Post Meeting Packet — Florida Senate Committee on Commerce and Tourism (December 5, 2023)
Summary
This is a post meeting packet for the Florida Senate Committee on Commerce and Tourism meeting on Tuesday, December 5, 2023, from 2:00 to 4:00 p.m., with Senator Trumbull as Chair. The expanded agenda lists SB 106 Acceptance of Cash Payments by Businesses, SB 196 Regional Rural Development Grants Program, SB 204 Competition for the Sale of Event Tickets, SB 304 Household Moving Services and SM 370 Spaceports. SB 106, SB 196, SB 304 and SM 370 are marked Favorable, Yeas 6 Nays 0, while SB 204 is marked Temporarily Postponed. The packet includes the bill analysis of SB 106, which states that the bill requires certain businesses to accept an offer of payment in cash.
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
“Post Meeting Packet — Florida Senate Committee on Commerce and Tourism (December 5, 2023).”
Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-12-05-post-meeting-packet-7880-b0680581cd/
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12/05/2023 - Commerce and Tourism (2:00 PM - 4:00 PM) 2024 Regular Session
Customized 12/06/2023 3:19 PM
Agenda Order
Tab 1 SB 106 by Jones; (Identical to H 00035) Acceptance of Cash Payments by Businesses
Tab 2 SB 196 by Simon; (Identical to H 00141) Regional Rural Development Grants Program
SB 204 by Brodeur (CO-INTRODUCERS) Hooper; (Identical to H 00177) Competition for the Sale of Event
Tab 3
Tickets
173084 D S TP CM, Brodeur Delete everything after 12/06 02:11 PM
361308 AA S WD CM, Rodriguez Delete L.14 - 15: 12/06 02:11 PM
Tab 4 SB 304 by Hooper; (Similar to H 00367) Household Moving Services
Tab 5 SM 370 by Wright; (Identical to H 00143) Spaceports
Page 1 of 1
2024 Regular Session The Florida Senate
COMMITTEE MEETING EXPANDED AGENDA
COMMERCE AND TOURISM
Senator Trumbull, Chair
Senator Wright, Vice Chair
MEETING DATE: Tuesday, December 5, 2023
TIME: 2:00—4:00 p.m.
PLACE: Toni Jennings Committee Room, 110 Senate Building
MEMBERS: Senator Trumbull, Chair; Senator Wright, Vice Chair; Senators Gruters, Rodriguez, Stewart, and
Torres
BILL DESCRIPTION and
TAB BILL NO. and INTRODUCER SENATE COMMITTEE ACTIONS COMMITTEE ACTION
1 SB 106 Acceptance of Cash Payments by Businesses; Favorable
Jones Requiring certain businesses to accept cash Yeas 6 Nays 0
(Identical H 35) payments for certain transactions; prohibiting such
businesses from charging a fee or placing conditions
on acceptance of such cash payments; providing
penalties for violations of the act, etc.
CM 12/05/2023 Favorable
AEG
FP
2 SB 196 Regional Rural Development Grants Program; Favorable
Simon Deleting the requirement that certain grants received Yeas 6 Nays 0
(Identical H 141) by a regional economic development organization
must be matched in a certain manner; removing a
provision requiring a certain consideration; removing
certain demonstration requirements of program
applicants, etc.
CM 12/05/2023 Favorable
ATD
FP
3 SB 204 Competition for the Sale of Event Tickets; Prohibiting Temporarily Postponed
Brodeur live performance venues from entering into specified
(Identical H 177) contracts and covenants for the sale of tickets and
licenses or from requiring artists to distribute tickets
through specific ticket platforms; requiring live
performance venues to allow artists to distribute
tickets through the ticket platforms of the performance
artists’ choice, subject to certain conditions;
prohibiting a live performance venue from selling or
transferring tickets and licenses at more than face
value, etc.
CM 12/05/2023 Temporarily Postponed
JU
RC
S-036 (10/2008)
12052023.1558 Page 1 of 2
COMMITTEE MEETING EXPANDED AGENDA
Commerce and Tourism
Tuesday, December 5, 2023, 2:00—4:00 p.m.
BILL DESCRIPTION and
TAB BILL NO. and INTRODUCER SENATE COMMITTEE ACTIONS COMMITTEE ACTION
4 SB 304 Household Moving Services; Revising requirements Favorable
Hooper for mover and moving broker estimates, contracts, Yeas 6 Nays 0
(Similar H 367) and advertisements; prohibiting certain persons from
operating as or holding themselves out to be a mover
or moving broker without first registering with the
department; revising alternative insurance coverage
requirements for movers; requiring moving brokers to
make a specified disclosure to shippers before
providing any services, etc.
CM 12/05/2023 Favorable
AEG
FP
5 SM 370 Spaceports; Urging Congress to add spaceports as a Favorable
Wright qualified tax-exempt category of private activity Yeas 6 Nays 0
(Identical HM 143) bonds, etc.
CM 12/05/2023 Favorable
RC
Other Related Meeting Documents
S-036 (10/2008)
12052023.1558 Page 2 of 2
The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Commerce and Tourism
BILL: SB 106
INTRODUCER: Senator Jones
SUBJECT: Acceptance of Cash Payments by Businesses
DATE: December 4, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Baird McKay CM Favorable
2. AEG
3. FP
I. Summary:
SB 106 requires certain businesses to accept an offer of payment in cash, defined as the coin and
currency of the United States. The bill also prohibits businesses from charging a fee or placing a
condition on its acceptance of cash, and gives rulemaking and enforcement authority to the
Department of Agriculture and Consumer Services (DACS). Violations of the bill will be subject
to civil fines.
II. Present Situation:
There is no federal law that requires a private business to accept cash payments. States are within
their rights to create laws regulating how businesses accept or reject payments.1
Currently, Florida has no law dictating whether a business must accept a cash payment or not.
Some businesses in the state do not offer consumers the option of paying cash for transactions
involving the purchase of goods and services.
With 85 percent of Americans having a smartphone, more purchases get made digitally than ever
before.2 Exacerbating the situation, the Covid-19 pandemic forced many businesses around the
country to alter their business models to facilitate contactless purchases, where customers could
order goods online and then have them picked up or delivered. This has all contributed to a
decline in the use of cash.
1
Board of Governors, Federal Reserve System, Is It Legal for a Business in the United States to Refuse Cash as a Form of
Payment?, Fed. Reserve.gov, available at https://www.federalreserve.gov/faqs/currency_12772.htm, (last visited December
4, 2023).
2
Pew Research Center, 2022: Internet, smartphone and social media use, (December 6, 2022), available at
https://www.pewresearch.org/global/2022/12/06/internet-smartphone-and-social-media-use-in-advanced-economies-2022/
(last visited December 4, 2023).
BILL: SB 106 Page 2
Payment Instruments
Technology has allowed for consumers to make purchases with a variety of different payment
instruments. Mobile wallets, which include credit or debit cards that are used through a
smartphone, are projected to be used by 60 percent of the world’s population by 2025.3
Recently, the Federal Reserve conducted a study that found credit card usage was the highest it
has ever been.4 Below is a table representing the percentage share of the various payment
instruments used in 2022. 5
Share of Payment Instrument Use for all Payments in 2022
Cash Credit Card Debit Card ACH Mobile Payment App Other
18% 31% 29% 13% <1% 9%
However, the Bureau of Consumer Financial Protection estimated that 20 to 30 percent of adults
in the United States do not have a credit card.6 Adults without credit cards mostly rely on cash
and debit cards. Consumers that do not have a bank account are more likely to use cash than
consumers that do have a bank account.7
Other States
Within the last five years, there has been a trend of states passing legislation that requires
businesses to accept cash payments. States that have passed similar acceptance of cash payments
legislation include: Arizona, Colorado, Connecticut, Delaware, Idaho, Maine, Massachusetts,
Michigan, New Jersey, New York, North Dakota, Oklahoma, Pennsylvania, Rhode Island and
Tennessee.
The language in these states laws varies, but they share the basic principal that most retail stores
are required to accept cash as a form of payment. The states vary in penalties for violating. For
instance in Massachusetts, violators of the statute may be fined or even imprisoned up to six
months.8
3
Juniper Research, Boku, Study: More than half of the world’s population will use mobile wallets by 2025, (July 8, 2021),
available at https://www.globenewswire.com/en/news-release/2021/07/08/2259605/0/en/Study-More-than-half-of-the-world-
s-population-will-use-mobile-wallets-by-2025.html, (last visited December 4, 2023).
4
Cubides, Emily, and Shaun O’Brien. 2023 Findings from the Diary of Consumer Payment Choice, (May 5, 2023), available
at https://www.frbsf.org/cash/wp-content/uploads/sites/7/2023-Findings-from-the-Diary-of-Consumer-Payment-Choice.pdf
(last visited December 4, 2023).
5
Id. at 6.
6
This estimate is according to coverage of credit records present in the CCP sample, though this does not include authorized
users, who are individuals designated by the primary account holder to use the same credit account. A recent report from the
Federal Reserve finds 83 percent of consumers report having at least one credit card. See Bd. of Governors of Fed. Rsrv.
Sys., Report on the Economic Well-Being of U.S. Households in 2020, at 42 (May 2021), available at
https://www.federalreserve.gov/publications/2021-economic-well-being-of-us-households-in-2020-banking-and-credit.htm,
(last visited December 4, 2023).
7
Consumers that do not have bank accounts made 66 percent of all payments with cash in 2022. See, note 5 supra.
8
Mass. Gen. Laws Ann. Ch. 255D, § 30
BILL: SB 106 Page 3
The Department of Agriculture and Consumer Services
The DACS is charged with protecting consumers from unsafe or defective products and
deceptive business practices. The Division of Consumer Services (division) within the DACS
regulates specific business activities, including commercial weight loss practices, telephone
solicitations, dance studios, pawnshops, health studios, sellers of travel, and telemarketers. The
division is also responsible for protecting consumers from unfair and unsafe business practices
involving products, including petroleum products, brake fluid, antifreeze, lubricating oil, and
weighing and measuring devices.
The Office of Agricultural Law Enforcement (OALE) enforces laws governing businesses
regulated by the DACS. The OALE protects consumers from unfair and deceptive trade
practices, protects Florida’s agriculture industry from theft and other crimes, and safeguards the
wholesomeness of food and other consumer products.9 The OALE currently partners with
federal, state and local law enforcement agencies.10
III. Effect of Proposed Changes:
SB 106 requires that a business that operates at a fixed permanent physical premises from a
vehicle or other mobile space; or from a temporary physical premise; must accept an offer of
payment in cash, defined as legal tender of the United States in the form of coins or currency,
under the following conditions:
The purchase is for a tangible good or service;
The business would accept one or more other forms of payment;
The customer seeking to engage in the transaction is physically present at the place of
business.
The bill will also prohibit a business from charging a fee or placing any other condition on its
acceptance of a cash payment.
The requirement that cash must be accepted as a form of payment does not apply in the
following circumstances:
The sale is not conducted in person;
The business is a parking facility that is owned by a municipality, regardless of who operates
the facility, or if the parking facility accepts electronic funds transfers;
The business provides services by accountants, architects, attorneys, engineers, financial
advisors, insurance agents, interior designers, software developers, or management and other,
consultants, not including services provided by licensed medical or allied health care
practitioners;
The business suspects the use of counterfeit cash;
Bills over $20;
Single transactions above $5,000.
9
Florida Department of Agriculture and Consumer Services, Office of Agricultural Law Enforcement, available at
https://www.fdacs.gov/Divisions-Offices/Agricultural-Law-Enforcement, (last visited December 4, 2023).
10
Id.
BILL: SB 106 Page 4
A business that violates the requirement is subject to a civil penalty up to $2,500 for the first
offense, up to $5,000 for a second offense, and up to $10,000 for a third or subsequent offense.
These violations are to be levied by the DACS based upon rules that the DACS must implement.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
None.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
Indeterminate. Businesses that have transitioned to cashless operations may incur costs
associated with the handling and security of cash.
C. Government Sector Impact:
The DACS has estimated a non-recurring cost of $121,967 to implement enforcement
mechanisms and a recurring cost of $435,146 annually.
VI. Technical Deficiencies:
None.
BILL: SB 106 Page 5
VII. Related Issues:
The bill does not clearly define what a “tangible good” or “service” is. Businesses and the DACS
may need further clarity to determine if a business is required to accept the payment of cash for
certain purchases.
VIII. Statutes Affected:
This bill creates section 559.96 of the Florida Statutes.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
Florida Senate - 2024 SB 106 Florida Senate - 2024 SB 106
By Senator Jones
34-00207-24 2024106__ 34-00207-24 2024106__
1 A bill to be entitled 30 customer seeking to engage in such transaction is physically
2 An act relating to acceptance of cash payments by 31 present at the place of business.
3 businesses; creating s. 559.96, F.S.; defining terms; 32 (b) A business may not charge a fee or place any other
4 requiring certain businesses to accept cash payments 33 condition on its acceptance of cash as required by paragraph
5 for certain transactions; prohibiting such businesses 34 (a).
6 from charging a fee or placing conditions on 35 (3) This section does not apply to:
7 acceptance of such cash payments; providing 36 (a) Sales that are not conducted in person, including
8 applicability; providing penalties for violations of 37 telephone, mail, and Internet-based or other electronic
9 the act; requiring the Department of Agriculture and 38 transactions.
10 Consumer Services to adopt certain rules; providing an 39 (b) A parking facility owned by a municipality, regardless
11 effective date. 40 of who operates the facility.
12 41 (c) A parking facility that accepts electronic funds
13 Be It Enacted by the Legislature of the State of Florida: 42 transfers.
14 43 (d) A business providing services by accountants,
15 Section 1. Section 559.96, Florida Statutes, is created to 44 architects, attorneys, engineers, financial advisers, insurance
16 read: 45 agents, interior designers, software developers, or management
17 559.96 Acceptance of cash payments by businesses.— 46 and other consultants, not including services provided by
18 (1) As used in this section, the term: 47 licensed medical or allied health care practitioners.
19 (a) “Business” means any business operating at a fixed, 48 (e) Sales in which the business suspects the use of
20 permanent physical premises; from a vehicle or other mobile 49 counterfeit cash.
21 space; or from a temporary physical premises. 50 (f) The use of cash denominations larger than $20 by a
22 (b) “Cash” means legal tender of the United States in the 51 customer.
