Daily Legislative Brief from April 19, 2017
                
                
                  Legal & Judicial
                  HB 775-Relating to  Motor Vehicle Warranty Repairs and Recall Repairs
                    On Wednesday, April 19th, HB  775, by Representative Manny Diaz (R-Hialeah Gardens), was heard before  the House Commerce Committee and passed by a vote of 29 yeas to 0 nays. AIF’s Senior Vice President of State and Federal Affairs, Brewster Bevis, spoke in opposition to this bill.
                  This bill prohibits a licensee, except as authorized by law, from denying a dealer’s claim, reducing the dealer’s compensation, or processing a chargeback to a dealer for performing covered warranty or recall repairs on a used motor vehicle under specified circumstances. The bill alters the playing field and may have a chilling effect on manufacturing in general. The complex issue surrounding safety recalls should be a federal matter, better addressed at the national level with the goal of creating uniform public policy that improves motor vehicle safety, encourages technological innovation, and protects our planet.
                  HB 775 will now go to  the House floor to be heard.
                  AIF OPPOSES legislation that would intervene in any contractual agreement between a dealer franchise and an auto manufacturer, voluntarily entered by each party, and  dictate new terms and conditions of such mutual agreement that favor one party over the other.
                   
                  HB  1175-Relating to Motor Vehicle Manufacturers and Dealers
                    On  Wednesday, April 19th, HB 1175, by Representative Manny Diaz  (R-Hialeah Gardens), was heard before the House Commerce Committee and passed  by a vote of 24 yeas to 3 nays. AIF’s Senior Vice President of State and  Federal Affairs, Brewster Bevis, stood in opposition to this bill.
                  The bill  provides additional grounds to deny, suspend, or revoke a license held by a  motor vehicle manufacturer, factory branch, distributor, or importer  (“manufacturer”) within their contractual agreement. The bill prohibits  manufacturers from taking certain actions against motor vehicle dealers and  requires certain procedures be followed by the manufacturer when dealing with  motor vehicle dealers.
                  HB 1175  will go on to the House floor to be heard.
                  AIF OPPOSES legislation that  would intervene in any contractual agreement between a dealer franchise and an  auto manufacturer, voluntarily entered by each party, and dictate new terms and  conditions of such mutual agreement that favor one party over the other.
                   
                  SB 388-Relating to  Beverage Law
                    On Wednesday, April 19th, SB 388, by Senator Travis Hutson (R-Palm Coast), was  read for a third time on the Senate floor and passed by a vote of 36 yeas to 1  nay.  
                   Florida’s “Tied House  Evil Law,” s. 561.42, F.S., prohibits a manufacturer or distributor of  alcoholic beverages from having a financial interest, directly or indirectly,  in the establishment or business of a licensed vendor, and prohibits a  manufacturer or distributor from giving gifts, loans, property, or rebates to  retail vendors.
                  The bill exempts  financial transactions between a vendor and a manufacturer from all tied evil  house prohibitions if the following conditions are met:
                  
                    - The financial  transaction must be negotiated at arm’s length for fair market value between a  manufacturer of beer or malt beverages, and
 
                    - The financial  transaction cannot involve, either all or in part, the direct sale or  distribution of beer or malt beverages between the manufacturer and the  licensed vendor.
 
                  
                  
                    SB 388 will now go to  the House floor for consideration.
                  AIF SUPPORTS this  legislation because it would remove unnecessary and outdated regulations on  Florida’s businesses.
                   
                  SB  832-Relating to Drones  
                    On  Wednesday, April 19th, SB 832, by Senator Dana Young (R-Tampa)  was heard in Senate Committee on Communications, Energy, and Public Utilities  and passed by a vote of 5 yeas to 0 nays. AIF’s Senior Vice President of State and Federal Affairs,  Brewster Bevis, stood in support of this bill.
                  This bill  will ensure a consistent framework for the use of drones. As the use of drones  becomes increasingly more common in many different sectors of the business  community throughout the state, implementing statewide regulations will  establish safeguards while operating drones.
                  SB 832  will go to the Senate Committee on Rules for its third hearing.
                  AIF SUPPORTS legislation that  will streamline business regulation throughout the state.
                 
