Pandemic Darlings The pandemic economy, in original documents
Home Source documents Economic Infrastructure Subcommittee, Wednesday, March 5, 2025

Economic Infrastructure Subcommittee, Wednesday, March 5, 2025

Summary

Meeting packet for the Florida House of Representatives Commerce Committee Economic Infrastructure Subcommittee, Wednesday, March 5, 2025, 10:15 am – 12:15 pm, Reed Hall (102 HOB). The agenda lists consideration of HB 11, Municipal Water and Sewer Utility Rates, and a panel discussion on Utility Use of the Public Right-of-Way. The bill analysis states that a municipality which operates a water or sewer utility outside its municipal boundaries must charge consumers in a separate municipality the same rates, fees, and charges as it charges consumers within its boundaries, if it uses a treatment plant located in the separate municipality. It provides an effective date of July 1, 2025, and says the bill may have an indeterminate negative impact on certain local government revenues.

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

“Economic Infrastructure Subcommittee, Wednesday, March 5, 2025.” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2025-03-05-3286-economic-infrastructure-subcommittee-meeting-packets-f-2a097ecca5/, SHA-256 dd7dcf4c447b71a422f5ed3a7aee26fbd90b54d8e3d597d66d87face78027041.

Full text

 Economic Infrastructure Subcommittee
               Wednesday, March 5, 2025
                 10:15 AM - 12:15 PM
                 Reed Hall (102 HOB)




Daniel Perez                              Chip LaMarca
Speaker                                          Chair
                    The Florida House of Representatives
                                          Commerce Committee
                               Economic Infrastructure Subcommittee
Daniel Perez                                                                                        Chip LaMarca
Speaker                                                                                                    Chair




                                           Meeting Agenda
                                        Wednesday, March 5, 2025
                                          10:15 am – 12:15 pm
                                         Reed Hall (102 HOB)




  I.   Call to Order

 II.   Roll Call

III.   Welcome and Opening Remarks

IV.     Consideration of the following bill(s):

       •   HB 11 Municipal Water and Sewer Utility Rates by Robinson, F.

 V.    Panel Discussion on Utility Use of the Public Right-of-Way

VI.    Closing Remarks

VII.   Adjournment




                   214 House Office Building, 402 South Monroe Street, Tallahassee, Fl 32399-1300
                                                   (850) 717-4870
HB 11
                                     FLORIDA HOUSE OF REPRESENTATIVES
                                               BILL ANALYSIS
       This bill analysis was prepared by nonpartisan committee staff and does not constitute an official statement of legislative intent.
BILL #: HB 11                                         COMPANION BILL: SB 202 (Jones)
TITLE: Municipal Water and Sewer Utility Rates        LINKED BILLS: None
SPONSOR(S): Robinson, F.                              RELATED BILLS: None
Committee References
     Economic Infrastructure               Intergovernmental Affairs                 Commerce
                                                                                               

SUMMARY
Effect of the Bill:
The bill states that a municipality which operates a water or sewer utility outside its municipal boundaries must
charge consumers outside its boundaries the same rates, fees, and charges as it charges consumers within its
boundaries if:
    The consumers are located in a separate municipality, and
    The municipality providing service uses a water or sewer treatment plant located in the separate
        municipality to serve those consumers.

Fiscal or Economic Impact:
The bill may have an indeterminate negative impact on certain local government revenues.


JUMP TO                  SUMMARY                          ANALYSIS                  RELEVANT INFORMATION                    BILL HISTORY


ANALYSIS
EFFECT OF THE BILL:
The bill provides that a municipally owned utility which provides water or sewer services outside of its municipal
boundaries must charge consumers outside its boundaries the same rates, fees, and charges as it charges
consumers within its boundaries if:
    The consumers are located in a separate municipality, and
    The municipality providing service uses a water or sewer treatment plant located in the separate
        municipality to serve those consumers. (Section 1).

The bill provides an effective date of July 1, 2025. (Section 2).

FISCAL OR ECONOMIC IMPACT:
LOCAL GOVERNMENT:
The bill may have a negative fiscal impact on municipalities which own and operate water or sewer utilities and
serve consumers located in another municipality with facilities located in the recipient municipality, as it reduces
the amount that those municipal water and sewer utilities that use such facilities can charge such consumers.

PRIVATE SECTOR:
The bill may result in cost savings for certain municipal water and sewer utility consumers located outside of
municipal boundaries.