23 form of coins or currency. 52 (g) Single transactions above $5,000.
24 (c) “Department” means the Department of Agriculture and 53 (4) A business that violates this section is subject to a
25 Consumer Services. 54 civil penalty of up to $2,500 for a first offense, up to $5,000
26 (2)(a) A business must accept an offer of payment in cash 55 for a second offense, and up to $10,000 for a third or
27 for any transaction involving the purchase of any tangible good 56 subsequent offense, to be assessed by the department.
28 or any service if, in connection with such transaction, the 57 (5) The department shall adopt rules necessary to implement
29 business would accept one or more other forms of payment and the 58 this section.
Page 1 of 3 Page 2 of 3
CODING: Words stricken are deletions; words underlined are additions. CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2024 SB 106
34-00207-24 2024106__
59 Section 2. This act shall take effect July 1, 2024.
Page 3 of 3
CODING: Words stricken are deletions; words underlined are additions.
The Florida Senate
APPEARANCE RECORD
ng Date Bill Number orTopic
Deliver both copies of this form to
Senate professional staff conducting the meeting
Amendment Barcode (if applicable)
Name
(1
otjtno.r \^s0,,.\[ U Phone
112-
t., t
Address 5 Manro<
lrnr
Street
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Tall1tvts\2-4, f-L 92el
oty State Zip
Speaking: ! ror ! Against I lnformation OR WaiveSpeaking: ln Support ! Against
PLEASE CHECK ONE OFTHE FOLLOWING:
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lam appearing without
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sponsored by:
I
This form is part of the public record for this meeting. s-001 (o8/'to/2o21)
DTIPLICATE
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Meeting Date
73
The Florida Senate
APPEARANCE RECORD
Deliver both copies of this form to
lo (,
Bill Number orTopic
Senate professional staff conducting the meeting
Committee Amendment Barcode (if applicable)
Jess M. McCarty, Executive Assistant County Attorney Phone 305-979 -7110
Name
jmm2@miamidade.gov
Address 111 N.W. 1st Street Suite 2800 Email
Street
Miami FL 33128
City Stote Zip
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PLEASE CHECK ONE OF THE FOLLOWING:
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w I am a registered lobbyist,
representing:
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for
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(travel, mealt lodging, etc.),
Miami-Dade County sponsored by:
This form is part of the public record for this meeting. 5-001 (08/10/2021)
The Florida Senate
lL 5 23 APPEARANCE RECORD l0b
Date Bill Number orTopic
Deliver both copies of this form to
Senate professional staff conducting the meeting
Committee Amendment Barcode (if applicable)
Name
6J Phone ?so z4st 21-7
Address 2L1 g, ftAa-*+ S, Email
Street
*foJl"furt\sae %- 32301
City State Zip
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PLEASE CHECK ONE OF THE FOLLOWING:
lam appearing without |
\,{ lam a registered lobbyist, I am not a lobbyist, but received
compensation or sponsorship. -'Q-t*'\ Fd e'a-h' o^
representlng: something of value for my appearance
f ;U \
(travel, meals, lodging, etc.),
sponsored by:
This form is part of the public record for this meeting. s-001 (08/10/2021)
The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Commerce and Tourism
BILL: SB 196
INTRODUCER: Senator Simon
SUBJECT: Regional Rural Development Grants Program
DATE: December 4, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Renner McKay CM Favorable
2. ATD
3. FP
I. Summary:
SB 196 amends the Regional Rural Development Grants Program to:
Eliminate the rural matching requirement;
Eliminate the requirement that grant funds received by a regional economic development
organization must be matched each year by nonstate resources in an amount equal to 25
percent of the state contributions;
Remove the requirement that the Department of Commerce (DOC) consider the
demonstrated need of the applicant for assistance when approving participants for the
program; and
Remove the requirement that an applicant must show proof that each local government and
the private sector made a financial or in-kind commitment to the regional organization in
order to receive funding.
The bill takes effect July 1, 2024.
II. Present Situation:
Regional Rural Development Grants Program
The Regional Rural Development Grants Program was established to provide funding, through
matching grants, to build the professional capacity of regionally based economic development
organizations located in rural communities. The concept of building the “professional capacity”
of an economic development organization includes hiring professional staff to develop, deliver,
and provide economic development professional services. Professional services includes
technical assistance, education and leadership development, marketing, and project recruitment. 1
1
Section 288.018(1)(b), F.S.
BILL: SB 196 Page 2
Applications submitted to the Department of Commerce (DOC) for funding through this program
must provide proof:2
Of official commitments of support from each of the units of local government represented
by the regional organization;
That each local government has made a financial or in-kind commitments to the regional
organization;
That the private sector has made financial or in-kind commitment to the regional
organization;
That the regional organization is in existence and actively involved in economic development
activities serving the region; and
Of the manner in which the organization coordinates its efforts with those other local and
state organizations.
An organization may receive up to $50,000 a year or $250,000 if located in a rural area of
opportunity (RAO).3 Grants must be matched by an amount of non-state resources equal to 25
percent of the state contribution. The DOC is authorized to spend up to $750,000 each fiscal year
from funds appropriated to the Rural Community Development Revolving Loan Fund to carry
out this program.4
Rural Area of Opportunity
An RAO is a rural community,5 or region comprised of rural communities, designated by the
Governor, that has been adversely affected by an extraordinary economic event, severe or
chronic distress, or a natural disaster.6 An area may also be designated as an RAO if it presents a
unique economic development opportunity of regional impact. The designation of an RAO must
be agreed upon by the DOC, as well as the county and municipal governments to be included in
the RAO.7
Based on recommendations of the Rural Economic Development Initiative (REDI),8 the
Governor may designate up to three RAOs by executive order.9 This designation establishes
these areas as priority assignments for REDI and allows the Governor, acting through REDI, to
waive criteria, requirements, or similar provisions of any economic development initiative.
Currently, there are three designated RAO areas:
2
Section 288.018(2), F.S.
3
Section 288.018(1)(c), F.S.
4
Section 288.018(4), F.S.
5
Section 288.0656(2)(e), F.S., defines a “rural community” as is any county with a population of 75,000 or fewer, any county
with a population of 125,000 or fewer that is contiguous to a county with a population of 75,000 or fewer, a municipality in a
county that meets either of the aforementioned criteria, or an unincorporated federal enterprise community or an incorporated
rural city with a population of 25,000 or fewer and an employment base focused on traditional agricultural or resource-based
industries, located in a county not defined as rural, which has at least three or more of the economic distress factors.
6
Section 288.0656(2)(d), F.S.
7
Section 288.0656(7)(b), F.S.
8
Section 288.0656(1)(a), F.S. REDI was established by the Legislature to encourage and facilitate the location and expansion
of major economic development projects of significant scale in rural communities.
9
Section 288.0656(7)(a), F.S.
BILL: SB 196 Page 3
Northwest RAO: Calhoun, Franklin, Gadsden, Gulf, Holmes, Jackson, Liberty, Wakulla,
and Washington counties, and portions of Walton County (the City of Freeport and lands
north of the Choctawhatchee Bay and intercoastal waterway).
South Central RAO: DeSoto, Glades, Hardee, Hendry, Highlands, and Okeechobee
counties, and the cities of Pahokee, Belle Glade, and South Bay in Palm Beach County
and the city of Immokalee in Collier County.
North Central RAO: Baker, Bradford, Columbia, Dixie, Gilchrist, Hamilton, Jefferson,
Lafayette, Levy, Madison, Putnam, Suwannee, Taylor, and Union counties.10
III. Effect of Proposed Changes:
The bill amends s. 288.018, F.S., to specify that funding provided under the Regional Rural
Development Grants Program are not matching grants. The bill eliminates the requirement that
grant funds received by a regional economic development organization must be matched each
year by nonstate resources in an amount equal to 25 percent of the state contributions. The bill
also removes the requirement that the DOC consider the demonstrated need of the applicant for
assistance when approving participants for the program. Lastly, the bill removes the requirement
that an applicant must show proof that each local government and the private sector made a
financial or in-kind commitment to the regional organization in order to receive funding.
The bill takes effect July 1, 2024.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
None.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None identified.
10
Department of Economic Opportunity, Rural Areas of Opportunity, available at https://floridajobs.org/community-
planning-and-development/rural-community-programs/rural-areas-of-opportunity (last visited November 15, 2023). The
economic development organizations for these RAOs are named Opportunity Florida, Florida’s Heartland Regional
Economic Development Initiative, and the North Florida Economic Development Partnership, respectively.
BILL: SB 196 Page 4
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
None.
C. Government Sector Impact:
The bill does not affect state revenues or expenditures.
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
VIII. Statutes Affected:
This bill substantially amends section 288.018 of the Florida Statutes.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
Florida Senate - 2024 SB 196 Florida Senate - 2024 SB 196
By Senator Simon
3-00486-24 2024196__ 3-00486-24 2024196__
1 A bill to be entitled 30 businesses.
2 An act relating to the Regional Rural Development 31 (c) A regional economic development organization may apply
3 Grants Program; amending s. 288.018, F.S.; deleting 32 annually to the department for a matching grant. The department
4 the requirement that certain grants received by a 33 is authorized to approve, on an annual basis, grants to such
5 regional economic development organization must be 34 regional economic development organizations. The maximum amount
6 matched in a certain manner; removing a provision 35 an organization may receive in any year will be $50,000, or
7 requiring a certain consideration; removing certain 36 $250,000 for any three regional economic development
8 demonstration requirements of program applicants; 37 organizations that serve an entire region of a rural area of
9 providing an effective date. 38 opportunity designated pursuant to s. 288.0656(7) if they are
10 39 recognized by the department as serving such a region.
11 Be It Enacted by the Legislature of the State of Florida: 40 (d) Grant funds received by a regional economic development
12 41 organization must be matched each year by nonstate resources in
13 Section 1. Paragraphs (b), (c), and (d) of subsection (1) 42 an amount equal to 25 percent of the state contribution.
14 and subsection (2) of section 288.018, Florida Statutes, are 43 (2) In approving the participants, the department shall
15 amended to read: 44 consider the demonstrated need of the applicant for assistance
16 288.018 Regional Rural Development Grants Program.— 45 and require the following:
17 (1) 46 (a) Documentation of official commitments of support from
18 (b) The department shall establish a matching grant program 47 each of the units of local government represented by the
19 to provide funding to regional economic development 48 regional organization.
20 organizations for the purpose of building the professional 49 (b) Demonstration that each unit of local government has
21 capacity of those organizations. Building the professional 50 made a financial or in-kind commitment to the regional
22 capacity of a regional economic development organization 51 organization.
23 includes hiring professional staff to develop, deliver, and 52 (c) Demonstration that the private sector has made
24 provide needed economic development professional services, 53 financial or in-kind commitments to the regional organization.
25 including technical assistance, education and leadership 54 (b)(d) Demonstration that the organization is in existence
26 development, marketing, and project recruitment. Matching Grants 55 and actively involved in economic development activities serving
27 may also be used by a regional economic development organization 56 the region.
28 to provide technical assistance to local governments, local 57 (c)(e) Demonstration of the manner in which the
29 economic development organizations, and existing and prospective 58 organization is or will coordinate its efforts with those of
Page 1 of 3 Page 2 of 3
CODING: Words stricken are deletions; words underlined are additions. CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2024 SB 196
3-00486-24 2024196__
59 other local and state organizations.
60 Section 2. This act shall take effect July 1, 2024.
Page 3 of 3
CODING: Words stricken are deletions; words underlined are additions.
The Florida Senate
! Meeting Date
APPEARANCE RECORD sB tQtt Bill Number orTopic
SL aMIhe ((-e +-fo ur't,rrn
Committee
Deliver both copies of this form to
Senate professional staff conducting the meeting
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( F Phone
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Speaking: ! ror I Against ! lnformation OR Waive Speaking: ln Support ! Against
PLEASE CHECK ONE OF THE FOLLOWING:
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This form is part of the public record for this meeting. s-001 (08/10/2021)
The Florida Senate
12t5t23 APPEARANCE RECORD sB 0196
Meeting Date Bill Number orTopic
Deliver both copies of this form to
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Committee Amendment Barcode (if applicable)
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Street
Tallahassee
City St0te Zip
speaking: [, ror fi ngainst ffi lnformation OR waivespeakrng, ffi tn support ffi Rgainst
PLEASE CHECK ONE OFTHE FOLLOWING:
lam appearing without
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' representrng: tn I am not a lobbyist, but received
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ftot,Dn /.rne, 6artattrc sponsored by:
T)suzuo?nepf lsorr*nonl
This form is part of the public record for this meeting. s-001 (o8/10/2021)
The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Commerce and Tourism
BILL: SB 204
INTRODUCER: Senators Brodeur and Hooper
SUBJECT: Competition for the Sale of Event Tickets
DATE: December 4, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. McMillan McKay CM Pre-meeting
2. JU
3. RC
I. Summary:
SB 204 prohibits live performance venues from entering into a sole-source contract or a covenant
not to compete with a ticket-selling platform to sell or distribute tickets and licenses to events
located at the live performance venue. Additionally, live performance venues must allow
performance artists to market, sell, or distribute tickets to their performances at the venue
through a ticket platform of their choice.
The bill prohibits a live performance venue from distributing, selling, or transferring any tickets
or licenses for compensation at an amount greater than the amount stated as the listed value of
that ticket or license.
The bill defines the term “live performance venue” as a stadium, a convention center, an
exhibition hall, an arena, a coliseum, or an auditorium that has accepted within the previous 10
years any federal, state, or local taxpayer funds for capital improvements or operational
expenses, including but not limited to, funds collected pursuant to a convention development tax
under s. 212.0305, F.S., and grants awarded under ch. 288, F.S.
The bill takes effect July 1, 2024.
