florida Constitution requires a newly created public meeting or public
record exemption to be no broader than necessary to accomplish the stated purpose of the law. The
bill creates a public meeting exemption for only the portion of a formal administrative hearing held by
the PSC that would reveal information specifically identified as confidential proprietary business
information exempt from disclosure under existing public record exemptions in ss. 364.183, 366.093,
367.156, and 368.108, F.S. and creates a public record exemption for only those portions of the
associated hearing transcripts. As such, these exemptions do not appear to be in conflict with the
constitutional requirement that they be no broader than necessary to accomplish their purpose.

B. RULE-MAKING AUTHORITY:

None.

C. DRAFTING ISSUES OR OTHER COMMENTS:

In order to exempt any portion of a formal administrative hearing from the Sunshine Law, the bill
requires a finding by the PSC that that portion of the hearing cannot be “fully and fairly conducted”
without necessarily revealing proprietary confidential business information. This additional finding may
be unnecessary to accomplish the purpose of the bill and could create an avenue for additional
challenges.

IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES

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FLORIODA H O U S E O F REP RES EN TAT IVE S

HB 1311 2021

1 A bill to be entitled

2 An act relating to public meetings; amending s.

3 286.0113, F.S.; providing an exemption from public

4 meetings requirements for portions of hearings before

5 the Public Service Commission which would reveal

6 certain proprietary confidential business information;

7 requiring a certified court reporter to record the

8 hearing; specifying that only the redacted version of

9 the transcript is subject to public records
10 requirements; requiring a party claiming that a

Ld portion of a transcript contains confidential
12 information to provide redactions and a request for
13 confidential treatment to the commission clerk within
14 a certain period in order to maintain confidentiality;
15 providing that the redacted transcript prepared by the
16 clerk shall be made a part of the public record at a
17 certain time unless a certain judicial determination
18 is made; providing for future legislative review and
19 repeal of the exemption; amending s. 350.01, F.S.;
20 providing an exception for a hearing or portion of a
21 hearing before the Public Service Commission which is
22 exempt from public meetings requirements from a
23 requirement that such hearing be streamed live on the
24 Internet and that a recording of such hearing be made
20 available on a certain website; providing a statement

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FLORIODA HO US E O F REPRESENTATIVE 8S

HB 1311 2021

26 of public necessity; providing an effective date.
27
28| Be It Enacted by the Legislature of the State of Florida:
29
30 Section 1. Subsection (4) of section 286.0113, Florida
32 Statutes, is renumbered as subsection (5) and a new subsection
32 (4) is added to that section, to read:

33 286.0113 General exemptions from public meetings.—

34 (4) (a) Any portion of a hearing before the Florida Public

35 Service Commission under ss. 120.569 and 120.57 which the

36] commission finds cannot be fully and fairly conducted without

37] necessarily revealing proprietary confidential business

38] information that is exempt from _s. 119.07(1) pursuant to a claim

39} or commission finding made under s. 364.183 or pursuant to a

40| pending request or commission finding made under s. 366.093, s.

41 367.156, or s. 368.108, is exempt from s. 286.011 and s. 24(b),

42 Art. I of the State Constitution.

43 (bo) The entire hearing, including any portion made exempt

44 under this subsection, shall be recorded by a certified court

45) reporter. Only the redacted version of the transcript prepared

46] as provided in paragraph (d) shall be subject to disclosure

47 under s. 119.07(1) and s. 24(a), Art. I of the State

48 Constitution.

49 (c) Not later than 21 days after the transcript is filed

50} with the commission clerk, each party making a claim that one or

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FLORIDA HOUSE O F R E—EP RES EN TATIV ES

HB 1311 2021

51} more portions of the transcript contains confidential

52] information that is exempt from disclosure under s. 119.07(1)

53] ands. 24(a), Art. I of the State Constitution shall provide to

54 the commission clerk redactions of that information and a

55} request for confidential treatment. Failure to timely file such

56} redactions and request shall constitute a waiver of any

57} continued claim of confidentiality only to that portion of the

58] transcript.

59. (d) The commission clerk shall prepare a transcript

60} redacting all information for which a claim under paragraph (c)

61); has been approved by the commission. This redacted transcript

62 shall be made part of the public record at the conclusion of the

63] underlying proceeding. The redacted portions of the transcript

64} remain exempt from disclosure under s. 119.07(1) and s. 24(a),

65] Art. I of the State Constitution unless a court of competent

66] jurisdiction, following an in-camera review, determines that the

67] hearing or portion thereof documented in the portion of the

68] transcript that was redacted was not restricted to the

69} discussion of data and information made exempt by this section.

70| In the event of such a judicial determination, only the redacted

71} portion of the transcript which reveals nonexempt data and

72| information may be disclosed to a third party.

73 (e) This subsection is subject to the Open Government

74 Sunset Review Act in accordance with s. 119.15 and shall stand

75 repealed on October 2, 2026, unless reviewed and saved from

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FLORIODA H O US E O F REP RES EN TA TIVE S

HB 1311 2021

76| repeal through reenactment by the Legislature.

Til Section 2. Subsection (8) of section 350.01, Florida

78 Statutes, is amended to read:

719 350.01 Florida Public Service Commission; terms of

80] commissioners; vacancies; election and duties of chair; quorum;

82 (8) Each meeting, including each internal affairs meeting,
83] workshop, hearing, or other proceeding attended by two or more
84 commissioners, and each such meeting, workshop, hearing, or

85} other proceeding where a decision that concerns the rights or
86] obligations of any person is made, shall be streamed live on the
87} Internet, and a recorded copy of the meeting, workshop, hearing,
88] or proceeding shall be made available on the commission's

89] website, except for any hearing or portion of a hearing before

90 the Florida Public Service Commission under ss. 120.569 and

91) 120.57 which, pursuant to s. 286.011(4), is exempt from s.

92 286.011 and s. 24(b), Art. I of the State Constitution.

93 Section 3. (1) The Legislature finds that it is a public

94) necessity that those portions of hearings of the Florida Public

95 Service Commission under ss. 120.569 and 120.57, Florida

96] Statutes, at which proprietary confidential business information

97 is discussed be made exempt from s. 286.011, Florida Statutes,

98 and s. 24(b), Article I of the State Constitution. As used in

99| this section, “proprietary confidential business information"

100) means information that is exempt from s. 119.07(1), Florida

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HB 1311 2021

101] Statutes, pursuant to a claim or commission finding made under

102 s. 364.183, Florida Statutes, or pursuant to a pending request

103 or commission finding made under s. 366.093, s. 367.156, or s.

104} 368.108, Florida Statutes, and that is necessary for the

105 commission to discuss in order to evaluate and make a

106| determination in the public interest.

107 (2) The Legislature finds that the commission and parties

108] to commission proceedings are constrained from asking questions

109] about essential proprietary confidential business information

110] important to the outcome of a case. Pursuant to its legislative

111] directive under chapters 364, 366, 367, and 368, Florida

112 Statutes, the commission is the tribunal charged with

113] establishing just, fair, and compensatory utility rates. As

114} such, the commission has the authority to adjudicate all matters

115] within its jurisdiction, and its administrative hearings are

116] conducted in compliance with chapter 120, Florida Statutes. The

117] fact-finding role of the commission is integral in its

118] decisionmaking, and all commission decisions must be supported

119] by record competent, substantial evidence. Accordingly, under

120 certain circumstances, the commission must be able to evaluate

121) and discuss proprietary confidential business information in

122} order to make a determination in the public interest. In

123] addition, parties must be permitted to conduct cross-examination

124] when testimony is taken or documents are made a part of the

125 record under s. 120.569(2) (3), Florida Statutes.

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126 (3) The Legislature finds that the exposure of proprietary

127] confidential business information could significantly impair the

128] ability of utilities regulated by the Public Service Commission

129} to fairly compete within the marketplace by revealing

130} information that would typically be considered proprietary,

131] confidential, or otherwise private. Furthermore, such exposure

132} could harm the businesses with which such utilities contract by

133] disclosing such businesses' proprietary or confidential

134] information and make it less likely for such businesses to do

135] business with regulated utilities in the future. The Legislature

136) further finds that the exposure of proprietary confidential

137| business information would cause harm to the company's

138] ratepayers or business operations. Given such harms, the

139} exposure of this information could negatively impact customers

140| of regulated utilities and result in higher utility prices or

141] lower quality of service overall.