                
                  Economic Development
                  HB 853-Relating to  Beer or Malt Beverages
                    On Wednesday, April 19th, HB 843,  by Representative Tom Goodson (R-Merritt Island), was heard by the House Commerce  Committee and passed by a vote of 19 yeas to 9 nays. AIF’s Senior Vice  President of State and Federal Affairs, Brewster Bevis, stood in support of  this bill.
                  Currently, vendors  must purchase glassware from distributors for use in their  establishments. 
                    This bill allows for beer distributors to provide beer or malt beverage branded  glassware to vendors for their use, cutting down on the vendors over all costs.
                  HB 853 will now go on  to the House floor to be heard.
                  AIF SUPPORTS legislation that will reduce costs on Florida’s businesses by allowing distributors to provide vendors, at no cost, glassware to use in their establishments.
                 
                
                  Agriculture
                  HB  1231-Relating to Agricultural Practices
                    On  Wednesday, April 19th, HB 1231, by Representative Jake Raburn  (R-Valrico), was heard before the House Commerce Committee and passed by a vote  of 20 yeas to 0 nays. AIF  stood in support of this bill.
                  This bill  clarifies that livestock, poultry, and aquaculture medical supplies are exempt  from sales tax. The bill repeals a supplemental pesticide registration fee  which was added to bi-annual pesticide registrations. The bill also expands the  travel radius limitations on the state restricted agricultural tag from  "150" miles to statewide.
                  HB 1231  will now go to the House floor to be heard.
                  AIF SUPPORTS the various  provisions of this bill which help our agricultural industry remain competitive  and continue to be a driving force in Florida's economy.
                 
                
                  Transportation
                  HB 221-Relating to  Transportation Network Companies (TNCs)  
                    On Wednesday, April 19th, HB 221, by Representative Chris Sprowls  (R-Clearwater) and Representative James Grant (R-Tampa), was substituted  for its Senate companion, SB  340 by Senator Jeff Brandes (R-St. Petersburg), was then read for a  third time on the Senate floor and passed   by a vote of 36 yeas to 1 nays. 
                  This bill aims to  establish a regulatory framework for Transportation Network Companies (TNCs)  and how they operate throughout communities in Florida. HB 221 defines what  constitutes as a “TNC vehicle”, sets in place insurance requirements and  preempts authority to the state, which will allow for a streamlined set of  rules to be followed throughout the state.
                  HB 221 will now go to the  desk of the Governor. 
                  AIF SUPPORTS statewide  digital transportation service policies to create price competition, promote  consumer choice, enhance customer experience, create jobs and remove  anti-competitive local regulations.
                 
                
                  Insurance
                  HB  7085-Relating to Workers’ Compensation
                    Yesterday, Tuesday, April 18th and today, Wednesday, April 19th, HB 7085, by Representative Danny Burgess  (R-Zephyrhills) and the House  Insurance & Banking Subcommittee, was amended, read for a third time on  the House floor and passed by a vote of 82 yeas to  37 nays. 
                  During the  amending process on the House floor, several amendments were defeated that  would have eroded the bills ability to reduce workers’ compensation rates.
                  This  legislation addresses the issues within Florida’s Workers’ Compensation law that  have deemed the law unconstitutional, specifically the issue of rate increases,  attorney fees, claimant benefits, etc.
                   Provisions  for HB 7085 include: 
                  
                    - Permitting direct payment of attorneys by or for claimants  making the injured worker responsible for any remaining attorney fees if  required by their retainer agreement.  Retainer agreements must be filed  with a JCC; 
 
                    - Increasing total combined TTD/TPD benefits from 104 weeks to 260  weeks; 
 
                    - Closing benefit gaps occurring when TTD/TPD ends, but the  injured worker is not at overall maximum medical improvement (MMI) and/or no  overall permanent impairment rating; 
 
                    - Requiring claimants to be notified that they may be responsible  for their own attorney’s fees if they do not prevail;  
 
                    - Requiring more specificity on a petition and requires a JCC to  dismiss a petition for lack of specificity, without prejudice, within 10 days  or 20 days, depending upon whether a hearing is required; 
 
                    - Requiring claimants’ attorneys to detail hours worked in the  form of an attestation to a JCC at certain intervals before a hearing on a  petition for benefits (PFB); 
 