RELEVANT INFORMATION
SUBJECT OVERVIEW:
Municipally Owned Utilities
STORAGE NAME: h0011.EIS
DATE: 3/4/2025
                                                                                                                                             1
Pursuant to Art. VIII, s. 2(b), of the Florida Constitution, municipalities have the governmental, corporate, and
proprietary powers to enable them to conduct municipal government, perform municipal functions, and render
municipal services. Municipalities may exercise any power for municipal purposes, except when expressly
prohibited by law.1 The legislative body of each municipality has the power to enact legislation on any subject upon
which the state Legislature may act with certain exceptions.2 Under their home rule power and as otherwise
provided or limited by law or agreement, municipalities may provide utilities to citizens and entities within the
municipality’s corporate boundaries, in unincorporated areas, and even in other municipalities.

Municipalities are authorized by general law to provide water and sewer utility services.3 With respect to public
works projects, including water and sewer utility services,4 municipalities may extend and execute their corporate
powers outside of their corporate limits as “desirable or necessary for the promotion of the public health, safety
and welfare.”5 A municipality may not extend or apply these corporate powers within the corporate limits of
another municipality.6 However, it may permit any other municipality and the owners of lands outside its
corporate limits or within the limits of another municipality to connect with its water and sewer utility facilities
and use its services upon agreed terms and conditions.7 An informal study conducted in 2014 indicated that
approximately 250 municipalities provided water service and approximately 220 municipalities provided
wastewater service. Of these municipalities, the study found that approximately 140 provided water and/or
wastewater services to consumers outside of their municipal boundaries, which may have included consumers in
unincorporated areas of counties or in other municipalities.8 These utility systems are exempt from the jurisdiction
of the Florida Public Service Commission.9

Municipal Utility Rates, Fees, and Charges Outside of Municipal Boundaries

A municipality that operates a water or sewer utility outside of its municipal boundaries may impose higher rates,
fees, and charges on consumers receiving service outside of its corporate boundaries as compared to the rates,
fees, and charges imposed on consumers within its boundaries. The municipality can accomplish this in two ways:
     First, for consumers outside of its boundaries, it may add a surcharge of up to 25 percent of the rates, fees,
        and charges imposed on consumers within its boundaries. This mechanism does not require a public
        hearing.10
     Second, it may set separate rates, fees, and charges for consumers outside its boundaries based on the same
        factors used to set rates for consumers within its boundaries. It may add a surcharge of up to 25 percent of
        these charges, provided that the total of all such rates, fees, and charges for service to consumers outside its
        boundaries may not exceed the total charges to consumers within its boundaries by more than 50 percent
        for corresponding service. Rates set in this manner require a public hearing at which all users served or to



1 Section 166.021(2), F.S., provides that any activity or power which may be exercised by the state or its political subdivisions

is considered a municipal purpose.
2 Pursuant to s. 166.021(3), F.S., a municipality may not enact legislation on the following: the subjects of annexation, merger,

and exercise of extraterritorial power, which require general law or special law; any subject expressly prohibited by the
constitution; any subject expressly preempted to state or county government by the constitution or by general law; and any
subject preempted to a county pursuant to a county charter adopted under the authority of the State constitution.
3 Pursuant to s. 180.06, F.S., a municipality may “provide water and alternative water supplies;” “provide for the collection and

disposal of sewage, including wastewater reuse, and other liquid wastes;” and “construct reservoirs, sewerage systems, trunk
sewers, intercepting sewers, pumping stations, wells, siphons, intakes, pipelines, distribution systems, purification works,
collection systems, treatment and disposal works” to accomplish these purposes.
4 Other public works projects authorized under s. 180.06, F.S., include alternative water supplies, maintenance of water flow

and bodies of water for sanitary purposes, garbage collection and disposal, airports, hospitals, jails, golf courses, gas plants and
distribution systems, and related facilities.
5 S. 180.02(2), F.S.
6 Id.
7 S. 180.19, F.S.
8 Analysis of House Bill 813 (2014), Florida House of Representatives.
9 S. 367.022(2), F.S.
10 S. 180.191(1)(a), F.S.


JUMP TO                 SUMMARY                      ANALYSIS               RELEVANT INFORMATION                BILL HISTORY
                                                                                                                                    2
         be served by the water or sewer utilities and all other interested persons will have an opportunity to be
         heard concerning the proposed rates. 11

There is no central repository for information concerning municipal water or sewer service rates that identifies
municipalities that impose higher rates on consumers outside of the municipal boundaries, the specific mechanism
used by such municipalities to establish such rates, or the level of any additional charge or surcharge imposed.

Additional Relevant Information

Art. VII, s. 18(b), of the Florida Constitution states that the legislature may not enact any law that would reduce the
authority municipalities or counties have to raise revenues in the aggregate, except upon approval of two-thirds of
the membership of each house of the legislature.