BILL: SB 204 Page 2
II. Present Situation:
Local Option Taxes
Local governments in Florida are authorized to impose certain types of local option taxes.1 The
Department of Revenue (DOR) or the local government is responsible for administering the tax.2
When the DOR administers the tax, its responsibilities include collecting the tax and distributing
the funds to local governments to spend on locally authorized projects.3
Convention Development Taxes
Duval, Miami-Dade, and Volusia Counties are authorized to levy convention development taxes
on transient rental transactions.4 The revenues of convention development taxes may generally
be used for capital construction of convention centers and other facilities related to tourism and
tourist promotion.5 However, the authorized uses vary according to each particular levy.6 The
five available levies that may apply are:
Consolidated government levy for convention development;7
Charter county levy for convention development;8
Special district levy for convention development;9
Special levy for convention development;10 and
1
Department of Revenue, Local Option Taxes, available at
https://floridarevenue.com/taxes/taxesfees/Pages/local_option.aspx#:~:text=Florida%20Statutes%20(F.S.)-
,Consolidated%20County%20Convention%20Development%20Tax,charged%20for%20transient%20rental%20transactions
(last visited Dec. 4, 2023).
2
Id.
3
Id.
4
Department of Revenue, Local Option Taxes: Convention Development Taxes, available at
https://floridarevenue.com/taxes/taxesfees/Pages/local_option.aspx#:~:text=Florida%20Statutes%20(F.S.)-
,Consolidated%20County%20Convention%20Development%20Tax,charged%20for%20transient%20rental%20transactions
(last visited Dec. 4, 2023). See also s. 212.0305, F.S.
5
Id.
6
Id.
7
Each county that operates under a government consolidated with that of one or more municipalities in the county may
impose, pursuant to an ordinance enacted by the governing body of the county, a levy on the exercise within its boundaries of
the taxable privilege of leasing or letting transient rental accommodations described in s. 212.0305(3), F.S., at the rate of 2
percent of each dollar and major fraction of each dollar of the total consideration charged therefor. See s. 212.0305(4)(a), F.S.
8
Each county, as defined in s. 125.011(1), F.S., may impose, under an ordinance enacted by the governing body of the
county, a levy on the exercise within its boundaries of the taxable privilege of leasing or letting transient rental
accommodations described in s. 212.0305(3), F.S., at the rate of 3 percent of the total consideration charged therefor. See s.
212.0305(4)(b), F.S. Section 125.011(1), F.S., defines “county” as any county operating under a home rule charter adopted
pursuant to ss. 10, 11, and 24, Art. VIII of the State Constitution of 1885, as preserved by Art. VIII, s. 6(e) of the State
Constitution, which county, by resolution of its board of county commissioners, elects to exercise the powers herein
conferred. Use of the word “county” within the above provisions shall include “board of county commissioners” of such
county.
9
Each county which was chartered under Art. VIII of the State Constitution and which on January 1, 1984, levied a tourist
advertising ad valorem tax within a special taxing district in that county may impose, pursuant to an ordinance enacted by the
governing body of the county, a levy within the boundaries of such special taxing district on the exercise of the taxable
privilege of leasing or letting transient rental accommodations described in s. 212.0305(3), F.S., at a rate of up to 3 percent of
each dollar and major fraction of each dollar of the total consideration charged therefor. See s. 212.0305(4)(c), F.S.
10
Each county which was chartered under Art. VIII of the State Constitution and which on January 1, 1984, levied a tourist
advertising ad valorem tax within a special taxing district in that county may impose, pursuant to an ordinance enacted by the
governing body of the county, a levy outside the boundaries of such special taxing district and to the southeast of State Road
BILL: SB 204 Page 3
Subcounty levy for convention development.11
Economic Development Programs
Florida’s economic development programs are used to help promote a diverse and resilient
economy.12 Each program is designed to serve a different role, and there is an emphasis on
attracting businesses and retaining jobs.13 The programs come in various forms such as tax
refunds, tax credits, tax exemptions, and grants.14 An analysis of a project’s needs, as well as
eligibility requirements of various programs help determine which programs may be a good fit
for each project.15 Below is a chart that provides an overview of the different types of economic
development programs, the claims process, and revenue sources.16
Program Description Overview of Claims Revenue Source
Process
Tax Refunds Refund of taxes paid (1) Business pays taxes Annual appropriation
(2) State verifies job
creation, wages, and tax
payments
(3) State issues refund
to eligible business
Tax Credits Credit against taxes (1) State verifies jobs Foregone revenue
owed and capital investment
(as applicable)
(2) Eligible business
claims credits on state
taxes after meeting
program requirements
Tax Exemptions Exemption from taxes (1) DOR issues tax Foregone revenue
owed exemption permit to
business for approved
tax-exempt purchases
(2) Business uses
permit to make eligible
tax-exempt purchases
415, on the exercise of the taxable privilege of leasing or letting transient rental accommodations described in s. 212.0305(3),
F.S., at a rate of up to 3 percent of each dollar and major fraction of each dollar of the total consideration charged therefor.
See 212.0305(4)(d), F.S.
11
Each county which was chartered under Art. VIII of the State Constitution and which on January 1, 1984, levied a tourist
advertising ad valorem tax within a special taxing district in that county may impose, pursuant to an ordinance enacted by the
governing body of the county, a levy outside the boundaries of such special taxing district and to the northwest of State Road
415, on the exercise of the taxable privilege of leasing or letting transient rental accommodations described in s. 212.0305(3),
F.S., at a rate of up to 3 percent of each dollar and major fraction of each dollar of the total consideration charged therefor.
The proceeds of this levy shall be known as the subcounty convention development tax. See 212.0305(4)(e), F.S.
12
Department of Economic Opportunity, 2022 Incentives Report, available at https://www.floridajobs.org/docs/default-
source/reports-and-legislation/2021-2022-annual-incentives-report.pdf (last visited Dec. 4, 2023).
13
Id.
14
Id.
15
Id.
16
Id.
BILL: SB 204 Page 4
Grants Grant with a (1) Business achieves Annual appropriation
performance-based performance milestones
agreement (2) State verifies job
creation, wages, and
capital investment (as
applicable)
(3) State issues
payment
Professional Sports Franchise Program
Florida is home to many professional and semi-professional sports teams, organizations and
facilities, including professional football, basketball, baseball, hockey, soccer, and National
Association of Stock Car Racing sanctioned tracks. The Professional Sports Franchise program
allows professional sports franchises to receive state sales and use tax revenues to pay for the
acquisition, construction, reconstruction, or renovation of a facility for a new or retained
professional sports franchise.17 Local governments, non-profit, and for-profit entities may apply
to the program.
The Florida Department of Commerce (DOC) is responsible for screening and certifying
applicants for state funding.18 For both new and retained franchises, the DOC must confirm and
verify the following:19
A local government is responsible for the construction, management, or operation of the
professional sports franchise facility, or holds title to the property where the facility is
located;
The applicant has a verified copy of a signed agreement with a new professional sports
franchise for at least 10 years, or for 20 years in the case of a retained franchise;
The applicant has a verified copy of the approval by the governing body of the NFL, MLB,
NHL, or NBA authorizing the location of a new franchise in Florida after April 1, 1987, for
new professional sports franchises, or verified evidence of a league-authorization location in
Florida on or before December 31, 1976, for a retained professional sports franchise;
The applicant has projections demonstrating a paid annual attendance of over 300,000;
The applicant has an independent analysis demonstrating that the annual amount of sales
taxes generated by the use or operation of the franchise’s facility will be at least $2 million;
The local government where the franchise’s facility is located, or the county of the facility is
in an unincorporated area, has certified by resolution after a public hearing that the
application serves a public purpose; and
The applicant has demonstrated that it has provided, is capable of providing, financial or
other commitments of more than one-half of the costs incurred or related to the
improvements or development of the franchise’s facility.
17
Section 288.1162, F.S.
18
Section 288.1162(1), F.S.
19
Section 288.1162(4)(a)-(g), F.S.
BILL: SB 204 Page 5
Approved applicants are eligible to receive up to $2,000,004 per year for a period of up to 30
years.20 No more than eight facilities can be certified under this program at one time.21
Currently, at least seven facilities receive distributions under the Professional Sports Franchise
Program, and one facility received its final distribution in June of 2023. Each facility is on track
to receive $60 million, which is the maximum distribution allowable under this program
($166,667 per month or $2,000,004 per year, over 30 years) as follows:22
Facility name Location, Franchise First and Final Total payments
Certified entity, payments as of Nov. 30,
& certification 2023
date
BB&T Center Sunrise, Broward Florida Panthers Aug. 1996 $54,666,776
County, June 1996 July 2026
Hard Rock Miami, South Miami Dolphins June 1994 $60,000,120
Stadium Florida Stadium June 2023
Corp., May 1993
TIAA Bank Field Jacksonville, City Jacksonville June 1994 $59,000,118
of Jacksonville, Jaguars May 2024
April 1994
American Miami, Basketball Miami Heat March 1998 $51,333,436
Airlines Arena Properties, LTD, March 2028
Feb. 1998
Amway Center Orlando, City of Orlando Magic Feb. 2008 $31,666,730
Orlando, Nov. Jan. 2038
2007
Raymond James Tampa, Tampa Bay Jan. 1997 $53,833,441
Stadium Hillsborough Buccaneers Dec. 2026
County, Nov.
1996
AMALIE Arena Tampa, Tampa Tampa Bay Sept. 1995 $56,500,113
Bay Sports Lightning Aug. 2025
Authority, July
1995
Tropicana Field St. Petersburg, Tampa Bay Rays July 1995 $56,833,447
City of St. June 2025
Petersburg, July
1995
Total: $423,834,181
20
Section 212.20(6)(d)6.b., F.S.
21
Section 288.1162(6), F.S.
22
Florida Department of Commerce, All Professional Sports Facilities Payments as of Nov. 30, 2023. On file with the Senate
Commerce and Tourism Committee.
BILL: SB 204 Page 6
Federal Antitrust Laws
In 1890, Congress passed the first antitrust law, the Sherman Act, as a comprehensive charter of
economic liberty aimed at preserving free and unfettered competition as the rule of trade.
Congress subsequently passed two additional antitrust laws in 1914: the Federal Trade
Commission Act, which created the Federal Trade Commission (FTC), and the Clayton Act.
Currently, these are the three core federal antitrust laws.23
The Sherman Act
The Sherman Act outlaws every contract, combination, or conspiracy in restraint of trade, and
any monopolization, attempted monopolization, or conspiracy or combination to monopolize.
The Sherman Act does not prohibit every restraint of trade, only those that are unreasonable. For
example, an agreement between two individuals to form a partnership may restrain trade, but
may not do so unreasonably, and thus may be lawful under the antitrust laws. In contrast, certain
acts are considered “per se” violations of the Sherman Act because they are so harmful to
competition. These include plain arrangements among competing individuals or businesses to fix
prices, divide markets, or rig bids.24
The penalties for violating the Sherman Act can be severe. Although most enforcement actions
are civil, the Sherman Act is also a criminal law, and individuals and businesses that violate it
may be prosecuted by the U.S. Department of Justice (DOJ). Criminal prosecutions are typically
limited to intentional and clear violations, such as when competitors fix prices or rig bids.25
The Federal Trade Commission Act
The Federal Trade Commission Act prohibits unfair methods of competition and unfair or
deceptive acts or practices. The Supreme Court has said that all violations of the Sherman Act
also violate the FTC Act. Therefore, the FTC can bring cases under the FTC Act against the
same kinds of activities that violate the Sherman Act. The FTC Act also reaches other practices
that harm competition but that may not fit neatly into categories of conduct formally prohibited
by the Sherman Act. Only the FTC brings cases under the FTC Act.26
The Clayton Act
The Clayton Act addresses specific practices that the Sherman Act does not clearly prohibit, such
as mergers and interlocking directorates.27 It also bans mergers and acquisitions where the effect
may substantially lessen competition or create a monopoly. As amended by the Robinson-
Patman Act of 1936, the Clayton Act also prohibits certain discriminatory prices, services, and
allowances in dealings between merchants. The Clayton Act was amended again in 1976 by the
Hart-Scott-Rodino Antitrust Improvements Act to require companies planning large mergers or
23
See Federal Trade Commission, The Antitrust Laws, available at https://www.ftc.gov/tips-advice/competition-
guidance/guide-antitrust-laws/antitrust-laws (last visited Dec. 4, 2023).
24
Id.
25
See Department of Justice, Antitrust Division: Mission, available at Antitrust Division | Mission (justice.gov) (last visited
Dec. 4, 2023).
26
See Federal Trade Commission, The Antitrust Laws, available at https://www.ftc.gov/tips-advice/competition-
guidance/guide-antitrust-laws/antitrust-laws (last visited Dec. 4, 2023).
27
“Interlocking directorates” means the same person making business decisions for competing companies. See also Id.
BILL: SB 204 Page 7
acquisitions to notify the government of their plans in advance. Additionally, private parties are
authorized to sue for triple damages when they have been harmed by conduct that violates either
the Sherman or Clayton Act and to obtain a court order prohibiting the anticompetitive practice
in the future.28
Florida Antitrust Laws
Florida law also provides protections against anticompetitive practices. Chapter 542, F.S., the
Florida Antitrust Act of 1980, has a stated purpose to complement the body of federal law
prohibiting restraints of trade or commerce in order to foster effective competition.29 It outlaws
every contract, combination, or conspiracy in restraint of trade or commerce in Florida30 and any
person from monopolizing or attempting or conspiring to monopolize any part of trade.31
III. Effect of Proposed Changes:
The bill provides a legislative declaration that sole-source contracts for the sale of tickets and
licenses to events located at live performance venues within Florida violate public policy and
harm the public good.
The bill establishes that a live performance venue may not enter into a sole-source contract or a
covenant not to compete with a ticket-selling platform to sell or distribute tickets and licenses to
events located at the live performance venue.
The bill defines the term “live performance venue” as a stadium, a convention center, an
exhibition hall, an arena, a coliseum, or an auditorium that has accepted within the previous 10
years any federal, state, or local taxpayer funds for capital improvements or operational
expenses, including but not limited to, funds collected pursuant to a convention development tax
under s. 212.0305, F.S., and grants awarded under ch. 288, F.S.
The bill provides that a performance artist who is contracted to perform at a live performance
venue may not be required to market, sell, or distribute tickets to the event at which they are
performing through a specific ticket platform that the live performance venue has an exclusive
contract with.
The bill requires a live performance venue to allow performance artists to market, sell, or
distribute tickets to their performances at the venue through the use of the ticket platform of the
performance artists’ choice. However, the ticket platform that is chosen must be subject to the
same terms and conditions as would apply to any other platform that the live performance venue
has executed a contract with for the same or similar services within the past two years.