142 (4) The Legislature finds that the public and private harm

143} in disclosing proprietary confidential business information made

144} exempt by this act outweighs any public benefit derived from the

145 disclosure of such information.

146 (5) Therefore, the Legislature finds that it is a public

147] necessity to make those portions of hearings of the Florida

148 Public Service Commission under ss. 120.569 and 120.57, Florida

149} Statutes, at which proprietary confidential business information

150; is discussed exempt from s. 286.011, Florida Statutes, and s.

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HB 1311 2021

151] 24(b), Article I of the State Constitution.
152 Section 4. This act shall take effect upon becoming a law.
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HOUSE OF REPRESENTATIVES STAFF ANALYSIS

BILL #: HB 1567 —_ Utility and Communication Service Poles
SPONSOR(S): DiCeglie and others
TIED BILLS: IDEN./SIM. BILLS: SB 1944
REFERENCE ACTION ANALYST STAFF DIRECTOR or
BUDGET/POLICY CHIEF
1) Tourism, Infrastructure & Energy Subcommittee Willson MW Keating Ce

2) Infrastructure & Tourism Appropriations
Subcommittee

3) Commerce Committee

SUMMARY ANALYSIS

“Pole attachment” refers to the process by which telecommunications companies can collocate
telecommunications infrastructure on existing electric utility poles. Telecommunications companies and electric
utilities have an established system of utility poles to carry the wires that move their resources from provider to
the consumer. However, telecommunications companies typically own relatively few poles so they often lease
space from electric utility pole owners. Historically, rates, terms, and conditions for attachments to municipal
and cooperative utility poles have been established through private contracts

Federal law broadly preempts the regulation of telecommunications services, including pole attachments.
However, federal law allows states to exercise reverse preemption over the Federal Communications
Commission's (FCC) jurisdiction over pole attachments.

The bill requires the Florida Public Service Commission (PSC) to regulate pole attachments in Florida, taking
over the role currently performed by the FCC. The bill authorizes the PSC to hear and resolve complaints
concerning rates, charges, terms, conditions, voluntary agreements, or any denial of access relative to pole
attachments. The bill provides that FCC precedent is not binding upon the PSC. Additionally, the bill specifies
that PSC, upon the request of a party to a complaint proceeding pending before the FCC, must assume
jurisdiction over the matter if it is not yet subject to a final order of the FCC at the time of the request.

The bill defines “redundant pole” and requires that attaching entities remove their pole attachments from a
redundant pole within 90 days of a written request by the pole owner. Under certain circumstances, the pole
owner may transfer or relocate the pole attachment to a new pole at the non-compliant attaching entity's
expense, unless the pole attachments are owned by an electric utility.

The bill requires the PSC to regulate the maintenance of certain telecommunications infrastructure and
requires telecommunications companies to create storm reserve funds overseen by the PSC.

The bill requires the PSC to impose monetary penalties upon any entity that violates the provisions of the bill.
Additionally, the bill authorizes the PSC to order the removal or transfer of pole attachments by noncompliant
attaching entities, upon petition by a pole owner, and requires the PSC to impose monetary penalties.
Revenues collected from these penalties must be used by the PSC to provide broadband infrastructure grants.

The bill requires the PSC to adopt rules which implement the bill by October 1, 2021, including rules providing
for the sequential removal of all pole attachments from redundant poles and to establish monetary penalties.

The bill does not impact state or local government revenues or local government expenditures. However, the
bill is likely to have a significant negative impact on state government expenditures. See Fiscal Analysis.

The bill takes effect upon becoming law.

This document does not reflect the intent or official position of the bill sponsor or House of Representatives.
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FULL ANALYSIS
|. SUBSTANTIVE ANALYSIS

A. EFFECT OF PROPOSED CHANGES:

Current Situation
Regulation of Pole Attachments

First deployed in America in 1844 to extend telegraph service, utility poles provide the scaffolding for
the technology of the twenty-first century. In the mid-nineteenth and early twentieth centuries, many
states adopted laws granting rights-of-way (ROW) to construct utility poles, wires, and facilities to
transmit electricity and communications signals. First telegraph, then telephone, electricity, cable,
wireless, and Internet Service Providers have sought to attach facilities to wooden, and later steel or
composite, utility poles. '

The term pole attachment refers to the process by which communications companies can collocate
communications infrastructure on existing electric utility poles. This reduces the number of poles that
must be built to accommodate utility services, while reducing costs to users of both services by allowing
providers to share costs. Rules governing pole attachments seek to balance the desire to maximize
value for users of both electric and communications services with concerns unique to electric utility
poles, such as safety and reliability.

Pole attachments, originally by mutual agreement but later by federal statute and regulation, provide
non-pole-owning cable and telecommunication service providers (e.g. cable TV, local exchange
carriers) with access to a utility's distribution poles, conduits, and ROW for:

e Installing fiber, coaxial cable or wires, and other equipment;

e Building an interconnected network; and

e Reaching customers.*

The space requested for a pole attachment is typically one foot.

Congress began regulating pole attachments‘ in 1978.5 The Telecommunications Act of 1996°
expanded pole attachment rights to telecommunications’ carriers. The Act requires utilities® to provide
nondiscriminatory access to cable television systems and telecommunications carriers. The Act also
authorizes the Federal Communications Commission? (FCC) to regulate the rates, terms, and
conditions of attachments by cable television operators to the poles, conduit, or ROW owned or

' Catherine J.K. Sandoval, Contested Places, Utility Pole Spaces: A Competition and Safety Framework for Analyzing Utility Pole Association Rules,
Roles, and Risks, 69 Cath. U. L. Rev. 473, 474-75 (2020).

2 American Public Power Association, /ssue Brief: Preserving the Municipal Exemption from Federal Pole Attachment Regulations (Jan. 2021)
https://www.publicpower.org/policy/preserving-municipal-exemption-federal-pole-altachment-regulations (last visited Mar. 13, 2021).

3 Edison Electric Institute, Pole Attachments 101, https://eefsapi.fcc.gov/file/7020708245.pdf (last visited Mar. 13, 2021).

447 U.S.C. § 224(a)(4), defines ‘‘pole attachment”’ as “any attachment by a cable television system or provider of telecommunications service to a
pole, duct, conduit, or right-of-way owned or controlled by a utility.”

5 The Pole Attachment Act of 1978 granted utility pole access to cable companies, and was designed to promote utility competition and service to the
public. Communications Act Amendments of 1978, Pub. L. No. 95-234. (Feb. 21, 1978).

© Telecommunications Act of 1996, Pub. LA. No. 104-104, 110 Stat. 56 (1996).

7 The term “telecommunications” means the transmission, between or among points specified by the user, of information of the user’s choosing,
without change in the form or content of the information as sent and received. 47 U.S.C. § 153(50).

847 U.S.C. § 224(a)(1), defines ‘‘utility’’ as “any person who is a local exchange carrier or an electric, gas, water, steam, or other public utility, and
who owns or controls poles, ducts, conduits, or rights-of-way used, in whole or in part, for any wire communications. Such term does not include any
railroad, any person who is cooperatively organized, or any person owned by the Federal Government or any State.”

° The FCC regulates interstate and international communications by radio, television, wire, satellite and cable in all SO states, the District of
Columbia and U.S. territories. An independent U.S. government agency overseen by Congress, the FCC is the United States’ primary authority for
communications law, regulation and technological innovation. FCC, What We Do, https://www.fec.gov/about-fee/what-we-do (last visited Mar 13,
2021).

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controlled by utilities in the absence of parallel state regulation.!° The Legislation withheld from FCC
jurisdiction the authority to regulate attachments where the utility is a railroad, cooperatively organized,
or owned by a government entity."