                    - Requiring a good faith attempt to resolve issues before a PFB is  filed and allows JCCs to dismiss PFBs when a good faith effort was not  made;   
 
                    - Allowing deviations from the current statutory fee schedule  (departure fee) if the fees under the schedule are less than 40 percent or  greater than 125 percent of the customary fee when the amount allowed under the  fee schedule is converted to an hourly rate;  
 
                    - Requiring a JCC, when determining the departure fee, to  consider certain factors, and compute a new hourly rate capped at $150/hour  which is the average hourly rate of defense attorneys;  
 
                    - Allowing employers and carriers to contest departure fees within  20 days of an award which will be reviewed by a JCC in another  district;  
 
                    - Eliminating carrier paid attorney fees for services occurring  before the filing of a petition and attaches attorney fees 45 days following  the filing of a petition; 
 
                    - Allowing insurers to uniformly reduce premiums by no more than  five percent, if they file an information-only notice within 30 days, subject  to regulatory oversight; 
 
                    - Creating a mechanism to fill vacancies on the Three-Member Panel  (Panel) and grants the Panel authority to fill gaps in statutory reimbursement  when adopting schedules of maximum reimbursement allowances for medical  care; 
 
                    - Eliminating the charge-based reimbursement of health care  facility outpatient medical care in favor of reimbursing them at 200 percent  (unscheduled care) and 160 percent (scheduled surgery) of Medicare.  If no  Medicare fee exists, then current reimbursement standards apply, which are  incorporated into statute;   
 
                    - Requiring authorization or denial of medical care authorization  requests, unless there is a material deficiency; and 
 
                    - Requiring vacancies on the Three-Member Panel to be filled by  the Governor within 120 days, and if the Governor does not fill the vacancy  within that time period, the Chief Financial Officer (CFO) would appoint a new  member. 
 
                  
                   
                  HB 7085  will now head to the floor of the Senate for consideration.
                  AIF SUPPORTS this legislation as  we believe it is postured to be a fix to Florida’s Workers’ Compensation system  fair to every person and or entity involved.
                  Please see  the below statement from our President & CEO, Tom Feeney, regarding the  passage of HB 7085:
                  
                  AIF  Commends Florida House on Passing Badly Needed Workers’ Comp Reforms
                  
                    Tallahassee, Fla. – The  Associated Industries of Florida (AIF) today released the following statement  on behalf of its President & CEO Tom Feeney, who also serves as the chair  of its “Florida Workers’ Compensation Strategic Task Force,” commending the  Florida House for passing House Bill 7085, by the House Insurance & Banking  Subcommittee and Representative Danny Burgess, relating to Workers’  Compensation.  HB 7085 will now head to the full Senate.
                     “AIF applauds members of the Florida House  for passing HB 7085 today.  We also thank Representative Burgess and House  Leadership for their work on this good bill.
                     “Since the Florida Supreme Court ruled  Florida’s workers’ compensation system unconstitutional, AIF’s workers’  compensation task force has been saying we need solid measures that address  Florida’s floundering system.
                     “Floridians deserve a stable, self-executing  and affordable workers’ compensation system, not one that leaves injured  employees at the mercy of unscrupulous trial lawyers.  HB 7085 will help  give Florida’s business community the tools needed to ensure injured workers  are receiving benefits in a timely manner and at affordable prices to  employers. 
                    “AIF looks forward to continuing the dialogue  on this good bill as it heads to the full Senate for their consideration.”
                  
                   # # #
                  
                   
                  SB 1582  -Relating to Workers’ Compensation Insurance
                    On  Wednesday, April 19th, SB 1582, by Senator Rob Bradley  (R-Orange Park), was heard before the Senate Committee on Rules and passed by a  vote of 10 yeas to 0 nays. Jim  McConnaughhay spoke in opposition to this bill on behalf of AIF.
                  This  legislation seeks to address the issues within Florida’s Workers’ Compensation  law that have deemed the law unconstitutional; specifically, the issue of rate  increases, attorney fees, claimant benefits, etc. AIF hopes to continue to work  with the Legislature as we are confident that there is a solution that will  address all aspects of the workers’ compensation system in Florida so that  Floridians can avoid unnecessary, costly and time consuming litigation and  receive the benefits they need if injured at work as quickly as possible.
                  SB 1582  will move on to the Senate floor for consideration.
                  AIF OPPOSES this piece of legislation  as it does not adequately address the rising cost of workers’ compensation  rates on Florida’s employers due to increased costs of attorney fees.
                   