The bill prohibits a live performance venue from distributing, selling, or transferring any tickets
or licenses for compensation at an amount greater than the amount stated as the listed value of
that ticket or license.
28
Id.
29
Section 542.16, F.S.
30
Section 542.18, F.S.
31
Section 542.19, F.S.
BILL: SB 204 Page 8
The bill takes effect July 1, 2024.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
None.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
The bill prohibits a live performance venue from entering into a sole-source contract or a
covenant not to compete with a ticket-selling platform to sell or distribute tickets and
licenses to events located at the live performance venue. Additionally, live performance
venues must allow performance artists to market, sell, or distribute tickets to their
performances at the venue through a ticket platform of their choice. To the extent this bill
impacts previously recorded contracts or covenants, the bill may unconstitutionally
impair a contract, under s. 10, Art. I, Fla. Const., which provides in relevant part, “No…
law impairing the obligation of contracts shall be passed.” This provision empowers the
courts to strike laws that retroactively burden or alter contractual relations. Article I, s. 10
of the United States Constitution provides in relevant part that “No state shall . . . pass
any . . . law impairing the obligation of contracts.”
In Pomponio v. Claridge of Pompano Condominium, Inc.,32 the Florida Supreme Court
stated that some degree of flexibility has developed over the last century in interpreting
the contract clause in order to ameliorate the harshness of the original rigid application
used by the United States Supreme Court. The court set forth several factors in balancing
whether a state law operates as a substantial impairment of a contractual relationship. The
severity of the impairment measures the height of the hurdle the state legislation must
clear. The court stated that if there is minimal alteration of contractual obligations the
inquiry can end at its first stage. Severe impairment can push the inquiry to a careful
examination of the nature and purpose of the state legislation. The factors to be
considered are:
Was the law enacted to deal with a broad, generalized economic or social problem;
32
See Pomponio v. Claridge of Pompano Condominium, Inc., 378 So. 2d 774, 776 (Fla. 1979).
BILL: SB 204 Page 9
Does the law operate in an area that was already subject to state regulation at the time
the contract was entered into; and
Is the law’s effect on the contractual relationships temporary or is it severe,
permanent, immediate, and retroactive.33
Absent an express statement of legislative intent that a bill is intended to apply
retroactively, a statute is presumed to operate only prospectively.34 However, the
Legislature may wish to clarify whether the bill only applies to contracts or covenants
entered into after the effective date of the bill.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
The bill prohibits live performance venues from entering into a sole-source contract or a
covenant not to compete with a ticket-selling platform to sell or distribute tickets and
licenses to events located at the live performance venue. Additionally, live performance
venues must allow performance artists to market, sell, or distribute tickets to their
performances at the venue through a ticket platform of their choice. This will potentially
create more competition within the ticket sales marketplace.
The bill also prohibits a live performance venue from distributing, selling, or transferring
any tickets or licenses for compensation at an amount greater than the amount stated as
the listed value of that ticket or license, which will potentially create more transparency
within the ticket sales marketplace.
C. Government Sector Impact:
None.
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
VIII. Statutes Affected:
This bill creates s. 542.345 of the Florida Statutes.
33
Id. at 779.
34
See Fla. Ins. Guar. Ass'n, Inc. v. Devon Neighborhood Ass'n, Inc., 67 So. 3d 187, 194-95 (Fla. 2011).
BILL: SB 204 Page 10
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
Florida Senate - 2024 COMMITTEE AMENDMENT Florida Senate - 2024 COMMITTEE AMENDMENT
Bill No. SB 204 Bill No. SB 204
Ì173084-Î173084 Ì173084-Î173084
LEGISLATIVE ACTION 11 performance venues within this state violate public policy and
Senate . House 12 harm the public good.
Comm: TP . 13 (2) For purposes of this section, the term “live
12/06/2023 . 14 performance venue” means a stadium, a convention center, an
. 15 exhibition hall, an arena, a coliseum, or an auditorium that has
. 16 accepted any federal, state, or local taxpayer funds for capital
. 17 improvements or operational expenses, including, but not limited
18 to, funds collected pursuant to a convention development tax
19 imposed under s. 212.0305 and grants awarded under chapter 288.
20 (3) A live performance venue may not enter into a sole-
21 source contract or a covenant not to compete with a ticket-
22 selling platform to sell, resell, or distribute tickets and
23 licenses to events located at the live performance venue.
24 (4) A live performance venue may not require a performance
25 artist or other event to market, sell, resell, or distribute
The Committee on Commerce and Tourism (Brodeur) recommended the 26 tickets through a single or specific ticket platform.
following: 27 Section 2. Section 817.358, Florida Statutes, is created,
28 to read:
1 Senate Amendment (with title amendment) 29 817.358 Sale of tickets; disclosures; penalties.—A person
2 30 or an entity that offers to sell tickets must disclose in an
3 Delete everything after the enacting clause 31 easily readable and conspicuous manner the total cost of the
4 and insert: 32 ticket, including all fees that must be paid in order to
5 Section 1. Section 542.345, Florida Statutes, is created to 33 purchase the ticket, from the initial time a price is displayed,
6 read: 34 and must provide the purchaser an option to view an itemized
7 542.345 Covenants not to compete for the sale or the 35 list that includes the base price of the ticket and each event
8 distribution of event tickets and licenses prohibited.— 36 ticket fee before the purchase is made. Disclosures may not be
9 (1) The Legislature finds that sole-source contracts for 37 false or misleading and must be at least as prominent, and in
10 the sale of tickets and licenses to events located at live 38 the same font and size, as the final price. The total cost of
39 the ticket may increase only for reasonable fees for the
Page 1 of 4 Page 2 of 4
12/4/2023 10:43:21 AM 577-01720B-24 12/4/2023 10:43:21 AM 577-01720B-24
Florida Senate - 2024 COMMITTEE AMENDMENT Florida Senate - 2024 COMMITTEE AMENDMENT
Bill No. SB 204 Bill No. SB 204
Ì173084-Î173084 Ì173084-Î173084
40 delivery of nonelectronic tickets, which increase must be 69 Delete everything before the enacting clause
41 disclosed to the purchaser before accepting payment. A person or 70 and insert:
42 an entity who violates this section commits a violation of the 71 A bill to be entitled
43 Florida Deceptive and Unfair Trade Practices Act, as established 72 An act relating to competition for the sale of event
44 in ss. 501.201-501.213. 73 tickets; creating s. 542.345, F.S.; providing
45 Section 3. Present subsection (6) of section 817.36, 74 legislative findings; defining the term “live
46 Florida Statutes, is redesignated as subsection (7), a new 75 performance venue”; prohibiting live performance
47 subsection (6) is added to that section, and subsection (5) of 76 venues from entering into specified contracts and
48 that section is amended, to read: 77 covenants and from requiring performance artists or
49 817.36 Resale of tickets.— 78 events to distribute the tickets through specific
50 (5) A person who intentionally uses or sells software to 79 ticket platforms; creating s. 817.358, F.S.; requiring
51 circumvent on a ticket seller’s Internet website a security 80 a person or an entity that offers to sell tickets to
52 measure, an access control system, or any other control or 81 make certain disclosures in a specified manner
53 measure that is used to ensure an equitable ticket-buying 82 regarding the price of the ticket, and that the
54 process is liable to the state for a civil penalty equal to 83 failure to do so violates the Florida Deceptive and
55 treble the amount for which the ticket or tickets were sold. A 84 Fair Trade Practices Act; amending s. 817.36, F.S.;
56 person who has knowledge of the intentional use of software in 85 requiring persons with knowledge of the intentional
57 violation of this subsection must notify the Attorney General. 86 use of certain software to circumvent certain security
58 (6) Other than tickets described in paragraph (1)(a), 87 measures to notify the Attorney General; prohibiting
59 paragraph (1)(b), or paragraph (1)(c), it is unlawful to: 88 the application of certain terms and conditions of
60 (a) Apply a term or condition to, or use technology to 89 resale tickets; prohibiting the denial of access to an
61 limit the terms and conditions of, resale. 90 event to certain persons who lawfully purchase or
62 (b) Penalize, discriminate against, or deny access to an 91 resell tickets; providing an effective date.
63 event to a person who purchases or resells a ticket in a manner
64 authorized by this section.
65 Section 4. This act shall take effect July 1, 2024.
66
67 ================= T I T L E A M E N D M E N T ================
68 And the title is amended as follows:
Page 3 of 4 Page 4 of 4
12/4/2023 10:43:21 AM 577-01720B-24 12/4/2023 10:43:21 AM 577-01720B-24
Florida Senate - 2024 COMMITTEE AMENDMENT
Bill No. SB 204
Ì361308#Î361308
LEGISLATIVE ACTION
Senate . House
Comm: WD .
12/06/2023 .
.
.
.
The Committee on Commerce and Tourism (Rodriguez) recommended
the following:
1 Senate Amendment to Amendment (173084)
2
3 Delete lines 14 - 15
4 and insert:
5 performance venue” means an individual stadium, convention
6 center, exhibition hall, arena, coliseum, or auditorium that has
7 more than 3,000 seats and has
Page 1 of 1
12/4/2023 4:15:34 PM 577-01756-24
Florida Senate - 2024 SB 204 Florida Senate - 2024 SB 204
By Senator Brodeur
10-00247B-24 2024204__ 10-00247B-24 2024204__
1 A bill to be entitled 30 accepted within the previous 10 years any federal, state, or
2 An act relating to competition for the sale of event 31 local taxpayer funds for capital improvements or operational
3 tickets; creating s. 542.345, F.S.; providing 32 expenses, including, but not limited to, funds collected
4 legislative findings; defining the term “live 33 pursuant to a convention development tax imposed under s.
5 performance venue”; prohibiting live performance 34 212.0305 and grants awarded under chapter 288.
6 venues from entering into specified contracts and 35 (3) A live performance venue may not enter into a sole-
7 covenants for the sale of tickets and licenses or from 36 source contract or a covenant not to compete with a ticket-
8 requiring artists to distribute tickets through 37 selling platform to sell or distribute tickets and licenses to
9 specific ticket platforms; requiring live performance 38 events located at the live performance venue.
10 venues to allow artists to distribute tickets through 39 (4) A performance artist who is contracted to perform at a
11 the ticket platforms of the performance artists’ 40 live performance venue may not be required to market, sell, or
12 choice, subject to certain conditions; prohibiting a 41 distribute tickets to the event at which they are performing
13 live performance venue from selling or transferring 42 through a specific ticket platform with which the live
14 tickets and licenses at more than face value; 43 performance venue has an exclusive contract.
15 providing an effective date. 44 (5) A live performance venue must allow performance artists
16 45 to market, sell, or distribute tickets to their performances at
17 Be It Enacted by the Legislature of the State of Florida: 46 the venue through the use of the ticket platform of the
18 47 performance artists’ choice, subject to the same terms and
19 Section 1. Section 542.345, Florida Statutes, is created to 48 conditions as would apply to any other platform with which the
20 read: 49 live performance venue has executed a contract for the same or
21 542.345 Covenant not to compete for the sale or 50 similar services within the past 2 years.
22 distribution of event tickets and licenses prohibited.— 51 (6) A live performance venue may not distribute, sell, or
23 (1) The Legislature finds that sole-source contracts for 52 transfer any tickets or licenses for compensation at an amount
24 the sale of tickets and licenses to events located at live 53 greater than the amount stated as the listed value of that
25 performance venues within this state violate public policy and 54 ticket or license.
26 harm the public good. 55 Section 2. This act shall take effect July 1, 2024.
27 (2) For the purposes of this section, the term “live
28 performance venue” means a stadium, a convention center, an
29 exhibition hall, an arena, a coliseum, or an auditorium that has
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The Florida Senate
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1215123
APPEARANCE RECORD SB 204
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Address 201 E. Park Ave ,,,.'",, Mat@ballardpartners.com
Street
Tallahassee FL 32301
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The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Commerce and Tourism
BILL: SB 304
INTRODUCER: Senator Hooper
SUBJECT: Household Moving Services
DATE: December 4, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. McMillan McKay CM Favorable
2. AEG
3. FP
I. Summary:
SB 304 broadens protections for consumers who use intrastate moving services by:
Providing additional registration and proof of registration requirements for movers and
moving brokers;
Providing for a required performance bond or certificate of deposit in certain circumstances
for shippers’ moved goods;
Requiring a binding estimate of the cost of services, including any applicable fees of a
moving broker, to be provided by the mover to a prospective shipper;
Requiring a moving broker to arrange with a registered mover for the loading, transportation,
shipment, or unloading of household goods as part of a household move;
Requiring a moving broker to include certain information on any document provided by the
moving broker to a shipper; and
Requiring the Department of Agriculture and Consumer Services to suspend a mover’s or
moving broker’s registration under certain circumstances.
The bill provides an effective date of July 1, 2024.
II. Present Situation:
Moving Scams
The Better Business Bureau (BBB) has seen a marked increase in complaints and negative
reviews about movers in recent years.1 In 2022, nearly 15,198 complaints were filed with the
1
Better Business Bureau, Know Your Mover: BBB Study Reveals Scammers Price Gouge, Take Belongings Hostage, and
Destroy Goods (Jun. 30, 2020), available at https://www.bbb.org/article/news-releases/22659-know-your-mover-bbb-study-
reveals-scammers-price-gouge-take-belongings-hostage-and-destroy-goods (last visited Dec. 4, 2023).
BILL: SB 304 Page 2
BBB against moving companies.2 Additionally, consumers reported more than $129,040 lost to
moving scams to BBB Scam Tracker.3
One frequent moving scam involves an initial low-ball estimate (usually provided without an in-
person visit to review the belongings that need to be moved) that turns into a demand for a much
higher price once all of the household belongings are on the moving truck and awaiting delivery.