The 1996 Act permits utilities to deny access where there is insufficient capacity and for reasons of
safety, reliability or generally applicable engineering purposes. In addition to establishing a right of
access, the Act provides a rate methodology for “attachments used by telecommunications carriers to
provide telecommunications services”’? in addition to the existing methodology for attachments “used
by a cable television system solely to provide cable service.'°

Federal law broadly preempts the regulation of telecommunications services.'* However, federal law
allows states to exercise reverse preemption over the FCC’s jurisdiction of communications
infrastructure access, '® meaning that once a state adopts its own utility pole access rules, the FCC
loses jurisdiction over pole attachments to the extent that the state regulates such matters. '®

Federal law specifically recognizes the authority of state and local governments to manage the public
ROW, and to require fair and reasonable compensation for the use of such ROW." The law also
provides that states may adopt, on a competitively neutral basis, requirements necessary to preserve
and advance universal service, protect the public safety and welfare, ensure the continued quality of
telecommunications services, and safeguard the rights of consumers.”"®

Pursuant to section 224(c) of the Telecommunications Act of 199619, each state that regulates the
rates, terms, and conditions for pole attachments must certify to the FCC that:
e It regulates such rates, terms, and conditions; and
e Inso regulating such rates, terms, and conditions, the state has the authority to consider and
does consider the interests of the subscribers of the services offered via such attachments, as
well as the interests of the consumers of the utility services provided by the pole owners.

Furthermore, a state is not considered to regulate the rates, terms, and conditions for pole attachments:
e Unless the state has issued and made effective rules and regulations implementing the state's
regulatory authority over pole attachments; and
e With respect to any individual matter, unless the state takes final action on a complaint
regarding such matter:
o Within 180 days after the complaint is filed with the state, or
o Within the applicable period prescribed for such final action in such rules and regulations
of the state, if the prescribed period does not extend beyond 360 days after the filing of
such complaint.

Regulation of Utility Infrastructure in Florida
The Florida Public Service Commission (“PSC” or “commission”) is an arm of the legislative branch of

government.”° The role of the PSC is to ensure that Florida's consumers receive some of their most
essential services — electric, natural gas, telephone, water, and wastewater — in a safe, affordable, and

047 U.S.C. § 224,

" In the Matter of Implementation of Section 224 of the Act A Nat'l Broadband Plan for Our Future, 26 F.C.C. Red. 5240, 5245-46 (2011)
2ATUS.C. § 224(e).

'3.47 U.S.C. § 224(d).

'4“NIo State or local statute or regulation, or other State or local legal requirement, may prohibit or have the effect of prohibiting the ability of any
entity to provide any interstate or intrastate telecommunications service.” 47 U.S.C. § 253(a).

'S 47 U.S.C. § 224(c)(1).

'6 Catherine J.K. Sandoval, Contested Places, Utility Pole Spaces: A Competition and Safety Framework for Analyzing Utility Pole Association
Rules, Roles, and Risks, 69 Cath. U. L. Rev. 473, 486-87 (2020).

'747 U.S.C. § 253(c).

847 U.S.C. § 253,

20 5, 350.001, F.S.

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reliable manner.2' In doing so, the PSC exercises regulatory authority over utilities in one or more of
three key areas: rate base/economic regulation; competitive market oversight; and monitoring of safety,
reliability, and service issues.2?

The PSC monitors the safety and reliability of the electric power grid@* and may order the addition or
repair of infrastructure as necessary.”* Additionally, the PSC has broad jurisdiction over the rates and
service of investor-owned electric utilities (IOUs) in Florida. However, the PSC does not regulate pole
attachments or provide construction and reliability standards relating to pole attachments. Additionally,
the PSC generally does not regulate providers of communications services,”° cable television
operators, local exchange carriers, or streetlight fixtures.

Telecommunications carriers in Florida are subject to limited regulation under ch. 364, F.S. During the
2011 legislative session House Bill CS/CS/HB 1231, the “Regulatory Reform Act” (Act), was passed
and signed into law by the Governor, effective July 1, 2011. Under the Act, the Legislature eliminated
most of the PSC’s retail oversight authority over the telecommunications wireline companies, yet
maintained the PSC’s authority over wholesale intercarrier issues. The Act eliminated most of the retail
regulation of local exchange telecommunications services by the PSC, including the elimination of rate
caps on all retail telecommunications services, elimination of telecommunications-related consumer
protection and assistance duties of the PSC, and elimination of the PSC’s remaining oversight of
telecommunications service quality.”°

Effect of the Bill

The bill requires the PSC to regulate pole attachments in Florida, taking over the role currently
performed by the FCC.

The bill defines the following terms:
e "Attaching entity" means a person that is a local exchange carrier, a public utility?” or an electric
utility,22 a communications services provider, or a cable television operator who owns or

21 FLA, PUBLIC SERVICE COMMISSION, The PSC’s Role, http://www.psc.state.fl.us (last visited Feb. 26, 2021).

22 Id The PSC regulates five investor-owned electric companies, eight investor-owned natural gas utilities, and 151 investor-owned water and/or
wastewater utilities. While the PSC does not fully regulate municipal or cooperative electric utilities, the Commission does have jurisdiction, with
regard to rate structure, territorial boundaries, bulk power supply operations, and planning, over 35 municipally owned electric systems and 18 rural
electric cooperatives. The PSC has jurisdiction, with regard to territorial boundaries and safety, over 27 municipally owned natural gas utilities and 4
gas districts, and also exercises safety authority over all electric and natural gas systems operating in the state. FLA. PUBLIC SERVICE COMMISSION,
2020 ANNUAL REPORT 14 (2020), http://www.psce.state. fl.us/liles/PDF/Publications/Reports/General/Annualreports/2020.pdI. (last visited Feb. 28,
2021).

23'S. 366.04(5) & (6), F.S.

4S. 366.05(1) & (8), F.S.

*5 Section 202.11(1), F.S., defines “Communications services” as “the transmission, conveyance, or routing of voice, data, audio, video, or any other
information or signals, including video services, to a point, or between or among points, by or through any electronic, radio, satellite, cable, optical,
microwave, or other medium or method now in existence or hereafter devised, regardless of the protocol used for such transmission or conveyance.
The term includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code, or protocol
of the content for purposes of transmission, conveyance, or routing without regard to whether such service is referred to as voice-over-Internet-
protocol services or is classified by the Federal Communications Commission as enhanced or value-added. The term does not include: Information
services. Installation or maintenance of wiring or equipment on a customer’s premises. The sale or rental of tangible personal property. The sale of
advertising, including, but not limited to, directory advertising. Bad check charges. Late payment charges. Billing and collection services. Internet
access service, electronic mail service, electronic bulletin board service, or similar online computer services.”

26 PSC, Local Competition http://www.psc.state.!1.us/Telecommunication/TclecomLocalCompetition (last visited Mar. 13, 2021).

27 Section 366.02(1), F.S., defines “Public utility” as “every person, corporation, partnership, association, or other legal entity and their lessees,
trustees, or receivers supplying electricity or gas (natural, manufactured, or similar gaseous substance) to or for the public within this state; but the
term “public utility” does not include either a cooperative now or hereafter organized and existing under the Rural Electric Cooperative Law of the
state; a municipality or any agency thereof; any dependent or independent special natural gas district; any natural gas transmission pipeline company
making only sales or transportation delivery of natural gas at wholesale and to direct industrial consumers; any entity selling or arranging for sales of
natural gas which neither owns nor operates natural gas transmission or distribution facilities within the state; or a person supplying liquefied
petroleum gas, in either liquid or gaseous form, irrespective of the method of distribution or delivery, or owning or operating facilities beyond the
outlet of a meter through which natural gas is supplied for compression and delivery into motor vehicle fuel tanks or other transportation containers,
unless such person also supplies electricity or manufactured or natural gas.”

28 Section 366.02(2), F.S., defines “Electric utility” as “any municipal electric utility, investor-owned electric utility, or rural electric cooperative
which owns, maintains, or operates an electric generation, transmission, or distribution system within the state.”