                  HB  1421-Relating to Property Insurance Assignment Agreements
                    On  Wednesday, April 19th, HB 1421 by Representative James Grant (R-Tampa) was heard by the House Commerce Committee and  passed by a vote of 21 yeas to 7 nays. AIF’s Senior Vice President of State and  Federal Affairs, Brewster Bevis, stood in support of this bill.
                  The legislation  seeks to address the fraud and abuse within the process of assignment of  benefits (AOB) by removing the one-way attorney fee, which will reduce AOB  lawsuits that drive up property insurance costs on Florida’s businesses and  homeowners. AOB is a practice whereby lawyers and contractors convince  homeowners to sign over their right to sue insurers for certain kinds of home  damage. Insurers typically settle these claims to avoid protracted and expensive  court battles, and by current Florida law they’re on the hook for attorney fees  too. 
                  HB 1421  will now go to the House floor for consideration.
                  AIF SUPPORTS reforms to the  assignment of benefits process to protect consumers against these abuses.
                  Please see the below statement from our  President & CEO, Tom Feeney, regarding HB 1421:
                  
                  AIF: Florida Must Get to Heart of Abuse in Florida’s Property Insurance  Market
                  
                    Tallahassee, Fla. – The Associated  Industries of Florida (AIF) today  released the following statement on behalf of its President & CEO  Tom Feeney regarding House Bill 1421, by Representative James Grant,  relating to Property Insurance Assignment Agreements.  HB 1421 was today  heard in the House Commerce Committee, its second and last committee of  reference.
                     “AIF supports getting rid of abusive cost  drivers in our state's property insurance marketplace, and reforming assignment  of benefits this session is one way to stamp out the bad actors that are  creating a crisis for Florida homeowners.
                     “Floridians deserve an insurance marketplace  free from unnecessary litigation over auto glass repair and property water  damage, which needlessly inflates insurance premiums. While this bill improves  the current state of the property insurance marketplace, there are  opportunities to create even more cost savings for consumers.
                     “AIF is hopeful that as this bill advances to  the House floor, it will continue to improve its chances of meaningfully  reducing costs for premium payers." 
                  
                   # # #
                 
                
                  Health Care
                  SB  182-Relating to Consumer Protection from Nonmedical Changes to Prescription  Drug Formularies
                    On  Thursday, April 19th, SB 182, by Senator Debbie  Mayfield (R-Melbourne), was heard by the Senate Committee on  Rules and passed with a vote of 11 yeas to 0 nays. AIF’s Senior Vice President of State and  Federal Affairs, Brewster Bevis, stood in opposition to this bill.
                   This bill addresses the ability to move or shift prescription drugs within drug  formularies by health plans. Currently, health plans have the authority to move  prescription drugs to different tiers within the drug formulary, or add/remove  certain drugs all together. Health plans use this system if, for instance, a  drug has been found to be unsafe for patients or a more cost-efficient  alternative has become available. Removing this ability from health plans would  not only cause the cost of healthcare to rise but could put patients at risk of  taking potentially harmful medications. 
                  SB 182  will now go to the Senate floor for consideration.
                  AIF OPPOSES taking away the  leverage health plans have to add, remove, or shift drugs within the formulary  system as it will increase the cost of health care and pharmaceuticals for  Florida’s employer community.
                 
                
                  Telecommunications
                  SB 596-Relating to  Utilities
                    On Thursday, April 19th, SB 596,  by Senator Travis Hutson (R-Palm Coast), was heard by the Senate  Committee on Rules and passed by a vote of 12 yeas to 0 nays. AIF’s  Senior Vice President of State and Federal Affairs, Brewster Bevis, stood  in support of this bill.
                  This bill creates the  Advanced Wireless Infrastructure Deployment Act which would ultimately allow  for 5G technology throughout the state of Florida.
                  SB 596 will now go to the  Senate floor to be heard.
                  AIF SUPPORTS  legislation that accommodates for the increasing need for reliable wireless  networks to help support communities and businesses of the future.