The truck driver can simply drive away if the consumer refuses to pay the higher price.4,5
Another scam requires the shipper to sign a blank or incomplete estimate or contract, which
results in a higher than expected price demanded at the time of delivery.6
On December 8, 2022, Attorney General Moody filed legal action against three individuals, two
holding companies, and multiple fraudulent moving brokerage businesses.7 According to the
Consumer Protection investigation, the businesses acted as a common enterprise to deceive more
than 400 Floridians into believing the company professionally handled moving services and
promised to provide refunds if anything went wrong. Instead, the companies hired third parties to
complete the moving services at subpar quality and refused to provide refunds.8
Florida (Intrastate) Mover Regulations
Chapter 507, F.S., governs the loading, transportation, shipment, unloading, and affiliated
storage of household goods as part of intrastate household moves. The chapter applies to any
mover or moving broker engaged in intrastate transportation or shipment of household goods that
originates and terminates in Florida.9 These regulations co-exist with federal law, which governs
interstate moving of household goods.10
A “mover” is a person who, for compensation, contracts for or engages in the loading,
transportation, shipment, or unloading of household goods as part of a household move.11 A
“moving broker” arranges for another person to load, transport, ship, or unload household goods
2
Better Business Bureau, BBB Scam Alert: Avoid Moving Scams this National Moving Month (May 17, 2023) available at
https://www.bbb.org/article/scams/24198-bbb-scam-alert-avoid-moving-scams-this-national-moving-month (last visited Dec.
4, 2023).
3
Id.
4
Better Business Bureau, Know Your Mover: BBB Study Reveals Scammers Price Gouge, Take Belongings Hostage, and
Destroy Goods (Jun. 30, 2020), available at https://www.bbb.org/article/news-releases/22659-know-your-mover-bbb-study-
reveals-scammers-price-gouge-take-belongings-hostage-and-destroy-goods (last visited Dec. 4, 2023).
5
See, e.g., Jackie Callaway, Record Number of People File Complaints About Florida Movers in 2021; BBB rates 1,300
Companies ‘F’, (Dec. 2, 2021), available at https://www.abcactionnews.com/money/consumer/taking-action-for-you/record-
number-of-people-file-complaints-about-florida-movers-in-2021-bbb-rates-1-300-companies-f (last visited Dec. 4, 2023).
6
Florida Attorney General’s Office, Scams at a Glance: On the Move, available at
http://myfloridalegal.com/webfiles.nsf/WF/TDGT-BYLQQL/$file/Movers_Scams+at+a+Glance_English.pdf (last visited
Dec. 4, 2023).
7
See Office of Attorney General Ashley Moody, Attorney General Moody Takes Action to Shut Down Massive Moving Scam
(Dec. 8, 2022), available at News Release - Attorney General Moody Takes Action to Shut Down Massive Moving Scam
(myfloridalegal.com) (last visited Dec. 4, 2023).
8
Id.
9
Section 507.02, F.S.
10
Interstate movers in the U.S. must be licensed by the Department of Transportation’s Federal Motor Carrier Safety
Administration (FMCSA).
11
Section 507.01(9), F.S.
BILL: SB 304 Page 3
as part of a household move or who refers a shipper to a mover by telephone, postal, or
electronic mail, website, or other means.12
Movers and moving brokers who do business in Florida must register annually with the
Department of Agriculture and Consumer Services (Department).13 As of December 4, 2023,
there were 1,348 movers and 39 moving brokers with active Florida registrations.14 In order to
obtain a registration certificate, the mover or moving broker must file an application, pay a $300
annual registration fee, and meet certain statutory qualifications, including proof of insurance
coverage.15
Insurance Coverage and Liability Limitations
Movers and moving brokers must maintain liability and motor vehicle insurance. A mover who
operates more than two vehicles is required to maintain liability insurance of at least $10,000 per
shipment, and not less than 60 cents per pound, per article.16 Movers who operate fewer than two
vehicles are required only to carry either a $25,000 performance bond or a $25,000 certificate of
deposit in lieu of liability insurance.17
Any contractual limitation to a mover’s liability for loss incurred to a shipper’s goods must be
disclosed in writing to the shipper, along with the valuation rate, but a mover’s attempt to limit
its liability beyond the minimum 60 cents per pound, per article rate is void under s. 507.04(4),
F.S. If the mover offers valuation insurance, it must inform the shipper of the opportunity to
purchase valuation coverage to compensate the shipper for household goods that are lost or
damaged during a household move prior to execution of the contract for moving services.18
Violations and Penalties
Section 507.05, F.S., requires an intrastate mover to provide an estimate and contract to the
shipper before commencing the move. Should a dispute arise over payment or costs, s. 507.06,
F.S., provides that the mover may place the shipper’s goods in a storage unit until payment is
tendered. Because of ambiguity regarding what payment may legally be demanded, some
shippers have been taken advantage of by deceptive or fraudulent moving practices. Often,
moving fraud manifests as an increased fee assessed by the mover, who then refuses to relinquish
the shipper’s goods until the inflated price has been paid in full.
While administrative, civil, and criminal penalties exist in ch. 507, F.S., for such fraudulent
moving practices and other violations, the aggrieved shipper is not guaranteed the return of his or
her goods until after such remedies have been finalized.
12
Section 507.01(10), F.S.
13
Florida Department of Agriculture and Consumer Services (FDACS), Moving Companies: Who has to Register?, available
at https://www.fdacs.gov/Business-Services/Moving-Companies (last visited Dec. 4, 2023).
14
FDACS, License/Complaint Lookup, available at https://csapp.fdacs.gov/cspublicapp/businesssearch/businesssearch.aspx
(last visited Dec. 4, 2023). Search by “program.”
15
Section 507.03, F.S.
16
Sections 507.04(1)(a)1. and 507.04(4), F.S.
17
Section 507.04(1)(b), F.S.
18
Section 507.04(5), F.S.
BILL: SB 304 Page 4
In March of 2021, the Florida Consumer Protection Division within the Office of the Attorney
General secured four judgments against moving companies that used deceptive advertising,
failed to provide proper estimates, failed to relinquish household goods, and failed to provide
timely pick-up or delivery of goods in accordance with service contracts.19
Local Ordinances and Regulations
Chapter 507, F.S., preempts local ordinances or regulations that relate to household moving,
unless the local regulation was adopted prior to January 1, 2011.20 Broward,21 Miami-Dade,22
Palm Beach,23 and Pinellas24 counties currently have such ordinances. Movers or moving brokers
whose principal place of business is located in a county or municipality with such an ordinance
are required to register under local and state laws. State law also allows for local taxes, fees, and
bonding related to movers and moving brokers, so long as any local registration fees are
reasonable and do not exceed the cost of administering the ordinance or regulation.25
III. Effect of Proposed Changes:
Definitions and Legislative Intent
Section 1 amends the following definitions in s. 507.01, F.S.;
“Contract for service” or “bill of lading” means a written document prepared by a registered
mover which is approved and electronically acknowledged or signed by the shipper in
writing before the performance of any service by the mover and which authorizes the named
mover to perform the services and lists all costs associated with the household move and
accessorial services to be performed;
“Estimate” means a written document prepared by a registered mover which sets forth the
total costs and describes the basis of those costs, related to a shipper’s household move,
including, but not limited to, the loading, transportation or shipment, and unloading of
household goods and accessorial services; and
“Moving broker” or “broker” means a person who, for compensation, arranges with a
registered mover for loading, transporting or shipping, or unloading of household goods as
part of a household move or who, for compensation, refers a shipper to a registered mover.
19
Office of the Attorney General, Attorney General Moody Shuts Down Moving Scams and Recovers Millions for Consumers
Duped by Malicious Movers (Mar. 2, 2021), available at
http://www.myfloridalegal.com/newsrel.nsf/newsreleases/0BFF0224649D124D8525868C005A765F?Open& (last visited
Dec. 4, 2023).
20
Section 507.13, F.S.
21
Broward County Government, Movers, available at
https://www.broward.org/Consumer/ConsumerProtection/Movers/Pages/default.aspx (last visited Dec. 4, 2023).
22
Miami-Dade County, Moving Companies—Laws & Tips, available at
https://www.miamidade.gov/global/economy/consumer-protection/moving-
companies.page#:~:text=Movers%20must%20insure%20your%20property,the%20value%20of%20your%20property.&text=
The%20amount%20of%20added%20value%20you%20purchase%20is%20up%20to%20you. (last visited Dec. 4, 2023).
23
Palm Beach County, Moving, available at https://discover.pbcgov.org/publicsafety/consumeraffairs/pages/moving.aspx
(last visited Dec. 4, 2023).
24
Pinellas County, Moving, available at https://www.pinellascounty.org/consumer/moving.htm (last visited Dec. 4, 2023).
25
Section 507.13, F.S.
BILL: SB 304 Page 5
Section 2 amends s. 507.02, F.S., to provide that the bill is intended to establish the law of
Florida governing the brokering of moves of household goods by moving brokers.
Mover Registration
Section 3 amends s. 507.03, F.S., to clarify that “broker” means “moving broker.”
The bill clarifies that each estimate or contract of a “mover” must include a phrase that contains
the following:
The name of the firm;
A Statement that includes the firm is registered with the State of Florida as a mover; and
A Florida mover registration number.
The bill also clarifies that any document from a “moving broker” must include:
The name of the firm;
A statement that includes the firm is registered with the State of Florida as a moving
broker; and
A Florida moving broker registration number.
Additionally, the bill states that each advertisement of a “moving broker” must include the
following:
A Florida moving broker registration number;
The name of the firm; and
A phrase that states the firm is paid by a shipper to arrange, or offer to arrange, the
transportation of property by a registered mover.
The bill requires each moving broker to provide the Department of Agriculture and Consumer
Services (Department) with a complete list of registered movers that the moving broker has
contracted or is affiliated with, advertises on behalf of, arranges moves for, or refers shippers to,
including each mover’s complete name, address, telephone number, email address, and
registration number and the name of each mover’s owners, corporate officers, and directors.
Additionally, a moving broker must notify the Department of any changes to the provided
information, and the Department must publish and maintain a list of all moving brokers and the
registered movers each moving broker is contracted with on its website.
The bill provides that a person may not hold themselves out to be a mover or moving broker
without first registering with the Department.
The bill requires the Department to immediately issue a cease and desist order to a person upon
finding that such person is operating as a mover or moving broker without registering.
Additionally, the Department may seek an immediate injunction from the appropriate circuit
court that prohibits the person from operating in Florida until the person complies with the
registration requirement, a civil penalty not to exceed $5,000, and court costs.
BILL: SB 304 Page 6
Insurance Requirement
Section 4 amends the insurance requirements in s. 507.04, F.S. The bill authorizes a mover that
operates two or fewer vehicles, in lieu of maintaining liability insurance coverage, to maintain
one of the following alternative coverages:
A performance bond in the amount of $50,000, up from the current $25,000, for which the
surety of the bond must be a surety company authorized to conduct business in Florida; or
A certificate of deposit in a Florida banking institution in the amount of $50,000, up from the
current $25,000.
The bill also requires a moving broker to maintain one of the above listed coverages.
The bill requires the Department to immediately suspend a mover’s or moving broker’s
registration if the mover or moving broker fails to maintain the required performance bond,
certificate of deposit, or the appropriate insurance. In such cases, the mover or moving broker
must immediately cease operating as a mover or moving broker in Florida. Additionally, the
Department may seek an immediate injunction from the appropriate circuit court that prohibits
the person from operating in Florida until the person complies with the aforementioned
requirements, a civil penalty not to exceed $5,000, and court costs.
Estimates and Contracts for Service
Section 5 amends s. 507.05, F.S., to require that an estimate and a contract must be prepared by a
registered mover and provided to a prospective shipper in writing, and the shipper, mover, and
moving broker must sign or electronically acknowledge and date the estimate and contract.
The bill requires the estimate and contract for service to include the following:
The name, telephone number, and physical address where the mover’s and moving broker’s
employees are available during normal business hours;
The date the estimate and contract were prepared by the mover and the proposed date or
dates of the shipper’s household move, including, but not limited to, loading, transportation,
shipment, and unloading of household goods and accessorial services;
The name and address of the shipper, the addresses where the articles are to be picked up and
delivered, and a telephone number where the shipper may be reached;
The name, telephone number, and physical address of the location where the household
goods will be held pending further transportation, including situations in which the mover
retains possession of household goods pending resolution of a fee dispute with the shipper;
An itemized breakdown and description and total of all costs and services for loading,
transportation or shipment, unloading, and accessorial services to be provided during a
household move or storage of household goods, including the fees of a moving broker, if
used; and
Acceptable forms of payment, which must be clearly and conspicuously disclosed to the
shipper on the binding estimate and the contract for services.
Moving Brokers
Section 6 creates s. 507.056, F.S., to provide requirements specific to moving brokers.
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The bill establishes that a moving broker may only arrange with a registered mover for the
loading, transportation, shipment, or unloading of household goods as part of a household move
or refer a shipper to a registered mover. Moving brokers may not give a verbal estimate or
prepare a written estimate or contract for services that sets forth the total costs and describes the
basis of those costs relating to a shipper’s household move, including, but not limited to, the
loading, transportation, shipment, or unloading of household goods and accessorial services.
The bill provides that before providing any service to a prospective shipper, a moving broker
must disclose to the shipper that the broker may only arrange, or offer to arrange, the
transportation of property by a registered mover. Additionally, a moving broker’s fees may not
include the cost of the shipper’s household move, including, but not limited to, the loading,
transportation, shipment, or unloading of household goods and accessorial services.
The bill requires any document provided to a shipper by a moving broker to include the
following:
The name of the moving broker and the moving broker’s registration number;
The following statement displayed at the top of the document: “…(Name of Moving
Broker)… is not a mover. …(Name of Moving Broker)… is paid by the shipper to arrange,
or offer to arrange, the transportation of property by a registered mover. The moving broker’s
fees do not include the cost of the shipper’s household move, including, but not limited to,
the loading, transportation, shipment, or unloading of household goods and accessorial
services;”
The name, telephone number, and physical address where the moving broker’s employees are
available during normal business hours;
An itemized breakdown and description and total of all costs for the moving broker’s fees to
arrange with a registered mover for the loading, transportation, shipment, or unloading of
household goods as part of a household move or to refer the shipper to a registered mover;
A list of all of the registered movers the moving broker has contracted with or is affiliated
with, advertises on behalf of, arranges moves for, or refers shippers to, including each
mover’s complete name, address, telephone number, email address, Florida Intrastate
Registration Number, and the name of each mover’s owners, corporate officers, and
directors; and
A list of acceptable forms of payment, which must include all of the forms of payment listed
in at least two of the following subparagraphs:
o Cash, cashier’s check, money order, or traveler’s check;
o Valid personal check, showing upon its face the name and address of the shipper or
authorized representative; and
o Valid credit card, which shall include, but not be limited to, Visa or MasterCard.