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controls pole attachments.

e "Communications services" has the same meaning as in s. 202.11.

e "Pole" means a pole, duct, conduit, or right-of-way that is used for wire or wireless
communications or electricity distribution and that is owned in whole or in part by a pole owner,
or a streetlight fixture that is owned in whole or in part by a public utility.

e "Pole attachments” means local exchange carrier, electric, communications services, or cable
television facilities attached to a pole by an entity other than the pole owner.

e "Pole owner” means a local exchange carrier, a public utility or an electric utility, a
communications services provider, a cable television operator, or other public utility which owns
a pole used in whole or in part, for electrical purposes or for any wire or wireless
communications.

e "Redundant pole" means a pole owned or controlled by a pole owner which is:

o Within 50 feet of a new pole which is intended to replace the old pole from which some
or all of the pole attachments have not been removed and transferred to the new pole;

o Left standing after the pole owner has relocated its facilities to underground but on which
pole attachments of other attaching entities remain; or

o Left standing after a pole owner's attachments have been removed from that route or
location to accommodate a new route or design for the delivery service.

Regulation of Pole Attachments

In the event that a pole owner is unable to reach an agreement with a party seeking pole attachments,
the bill requires the PSC to regulate and enforce rates, charges, terms, and conditions for pole
attachments and to ensure that they are just and reasonable. The bill authorizes the PSC to regulate
attachments by a cable television system or provider of telecommunications service to investor-owned
electric utility poles, attachments to streetlight fixtures, and attachments to poles owned by a
communications services provider. The bill clarifies that the Legislature encourages parties to enter into
voluntary pole attachment agreements, and that voluntary pole attachment agreements do not require
PSC approval.

The bill provides that the PSC’s authority to regulate such matters includes, but is not limited to, the
state regulatory authority provided under federal law. Additionally, the bill requires the PSC to consider
the interests of the subscribers and users of the services offered through pole attachments, as well as
the interests of the consumers of any pole owner providing such attachments, when developing such
rules.

The bill authorizes the PSC to hear and resolve complaints concerning rates, charges, terms,
conditions, voluntary agreements, or any denial of access relative to pole attachments.

The bill specifies that a party's right to nondiscriminatory access to a pole is identical to the rights
afforded under 47 U.S.C. s. 224(f)(1), and that a pole owner may deny access to its poles on a
nondiscriminatory basis when there is insufficient capacity, for reasons of safety and reliability, and
when required by generally applicable engineering purposes.

The bill requires a pole owner to consider relevant construction and reliability standards approved by
the PSC when evaluating capacity, safety, reliability, and engineering requirements, as well as the
financial and performance-related capabilities of the entity requesting attachment.

The bill provides that FCC precedent is not binding upon the PSC. Additionally, the bill specifies that
PSC, upon the request of a party to a complaint proceeding pending before the FCC, shall assume
jurisdiction over the matter if it is not yet subject to a final order of the FCC at the time of the request.

The bill requires that the PSC adopt rules by October 1, 2021, to administer and implement these
provisions, including one or more appropriate formulae for apportioning costs.

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The bill specifies that such requirements may not be construed to:
e Prevent a party at any time from entering into a voluntary agreement authorizing a pole owner
to remove an attaching entity's pole attachment.
e Impair the contract rights of a party to a valid pole attachment agreement in existence before
the effective date of this act.

Regulation of Telecommunications Infrastructure

The bill requires the PSC to regulate the safety, vegetation management, repair, replacement,
maintenance, relocation, emergency response, and storm restoration requirements for poles, conduits,
ducts, pipes, pole attachments, wires, cables, and related plant and equipment of communication
services providers.

The bill requires communications services providers to establish storm reserve funds for the repair and
replacement of facilities after natural disasters.

The bill requires the PSC to adopt rules by October 1, 2021, to administer and implement these
provisions, including:
e Mandatory pole inspections, including provisions relating to:
o repair or replacement;
o vegetation management requirements for poles owned by providers of communications
services;
o the establishment of storm reserve funds; and
o the sequential and timely removal of pole attachments.
e Monetary penalties for any communication services provider that fails to comply with such rules.

Redundant Poles

The bill enumerates certain legislative findings, as follows:

e tis in the public interest for public utilities, communications services providers, and cable
television operators that own poles to harden their infrastructure to strengthen the ability of their
above-ground infrastructure to withstand extreme weather conditions, by and among other
things, replacing older poles with newer, stronger poles; however, this work combined with the
undergrounding of electrical facilities may result in redundant poles within public rights-of-way
and easements for significant durations because owners of third-party pole attachments may
not keep pace in removing their facilities from the old poles.

e Pole owners that set new poles are prevented from removing redundant poles when the pole
attachments of other entities remain on the old poles. Such pole owners continue to incur
liability as owners of poles they no longer use or want, but which continue to be used by other
entities.

e Redundant poles in the public rights-of-way and easements are aesthetically unappealing and
potentially create over-crowding of, and unsafe conditions in, the public rights-of-way and
easements.

e tis in the public interest to timely and sequentially remove pole attachments from redundant
poles and to transfer the ownership of poles from pole owners that are no longer using the poles
to entities that continue to attach facilities to the poles

The bill requires that attaching entities remove their pole attachments from a redundant pole within 90
days of a written request by the pole owner, and requires the PSC to provide a form and any related
requirements for such a notice. Absent good cause, the pole owner may transfer or relocate the pole
attachment to the new pole at the non-compliant attaching entity's expense, unless the pole
attachments are owned by an electric utility.

Relating to abandoned or unused pole attachments, the bill:

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e Authorizes the pole owner to remove the pole attachment at the noncompliant attaching entity's
expense.

Authorizes the pole owner to sell or dispose of the pole attachment.

e Requires the noncompliant attaching entity to indemnify, defend, and hold harmless the pole
owner and its directors, officers, agents, and employees from and against all liability, except to
the extent of any finding of gross negligence or willful misconduct, including attorney fees and
litigation costs, arising in connection with the removal, transfer, sale, or disposal of the pole
attachments from a redundant pole by the pole owner.

In the event that a pole owner removes and relocates its overhead facilities or converts its overhead
facilities to underground and the attaching entity does not remove their attachments within 90 days of
the written notice, the bill:
e Authorizes a pole owner to transfer legal title of the redundant pole, by operation of law, to an
attaching entity.
e Requires the attaching entity to pay the pole owner an amount equal to the total of the
remaining book value for all poles,
e Allows the pole owner to enforce their rights in circuit court, and specifies that the prevailing
party is entitled to recover attorney fees and court costs.
e EEntitles the pole owner to prejudgment interest.

Upon transfer of title, all obligation, responsibility, and liability incumbent upon a pole owner becomes
the legal obligation, responsibility, and liability of the new pole owner.

The bill enables the PSC to require, by rule, that an attaching entity post security instruments’? in favor
of pole owners in amounts reasonably sufficient to cover the cost of the removal, transfer, sale, or
disposal of pole attachments.

Monetary Penalties

The bill requires the PSC to impose monetary penalties upon any entity that violates the provisions of
the bill. Additionally, the bill authorizes the PSC to order the removal or transfer of pole attachments by
noncompliant attaching entities, upon petition by a pole owner, and requires the PSC to impose
monetary penalties.

The bill specifies that the proceeds of any monetary penalties must be used by the PSC to provide
grants for the installing and upgrading of broadband infrastructure in unserved and underserved rural
and low-income areas of this state. The bill requires the PSC to establish criteria for the award of grants
from the fund to businesses and organizations that have demonstrated the ability to construct and
install infrastructure and that have submitted an application and proposal detailing how the grant funds
would further the objectives of this subsection to expand broadband services in unserved and
underserved areas.

Rulemaking, Generally
The bill requires the PSC to adopt rules which implement the bill by October 1, 2021, including rules
providing for the sequential removal of all pole attachments from redundant poles and to establish

monetary penalties.

The bill takes effect upon becoming law.

2° A security instrument is a performance bond or an equivalent financial instrument that guarantees payment for certain obligations.