                                                 BILL HISTORY
                                                                                     STAFF
                                                                                   DIRECTOR/            ANALYSIS
COMMITTEE REFERENCE                          ACTION                 DATE          POLICY CHIEF        PREPARED BY
Economic Infrastructure                                                              Keating             Bauldree
Subcommittee
Intergovernmental Affairs
Subcommittee
Commerce Committee




11 S. 180.191(1)(b), F.S.


JUMP TO                     SUMMARY             ANALYSIS             RELEVANT INFORMATION            BILL HISTORY
                                                                                                                      3
F   L      O   R   I   D   A     H   O   U   S   E      O   F      R   E   P    R   E   S   E   N   T   A   T   I    V   E    S




           HB 11                                                                                                2025




    1                                         A bill to be entitled
    2              An act relating to municipal water and sewer utility
    3              rates; amending s. 180.191, F.S.; requiring a
    4              municipality to charge consumers receiving its utility
    5              services in another municipality the same rates, fees,
    6              and charges as it charges consumers within its own
    7              municipal boundaries under certain circumstances;
    8              providing an effective date.
    9
10         Be It Enacted by the Legislature of the State of Florida:
11
12                 Section 1.         Subsections (2), (3), and (4) of section
13         180.191, Florida Statutes, are renumbered as subsections (3),
14         (4), and (5), respectively, subsection (1) is amended, and a new
15         subsection (2) is added to that section, to read:
16                 180.191       Limitation on rates charged consumer outside city
17         limits.—
18                 (1)     Any municipality within this the state that operates
19         operating a water or sewer utility outside of the boundaries of
20         the such municipality shall charge consumers outside the
21         boundaries rates, fees, and charges determined in one of the
22         following manners:
23                 (a)     It may charge the same rates, fees, and charges as
24         consumers inside the municipal boundaries. However, in addition
25         thereto, the municipality may add a surcharge of not more than

                                                         Page 1 of 3

        CODING: Words stricken are deletions; words underlined are additions.
                                                                                                                    hb11-00
F   L   O   R   I   D   A     H   O   U   S   E      O   F      R   E   P    R   E   S   E   N   T   A   T   I    V   E    S




        HB 11                                                                                                2025




26      25 percent of such rates, fees, and charges to consumers outside
27      the boundaries, except as provided in subsection (2). Fixing of
28      the such rates, fees, and charges in this manner does shall not
29      require a public hearing except as may be provided for service
30      to consumers inside the municipality.
31              (b)     It may charge rates, fees, and charges that are just
32      and equitable and that which are based on the same factors used
33      in fixing the rates, fees, and charges for consumers inside the
34      municipal boundaries, except as provided in subsection (2). In
35      addition thereto, the municipality may add a surcharge not to
36      exceed 25 percent of the such rates, fees, and charges for said
37      services to consumers outside the boundaries. However, the total
38      of all the such rates, fees, and charges for the services to
39      consumers outside the boundaries may shall not be more than 50
40      percent in excess of the total amount the municipality charges
41      consumers served within the municipality for corresponding
42      service. The No Such rates, fees, and charges may not shall be
43      fixed until after a public hearing at which all of the users of
44      the water or sewer systems; owners, tenants, or occupants of
45      property served or to be served thereby; and all others
46      interested shall have had an opportunity to be heard concerning
47      the proposed rates, fees, and charges. Any change or revision of
48      the such rates, fees, or charges may be made in the same manner
49      as the such rates, fees, or charges were originally established,
50      but if a such change or revision is to be made substantially pro

                                                      Page 2 of 3

     CODING: Words stricken are deletions; words underlined are additions.
                                                                                                                 hb11-00
F   L   O   R   I   D   A     H   O   U   S   E      O   F      R   E   P    R   E   S   E   N   T   A   T   I    V   E    S




        HB 11                                                                                                2025




51      rata as to all classes of service, both inside and outside the
52      municipality, a no hearing or notice is not shall be required.
53              (2)     Any municipality within this state that operates a
54      water or sewer utility providing service to consumers within the
55      boundaries of a separate municipality using a water treatment
56      plant or sewer treatment plant located within the boundaries of
57      that separate municipality shall charge consumers in the
58      separate municipality the same rates, fees, and charges as it
59      charges the consumers within its own municipal boundaries.
60              Section 2.         This act shall take effect July 1, 2025.




                                                      Page 3 of 3

     CODING: Words stricken are deletions; words underlined are additions.
                                                                                                                 hb11-00


File and source

File
2025-03-05_3286_economic-infrastructure-subcommittee_meeting-packets_fn-eis-3-5-25.pdf
Size
907,039 bytes
SHA-256
dd7dcf4c447b71a422f5ed3a7aee26fbd90b54d8e3d597d66d87face78027041
Our copy
2025-03-05_3286_economic-infrastructure-subcommittee_meeting-packets_fn-eis-3-5-25.pdf
Original
No public link identified.
Back to top