Violations and Penalties
Section 7 amends s. 507.07, F.S., to prohibit a moving broker from providing an estimate or
entering into a contract or agreement for moving, loading, shipping, transporting, or unloading
services with a shipper which was not prepared and electronically acknowledged or signed by a
mover who is registered with the Department.
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Section 8 amends s. 507.09, F.S., to provide that upon notification and subsequent written
verification by a law enforcement agency, a court, a state attorney, or the Department of Law
Enforcement, the Department must immediately suspend a registration or the processing of an
application for a registration if the registrant, applicant, or officer or director of the registrant or
applicant is formally charged with a crime involving fraud, theft, larceny, embezzlement, or
fraudulent conversion or misappropriation of property or a crime arising from conduct during a
movement of household goods until final disposition of the case or removal or resignation of that
officer or director.
Section 9 makes conforming changes to s. 507.10, F.S., to incorporate amendments made
elsewhere in the bill.
Section 10 amends s. 507.11, F.S., to clarify that it is a felony of the third degree, if a mover or
mover’s employee, agent, or contractor refuses to comply with an order from a law enforcement
officer to relinquish a shipper’s household goods in the following scenarios:
After the officer determines that the shipper has tendered payment of the amount of a written
estimate or contract, and, if applicable, amendments to the contract for services reflecting the
price adjustment signed by the shipper; or
If the officer determines that the mover did not produce a signed or electronically
acknowledged binding estimate or contract for service and, if applicable, amendments to the
contract for services reflecting the price adjustment signed by the shipper.
Effective Date
Section 11 creates an effective date of July 1, 2024.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
None.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None Identified.
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V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
The public may see a faster resolution to moving disputes that arise due to the provisions
in the bill.
C. Government Sector Impact:
The Department will have to incorporate the changes made by the bill.
VI. Technical Deficiencies:
None.
VII. Related Issues:
The bill provides that upon notification and subsequent written verification by a law enforcement
agency, a court, a state attorney, or the Department of Law Enforcement that a registrant,
applicant, or officer or director of the registrant or applicant is formally charged with a crime
involving fraud, theft, larceny, embezzlement, or fraudulent conversion, the Department of
Agriculture and Consumer Services (Department) is required to suspend a registration or the
processing of an application for registration until final disposition of the case or removal or
resignation of that officer or director. However, it is unclear if the Department is receiving
notification and subsequent written verification by a law enforcement agency, a court, a state
attorney, or the Department of Law Enforcement, or alternatively, if the Department is receiving
notification from any person or entity, and then getting a subsequent written verification from
one of the aforementioned entities.
VIII. Statutes Affected:
This bill substantially amends the following sections of the Florida Statutes: 507.01, 507.02,
507.03, 507.04, 507.05, 507.056, 507.07, 507.09, 507.10, 507.11.
This bill creates s. 507.056 of the Florida Statutes.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
BILL: SB 304 Page 10
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
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By Senator Hooper
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1 A bill to be entitled 30 prohibitions for moving brokers; requiring moving
2 An act relating to household moving services; amending 31 brokers to make a specified disclosure to shippers
3 s. 507.01, F.S.; revising definitions; amending s. 32 before providing any services; prohibiting moving
4 507.02, F.S.; providing construction; amending s. 33 brokers’ fees from including certain costs; requiring
5 507.03, F.S.; revising requirements for mover and 34 that the documents moving brokers provide to shippers
6 moving broker estimates, contracts, and 35 contain specified information; amending s. 507.07,
7 advertisements; conforming a cross-reference; revising 36 F.S.; providing that it is a violation of ch. 507,
8 requirements relating to lists that moving brokers 37 F.S., for moving brokers to provide estimates or enter
9 must provide to the Department of Agriculture and 38 into contracts or agreements that were not prepared
10 Consumer Services; requiring the department to publish 39 and signed or electronically acknowledged by a
11 and maintain a specified list on its website; 40 registered mover; amending s. 507.09, F.S.; conforming
12 prohibiting certain persons from operating as or 41 a cross-reference; requiring the department, upon
13 holding themselves out to be a mover or moving broker 42 verification by certain entities, to immediately
14 without first registering with the department; 43 suspend a registration or the processing of an
15 requiring the department to issue cease and desist 44 application for a registration in certain
16 orders to certain persons under certain circumstances; 45 circumstances; amending s. 507.10, F.S.; conforming a
17 authorizing the department to seek an immediate 46 cross-reference; amending s. 507.11, F.S.; conforming
18 injunction under certain circumstances; making 47 provisions to changes made by the act; providing an
19 technical changes; amending s. 507.04, F.S.; revising 48 effective date.
20 alternative insurance coverage requirements for 49
21 movers; revising liability coverage requirements for 50 Be It Enacted by the Legislature of the State of Florida:
22 moving brokers; requiring the department to 51
23 immediately suspend a mover’s or moving broker’s 52 Section 1. Subsections (4), (6), and (10) of section
24 registration under certain circumstances; authorizing 53 507.01, Florida Statutes, are amended to read:
25 the department to seek an immediate injunction under 54 507.01 Definitions.—As used in this chapter, the term:
26 certain circumstances; conforming cross-references; 55 (4) “Contract for service” or “bill of lading” means a
27 amending s. 507.05, F.S.; revising requirements for 56 written document prepared by a registered mover which is
28 contracts and estimates for prospective shippers; 57 approved and electronically acknowledged or signed by the
29 creating s. 507.056, F.S.; providing limitations and 58 shipper in writing before the performance of any service by the
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59 mover and which authorizes services from the named mover to 88 (1) Each mover and moving broker must register with the
60 perform and lists the services and lists all costs associated 89 department, providing its legal business and trade name, mailing
61 with the household move and accessorial services to be 90 address, and business locations; the full names, addresses, and
62 performed. 91 telephone numbers of its owners, or corporate officers, and
63 (6) “Estimate” means a written document prepared by a 92 directors and the Florida agent of the corporation; a statement
64 registered mover which that sets forth the total costs and 93 whether it is a domestic or foreign corporation, its state and
65 describes the basis of those costs, relating to a shipper’s 94 date of incorporation, its charter number, and, if a foreign
66 household move, including, but not limited to, the loading, 95 corporation, the date it registered with the Department of
67 transportation or shipment, and unloading of household goods and 96 State; the date on which the mover or moving broker registered
68 accessorial services. 97 its fictitious name if the mover or moving broker is operating
69 (10) “Moving broker” or “broker” means a person who, for 98 under a fictitious or trade name; the name of all other
70 compensation, arranges with a registered mover for loading, 99 corporations, business entities, and trade names through which
71 transporting or shipping, or unloading of for another person to 100 each owner of the mover or moving broker operated, was known, or
72 load, transport or ship, or unload household goods as part of a 101 did business as a mover or moving broker within the preceding 5
73 household move or who, for compensation, refers a shipper to a 102 years; and proof of the insurance or alternative coverages
74 registered mover by telephone, postal or electronic mail, 103 required under s. 507.04.
75 Internet website, or other means. 104 (2) A certificate evidencing proof of registration shall be
76 Section 2. Present paragraph (b) of subsection (1) of 105 issued by the department and must be prominently displayed in
77 section 507.02, Florida Statutes, is redesignated as paragraph 106 the mover’s or moving broker’s primary place of business.
78 (c), and a new paragraph (b) is added to that subsection, to 107 (5)(a) Each estimate or contract of a mover or moving
79 read: 108 broker must include the phrase “...(NAME OF FIRM)... is
80 507.02 Construction; intent; application.— 109 registered with the State of Florida as a Mover or Moving
81 (1) This chapter shall be construed liberally to: 110 Broker. Fla. Mover Registration No. .....”
82 (b) Establish the law of this state governing the brokering 111 (b) Any document from a moving broker must include the
83 of moves of household goods by moving brokers. 112 phrase “...(NAME OF FIRM)... is registered with the State of
84 Section 3. Subsections (1), (2), (5), (6), (7), (9), and 113 Florida as a Moving Broker. Fla. Moving Broker Registration No.
85 (11) of section 507.03, Florida Statutes, are amended, and 114 .....”
86 subsections (12) and (13) are added to that section, to read: 115 (6)(a) Each advertisement of a mover or moving broker must
87 507.03 Registration.— 116 include the phrase “Fla. Mover Reg. No. ....” or “Fla. IM No.
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117 .....” Each of the mover’s vehicles must clearly and 146 registered movers that the moving broker has contracted or is
118 conspicuously display a sign on the driver’s side door which 147 affiliated with, advertises on behalf of, arranges moves for, or
119 includes at least one of these phrases in lettering of at least 148 refers shippers to, including each mover’s complete name,
120 1.5 inches in height. 149 address, telephone number, and e-mail address, and registration
121 (b) Each advertisement of a moving broker must include the 150 number and the name of each mover’s owners, corporate officers,
122 phrase “Fla. Moving Broker Reg. No. ..... ...(NAME OF MOVING 151 and directors owner or other principal. A moving broker must
123 BROKER)... is a moving broker. ...(NAME OF MOVING BROKER)... is 152 notify the department of any changes to the provided
124 paid by a shipper to arrange, or offer to arrange, the 153 information. The department shall publish and maintain on its
125 transportation of property by a registered mover.” 154 website a list of all moving brokers and the registered movers
126 (7) A registration is not valid for any mover or moving 155 each moving broker is contracted with.
127 broker transacting business at any place other than that 156 (12) A person required to register pursuant to this section
128 designated in the mover’s or moving broker’s application, unless 157 may not operate as or hold itself out to be a mover or moving
129 the department is first notified in writing before any change of 158 broker without first registering with the department pursuant to
130 location. A registration issued under this chapter is not 159 this section.
131 assignable, and the mover or moving broker may not conduct 160 (13) The department must immediately issue a cease and
132 business under more than one name except as registered. A mover 161 desist order to a person upon finding that the person is
133 or moving broker desiring to change its registered name or 162 operating as a mover or a moving broker without registering
134 location or designated agent for service of process at a time 163 pursuant to this section. In addition, and notwithstanding the
135 other than upon renewal of registration must notify the 164 availability of any administrative relief under chapter 120, the
136 department of the change. 165 department may seek from the appropriate circuit court an
137 (9) The department shall deny or refuse to renew the 166 immediate injunction prohibiting the person from operating in
138 registration of a mover or a moving broker or deny a 167 this state until the person complies with this section and pays
139 registration or renewal request by any of the mover’s or moving 168 a civil penalty not to exceed $5,000 and court costs.
140 broker’s directors, officers, owners, or general partners if the 169 Section 4. Present subsections (3), (4), and (5) of section
141 mover or moving broker has not satisfied a civil penalty or 170 507.04, Florida Statutes, are redesignated as subsections (4),
142 administrative fine for a violation of s. 507.07(10) s. 171 (5), and (6), respectively, a new subsection (3) is added to
143 507.07(9). 172 that section, and subsection (1) and present subsections (4) and
144 (11) At the request of the department, Each moving broker 173 (5) of that section are amended, to read:
145 shall provide the department with a complete list of the 174 507.04 Required insurance coverages; liability limitations;
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175 valuation coverage.— 204 institution in the amount of $50,000.
176 (1) LIABILITY INSURANCE.— 205
177 (a)1. Except as provided in paragraph (b), each mover 206 The original bond or certificate of deposit must be filed with
178 operating in this state must maintain current and valid 207 the department and must designate the department as the sole
179 liability insurance coverage of at least $10,000 per shipment 208 beneficiary. The department must use the bond or certificate of
180 for the loss or damage of household goods resulting from the 209 deposit exclusively for the payment of claims to consumers who
181 negligence of the mover or its employees or agents. 210 are injured by the fraud, misrepresentation, breach of contract,
182 2. The mover must provide the department with evidence of 211 misfeasance, malfeasance, or financial failure of the mover or
183 liability insurance coverage before the mover is registered with 212 moving broker or by a violation of this chapter by the mover or
184 the department under s. 507.03. All insurance coverage 213 moving broker. Liability for these injuries may be determined in
185 maintained by a mover must remain in effect throughout the 214 an administrative proceeding of the department or through a
186 mover’s registration period. A mover’s failure to maintain 215 civil action in a court of competent jurisdiction. However,
187 insurance coverage in accordance with this paragraph constitutes 216 claims against the bond or certificate of deposit must only be
188 an immediate threat to the public health, safety, and welfare. 217 paid, in amounts not to exceed the determined liability for
189 (b) A mover that operates two or fewer vehicles, in lieu of 218 these injuries, by order of the department in an administrative
190 maintaining the liability insurance coverage required under 219 proceeding. The bond or certificate of deposit is subject to
191 paragraph (a), may, and each moving broker must, maintain one of 220 successive claims, but the aggregate amount of these claims may
192 the following alternative coverages: 221 not exceed the amount of the bond or certificate of deposit.
193 1. A performance bond in the amount of $50,000 $25,000, for 222 (3) REGISTRATION SUSPENSION.—The department must
194 which the surety of the bond must be a surety company authorized 223 immediately suspend a mover’s or moving broker’s registration if
195 to conduct business in this state; or 224 the mover or moving broker fails to maintain the performance
196 2. A certificate of deposit in a Florida banking 225 bond or certificate of deposit required under subsection (1) or
197 institution in the amount of $50,000 $25,000. 226 the insurance required under subsection (2), and the mover or
198 (c) A moving broker must maintain one of the following 227 moving broker must immediately cease operating as a mover or
199 coverages: 228 moving broker in this state. In addition, and notwithstanding
200 1. A performance bond in the amount of $50,000, for which 229 the availability of any administrative relief pursuant to
201 the surety of the bond must be a surety company authorized to 230 chapter 120, the department may seek from a circuit court an
202 conduct business in this state; or 231 immediate injunction prohibiting the mover or moving broker from
203 2. A certificate of deposit in a Florida banking 232 operating in this state until the mover or moving broker
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233 complies with subsections (1) and (2) and pays a civil penalty 262 required under subsection (5) (4), the coverage satisfies the
234 not to exceed $5,000 and court costs. 263 mover’s liability for the minimum valuation rate.