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B. SECTION DIRECTORY:
Section 1 Amends s. 366.02, F.S.; defining terms.

Section 2 Amends s. 366.04, F.S.; relating to jurisdiction of the Public Service Commission.

Section 3 Creates s. 366.97, F.S.; relating to redundant poles; transfer of ownership; and
penalties.

Section 3 Provides a directive to the Division of Law Revision.

Section 4 Provides an effective date.

li. FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT
A. FISCAL IMPACT ON STATE GOVERNMENT:

1. Revenues:
None. The bill does not authorize the PSC to impose new or existing regulatory assessment fees on
communications services providers to account for its new regulatory responsibilities over these
providers.*°

2. Expenditures:

The bill is likely to have a significant negative impact on state government expenditures, as the PSC
is directed to adopt rules and regulate entirely new matters, including poll attachments, reliability of
communications services infrastructure, and broadband infrastructure grants.

B. FISCAL IMPACT ON LOCAL GOVERNMENTS:

1. Revenues:

None.

2. Expenditures:
None.

C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR:

Depending on the PSC’s implementation of its authority over pole attachments under the bill, the
financial and legal responsibilities of parties to poll attachment arrangements in Florida could change
substantially.

It is likely that the PSC’s adoption of rules and implementation of this new authority will involve litigation
between the affected parties.

Further, entities with attachments on redundant poles may face negative financial impacts not
contemplated in current negotiated pole attachment agreements.

The bill will impose new regulatory expenses on communications service providers that own poles,
wires, and other facilities in the state.

39 See s. 364.336, F.S.
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D. FISCAL COMMENTS:
None.

lil. COMMENTS
A. CONSTITUTIONAL ISSUES:

1. Applicability of Municipality/County Mandates Provision:

Not Applicable. This bill does not appear to require counties or municipalities to spend funds or take
action requiring the expenditures of funds; reduce the authority that counties or municipalities have
to raise revenues in the aggregate; or reduce the percentage of state tax shared with counties or
municipalities.

2. Other:

None.

B. RULE-MAKING AUTHORITY:
The bill requires the PSC to adopt rules by October 1, 2021. See Drafting Issues or Other Comments.

C. DRAFTING ISSUES OR OTHER COMMENTS:

The bill requires the PSC, upon request by a party to a complaint proceeding pending before the FCC,
to take jurisdiction over the matter. This could lead to forum shopping for specific pending complaints
and cause additional expenses due to relitigation.

The bill requires the PSC to use the proceeds from certain monetary penalties to provide grants for the
installation of infrastructure in certain areas. The PSC will need to create a grant program to implement
this section. The PSC does not have experience in implementing grant programs.

The bill requires the PSC to adopt implementing rules by October 1, 2021. While the PSC has control

over the timing of proposing a rule, the timing of rule adoption depends on matters outside of its control,
including challenges brought by stakeholders.

IV. AMENDMENTS/ COMMITTEE SUBSTITUTE CHANGES

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FtLORIODA HO US E O F R EP RES EN TAT IVE S

HB 1567 2021

1 A bill to be entitled
2 An act relating to utility and communication service
3 poles; amending s. 366.02, F.S.; defining terms;
4 amending s. 366.04, F.S.; requiring the Public Service
5 Commission to regulate and enforce rates, charges,
6 terms, and conditions for pole attachments under
7 certain circumstances; providing requirements for such
8 rules; providing construction; providing situations
9 under which a pole owner may deny access to the
10 owner's pole on a nondiscriminatory basis; authorizing
11 the commission to hear and resolve complaints
12 concerning rates, charges, terms, conditions,
13 voluntary agreements, and denial of access relative to
14 pole attachments; requiring the commission, at the
15 request of a party, to assume jurisdiction over
16 certain complaints before the Federal Communications
17 Commission; requiring the commission to adopt rules by
18 a specified date; requiring the commission to regulate
19 the safety, vegetation management, repair,
20 replacement, maintenance, relocation, emergency
21 response, and storm restoration requirements for
22 certain plants and equipment of communications
23 services providers; requiring the commission to adopt
24 rules, including monetary penalties, by a specified
25 date; creating s. 366.97, F.S.; providing legislative

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HB 1567 2021
26 findings; requiring attaching entities to remove pole
27 attachments from redundant poles within a specified
28 timeframe after receipt of a written notice from the
29 pole owner; requiring the commission to provide the
30 form and requirements for such notice; authorizing a
cull pole owner or its agent to transfer or relocate pole
32 attachments of an attaching entity at the entity's
33 expense under certain circumstances; providing an
34 exception; authorizing a pole owner to remove and sell
35 or dispose of certain abandoned pole attachments;
36 requiring that the pole owner and its directors,
37 officers, agents, and employees be held harmless under
38 certain circumstances for such actions; authorizing
39 the commission to require attaching entities to post
40 certain security instruments by rule; authorizing
41 certain pole owners to transfer legal title of a
42 redundant pole to an attaching entity that has not
43 removed a pole attachment within a specified
44 timeframe; providing for such transfer of title;
45 providing for the transfer of obligation,
46 responsibility, and liability of a pole to the new
47 owner upon such a transfer of title; requiring the
48 commission to impose monetary penalties for
49 violations; requiring the commission to provide grants
50 to install and upgrade broadband infrastructure in

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FLORIODA H O US E O F REP RES EN TATIHIVE S$

HB 1567 2021
Sl this state from any monetary penalty collected;
52 providing construction; requiring the commission to
53 adopt rules by a specified date; providing a directive
54 to the Division of Law Revision; providing an
55 effective date.

56
57] Be It Enacted by the Legislature of the State of Florida:
58
59 Section 1. Subsection (4) through (9) are added to section
60 366.02, Florida Statutes, to read:

61 366.02 Definitions.—As used in this chapter:

62 (4) "Attaching entity" means a person that is a local

63] exchange carrier, a public utility or an electric utility, a

64] communications services provider, or a cable television operator

65| who owns or controls pole attachments.

66 (5) “Communications services" has the same meaning as in

67) s. 202.11.

68 (6) "Pole" means a pole, duct, conduit, or right-of-way

69} that is used for wire or wireless communications or electricity

70} distribution and that is owned in whole or in part by a pole

71) owner, or a streetlight fixture that is owned in whole or in

72| part by a public utility.

73 (7) "Pole attachments” means local exchange carrier,

74 electric, communications services, or cable television

75| facilities attached to a pole by an entity other than the pole

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HB 1567 2021

76 owner.

ia) (8) "Pole owner" means a local exchange carrier, a public

78) utility or an electric utility, a communications services

79! provider, a cable television operator, or other public utility

80] which owns a pole used in whole or in part, for electrical

81} purposes or for any wire or wireless communications.

82 (9) “Redundant pole" means a pole owned or controlled by a

83} pole owner which is:

84 1. Within 50 feet of a new pole which is intended to

85] replace the old pole from which some or all of the pole

86 attachments have not been removed and transferred to the new

87) pole;
88 2. Left standing after the pole owner has relocated its

89) facilities to underground but on which pole attachments of other

90| attaching entities remain; or

91 3. Left standing after a pole owner's attachments have

92 been removed from that route or location to accommodate a new

93} route or design for the delivery service.
94

95 Section 2. Subsections (8) and (9) are added to section

96 366.04, Florida Statutes, to read:
97 366.04 Jurisdiction of commission.—

98 (8) (a) The commission shall regulate and enforce rates,

99) charges, terms, and conditions for pole attachments in

100) situations in which a pole owner is unable to reach an agreement

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101} with a party seeking pole attachments, including the types of

102 attachments regulated under 47 U.S.C. s. 224(a) (4), attachments

103} to streetlight fixtures, or attachments to poles owned by a

104 communications services provider, to ensure that such rates,

105 charges, terms, and conditions are just and reasonable. The

106] commission's authority under this subsection includes, but is

107} not limited to, the state regulatory authority referenced in 47

109 (pb) In developing the rules, the commission shall consider

110 the interests of the subscribers and users of the services

111 offered through such pole attachments, as well as the interests

112) of the consumers of any pole owner providing such attachments.

