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TAXATION OF OFF-SITE PRE-FABRICATION

Issue

Florida taxes off-site pre-fabrication but not on-site, which discourages quality-controlled off-site work.

Proposal

Create a consistent tax system where both on-site and off-site pre-fabrication are taxed the same way.

OWNER-DIRECT PURCHASE PROCESS REFORM

Issue

The current complicated process of "ODP" leads to higher project costs and discourages participation from Tax-Exempt Owners and General Contractors.

Proposal

Allow tax-exempt entities to assign their tax-free purchasing privileges to the General Contractor for the duration of the project.

EXPEDITED PERMITTING

Issue

Some jurisdictions have an unreasonable timeline for permitting caused by lengthy processes.

Proposal

Require objective timelines for permitting and create incentives for AHJs to meet these timelines.

Note

A caveat may be required for bona-fide permit concerns or inaccurate information.

PUBLIC OWNER PAYMENT

Issue

Public properties are not subject to liens, leaving contractors exposed if obligations are subject to appropriated funding.

Proposal

Require Public Owners to prove dedicated funding prior to engaging contractors or issuing change orders.

558 RIGHT TO REPAIR

Issue

Florida Statute 558.004 allows contractors to offer repairs but gives no absolute right to perform them, leading to lawsuits.

Proposal

Revise the statute to provide contractors the right to complete repairs, limiting financial exposure if the right is denied.

Note

Access, insurance and liability will need to be addressed via “commercially reasonable” standard.

PHASED/TEMPORARY CERTIFICATES OF OCCUPANCY

Issue

Private Providers cannot independently issue Temporary Certificates of Occupancy for phased construction, delaying turnover.

Proposal

Allow Private Providers to independently perform inspections and issue Temporary Certificates of Occupancy.

FIRE MARSHALL CONSISTENCY

Issue

Local interpretations of fire codes lead to confusion, delays, and additional costs through scope gaps.

Proposal

Require Fire Marshalls to follow a uniform standard for the interpretation of fire requirements.

Note

An “Appeals” process may be required.

OSHA PREEMPTION

Issue

Some local jurisdictions attempt to create safety guidelines that exceed reasonable requirements and OSHA Standards.

Proposal

Require local ordinances to follow OSHA guidelines when OSHA has promulgated requirements in such subject matter.

RECORDING BONDS

Issue

Some Notices of Commencement are recorded prior to Bonds being procured, risking the "conditional" status of the bonds.

Proposal

Revise Florida Statute 713.13(1)(e) to clearly permit recording Bonds after the Notice of Commencement.

DIGITAL SEALS

Issue

Some AHJs do not accept multidimensional (3D) models despite recognition by the Board of Professional Engineers.

Proposal

Require AHJs to accept 3D drawings signed and sealed by a licensed professional to satisfy submittal requirements.

CONDOMINIUM TURNOVER DOCUMENTATION

Issue

Florida’s statute of limitation for condominiums is tied to a board election, which is not required to be documented or recorded. 

This lack of documentation could prevent contractors from utilizing statute of limitations defenses.

Proposal

Require that the unit owner’s election of the majority of the board is documented and recorded in public records.

WRAP-UP INSURANCE RATING

Issue

Worker’s Compensation claims in a "Wrap" Insurance Programs (e.g. OCIP/CCIP) exclude contractors from managing claims, negatively impacting their Experience Modification Ratings.

Proposal

Adopt rules to insulate Worker’s Compensation ratings in "Wrap" programs from the Contractor's EMR.

Note

General Liability claims are already insulated in this manner.

PUBLIC CONSTRUCTION BONDS (DEVELOPERS AND P3)

Issue

When a Developer works for a public entity, there is no bonding requirement, leaving contractors with no recourse or lien rights.

Proposal

Require any person/entity contracting with a public owner to satisfy the statutory bonding obligation.

APPRENTICESHIP REGULATORY REFORM

Issue

Current and forthcoming labor shortages in the construction industry.

Proposal

Streamline processes for Apprenticeship Education providers to receive funding and academic acceptance.

CONSULTANTS’ COMPETITIVE NEGOTIATION ACT (CCNA)

Issue

Attempts to eliminate competitive solicitation in favor of hard-bid low-bid determining factors.

Proposal

Keep competitive selection and negotiation so qualified firms are awarded work at a competitive price.

SCHOOL DISTRICT BACKGROUND SEARCH

Issue

The Jessica Lunsford Act requires background searches for most contractors performing work on school property. FDLE offers a uniform system (Florida Shared School Results), but not all school districts recognize these results. 

Proposal

Mandate acceptance of statewide background searches performed by the FDLE.

REGULATING UNLICENSED CONTRACTORS

Issue

Unlicensed subcontractors, often lower-tier, perform specialized construction work with general liability insurance but without the required professional licenses, creating an unfair competitive disadvantage for licensed contractors.

Proposal

Mandate that commercial general liability insurers verify licensure through DBPR prior to binding or renewing coverage, and require all licensed contractors to verify the licensure of downstream subcontractors.

NOTICE OF COMMENCEMENT

Issue

The $2,500 threshold for Notices of Commencement creates an unnecessary administrative burden for residential and  small-scale commercial projects.

Proposal

Raise the threshold to match the HVAC exemption (≈ $15,000) and tie increases to the Consumer Price Index.