235 (5)(4) LIABILITY LIMITATIONS; VALUATION RATES.—A mover may 264 Section 5. Section 507.05, Florida Statutes, is amended to
236 not limit its liability for the loss or damage of household 265 read:
237 goods to a valuation rate that is less than 60 cents per pound 266 507.05 Estimates and contracts for service.—Before
238 per article. A provision of a contract for moving services is 267 providing any moving or accessorial services, an estimate and a
239 void if the provision limits a mover’s liability to a valuation 268 contract and estimate must be prepared by a registered mover and
240 rate that is less than the minimum rate under this subsection. 269 provided to a prospective shipper in writing, and the shipper,
241 If a mover limits its liability for a shipper’s goods, the mover 270 the mover, and, if applicable, the moving broker must sign or
242 must disclose the limitation, including the valuation rate, to 271 electronically acknowledge and date the estimate and contract.
243 the shipper in writing at the time that the estimate and 272 At a minimum, the estimate and contract for service must be
244 contract for services are executed and before any moving or 273 signed and dated by the shipper and the mover, and must include:
245 accessorial services are provided. The disclosure must also 274 (1) The name, telephone number, and physical address where
246 inform the shipper of the opportunity to purchase valuation 275 the mover’s and, if applicable, the moving broker’s employees
247 coverage if the mover offers that coverage under subsection (6) 276 are available during normal business hours.
248 (5). 277 (2) The date the estimate and contract were or estimate is
249 (6)(5) VALUATION COVERAGE.—A mover may offer valuation 278 prepared by the mover and the any proposed date or dates of the
250 coverage to compensate a shipper for the loss or damage of the 279 shipper’s household move, including, but not limited to,
251 shipper’s household goods that are lost or damaged during a 280 loading, transportation, shipment, and unloading of household
252 household move. If a mover offers valuation coverage, the 281 goods and accessorial services.
253 coverage must indemnify the shipper for at least the minimum 282 (3) The name and address of the shipper, the addresses
254 valuation rate required under subsection (5) (4). The mover must 283 where the articles are to be picked up and delivered, and a
255 disclose the terms of the coverage to the shipper in writing at 284 telephone number where the shipper may be reached.
256 the time that the estimate and contract for services are 285 (4) The name, telephone number, and physical address of the
257 executed and before any moving or accessorial services are 286 any location where the household goods will be held pending
258 provided. The disclosure must inform the shipper of the cost of 287 further transportation, including situations in which where the
259 the valuation coverage, the valuation rate of the coverage, and 288 mover retains possession of household goods pending resolution
260 the opportunity to reject the coverage. If valuation coverage 289 of a fee dispute with the shipper.
261 compensates a shipper for at least the minimum valuation rate 290 (5) An itemized breakdown and description and total of all
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291 costs and services for loading, transportation or shipment, 320 including, but not limited to, the loading, transportation or
292 unloading, and accessorial services to be provided during a 321 shipment, or unloading of household goods and accessorial
293 household move or storage of household goods, including the fees 322 services.
294 of a moving broker, if used. 323 (2) Before providing any service to a prospective shipper,
295 (6) Acceptable forms of payment, which must be clearly and 324 a moving broker must disclose to the shipper that the broker may
296 conspicuously disclosed to the shipper on the binding estimate 325 only arrange, or offer to arrange, the transportation of
297 and the contract for services. A mover must shall accept at 326 property by a registered mover. A moving broker’s fees may not
298 least a minimum of two of the three following forms of payment: 327 include the cost of the shipper’s household move, including, but
299 (a) Cash, cashier’s check, money order, or traveler’s 328 not limited to, the loading, transportation or shipment, or
300 check; 329 unloading of household goods and accessorial services. Any
301 (b) Valid personal check, showing upon its face the name 330 document provided to a shipper by a moving broker must include
302 and address of the shipper or authorized representative; or 331 all of the following:
303 (c) Valid credit card, which shall include, but not be 332 (a) The name of the moving broker and the moving broker’s
304 limited to, Visa or MasterCard. 333 registration number.
305 334 (b) The following statement displayed at the top of the
306 A mover must clearly and conspicuously disclose to the shipper 335 document: “...(Name of Moving Broker)... is not a mover.
307 in the estimate and contract for services the forms of payments 336 ...(Name of Moving Broker)... is paid by the shipper to arrange,
308 the mover will accept, including the forms of payment described 337 or offer to arrange, the transportation of property by a
309 in paragraphs (a)-(c). 338 registered mover. The moving broker’s fees do not include the
310 Section 6. Section 507.056, Florida Statutes, is created to 339 cost of the shipper’s household move, including, but not limited
311 read: 340 to, the loading, transportation or shipment, or unloading of
312 507.056 Moving brokers; services.— 341 household goods and accessorial services.”
313 (1) A moving broker may only arrange with a registered 342 (c) The name, telephone number, and physical address where
314 mover for the loading, transportation or shipment, or unloading 343 the moving broker’s employees are available during normal
315 of household goods as part of a household move or refer a 344 business hours.
316 shipper to a registered mover. Moving brokers may not give a 345 (d) An itemized breakdown, description, and total of all
317 verbal estimate or prepare a written estimate or contract for 346 fees the moving broker charges to arrange with a registered
318 services which sets forth the total costs and describes the 347 mover for the loading, transportation or shipment, or unloading
319 basis of those costs relating to a shipper’s household move, 348 of household goods as part of a household move or to refer the
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349 shipper to a registered mover. 378 the following if the department finds that a mover or moving
350 (e) A list of all of the registered movers the moving 379 broker, or a person employed or contracted by a mover or moving
351 broker has contracted with or is affiliated with, advertises on 380 broker, has violated or is operating in violation of this
352 behalf of, arranges moves for, or refers shippers to, including 381 chapter or the rules or orders issued pursuant to this chapter:
353 each mover’s complete name, address, telephone number, e-mail 382 (a) Issuing a notice of noncompliance under s. 120.695.
354 address, and Florida Intrastate Registration Number and the name 383 (b) Imposing an administrative fine in the Class II
355 of each mover’s owners, corporate officers, and directors. 384 category pursuant to s. 570.971 for each act or omission.
356 (f) A list of acceptable forms of payment, which must 385 However, the department must impose an administrative fine in
357 include all of the forms of payment listed in at least two of 386 the Class IV category for each violation of s. 507.07(10) s.
358 the following subparagraphs: 387 507.07(9) if the department does not seek a civil penalty for
359 1. Cash, cashier’s check, money order, or traveler’s check. 388 the same offense.
360 2. Valid personal check, showing upon its face the name and 389 (c) Directing that the person cease and desist specified
361 address of the shipper or authorized representative. 390 activities.
362 3. Valid credit card, including, but not limited to, Visa 391 (d) Refusing to register or revoking or suspending a
363 or MasterCard. 392 registration.
364 Section 7. Present subsections (8) and (9) of section 393 (e) Placing the registrant on probation, subject to the
365 507.07, Florida Statutes, are redesignated as subsections (9) 394 conditions specified by the department.
366 and (10), respectively, and a new subsection (8) is added to 395 (2) The department, upon notification and subsequent
367 that section, to read: 396 written verification by a law enforcement agency, a court, a
368 507.07 Violations.—It is a violation of this chapter: 397 state attorney, or the Department of Law Enforcement, must
369 (8) For a moving broker to provide an estimate or enter 398 immediately suspend a registration or the processing of an
370 into a contract or agreement for moving, loading, shipping or 399 application for a registration if the registrant, applicant, or
371 transporting, or unloading services with a shipper which was not 400 officer or director of the registrant or applicant is formally
372 prepared and electronically acknowledged or signed by a mover 401 charged with a crime involving fraud, theft, larceny,
373 who is registered with the department pursuant to this chapter. 402 embezzlement, or fraudulent conversion or misappropriation of
374 Section 8. Section 507.09, Florida Statutes, is amended to 403 property or a crime arising from conduct during a movement of
375 read: 404 household goods until final disposition of the case or removal
376 507.09 Administrative remedies; penalties.— 405 or resignation of that officer or director.
377 (1) The department may enter an order doing one or more of 406 (3) The administrative proceedings that which could result
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407 in the entry of an order imposing any of the penalties specified 436 A mover’s compliance with an order from a law enforcement
408 in subsection (1) or subsection (2) are governed by chapter 120. 437 officer to relinquish goods to a shipper is not a waiver or
409 (4)(3) The department may adopt rules under ss. 120.536(1) 438 finding of fact regarding any right to seek further payment from
410 and 120.54 to administer this chapter. 439 the shipper.
411 Section 9. Subsection (2) of section 507.10, Florida 440 Section 11. This act shall take effect July 1, 2024.
412 Statutes, is amended to read:
413 507.10 Civil penalties; remedies.—
414 (2) The department may seek a civil penalty in the Class II
415 category pursuant to s. 570.971 for each violation of this
416 chapter. However, the department must seek a civil penalty in
417 the Class IV category for each violation of s. 507.07(10) s.
418 507.07(9) if the department does not impose an administrative
419 fine for the same offense.
420 Section 10. Subsection (1) of section 507.11, Florida
421 Statutes, is amended to read:
422 507.11 Criminal penalties.—
423 (1) The refusal of a mover or a mover’s employee, agent, or
424 contractor to comply with an order from a law enforcement
425 officer to relinquish a shipper’s household goods after the
426 officer determines that the shipper has tendered payment of the
427 amount of a written estimate or contract, and, if applicable,
428 amendments to the contract for services reflecting the price
429 adjustment signed by the shipper or after the officer determines
430 that the mover did not produce a signed or electronically
431 acknowledged binding estimate or contract for service and, if
432 applicable, amendments to the contract for services reflecting
433 the price adjustment signed by the shipper upon which demand is
434 being made for payment, is a felony of the third degree,
435 punishable as provided in s. 775.082, s. 775.083, or s. 775.084.
Page 15 of 16 Page 16 of 16
CODING: Words stricken are deletions; words underlined are additions. CODING: Words stricken are deletions; words underlined are additions.
The Florida Senate
1210512023 APPEARANCE RECORD 304
Meeting Date Bill Number orTopic
Deliver both copies of this form to
Commerce and Tourism Senate professional staff conducting the meeting
Committee Amendment Barcode (if applicable)
Name
Nick Mayor Phone
850-524-9659
Address 215 S. Monroe St., Ste 603 Emait nmayor@aarp.org
Slreet
Tallahassee FL 32301
City State Zip
Speaking: - lI ror -ln nguinst [i tnformation OR waive speaking' @ tn support |E ngainst
PLEASE CHECK ONE OFTHE FOLLOWING:
E I am appearing without
compensation or sponsorship. V lam a registered lobbyist
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AARP sponsored by:
This form is part of the public record for this meeting. S-0Ol (Og/jO/2021)
The Florida Senate
BILL ANALYSIS AND FISCAL IMPACT STATEMENT
(This document is based on the provisions contained in the legislation as of the latest date listed below.)
Prepared By: The Professional Staff of the Committee on Commerce and Tourism
BILL: SM 370
INTRODUCER: Senator Wright
SUBJECT: Spaceports
DATE: December 4, 2023 REVISED:
ANALYST STAFF DIRECTOR REFERENCE ACTION
1. Renner McKay CM Favorable
2. RC
I. Summary:
SM 370 is a memorial to Congress urging the members of Congress to add spaceports as a
qualified tax-exempt category of private activity bonds.
Memorials have no force of law, as they are mechanisms for formally petitioning the federal
government to act on a particular subject.
The memorial does not have a fiscal impact on the state or local governments.
II. Present Situation:
Spaceports
A spaceport is defined as any area of land or water, or any manmade object or facility located
therein, developed by Space Florida, which area is intended for public use or for the launching,
takeoff, and landing of spacecraft and aircraft, and includes any appurtenant areas which are used
or intended for public use, for spaceport buildings, or for other spaceport facilities, spaceport
projects, or rights-of-way.1 Spaceport territory includes certain real property located in:
Brevard County which is included in the 1998 boundaries of Patrick Space Force Base,
Cape Canaveral Space Force Station and John F. Kennedy Space Center;
Santa Rosa, Okaloosa, Gulf, and Walton Counties which is included in the 1997
boundaries of Eglin Air Force Base;
Duval County which is included within the boundaries of Cecil Airport and Cecil
Commerce Center;
Brevard County which is included within the boundaries of Space Coast Regional
Airport, Space Coast Regional Airport Industrial Park, and Spaceport Commerce Park;
and
1
Section 331.303(17), F.S.
BILL: SM 370 Page 2
The state which is a spaceport licensed by the Federal Aviation Administration, as
designated by the Space Florida Board of Directors.2
In 1999, space was designated as the fifth mode of transportation in Florida and spaceports as the
associated modal facilities. The Florida Department of Transportation (FDOT) was given
significant responsibilities related to aerospace3 and spaceports in Florida.4 Space Florida acts as
Florida’s point of contact for state aerospace-related activities with federal agencies, the military,
state agencies, businesses, and the private sector.5 The FDOT and Space Florida work together to
plan and facilitate space transportation services on spaceport properties throughout the state.6
Additionally, the FDOT, in consultation with Space Florida, is authorized to fund up to 100
percent of a project at strategic spaceport launch support facilities if the following criteria have
been met:
Important access and on-spaceport and commercial launch facility capacity
improvements are provided;
Capital improvements that strategically position the state to maximize opportunities in
international trade are achieved;
Goals of an integrated intermodal transportation system for Florida are achieved; and
Feasibility and availability of matching funds through federal, local, or private partners
are demonstrated.7
The FDOT’s Spaceport Improvement Program (SIP) is designed to stimulate private sector
investment and commercial spaceport development. The program provides funding for projects
that:
Improve aerospace transportation facilities;
Encourage cooperation and integration of airports and spaceports; and
Facilitate and promote inter-agency efforts to improve space transportation capacity and
efficiency.8
The SIP partners with commercial space launch and spacecraft operators for initiatives such as
expanded commercial heavy lift; launch vehicle manufacturing in Florida; high volume Florida
satellite production; upgraded small launch capability to meet multiple space user needs; crewed
launches to the International Space Station; refurbish processing facilities; and support launch of
2
Section 331.304, F.S.
3
Section 331.303(1), F.S., defines aerospace as the technology and industry related to the design, manufacture, maintenance,
repair, and operation of aircraft or any other device intended to be used or designed for flight or reentry, including rockets,
missiles, spacecraft, satellites, space vehicles, space stations, space and aircraft facilities or components thereof, and related
equipment, systems, facilities, simulators, programs, and activities, including, but not limited to, the application of aerospace
and aviation technologies in air-based, land-based, space-based, and sea-based platforms for commercial, civil, and defense
purposes.