113 (c) It is the intent of the Legislature to encourage

114] parties to enter into voluntary pole attachment agreements, and

115] this subsection may not be construed to prevent parties from

116 voluntarily entering into pole attachment agreements, without

117] commission approval.

118 (d) A party's right to nondiscriminatory access to a pole

119] under this subsection is identical to the rights afforded under

120} 47 U.S.C. s. 224(f) (1). A pole owner may deny access to its

121] poles on a nondiscriminatory basis when there is insufficient

122| capacity, for reasons of safety and reliability, and when

123} required by generally applicable engineering purposes. A pole

124} owner's evaluation of capacity, safety, reliability, and

125} engineering requirements must consider relevant construction and

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126] reliability standards approved by the commission, and may

127} include an evaluation of the financial and performance-related

128] capabilities of the entity requesting attachment.

129 (e) The commission may hear and resolve complaints

130} concerning rates, charges, terms, conditions, voluntary

131] agreements, or any denial of access relative to pole attachments

132] with regard to the types of attachments regulated under 47

133 U.S.C. s. 224, attachments to streetlight fixtures, or

134} attachments owned by a communications services provider. Federal

135} Communications Commission precedent is not binding upon the

136} commission in the exercise of its authority under this

137 subsection.

138 (£) Upon commencement of its authority under this

139] subsection, the commission, upon the request of a party to a

140} complaint proceeding pending before the Federal Communications

141} Commission, shall assume jurisdiction over the matter if it is

142} not yet subject to a final order of the Federal Communications

143} Commission at the time of the request.

144 (q) The commission shall adopt rules by October 1, 2021,

145) to administer and implement this subsection, including one or

146] more appropriate formulae for apportioning costs.

147 (9) (a) The commission shall regulate the safety,

148] vegetation management, repair, replacement, maintenance,

149} relocation, emergency response, and storm restoration

150] requirements for poles, conduits, ducts, pipes, pole

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15 attachments, wires, cables, and related plant and equipment of

152] communication services providers. The commission shall require

153] communications services providers to establish storm reserve

154) funds for the repair and replacement of facilities after natural

155 disasters.

156 (ob) The commission shall adopt rules by October 1, 2021,

157] to administer and implement this subsection, including, but not

158 limited to:

159 1. Mandatory pole inspections, including repair or

160} replacement; vegetation management requirements for poles owned

161] by providers of communications services; the establishment of

162) storm reserve funds; and the sequential and timely removal of

163} pole attachments; and

164 2. Monetary penalties to be imposed upon any communication

165] services provider that fails to comply with any such rule of the

166 commission.

167 Section 3. Section 366.97, Florida Statutes, is created to
168] read:

169 366.97 Redundant poles; transfer of ownership; penalties.—
170 (1) The Legislature finds that:

171 (a) It is in the public interest for public utilities,

172] communications services providers, and cable television

173] operators that own poles to harden their infrastructure to

174] strengthen the ability of their above-ground infrastructure to

175] withstand extreme weather conditions, by and among other things,

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176] replacing older poles with newer, stronger poles; however, this

177| work combined with the undergrounding of electrical facilities

178} may result in redundant poles within public rights-of-way and

179] easements for significant durations because owners of third-

180) party pole attachments may not keep pace in removing their

181 facilities from the old poles.

182 (b) Pole owners that set new poles are prevented from

183) removing redundant poles when the pole attachments of other

184} entities remain on the old poles. Such pole owners continue to

185| incur liability as owners of poles they no longer use or want,

186} but which continue to be used by other entities.

187 (c) Redundant poles in the public rights-of-way and

188] easements are aesthetically unappealing and potentially create

189] over-crowding of, and unsafe conditions in, the public rights-

190] of-way and easements.

191 (d) It is in the public interest to timely and

192] sequentially remove pole attachments from redundant poles and to

193] transfer the ownership of poles from pole owners that are no

194] longer using the poles to entities that continue to attach

195] facilities to the poles.

196 (2) (a) An attaching entity must remove its pole

197] attachments from a redundant pole within 90 calendar days after

198] receipt of written notice from the pole owner requesting such

199} removal. The commission shall provide the form and requirements

200 for such notice.

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201 (bo) If an attaching entity fails to remove a pole

202 attachment pursuant to paragraph (a), except to the extent

203] excused by an event of force majeure or other good cause as

204] determined by the commission, the pole owner or its agent may

205 transfer or relocate the pole attachment to the new pole at the

206] non-compliant attaching entity's expense. This subsection does

207} not apply to an electric utility's pole attachments.

208 (c) If a pole attachment is abandoned or no longer in use

209] by a noncompliant attaching entity, the pole owner or its agent

210] may remove the pole attachment at the noncompliant attaching

211] entity's expense and may sell or dispose of the pole attachment.

212| The noncompliant attaching entity shall indemnify, defend, and

213} hold harmless the pole owner and its directors, officers,

214] agents, and employees from and against all liability, except to

215| the extent of any finding of gross negligence or willful

216} misconduct, including attorney fees and litigation costs,

214 arising in connection with the removal, transfer, sale, or

218] disposal of the pole attachments from a redundant pole by the

219] pole owner.

220 (d) The commission may require by rule that an attaching

221| entity post security instruments in favor of pole owners in

222 amounts reasonably sufficient to cover the cost of the removal,

223| transfer, sale, or disposal of pole attachments.

224 (3) (a) When a pole owner removes and relocates its

225 overhead facilities or converts its overhead facilities to

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226 underground, in lieu of removal, transfer, sale, or disposal of

227| the pole attachments as provided in subsection (2), the pole

228 owner may transfer legal title of the redundant pole to an

229| attaching entity that has not removed a pole attachment within

230] 90 days after receipt of a notice to remove.

23.1 (b) Transfer of title shall occur by operation of law upon

232| the date a written notice of title transfer is sent by the pole

233] owner. The notice of title transfer must include pole

234 identification numbers, if applicable, and must describe with

235| specificity the locations of the pole or poles to be transferred

236] and their corresponding remaining book value.

237 (c) Within 60 days after transferring title, the attaching

238) entity shall remit payment to the transferor pole owner an

239] amount equal to the total of the remaining book value for all

240} poles listed in the notice of title transfer.

241 (d) A transferor pole owner may seek to enforce its rights

242) under this subsection, including its right to payment, in the

243} circuit court in whose jurisdiction the transferred poles are

244 located. The transferor pole owner is entitled to prejudgment

245| interest at the prevailing statutory rate and the prevailing

246] party in any such action is entitled to recover its reasonable

247 attorney fees and court costs.

248 (e) Upon transfer of title, all obligation,

249} responsibility, and liability incumbent upon a pole owner in

250| this state including, but not limited to, safety, vegetation

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251] management, repair, replacement, maintenance, relocation,

252 removal, emergency response, storm restoration, taxes, and

253} third-party liability, shall immediately become the legal

254} obligation, responsibility, and liability of the new pole owner.

255 The transferor pole owner is relieved of all such obligation,

256| responsibility, and liability immediately upon transfer of

257| title.

258 (4) The commission shall impose monetary penalties upon

259) any entity subject to its jurisdiction which is found to be in

260] violation of this section. Upon petition by a pole owner, the

261) commission may issue orders requiring the removal or transfer of

262] pole attachments by noncompliant attaching entities and shall

263} impose monetary penalties in accordance with this section.

264 (5) All monetary penalties assessed by the commission

265] pursuant to this section must be used by the commission to

266] provide grants for the installing and upgrading of broadband

267 infrastructure in unserved and underserved rural and low-income

268 areas of this state. The commission shall establish criteria for

269| the award of grants from the fund to businesses and

270} organizations that have demonstrated the ability to construct

271. and install infrastructure and that have submitted an

272| application and proposal detailing how the grant funds would

273| further the objectives of this subsection to expand broadband

274 services in unserved and underserved areas.

215 (6) This section may not be construed to do any of the

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276 following:

277 (a) Prevent a party at any time from entering into a

278] voluntary agreement authorizing a pole owner to remove an

279} attaching entity's pole attachment. It is the intent of the

280} Legislature to encourage parties to enter into such voluntary

281] agreements without commission approval.

282 (bo) Impair the contract rights of a party to a valid pole

283| attachment agreement in existence before the effective date of

284) this act.
285 (7) The commission shall adopt rules by October 1, 2021,

286} to implement this section, including rules providing for the

287 sequential removal of all pole attachments from redundant poles

288] and establishing monetary penalties to be imposed against any

289) entity in violation of this section.

290 Section 4. The Division of Law Revision is directed to

291 replace the phrase "the effective date of this act" wherever it

292 occurs in this act with the date this act becomes a law.

293 Section 5. This act shall take effect upon becoming a law.

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TOURISM, INFRASTRUCTURE & ENERGY SUBCOMMITTEE

HB 1567 by Rep. DiCeglie
Utility and Communication Service Poles

AMENDMENT SUMMARY
March 16, 2021

Amendment 1 by Rep. DiCeglie (Strike-all amendment):
The strike-all amendment:

e Clarifies that “broadband service providers” are also attaching entities.

e Specifies that the Florida Public Service Commission (PSC) “shall” hear and resolve
complaints concerning pole attachments.

e Requires the PSC to provide certification to the Federal Communications Commission
upon the adoption of certain rules.

e Removes a liability provision for pole owners relating to unused poles.
Increases the amount of time for an attaching entity to remove its pole attachments, from
90 to 180 days.

e Clarifies that certain notices may be sent electronically.

e Provides an exception for certain actions for good cause as determined by the PSC.

e Authorizes the PSC to issue orders involving certain disputes between pole owners and
attaching entities.
Oo YT nD oO FF W NY F

COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 1567 (2021)
Amendment No. 1

COMMITTEE/SUBCOMMITTEE ACTION

ADOPTED __ (Y/N)

ADOPTED AS AMENDED __ (Y/N)

ADOPTED W/O OBJECTION __ (Y/N)

FAILED TO ADOPT __ (Y/N)

WITHDRAWN __ (Y/N)

Committee/Subcommittee hearing bill: Tourism, Infrastructure &

Energy Subcommittee

Representative DiCeglie offered the following:

Amendment (with title amendment)

Remove everything after the enacting clause and insert:

Section 1. Subsection (4) through (9) are added to section
366.02, Florida Statutes, to read:

366.02 Definitions.—As used in this chapter:

(4) "Attaching entity" means a person that is a local

exchange carrier, a public utility, a communications services

provider, a broadband service provider, or a cable television

operator who owns or controls pole attachments.

(5) “Communications services" has the same meaning as in

s. 202.11.

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Amendment No. 1

(6) "Pole" means a pole, duct, conduit, or right-of-way

that is used for wire or wireless communications or electricity

distribution and that is owned in whole or in part by a pole

owner, or a streetlight fixture that is owned in whole or in

part by a public utility.

(7) "Pole attachments" means local exchange carrier,

electric, communications services, broadband, or cable

television facilities attached to a pole by an entity other than

the pole owner.

(8) "Pole owner" means a local exchange carrier, a public

utility, a communications services provider, a cable television

operator, or other public utility which owns a pole used in

whole or in part, for electrical purposes or for any wire or

wireless communications.

(9) "Redundant pole" means a pole owned or controlled by a

pole owner which is:

1. Within 50 feet of a new pole which is intended to

replace the old pole from which some or all of the pole

attachments have not been removed and transferred to the new

pole;

2. Left standing after the pole owner has relocated its

facilities to underground but on which pole attachments of other

attaching entities remain; or

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Bill No. HB 1567 (2021)
Amendment No. 1

3. Left standing after a pole owner's attachments have

been removed from that route or location to accommodate a new

route or design for the delivery of service.

Section 2. Subsections (8) and (9) are added to section
366.04, Florida Statutes, to read:
366.04 Jurisdiction of commission.—

(8) (a) The commission shall regulate and enforce rates,

charges, terms, and conditions for pole attachments in

situations in which a pole owner is unable to reach an agreement

with a party seeking pole attachments, including the types of

attachments regulated under 47 U.S.C. s. 224(a) (4), attachments

to streetlight fixtures, or attachments to poles owned by a

communications services provider, to ensure that such rates,

charges, terms, and conditions are just and reasonable. The

commission's authority under this subsection includes, but is

not limited to, the state regulatory authority referenced in 47

U.S.C. s. 224(c).

(ob) In developing the rules, the commission shall consider

the interests of the subscribers and users of the services

offered through such pole attachments, as well as the interests

of the consumers of any pole owner providing such attachments.

(c) It is the intent of the Legislature to encourage

parties to enter into voluntary pole attachment agreements, and

this subsection may not be construed to prevent parties from

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Bill No. HB 1567 (2021)
Amendment No. 1

voluntarily entering into pole attachment agreements, without

commission approval.

(d) A party's right to nondiscriminatory access to a pole

under this subsection is identical to the rights afforded under

47 U.S.C. s. 224(f) (1). A pole owner may deny access to its

poles on a nondiscriminatory basis when there is insufficient

capacity, for reasons of safety and reliability, and when

required by generally applicable engineering purposes. A pole

owner's evaluation of capacity, safety, reliability, and

engineering requirements must consider relevant construction and

reliability standards approved by the commission, and may

include an evaluation of the financial and performance-related

capabilities of the entity requesting attachment.

(e) The commission shall hear and resolve complaints

concerning rates, charges, terms, conditions, voluntary

agreements, or any denial of access relative to pole attachments

with regard to the types of attachments regulated under 47

U.S.C. s. 224, attachments to streetlight fixtures, or

attachments owned by a communications services provider. Federal

Communications Commission precedent is not binding upon the

commission in the exercise of its authority under this

subsection.

(£) Upon commencement of its authority under this

subsection, the commission, upon the request of a party toa

complaint proceeding pending before the Federal Communications

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Bill No. HB 1567 (2021)
Amendment No. 1

Commission, shall assume jurisdiction over the matter if it is

not yet subject to a final order of the Federal Communications

Commission at the time of the request.

(g) The commission shall adopt rules by October 1, 2021,

to administer and implement this subsection, including one or

more appropriate formulae for apportioning costs, and shall,

upon adoption of such rules, provide its certification to the

Federal Communications Commission pursuant to 47 U.S.C. s.

224(c) (2).

(9) (a) The commission shall regulate the safety,

vegetation management, repair, replacement, maintenance,

relocation, emergency response, and storm restoration

requirements for poles, conduits, ducts, pipes, pole

attachments, wires, cables, and related plant and equipment of

communication services providers. The commission shall require

communications services providers to establish storm reserve

funds for the repair and replacement of facilities after natural

disasters.

(bo) The commission shall adopt rules by October 1, 2021,

to administer and implement this subsection, including, but not

limited to:

1. Mandatory pole inspections, including repair or

replacement; vegetation management requirements for poles owned

by providers of communications services; the establishment of

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Bill No. HB 1567 (2021)
Amendment No. 1

storm reserve funds; and the sequential and timely removal of

pole attachments; and

2. Monetary penalties to be imposed upon any communication

services provider that fails to comply with any such rule of the

commission.

Section 3. Section 366.97, Florida Statutes, is created to
read:

366.97 Redundant poles; transfer of ownership; penalties.—

(1) The Legislature finds that:

(a) It is in the public interest for public utilities,

communications services providers, and cable television

operators that own poles to harden their infrastructure to

strengthen the ability of their above-ground infrastructure to

withstand extreme weather conditions, by and among other things,

replacing older poles with newer, stronger poles; however, this

work combined with the undergrounding of electrical facilities

may result in redundant poles within public rights-of-way and

easements for significant durations because owners of third-

party pole attachments may not keep pace in removing their

facilities from the old poles.

(ob) Pole owners that set new poles are prevented from

removing redundant poles when the pole attachments of other

entities remain on the old poles.