4
Chapter 99-256, Laws of Fla. See also s. 331.360(1), F.S.
5
Section 331.3011, F.S.
6
Section 331.360, F.S.
7
Section 331.371, F.S.
8
Florida Department of Transportation, Spaceport Improvement Program, 2023-2024, p. iv, available at
https://www.spaceflorida.gov/wp-content/uploads/2023/10/SF0080.02DEL-FDOT-Spaceport-Handbook-Update-2023-
230426.pdf (last visited Dec. 4, 2023).
BILL: SM 370 Page 3
new rockets for human transportation in space.9 Partners who have requested SIP funding
include SpaceX, United Launch Alliance, Boeing, Blue Origin, OneWeb, Firefly, and others.10
In performance year 2022, Space Florida recruited, retained, and expanded 15 space and
aerospace related companies and nearly 6,000 jobs, as well as provided $4.3 million in funding
for 30 research projects, partnerships, and grants. Additionally, 85 projects within Space
Florida’s three stages of project development had an estimated value of $2.4 billion in capital
investment and are located in 26 counties. Lastly, 989 payloads went into orbit, there were 39
supported launches, and 384 tons of total payload mass went into orbit.11
Private Activity Bonds
State and local government bonds are classified under the federal tax code as either
governmental bonds or private activity bonds.12 The tax code defines “private business” use as
use (directly or indirectly) in a trade or business carried on by any person other than a
governmental official.13 The interest on state and local governmental bonds is generally exempt
from taxation; however, the interest on private activity bonds is not tax exempt.14 A state or local
bond is a private activity bond if, as of the bond issue date or at any time while the bonds are
outstanding, the bond issue exceeds the limits set forth in either:
The private business tests in 26 U.S.C. §141(b), which consist of the private use test
private security and payment test; or
The private loan financing test in 26 U.S.C. §141(c).15
If the bond passes both conditions, the bonds are taxable and carry a higher interest rate.
However, the bond could still qualify for tax-exempt status if the bond is identified in the tax
code as a qualified private activity.16 Currently there are 30 qualified activities including airports,
docks and wharves.17
The federal government controls the amount of private activity bonds that are permitted to be
issued in each state. Part VI of ch. 159, F.S., establishes statewide procedures for allocating
Florida’s share of private activity bonds. Such allocation is referred to as the allocation of state
volume limitation pursuant to s. 159.804, F.S. The Division of Bond Finance of the State Board
of Administration is responsible for annually determining the amount of the private activity
9
Id at p. 4.
10
Id at p. 6.
11
Space Florida, 2022 Annual Report, p. 9, available at https://www.spaceflorida.gov/wp-content/uploads/2023/01/Space-
Florida-FY22-Annual-Operating-Report.pdf (last visited Dec. 4, 2023).
12
Congressional Research Service, Private Activity Bonds: An Introduction (January 31, 2022), p. 1, available at
https://crsreports.congress.gov/product/pdf/RL/RL31457 (last visited Dec. 4, 2023).
13
26 U.S.C. §141-3.
14
26 U.S.C. § 103.
15
Internal Revenue Service, Tax-Exempt Private Activity Bonds (2019), p. 2, available at https://www.irs.gov/pub/irs-
pdf/p4078.pdf (last visited Dec. 4, 2023).
16
Supra note 12 at 3
17
26 U.S.C. § 142(a)(1) and (2). See Supra note 12 at 11 for the full list of qualified private activities.
BILL: SM 370 Page 4
bonds permitted for statewide allocation under the 1986 Internal Revenue Code, as amended. For
2023, the total private activity bond allocation for Florida is $2.6 billion.18
In Florida, access to private activity bonds is provided by the Florida Development Finance
Corporation (FDFC),19 with the power to function within the corporate limits of any public
agency with which it has entered into an interlocal agreement.20 The FDFC issues the bonds,
which are purchased by a bank or investor(s). The proceeds from the sale are then loaned to
finance capital projects. The interest on the bonds received by the investor is exempt from
federal income tax.21
III. Effect of Proposed Changes:
The memorial urges Congress to add spaceports as a qualified tax-exempt category of private
activity bonds.
Copies of the memorial will be sent by Florida’s Secretary of State to the President of the United
States, the President of the United States Senate, the Speaker of the United States House of
Representatives, and each member of the Florida delegation to the United States Congress.
Legislative memorials are not subject to the governor’s veto power. Memorials have no force of
law, as they are mechanisms for formally petitioning the federal government to act on a
particular subject.
IV. Constitutional Issues:
A. Municipality/County Mandates Restrictions:
Not applicable. The memorial does not require counties and municipalities to spend
funds, reduce the counties’ or municipalities’ ability to raise revenue, or reduce the
percentage of state tax shared with counties or municipalities.
B. Public Records/Open Meetings Issues:
None.
C. Trust Funds Restrictions:
None.
18
State of Florida, Division of Bond Finance, 2023 PAB Allocation with Regional Map, available at
https://www.sbafla.com/bond/Portals/0/Content/2023%20PAB%20State%20Volume%20Cap%20Allocation%20By%20Pool
%20with%20MAP.pdf?ver=2022-12-28-130416-030 (last visited Dec. 4, 2023).
19
See s. 288.9604, F.S. for the creation of the Corporation.
20
Section 288.9605(1), F.S.
21
Florida Development Finance Corporation, Private Activity Bonds, available at https://www.fdfcbonds.com/pab (last
visited Dec. 4, 2023).
BILL: SM 370 Page 5
D. State Tax or Fee Increases:
None.
E. Other Constitutional Issues:
None identified.
V. Fiscal Impact Statement:
A. Tax/Fee Issues:
None.
B. Private Sector Impact:
None.
C. Government Sector Impact:
None.
VI. Technical Deficiencies:
None.
VII. Related Issues:
None.
VIII. Statutes Affected:
None.
IX. Additional Information:
A. Committee Substitute – Statement of Changes:
(Summarizing differences between the Committee Substitute and the prior version of the bill.)
None.
B. Amendments:
None.
This Senate Bill Analysis does not reflect the intent or official position of the bill’s introducer or the Florida Senate.
Florida Senate - 2024 SM 370 Florida Senate - 2024 SM 370
By Senator Wright
8-00539-24 2024370__ 8-00539-24 2024370__
1 Senate Memorial 30 Revenue Code, and
2 A memorial to the Congress of the United States, 31 WHEREAS, this qualification will encourage more investment
3 urging Congress to add spaceports as a qualified tax- 32 in aerospace infrastructure, ensuring that this state remains at
4 exempt category of private activity bonds. 33 the forefront of the space economy, and
5 34 WHEREAS, in the face of growing competition from China and
6 WHEREAS, commercial investment in space and space 35 others, the aggressive development of infrastructure in Florida,
7 transportation is driving the requirements for spaceport sites, 36 the dominant state in the commercial space economy, is key to
8 operating environments, and infrastructure, and 37 maintaining the United States’ leadership in space, and
9 WHEREAS, this state has acted decisively to integrate space 38 WHEREAS, currently, certain parts of operations at airports
10 transportation into the fabric of its statewide strategic 39 and docks and wharfs qualify for tax-exempt financing, NOW,
11 intermodal system, and 40 THEREFORE,
12 WHEREAS, in 1999, state leaders made a landmark decision to 41
13 designate space as an official mode of transportation and 42 Be It Resolved by the Legislature of the State of Florida:
14 spaceports as the associated transportation facilities, which 43
15 gave space standing within the Department of Transportation 44 That the Congress of the United States is urged to add
16 similar to that of other long-established modes of 45 spaceports as a qualified tax-exempt category of private
17 transportation, such as airports and docks and wharfs, and 46 activity bonds.
18 WHEREAS, space is not simply a program; it is a collection 47 BE IT FURTHER RESOLVED that the Secretary of State dispatch
19 of high-value destinations for freight and people, and these 48 copies of this memorial to the President of the United States,
20 destinations require safe, reliable, and sustainable 49 the President of the United States Senate, the Speaker of the
21 transportation operating on market-driven schedules, and 50 United States House of Representatives, and each member of the
22 WHEREAS, in order for this state to become the planet’s 51 Florida delegation to the United States Congress.
23 premiere transportation hub for global space commerce; to
24 facilitate the logistics and transport of commodities,
25 materials, human crew, and robotic systems to operate facilities
26 in various orbits, at Earth-lunar waypoints, and on the moon;
27 and to become the primary port of entry into Earth’s marketplace
28 for products from space, spaceports should qualify as private
29 activity bonds financing-exempt facilities under the Internal
Page 1 of 2 Page 2 of 2
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The Florida Senate
ta - 5-a3 Date
APPEARANCE RECORD
Deliver both copies of this form to
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Senate professional staff conducting the meeting
Committee Amendment Barcode (if applicable)
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Speakin ! Against ! lnformation OR Waive Speaking: Support ! Against
Y--
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"qarzV\
This form is part of the public record for this meeting. s-oo1 (08/10/2021)
CourtSmart Tag Report 2:11:42 PM
2:11:46 PM
Lindsay Pierce, Space Florida, waives in support
Debate?
2:11:48 PM No Debate
2:11:49 PM Senator Wright closes on bill
Room: SB 110 Case No.: Type: 2:11:51 PM Roll Call
Caption: Senate Committee on Commerce and Tourism Judge: 2:11:57 PM SM 370 reported favorably
2:12:31 PM Recording Paused
Started: 12/5/2023 2:02:36 PM 2:17:04 PM Recording Resumed
Ends: 12/5/2023 2:34:43 PM Length: 00:32:08 2:18:13 PM Tab 3, SB 204 Competition for the Sale of Event Ticket by Senator Brodeur
2:19:13 PM Chair Trumbull recognizes Senator Brodeur
2:02:35 PM Chair Trumbull calls meeting to order 2:19:14 PM Senator Brodeur explains the bill
2:02:42 PM CAA calls roll 2:21:15 PM Chair Trumbull
2:02:50 PM Quorum is present 2:21:20 PM Questions?
2:02:58 PM Chair Trumbull in opening comments 2:21:48 PM Senator Brodeur explains strike all amendment 173084
2:03:13 PM Tab 2, SB 196 Regional Rural Development Grants Program by Senator Simon 2:23:46 PM
2:03:37 PM Chair Trumbull recognizes Senator Simon 2:24:38 PM No questions
2:04:06 PM Senator Simon explains bill 2:24:53 PM Senator Brodeur
2:04:15 PM Questions? 2:24:59 PM Chair Trumbull
2:04:16 PM No Questions 2:25:38 PM
2:04:18 PM Public Testimony 2:25:45 PM Senator Rodriguez explains amendment 361308
2:04:18 PM Mike Grissom, waives in support 2:25:54 PM Senator Rodriguez moves to withdraw amendment 361308
2:04:22 PM No questions 2:25:56 PM Amendment 361308 withdrawn
2:04:22 PM Jared Grigas, Fl Association of Counties, waives in support 2:26:00 PM
2:04:23 PM Chair Trumbull 2:26:06 PM No Questions amendment 173084
2:04:28 PM Debate? 2:26:08 PM Public Testimony
2:04:33 PM No Debate 2:26:13 PM Gerard O'Roarke, Vivid Seats, waiving in support
2:04:38 PM 2:26:20 PM Matt Forest, Waiving in opposition
2:04:38 PM 2:26:24 PM Ron Pierce, The Straz Center, waiving against
2:04:44 PM 2:26:25 PM Ron Pierce, Tampa Bay Lighting, waiving against
2:04:44 PM Roll Call 2:26:26 PM Ron Pierce, Tampa Sports Authority, waiving against
2:04:48 PM Senator Simon closes on bill 2:26:27 PM Ron Pierce, Florida Venue Managers Association, waiving against
2:04:50 PM SB 196 reported favorably 2:26:56 PM Matt Forest, Florida Entertainment & Arts Venues Association, waiving against
2:04:57 PM Tab 4, SB 304 Household Moving Services by Senator Hooper 2:27:03 PM Matt Forest, New York Yankees, waiving against
2:05:07 PM Senator Hooper explains SB 304 2:27:19 PM David Touhey, Certified Venue Executive, speaking against
2:06:20 PM Questions? 2:31:36 PM
2:06:22 PM No Questions 2:31:55 PM Kelly Mallefle, Hard Rock Stadium, waiving against
2:06:30 PM Public Testimony 2:32:00 PM Laura Dooley, Stub Hub, waiving in support
2:06:31 PM Nick Mayor, AARP, waiving in support 2:32:05 PM No Debate
2:06:32 PM Debate 2:32:25 PM Chair Trumbull
2:06:33 PM No Debate 2:32:54 PM Chair Trumbull recognizes Senator Brodeur
2:06:43 PM Senator Hooper closes on bill 2:33:03 PM Senator Brodeur request for SB 204 to be postponed to Chair Trumbull
2:06:44 PM Roll Call 2:33:38 PM Chair Trumbull postponed SB 204
2:06:59 PM SB 304 reported favorably 2:33:52 PM Chair Trumbull recognizes Senator Rodriguez
2:07:03 PM Tab 1, SB 106 Acceptance of Cash Payments by Business by Senator Jones 2:33:56 PM Senator Rodriguez votes on SB 196, SB 304, SB 106
2:07:32 PM Senator Jones explains the bill 2:34:10 PM Senator Torres moves to adjourned
2:08:16 PM Questions? 2:34:31 PM Meeting adjourned
2:08:30 PM No Questions
2:08:32 PM Public Testimony
2:09:03 PM Angela Bonds, Florida Retail Federation, Information
2:09:04 PM Jess M. McCarty, Executive Assistant County Attorney, Miami Dade County, waiving in support
2:09:04 PM Courtney Mooney, Fl Association of Counties, waiving in support
2:09:05 PM Debate?
2:09:06 PM No Debate
2:09:10 PM
2:09:14 PM Senator Jones closes on bill
2:09:15 PM Roll Call
2:09:27 PM SB 106 reported favorably
2:09:38 PM Tab 5, SM 370 Spaceports by Senator Wright
2:10:14 PM Senator Wright explains SM 370
2:11:22 PM Questions?
2:11:31 PM No Questions
2:11:35 PM Public Testimony
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