(c) Redundant poles in the public rights-of-way and

easements are aesthetically unappealing and potentially create

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Bill No. HB 1567 (2021)
Amendment No. 1

over-crowding of, and unsafe conditions in, the public rights-—

of-way and easements.

(d) It is in the public interest to timely remove pole

attachments from redundant poles and to transfer the ownership

of poles from pole owners that are no longer using the poles to

entities that continue to attach facilities to the poles.

(2) (a) An attaching entity must remove its pole

attachments from a redundant pole within 180 calendar days after

receipt of electronic or written notice from the pole owner

requesting such removal. The commission shall determine by rule

the sufficiency of, and requirements for, such notice.

(bo) If an attaching entity fails to remove a pole

attachment pursuant to paragraph (a), except to the extent

excused by an event of force majeure or other good cause as

determined by the commission, the pole owner or its agent may

transfer or relocate the pole attachment to the new pole at the

non-compliant attaching entity's expense. This subsection does

not apply to an electric utility's pole attachments. The

noncompliant attaching entity shall indemnify, defend, and hold

harmless the pole owner and its directors, officers, agents and

employees from and against all liability, except to the extent

of any finding of gross negligence or willful misconduct,

including attorneys’ fees and litigation costs, arising in

connection with the transfer of the pole attachment from a

redundant pole to a new pole by the pole owner.

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Bill No. HB 1567 (2021)
Amendment No. 1

(c) If a pole attachment is no longer in use by a

noncompliant attaching entity, the pole owner or its agent may

remove the pole attachment at the noncompliant attaching

entity's expense and may sell or dispose of the pole attachment,

except to the extent the attaching entity’s noncompliance is

excused by an event of force majeure or other good cause as

determined by the commission. The noncompliant attaching entity

shall indemnify, defend, and hold harmless the pole owner and

its directors, officers, agents, and employees from and against

all liability, except to the extent of any finding of gross

negligence or willful misconduct, including attorney fees and

litigation costs, arising in connection with the removal,

transfer, sale, or disposal of the pole attachments from a

redundant pole by the pole owner.

(d) The commission may require by rule that an attaching

entity post security instruments in favor of pole owners in

amounts reasonably sufficient to cover the cost of the removal,

transfer, sale, or disposal of pole attachments.

(3) (a) When a pole owner removes and relocates its

overhead facilities or converts its overhead facilities to

underground, in lieu of removal, transfer, sale, or disposal of

the pole attachments as provided in subsection (2), the pole

owner may transfer legal title of the redundant pole to an

attaching entity that has not removed a pole attachment within

180 calendar days after receipt of a notice to remove, except to

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Bill No. HB 1567 (2021)
Amendment No. 1

the extent excused by an event of force majeure or other good

cause as determined by the commission.

(bo) Transfer of title shall occur by operation of law upon

the date a written notice of title transfer is sent by the pole

owner. The notice of title transfer must include pole

identification numbers, if applicable, and must describe with

specificity the locations of the pole or poles to be transferred

and their corresponding remaining book value.

(c) Within 60 days after transferring title, the attaching

entity shall remit payment to the transferor pole owner an

amount equal to the total of the remaining book value for all

poles listed in the notice of title transfer.

(d) A transferor pole owner may seek to enforce its rights

under this subsection, including its right to payment, in the

circuit court in whose jurisdiction the transferred poles are

located. The transferor pole owner is entitled to prejudgment

interest at the prevailing statutory rate and the prevailing

party in any such action is entitled to recover its reasonable

attorney fees and court costs.

(e) Upon transfer of title, all obligation,

responsibility, and liability incumbent upon a pole owner in

this state including, but not limited to, safety, vegetation

management, repair, replacement, maintenance, relocation,

removal, emergency response, storm restoration, taxes, and

third-party liability, shall immediately become the legal

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Bill No. HB 1567 (2021)
Amendment No. 1

obligation, responsibility, and liability of the new pole owner.

The transferor pole owner is relieved of all such obligation,

responsibility, and liability immediately upon transfer of

title.

(4) The commission shall impose monetary penalties upon

any entity subject to its jurisdiction which is found to be in

violation of this section. Upon petition by a pole owner, the

commission may issue orders requiring the removal or transfer of

pole attachments by noncompliant attaching entities and may

issue orders resolving disputes between pole owners and

attaching entities over the transfer of title of poles or the

amount of remaining book value of transferred poles. The

commission shall impose monetary penalties in accordance with

this section.

(5) All monetary penalties assessed by the commission

pursuant to this section must be used by the commission to

provide grants for the installing and upgrading of broadband

infrastructure in unserved and underserved rural and low-income

areas of this state. The commission shall establish criteria for

the award of grants from the fund to businesses and

organizations that have demonstrated the ability to construct

and install infrastructure and that have submitted an

application and proposal detailing how the grant funds would

further the objectives of this subsection to expand broadband

services in unserved and underserved areas.

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Amendment No. 1

(6) This section may not be construed to do any of the

following:

(a) Prevent a party at any time from entering into a

voluntary agreement authorizing a pole owner to remove an

attaching entity's pole attachment. It is the intent of the

Legislature to encourage parties to enter into such voluntary

agreements without commission approval.

(bo) Impair the contract rights of a party to a valid pole

attachment agreement in existence before the effective date of

this act.

(7) The commission shall adopt rules by October 1, 2021,

to implement this section, including rules providing for the

timely and coordinated removal of all pole attachments from

redundant poles and establishing monetary penalties to be

imposed against any entity in violation of this section.

Section 4. The Division of Law Revision is directed to

replace the phrase "the effective date of this act" wherever it

occurs in this act with the date this act becomes a law.

Section 5. This act shall take effect upon becoming a law.

TITLE AMENDMENT
Remove everything before the enacting clause and insert:
An act relating to utility and communication service poles;

amending s. 366.02, F.S.; defining terms; amending s. 366.04,

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COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 1567 (2021)
Amendment No. 1

F.S.; requiring the Public Service Commission to regulate and
enforce rates, charges, terms, and conditions for pole
attachments under certain circumstances; providing requirements
for such rules; providing construction; providing situations
under which a pole owner may deny access to the owner's pole on
a nondiscriminatory basis; requiring the commission to hear and
resolve complaints concerning rates, charges, terms, conditions,
voluntary agreements, and denial of access relative to pole
attachments; requiring the commission, at the request of a
party, to assume jurisdiction over certain complaints before the
Federal Communications Commission; requiring the commission to
adopt rules by a specified date; requiring the commission to
regulate the safety, vegetation management, repair, replacement,
maintenance, relocation, emergency response, and storm
restoration requirements for certain plants and equipment of
communications services providers; requiring the commission to
adopt rules, including monetary penalties, by a specified date;
creating s. 366.97, F.S.; providing legislative findings;
requiring attaching entities to remove pole attachments from
redundant poles within a specified timeframe after receipt of an
electronic or written notice from the pole owner; requiring the
commission to determine by rule the sufficiency of, and
requirements for, such notice; authorizing a pole owner or its
agent to transfer or relocate pole attachments of an attaching

entity at the entity's expense under certain circumstances;

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COMMITTEE/SUBCOMMITTEE AMENDMENT

Bill No. HB 1567 (2021)
Amendment No. 1

288| providing an exception; authorizing a pole owner to remove and
289 sell or dispose of certain pole attachments; requiring that the
290 pole owner and its directors, officers, agents, and employees be
291) held harmless under certain circumstances for such actions;

292 authorizing the commission to require attaching entities to post
293 certain security instruments by rule; authorizing certain pole
294 owners to transfer legal title of a redundant pole to an

295 attaching entity that has not removed a pole attachment within a
296 specified timeframe; providing for such transfer of title;

297 providing for the transfer of obligation, responsibility, and
298 liability of a pole to the new owner upon such a transfer of

299) title; requiring the commission to impose monetary penalties for
300 violations; requiring the commission to provide grants to

301 install and upgrade broadband infrastructure in this state from
302 any monetary penalty collected; providing construction;

303 requiring the commission to adopt rules by a specified date;

304] providing a directive to the Division of Law Revision; providing

305 an effective date.

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